HomeMy WebLinkAboutR-8467 Intention to Reimburse Expenditures Relating to Purchase of Property (314-350 Higuera St)RESOLUTION NO. 8467 (1995 SERIES)
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A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
DECLARING INTENTION TO REIMBURSE EXPENDITURES RELATING TO
PURCHASE OF PROPERTY (314 -350 HIGUERA STREET) FROM THE
PROCEEDS OF OBLIGATIONS OF THE CITY AND
DIRECTING CERTAIN ACTIONS
WHEREAS, the City has previously advanced funds, and expects
to make future advances, to finance a purchase of real property
(the "Project ") , and in order to provide funds to finance the
Project, the Council intends to issue debt for such Project and to
use a portion of the proceeds of such debt to reimburse
expenditures made for the Project prior to the issuance of the
debt; and
WHEREAS, United. States Income Tax Regulations, Section 1.150-
2, provides generally that proceeds of tax - exempt debt are not
deemed to be expended when such proceeds are used for reimbursement
of expenditures made prior to the date of issuance of such debt
unless certain procedures are followed, one of which is a
requirement that (with certain exceptions) , prior to the payment of
any such expenditures, the issuer declare an intention to reimburse
such expenditures and
WHEREAS, it is in the public interest and for the public
benefit that the City declare its official intent to reimburse the
expenditures referenced herein;
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of
San Luis Obispo as follows:,
SECTION 1. The Council hereby declares that it reasonably
expects to issue obligations (the "Obligations ") for the purpose of
paying costs of (i) the acquisition and improvement of property,
known as 314 -350 Higuera Street, to be used for street widening,
assisting in flood control, compliance with the City's Adopted
Downtown Physical Concept Plan and Bicycle Transportation Plan.
SECTION 2. The Council hereby declares that it reasonably
expects (i) to pay certain costs of the Project prior to the date
of issuance of the Obligations and (ii) to use a portion of the
proceeds of the Obligation for reimbursement of expenditures for
the Project that are paid before the date of issuance of the
Obligations.
SECTION 3. The maximum principal amount of the Obligations is
$1,000,000.
R 8467
Resolution No. 8467
(1995 Series)
On motion of Council Mbr. Smith. , seconded by
Council Mr. Romero
and on the following roll call vote:
AYES: Council Members Smith, Romero, Williams, Roalman and Mayor Settle
NOES: None
ABSENT: None
the foregoing resolution was passed and adopted this 7th day of
November , 1995.
MAYOR ALLEN SETTLE
ATTEST:
Acting City Cle c, K m Condon
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H:MATHPROP.RES
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