HomeMy WebLinkAbout027775 RES - 07/22/2008A RESOLUTION
BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS,
DIRECTING PUBLICATION OF NOTICE OF INTENTION TO ISSUE
COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION,
FOR IMPROVEMENTS TO THE CITY'S SOLID WASTE FACILITIES;
AUTHORIZING CITY MANAGER TO RETAIN SERVICES OF M. E.
ALLISON & CO., INC. AS FINANCIAL ADVISOR, AND MCCALL,
PARKHURST & HORTON, L.L.P. AS BOND COUNSEL; AND RESOLVING
OTHER MATTERS RELATING TO THE SUBJECT
WHEREAS, the City of Corpus Christi (the "City") expects to pay expenditures in
connection with the design, planning, acquisition and construction of the projects described in
Exhibit A to this Resolution prior to the issuance of the Certificates of Obligation hereinafter
described; and
WHEREAS, the City Council hereby finds, considers and declares that the
reimbursement of the payment by the City of such expenditures will be appropriate and
consistent with the Lawful objectives of the City and, as such, chooses to declare its intention, in
accordance with the provisions of Section 1.150-2 of the U.S. Treasury Regulations, to
reimburse itself for such payments at such time as it issues the hereinafter described Certificates
of Obligation; and
WHEREAS, it is hereby officially found and determined that the meeting at which this
Resolution was considered was open to the public, and public notice of the time, place and
purpose of said meeting was given, all as required by Chapter 551, Texas Government Code.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
Section 1. That attached hereto and marked "Exhibit A" is a form of notice, the form and
substance of which are hereby passed and approved.
Section 2. That the City Manager shall cause said notice to be published, in substantially
the form attached hereto, in the Corpus Christi Caller -Times, a newspaper of general circulation
in the City of Corpus Christi, Texas, for two consecutive weeks, the date of the first publication
to be before the thirtieth day before the day tentatively proposed for authorizing the issuance of
the Certificates of Obligation as shown in said notice.
Section 3. That the City Manager is hereby authorized to retain the services of M. E.
Allison & Co., Inc. as Financial Advisor, and McCall, Parkhurst & Horton L.L.P. as Bond
Counsel, in connection with the issuance and sale of the proposed Certificates of Obligation. A
copy of their fee schedules is attached as "Exhibit B" and "Exhibit C" respectively.
027775
Section 4. That the facilities and improvements to be financed with proceeds from the
proposed Certificates of Obligation are to be used for the purposes described in the attached
Notice of Intention.
Section 5. That all costs to be reimbursed pursuant to this Resolution will be capital
expenditures; the proposed Certificates of Obligation shall be issued within 18 months of the
later of (i) the date the expenditures are paid or (ii) the date on which the property, with respect
to which such expenditures were made, is placed in service; and the foregoing notwithstanding,
the Certificates of Obligation will not be issued pursuant to this Resolution on a date that is more
than three years after the date any expenditure which is to be reimbursed is paid.
Section 6. That alI resolutions or parts thereof in conflict herewith are hereby repealed.
PASSED AND APPROVED this the 22nd day of July, 2008.
ATTEST:
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City Secretary, City of
Corpus Christi, Texas
APPROVED THIS THE 1 ci DAY OF JULY, 2008:
MARY KAY FISCHER, CITY ATTORNEY
13J: �.,v `1141+2teNePS
, City s Corpus Christi, Texas
Corpus Christi, Texas
of
2008
The above resolution was passed by the following vote:
Henry Garrett
Melody Cooper
Larry Elizondo, Sr.
Mike Hummel)
Bill Kelly
Priscilla G. Leal
John E. Marez
Nelda Martinez
Michael McCutchon
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027775
EXHIBIT A
NOTICE OF INTENTION TO ISSUE
CERTIFICATES OF OBLIGATION
NOTICE IS HEREBY GIVEN that it is the intention of the City Council of the City of
Corpus Christi, Texas, to issue one or more series of the interest bearing certificates of obligation
of the City to be entitled "City of Corpus Christi, Texas Combination Tax and Solid Waste
Revenue Certificates of Obligation", for the purpose of paying contractual obligations to be
incurred by the City with respect to the City's solid waste facilities, to -wit, the construction of
improvements to the City's solid waste facilities, including, without limitation, paying
contractual obligations to be incurred with respect to the development of the Cefe Valenzuela
landfill in the vicinity of County Road 20 and Farm Road 2444, for the construction of municipal
landfill waste disposal cells, internal roadways and pavement, cover systems, gas collection
systems, equipment, drainage facilities, maintenance facilities, extension of the leachate
collection and management system, liners, environmental monitoring equipment, and other
improvements necessary to operate the landfill, and improvements to the J. C. Elliott landfill in
the vicinity of State Highway 286 (Chapman Ranch Road) and State Highway 357 (Saratoga
Boulevard) including construction of final cover systems, gas management system, ground water
monitoring, transfer station improvements and equipment, scalehouse building improvements,
internal roadways and pavement, and other improvements necessary to operate said facility, and
the payment of fiscal, engineering and legal fees incurred in connection therewith. The City
Council tentatively proposes to authorize the issuance of said series (one or more) of Certificates
of Obligation at its regular meeting place in the City Hall at a meeting to commence at 10:00
a.m., on the 9th day of September, 2008. The maximum amount of Certificates of Obligation
indebtedness that may be authorized to be sold on said date for such purposes described above is
$12,000,000. The City Council presently proposes to provide for payment of said series (one or
more) of Certificates of Obligation from the levy of taxes and from surplus revenues derived
from the operation of the City's solid waste system.
CITY OF CORPUS CHRISTI, TEXAS
/s/ Henry Garrett
Mayor
THE STATE OF TEXAS
COUNTIES OF NUECES AND SAN PATRICIO :
CITY OF CORPUS CHRISTI
I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify
that the above and foregoing is a true, full and correct copy of a resolution passed by the City
Council of the City of Corpus Christi, Texas (and of the minutes pertaining thereto) on the 22nd
day of July, 2008, authorizing the publication of notice of intent to issue Combination Tax and
Solid Waste Revenue Certificates of Obligation, which resolution is duly of record in the
minutes of said City Council, and said meeting was open to the public, and public notice of the
time, place and purpose of said meeting was given, all as required by Texas Government Code,
Chapter 551.
EXECUTED UNDER MY HAND AND SEAL of said City, this the 22nd day of July,
2008.
City Secretary, City of C2frpus Christi, Texas
(SEAL)
(NVE$TMENT BANKER$
FINANCIAL. ADVISORY FEE SCHEDULE
GENERAL OBLIGATIOkNOTEg
•
And Nat
M211 1)1811 M 1
$ $ 250,000 $7,500 plus $20.00 per $1,000 for all over $150,000
250,000 350,000 '11$9,500 plus $10.00 per $1,000 for all over $250,000
350,000 500,000 ,$10,500 plus $8.00 per $1,000 for all over $350,000
500,000 700,000 $11,700 plus $7.00 per $1,000 for all over $500,000
700,000 1,000,000 $13,100 plus $6.00 per $1,000 for all over $700,000
1,000,000 1,500,000 $14,900 plus $5.00 per $1,000 for all over $1,000,000
1,500,000 5,000,000 $17,400 plus $3.00 per $1,000 for all over $10500,000
5,000,000 10,000,000 $27,900 plus $165 per $1,000 for all over $5,000,000
10,000,000 20,000,000 $36,150 plus $1.00 per $1,000 for all over $10,000,000
20,000,000 No Limit $46,150 plus $0.85 per $1,000 for all over $20,000,000
•BLVENUg KINDS AND COMBINATION TAX AND REVENUE CERTIFICATE Q Q.
9BLICATION
In the event the Bonds to bo issued are Revenue Bonds or Combination Tax and Revenue •
CertificatesofObligation, Refunding or Lease Purchase, the fee shall be the amount computed.
from the above schedule plus 25%.
EXHIBIT B
600 CONGRESS AVENUE
SUITE 1800
AUSTIN, TEXAS 78701-3248
TELEPHONE: 512 479-3805
FACSIMILE: 512 472-0871
LAW OFFICES
MCCALL, PARKHURST & HORTON L.L.P.
717 NORTH HARWOOD
SUITE 900
DALLAS, TEXAS 75201-6587
TELEPHONE: 214 784-5200
FACSIMILE: 214 754-0250
July 14, 2008
700 N. ST. MARY'S STREET
SUITE 1525
SAN ANTONIO, TEXAS 78205-3503
TELEPHONE: 210 225-2800
FACSIMILE: 210 225-2984
Ms. Lisa Aguilar
City of Corpus Christi
Law Department
1201 Leopard
Corpus Christi, Texas 78401
Re: City of Corpus Christi, Texas Certificates of Obligation, Series 2008
Dear Lisa:
By this letter, I wish to confirm our fee schedule for the issuance of the captioned Certificates
of Obligation, currently proposed to be issued in the aggregate principal amount of $12,000,000. The
fee schedule is calculated on the following formula: $5,000 for the first $1 million in principal amount
of the obligations, and $1.00 per $1,000 in principal amount of the obligations in excess of
$1,000,000, contingent on the delivery of the obligations. For a $12,000,000 certificate of obligation
issue, the fee would be $16,000, $5,000 for the first $1,000,000 and $11,000 for the balance of the
principal amount of the Certificates of Obligation ($11,000,00011,000 = $11,000). In addition, our
out-of-pocket expenses incurred at your request will be billed upon the delivery of the obligations.
If you have any questions regarding this matter, please do not hesitate to contact me.
Very truly yours,
McC 400T & HORTON L.L.P.
VV
A. Leuschel
EXHIBIT C