Title
Approving a Resolution Expressing Official Intent to Reimburse Certain Expenditures.
Summary
This resolution will allow the City of Pflugerville to expend funds for the projects that will be funded by the certificates of obligation (CO's) referenced in agenda item 8B, and for the library project that will be funded by the final issuance of the general obligation bonds prior to the receipt of the bond funds. The sale of both the CO's and the general obligation bonds will be complete on February 6, 2013. Selling both issues at the same time provides cost savings and time savings for staff. Due to the Arista development, it is advantageous to begin the design of the infrastructure related to Arista as soon as possible. The City can expend funds for the projects and allow the bond funds to reimburse the operating accounts upon the sale of the debt financing for those expenditures.
The resolution was prepared by Mr. Richard Donoghue, the city's bond counsel, and reviewed by Mr. George Hyde, City Attorney, Mr. Donoghue will be at the City Council meeting to address any questions about this resolution.
Fiscal Impact
Funds are available in the general fund and the utility fund to support expenditures prior to the issuance of the bonds without jeopardizing the required reserves for the two funds.
Staff Recommendation
Approve the resolution.
Drafter
Lauri Gillam
Assistant City Manager