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HomeMy WebLinkAbout15-058CITY OF LAKEVILLE RESOLUTION NO. 15-58 RESOLUTION DECLARING THE OFFICIAL INTENT OF THE CITY OF LAKEVILLE TO REIMBURSE CERTAIN EXPENDITURES FROM THE PROCEEDS OF BONDS TO BE ISSUED BY THE CITY WHEREAS, The Internal Revenue Service has issued Treasury Reg. 1.150-2 (the " Reimbursement Regulations") providing that proceeds of tax-exempt bonds used to reimburse prior expenditures will not be deemed spent unless certain requirements are met; and WHEREAS, The City expects to incur certain expenditures that may be financed temporarily from sources other than bonds, and later reimbursed from the proceeds of tax-exempt bonds; and WHEREAS, The City has determined to make this declaration of official intent ("Declaration") to reimburse certain costs from proceeds of bonds in accordance with the Reimbursement regulations; and WHEREAS, The total estimated general obligation bonds for 2015 are $49,745,000. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota as follows: 1. The recitals set forth above are incorporated herein. 2. The City proposes to undertake the following projects (the "Projects"): a. #15-02 2015 Street Reconstruction (Phase 1) b. #15-02 2015 Street Reconstruction (Phase II) c. #15-04 Kensington Blvd d. #15-05 Hamburg Avenue e. #09-07 CSAH 50/60 (185th Street) Roundabout and Expansion f. #14-17 Ipava Avenue Traffic Signals at 1751h & 165th Streets g. #14-11 Water Treatment Plan Expansion h. #14-14 Well Construction #20 & #21 L Watermain -190th Street, Holyoke/Dodd j. #13-18 Water Tower k. #13-09 Dodd Blvd Reconstruction (194th St - 185th St) I. #14-10 CSAH 50 (Kenwood Trail) Reconstruction (CSAH 60 to CSAH 9) 3. The City reasonably expects to reimburse the expenditures made for certain costs of the Projects from the proceeds of bonds in an estimated maximum principal amount of the following: a. #15-02 2015 Street Reconstruction (Phase 1) - $11,500,000 b. #15-02 2015 Street Reconstruction (Phase 11) - $11,700,000 c. #15-04 Kensington Blvd - $845,000 d. #15-05 Hamburg Avenue - $455,000 e. #09-07 CSAH 50/60 (185th Street) Roundabout and Expansion - $3,900,000 f. #14-17 Ipava Avenue Traffic Signals at 17511 & 165' Streets - $485,000 g. #14-11 Water Treatment Plan Expansion - $4,200,000 h. #14-14 Well Construction #20 & #21 - $1,750,000 L Watermain - 190th Street, Holyoke/Dodd - $410,000 j. #13-18 Water Tower - $5,000,000 k. #13-09 Dodd Blvd Reconstruction (19411 St -185th St) - $2,500,000 I. #14-10 CSAH 50 (Kenwood Trail) Reconstruction (CSAH 60 to CSAH 9) - $7,000,000 The City may declare other separate statements of reimbursement intent in connection with specific public improvements projects as they are initiated under Minnesota Statutes, Chapters 429 and 444, or for other capital projects, with the understanding that such additional declarations of reimbursement intent will supplement this resolution. All reimbursed expenditures will be capital expenditures, costs of issuance of the bonds, or other expenditures eligible for reimbursement under Section 1.150-2(d)(3) of the Reimbursement Regulations. 4. This Declaration has been made no later than 60 days after payment of any original expenditure to be subject to a reimbursement allocation with respect to the proceeds of bonds, except for the following expenditures: a) costs of issuance of bonds; b) costs in an amount not in excess of $100,000 or five percent of the proceeds of an issue; or c) "preliminary expenditures" up to an amount not in excess of 20 percent of the aggregate issue price of the issue or issues that are reasonably expected by the City to finance the project for which the preliminary expenditures were incurred. The term preliminary expenditures" includes architectural, engineering, surveying, bond issuance, and similar costs that are incurred prior to commencement of acquisition, construction or rehabilitation of a project, other than land acquisition, site preparation, and similar costs incident to commencement of construction. 5. This Declaration is an expression of the reasonable expectations of the City based on the facts and circumstances known to the City as the date hereof. The anticipated original expenditures for the Projects and the principal amount of the bonds described in paragraph 3 are consistent with the City's budgetary and financial circumstances. No sources other than proceeds of bonds to be issued by the City are, or are reasonably expected to be, reserved, allocated on a long term basis, or otherwise set aside pursuant to the City's budget or financial policies to pay such Project expenditures. 6. This Declaration is intended to constitute a declaration of the official intent for the purposes of the Reimbursement Regulations. DATED this 18th day of May, 2015 CITY OF LAKEVI LE Matt Little, Mayor AT�EST: Charlene Friedges, City lerk