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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 04/17/2001 - FIRST READING OF ORDINANCE NO. 54, 2001, APPROPRIA IT AGENDA ITEM SUMMARY ITEM NUMBER: 17 FORT COLLINS CITY COUNCIL DATE: April 17, 2001 STAFF: Dave Agee SUBJECT: First Reading of Ordinance No. 54, 2001, Appropriating Proceeds from the Issuance of City of Fort Collins, Colorado, Stormwater Utility Enterprise, Storm Drainage Revenue Bond, Series 2001, Dated May 1, 2001, in the Aggregate Principal Amount of Not More Than $10,400,000. RECOMMENDATION: Staff recommends adoption of the Ordinance on First Reading. FINANCIAL IMPACT: The Ordinance would appropriate bond proceeds in the Storm Drainage Fund for the acquisition and construction of various improvements in three of the City's storm drainage basins and the lipcost of issuing the bond. EXECUTIVE SUMMARY: Later tonight, the Board of the Wastewater Utility Enterprise will be considering the Second Reading of an Ordinance authorizing the issuance of City of Fort Collins, Colorado, Stormwater Utility Enterprise, Storm Drainage Revenue Bond, Series 2001, Dated May 1, 2001, in the Aggregate Principal Amount of not more than $10,400,000. Authorizing the issuance of the bond and appropriating the proceeds are both necessary to complete the bond transaction. Proceeds of $3,200,000 from the issuance of the Bond were appropriated in the Storm Drainage Fund by the City Council as part of the 2001 annual appropriation ordinance. This Ordinance appropriates the remainder of the proceeds. It is anticipated that the Bonds will be sold on April 17. This Ordinance will be amended prior to Second Reading to reflect the actual principal amount. • ORDINANCE NO. 54, 2001 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PROCEEDS FROM THE ISSUANCE OF CITY OF FORT COLLINS, COLORADO, STORMWATER UTILITY ENTERPRISE, STORM DRAINAGE REVENUE BOND, SERIES 2001, DATED MAY 1, 2001, IN THE AGGREGATE PRINCIPAL AMOUNT OF NOT MORE THAN $10,400,000 WHEREAS, upon passage on first and second reading of Ordinance No. 5 of the Board of the City of Fort Collins, Colorado, Stormwater Utility Enterprise, the Enterprise intends to issue City of Fort Collins, Colorado, Stormwater Utility Enterprise, Storm Drainage Revenue Bond, Series 2001, Dated May 1, 2001, in the Aggregate Principal Amount of not more than $10,400,000; and WHEREAS, the issuance of the bond, and the appropriation of the proceeds thereof, is necessary to complete construction of improvements in the City's storm drainage basins; and WHEREAS, Section 19.3(b) of Article V of the City Charter provides that an enterprise board of the City shall not exercise powers reserved to the Council by the City Charter or otherwise (other than the power to issue revenue bonds and other obligations); and WHEREAS, in anticipation of the issuance of the Bond, the Council has previously appropriated for the current fiscal year bond proceeds in the amount of $3,200,000 for expenditure for construction of the above-mentioned improvements, and has included in the budget for 2001 bond proceeds in the amount of$10,000,000; and WHEREAS, proceeds from the bond of $210,000 were not included in the 2001 budget, the appropriation of which is necessary to authorize the payment of bond issuance costs; and WHEREAS, Article V, Section 9, of the Charter of the City of Fort Collins permits the City Council to make supplemental appropriations by ordinance at any time during the fiscal year, provided that the total amount of such supplemental appropriations, in conjunction with all previous appropriations for that fiscal year, do not exceed the current estimate of actual and anticipated revenues to be received during the fiscal year. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the previously unappropriated proceeds of the Bond in the amount oT $7,200,000 are hereby appropriated in the Storm Drainage Fund as follows: ■ Storm Drainage Fund Operations and Maintenance $ 210,000 ■ Old Town Basin Project $5,700,000 ■ Canal Importation Basin Project $1,100,000 ■ Cost of Issuance and Pricing Premiums or $ 190,000 Discounts Introduced, considered favorably on first reading, and ordered published this 17th day of April, A.D. 2001, and to be presented for final passage on the 1st day of May, A.D. 2001. Mayor ATTEST: City Clerk Passed and adopted on,final reading this 1st day of May, A.D. 2001. Mayor ATTEST: City Clerk