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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 09/03/2002 - FIRST READING OF ORDINANCE NO.123, 2002, APPROPRIA AGENDA ITEM SUMMARY ITEM NUMBER: 15 FORT COLLINS CITY COUNCIL DATE: September 3, 2002 STAFF: Michael B. Smith SUBJECT: First Reading of Ordinance No. 123,2002,Appropriating Proceeds from the Issuance of City of Fort Collins,Colorado,Stormwater Utility Enterprise,Storm Drainage Revenue Refunding Bonds,Series 2002, Dated September 15, 2002, in the Aggregate Principal Amount of$2,800,000. RECOMMENDATION: Staff recommends adoption of the Ordinance on First Reading. FINANCIAL IMPACT: Contingent upon the issuance of the proposed Stormwater Utility Enterprise, Storm Drainage Revenue Refunding Bonds, Series 2002, Dated September 15, 2002, in the Aggregate Principal Amount of$2,800,000(the"Bonds"),the Ordinance would appropriate bond proceeds in the Storm Drainage Fund for the payment to the refunded bond escrow agent and the cost of issuing the Bonds. EXECUTIVE SUMMARY: The Board of the Stormwater Utility Enterprise is scheduled to consider, at its meeting subsequent to the meeting of the City Council, Ordinance No. 007 of the Stormwater Utility Enterprise Board authorizing the issuance of City of Fort Collins, Colorado, Stormwater Utility Enterprise, Storm Drainage Revenue Refunding Bonds, Series 2002, Dated September 15, 2002, in the Aggregate I' Principal Amount of $2,800,000. Authorizing the issuance of the Bonds and appropriating the proceeds are both necessary to complete the bond transaction. This Ordinance appropriates the proceeds of the Bonds, contingent upon the final approval and issuance of the Bonds. ORDINANCE NO. 123, 2002 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 REFUNDING BONDS, SERIES 2002, DATED SEPTEMBER 15, 2002, IN THE AGGREGATE PRINCIPAL AMOUNT OF $2,800,000 WHEREAS, upon passage on first and second reading of Ordinance No. 007 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 Refunding Bonds, Series 2002, Dated September 15, 2002, in the Aggregate Principal Amount of$2,800,000 (the "Bonds"); and WHEREAS, the issuance of the Bonds, and the appropriation of the proceeds thereof, is necessary to complete the refunding of the City's Storm Drainage Revenue Refunding Bonds, Series 1992; and WHEREAS, proceeds from the Bonds of $2,800,000 were not included in the 2002 budget, the appropriation of which is necessary to authorize the payment to the refunded bond escrow agent and of bond issuance costs; 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, 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, does not exceed the current estimate of actual and anticipated revenues to be received during the fiscal year; and WHEREAS, City staff has determined that the appropriation of the previously unappropriated proceeds of the Bonds in the amount of $2,800,000 will not cause the total amount appropriated in the relevant funds to exceed the current estimate of actual and anticipated revenues to be received during any fiscal year. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the previously unappropriated proceeds of the Bonds in the amount of TWO MILLION EIGHT HUNDRED THOUSAND DOLLARS ($2,800,000) are hereby appropriated in the Storm Drainage Fund for payment to the refunded bond escrow agent and bond issuance costs contingent upon the final adoption of the Bond Ordinance and the final sale and issuance of the Bonds by the Enterprise. Introduced, considered favorably on first reading, and ordered published this 3rd day of September, A.D. 2002, and to be presented for final passage on the 17th day of September, A.D. 2002. Mayor ATTEST: City Clerk Passed and adopted on final reading this 17th day of September, A.D. 2002. Mayor ATTEST: City Clerk