HomeMy WebLinkAboutR2005-001RESOLUTION NO. {AtJ()5-¡)() I
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF DENTON RELATING TO
THE ISSUANCE OF BONDS BY NORTH TEXAS HIGHER EDUCATION AUTHORITY,
INC.; APPROVING THE ISSUANCE OF SUCH BONDS AND THE USE OF THE
PROCEEDS OF SUCH BONDS; AND MAKING CERTAIN FINDINGS IN CONNECTION
THEREWITH; PROVIDING AN OPEN MEETINGS CLAUSE; AND PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the North Texas Higher Education Authority, Inc. (the "Authority")
was established as a non-profit corporation, pursuant to the Texas Non-Profit Corporation Act,
for the purpose of furthering educational opportunities of students by providing funds for the
acquisition of student loans; and
WHEREAS, the City of Denton and the City of Arlington have requested the
Authority to exercise the powers provided for in Section 53.47 of the Texas Education Code, as
amended, for and on their behalf; and
WHEREAS, pursuant to such request, the Authority has issued student loan
revenue bonds or otherwise borrowed money to obtain funds to purchase student loans which are
guaranteed under the provisions of the Higher Education Act of 1965, as amended, and
additional funds are now needed to continue the program;
WHEREAS, the Authority requests that the City approve the Authority's issuance
of bonds, to be issued in one or more series, as needed, to augment the Authority's student loan
program;
WHEREAS, the City wishes to approve the issuance of the Authority's bonds
provided that City is not responsible in any way for such bonds, NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. That the City Council of the City of Denton, Texas, hereby grants
its approval to the North Texas Higher Education Authority, Inc. to issue and deliver (1) taxable
student loan revenue bonds or other obligations, in one or more series in an amount not to exceed
75,000,000, during the first quarter of calendar year 2005, and (2) student loan revenue bonds
or other obligations, in one or more series in an amount not to exceed $108,000,000 during the
first quarter of calendar year 2005, utilizing a 2004 Private Activity Bond Carryforward and a
2005 Private Activity Bond Allocation. The bonds or other obligations are to be issued for the
purposes of obtaining funds to purchase student or parent loan notes which are guaranteed under
the Higher Education Act of 1965, as amended, refunding outstanding obligations of the
Authority, setting aside the amount the Authority determines is necessary for a reserve and for
operating costs, and paying the cost of issuing such obligations in accordance with the laws of
the State of Texas, including Chapter 53, Texas Education Code.
SECTION 2. The City of Denton, Texas requests that the Authority exercise the
powers enumerated and provided for in Section 53.47, Texas Education Code, as amended, and
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that such non-profit corporation shall, in this connection, exercise such powers for and on behalf
of the City of Denton, Texas and the State of Texas, as contemplated by Section 53.47(e), (f) and
g), Texas Education Code, as amended.
SECTION 3. The City of Denton, Texas does not agree to assume any
responsibility in connection with the administration of the Authority's student loan program.
Sole responsibility for the administration of the Authority's student loan program is assumed by
the Authority.
SECTION 4. Further, it is recognized by the City of Denton, Texas that the
instruments which authorize the issuance of bonds, notes, or obligations by the Authority will
specifically state that the City of Denton, Texas is not obligated to pay the principal of or interest
on the bonds, notes, or obligations proposed to be issued by the Authority. Nothing in this
resolution shall be construed as an indication by the City of Denton, Texas that it will payor
provide for the payment of any obligations of said Authority whether theretofore or hereafter
incurred; and in this connection, attention is called to the Constitution of the State of Texas,
wherein it is provided that a city may incur no indebtedness without having made provisions for
its payment, and the City Council of the City of Denton, Texas hereby specifically refuses to set
aside any present or future funds, assets or money for the payment of any indebtedness or
obligation of the Authority.
SECTION 5. It is hereby officially found and determined that the meeting at
which this resolution is passed is open to the public, as required by law, and that public notice of
the time, place and purpose of said meeting was posted, as required by law.
SECTION 6.
passage and approval.
This resolution shall become effective immediately upon its
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PASSED AND APPROVED this the ~ day of C)f1J11ÜjA~
Q )}? rtLJI
t' EUL BROCK, MAYOR
2005.
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY ~lJI) tl-QAV
APPROVED AS TO LEGAL FORM:
HERBERT L. PROUTY, CITY ATTORNEY
BY 'fUJII~
45375850.4
CERTIFICATE OF SECRETARY
THE STATE OF TEXAS
COUNTY OF DENTON
CITY OF DENTON
I, the undersigned, Secretary of the City of Denton, Texas do hereby certifY the
following:
1. On the JfJlflJ.... day of fìf!lj.iJ~ ,2005, the City Council of the
City of Denton, Texas convened in regular session its regular eetmg place m CIty Hall. wIth the duly
constituted members of the City Council being as follows:
Euline Brock
Raymond Redmon
Pete Kamp
Jack Thomson
Perry McNeil
Bob Montgomery
Joe Mulroy
Mayor
Council Member, District 1
Council Member, District 2
Council Member, District 3
Council Member, District 4 and Mayor Pro Tem
Council Member, At Large Place 5
Council Member, At Large Place 6
A RESOLUTION BY THE CITY COUNCIL OF THE
CITY OF DENTON RELATING TO THE
ISSUANCE OF BONDS BY THE
NORTH TEXAS HIGHER EDUCATION AUTHORITY, INC.;
APPROVING THE ISSUANCE OF SUCH BONDS AND
THE USE OF THE PROCEEDS OF SUCH BONDS; AND
MAKING CERTAIN FINDINGS IN CONNECTION THEREWITH
was introduced and submitted to the Council for approval and assage. After presentation and
due consideratio 0 the resolution, and upon a motion by .
seconded by , the resolution was duly passe
City Council, to be effective immediately, by the following vote:
voted "For" ~ voted "Against"
d adopted by the
abstained
all as stated in the official Minutes ofthe City Council for the meeting held on the aforesaid date.
2. The attached resolution is a true and correct copy of the original resolution
on file in the official records of the City of Denton, Texas. The duly qualified and acting
members of the City Council of the City of Denton, Texas, on the date of the aforesaid Council
45375850.4
meeting are those persons above named; and according to the records of my office, each member
of the City Council was given advance notice of the time, place and purpose of the meeting, and
that said meeting and deliberation of the aforesaid public business was open to the public, and
written notice of said meeting, including the subject of the entitled resolution, was posted and
given in advance thereof, in compliance with the provisions of Chapter 551, Texas Government
Code.
IN WITNESS THEREOF, I have hereunto signed my name officially and affixed
the seal of said City, this the //{¡fj[ day of r¡;/l/L{)AJ~ ,2005.
Seal)
45375850.4 2