21-2027ORDINANCE NO. 21-2027
AN ORDINANCE OF THE CITY OF DENTON TO DECLARE THE INTENT TO
REIMBURSE CAPITAL PROGRAM EXPENDITURES OF THE ELECTRIC UTILITY
($52,904,557), SOLID WASTE ($2,533,367), WATER ($34,491,460), WASTEWATER
($44,212,652), AND GENERAL GOVERNMENT ($66,750,452) WITH TAX -PREFERRED
OBLIGATIONS (CERTIFICATES OF OBLIGATION AND GENERAL OBLIGATION
BONDS) WITH AN AGGREGATE MAXIMUM PRINCIPAL AMOUNT NOT TO EXCEED
$200,892,488; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City of Denton (the "Issuer") is a municipal corporation/political
subdivision of the State of Texas; and
WHEREAS, the Issuer expects to pay, or have paid on its behalf, expenditures in
connection with the ongoing capital expansion of the General Government and Electric, Solid
Waste, Water, and Wastewater utility projects approved as part of the FY 2021-22 Capital
Improvement Program Budget and described on Exhibit "A" hereto (collectively, the "Projects")
prior to the issuance of Certificates of Obligation and General Obligation Bonds which are tax-
exempt obligations, tax -credit obligations and/or obligations for which a prior expression of intent
to finance or refinance is required by Federal or state law to finance the Projects; and
WHEREAS, the Issuer finds, considers, and declares that the reimbursement of the Issuer
for the payment of such expenditures will be appropriate and consistent with the lawful objectives
of the Issuer and, as such, chooses to declare its intention to reimburse itself for such payments at
such time as it issues the obligations to finance the Projects; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The Issuer reasonably expects to incur debt, as one or more series of tax-
exempt obligations, tax -credit obligations and/or obligations for which a prior expression of intent
to finance or refinance is required by Federal or state law (collectively and individually, the "Tax -
Preferred Obligations"), with an aggregate maximum principal amount equal to $200,892,488 for
the purpose of paying the costs of the Projects as described in Exhibit "A" attached hereto and
incorporated by reference herein for all purposes.
SECTION 2. All costs to be reimbursed pursuant hereto will be capital expenditures. No
Tax -Preferred Obligations will be issued by the Issuer in furtherance of this ordinance after a date
which is later than 18 months after the later of (i) the date the expenditures are paid or (ii) the date
on which the property, with respect to which such expenditures were made, is placed in service.
SECTION 3. The foregoing notwithstanding, no Tax -Preferred Obligation will be issued
pursuant to this ordinance more than three years after the date any expenditure which is to be
reimbursed is paid.
SECTION 4. The foregoing Sections 2 and 3 notwithstanding, all costs to be reimbursed
with qualified tax credit obligations shall not be paid prior to the date hereof and no tax credit
obligations shall be issued after 18 months of the date the original expenditure is made.
SECTION 5. This Ordinance shall become effective immediately upon its passage and
approval.
The motion to approve this ordinance was made by -:5'e5 &Z �V + S and
seconded by V t C IP— 'J� 4,C d . The ordinance was passed and approved
by the following vote [Z - 6 1:
Afire Nay Abstain Absent
Gerard Hudspeth, Mayor: %L
Vicki Byrd, District 1: �L
Brian Beck, District 2:
Jesse Davis, District 3: ./
Alison Maguire, District 4:
Deb Armintor, At Large Place 5: ✓/
Paul Meltzer, At Large Place 6:
PASSED AND APPROVED this the 12th day of October, 2021.
ATTEST:
ROSA RIOS, CITY SECRETARY
APPROVED AS TO LEGAL FORM:
MACK REINWAND, CITY ATTORNEY
Digitally signed by Mack
Reinwand
(_ �ti -(4-J Date: 2021.10.04
BY: 17:22:51 -05'00'
GERARD HUDMVETH, MAYOR
Exhibit "A"
CAPITAL IMPROVEMENT PROJECT LISTING - DETAILED
SERIES 2022 - Reimbursement Ordinance
As of October 12, 2021
FY 21.22
DEBT FUNDED PROJECTS
Term
CI Budget
GENERAL OBLIGATION PROJECTS:
Street Reconstruction
20
$9,993,139
Bonnie Brae
20
7,500,000
Hickory Creek
20
17,149,000
Sidewalks
20
2,000,000
SUBTOTAL -Street Improvements (PROPOSITION 1} 2019 Bond Election
$36,642,139
Public Safety Facilities
20
17,900,000
SUBTOTAL- Facilities (PROPOSITION 2) 2019 Bond Election
$17,900,000
TOTAL GOs - GENERAL GOVERNMENT
$54,542,139
CERTIFICATES OF OBLIGATION PROJECTS:
Fleet Building Expansion
20
$4,300,000
Internal Service
$4,300,000
Vehicle Replacements
5
$4,253,500
Fire Station 9
10
$750,000
Facilities Maintenance Program
10
$1,802,993
Generator Evaluation and Generators
10
$447,020
Security Door Mechanics and Security System
10
$654,800
General Government
$7,908,313
TOTAL COs - GENERAL GOVERNMENT
$12,208,313
Water Impry and Maint to augment 2019 Prop 1 Street Projects
20
$
4,095,338
TXDOT 135N Relocations
20
$
4,000,000
LCR Compliance -Unknown Impacts
20
$
1,000,000
Bonnie Brae Phase 3
20
$
800,000
Morse Street Reconstruction
20
$
655,877
North South Water Main Phase 2
20
$
470,033
FM 1515 TXDOT 16" Waterline Relocation
20
$
225,000
Westgate Road and Drainage
20
$
210,000
Oversize Waterlines
20
$
200,000
Northwest Transmission Lines & BPS
20
$
14,900,000
Regulatory Performance Upgrades
20
$
11,000,000
LLWTP Raw Water Transmission Line
20
$
500,000
LLWTP Sludge Valves
20
$
200,000
Aid in Construction and Impact Fees
$
{3,765,788(
Water:
$
34,491,460
CAPITAL IMPROVEMENT PROJECT LISTING - DETAILED
SERIES 2022 - Reimbursement Ordinance
As of October 12, 2021
FY 21-22
DEBT FUNDED PROJECTS
Term
CIP Budget
Milam Creek Basin Wastewater Line and Lift Station
20
$
4,000,000
HICKORY CREEK INTERCEPTOR HI
20
$
4,000,000
Annual Field Service Replacements
20
$
2,684,077
Wastewater Imprv/Maint to augment 2019 Prop 1 Street Projects
20
$
2,173,911
Bonnie Brae Phase 3
20
$
1.,500,000
Robson Ranch Wastewater Interceptor
20
$
1,000,000
Hickory Creek Dry Fork Interceptor
20
$
900,000
Windsor5ewer
20
$
750,000
Windsor Interceptor
20
$
739,600
Hickory Creek Interceptor IV
20
$
510,000
Davis Sewer
20
$
441,441
Barrow Sewer -Westgate Crossing
20
$
366,000
WW SERVICE LINES
20
$
307,661
ASSET MANAGEMENT PROGRAM
20
$
265,225
Oversize WasteWater Lines
20
$
200,OOD
WW Creek Crossings
20
$
100,000
Dry Fork Sanitary Sewer
20
$
95,000
Hickory Creek Interceptor 1 & 2
20
$
87,737
Westgate Road and Drainage
20
$
19,000
Solids Handling improvements
20
$
14,000,000
Hunter Cole- Hi ckory Creek WWTP Land Acquisition
20
$
5,$00,000
PCWRP Headworks Reconfiguration
20
$
1,500,000
Lift Station Replacement
20
$
1,000,000
Hickory Creek ForcemainCondition Assessment
20
$
750,000
Cooper Creek Bar Screen
20
$
500,000
Hickory Creek Lift Station Design
20
$
250,000
State School Interceptor @ PCWRP
20
$
250,000
Grissom Lift Station
20
$
200,000
Plant Improvements
20
$
80,000
Electrical Transformer Replacements
20
$
50,000
Concrete Improvement
20
$
25,000
Aid in Construction and Impact Fees
$
(332,000)
Wastewater:
$
44,212,652
Parking Lot Maintenance/Sealing
20
$
150,000.00
Scalehouse Updates
20
$
1,000,000.00
Truck Wash
20
$
400,000.00
Fleet Facility
20
$
500,000.00
Roof: 651 Mayhill
5
$
408,000.00
Roof: Solid Waste Admin
5
$
75,367.00
Solid waste:
$2,533,367
Automated Meter Reading
30
1,069,557
Distribution Substation Cost
30
3,550,000
Distribution Transformers
30
2,000,000
Total Feeders & Extensions
30
12,050,000
Miscellaneous - CIS Enterprise System
30
1,500,000
Total Residential & Commercial
30
4,000,000
Total Over to Under Conversions
30
1,000,000
Total Power Factor I mprovement
30
785,000
Street Lighting
30
2,000:000
Electric Relocations
30
4,800 000
Transmission Lines Cost
30
6,700,000
Transmission Substation Total
30
13,450,000
DME:
52,904,557
TOTALCOs
$146,350,349
GRAND TOTAL
$200,892,488