23-195ORDINANCE NO. 23-195
AN ORDINANCE DIRECTING THE PUBLICATION OF NOTICE OF INTENTION TO ISSUE$52,000,000 1N PRINCIPAL AMOUNT OF CERTIFICATES OF OBLIGATION OF THE CITY OFDENTON FOR GENERAL GOVERNMENT AND SOLID WASTE PROJECTS; AND PROVIDING ANEFFECTIVE DATE
WHEREAS, it is deemed necessary and advisable that the Notice of Intention to Issue Certificatesof Obligation be given as hereinafter provided; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That attached hereto is a form of "NOTICE OF INTENTION TO ISSUE
CERTIFICATES OF OBLIGATION OF THE CITY OF DENTON", the form and substance of which are
hereby adopted and approved, and made a part of this Ordinance for all purposes.
SECTION 2. That the Deputy City Secretary shall cause said NOTICE, in substantially the form
attached hereto, to be published once a week for two consecutive weeks in a newspaper of general
circulation in the City, with the date of the first publication to be at least forty-six (46) days before the date
tentatively set for the passage of the Ordinance authorizing the issuance of such Certificates of Obligation.And further that the Deputy City Secretary shall cause said NOTICE, in substantially the form attached
hereto, to be posted continuously on the City’s Internet website for at least 45 days before the date
tentatively set for the passage of the Ordinance authorizing the issuance of the Certificates of Obligation
SECTION 3. That for purposes of Texas Local Government Code, Subchapter C of Chapter 271,
as amended, the City has currently designated $576,865,286 in principal amount of the following
$901,615,000 of outstanding debt obligations as self-supporting debt, provided that such designated amount
may be changed from time to time:
•
•
•
•
•
•
•
•
•
•
•
•
Certificates of Obligation, Series 2012
General Obligation Refunding and Improvement Bonds, Series 20 12
Certificates of Obligation, Series 2013
General Obligation Refunding and Improvement Bonds, Series 2013
Certificates of Obligation, Series 2014
General Obligation Refunding and Improvement Bonds, Series 2014
General Obligation Refunding Bonds, Series 2014
Certificates of Obligation, Series 2015
General Obligation Refunding and Improvement Bonds, Series 2015
General Obligation Refunding Bonds, Series 2015
Certificates of Obligation, Series 2016
General Obligation Refunding and Improvement Bonds, Series 2016
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
General Obligation Refunding Bonds, Series 2016
Certificates of Obligation, Series 2017
General Obligation Refunding and Improvement Bonds,
Certificates of Obligation, Series 2018
General Obligation Bonds, Series 2018
Certificates of Obligation, Series 2018A
Certificates of Obligation, Series 2019
General Obligation Refunding and Improvement Bonds,
Certificates of Obligation, Series 2020
General Obligation Refunding and Improvement Bonds,
General Obligation Refunding Bonds, Series 2020A
Certificates of Obligation, Series 202 1
General Obligation Bonds, Series 2021
Certificates of Obligation, Series 2022
General Obligation Refunding and Improvement Bonds,
Extendable Commercial Paper Notes, Series A
Series 2017
Series 2019
Series 2020
Series 2022
SECTION 4. That this Ordinance is intended to satisfy the official intent requirements set forth in
section 1.150-2 of the rules and regulations of the United States Department of the Treasury.
SECTION 5. That this Ordinance shall become effective immediately upon its passage and
approval
The motion to approve this ordinance was made by Brian Beck and seconded by Vicki Byrd. The
ordinance was passed and approved by the following vote [6 – 0] :
Mayor Gerard Hudspeth:Vicki Byrd, District 1 :
Brian Beck, District 2:Jesse Davis. District 3 :
[VACANT], District 4:
Brandon Chase McGee, At Large Place 5 :
Chris Watts, At Large Place 6:
AyeXX
XX
X
X
Nay Abstain Absent
PASSED AND APPROVED this the 4th day of April, 2023 .
„kfeMT*=
ATTEST:
JESUS SALAZAR, DEPUTY CITY SECRETARY ,\1111111/1
APPROMACK LEGAL FORMCITY ATTORNEY
THE STATE OF TEXAS
COUNTY OF DENTON
CITY OF DENTON
NOTICE OF INTENTION
TO ISSUE CERTIFICATES OF OBLIGATIONOF THE CITY OF DENTON
(GENERAL GOVERNMENT AND SOLID WASTE PROJECTS)
THE CITY OF DENTON, in Denton County, Texas, hereby gives notice of its intention to issue
CITY OF DENTON CERTIFICATES OF OBLIGATION, in accordance with the Certificate of Obligation
Act of 1971, as amended and codified, and other applicable laws, in the maximum principal amount of
$52,000,000 for the purpose of paying all or a portion of the City’s contractual obligations incurred pursuant
to contracts for the purchase, construction and acquisition of certain real and personal property, to wit:
(a) acquiring, constructing, installing and equipping fire stations; (b) acquisition of vehicles and equipment
for the fire, police, building inspections, community improvement services, animal services, streets and
traffic control, facilities management, airport, technology services, fleet management, warehousemanagement, and parks and recreation departments; (c) renovations to, and equipping of, existing
municipal buildings, including the acquisition and installation of replacement heating, venting and air
conditioning equipment, roofing and flooring; (d) acquiring, constructing, installing and equipping police
stations; (e) acquiring, constructing and installing building security systems, including security system
technology equipment and software, for municipal buildings; (f) constructing, reconstructing, renovating,installing and equipping municipal parks; (g) renovations to, expansion of, and equipping existing
municipal vehicle maintenance facility; (h) acquisition and installation of technology equipment, including
radio equipment, computer equipment and software, for various municipal departments; (i) constructing
and improving streets, including traffic signalization, landscaping, drainage, utility line relocations and the
acquisition of land and rights-of-way therefor; a) constructing, reconstructing and renovating runways andtaxiways at the municipal airport; and (k) acquisition of vehicles and equipment for, and acquiring,
constructing, installing and equipping additions, extensions, renovations and improvements to, the City’s
solid waste disposal system; and also for the purpose of paying all or a portion of the City’s contractual
obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and
financial advisors, in connection with said projects and said Certificates of Obligation. The City proposes
to provide for the payment of such Certificates of Obligation from the levy and collection of ad valorem
taxes in the City as provided by law, and from certain surplus revenues (not to exceed $1,000 in aggregate
amount) derived by the City from the ownership and operation of the City's Utility System (consisting of
the City's combined waterworks system, wastewater system and electric light and power system). The City
Council of the City tentatively proposes to authorize the issuance of such Certificates of Obligation, in one
or more series, at a meeting commencing at 6:30 p.m. on June 6, 2023, in the City Council room at the
Municipal Building (City Hal1), 215 E. McKinney, Denton, Texas. In the event the City Council will be
unable to meet at the Municipal Building (City Hall) on June 6, 2023, the City will post on its website,
www.cityofdenton.com, information for persons to attend the meeting by telephone, teleconference orother electronic means.
The maximum interest rate for such Certificates of Obligation will not exceed the maximum legal
interest rate, the maximum maturity date for such Certificates of Obligation is February 15, 2053, and the
estimated combined principal and interest required to pay such Certificates of Obligation to be authorized
on time and in full is $70,825,376.
The City has separately provided notice of its intention to also issue additional Certificates of
Obligation in the maximum principal amount of $167,000,000 for water system, wastewater system and
electric system projects (the “Utility System Certificates of Obligation”). The maximum interest rate for
the Utility System Certificates of Obligation will not exceed the maximum legal interest rate, the maximum
maturity date for the Utility System Certificates of Obligation is February 15, 2053, and the estimatedcombined principal and interest required to pay the Utility System Certificates of Obligation to be
authorized on time and in full is $276,596,233 .
The City currently has outstanding debt obligations secured by and payable from ad valorem taxes
(not including $576,865,286 principal amount of outstanding debt obligations the City has designated as
seiGsupporting debt) equal to $324,749,714 in principal amount and $424,962,796 in combined principal
and interest required to pay such outstanding debt obligations on time and in full. The City reasonably
expects to pay self-supporting debt obligations from revenue sources other than ad valorem taxes, provided,
however, that in the event such seIGsupporting revenue sources are insufficient to pay debt service, the Cityis obligated to levy ad valorem taxes to pay such debt obligations. Ordinance No. 23-195 designating
certain outstanding debt obligations of the City as self-supporting for purposes of Texas Local Government
Code, Subchapter C of Chapter 271 (“Chapter 271”) is available upon request to the City at the addressnoted above
CITY OF DENTON, TEXAS
By: Jesus Salazar, Deputy City Secretary