24-568ORDINANCE NO. 24-568
AN ORDINANCE DIRECTING THE PUBLICATION OF NOTICE OF INTENTION TO ISSUE
$84,770,000 1N PRINCIPAL AMOUNT OF CERTIFICATES OF OBLIGATION OF THE CITY OF
DENTON FOR GENERAL GOVERNMENT AND SOLID WASTE PROJECTS; AND PROVIDING AN
EFFECTIVE DATE.
WHEREAS, it is deemed necessary and advisable that the Notice of Intention to Issue Certificates
of 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 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 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 $663,075,000 in principal amount of the
following $1,014,935,000 of outstanding debt obligations as self-supporting debt, provided that such
designated amount may be changed from time to time:
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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 20 15
General Obligation Refunding Bonds, Series 2015
Certificates of Obligation, Series 2016
General Obligation Refunding and Improvement Bonds, Series 20 16
General Obligation Refunding Bonds, Series 2016
Certificates of Obligation, Series 2017
General Obligation Refunding and Improvement Bonds, Series 2017
Certificates of Obligation, Series 2018
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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 2021
General Obligation Bonds, Series 2021
Certificates of Obligation, Series 2022
General Obligation Refunding and Improvement Bonds,
Certificates of Obligation, Series 2023
General Obligation Refunding and Improvement Bonds,
Extendable Commercial Paper Notes, Series A
Series 2019
Series 2020
Series 2022
Series 2023
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 ( baM S and seconded by
G . B40k . The ordinance was passed and approved by the following vote LZ– L]
Aye
Mayor Gerard Hudspeth: /
Vicki Byrd, District 1 : /
Brian Beck, District 2: /
Paul Mehzer, District 3 : /
Joe Holland, District 4: /
Brandon Chase McGee, At Large Place 5: L/ ,
Chris Watts, At Large Place 6: /
Nay Abstain Absent
PASSED AND APPROVED this the 2nd day of April, 2024.
ATTEST:
JESUS SALAZAR, CITY SECRETARY
APPROVED AS TO LEGAL FORM:
MACK RE[NWAND, CITY ATTORNEY
Susan Kellerg{gig#;giT;.BY: "-”"" ""“” WW
THE STATE OF TEXAS
COUNTY OF DENTON
CITY OF DENTON
NOTICE OF INTENTION
TO ISSUE CERTIFICATES OF OBLIGATION
OF 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 $84,770,000 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) renovating, constructing, expanding, improving and equipping existing municipal service center
building; (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, warehouse management, 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,
expanding, constructing, renovating, improving and equipping parking facilities; (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 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, sidewalks, utility line relocations and the acquisition of land and
rights-of-way therefor; a) acquisition of equipment for, and acquiring, constructing, installing and
equipping additions, extensions, renovations and improvements to, the City's drainage and storm sewer
systems; and (k) acquisition of vehicles and equipment for, and acquiring, constructing, installing and
equipping additions, extensions, renovations and improvements to, the City’s so}id 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 4, 2024, 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 4, 2024, the City will post on its website, www.cityofdenton.com,
information for persons to attend the meeting by telephone, teleconference or other 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, 2054, and the
estimated combined principal and interest required to pay such Certificates of Obligation to be authorized
on time and in full is $113,920,043.
The City has separately provided notice of its intention to also issue additional Certificates of
Obligation in the maximum principal amount of $177,560,000 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, 2054, and the estimated
combined principal and interest required to pay the Utility System Certificates of Obligation to be
authorized on time and in full is $277,753,063 .
The City currently has outstanding debt obligations secured by and payable from ad valorem taxes
(not including $663,075,000 principal amount of outstanding debt obligations the City has designated as
self-supporting debt) equal to $351,860,000 in principal amount and $464,843,469 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 self-supporting revenue sources are insufficient to pay debt service, the City
is obligated to levy ad valorem taxes to pay such debt obligations. Ordinance No. 24- designating
certain outstanding debt obligations of the City as self-supporting for purposes of Texas Local Government
Code, Subchapter C of Chapter 271 is available upon request to the City at the address noted above.
CITY OF DENTON, TEXAS
By: Jesus Salazar, City Secretary