2006-143
S:\Our Documents\Ordinances\06\Reimbursement- Transit Facilities2.doc
ORDINANCE NO. 2006-/43
AN ORDINANCE OF THE CITY OF DENTON, TEXAS TO DECLARE THE INTENT TO
REIMBURSE EXPENDITURES FROM THE UNRESERVED FUND BALANCE OF THE
GENERAL FUND WITH CERTIFICATES OF OBLIGATION TO INITIATE THE
ACQUISITION OF LAND FOR TRANSIT FACILITIES LOCATED IN THE DOWNTOWN
AREA AND IN THE SOUTH PART OF THE CITY OF DENTON; 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 expenditures to initiate the acquisition of land for
the transit facilities which was approved in the 2005-2006 Budget and is described in Attachment
"A"; 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, in accordance with the
provisions of Section 1.150-2 Treasury Regulations, to reimburse itself for such payments at
such time as it issues the obligations to finance the Project; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings set forth in the preamble of this Ordinance are incorporated
by reference into the body of this Ordinance as iffully set forth herein.
SECTION 2. The Issuer reasonably expects to incur debt, as one or more series of
obligations, with an aggregate maximum principal amount equal to $1,400,000 for the purpose of
paying the costs of the Project, as set forth in the attached Attachment "A", which is made a part
of this Ordinance for all purposes as if incorporated word for word herein.
SECTION 3. All costs to be reimbursed pursuant hereto will be capital expenditures. No
tax-exempt 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 (1) the date the expenditures are paid or (2) the
date on which the property, with respect to which such expenditures were made, is placed in
service. The foregoing notwithstanding, no tax-exempt 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. This Ordinance shall become effective immediately upon its passage and
approval.
S:\Our Documcnts\Ordinances\06\Reimburscment- Transit Facilitics2.doc
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PASSED AND APPROVED this the /rP - day of
VlZcur
c~Aoz
,2006.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGA ORM:
EDWIN M. SNYDER, C1T ATTORNEY
BY:
Page 2 of3
., .
S:\Our Documents\Ordinances\06\Rcimbursemcnt- Transit Facilities2.doc
PROJECT: 2005 - 2006
ATTACHMENT A
Transit Facilities
Total:
Page 3 of3
I,400,000
$1.400.000