HomeMy WebLinkAboutOrd 2002-16 Auth Issue of Bonds.pdfORDINANCE NO. aC)Oa—I (D
AN ORDINANCE by the City Council of the City of Anna, Texas, relating to
bonds proposed to be issued and delivered by the Greater Texoma Utility
Authority, approving the issuance thereof, and the facilities to be
constructed, acquired, and improved by such Authority, and repealing
Ordinance No. 2002-05, adopted March 26, 2002.
WHEREAS, the Greater Texoma Utility Authority (the "Authority") and the City of Anna,
Texas (the "City"), have previously executed and delivered a Contract for Water Supply and
Sewer Service (the "Contract") whereby the Authority is to provide water and sewer services to
the City;
WHEREAS, under Section 4.15 of the Contract, it is provided that the City shall approve
the issuance by the Authority of any bonds that are to be payable from certain moneys that the
City has contracted to pay under the provisions of the Contract;
WHEREAS, on March 26, 2002, the City Council of the City adopted Ordinance No.
2002-05, which ordinance approved the issuance by the Authority of certain bonds that were
never issued, and now said Ordinance No. 2002-05 should be repealed and no longer be of any
force or effect;
WHEREAS, in connection with the proposed "Greater Texoma Utility Authority Contract
Revenue Bonds, Series 2002" (City of Anna Project) (the "Bonds"), the Texas Agricultural
Finance Authority (the "Finance Authority") has agreed, pursuant to an Application Requesting
Financial Assistance (the "Application'), to purchase the Bonds and, -therefore, it is neither
necessary nor advisable for the Authority to prepare a Notice of Sale because, insofar as the
City is concerned, the Application contains sufficient information to accomplish the purpose of a
Notice of Sale; and
WHEREAS, the net effective interest rate on the Bonds will not exceed fifteen percent
(15%) per annum, and it is now appropriate for this Council to approve the Application (in lieu of
approving a Notice of Sale with respect to the Bonds) as well as the issuance and delivery of
the Bonds and the facilities to be constructed, acquired, and improved with the proceeds of the
Bonds for the Project described in Exhibit A attached to the Resolution of the Authority (the
"Bond Resolution") authorizing the Bonds; now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS:
Section 1. The facilities to be constructed, acquired, and improved by the Authority
with the proceeds of the Bonds for the Project described in Exhibit A attached to the Bond
Resolution are hereby approved. The use of the proceeds of the Bonds, as described in Exhibit
A attached to the Bond Resolution, is hereby approved. The Bond Resolution is approved as to
form and content and the City acknowledges that the payment of principal of and interest on the
Bonds is payable, in whole or in part, from payments to be made by the City under and pursuant
to the Contract. The City agrees to provide the reports described in the Bond Resolution within
the times specified therein, in compliance with the Finance Authority's commitment. The City
agrees with the obligations and conditions set forth in the Finance Authority's Commitment to
purchase the Bonds. A copy of such commitment is attached hereto as Exhibit B.
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Section 2. It is the purpose and intent of the City Council of the City to approve the
Bond Resolution, and the facilities to be constructed, acquired, and improved in full accordance
with the provisions of the Contract mentioned in the preamble hereof. To the extent required by
the Finance Authority or the Office of the Attorney General of Texas, the Authority is authorized
by this City Council to make changes and revisions to the Bond Resolution from the form
approved by this ordinance in order to expedite the delivery of the Bonds. It is the intent of the
City to authorize the Authority to proceed with the construction, acquisition, and improvement of
the facilities at the earliest possible date, but nothing herein shall be construed as a limitation
upon the right and power of the City to approve a change in the facilities for which the Bonds
are to be issued (but not the purpose for which the Bonds are to be issued as set forth in the
Bond Resolution), the City specifically reserving the right to modify the facilities for which the
Bonds are being issued if the Authority and the City agree such modification should be made.
Section 3. The Contract is amended to include the definition of Project attached
hereto as Exhibit A. A copy of Exhibit A shall be attached to the Contract, as Exhibit C. In all
other respects the Contract is reapproved and shall be and remain in full force as the agreement
of the parties.
Section 4. Ordinance No. 2002-05, adopted by the City Council of the City March 26,
2002, and relating to certain bonds of the Authority which were never issued, is hereby repealed
and shall no longer be of any force or effect.
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PASSED AND APPROVED, this the 13`h day of August, 2002.
City of Anna, Texas
(Seal)
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EXHIBIT A
PROJECT DESCRIPTION
Proceeds of the bond issue will be used to finance construction of a new
wastewater treatment plant on the site of the existing plant, including a new
sewage lift station, extended aeration activated sludge treatment, chlorination
wedge wire sludge dewatering beds, and an emergency generator.
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EXHIBIT B
COMMITMENT OF TEXAS AGRICULTURAL FINANCE AUTHORITY
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GENERAL CERTIFICATE OF THE CITY
STATE OF TEXAS §
COUNTY OF COLLIN §
We, the undersigned Mayor and City Secretary of the City of Anna, Texas (the "City"),
DO HEREBY CERTIFY as follows:
follows:
Relative to City Officials. The duly qualified and acting officials of the City are as
Ron Ferguson Mayor
Marion A. Howard City Secretary
2. Relative to Signature Identification. Appearing below are the true and correct
signatures of the persons holding the offices of Mayor and City Secretary. By his signature
hereon, the Mayor certifies that the signature of the City Secretary appearing hereon is her
genuine signature and by her signature hereon, the City Secretary certifies that the signature of
the Mayor appearing hereon is his genuine signature.
3. Relative to the Contract. The Contract for Water Supply and Sewer Service (the
"Contract") between the Greater Texoma Utility Authority (the "Authority") and the City has been
duly authorized and is in compliance with any applicable statutory requirements. The Contract,
as submitted to the Attorney General of Texas, is still in full force and effect and, except as set
forth in Section 41 of the bond resolution adopted by the Authority on March 25, 2002, has not
been amended or rescinded. No litigation is pending or threatened concerning the title or
authority of the officers or concerning the Contract.
4. Relative to Sufficiency of Revenues. A true and correct copy of the pro -forma
operating statement of revenue and expense projections using the current rates showing the
City's ability to make contract payments sufficient to pay bond principal and interest payments is
attached hereto as Exhibit A-1, and a schedule reflecting recent historical gross and net
revenues of the City's utility system is attached hereto as Exhibit A-2.
5. Relative to No Litigation. No litigation is pending before any federal or state
court, or administrative body or, to the best of our knowledge and belief, threatened in any way
affecting the Contract, the existence of the City or the titles of its officials to their respective
positions, and that neither the Contract, the corporate existence or boundaries of the City, nor
the right to hold office of any member of the governing body of the City or any other elected or
appointed officer of the City is being contested or otherwise questioned.
6. Authority to Date. The City hereby authorizes the Office of the Attorney General
to date this Certificate the date of delivery of its approving opinion, and agrees to notify the
Office of the Attorney General of any changes with respect to this Certificate or any bond
documents to which it is a party that are made between the date of such opinion and the date of
closing.
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WITNESS OUR HANDS AND SEAL of the City this the [moi la—&ba .
lU
i y Secretary
City of Anna, Texas
(CITY SEAL)
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EXHIBIT A-1
PRO -FORMA OPERATING
STATEMENT
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EXHIBIT A-2
HISTORICAL REVENUES OF THE CITY'S UTILITY SYSTEM
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CERTIFICATE OF CITY SECRETARY
THE STATE OF TEXAS
COUNTY OF COLLIN
CITY OF ANNA
I, the undersigned, Mayor of the City of Anna, Texas, DO HEREBY CERTIFY as follows:
1. That on the 13th day of August, 2002, the City Council of the City of Anna,
Texas, convened in regular session at its regular meeting place of said City; the duly constituted
members of the Council being as follows:
RON FERGUSON
MARK MONTGOMERY
LYNN MOSIER
JOE FINLEY, JR.
JOHN GEREN
LYNN DHANE
MAYOR
MAYOR PRO TEM
COUNCIL MEMBERS
all of said persons were present at said meeting, except the following :�.QecoS0r _ Among
other business considered at said meeting, the attached ordinance entitled:
AN ORDINANCE by the City Council of the City of Anna, Texas, relating to
bonds proposed to be issued and delivered by the Greater Texoma Utility
Authority, approving the issuance thereof, and the facilities to be
constructed, acquired, and improved by such Authority, and repealing
Ordinance No. 2002-05, adopted March 26, 2002.
was introduced and submitted to the Council for passage and adoption. After presentation and
due consideration of the ordinance, and upon a motion made by L. Mos iek a n seconded by
the ordinance was duly passed and adopted by the Council to be effective
immediately by the following vote:
�j voted "For' Q voted "Against" 0 abstained
all as shown in the official Minutes of the Council for the meeting held on the aforesaid date.
2. That the attached ordinance is a true and correct copy of the original on file in the
official records of the City; the duly qualified and acting members of the City Council of the City
on the date of the aforesaid meeting are those persons shown above and, according to the
records of my office, advance notice of the time, place and purpose of the meeting was given to
each member of the Council; and that said meeting, including the subject of the entitled
ordinance, was posted and given in advance thereof in compliance with the provisions of
Chapter 551 of the Texas Government Code.
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IN WITNESS WHEREOF, I have hereunto signed my name officially and affixed the seal
of said City, this 13th day of August, 2002.
(CITY SEAL)
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