title
GAINESVILLE GUARANTEED ENTITLEMENT BOND RESOLUTON (B)
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF GAINESVILLE, FLORIDA, SUPPLEMENTING RESOLUTION NO. R-94-15, AND PROVIDING FOR THE CURRENT REFUNDING OF A PORTION OF THE CITY'S OUTSTANDING GUARANTEED ENTITLEMENT REFUNDING AND REVENUE BONDS, SERIES 1994; AUTHORIZING THE ISSUANCE OF THE CITY OF GAINESVILLE, FLORIDA GUARANTEED ENTITLEMENT REVENUE REFUNDING BONDS, SERIES 2004 IN THE AGGREGATE PRINCIPAL AMOUNT NOT EXCEEDING $11,500,000 AS ADDITIONAL BONDS ON A PARITY WITH THE GUARANTEED ENTITLEMENT REFUNDING AND REVENUE BONDS, SERIES 1994 NOT BEING REFUNDED; FINDING THAT THE REQUIREMENTS FOR THE ISSUANCE OF ADDITIONAL BONDS SHALL HAVE BEEN SATISFIED PRIOR TO THE ISSUANCE OF SAID BONDS; PROVIDING THE FORM OF SAID BONDS; PROVIDING FOR THE APPLICATION OF THE COVENANTS IN RESOLUTION NO. R-94-15 TO SAID BONDS; DELEGATING TO THE CITY MANAGER, THE ADMINISTRATIVE SERVICES DIRECTOR OR THE FINANCE DIRECTOR THE AUTHORITY TO AWARD THE SALE OF SAID BONDS TO MORGAN KEEGAN & COMPANY, INC. ON A NEGOTIATED BASIS; APPROVING THE FORM AND AUTHORIZING THE EXECUTION OF A FORWARD DELIVERY PURCHASE CONTRACT; APPROVING THE FORM OF A PRELIMINARY OFFICIAL STATEMENT AND DELEGATING TO THE CITY MANAGER, THE ADMINISTRATIVE SERVICES DIRECTOR OR THE FINANCE DIRECTOR TO DEEM IT FINAL FOR PURPOSES OF SECURITIES EXCHANGE COMMISSION RULE 15c2-12; AUTHORIZING THE EXECUTION OF AN OFFICIAL STATEMENT PERTAINING TO SAID BONDS; APPROVING THE FORM AND AUTHORIZING THE EXECUTION OF AN ESCROW DEPOSIT AGREEMENT AND DESIGNATING AN ESCROW AGENT THEREUNDER; APPROVING THE FORM AND AUTHORIZING THE EXECUTION OF A CONTINUING DISCLOSURE CERTIFICATE; AUTHORIZING THE ACCEPTANCE OF A COMMITMENT FOR BOND INSURANCE FROM AMBAC ASSURANCE CORPORATION; DESIGNATING THE BOND REGISTRAR AND PAYING AGENT FOR SAID BONDS; AUTHORIZING CERTAIN OFFICIALS OF THE CITY TO EXECUTE ANY DOCUMENTS OR TO TAKE ANY ACTIONS REQUIRED IN CONNECTION WITH THE ISSUANCE OF SAID BONDS AND THE REFUNDING OF BONDS TO BE REFUNDED WITH THE PROCEEDS THEREOF; AND PROVIDING AN EFFECTIVE DATE.
explanation
This Resolution authorizes the issuance of Bonds in an aggregate principal amount not in excess of $11,500,000, payable from the City's Guaranteed Entitlement revenues, to refund the outstanding Guaranteed Entitlement Refunding and Revenue Bonds, Series 1994 maturing in the years 2005, 2006, 2010 and 2017 in order to obtain net debt service savings. The Bonds shall be payable on a parity with the 1994 Bonds not being refunded and will be payable from the Guaranteed Entitlement revenues of the City and shall not be a general indebtedness or pledge of the full faith and credit of the City. The Resolution delegates to the City Manager, the Administrative Services Director or the Finance Director the ability to award the sale of the Bonds to Morgan Keegan & Company, Inc. in compliance with certain parameters described in the Resolution and to execute a Forward Delivery Purchase Contract, an Official Statement, an Escrow Deposit Agreement, a Continuing Disclosure Certificate and a commitment letter related to obtaining a policy of municipal bond insurance from Ambac Assurance Corporation.
The Resolution contains covenants for the benefit of the bondholders and for the benefit of Ambac, as the insurer of the Bonds. The Resolution appoints U.S. Bank, National Association as registrar, paying agent and escrow agent.
recommendation
The City Commission adopt the proposed resolution.