title
TAXABLE PENSION OBLIGATION REVENUE BONDS, SERIES 2003A (B)
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF GAINESVILLE, FLORIDA, AMENDING RESOLUTION NO. 020918 OF THE CITY RELATED TO THE CITY'S TAXABLE PENSION OBLIGATION REVENUE BONDS, SERIES 2003A (EMPLOYEES' PLAN) AND TAXABLE PENSION OBLIGATION REVENUE BONDS, SERIES 2003B (CONSOLIDATED PLAN); APPROVING THE FORM AND AUTHORIZING THE EXECUTION AND DELIVERY OF A MASTER AGREEMENT, SCHEDULE, CREDIT SUPPORT ANNEX AND CONFIRMATION WITH CITIBANK, N.A., NEW YORK PERTAINING TO AN INTEREST RATE SWAP TRANSACTION RELATING TO SUCH BONDS; PROVIDING AN ADDITIONAL COVENANT TO BUDGET AND APPROPRIATE FROM LEGALLY AVAILABLE NON-AD VALOREM REVENUE TO SUPPORT CERTAIN TERMINATION PAYMENTS UNDER THE MASTER AGREEMENT; DELEGATING TO THE CITY MANAGER, THE ADMINISTRATIVE SERVICES DIRECTOR OR THE FINANCE DIRECTOR OF THE CITY THE AUTHORITY TO EXECUTE AND DELIVER SUCH DOCUMENTS ON BEHALF OF THE CITY UNDER CERTAIN DELEGATION PARAMETERS; PROVIDING CERTAIN OTHER DETAILS IN CONNECTION WITH SUCH TRANSACTION; PROVIDING AN EFFECTIVE DATE.
recommendation
The City Commission adopt the resolution authorizing the execution and delivery of a master agreement, schedule, credit support annex, and confirmation with Citibank, N.A., New York, and delegating to the City Manager, Administrative Services Director or Finance Director the authority to execute and deliver such documents.
explanation
At its February 23, 2004 meeting the City Commission heard a presentation on a proposed Taxable Pension Obligation Bond interest rate swap. The Commission took action to authorize the City Manager or his designee, with the advice of the City's financial advisor, to negotiate and when market conditions justify, execute such an interest rate swap agreement.
Market conditions are currently favorable for execution of the swap transaction. As indicated during the February 23 presentation, one of the final steps necessary preceding execution ...
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