HomeMy WebLinkAbout92-38 CC ResolutionRESOLUTION NO. 92-38
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TEMECULA DECLARING CERTAIN FINDINGS REGARDING
CITY EXPEND~ IN CONNECTION WITH THE TEMECULA
REDEVELOPMENT AGENCY AS REQUIRED BY UNITED STATES
DEPARTMENT OF THE TREASURY REGULATIONS (SECTION
1.103-18)
WHEREAS, on January 27, 1992, the United States Department of the Treasury (the
"Treasury") issued final regulations (Section 1.103-18) relating to the use of bond proceeds for
the reimbursement of expenditures made prior to the date of issuance of bonds (the
"Reimbursement Regulations"); and
WHEREAS, under the Reimbursement Regulations, in general, if specified requirements
are satisfied, the proceeds used for reimbursement are deemed to be spent on the date of
reimbursement; and
WHEREAS, if such requirements are not satisfied, then proceeds used for reimbursement
will remain subject to the rebate, arbitrage and other rules relating to tax-exemption until
ultimately spent; and
WHEREAS, the Reimbursement Regulations apply to tax-exempt obligations issued after
March 2, 1992, except that the Reimbursement Regulations do not apply to expenditures before
such date if such expenditures were made after September 8, 1989, and if there was objective
evidence at the time of the expenditures that the issuer reasonably expected to reimburse the
expenditure with bond proceeds; and
WHEREAS, the City of Temecula ("City") authorized the purchase of the "L-shaped"
property adjacent to Sam Hicks Monument Park east of Moreno Road, north of Mercedes Street,
Parcel 2 of Parcel Map 24038, Temecula, California with the proceeds of tax-exempt Temccula
Redevelopment Agency (RDA) obligations; and
WHEREAS, in order to comply with the Reimbursement Regulations, the public interest
and convenience require that City officially declare its intent that City reasonably expects to
reimburse the Expenditure with proceeds of the RDA Obligations;
!11n~92-38 I
NOW THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND
DECLARED by the City Council of the City of Temecula as follows:
Section 1. The foregoing recitals are true and correct.
Section 2. City reasonably expects to reimburse the Expenditure with proceeds from
the Obligations. The reimbursement of the Expenditure is consistent with the City's established
budgetary and financial circumstances. There are no funds or sources of money of the City, or
any related person or commonly controlled entity, that have been, or reasonably expected to be,
reserved, allocated on a long-term basis or otherwise set aside to pay costs of the Project to be
paid or reimbursed out of proceeds of the Certificates.
Section 3. This Resolution is a declaration of City's official intent under the
Reimbursement Regulations.
Section 4. The maximum principal amount of the Obligations for which the
Expenditure is made is reasonably expected to be $15,000,000.00
Section 5. The proceeds from the Obligations are to be used for the Project.
Section 6. The City Clerk shall make this Resolution reasonably available for public
inspection within thirty (30) days of the date this Resolution is adopted.
Section 7. The City Clerk shall certify the adoption of this Resolution and thenceforth
and thereafter same shall be in full force and effect.
PASSED, APPROVED AND ADOPTED this 26th day of May, 1992.
Patricia H. Birdsall, Mayor
ATTEST:
Clerk
[SEAL]
111~0~92-~$ 2
STATE OF CALIFORNIA)
COUNTY OF RIVERSIDE)
CITY OF TEMECULA )
SS
I, June S. Greek, City Clerk of the City of Temecula, HEREBY DO CERTIFY that the
foregoing Resolution No. 92-38 was duly adopted at a regular meeting of the City Council of the
City of Temecula on the 26th day of May 1992 by the following roll call vote.
AYES: 4 COUNCILMEMBERS: Lindemans, Moore, Parks,
Birsall
NOES:
0 COUNCILMEMBERS: None
ABSENT: 1
COUNCILMEMBERS: Mufioz
S. Greek, Ci
11s~o*~92-~8 3