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HomeMy WebLinkAbout92-03 TCSD Resolution RESOLUTION NO. CSD 92-03 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CITY OF TEMECULA COMMUNITY SERVICES DISTRICT DECLARING CERTAIN FINDINGS REGARDING CITY EXPENDITURES IN CONNECTION WITH COMMUNITY RECREATION CENTER 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, on January 14, 1992, by its minute action authorizing execution of an agreement with RJM Design Group, the Temecula Community Services District ("TCSD") declared its intention to reimburse certain expenditures it would make for Community Recreation Center, the ("Project") with the proceeds of tax-exempt obligations, the Temecula Community Services District intends to issue after June 30, 1992 the ("Obligations"). City has to date made expenditures approximating $500,000. and intends to make further expenditures relating to the Project in anticipation of issuance of the Obligations collectively referred to as the ("Expenditure"); 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 Obligations; CSD RESO 92-03 1 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 reasonable 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 $5,000,000. Section S. The proceeds from the Obligations are to be used for the Project, including, but not limited to, construction of a Community Recreation Center including but not limited to a swimming pool, amphitheater, gymnasium and parking. 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. Ronald J. Parks, President TCSD ATTEST: Ju@@eek, City Clerk CSD RESO 92-03 2 STATE OF CALIFORNIA) COUNTY OF RIVERSIDE) ss CITY OF TEMECULA ) 1, June S. Greek, City Clerk of the City of Temecula, HEREBY DO CERTIFY that the foregoing Resolution No. CSD 92-03 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 D@TORS: Bird@ Moore, Lindemans, Parks NOES: 0 DIRECTORS: None ABSENT: 1 DIRECTORS: Muiioz June S. Greek, ' Clerk, Board Secretary CSD RESO 92-03 3