Ordinance 1994-1145 - Laserfiche WebLink

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WHEREAS, none of the Series 1989 Bonds have heretofore been refunded, nor have any of the same been redeemed or otherwise paid, cancelled, or retired by the City; and WHEREAS, the Series 1989 Bonds are revenue obligations of the City, payable solely from the net revenue to be derived from the operation of the System; and WHEREAS, after extended discussions with City staff members and consultants, it has been determined by the City Council of the City (the "Council") that by entering into and completing a refunding program at this time, the City can reduce the principal and interest payable on the Series 1989 Bonds in particular years; and WHEREAS, pursuant to Title 11, Article 56, Part 1, C.R.S., the City is authorized to issue bonds for the purpose of refunding valid outstanding revenue obligations of the City; and WHEREAS, the Council has determined and hereby determines that it is in the best interests of the City, and the inhabitants thereof, that the Series 1989 Bonds be refunded (the "Refunding Project"), and that refunding bonds in the principal amount of $2,345,000 (the "Bonds") be issued for such purpose; and WHEREAS, Section 11-56-105, C.R.S authorizes the City to issue sewer refunding revenue bonds, without an election, to accomplish the Refunding Project; and WHEREAS, in addition, the City is authorized to issue the Bonds without an election pursuant to Article X, Section 20 of the Colorado Constitution because (as verified by Kirkpatrick, Penis, Smith & Polian, Inc. (the "Underwriter")) the Bonds have a lower net effective interest rate than the remaining Series 1989 Bonds; and WHEREAS, pursuant to Section 11-56-107(1), C.R.S., the Council hereby determines that the principal amount of the Bonds may exceed the principal amount of the Series 1989 Bonds since the sum of the aggregate principal and net interest cost of the Bonds for the period ending on the scheduled final maturity date of the Series 1989 Bonds does not exceed the aggregate principal and net interest cost of the Series 1989 Bonds for the same time period; and WHEREAS, the Underwriter, simultaneously with the submission of the proposal, disclosed in writing the information required by Section 11-56-104.5, C.R.S., such information to be updated by the Underwriter to the date of closing at the time of closing. -3-