HomeMy WebLinkAbout09-29JANUARY 27, 2009 09 -29 RESOLUTION
(CARRIED 7 -0 LOST LAID OVER WITHDRAWN )
PURPOSE: APPROVE RESOLUTION DIRECTING THE
ADVERTISEMENT AND SALE OF APPROXIMATELY
$16,740,000 AGGREGATE PRINCIPAL AMOUNT OF
GENERAL OBLIGATION CORPORATE PURPOSE
BONDS, SERIES 2009 -A, AND APPROXIMATELY
$2,975,000 AGGREGATE PRINCIPAL AMOUNT OF
GENERAL OBLIGATION PROMISSORY NOTES, SERIES
2009 -B, OF THE CITY OF OSHKOSH, WINNEBAGO
COUNTY, WISCONSIN
INITIATED BY: DEPARTMENT OF FINANCE
WHEREAS, cities are authorized by Chapter 67 of the Wisconsin Statutes,
as supplemented and amended, to borrow money and to issue bonds to finance
any project undertaken for a public purpose and to refund municipal obligations,
including interest thereon; and
WHEREAS, it is necessary that funds be raised by the City of Oshkosh,
Winnebago County, Wisconsin (the "City') in an approximate aggregate principal
amount of $16,740,000 for the purpose of acquiring, constructing and improving
streets, sanitary sewers, storm sewers, water mains and water system
improvements, buildings for the housing of machinery and equipment, parking
lots and facilities, parks and projects in tax increment financing districts; and
WHEREAS, it is considered necessary and desirable by the City Council of
the City that the City borrow money and issue its General Obligation Corporate
Purpose Bonds, Series 2009 -A in an approximate aggregate principal amount of
$16,740,000 (the "Bonds') for the purpose of acquiring, constructing and
improving streets, sanitary sewers, storm sewers, water mains and water system
improvements, buildings for the housing of machinery and equipment, parking
lots and facilities, parks and projects in tax increment financing districts, for which
initial resolutions have been adopted; and
WHEREAS, cities are authorized by the provisions of Section 67.12(12) of
the Wisconsin Statutes, as supplemented and amended, to borrow money and
issue promissory notes to finance any project undertaken for a public purpose
and to refund municipal obligations, including interest thereon; and
WHEREAS, it is necessary that funds be raised by the City in an
approximate aggregate principal amount of $2,975,000 for the purpose of
acquiring, constructing and improving sidewalks, traffic signals, public equipment,
public lands and improvements to public lands and public buildings in the City;
and
WHEREAS, it is considered necessary and desirable by the City Council of
the City that the City borrow money and issue its General Obligation Promissory
Notes, Series 2009 -B in an approximate aggregate principal amount of
$2,975,000 (the "Notes') for the purpose of acquiring, constructing and improving
sidewalks, traffic signals, public equipment, public lands and improvements to
public lands and public buildings in the City; and
WHEREAS, it is considered desirable to offer all of the Bonds and the Notes
at one time in order to obtain the best possible terms for the City;
Now, THEREFORE, Be It Resolved by the City Council of the City of
Oshkosh, Winnebago County, Wisconsin, as follows:
Section 1. For the purpose of offering the Bonds and the Notes for sale,
the Finance Director of the City is hereby authorized to cause an appropriate
notice of the sale thereof to be published in a newspaper to be selected by the
Finance Director of the City. The Finance Director of the City shall also cause to
be prepared and distributed an Official Statement, including Official Terms of
Offering, with respect to the Bonds and the Notes.
Section 2. After bids shall have been received for the Bonds and the
Notes, this City Council will adopt additional proceedings to award the same to
the best bidder or bidders, prescribe the terms thereof and the forms of Bond and
Note, and will levy taxes in the specific amount necessary to pay the principal of
and interest on the Bonds and the Notes.
Upon motion of Council Member seconded by Council
Member the following members voted:
AYE:
NAY:
ABSENT OR NOT VOTING:
Adopted January 27, 2009.
Approved January 27, 2009.
Recorded January 27, 2009.
/s/ Frank Tower
Mayor
Attest:
/s/ Pamela R. Ubri
City Clerk
City of Oshkosh
Finance Department
215 Church Ave., PO Box 1130
Oshkosh, WI 54903 -1130
01HKQf H (920) 236 -5080 (920) 236 -5039 FAX
ON THE WATER
MEMORANDUM
TO: Honorable Mayor and Members of the Common Council
FROM: Peggy Steeno, Finance Director
DATE: January 22, 2009
RE: Approve Initial Resolutions Authorizing Not Exceeding $16,740,000 General Obligation
Bonds of the City of Oshkosh
Approve Resolution Directing the Advertisement and Sales of Approximately
$16,740,000 Aggregate Principal Amount of General Obligation Corporate Purpose
Bonds, Series 2009 -A, and Approximately $2,975,000 Aggregate Principal Amount of
General Obligation Promissory Notes, Series 2009 -13, of the City of Oshkosh, Winnebago
County, Wisconsin
BACKGROUND
In order to borrow money through a bonding process, the City is required to issue an initial resolution
stating its intent, along with another resolution that authorizes staff to proceed with the preparation and
documentation needed to sell the bonds and receive the proceeds. The sale of the bonds and notes will
occur at least 30 days after the initial resolution is authorized.
ANALYSIS
The currently proposed borrowing of $19, 715,000, includes a multitude of projects totaling
$18,695,000, which were included in the 2009 Capital Improvement Plan as approved by the Council on
November 25, 2008, and additional projects (design engineering portion only) totaling $1,020,000,
which are included in the 2010 Capital Improvement Plan. These additional projects were added by the
City Manager in an effort to get the 2010 Capital Projects designed in anticipation of the potential,
upcoming Federal Economic Stimulus Package. The projects that are being proposed to commence in
2009 are the design engineering of the following:
Sawyer Creek Storm Water Detention Basin $500,000
Campbell Creek Storm Water Detention Basin $350,000
Libbey/Nicolet Detention Basin $170,000
FISCAL IMPACT
The above amounts, if borrowed, will be added to the City's outstanding debt obligations, with the
Notes, $2,975,000, being paid off over ten years, and the Bonds, $16,740, 000, being paid off over
twenty years. The $1,020,000, for 2010 projects, is being borrowed one year early so that the City will
be in a position to take advantage of any federal funds made available through an economic stimulus
package.
RECOMMENDATION
Staff recommends adoption of both of the above noted resolutions.
Res ectfully Submitted,
<Z71 P
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Peggy teen
Finance Director
Approved:
Mark Rohloff
City Manager