HomeMy WebLinkAbout~Master - 2019 General Obligation Corporate Purpose Loan Agreement Ames419370-64/2019 Hrg&Prelevy
RESOLUTION NO. 19-085
Resolution authorizing a Loan Agreement and providing for the levy of taxes
WHEREAS, the City of Ames (the "City"), in Story County, State of Iowa, has
heretofore proposed to enter into a General Obligation Essential Corporate Purpose Loan
Agreement (the "Loan Agreement") in a principal amount not to exceed $11,880,000, pursuant
to the provisions of Section 384.24A of the Code of Iowa, for the purpose of paying the cost, to
that extent, of constructing improvements to streets, sanitary sewers and bridges and acquiring
emergency services communication equipment, and has published notice. of the proposed action
and has held a hearing thereon; and
WHEREAS, the City intends to enter into the Loan Agreement and to issue General
Obligation Corporate Purpose Bonds in an amount not to exceed $11,880,000 (the "Bonds") in
the future, and anticipates that principal and interest will come due on the Bonds before June 30,
2020, and it is now necessary to make provision for the levy of a debt service property tax to be
collected in the fiscal year that will begin July 1, 2019 for the payment of such principal and
interest;
NOW, THEREFORE, Be It Resolved by the City Council of the City of Ames, Iowa. as
follows:
Section 1. The Council hereby expresses its intention to enter into the Loan
Agreement and to issue the Bonds at such time as funds are needed, and the Council hereby
declares that this resolution constitutes the additional action required by Chapter 384 of the Code
of Iowa.
Section 2. For the purpose of providing for the levy and collection of a direct annual
tax sufficient to pay the principal of and interest on the Bonds, there is hereby ordered levied on
all the taxable property in the City a direct annual tax for collection in the fiscal year beginning
July 1, 2019, sufficient to produce the sum of$1,123,678.
Section 3. A certified copy of this resolution shall be filed with the County Auditor
of Story County, and said Auditor is hereby instructed to enter for collection and assess the tax
hereby authorized. When annually entering such taxes for collection, the County Auditor shall
include the same as a part of the tax levy for Debt Service Fund purposes of the City and when
collected, the proceeds of the taxes shall be converted into the Debt Service Fund of the City and
set aside therein as a special account to be used solely and only for the payment of the principal
of and interest on the Bonds hereby authorized.
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Ames419370-642019 Hrg&Prelevy
Section 4. All resolutions or parts thereof in conflict herewith are hereby repealed to
the extent of such conflict.
Passed and approved March 5, 2019.
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Mayor
Attest:
City Clerk
On motion and vote. the meeting adjourned.
Mayor
Attest:
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City Clerk
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