Loading...
HomeMy WebLinkAbout~Master - General Obligation Loan Agreements 2025 - File No. 419370-78 March 5, 2025 Via Email Renee Hall City Clerk/City Hall Ames, Iowa Re:2025 General Obligation Loan Agreements Our File No. 419370-78 Dear Renee: We have prepared and attach proceedings for the March 11th City Council meeting to enable the City Council to fix March 25th as the date for the hearings on the proposals to enter into the General Obligation Loan Agreements (the “Loan Agreements”). The documents attached include the following items: Minutes of the City Council meeting providing for the adoption of the resolution fixing the date, time and place for the hearings. The resolution follows the minutes. The forms of notice of hearingsareset out in Sections 2 and3of the resolution. Please print extra copies for delivery to the publisher. Please insert the time and place of the hearings in both the resolution and the notices. Attestation Certificate with respect to the validity of the transcript. Organization Certificate. Publication Certificate with respect to publication of the notices, to which must be attached the publisher’s affidavits of publication with a clipping of the notices as published. The notice of hearing on the Essential Purpose Loan Agreement must be published at least once, not less than four (4) and not more than twenty (20) days before the March 25th meeting date in a legal newspaper which has a general circulation in Ames. The last date on which this notice can be effectively published isFriday March 21, 2025. The notice of hearing on theGeneral Purpose Loan Agreementmustbe published at least once, not less than ten (10) and not more than twenty (20) days before the March 25thmeeting date in a legal newspaper which has a general circulation in Ames. The last date on which these notices can be effectively published is Saturday, March 15, 2025. As soon as the notices appear in the newspaper, please have a copy emailed to our office to Susan Lemke at lemke.susan@dorsey.com. Please email one fully executed copy of all of the completed pages in these proceedings as soon as possible. If you have any questions, please contact Erin Regan, Severie Orngardor me. Best regards, John P. Danos Attachments cc:Steven SchainkerCorey GoodenowRoger Wisecup IISusanne Gerlach MINUTES TO SET DATE FOR HEARINGS ON PROPOSALS TO ENTER INTO LOAN AGREEMENTS 419370-78 Ames, Iowa March 11, 2025 The City Council of the City of Ames, Iowa, met on March 11, 2025, at ______ o’clock ___.m., at the ___________________________________________, Ames, Iowa.The Mayor presided and the roll was called showing the following members of the City Council present and absent:Present:Absent:. Council Member ________________________ introduced the resolution hereinafter next set out and moved its adoption, seconded by Council Member ________________________; and after due consideration thereof by the City Council, the Mayor put the question upon the adoption of the said resolution and the roll being called, the following named Council Members voted:Ayes: Nays:. Whereupon, the Mayor declared the resolution duly adopted as hereinafter set out. • • • • At the conclusion of the meeting and upon motion and vote, the City Council adjourned. Mayor Attest: City Clerk RESOLUTION NO. _________ Resolution setting the date for public hearings on proposals to enter into General Obligation Loan Agreements and to borrow money thereunder WHEREAS, the City of Ames (the “City”), inStory County, State of Iowa, proposes to enter into a loan agreement (the “Essential Purpose Loan Agreement”), pursuant to the provisions of Section 384.24A of the Code of Iowa, and to borrow money thereunder in a principal amount not to exceed $13,500,000 for the purpose of paying the costs, to that extent, of (a) constructing street and incidental public infrastructure improvements; (b) acquiring and installing street lighting, signage and signalization improvements; (c) undertaking trail and related improvements to Ada Hayden Heritage Park; and (d) undertaking improvements to the municipal airport(the “Essential Purpose Projects”), and it is now necessary to fix a date of meeting of the City Council at which it is proposed to take action to enter into the Essential Purpose Loan Agreement and to give notice thereof as required by such law; and WHEREAS, the City also proposes to enter into a loan agreement (the “General Purpose Loan Agreement” and together with the Essential Purpose Loan Agreement, the “Loan Agreements”) and to borrow money thereunder in a principal amount not to exceed $235,000, pursuant to the provisions of Section 384.24A of the Code of Iowa, for the purpose of paying the costs, to that extent, ofundertaking alerting system improvements at municipal fire station facilities(the “General Purpose Project” and together with the Essential Purpose Project, the “Projects”), and it is now necessary to fix a date of meeting of the City Council at which it is proposed to take action to enter into the General Purpose Loan Agreement and to give notice thereof as required by such law, including notice of the right to petition for an election on such proposal pursuant to the provisions of Section 384.26 of the Code of Iowa; NOW, THEREFORE, Be It Resolved by the City Council of the City of Ames, Iowa, as follows: Section 1.This City Council shall meet on March 25, 2025, at the ________________________________________, Ames, Iowa, at ________ o’clock ___.m., at which time and place hearings will be held and proceedings will be instituted and action taken to enter into the Loan Agreements described in the preamble hereof. Section 2.The City Clerk is hereby directed to give notice of the proposed action on the Essential Purpose Loan Agreement setting forth the amount and purpose thereof, the time when and place where the said meeting will be held by publication at least once, not less than four (4) and not more than twenty (20) days before the date of said meeting, in a legal newspaper which has a general circulation in the City. The notice shall be in substantially the following form: NOTICE OF PROPOSED ACTION TO INSTITUTE PROCEEDINGS TO ENTER INTO A LOAN AGREEMENTAND TO BORROW MONEYTHEREUNDER IN A PRINCIPAL AMOUNT NOT TO EXCEED $13,500,000 (GENERAL OBLIGATION) The City Council of the City of Ames, Iowa (the “City”), will meet on March 25, 2025, at the ___________, Ames, Iowa, at _________ o’clock ___.m., for the purpose of instituting proceedings and taking action on a proposal to enter into a Loan Agreement and to borrow money thereunderin a principal amount not to exceed $13,500,000for the purpose of paying the costs, to that extent, of (a) constructing street and incidental public infrastructure improvements; (b) acquiring and installing street lighting, signage and signalization improvements; (c) undertaking trail and related improvements to Ada Hayden Heritage Park; and (d) undertaking improvements to the municipal airport. The Loan Agreement is proposed to be entered into pursuant to authority contained in Section 384.24A of the Code of Iowa and will constitute a general obligation of the City. It is estimated the annual increase in property taxes on a residential property with an actual valuation of one hundred thousand dollars resulting from the City entering into the Loan Agreement will be $19.56, however the City Council may determine for any fiscal year while the Loan Agreement is outstanding to budget other available revenues to the payment of some or all of the debt service coming due thereunder. At that time and place, oral or written objections may be filed or made to the proposal to enter into the Loan Agreement. After receiving objections, the City may determine to enter into the Loan Agreement, in which case, the decision will be final unless appealed to the District Court within fifteen (15) days thereafter. By order of the City Council of the City of Ames, Iowa. Renee Hall City Clerk Section 3.The City Clerk is hereby directed to give notice of the proposed action on the General Purpose Loan Agreement setting forth the amount and purpose thereof, the time when and place where the said meeting will be held by publication at least once, not less than ten (10) and not more than twenty (20) days before the date of said meeting, in a legal newspaper which has a general circulation in the City. The notice shall be in substantially the following form: NOTICE OF PROPOSED ACTION TO INSTITUTE PROCEEDINGS TO ENTER INTO A LOAN AGREEMENT AND TO BORROW MONEY THEREUNDER IN A PRINCIPAL AMOUNT NOT TO EXCEED $235,000 (GENERAL OBLIGATION) The City Council of the City of Ames, Iowa (the “City”), will meet on March 25, 2025, at the ___________, Ames, Iowa, at _________ o’clock ___.m., for the purpose of instituting proceedings and taking action on a proposal to enter into a loan agreement (the “Loan Agreement”) and to borrow money thereunder in a principal amount not to exceed $235,000 for the purpose of undertaking alerting system improvements at municipal fire station facilities. The Loan Agreement is proposed to be entered into pursuant to authority contained in Section 384.24A of the Code of Iowa and will constitute a general obligation of the City. The maximum rate of interest which may be payable under the Loan Agreement is 7% per annum. It is estimated the annual increase in property taxes on a residential property with an actual valuation of one hundred thousand dollars resulting from the City entering into the Loan Agreement will be $0.37, however the City Council may determine for any fiscal year while the Loan Agreement is outstanding to budget other available revenues to the payment of some or all of the debt service coming due thereunder. At any time before the date fixed for taking action to enter into the Loan Agreement, a petition may be filed with the City Clerk of the City asking that the question of entering into the Loan Agreement be submitted to the registered voters of the City, pursuant to the provisions of Section 384.26 of the Code of Iowa. If no such petition is filed, at the aforementioned time and place, oral or written objections may be filed or made to the proposal to enter into the Loan Agreement. After receiving objections, the City may determine to enter into the Loan Agreement, in which case, the decision will be final unless appealed to the District Court within fifteen (15) days thereafter. By order of the City Council of the City of Ames, Iowa. Renee Hall City Clerk Section 4.Pursuant to Section 1.150-2 of the Income Tax Regulations (the “Regulations”) of the Internal Revenue Service, the City declares (a) that it intends to undertake the Projects which are reasonably estimated to cost approximately $13,735,000‬, (b) that other than (i) expenditures to be paid or reimbursed from sources other than the issuance of bonds, notes or other obligations (the “Bonds”), or (ii) expenditures made not earlier than 60 days prior to the date of this Resolution or a previous intent resolution of the City, or (iii) expenditures amounting to the lesser of $100,000 or 5% of the proceeds of the Bonds, or (iv) expenditures constituting preliminary expenditures as defined in Section 1.150-2(f)(2) of the Regulations, no expenditures for the Projects have heretofore been made by the City and no expenditures will be made by the City until after the date of this Resolution or a prior intent resolution of the City, and (c) that the City reasonably expects to reimburse the expenditures made for costs of the City out of the proceeds of the Bonds. This declaration is a declaration of official intent adopted pursuant to Section 1.150-2 of the Regulations. Section 5.All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. Section 6.This resolution shall be in full force and effect immediately upon its adoption and approval, as provided by law. Passed and approved March 11, 2025. Mayor Attest: City Clerk ATTESTATION CERTIFICATESTATE OF IOWA STORY COUNTYSS: CITY OF AMES I, the undersigned, City Clerk of the City of Ames, do hereby certify that attached hereto is a true and correct copy of the proceedings of the City Council relating to fixing a date for additional action on the City’s proposal to enter intocertain loan agreements, as referred to therein. WITNESS MY HAND this _____ day of __________________, 2025. City Clerk ORGANIZATION CERTIFICATE STATE OF IOWA STORY COUNTYSS: CITY OF AMESI, the undersigned City Clerk, do hereby certify that the City of Ames is organized and operating under the provisions of Title IX of the Code of Iowa and not under any special charter and that the City is operating under Mayor-council form of governmentand that there is not pending or threatened any question or litigation whatsoever touching the incorporation of the City, the inclusion of any territory within its limits or the incumbency in office of any of the officials hereinafter named.And I do further certify that the following named parties are officials of the City as indicated:, Mayor, City Manager, City Clerk, City Treasurer, Finance Director, Council Member/Mayor Pro Tem, Council Member, Council Member, Council Member, Council Member, Council MemberWITNESS MY HAND this ____ day of __________________, 2025.City Clerk PUBLICATION CERTIFICATE (PLEASE NOTE:Do not date and return this certificate until you have received the publisher’s affidavits and have verified that the noticeswere published on the date indicated in the affidavits but please return all other completed pages to us as soon as they are available.) STATE OF IOWA STORY COUNTYSS: CITY OF AMES I, the undersigned, City Clerk of the City of Ames, do hereby certify that pursuant to the resolution of the City Council fixing a date of meeting at which it is proposed to take action to enter into certain loan agreements, the notices, of which the printed slips attached to the publisher’s affidavit hereto attached are true and complete copies, were published on the date and in the newspaper specified in such affidavits, which newspaper has a general circulation in the City. WITNESS MY HAND this ______ day of ________________, 2025. City Clerk (Attach here the publisher’s original affidavits with the clippings of the notices, as published.)