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October 9, 2018
<br />
<br />Financial Impact
<br />
<br /> The City will receive the funds necessary to finance $10.7 million of vehicles and
<br />equipment.
<br />
<br />Recommended Action:
<br />
<br /> Adoption of the resolution.
<br />
<br />Next Steps Following Council Action:
<br />
<br /> City staff and the City’s advisors will take the necessary steps to close on the
<br />
<br />financing.
<br />
<br />1. Donna Sayegh, 3104 Garland Drive, spoke in opposition to this item.
<br />
<br />Motion by Mr. Clark, and seconded by Ms. Lucas-Burke, to adopt the following
<br />resolution, and was adopted by the following vote:
<br />
<br />“RESOLUTION AUTHORIZING THE ISSUANCE OF UP TO $10,900,000 IN CITY OF
<br />PORTSMOUTH, VIRGINIA GENERAL OBLIGATION BONDS AND SETTING FORTH
<br />THE FORM, DETAILS AND PROVISIONS FOR THE PAYMENT THEREOF.
<br />
<br /> WHEREAS,
<br />the City Council (the "Council") of the City of Portsmouth, Virginia (the
<br />"City"), has determined that it is necessary to finance the costs of the purchase of fire
<br />trucks and various service vehicles and items of equipment for the City (the "Projects"),
<br />and that it is necessary and expedient to borrow up to $10,900,000 and to issue general
<br />obligation bonds of the City (the "Bonds") and use the net proceeds thereof to pay the
<br />costs of the Projects and the costs of issuing the Bonds; and
<br />
<br />WHEREAS,
<br /> a public hearing on the general obligation bonds has been held after
<br />notice was published in accordance with the requirements of Section 15.2-2606 of the
<br />Code of Virginia of 1950, as amended (the "Virginia Code");
<br />
<br />NOW, THEREFORE, BE IT RESOLVED
<br />by the City Council of the City of
<br />Portsmouth, Virginia:
<br />
<br />1. That the Council hereby determines that it is advisable to contract a debt
<br />and to issue the Bonds in an original aggregate principal amount not to exceed
<br />$10,900,000. The issuance of the Bonds in one or more series from time to time in
<br />accordance with the terms of this resolution is authorized. Each series of the Bonds shall
<br />be styled "City of Portsmouth, Virginia, General Obligation Bonds," with an appropriate
<br />series designation. The proceeds from the issuance of the Bonds shall be used to pay
<br />costs of the Projects and to pay the costs of issuance of the Bonds.
<br />
<br />2. That the full faith and credit of the City are irrevocably pledged for the
<br />payment of principal and premium, if any, on the Bonds. The Council is authorized to and
<br />shall levy and collect annually, at the same time and in the same manner as other taxes
<br />of the City are assessed, levied and collected, a tax upon all taxable property within the
<br />City, over and above all other taxes authorized or limited by law, and without limitation as
<br />to rate or amount, sufficient to pay when due the principal of and premium, if any, on the
<br />Bonds to the extent other funds of the City are not lawfully available and appropriated for
<br />such purpose.
<br />
<br />3. That the Bonds shall be dated such date as shall be determined by the City
<br />Manager, shall be issued in fully registered form in denominations of $5,000 each or
<br />whole multiples thereof (except for a single denomination of less than $5,000), and may
<br />be issued at one time or from time to time in a single or multiple series (with appropriate
<br />series designations). The Bonds of any series shall be numbered from R-1 upward
<br />consecutively. The Bonds shall be issued in such principal amount, and shall, if
<br />applicable, bear interest at such rate or rates, as shall be determined by the City Manager,
<br />and shall mature in such amounts and on such dates as may be determined by the City
<br />Manager; provided that (i) the original aggregate principal amount of the Bonds shall not
<br />exceed $10,900,000, (ii) the interest rate of any series of the Bonds shall not exceed three
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