Minutes 01/22/2019 - Laserfiche WebLink

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January 22, 2019 WHEREAS, pursuant to the Proposal, the lender has required the Notes be payable first from available funds of the Authority and second from funds provided by the City under a cooperation agreement with the Authority (the "Cooperation Agreement"), a form of which is on file with the City and attached hereto as Exhibit A; and WHEREAS, the City's obligation to make payments under the Cooperation Agreement, including without limitation payments equal to the debt service on the Notes (such obligation of the City to be hereinafter referred to as the "Obligation"), will be secured by the full faith and credit of the City, and as such, the Obligation will be a "general obligation bond" within the meaning of the Public Finance Act of 1991 (the "Public Finance Act"), Section 15.2-2600 et seq. of the Code of Virginia (1950), as amended (the "Virginia Code"); and WHEREAS, a public hearing on the Obligation has been held after notice was published in accordance with the requirements of Section 15.2-2606 of the Virginia Code. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Portsmouth, Virginia: 1. That the Council hereby determines that it will benefit the inhabitants of the City through the promotion of their prosperity and welfare for the City to incur the Obligation and contract such debt in an aggregate principal amount not to exceed $5,275,000 on the terms and conditions as substantially set forth in the Proposal and the Cooperation Agreement. The Obligation shall be used to pay principal, premium, if any, and interest on the Notes and the proceeds of the Notes shall be used to pay the costs of the Project. 2. That the Obligation shall be a general obligation of the City to which the full faith and credit of the City are hereby irrevocably pledged. The Council is hereby authorized to and shall levy and collect annually, at the same time and in the same manner as other taxes of the City are assessed, levied and collected, a tax upon all taxable property within the City, over and above all other taxes authorized or limited by law, and without limitation as to rate or amount, sufficient to pay when due the payments under the Obligation to the extent other funds of the City are not lawfully available and appropriated for such purpose. 3. That the Proposal may be amended, modified or supplemented, as may be approved by the City Manager of the City (the "City Manager"), with such approval to be evidenced by the City Manager's execution and delivery of the Cooperation Agreement or other documents relating to the issuance of the Notes; provided however, that the Proposal (as amended, modified or supplemented) must comply with the parameters established for the Cooperation Agreement and the Notes in Section 5. 4. That the Cooperation Agreement on file with the City is hereby approved, but the City Manager is hereby authorized to correct, amend, or revise the Cooperation Agreement as the City Manager deems necessary to carry out the intent of the Council as expressed herein, and the City Manager is hereby authorized to execute and deliver on behalf of the City the Cooperation Agreement as corrected, amended, or revised, and the City Clerk is hereby authorized to affix or to cause to be affixed the seal of the City to the Cooperation Agreement and to attest such seal. 5. The Council hereby authorizes the performance by the City of its obligations under the Cooperation Agreement. The Notes shall be in such form and contain such provisions as the City Manager shall approve. The approval of the Cooperation Agreement or the Notes will be evidenced conclusively by the execution and delivery of the Cooperation Agreement, provided that the aggregate principal amount of the Notes shall not exceed $5,275,000 and the maturity of the Notes shall not exceed five years from the closing of the Notes. 6. The Notes will be subject to prepayment in whole or in part as the City Manager deems advisable.