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HomeMy WebLinkAboutResolutions - No. LFC-16RESOLUTION NO. LFC-16 A RESOLUTION OF THE LODI FINANCING CORPORATION DECLARING ITS INTENT TO REIMBURSE CERTAIN EXPENDITURES FROM PROCEEDS OF INDEBTEDNESS WHEREAS, the City of Lodi (the "City") owns and operates a wastewater system (the "System") serving the City and its inhabitants; and WHEREAS, the City intends to acquire, install, and construct additions, replacements, and improvements to the System, including outfall relocation, secondary plant improvements, a treatment wetland, and other improvements (the "Project"); and WHEREAS, the City expects to pay certain expenditures (the "Reimbursement Expenditures") in connection with the Project prior to the issuance of indebtedness for the purpose of financing costs associated with the Project on a long-term basis; and WHEREAS, the City reasonably expects that debt obligations in an amount not expected to exceed $28,000,000 will be issued in connection with the Project and that certain of the proceeds of such debt obligations will be used to reimburse the Reimbursement Expenditures; and WHEREAS, proceeds of such debt obligations will be allocated to reimbursement expenditures no later than 18 months after the later of (i) the date the cost is paid, or (ii) the date the Project (or each component thereof) is placed in service or abandoned (but in no event more than three years after the cost is paid). NOW, THEREFORE, BE IT RESOLVED by the Lodi Financing Corporation as follows: Section 1. The Corporation finds and determines that the foregoing recitals are true and correct. Section 2. The Corporation hereby declares its official intent to use proceeds of indebtedness to reimburse itself for Reimbursement Expenditures. Section 3. This declaration is made solely for purposes of establishing compliance with the requirements of Section 1.150-2 of the Treasury Regulations. This declaration does not bind the Corporation to make any expenditure, incur any indebtedness, or proceed with the Project. Section 4. This resolution shall take effect from and after its adoption. Dated: September 5, 2007 I hereby certify that Resolution No. LFC-16 was passed and adopted by the Lodi Financing Corporation in a special meeting held September 5, 2007, by the following vote: AYES: DIRECTORS — Hansen, Hitchcock, Katzakian, Mounce, and President Johnson NOES: DIRECTORS — None ABSENT: DIRECTORS — None ABSTAIN: DIRECTORS — None R !DI JOHL. Seoretar' LFC-16