07-23
RESOLUTION NO. 07-23
A RESOLUTION SUPPLEMENTING RESOLUTION NO. 07-15 WHICH
AUTHORIZED THE SALE OF NOT TO EXCEED $8,500,000 CITY OF
CLEARWATER, FLORIDA, GAS SYSTEM REVENUE REFUNDING BONDS,
SERIES 2007; DESIGNATING THE BONDS AS QUALIFIED TAX EXEMPT
OBLIGATIONS; PROVIDING FOR AMENDMENTS TO THE FORM OF THE
NOTICE OF BOND SALE AND SUMMARY NOTICE OF BOND SALE RELATING
TO THE SALE OF SUCH BONDS; AUTHORIZING THE DISTRIBUTION OF A
PRELIMINARY OFFICIAL STATEMENT AND AN OFFICIAL STATEMENT IN
CONNECTION WITH THE DELIVERY OF THE BONDS; PROVIDING CERTAIN
OTHER MATTERS IN CONNECTION WITH THE ISSUANCE AND DELIVERY OF
SUCH BONDS; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, on August 15, 1991, the City Council of the City of Clearwater, Florida (the
"City" or the "Issuer") enacted Ordinance No. 5118-91 (the "Original Ordinance") to provide for the
issuance of bonds payable from Net Revenues of the Gas System (as defined therein); and
WHEREAS, on April 21, 2005, the City enacted Ordinance No. 7423-05 (the "2005
Ordinance", and together with the Original Ordinance, collectively, the "Bond Ordinance") which
authorized the issuance of the City of Clearwater, Florida, Gas System Revenue [Refunding] Bonds,
Series [to be determined], as Additional Parity Obligations under the Original Ordinance; and
WHEREAS, on June 7,2007, the City adopted Resolution No. 07-15 to provide for the
issuance of not to exceed $8,500,000 City of Clearwater, Florida Gas System Revenue Refunding
Bonds, Series 2007 (the "Series 2007 Bonds") as Additional Parity Bonds to refund all or a portion of
the City's outstanding Gas System Revenue Bonds, Series 1998 (the "Refunded Bonds"); and
WHEREAS, the City also intends to provide for the defeasance of a portion of the Refunded
Bonds with other available funds of the City under the same Escrow Deposit Agreement as will be
utilized for the defeasance of the Refunded Bonds; and
WHEREAS, it is in the best interest of the City to designate the Series 2007 Bonds as
"Qualified Tax Exempt Obligations" pursuant to section 265(b) of the Internal Revenue Code of
1986; and
WHEREAS, the Issuer now desires to approve changes to the Official Notice of Sale and the
Preliminary Official Statement from that approved by Resolution No. 07-15 to reflect (i) the
designation of the Series 2007 Bonds as "Qualified Tax Exempt Obligations", (ii) the partial cash
defeasance of the Refunded Bonds in the amount of $4,165,000, and (iii) the revised maturity
schedule for the Series 2007 Bonds; and
WHEREAS, this resolution shall constitute a supplemental resolution under the terms of the
Bond Ordinance and all capitalized undefined terms used herein shall have the meanings set forth
in the Bond Ordinance;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
CLEARWATER, FLORIDA:
1
Resolution No. 07-23
SECTION 1. DESIGNATION OF BONDS AS QUALIFIED TAX EXEMPT OBLIGATIONS.
The City hereby authorizes the Mayor to designate the Series 2007 Bonds as "qualified tax-exempt
obligations" for purposes of Section 265(b)(3)(B) of the Internal Revenue Code of 1986, as
amended (the "Code") prior to or in conjunction with the issuance of the Series 2007 Bonds, and
hereby designates to the extent required by Section 265(b)(3)(D) of the Code, the Series 2007
Bonds as "qualified tax-exempt obligations" for purposes of Section 265(b)(3)(B) of the Code.
SECTION 2. AUTHORIZATION FOR CASH DEFEASANCE. There is hereby authorized
the transfer of $4,165,000 from the available funds in the Gas System to the Escrow Holder for the
Refunded Bonds to be used in addition to the proceeds of the Series 2007 Bonds, to defease the
Refunded Bonds to their date of redemption.
SECTION 3. APPROVAL OF FORMS. The Finance Director is hereby directed to provide
an amended or supplemented Notice of Bond Sale substantially in the form approved by Resolution
No. 07-15, with such changes as shall be deemed necessary or desirable by the Finance Director to
reflect the changes made by this Resolution.
SECTION 4. SUPPLEMENT TO PRELIMINARY OFFICIAL STATEMENT. The City
Manager and Finance Director are authorized and directed to cause a supplement to the Preliminary
Official Statement to be prepared to reflect the changes in the Series 2007 Bonds authorized by this
Resolution Following the award of the Series 2007 Bonds, the City Manager and the Finance
Director shall cause to be prepared a final Official Statement dated as of the Bid Date, reflecting
such changes in the Preliminary Official Statement as may be necessary to reflect the supplement to
the Preliminary Official Statement and the purchaser's bid. The Mayor and City Manager are hereby
authorized to execute and delivery such final Official Statement, with such changes, insertions and
omissions as may be approved by such officers.
SECTION 5. PRIOR RESOLUTIONS. To the extent the provisions of this Resolution are
inconsistent with the provisions of prior resolutions regarding the Series 2007 Bonds, provisions of
this Resolution shall control and supersede the inconsistent provisions of such Resolutions.
[Remainder of page left intentionally blank]
2
Resolution No. 07-23
~
SECTION 13. EFFECTIVE DATE. This resolution shall take effect immediately upon
adoption.
PASSED AND ADOPTED this 6th day of September, 2007.
CITY OF CLEARWATER, FLORIDA
,:t~~
Frank Hibbard
Mayor
Approved as to form: Attest:
~~ K. Akin
City Attorney
3 Resolution No. 07-23