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HomeMy WebLinkAbout1998 08_OPWA_Issuance of Debt for Wastewater Treatment Plant_1998.12.15 THE OW ASSO PUBLIC WORKS AUTHORITY 98-08 A RESOLUTION AUTHORIZING THE OW ASSO PUBLIC WORKS AUTHORITY (THE "AUTHORITY") TO ISSUE ITS UTILITY AND SALES TAX REVENUE NOTE, SERIES 1998 (THE "NOTE") IN THE AGGREGATE PRINCIPAL AMOUNT OF $1,200,000; WAIVING COMPETITIVE BIDDING AND AUTHORIZING THE NOTE TO BE SOLD ON A NEGOTIATED BASIS; RA TIFYING AND CONFIRMING THE LEASE, AS AMENDED BY THE AMENDMENT TO LEASE, BY AND BETWEEN THE CITY OF OWASSO, OKLAHOMA (THE "CITY") AND THE AUTHORITY PERTAINING TO THE LEASING OF THE CITY'S UTILITY SYSTEMS TO THE AUTHORITY; APPROVING AND AUTHORIZING EXECUTION OF THE NOTE AND OTHER DOCUMENTS RELATING TO THE TRANSACTION, INCLUDING A LOAN AGREEMENT, A SECURITY AGREEMENT AND A SALES TAX AGREEMENT; ESTABLISHING THE AUTHORITY'S REASONABLE EXPECTATION WITH RESPECT TO THE ISSUANCE OF TAX-EXEMPT OBLIGATIONS BY THE AUTHORITY IN CALENDAR YEAR 1998, AND DESIGNATING THE NOTE AS QUALIFIED TAX-EXEMPT OBLIGATION WITH RESPECT TO THE FINANCIAL INSTITUTION INTEREST DEDUCTION PROVISIONS CONTAINED IN THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE"); AND CONTAINING OTHER PROVISIONS RELATING THERETO. RESOLUTION NO IT RESOLVED BY THE TRUSTEES OF THE OW ASSO NOW, THEREFORE, BE PUBLIC WORKS AUTHORITY: SECTION 1. INDEBTEDNESS AUTHORIZED. The Authority is authorized to incur an indebtedness by the issuance of its Utility and Sales Tax Revenue Note, Series 1998, for and on behalf of the City of Owasso, Oklahoma (the "City"), in an aggregate principal amount of $1,200,000 (the "Note") for the purpose of (i) financing certain sanitary sewer system improvements, and (ii) paying certain costs associated with the issuance of the Note. The Note shall mature on or about December 1, 2003, and shall bear interest at the rate of five percent (5.00%) per annum, to be amortized as set out in said Note. SECTION 2. COMPETITIVE BIDDING WAIVED. Competitive bidding on the sale of said Note is waived and the Note is authorized to be sold to First Bank of Owasso SECTION 3 LEASE. The Authority and the City heretofore entered into a Lease dated July 31, 1973, as amended by an Amendment to Lease dated as of July 1, 1996 (collectively, the "Lease") whereby the City leased its then existing and thereafter acquired water, sanitary sewer and garbage and trash collection systems and the Bailey Ranch Golf Club to the Authority (collectively, the "System"), and whereby the Authority agreed to operate and maintain the same. The Authority hereby ratifies and confirms the Lease in all respects. SECTION 4 APPROV AL OF DOCUMENTS. The documentation authorizing the issuance of and securing the payment of the Note approved in Section 1 hereof, including specifically, but not by way of limitation, a Loan Agreement, a Security Agreement and a Sales Tax Agreement are hereby approved and the Chairperson or Vice Chairperson and Secretary or Assistant Secretary of the Authority are authorized and directed to execute and deliver same for and on behalf of the Authority SECTION 5. EXECUTION OF NECESSARY DOCUMENTS. The Chairperson or Vice- Chairperson and Secretary or Assistant Secretary of the Authority are hereby authorized and directed on behalf of the Authority to execute and deliver the Note to the purchaser upon receipt of the purchase price and are further authorized and directed to execute all necessary documentation and closing and delivery papers required by Bond Counsel; approve the disbursement of the proceeds of the Note, including any costs of issuance; to approve and make any changes to the documents approved by this Resolution, for and on behalf of the Authority, the execution and delivery of such documents being conclusive as to the approval of any changes contained therein by the Authority; and to execute, record and file any and all the necessary financing statements and security instruments, including but not limited to the documents approved hereby, and to consummate the transaction contemplated hereby. SECTION 6 CERTIFICATE OF DESIGNATION. The Authority anticipates that the total amount of tax-exempt obligations (other than private activity bonds) issued by the Authority or other issuers on behalf of the City, will not exceed $10,000,000 for calendar year 1998, and hereby designates the Note to be a qualified tax-exempt obligation with respect to the financial institution interest deduction provisions contained in the Internal Revenue Code of 1986, as amended, and authorizes the Chairperson or Vice Chairperson of the Authority to execute and deliver on behalf of the Authority a Certificate of Designation to that effect. 2 1998 THE OW ASSO PUBLIC WORKS AUTHORITY 15TH DAY OF DECEMBER, PASSED AND APPROVED THIS Denise Bode Chairperson Name Title: 3 ATTEST CER TIFICA TE OF AUTHORITY ACTION the duly qualified and acting Secretary of The am I, the undersigned, hereby certify that I Owasso Public Works Authority Trustees of The Owasso Public Works Authority held a Regular 15, 1998, after due notice was given in full compliance with the I further certify that the Meeting at 6:30 P.M. on December Oklahoma Open Meeting Act. I further certify that attached hereto is a full and complete copy of a Resolution that was passed and approved by said Trustees at said meeting as the same appears in the official records of my office and that said Resolution is currently in effect and has not been repealed or amended as of this date I further certify that below is listed those Trustees present and absent at said meeting; those making and seconding the motion that said Resolution be passed and approved, and those voting for and against such motion Mark Mary Lou Barnhouse Melinda Voss, Duston Smith, Wilken, Denise Bode PRESENT None ABSENT Duston Smith MOTION MADE BY Mark Wilken MOTION SECONDED BY Bode Voss Barnhouse Wilken, Smith, AYE None NAY 1998 THE OW ASSO PUBLIC WORKS AUTHORITY 15TH DAY OF DECEMBER, WITNESS MY HAND THIS 4