HomeMy WebLinkAbout2020 02_OPWA_reimbursement resolution_land purchase for public works_2020.03.17OWASSO PUBLIC WORKS AUTHORITY
RESOLUTION 2020 -02
A RESOLUTION DECLARING THE INTENT OF THE OWASSO PUBLIC WORKS
AUTHORITY (THE "AUTHORITY ") TO EXPEND CERTAIN FUNDS IN CONNECTION
WITH THE ACQUISITION OF CERTAIN REAL PROPERTY WITH SAID EXPENDITURES
TO BE REIMBURSED FROM THE PROCEEDS OF DEBT TO BE INCURRED BY THE
AUTHORITY; AND CONTAINING OTHER PROVISIONS RELATING THERETO.
WHEREAS, The Owasso Public Works Authority (the "Authority ") is undertaking to
purchase land as the site of a proposed public works building at the intersection of 11301
North Mingo Road and 10000 East 11611, Street North at a cost of $1,500,000 (cost of land
only) which amount is expected to be paid by April 1, 2020 and which amount will be
reimbursed as part of a larger financing that will include up to $10,500,000 for various street
improvements to include the Garnett Road widening (collectively, the "Project "); and
WHEREAS, it is the Authority's intent to eventually fund the cost of the Project through
the issuance of tax - exempt debt obligations; and
WHEREAS, the Authority desires to initially fund certain costs pertaining to the
Project out of the Authority's cash reserves; and
WHEREAS, the Authority further desires to declare its official intent to reimburse itself
with the proceeds of tax- exempt debt incurred by the Authority, as required by Section
1.150 -2 of the Treasury Regulations promulgated pursuant to Sections 103 and 141 -150 of
the Internal Revenue Code of 1986, as amended.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE OWASSO PUBLIC
WORKS AUTHORITY:
SECTION 1. The Project. The Project to be financed by the Authority shall generally
include land acquisition as the site of a proposed public works building at the intersection
of 11301 North Mingo Road and 10000 East 11611, Street North at a cost of $1,500,000 (cost of
land only) and up to $10,500,000 forvarious street improvements to include a portion of the
Garnett Road widening project.
SECTION 2. Preliminary Use of Authority Funds. The Authority intends to initially fund
certain capital costs associated with the Project from the Authority's funds. The Authority
reasonably expects to reimburse any amounts expended with the proceeds of debt to
be incurred by the Authority. The Authority anticipates issuing debt for the Project in an
aggregate amount not to exceed approximately $12,000,000.
SECTION 3. Official Intent. This Resolution constitutes a declaration of official intent
as is required pursuant to Section 1.150 -2 of the Treasury Regulations promulgated
pursuant to Sections 103 and 141 -150 of the Internal Revenue Code of 1986, as amended.
SECTION 4. Severabilitv. If any section, subsection, sentence, clause, phrase or
portion of this resolution is, for any reason, held invalid or unconstitutional by any court of
competent jurisdiction, such portion shall be deemed a separate, distinct, and
independent provision, and such holding shall not affect the validity of the remaining
portions of this resolution.
PASSED AND APPROVED THIS 17TH DAY OF MARCH, 2020
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J nn M. Stevens, Authority Secretary
Resolution 2020 -02
Page 2 of 2
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REAL Paople • REAL CM1antln• REAL CammunRy
TO: The Honorable Chair and Trustees
Owasso Public Works Authority
FROM: Linda Jones, Finance Director
AppROV4�D By .r
Af ST�8S
AR I ? ?zo
SUBJECT: Resolution 2020 -02
Public Works, Support Services, and Parks Facility Land Purchase
DATE: March 13, 2020
BACKGROUND:
On April 16, 2019, Council approved entering into a contract to purchase 62 acres at 11301 North
Mingo Road and 10000 East l 16th Street North for the purpose of constructing city facilities, such
as Public Works, Support Services, and Parks, as well as, construction of a regional stormwater
detention area.
In order to utilize loan proceeds for the land purchase, a resolution is needed declaring the intent
of the Authority to have expenditures related to the land purchase be reimbursed with future
OPWA loan proceeds.
RECOMMENDATION:
Staff recommends approval of Resolution 2020 -02, declaring the intent of the Owasso Public Works
Authority (The "Authority ") to expend certain funds in connection with land acquisition for
construction of City facilities and for construction of a regional stormwater detention facility with
said expenditures to be reimbursed from the proceeds of debt to be incurred by The Authority;
and containing other provisions relating thereto.
ATTACHMENT:
Authority Resolution 2020 -02