NUMB:
971740
VERS:
ORIGINAL
REF:
XXBY:
THE CHAIR
TITL:
Resolution authorizing the Commissioners of the Public Debt to market general obligation "corporate purpose bonds" pursuant to the provisions of Ch. 67, Stats.
ANLS:
- Analysis -
This resolution authorizes the Commissioners of the Public Debt to issue and sell City of Milwaukee general obligation "corporate purpose bonds" in the amount of $218,699,721.
BODY:
Whereas, General obligation bonds have been authorized in the 1995, 1996, 1997 and 1998 municipal budgets; and
Whereas, Initial resolutions have been adopted authorizing the issuance of such general obligation bonds; and
Whereas, In 1997 a corporate purpose resolution was adopted combining general obligation bonds authorized under various initial resolutions into one issue designated "corporate purpose bonds" and some of the authorized "corporate purpose bonds" were not sold; and
Whereas, It is the intention of the Common Council to rescind the authority of the corporate purpose resolution adopted in 1997 as it relates to bonds which were authorized but not sold in 1997 and to combine general obligation bonds authorized under the various initial resolutions into one issue and to designate such bonds as "corporate purpose bonds"; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee that the authority of Common Council Resolution File No. 961785 adopted March 21, 1997, being a resolution combining general obligation bonds authorized under various initial resolutions into one issue designated as "corporate purpose bonds" as it relates to bonds authorized but not sold in 1997, be and hereby is rescinded; and be it
Further Resolved, By the Common Council of the City of Milwaukee in accordance with sec. 67.05(13), Stats., that the Commissioners of the Public Debt are authorized and requested to issue and sell general obligation "corporate purpose bonds" in the aggregate amount of $218,699,721 for each of the public purposes provided by the under-lying initial resolutions as set forth herein and in the amounts shown:
Initial Resolution File No. and Resolution Bonds to Purpose Adoption Date Amount Be Sold
For paying project costs in accordance with project plans (Adopted for Tax Incremental 1/20/98) Districts. 971424 $ 8,300,000 $ 8,300,000
(Adopted 1/20/98) School purposes. 971425 9,000,000 9,000,000
(Adopted 1/20/98) Street improvements. 971428 11,117,320 11,117,320
(Adopted Parks and public 1/20/98) grounds. 971429 2,559,000 2,559,000
(Adopted 1/20/98) Library improvements. 971430 2,160,000 2,160,000
Public improvements in anticipation of special assessments (Adopted levied against 1/20/98) property. 971431 4,122,743 4,122,743
Purchase of sites for (Adopted and construction of 1/20/98) engine houses. 971432 700,000 700,000
Construction of (Adopted Police Department 1/20/98) facilities. 971433 4,900,000 4,900,000
(Adopted Bridge and viaduct 1/20/98) improvements. 971434 2,909,000 2,909,000
(Adopted 1/20/98) Sewage disposal. 971435 14,820,000 14,820,000
(Adopted Parking facility 1/20/98) improvements. 971436 312,000 312,000
(Adopted 1/20/98) Harbor improvements. 971437 2,204,000 2,204,000
Buildings for housing (Adopted machinery and equip- 1/20/98) ment. 971438 10,050,756 10,050,756
Financial assistance to blight elimination, slum clearance, rede- velopment, and urban renewal projects under ss. 66.405 to 66.425, (Adopted 66.43, 66.431, 66.4325, 1/20/98) 66.435 and 66.46, Stats. 971439 3,206,000 3,206,000
Financial assistance to blight elimination, slum clearance, rede- velopment and urban renewal projects under ss. 66.405 to 66.425, (Adopted 66.43, 66.431, 66.4325, 1/17/97) 66.435 and 66.46, Stats. 961420 17,500,000 13,891,000
Buildings for housing (Adopted machinery and equip- 1/17/97) ment. 961421 10,399,614 4,007,164
(Adopted 1/17/97) Harbor Improvements. 961422 870,000 870,000
(Adopted Parking facility 1/17/97) projects. 961423 3,690,000 3,690,000 (Adopted Police Department 1/17/97) facilities. 961424 200,000 9,490
Purchase of sites for (Adopted and construction of 1/17/97) engine houses. 961425 1,560,000 1,560,000
(Adopted Bridge and viaduct 1/17/97) improvements. 961426 2,998,000 2,998,000
(Adopted 1/17/97) Sewage disposal. 961427 8,615,000 8,615,000
(Adopted 1/17/97) Street improvements. 961428 5,737,267 3,637,267
(Adopted Parks and public 1/17/97) grounds. 961429 500,000 500,000
(Adopted 1/17/97) Library improvements. 961430 860,000 166,000
Public improvements in anticipation of special (Adopted assessments levied 1/17/97) against property. 961431 3,840,994 3,840,994
Project costs in accordance with project (Adopted plans for Tax Incre- 1/17/97) mental Districts. 961432 9,000,000 9,000,000
(Adopted 1/17/97) School purposes. 961433 8,500,000 6,600,000
Financial assistance to blight elimination, slum clearance, rede- velopment and urban renewal projects under ss. 66.405 to 66.425, 66.43, 66.431, 66.4325, 66.435 and 66.46, Stats. (Adopted under the provisions 1/23/96) of Ch. 67, Stats. 951372 2,764,000 1,940,000
Public buildings for (Adopted housing machinery 1/23/96) and equipment. 951373 8,213,160 1,022,200
Harbor improvements (Adopted under the provisions of 1/23/96) Ch. 67, Stats. 951374 610,000 30,000
(Adopted Construction of Police 1/23/96) Department facility. 951375 1,700,000 998,110
Purchase of sites for (Adopted and construction of 1/23/96) engine houses. 951376 600,000 23,000
(Adopted Bridges and viaduct 1/23/96) improvements. 951377 2,256,000 1,611,000
(Adopted Parking facility 1/23/96) projects. 951378 2,605,000 1,940,000
Sewage disposal - (Adopted sewer improvement and 1/23/96) construction. 951379 8,540,752 2,390,752
(Adopted Street improvements 1/23/96) and construction. 951380 4,905,720 3,005,720
(Adopted Parks and public 1/23/96) grounds. 951381 1,000,000 800,000
Public improvements in anticipation of (Adopted special assessments 1/23/96) levied against property. 951389 4,494,330 4,494,330
Project costs in accordance with project (Adopted plans for Tax Incre- 1/23/96) mental Districts. 951384 5,600,000 5,600,000 Financial Assistance to blight elimination, slum clearance, rede- velopment, and urban renewal projects under ss. 66.405 to 66.425, 66.43, 66.431, 66.4325, 66.435 and 66.46, Stats. (Adopted under the provisions of 1/24/95) Ch. 67, Stats. 941426 1,130,000 904,000
Public buildings for (Adopted housing machinery and 1/24/95) equipment. 941427 8,841,000 1,045,520
(Adopted Construction of Police 1/24/95) Department facility. 941429 8,770,000 8,739,000
(Adopted Street improvements 1/24/95) and construction. 941432 4,522,000 1,309,000
Public improvements in anticipation of special (Adopted assessments levied 1/24/95) against property. 941435 4,562,875 2,604,175
Project costs in accordance with project (Adopted pans for Tax Incremental 1/24/95) Districts. 941436 12,450,000 6,527,180
(Adopted Improvements to water 1/24/95) treatment facilities. 941439 89,000,000 37,970,000
; and be it
Further Resolved, That the general obligation "corporate purpose bonds" herein authorized shall be sold by the Commissioners of the Public Debt at such times as the Commissioners shall determine to be prudent and appropriate; and be it
Further Resolved, That the Commissioners of the Public Debt are authorized to prepare the forms and establish the procedures required in the issuance and sale of general obligation "corporate purpose bonds" herein authorized in accordance with the provisions of Ch. 67, Stats., and the provisions of the City of Milwaukee ordinances, such bonds to be in a form approved by the City Attorney and to be executed by those officers of the City whose signatures are required by law; and be it
Further Resolved, That the general obligation "corporate purpose bonds" herein authorized shall be sold at a price of not less par and accrued interest thereon; and be it
Further Resolved, That such general obligation tax-exempt "corporate purpose bonds" shall be dated as of the first or fifteenth day of the month in which they are issued, bear interest, payable semi-annually, at coupon rates as determined by the Commissioners of the Public Debt, not to exceed 9.5%; with an issue True Interest Cost Rate not to exceed 7.5%; that such general obligation taxable "corporate purpose bonds" shall be dated as of the first or fifteenth day of the month in which they are issued, bear interest, payable semi-annually, at coupon rates as determined by the Commissioners of the Public Debt, not to exceed 12%; with an issue True Interest Cost Rate not to exceed 10%; that the Commissioner of the Public Debt may establish a call date for some or all of the bonds with a maturity in excess of ten (10) years from the date of issuance; that the Commissioners of the Public Debt shall specify the due dates for, and the amounts of, the payment of principal of said bonds, not to exceed 20 years, and interest thereon, and that such payment schedule shall be entered upon the permanent record of the Commissioners of the Public Debt and formally communicated to the City Clerk; and be it
Further Resolved, That a direct annual irrepealable tax shall be levied in each year that such bonds are outstanding, in an amount sufficient to pay and for the express purpose of paying the interest on said bonds, as it falls due, and also to pay and discharge the principal thereof at maturity, and shall be extended upon the tax roll of the City of Milwaukee and shall be collected by the officers of the City in the same manner and at the same time as taxes for general City purposes for such years are extended and collected, and when so collected, the proceeds of said taxes shall be used solely for paying the principal and interest on such bonds so long as any bonds of said issue remain outstanding; and be it
Further Resolved, That interest on or principal of the bonds falling due at any time when there shall be on hand insufficient funds from proceeds of the tax levy for the payment of such interest or principal shall be paid promptly when due from other funds of the City, which funds shall be reimbursed thereof out of the proceeds of the taxes above levied when such taxes shall have been collected; and be it
Further Resolved, That a Continuing Disclosure Certificate in substantially the form of the draft annexed to Common Council File Number 950621, adopted September 27, 1995, to be dated the date of initial delivery of the Bonds, is authorized to be executed and delivered by the Comptroller; and, be it
Further Resolved, That the obligation of the City of Milwaukee under the aforementioned disclosure certificate under the terms therein specified is determined to be contractual for the benefit of the bondholders from time to time; and, be it
Further Resolved, That the City of Milwaukee authorizes and directs the appropriate officers and employes of the City to take all action necessary or appropriate to comply with and carry out all of the provisions of the Continuing Disclosure Certificate as amended from time to time. Notwithstanding any other provision of the resolution, failure of the City to perform in accordance with the Continuing Disclosure Certificate shall not constitute a default under the resolution and the Continuing Disclosure Certificate may be enforced only as provided therein.
Further Resolved, That a global certificate shall be issued for each stated maturity date and registered only in the name of Cede & Company as nominee of the Depository Trust Company, New York, New York, for delivery and immobilization by the Depository Trust Company following the closing. The Depository Trust Company will act as securities depository of the bonds. The City will make payment of principal, redemption, premium if any, and interest on the bonds on the due dates to the Depository Trust Company, or its nominee, as registered owner of the bonds, in same-day funds. Notices, if any, given by the City to the registered owner of the bonds will be given to the Depository Trust Company. In the event that the securities depository relationship with the Depository Trust Company for the bonds is terminated and the City does not appoint a successor securities depository, the City will prepare, authenticate and deliver at its expense fully-registered certificated bonds in the denominations of $5,000 or in the integral multiple thereof in the aggregate principal amount by maturity then outstanding to the beneficial owners of the bonds; and be it
Further Resolved, That with respect to the issuance of any general obligation corporate purpose tax-exempt bonds, the City covenants with the holders from time to time of said bonds that (i) throughout the term of said bonds and (ii) through the date that the final rebate, if any, must be made to the United States in accordance with Section 148 of the Internal Revenue Code of 1986, as amended (the "Code") it will comply with the provisions of Sections 103 and 141 through 150 of the Code, and the applicable regulations of the Internal Revenue Service adopted thereunder, that must be satisfied in order that interest on said bonds shall be and continue to be excluded from gross income for federal income tax purposes under said Section 103; and be it
Further Resolved, That the cost of issuing the bonds and marketing same shall be paid from the proceeds of the bond sale, or deducted from same, and the project account or accounts credited with the net proceeds of the sale or sales.
ZDPT:
Comptroller
DFTR:
City Atty.
TEH:kef\.resoluti\CORPURP
01/23/98