Number
251267
Version
Original
Sponsor
THE CHAIR
Title
Authorization to use Direct Loans for Various Purposes.
Analysis
Resolution authorizes the use of direct loans for various purposes.
Body
Whereas, Common Council Resolution File No. 180864 adopted by the Common Council (the “Common Council”) of the City of Milwaukee, Wisconsin (the “City”) on December 18, 2018 (as supplemented by Common Council Resolution File No. 221095, the “2018 Direct Loan Resolution”) authorizes the issuance of General Obligation Promissory Notes of the City from time to time in the aggregate principal amount outstanding on any date of not to exceed $200,000,000, and pursuant to the 2018 Direct Loan Resolution, the City and U.S. Bank National Association (“U.S. Bank”) entered into a Revolving Loan Agreement dated as of December 20, 2018, which was amended and restated in its entirety by an Amended and Restated Revolving Loan Agreement dated as of December 22, 2022 (the “U.S. Bank Revolving Loan Agreement”); and
Whereas, Common Council Resolution File No. 210940 adopted by the Common Council of the City on November 2, 2021 (the “2021 Direct Loan Resolution” and together with the 2018 Direct Loan Resolution, the “Note Resolutions”) authorizes the issuance of General Obligation Promissory Notes of the City from time to time in the aggregate principal amount outstanding on any date of not to exceed $200,000,000, and pursuant to the 2021 Direct Loan Resolution, the City and The Huntington National Bank entered into a Revolving Loan Agreement dated as of November 15, 2021 (the “Huntington Revolving Loan Agreement” and together with the U.S. Bank Revolving Loan Agreement, the “Revolving Loan Agreements”); and
Whereas, the Note Resolutions authorize draws under the Revolving Loan Agreements for purposes for which notes may be issued pursuant to the Note Resolutions, including the refunding of other direct loans; and
Whereas, the Note Resolutions provide that the obligations authorized thereby shall be sold at such time and in such amounts as the Commissioners of the Public Debt (the “Commissioners”) determine to be prudent and appropriate; and
Whereas, the Commissioners desire that the City sell revolving loan notes under the Revolving Loan Agreements in one or more series in the maximum principal amount of up to $100,000,000; and
Whereas, resolution No. 241324 adopted by the Common Council on January 21, 2025 (the “GO Note Resolution”) authorizes the issuance of general obligation promissory notes for various public purposes, and such notes may be issued pursuant to the Revolving Loan Agreements;
Now, therefore be it Resolved, by the Commissioners of the Public Debt, that:
1. The Comptroller is authorized to enter into one or more Series Supplements under the Revolving Loan Agreements (each a “Series Supplement”) and issue one or more General Obligation Promissory Notes (each a “Revolving Loan Note”) pursuant to each Series Supplement in the maximum aggregate principal amount of $100,000,000, with a maximum maturity date of 5 years from the date of issuance of the applicable Revolving Loan Note, and with a maximum interest rate provided in the applicable Revolving Loan Agreement.
2. The Revolving Loan Notes shall be in the respective forms set forth in the Revolving Loan Agreements, shall be signed by those officers whose signatures are required by law, and shall be general obligations of the City.
3. The sale and issuance of up to $100,000,000 Revolving Loan Notes, within the aggregate outstanding amount previously authorized, are authorized to be issued from time to time, in the amounts and purposes as authorized by the GO Note Resolution, as may be determined by the Comptroller.
4. The Comptroller, Treasurer, and their designees are authorized to make draw requests under the Revolving Loan Agreements.
5. The authorizations included in this Resolution 251267 will expire on December 31, 2026.
Drafter
Comptroller
Joshua Benson