Number
241171
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 at any time of not to exceed $200,000,000, pursuant to which 2018 Direct Loan Resolution the City and U.S. Bank National Association (“U.S. Bank”) entered in a Revolving Loan Agreement dated as of December 20, 2018 and pursuant to which the City and U.S. Bank entered into an Amended and Restated Revolving Loan Agreement dated on or about 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 at any time of not to exceed $200,000,000, pursuant to which 2021 Direct Loan Resolution the City and The Huntington National Bank entered in 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 Resolution, 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 the maximum principal amount outstanding from time to time of up to $100,000,000; and
Whereas, resolution No. 231256 adopted by the Common Council on January 17, 2024 (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 $150,000,000, 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 and 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. This resolution is in addition to Resolution 231211-2 which expires on December 31, 2024.
6. The authorizations included in this Resolution 241171 will expire on May 30, 2025.
Drafter
Comptroller
Joshua Benson
PD-8692bW.rtf