Resolution 2689-99
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RESOLUTION NO. 2689-99
A Resolution of the Board of Directors
of the South Tahoe Public Utility District
Declaration of Official Intent of
South Tahoe Public Utility District
to Reimburse Certain Capital Expenditures
for Proceeds of Taxable or Tax-Exempt Indebtedness
WHEREAS, the South Tahoe Public Utility District ("District") intends to construct the
Water System Improvements Replacement ("Project"); and
WHEREAS, the District expects to pay certain capital expenditures in connection with
the Project prior to the issuance of taxable or tax-exempt indebtedness to be used to finance
10 such expenditures; and
11 WHEREAS, the District is authorized to incur or issue debt obligations to finance costs
12 of the project; and
WHEREAS, the District anticipates it will issue debt obligations for the purpose of
financing costs of the Project on a long-term basis; and
WHEREAS, Section 1.150-2 of the Treasury Regulations requires the District to declare
its reasonable official intent to reimburse prior expenditures for the Project with proceeds of
17 a taxable or tax-exempt borrowing;
18 NOW, THEREFORE BE IT RESOLVED, that the Board of Directors of the South Tahoe
19 Public Utility District as follows:
20 Section 1. The Board of Directors of the District finds and determines that the
21 foregoing recitals are true and correct.
Section 2. The Resolution is adopted by the Board of Directors of the District solely
for the purpose of establishing compliance with the requirements of Section 1.150-2 of the
Treasury Regulations. This Resolution does not bind the District to make any expenditures,
incur any indebtedness, or proceed with the Project.
Section 3. The Board of Directors expects the District will pay certain capital
expenditures in connection with the Project prior to the issuance of taxable or tax-exempt
indebtedness for the Project. The reimbursement of such Project expenditures is consistent
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1 Resolution No. 2689-99
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3 with the District's established budgetary and financial circumstances. As of the date hereof,
4 the Board of Directors of the District reasonably expects that such Project expenditures shall
5 be paid from the District's funds. The Board of Directors of the District does not expect that
6 the District's Water Capital Outlay Fund moneys, temporarily used to pay such Project
7 expenditures, will be permanently available for the Project. Proceeds of taxable or tax-exempt
8 indebtedness will need to be issued for the Project since there are insufficient funds or
9 sources of moneys that have been, or reasonably are expected to be, allocated, reserved, or
10 otherwise made available on a long-term basis, pursuant to the District's budget, to pay costs
11 of the Project.
12 Section 4. Project expenditures that are to be reimbursed to the District shall not
have been paid from proceeds of any other tax-exempt indebtedness.
Section 5. The Board of Directors of the District hereby declares the District's
official intent to use proceeds of taxable or tax-exempt indebtedness in a principal amount
not to exceed $10,000,000 to reimburse itself for future Project expenditures. The Board
of Directors of the District reasonably expects that such indebtedness will be secured by and
payable from the Water Enterprise Fund revenues.
Section 6. The Resolution shall be continuously available for inspection by the
general public during normal business hours at the offices of the District, located at 1275
Meadow Crest Drive, South Lake Tahoe, California.
Section 7. This Resolution shall take effect from and after its adoption.
PASSED AND ADOPTED at a duly held Regular Meeting of the Board of Directors of
the South Tahoe Public Utility District on the 18th day of February, 1999 by the following
25 votes:
26 I I I I I I I I I I I I
27 I I I I I I I I I / / /
28 I / / I / / / / / / I /
\" 1 Resolution No. 2689-99
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4 AYES: Directors
5 NOES: None
6 ABSENT: None
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Wallace, Strohm, Jones, Gochnauer, Mosbacher
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15 ATTEST:
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18 K~ ~~erk~~ S-;;,I?md
19 Ex-Officio Secretary to the Board of Directors
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