HomeMy WebLinkAbout1035 - DECLARING the intent of the City of Boulder, Colorado to assign the city's private activity bond allocation for 2008 to the...o private activity bond ceiling allocation RESOLUTION NO. 1035
SERIES 2008
A RESOLUTION DECLARING THE INTENT OF THE CITY OF BOULDER,
COLORADO TO ASSIGN THE CITY'S PRIVATE ACTIVITY BOND
ALLOCATION FOR 2008 TO THE COUNTY OF BOULDER, COLORADO
PURSUANT TO THE COLORADO PRIVATE ACTIVITY BOND CEILING
ALLOCATION ACT
WHEREAS the city of Boulder ("City") and Boulder County ("County") are authorized
and empowered under the laws of the state of Colorado (the "State") to issue revenue bonds for
the purpose of financing qualified home improvements for renewable energy systems and energy
efficiency for private properties; and
WHEREAS the Internal Revenue Code of 1986, as amended (the "Code"), restricts the
amount of tax-exempt bonds ("Private Activity Bonds") which may be issued in the State to
provide such financing and for certain other purposes; and
WHEREAS pursuant to the Code, the Colorado legislature adopted the Colorado Private
Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado Revised
Statutes (the "Allocation Act"), providing for the allocation of the State Ceiling among
governmental units in the State, and further providing for the assignment of such allocations
from one such governmental unit to another governmental unit; and
WHEREAS pursuant to the Allocation Act, the City has received a direct allocation of
the State of Colorado's Private Activity Bond Ceiling in the amount of $4,151,018 ("2008
Allocation"); and
WHEREAS, the County has requested that the City assign the 2008 Allocation to the
County pursuant to Section 24-32-1706 of the Allocation Act, to be used to issue bonds to
finance qualified home improvements for renewable energy systems and energy efficiency for
private properties in the City and the County; and
WHEREAS, the City Council of the city of Boulder has determined to assign $4,15],018
of its 2008 Allocation to the County which assignment is to be evidenced by an Assignment of
Allocation ("Assignment") between the city of Boulder and the County attached hereto as
Exhibit A, to finance qualified home improvements for renewable energy systems and energy
efficiency for private properties in the City and the County:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF BOULDER:
1. The City Council hereby authorizes the Assignment of the 2008 Allocation to the
County for use as described above.
2. The form, terms, and provisions of the Assigmnent hereby are approved and the
Mayor hereby is authorized and directed to execute and deliver the Assignment, with such
technical variations, additions, or deletions therein as the Mayor may deem necessary or
appropriate and not inconsistent with the approval thereof by this Resolution. The execution of
the Assignment shall be conclusive evidence of the approval by the City of such document in
accordance with the terms hereof.
3. The City Council hereby finds, determines, recites and declares that neither this
Assigrunent nor the executing of this Assignment of Allocation shall constitute any multiple-fiscal
year direct or indirect debt or other financial obligation whatsoever of the Ciry, and the Private
Activity Bonds shall not constitute or give rise to a pecuniary liability of the City or a charge against
the City's general credit or taxing powers, or ever be deemed an obligation or agreement of any city
council member, officer, director, agent or employee of the City.
AGENDA ITEM N PAGE
4. The officers of the City shall take such other steps or actions necessary or
reasonably required to carry out the terms and intent of this Resolution and the Assignment.
5. If any section, paragaph, clause, or provision of this Resolution shall for any
reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section,
paragraph, clause, or provision shall not affect any of the remaining provisions of this
Resolution.
6. All actions not inconsistent with the provisions of this Resolution heretofore taken
by the City Council and the officers of the City directed toward the assignment of the 2008
Allocation and the authorization of the Assignment hereby are ratified, approved, and confirmed.
7. This Resolution shall be in full force and effect as of September 2008.
Passed and adopted this ~ day of J 2008.
A
MAYOR
ATTEST:
CITY CL RK
AGENDA ITEM N PAGE
ASSIGNMENT OF ALLOCATION
This Assignment of Allocation (the "Assignment"), dated this _ day of
2008, is between the City of Boulder (the "Assignor") and Boulder County (the
"Assignee").
WITNESSETH:
WHEREAS, the Assignor and the Assignee are authorized and empowered under the
laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of financing
qualified home improvements for renewable energy systems and energy efficiency for private
properties; and
WHEREAS, the Internal Revenue Code of 1986, as amended (the "Code"), restricts the
amount of tax-exempt bonds ("Private Activity Bonds") which may be issued in the State to
provide such purposes (the "State Ceiling"); and
WHEREAS, pursuant to the Code, the Colorado legislature adopted the Colorado Private
Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado Revised
Statutes (the "Allocation Act"), providing for the allocation of the State Ceiling among the
Assignee and other governmental units in the State, and further providing for the assignment of
allocations from such other governmental units to the Assignee; and
WHEREAS, pursuant to an allocation under Section 24-32-1706 of the Allocation Act,
the Assignor has an allocation of the 2008 State Ceiling for the issuance of a specified principal
amount of Private Activity Bonds prior to September 15, 2008 (the "2008 Allocation"); and
WHEREAS, the Assignor has determined that, in order to encourage construction of
qualified home improvements for renewable energy systems and energy efficiency for private
properties within the City and the County in a manner consistent with the City's overall policies
within the City of Boulder and elsewhere in the State, it is necessary or desirable to provide for
the utilization of all or a portion of the 2008 Allocation; and
WHEREAS, the Assignor has determined that the 2008 Allocation, or a portion thereof,
can be utilized most efficiently by assigning it to the Assignee to issue Private Activity Bonds for
the purpose of providing funds to finance qualified home improvements for renewable energy
systems and energy efficiency for private properties located in Boulder and the County
AGENDA ITEM N PAGE
("Revenue Bonds"), and the Assignee has expressed its willingness to attempt to issue Revenue
Bonds with respect to the 2008 Allocation; and
WHEREAS, the City Council of the Assignor has determined to assign to the Assignee
$4,151,018 of its 2008 Allocation for providing funds to finance qualified home improvements
for renewable energy systems and energy efficiency for private properties, located in Boulder
and the County, and the Assignee has agreed to accept such assignment, which is to be evidenced
by this Assignment.
NOW, THEREFORE, in consideration of the premises and the mutual promises
hereinafter set forth, the parties hereto agree as follows:
1. The Assignor hereby assigns to the Assignee $4,141,018 of its 2008 Allocation,
subject to the terms and conditions contained herein. The Assignor represents that it has
received no monetary consideration for said Assignment.
2. The Assignee hereby accepts the Assignment to it by the Assignor of $4,141,018
of Assignor's 2008 Allocation, subject to the terms and conditions contained herein. The
Assignee agrees to use its best efforts to issue and sell Revenue Bonds, in one or more series, and
to make proceeds of such Revenue Bonds available from time to time during the period of two
(2) years from the date of this Assignment to fund loans in at least the aggregate amount of
$4,141,018 to ftnance qualified home improvements for renewable energy systems and energy
efficiency for private properties, located in Boulder and Boulder County, Colorado.
3. The Assignor hereby consents to the election by the Assignee, if the Assignee in
its discretion so decides, to trezt all or any portion of the Assignment set forth herein as an
allocation for a project with a carry forward purpose.
4. The Assignor and Assignee each agree that it will take such further action and
adopt such further proceedings as may be required to implement the terms of this Assignment.
5. This Assignment is effective upon execution and is irrevocable.
AGENDA ITEM # PAGE
IN WITNESS WHEREOF, the parties hereto have duly executed this Assignment on the
date first written above.
CITY OF BOULDER, COLORADO
By:
Stephanie A. Grainger
Interim City Manager
] 777 Broadway
Boulder, CO 80302
Telephone (303)441-3090
Fax (303)441-4478
Attest:
City Clerk on behalf of the
Director of Finance and Record
Approved as to form:
City Attorney
AGENDA 17'EM # PAGE