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HomeMy WebLinkAbout2005-12-20; Public Financing Authority; Resolution 16Exhibit 1 RESOLUTION NO. 16 A RESOLUTION DECLARING INTENTION TO REIMBURSE EXPENDITURES FROM THE PROCEEDS OF BONDS TO BE ISSUED BY THE CARLSBAD PUBLIC FINANCING AUTHORITY WH€R€AS, the Carlsbad Public Financing Authority (the “Authority”) proposes to undertake the project referenced below, to issue lease revenue bonds or certificates of participation (in either case, referred to herein as the “Bonds”) for such project, and to use a portion of the proceeds of such Bonds to reimburse expenditures made for the project prior to the issuance of the Bonds; WHEREAS, United States Income Tax Regulations section 1.150-2 provides generally that proceeds of tax-exempt Bonds are not deemed to be expended when such proceeds are used for reimbursement of expenditures made prior to the date of issuance of such Bonds unless certain procedures are followed, one of which is a requirement that (with certain exceptions), prior to the payment of any such expenditure, the issuer declares an intention to reimburse such expenditure; and WHEREAS, it is in the public interest and for the public benefit that the Authority declares its official intent to reimburse the expenditures referenced herein. Ill1 //// ///I //// //// //// //// NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the Carlsbad Public Financing Authority as follows: I. The Authority intends to issue the Bonds or cause the Bonds to be issued for the purpose of paying the costs of acquiring and constructing a municipal golf course in Carlsbad (the "Project"). 2. The Authority hereby declares that it reasonably expects (i) to pay a portion of the costs of the Project prior to the date of issuance of the Bonds, and (ii) to use a portion of the proceeds of the Bonds for reimbursement of expenditures for the Project that are paid before the date of issuance of the Bonds. 3. The principal amount of the Bonds is expected to be approximately $15,000,000. PASSED AND ADOPTED by the Board of Directors of the Carlsbad Public Financing Authority at a duly held regular meeting thisZ!hday of December, 2005, by the following vote: AYES: Board Members Lewis, Hall, NOES: None ABSENT: Board Member Kulchin Carlsbad Public Financing Authority Attest: 2 3