HomeMy WebLinkAboutR14-323204
Resolution R14-323
A RESOLUTION BY THE CITY OF PLAINVIEW, TEXAS, AUTHORIZING
REFUNDING OF CANADIAN RIVER MUNICIPAL WATER AUTHORITY
CONTRACT REVENUE REFUNDING BONDS, SERIES 2005
(CONJUNCTIVE USE GROUNDWATER SUPPLY PROJECT) AND/OR
CANADIAN RIVER MUNICIPAL WATER AUTHORITY CONTRACT
REVENUE BONDS, SERIES 2006 (CONJUNCTIVE USE
GROUNDWATER SUPPLY PROJECT)
WHEREAS, the City of Plainview, Texas (the "City") has entered into that certain
Agreement for the Purchase and Acquisition of Conjunctive Use Groundwater Supply
(the "Agreement") entered into as of May 15, 1996, as amended, with the Canadian
River Municipal Water Authority (the "Authority"); and
WHEREAS, the Authority has entered similar agreements with each of the other
cities that are members of the Authority (the "Member Cities"); and
WHEREAS, the Authority issued and has outstanding its Canadian River
Municipal Water Authority Contract Revenue Bonds, Series 2005 (Conjunctive Use
Groundwater Supply Project); Canadian River Municipal Water Authority Contract
Revenue Refunding Bonds, Series 2005 (Conjunctive Use Groundwater Supply
Project); Canadian River Municipal Water Authority Contract Revenue Bonds, Series
2006 (Conjunctive Use Groundwater Supply Project); Canadian River Municipal Water
Authority Contract Revenue Bonds, Series 2009 (Conjunctive Use Groundwater Supply
Project); Canadian River Municipal Water Authority Contract Revenue Refunding
Bonds, Series 2010 (Conjunctive Use Groundwater Supply Project); Canadian River
Municipal Water Authority Subordinate Lien Contract Revenue Bonds, Series 2011
(Conjunctive Use Groundwater Supply Project); and Canadian River Municipal Water
Authority Subordinate Lien Contract Revenue Refunding Bonds, Series 2012
(Conjunctive Use Groundwater Supply Project); and
WHEREAS, the Authority has expressed its intent to issue refunding bonds to
refund all or a part of the outstanding Canadian River Municipal Water Authority
Contract Revenue Refunding Bonds, Series 2005 (Conjunctive Use Groundwater
Supply Project) (the "Series 2005 Refunding Bonds") and all or a part of the outstanding
Canadian River Municipal Water Authority Contract Revenue Bonds, Series 2006
(Conjunctive Use Groundwater Supply Project) (the "Series 2006 Bonds") if market
conditions justify refunding both the Series 2005 Refunding Bonds and the Series 2006
Bonds; and
WHEREAS, if the market conditions do not result in sufficient savings to refund
both the outstanding Series 2005 Refunding Bonds and the Series 2006 Bonds, then
the Authority will want to refund such issue as may be economically feasible; and
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WHEREAS, if the market conditions only justify the refunding of the Series 2005
Refunding Bonds, then the Authority desires to issue refunding bonds in a principal
amount not to exceed $13,500,000 to refund all or a part of the outstanding Series 2005
Refunding Bonds; and
WHEREAS, if the market conditions only justify the refunding of the Series 2006
Bonds, then the Authority desires to issue refunding bonds in a principal amount not to
exceed $36,500,000 to refund all or a part of the outstanding Series 2006 Bonds; and
WHEREAS, the Agreement provides for certain notice requirements before the
Authority may issue Additional Bonds, as defined in the Agreement; and
WHEREAS, the refunding bonds are Additional Bonds under the Agreement; and
WHEREAS, the timing constraints of getting the governing bodies of all Member
Cities of the Authority to meet and approve refunding bonds may prevent the Authority
from issuing refunding bonds in a timely manner to provide savings to the Member
Cities; and
WHEREAS, it is in the best interest of the City to waive certain notice
requirements under the Agreement and consent to the issuance of the bonds to permit
the Authority to refund all or a part of the outstanding Series 2005 Refunding Bonds and
all or a part of the Series 2006 Bonds if a combined present value savings of at least
4.50% can be achieved; and
WHEREAS, if the market is such that only the Series 2005 Refunding Bonds can
be refunded, it is in the best interest of the City to waive certain notice requirements
under the Agreement and consent to the issuance of the bonds to permit the Authority
to refund all or a part of the outstanding Series 2005 Refunding Bonds if a present value
savings of at least 5.50% can be achieved; and
WHEREAS, if the market is such that only the Series 2006 Bonds can be
refunded, it is in the best interest of the City to waive certain notice requirements under
the Agreement and consent to the issuance of the bonds to permit the Authority to
refund all or a part of the outstanding Series 2006 Bonds if a present value savings of at
least 3.50% can be achieved; and
WHEREAS the City agrees to the Authority's issuance of bonds as subordinate
lien bonds to eliminate the need of a reserve fund;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PLAINVIEW,
TEXAS:
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206
SECTION 1. (a) That the City waives the notice requirements of Section 4.1(a)
of the Agreement, and consents to the issuance of the Canadian River Municipal Water
Authority Subordinate Lien Contract Revenue Refunding Bonds, Series 2014 in a
principal amount not to exceed $50,000,000 to refund all or a part of the outstanding
Series 2005 Refunding Bonds and all or a part of the outstanding Series 2006 Bonds,
subject to the requirement that the refunding bonds for both issues combined provide a
present value debt service savings of at least 4.50%.
(b) Should market conditions only justify the refunding of the Series 2005
Refunding Bonds, the City waives the notice requirements of Section 4.1(a) of the
Agreement, and consents to the issuance of the Canadian River Municipal Water
Authority Subordinate Lien Contract Revenue Refunding Bonds, Series 2014 in a
principal amount not to exceed $13,500,000 to refund all or a part of the outstanding
Series 2005 Refunding Bonds, subject to the requirement that the refunding bonds for
the Series 2005 Refunding Bonds provide a present value debt service savings of at
least 5.50%.
(c) Should market conditions only justify the refunding of the Series 2006 Bonds,
the City waives the notice requirements of Section 4.1(a) of the Agreement, and
consents to the issuance of the Canadian River Municipal Water Authority Subordinate
Lien Contract Revenue Refunding Bonds, Series 2014 in a principal amount not to
exceed $36,500,000 to refund all or a part of the outstanding Series 2006 Bonds,
subject to the requirement that the refunding bonds for the Series 2006 Bonds provide a
present value debt service savings of at least 3.50%.
SECTION 2. That the City Secretary be and is hereby authorized to deliver
certified copies of this Resolution and minutes pertaining to its adoption to the Authority
in such numbers as may be requested for the Authority's records and proceedings.
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PASSED, APPROVED AND ENACTED this the 23rd day of September, 2014.
ATTEST:
nde et,)
City Secretary
City of Plainview, Texas
[City Seal]
ayor, City of Plainview, Texas 1
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