RES 2014-25 Adopted RESOLUTION 2014-25
DECLARING THE INTENTION OF THE CITY OF NORTH
AUGUSTA, SOUTH CAROLINA, TO REIMBURSE ITSELF FOR
CERTAIN EXPENDITURES RELATED TO CONSTRUCTION OF A
PARKING DECK WITH THE PROCEEDS OF DEBT OR OTHER
OBLIGATIONS TO BE INCURRED OR PROVIDED FOR BY THE
CITY OF NORTH AUGUSTA, SOUTH CAROLINA, AND
IDENTIFYING AND APPROVING CERTAIN ADDITIONAL
SOURCES OF FUNDS FOR THE PAYMENT OF THE COSTS
ASSOCIATED WITH SUCH PARKING DECK
WHEREAS, the City of North Augusta, South Carolina (the "City" or the "Issuer")
intends to incur debt or provide for the incurring of obligations in the form of installment
purchase revenue bonds or other types of obligations (the "Obligations") for the purpose of
providing funds to pay (A) a portion of the costs of a parking deck with a total capacity of
approximately 600 parking spaces on certain real property owned by the City and located at
94 Center Street, North Augusta, South Carolina 29841(the "Project"), and (B) the costs
incurred in connection with the authorization, issuance and sale of the Obligations;
WHEREAS, the estimated costs of the designing, planning, acquiring, engineering,
constructing, improving and equipping of the Project is expected to be an amount not
exceeding $12,000,000 and the sources of funds to pay for such costs are expected to be the
issuance of Obligations not exceeding $10,000,000 together with moneys from the City's
Capital Projects Sales Tax III Fund in the amount of $1,000,000 and the City's Capital
Projects Fund in the amount of$1,000,000;
WHEREAS, the Issuer has previously expended and reasonably expects to continue
to expend its moneys for costs incurred for the designing, planning, acquiring, engineering,
constructing, improving and equipping of the Project as well as the issuance costs of the
Obligations prior to the issuance of the Obligations;
WHEREAS, the Issuer intends and reasonably expects to reimburse itself for all such
expenditures paid by it with respect to the Project prior to the issuance of the Obligations from
the proceeds of the Obligations and such intention is consistent with the budgetary and
financial circumstances of the Issuer; and
WHEREAS, all of the costs to be paid or reimbursed from the proceeds of the
Obligations will be for costs incurred in connection with the issuance of the Obligations or
will, at the time of payment thereof, be properly chargeable to the capital account of the
Project (or would be so chargeable with a proper election) under general federal income tax
principles.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of North
Augusta, the governing body of the Issuer, in a meeting duly assembled:
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Section 1. It is hereby declared that the facts set forth in the preambles to this
resolution(this "Resolution") are in all respects true and correct.
Section 2. It is hereby declared that the Issuer intends and reasonably expects to
reimburse itself with the proceeds of the Obligations for all expenditures related to the Project
and the issuance of the Obligations paid by the Issuer prior to the issuance of the Obligations.
Section 3. This Resolution shall constitute a declaration of official intent under United
States Department o f the Treasury Regulation Section 1.150-2.
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Section 4. The maximum principal amount of Obligations expected to be issued for
the purpose of paying a portion of the costs of the designing, planning, acquiring, engineering,
constructing, improving and equipping of the Project and the issuance of the Obligations is an
amount not exceeding $10,000,000.
Section 5: The balance of the funding of costs of the Project will come from the
City's Capital Projects Sales Tax III Fund in an amount of $1,000,000, as previously
approved by referendum, and the City's Capital Projects Fund in an amount of$1,000,000,
as identified in the City's Project Jackson Financial Model, and the use of such additional
sources of funds for the purposes described herein is hereby approved.
RESOLVED IN MEETING DULY ASSEMBLED at North Augusta, South
Carolina this 15th day of December, 2014.
CITY OF NORTH AUGUSTA, SOUTH
CAROLINA
(SEAL)
By:
Lark W. Jones, Mayor
Attest:
By: - 2
Donna B. Young, Municipal rk
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