HomeMy WebLinkAbout134951
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
RESOLUTION NO. 13,495
A RESOLUTION TO EXERCISE THE OPTION FOR EARLY
REDEMPTION OF THE CITY OF LITTLE ROCK, ARKANSAS
RESIDENTIAL HOUSING AND PUBLIC FACILITIES BOARD CAPITAL
IMPROVEMENT BONDS (PARK SYSTEM PROJECT), SERIES 2001;
AND FOR OTHER PURPOSES.
WHEREAS, the City of Little Rock, Arkansas Residential Housing and Public Facilities Board
"Facilities Board ", Capital Improvement Bonds "the Bonds" (Park System Project), Series 2001 were
issued on February 26, 2001 in the amount of Three Million, Sixty Hundred Fifty Thousand Dollars
($3,650,000) for the purpose of acquiring approximately 617 acres of undeveloped land from Deltic
Timber in West Little Rock for development as parks and recreation facilities; and,
WHEREAS, the Facilities Board has in turn leased the property to the City of Little Rock at a rate of
Three Hundred Thousand Dollars ($300,000) per year and, at the time the bonds are fully redeemed, the
land will revert to the City of Little Rock; and,
WHEREAS, the bonds are subject to optional redemption at any time without penalty, subject to
thirty (30) days notice of redemption; and
WHEREAS, the current outstanding balance on the bonds is $1,105,000; and,
WHEREAS, the City of Little Rock has a letter of credit with Bank of America as security for the
bonds; and,
WHEREAS, the current market environment could trigger remarketing of the bonds and an
unfavorable increase in the interest rate;
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY
OF LITTLE ROCK, ARKANSAS:
Section 1: The Board of Directors hereby authorizes the City Manager and the Finance Department
Director to exercise the option for early redemption of the bonds and to pay off the outstanding balance.
Section 2: Funds for the redemption of the bonds are available as follows:
a) Approximately $310,000 is available on account with the Trustee, US Bank;
b) $300,000 is included in the 2012 Operating Budget for the annual lease payment;
c) Approximately $305,000 is available in the 2012 Operating Budget for debt service;
d) The remaining funds required to retire the bonds are available in the contingency allocation
of the 2012 Operating Budget.
[Pagel of 2l
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
Section 3: Severability. In the event any title, section, paragraph, item, sentence, clause, phrase, or
word of this resolution is declared or adjudged to be invalid or unconstitutional, such declaration or
adjudication shall not affect the remaining portions of the resolution which shall remain in full force and
effect as if the portion so declared or adjudged invalid or unconstitutional were not originally a part of the
resolution.
Section 4. Repealer. All laws, ordinances, resolutions, or parts of the same, that are inconsistent
with the provisions of this resolution, are hereby repealed to the extent of such inconsistency.
ADOPTED: May 1, 2012
ATTEST: — � APPROVE
Clerk
LEGAL FORM:
v 7 rVL ' Li
Thomas M. Carpenter,
H
H
H
H
H
H
H
H
H
H
H
H
H
H
H
H
11
Attorney
Mark Stodola, rdayor
[Page 2 of 21