Title
Resolution Approving Staff Allocation of Funding Sources for Existing Capital Budget Expenditures Which Have Been Appropriated and Approved
Purpose
PURPOSE/BACKGROUND:
The City Council annually adopts the Capital Budget ordinance, which includes parenthetical notations of the anticipated revenue source for each project expenditure identified in the Capital Budget. With the exception of certain tax exempt bond revenues, the allocation of revenue sources approved in the Capital Budget is discretionary and does not require City Council approval. However, changing the allocation of bond proceeds does require Council approval. As staff prepares for the bond issue and consults with its Financial Advisors and Bond Counsel, it may be determined that it is more advantageous for the City to change how Council approved funding sources are allocated among Council approved projects in order protect the tax exempt status of its bonds. This resolution gives staff the flexibility to tweak how approved funding sources are applied to approved projects in the period between when the Capital Budget is adopted and the bonds are officially authorized by Council. When Council authorizes the bonds, they will formally adopt which projects will be funded with bond proceeds. Any changes to those allocations once Council formally adopts them will require Council approval.
Recommendation:
Rec
Approve
Body
WHEREAS, the City Council annually adopts the Capital Budget ordinance which includes parenthetical notations of the anticipated revenue source for each project expenditure identified in the Capital Budget;
WHEREAS, with the exception of certain tax exempt bond revenues, the allocation of revenue sources approved in the Capital Budget is discretionary;
WHEREAS, federal regulations set a limit on how much of a tax exempt bond can be used for private activities, which may include acquisitions of propert...
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