HomeMy WebLinkAboutR-2011-031 Intent to Reimburse-Horizons �;�,
RESOLUTION NO. R-2011-031
A RESOLUTION DECLARING THE INTENT OF THE CITY TO REIMBURSE ITSELF FOR
CAPITAL EXPENDITURES RELATED TO INFRASTRUCTURE IMPROVEMENTS WITHIN
THE RIVERSIDE HORIZONS PROJECT AREA
WHEREAS, the Board of Aldermen find it in the best interest of the City to provide for the
reimbursement of certain capital expenditures related to infrastructure improvements within the
Horizons development area;
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY
OF RIVERSIDE, MISSOURI, AS FOLLOWS:
THAT the City of Riverside, Missouri (the "City") expects to make capital expenditures
after the date of this Resolution in connection with various infrastructure improvements for the
Riverside Horizons project in the City, which consists of approximately 700 acres within in the City
(the "ProjecY'), and the City intends to reimburse itself for such expenditures with the proceeds of
bonds, notes, or a lease purchase agreement; and
FURTHER THAT, that the maximum principal amount of the lease agreement or other
obligations expected to be issued for the Project is $11,404,840.
PASSED AND ADOPTED b,Y the Board of Aldermen and APPROVED by the Mayor of the
City of Riverside, Missouri, the �1�day of � , 2011.
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Ka hleen L. Rose, Mayor
ATTEST:
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Robin Littrell, City Clerk
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Upstream from ordinary.
2950 NW Vivion Road
Riverside, Missouri 64150
MEMO DATE: May 26, 201 I
AGENDA DATE: May 31, 201 I
TO: Mayor and Board of Aldermen
FR�M: Nancy Thompson, City Attorney
RE: Reimbursement Resolution
BACKGROUND: Adoption of this resolution preserves the ability of the City to issue future debt
to reimburse itself for the expenditures associated with the infrastructure
improvements in the Briarcliff Horizons project area. It does not obligate the
City to issue any new debt; it merely keeps the option open to utilize alternate
financing mechanisms in the event the City determines it would be advantageous
to do so.
Timing of the adoption of the resolution is important because it is required to be
adopted prior to the expenditure of any funds by the City. The City would then
have I S months after the infrastructure improvements that it paid for are placed
in service to issue the bonds on a tax-exempt basis to reimburse itself.
The City and Briarcliff are in the process of setting up the Special Infrastructure
Project Escrow Account provided under the MDA. Briarcliff has indicated its
intention to fund their first deposit into the escrow account next week. The
City will have 14 days to funds its proportionate share after the deposit by
Briarcliff.
FISCAL IMPACT: None. The maximum amount of the obligation is $I 1,404,840 (which
corresponds to the city share of the Infrastructure Project under the Master
Development Agreement).
RECOMMENDATION: Staff recommends approval of the resolution.