HomeMy WebLinkAbout2003-102 - Authorization of the Issuance of $16,300,000 in Tax Increment Revenue Bond Anticipation NotesBILL NO. 2003-102
ORDINANCE NO. 2003-102
An Ordinance Authorizing the Issuance and Sale of $16,300,000 City of Riverside,
Missouri L-385 Levee Redevelopment Plan Tax Increment Revenue Bond
Anticipation Notes (L-385 Levee Project) Series 2003 (The "Notes") to Finance
Certain Redevelopment Project Costs Relating to the L-385 Levee Redevelopment
Plan and Redevelopment Project I Thereunder and Pay the Costs of Issuance of the
Notes, for the General Welfare, Safety and Benefit of the Citizens of the City of
Riverside, Missouri (the "City"); Authorizing and Directing the Officers of the City
to Execute and Deliver a Note Trust Indenture, Tax Compliance Agreement,
Continuing Disclosure Agreement, Note Purchase Contract, Preliminary Official
Statement and Final Official Statement for the Notes; and Authorizing and
Directing the Taking of Other Actions and Approval and Execution of Other
Documents as Necessary or Desirable to Carry Out and Comply with the Intent
Hereof.
WHEREAS, the City is authorized and empowered under the Real Property Tax Increment
Allocation Redevelopment Act, Sections 99.800 to 99.865, inclusive, of the Revised Statutes of Missouri,
as amended (the "T1F Act"), to issue notes and bonds for the purpose of providing funds to finance the
costs of certain redevelopment projects and to pay certain costs related to the issuance of such notes and
bonds; and
WHEREAS, a plan for redevelopment titled "L-385 Levee Redevelopment Plan" designating
approximately 1,800 acres within the City as the redevelopment area (the "Redevelopment Area") was
approved by the City after recommendation of the Tax Increment Financing Commission (as amended
and supplemented, the "Redevelopment Plan"); and
WHEREAS, Redevelopment Project I under the Redevelopment Plan is the construction of the
L-385 Levee Project ("Levee Project"); and
WHEREAS, the Riverside-Quindaro Bend Levee District of Platte County, Missouri (the
"District") and the City have been working towards the completion of the Levee Project together with the
U.S. Army Corps of Engineers; and
WHEREAS, additional funding is needed for the local share portion of the Levee Project
("Additional Funds"); and
WHEREAS, the City intends to issue its L-385 Levee Redevelopment Plan Tax Increment
Revenue Bond Anticipation Notes (L-385 Levee Project) Series 2003 (the "Notes"), pursuant to a Note
Trust Indenture (the "Indenture"), between the City and UMB Bank, N.A., as Trustee (the "Trustee"); and
WHEREAS, the proceeds of the Notes will be used to provide Additional Funds to finance the
Levee Project; and
WHEREAS, the Board of Aldermen of the City hereby finds it is advisable, necessary and in the
best interests of the City to authorize and direct the issuance of the Notes pursuant to the Indenture; and
NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE
CITY OF RIVERSIDE, MISSOURI AS FOLLOWS:
Section 1. Definitions. All capitalized terms not elsewhere defined herein shall have the
meanings set forth in Section 101 of the Indenture.
Section 2. Findings and Determinations. The Board of Aldermen hereby finds and
determines that it is necessary and in the best interests of the City:
a. to issue the Notes to (i) pay, including the reimbursement of, a portion of the
Redevelopment Project Costs of Redevelopment Project I, the Levee Project, under the Redevelopment
Plan, and (ii) pay certain costs related to the issuance of the Notes; and
b. to enter into a negotiated sale of the Notes to the Original Purchaser.
Section 3. Authorization and Direction to Issue Notes. The City hereby authorizes and
directs the issuance of its L-385 Levee Redevelopment Plan Tax Increment Revenue Bond Anticipation
Notes (L-385 Levee Project) Series 2003, in an aggregate principal amount not to exceed $16,300,000
(the "Notes") for the purposes set forth in the Tndenture. The City hereby ratifies and confirms all prior
actions taken in connection with the issuance of the Notes. The Notes (i) shall have a final maturity not
later than July 1, 2004, (ii) shall bear interest at an interest rate of 1.55% per annum (based upon the
actual number of days elapsed over a year of 365 or 3G6 days, whichever is applicable). The terms and
provisions of the Notes shall be as provided in the Indenture.
Section 4. Limited Obligations. The Notes, the interest thereon and the City's obligations
to make Note payments and additional payments described in the Indenture shall be limited, special
obligations of the City payable (except to the extent paid out of Note proceeds or the income from the
temporary investment thereof) solely from, and secured by, a pledge of, subject to annual appropriation
by the City, all general fund revenues of the City, as provided in the Indenture. The taxing power of the
City is not pledged to the payment of the Notes either as to principal or interest. The Notes and interest
thereon shall not be deemed to constitute a debt or liability of the City, within the meaning of any state
constitutional provision or statutory limitation, and shall not constitute a pledge of the full faith and credit
of the City but shall be payable solely from the funds provided for in this Indenture. The obligation of the
City to make payments under the Indenture is subject to annual appropriation as provided therein. The
terms and provisions of the Notes shall be as provided for in the Indenture.
Section 5. Authority and Direction to Sell the Notes in a Negotiated Sale. In connection
with the issuance of the Notes, the City hereby authorizes and approves the negotiation of the sale thereof
with the Original Purchaser, subject to the provisions of this Ordinance.
Section 6. Authority and Direction to Execute and Delivery City Documents. The
following documents are hereby approved in substantially the forms presented with this Ordinance
(copies of which documents are on file with the City Clerk), and the City is hereby authorized to enter
into, execute and deliver each of such documents (collectively, the "City Documents") with such changes
therein as shall be approved by the officials of the City executing such documents, such officials'
signatures thereon being conclusive evidence of their approval and the City's approval thereof:
a. the Indenture between the City and the Trustee,
b. the Continuing Disclosure Agreement between the City and the Trustee,
c. the Tax Compliance Agreement between the City, the District and the Trustee,
d. the Note Purchase Contract between the City and Oppenheimer & Co. Inc., and
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e. Preliminary Official Statement.
The Mayor, City Clerk, City Administrator and such other officers of the City as are appropriate are
hereby authorized and directed to execute, seal, attest and deliver, for and on behalf of and as the act and
deed of the City, the City Documents and such other documents, certificates and instruments as maybe
necessary or desirable to facilitate the issuance of the Notes and to carry out and comply with the intent of
this Ordinance and the City Documents, with such documents being in such form as shall be approved by
the appropriate officers of the City executing such documents, such officers' signatures thereon being
conclusive evidence of their approval thereof.
Section 7. Approval of Preliminary and Final Official Statements. The City hereby
approves the Preliminary Official Statement respecting the Notes (the 'Preliminary Official Statement ")
in substantially the form presented with this Ordinance, and the final Official Statement respecting the
Notes in substantially the form of the Preliminary Official Statement with such changes and additions
thereto as are necessary to conform to and describe the transaction, and the public distribution of the same
by the Original Purchaser is hereby approved for use in connection with the sale of the Notes. For the
purpose of enabling the Original Purchaser to comply with the requirements of Rule 15c2-12(b)(1) of the
Securities and Exchange Commission, the City hereby deems the information contained in the
Preliminary Official Statement to be "final" as of its date, except for the omission of such information as
is permitted by Rule 15c2-12(b)(1), and the appropriate officers of the City are hereby authorized, if
requested, to provide the Original Purchaser a letter or certification to such effect and to take such other
actions or execute such other documents as such officers in their reasonable judgment deem necessary to
enable the Original Purchaser to comply with the requirements of such Rule.
Section 8. Further Authority. The City and the Mayor, the City Administrator, the
Finance Officer and other appropriate officers, agents and employees of the City are hereby authorized to
take such further actions and execute such other documents as may be necessary or desirable to carry out
and comply with the intent of this Ordinance, and to carry out, comply with and perform the duties of the
City with respect to the City Documents.
Section 9. Designation of Trustee, Paying Agent and Note Registrar. The City hereby
designates UMB Bank, N.A., as Trustee, Paying Agent and Note Registrar under the Indenture.
Section 10. Severability. It is hereby declared to be the intent of the Board of Aldermen that
each and every part, section and subsection of this Ordinance shall be separate and severable from each
and every other part, section and subsection hereof and that the Board of Aldermen intends to adopt each
said part, section and subsection separately and independently of any other part, section and subsection.
In the event that any part, section or subsection of this Ordinance shall be determined to be or to have
been unlawful or unconstitutional, the remaining parts, sections and subsections shall be and remain in
full force and effect, unless the court making such finding shall determine that the valid portions standing
alone are incomplete and are incapable of being executed in accord with the legislative intent.
Section 11. Effective Date. This Ordinance shall take effect and be in full force immediately
upon its passage by the City.
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PASSED AND APPROVED THIS ~~DAY OF OC"I'OBER, 2003.
~~ ~~ Y~.r ~) .. 7 ~ ~i
Betty Burch, ayor
ATTEST:
[se 1]
C L ise Rusick, City Clerk