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Home My WebLink AboutRESOLUTION NO. 2023-45Fairfax / 419915-37 / 151 %z Set Hrg — Water Rev MINUTES TO SET DATE FOR HEARING ON ENTERING INTO A LOAN AND DISBURSEMENT AGREEMENT 419915-37 Fairfax, Iowa April 1 l, 2023 The City Council of the City of Fairfax, Iowa, met on April 11, 2023, at 6:00 o'clock p.m., at the Fairfax City Hall, 300 80th St Ct, in the City. The Mayor Pro Tempore presided and the roll was called showing the following members of the Council present and absent: Present: Tom Nurre, Mike Daly, Kate Pacha, Nick Volk, and Marianne Wainwri� Absent: None. Council Member Daly introduced the resolution hereinafter next set out and moved its adoption, seconded by Council Member Pacha; and after due consideration thereof by the Council, the Mayor Pro Tempore put the question upon the adoption of the said resolution and the roll being called, the following named Council Members voted: Ayes: Nurre, Dalv, Pacha, Volk, and Wainwri�ht Nays: None. Whereupon, the Mayor Pro Tempore declared the resolution duly adopted as follows: -3- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fairfax / 419915-37 / 151 YZ Set Hrg — Water Rev RESOLUTION NO. 2023-45 RESOLUTION TO FIX A DATE FOR A PUBLIC HEARING ON PROPOSAL TO ENTER INTO A WATER REVENUE LOAN AND DISBURSEMENT AGREEMENT AND TO BORROW MONEY THEREUNDER IN A PRINCIPAL AMOUNT NOT TO EXCEED $515,000 WHEREAS, the City of Fairfax (the "City"), in Linn County, State of Iowa, did heretofore establish a Municipal Waterworks Utility System (the "Utility") in and for the City which has continuously supplied water service in and to the City and its inhabitants since its establishment; and WHEREAS, the management and control of the Utility are vested in the City Council (the "Council"), and no board of trustees exists for this purpose; and WHEREAS, pursuant to a prior resolution of the Council (the "Outstanding Bond Resolution"), the City has heretofore issued its $3,782,000 Water Revenue Bond, SRF Series 2020, dated May 29, 2020 (the "Outstanding Bond"), a portion of which remains outstanding; and WHEREAS, pursuant to the Outstanding Bond Resolution, the City reserved the right to issue additional obligations payable from the net revenues of the Utility and ranking on a parity with the Outstanding Bond under the terms and conditions set forth in the Outstanding Bond Resolution; and WHEREAS, the City now proposes to enter into a Water Revenue Loan and Disbursement Agreement (the "Agreement") and to borrow money thereunder in a principal amount not to exceed $515,000, pursuant to the provisions of Section 384.24A of the Code of Iowa, for the purpose of paying the cost, to that extent, of planning, designing, and constructing improvements and extensions to the Utility (the "Project"), and it is necessary to fix a date of ineeting of the City Council at which it is proposed to take action to enter into the Agreement and to give notice thereof as required by such law; NOW, THEREFORE, Be It Resolved by the City Council of the City of Fairfax, Iowa, as follows: Section 1. This City Council shall meet on Apri125, 2023 at the Fairfax City Hall, 300 80t" St Court, in the City, at 6:00 o'clock p.m., at which time and place a hearing will be held and proceedings will be instituted and action taken to enter into the Agreement. Section 2. The City Clerk is hereby directed to give notice of the proposed action on the Agreement setting forth the amount and purpose thereof, the time when and place where the said meeting will be held, by publication at least once, not less than four (4) and not more than twenty (20) days before the meeting, in a legal newspaper which has a general circulation in the City. The notice shall be in substantially the following form: -4- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fai�fax / 419915-37 / 15"h Set Hrg — Water Rev NOTICE OF PROPOSED ACTION TO INSTITUTE PROCEEDINGS TO ENTER INTO A LOAN AND DISBURSEMENT AGREEMENT IN A PRINCIPAL AMOUNT NOT TO EXCEED $515,000 (WATER REVENUE) The City Council of the City of Fairfax, Iowa, will meet on Apri125, 2023 at the Fairfax City Hall, 300 80th St Ct, in the City, at 6:00 o'clock p.m., for the purpose of instituting proceedings and taking action to enter into a loan and disbursement agreement (the "Agreement") and to borrow money thereunder in a principal amount not to exceed $515,000, for the purpose of paying the cost, to that extent, of planning, designing, and constructing improvements and extensions to the Municipal Waterworks Utility System (the "Utility") of the City. The Agreement will not constitute a general obligation of the City, nor will it be payable in any manner by taxation, but, together with the City's outstanding Water Revenue Bond, SRF Series 2020, dated May 29, 2020 and any additional obligations of the City as may be hereafter issued and outstanding from time to time ranking on a parity therewith, will be payable solely and only from the Net Revenues of the Utility. At the aforementioned time and place, oral or written objections may be filed or made to the proposal to enter into the Agreement. After receiving objections, the City may determine to enter into the Agreement, in which case, the decision will be final unless appealed to the District Court within fifteen (15) days thereafter. By order of the City Council of the City of Fairfax, Iowa. Cynthia Stimson City Clerk/Treasurer -5- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fairfa�c / 419915-37 / ls"/z Set Hrg — Water Rev Section 3. Pursuant to Section 1.150-2 of the Income Tax Regulations (the "Regulations") of the Internal Revenue Service, the City declares (a) that it intends to undertake the Project which is reasonably estimated to cost approximately $515,000, (b) that other than (i) expenditures to be paid or reimbursed from sources other than the issuance of bonds, notes or other obligations (the `Bonds"), or (ii) expenditures made not earlier than 60 days prior to the date of this Resolution or a previous intent resolution of the City, or (iii) expenditures amounting to the lesser of $100,000 or 5% of the proceeds of the Bonds, or (iv) expenditures constituting preliminary expenditures as defined in Section 1.150-2(�(2) of the Regulations, no expenditures for the Project have heretofore been made by the City and no expenditures will be made by the City until after the date of this Resolution or a prior intent resolution of the City, and (c) that the City reasonably expects to reimburse the expenditures made for costs of the City out of the proceeds of the Bonds. This declaration is a declaration of official intent adopted pursuant to Section 1.150-2 of the Regulations. Section 4. All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. Section 5. This resolution shall be in full force and effect immediately upon adoption and approval, as provided by law. Passed and approved this April 1 l, 2023. Attest: �, .� � i_., Marianne W� � ��- , ' � Cy hia Stimson, City Clerk/Treasurer .... On motion and vote, the meeting adjourned. Attest: ��'�- Cynt , ia Stimson, City Clerk/Treasurer Mayor Pro Tempore k, ,:<. �F � w, � e�.:, : ,' A` ; �,: , Marianne Wain�ight, Mayor Pro Tempore -6- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fairfax / 419915-37 / 151 %z Set Hrg — Water Rev ATTESTATION CERTIFICATE: STATE OF IOWA COUNTY OF LINN SS: CITY OF FAIRFAX I, the undersigned, City Clerk/Treasurer of the aforementioned City, do hereby certify that attached hereto is a true and correct copy of the proceedings of the City Council relating to fixing a date for hearing on the City Council's proposal to take action in connection with a Water Revenue Loan and Disbursement Agreement. WITNESS MY HAND this 12th day of April, 2023. �,�-��- �L y thia Stimson, City Clerk/Treasurer -7- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fairfax / 419915-37 / 15` %z Set Hrg — Water Rev ORGANIZATION AND ESTABLISHMENT CERTIFICATE: STATE OF IOWA COUNTY OF LINN CITY OF FAIRFAX SS: I, the undersigned City Clerk, do hereby certify that the aforementioned City is organized and operating under the provisions of Title IX of the Code of Iowa and not under any special charter and that such City is operating under the Mayor-Council form of government and that there is not pending or threatened any question or litigation whatsoever touching the incorporation of the City, the inclusion of any territory within its limits or the incumbency in office of any of the officials hereinafter named. And I do further certify that the following named parties are officials of the City as indicated: Position Vacant, Mayor Cynthia Stimson, City Clerk/Treasurer Marianne Wainwright, Council Member/Mayor Pro Tem Mike Daly, Council Member Tom Nurre, Council Member Kate Pacha, Council Member Nick Volk, Council Member I further certify that the City established the Municipal Waterworks Utility System (the "Utility") prior to January l, 1961, and that the Utility has been in continuous operation by the City since its establishment as aforesaid in supplying water service to the City and its inhabitants. I further certify that the management and control of the Utility are vested in the City Council of the City, and that no board of trustees exists which has any part of the control and management of such Utility. WITNESS MY HAND this 12th day of April, 2023. ��i . �� '�i�. C' thia Stimson, City Clerk/Treasurer -8- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fairf� / 419915-37 / 151 %2 Set Hrg — Water Rev OUTSTANDING DEBT CERTIFICATE: STATE OF IOWA COL7NTY OF LINN SS: CITY OF FAIRFAX I, the undersigned, City Clerk/Treasurer of the City of Fairfax, Iowa (the "City"), do hereby certify that the City has no bonds or other obligations of any kind now outstanding which are secured by and payable from the revenues derived from the operation of the Municipal Waterworks Utility System (the "Utility"), except as follows: Principal Amount Date Type Outstandin� Maturi OS-29-2020 Water Revenue $3,459,000.00 06-01-2040 (Attach here a separate sheet listing any other outstanding obligations of the City secured by and payable from the revenues of the Utility, if any, excluding the proposed issue). WITNESS MY HAND this 12th day of April, 2023. �, �� '��L y thia Stimson, City Clerk/Treasurer -9- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA Fairfax / 419915-37 / 1" '/: Set Hrg — Water Rev PUBLICATION CERTIFICATE: (PLEASE NOTE: Please do not date and return this certificate until you have received the publisher's affidavit and have verified that the notice was published on the date indicated in the affidavit, but please return all other completed pages to us as soon as they are available.) STATE OF IOWA COUNTY OF LINN SS. CITY OF FAIRFAX I, the undersigned, City Clerk of the aforementioned City, do hereby certify that pursuant to the resolution of its City Council fixing a date of ineeting at which it is proposed to take action to enter into a loan and disbursement agreement, the notice, of which the printed slip attached to the publisher's affidavit hereto attached is a true and complete copy, was published on the date and in the newspaper specified in such affidavit, which newspaper has a general circulation in the City. WITNESS MY HAND this � day of , 2023. � �F �� "� '� „� ,� " �� .� ry �� , ,. �'��'�� '.��1"��'`�"�"��::a r_ (Attach here the publisher's original affidavit with clipping of the notice, as published.) -10- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA