HomeMy WebLinkAboutR-21-0504City of Miami
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Resolution: R-21-0504
File Number: 11137
City Hall
3500 Pan American Drive
Miami, FL 33133
www.miamigov.com
Final Action Date: 12/9/2021
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S),
DECLARING THE OFFICIAL INTENT OF THE CITY OF MIAMI ("CITY") TO
ISSUE BOTH TAXABLE AND TAX-EXEMPT GENERAL OBLIGATION BONDS
PAYABLE FROM AD VALOREM TAXES PROVIDED THAT THE CAPITAL
PROJECTS DEBT MILLAGE NOT EXCEED THE RATE OF 0.5935 MILLS IN
ACCORDANCE WITH THE NOVEMBER 7, 2017 BOND REFERENDUM
APPROVED BY THE VOTERS, INITIALLY IN AN EXPECTED NOT TO
EXCEED TOTAL MAXIMUM PRINCIPAL AMOUNT OF TWENTY-FIVE MILLION
DOLLARS ($25,000,000.00) IN ORDER TO, AMONG OTHER THINGS,
REIMBURSE THE CITY FOR FUNDS ADVANCED BY THE CITY FOR
CERTAIN EXPENSES INCURRED WITH RESPECT TO CAPITAL PROJECTS
TO BE UNDERTAKEN BY THE CITY TO REDUCE FLOODING RISKS, ALL AS
INDICATED IN THE ATTACHED PROJECT LIST IN EXHIBIT "A," ATTACHED
AND INCORPORATED (COLLECTIVELY, "TRANCHE 2 FLOOD MITIGATION
PROJECTS"); ESTABLISHING CERTAIN RELATED DEFINITIONS OF TERMS;
AUTHORIZING CERTAIN FURTHER AND INCIDENTAL ACTIONS BY THE
CITY MANAGER IN CONSULTATION WITH THE CITY ATTORNEY, BOND
COUNSEL, DISCLOSURE COUNSEL, FINANCIAL ADVISOR, CHIEF
FINANCIAL OFFICER, FINANCE DIRECTOR, BUDGET DIRECTOR, AND
SUCH OTHER APPROPRIATE OFFICERS, EMPLOYEES, AND AGENTS OF
THE CITY AS THE CITY MANAGER DEEMS NECESSARY, ALL AS
REQUIRED FOR PURPOSES OF SECTIONS 103 AND 141-150 OF THE U.S.
INTERNAL REVENUE CODE OF 1986, AS AMENDED, AND FOR
COMPLIANCE THEREWITH; FURTHER AUTHORIZING RELATED
AMENDMENTS TO THE CITY'S MULTI -YEAR CAPITAL PLAN AS
NECESSARY.
SPONSOR(S): Commissioner Manolo Reyes
WHEREAS, United States Treasury Regulations §1.150-2 ("Reimbursement
Regulations") prescribe conditions under which proceeds of tax-exempt bonds, notes, or other
obligations ("Bonds") used to reimburse advances made for capital and certain other
expenditures ("Original Expenditures") paid before the issuance of such Bonds will be deemed
to be expended (or properly allocated to expenditures) for purposes of Sections 103 and 141-
150 of the United States Internal Revenue Code of 1986, as amended, and the regulations
promulgated thereunder, as amended (collectively, "IRS Code"), upon such reimbursement so
that the proceeds so used will no longer be subject to requirements or restrictions under those
sections of the IRS Code; and
WHEREAS, certain provisions of the Reimbursement Regulations require that there be a
declaration of official intent not later than sixty (60) days following payment of the Original
Expenditures expected to be reimbursed from proceeds of Bonds and that the reimbursement
City of Miami Page 1 of 3 File ID: 11137 (Revision:) Printed On: 1212112021
File ID: 11137 Enactment Number: R-21-0504
occur within certain prescribed time periods after the Original Expenditures are paid or after the
property, resulting from that Original Expenditure, is placed in service; and
WHEREAS, the City Commission expects to provide for the issuance by the City of
Miami ("City") of its Tranche 2 taxable and tax-exempt limited ad valorem bonds payable from
ad valorem taxes provided that the capital projects debt millage not exceed the rate of 0.5935
mills in accordance with the November 7, 2017 bond referendum approved by the voters,
initially in an expected not to exceed total maximum principal amount of Twenty -Five Million
Dollars ($25,000,000.00) in order to, among other things, reimburse the City for funds advanced
by the City for certain expenses incurred with respect to capital projects to be undertaken by the
City to reduce flooding risks within the City's limits, all as indicated in the attached project list in
Exhibit 'A" attached and incorporated (collectively, "Tranche 2 Flood Mitigation Projects"); and
WHEREAS, in connection with the Projects, the City expects to make Original
Expenditures that will be reimbursed from proceeds of the Limited Ad Valorem Bonds as will be
set forth in the City Manager's subsequent Memorandum for Reimbursable Funds Advanced
("City's Manager's Memorandum");
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY
MIAMI, FLORIDA:
Section 1. Recitals and Findings. The recitals and findings contained in the Preamble to
this Resolution are adopted by reference and incorporated as fully set forth in this Section.
Section 2. Definitions. The following definitions apply to the terms used herein:
"Reimbursement" or "Reimburse" means the restoration to the City of money temporarily
advanced from its own funds and spent for Original Expenditures before the issuance of the
Limited Ad Valorem Bonds evidenced in writing by an allocation on the books and records of the
City that show the use of the proceeds of the Limited Ad Valorem Bonds to restore the money
advanced for the Original Expenditures. "Reimbursement" or "Reimburse" generally does not
include the refunding or retiring of Bonds previously issued and sold to, or borrowings from,
unrelated entities.
Section 3. Declaration of Official Intent. The City Commission hereby declares the
City's official intent to issue both taxable and tax-exempt Limited Ad Valorem Bonds in the
expected not to exceed total maximum principal amount of Twenty -Five Million Dollars
($25,000,000.00) and, to the extent permissible under the IRS Code regarding the tax-exempt
Limited Ad Valorem Bonds, use a portion of the tax-exempt Limited Ad Valorem Bonds to
reimburse the City for funds advanced by it for Original Expenditures incurred and to be incurred
with respect to the Tranche 2 Flood Mitigation Projects. This Resolution is intended as a
declaration of official intent under United States Treasury Regulation § 1.150-2 as set forth in
Exhibit 'A" attached and incorporated, for the Tranche 2 Flood Mitigation Projects or future
projects as approved by the City Commission in future public meetings and in the subsequent
City Manager's Memorandum.
Section 4. Incidental Actions. The City Manager in consultation with the City Attorney,
Bond Counsel, Disclosure Counsel, Financial Advisor, Chief Financial Officer, Finance Director,
Budget Director, and such other appropriate officers, employees, and agents of the City as the
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File ID: 11137 Enactment Number: R-21-0504
City Manager deems necessary are hereby authorized' to take such actions as may be
necessary to carry out the purposes of this Resolution and the IRS Code and for compliance
therewith.
Section 5. Related Amendment of the City's Multi -Year Capital Plan. The City Manager,
designated City Officials, and Departments are hereby authorized' to amend the Multi -Year
Capital Plan (i) to include the Projects listed in Exhibit "A," attached and incorporated, and for
the associated financing(s) for the City's contributions to Projects' funding through the Limited
Ad Valorem Bonds as referenced in this Resolution with new project numbers to be determined
by the City Manager, (ii) to comply with State Laws, the City Charter, and the City Code, and (iii)
to require that future reallocations of funding sources be presented to City Commission from
time to time in connection with said financings for the Projects pursuant to the future required
bond resolution(s) authorizing each particular series of Limited Ad Valorem Bonds.
Section 6. Effective Date. This Resolution shall take effect immediately upon its
adoption and signature of the Mayor.2
APPROVED AS TO FORM AND CORRECTNESS:
1
i ria i ' ndez, City Attor iey 11 /30/2021
' The herein authorization is further subject to compliance with all legal requirements that may be
imposed, including but not limited to, those prescribed by City Charter and City Code provisions.
2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days
from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective
immediately upon override of the veto by the City Commission.
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