HomeMy WebLinkAboutR-90-0200RESOLUTION NO.
A RESOLUTION OF THE CITY COMMISSION OF THE
CITY OF MIAMI, FLORIDA, PRELIMINARILY
AUTHORIZING APPROPRIATE OFFICERS OF THE CITY
TO TARE CERTAIN ACTIONS AS SHALL BE NECESSARY
AND APPROPRIATE TO ACCOMPLISH THE REFUNDING
OF THE CITY'S OUTSTANDING SPECIAL OBLIGATION
BONDS, SERIES 198E, AND THE ISSUANCE OF THE
CITY'S SPECIAL OBLIGATION REFUNDING BONDS,
SERIES 1990, IN AN AGGREGATE PRINCIPAL AMOUNT
NOT TO EXCEED $13,000,000; AUTHORIZING THE
DISTRIBUTION OF A PRELIMINARY OFFICIAL
STATEMENT BY THE UNDERWRITERS NAMED HEREIN;
PROVIDING SEVERABILITY; AND PROVIDING FOR AN
EFFECTIVE DATE.
WHEREAS, under the authority granted by the Constitution and
laws of the State of Florida, including Chapter 166, Florida
Statutes, The City of Miami, Florida (the "City"), is authorized
to issue revenue bonds payable from revenues derived from the
capital facilities to be financed from sources other than ad
valorem taxes on real or tangible personal property and that do
not pledge the property, credit or general tax revenue of the
City; and
WHEREAS, the City Commission on July 9, 1985 duly passed and
adopted Ordinance No. 10014 (the "Refunded Bond Ordinance")
authorizing the issuance of revenue bonds for the purpose of
providing funds, together with any other available funds, (a) to
provide for the payments at their maturities or on selected
redemption dates of the City's $10,400,000 original aggregate
principal amount of Parking Revenue Bonds (Additionally Secured
by Non Ad Valorem Revenues) Series 1981, and (b) to pay the cost
of issuance of such revenue bonds; and
WHEREAS, pursuant to the Refunded Bond Ordinance, the City
has heretofore issued $13,720,000 aggregate principal amount of
Special Obligation Bonds, Series 1985 (the "Refunded Bonds"), of
which $13,100,000 aggregate principal amount is presently
outstanding; and
CITY COMMISSION
MEETING OF
M1 00
dAl
IRESOLUDON No.
WHEREAS. the City Comrmni.splon has cietezmi.nec.1 anc3, does hereby
determine that; :t_t Is £i.snal.1.7 pry ,-,1Pnt and .n the hest interest of
the City to refund the Refunded Bonds in an expeditious nanner In
order to create significant debt service savings; and
WHEREAS, the City Commission has determined and does hereby
determine that it is in the best interest of the City to
authorize certain preliminary actions with respect to the
issuance and sale to the Underwriters named herein of The City of
Miami., Florida Special Obligation Refunding Bonds, Series 1990,
in an aggregate principal amount not to exceed $13,000,000 for
the purpose of effectuating the refunding of the Refunded Bonds;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA;
Section 1. CERTAIN OFFICIAL ACTIONS AUTHORIZED. The Mayor,
Vice Mayor, City Manager, Director of Finance, City Attorney,
City Clerk and other officials and officers of The City of
Miami, Florida are hereby preliminarily authorized, empowered and
directed to take such actions and to prepare such documents,
_ including a preliminary official statement (the "Preliminary
Official Statement") relating to The City of Miami, Florida
Special Obligation Refunding Bonds, Series 1990 (the "Series 1990
Bonds"), as shall be necessary and appropriate to accomplish the
refunding of the $13,100,000 outstanding principal balance of The
City of Miami, Florida Special Obligatlon Bonds, Series 1988, and
the issuance of the Series 1990 Bonds in an aggregate principal
amount not to exceed $13,000,000 upon such terms as shall be
established by subsequent proceedings of this Commission.
Section 2. DISTRIBUTION OF PRELIN331ARY OFFICIAL STATEMENT
AUTHORIZED. Merrill Lynch Capital Markets, Carmona Ferrand
Montes Securities Corporation and W.R. Lazard & Co. Incorporated
(collectively, the "Underwriters") are hereby authorized to
'i
distribute the Preliminary Official Statement in such form as
shall be satisfactory to the Director of Finance and the City
Attorney.
Section 3. SEVERABILITY OF INVALID PROVISIONS. If any
section, paragraph, clause or provision of this Resolution shall.
_2_
90-OZOO
for an7 reason be held to be '11.nvalid or iinen.f.oroPa.ble—, the
inValidity or unenf'orceabi_l.i_ty of such section. paragraph, ol.ausQ
or provision shall not affect any remaining provisions of this
Resolution, but this Resolution shall be construed and enforced
as if suoh illegal or invalid provision or provisions had not
been contained herein.
Section 4. RHPHALTWG CLAUSE. All resolutions or parts
thereof in oonfliot with the provisions of this Resolution are,
to the extent of such conflict, hereby superseded and repealed.
Section 6. THE OF TAKING EFF7 CT. This Resolution shall
become effective immediately upon its adoption.
PASSED AND ADOPTED this 8th day of March ,1990.
ATTEST: ` XAVIER L . SC IAj ►
AI�I�
MATTY AIRAI
City Clerk
PREPARED AND APPROVED BY:
LI A K. KEARSON
Assistant City Attorney
APPROVED AS TO FORM AND CORRECTNESS:
Jd ik L . FB ANDEZ
City Attor ey
LKK/pblM1454
-- 1 -0200
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
Honorable Mayor and Members
TO of the City Cox -emission
FROM Cesar H. Odio
City Manager
RECOMMENDATION:
LATE FILE
V A N 3 V 1990
SUaJECT . Issuance of bonds to
refund outstanding
Special Obligation
REFERENCE_43ond s
ENCLOSURES.
It is respectfully recommended that the City Commission adopt a
resolution authorizing appropriate officers of the City to take
certain actions as shall be necessary and appropriate to
accomplish the refunding of the City's outstanding Special
Obligation Bonds, Series 1985, and the issuance of the City's
Special Obligation Refunding Bonds, Series 1990, in an aggregate
principal amount not to exceed $15,000,000; authorizing the
distribution of a preliminary official statement by the
underwriters named herein; providing severability; and providing
for an effective date.
BACKGROUND:
The City issued $13,720,000 Special Obligation Bonds in duly 1985
with the purpose of refunding the Parking Revenue Bonds issued in
1981 to finance construction of the Government Center Parking
Garage. The 1985 bonds had an interest rate of 8.97%. With the
recent decline in interest rates we would expect to pay in the
range of 7-7.5% on refunding bonds to replace the 1985 bonds
outstanding balance of $13,100,000.
The issuance of these refunding bonds are expected to produce
present value savings in excess of $700,000, most of which will
benefit the next two years. These savings represent a reduction
in total debt service, principal and interest, over the 20 year
life of the new bonds. The new bond issue is expected not to
exceed $15 million.
The attached resolution authorizes the City Manager to initiate
the bond sale process. It also appoints Merrill Lynch Capital
Markets with Carmona Ferrand Montes Securities Corp. (a Hispanic
firm) and W. R. Lazard & Laidlaw Inc. (a Black firm) as
underwriters. These firms were authorized by City Commission
resolution No. 89-357, which appointed rotating teams of
underwriters for the City's negotiated bond issues.
It is expected that a final resolution approving details related
to this bond sale will be presented to the City Commission in
March.
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