HomeMy WebLinkAboutR-86-0994J-86-1068
12/11/86
RESOLUTION NO. 86-994
A RESOLUTION IDENTIFYING AND DESIGNATING
REVENUES PRODUCED FROM SPECIAL ASSESSMENT
COLLECTIONS AS A PLEDGE TO SECURE SPECIAL
OBLIGATION BONDS ISSUED FOR THE PURPOSE OF
FUNDING CAPITAL IMPROVEMENT PROJECTS IN CITY
PARKS, SAID PLEDGE TO REPLACE A PREVIOUS
PLEDGE OF BAYSIDE SPECIALTY CENTER AND
PARKING GARAGE REVENUES; DIRECTING THAT BOND
PROCEEDS BE EQUALLY ALLOCATED FOR
RECONSTRUCTION OF BAYFRONT PARK AND FOR
RENOVATION OF NEIGHBORHOOD PARKS AND THAT NO
MONIES BE EXPENDED OR ALLOCATED FROM SUCH
REVENUES UNTIL THE CITY COMMISSION SHALL HAVE
BEEN ADVISED AS TO THE FACTS CONCERNING THE
SALE OF SAID BONDS AND UNTIL THE CITY
COMMISSION SHALL HAVE BEEN FURNISHED WITH A
DETAILED PROGRAM OR SCHEDULE OF ANY PROPOSED
EXPENDITURE OR ALLOCATION.
WHEREAS, Resolution No. 86-619, adopted on July 24, 1986,
identified revenue bonds secured by revenues generated from the
Bayside Specialty Center and Parking Garage as one of the sources
of funding for capital improvements for the City parks; and
WHEREAS, the City's Finance Department, in discussion with
the City's financial advisors, James J. Lowrey, have determined
that at this time the pledge of revenues from the Bayside
Specialty Center could categorize the bonds as private activity
bonds; and
WHEREAS, the City Attorney has opined that revenues produced
by the collection of special assessments may be pledged for the
issuance of bonds to be used for capital projects purposes; and
WHEREAS, Resolution No. 86-619 stated also that these funds
will be shared equally between Bayfront Park Improvements and
Neighborhood Parks improvements;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. Revenues produced from the collection of
Special Assessments are hereby identified and designated as a
pledge for Special Obligation Bonds for Parks Capital Projects,
said pledge to replace a previous pledge of Bayside Specialty
Center and Parking Garage revenues.
CITY COMMISSION
MEETING OF
DEC 11 1956Q�,
RESU! U11ON NoS6_� _94 ,
,:. MARKS r
Section 2. (a) The City Manager is hereby directed to
forthwith take all necessary steps and appropriate actions for
the immediate appropriation of funds as indicated herein and to
make certain that bond proceeds be equally allocated for
reconstruction of Bayfront Park and for renovation of
neighborhood parks.
(b) There shall be no expenditure or
allocation of monies from such revenues until the City Commission
shall have been advised as to the facts concerning the sale of
said bonds and until the City Commission shall have been
furnished with a detailed program or schedule of any proposed
expenditure or allocation.
PASSED AND ADOPTED this 11th day of Decemb 1986.
XAVIER L. SUARtz, MAYOR
ATTE T:
TTY HIRAI
CITY CLERK
PREPARED AND APPROVED BY:
Z4�,�Z- ewa-,�
ROBERT F. CLARK
CHIEF DEPUTY CITY ATTORNEY
AP � AS TO FORM AND CORRECTNESS:
LUCIA A. DOII ERTY
CITY ATTORNE
RFC:bss:M282
86-9S41
-2-
CITY OF MIAMI. FLORIDA
INTER -OFFICE MEMORANDUM
TO: Honorable Mayor and Members
of the City Commission
FROM:
Cesar H. Odi /
City Manager
RECOMMENDATION:
GATE: DEC 5 19%
FILE:
21
SUSPECT: Resolution Authorizing
Pledge of Certain Revenues
for Parks Capital Projects
REFERENCES:
ENCLOSURES:
It is respectfully recommended that the City Commission adopt the
attached resolution, identifying and designating special
obligation bonds to be secured with a pledge of Special
Assessment Collections, to replace prev.i ously identified revenue
bonds utilizing pledge of revenue generated from the Bayside
Specialty Center and Parking Garage, as source of funding for
capital improvements to City Parks, an d di rectin g that bon d
proceeds be equally allocated for reconstruction of Bayfron t Park
and renovations of neighborhood parks.
BACKGROUND:
The Department of Finance and the City's Financial Advisor, James
J. Lowrey, have discussed the issuance of bonds for capital
improvements to City Parks as approved by Resolution No. 86-619,
identifying revenue bonds to be secured by a pledge of the
Bayside Specialty Center, and Parking Garage. Because of changes
of the tax law, it is their opinion that such bonds could be
considered private activity bonds since the payment of the bonds
would be secured by a pledge from Bayside, a private business.
This type of bond, which is subject to state limits imposed by
the new tax law, is more difficult and expensive to market since
they usually need enhancements such as insurance and major bank's
letter of credit.
As an alternative source of revenue for bond repayment, they are
recommending that collections of Special Assessments be pledged
to secure these bonds.
Sub Section 56 (R), of the City Charter allows the deposit of
special assessment collections to the credit of any capital
improvement of the City, as the Commission shall determine.
6 0 � e µrj 86-994
CN
i
2CITY OF MIAM1, FLORIbA 1
INTER -OFFICE MEMORANDUM
TO. Honorable Mayor and Members
of the City Commission
FROM:
Cesar H. Odi /
City Manager
RECOMMENDATION:
DATE: DEC 5 19W
FILE:
SUBJECT: Resolution Authorizing
Pledge of Certain Revenues
for Parks Capital Projects
REFERENCES:
ENCLOSURES:
It is respectfully recommended that the City Commission adopt the
attached resolution, identifying and designating special
obligation bonds to be secured with a pledge of Special
Assessment Collections, to replace previously identified revenue
bonds utilizing pledge of revenue generated from the Bayside
Specialty Center and Parking Garage, as source of funding for
capital improvements to City Parks , an d di rectin g that bon d
proceeds be equally allocated for reconstruction of Bayfront Park
and ren ovations of nei ghborhood parks .
BACKGROUND:
The Department of Finance and the City's Financial Advisor, James
J. Lowrey, have discussed the issuance of bonds for capital
improvements to City Parks as approved by Resolution No. 86-619,
identifying revenue bonds to be secured by a pledge of the
Bayside Specialty Center, and Parking Garage. Because of changes
of the tax law, it is their opinion that such bonds could be
considered private activity bonds since the payment of the bonds
would be secured by a pledge from Bayside, a private business.
This type of bond, which is subject to state limits imposed by
the new tax law, is more difficult and expensive to market since
they usually need enhancements such as insurance and major bank' s
letter of credit.
As an alternative source of revenue for bond repayment, they are
recommending that collections of Special Assessments be pledged
to secure these bonds.
Sub Section 56 (R), of the City Charter allows the deposit of
special assessment collections to the credit of any capital
improvement of the City, as the Commission shall determine.
8E-994
.A
Honorable Mayor and Members
of the City Commission
Page - 2 -
The City Attorney has opined that the pledge of revenue for
capital improvement bond repayment is in essence the same as
depositing funds to the credit of a capital improvement fund.
On ce the Ci ty Commission desi gn ates Special Assessment
Collections as a substitute to the Bayside Specialty Center
revenues, the Finance Department will proceed to structure the
bond sale, which will also require City Commission approval.
Attachments:
Proposed Resolution
- 86--994