Loading...
HomeMy WebLinkAboutAgenda Item Summary FormDate: 12/06/2016 AGENDA ITEM SUMMARY FORM File ID: #1442 Commission Meeting Date: 01/12/2017 Requesting Department: City Manager's Office Sponsored By: District Impacted: Type: Resolution Subject: Bond Validation - Miami Central Station Purpose of Item: A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), DECLARING THE OFFICIAL INTENT OF THE CITY OF MIAMI, FLORIDA ("CITY") TO ISSUE TAX-EXEMPT AND/OR TAXABLE SPECIAL PURPOSE IMPROVEMENT BONDS IN THE EXPECTED TOTAL MAXIMUM PRINCIPAL AMOUNT OF EIGHTEEN MILLION DOLLARS ($18,000,000.00) (COLLECTIVELY, "SPECIAL PURPOSE IMPROVEMENT BONDS") IN ORDER TO, AMONG OTHER THINGS, REIMBURSE ITSELF FROM THE PROCEEDS OF SUCH SPECIAL PURPOSE IMPROVEMENT BONDS FOR FUNDS ADVANCED BY THE CITY FOR CERTAIN ELIGIBLE EXPENSES INCURRED WITH RESPECT TO THOSE CERTAIN PUBLIC GOVERNMENTAL CAPITAL IMPROVEMENTS PORTIONS OF THE MIAMI CENTRAL STATION PROJECT PURSUANT TO THE INTERLOCAL AGENCY AGREEMENT, DATED NOVEMBER 8, 2016, BY AND AMONG THE CITY, THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, AND SOUTH FLORIDA REGIONAL TRANSPORTATION AUTHORITY; ESTABLISHING CERTAIN RELATED DEFINITIONS OF TERMS; AND AUTHORIZING CERTAIN FURTHER AND INCIDENTAL ACTIONS BY THE CITY MANAGER, IN CONSULTATION WITH THE CITY ATTORNEY AND BOND COUNSEL, 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 INTERNAL REVENUE CODE OF 1986, AS AMENDED. Background of Item: The United States Treasury Regulations §1.150-2 (the "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 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. 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 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. The City Commission ("Commission") of the City of Miami, Florida ("City") expects to provide for the issuance by the City of its tax-exempt and/or taxable special purpose improvement bonds in a total principal amount not to exceed Eighteen Million Dollars ($18,000,000.00) (collectively, "Special Purpose Improvement Bonds") for the purposes of financing the costs of those certain public governmental capital improvements portions of the Miami Central Station Project within the City limits and within the Southeast Overtown/Park West Community Redevelopment Area (collectively, "Project Improvements") pursuant to the Interlocal Agency Agreement, dated November 8, 2016 ("Interlocal Agency Agreement", a copy of which is attached and incorporated as "Exhibit A"), by and among the City, the Southeast Overtown/Park West Community Redevelopment Area ("SEOPW CRA"), and South Florida Regional Transportation Authority ("SFRTA"); and In connection with the Project Improvements, the City expects to make Original Expenditures for certain Eligible Expenses (as defined in the Interlocal Agency Agreement) that will be reimbursed from proceeds of the Special Purpose Improvement Bonds as will be set forth in the City Manager's subsequent Memorandum for Reimbursable Funds Advanced ("City's Manager's Memorandum"). Budget Impact Analysis Item has NO budget impact Item is NOT Related to Revenue Item is NOT funded by Bonds Total Fiscal Impact: $18,000,000 Reviewed By City Manager's Office Daniel J. Alfonso City Manager Review Completed 12/11/2016 4:50 PM Office of Management and Budget Jacques Joseph Review Pending Completed 12/22/2016 11:59 AM Office of Management and Budget Christopher M Rose Budget Analyst Review Completed 12/23/2016 8:31 AM Legislative Division Valentin J Alvarez Legislative Division Review Completed 12/23/2016 12:34 PM Office of the City Attorney Barnaby L. Min Deputy City Attorney Review Completed 12/26/2016 3:20 PM Office of the City Attorney Victoria Mendez Approved Form and Correctness Completed 12/28/2016 2:36 PM City Commission Nicole Ewan Meeting Completed 01/12/2017 9:00 AM Office of the Mayor Mayor's Office Signed by the Mayor Completed 01/20/2017 4:51 PM Office of the City Clerk City Clerk's Office Signed and Attested by the City Clerk Completed 01/20/2017 5:12 PM A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), DECLARING THE OFFICIAL INTENT OF THE CITY OF MIAMI, FLORIDA ("CITY") TO ISSUE TAX-EXEMPT AND/OR TAXABLE SPECIAL PURPOSE IMPROVEMENT BONDS IN THE EXPECTED TOTAL MAXIMUM PRINCIPAL AMOUNT OF EIGHTEEN MILLION DOLLARS ($18,000,000.00) (COLLECTIVELY, "SPECIAL PURPOSE IMPROVEMENT BONDS") IN ORDER TO, AMONG OTHER THINGS, REIMBURSE ITSELF FROM THE PROCEEDS OF SUCH SPECIAL PURPOSE IMPROVEMENT BONDS FOR FUNDS ADVANCED BY THE CITY FOR CERTAIN ELIGIBLE EXPENSES INCURRED WITH RESPECT TO THOSE CERTAIN PUBLIC GOVERNMENTAL CAPITAL IMPROVEMENTS PORTIONS OF THE MIAMI CENTRAL STATION PROJECT PURSUANT TO THE INTERLOCAL AGENCY AGREEMENT, DATED NOVEMBER 8, 2016, BY AND AMONG THE CITY, THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, AND SOUTH FLORIDA REGIONAL TRANSPORTATION AUTHORITY; ESTABLISHING CERTAIN RELATED DEFINITIONS OF TERMS; AND AUTHORIZING CERTAIN FURTHER AND INCIDENTAL ACTIONS BY THE CITY MANAGER, IN CONSULTATION WITH THE CITY ATTORNEY, BOND COUNSEL, DISCLOSURE COUNSEL, FINANCIAL ADVISOR, 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 INTERNAL REVENUE CODE OF 1986, AS AMENDED. 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 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 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 ("Commission") of the City of Miami, Florida ("City") expects to provide for the issuance by the City of its tax-exempt and/or taxable special purpose improvement bonds in a total principal amount not to exceed Eighteen Million Dollars ($18,000,000.00) (collectively, "Special Purpose Improvement Bonds") for the purposes of financing the costs of those certain public governmental capital improvements portions of the -,IV ov . City of Miami City Hall IIS iit A4to �. � „1,l ,a Legislation 3500 Pan American Drive r Miami, FL 33133 �—R � _- Resolution www.miamigov.com Enactment Number: R-17-0020 File Number: 1442 Final Action Date:1/12/2017 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), DECLARING THE OFFICIAL INTENT OF THE CITY OF MIAMI, FLORIDA ("CITY") TO ISSUE TAX-EXEMPT AND/OR TAXABLE SPECIAL PURPOSE IMPROVEMENT BONDS IN THE EXPECTED TOTAL MAXIMUM PRINCIPAL AMOUNT OF EIGHTEEN MILLION DOLLARS ($18,000,000.00) (COLLECTIVELY, "SPECIAL PURPOSE IMPROVEMENT BONDS") IN ORDER TO, AMONG OTHER THINGS, REIMBURSE ITSELF FROM THE PROCEEDS OF SUCH SPECIAL PURPOSE IMPROVEMENT BONDS FOR FUNDS ADVANCED BY THE CITY FOR CERTAIN ELIGIBLE EXPENSES INCURRED WITH RESPECT TO THOSE CERTAIN PUBLIC GOVERNMENTAL CAPITAL IMPROVEMENTS PORTIONS OF THE MIAMI CENTRAL STATION PROJECT PURSUANT TO THE INTERLOCAL AGENCY AGREEMENT, DATED NOVEMBER 8, 2016, BY AND AMONG THE CITY, THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, AND SOUTH FLORIDA REGIONAL TRANSPORTATION AUTHORITY; ESTABLISHING CERTAIN RELATED DEFINITIONS OF TERMS; AND AUTHORIZING CERTAIN FURTHER AND INCIDENTAL ACTIONS BY THE CITY MANAGER, IN CONSULTATION WITH THE CITY ATTORNEY, BOND COUNSEL, DISCLOSURE COUNSEL, FINANCIAL ADVISOR, 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 INTERNAL REVENUE CODE OF 1986, AS AMENDED. 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 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 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 ("Commission") of the City of Miami, Florida ("City") expects to provide for the issuance by the City of its tax-exempt and/or taxable special purpose improvement bonds in a total principal amount not to exceed Eighteen Million Dollars ($18,000,000.00) (collectively, "Special Purpose Improvement Bonds") for the purposes of financing the costs of those certain public governmental capital improvements portions of the Miami Central Station Project within the City limits and within the Southeast Overtown/Park West Community Redevelopment Area (collectively, "Project Improvements") pursuant to the Interlocal Agency Agreement, dated November 8, 2016 ("Interlocal Agency Agreement", a copy of which is attached and incorporated as "Exhibit A"), by and among the City, the Southeast Overtown/Park West Community Redevelopment Area ("SEOPW CRA"), and South Florida Regional Transportation Authority ("SFRTA"); and WHEREAS, in connection with the Project Improvements, the City expects to make Original Expenditures for certain Eligible Expenses (as defined in the Interlocal Agency Agreement) that will be reimbursed from proceeds of the Special Purpose Improvement Bonds as set forth in the City Manager's memorandum for reimbursable funds to be advanced ("City's Manager's Memorandum", a copy of which is attached and incorporated as "Exhibit B"); 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 if 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 Special Purpose Improvement Bonds, evidenced in writing by an allocation on the books and records of the City that shows the use of the proceeds of the Special Purpose Improvement 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 Commission hereby declares the City's official intent to issue the tax-exempt and/or taxable Special Purpose Improvement Bonds in the total expected maximum principal amount of Eighteen Million Dollars ($18,000,000.00) and, to the extent permissible under the IRS Code regarding the tax-exempt Special Purpose Improvement Bonds, to use a portion of the tax-exempt Special Purpose Improvement Bonds to reimburse the City for funds advanced by it for Original Expenditures incurred and to be incurred with respect to the Project Improvements. This Resolution is intended as a declaration of official intent under United States Treasury Regulation § 1.150-2, as set forth in the City Manager's Memorandum. Section 4. Incidental Actions. The City Manager, in consultation with the City Attorney, Bond Counsel, Disclosure Counsel, Financial Advisor, and such other appropriate officers, employees and agents of the City as the 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. Section 5. Effective Date. This Resolution shall take effect immediately upon its adoption and signature of the Mayor.' ' 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. APPROVED AS TO FORM AND CORRECTNESS: ria ndez, ity ttor ey 1212812016