RESOLUTION NO. RS2007-1862
A resolution amending Resolution No. RS2006-1329 regarding the issuance of general obligation bonds.
Whereas, on August 15, 2006, the Metropolitan Council adopted Resolution No. RS2006-1329, an initial resolution determining to issue General Obligation Bonds for projects not to exceed Two Hundred Ninety-Six Million Three Hundred Twenty-Five Thousand Three Hundred Thirty-Two Dollars ($296,325,332) in the General Services District and projects not to exceed Twenty Two Million Three Hundred Fifty-six Thousand One Hundred Fifty Dollars ($22,356,150) in the Urban Services District; and,
Whereas, the listing of projects for the General Services District in Section 1 of RS2006-1329 included item (23), capital contributions to four (4) not-for-profit institutions: the African-American Museum, the W.O. Smith Music School, the Nashville Symphony Hall and the Frist Center for the Visual Arts; and,
Whereas, the Metropolitan Council amended Resolution No. RS2006-1329 to prohibit the disbursement of bond proceeds for these capital contributions until bond counsel for the Metropolitan Government had opined that such disbursements are legal and will not adversely affect the tax-exempt status of any bond issue from the proceeds of which such disbursements are made; and,
Whereas, by letter to the Director of Finance dated March 28, 2007, thereafter conveyed to the Metropolitan Council’s office on March 29, 2007, bond counsel opined that, with the exception of the W.O. Smith Music School, the projects described in Section 1, Item (23) of Resolution No. RS2006-1329 could legally be financed with general obligation bond proceeds in a tax-exempt manner under certain conditions, including without limitation the condition that the projects be financed through grants to the Metropolitan Development and Housing Agency (“MDHA”); and,
Whereas, the Metropolitan Council deems it necessary upon advice of counsel to amend Resolution No. RS2006-1329 to clarify that the projects described in Section 1, Item (23) thereof, with the exception of the W.O. Smith Music School, will be financed through grants to MDHA.
Now, therefore, be it resolved by the Council of The Metropolitan Government of Nashville and Davidson County:
Section 1. That Resolution No. RS2006-1329 be amended by deleting item (23) in Section 1 thereof in its entirety and inserting the following revised item (23) in its place:
“(23) grants to the Metropolitan Development and Housing Agency (“MDHA”) for the purpose of financing capital costs relating to the African-American Museum, Nashville Symphony Hall and the Frist Center for the Visual Arts.”
Section 2. That Exhibit A to Resolution No. RS2006-1329 be amended by deleting the reference to the W.O. Smith Music School.
Section 3. That this resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.
Sponsored by: Rip Ryman
|Referred:||Budget & Finance Committee|
|Introduced:||April 17, 2007|
|Adopted:||April 17, 2007|
|Approved:||April 26, 2007|