RESOLUTION NO. RS2009-604
A resolution declaring the official intent of The Metropolitan Government of Nashville and Davidson County (Tennessee) to reimburse itself for certain expenditures relating to the construction of a new convention center and ancillary facilities with the proceeds of tax-exempt bonds or other debt obligations to be issued by The Metropolitan Government of Nashville and Davidson County (Tennessee) or an existing or to be created instrumentality thereof.
WHEREAS, it is the intention of the Metropolitan County Council (the "Metropolitan Council") of The Metropolitan Government of Nashville and Davidson County (Tennessee) (the "Metropolitan Government") to provide funds for the construction of a convention center and ancillary facilities; and
WHEREAS, it is the intention of the Metropolitan Council to pay all or a portion of the costs associated with said activities by the sale of tax-exempt bonds or other debt obligations issued by the Metropolitan Government or an existing or to be created instrumentality of the Metropolitan Government; and
WHEREAS, it is anticipated that it will be necessary to make expenditures in payment of said costs prior to the issuance of said bonds or debt obligations; and
WHEREAS, the Metropolitan Council wishes to state its intentions with respect to reimbursements for said expenditures in accordance with the requirements of final regulations applicable thereto promulgated by the United States Department of the Treasury.
NOW, THEREFORE, BE IT RESOLVED BY THE METROPOLITAN COUNTY COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY (TENNESSEE):
Section 1. It is reasonably expected that the Metropolitan Government will reimburse itself for certain expenditures made by the Metropolitan Government in connection with the construction and development of a convention center and ancillary facilities. The Metropolitan Government intends to reimburse all such expenditures by issuing, or causing one of its existing or to be created instrumentalities to issue, tax-exempt bonds or other debt obligations. The expenditures made prior to the issuance of said bonds or other debt obligations are expected to be paid from the Metropolitan Government’s Convention Center Fund, Hotel and Motel Tax Fund and/or any such other funds as may be dedicated for Convention Center purposes and reimbursement shall be made to said fund or funds. Debt service on the bonds or other debt obligations is expected to be paid from various tax revenues to be collected within the Metropolitan Government.
Section 2. The maximum principal amount of bonds or other debt obligations expected to be issued to finance the activities hereinabove described is $500,000,000.
Section 3. This resolution shall be placed in the minutes of the Metropolitan Council and shall be made available for inspection by the general public at the office of the Metropolitan Clerk.
Section 4. It is the Metropolitan Government's reasonable expectation that it will reimburse the original expenditures from the proceeds of bonds or other debt obligations.
Section 5. This resolution constitutes a declaration of official intent under United States Treasury Regulation §1.150-2.
Section 6. All resolutions or parts of resolutions in conflict herewith are hereby repealed, and this resolution shall be in immediate effect from and after its adoption.
Section 7. Should any provision or provisions of this resolution be declared invalid or unenforceable in any respect by final decree of any court of competent jurisdiction, the invalidity or unenforceability of such section, paragraph, ordinance, or provisions shall not affect the remaining provisions of such resolution.
Section 8. This resolution shall take effect upon its adoption, the welfare of the Metropolitan Government requiring it.
Sponsored by: Jim Forkum, Greg Adkins, Tim Garrett
|Referred to:||Budget & Finance Committee
Convention & Tourism Committee
|Introduced:||January 20, 2009|
|Adopted:||January 20, 2009|
|Approved:||January 22, 2009|