RESOLUTION NO. RS2009-701
A resolution of the governing body of The Metropolitan Government of Nashville and Davidson County, Tennessee, authorizing the issuance, sale and payment of interest-bearing energy efficiency (ECD) capital outlay notes not to exceed $330,000.00.
WHEREAS, the governing body of The Metropolitan Government of Nashville and Davidson County, Tennessee, (the “Local Government”) has determined that it is necessary and desirable to make Energy Efficiency Improvements (the “Project”) for the benefit of the citizens of the Local Government; and,
WHEREAS, the governing body has determined that the project will promote or provide a traditional governmental activity or otherwise fulfill a public purpose; and,
WHEREAS, under the provisions of Parts I, IV, and VI of Title 9, Chapter 21, Tennessee Code Annotated (the “Act”), local governments in Tennessee are authorized to finance the cost of this project through the issuance and sale of interest-bearing Capital Outlay Notes upon the approval of the State Director of Local Finance; and,
WHEREAS, the governing body finds that it is advantageous to the Local Government to authorize the issuance of Capital Outlay Notes to finance the cost of the Project:
NOW, THEREFORE, BE IT RESOLVED, BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1. That, for the purpose of providing funds to finance the cost of the Project in and for the Local Government, the Mayor of the Metropolitan Government of Nashville and Davidson County of the Local Government is hereby authorized in accordance with the terms of this resolution to issue and sell interest-bearing Capital Outlay Notes in a principal amount not to exceed Three hundred thirty thousand Dollars ($330,000.00) (the “Notes”) at a private negotiated sale upon approval of the State Director of Local Finance pursuant to the terms, provisions, and conditions permitted by law. The Notes shall be designated “Energy Efficiency (ECD) Capital Outlay Notes”, shall be numbered serially from 1 upwards; shall be dated as of the date of issuance; shall be in denomination(s) as agreed upon with the purchaser; and shall bear interest at a rate or rates not to exceed three per cent (3%) per annum, and in no event shall the rate exceed the legal limit provided by law.
Section 2. That, the Notes shall mature not later than seven (7) years after the date of issuance and that the Notes shall be amortized according to the following schedule:
Year Principal Amount
2010 $ 43,067.10
2011 $ 44,359.11
2012 $ 45,689.89
2013 $ 47,060.58
2014 $ 48,472.40
2015 $ 49,926.57
2016 $ 51,424.35
The Notes shall not exceed the reasonably expected economic life of the Project, which is hereby certified by the Governing Body to be at least seven (7) years.
Section 3. That, the Notes shall be subject to redemption at the option of the Local Government, in whole or in part, at any time, at the Principal amount and accrued interest to the date of redemption.
Section 4. That, the Notes shall be direct general obligations of the Local Government and the Local Government hereby pledges its taxing power as to all taxable property in the Local Government for the purpose of providing funds for the payment of principal and interest on the Notes. The Governing Body of the Local Government hereby authorizes the levy and collection of a special tax on all taxable property of the Local Government over and above all other taxes authorized by the Local Government to create a sinking fund to retire the Notes with interest as they mature in an amount necessary for that purpose. Payment of principal and interest on the Notes shall be additionally payable from revenues of the Department of Water and Sewerage Services of the Local Government.
Section 5. That, the Notes shall be executed in the name of the Local Government and bear the manual signature of the Metropolitan Mayor of the Local Government and the manual signature of the Metropolitan Clerk of the Metropolitan Government of Nashville and Davidson County with the Local Government seal affixed thereon; and shall be payable as to principal and interest at the office of the Metropolitan Mayor of the Local Government or the paying agent duly appointed by the Local Government. Proceeds of the Notes shall be deposited with the Treasurer of the Metropolitan Government of Nashville and Davidson County of the Local Government and shall be paid out for the purpose of financing the Project pursuant to this Resolution and as required by law.
Section 6. That, the Notes shall be in substantially the form attached hereto, as Exhibit A.
Section 7. That, the Notes shall be sold only after the receipt of the written approval of the State Director of Local Finance for the sale of the Note.
Section 8. That, after the issuance and sale of the Notes, and for each year that any of the Notes are outstanding, the Local Government shall submit its annual budget to the State Director of Local Finance for approval immediately upon the Local Government’s adoption of the budget.
Section 9. That, all orders or resolution in conflict with this Resolution are hereby repealed as such conflict exist. This Resolution shall take effect from and after its adoption, the welfare of the Metropolitan Government requiring it.
Sponsored by: Jim Forkum
Attachment(s) on file in the Metropolitan Clerk's Office
|Referred to:||Budget & Finance Committee|
|Introduced:||April 21, 2009|
|Adopted:||April 21, 2009|
|Approved:||April 23, 2009|