0728C17
RESOLUTION l
A RESOLUTION AUTHORIZI G THE MAYOR AND CITY COUNCIL OF THE
CITY OF JACKSONVILLE, ARKANSAS, IN COOPERATION WITH THE
UNDERWRITER, TRUSTEE, AND BOND COUNSEL, TO PROCEED WITH
MA TIERS PRELIMINAR Y TO THE ISSUANCE OF APPROXIMA TEL Y EIGHT
MILLION SEVEN HUNDRED THOUSAND DOLLARS ($8,700,000.00) IN
PRINCIPAL AMOUNT OF CAPITAL IMPROVEMENT CONSTRUCTION,
EQUIPMENT, AND REFUNDING REVENUE BONDS, IN ONE OR MORE
SERIES OF BONDS, TO FINANCE IMPROVEMENTS, CAPITAL
EQUIPMENT, BETTERMENTS, AND EXTENSIONS OF SERVICE TO THE
CITIZENS OF THE CITY OF JACKSONVILLE, ARKANSAS; TO REFUND
CERTAIN OUTSTANDING DEBT OF THE CITY; TO PREPARE AND
CIRCULATE A PRELIMINARY OFFICIAL STATEMENT AND RELATED
DOCUMENTS; DECLARING THE CITY'S INTENTION TO REIMBURSE
ITSELF FOR QUALIFYING EXPENDITURES FROM THE PROCEEDS OF
THE BONDS, AND, PRESCRIBING OTHER MATTERS RELATING
THERETO,
WHEREAS, the City Council of the City of Jacksonville (the "Council's has
determined previously that it is in the best interest of the City of Jacksonville (the
"City") to issue Capital Improvement Construction & Equipment Revenue Bonds
(the 'Construction Bonds") for the purpose of financing construction, capital
equipment purchases, betterments, improvements and extensions to the services
provided to the citizens of the City of Jacksonville, and to pay the costs of issuing
the Revenue Bonds;
WHEREAS, the City Council has also determined previously that it may be
beneficial to refund certain outstanding short term debt of the City through the
issuance of refunding bonds (the "Refunding Bonds," and together with the
Construction Bonds, the 'Bonds"), to refund the City's outstanding short term
debt, and to pay the costs of issuing the Refunding Bonds; and,
WHEREAS; in order to provide for the issuance and sale of the Bonds, the
City Council has recommended authorization be granted for the planning,
documentation, and marketing of the Bonds, to ratify the selections of Stephens
Inc., as Underwriter, First Arkansas Bank & Trust, as Trustee, and Wright,
Lindsey & Jennings LLP, as Bond Counsel, to provide for the preparation of a
Preliminary Official Statement and other related documents, and to evidence its
intention to reimburse itself for qualifying expenditures from the proceeds of the
Bonds.
RESOLUTION NO. 728 (#04 - 2015)
PAGE 2 0 0- 1 0 0 7 121
SECTION ONE: Such preliminary actions as are determined to be
necessary by the City are hereby authorized for the planning for, documentation
and marketing of approximately Eight Million Seven Hundred Thousand Dollars
($8,700,000.00) in aggregate principal amount of Capital Improvement
Construction and Refunding Revenue Bonds to finance construction, capital
equipment, betterments, improvements and extensions to the services provided
to the citizens of the City of Jacksonville, and to refund one or more issues of
outstanding short term debt of the City in the approximate aggregate principal
amount of Five Million Five Hundred Two Thousand Dollars ($5,502,000.00) to
fund a debt service reserve account, and to pay the costs of issuing the Bonds.
However, at such time as the Mayor and City Council shall determine to be in the
best interests of the City, the final terms of the sale of the Bonds shall be
submitted for the approval by the City Council of the City, together with the
proposed forms of the documents necessary to the issuance of the Bonds
including, without limitation, the Bond Purchase Agreement, the authorizing
Ordinance, and such other documents, agreements, contracts, certificates, and
other writings as may be appropriate.
SECTION TWO: The preparation of a Preliminary Official Statement and
its distribution to prospective purchasers of the Bonds are hereby approved. The
Mayor is hereby authorized and directed to cause the Preliminary Official
Statement to be delivered for and in the name of the City, with such provisions
therein as shall be approved by the Mayor, who is authorized to execute and
deliver to the Underwriters a certificate, when requested by the Underwriters, to
the effect that the Preliminary Official Statement is deemed final for the purposes
of Securities and Exchange Commission Rule 15c2-12.
SECTION THREE: The City Council authorizes the sum of not to exceed
Eight Million Seven Hundred Thousand Dollars ($8,700,000.00) (the
"Expenditures") from funds available to the City for the purpose of accomplishing
the construction, capital equipment, betterments, improvements and extensions
to the services provided to the citizens of the City of Jacksonville, to refund one
or more outstanding issues of short term debt of the City in the approximate
outstanding aggregate principal amount of Five Million Five Hundred Two
Thousand Dollars ($5,502,000.00) to fund a debt service reserve account, and to
pay the costs of issuance of the Bonds.
RESOLUTION NO. 728 (#04 — 2015)
PAGE3 0001"371
The City Council hereby declares its intent to reimburse itself with those
funds available to the City for the Expenditures from the proceeds of its Bonds,
and, further, declares as follows:
(a) Proceeds of the Bonds will be applied to reimburse the City and
those funds available to the City for the Expenditures within Eighteen (18)
months after the later of: (a) the date of the Expenditures; or, (b) the date on
which the Improvements are placed in service and, in any event, within Three
(3) years after the date of the making of the Expenditures;
(b) The City is aware of no reason which would cause it to expect that
the Expenditures would be reimbursed from any source other than proceeds of
the Bonds;
(c) The City is aware of no reason which would cause it to believe that
a substantial portion of the Expenditures will not be reimbursed from the
proceeds of the Bonds;
(d) The City is aware of nothing in the budget or financial
circumstances of the City or funds of the City which is inconsistent with the
intent and declaration of the City to finance the Expenditures with the Bonds.
The City is aware of no reason to expect that funds other than proceeds of the
Bonds will be reserved or allocated on a long-term basis or otherwise set aside
for the Expenditures pursuant to budgetary or financial policies of the City;
(e) The Bonds will be issued in the principal amount of approximately
Eight Million Seven Hundred Thousand Dollars ($8,700,000.00);
(f) The Expenditures will be "capital expenditures" within the meaning
of applicable Treasury Regulations or will constitute a portion of the costs of
issuance of the Bonds; and
(g) This Resolution shall constitute an "official intent" under United
States Treasury Regulation Section 1.150-2 for the reimbursement from proceeds
of the Bonds for expenditures made by the City prior to the date the Bonds are
issued for the purpose set forth herein.
SECTION FOUR: The City Council hereby approves and ratifies the
selections of Stephens Inc., as Underwriter, First Arkansas Bank & Trust as
Trustee, and Wright, Lindsey & Jennings LLP, as Bond Counsel.
SECTION FIVE: The City Council hereby authorizes and directs the
Mayor, the City Clerk, and other officers and employees of the City to carry out
or cause to be carried out all appropriate actions, to execute such other
certificates or documents to evidence authority as authorized herein, and to take
such other actions as they, in consultation with Bond Counsel, shall consider
necessary or advisable in connection with this Resolution in order to prepare for
the issuance, marketing, sale and delivery of the Bonds.
RESOLUTION NO. 728 (#04 — 2015)
PAGE 4
SECTION SIX,- This Resolution shall be effective from and after the date
of its adoption.
APPROVED AND ADOPTED THIS ]jj�?— DAY OF MAY, 2015.
ATTEST:
SUSAN DAVITTTITY CLERK
lur
•�y MANEM
,ARKANSAS