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Home My WebLink About97-21 - ADMIN Resolution - City Council - 1997/02/18RESOLUTION NO. 97 ` 21 A RESOLUTION ADOPTING A POLICY FOR THE USE OF THE MATURED SPECIAL ASSESSMENT DEBT SERVICE FUNDS' ASSETS AND ESTABLISHING A RESERVE OF $2,783,790 FOR FUTURE DEBT SERVICE WHEREAS, the City Council of St. Louis Park adopted Resolution No. 93-14 on March 1, 1993 establishing guidelines for the use of matured or inactive special assessment debt service fund assets, and; WHEREAS, the City has subsequently issued the 1996 General Obligation Tax Increment Bonds to finance the renovation of the Recreation Center, and; WHEREAS, the Recreation Center renovation project meets the requirements of the guidelines established with Resolution 93-14 for the use of the matured or inactive special assessment debt service fund assets, and; WHEREAS, it is the City's intent to not increase the property tax levy for the payment of debt service on the 1996 bonds by using a part of the matured special assessment debt service funds' assets to pay a portion of the future debt service costs apart from the portion to be paid by tax increment revenue of the Excelsior Boulevard Tax Increment District and excess operating revenue from the Recreation Center, and; WHEREAS, it is important that the assets required for the payment of the future debt service costs be set aside through the designation of a fund balance reserve for that specific purpose; and WHEREAS, the estimated net present value of the required supplement to the 1996 G.O. Tax Increment Bonds is $2,783,790; NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, MINNESOTA, that the revised Matured Special Assessment Debt Service Fund Policy, as contained on Exhibit A, is adopted by an affirmative vote of at least six Councilmembers for the purpose of incorporating the debt service reserve requirement for the General Obligation Tax Increment Bonds; BE IT FURTHER RESOLVED by an affirmative vote of at least six Councilmembers that a reserve for future debt service of $2,783,790 is hereby established effective December 31, 1996 for future transfers to the G.O. Tax Increment Bonds Debt Service Fund for supplemental financing of the principal and interest payments on the bonds. Adopt d by the City C ncil February 18, 1997 Attest: /c,L._,•t-.2_e_,____ Reviewed for Administration: