HomeMy WebLinkAbout2016-166 Council ResolutionCITY OF LINO LAKES
RESOLUTION NO. 16-166
RESOLUTION CANCELING THE 2016/2017 DEBT SERVICE TAX LEVY FOR
TAXABLE G.O. IMPROVEMENT REFUNDING BONDS, SERIES 2016B
WHEREAS, a tax levy is scheduled for 2016 to be collected in 2017 to pay the debt service on
the Taxable G.O. Improvement Refunding Bonds, Series 2016B; and,
WHEREAS, funds are available from other sources to satisfy such debt service requirements;
and,
WHEREAS, it is the desire of the City Council to cancel such debt service levy for 2016,
collectible in 2017.
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Lino Lakes,
Minnesota, that the tax levy scheduled for 2016 to be collected in 2017 to pay the debt service on
the Taxable G.O. Improvement Refunding Bonds, Series 2016B is hereby cancelled.
Adopted by the Council of the City of Lino Lakes this 12th day of September, 2016.
The motion for the adoption of the foregoing resolution was introduced by Council Member
Maher and was duly seconded by Council Member Rafferty and upon
vote being taken thereon, the following voted in favor thereof:
Maher, Rafferty, Manthey, Kusterman, Reinert
The following voted against same:
none
ATTEST:
Jul_ Bartell, City
Jeff Reine , N,E'a or
CITY COUNCIL
AGENDA ITEM 2C
STAFF ORIGINATOR: Sarah Cotton
MEETING DATE: December 12, 2016
TOPIC: Resolution No. 16-166, Canceling the 2016/2017 Debt Service
Tax Levy for Taxable G.O. Improvement Refunding Bonds,
Series 2016B
VOTE REQUIRED: Simple Majority
BACKGROUND
In September 2005, the City Council awarded the sale of $5,550,000 Taxable General
Obligation Improvement Bonds, Series 2005A to finance public improvements in the Legacy at
Woods Edge development. At the time of issuance, an annual tax levy was included in the
bond documents for the payment of future debt service. It was fully anticipated that the annual
debt service would be satisfied by special assessments and that the tax levy would be evaluated
and canceled, if possible, on an annual basis.
At the October 24, 2016, City Council meeting, the City Council awarded the sale of
$1,980,000 Taxable General Obligation Improvement Refunding Bonds, Series 2016B to
refinance the outstanding portion of the 2005A Series Bonds issued to fund the Legacy at
Woods Edge Improvements. At the time of issuance of the refunding bonds, an annual tax levy
was included in the bond documents for the payment of future debt service. It was fully
anticipated that the annual debt service would be satisfied by special assessments, TIF,
interfund loans (if needed), and future land sale proceeds and that the tax levy would be
evaluated and canceled, if possible, on an annual basis.
Following an analysis of the resources available for payment of the ensuing year debt service,
staff has concluded that adequate resources are available, and recommends that the debt service
tax levy for 2016, collectible in 2017 be canceled by the City Council. By adopting Resolution
No. 16-166, the City Council hereby cancels the 2016/2017 debt service levy for this bond
issue.
RECOMMENDATION
Staff recommends adoption of Resolution No. 16-166
ATTACHMENTS
Resolution No. 16-166