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2019-059 Issue Tax-Exempt Financing for Qualified Expenditures RESOLUTION 2019-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ENCINITAS DECLARING ITS INTENT TO ISSUE TAX-EXEMPT FINANCING TO BE USED TO REIMBURSE THE CITY FOR QUALIFIED EXPENDITURES PRIOR TO THE ISSUANCE OF SUCH FINANCING WHEREAS, the City Council of the City of Encinitas (the "City") desires and intends to finance the purchase and equipping of certain fire apparatus (the "Purchase") in furtherance of its municipal purposes; and WHEREAS, the City may desire to seek or issue tax-exempt obligations (the "Obligations") such as equipment lease financing, for the purpose of providing financing for the Purchase at a future date; and WHEREAS, the City expects to incur certain expenditures relating to the Purchase, and to pay for such expenditures from the City's monies on hand prior to the execution of the Obligations (the "Reimbursement Expenditures"); -and WHEREAS, the City reasonably expects to use the proceeds of the Obligations to reimburse the City for expenditures made prior to the date the Obligations are issued; NOW, THEREFORE: BE IT RESOLVED by the City Council of the City of Encinitas the following: Section 1. Declaration of Official Intent. The City hereby declares its official intent, subject to the further approval of this Council, to use.up to $800,000 of the proceeds of the Obligations to reimburse itself for the Reimbursement Expenditures. It is intended that this Resolution shall constitute a declaration of "official intent" within the meaning of Section 1.150-2 of the Treasury Regulations promulgated under Section 150 of the Internal Revenue Code of 1986, as amended. Section 2. Other Approvals. The adoption of this Resolution shall not bind the City to proceed with issuance of the Obligations until and unless all other necessary actions and approvals are taken or received in accordance with all applicable laws. Section 3. Effective Date. This Resolution shall take effect upon adoption. PASSED AND ADOPTED this 10th day of July, 2019 by the following vote to wit: AYES: Blakespear, Hubbard, Kranz, Mosca NAYS: None ABSENT: Hinze ABSTAIN: None Catherine S. Blakespear Mayor, City of Encinitas ATTEST: `` LA%AAJ Kathy Hollywood, City Clerk, City of Encinitas