1992-05765-Resolution No. 92-014 Recorded 2/26/1992REVIEWED
92- 05765
[ EG COUNSEL
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON---
A Resolution Authorizing the Issuance and
Sale of Bond Anticipation Notes, Series 1992
in the Principal Amount of Not More Than
Three Hundred Thousand and No /100 Dollars
($300,000.00), and Related Matters.
RESOLUTION NO. 92 -014
* 92 FEB 26 FM 4:32
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0108 1822
WHEREAS, Deschutes County (the "County ") has paid for costs of
local improvement districts projects which may be in service for
more than one year and are capital assets of the County; and
WHEREAS, under newly published federal regulations, those
costs may only be financed with tax - exempt obligations if they are
financed before March 3, 1992; and
WHEREAS, issuing notes to finance those costs will preserve
Deschutes County's ability to finance those costs with long -term,
tax - exempt obligations; and
WHEREAS, pursuant to Oregon Revised Statute 287.502 Deschutes
County is authorized to issue notes to provide interim financing
for capital assets; now, therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
DESCHUTES COUNTY, OREGON, as follows:
Section 1. Notes Authorized. The Board of County
Commissioners authorizes the Bond Anticipation Notes, Series 1992
(the "Notes "), in an aggregate principal amount of not more than
three hundred thousand and no /100 dollars ($300,000.00). The Notes
shall be issued pursuant to ORS 287.502, shall mature within one
year, and shall bear interest at a rate of not more than seven
percent (7.00 %) per annum. The Director of Administration and
Personnel or the designee (the "Director ") are hereby authorized on
behalf of County to:
A. Establish the final terms of the Notes, including their
dates, interest and principal payment provisions, maturities,
and final principal amounts, subject to the limitations
contained in this section;
B. Enter into an agreement to sell the notes to a commercial
bank or other investor, and to establish the terms under which
the Notes will be sold; and
C. Establish the form of the Notes, to execute and deliver
the Notes, and to take any other action necessary to issue,
sell and deliver the Notes in accordance with this resolution
and order.
The Director or the designee shall report the results of the sale
of the Notes to the Board of County Commissio er�MEof thv
promptly.
1 - RESOLUTION NO. 92 -014 (2/26/92)
MAR 2 1997
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199a
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Section 2. Security. The Notes shall be payable from amounts
deposited in the Fund pursuant to Section 3, below, and from all
other legally available funds of the County. The County hereby
pledges the amounts required to be deposited in the Fund to pay the
Notes. No pledge or lien on other revenues or funds of the County
shall be given to secure the Notes.
Section 3. Note Sinking Fund. The Director or the designee
shall cause to be established a 1992 Note Fund or Account (the
"Fund "), to which shall be deposited all proceeds from the
collection of unbonded assessments, the proceeds of permanent
financing and the foreclosure of improvement liens for unbonded
assessments realized from the improvements with respect to which
such Notes are issued. The deposits in the Fund shall be used
solely to pay the Notes, and shall not be transferred, borrowed,
diverted or used for any other purpose.
Section 4. Covenant to Obtain Permanent Financing. The
County also covenants to use its best efforts to secure timely,
permanent financing, and to apply the proceeds of the financing to
redeem the Notes.
Section 5. Bank Qualified. The County (and all subordinate
entities, if any) hereby designate the Note as a "qualified tax -
exempt obligation" pursuant to Section 265(b)(3) of the Internal
Revenue Code of 1986, as amended (the "Code "). The County
covenants not to so designate tax - exempt obligations in the current
calendar year in an aggregate amount of more than ten million and
no /100 dollars ($10,000,000.00). The County does not reasonably
expect to issue more than ten million and no /100 dollars
($10,000,000.00) of tax - exempt obligations during the current
calendar year.
Section 6. Tax - Exempt Status. The County covenants for the
benefit of the owners of the Notes to comply with all provisions of
the Code which are required for Note interest to be excludable from
gross income under Section 103(a) of the Code. The County
specifically covenants to comply with the "arbitrage" requirements
of Section 148 of the Code, and to pay any rebates or penalties
which may be due to the United States under Section 148(f) of the
Code in connection with the Notes. The Director or the designee
may enter into covenants on behalf of the County to protect the
tax - exempt status of the Notes.
DATED this 26th day of February, 1992.
A ' EST:
BOARD 0 COUNTY COMMISSIONERS
OF DE ES COUNTY, OREGON
Commi i•n-r
1'IANCY
GEN, Comm sioner
ecor•ing Secretary DICK MAUDLIN, Chairman
2 - RESOLUTION NO. 92 -014 (2/26/92)
