Posting Language
Title
Approve a resolution declaring the City of Austin’s official intent to reimburse itself from proceeds of tax-exempt obligations to be issued for expenditures in the total amount of $15,445,000.
De
Lead Department
Financial Services.
Fiscal Note
A fiscal note is attached.
For More Information:
Kerri Lang, Budget Officer, Financial Services Department, 512-974-2283.
Additional Backup Information:
For the City to spend money today and reimburse itself from the issuance of tax-exempt debt obligations, federal law requires the City to approve a reimbursement resolution, which allows the City to reimburse itself from the issuance of debt obligations in the future. The resolution must contain certain information and protect the tax-exempt status of the future issuance. Failure to adopt a qualified declaration of official intent will prohibit the City from reimbursing the cost with the proceeds of tax-exempt obligations. Tax exempt debt obligations being utilized to make a reimbursement must generally be issued no later than 18 months after the later of, the date the expenditure was made, or the date that the project, with respect to which the expenditure was made, is placed in service.
This action expresses the City Council’s intent to authorize the reimbursement for costs associated with Fiscal Year 2023-2024 Capital Budget items for general obligation debt as described below:
• Tax-exempt obligations in the total amount of $15,445,000 for the integration of caps and stich structures into the design of the IH-35 Capital Express Central Project.
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