HomeMy WebLinkAboutMulti-city Lease Revenue Bonds, Danville, KY442
RESOLUTION NO. 596
A RESOLUTION OF THE CITY OF PADUCAH, KENTUCKY,
AUTHORIZING PRELIMINARY STEPS FOR THE ISSUANCE OF CITY ~F
DANVILLE, KENTUCKY, MULTI-CITY LEASE REVENUE BONDS (CITY OF
PADUCAH MULTIPLE LEASE REVENUE PROJECTS), SERIES 1991-C IN
AN ORIGINAL AGGREGATE PRINCIPAL AMOUNT OF APPROXIMATELY
$5,100,000; AUTHORIZING THE PREPARATION OF A REMARKETING
CIRCULAR FOR THE REMARKETING OF SUCH BONDS; AND TAKING OTHER
RELATED ACTION
RECITALS
A. The City of Danville, Kentucky, (the "Issuer")
has established a pooled lease financing program (the
"Program") whereby participating governmental entities in
the Commonwealth of Kentucky (the "Participants") can
finance or refinance the acquisition of certain public
facilities and other property intended for use by such
governmental entities (the "Projects"), by leasing such
Projects from the Kentucky Municipal Finance Corporation
(the "Corporation") acting as the agent and instrumentality
of the Issuer for purposes of the Program, and, upon payment
in full of all rentals and other sums due under the leases
between the Corporation and the Participants (the "Leases"),
the Participants will acquire all right, title and interest
I~
~_~..., ~ in and to the Projects
B. Pursuant to a Trust Indenture dated as of
March 1, 1989, as amended (the "Indenture"), the Issuer has
issued its Money Market Municipal Multi-City Lease Revenue
Bonds (Kentucky Municipal League Pooled Lease Financing
Program), Series 1989 in the aggregate principal amount of
$152,975,000 (the "Original Bonds") for the purpose of
financing the Projects pursuant to the Indenture.
C. The City of Paducah, Kentucky (the "City") has
determined to become a Participant in the Program by
entering into a Fixed Rate Lease, as defined in the Inden-
ture, having an approximate principal component of
$5,100,000 for the purpose of financing various City
projects.
D. All of the Original Bonds have been. issued to
bear interest initially at the Money Market Municipal Rate
and may be converted to a Fixed Rate as provided in the
~.._
Original Indenture, for purposes of entering into a Fixed
Rate Lease.
E. The City has requested that the Issuer and the
Corporation convert a portion of the Original Bonds to Fixed
Rate Bonds (the "Supplemental Bonds"), to be remarketed as
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provided in the Indenture and to be secured by a pledge of a
series trust estate.
F. The Issuer and the Corporation have retained
Lehman Brothers and First Kentucky securities Corp. as
remarketing agents (the "Remarketing Agents") and Peck,
Shaffer & Williams as bond counsel ("Bond Counsel") for the
remarketing of Fixed Rate Bonds.
G. It is necessary that the Remarketing Agents /F~r
~~
educes and re are
and Bond Counsel undertake certain proc P P °
certain documents to accomplish the conversion and remarket-
ing of the Supplemental Bonds, including a Preliminary
Remarketing Circular, a Supplemental Indenture, a Lease and
certain ordinances and resolutions (the "Documents").
BE IT RESOL~lED BY THE CITY OF PADUCAH, KENTUCKY:
SECTION 1. Authorization to Proceed. For the
purposes set forth in the preamble hereto, the City hereby
finds and determines the recitals herei.nabove set forth and
expresses its intent to enter into a Fixed Rate Lease at the
approximate time and hereby requests and authorizes that the
Issuer, the. Corporation, the Remarketing Agent and Bond
Counsel proceed to prepare the Documents and to take all
steps necessary and appropriate to provide the financing for
the Project under such Fixed Rate Lease.
SECTION 2. Authorization of Remarketing Circular.
The preparation and distribution of Preliminary Remarketing ~ ~
Circular for the Supplemental Bonds is hereby authorized and
approved and any officer of the City is authorized to deem
such Preliminary Remarketing Circular "final" for purposes
of Securities and Exchange Commission Rule 15c2-12.
SECTION 3. Severability. The provisions of this
resolution are severable, and if any section, phrase, or
provision hereof shall for any reason be declared invalid or
unenforceable, such declaration shall not affect the
validity of the remainder of this resolution.
SECTION 4. Prior Conflicting Actions Superseded.
To the extent that any resolution, ordinance, order, or part
thereof is in conflict with the provisions of this resolu-
tion, the provisions of this resolution shall prevail and be
given effect.
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SECTION 5. Effective Date. This resolution shall
be in full force and effect from and after its enactment.
GERRY B. MONTGOMERY
Mayor
Adopted by the Board of Commissioners June 3, 1991
Recorded by Lenita Smith, City Clerk, June 3, 1991
ATTEST:
Lenita Smith
City Clerk
CERTIFICATION
The undersigned certifies that she is the duly
appointed City Clerk of the City of Paducah, Kentucky, that
the foregoing resolution was duly enacted at a regular
meeting of the City Commission held on June 3, 1991, that
all actions taken in connection with such resolution were in
compliance with the requirements of KRS 61.810, 61.815,
61.820 and 61.825, and that said resolution is now in full
force and effect, all as appears from the official records
in my custody and under my control.
WITNESSETH by hand this 3rd day of June, 1991.
Lenita Smith
City Clerk
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