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HomeMy WebLinkAbout25-1676 06-10-2025 RESOLUTION NO. 25-1676 A RESOLUTION AUTHORIZING THE REDEMPTION OF CERTAIN CURRENTLY OUTSTANDING OBLIGATIONS OF THE CITY; DIRECTING AUTHORIZED CITY OFFICIALS TO EFFECTUATE THE REDEMPTION OF SUCH OBLIGATIONS; RESOLVING OTHER MATTERS INCIDENT AND RELATED THERETO; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, pursuant to ordinances adopted by the City Council (the "City Council") of the City of Euless, Texas (the"City"), the following described obligations were duly authorized to be issued and are currently outstanding, to wit: (1) "City of Euless, Texas Tax and Waterworks and Sewer System (Limited Pledge) Revenue Certificates of Obligation, Series 2011," dated January 15, 2011 (the "Series 2011 Obligations"); (2) "City of Euless, Texas, General Obligation Refunding Bonds, Series 2012A," dated November 1, 2012 (the "Series 2012A Bonds"); (3) "City of Euless, Texas Tax and Waterworks and Sewer System (Limited Pledge) Revenue Certificates of Obligation, Series 2014," dated October 15, 2014 (the "Series 2014 Obligations"); and (4) "City of Euless, Texas Tax and Waterworks and Sewer System (Limited Pledge) Revenue Certificates of Obligation, Series 2015," dated October 15, 2015 (the "Series 2015 Obligations," and, together with the Series 2011 Obligations, Series 2012A Bonds, and Series 2014 Obligations, the "Obligations"); and WHEREAS, each of the Obligations are subject to redemption prior to their maturity, at the option of the City; and WHEREAS, in accordance with the provisions of Texas Government Code, Chapter 1207, as amended ("Chapter 1207"), the City is authorized and empowered to deposit funds and/or securities directly with the place of payment for the Obligations, or other authorized depository, and enter into an escrow or similar agreement with such place of payment for the safekeeping, investment, reinvestment, administration, and disbursement of such deposit of funds, and such deposit, when made in accordance with Chapter 1207, shall constitute the making of firm banking and financial arrangements for the discharge and full payment of the Obligations; and WHEREAS, the City Council of the City finds and determines that it is in the best interest of the City and its residents to redeem the Refunded Obligations (as hereinafter defined) as herein provided in order to reduce the City's aggregate debt service requirements; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EULESS, TEXAS, THAT: SECTION 1. The (1) Series 2011 Obligations maturing on August 15 in each of the years 2026, 2028, and 2030, in the aggregate principal amount of $1,245,000, (2) Series 2012A Bonds maturing on February 15 in each of the years 2026 and 2027, in the aggregate principal amount of $1,150,000, (3) Series 2014 Obligations maturing on August 15 in each of the years 2025 through 2034, inclusive, in the aggregate principal amount of $3,625,000, and (4)Series 2015 Obligations maturing on February 15 in each of the years 2026 through 2027, inclusive, and 2029 through 2035, inclusive, in the aggregate principal amount of $1,935,000 (such obligations are collectively hereinafter referred to as the "Refunded Obligations"), shall be redeemed on July 22, 2025, or such other date (the "Redemption Date") as may be determined by an Authorized Official (defined herein), as set forth in this Resolution. The City Council hereby authorizes and directs the Mayor or Mayor Pro Tem, the City Manager, each Assistant City Manager, the Director of Finance, or the Assistant Director of Finance (each, an "Authorized Official") to transfer lawfully available funds of the City to U.S. Bank Trust Company, National Association, the paying agent/registrar for each of the Refunded Obligations (the "Paying Agent/Registrar"), in an amount sufficient to pay (i) all interest due and owing on the Refunded Obligations on the Redemption Date, (ii) the principal amount of the Refunded Obligations due and owing on the Redemption Date, and (iii) the associated costs and expenses of such redemptions. Upon the making of such deposit, the Refunded Obligations will be determined to have been defeased and, as a result, discharged and no longer considered outstanding obligations of the City in accordance with applicable Texas law. SECTION 2. To the extent necessary to effectuate the redemption of the Refunded Obligations in accordance with the terms hereof, each Authorized Official is hereby authorized to enter into a deposit or escrow agreement with the Paying Agent/Registrar (the "Agreement") for the final payment and discharge of the Refunded Obligations on the Redemption Date, in a form acceptable to the Authorized Official, for and on behalf of the City and as the act and deed of the City Council of the City; and the Agreement as executed by one of such officials shall be deemed the Agreement approved by the City Council of the City. Each Authorized Official is hereby authorized and directed to transfer lawfully available funds to the Paying Agent/Registrar to accomplish the redemption of the Refunded Obligations in accordance with the terms of the Agreement or this Resolution. SECTION 3. The sufficiency of the deposit to the respective Certificate Fund or Interest and Sinking Fund (as defined in the respective ordinance authorizing the Refunded Obligations), as applicable, or the fund established pursuant to the Agreement to accomplish such redemption, shall be certified to the City by the City's financial advisor, the Paying Agent/Registrar, or another qualified financial institution. Resolution No. 25-1676, Page 2 of 9 SECTION 4. Each Refunded Obligation shall be called for redemption on the Redemption Date as set forth in the respective notice of redemption, at the price of par and accrued interest to the date of redemption. The City Secretary or any Authorized Official is hereby authorized and directed to file a copy of this Resolution, together with the suggested form of notice of redemption to be sent to the obligation holder, with the Paying Agent/Registrar, in accordance with the redemption provisions applicable to such Refunded Obligation; such suggested forms of notice of redemption being attached hereto as Exhibits A through D and incorporated herein by reference as a part of this Resolution for all purposes. SECTION 5. Each Authorized Official is authorized to provide certifications or other evidence of adoption of this Resolution and to do any and all things necessary or convenient to effect the redemption described herein and otherwise give effect to the intent and purpose hereof, including the execution of the Agreement. SECTION 6. The recitals contained in the preamble hereof are hereby found to be true, and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a part of the judgment and findings of the City Council. SECTION 7. Though such parties may be identified, and the entry into a particular form of contract may be authorized herein, the City Council hereby delegates to each Authorized Official the authority to independently select the counterparty to any agreement with the Paying Agent/Registrar or any other contract that is determined by such Authorized Official, the City's financial advisor, or bond counsel to be necessary or incidental to carry out the provisions of this Resolution, as long as each of such contracts has a value of less than the amount referenced in Section 2252.908 of the Texas Government Code (collectively, the "Ancillary Contracts"); and, as necessary, to execute the Ancillary Contracts on behalf and as the act and deed of the City Council. The City Council has not participated in the selection of any of the business entities which are counterparties to the Ancillary Contracts. SECTION 8. If any provision of this Resolution or the application thereof to any person or circumstance shall be held invalid, the remainder of this Resolution and the application of such provision to other persons and circumstances shall nevertheless be valid, and the City Council hereby declares that this Resolution would have been enacted without such invalid provision. Resolution No. 25-1676, Page 3 of 9 SECTION 9. It is officially found, determined, and declared that the meeting at which this Resolution is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Resolution, was given, all as required by Texas Government Code, Chapter 551, as amended. SECTION 10. This Resolution shall be in force and effect from and after its passage on the date shown below. [Remainder of page intentionally blank] Resolution No. 25-1676, Page 4 of 9 APPROVED AND ADOPTED at a regular meeting of the Euless City Council on June 10, 2025, by a vote of 6 ayes, 0 nays, and 0 abstentions. APPROVED: L a in, ayor ATTEST: Ki utter, RMC, CMC City Secretary/Chief Governance Officer (SEAL) Resolution No. 25-1676, Page 5 of 9 EXHIBIT A NOTICE OF REDEMPTION CITY OF EULESS, TEXAS TAX AND WATERWORKS AND SEWER SYSTEM (LIMITED PLEDGE)REVENUE CERTIFICATES OF OBLIGATION, SERIES 2011 Dated January 15, 2011 NOTICE IS HEREBY GIVEN that all of the obligations of the above series maturing on August 15 in each of the years 2026, 2028, and 2030, and aggregating in the principal amount of $1,245,000 (the "Obligations"), have been called for redemption on July 22, 2025 (the "Redemption Date") at the redemption price of par and accrued interest to the date of redemption (the"Redemption Price"), such Obligations being identified as follows: Year of Principal Amount Principal Amount Principal Amount CUSIP Maturity Outstanding to be Redeemed Remaining No. 2026+ $380,000 $380,000 $-0- 298263K78 2028+ $415,000 $415,000 $-0- 298263K94 2030+ $450,000 $450,000 $-0- 298263L36 +Tenn Obligation The above-described Obligations shall become due on the Redemption Date, and interest thereon shall cease to accrue from and after the Redemption Date and payment of the Redemption Price shall be paid to the registered owners of the Obligations only upon presentation and surrender thereof to U.S. Bank Trust Company, National Association, at its designated offices at the following address: U.S.Bank Trust Company,National Association; Attention: Bond Operations; 111 Fillmore Avenue East, St. Paul,Minnesota 55107-1402. THIS NOTICE is issued and given pursuant to the terms and conditions prescribed for the redemption of such Obligations and pursuant to a resolution by the City Council of the City of Euless, Texas. U.S. Bank Trust Company,National Association, as Paying Agent/Registrar 296504615.2/1001005601 A-1 Resolution No. 25-1676, Page 6 of 9 EXHIBIT B NOTICE OF REDEMPTION CITY OF EULESS, TEXAS GENERAL OBLIGATION REFUNDING BONDS, SERIES 2012A Dated November 1, 2012 NOTICE IS HEREBY GIVEN that all of the bonds of the above series maturing on February 15 in each of the years 2026 and 2027, and aggregating in the principal amount of $1,150,000 (the "Bonds"), have been called for redemption on July 22, 2025 (the "Redemption Date") at the redemption price of par and accrued interest to the date of redemption (the "Redemption Price"), such Bonds being identified as follows: Year of Principal Amount Principal Amount Principal Amount CUSIP Maturity Outstanding to be Redeemed Remaining No. 2026 $565,000 $565,000 $-0- 298263P65 2027 $585,000 $585,000 $-0- 298263P73 The above-described Bonds shall become due on the Redemption Date, and interest thereon shall cease to accrue from and after the Redemption Date and payment of the Redemption Price shall be paid to the registered owners of the Bonds only upon presentation and surrender thereof to U.S. Bank Trust Company, National Association, at its designated offices at the following address: U.S. Bank Trust Company,National Association;Attention: Bond Operations; 111 Fillmore Avenue East, St. Paul,Minnesota 55107-1402. THIS NOTICE is issued and given pursuant to the terms and conditions prescribed for the redemption of such Bonds and pursuant to a resolution by the City Council of the City of Euless, Texas. U.S. Bank Trust Company,National Association, as Paying Agent/Registrar 296504615.2/1001005601 B-1 Resolution No. 25-1676, Page 7 of 9 EXHIBIT C NOTICE OF REDEMPTION CITY OF EULESS, TEXAS TAX AND WATERWORKS AND SEWER SYSTEM (LIMITED PLEDGE)REVENUE CERTIFICATES OF OBLIGATION, SERIES 2014 Dated October 15, 2014 NOTICE IS HEREBY GIVEN that all of the obligations of the above series maturing on August 15 in each of the years 2025 through 2034, inclusive, and aggregating in the principal amount of$3,625,000 (the "Obligations"),have been called for redemption on July 22, 2025 (the "Redemption Date") at the redemption price of par and accrued interest to the date of redemption (the"Redemption Price"), such Obligations being identified as follows: Year of Principal Amount Principal Amount Principal Amount CUSIP Maturity Outstanding to be Redeemed Remaining No. 2025 $315,000 $315,000 $-0- 298263R63 2026 $325,000 $325,000 $-0- 298263R71 2027 $335,000 $335,000 $-0- 298263R89 2028 $345,000 $345,000 $-0- 298263R97 2029 $355,000 $355,000 $-0- 298263S21 2030 $365,000 $365,000 $-0- 298263S39 2031 $380,000 $380,000 $-0- 298263S47 2032 $390,000 $390,000 $-0- 298263S54 2033 $400,000 $400,000 $-0- 298263S62 2034 $415,000 $415,000 $-0- 298263S70 The above-described Obligations shall become due on the Redemption Date, and interest thereon shall cease to accrue from and after the Redemption Date and payment of the Redemption Price shall be paid to the registered owners of the Obligations only upon presentation and surrender thereof to U.S. Bank Trust Company, National Association, at its designated offices at the following address: U.S. Bank Trust Company,National Association;Attention: Bond Operations; 111 Fillmore Avenue East, St. Paul,Minnesota 55107-1402. THIS NOTICE is issued and given pursuant to the terms and conditions prescribed for the redemption of such Obligations and pursuant to a resolution by the City Council of the City of Euless, Texas. U.S. Bank Trust Company, National Association, as Paying Agent/Registrar 296504615.2/1001005601 C-1 Resolution No. 25-1676, Page 8 of 9 EXHIBIT D NOTICE OF REDEMPTION CITY OF EULESS, TEXAS TAX AND WATERWORKS AND SEWER SYSTEM (LIMITED PLEDGE) REVENUE CERTIFICATES OF OBLIGATION, SERIES 2015 Dated October 15, 2015 NOTICE IS HEREBY GIVEN that all of the obligations of the above series maturing on February 15 in each of the years 2026 through 2027, inclusive,and 2029 through 2035, inclusive, and aggregating in the principal amount of$1,935,000 (the "Obligations"), have been called for redemption on July 22, 2025 (the "Redemption Date") at the redemption price of par and accrued interest to the date of redemption (the "Redemption Price"), such Obligations being identified as follows: Year of Principal Amount Principal Amount Principal Amount CUSIP Maturity Outstanding to be Redeemed Remaining No. 2026 $165,000 $165,000 $-0- 298263T87 2027 $170,000 $170,000 $-0- 298263T95 *** *** *** *** *** 2029+ $365,000 $365,000 $-0- 298263U36 2030 $190,000 $190,000 $-0- 298263U44 2031 $195,000 $195,000 $-0- 298263U51 2032 $200,000 $200,000 $-0- 298263U69 2033 $210,000 $210,000 $-0- 298263U77 2034 $215,000 $215,000 $-0- 298263U85 2035 $225,000 $225,000 $-0- 298263U93 +Tenn Obligation The above-described Obligations shall become due on the Redemption Date, and interest thereon shall cease to accrue from and after the Redemption Date and payment of the Redemption Price shall be paid to the registered owners of the Obligations only upon presentation and surrender thereof to U.S. Bank Trust Company, National Association, at its designated offices at the following address: U.S.Bank Trust Company,National Association; Attention: Bond Operations; 111 Fillmore Avenue East, St. Paul, Minnesota 55107-1402. THIS NOTICE is issued and given pursuant to the terms and conditions prescribed for the redemption of such Obligations and pursuant to a resolution by the City Council of the City of Euless, Texas. U.S. Bank Trust Company,National Association, as Paying Agent/Registrar 296504615.2/1001005601 D-1 Resolution No. 25-1676, Page 9 of 9