RES FA-32 RESOLUTION NO. FA- 32
A RESOLUTION OF THE PALM DESERT FINANCING
AUTHORITY DECLARING ITS INTENT TO REIMBURSE
EXPENDITURES IN CONNECTION WITH THE COST OF
THE ACQUISITION OF A PUBLIC PARKING EASEMENT TO
FINANCE THE COST OF THE INSTALLATION AND
CONSTRUCTION OF PARKING STRUCTURES FROM THE
PROCEEDS OF BONDS
THE PALM DESERT FINANCING AUTHORITY HEREBY FINDS,
DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. The Palm Desert Redevelopment Agency intends to use tax
increment revenues currently on hand to pay for the acquisition of a public parking
easement to finance the installation and construction of two parking structures, and other
certain parking spaces.
Section 2. The Agency intends that the foregoing described expenditures be
reimbursed to the Agency from the proceeds of bonds or other obligations to be issued by
the Financing Authority, by the Agency, or by a related public entity. The Financing
Authority and the Agency expect that all expenditures related to the parking structures will
be reimbursed with the proceeds of such bonds.
Section 3. Section 1.150-2 of the Treasury Regulations governs the
allocation of expenditures of a reimbursement bond. A reimbursement bond is that portion
of an issue of bonds (or other obligations) allocated to reimburse an original expenditure
(i.e., an expenditure for a governmental purpose that is originally paid from a source other
than a reimbursement bond)that was paid before the date of issue of the bonds. Section
1.150-2 provides rules to determine when an allocation of proceeds of bonds to reimburse
an original expenditure will be treated as an expenditure of those proceeds.
Section 4. In order for such an allocation of those proceeds to be treated as
an expenditure, the issuer (or in certain cases, a conduit borrower) of the bonds must, in
accordance with Section 1.150-2, adopt an official intent for the original expenditure. The
official intent is a declaration of intention by the issuer to reimburse the original expenditure
with proceeds of bonds. Such official intent is declared in Section 2 hereof.
Section 5. The maximum principal amount of bonds or other obligations
expected to be issued for the above-described costs associated with the acquisition of a
public parking easement to finance the installation and construction of two parking
structures, and other certain parking spaces is $12,000,000.
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RESOLUTION NO. FA- 32
Section 6. This official intent is not declared as a matter of course and is not
declared in an amount substantially in excess of the amounts expected to be necessary
to reimburse the expenditures described in Section 3 hereof.
PASSED, APPROVED and ADOPTED this 11th day of April, 2002.
AYES: BENSON, FERGUSON, SPIEGEL, KELLY
NOES: NONE
ABSENTS: CRITES
ABSTAINS: NONE
Richard S. Kelly, Presid nt
es .
Sheila R' i liga , {Secretary
(_ J
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