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RESOLUTION:
<br />AWARDING
<br />$9,'500,000
<br />GENERAL OBLIGA-
<br />TION BOND
<br />ANTICIPATION
<br />NOTES
<br />
<br />APPROPRIATION:
<br />$9,500,000 TO
<br />CHARLOTTESVILLE
<br />REDEVELOPMENT
<br />AND HOUSING
<br />AUTHORITY
<br />(2nd reading)
<br />
<br />RESOLUTION:
<br />AUTHOR I Z lNG
<br />MAYOR TO ENTER
<br />AGREEMENT WITH
<br />(continued)
<br />
<br />by the following vote.
<br />Noes: None.
<br />
<br />Ayes:
<br />
<br />Mr. Buck, Mrs. Gleason, Dr. Gunter, Dr. Hall.
<br />
<br /> Mr. Wiley recommended that Council award the $9,S00,D00 in the Bond
<br />Anticipation notes, to mature in slightly less than a year, to United
<br />Virginia Bank at an annual interest .rate of S.94%.
<br />
<br />Mr. Robert Sheets, Director of Finance, stated that the need for
<br />
<br />quick action on the hotel project made competitive bidding of the notes
<br />impossible, but that two proposals had been obtained, and the rate offered
<br />
<br />by United'Virginia Bank appeared extremely favorable.
<br />
<br /> Mrs. Gleason moved the Resolution awarding the $9,S00,000 General
<br />Obligation Bond Anticipation Notes of the City of Charlottesville, Dr.
<br />Gunter seconded the motion, and it was unanimously approved by CoUncil.
<br />
<br /> WHEREAS, the Council of the City of' Charlottesville (the "Council")
<br />adopted an Ordinance on October 27, 1983, authOrizing the issuance of its
<br />$9,500,000 General Obligation Bo.nd Anticipation Notes (the "Notes") of the
<br />City of Charlottesville, Virginia (the "City"); and
<br />
<br /> WHEREAS, the Council has received a proposal from United Virginia
<br />Bank, Charlottesville,.~Virginia to p.urchase the Notes.
<br />
<br /> NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
<br />CHARLOTTESVILLE., VIRGINIA:
<br />
<br /> 1. The Council hereby determines that it 'is in the best interest
<br />of the City to contract'a debt and to issue and se¢l the Notes in
<br />anticipation of the issuance and sale of its $9-,500,0'00 general obligation
<br />bonds for the purpose of appropriating the proceeds from the sale thereof
<br />and transferring them.~to the.Charlottesville Redevelopment and Housing
<br />Authority (the "Authority") for use by the Authority in its discretion in
<br />furtherance of its public purposes, including, without limitation, the
<br />public purposes and objectives underlying the Redevelopment Plan for the
<br />Vinegar Hill Redevelopment Project, as amended (Urban Renewal Project No.
<br />VA.R-12) (the '!Vinegar Hill Redevelopment Project"), pursuant to applicable
<br />provisions of Chapter '1 of Title 36 of the Code.
<br />
<br /> 2. The terms and form of the Notes shall be as set forth in the
<br />Ordinance of the Council adopted October 27, 1983. The Notes shall bear
<br />interest at the rate of five and ninety four one-hundredths percent (S.94%)
<br />per annum. The Council, acting on behalf of the City, hereby accepts the
<br />proposal of United Virginia Bank, Charlottesville, Virginia to purchase the
<br />Notes at the price and upon the terms set forth in'such proposal ~s in the
<br />best interests of the Commonwealth of Virginia and the City.
<br />
<br /> 3. The officers and agents of the City are hereby authorized and
<br />directed to execute and delive~ any and all documents-they or any one of
<br />them deem necessary in order to effect the issuance and sale of the Notes.
<br />The officers and agents of the City are hereby further authorized and
<br />directed to do all acts required by this Resolution..for the full, ounctual
<br />and complete 9~erformance of all things necessary for this borrowing.
<br />
<br /> 4. Any other action~taken by the officers and agents of the City in
<br />connection with the transactions described above is hereby approved,
<br />ratified and confirmed.
<br />
<br /> S. The Clerk of the Council is hereby authorized and directed to
<br />immediately file a certified copy of this Resolution with the Circuit
<br />Court of the City of Charlottesville, Virginia pursuant to Sections
<br />15.1-t99 and 15.1-212 of the Code of Virginia of.t.9S0, as amended.
<br />
<br />6. This Resolution shall take effect immediately.
<br />
<br />Mr. Wiley requested that the appropriation be amended to delete the
<br />
<br />last two paragraphs relating to investing of funds. He stated that the
<br />
<br />Charlottesville Redevelopment and Housing Authority ~would provide for
<br />investing through an escrow agent.
<br />
<br />Dr. Hall moved to amend the appropriation, Mrs. Gleason seconded the
<br />
<br />motion, and the appropriation was amended by the following vote.
<br />Mr. Buck, Mrs. Gleason, Dr. Gunter, Dr. Hall. Noes: None.
<br />
<br />Ayes:
<br />
<br /> The Appropriation of $9,500,000 to the Charlottesville Redevelopment
<br />and Housing Authority was approved by the following vote. Ayes: Mr. Buck,
<br />Mrs. Gleason, Dr. Gunter, Dr. Hall. Noes: None.
<br />
<br />Mr. Wiley explained that this resolution would authorize, execution of
<br />
<br />a cooperation agreement to govern the use of the $9,500,00.0 by the
<br />
<br />
<br />
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