Explanation
This legislation resolves that is it necessary to proceed with the issue of bonds and certifying same to the board of elections in the amount of $250,000,000 for water, power, sanitary sewers and storm sewers ($250,000,000). The election will be held May 7, 2019.
Section 44-1(e) of the City Charter.
Title
To determine to proceed with the issue of bonds and certifying same to the board of elections in the amount of $250,000,000.00 for water, power, sanitary sewers and storm sewers. ($250,000,000.00)
Section 44-1(e) of the City Charter.
Body
WHEREAS, the City Council (the “Council”) of the City of Columbus, Ohio, (the “City”) at its regular meeting on January 28, 2019, determined that it is necessary to issue bonds in the amount of $250,000,000 (the “Bonds”) for the purpose of acquiring, constructing, renovating, and improving infrastructure for the Department of Public Utilities, including water, power, sanitary sewers and storm sewers, acquiring real estate and interests in real estate, landscaping and otherwise improving the sites thereof, and acquiring furnishings, equipment and appurtenances, and that it is necessary that a direct tax be annually levied on all the taxable property in the City outside of the ten-mill limitation to meet the debt charges on the Bonds and any securities issued in anticipation thereof; and
WHEREAS, the County Auditor of Franklin County, Ohio has certified to the Council that an estimated annual levy of one and three hundredth (1.03) mills for each one dollar of valuation, which is 10.3 cents ($0.103) for each one hundred dollars of tax valuation, will be required to produce the average annual property tax levy necessary to pay the principal of and interest on the Bonds over 25 years (the maximum maturity of the Bonds);
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF COLUMBUS, that:
Section 1. It is necessary to proceed with the issuance of the Bonds in the amount and for the purpose described in the preamble to this resolution, and to levy, outside of the ten-mill limitation provided by law, an annual tax on all the taxable property in the entire territory of the City to pay debt charges on the Bonds and any securities issued in anticipation thereof.
Section 2. The Bonds shall be dated approximately June 1, 2019; shall bear interest at the estimated rate of 5.50% per annum; and shall be paid over a number of years not to exceed 25 as calculated under Ohio Revised Code Chapter 133.
Section 3. The question of issuing the Bonds shall be submitted to the electors of the entire territory of the City at the election to be held at the usual voting places within the City, on May 7, 2019. All of the territory of the City is in Franklin, Fairfield and Delaware Counties, Ohio.
Section 4. The form of the ballot to be used at said election shall be substantially as follows:
AFFIRMATIVE VOTE IS NECESSARY FOR PASSAGE
Shall bonds be issued by the City of Columbus, Ohio for the purpose of acquiring, constructing, renovating, and improving infrastructure for the Department of Public Utilities, including water, power, sanitary sewers and storm sewers, acquiring real estate and interests in real estate, landscaping and otherwise improving the sites thereof, and acquiring furnishings, equipment and appurtenances in the principal amount of $250,000,000 to be repaid annually over a maximum period of 25 years, and an annual levy of property taxes be made outside of the ten-mill limitation, estimated by the county auditor to average over the repayment period of the bond issue 1.03 mills for each one dollar of tax valuation, which amounts to $0.103 for each one hundred dollars of tax valuation, commencing in 2019, first due in calendar year 2020, to pay the annual debt charges on the bonds, and to pay debt charges on any notes issued in anticipation of those bonds?
__________ FOR THE BOND ISSUE
__________ AGAINST THE BOND ISSUE
Section 5. The Clerk of this Council is hereby authorized and directed to certify a copy of resolution No. 0018x-2019 passed January 28, 2019, the Certificate of Estimated Average Annual Property Tax Levy, and this Resolution to Proceed to the Board of Elections, Franklin County, Ohio on or before February 6, 2019.
Section 6. It is hereby found and determined that all formal actions of this Council concerning and relating to the adoption of this resolution were taken in an open meeting of this Council, and all deliberations of this Council and of any of its committees that resulted in such formal action, were in meetings open to the public, in compliance with all legal requirements including Ohio Revised Code Section 121.22.
Section 7. In accordance with Section 44-1(e) of the Charter of the City of Columbus, Ohio, this resolution shall take effect and be in force from and immediately after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.