Explanation
This legislation resolves that it is necessary to proceed with the issue of bonds and certifying same to the board of elections in the amount of $200,000,000.00 for neighborhood development ($200,000,000.00). The election will be held on November 8, 2022.
Title
To determine to proceed with the issue of bonds and certifying same to the board of elections in the amount of $200,000,000.00 for neighborhood development; and to declare an emergency ($200,000,000.00).
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 June 27, 2022, determined that it is necessary to issue bonds in the amount of $200,000,000 (the “Bonds”) for the purpose of promoting neighborhood and community development and affordable housing within the City of Columbus by purchasing, constructing, demolishing, renovating, improving, equipping and furnishing residential and commercial structures in the City, and acquiring, clearing, testing, remediating environmental issues, extending utilities, and otherwise improving residential and commercial sites in the City, and providing funds for grants in connection with the same, 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 zero and seventy-eight hundredths (0.78) mills for each one dollar of valuation, which is 07.8 cents ($0.078) 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 20 years (the maximum maturity of the Bonds); and
WHEREAS, an emergency exists in the usual daily operations of the Departments of Neighborhoods and Development in that it is immediately necessary to adopt this resolution so that the City can meet the August 10, 2022 deadline for filing election proceedings with the Board of Elections, Franklin County, Ohio and so that the work on the proposed projects to be financed can commence as soon as possible, all for the immediate preservation of the public peace, property, health or safety;NOW, THEREFORE,
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF COLUMBUS:
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 December 1, 2022; shall bear interest at the estimated rate of 5.50% per annum; and shall be paid over a number of years not to exceed 20 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 November 8, 2022. 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 promoting neighborhood and community development and affordable housing within the City of Columbus by purchasing, constructing, demolishing, renovating, improving, equipping and furnishing residential and commercial structures in the City, and acquiring, clearing, testing, remediating environmental issues, extending utilities, and otherwise improving residential and commercial sites in the City, and providing funds for grants in connection with the same in the principal amount of $200,000,000 to be repaid annually over a maximum period of 20 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 0.78 mills for each one dollar of tax valuation, which amounts to $0.078 for each one hundred dollars of tax valuation, commencing in 2022, first due in calendar year 2023, 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. 0125x-2022 passed June 27, 2022, 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 August 10, 2022.
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, and for the reason stated in the preamble hereto, which is hereby made a part hereof, this resolution is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.