CR 2012-074 PH for the Purposes of Accepting input on the Amendment of the 2012-2016 CI) as it Relates to the Refunding of the 2003 HRA Leased Revenue BondsJuly 10, 2012 Council Report 2012-074
City of Hopkins
PUBLIC HEARING FOR THE PURPOSES OF ACCEPTING
INPUT ON THE AMENDMENT OF THE 2012-2016 CAPITAL
IMPROVEMENT PLAN AS IT RELATS TO THE REFUNDING
OF THE 2003 $3,050,000 HRA LEASED REVENUE BONDS
Proposed Action
To open the public hearing, accept public input on the amendment of the 2012-2016 Capital Improvement Plan (CIP)
as it relates to the refunding of the 2003 $3,050,000 in HRA Leased Revenue Bonds. Once public input has been
taken the public hearing will be closed and if no significant objections are heard we will proceed with adopting a
resolution adopting the Capital Improvement 2012-2016.
Action at close of public hearing: I move to approve Resolution 2012-045 adopting a capital improvement plan and
providing preliminary approval for the issuance of bonds.
Overview
Under the capital improvement program for financing acquisitions and betterments to public lands, buildings or other
improvements such as a city hall, public safety or public works facilities Minnesota Statutes now give cities the
authority to issue bonds without having to issue pure revenue bonds under a non -appropriation lease with option to
purchase agreement and without regards to an election.
The law authorizes the issuance of obligations for capital improvements if the bonds are issued under a 5 -year capital
improvement plan. To qualify for this option several qualifications must be met, among which is to approve the
capital improvement plan after a public hearing and the capital improvement being financed must have a useful life of
at least 5 years.
The City issued HRA Leased Revenue Bonds under the lease with option to buy program in 2002 and 2003. We
previously refinanced the 2002 bonds and now have the opportunity to refinance the 2003 bonds with significant
savings to the city and the taxpayers. We are proposing to refund $2,000,000 of the 2003 HRA Leased Revenue
Bonds as a straight G.O. issue. Anticipated savings are estimated to exceed $140,000. In addition to the interest
savings additional benefits will be tax savings, reduction of bond term by one year and a reduction in annual debt
service payments.
In order to do the refunding we needed approve the 2012-2016 CIP to include this project as a specific capital
improvement project.
Supportin<y Information
Ehlers & Associates memo on the Overview of Capital Improvement Plan Bond program
2007-2011 CIP as it relates to the refunding of the 2003 $3,050,000 HRA Leased Revenue bonds
Resolution 2012-045
Christine M. Harkess, CPA, CGFM
Finance Director
LJ
Memo
To: Christine Harkess — Finance Director
From: Stacie Kvilvang
Date: July 10, 2012
Subject: Refinancing of Public Projects Lease Revenue Bonds, Series 2003A
Overview
In 2003, the City issued $3,050,000 in lease revenue bonds to finance the improvements to the
Police Station. The date on which these bonds can be called (refinanced or paid off) is February
1, 2014. However, the City has the ability to complete what is called an advance refunding on
any bond issue, meaning you can refinance it prior to the call date, once in the life of the bond.
We are recommending moving forward with an advance refunding on this bond issue due to the
very favorable interest rates within the market. In addition, we are recommending refunding
these bonds as general obligation bonds to further reduce interest costs, thus increase savings to
the City.
Primary Issues to Consider:
1. Why are we refunding these bonds as General Obligation bonds?
2. What is the process for the issuance of these bonds?
3. What is the timeline for the issuance of these bonds?
Analysis of Issues:
1. Why are we refunding these bonds as General Obligation bonds?
The reason we are recommending to refinance these bonds as general obligation bonds is to
further increase the annual interest savings to the City. Lease revenue bonds have a higher
interest rate associated with them because the repayment is based upon a pledge of revenues,
which in this case is an annual appropriation in the General Fund budget by the City. Since
the bonds are not backed by the City's general obligation pledge of its taxing authority, they
are viewed to be more risky because the City could choose in any year not to levy for the
payment.
EHLERS
LEADERS IN PUBLIC FINANCE
www.ehlers-inc.com
Minnesota phone 651-697-8500 3060 Centre Pointe Drive
Offices also in Wisconsin and Illinois fax 651-697-8555 Roseville. MN 55113-1122
toll free 800-552-1171
Christine Harkess — Finance Director
Refinancing of Public Facilities Lease Revenue Bonds, Series 2003A
July 10, 2012
Page 2
Current interest rates on these bonds are 3.3% to 4.35%. If these bonds were refinanced as
lease revenue bonds, there would not be adequate interest rate savings to justify refinancing
them. Based upon refinancing the bonds as general obligation bonds, the interest rates are
estimated to be significantly lower, thus providing annual savings to the City, beginning in
2013 (approximately $15,000/year for remaining term of the bonds). In addition, lease
revenue bonds require a debt service reserve fund, which the City currently maintains on the
existing bonds. This amount is approximately $238,955 and was funded by bond proceeds.
Therefore these dollars will be utilized to "payoff' a portion of the bonds as required by
statute, which also. allows the City to reduce the bond repayment term by one (1) year.
2. What is the process for the issuance of these bonds?
In order to utilize this type of financing, the City has to prepare a 5 -Year Capital
Improvement Plan (CIP) for the refinancing which is presented at a public hearing to solicit
comment and feedback from the community. Upon conclusion of the public hearing, the
Council must approve the CIP via a 3/5th vote.
Although a referendum is not required, a reverse referendum is allowable. If a petition
bearing the signatures of at least 5 percent of the votes cast in the last general election
requesting a vote on the issuance of the bonds is received by the municipal clerk within 30
days after the public hearing, a referendum vote on the issuance of the bonds shall be called
(if a vote is taken and the referendum passes, the taxes would be levied on market value
rather than tax capacity). It should be noted that since the reason for issuing these bonds is
for interest (cost) savings to the community and tax payers, a reverse referendum petition is
unlikely.
4. What is the timeline/process for the issuance of the bonds?
Following is the proposed schedule for the issuance of the bonds:
July 10, 2012: City Council holds public hearing at 7:30 p.m. on CIP Bonds and
on Capital Improvement Plan and ado resolution approving
Capital Improvement Plan by at least 3/5 of the Council members
July 17, 2012: City Council adopts resolution approving moving forward with the
sale of the Bonds
August 10, 2012: Reverse referendum period ends
August 21, 2012: City Council accepts offer for Bonds and adopts resolution
approving sale of Bonds.
Please contact me at 651-697-8506 with any questions.
2012 through 2016
Five -Year Capital Improvement Plan
City of Hopkins, Minnesota
July 10, 2012
EHLERS
LEADERS IN PUBLIC FINANCE
Prepared by: EHLERS & ASSOCIATES, INC.
3060 Centre Pointe Drive, Roseville, Minnesota 55113-1105
651-697-8500 FAX: 651-697-8555 WWW.EHLERS-INC.COM
Table of Contents
I. INTRODUCTION................................................................................................. 2
II. PURPOSE..............................................................................................................2
III. THE CAPITAL IMPROVEMENT PLANNING PROCESS ................................ 3
IV. PROJECT SUMMARY......................................................................................... 4
V. FINANCING THE CAPITAL IMPROVEMENT PLAN ..................................... 6
PROPOSED CIP BOND ISSUE ........
PRE -SALE SCHEDULE ....................
...................................... APPENDIX A
...................................... APPENDIX B
City of Hopkins 2012-2016 Capital Improvement Plan Page 1
City of Hopkins
Five -Year Capital Improvement Plan
2012 through 2016
I. INTRODUCTION
In 2003, the Minnesota State Legislature adopted a statute (Section 475.521, referred to
herein as the "CIP Act") that allows cities to issue municipal bonds under a capital
improvement plan without the usual referendum requirement (except for the so-called
"reverse referendum" described below). The CIP Act applies to capital improvements
consisting of city halls, public works, and public safety facilities. The 2005 Legislature
added towns to the meaning of a municipality and town halls and libraries to the
meaning of a capital improvement under the CIP Act.
Throughout this plan, the term "capital improvement" refers only to those improvements
identified in the CIP Act, as summarized above. Capital expenditures for other public
improvements in the City will be financed through other means, and are not governed
by this plan.
II. PURPOSE
A capital improvement is a major expenditure of municipal funds for the acquisition or
betterment to public lands, buildings, or other improvements used as a city hall, town
hall, library, public safety, or public works facility, which has a useful life of 5 years or
more. For the purposes of the CIP Act, capital improvements do not include light rail
transit or related activities, parks, roadibridges, administrative buildings other than city
or town hall, or land for those facilities. A Capital Improvement Plan ("CIP") is a
document designed to anticipate capital improvement expenditures and schedule them
over a five-year period so that they may be purchased in the most efficient and cost
effective method possible. A CIP allows the matching of expenditures with anticipated
income. As potential expenditures are reviewed, the municipality considers the benefits,
costs, alternatives and impact on operating expenditures.
The City of Hopkins, Minnesota (the "City") believes the capital improvement process
is an important element of responsible fiscal management. Major capital expenditures
can be anticipated and coordinated so as to minimize potentially adverse financial
impacts caused by the timing and magnitude of capital outlays. This coordination of
City of Hopkins 2012-2016 Capital Improvement Plan Page 2
capital expenditures is important to the City in achieving its goals of adequate physical
assets and sound fiscal management. In these financially difficult times good planning is
essential for the wise use of limited financial resources.
The Capital Improvement Plan is designed to be updated on an annual basis. In this
manner, it becomes an ongoing fiscal planning tool that continually anticipated future
capital expenditures and funding sources.
III. THE CAPITAL IMPROVEMENT PLANNING PROCESS
The process begins with analysis of the City's five-year capital improvement needs and
funding sources. The City may solicit input from citizens and other governmental units
at an early stage, if desired.
The City Council then directs staff or consultants to prepare a plan that sets forth the
estimated schedule, timing and details of specific capital improvements by year,
together with the estimated cost, the need for the improvement, and the sources of
revenue for the improvement. The City Council then holds a public hearing on the CIP,
with notice published not more than 30 days and not less than seven days for the hearing
(except as described below). The Council may either approve the CIP immediately after
the hearing, or based on input may make revisions and approve the CIP at a later
meeting.
If the CIP calls for general obligation bonds to finance certain improvements, the City
Council must follow an additional set of procedures. The Council must hold a public
hearing regarding issuance of the bonds. Notice of such hearing must be published in
the official newspaper of the municipality at least 14, but not more than 28 days prior to
the date of the public hearing. In addition, the notice may be posted on the City's
official web site. (The public hearings on the CIP and the bonds may be combined into
a single hearing, in which case the notice requirements for bonds must be followed.)
The Council must approve the sale of CIP bonds by a 3/5ths vote of its membership.
However, the bonds are subject to a so-called "reverse referendum:" if a petition signed
by voters equal to at least five percent of the votes cast in the City in last general
election is filed with the City Clerk within 30 days after the public hearing regarding the
bonds, the bonds may not be issued unless approved by the voters (by a majority of
those voting on the question). Further, the maximum debt service in any year on all
outstanding CIP Bonds is .16% of the taxable market value of property in the City,
using the market value for the taxes -payable year in which the bonds are issued.
After the CIP has been approved and bonds have been authorized, the City works with
its financial advisor to prepare a bond sale and repayment schedule. Assuming no
petition for a referendum is filed, the bonds are sold, and when proceeds from the sale of
the bonds (and any other identified revenue sources) become available, the expenditures
for specified capital improvements can be made.
City of Hopkins 2012-2016 Capital Improvement Plan Page 3
In subsequent years, the process is repeated as expenditures are completed and as new
needs arise. Capital improvement planning looks five or more years into the future from
the date of the CIP.
IV. PROJECT SUMMARY
The only capital improvement contemplated in the five-year period of this plan (2012
through 2016) is acquisition of the City's existing Police Station (the "Building"),
through issuance of refunding bonds (referred to as the "CIP Bonds"). The Hopkins
Housing and Redevelopment Authority ("HRA") issued its $3,050,000 Public Project
Lease Revenue Bonds, Series 2003A (the "Series 2003A Bonds") to finance
improvements to the City's Police Station. The City leases the Building from the HRA,
paying lease payments equal to debt service on the Series 2003A Bonds.
The City has now determined to exercise its purchase option under the lease agreement
with the HRA in order to acquire fee title to the Building and refund the Series 2003A
Bonds. The City proposes to finance the acquisition through issuance of CIP Bonds
under the CIP Act and this CIP. The proposed CIP Bonds would be issued in 2012, in a
principal amount not to exceed $2,000,000.
The expenditures to be undertaken with this CIP are limited to those listed below. All
other foreseeable capital expenditures within the municipal government will come
through other means. The following expenditures have been submitted for inclusion in
this CIP:
The CIP Act requires the City Council to consider eight factors in preparing the CIP:
1. Condition of the City's existing infrastructure, including projected need for
repair or replacement
2. Likely demand for the improvement
3. Estimated cost of the improvement
4. Available public resources
5. Level of overlapping debt in the City
6. Relative benefits and costs of alternative uses of funds
7. Operating costs of the proposed improvements
8. Alternatives for providing services most efficiently through shared facilities with
other cities or local governments
The City has considered the eight points as they relate to the Refunding of the HRA's
$3,050,000 Public Project Lease Revenue Bonds, Series 2003A through the issuance of
CIP Bonds. The findings are as follows:
City of Hopkins 2012-2016 Capital Improvement Plan Page 4
Conditions of City Infrastructure and Need for the Project
The Building currently exists, but the City has determined that it is financially prudent
to acquire that facility from the HRA. Other than such acquisition, the City does not
anticipate further repair or replacement of the Building in the 2012 through 2016 period.
Demand for Project
As noted above, the Building currently exists. Acquisition of the existing leased facility
is prudent in order reduce City borrowing costs.
Estimated Cost of the Project
By issuing CIP Bonds that will refund the Series 2003A Bonds, the City expects to
enjoy a net present value savings of approximately $141,831, as well as eliminate the
need for a reserve fund.
Availability of Public Resource
The CIP Bonds for acquisition of the Building would be paid with ad valorem taxes, as
are the lease payments that currently secure the Series 2003A Bonds. However, the CIP
Bonds will be additionally secured by the City's full faith and credit, which is expected
to produce lower interest rates on the CIP Bonds compared to the Series 2003A Bonds.
Level of Overlapping Debt
Taxing District
2010/11
Net
Taxable
Tax Capacity
% in City
Total GO Debt
Proportionate
City's
Share
Hennepin County
$
1,399,287,469 1
1.2590%1
$ 732,745,000
$
9,224,928
ISD No. 270 Hopkins
$
94,144,245
18.7121%1
$ 144,345,000
$
27,010,028
ISD No. 283 St. Louis Park
$
52,031,962
0.3386%
$ 46,045,000
$
155,894
Metropolitan Council
$
3,088,477,312
0.5704%
$ 233,105,000
$
1,272,571
Three Rivers Park District
$
1,025,993,612
1.7170%1$
71,045,000
$
1,219,849
City's Share Total of Overlapping Debt
$
38,883,270
Issuance of the CIP Bonds is not expected to affect the City's overall debt in any
significant way, other than through lowering debt service costs.
Relative Costs and Benefits of Alternative Uses of the Funds
Refunding of the Series 2003A Bonds is expected to produce cost savings, which may
free up revenues for alternative uses.
Operating Costs of the Proposed Improvements
The proposed refunding of the Series 2003A Bonds would reduce operating costs of the
Building, to the extent current lease payments are converted to lower CIP Bond debt
service payments. In other respects, no changes to operating costs are expected under
this CIP.
City of Hopkins 2012-2016 Capital Improvement Plan Page 5
Options for Shared Facilities with Other Cities or Local Government
The City of Hopkins currently owns its own facility and the property was remodeled in
2003 to update and make the facility more efficient. There is no need or opportunities
to share facilities with other cities.
V. FINANCING THE CAPITAL IMPROVEMENT PLAN
The total principal amount of requested expenditures under this Capital Improvement
Plan is up to $2,000,000. This amount represents the maximum principal amount of
CIP Bonds that may be issued to refund the Series 2003A Bonds. Principal and interest
on the CIP Bonds will be paid through a tax levy over the term of the CIP Bonds,
further described in Appendix A.
In the financing of the Capital Improvement Plan, two significant statutory limitations
apply.
Under Chapter 475, with few exceptions, municipalities cannot incur debt in
excess of 3% of the assessor's taxable market value for the municipality. In the
City, the taxable market value is $1,471,076,286. Therefore, the total amount of
outstanding debt cannot exceed $44,132,289. These values are for 2011/12 tax
year. As of June 30, 2012, the City has $9,809,083 subject to the legal debt limit
(this amount includes the 2003A Bonds that are being refunded). As such,
issuance of the CIP Bonds will be within the overall statutory debt limit for the
City.
2. A separate limitation under the CIP Act is that, without referendum, the total
amount of principal and interest in any one year on all CIP Bonds issued by the
City debt cannot exceed 0.16% of the total taxable market value in the
municipality. In the City, that maximum annual debt service amount is
$2,353,722 for the 2011/12 tax year ($1,471,076,286 x .0016). The annual
principal and interest payments on the CIP Bonds proposed to be issued under
this CIP will average approximately $220,000. As such, debt service on the CIP
Bonds will be well within the annual limits under the CIP Act.
Details regarding the proposed terms of the CIP Bonds under this CIP are shown in
Appendix A. A schedule of events for approval of the CIP and issuance of the CIP
Bonds is shown in Appendix B.
Continuation of the Capital Improvement Plan
This Capital Improvement Plan should be reviewed annually by the City Council using
the process outlined in this Plan. It should review proposed expenditures, make priority
decisions, and seek funding for those expenditures it deems necessary for the City. If
deemed appropriate, the Council should prepare an update to this Plan.
City of Hopkins 2012-2016 Capital Improvement Plan Page 6
APPENDIX A
PROPOSED CIP BOND ISSUE
City of Hopkins, MN
$1,985,000 G.O. CIP Bonds, Dated September 15, 2012
Proposed Net Cash Refunding of HRA Public Project Lease Rev Bonds, Series 2003A
Assuming "AA" Rated, B.Q. Market Rates +15 Basis Points
Sources 8t Uses
Dated 09/15/2012 1 Delivered 09/15/2012
Sources Of Funds
Par Amount of Bonds
$1,985,000.00
Transfers from Prior Issue DSR Funds
238,955.00
Total Sources
$2,223,955.00
Uses Of Funds
-
Total Underwriter's Discount (1,250%)
24,812.50
Costs oflssuance
36,000.00
Deposit to Net Cash Fscrow Fund
2,160,353.05
Rounding Amount
2,789.45
Total Uses $2,223,955.00
Debt Service Schedule
Date
Principal
Coupon
Interest
Total P+I
Fiscal Total
09/15/2012
-
-
-
-
-
02/01/2013
150,000.00
0.600%
10,450.28
160,450.28
160,450.28
08/01/2013
-
-
13,381.25
13,381.25
-
02/01/2014
175,000.00
0.650%
13,381.25
188,381.25
201,762.50
08/01/2014
-
-
12,812.50
12,812.50
-
02/01/2015
170,000.00
0.750%
12,812.50
182,812.50
195,625.00
08/01/2015
-
-
12,175.00
12,175.00
-
02/01/2016
180,000.00
0.850%
12,175.00
192,175.00
204,350.00
08/01/2016
-
-
11,410.00
11,410.00
-
02/01/2017
180,000.00
1.050%
11,410.00
191,410.00
202,820.00
08/01/2017
10,465.00
10,465.00
-
02/01/2018
180,000.00
1.300%
10,465.00
190,465.00
200,930.00
08/01/2018
-
-
9,295.00
9,295.00
-
02/01/2019
180,000.00
1.550%
9,295.00
189,295.00
198,590.00
08/01/2019
-
-
7,900.00
7,900.00
-
02/01/2020
190,000.00
1.800%
7,900.00
197,900.00
205,800.00
08/01/2020
-
-
6,190.00
6,190.00
-
02/01/2021
190,000.00
2.000%
6,190.00
196,190.00
202,380.00
08/01/2021
-
-
4,290.00
4,290.00
-
02/01/2022
195,000.00
2.150%
4,290.00
199,290.00
203,580.00
08/01/2022
-
2,193.75
2,193.75
-
02/01/2023
195,000.00
2.250%
2,193.75
197,193.75
199,387.50
Total $1,985,000.00 - $190,675.28 $2,175,675.28 -
City of Hopkins 2012-2016 Capital Improvement Plan Page 7
APPENDIX B
Pre -Sale Schedule dated July 10, 2012
5 -Year City Capital Improvement Plan Bond Issuance
City of Hopkins, Minnesota
The City Council must take the following actions before Bonds can be issued:
• City Council directs completion of the 5 -Year Capital Improvement Plan.
• City Council conducts a Public Hearing on issuance of Bonds and Capital Improvement Plan.
• City Council approves CIP Bonds and Capital Improvement Plan by at least a 3/5ths vote of the governing
body membership (not required for 2012A GO Improvement Bonds or equipment certificates)..
The table below lists the steps in the issuing process:
6/19/2012
City Council adopts Resolution calling for Public Hearing on the Capital Improvement Plan and the
issuance of Capital Improvement Plan Bonds to refund the 2003 Public Facilities Lease Revenue
Bonds.
6/14/2012
Close date to get Notice of Public Hearing on issuance of Bonds and on Capital Improvement Plan to
official newspaper for publication.
6/21/2012
Publish Notice of Public Hearing on issuance of CIP Bonds and on Capital Improvement Plan
(publication no more than 28 days and no less than 14 days prior to hearing date). Additionally, notice
may be posted on the City's official web site, if any (Ehlers and K & G to coordinate).
7/10/2012
City Council holds Public Hearing at 7:30 p.m. on CIP Bonds and on Capital Improvement Plan and
adopts Resolution giving preliminary approval for their issuance and approving Capital Improvement
Plan by at least a 3/5ths vote of the governing body membership.
7/17/2012
City Council provides for sale of Bonds (2012A GO Bonds to finance the 2011 and 2012 road
reconstruction improvements and Equipment Certificates and 2012B CIP Bonds to refinance 2003
Public Facilities Lease Revenue Bonds).
8/10/12
Reverse referendum period ends to issue CIP Bonds (within 30 days of the public hearing).
8/21/12
City Council accepts offer for Bonds and adopts Resolution -Approving sale of Bonds.
9/11/12
Receipt of funds on or about this date.
Assessor's Taxable Market Value
Multiply by 3%
Statutory Debt Limit
Less: Debt Paid Solely from Taxes
Unused Debt Limit
1,471,076,286 Assessor's Taxable Market Value
0.03 Multiply by .16%
44,132,289 Statutory Levy Limit
(9,809,083) Less: Annual Levy under CIP
34,323,206 Unused Levy Limit
1,471,076,286
0.0016
2,353,722
2,133,722
City of Hopkins 2012-2016 Capital Improvement Plan Page 8
CITY OF HOPKINS, MINNESOTA
RESOLUTION NO. 2012-045
ADOPTING A CAPITAL IMPROVEMENT PLAN AND
PROVIDING PRELIMINARY APPROVAL FOR THE ISSUANCE
OF BONDS THEREUNDER
WHEREAS, pursuant to Minnesota Statutes, Section 475.521, as amended (the "Act"), cities are
authorized to adopt a capital improvement plan and carry out programs for the financing of capital
improvements; and
WHEREAS, the City of Hopkins, Minnesota (the "City"), has caused to be prepared the "2012
through 2016 Five Year -Capital Improvement Plan" (the "Capital Improvement Plan"); and
WHEREAS, on the date hereof, the City Council of the City (the "Council") has conducted a duly
noticed public hearing regarding adoption of the Capital Improvement Plan pursuant to the requirements of
the Act and the issuance of general obligation bonds thereunder in a maximum principal amount of
$2,000,000; and
WHEREAS, in considering the Capital Improvement Plan, the Council has considered for each
project and for the overall Capital Improvement Plan:
1. the condition of the City's existing infrastructure, including the projected need
for repair and replacement;
2. the likely demand for the improvement;
3. the estimated cost of the improvement;
4. the available public resources;
5. the level of overlapping debt in the City;
6. the relative benefits and costs of alternative uses of the funds;
7. operating costs of the proposed improvements; and
8. alternatives for providing services more efficiently through shared facilities with
other local government units.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HOPKINS,
MINNESOTA:
1. The Capital Improvement Plan is hereby approved.
2. City staff are hereby authorized to do all other things and take all other actions as may be
necessary or appropriate to carry out the Capital Improvement Plan in accordance with any applicable laws
and regulations.
3. The City gives preliminary approval to the issuance of the bonds in the maximum principal
amount of $2,000,000, provided that if a petition requesting a vote on issuance of the bonds, signed by voters
equal to five percent of the votes cast in the last general election, is filed with City Clerk by August 9, 2012,
the City may issue the bonds only after obtaining approval of a majority of voters voting on the question at an
election.
Adopted this 10th day of July, 2012.
Mayor
Attest:
City Clerk
407045v1 JAE HPI 10-83