HomeMy WebLinkAboutR-93-76 GDU BOND RESTATEMENTRESOLUTION NO. R-93-76
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, SUPPLEMENTING
ITS RESOLUTION NO. R-93-67 PERTAINING TO THE DEFINITION
OF AUTHORIZED INVESTMENTS; AND PROVIDING FOR AN
EFFECTIVE DATE.
WHEREAS, the City Council of the City of Sebastian, Indian
River County, Florida (the "City") has previously adopted its
Resolution No. R-93-67 (the "Authorizing Resolution"),
authorizing the issuance of the City's Utilities System Revenue
Bonds, Series 1993 and providing for the security thereof; and
WHEREAS, the city desires to supplement the Authorizing
Resolution to provide some additional restrictions on repurchase
agreements as investments under the Authorizing Resolution;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, as follows:
SECTION 1. SUPPLEMENT TO "AUTHORIZED INVESTMENTS"
DEFINITION. Paragraph (11) of the definition of "Authorized
Investments" set forth in the Authorizing Resolution is hereby
supplemented to include as additional subparagraphs (B) and (C)
thereunder to provide as follows:
"(B) The written repo contract must include the following:
(i)
Securities which are acceptable for transfer
are:
(a) Direct U.S. Governments, or
(b)
Federal agencies backed by the full
faith and credit of the U.S. government
(and FNMA & FHLMC);
(ii)
The term of the repo may be up to 30 days;
(iii)
The collateral must be delivered to the
Issuer, trustee (if trustee is not supplying
the collateral) or third party acting as
agent for the trustee (if the trustee is
supplying the collateral) before/
simultaneous with payment (perfection by
possession of certificated securities);
(iv)
Valuation of Collateral
(a)
The securities must be valued weekly,
market-to-market at current market
price plus accrued interest.
(1)
The value of collateral must be
equal to 104% of the amount of
cash transferred by the municipal
entity to the dealer bank or
security firm under the repo plus
accrued interest. If the value of
securities held as collateral
slips below 104% of the value of
the cash transferred by
municipality, then additional cash
and/or acceptable securities must
be transferred. If, however, the
securities used as collateral are
FNMA or FHLMC, then the value of
collateral must equal 105%.
(C) Legal opinion must be delivered to the Issuer:
(i)
Repo meets guidelines under state law for
legal investment of public funds."
SECTION 2. EFFECTIVE D~TE. This Restated Resolution shall
take effect immediately upon its adoption.
The foregpin~ Resolution was moved for adoption by Council
Member ..... .~/~~ . The motion was seconded
by Council Member ~L~_~ and, upon being
put to a vote, the 'v0{e was as follows:
Mayor Lonnie R. Powell
Vice-Mayor Frank Oberbeck
Council Member Carolyn Corum
Council Member Norma J. Damp
Council Member Robert Freeland
The Mayor thereupon declared this Resolution duly passed and
adopted on this /~
ATTEST:
Kat~r~h' M. o'Halloran, CMC/AAE
City ~lerk
day of Dec,ember, ~,1993.
~6finie R.~~I, Mayor
(SEAL)
Approved/ to Form and Content:
Charles Ian Nash, City Attorney