HomeMy WebLinkAbout042-R-186/25/2018
42-R-18
A RESOLUTION
Amending the City of Evanston Budget Policy
WHEREAS, the City of Evanston, Cook County, Illinois (the "City') has
adopted a Budget Policy (the "Budget Policy") pursuant to the proceedings of December
18, 2000; and
WHEREAS, "Debt Service Fund" of the Budget Policy's Section II, "Fund
Policies," must be amended to accommodate current needs of the City and the
recommendations of the City's bond counsel,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF EVANSTON, COOK COUNTY, ILLINOIS, THAT:
SECTION 1: "Debt Service Fund" of the Budget Policy's Section II, "Fund
Policies," is hereby amended to read as follows:
Debt Service Fund
General Obligation Debt of the City means debt (viz., bonds) for
which an unlimited real property tax levy is made or pledged for
payment. General Obligation Debt shall be allocated into two
categories. Self -Supporting General Obligation Debt shall mean
General Obligation Debt which, at the time of issuance, is
expected and intended by the Treasurer to be payable out of a
source of funds other than the City's general real property tax
levy, thus permitting the abatement and avoidance of the property
tax levy to pay such bonds; examples of Self -Supporting General
Obligation Debt include (without limitation) bonds payable from
the Water Fund or the Sewer Fund, bonds payable from special
assessments, bonds payable from tax increment financing areas,
and bonds payable from Motor Fuel Taxes. Tax -Supported
General Obligation Debt shall mean all other General Obligation
Debt, which is expected and intended to be paid from a general
real property tax levy. General Obligation Debt shall not include
any obligation of the City not denominated a bond, including,
without limitation, short term notes or warrants or other obligations
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which the City may issue from time to time for various purposes
and to come due within three (3) years of issuance. General
Obligation Debt does not include bonds which have been
refunded or decreased and which, as a consequence of same,
are provided for from a dedicated source of funds or investments.
Self -Supporting General Obligation Debt shall not be limited by
this Budget Policy. Tax -Supported General Obligation Debt shall
not exceed $150,000,000 in aggregate principal amount, which
limit is expressly subject to increase from time to time by action of
the City Council as the needs of the City may grow. General
Obligation Debt issued as so-called zero coupon bonds or capital
appreciation bonds shall be counted as debt in the original
principal amount issued. The Treasurer shall at all times keep a
book or record of all General Obligation Debt and its proper
allocation. The Treasurer's statements as to the allocation of
General Obligation Debt into these two categories shall be
conclusive. Notwithstanding this statement of policy, all bonds or
other obligations by whatever name designated of the City duly
authorized to be issued by the City Council shall be valid and
legally binding as against the City, and there shall be no defense
of the City as against any bondholder or other obligation holder on
the basis of this policy.
SECTION 2: This resolution shall be effective immediately, and the
Budget Policy shall be accordingly restated.
SECTION 3: This resolution may only be amended by subsequent
resolution or ordinance as adopted by the City Council.
SECTION 4: All motions, resolutions and orders, or parts thereof, in
conflict herewith, are, to the extent of such conflict, hereby repealed.
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42-R-18
Attest: Approved as to form:
Devon Reid, City Clerk Michelle L. Masoncup, Corl5oration Counsel
Adopted: SUYne- 25 , 2018
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