4.7. SR 04-07-2014 - Laserfiche WebLink

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If the City issues bonds to finance a facility to be owned by the City but which may be used,in whole or in substantial part,by a nongovernmental organization that is exempt from federal income taxation under Section 501(a) of the Code as a result of the application of Section 5010(3) of the Code (the "5010(3) Organization"�,the City may elect to issue the bonds as "qualified 5010(3) bonds" the interest on which is exempt from federal income taxation under Sections 103 and 145 of the Code and applicable Treasury Regulations. Although such qualified 5010(3) bonds are not governmental bonds,at the election of the Finance Director, for purposes of this Post-Issuance Debt Compliance Policy,the Finance Director shall treat such issue of qualified 5010(3) bonds as if such issue were an issue of tax-exempt governmental bonds and shall carry out and comply with the requirements of this Post-Issuance Debt Compliance Policy with respect to such qualified 5010(3) bonds. Alterriatively,in cases where compliance activities are reasonably within the control of the relevant 5010(3) Organization, the Finance Director may determine that all or some portion of compliance responsibilities described in this Post-Issuance Debt Compliance Policy shall be assigned to the relevant organization. The City may also issue tax-exempt bonds,the proceeds of which are loaned to certain private entities,including qualified 5010(3) organizations (referred to as "conduit bonds"). The City will require, as part of approval of any conduit bonds,that the borrower assumes the duties of post-issuance debt compliance as described in this Post- Issuance Debt Compliance Policy,including provisions for reporting to the City. Capital Improvements The city will maintain buildings,infrastructure, utilities,parks, facilities, and other assets in a manner that protects the investment and minimizes future maintenance and replacement costs. The Finance Director will annually prepare and submit to the City Council a Capital Improvements Plan (CIP) for the next five fiscal years. At a minimum,the CIP will include a description of the proposed improvement,the estimated cost, timing and potential sources of funding. If applicable, the CIP will identify implications for the operating budget created by the proposed improvement. In most cases,private developers will be responsible for the construction of streets, sanitary sewer, watermain, and storm water collection systems needed to serve new development. The city may install infrastructure and assess property owners when this approach provides the best alternative. The city will finance street and utility oversizing and trunk utility systems. The city will maintain a system of capital charges for sanitary sewer and water services. The charges will be collected when undeveloped land is platted and when new users connect to the system. Revenues from the capital charges will be accumulated and used to pay for the capital investment related to the maintenance and expansion of the utility system. The city will strive to maximize the revenues collected from capital charges in order to protect existing utility users from bearing the costs associated with growth. The City Council will work with the Utilities Commission to set capital charges for the water system at appropriate levels. In not less Financial Management Policies Page 14