TR-2009-7 REFUNDING BONDS TO REDUCE DEBT Moll'\
TXPA
TR-2009-7
A Resolution for Refunding Bonds in the Event Interest Rates Change to a Level That
Would Reduce the City's Interest Cost on Existing Debt
WHEREAS, request is hereby made for a resolution for refunding bonds in the
event interest ratcs change to a level that would reduce the City's interest cost on existing
debt; and
WHEREAS, it will be advantageous for the City to have this authorization
approved and enacted in the event a refunding opportunity occurs; and
WHEREAS, the bonds wili not be refunded unless it will result in a cost savings
for the City; and
VaMREAS, it is in the best interests of the City of Agawam to vote to authorize
the refunding of bonds when deemed beneficial to the City by the Treasurer and Mayor;
NOW THEREYORE,the Agawam City Council hereby resolves to authorize the
following: that, in order to reduce interest costs, the Treasurer with the approval of the
Mayor is authorized to issue re funding bonds pursuant to G-L. c. 44 §2 1 A or any other
enabling legislation to refund all or a portion of the remaining amounts of any of the
Town's School Project Loan, Act of 1948 Bonds dated September 1, 1998,Municipal
Purpose Loan of 1997 Bonds dated July 1, 1997, and/or Municipal Purpose Loan of 1995
Bonds dated September 15, 1995;that the refunding bonds shall be issued in an amount
not to exceed$5,300,000, in or-der to pay the principal,redemption premium and interest
on the bonds to be refunded,and costs of issuance of the reftmding bonds; and that the
CX;1
Treasurer is authorized to execute such documents as may beriecessary or desirable to
carry out this transaction, including a refunding trust or escrow agreement with a bank o I='
trust company. C�
- (IA.- '-DAI.1 2009.
DATED THIS > 3�5p--
Per Order of the 9. city Council
-7
Gina M. Letellier,�JXesiAent
APPROVED AS TO FORM AND LE(iALITY
C stophcr C. (Inson, Solicitor --IlvA :6 WV 6- 8 8V 6 0
1,1--1-1 IJ P
MAYOFAL ACTION
Received this day of 01��,t 2009 from Town Council Clerk.
Signed by Council President this (0 day of ' 2009.
APPROVAL OJF LEGISLATION
By the powers vested in me pursuant to Axticle 3, Section 3-6 of the Agawam Charter, as
aiXended, I hereby approve the passage of the above legislation on this '74 day of
' 2009.
Susan R. Dawson, Mayor
DISAPPROVAL OF LEGISLATION
By the powers vested in me pursuant to Article 3, Section 3-6 of the Agawam Charter, as
amended, I hereby veto the passage of the above legislation on this day of
2009 for the following reason(s):
Susan R. Dawson, Mayor
RETURN OF LEGISLATION TO COUNCIL-CLE
Returned to Counch Clerk this day of 2009.
TR-2009-7
A Resolution for Refunding Bonds in the-Event Interest Rates Change to a Level That
Would Reduce the City's Interest Cost on Existing Debt
WHEREAS, request is hereby made for a resolution for refunding bonds in the
event interest rates change to a level that would reduce the City's interest cost on existing
debt-, and
WHEREAS, it will be advantageous for the City to have this authorization
approved and enacted in the event a refunding opportunity occurs; and
WHEREAS, the bonds will not be refunded unless it will result in a cost savings
for the City; and
WIMREAS, it is in the best interests of the City of Agawam to vote to authorize
the refunding of bonds when deemed beneficial to the City by the Treasurer and Mayor;
NOW THEREFORE,the Agawam City Council hereby resolves to authori2e the
following- that, in order to reduce interest Costs, the Treasurer with the approval of the
Mayor is authorized to issue refunding bonds pursuant to G.L. c.44 §2 IA or any other
enabling legislation to refund all or a portion of the remaining amounts of any of the
Town's School Project Loan, Act of 1948 Bonds dated September 1, 1998,Municipal
Purpose Loan of 1997 Bonds dated July 1, 1997, and/or Municipal Purpose Loan of 1995
Bonds dated September 15, 1995; that the refunding bonds shall be issued in an amount
not to exceed$5,300,000, in order to pay the principal,redemption premium and interest
on the bonds to be refunded,and costs of issuance of the refunding bonds; and that the
Treasurer is authorized to execute such documents as may be necessary or desirable to
carry out this transaction, including a refunding trust or escrow agreement with a bank or
trust company.
DATED THIS DAY OF 2009.
Per Order of the Agawam City Council
Gina M. Letellier, President
APPROVED AS TO FORM AND LEGALITY
C C. Omsori, Solicitor 6E 0 V I I UYN 6601
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7009 MAR -9 Pli 4: 28
Town of Agawam
Interoffice Memorandum
To: Mayor Susan R. Dawson
CC: Attorney Christopher C. Johnson
From., Laurel A. Placzek
Date: 3/9/09
Subject.- Resolution for Advance Debt Refunding
I am requesting that a resolution for refunding bonds be sent the the City Council for
their approval. Interest rates have decreased to a level that would reduce the Town's
interest costs on existing debt. A similar resolution was passed by the City Council last
year.
It would be advantageous for the Town to have this authorization on record in the event
that a refunding opportunity cocurs. The bonds would not be refunded unless it would
result in a substantial cost savings for the Town. The resolution should conclude ("Now
Therefore") as follows:
The Agawam City Council hereby resolves to authorize the following: that, in order
to reduce interest costs, the Treasurer with the approval of the Mayor is authorized to
issue refunding bonds pursuant to G.L. c.44, §21A or any other enabling legislation to
refund all or a portion of the remaining amounts of any of the Town's School Project
Loan, Act of 1948 Bonds dated September 1, 1998, Municipal Purpose Loan of 1997
Bonds dated July 1, 1997,,and/or Municipal Purpose Loan of 1995 Bonds dated
September 15, 1995; that the refunding bonds shall be issued in an amount not to
exceed $5,300,000, in order to pay the principal, redemption premium and interest on
the bonds to be refunded, and costs of issuance of the refunding bonds; and that the
Treasurer is authorized to execute such documents as may be necessary or desirable
to carry out this transaction, including a refunding trust or escrow agreement with a
bank or trust company.
I will be pleased to discuss this matter with you at your convenience.
FROM THE DESK OF...
YOUR NAME
TITLE
ToWN OF AGAwAm
36 MAIN ST
AGAWAM,MAO 100 1
Email address Here
413-786-0400 X Extension
Fax:413-786-9927