Miami-Dade Legislative Item
File Number: 080821
Printable PDF Format Download Adobe Reader  Clerk's Official Copy   

File Number: 080821 File Type: Resolution Status: Adopted
Version: 0 Reference: R-67-08 Control:
File Name: PREMIUM FROM SALE OF GOB & INTEREST EARNED ON BOND PROCEEDS Introduced: 3/19/2008
Requester: NONE Cost: Final Action: 1/10/2008
Agenda Date: 1/10/2008 Agenda Item Number: 11A25
Notes: THIS IS FINAL VERSION AS ADOPTED. (also see 073586] Title: RESOLUTION DIRECTING THE MAYOR OR HIS DESIGNEE TO SUBMIT A REPORT TO THE BOARD RECOMMENDING A PROCESS TO ALLOCATE PREMIUM RECEIVED FROM SALE OF BUILDING BETTER COMMUNITIES GENERAL OBLIGATION BONDS, INTEREST EARNED ON SUCH BOND PROCEEDS AND ANY OTHER SURPLUS BOND FUNDS; AND DIRECTING THE MAYOR OR HIS DESIGNEE TO SUBMIT QUARTERLY REPORTS TO THE BOARD REGARDING SUCH PREMIUM, INTEREST EARNINGS AND SURPLUS BOND FUNDS [SEE ORIGINAL ITEM UNDER FILE NO. 073586]
Indexes: GOVERNMENT OBLIGATION BONDS
Sponsors: Dorrin D. Rolle, Prime Sponsor
  Jose "Pepe" Diaz, Co-Sponsor
  Carlos A. Gimenez, Co-Sponsor
  Joe A. Martinez, Co-Sponsor
Sunset Provision: No Effective Date: Expiration Date:
Registered Lobbyist: None Listed


Legislative History

Acting Body Date Agenda Item Action Sent To Due Date Returned Pass/Fail

County Attorney 3/19/2008 Assigned Geri Bonzon-Keenan 3/19/2008

Board of County Commissioners 1/10/2008 11A25 AMENDED Adopted as amended P
REPORT: Commissioner Gimenez asked that the foregoing proposed resolution be amended to include language providing that the equitable bond proceeds be used to reduce the debt. County Manager Burgess noted staff would look into Commissioner Gimenez’ request, however, he pointed out that the premiums were not proceeds above and beyond those proceeds for the identified projects. Commissioner Jordan asked that this resolution be amended to include language providing that the policy be expanded to include all revenue-generating resources. Commissioner Rolle accepted the two amendments by Commissioners Gimenez and Jordan. There being no further questions or comments, the Board proceeded to vote. The Board adopted the foregoing resolution as amended to include language providing that the proceeds be used to reduce the debt and that the allocation process be expanded to cover all revenue generating resources. Mr. George Navarrete, Chief, Project Scheduling & Compliance, Office of Capital Improvements (OCI), stated, for the record, the Citizen’s Advisory Committee heard this item last Tuesday, and agreed that a more involved process was needed.

Legislative Text


TITLE
RESOLUTION DIRECTING THE MAYOR OR HIS DESIGNEE TO SUBMIT A REPORT TO THE BOARD RECOMMENDING A PROCESS TO ALLOCATE PREMIUM RECEIVED FROM SALE OF BUILDING BETTER COMMUNITIES GENERAL OBLIGATION BONDS, INTEREST EARNED ON SUCH BOND PROCEEDS AND ANY OTHER SURPLUS BOND FUNDS; AND DIRECTING THE MAYOR OR HIS DESIGNEE TO SUBMIT QUARTERLY REPORTS TO THE BOARD REGARDING SUCH PREMIUM, INTEREST EARNINGS AND SURPLUS BOND FUNDS

BODY
WHEREAS, the citizens of Miami-Dade County, Florida (the "County") authorized by special election the issuance of $2.926 billion in the Building Better Communities General Obligation Bonds (the "BBC GOB Program") of the County to fund various capital projects; and
WHEREAS, on March 31, 2005 this Board enacted Ordinance No. 05-47 authorizing the issuance of general obligation bonds in an aggregate principal amount not to exceed $2,925,750,000 (the "GOB Bonds") from time to time and in one or more series; and
WHEREAS, as a result of the marketing of any GOB Bonds, the County may receive a premium in excess of the principal amount (the "Premium") as was the case with the County's first series of GOB Bonds which yielded a premium of $13,635,000; and
WHEREAS, BBC GOB Program bond proceeds earn interest while on deposit in a project fund until such bond proceeds are spent on a BBC GOB Program capital project (the "Interest Earnings"); and


WHEREAS, to date approximately $20,000,000 of Interest Earnings have been earned on BBC GOB Program bond proceeds on deposit in the project fund; and
WHEREAS, Interest Earnings are tantamount to bond proceeds; therefore, this Board is required to allocate Interest Earnings to BBC GOB Program capital projects; and
WHEREAS, it is this Board's desire that the Mayor or his designee submit a report recommending a process for the allocation of any Premium, Interest Earnings and other surplus bond funds, if any, to eligible BBC GOB Program capital projects and to submit quarterly reports to this Board regarding surplus Premium, Interest Earnings and surplus bond funds,
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that:
Section 1. The foregoing recitals are incorporated in this resolution and are approved.
Section 2. This Board directs the Mayor or his designee to submit a written report to the Governmental Operations and Environment (GOE) Committee within sixty (60) days from the effective date of this resolution, recommending a process for the allocation of: (a) any premium and interest earnings on all outstanding County bonds and indebtedness and (b) any surplus Premium, Interest Earnings and other GOB Bond funds, if any, to eligible BBC GOB Program capital projects and/or to reduce debt service on any outstanding GOB Bonds. The report shall, at a minimum, include factors or criteria the Board should consider to determine how best to allocate surplus BBC GOB Program Interest Earnings, Premium and/or other surplus GOB Bond funds. Such factors or criteria shall include, but shall not be limited to: (i) whether to apply Premium, Interest Earnings or surplus GOB Bond proceeds to reduce debt service on any outstanding GOB Bonds, fund funding gaps or to fund new projects; (ii) whether use of Premium, Interest Earnings or surplus GOB Bond proceeds to fund a project will positively impact or address the poverty level or crime in a given area; and (iii) whether funding should be accelerated for a given project based on the needs of the community.
Section 3. This Board directs the Mayor or his designee to submit quarterly reports to this Board regarding any premium and interest earnings on all outstanding County bonds and indebtedness and surplus BBC GOB Program Premium, Interest Earnings and other GOB Bond funds available for allocation.



Home  |   Agendas  |   Minutes  |   Legislative Search  |   Lobbyist Registration  |   Legislative Reports
2014 BCC Meeting Calendar  |   Miami-Dade County Code of Ordinances   |   ADA Notice  |  

Home  |  Using Our Site  |  About Phone Directory  |  Privacy  |  Disclaimer

E-mail your comments, questions and suggestions to Webmaster  

Web Site 2014 Miami-Dade County.
All rights reserved.