RESO 1993-06 - Sewer System InstallmentRESOLUTION NO. 93 -06
RESOLUTION WITH RESPECT TO THE TRINITY RIVER AUTHORITY OF
TEXAS - CITY OF HUNTSVILLE SANITARY SEWER SYSTEM FACILI-
TIES INSTALLMENT SALE CONTRACT, DATED AND EXECUTED AS OF
FEBRUARY 24, 1993
BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF HUNTSVILLE, TEXAS:
Section 1. That under the Trinity River Authority of
Texas - City of Huntsville Sanitary Sewer System Facilities
Installment Sale Contract, dated and executed as of February
24, 1993 (the "Contract "), the Trinity River Authority of Texas
(the "Authority ") is obligated in Section 2 thereof to pay "all
of the actual costs of acquiring, by purchase and construction,
the Project, through the issuance of its Bonds ".
Section 2. That the cost of the Project, as defined in
the Contract, originally had been estimated, based on prelimi-
nary engineering, to be approximately $3,935,000, and in
Section 3 of the Contract it was provided that "Bonds will be
issued by the Authority in the aggregate principal amount of
approximately $3,935,000 (whether actually more or less), which
amount is estimated to be sufficient to cover all the aforesaid
costs and expenses and other amounts required ".
Section 3. That additional and current engineering
reports and estimates of costs, obtained by the City of
Huntsville (the "City ") and the Authority confirm that it will
actually be necessary for the Authority to issue its Bonds
under the Contract in the amount of at least $4,775,000 in
order for the Authority to comply with its obligation under the
Contract to pay all of the costs of acquiring, by purchase and
construction, the Project.
Section 4. That the City confirms and acknowledges that
it construes and understands that the Contract requires the
Authority to issue its Bonds in whatever actual amounts are
required to pay the costs of acquiring the Project, and that
the original estimate of Bonds was understood and intended to
be "whether actually more or less ", as stated in the Contract,
and that such amount will actually be considerably more.
Section 5. That the City hereby requests that the Author-
ity proceed with its obligation under the Contract and that it
issue its Bonds in the principal amount of $4,775,000, or in
whatever principal amount is necessary to pay the actual costs
of acquiring the Project under the Contract.
Section 6. That the City will be obligated to make
payments to the Authority pursuant to the Contract for all
Bonds issued by the Authority pursuant thereto.
PASSED AND APPROVED this the 6th day of April, 1993.
ATTEST:
t,kJtiii),61Au
Danna Welter, City Secretary
APPROVED AS TO FORM:
unds, City Attorney
THE CITY OF HUNTSVILLE
W. H. Hodges, 1 yor