1999 AGN AUG 03 I16 - Laserfiche WebLink

Browse Search

City of Colton AGENDA REPORT FOR COUNCIL MEETING OF AUGUST 3, 1999 TO: HONORABLE MAYOR AND CITY COUNCIL APPROVAL: HENRY T. GARCIA, CITY MANAGERA�// FROM: AL HOLLIMAN, FINANCE DIRECTOR'* SUBJECT: RESOLUTION AUTHORIZING THE ASSESSMENT IN THE AMOUNT OF $139,100 FOR THE 1970 ELECTRIC UTILITY GENERAL OBLIGATION BONDS. DATE: JULY 20, 1999 BACKGROUND: The City of Colton authorized the sale of $1,220,000 of bonds for the acquisition and construction of additions to and improvement of the electric utility system. The Bonds were authorized by qualified votes of the City at a special municipal election on January 27, 1970. The bonds were issued pursuant to Article 1, Chapter 4, Title 4 (Section 43600 et seq.) of the Government Code of the State of California (Act of 1901). The Act requires that the City Council shall levy the tax annually until said bonds are paid or until there is an amount sufficient in the treasury to meet all payments of principal and interest on said bonds as they become due. This is the final year of the assessment for the bonds. DISCUSSION/ANALYIS: The 1999-2000 maturing principal is $130,000 and interest is $9,100. Therefore, the amount of $139,100 is necessary to satisfy the bond debt service payment due. Upon approval of the attached resolution, this sum will be placed on the 1999-2000 tax levy. ALTERNATIVES: None FINANCIAL IMPACT: There is no fiscal impact to the General Fund, Utility Fund or any other fund administered by the City. The tax levy received from property owners is recorded in Acct. 520-5204 and the resultant debt service payments are accounted for in 520-8000-8001-2500 (principal) and 520-8000-8001-2510 (interest). RECOMMENDATION: Staff recommends that the City Council approve the attached resolution for the 1999-2000 general tax levy of $139,100 for the payment of the 1970 Electric Utility Bonds. Report Prepared by: Dilu de Alwis Item #16