026-96
BOARD OF SUPERVISORS
RESOLUTION OF THE BOARD OF SUPERVISORS
OF THE COUNTY OF FREDERICK,. VIRGINIA DECLARING ITS INTENTION TO
REIMBURSE ITSELF FROM THE PROCEEDS OF ONE OR MORE TAX EXEMPT
FINANCINGS FOR CERTAIN EXPENDITURES MADE AND/OR TO BE MADE IN
CONNECTION WITH THE ACQUlSmON, CONSTRUCTION AND EQUIPPING
OF CERTAIN CAPITAL IMPROVEMENTS FOR SCHOOL PROJECTS
WHEREAS, the County of Frederick, Virginia (the "Issuer") is a political subdivision
organized and existing under the laws of the Commonwealth of Virginia; and
WHEREAS, the Board of Supervisors of the Issuer (the "Board") expects to pay, after the
date hereof: certain expenditures (the "Expenditures") in connection with the acquisition, construction
and/or equipping of capital improvements for school projects, including the construction and
equipping of a new Stonewall Elementary School and the renovation, improvement and expansion
of Senseny Road Elementary School (the "Project"); and
WHEREAS, the Board has determined that any moneys previously advanced no more than
60 days prior to the date hereof and those moneys to be advanced on and after the date hereof to pay
the Expenditures are available only for a temporary period and it is necessary to reimburse the Issuer
for the Expenditures from the proceeds of one or more issues of tax-exempt bonds (the "Bonds");
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF
THE COUNTY OF FREDERICK, VIRGINIA, AS FOLLOWS:
Section 1. The Board hereby declares its intent to reimburse itself with the proceeds of the
Bonds for the Expenditures with respect to the Project made on and after that date which is no more
than 60 days prior to the date hereof The Board reasonably expects on the date hereof that it will
reimburse the Expenditures with the proceeds of the Bonds.
Section 2. Each Expenditure will be either (a) ofa type properly chargeable to capital account
under general federal income tax principles (determined in each case as of the date of the
Expenditure), (b) a cost of issuance with respect to the Bonds, (c) a nonrecurring item that is not
customarily payable from current revenues, or (d) a grant to a party that is not related to or an agent
of the Issuer so long as such grant does not impose any obligation or condition (directly or indirectly)
to repay any amount to or for the benefit of the Issuer.
Section 3. The maximum principal amount of the Bonds expected to be issued for the Project
is $10,500,000.
Section 4. The Issuer will make a reimbursement allocation, which is a written allocation by
the Issuer that evidences the Issuer's use of proceeds of the Bonds to reimburse an Expenditure, no
later than 18 months after the later of the date on which the Expenditure is paid or the Project is
placed in service or abandoned, but in no event more than three years after the date on which the
Expenditure is paid. The Issuer recognizes that exceptions are available for certain "preliminary
expenditures," costs of issuance, certain de minimis amounts, expenditures by "small issuers" (based
on the year of issuance and not the year of expenditure) and expenditures for construction projects
of at least 5 years.
Section 5. This resolution shall take effect immediately upon its passage.
ADOPTED this 13th day of March, 1996.
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John ey, Jr. "4-
Clerk, Board of Supervisors
County of Frederick, Virginia
RESOLUTION NO. 026-96