HomeMy WebLinkAboutORD 14-039ORDINANCE NO.14 -039
ORDINANCE APPROVING THE ISSUANCE OF SOLID WASTE DISPOSAL
REVENUE BONDS, SERIES 2014 IN ONE OR MORE SERIES OR SUBSERIES AS
MAY BE FURTHER DESIGNATED; PROVIDING FOR THE CONDUCTING OF A
PUBLIC HEARING; PROVIDING FOR A DISCLAIMER OF LIABILITY; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, FAIR ENERGY OPERATIONS LLC. and its subsidiaries or affiliates (;collectively,
the "Company ") own and operate various solid waste and waste to energy facilities (the "Facilities ")
throughout the state of Texas; and
WHEREAS, the Company desires to make certain improvements to such Facilities throughout the
state of Texas (the "Project ") as more fully described in Exhibit "A" a portion of which is located in this
City (the "Local Portion"), and
WHEREAS, in order to achieve the economies of scale in financing the Project, the Company has
requested Mission Economic Development Corporation (the "Issuer ") to issue Solid Waste Disposal
Revenue Bonds (Fair Energy Operations LLC Project) Series 2014 (the "Series 2014 Bonds ") to finance
the Project, including portions located outside the boundaries of Mission, Texas, the Issuer's sponsoring
governmental unit; and
WHEREAS, in order that the Local Portion of the Project may be financed with the proceeds of
Series 2014 Bonds, the City Council of the City (the "City Council ") must request that the Issuer exercise
its powers within the City for the purpose of issuing such bonds in one or more series to finance the Local
Portion of the Project. such request being intended to satisfy the requirements of Section 501.159 of the
Texas Development Corporation Act, Texas Local Government Code, Chapter 501, as amended (the
"Act"), and
WHEREAS, the City Council desires hereby to make such request of the Issuer and to take other
actions to enable the Issuer to issue the Series 2014 Bonds and the Company to use the proceeds thereof
to finance the Project;
WHEREAS, approval of the City Council as the "applicable elected representative" is also
required in connection with the issuance of the Series 2014 Bonds in order to satisfy the requirements of
Section 147(f) of the Internal Revenue Code and the City Council desires hereby to give such approval.
BE IT ORDAINED, ADOPTED AND DECREED BY THE CITY COUNCIL OF THE CITY
OF BEAUMONT, TEXAS:
Section 1. Third Party Financing. In order that the Local Portion of the Project may be
financed as a part of the entire Project through the issuance of the Series 2014 Bonds, the Issuer is hereby
requested to exercise its powers within the City for the purpose of issuing such bonds in one or more
series to finance the Local Portion of the Project in accordance with Section 501.159 of the Act.
Section 2. Public Hearin;; and Approval for Federal Tax Purposes. In order to comply with
Section 147(f) of the Lmernal Revenue Code of 1986, as amended, a public hearing shall be held in which
members of the public shall be permitted to express their views with respect to the Local Portion of the
Project and the Issuer's issuance of the Series 2014 Bonds for such purpose. Such hearing is authorized
to be conducted by Mayor Becky Ames (or her designee), as hearing officer. Notice of such hearing was
published no less than 14 days prior to such hearing in a newspaper of general circulation in the City.
=46216? .4
Based solely upon the results of such hearing, and solely for purposes of complying with Section 147(f)
of the Internal Revenue Code of 1986, as amended, the Mayor is hereby authorized and directed to
execute a certificate certifying approval of the Local Portion of the Project and the Issuer's issuance of the
Series 2014 Bonds for that purpose.
SECTION 3. DISCLAIMER OF LIABILITY. THE CITY, THE CITY COUNCIL, THE
MAYOR AND ALL OTHER CITY OFFICIALS MAKE NO REPRESENTATION OR
WARRANTY OF ANY KIND WHATSOEVER WITH RESPECT TO THE LOCAL PORTION
OF THE PROJECT OR THE ISSUANCE, CREDITWORTHINESS OR REPAYMENT OF THE
INDUSTRIAL REVENUE BONDS TO BE ISSUED BY THE ISSUER WITH RESPECT TO THE
LOCAL PORTION OF THE PROJECT. UNDER NO CIRCUMSTANCES SHALL THE CITY
HAVE ANY LIABILITY, FINANCIAL OBLIGATION OR RESPONSIBILITY OF ANY KIND
WITH RESPECT TO THE PAYMENT OF INDUSTRIAL REVENUE BONDS ISSUED FOR
THE LOCAL SHARE OF THE PROJECT OR FOR THE CONSTRUCTION, MAINTENANCE,
OPERATION OR ANY OTHER ASPECT OF THE LOCAL SHARE OF THE PROJECT.
Section 4. Effective Date. This Ordinance shall be effective immediately upon passage by
sufficient affirmative votes.
ADJUDGED, ADOPTED AND DECREED this 'day of August, 20 4.
Allk
1100
Mayor Becky Ames -
: 's � a ®0a66 lri
s J ( if
00
' 462) 1621.4
EXHIBIT "A"
FAIR ENERGY OPERATIONS, LLC AND AFFILIATES
Project Description
The proceeds the Series 2014 Bonds will be loaned to Fair Energy Operations — Beaumont, LLC
( "Fair Energy Beaumont ") and Fair Energy Operations — Angleton, LLC ( "Fair Energy Angleton," and,
together with Fair f;nergy BeaU1110nt, the ""Borro-,ver") and will be used by the Borrower to provide funds
to: (1) finance or refinance all or part of the cost of acquiring and constructing certain capital
improvements and i�ufrastructure relating to waste -to- energy facilities and /or solid waste facilities
including any land, equipment and other property comprising jA7aste -to- energy facilities (including
property functional iy related and subordinate thereto) that will convert municipal solid waste into usable
products located at (a) Beaumont City Landfill — 5895 Latin Drive, Beaumont, i exas tine tseMnonL
Facility ") and (b) Seabreeze Environmental Landfill — 10310 FM 523, Angleton, Texas (the "Angleton
f=acility." and together with the Beaumont Facility, the "Series 2014 Project") and (ii) pay the costs of
issuance of the Series 2014 Bonds and related financing costs.
. .... _.... _ ...............
P462f623.4
CERTIFICATE FOR ORDINANCE
TIDE STATE OF TEXAS
CITY OF BEAUMONT'
COUNTY OF JEFFERSON
We, the undersigned officers of the City Council of the City of Beaumont, Texas, hereby certify
as follows:
1. The City Council of the City of Beaumont, Texas. convened in regular meeting on
August 12, 2014, at the regular meeting place thereof, within said City, and the roll was called of the duly
constituted officers and members of said City Council, to wit:
Becky Ames
Gethrel Williams
W.L. Pate, Jr.
Der. Alan B. Coleman
Mike Getz
A udwin Samuel
.lamie Smith
Mayor
Mayor Pro Tem
Council Member, At -large
Council Member, Ward 1
Council Member, Ward 2
Council Member, Ward 3
Council Member, Ward 4
and all of said persons were present except for ,] / A , thus constituting a
quorum. Whereupon, among other business, the following 'as transacted at said meeting: a written
ORDINANCE WITH RESPECT TO FAIR ENERGY OPERATIONS LLC PROJECT
was duly introduced for the consideration of said City Council. It was then duly moved and
seconded that said ordinance be adopted; and, after due discussion, said motion, carrying with it the
adoption of said ordinance. prevailed and carried by the following vote:
AYES: _ Un a 6 m o u s dec' 1 S i
CO
NOES:—; n u -) e
ABSTENTIONS: _. n on e,
2. A true. full and correct copy of the aforesaid ordinance adopted at the meeting described
in the above and foregoing paragraph is attached to and follows this certificate; said ordinance has been
duly recorded in said City Council's minutes of said meeting; the above and foregoing paragraph is a true,
full and correct excerpt from said City C'ouncil's minutes of said meeting pertaining to the adoption of
said ordinance; the persons named in the above and foregoing paragraph are the duly chosen, qualified
and acting officers and members of said City Council as indicated therein; each of the officers and
members of said City Council was duly and sufficiently notified officially and personally, in advance, of
the date, hour. place and purpose of the aforesaid meeting, and that said ordinance would be introduced
and considered for adoption at said meeting, and each of said officers and members consented, in
advance, to the holding of said meeting for such purpose; and said meeting was open to the public as
required by law; and public notice of the date, hour. place and subject of said meeting was given as
required by the Texas Open Meetings Act.
SIGNED AND SEALED this August 12, 2014
(SEAL)
#462162;4
City Secretary
CERTIFICATE OF MAYOR OF
CITY OF BEAUMONT, TEXAS
(Fair Energy Operations Project)
The undersigned Mayor of the City of Beaumont, Texas (the "City') hereby certifies with
respect to a plan of finance of the Mission Economic Development Corporation (the
"Corporation ") including the issuance of its Solid Waste Disposal Revenue Bonds (Fair Energy
Operations Project) Scries 2014 (the "Bonds ") and other bond issues, that:
1. I am the duly appointed hearing officer for the public hearing which was held on
August 12, 2014 in connection with the issuance of the Bonds at the time and place, indicated in
the Notice of Public Hearing included in Exhibit A attached hereto, all in accordance with the
requirements of Section 147(f) of the Internal Revenue Code of 1986, as amended (the '`Code ").
2. Notice of the public hearing was published no less than 14 days before the date of
the public hearing in a newspaper of general circulation available to residents of the City, as
evidenced by the Affidavit of Publication of Notice of Public Hearing attached hereto as
Exhibit A.
3. All persons appearing at the public hearing were given an opportunity to comment
on the proposed plan of finance, including the issuance of the Bonds, and the project to be
financed by the plan of finance. No such persons appeared or made comments except as is set
forth on Exhibit B attached hereto.
4. After giving all interested persons an opportunity to appear and comment, the
public hearing was declared closed.
�. Solely for purposes of the approval requirements of the aforesaid Section 147(0
of the Code, and for no other purposes, in my capacity as Mayor, I hereby approve the plan of
finance, including the issuance of the Bonds, and the facilities to be financed by the plan of
finance; provided, however, THAT THIS APPROVAL IS NOT TO BE CONSTRUED AS
(I) A REPRESENTATION OR WARRANTY BY THE CITY, THE MAYOR OF THE
CITY, THE STATE OF TEXAS OR ANY OTHER AGENCY, INSTRUMENTALITY OR
POLITICAL SUBDIVISION OF THE STATE OF TEXAS THAT THE BONDS WILL BE
PAID OR THAT ANY OBLIGATIONS ASSUMED BY ANY OF THE PARTIES UNDER
THE INSTRUMENTS DELIVERED IN CONNECTION WITH THE BONDS WILL IN
FACT BE PERFORMED; (II) A PLEDGE OF THE FAITH AND CREDIT OF THE
CITY OR THE STATE OF TEXAS OR ANY AGENCY, INSTRUMENTALITY OR
POLITICAL SUBDIVISION OF THE STATE OF TEXAS OR THE CITY; OR (III) A
REPRESENTATION OR WARRANTY BY THE CITY CONCERNING THE VALIDITY
OF THE CORPORATE EXISTENCE OF THE CORPORATION OR THE VALIDITY
OF THE BONDS.
446397532
EXECUTED as of August 12, 2014
vor
City of Bea ont, Texas
Exhibit A - Notice of Public Hearing
Exhibit B - Names and Comments of Persons Attending Public Hearing
Certificate of Mayor of City of Beaumont
EXHIBIT A
AFFIDAVIT OF PUBLICATION OF
NOTICE OF PUBLIC HEARING
ATTACHED
44634783.2
AFFIDAVIT OF PUBLICATION
STATE OF TEXAS:
COUNTY OF JEFFERSON:
Before me, the undersigned authority, a Notary Public in and for the State of
Texas, on this day personally appeared: 'Monica Mendoza, who after being
duly sworn, says that she is a NEWSPAPER REPRESENTATIVE for
THE BEAUMONT ENTERPRISE, a daily newspaper published in
Jefferson County and generally circulated in Jefferson, Hardin, Tyler,
Newton, Orange, Jasper, Liberty, Sabine, Chambers, San Augustine,
Angelina and Galveston Counties, Texas, and that the publication, of which
the annexed is a true copy, was published to wit:
June 23, 2014 Ad #196560501
Account 404166410:3 Bracewell & Giuliana, LLP
Newspaper Representative
Sworn aii4s�scribek o before me, this .. ;5,_y""day of _ c1 J L.`4 A.D.
Notary Public in and for the State of Texas
P l! l l J 1� lll. I. r l ll. r✓. � 1. /! l �l
1 �S *aYP�SY ERIKAACEVEDO l�
c xn NOTARY PUBLIC, STATE OF TEXAS �l
OF�MY COMMISSION EXPIRES 1
APRIL 3, 20'16 S
Frank A. Adams
Attorney
Wills, Estates„
probate
proceedings
Fordhook,Llma Beads (10lbs)
Green Snap Beans (10 Ibs)
{ "
Whole Green Beans (101bs)
Kellen Green Beans (10 Ibs)
$23.00- !
Great Northern Beans 00 Ibs)
$25.p0,
Navy Beans (10 lbs)
$252 '
Cream Style Corn (4 Lbs)
$12.00
Cut Super Sweet Cam (10 Ibs)
moo
Cut Shoapeg Corn 00 Ibs)
$20 -011
$20.0
Sliced Yellow Squash (10 Ibs)
Mixed Vegetables (10 Ibs) (Soup Blend)
$20.00 ,
California Blend (10 Ibs) (Broccoli,Cauliflower,Carrots)
$20.00
Broccoli (5lbs)
Brussel Sprouts (10 Ibs)
$24A0'+'
Mustard Greens (3 Ibs)
$5.00
tumip Greens (3 ibs)
Collard Greens (3 Ibs) -
$5.00.
Out Okra (10 Ibs)
$20.00
Baby Bail Okra (21bs) (Whole Pods)
�5•, !.
Season Blend (2 ms).
''$5.0
(Chopped onion, bell pepper, celery & parsley)
Sliced Peaches (5 Ibs)
$gt7•o�
Whole Strawberries (5 ibs)
Lbs)
Blackberries (5
Bluoeriies (5 Lbs)
NOTICE OF FUBWC HEARING, ; u
MISSION ECONOMIC DEVELOPMENT CORPORATION
SOLID WASTE DISPOSAL REVENUE BONDS �I
(FAIR ENERGY OPERATIONS LLC PROJECT) SERIES 2014
Notice is hereby given of public hearings to be held by the Mission economic Development
Corporation (the "Issuer's at the times and locations set forth. below with respect t,?' ._the
captioned bonds (the °Series 2014 Bonds")-to be issued in one or more series in an.aggregate.,
principal amount not to exceed $50,000,000 by the Issuer. The proceeds the Series 2014Bgn0-
will be loaned to Fair Energy Operations- Beaumont, LLC ( "Fair Energy Be'aumpnt") and Fair- !'
Energy Operations - Angleton, LLC ("Fair Energy Angleton," and; together with Fair Energy
Beaumont, the "Borrower"; and will be used.by the Borrower to provide funds .to: QiD finarwg
or refinance all or part o[ the cost, of acquiring and constructing ggrtain capital imprevemeAt
and infrastructure relating to waste- to'enelrgy facilities and/or solid waste facilities Including'
any land, equipment and other.property comprising waste- to-energy facilities finclut�ing.. '
property functionally related and subordinate thereto) that will convert municipal solid waste
into usable products, located at: _(a) Beaumont City Landfill. -5895 Lafin Drive,, Beaumont,
Texas (the "Beaumont Facility and (b) Seabreeie Environmental Landfill - 10310 FM 523,
Angleton, Texas (the "Angleton Facility," and together with the Beaumont Facility, the "Series
2014Project'D and (li) pay the costs of issuance of the Series 2014 Bonds and related financing
costs.
Fair Energy Operations, LLC is the sole'member of each of Fair Energy Beaumont a{id
Fair Energy. Angleton. - -- - - ,"
TheAnitial and exclusive owner,'operator and manager of the facilities, commx(si{cg ";thPk
Beaumont Facility will be Fair Energy Beaumont or an affiliate controlled, directly br indirectly
by Fair-Energy' Operations, LLC. The initial and exclusive owner, operator: and manager of
the facilities comprising the Angleton Facility will be Fair Energy Angleton or an affiliate ,
controlled, directly or indirectly, by Fair Energy Operations, UC.
The Issuer will conduct public hearings with respect to the proposed issuance of the Series
2014 Bonds on August 12, 2014, at 1:30 p.m.,,at Beaumont City Council CY{amhers 1st Floor
City Hall, 801 Main'Street, Beaumont, Texas 77701 (the'. Hearing'.
L.
The Beaumont Hearing will be conducted by Mayor Backy Ames or her designee.
All interested persons are invited to attend the Beaumont Hearing to express their views
with respect, to the Series 2014 Project and, the Series 2014 Bonds. Questions or requests for
additional information may directed to Mr. Lee McCormick, 698& Lebanon Road, Sulte j-03,
Frisco, Texas 75034, (214) 256 -3121. Any interested persons unable to attend the Hearings ;
may submit their views in ;writing to Mr. McCormick at the address above or by facsimile a
(214) 256 -3209 prior to ':he date scheduled for the Hearings. +
This notice is published and the above described Hearings are to be held in satisfaction t
of the requirements of .Section 147(f) of the Internal Revenue Code of 1986, as amended,
regarding the public approval prerequisite to the exemption from federal Income taxation of
I
the interest on the Series 2014 Bonds. '
EXHIBIT B
NAMES AND COMMENTS OF PERSONS ATTENDING PUBLIC HEARING
Y1one-
FC39793.2