Reso 2010-1538-1 - Laserfiche WebLink

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I. COVERAGE CERTIFICATE . The undersigned, Mayor of the City of Sunny Isles Beach, Florida (the "City") hereby certifies as follows: . 1) On the date hereof the City is issuing its $15,000,000 City of Sunny Isles Beach, Florida Capital Improvement Revenue Bonds, Series 2010 (the "2010 Capital Improvement Bonds"). The 2010 Capital Improvement Bonds are secured by a covenant of the City to budget and appropriate from legally available Non-Ad Valorem Revenues (the "Available Non-Ad Valorem Revenues"). . 2) On November 30, 2001, the City entered into a loan in the original principal amount of $10,320,000 made from a portion of the proceeds of the Florida Municipal Loan Council Revenue Bonds, Series 2001A (the "2001 Loan"). On November 22, 2002, the City entered into a loan in the original principal amount of $17,945,000 made from a portion of the proceeds of the Florida Municipal Loan Council Revenue Bonds, Series 2002C (the "2002 Loan"). On June 8, 2009, the City issued its $20,000,000 City of Sunny Isles Beach, Florida Promissory Note (the "2009 Note" and collectively with the 2001 Loan and 2002 Loan, the "Prior Debt"). The Prior Debt is also secured by Available Non-Ad Valorem Revenues. Section 3.02(b) of the Loan Agreement, dated as of June 8, 2009 (the "2009 Loan Agreement") between the City and Bank of America, N.A., relating to the 2009 Note, provides that the City will not incur any additional indebtedness payable from Available Non-Ad Valorem Revenues, unless (i) the aggregate Available Non-Ad Valorem Revenues received by the City during the two fiscal years most recently concluded prior to the incurrence of such debt equals or exceeds 300% of the maximum annual debt service in the then current or any future fiscal year of the City on debt, including the proposed debt, secured by and/or payable from such Available Non-Ad Valorem Revenues (the "First Coverage Ratio"); and (ii) the maximum annual debt service requirements in the then current or any future fiscal year of the City for all debt, including the proposed debt, secured by and/or payable from Available Non-Ad Valorem Revenues will not exceed 20% of governmental fund revenues (defined as general fund, special fund, debt service fund and capital projects funds) of the City for the fiscal year most recently concluded prior to the incurrence of such proposed debt, exclusive of (i) ad valorem revenues restricted to payment of debt service on any debt and (ii) any debt proceeds (the "Second Coverage Ratio"). . . . . 2) The issuance of the 2010 Capital Improvement Bonds will comply with First Coverage Ratio and with the Second Coverage Ratio, as shown in attached Exhibit "A". Dated as of the 24th day of March, 2010. . CITY OF SUNNY ISLES BEACH, FLORIDA ,. {M 1 887427_1 I . I