SPECIAL TOWN BOARD MEETING
JANUARY 24, 2002
GALWAY TOWN HALL
Supervisor Hargrave called the special meeting to order at 6:00 p.m. The following Town Board members were present:
PRESENT:
Supervisor George Hargrave Councilman
Michael Tillson
Councilman Charles Quinlan Councilwoman Susan Sutch
ABSENT: Councilman William Topper
OTHERS PRESENT: T. Killeen, Assessor; M. Carter; A. Carter; G. Schaperjahn
& M. DeFoe, Town Clerk.
MOTIONS AND RESOLUTIONS
Discussion of Resolution # 7-2002 – Supervisor Hargrave advised that the Town Board was looking to refinance the bond for the Town Hall to lower interest rate on bond. Marlous Carter questioned what interest rate would be and when bond would be paid off. Councilwoman Sutch stated that the bond would still be paid off in 2012, the interest rate is still to be determined. Marlous Carter advised that she is a leader for Boy Scout Troop 55. Andrew Carter & Garrett Schaperjahn advised that they were at tonight’s meeting for a Boy Scout Communication Merit Badge. Councilwoman Sutch stated with the current low interest rates, the refinancing of this bond will save the Town several thousand dollars per year over the term of bond.
RESOLUTION # 7-2002 – Refinancing the bond for the Town Hall. The following resolution was offered by Councilwoman Susan Sutch, seconded by Councilman Michael Tillson, to wit;
REFUNDING BOND RESOLUTION DATED JANUARY 24, 2002
A RESOLUTION AUTHORIZING THE ISSUANCE OF REFUNDING SERIAL BONDS OF THE TOWN OF GALWAY, SARATOGA COUNTY, NEW YORK IN THE AGGREGATE PRINCIPAL AMOUNT OF $256,000 PURSUANT TO THE LOCAL FINANCE LAW AND PROVIDING FOR OTHER MATTERS IN RELATION THERETO.
WHEREAS, the Town of Galway, Saratoga County, New York (the “Town”) has heretofore issued its Town Hall Statutory Installment Bond – 1992 in the principal amount of $450,000 (the “Prior Bond”); and
WHEREAS, the Prior Bond was authorized pursuant to a bond resolution duly adopted by the Town Board of the Town on April 9, 1991 for the purpose of constructing a new Town Hall, which bond resolution prescribes a period of probable usefulness with respect thereto of twenty (20) years; and
WHEREAS, the Prior Bond is dated March 31, 1992 and is currently outstanding in the principal amount of $278,500, maturing as follows: $22,500 on March 31 in the year 2002, $22,500 on March 31 in the year 2003, $24,000 on March 31 in the year 2004, $25,000 on March 31 in the year 2005, $25,500 on March 31 in the year 2006, $26,000 on March 31 in the year 2007, $26,000 on March 31 in the year 2008, $26,500 on March 31 in the year 2009, $26,500 on March 31 in the year 2010, $27,000 on March 31 in the year 2011, and $27,000 on March 31 in the year 2012; and
WHEREAS, it would be in the public interest to refund the outstanding principal amount of the Prior Bond, exclusive of the $22,500 principal installment due on March 31, 2002 for which a budgetary appropriation has been made, by the issuance by the Town of its refunding serial bonds pursuant to Section 90.00 of the Local Finance Law;
NOW, THEREFORE, BE IT RESOLVED by the Town Board of the Town (by the favorable vote of not less than two-thirds of all of the member of the Board) as follows:
SECTION 1. For the object or purpose of refunding the $256,000 principal amount of the Prior Bond to be outstanding following payment of the $22,500 principal installment and all accrued interest due on said bond on March 31, 2002, there is hereby authorized to be issued the refunding serial bonds of the Town in the aggregate principal amount of $256,000 (the “Refunding Bonds”).
SECTION 2. The Refunding Bonds shall be executed in the name of the Town by the manual or facsimile signature of the Town Supervisor, and its corporate seal or a facsimile thereof shall be impressed thereon and attested by the Town clerk. The Refunding Bonds shall contain the recital required by subdivision 4 of paragraph g of Section 90.00 of the Local Finance Law and the recital of validity clause provided for in Section 52.00 of the Local Finance Law, and shall otherwise be in such form and contain such recitals as the Town Supervisor shall determine.
SECTION 3. It is hereby determined that:
(A) The amount of the Refunding Bonds authorized to be issued pursuant to this resolution is $256,000;
(B) The Prior Bond is described and dated as stated in the preambles hereto;
(C) The maximum period of probable usefulness permitted by law at the time of the issuance of the Prior Bond for the object or purpose for which the Prior Bond was issued is as stated in the preambles hereto;
(D) The last installment of the Refunding Bonds will mature not later than the expiration of the maximum period of probable usefulness of the object or purpose for which the Prior Bond was issued; and
(E) The Refunding Bonds shall mature as follows: $22,500 on March 31 in the year 2003, $24,000 on March 31 in the year 2004, $25,000 on March 31 in the year 2005, $25,500 on March 31 in the year 2006, $26,000 on March 31 in the year 2007, $26,000 on March 31 in the year 2008, $26,500 on March 31 in the year 2009, $26,500 on March 31 in the year 2010, $27,000 on March 31 in the year 2011, and $27,000 on March 31 in the year 2012.
SECTION 4. The faith and credit of the Town are hereby irrevocably pledged for the payment of the principal of and interest on the Refunding Bonds as the same respectively become due and payable. An annual appropriation shall be made in each year sufficient to pay the principal of and interest on said bonds becoming due and payable in such year. There shall annually be levied on all the taxable real property of the Town a tax sufficient to pay the principal of and interest on said bonds as the same become due and payable.
SECTION 5. All of the proceeds from the sale of the Refunding Bonds, including the premium, if any, but excluding any accrued interest thereon, shall be used to redeem the Prior Bond in full on March 31, 2002, the same date as the Refunding Bonds are issued. Any accrued interest on the Refunding Bonds shall be paid to the Town Supervisor to be expended to pay interest on the Refunding Bonds on the first interest payment date or dates thereof.
SECTION 6. The Town Supervisor is hereby further authorized to take such actions and execute such documents as may be necessary to ensure the continued status of the interest on the Refunding Bonds as excludable from gross income for federal income tax purposes pursuant to Section 103 of the Internal Revenue Code of 1986, as amended (the “Code”), and to designate the Refunding Bonds as “qualified tax-exempt obligations” in accordance with Section 265(b) (3) of the Code.
SECTION 7. It is hereby determined that action to issue refunding bonds is a Type II action under the State Environmental Quality Review Act (SEQR”), and, therefore, no other determination or procedure under SEQR is required.
SECTION 8. The Town Supervisor and the Town Clerk and all other officers, employees and agents of the Town are hereby authorized and directed for and on behalf of the Town to execute and deliver all certificates and other documents, perform all acts and do all things required or contemplated to be executed, performed or done by this resolution.
SECTION 9. All other matters pertaining to the terms and issuance of the Refunding Bonds shall be determined by the Town Supervisor, and all powers in connection therewith are hereby delegated to the Town Supervisor.
SECTION 10. The validity of the Refunding Bonds may be contested only if:
(1) Such obligations are authorized for an object or purpose for which the Town is not authorized to expend money, or
(2) The provisions of law which should be complied with at the date of the publication of this resolution are not substantially complied with, and an action, suit or proceeding contesting such validity is commenced within twenty (20) days after the date of such publication, or
(3) Such obligations are authorized in violation of the provisions of the Constitution of New York.
SECTION 11. The Town Clerk is hereby authorized and directed to publish this resolution, or a summary thereof, together with a notice in substantially the form provided by Section 81.00 of the Local Finance Law, in The Daily Gazette, a newspaper having a general circulation in the Town and hereby designated as the official newspaper of the Town for such publication.
SECTION 12. This resolution shall take effect immediately upon its adoption.
The question of the adoption of the foregoing resolution was duly put to vote on a roll call, which resulted as follows:
Supervisor George Hargrave Voting AYE
Councilman Charles Quinlan Voting AYE
Councilwoman Susan Sutch Voting AYE
Councilman Michael Tillson Voting AYE
The foregoing resolution was thereupon declared duly adopted.
Discussion of Resolution # 8 -2002 – Councilwoman Sutch stated that Round Lake Insurance Agency sent our insurance out to five companies for quotes: Selective; Argonaut Companies; Scottsdale Insurance; NY Reciprocal & Clarendon National. Hatch Leonard Naples also submitted an insurance proposal on a quote they received from Kempes-Arnerican Protection Insurance Company a part of Kemper Insurance. Councilwoman Sutch stated that the best quote came from Round Lake Insurance Agency using Clarendon Nation total cost $22,278. Fidelity bond is still with Utica Mutual.
RESOLUTION # 8-2002 – Renewal of insurance
policies with Round Lake Insurance Agency using Clarendon National at total
cost $22,278, Fidelity bond to remain with Utica Mutual. On a motion of Councilman Quinlan, seconded
by Councilman Tillson the following resolution was ADOPTED by roll call vote:
Supervisor George Hargrave AYE Councilman Michael Tillson AYE
Councilwoman Susan Sutch AYE Councilman
Charles Quinlan AYE
RESOLVED that the Galway Town Board
renew the current insurance policies held with Round Lake Insurance Agency
using Clarendon National at a total cost of $22,278, Fidelity bond to remain
with Utica Mutual.
All ayes. MOTION CARRIED
Other Business – None.
Councilman Tillson made a motion, seconded by Councilwoman Sutch to adjourn the meeting at 6:08 p.m.
Respectfully submitted,
Margaret L. DeFoe
Town Clerk