Resolution 2020-51RESOLUTION NO. 2020-51
RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF GILROY SETTING THE TAX RATE FOR
FISCAL YEAR 2020-2021 WITH RESPECT TO
GENERAL OBLIGATION BONDS FOR THE
GILROY COMMUNITY LIBRARY PROJECT
WHEREAS, more than two-thirds of the electors voting at a special municipal
election held on November 4, 2008, voted for a proposition authorizing the issuance by
the City of general obligation bonds in the aggregate principal amount of $37,000,000
(the "Bonds") for the purpose of providing funds for the acquisition, construction and
improvement of public library facilities; and
WHEREAS, the City has previously issued the initial series of the Bonds in the
aggregate principal amount of $10,500,000 on May 5, 2009 and the second series of the
Bonds in the aggregate principal amount of $23,500,000 on August 3, 2010; and
WHEREAS, the City approved the refinancing of the two series of bonds on May
20, 2019 (providing for a reduction in bond debt service starting in tax collection year
2019/20) with the issuance of the 2019 Refunding General Obligation Bonds; and
WHEREAS, pursuant to Section 43632 of the California Government Code, the
City Council is required annually to levy and collect a tax sufficient to pay the principal
of and interest on the Bonds coming due and payable before the proceeds of a tax levied
at the next general tax levy will be available; and
WHEREAS, the City has determined that in order to provide sufficient funds to
pay the principal of and interest on the Bonds coming due and payable on February 1,
2021 and August 1, 2021, it is necessary to levy a tax upon all taxable property in the
City at the rate of 0.019% of assessed valuation, based on the estimated assessed values
for all rolls (secured, unsecured and utility) for fiscal year 2020-2021.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Gilroy as follows:
Section 1. Levy of Tax. The City Council hereby determines that the tax rate
necessary to pay the principal of and interest on the Bonds coming due and payable on
February 1, 2021 and August 1, 2021, is 0.019% of assessed valuation, and such tax rate
shall be and is hereby levied in accordance with all applicable requirements of law.
Section 2. Collection of Tax. The Finance Director is hereby directed to
forward a copy of this Resolution to the Auditor -Controller of Santa Clara County, and to
the Board of Supervisors of the County, and to take such actions and execute such
documents as may be required to cause the tax rate set forth in Section 1 to be placed on
the 20A-2021 property tax bill and collected by the County.
Section 3. Application of Tax. As provided in Section 43634 of the California
Government Code, all taxes levied pursuant to this Resolution shall be used only for
payment of the Bonds and the interest thereon.
Section 4. Effective Date. This Resolution shall take effect from and after the
date of its passage and adoption.
PASSED AND ADOPTED at a Regular Meeting of the City Council on this 17t'
day of August 2020, by the following roll call vote:
AYES: COUNCILMEMBERS: BLANKLEY, BRACCO, LEROE-
MUNOZ, MARQUES, TOVAR, TUCKER and VELASCO
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
APPROVED:
Roland Velasco, Mayor
RESOLUTION NO. 2020-51
I, SHAWNA FREELS, City Clerk of the City of Gilroy, do hereby certify that the
attached Resolution No. 2020-51 is an original resolution, or true and correct copy of a city
Resolution, duly adopted by the Council of the City of Gilroy at a regular meeting of said held on
Council held on the 171h day of August, 2020, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
of August, 2020.
City Clerk of the City of Gilroy
(Seal)