07-R420

2007 -- H 6584

Enacted 11/04/07

 

J O I N T R E S O L U T I O N

APPROVING THE ISSUANCE OF LEASE PARTICIPATION REFUNDING CERTIFICATES AND RELATED FINANCING LEASES BY THE STATE OF RHODE ISLAND

     

     

     Introduced By: Representative Steven M. Costantino

     Date Introduced: October 30, 2007

 

     WHEREAS, the Rhode Island Public Corporation Debt Management Act (R.I. General

Laws Sections 35-18-1, et. seq.) requires the General Assembly to provide its consent to the

issuance of debt or financing leases incurred by the State of Rhode Island and other public

agencies of certain obligations; and

     WHEREAS, the State of Rhode Island has previously issued its $4,500,000 Lease

Participation Certificates, Series 1995 (the "Series 1995 Certificates") which remain outstanding

in the principal amount of $2,345,000; and

     WHEREAS, the State of Rhode Island has previously issued its $24,000,000 Lease

Participation Certificates (Howard Center Improvements 1997 Series) (the "Series 1997

Certificates") which remain outstanding in the principal amount of $14,725,000; and

     WHEREAS, the State of Rhode Island has previously issued its $33,335,000 Lease

Participation Certificates (Shepard's Building 1997 Refunding Series A) (the "Series 1997A

Certificates") which remain outstanding in the principal amount of $22,135,000; and

     WHEREAS, the State of Rhode Island has previously issued its $28,180,000 Lease

Participation Certificates (Central Power Plant Project 2000 Series C) (the "Series 2000C

Certificates") which remain outstanding in the principal amount of $21,230,000 (the Series

2000C) Certificates along with (the Series 1995 Certificates, the Series 1997 Certificates and the

Series 1997A Certificates collectively, the "Prior Certificates"); and

     WHEREAS, the interest rate environment is such that refunding the Prior Certificates

will generate significant savings for the State of Rhode Island; now, therefore be it

     RESOLVED, that this General Assembly hereby approves the issuance of one or more

series of Certificates of Participation in a total amount not to exceed sixty eight million dollars

($68,000,000) for the refunding of the Prior Certificates and the State entering into one or more

related financing leases provided overall net present value savings is achieved equal to or greater

than 3% of the par amount of the Prior Certificates to be refunded; and be it further

     RESOLVED, that this Joint Resolution shall take effect immediately upon its passage by

the General Assembly.

     

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LC03455

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