The City Council of the City of Abilene, Texas, met for a Special Council Meeting on July 13, 2001 at 10:00 a.m. in the City Council Chambers of City Hall for the purpose of considering an Ordinance authorizing the issuance of City of Abilene, Texas Combination Tax & Waterworks & Sewer System Revenue Certificates of Obligation, Series 2001B, in the principal amount of $30,000,000. Mayor Grady Barr was present and presiding with Councilmen Norm Archibald, Kris Southward, Victor G. Carrillo, Rob Beckham, Jimmy McNeil, and Councilwoman Kay Alexander. Also present were City Manager Roy McDaniel, City Attorney Sharon Hicks, and City Secretary Jo Moore.

Councilwoman Kay Alexander gave the invocation.

Mayor Barr stated the purpose of the meeting, then turned the meeting over to David Wright, Director of Finance, who briefed the Council on the Ordinance authorizing the issuance of City of Abilene, Texas Combination Tax & Waterworks & Sewer System Revenue Certificates of Obligation, Series 2001B, in the principal amount of $30,000,000. The 2001B certificates of obligation will be temporary financing of $30,000,000 to partially fund the construction of the water transmission line, related water treatment facilities, and electric transmission lines for delivery and treatment of water from the O.H. Ivie Reservoir. The ordinance authorizes the issuance of certificates to the lowest overall interest cost bidder. Once RD funding is known, this issue will be refunded and placed on a 20-year maturity and also will be refunded if RD funds are not used.

Mr. Wright distributed O.H. Ivie Project Debt Information and the Certificates of Obligation Debt Service Schedule. Mr. Wright then introduced Joe Smith of First Southwest Company, the underwriter on this issue, who reviewed for Council the negotiated interest rates.

Council noted benefits from the current economic climate and timing and stated satisfaction with the true interest cost of 4.4354117%.

Councilman Southward moved to approve the Ordinance authorizing the issuance of City of Abilene, Texas Combination Tax & Waterworks & Sewer System Revenue Certificates of Obligation, Series 2001B, in the principal amount of $30,000,000, as recommended by staff. Councilman Archibald seconded the motion and the motion carried.

AYES: Councilmen Archibald, Southward, Carrillo, Beckham, Councilwoman Alexander, and Mayor Barr.

NAYS: None.

The Ordinance is numbered 15-2001 and is captioned as follows:

There being no further business, Mayor Barr adjourned the meeting at 10:08 a.m.

Jo Moore, City Secretary

Grady Barr, Mayor