Page 411 - FortWorthFY22AdoptedBudget

I. Authority

The Fort Worth City Council is responsible for legislation, policy formulation, and
overall direction setting of the government. This includes the approval of
financial policies which establish and direct the operations of the City of Fort
Worth. The City Manager and Assistant City Managers are responsible for
carrying out the policy directives of the City Council and managing the day-to-
day operations of the executive departments, including the Department of
Financial Management Services. This policy shall be administered on behalf of
the City Manager and Assistant City Managers by the Chief Financial
Officer/Director of Finance.

II. Purpose

As a municipal government, the City issues both tax-exempt and taxable
securities in the form of tax notes, certificates of obligations, general obligation
bonds, and revenue bonds in support of the City’s Vision to be the most livable
and best managed city in the county. The proceeds from these debt transactions
are utilized to fund the City’s comprehensive Capital Improvement Program for
multiple sectors of our operation. It is considered best practice for the City,
as part of the issuance of tax-exempt obligations, to adopt written procedures
outlining how the City will maintain compliance with federal guidelines. The
current version of such procedures was adopted on July 24, 2012, as Exhibit C -
Written Procedures Relating to Continuing Compliance with Federal Tax Covenants to
the City’s 23 Supplemental Ordinance authorizing the issuance and sale of
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the City’s Water and Sewer Revenue Refunding Bonds, Series 2012 (Ordinance
No. 201301-07- 2012). This policy is intended to supplement such Written
Procedures, as the same may be updated from time to time by action of the City
Council.

III. Applicability and Scope

This policy shall apply to all debt issuances under the fiscal control of the City
Manager and the City Council and issued by the City of Fort Worth (the “City”
or “Issuer”). Sections V through IX pertain only to tax-exempt debt issuances by
the City (the “Obligations”).

IV. Glossary

See Definitions related to this policy provided in the appendix.

V. Arbitrage Compliance

Federal income tax laws generally restrict the ability to earn arbitrage in

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