VILLAGE OF TAOS SKI VALLEY, NEW MEXICO

RESOLUTION NO. 99-34

ADOPTING A DECLARATION OF OFFICIAL INTENT FOR REIMBURSEMENT OF ORIGINAL EXPENDITURE AMOUNTS AND COSTS OF ISSUANCE AMOUNTS FROM NOTE AND BOND PROCEEDS

          WHEREAS, the Village of Taos Ski Valley, New Mexico (the "Village ) has passed and adopted Resolution No. 99-32, effective July 6, 1999 (the "Authorizing Resolution"), which authorized "Declarations of Official Intent," as defined therein, for the reimbursement of certain original expenditures from note and bond proceeds; and

          WHEREAS, the Village has a capital improvements program for the upcoming three (3) years, pursuant to which it reasonably expects to finance in the future, from the Village’s general fund, the acquisition, construction and improvement of streets, public buildings and fire stations, including but not limited to improvements to Ernie Blake Road, the development of the Centro de Valle project, the Kachina fire substation and related facilities and property necessary therefor (collectively, the "Project") out of the proceeds derived from issuance by the Village of its bonds in one or more series (the "Bonds"); and

          WHEREAS, the Village now desires to comply with the provisions of the United States Treasury Regulations (the "Reimbursement Regulations") applicable under Section 150 of the Internal Revenue Code of 1986, as amended (the "Code"), and adopt a declaration of official intent with respect to the payment of certain original expenditures incurred or to be incurred in connection with the Project and to reimbursed with certain proceeds of the Bonds.

          NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE VILLAGE OF TAOS SKI VALLEY, THE GOVERNING BODY OF THE VILLAGE OF TAOS SKI VALLEY, AS FOLLOWS:

          1. The Authorizing Resolution is incorporated herein by reference as though set forth in full. All capitalized terms used herein shall have the meanings ascribed to them in the Authorizing Resolution unless otherwise specifically defined in this Resolution.

          2. This is a Declaration of Official Intent under Reimbursement Regulations Section 1.150-2.

          3. This Declaration of Official Intent is made with respect to one or more Original Expenditures that are Qualified Expenditures incurred or to be incurred in connection with the Project.

          4. The Village declares that the Bonds are to be issued, and the Original Expenditures paid, for one or more of the Project purposes. The maximum principal amount of the Bonds to be issued for the Project is not expected to exceed $4,000,000.

          5.       The Village, based on facts and circumstances known as of the date of this Resolution, has Reasonable Expectations that the Qualified Expenditures incurred with respect to the Project and the issuance of the Bonds will not exceed $4,000,000, and that such Qualified Expenditures will be reimbursed to the Village from proceeds of the Bonds in accordance with the operating rules for reimbursement expenditures set forth in the Reimbursement Regulations and the Authorizing Resolution.

          6.       Because of the need to adopt this Resolution in order to timely pay certain Original Expenditures incurred in connection with the Project, upon due adoption of this Resolution, it shall be recorded in the office of the Village Clerk, and shall be in full force and effect upon such adoption.

          PASSED AND ADOPTED by the Governing Body of the Village of Taos Ski Valley this 6th day of July, 1999.

                                                                ___________________________________

                                                                Mayor

(SEAL)

Attested By:

_____________________________

Clerk