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HomeMy WebLinkAboutCC RES 95-079RESOLUTION NO. 95-79 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT AUTHORIZING THE ISSUANCE AND SALE OF REFUNDING BONDS FOR ASSESSMENT DISTRICT NO. 83-1 WHEREAS, bonds were issued for Assessment District No. 83-1, City of Palm Desert, County of Riverside, State of California (the "Assessment District") on October 23, 1985, in the aggregate principal amount of $2,243,566.32 and such bonds remain outstanding in the aggregate principal amount of $900,000 (the "Outstanding Bonds"); and WHEREAS, the City Council (the "City Council") of the City of Palm Desert, California (the "City") has conducted proceedings pursuant to the Refunding Act of 1984 for 1915 Improvement Act Bonds, Division 11.5 (commencing with Section 9500) of the Streets and Highways Code of the State of California (the "Refunding Act") and has adopted a resolution approving a report prepared pursuant to Section 9523 of the Streets and Highways Code of the State of California and confirming a reassessment contained therein, and all acts required by the Refunding Act with respect to the confirmation of such reassessment have been accomplished; and WHEREAS, the City Council has determined that it is in the best interests of the City and the owners of property within the Assessment District that the maturity of the Outstanding Bonds be advanced and that the Outstanding Bonds be refunded and redeemed, and that refunding bonds be issued pursuant to the Refunding Act for that purpose; and WHEREAS, in order to accomplish the advancement of the maturity of and the refunding and redemption of the Outstanding Bonds, the City proposes to issue not to exceed $700,000 aggregate principal amount of refunding bonds to be designated Limited Obligation Refunding Bonds (Property Secured Only - No Issuer Liability), City of Palm Desert, Assessment District No. 83-1, Series 1995 (the "Bonds"); and WHEREAS, there has been presented to the City Council a form of Bond Purchase Contract whereby the Palm Desert Financing Authority (the "Authority") will purchase the Bonds; and WHEREAS, the Authority will issue its 1995 Revenue Bonds (Assessment Districts Nos. 83-1, 84-1-R and 87-1) (the "Authority Bonds") for the purpose of providing moneys with which to purchase the Bonds; and WHEREAS, there has also been presented to the City Council a form of Fiscal Agent Agreement providing for the issuance of the Bonds; and RTA279508 R1A279508 WHEREAS, there has also been presented to the City Council a form of Escrow Deposit and Trust Agreement whereby the proceeds of the sale of the Bonds and moneys on deposit in the reserve fund for the Outstanding Bonds and other funds relating to the Assessment District and the Outstanding Bonds will be deposited in an escrow fund for the purpose of accomplishing the refunding and redemption of the Outstanding Bonds; and WHEREAS, there has also been presented to the City Council a form of Continuing Disclosure Agreement to be entered into among the Authority, the City and the Trustee for the Authority Bonds for the benefit of the owners of the Bonds and in order to assist the Underwriter in complying with Rule 15c2- 12(b)(5) of the Securities and Exchange Commission; and WHEREAS, the City Council has determined that it is in the best interests of the owners of property within the Assessment District that the Bonds be sold to the Authority on the terms and conditions hereinafter specified; NOW, THEREFORE, the City Council of the City of Palm Desert, California, DOES HEREBY RESOLVE, DETERMINE AND ORDER as follows: SECTION 1.. Approval of Issuance of Bonds. The issuance of not to exceed $700,000 aggregate principal amount of the Bonds in order to refund and redeem the Outstanding Bonds is hereby approved. SECTION 2.. Fiscal Agent Agreement. The form of Fiscal Agent Agreement to be dated as of the date when the Bonds will be delivered and the proceeds from the sale thereof will be received (the "Closing Date") and to be entered into by and between the City and Bank of America National Trust and Savings Association, as fiscal agent (the "Fiscal Agent Agreement"), presented at the meeting at which this resolution is adopted is hereby approved and the Mayor or the Mayor Pro Tempore of the City and City Clerk are hereby authorized and directed, for and in the name of and on behalf of City, to execute, acknowledge and deliver the Fiscal Agent Agreement in substantially the form presented at said meeting with such changes thereto as the officers executing the same may approve, such approval to be conclusively evidenced by the execution and delivery thereof. SECTION 3.. Appointment of Fiscal Aaent. Bank of America National Trust and Savings Association is hereby appointed as Fiscal Agent pursuant to the Fiscal Agent Agreement, to take any and all action provided for therein to be taken by the Fiscal Agent. SECTION 4.. Delivery of Bonds. The form of the Bonds as set forth in the Fiscal Agent Agreement is hereby approved. The City Treasurer and City Clerk are hereby authorized and directed to execute by manual or facsimile signature, in the name and on behalf -2- of the City and under its seal, the Bonds in typewritten, definitive form and to deliver the Bonds to the Authority in accordancewith the terms and provisions of the Fiscal Agent Agreement and the Bond Purchase Contract. SECTION 5.. Bond Purchase Contract. The form of the Bond Purchase Contract (the "Bond Purchase Contract") presented at the meeting at which this resolution is adopted to be entered into by and between the City and the Authority, whereby the Authority will purchase the Bonds from the City upon the terms and conditions set forth therein, is hereby approved and, subject to such approval and subject to the provisions of Section 6 hereof, the Mayor, the Mayor Pro Tempore, the Acting City Manager or the City Treasurer is hereby authorized and directed to evidence the City's acceptance of the offer made by the Bond Purchase Contract by executing and delivering the Bond Purchase Contract in said form with such changes therein as the officer executing the same may approve, such approval to be conclusively evidenced by the execution and delivery thereof. SECTION 6.. Final Terms of Sale of Bonds. The Acting City Manager or the City Treasurer, based on such advise as he may deem necessary, is hereby authorized and directed to act on behalf of the City to establish and determine: (i) the final aggregate principal amount of the Bonds, which shall not exceed $700,000; (ii) the final maturity date of the Bonds, which shall not be later than the maturity date of the last maturity of the Outstanding Bonds; (iii) the final interests rates on the various maturities of the Bonds, provided that the interest rate on any of the Bonds shall not exceed 6.50% per annum; and (iv) the purchase price to be paid by the Authority for the purchase of the Bonds, which shall not be less than 98.5% of the aggregate principal amount of the Bonds. SECTION 7.. Escrow Agreement; Escrow Holder. The form of the Escrow Deposit and Trust Agreement Relating to City of Palm Desert Bonds of Assessment District No. 83-1 to be dated as of the Closing Date and to be entered into by and among the City, the Authority and Bank of America National Trust and Savings Association, as escrow holder (the "Escrow Agreement"), presented at the meeting at which this resolution is adopted is hereby approved and the Mayor, the Mayor Pro Tempore or the City Treasurer is hereby authorized to execute and deliver said agreement in said form with such changes therein as the officer executing the same may approve, such approval to be conclusively evidenced by the execution and delivery thereof. Bank of America National Trust and Savings Association is appointed as Escrow Holder pursuant to the Escrow Agreement, to take any and all action provided therein to be taken by the Escrow Holder. SECTION 8.. Continuing Disclosure Agreement. The form of the Continuing Disclosure Agreement to be dated as of the Closing Date and to be entered into by and among the City, the Authority and Bank of America National Trust and Savings RTA280266 • RTA280266 Association, as Trustee under the Indenture of Trust relating to the Authority Bonds, presented at the meeting at which this resolutionis adopted is hereby approved, and the Mayor, the Mayor Pro Tempore or the City Treasurer is hereby authorized to execute and deliver said agreement in said form with such changes therein as the officer executing the same may approve, such approval to be conclusively evidenced by the execution and delivery thereof. SECTION 9.. Application of Reserve Fund and Other Funds. The amount remaining on deposit in the reserve fund for the Outstanding Bonds shall be used to retire such bonds as provided in Section 8885 of the Streets and Highways Code of the State of California. In order to comply with the requirements of that section, the City Treasurer shall transfer or cause the fiscal agent or paying agent for the Outstanding Bonds to transfer the entire amount remaining on deposit in said reserve fund to the Escrow Holder for deposit in the Escrow Fund to be established pursuant to the Escrow Agreement. The City Treasurer shall also transfer or cause the transfer of the amount on deposit in the redemption fund for the Outstanding Bonds which is in excess of the amount needed to pay the interest on and principal of the Outstanding Bonds on September 2, 1995, and any amount which may be on deposit in the improvement fund for the Assessment District to the Escrow Holder for deposit in the Escrow Fund as provided in the Escrow Agreement. SECTION 10.. Other Acts. The officers and staff of the City are authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all documents, which in consultation with staff, counsel to the City and bond counsel, they may deem necessary or advisable in order to consummate the issuance, sale and delivery of the Bonds or otherwise effectuate the purposes of this resolution, and any and all such actions previously taken by such officers or staff members are hereby ratified and confirmed. SECTION 11.. Effective Date. This resolution shall take effect upon adoption. -4- 4 RTA280266 PASSED, APPROVED AND ADOPTED this 24th August, 1995 by the following vote: AYES: BENSON, KELLY, SNYDER, SPIEGEL, CRITES NOES: NONE ABSENT: NONE ABSTAINED: NONE Buford Crites, Mayor of the City •f Palm Desert, California ATTEST: Sheila R. Gilligan, y Clerk of the City of Palm sert, California -5- RTA280266 I, SHEILA R. GILLIGAN, City Clerk of the City of Palm Desert, California, do hereby certify that the foregoing resolution was regularly introduced and adopted by the City Council of the City of Palm Desert, California, at a regular meeting thereof held on the 24th day of August, 1995 by the following vote of the Council: AYES: BENSON, KELLY, SNYDER, SPIEGEL, CRITES NOES: NONE ABSENT: NONE ABSTAINED: NONE IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pa1jn esert, California, this 31st day of August City Clerk of the Cit Palm Desert, Califo -6- • STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. I, Sheila R. Gilligan, City Clerk of the City of Palm Desert, California, DO HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of Resolution No.95=7gand that the same has not been amended or repealed. DATED: August 31, 1995 1995. City Clerk "o - e City Palm Desert, Califo RTAZ80266 -7-