HomeMy WebLinkAboutCC RES 03-070RESOLUTION NO. 03-70
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT,
CALIFORNIA, AUTHORIZING THE ISSUANCE AND SALE BY THE CITY OF
NOT TO EXCEED $3,030,000 AGGREGATE PRINCIPAL AMOUNT OF ITS
SILVER SPUR RANCH UTILITY UNDERGROUNDING ASSESSMENT
DISTRICT NO. 01-01 LIMITED OBLIGATION IMPROVEMENT BONDS,
SERIES 2003; APPROVING AS TO FORM AND AUTHORIZING THE
EXECUTION AND DELIVERY OF CERTAIN DOCUMENTS IN CONNECTION
THEREWITH; AND APPROVING CERTAIN OTHER MATTERS RELATING
THERETO
RECITALS:
WHEREAS, on February 13, 2003, the City Council of the City (the "City Council")
adopted Resolution No. 03-17 (the "Resolution of Intention"), relating to the formation of "Silver
Spur Ranch Utility Undergrounding Assessment District No. 01-01" (the "Assessment District")
in connection with the proposed undergrounding conversion of certain overhead electric and
communication facilities in the Silver Spur Ranch area of the City (the "Project") under and
pursuant to the provisions of the Municipal Improvement Act of 1913, as set forth in Division 12
(commencing with Section 10120) of the California Streets and Highways Code; and
WHEREAS, in the Resolution of Intention, the City Council gave notice that serial bonds,
term bonds, or both, would be issued thereunder pursuant to the provisions of the Improvement
Bond Act of 1915, as set forth in Division 10 (commencing with Section 8500) of the California
Streets and Highways Code; and
WHEREAS, after conducting a duly noticed public hearing, the City Council has adopted
Resolution No. 03-42 on April 10, 2003, ordering improvements relating to the Project and
confirming the proposed assessment against parcels within the Assessment District; and
WHEREAS, notice of the recordation of the assessments and of the time within which
assessments were to be paid in cash was duly published and mailed in the manner provided by
law, and the official who has been designated as collection officer for cash payments of such
assessments will file with the City Clerk a list of all assessments which remain unpaid following the
expiration of the 30-day cash collection period (the "Cash Collection Period"); and
WHEREAS, the City Council at this time desires to adopt this Resolution to authorize the
issuance of the bonds, which shall be designated "City of Palm Desert, Silver Spur Ranch Utility
Undergrounding Assessment District No. 01-01, Limited Obligation Improvement Bonds, Series
2003" (the "Bonds") and approve the execution and delivery of certain documents in connection
with such issuance; and
WHEREAS, the City anticipates that the Bonds, upon issuance, will be sold to the Palm
Desert Financing Authority (the "Authority") pursuant to a Bond Purchase Agreement, to be
entered into by and between the City and the Authority; and
WHEREAS, it is anticipated that the Authority will issue bonds (the "Authority Bonds")
pursuant to the Marks -Roos Local Bond Pooling Act of 1985, as set forth in Section 6584 et seq.
of the California Government Code; and
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Resolution No. 03-70
WHEREAS, the sale proceeds of the Authority Bonds will be used for the purchase of
the Bonds and other bonds of the City and the Authority Bonds will be secured by payments to
be made on the Bonds and the other bonds of the City so purchased by the Authority;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES
HEREBY RESOLVE, FIND, DECLARE AND ORDER AS FOLLOWS:
Section 1. Recitals. The above recitals, and each of them, are true and correct.
Section 2. Authorization to Issue Bonds. The City Council approves and authorizes
the issuance and sale of the Bonds to represent assessments remaining unpaid at the
expiration of the Cash Collection Period, subject to the parameters set forth herein below.
Section 3. Fiscal Aaent Agreement. The Fiscal Agent Agreement (the "Fiscal Agent
Agreement"), proposed to be entered into by and between the City and the Fiscal Agent (defined
in Section 4 below), in the form presented at this meeting and on file with the City Clerk of the
City (the "City Clerk"), is hereby approved. Subject to Section 6 below, each of the Mayor, the
Mayor Pro Tempore (in the Mayor's absence), any deputy of such officers (each, an "Authorized
Officer"), acting singly, is hereby authorized and directed, for and in the name and on behalf of
the City, to execute and deliver the Fiscal Agent Agreement in substantially said form, with such
additions or changes as the Authorized Officer executing the same may approve (such approval
to be conclusively evidenced by such Authorized Officer's execution and delivery thereof).
Section 4. Appointment of Fiscal Agent. The appointment of BNY Western Trust
Company as fiscal agent (the "Fiscal Agent") under the Fiscal Agent Agreement is hereby
approved.
Section 5. Bond Purchase Agreement. The Bond Purchase Agreement (the
"Purchase Agreement") proposed to be entered into by and between the City and the Authority,
in the form presented at this meeting and on file with the City Clerk, is hereby approved. Each
of the Authorized Officers, acting singly, is hereby authorized and directed, for and in the name
and on behalf of the City, to execute and deliver the Purchase Agreement in substantially said
form, with such additions or changes as the Authorized Officer executing the same may approve
(such approval to be conclusively evidenced by such Authorized Officer's execution and delivery
thereof).
Section 6. Terms of Sale of Bonds. Each of the Authorized Officers, acting singly, is
hereby authorized and directed to act on behalf of the City to establish and determine (i) the
aggregate principal amount of the Bonds, which amount shall not exceed $3,030,000; (ii) the
purchase price of the Bonds and the interest rates thereon, provided that the interest rate shall
not exceed 6.5 percent per annum; (iii) the original purchaser's discount with respect to the
Bonds, which shall not exceed 1.5 percent of the principal amount thereof; and (iv) the final
maturity of the Bonds, which shall not be on a date that is later than 39 years from the second
day of September next succeeding 12 months from the dated date of the Bonds. The
authorization and powers delegated to the Authorized Officers by this Section 6 shall be valid for
'a period of 90 days from the date of adoption of this Resolution.
Section 7. Continuina Disclosure Agreement. The Continuing Disclosure Agreement
(the Continuing Disclosure Agreement") relating to the Authority Bonds, proposed to be entered
into by and among the Authority, the City and MuniFinancial, as Dissemination Agent, in the
form presented at this meeting and on file with the City Clerk, is hereby approved. Each of the
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Resolution No. 03-70
Authorized Officers, acting singly, is hereby authorized and directed, for and in the name and on
behalf of the City, to execute and deliver the Continuing Disclosure Agreement in substantially
said form, with such additions or changes therein as the Authorized Officer executing the same
may approve (such approval to be conclusively evidenced by such Authorized Officer's
execution and delivery thereof).
Section 8. Other Acts. The officers of the City are hereby authorized and directed,
jointly and severally, to do any and all things and to execute and deliver any and all documents
which they may deem necessary or advisable in order to effectuate the purposes of this
Resolution, the Fiscal Agent Agreement, the Purchase Agreement and the Continuing
Disclosure Agreement, and to assist the Authority with respect to the issuance and sale of the
Authority Bonds, and any such actions previously taken by such officers are hereby ratified and
confirmed.
Section 9. Effective Date. This Resolution shall take effect immediately upon
adoption.
APPROVED and ADOPTED this 22nd day of May, 2003, by the following vote to wit:
AYES: CRITES, FERGUSON, BELLY, SPIEGEL, BENSON
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
RAGHELLE D. KLASSEN,CITY CLERK'S
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J N M. BENSON, MAYOR
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