HomeMy WebLinkAboutRDA RES 562RESOLUTION N0.562
A RESOLUTION OF THE PALM DESERT REDEVELOPMENT AGENCY
AUTHORIZING THE AGENCY'S INVESTMENT IN AND PURCHASE OF
THE CITY OF PALM DESERT'S ENERGY INDEPENDENCE
PROGRAM, LIMITED OBLIGATION IMPROVEMENT BONDS, SERIES
2009B (TAXABLE), APPROVING AS TO FORM AND AUTHORIZING
THE EXECUTION AND DELIVERY OF A BOND PURCHASE
AGREEMENT IN CONNECTION THEREWITH, AND AUTHORIZING
CERTAIN OTHER MATTERS RELATING THERETO
RECITALS:
WHEREAS, the City of Palm Desert (the "City") proposes to sell and issue
its Energy Independence Program, Limited Obligation Improvement Bonds, Series
2009B (Taxable) (the "Bonds") in aggregate initial principal amount not to exceed
$1,500,000, on a private placement basis; and
WHEREAS, the Board (the "Agency Board") of the Palm Desert
Redevelopment Agency (the "Agency") desires to provide authority for the Agency to
invest in and purchase the Bonds from the City and to approve the form of, and
authorize the execution and delivery of a bond purchase agreement ("Purchase
AgreemenY') which is file in the office of the Secretary of the Agency;
NOW, THEREFORE, THE PALM DESERT REDEVELOPMENT AGENCY
DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS:
Section 1. Recitals. The above recitals, and each of them, are true and
correct.
Section 2. Findinqs; Specific Investment Authorization. The Agency
Board hereby finds and determines that the Agency's investment in, and purchase of, a
portion or all of the Bonds, subject to the terms and conditions set forth in this
Resolution, are prudent under the general economic conditions and the anticipated
needs of the Agency. In accordance with Government Code Section 53601, the Agency
Board hereby grants express authority for the Agency to invest in the Bonds, including
but not limited to those Bonds with a term remaining to maturity in excess of 5 years.
Section 3. Purchase Agreement. T
be entered into between the Agency and the City,
and the purchase of a po�tion or all of the Bonds
conditions set forth therein, are hereby approved.
below, each of the Chairman and the Executive
"Authorized Officer"), acting singly, is authorized <
on behalf of the Agency, to execute and c
substantially said form, with such changes there
may require or approve, including such matters �
he Purchase Agreement proposed to
in the form on file with the Secretary,
pursuant thereto upon the terms and
Subject to the provisions of Section 4
Director, or their designee (each, an
�nd directed, for and in the name and
eliver the Purchase Agreement in
in as the officer executing the same
s are authorized by Section 4 hereof
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Resolution No. 562 ._
(such approval to be conclusively evidenced by such Authorized Officer's execution and
delivery thereofl.
Section 4. Terms of Purchase of Bonds. Each Authorized Officer, acting
singly, is hereby authorized and directed to act on behalf of the Agency to establish and
determine (i) the aggregate principal amount of the Bonds to be purchased by the
Agency, which amount shall not exceed $[1,500,000]; and (ii) the interest rates on the
Bonds to be purchased by the Agency, provided that the true interest cost shall be at
least [2.5] percent.
Section 5. Other Acts. The Authorized Officers and all other officers of
the Agency 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 and the
Purchase Agreement, including but not limited to a certificate, investor letter, or such
other document certifying as to the Agency's qualifications as a purchaser of the Bonds,
as appropriate, and any such actions previously taken by such o�cers are hereby
ratified and confirmed.
Section 6. Effective Date. This Resolution shall take effect immediately
upon adoption.
APPROVED and ADOPTED this 27th day of August, 2009 by the
following vote to wit:
AYES: BExsoN, FERGUSON, FINERTY, KELLY, and SPIEGEL
NOES: NoxE
ABSENT: Nor�
ABSTAIN: Nor�
I � ' "/� _ ��" i.
.�. . . . � ; . .
ATTEST:
ftACHELLE D. KLASSE . SECRETARY
FALM DESF.RT REDEVELOPMENT AGENCY
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RESOLUTION N0. 562
BOND PURCHASE AGREEMENT
$[principal amount)
City of Palm Desert
Energy Independence Program
Limited Obligation Improvement Bond
Series 20096 (Taxable)
This Bond Purchase Agreement (this "Agreement") is made and entered
into as of [date of preclosing), 2009, by and between the PALM DESERT
REDEVELOPMENT AGENCY, a public body, corporate and politic, duly organized and
validly existing under the laws of the State of California (the "Agency") and the CITY OF
PALM DESERT, a municipal corporation duly organized and existing under and by
virtue of the Constitution and the laws of the State of California (the "City").
Recitals
A. The City Council of the City of Palm Desert, Califarnia (the "City")
by its Resolution No. 08-75 established the City of Palm Desert Energy Independence
Program (the "EIP") to finance the acquisition and construction or installation of
distributed generation renewable energy sources and energy efficiency improvements
(the "Improvements") on properties in the City through the use of contractual
assessments pursuant to Chapter 29 of Part 3 of Division 7 of the California Streets and
Highways Code (the "Act").
B. The City Council of the City has determined to issue its Energy
Independence Program Limited Obligation Improvement Bond, Series 2009B (Taxable),
in a principal amount not to exceed $[principal amount] (the "Bond") pursuant to its
Resolution entitled "A Resolution of the City Council of the City of Palm Desert
Providing for the Issuance and Sale of Limited Obligation Improvement Bonds in
Principal Amount Not to Exceed (One Million Five Hundred Thousand] Dollars
($[1,500,000]), Approving as to Fo�m and Authorizing the Execution and Delivery of a
Bond Purchase Agreement in Connection Therewith, and Authorizing Certain Other
Matters Relating Thereto" (the "City Resolution").
C. The Agency is a redevelopment agency, a public body, corporate
and politic, duly created, established and authorized to transact business and exercise
its powers, all under and pursuant to the Community Redevelopment Law of the State
of California, being Part 1 of Division 24 (commencing with Section 33000) of the
California Health and Safety Code, as amended, and the powers of the Agency include
the power to invest any money not required for immediate disbursement in the bonds of
any city.
D. The City has determined to sell, and the Agency has determined to
invest in and purchase, the Bond pursuant to the terms of this Agreement.
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RESOLUTION N0. 562
E. All acts and proceedings required by law necessary to make this
Agreement, when executed by the Agency and the City, the valid, binding and legal
obligation of the Agency and the City, and to constitute this Agreement a valid and
binding agreement for the uses and purposes herein set forth in accordance with its
terms, have been done and taken, and the execution and delivery of this Agreement
have been in all respects duly authorized.
NOW, THEREFORE, in consideration of the premises and the mutual
agreements herein contained, the parties hereto do hereby agree as follows:
Section 1. Definitions. Unless the context clearly requires or unless
otherwise defined herein, the capitalized terms in this Agreement shall have the
respective meanings which such terms are given in the City Resolution.
Section 2. Purchase of the Bond. Upon the terms and conditions herein set
forth, the Agency hereby agrees to purchase, and the City hereby agrees to sell,
execute and deliver the Bond to the Agency. The purchase price to be paid by the
Agency for the Bond shall be the par value thereof.
Section 3. The Bond. The Bond will be delivered in definitive, fully
registered form, registered in the name of the Agency and may be typewritten. The
Bond shall be dated the Closing Date (defined below), shall mature on [September 2,
2030], and bear interest at % per annum. Interest on the Bond shall be payable on
March 2 and September 2 of each year, commencing [March 2, 2010], and the debt
service schedule with respect to the Bond shall be as set forth on Exhibit A to this
Agreement.
Section 4. Closinq. At 9:00 A.M., California time, on , 2009, or at such
other time or date as shall have been mutually agreed upon by the City and the Agency
(the "Closing Date"), the City will, subject to the terms and conditions hereof, deliver to
the Agency, at the office of the Treasurer in City of Palm Desert, California, the Bond in
fully registered form, duly executed and registered; and, subject to the terms and
conditions hereof, the Agency will accept such delivery and cause the purchase price of
the Bond to be paid by check or draft or by interfund transfer, as the case may be.
Section 5. Representations of the Agency — Suitabilitv for Private
Placement. The Agency represents, warrants and agrees as follows:
a) The Agency has received and reviewed copies of the City
Resolution. The Agency understands that (i) the Bond is a limited obligation of the City
secured by and payable solely from Assessment Revenues (as defined in the City
Resolution), (ii) no other fund or property of the City is liable for the payment of the
Bond, (iii) none of the payment obligations with respect to the Bond are secured by a
pledge of any money received or to be received from taxation by the City or any political
subdivision thereof, other than the Assessment Revenues, and (iv) there is no reserve
fund for the Bond.
2
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RESOLUTION N0. 562
b) The Agency has su�cient knowledge and experience in financial
r and business matters, including in the purchase and ownership of municipal obligations
of a nature similar to the Bond, to be able to evaluate the risks and merits of investing in
the Bond.
c) The Agency acknowledges that the City has not prepared any
offering document with respect to the Bond. The Agency, as a sophisticated investor,
has made its own credit inquiry and analyses with respect to the Bond. The Agency has
assumed the responsibility for obtaining and making such review as the Agency has
deemed necessary or desirable in connection with the Agency's decision to invest in the
Bond. The Agency's decision to invest in the Bond did not rely on any information
provided by the City (or any representatives or agents of the City) that is not in written
form.
d) The Agency has duly determined that (i) the Agency is legally
authorized to purchase the Bond, and (ii) the Bond is a lawful investment for the Agency
under all applicable laws.
e) The Agency understands that (i) the Bond has not been registered
with any federal or state securities agency or commission or otherwise qualified for sale
under the "Blue Sky" laws or regulations of any state, (ii) will not be listed on any
securities exchange, (iii) will not carry a rating from any rating service, and (iv) may not
be readily marketable.
� The Agency is investing in the Bond for its own account, and at the
time of its purchase of the Bond, does not intend to distribute, resell or otherwise
dispose of the Bond.
g) The Agency agrees that, in the event that the Agency decides to
self or otherwise transfer the Bond, it shall require the new transferee to deliver to the
City Treasurer the letter required by the City Resolution as a condition precedent to the
consummation of such transfer.
Section 6. Condition of Closinq. The City's obligation to sell the Bond is
conditioned upon the Agency's defivery to the City, on or prior to the Closing Date, of a
certificate, dated the Closing Date, signed by a duly authorized official of the Agency in
form and substance satisfactory to the City and Richards, Watson & Gershon, A
Professional Corporation, as bond counsel with respect to the Bond, to the effect that
the representations and warranties of the Agency contained herein are true and correct
as of the Closing Date.
Section 7. Termination. If the conditions to the City's obligations contained
in this Agreement cannot be satisfied at or prior to the Closing Date, this Agreement
may be canceled by the City. The City shall give notice of such cancellation to the
Agency in writing. Upon any such termination, neither the City nor the Agency shall be
under any further obligation hereunder.
3
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RESOLUTION N0. 562
Section 8. Parties in Interest. This Agreement shall constitute the entire
agreement befinreen the Agency and the City and is made solely for the benefit of the
Agency and the City (including their successors or assigns). No other person shall
acquire or have any right hereunder or by virtue hereof.
Section 9. Governing Law. This Agreement shall be construed and
governed in accordance with the laws of the State of California.
IN WITNESS WHEREOF, the CITY OF PALM DESERT and the PALM
DESERT REDEVELOPMENT AGENCY have each caused this Agreement to be signed
in its name by its duly authorized officer, all as of the day and year first above written.
CITY OF PALM DESERT
:
Robert A. Spiegel, Mayor
PALM DESERT REDEVELOPMENT AGENCY
:
John M. Wohlmuth
Executive Director
4
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RESOLUTION N0. 562
EXHIBIT A
DEBT SERVICE SCHEDULE
CITY OF PALM DESERT
ENERGYINDEPENDENCE
LIMITED OBLIGATION IMPROVEMENT BOND
SERIES 20096 (TAXABLE)
True Interest Cost: %
Payment Date
Total:
Principal
Payment
$
Interest
Payment Total
$
�
�
$
$
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RESOLUTION N0. 562
SCHEDULE OF SINKING FUND PAYMENTS
SERIES 2009B BOND MATURING SEPTEMBER 2, 2030
Redemption Date
(September 2) Principal Amount
2010 $
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030 (maturity)
2
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RESOLUTION N0. 562
E�iI{IE�I'1' B
CO`"I'R:�C1'L'AL :�SSESS�IE\T .aGREE�IEtiTS
S 1 136.?UO_OU
City uf P.ilm 1)es�rt
f:ncr�y Ind�pen�l�nc� I'ros;lam
Liii�itcd Obligation Improvcment Bonds
Srries ?0098 (Taxabfe)
- -- --------
i Date of Contractual i Oricinal Principal '
_\c�. 1_ Addre�5 of Pro�rty___ ___ _ ;���s�ssment ��reement Amount Funded �
_ ._ _..__ ._ - ------- -- -- --,-. � ' —.
73765 Fred Warin Dr � � � �'
_I ._ : 9 6; _f�, 09 � l 6,183.30 ;
_ . . .. _. - --• ,
? 42780 Edessa St. �---- — 5: 29; 09 ' 1 1.97U.00 '
;.. -__ -�-----------
_ . _—_-- ------
3. � 77515 Marlowe Court !
-- ___. . - -- �-----.-..._.___-__ ---- --- - --
' G,`19;09 �8,527.00 I
�..}_ 303 Avenida del Sol �� 5,`22;09 i 13,572.00 �
'�j, ! 291 Eagle Dance Circle 4�24�09 � 26,832.00
. _.. --r ---- - ----- ------ `09 __� 44.235.04
(�, ; 74059 Scholar Lane West i 5; 15�
!? ; 74030 Ef Cortez Way 3!?Oi09 I 58,585.00 �
` � 73498 Joshua Tree St. c
8. � 5�29�'09 6,)�3.OQ
F-- - , ---- — - --r - - -..----
� y. 42327 Liolios Dr. i �i22rQ9 ; 7,OSU.00 ;
__ _ .. ._ . - - - -- --- --.._ ._. _...- ----------
�O, i 132 Courtside Dr�ve ; 4�24;09 ' 16,709.00 i
-- ------- - __. _ .. _.._...._,.----------- --- -- --- ...-----_- �----- ---- --- ---.�_..._._...-- - --,
( 1, 75147 La Sierra ; 6; f�)�U9 16,�99.U0 ,
_ ... ._. _. . _ - - -------- . __. _ _._._ _.--
��. , 44889 San Antonio Circfe j- 5/1109 29,727.00 '
� 3, � 40554 Eastwood Ln � Si29.�09 � 22,604.00 j
- -? ----- - -------- a
�► �. ; _ 248 Corte Sole � __ 5!8/09 �_ � 9,826.00
^ 1 i. � 77669 Ashberry Court 3r 13%09 34,386.00
I fi. ; 73005 Haystack 4/24/09 59,900A0 �
� 7. ' 39475 Moronga Cayon Dr. , 5/8i09 I. 10 076.00
g-�---- 46177 Hwy 74 #12 i 4; 24i09 I 12.200.0O
_ ---< -- -- ------- - '
_------r------
j y. 74578 Lavender Way :�: �.�, py ; ?9,893.00
_ . _ . _ - - - - ..._ _ .... _. . _ ... ---- - --- - - ------- ,
?p, 74355 Covered bVagon Trail j; $; pg � -�d,y50.0U �
_ - - � -- -- -- -- -- -- ------- ----- ---- _ ------ _.-._�-.
' I . 72950 Deer Grass Dr ---- - -r-------� -- ----�
. _.. _ .. __.._ __ ----..._...-- --------- —
�;29;Uy � 12,�00.00 ,
�? ' 73364 GoldflowerSt. 6%19;09 —i� 11.785.00 !
__. :
_ —_____ __--- -- -- � ---- - ------- --------.a
?3. ; 130 Menil Place � 5;29i09 � 3?,07�.00 �
, �
_. -•-- - - ----- -...--- --- - ------ --��-----
?:}. ; 38867 Wisteria Drive ! 4;Z�;p9 i__ 12,900.QU �
�S, � 42815 Warner Trial S�29i09 � 14,?O8.�0 1
.__- -r- _ .-- - -------- ------- ----r------ `
�(,. 38732 Wisteria Drive ! �3�?.�;'09 --� 19,�i00.00 1
� ---•-- --..._...._..__.._..----------
------- --�- - ---�--..- -- -------- - ;
�, 42680 Kansas St. 5�29,09 � 1 1.617.OU �
- _ . _. ... . __ . . - - - ------ ---- ---�
. _��� -- - - - - - 73478 Shadcw tittn Dr 5 ?�) 09 3.350.00
__ ... . . . _ _ _ .._ __ .. _._._.._.__ _ ._..._... - _._. _ .__. ..------ -- -._- ----a
�y_ _ 12 Lost River Dr. i.?? �Oq l(�.00O.pp
. _ ._. ..__. . __..... __.___-.. '-._..__ .-._._.'__......-.. ...__.._...._. ....-..._ _. .._ .-..__-..._ _-..._.... _...___-._-_..._ ._-_.-_y
_�i). 72985 Homestead Rd j;?y.-Oy ��,�jO.�)p �
___... -- - - - - -- - ------ -- -__ -__...--------- ----- i
3 I. 38582 Chaparrosa Way � �};3;'py 7,y�i7.�)p
- - ---- -- --..------- ---�--
- , -- -- -- ---_-. _ � ,_--.._. _�
�?. 77745 Delaware Place -{; 1O.%09 � �) yOO.�)0
RESOLUTION N0. 562
___._ _ _ .. ... . ... -- --- -- -- . . . . _.--- ------- -- T
_ __- ------ -�
� 3 73734 ;,'A BuckBoard Trail i,?y Qy ' �i?? l.00
--..-. . - --- -� - --� -1------
... . . .. . _. . . . - --� --_.. ..._._ ._ _-_ .... -- ---�- - -- ��- - � --. ..--. .. ---.._ _-_ .... .
�,� �� 73580 Cabazon Peak Dr�ve -}, 3. Oy I 5,7>>.00 i
_ � - - -- -- ---- ---- - . . ._ . . .. . .. . - � --- -- - -- -----r---- ------_ ... _ .�
_Z �. _ r_ -- - 72701 Naystack Rd. , �j: ?.}; 09 ; 5-�,360.00 •
_ .. . ._. .. ___,..- -- - - -- - ---------- ---�
-- -. .._.. . -- -----�--
Z�,. 73805 Flagstone Lane 7;31;'Qy � S?,199.OU '
-- ---- • -------- ------- -- -..._._...- - --- -----
3; 29 Covington Drive 7,"31�Oy � �O,7�3.00 j
_�__ _-------- - -- -- -- '
;;g. 44850 San Pablo Ave. 7;"10�09 i 23,2�8.00 �
-=- ------ --------- - - ---a
�y 73055 Shadow Mountain Drive 7:'IU:09 � 1?,653.00
.}�� 45755 Juniper Circle t#512 ^ � �:`? �,09 19,g66.00 ?
----.. . ___..- -_.. ---- ---- ..
_. -- -- ----- -- �---------....__._._�
��� 70738 New York Avenue $;? ; p) 12,150.U0 �
___.._.. . _ _. ..__ ..... _. __..
---.._..-�-----.__.. __ _ __..._ _-_�
,.}� 4C580 Posada Ct. �: 2 i. U�) ' 15,�78.00 i
- _... _ . _ _. . _. _ --- - -. _ _ _ - - - . - - --- --- - r- --- -
_,_._ ._
�} 3, 48270 Silverspur Tna! g,? 1 U9 , $3,�62.00 I
- � _ -_ --- ---- ------- -- — --- �._--
�}.�. , 69 Tempe Trail , g; � �; ()y I �}�},9�}Q.pp
'� --- r--------- --- - — -- --- _ _� --- �
�,��. ; 73441 Tamarisk Street 8;21;09 11,553.00
i �6--�. --- Rounding __ .-__� -- - (0.34) -
� � i
' �i. � i �
~- -- --- -- - --_----__---- Total 1� unded: � � �.13b,200.00 _
[additional ro«s to be added as i�eccs,ary�J