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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 G:\Finance\Niamh Ortega\Staff fteports\RES-Agency Resolution (AB 811 Bonds �I) 082709.docx 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 2 G:\Finance\Niamh ORega\Staff Reports\RES-Agency Resolution (AB 811 Bonds II) 082709.docx 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. W:1Agenda Items�2009-08-27W6811�AGMT - Bond Purchase Agreement (AB 811 Series 20096) 082709.docx 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 W:�Agenda Items�2009-08-27�A6811 �AGMT - Bond Purchase Agreement (AB 811 Series 2009B) 082709.docx 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 W:Wgenda Items�2009-08-27W6811�AGMT - Bond Purchase Agreement (AB 811 Series 20096) 082709.docx 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 W:Wgenda Items�2009-08-27�A6811 WGMT - Bond Purchase Agreement (AB 811 Series 20096) 082709.docx 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 $ � � $ $ W:�Agenda Items\2009-08-27�A6811 WGMT - Bond Purchase Agreement (AB 811 Series 20096) 082709.docx 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 W:�Agenda Items�2009-08-27W6811 WGMT - Bond Purchase Agreement (AB 811 Series 20096) 082709.docx 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