RES FA-03RESOLUTION NO. FA-3
A RESOLUTION OF THE PALM DESERT FINANCING
AUTHORITY APPROVING A BOND PURCHASE AGREEMENT
AMONG THE AUTHORITY, THE PALM DESERT
REDEVELOPMENT AGENCY AND MILLER 8 SCHROEDER
FINANCIAL, INC.
RECITALS:
A. By adding the provisions of Article 4 to the Joint
Exercise of Powers Act, California Government Code Section 6584,
et seq., the State Legislature has provided assistance to reduce
local borrowing costs, to help accelerate the construction,
repair, and maintenance of public capital improvements, and to
promote greater use of existing and new financial instruments and
mechanisms.
B. There is a need within the City, consistent with
the need described in the declarations of the State Legislature
set forth in such Article 4, to expand, upgrade, and otherwise
improve the public capital facilities of local government
necessary to support the rehabilitation and construction of
residential and economic development. The needs of local
government for financing these facilities greatly exceed the
amount of funds available from existing state, local, and federal
sources.
C. Pursuant to such Article 4, an authority created
pursuant to Article 1 of the Joint Powers Act may purchase Bonds
issued by any Local Agency (such as the Palm Desert Redevelopment
Agency) at a public or private sale and such Bonds may be held by
the authority or sold to public or private purchasers at public
or negotiated sales.
D. The Palm Desert Redevelopment Agency proposes to
issue and sell its Palm Desert Redevelopment Agency, Project Area
No. 1, as Amended (Added Territory Only), Subordinate Tax
Allocation Bonds, Issue of 1989, pursuant to a Resolution of the
Agency, and pursuant to a Bond Purchase Agreement attached to
such Resolution as an Exhibit, copies of which have been
presented to the Authority Commission at this meeting and which
are now on file in the office of the Executive Director of the
Agency.
NOW, THEREFORE, THE PALM DESERT FINANCING AUTHORITY
HEREBY FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. The purchase of the Bonds described in
Paragraph D of the Recitals hereof from the Palm Desert
Redevelopment Agency and the sale thereof to Miller 8 Schroeder
RESOLUTION NO. FA-3
Financial, Inc., all pursuant to the Resolution and Bond Purchase
Agreement described in such Paragraph D, is hereby approved, the
Chief Administrative Officer or any other officer of the
Authority is hereby authorized and directed to execute such Bond
Purchase Agreement for and on behalf of the Authority and to
approve modifications thereto as recommended by the Financial
Advisor and Bond Counsel to the Agency, and the signature of the
Chief Administrative Officer thereon shall be conclusive evidence
of such approval, provided that (i) the Maximum Annual Debt
Service on the Bonds does not exceed $610,000, (ii) the term of
the Bonds is not less than 20 years, but the term thereof does
not extend beyond July 1, 2012, and (iii) the purchase price of
the Bonds is not less than 97.50 percent of the par value of the
Bonds, if Bond Insurance is provided, and not less than 97
percent of such par value if no Bond Insurance is provided.
PASSED, APPROVED AND ADOPTED this 27th day of April,
1989.
AYES: KELLY, SNYDER, WILSON
NOES: NONE
ABSENT: BENSON
ABSTAIN: CRITES
A:TEST:
SHEILA R. GILLL,IGAN, SEC ETARY