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Home My WebLink AboutReso 98-106 - Awarded the Sale of Bonds (Teton Drive Street Assessment Dist No. 1998-1) . . � � � RESOLUTION NO. � �- � RESOLUTION AWARDING THE SALE OF BONDS (Teton Drive Street Assessment District No. 1998-1) The City Council of the City of Redding resolves : On this same date, this City Council has adopted its resolution providing for the issuance of City of Redding, Limited Obligation Improvement Bonds, Teton Drive Street Assessment District No. 1998-1 (the "Bonds" ) . This City Council hereby accepts the offer of M.L. Stern and Co. , Inc . (attached to this resolution and by reference incorporated in it) to purchase all of the Bonds . This City Council directs the sale and delivery of the Bonds to M.L. Stern and Co. , Inc . , in accordance with the terms and conditions stated in the offer. * * * I HEREBY CERTIFY that the foregoing resolution was duly and regularly adopted by the City Council of the City of Redding, Shasta County, California, at a regular meeting thereof, held on the 7th day of July, 1998 . AYES : Councilmember's Anderson, Cibula, Kight and McGeorge NOES : Councilmembers Kehoe ABSENT: Councilmembers None CONNIE STROHMAYER, City Clerk, City of Redding, Shasta County, California .�,� � 1 By , � � DOCSSF1:48502.1 40109-29-4,54 � � � �� 213-658-4477 M L STERN 395 P02 JUL 09 '98 10:�6 60ND PURCHASE AGREEMEIYT ' 3uty 9, 1998 City Caun�cil City of Redding '160 Parkview A►venue Redding,CA 96001 Deat'Couricil M6mbers, For not to exceed$425,000.00 par value legally issued Limited Obligativn Improvemvnt Bond9, City of Redding, Teton Drive Street Assessment District No. 1998-1, dated July 22, 1998, and maturing serially �rpm September 2, 1999, tq 3eptember Z, 20l 8, inclusivc, subjcct to all of the terms and canditions following, we will pay ninety-eight �erc�nt (98.Q0%) of the par value thcreof with acaxued interest to the date of delivcry, if any, for bonds bearing intcrest at the rates and maturing ia the amounts shown ia Exhibit A herewith attached and considered a part of this AurchasC Gantract. Said bonds shalt be in thc denvminations of$1,000 or integrai multiples thereof. This bid is mado fpr acceptance by the City of Redding on July 9, 1998, and is subject to tbe unqualifi�d approving legal opininn of Omck, Henington 8c Sutclif�'c LLP, to be furnished to us at your expense. Said legal opinion is to be printed on the bonds at your expense. 7he bonds shall be book entry only. Aeliv�ry of these bonds is to be rnade to the Depository Trust Company on or about July 2Z, 1998. If the bonds are not tend�red for delivery to the Depositvry Trust Company accompanied by said $pproving legal opiaion by July 22, 199g, we shall have the ri�ht,at our option,to cancei tl�is Bond Purchase Agrecment. However,by mutual agrcement,the time for delivery may be extended. ..�Al..4».f.v._-e�r,»� A..,..�O�DO �1J VJ�.1 "�`-�i i i i L J 1 L�'.�� JJJ rIJJ J VL t.1J �JU LCJ•JG . � .. ` • � City of Reddin$ Page Two �uly 9, 1998 This bid is �lso made subject to the foUowing tetms and conditions; A) The bnnds to be sold will be secured by unpaid assessments levied upon private property • within said Ass�ssment District, and author�zed by proceedings taken pursuant to the Municipal Improvement Act of 1913 (Div;sion 12 af the Streets and Highways Code of th� Stat� of California), and are to be issucd pursuant tv the provisio�s of ihe Impravement Bond Act of 1915 (Division 10 of said Code), Proceeds hom ttie sale of the bonds will be used to pay the costs of'the Imprvvement Project as�authorized by said proceedings. B)Any bvnd may be redeemed on any M$rch 2, or September 2, ptior to its fixed maturity date, at tha option of the City Treasurer, upon giving 30 days privr nntice, and upon the payment nf the prineipal amount thereof and interest accrued thereon to th� date of redemption, �lus a redemptiqn premium of th�ree percent(3.00%) of the�rincipal amourit thereof. C) No later than October I in any year, the City shall file an action in the Superior Court to foreclose the lien vf each delinquent ass�.ssment if the sum of ancured assessment delinquencies fvr the preceding �scal year cxceeds five petcent (S%) of the assessmcnt iristallments postcd to the tax ro11 for that fi9cal year, and if the amount of the special reserve fiuid is less than the Reserve Requirement. 17) A Spcc�al Reserve Fund wilJ be created to pravide availablc funds from whicb the City of Redding c,att advance and make payment on the amount of any deliaquent assessments levied for these proceedin�s, Payments from tha Reserve Fund shall be an �dvance to be reimbursed from the procecds of redcmption or sale of the properties with respect to which payment has been made. The Speoial Reserve Account shall b� maintained as a separate truat a�count distinct from atl other funds of thc City af Redding. The Special Rescrve Fund �hall be in an amount equal to tha "Tnitial Rcscrve Requirement" from the proceeds of the s�le of the Bvnds. The Initial Reserve Requirement shall be in an amount equat to the lesse�of(a)ten percent (10%) of the procecds vf the issue, (b) maximum annual debt service on the Bonds, or (c) one hundred � twenty-five percent (12S°i6) of average annugl debt service ott the BOnds. The Special Reserve �und shall be admYnist�red and payments shall be made, all as atrthoriaed under the pravisions of � the Impravement Band Act of 19I 5. E) If a delinquency occurs in the payment of any assessment installment, the City of Redding will have a duty only to tr�nsfer into tbe Redempdon Fund the amount of the delinquency out of the Reserve Fund. This duty on the part of thc City of Reddi�g sh�ail be continuous during thc period of the delinquency, only to the e�tent of funds available from the Reserve Fund, ur�til reinstat�ment, redemption,or sale of the delinquant property. F) At the time of payment for �nd delivery of the bonds, the City of Redding will furnish a certificate that there is no liti tion threatened or E Ba pending affecting the �validity of ih� bonds vr the legality of the assessment. � �O'd £6L9 d9S 9i6 -;apoA L�E>! b�ST = Ot 8fi-60- L►'�C . i . . � � City of Redding Page Three July 9, 1998 G) There sball be nv bvnds issued secured by unpa,id assessments levied upan �y lot or pnr�cel of land belonging to the United Statcs� or to the Stata af Califomia, or to any county, city� public agency mandatory of ihe governmsnt, scbool bqard, educational, penal, psychiatric care or • refarm institutivn, whether such lot ar pgrcel of l�nd is iz� use in the performance of any public funation. I) We �stimate the total interest cost, inciuding discount, to be $2$9,824.06, reffecting a hve interest cost of 5.7239%. 7"his proposal is submitted in duplicatc, one copy of which is to be offieially signed artd returned to us. Very truly ypurs, ML. RN 8t C0. TNC. au H. White Executive vice President :,, The foregoing proposal is hereby accepted on behalf of the City vf Redding. DATE �/9� AUTHORI2�D S��NATURE avid A. hoe, Mayor ATTEST: I < `�� . ��jU�'��9 ,,�\ - �V I�pCCkJ� CONNIL STROH YER, City Clerk s': b0'd £SL9 L95 9Y6 .•��po� Lag>I l�SZ =Oi g6-60- �n[+ , � , EXHIBIT A C�"I'Y OF REDD�iG,CALIFORN�A I'ETON ��VE ST�tEET ASS�SSMENT xDISTRICT NO. !99&1 �LY $��! �t�� v9iov� $�o,000 a.zoa�a . - 09/OZ100 14,000 4.400 o9�ovo1 ta,000 a.soo o9iovaz �s,000 4.600 09/02/03 ts,000 a.�oo 09/OZ/04 Ib,000 4.$00 09/02/OS 17,000 4.900 09/02/06 18,000 5.000 09/07J07 19,000 S.100 09/0?J08 20.000 5.200 09/Ox/09 21,000 S.3Q0 09/0Z/10 22.000 5.400 09/OZ/ll 23,000 3.500 09/02/12 24,000 5.550 09/02/a3 26,000 � 5.600 09/02/l4 27,000 3.650 09/02/l S 28,000 5.7Q0 09/OZJl6 30,000 5,750 09/OZ/17 32,000 5.800 09/OZ/18 34,000 5.800 $4Z�,000 Exhibit A is hereby accepted on behalf of the�ity of Redding. DATE �/� AUTHOR�ZED SIGNATURE avi . oe, ay r So'd E6L9 L95 9Z6 -�apo� L-'►B�I H9� �OZ SS-6U-L�C`