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HomeMy WebLinkAboutReso. 1988-437 - Approving the form of an installment sale agreement for acquisition installation and improvement , 4111 110 . RESOLUTION NO. Ar8-407 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING THE FORM OF AN INSTALLMENT SALE AGREEMENT FOR ACQUISITION, INSTALLATION AND IMPROVEMENT OF THE MUNICIPAL SEWER SYSTEM AND AUTHORIZING THE EXECUTION AND DELIVERY THEREOF; APPROVING THE FORM OF A JOINT EXERCISE OF POWERS AGREEMENT AND AUTHORIZING THE EXECUTION AND DELIVERY THEREOF; AND APPROVING THE ISSUANCE BY THE REDDING JOINT POWERS FINANCING AUTHORITY OF NOT TO EXCEED $24 ,605, 000 AGGREGATE PRINCIPAL AMOUNT OF SEWER REVENUE BONDS, 1989 SERIES A. WHEREAS, Article 1 of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California 1 authorizes and empowers local agencies to form a joint powers authority and Article 4 of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California (the "Marks-Roos Local Bond Pooling Act of 1985" ) authorizes and empowers such an authority to issue bonds for the purpose of financing public capital improvements, working capital, liability and other insurance needs, or projects whenever there are significant public benefits, as determined by the local agency; and WHEREAS, the City of Redding (the "City" ) and the 1 Housing Authority of the City of Redding (the "Housing Authority" ) desire to create and establish, pursuant to the laws of the State of California, the Redding Joint Powers Financing Authority (the "Authority" ) for the purpose of issuing bonds to finance public capital improvements, working capital, liability and other insurance needs or projects, 2405H I ' . including but not limited to the engineering, design, acquisition, installation and improvement of the municipal sewer system of the City (the "Project" ) ; and WHEREAS, there has been presented to this meeting a proposed form of Joint Exercise of Powers Agreement, dated December 6, 1988 (the "Joint Powers Agreement" ) , by and between the City and the Housing Authority, which Joint Powers Agreement creates and establishes the Authority; and WHEREAS, the City has determined that it is desirable and furthers the public purpose and that there are significant public benefits to be derived from securing the assistance of the Authority in financing the Project ( and, to better secure such financing, to provide for the defeasance and retirement of the City' s Sewer Revenues Bonds, Series A, in accordance with the terms and conditions of the documents providing for such financing) in that the City and the Housing Authority will benefit from demonstrable savings in the cost of financing the Project as a result of their participation in the Authority and the issuance of bonds by the Authority pursuant to the Marks-Roos Local Bond Pooling Act of 1985; and WHEREAS, in order to achieve such public purpose, the City desires to approve the Authority' s issuance of not to exceed $24, 605, 000 in aggregate principal amount of the Authority' s Redding Joint Powers Financing Authority Sewer Revenue Bonds, 1989 Series A (the "Bonds" ) ; and 2 2405H-040109-000016-088 11/29/88 I i All ,1 WHEREAS, there has been presented to this meeting a proposed form of Installment Sale Agreement dated as of January 1, 1989 ( the "Agreement" ) , by and between the City and the Authority, pursuant to which the Authority will provide the Project to the City and provide for the defeasance of the Prior Bonds and the City will agree to make payments to the Authority for the purchase of the Project; and WHEREAS, there has been presented to this meeting a proposed form of Letter of Instructions (the "Letter of Instructions" ) , from the City to Bank of America National Trust and Savings Association, as fiscal agent, for the City' s Sewer Revenue Bonds, Series A, pursuant to which the City will provide for the defeasance and retirement of said bonds and thereby enhance the security for and otherwise satisfy the requirements of the terms and conditions of the Agreement; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Redding as follows: Section 1 . The City Council hereby finds and determines that the execution and delivery of the Joint Powers Agreement and the consummation of the transactions contemplated therein shall result in significant public benefits to the City in that the City expects to benefit from demonstrable savings in costs related to financing the Project. Section 2 . The proposed form of Joint Powers Agreement, on file with the City Clerk of the City (the "City Clerk" ) and incorporated by reference as if fully set forth 3 2405H-040109-000016-088 11/29/88 r All .i I . herein, is hereby approved. The Mayor or City Manager is hereby authorized to execute, and the City Clerk is hereby authorized to attest, seal and deliver, the Joint Powers Agreement, in substantially said form with such changes therein as shall be approved by the City Attorney and the Mayor or City Manager executing the same, with such execution to constitute conclusive evidence of such officers ' approval and the City' s approval of any changes or revisions therein from the form of the Joint Powers Agreement on file with the City Clerk. Section 3 . The City hereby approves the issuance of the Bonds by the Authority, in an aggregate principal amount not to exceed $24 ,605 , 000. Section 4. The Agreement, in substantially the form on file with the City Clerk and incorporated by reference as if fully set forth herein, is hereby approved. Section 5 . The Letter of Instructions, in substantially the form on file with the City Clerk and incorporated by reference as if fully set forth herein, is hereby approved. Section 6. This resolution shall take effect immediately upon its adoption. 4 2405H-040109-000016-088 11/29/88 • • • PASSED AND ADOPTED on December 6, 1988, by the following vote: AYES: Buffum, Carter, Dahl , Fulton, & Johannessen NOES: None ABSENT: None 10 N,ayor o' Cthe City of Redding K. Maurice Johannessen [ Seal ] Attest: City Clerk of the City of Redding Ethel A. Nichols 5 2405H-040109-000016-088 11/29/88 • .i CITY CLERK' S CERTIFICATE I , , City Clerk of the City of Redding, do hereby certify as follows : The foregoing resolution is a full, true and correct copy of a resolution duly adopted by a vote of a majority of the members of the City Council of the City of Redding at a regular meeting of said Council duly and regularly and legally held at the City of Redding, California, on December 6, 1988, of which all of such members had due notice, as follows: AYES: NOES: ABSENT: An agenda of said meeting was posted at least 72 hours before said meeting at , Redding, California , a location freely accessible to members of the public, and a brief description of said resolution appeared on said agenda. I have carefully compared the foregoing with the original minutes of said meeting on file and of record in my office, and the foregoing is a full, true and correct copy of the original resolution adopted at said meeting and entered in said minutes. 6 2405H-040109-000016-088 11/29/88 Said resolution has not been amended, modified or rescinded since the date of its adoption and the same is now in full force and effect. Dated: , 1988. City Clerk of the City of Redding [ Seal ] II Ii I 7 2405H-040109-000016-088 11/29/88