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HomeMy WebLinkAboutReso. 1985 - 056 - Resolution ordering change of proceddings without notice of hearing westwood manor water assessment district no. 1982-9 1 RESOLUTION NO. F5--,5-(.. RESOLUTION ORDERING CHANGE OF PROCEEDINGS WITHOUT NOTICE OR HEARING WESTWOOD MANOR WATER ASSESSMENT DISTRICT NO. 1982-9 The City Council of the City of Redding resolves: Section 1. RECITALS . On the advice of Special Bond Counsel, Sturgis, Ness, Brunsell & Sperry, and with the express consent of Robert M. Gore and Richard L. Gore, and acting pursuant to Section 10352 of the California Streets and Highways Code, this Council hereby directs that all necessary and appropriate steps be taken to rescind and cancel the previous issuance and delivery of improvement bonds in these proceedings pursuant to the Improvement Act of 1911 and to issue and deliver in exchange for said 1911 Act bonds the improvement bonds to be issued under the provisions of the Improvement Bond Act of 1915 . Section 2 . In accordance with the instructions provided to Special Bond Counsel by letter of February 5 , 1985 , from W. Leonard Wingate , Legal Counsel to Robert M. Gore and Richard L. Gore, the subject 1915 Act bonds shall be issued as two separate bonds in equal principal amounts, one to Robert M. Gore and the other to Richard L. Gore, with joint ownership in the odd bond. Said bonds shall be issued as fully registered; bonds bearing the special legend condition provided by Mr . Wingate as follows: "This bond is transferable to the heirs or devisees of the registered certificate holder only. " It is expressly acknowledged, however , that the. imposition of (61 ORIG AL 411 said legend condition is provided upon the instructions of the Gores as an accommodation to them, and each of them, and at the request of either of them, the registrar and transfer agent for the subject 1915 Act bonds will issue an appropriate bond or bonds to either bond holder or to the authorized transferees and assigns of either bond holder without such legend condition, provided that the Gores or their respective transferees and assigns shall bear the cost and expense of preparing new bonds without the legend condition. Section 3 . The previous resolutions in these proceedings leading to issuance and delivery of the 1911 Act bonds , and specifically Resolution Nos . 84-222 and 84-242 are hereby rescinded, so that the issuance and delivery of the 1915 Act bonds shall be covered by the provisions in this resolution. Section 4 . ISSUANCE OF BONDS . The City Council hereby authorizes the issuance of improvement bonds under the provisions of the Improvement Bond Act of 1915 to represent unpaid assessments . The bonds shall be designated, "Improvement Bonds , Westwood Manor Water Assessment District No. 1982-9 , City of Redding, Shasta County, California, Series No. 1982-9 ." Bonds shall be issued in denominations of $500 or integral multiples thereof , and shall be dated October 15, 1984 . Bonds shall mature and shall bear interest at the rates set forth in the table attached as Exhibit A. Section 5 . APPOINTMENT OF PAYING AGENT, REGISTRAR AND TRANSFER AGENT . The City Council hereby appoints Jacque Williams , Shasta County Treasurer , as paying agent, registrar 2 • r and transfer agent for the bonds. Pursuant to the provisions of Section 8682 . 1, this Council hereby finds and determines that the pro rata share of the annual expenses of the City in connection with the registration of the subject bonds will be $1. 50 per parcel within the assessment district for which annual installments are being collected on the secured real property tax roll. Accordingly, the Council hereby authorizes and directs that said pro rata share of $1. 50 be added to the installments otherwise being collected on said tax roll for each such parcel, and the auditor' s record created by Special Bond Counsel to facilitate such billing shall include said amount. Section 6 . FORM AND EXECUTION . Bonds shall be issued as fully registered bonds in the form set forth as Exhibit B to this resolution. The bonds shall be signed by the City Treasurer and the City Clerk and the seal of the City shall be affixed. Both signatures and seal may be reproduced on the bonds by facsimile, but upon its registration or reregistration each bond shall be authenticated by the manual signature of the registrar . The paying agent shall assign to each bond authenticated and registered by it a distinctive letter , or number, or letter and number , and shall maintain a record thereof which shall be available to the City for inspection. Section 7 . ESTABLISHMENT OF SPECIAL FUNDS . For administering the proceeds of the sale of bonds and payment of interest and principal on the bonds , there have been established two funds known as the improvement fund and the redemption fund , 3 411 011 respectively, for Westwood Manor Water Assessment District No. 1982-9 , City of Redding , Shasta County, California. Section 7 . 1. IMPROVEMENT FUND . Proceeds of the sale of the bonds , together with all amounts paid on the assessments prior to bond issuance , were deposited in the improvement fund to be maintained by the City Treasurer . Disbursements from the improvement fund are to be made by the City Treasurer in accordance with the budget of estimated costs and expenses set forth in the engineer ' s report heretofore approved by the Council , which report and budget are subject to modification by the Council from time to time as prescribed by the Act. Section 7 . 2. REDEMPTION FUND. The redemption fund shall be maintained by the City Treasurer . All payments of principal and interest installments on the assessments, together with penalties , if any, shall be deposited in the redemption fund, which shall be a trust fund for the benefit of the bondholders. Payment of the bonds at maturity, or at redemption prior to maturity, and all interest on the bonds shall be made from the redemption fund. Section 8 . PAYMENT ON BONDS . The principal and interest on the bonds shall be payable at the office of the Shasta County Treasurer , Shasta County Courthouse, Redding, California. Principal and interest shall be paid by check, draft or warrant mailed to the registered owner of each bond at the owner ' s address appearing on the register maintained by the registrar on the 15th day preceding the date of interest payment or maturity of each bond . 4 • • Section 9 . REREGISTRATION . Any bond may be registered to a new owner in accordance with Section 2 above. Section 10 . COVENANTS . In the event of a default in the payment of any bond or any installment of interest thereon, bondholders shall have the remedies set forth in the Improvement Bond Act of 1915 . In addition, the Council makes the following covenants , which shall constitute a contract with the bondholders: Section 10 . 1. FORECLOSURE OF LIENS . If any installment of the principal or interest of any assessment levied in Westwood Manor Water Assessment District No. 1982-9 , City of Redding , Shasta County, California, becomes delinquent, the Council shall cause an action to be filed in the Superior Court of the County of Shasta to foreclose the lien of the delinquent assessment under the authority of Section 8830 and following of the Streets and Highways Code of the State of California. This action shall be filed not later than one hundred fifty (150) days after the date of delinquency. Section 10 . 2. ARBITRAGE . During the term of the bonds , the Council will make no use of bond proceeds which, if such use had been reasonably expected at the date the bonds are issued, would have caused the bonds to be "arbitrage bonds" within the meaning of Section 103 (c) of the United States Internal Revenue Code of 1954 , as amended, and regulations of the Internal Revenue Service authorized thereby. 5 • • 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 18th day of March, 1985 . AYES: Councilmembers Demsher, Fulton, Gard, and Kirkpatrick NOES: Councilmembers None ABSENT: Councilmembers Pugh Y _ ETHEL A. NICHOLS , City Clerk, City of Redding, Shasta County, California BY �a� 6 • • MATURITY SCHEDULE (to follow) EXHIBIT A • • United States of America State of California County of Shasta REGISTERED REGISTERED Number $ IMPROVEMENT BOND CITY OF REDDING WESTWOOD MANOR WATER ASSESSMENT DISTRICT NO . 1982-9 SERIES NO. 1982-9 INTEREST RATE MATURITY DATE BOND DATE CUSIP NUMBER October 15, 1984 Under and by virtue of the Improvement Bond Act of 1915 , Division 10 , of the Streets and Highways Code, (the "Act" ) , the City of Redding , County of Shasta, State of California, (the "City" ) , will, out of the redemption fund for the payment of the bonds issued upon the unpaid portion of assessments made for the acquisition, work and improvements more fully described in proceedings taken pursuant to Resolution of Intention No. 83-3 , adopted by the City Council of the City of Redding on the 3rd day of January, 1983, as later amended, pay to or registered assigns , on the maturity date stated above, the principal sum of , in lawful money of the United States of America and in like manner will pay interest from the interest payment date next preceding the date on which this Bond is authenticated, unless this Bond is authenticated and registered as of an interest payment date, in which event it shall hear interest from such interest payment date, or unless this Bond is EXHIBIT B • • authenticated and registered prior to January 2 , 1986 , in which event it shall bear interest from its date, until payment of such principal sum shall have been discharged, at the rate per annum stated above, payable semiannually on January 2 and July 2 in each year . Both the principal hereof and redemption premium hereon are payable at the office of the Shasta County Treasurer , Shasta County, California, and the interest hereon is payable by check or draft mailed to the owner hereof at the owner ' s address as it appears on the registration books of the Bank , or at such address as may have been filed with the Bank for that purpose , as of the fifteenth day immediately preceding each interest payment date . REFERENCE IS MADE TO THE FURTHER PROVISIONS OF THIS BOND SET FORTH IN THE REVERSE SIDE HEREOF WHICH SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS THOUGH FULLY SET FORTH HEREIN . This bond will continue to bear interest after maturity at the rate above stated, provided, it is presented at maturity and payment thereof is refused upon the sole ground that there are not sufficient moneys in said redemption fund with which to pay same. If it is not presented at maturity, interest thereon will run until maturity. This Bond shall not be entitled to any benefit under the Act or the Resolution Authorizing Issuance of Bonds (the "Resolution of Issuance" ) , or become valid or obligatory for any purpose, until the certificate of authentication and registration hereon endorsed shall have been dated and signed by the Bank . IN WITNESS WHEREOF , said City of Redding has caused this bond to be signed in facsimile by the Treasurer of said City and by 2 • its Clerk, and has caused its corporate seal to be reproduced in facsimile hereon all as of the 15th day of October , 1984 . CITY OF REDDING Clerk Treasurer (SEAL) Certificate of Authentication and Registration This is one of the Bonds described in the within mentioned Resolution of Issuance, which has been registered on By — — JACQUE WILLIAMS , Shasta County Treasurer 3 • • (REVERSE OF BOND) CITY OF REDDING WESTWOOD MANOR WATER ASSESSMENT DISTRICT NO. 1982-9 ADDITIONAL PROVISIONS OF THE BOND This bond is one of several annual series of bonds of like date, tenor and effect, but differing in amounts and maturities issued by the City of Redding under the Act and the Resolution of Issuance, as amended, for the purpose of providing means for paying for the improvements described in said proceedings, and is secured by the moneys in said redemption fund and by the unpaid portion of said assessments made for the payment of said improvements , and, including principal and interest, is payable exclusively out of said fund. This Bond is transferable by the registered owner hereof , in person or by the owner ' s attorney duly authorized in writing , at said office of the County, subject to the terms and conditions provided in the Resolution of Issuance, as amended, including the payment of certain charges , if any, upon surrender and cancellation of this Bond. Upon such transfer , a new registered Bond or Bonds , of any authorized denomination or denominations, of the same maturity, for the same aggregate principal amount, will be issued to the transferee in exchange therefor . Bonds shall be registered only in the name of an individual (including joint owners) , a corporation, a partnership or a trust. Neither the City nor the County shall be required to • 411 make such exchange or registration of transfer of bonds during the fifteen (15) days immediately preceding any January 2 or July 2 . The City and the County may treat the owner hereof as the absolute owner for all purposes , and the City and the County shall not be affected by any notice to the contrary. This bond or any portion of it in the amount of $500 or any integral multiple thereof , may be redeemed and paid in advance of maturity upon the second day of January or July in any year by giving at least 60 days' notice by registered mail to the registered owner hereof at such owner ' s address as it appears on the registration books of the Bank and by paying principal and accrued interest together with a premium equal to five percentum of the principal . I hereby certify that the following is a correct copy of the signed legal opinion of STURGIS , NESS , BRUNSELL & SPERRY a professional corporation, Emeryville, California, on file in my office . City Clerk 2