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HomeMy WebLinkAboutReso. 1976-084 - Calling a special revenue bond electionCITY OF REDDING RESOLUTION NO. % ga RESOLUTION CALLING A SPECIAL REVENUE BOND ELECTION IN THE CITY OF REDDING FOR THE PURPOSE OF SUBMITTING TO THE QUALIFIED VOTERS OF THE CITY THE MEASURE OF ISSUING REVENUE BONDS UNDER THE REVENUE BOND I.AW OF 1941 IN THE PRINCIPAL AMOUNT OF $3,000,000 TO PROVIDE FUNDS FOR THE IMPROVEMENT OF THE MUNICIPAL SEWER SYSTEM; DECLARING THE ESTIMATED COST OF SAID IMPROVEMENT, THE PRINCIPAL AMOUNT OF THE REVENUE BONDS TO BE ISSUED THEREFOR, AND THE MAXIMUM RATE OF INTEREST TO BE PAID ON SUCH REVENUE BONDS; FIXING THE DATE OF SAID ELECTION, THE MANNER OF HOLDING THE SAME AND THE MANNER OF VOTING FOR OR AGAINST THE ISSUANCE OF SAID REVENUE BONDS; CONSOLIDATING SAID SPECIAL REVENUE BOND ELECTION WITIi THE STATE OF CALIFORNIA GENERAL ELECTION TO BE HELD ON NOVEMBER 2, 1976; AND PROVIDING FOR NOTICE OF SAID ELECTION WHEREAS, the City Council of the City of Redding has duly determined that the public interest and necessity demand the improvement of the municipal sewer system as hereinafter described, and has further duly determined that the same should be financed by the issuance of revenue bonds under the Revenue Bond Law of 1941; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Redding as follows: Section 1. A special revenue bond election shall be and is hereby ordered and will be held in the City of Redding on Tuesday, November 2, 1976, at which election there shall be submitted to the qualified voters of the City the measure of issuing revenue bonds under the Revenue Bond Law of 1941 for the purpose of providing funds for the improvement of the municipal sewer system of the City, all as set forth in the following measure, to wit: MEASURE ( ): Shall the City of Redding (Sewer System issue revenue bonds in the Improvements - principal amount of $3,000,000 Revenue Bonds) pursuant to the Revenue Bond Law of 1941 to provide funds for the improvement of the municipal sewer system of the City of Redding, comprising works and facil- ities for the transmission and treatment of sewage, including construction of interceptor sewers and a new wastewater treatment plant, together with related pipes, pumps, valves, machinery and control equipment and necessary lands and easements therefor; and other works, property or structures necessary or convenient for the improvement of the municipal sewer system of the City of Redding? Section 2. (a) The estimated cost of said improvements is $.IQ 770,000_ and the principal amount of reve- nue bonds proposed to be issued therefor is $3,000,000. It is contemplated by the City that the difference between the estimated cost of said improvements and the amount of the revenue bonds to be issued therefor will be provided by grants from the United States of America and/or the State of California, but the City reserves the right in its discretion to provide otherwise for the payment of said difference, or if any of such moneys over and above the amount to be realized from the proceeds of the sale of said revenue bonds are not available, then to reduce the cost of said improve- ments to the actual amount to be realized from the proceeds - 2 - of sale of.said bonds together with funds actually avail- able for said improvements, and said estimated cost herein set forth shall not be deemed to constitute a limitation or condition upon the issuance of any of said bonds. (b) Said estimated cost includes all costs and estimated costs incidental to or connected with said improve- ments, together with engineering, appraisal, inspection and legal fees, costs of the bond election and of the issuance of said revenue bonds, bond reserve funds and working capital and bond interest estimated to accrue during the period of construction and for a period of not to exceed twelve months after completion of construction. The enterprise for the improvement of which said revenue bonds shall be issued under the Revenue Bond Law of 1941 is hereby defined to be the whole and each and every part of the existing municipal sewer system of the City, together with the improvements described in the measure set forth in Section 1 of this resolution and all facilities hereafter constructed or acquired for said sewer system, and including all additions, extensions, betterments and improvements to said sewer system or any part thereof hereafter made or constructed or acquired by contract, purchase, condemnation or otherwise for said purpose. It is hereby found and determined that the City now owns and operates a municipal sewer system; that the improvements set forth in said measure will constitute an integral part of said sewer system; that the public interest and necessity require the construction of said improvements; and that the revenues from said sewer system as so improved shall be pledged to the payment of the revenue bonds pro- - 3 - 0 posed to be issued for the foregoing purpose. It is hereby further found and determined that the construction of said improvements to said sewer system is necessary to enable the City to exercise its municipal powers and functions, namely, to furnish sufficient sewer service for all present and future beneficial uses of the City. Section 3. This City Council proposes to issue and sell revenue bonds in not to exceed the amount and for the object and purpose specified in said measure if a majority of all of the electors voting on said measure at said special revenue bond election shall vote in favor of said measure. The rate of interest to be paid on said revenue bonds shall not exceed eight per cent (8%) per annum, payable annually or semiannually (as the City Council of the City, in its discretion, shall determine at the time of sale of any of said revenue bonds), and said issue of revenue bonds shall be revenue bonds payable exclusively from the net revenues of the enterprise for the improvement of which the same are authorized and are not to be secured by the taxing power of the City, and the same shall be issued under the Revenue Bond Law of 1941. The principal of and interest on said revenue bonds, and any premiums upon the redemption of any thereof, are not and shall not constitute a debt of the City, nor a legal or equitable pledge, charge, lien or encumbrance upon any of its property or upon any of its income, receipts or revenues, except the net revenues of the enterprise legally available for such purpose. No taxes shall ever be levied or collected by the City for the payment of any of said revenue bonds =M • • or the interest thereon, nor shall any property of the City be subject to forfeiture therefor; but all net revenues of said enterprise legally available for the payment of said revenue bonds shall be applied to such payment. Said issue of revenue bonds, if authorized, shall be special obligations of the City and shall be secured by a pledge of and shall be a charge upon and shall be payable, as to the principal thereof, interest thereon and any premiums upon the redemption of any thereof, solely from and secured by a lien upon the net revenues of said enterprise as herein defined, and all of such net revenues of such enterprise, including the net revenues of additions, extensions, improve- ments and betterments thereto hereafter constructed or acquired, shall be pledged and assigned as security for all of said revenue bonds. If the necessary and reasonable maintenance and operation costs of said enterprise (which costs include the reasonable expenses of management, repair and other expenses necessary to maintain and preserve said enterprise in good repair and working order) are paid when due and if the interest on and the principal of all of said revenue bonds and all charges to protect or secure them are paid when due (including such sums for sinking funds, redemption funds, reserve funds, or other funds created for the better securing of all of said revenue bonds as shall be provided for in the discretion of the City Council in the resolutions of the City Council providing for the issuance of any of said revenue bonds), the remaining surplus may (subject to any limiting covenants in the reso- lutions of the City Council providing for the issuance of - 5 - any of said revenue bonds) be used for any lawful purpose of the City; provided that all maintenance and operation costs of said enterprise shall be paid from said revenues prior to paying the principal of and interest on any of said revenue bonds and paying any sums for security funds which may be established by this City Council in said reso- lutions. This City Council may, subject to the provisions of the Revenue Bond Law of 1941, provide for the issuance of additional revenue bonds for the purpose of the further improvement of said enterprise on a parity with the revenue a bonds herein proposed to be authorized for the improvement of said enterprise, or subject to such limitations as this City Council may specify at the time of the issuance of said revenue bonds herein proposed to be authorized for the improvement of said enterprise. Section 4. The City Council does hereby submit to the qualified voters of the City of Redding at said special revenue bond election said measure set forth in Section l of this resolution, and designates and refers to said measure as the measure hereinafter prescribed for use at said election. (a) Said special revenue bond election shall be held and conducted, and the votes thereat canvassed and the returns thereof made, and the result thereof ascertained and determined as herein provided; and in all particulars not prescribed by this resolution said special revenue bond election shall be held and conducted and the votes received and canvassed in the manner provided by law for the holding of general municipal elections in the City. (b) All persons qualified to vote at municipal - 6 - elections in the City upon the date of the election herein provided for shall be qualified to vote upon the measure submitted at said special revenue bond election. (c) The polls at the polling places hereinafter designated shall be opened at 7:00 o'clock A.M. of said day of election and shall be kept open continuously there- after until 8:00 o'clock P.M. on said day of election, when the polls shall be closed (except as provided in Section 14436 of the Elections Code), and the election officers shall thereupon proceed to canvass the ballots cast thereat. (d) Said special revenue bond election hereby called shall be and is hereby consolidated with the State of California General Election to be held in the City on November 2, 1976, all as required by and pursuant to law; and the election precincts, polling places and officers of election within the City for said special revenue bond elec- tion hereby called shall be the same as those selected and designated by the Board of Supervisors of Shasta County for said General Election and set forth or to be set forth in the notice of election officers and polling places for said General Election published or to be published by the County Clerk of said County, as required by law, to which notice reference is hereby specifically made for a desig- nation of the precincts, polling places, and election officers of the special revenue bond election hereby called. Only qualified voters of the City shall be permitted to vote at said special revenue bond election. The Board of Supervisors of said County is authorized to canvass, or cause to be can- vassed, the returns of said special revenue bond election - 7 - with respect to the votes cast in the City and to certify the results of the City Council. (e) On the ballots to be used at said General Elec- tion and said special revenue bond election hereby consoli- dated herewith, in addition to all other matters required by law to be printed thereon, shall appear the measure set forth in Section 1 hereof. Each voter to vote for the measure hereby submitted and for issuing said revenue bonds shall stamp a cross (+) in the blank space opposite the word "YES" on the ballot to the right of said measure, and to vote against said measure and against issuing said revenue bonds shall stamp a cross (+) in the blank space opposite the word "NO" on the ballot to the right of said measure, except that on absent voter ballots the cross (+) may be marked with pen or pencil; provided, however, that if and to the extent that ballot cards are used at said election, each voter to vote for the measure hereby submitted and for issuing said revenue bonds shall punch the ballot card in the hole after the word "YES" to the right of said measure, and to vote against the measure and against issuing said revenue bonds shall punch the ballot card in the hole after the word "NO" to the right of said measure. Absent voter ballots setting forth said measure shall be issued to qualified electors residing within the City entitled thereto, in the manner provided by law, and such absent voter ballots shall likewise be canvassed, or caused to be canvassed, by the Board of Supervisors of said County. (f) At the next regular meeting of the City Coun- cil occurring after the returns of said special revenue M -IM bond election have been canvassed, or caused to be canvassed, by the Board of Supervisors of said County, and the certifi- cation of the results thereof to the City Council, or at a special meeting called thereafter for such purpose, the City Council shall cause to be spread upon its minutes a state- ment of the results of said special revenue bond election as ascertained by said canvass. Section 5. The City Clerk of the City of Redding is hereby directed upon the passage and adoption of this resolution to publish the same once a day for at least seven days in The Redding Record -Searchlight, which is a newspaper of general circulation published at least six days a week in the City. No other notice of the election hereby called need be given. Section 6. This resolution shall be forthwith entered upon the minutes of this City Council and shall take effect immediately upon adoption. PASSED AND ADOPTED August 2, 1976, by the follow- ing vote: AYES: Councilmen Anderson, Demsher, Gard, Pugh, and Fulton NOES: None ABSENT: None [SEAL] Mayor of the City of Redding, California ATTEST: City Clerk of the City/ of Redding, California I HEREBY CERTIFY that the foregoing resolution duly and regularly adopted by the City Council of the City of Redding at a regular meeting of said City Council held on the 2nd day of August, 1976, by the following roll call vote: AYES: Anderson, Demsher, Gard, Pugh, and Fulton NOES: None ABSENT: None ATTEST: � ,r i _t_. - ✓� .'� -A CZ` ity Clerk of the City of Redding, Californz/a - 10 -