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HomeMy WebLinkAboutReso. 78-123 - Special Revenue Bond Election Submitting Measure of Issuing Revenue Bonds with Principal $5,700,000 to Provide Funds for Improvement of Municipal Water System; Consolidating Special Election with CA General Election on 11/7/78 411• • CITY OF REDDING RESOLUTION NO. 78-123 RESOLUTION CALLING A SPECIAL REVENUE BOND ELECTION IN THE CITY OF REDDING FOR THE PURPOSE OF SUBMITTING TO THE QUALI- FIED VOTERS OF SAID CITY THE MEASURE OF ISSUING REVENUE BONDS IN THE PRINCIPAL AMOUNT OF $5,700,000 TO PROVIDE FUNDS FOR THE IMPROVEMENT OF THE MUNICIPAL WATER SYSTEM: DECLARING THE ESTIMATED COST OF SAID IMPROVEMENT, THE PRINCIPAL AMOUNT OF THE REVENUE BONDS TO BE ISSUED THERE- FOR, 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; CONSOLI- DATING SAID SPECIAL REVENUE BOND ELECTION WITH THE STATE OF CALIFORNIA GENERAL ELECTION TO BE HELD ON NOVEMBER 7, 1978; AND PROVIDING FOR NOTICE OF SAID ELECTION. WHEREAS, the City Council (the "City Council") of the City of Redding (the "City") has heretofore duly issued revenue bonds (comprising the City of Redding 1959 Water Revenue Bonds, Series A and Series B) under the Revenue Bond Law of 1941 for the improvement of the municipal water system of the City, and the unmatured portion of said bonds is now outstanding; and WHEREAS, the City Council has duly determined that the public interest and necessity demand the further improve- ment of said municipal water system, and has further duly determined that such improvement should be financed by the oy 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 on Tuesday, November 7, 1978, 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 water system of the City, as set forth in the following measure, to wit: MEASURE ( ) : Shall the City of Redding (Water System issue revenue bonds in the Improvements- principal amount of $5, 700,000 Revenue Bonds) pursuant to the Revenue Bond Law of 1941 to provide funds for the improvement of the municipal water system, comprising a new water treatment plant and raw water pump station modifications, together with necessary pumps, valves, control facilities and machinery and lands and easements therefor, and other works, property or structures necessary or convenient for the improvement of the munici- pal water system of the City of Redding? Section 2. (a) The estimated cost of said improve- ment is $5,700,000 and the principal amount of revenue bonds proposed to be issued therefor is $5,700,000. (b) Said estimated cost includes all costs and estimated costs incidental to or connected with said improve- ment, together with all engineering, appraisal, inspection, legal and fiscal agent's fees, costs of the bond election and of the issuance of said revenue bonds, and 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 municipal water system of the City and all facilities 2. hereafter acquired or constructed for said water system, and all additions, extensions, betterments and improvements to said water system or any part thereof hereafter made or acquired or constructed by contract, purchase, condemnation or otherwise for said purpose. It is hereby found and determined that the City now owns and operates a municipal. water system, that the public interest and necessity require that the City improve said water system, that the improvement set forth in said measure will constitute an integral part of said water system and the same shall be operated as a single unified and integrated water system, that the City has no means of financing the cost of said improvement except by the issuance and sale of said $5,700,000 principal amount of revenue bonds, that the revenues from said water system shall be pledged to the payment of said outstanding revenue bonds and said revenue bonds proposed to be issued for the foregoing purpose, and that said water system, and each and every part thereof, when improved as aforesaid, will consti- tute a complete municipal water system for the City. It is hereby found and determined that the improvement of said water system is necessary to enable the City to exercise its public powers and functions, namely, to furnish sufficient water service for any present or future beneficial use of the City. Section 3. The 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 voters 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, 3. •. ' • payable semiannually (except that the City Council, in its discretion, may provide that interest for the first year shall be payable annually in one installment at the end of such year) , and said issue of revenue bonds shall be revenue bonds payable exclusively from the revenues of said enterprise which are legally available for such pur- pose and are not to be and shall not be secured by the taxing power of the City, and 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 revenues of said enterprise legally available for such purpose. No taxes shall ever be levied or collected by the City for the pay- ment of any of said revenue bonds or the interest thereon, nor shall any property of the City be subject to forfeiture therefor; but all revenues of said enterprise legally avail- able for the payment of said revenue bonds shall be applied to such payment. Said issue of revenue bonds, if authorized, shall (together with said outstanding revenue bonds) 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 gross revenues of said enterprise, and all of the gross revenues of said enterprise, including the revenues of additions, extensions, improvements and better- ments thereto hereafter acquired or constructed, shall be pledged and assigned as security for all of said revenue bonds, including said outstanding revenue bonds and 4. said revenue bonds herein proposed to be issued; provided that, if the interest on and 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 may have been or may 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) , then an amount for the necessary and reasonable maintenance and operation costs of said enterprise (which costs include the reason- able expenses of management, repair and other expenses necessary to maintain and preserve said enterprise in good repair and working order) may be apportioned from said revenues, and, subject to any limiting covenants in the resolutions of the City Council providing for the issuance of any of said revenue bonds, the remaining surplus may be used for any lawful purpose of. the City, so long as the principal of and interest on said revenue bonds and all sums for security funds which may be established by the City Council in said reso- lution are paid from such revenues prior to the paying of maintenance and operation costs of said enterprise. The 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 further improving said enterprise, or making any extensions or additions thereto, on a parity with any of said revenue bonds, subject to such limitations as the City Council may specify at the time of the issuance of any 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 at said special revenue 5. bond election said measure set forth in Section 1 of this resolution, and designates and refers tb said measure in the form of ballot 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 elections in the City. (b) All persons qualified to vote at 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. of said day of election, when the polls shall be closed (except as provided in Section 14301 of the Elections Code) , and the election officers shall there- upon 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 7, 1978, 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 election hereby called shall be the same as those selected and designated by the Board of Supervisors of 6. Shasta County for said General Election and to be set forth in the notice of election officers and polling places for said General Election to be published by the County Clerk of said County, as required by law, to which notice reference is hereby specifically made for a designation 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 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 7. • 4 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 Council occurringafter the returns of said special revenue bond election have been canvassed, or caused to he 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 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, a newspaper of general circulation pub- lished 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 the City Council and shall take effect 8. • • • immediately upon adoption. PASSED AND ADOPTED August 7, 1978, by the following vote: AYES: Councilmen - Fulton, Gard, Kirkpatrick, Pugh, and Demsher NOES: Councilmen - None ABSENT: Councilmen - None Mayor of the City of Redding (SEAL) ATTEST: /12/ City Clerk of the City'of Redding • 9.