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•
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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
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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
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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,
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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
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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
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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
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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
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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
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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:
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City Clerk of the City'of Redding •
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