HomeMy WebLinkAboutReso 2001-041 RESOLUTION NO. 2001-041
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA MAKING PRELIMINARY
DETERMINATIONS AND DECLARING INTENTION TO
ISSUE BONDS TO REFUND THE OUTSTANDING
IMPROVEMENT BONDS ISSUED FOR CERTAIN EXISTING
ASSESSMENT DISTRICTS, ORDERING A REPORT
THEREON, WAIVING THE CONSULTANT SELECTION
PROCESS AS IMPRACTICAL, APPOINTING THE FIRM OF
BEST, BEST & KRIEGER, LLP AS BOND COUNSEL,
APPOINTING THE FIRM OF STONE & YOUNGBERG AS
UNDERWRITER FOR THIS AND ANY FUTURE DISTRICT
REFUNDING TRANSACTIONS, AND AUTHORIZING THE
MAYOR TO EXECUTE AMENDMENTS TO EXISTING
AGREEMENTS WITH BOTH FIRMS
WHEREAS, the City Council did previously undertake proceedings and confirmed
assessments in certain assessment districts pursuant to the terms and conditions of the
"Municipal Improvement Act of 1913" (Streets and Highways Code Section 10000 and
following), such assessment districts known and designated as:
1. Assessment District No. 88-1 (Otay Lakes Road, Phase I);
2. Assessment District No. 90-1 (Salt Creek I);
3. Assessment District No. 90-2 (Otay Valley Road);
4. Assessment District No. 90-3 (Eastlake Greens - Phase I);
5. Assessment District No. 91-1 (Telegraph Canyon Road, Phase II);
6. Assessment District No. 92-2 (Auto Park); and
7. Assessment District No. 94-1 (Eastlake Greens - Phase II);
(Referred to collectively as the "Assessment Districts"); and
WHEREAS, improvement bonds representing the unpaid assessments within the
Assessment Districts (collectively, the "Improvement Bonds") were issued and sold pursuant to
the provisions of the "Improvement Bonds Act of 1915," (Streets and Highways Code Section
8500 and following); and
WHEREAS, at this time, as a result of favorable interest rate conditions within the
municipal bond market and of the development within each of the Assessment Districts, City
staff has recommended and this City Council desires to initiate proceedings to reassess the
parcels within the Assessment Districts and to refund all of the outstanding Improvement Bonds
pursuant to the "Refunding Act of 1984 for 1915 Improvement Act Bonds," (Streets and
Highways Code Section 9500 and following) (the "Refunding Act"); and
WHEREAS, at this time, City staff has further recommended that the firm of Stone &
Youngberg LLC be appointed as undenvriter for the refunding bonds, if any, to be issued as a
part of these proceedings and that Best, Best & Krieger LLP be appointed as bond counsel for
such reassessment and refunding proceedings and that the consultant selection process for such
appointments be waived as being impractical.
Resolution 2001 - 041
Page 2
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA,
DOES HEREBY RESOLVE, DECLARE, FIND, DETERMINE AND ORDER AS FOLLOWS:
SECTION 1. The above recitals are all true and correct.
SECTION 2. The public interest and necessity require, and it is the intention of this City
Council, acting pursuant to the provisions of the Refunding Act, to levy reassessments on all
properties within the Assessment Districts which are subject to existing liens for unpaid
assessments previously levied for such Assessment Districts and to issue refunding bonds
pursuant to the Refunding Act secured by such reassessments for the purpose of refunding the
outstanding Improvement Bonds.
SECTION 3. The proposed reassessment is hereby referred to a duly appointed Reassessment
Engineer, who is hereby directed to make and file a Reassessment Engineer's Report in writing
as required by the Refunding Act generally containing the following:
A. A schedule setting forth the unpaid principal and interest on the Improvement
Bonds of the Assessment Districts to be re~mded and the total amounts thereof;
B. The total estimated principal amount of the reassessment and of the refimding
bonds and the maximum interest rate thereon, together with an estimate of costs
of the reassessment and of issuing the refunding bonds, including all costs of
issuing the refunding bonds;
C. The Auditor's Record showing the schedule of the principal installments and
interest on all unpaid original assessments and the total amounts thereof;
D. The estimated amount of each reassessment, identified by reassessment number
corresponding to the reassessment number on the reassessment diagram, together
with a proposed Auditor' s Record for the reassessment; and
E. A reassessment diagram showing the Reassessment District and the boundaries
and dimensions of the subdivisions of land within the Reassessment District.
SECTION 4. Immediately upon the preparation of the Reassessment Engineer's Report as
above ordered, such Report shall be filed with the City Clerk and presented to this legislative
body for further consideration as it relates to these proceedings to levy reassessments within the
Reassessment District and to issue refunding bonds representing such unpaid reassessments.
SECTION 5. All outstanding Improvement Bonds and original assessments of the Assessment
Districts shall continue and remain in full force and effect and be secured by the original
assessments until superseded and replaced by the reassessments and the refunding bonds are
validly and legally issued for the Reassessment District pursuant to all the terms and provisions
of the Refunding Act.
SECTION 6. This City Council hereby finds that the appointment of an underwriter and bond
counsel for these proceedings and any future refundings of this type pursuant to the consultant
selection process would be impractical for the reasons set forth in the accompanying staff report.
Resolution 2001-041
Page 3
Therefore, Best, Best & Krieger is appointed as bond counsel and Stone & Youngberg LLC is
hereby appointed as underwriter for the refunding bonds, if any, to be issued as a result of these
proceedings or as a result of any similar proceedings in the future.
SECTION 7. The Mayor is hereby authorized to execute amendments to the existing agreements
with such firms to reflect such appointment.
SECTION 8. This resolution shall become effective upon its adoption.
Prepared by Approved as to form by
Deputy City Manager ~tyANttomey
Resolution 2001-041 --
Page 4
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 27th day of February, 2001, by the following vote:
AYES: Councilmembers: Davis, Padilla, Rindone, Salas and Horton
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
Shirley Horto~, Mayor
ATTEST:
1
Susan Bige ow, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2001-041 was duly passed, approved, and adopted by the City Cotmoil at a
regular meeting of the Chula Vista City Council held on the 27th day of February, 2001.
Executed this 27th day of February, 2001.
Susan Bigelow, City Clerk