HomeMy WebLinkAboutReso 1995-17901 RESOLUTION NO. 17901
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA, CALIFORNIA, AUTHORIZING ISSUANCE OF BONDS AND
APPROVING FORMS OF BOND INDENTURE, SECURITY
ENHANCEMENT AGREEMENT, PRELIMINARY OFFICIAL
STATEMENT AND SECOND AMENDMENT TO
ACQUISITION/FINANCING AGREEMENT FOR ASSESSMENT
DISTRICT NO, 94-1 (EASTLAKE GREENS - PHASE II)
WHEREAS, the City Council of the City of Chula Vista, California, is conducting
proceedings for the acquisition of certain public improvements in a special assessment district
pursuant to the terms and provisions of the "Municipal Improvement Act of 1913? being
Division 12 of the Streets and Highways Code of the State of California, said special
assessment district known and designated as ASSESSMENT DISTRICT NO. 94-1 (EASTLAKE
GREENS - PHASE II) (hereinafter referred to as the "Assessment District"); and,
WHEREAS, this legislative body has previously declared in its Resolution of Intention
to issue bonds to finance the acquisition of said improvements, said bonds to issue pursuant
to the terms and provisions of the "Improvement Bond Act of 1915," being Division 10 of
said Code; and,
WHEREAS, at this time this legislative body is desirous to set forth terms and
conditions relating to the authorization, issuance and administration of said bonds; and,
WHEREAS, there has been presented, considered and ready for approval the form of
a bond indenture setting forth terms and conditions relating to the issuance and sale of bonds;
and,
WHEREAS, there has been presented, considered and ready for approval the form of
a Security Enhancement Agreement (the "Security Enhancement Agreement") by and between
the City of Chula Vista (the "City") and EastLake Development Company ("EastLake") to
provide additional security for the bonds; and,
WHEREAS, this legislative body hereby determines that the bonds shall be sold at a
public wale is an aggregate principal amount equal to unpaid assessments of the Assessment
District in the amount as shown and set forth in a Certificate of Paid and Unpaid Assessments
as certified by and to be on file with the Finance Director, and for particulars as to the amount
Of said unpaid assessments, said Certificate and list shall control and govern; and,
WHEREAS, there has been presented, considered and ready for approval the form of
the Second Amendment to Acquisition/Financing Agreement by and between the City and
EastLake (the "Second Amendment").
NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS:
RECITAL
1. That the above recitals are true and correct.
Resolution No. 17901
Page 2
BOND AUTHORIZATION
2. That this legislative body does authorize the issuance of limited obligation improvement
bonds in an aggregate principal amount not to exceed the aggregate principal amount
of the unpaid assessments pursuant to the terms and provisions of the "Improvement
Bond Act of 1915," being Division 10 of the Streets and Highways Code of the State
of California, and also pursuant to the specific terms and conditions as set forth in the
Bond Indenture presented herein.
BOND INDENTURE
3. That the Bond Indenture is approved substantially in the forms presented herein. The
Finance Director is hereby authorized and directed for and on behalf of the City to
execute the Bond Indenture with such additions thereto or changes therein as may be
approved by the Finance Director, subject to the review of Bond Counsel, such
approval by the Finance Director to be conclusively evidenced by the execution and
delivery thereof. A copy of said Bond Indenture shall be kept on file with the transcript
of these proceedings and open for public inspection.
SEALED BIDS
4. That this legislative body does hereby call for sealed bids through a competitive sales
for bonds to be issued to represent unpaid assessments within the Assessment
District, and the designated Financial Consultant, KADIE-JENSEN, JOHNSON &
BODNAR, is hereby directed and authorized to proceed at this time to call for sealed
bids and solicit proposals for the sale of bonds to represent all unpaid assessments on
privately owned property within the boundaries of the Assessment District.
INTEREST RATE
5. That the interest rate on said bonds shall not exceed the current legal maximum
interest rate of 12% per annum.
SECURITY ENHANCEMENT AGREEMENT
6. The form of Security Enhancement Agreement presented to this legislative body is
hereby approved in substantially the form submitted at this meeting and the City
Manager is directed to execute and deliver the Agreement, known as document
number C095-070, a copy of which is on file in the office of the City Clerk, in
substantially the form presented to this meeting, with such changes as the City
Manager may approve, such approval to the conclusively evidenced by the execution
and delivery thereof. A copy of the final form of such agreement shall be kept on file
in the office of the City Clerk and remain available for public inspection.
TiT
Resolution No. 17901
Page 3
PRELIMINARY OFFICIAL STATEMENT
7. The City Manager and other officers of the City and their authorized representatives
are each hereby directed to prepare or cause to be prepared a preliminary official
statement (the "Preliminary Official Statement") and a final official statement (the
"Official Statement") relating to the Bonds. The Financial Consultant is authorized to
distribute copies of the Preliminary Official Statement to persons who may be
interested in the purchase of the Bonds. Prior to the distribution of the Preliminary
Official Statement, the City Manager of the City is authorized to certify that the
Preliminary Official Statement is deemed final as of its date within the meaning of Rule
15c2-12 of the Securities and Exchange Commission. The City Manager is hereby
authorized and directed, for and in the name of the City, to execute the Official
Statement with such revisions from the Preliminary Official Statement as are
reasonable and customary to describe accurately the Bonds and matters contained in
the Bond Indenture. Such approval shall be evidenced by the execution hereof.
FINAL ASSESSMENTS
8. That the Certificate of Paid and Unpaid Assessments, as certified by the Finance
Director, shall remain on file in that office and be open for public inspection for all
particulars as it relates to the amount of unpaid assessments to secure bonds for this
Assessment District.
SUPERIOR COURT FORECLOSURE
9. This legislative body does further specifically covenant for the benefit of the
bondholders to commence and prosecute to completion foreclosure actions regarding
delinquent installments of the assessments in the manner, within the time limits and
pursuant to the terms and conditions as set forth in the Bond Indenture as submitted
and approved through the adoption of this Resolution.
OTHER FACTS
10. All actions heretofore taken by the officers and agents of the City with respect to the
sale and issuance of the bonds are hereby approved, confirmed and ratified, and the
Finance Director and any and all other officers of the City are hereby authorized and
directed, for and in the name and on behalf of the City, to do any and all things and
take any and all actions relating to the execution and delivery of any and all
certificates, requisitions, agreements and other documents, which the Finance Director
may deem necessary or advisable in order to consummate the lawful issuance and
delivery of the bonds in accordance with this resolution.
Resolution No. 17901
Page 4
SECOND AMENDMENT TO ACQUISITION/FINANCING AGREEMENT
11. The form of the Second Amendment, herewith submitted, is hereby approved
substantially in the form submitted. The Mayor is hereby authorized to execute the
final form of such amendment, known as document number C095-071, a copy of
which is on file in the office of the City Clerk, on behalf of the City. The City
Manager, subject to the review of the City Attorney and Bond Counsel, is authorized
to approve changes in such amendment deemed to be in the best interests of the City,
such changes to be evidenced by the execution of such amendment. A copy of the
final form of such amendment shall be kept on file in the office of the City Clerk and
remain available for public inspection.
Presented by Approved as to form b
Resolution No. 17901
Page 5
PASSED, APPROVED and ADOPTED by the City Council of the City of Chula Vista,
California, this 23rd day of May, 1995, by the following vote:
YES: Councilmembers: Alevy, Moot, Padilia, Rindone, Horton
NOES: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
Shirley Horton, M~yor
ATTEST:
Vicki C. Soderquist, D~'puty City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Vicki C. Soderquist, Deputy City Clerk of the City of Chula Vista, California, do hereby
certify that the foregoing Resolution No. 17901 was duly passed, approved, and adopted by
the City Council at a regular meeting of the Chula Vista City Council held on the 23rd day of
May, 1995.
Executed this 23rd day of May, 1995.
Vicki C. Soderquist, D~q~uty City Clerk