HomeMy WebLinkAboutReso 1993-16993 RESOLUTION NO. 16993
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA REGARDING THE INTENTION TO ADVANCE FUNDS TO
ASSESSMENT DISTRICT NO. 90-2 SUBJECT TO REIMBURSEMENT
FROM THE PROCEEDS OF TAX EXEMPT BONDS, AND AUTHORIZING
THE EXECUTION OF AN ASSESSMENT DISTRICT REIMBURSEMENT
AGREEMENT BY AND AMONG THE CITY OF CHULA VISTA, AND THE
REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, AND THE
DARLING-DELAWARE COMPANY, INC.
WHEREAS, the City of Chula Vista ("City"), pursuant to the provisions of
the "Municipal Improvement Act of 1915", Division 12 of the California Streets
and Highways Code has formed Assessment District No. 90-2 ("District") for the
construction of street improvements on Otay Valley Road; and,
WHEREAS, the City and the Redevelopment Agency of the City ("Agency")
desire to finance the costs of the construction of certain public improvements
through Assessment District No. 90-2 (Otay Valley Road) ("Project"); and,
WHEREAS, the Darling-Delaware Company owns seventeen (17) parcels
("Property") which are located within the boundaries of the District and have
been assessed under the District proceedings; and,
WHEREAS, certain agencies within the State of California contend that the
Property is not eligible for further development at this time and therefore, it
is difficult to determine the value of the Property which could impair the
security and sale of bonds for the District; and,
WHEREAS, pursuant to California Health and Safety Code Section 33659(c),
the Agency is authorized to "Make such covenants and to do any and all such acts
and things as may be necessary, convenient, or desirable to secure its bonds, or,
except as otherwise provided in this part, as will tend to make the bonds more
marketable..."; and,
WHEREAS, the Agency is willing to advance funds in the amount necessary to
pay the assessments on the Property ("Advancement") in order to ensure the
security and sale of bonds for the District, with the funds to be repaid pursuant
to the provisions contained within the Assessment District No. 90-2 Reimbursement
Agreement ("Agreement") executed hereto by and among the City, Agency, and
Darling-Delaware Company, Inc., ("Company"), known as document number C093-052,
a copy of which is on file in the office of the City Clerk.
WHEREAS, the City desires to preserve the ability to incur certain
expenditures pertaining to the acquisition or improvement of the Project from the
Advancement pursuant to the Agreement, of which expenditures the City desires to
be able to reimburse the Agency from the proceeds of the sale of a possible
second series ("Series B") of bonds to be issued when permitted pursuant to the
Agreement, and to be secured by the unpaid assessments on the properties within
the District owned by the Company.
Resolution No. 16993
Page 2
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA does hereby
find, order, determine, and resolve that:
1. The foregoing recitals are true and correct.
2. The City hereby states its intention that it expects to reimburse the
Agency the Advancement from the proceeds of the Series "B" bonds, in the
event that the Series "B" bonds are issued pursuant to the Agreement.
3. The City hereby authorizes the execution of "Assessment District No. 90-2
Reimbursement Agreement" by and among the City of Chula Vista, the
Redevelopment Agency of the City of Chula Vista, and the Darling-Delaware
Company.
Presented by Approved as to form by
Chris Salomone g ~
Community Development Di rector City Attorney ~
Resolution No. 16993
Page 3
PASSED, APPROVED and ADOPTED by the City Council of the City of Chula
Vista, California, this gth day of March, 1993, by the following vote:
YES: Councilmembers: Fox, Horton, Moore, Rindone
NOES: Councilmembers: None
ABSENT: Councilmembers: Nader
ABSTAIN: Councilmembers: None
ATTEST:
Authelet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do
hereby certify that the foregoing Resolution No. 16993 was duly passed, approved,
and adopted by the City Council at a joint City Council/Redevelopment Agency
meeting held on the 9th day of March, 1993.
Executed this 9th day of March, lg93.
Beverly A Authelet, City Clerk
T i il t IF