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HomeMy WebLinkAboutReso 1992-16546 RESOLUTION NO. 16546 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DECLARING INTENT TO MAKE PROCEEDS OF FUTURE REVENUE BONDS AVAILABLE TO SDG&E FOR ELECTRICAL FACILITIES WHEREAS, San Diego Gas & Electric Company (the "Company") has advised the City of Chula Vista (the "Issuer") that the Company intends to construct and acquire various improvements to its local electric generation, transmission and distribution system located throughout San Diego and Orante Counties, as well as transmission facilities located elsewhere (the "Project"; WHEREAS, Section 1.103-8(a)(5) of the Treasury Regulations and Revenue Ruling 79-321 generally permit proceeds of the Issuer's indebtedness to be used to pay or reimburse the Company's costs paid or incurred on or after the date on which the Issuer adopts a final bond resolution, a preliminary resolution, or takes some other similar "official action" toward the issuance of bonds; NOW, THEREFORE, BE IT RESOLVED by the City Council of the Issuer as follows: SECTION 1. The City Council finds and determines that the foregoing recitals are true and correct. SECTION 2. This Resolution is adopted by the City Council of the Issuer solely for the purpose of establishing compliance with the I 1 requirements of Section . 03-8(a} {5} of the Treasury Regulations. This Resolution does not bind the Issuer to issue any bonds or other indebtedness or to obtain, set aside or allocate for the benefit of the Company any amount of State of California private activity bond volume cap. SECTION 3. The City Council hereby declares the Issuer's present official intent to make proceeds of its future revenue bonds or other indebtedness available to the Company for its use in paying or reimbursing itself for costs of the Project. Such revenue bonds or other indebtedness shall be issued at one time or from time to time in an aggregate principal amount of up to $1,000,000,000, but shall be issued only if the Issuer and the Company first shall have agreed to mutually acceptable terms for the indebtedness, for the sale and delivery of the indebtedness, and for the loan agreement or other arrangement pursuant to which proceeds of the indebtedness will be made available to the Company. SECTION 4. The Issuer intends that this Resolution shall constitute "official action" toward the Issuer's issuance of indebtedness Resolution No. 16546 Page 2 within the meaning of section 1.103-8(a)(5) of the Treasury Regulations. SECTION 5. The City Council hereby authorizes the City Attorney and City Manager to hire bond counsel and other counsel as needed (including but not limited to Orrick, Herrington & Sutcliffe} in connection with the bonds to be issued to finance or refinance facilities for the Company, provided that no City funds other than proceeds of such bonds shall be required to pay fees and expenses of such bond counsel. SECTION 6. This Resolution shall take effect from and after its adoption. Lym~n Christopher ' ~ruce M. Boogaard Director of Finance ity Attorney Resolution No. 16546 Page 3 PASSED, APPROVED and ADOPTED by the City Council of the City of Chula Vista, California, this 24th day of March, 1992, by the following vote: YES: Councilmembers: Grasser Horton, Malcolm, Moore, Rindone, Nader NOES: Councilmember: None ABSENT: Councilmembers: None ABSTAIN: Councilmembers: None rim Nader, Mayor ATTEST: 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. 16546 was duly passed, approved, and adopted by the City Council held on the 24th day of March, 1992. Executed this 24th day of March, 1992. BeverlEy~. Authelet, City Clerk