HomeMy WebLinkAboutReso 2004-184
RESOLUTION NO. 2004-184
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A PLAN OF FINANCING IN
CONNECTION WITH REFUNDING BONDS TO BE ISSUED
FOR THE BENEFIT OF SAN DIEGO GAS & ELECTRIC
COMPANY FOR PURPOSES OF SECTION 1313(A)(3)(A) OF
THE TAX REFORM ACT OF 1986 AND SECTION 147(F) OF
THE INTERNAL REVENUE CODE OF 1986
WHEREAS, the City of Chula Vista (the "City") is authorized pursuant to its Charter and
Chapter 3.48 of the Municipal Code of the City (the "Municipal Code") to assist in financing or
refinancing utility facilities (located within and without the City); and
WHEREAS, pursuant to Ordinance No. 2669 adopted on April 16, 1996, the City has
amended Chapter 3.48 of the Municipal Code to authorize the City to issue refunding revenue
bonds to refund bonds previously issued by other issuers to fmance utility facilities located
within and without the City; and
WHEREAS, by Resolution No. 2004-093 adopted on March 23, 2004, the Council of the
City (the "City Council") authorized the issuance of not to exceed $686,400,000 of Industrial
Development Refunding Revenue Bonds (the "Refunding Bonds") on behalf of San Diego Gas
& Electric Company (the "Company") to refinance certain gas transmission and distribution
facilities and certain electricity generation, transmission and distribution facilities located within
and without the City (the "Refunding Projects") by providing for the redemption of outstanding
Industrial Development Revenue Bonds and Industrial Development Refunding Revenue Bonds
issued by the City or by the City of San Diego for the benefit of the Company; and
WHEREAS, the Refunding Bonds will be "private activity bonds" for purposes of Title
XIII of the Tax Reform Act of 1986, as amended (the "1986 Act") and Section 147(f) of the
Internal Revenue Code of 1986, as amended (the "Code"); and
WHEREAS, if the maturity date of any issue of Refunding Bonds is to be later than the
maturity date of the outstanding bonds to be refunded by those Refunding Bonds, prior to their
issuance Section 1313(a)(3)(A) of the 1986 Act and Section 147(f) of the Code require such
Refunding Bonds to be approved by an "applicable elected representative" of the issuing
governmental unit, after a public hearing held following reasonable public notice; and
WHEREAS, the City Council collectively is an "applicable elected representative" of the
City for purposes of Section 1313(a)(3)(A) of the 1986 Act and Section 147(f) of the Code; and
WHEREAS, all components of the Refunding Projects are located within the Counties of
San Diego, Imperial or Orange in the State of California; and
WHEREAS, there has been published, at least 14 days prior to the date hereof, in the San
Diego Union-Tribune, the Orange County Register and the Imperial Valley Press newspapers of
general circulation within the City and San Diego County, Imperial County and Orange County,
respectively, a notice that a public hearing regarding the plan of refmancing that includes the
Refunding Bonds would be held at ChUla Vista City Hall, 276 Fourth Avenue, Chula Vista,
California 91910, commencing at 6:00 P.M. local time, or as soon thereafter as the matter can be
heard on May 25, 2004; and
Resolution 2004-184
Page 2
WHEREAS, such hearing has been duly held on that date before the Director of Finance
of the City, at which time an opportunity was provided to interested parties to present arguments
both for and against the proposed issuance of the Refunding Bonds, as well as the Refunding
Projects; and
WHEREAS, it is intended that this resolution shall constitute approval of the plan of
financing that includes the Refunding Bonds by the City Council as an "applicable elected
representative" of the City for purposes of Section 1313(a)(3)(A) of the 1986 Act and Section
147(f) of the Code.
NOW, THEREFORE, BE IT RESOLVED by the City Council as follows:
SECTION 1. The City Council hereby finds and determines that the foregoing recitals are true
and correct.
SECTION 2. As an "applicable elected representative" of the City for purposes of Section
1313(a)(3)(A) of the 1986 Act and Section 147(f) of the Code, the City Council hereby approves
the plan of finance that includes issuance of the Refunding Bonds ITom time-to-time to refinance
the Refunding Projects.
SECTION 3. The provisions of this resolution are hereby declared to be severable. If any
section, phrase or provision shall for any reason be declared to be invalid, such declaration shall
not affect the validity of the remainder of the sections, phrases and provisions.
SECTION 4. All resolutions or parts thereof in conflict herewith, if any (of which none are
known to the City), are hereby repealed to the extent of such conflict.
SECTION 5. The City Clerk of the City shall forward a certified copy of this resolution and a
copy of the affidavit of publication of the hearing notice to:
David Augustine, Esq.
Orrick, Herrington & Sutcliffe LLP
Old Federal Reserve Bank Building
400 Sansome Street
San Francisco, California 94111
SECTION 6. This resolution shall become effective immediately.
Presented by
Approved as to form
~,"f:~P'~
Finance Director
~ mÆJ-fNL
AnD. Moore
City Attorney
Resolution 2004-184
Page 3
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this I st day of June, 2004, by the following vote:
AYES: Councilmembers:
NAYS: Councilmembers:
ABSENT: Councilmembers:
Davis, McCann, Rindone, Salas and Padilla
None
None
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ATTEST:
t J~,A~"'4
. Susan Bigelow, CMC, 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. 2004-184 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 1st day of June, 2004.
Executed this 1 st day of June, 2004.
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t Susan Bigelow, CMC, City Clerk