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HomeMy WebLinkAboutRDA Packet 1995/04/04 Tuesday, April 4, 1995 Council Chambers 4:00 p.m. Public Services Building Ønunedi."'ly following the City Counoil meeting) Joint Meetin~ of the Redevelooment A~encv/Citv Council of the Citv of Chula VistA CALL TO ORDER I. ROLL CALL: Memhers/Councilmemhers Moot -, Padilla -, Rindone -, and Chairman/Mayor Horton - 2. APPROVAL OF MINUTES: March 21,1995 CONSENT CALENDAR (Items 3 through 4) The s/Jlff reco1tUlU!ndDtions regarr/ing the foUoWÙIg iJenu listed under the Consent CaJeruiar will be eruu:ted by the Agenq by OM motion without discussion unless an Agenq Member, a member of the publü: or CiJy staff requests tJuzt the iJem be pulled for discussion. If you wish to speak on OM of these iJenu, please fiH out a -Request to SpeDJ; Fonn - awziJßble in the lobby Ø1U/ su1müt it to the Secreftuy of the Redevelopment Agenq or the City CIeri priDr to the meeting. (Complete the green fonn to speak in faror of the s/Jlff reCQ1tUlU!ndDtion; complete the pink fonn to speak in oppositiDn to the stDJf reCQ1tUlU!ndDtion.) lJems pulled from the Consent CaJeruiar will be discussed after Action Items. Items pulled by the publie will be the first iJenu of business. 3. WRITTEN COMMUNICATIONS: None 4. REPORT APPEAL OF DESIGN REVIEW COMMITTEE REQUIREMENTS FOR FULLER FORDIHONDA - Fuller FordlHonda received a temporary Certificate of Occupancy (COP) to allow the dealership to open and time to complete site improvements. All the improvements were completed or under contract to he completed with the exception of painting of the south boundary wall. Mr. Fuller has chosen to appeal this requirement and has been granted a continuation of his temporary COP until this issue is resolved. StAff recommends that the Agency consider the appeal and support the DRC recommendation that the south facing side of the southerly Auto Park boundary wall be painted white to match the color of the adjacent South Bay Chevrolet wall. (Community Development DirectorlDirector of Planning) * * END OF CONSENT CALENDAR * * PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES The following items have been advertised and/or posted as public hearings as required by law. If you wish to speak to any item, please fill out the "Request to Speak Form- available in the lobby and submit it to the Secretary of the Redevelopment Agency or the City Clerk prior to the meeting. (Complete the green form to speak infavorofthe staff recommendation; complete the pinkform to speak in opposition to the staffrecommendation.) Comments are limited to five minutes per individual. u: cicc"" ,.., ".. ,.... ' ,.. .",..". em ["" :. :. I. .,< ' ;>c \ , = en: (,0 ,u..,.c;;,er'J.C¡;,..CJ, "',.. ...,1 ('o~TE3-.'S/.q'~SIGNED ~.~J _.. .- Agenda -2- April 4, 1995 ORAL COMMUNICATIONS This is an opportunity for the general public to address the Redevelopment Agency on any subject matter within the Agency's jurisdiction thai is not an item on this agenda. (State law, however, generally prohibits the Redevelopmeal Agency from taking action on any issues not included on the posted agenda.) If you wish to address the CouncU on such a subject, please complete the yeUow "Request to Speak Under Oral Communications Form" available in the labby and submit it to the Secretary to the Redevelopment Agency or City Clerk prior to the meeting. Those who wish to speak, please give your name and address for record purposes and follow up action. Your time is limited to three minutes per speaker. ACTION ITEMS The items listed in this section of the agenda are expected to elicit substantial discussions and deliberations by the Agency, staff, or members of the general public. The items will be considered individually by the Agency and staff recommendations may in certain cases be presented in the alternative. Those who wish to speok, please fill out a "Request to Speok" form available in the labby and submit it to the Secretary to the Redevelopment Agency or the City Clerk prior to the meeting. Public comments are limited to five minutes. 5. A&B AGENCY AUTHORIZING THE EXECUTION AND DELIVERY OF A RESOLUTION 1448 JOINT EXERCISE OF POWERS AGREEMENT BY AND AND COUNCIL BETWEEN THE AGENCY AND THE CITY OF CHULA RESOLUTION 17852 VISrA. ESTABLISHING THE CHULA VISrA FINANCING AUTHORITY -on 11/1194, the Agency/Council adopted Resolutions 1432 and 17708 tentatively approving a refinancing of the outstanding debt of several Assessment Districts in order to achieve savings in annual assessments for property owners. Staff was directed to conduct a competitive process for the selection of an underwriting firm and to return to Council for approval of that selection and to establish a Marks-Roos Joint Power Authority as the conduit for the pooled refunding. Staff recommends approval of the resolutions. (Director of Finance) C COUNCIL APPOINTING THE TEAM OF STONE & YOUNGBERG AND RESOLUTION 17853 GRIGSBY BRANDFORD & CO., INC. TO SERVE AS UNDERWRITERS FOR THE PROPOSED NEGOTIATED SALE OF BONDS FOR ADVANCE REFUNDING OF VARIOUS ASSESSMENT DISTRICT DEBT UNDER THE MARKS-ROOS LOCAL BOND POOLING ACT. D COUNCIL INTENTION TO LEVY REASSESSMENTS AND TO ISSUE RESOLUTION 17854 REFUNDING BONDS UPON THE SECURITY THEREOF. ITEMS PULLED FROM THE CONSENT CALENDAR This is the time the Redevelopmeal Agency will discuss items which have been removed from the Consent Calendar. Agenda items pulled at the request of the public will be considered prior to those pulled by Agency Members. Public comments are limited to five minutes per individual. - ,- Agenda -3- April 4, 1995 OTHER BUSINESS 6. DIRECTOR/CITY MANAGER REPORT(s) 7. CHAIRMAN/MA YOR REPORTlS) 8. MEMBER COMMENTS 9. CLOSED SESSION Unless Agency Counsel, the Executive Director, or the Redevelopment Agency stales otherwise at this time, the Agency will discuss and deliberale on thefollawing item(s) of business which are permitted by law to be the subject of a closed session discussion, and which the Agency is advised should be discussed in clased session to best protect the interests of the City. The Agency is required by law to return to open session, issue any reports of Ê!l!J1 action taken in closed session, and the votes taken. However, due to the typical length of time talam up by closed sessions, the videotaping will be terminated al this point in order to save costs so that the Agency's return from closed session, reports of Ê!l!J1 action taken, and adjournment will not be videotaped. Nevertheless, the report of final action taken will be recorded in the minutes which will be available in the Office of the Secretary to the Redevelopment Agency and the City Clerk's Office. 10. CONFERENCE WITH LEGAL COUNSEL REGARDING: 1. Disposition/Sale of Agency property pursuant to Government Code Section 54956.8 . 801 Broadway, Chula Vista (former South Bay Chevrolet site) 11. REPORT OF ACTIONS TAKEN IN CLOSED SESSION ADJOURNMENT The meeting will adjourn to the Regular Redevelopment Agency Meeting on April 18, 1995 at 6:00 p.m., immediately following the City Council meeting, in the City Council Chamhers. ...... COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT The City of Chula VistA, in complying with the Americans With Disabilities Act (ADA), request individuals who require special accommodations to access, attend, andJor participate in a City meeting, activity, or service request such accommodation at least forty-eight hours in advance for meetings and five days for scheduled services and activities. Please contAct the SecretAry to the Redevelopment Agency for specific information at 619.691.5047 or Telecommunications Devices for the Deaf (fDD) at 619.585.5647. California Relay Service is also available for the hearing impaired. [C:I WP51IAGENCYIAGENDASI04-04-95.AGD SPECIAL JOINT MEETING OF THE REDEVELOPMENT AGENCY! CITY COUNCIL OF THE CITY OF CHULA VISTA Tuesday, March 21, 1995 Council Chambers 9:35 p.m. Public Services Building CALL TO ORDER I. ROLL CALL: PRESENT: Agency/Council Members Fox, Moot, Padilla, Rindone, and Chair/Mayor Horton ALSO PRESENT: Sid W. Morris, AssistAnt City Manager; Bruce M. Boogaard, Agency Attorney; and Beverly A. Authelet, City Clerk 2. APPROVAL OF MINUTES: Meeting of March 7 and 14, 1995 MSUC (Fox/Rindone) to approve the minutes of March 7 and 14, 1995 as presented. CONSENT CALENDAR 3. WRITTEN COMMUNICATIONS: None * * END OF CONSENT CALENDAR * * PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES 4. PUBLIC HEARING: CONDITIONAL USE/SPECIAL USE PERMIT PCC-95-12 FOR THE CONSTRUCTION OF THE CIVIC CENTER PARKING LOT EXPANSION PROJECT PROPOSED TO BE LOCATED AT 459 F STREET AS PART OF THE CIVIC CENTER MASTER EXPANSION PLAN A. RESOLUTION 17834 ADOPTING NEGATIVE DECLARATION (IS-95-09) AND APPROVING THE CONDITIONAL USE PERMIT (PCC-95-12) FOR THE CIVIC CENTER PARKING LOT EXPANSION AT 459 F STREET -- In April 1990, Council adopted the Negative Declaration and approved the Civic Center Expansion Master Plan for the Civic Center Complex. Staff recommends approval of the resolutions. (Community Development Director) B. RESOLUTION 1448 ADOPTING NEGATIVE DECLARATION (IS-95-09) AND APPROVING THE CONDITIONAL USE PERMIT (PCC-95-12) FOR THE CIVIC CENTER PARKING LOT EXPANSION AT 459 F STREET Agency/Council Member Rindone stAted he would abstain from participation due to the proximity of his home to the project. This being the time and place as advertised, the public hearing was declared open. There being no public testimony. the public hearing was declared closed. ;¿ -I -~, - -,. Minutes March 21, 1995 Page 2 AGENCY/COUNCIL MEMBER MOOT OFFERED RESOLUTIONS 17834 AND 1448, reading of the text was waived, passed and approved 4-0-0-1 with Rindone abstaining. ORAL COMMUNICATIONS None ACTION ITEMS None ITEMS PULLED FROM THE CONSENT CALENDAR Items pulled: none. The minutes will reflect the published agenda order. OTHER BUSINESS 5. DIRECTOR/CITY MANAGER REPORTlS) - None 6. CHAffi/MA YOR REPORT IS) Member Rindone Member Rindone requested that his absence from the 4/4/95 RDA meeting be excused as he would be out of town. MSUC (Padilla/Moore) to excuse the ahsence of Member Rindone on 4/4/95. 7. AGENCY/COUNCIL MEMBER COMMENTS - None ADIOURNMENT ADJOURNMENT AT 9:35 P.M. to the Regular Redevelopment Agency Meeting on April 4, 1995 at 4:00 p.m., immediately following the City Council meeting, in the City Council Chambers. Respectfully submitted, BEVERLY A. AUTHELET, CMC/AAE, City Clerk by: ~~L~~~ Vicki C. Soderquist, Dep~ Clerk ~-:2- ,-, - REDEVELOPMENT AGENCY AGENDA STATEMENT Item ~ Meeting Date 04/04/95 ITEM TITLE: Appeal of Design Review Committee Requirements for Fuller Ford/Honda SUBMITTED BY: Camm""!" "",,¡opmro!t' /)k Director of Planning :~ ~ REVIEWED BY: E=uti~Di~'t --J (4I,""V"", y~- NoXJ BACKGROUND: Fuller Ford/Honda opened at their new dealership at the Chula Vista Auto Park in mid-November. At that time, certain site improvements as approved by the Design Review Committee (DRC) were not completed. Fuller Ford/Honda received a temporary (90 day) certificate of occupancy to allow the dealership to open and time to complete the site improvements. The temporary Certificate of Occupancy expired in mid-February. At that time all of the improvements were completed or under contract to be completed with the exception of painting of the south boundary wall. Mr. Doug Fuller, owner of the dealerships, has chosen to appeal this requirement to the Redevelopment Agency and has been granted a continuation of his temporary Certificate of Occupancy until this issue is resolved. RECOMMENDATION: That the Agency consider the appeal from Mr. Fuller and support the DRC recommendation that the south facing side of the southerly Auto Park boundary wall be painted white to match the color of the adjacent South Bay Chevrolet wall. BOARDS/COMMISSIONS RECOMMENDATION: A special meeting of the DRC was held on October 3, 1994 (minutes attached) to consider deviations from previously approved site development plans requested by Mr. Fuller. At that meeting, the DRC recommended the following: 1. Bomanite shall be provided at both driveway entrances to the Fuller Ford/Honda site. 2. The southerly portion of the perimeter wall shall be painted the same color as the South Bay Chevrolet portion of the wall facing towards the regional park and planting shall be provided on the southerly slope to screen said wall and satisfy EIR requirements pertinent to the project. 3. The area adjacent to the showroom area shall be treated with a pattern clearly distinguishable from that proposed within the auto display pad areas. Specific design solutions for the auto display areas and the area adjacent to the showroom shall be submitted to staff for review and approval. DISCUSSION: Pursuant to the request for a permanent Certificate of Occupancy, a final inspection of site improvements was conducted by planning staff. It was determined that the following items remained to be completed in order to satisfy all of the staff and DRC requirements: 1. Ground cover missing from planters. {-I Page 2, Item ~ Meeting Date 04/04/95 2. Luminaries have not been installed in vehicle storage area. 3. Chain link gates installed rather than metal pipe gates at three access points to vehicle storage area. 4. Southerly portion of perimeter wall has not been painted. All of the items above have been resolved with the exception of item #4 - painting of the wall. Ground cover has been replaced and lights are being installed in the service area. After discussing item #3 with the developer, staff agreed that the chain link gates provided greater security and that the steel roll-up doors could not be installed because of the amount of service equipment in the ceiling of the service bays. Mr. Fuller has indicated that he will not paint the wall because its present color, natural grey, matches the rear and sides of his dealership and service buildings. In addition, Mr. Fuller feels that he is being penalized because South Bay Chevrolet had to paint the wall. The original plans for Fuller Ford/Honda as well as South Bay Chevrolet showed the installation of a split faced block wall with the textured surface facing southward towards the river valley. Both dealerships installed the wall outside-in, with the textured surface facing towards the dealership buildings (northward). South Bay used blocks with multi-colored smooth sides facing the river valley. The DRC required that the south facing side be painted white for uniformity as seen from the south. Fuller's blocks are solid grey and match the color of the rear portion of his dealership buildings. Painting the wall white to match South Bay's wall will contrast with the color of his buildings and add cost to the project, according to Mr. Fuller. The wall in question is the perimeter wall for the Auto Park as a whole, and is not intended to be a patchwork of materials and colors to match the individual dealership buildings. The DRC stipulated that the wall be painted in the spirit of compromise in order to help rectify errors in the installation of the wall and to present a consistent appearance from the proposed regional park in the river valley to the south. The additional expense is unfortunate, but the installation of the wall was clearly not in accordance with the approved dealership plans or the Auto Park Master Plan. Staff therefore recommends that the Agency support the recommendation of the DRC and require that the wall be painted. FISCAL IMPACT: The cost to the dealership to paint the south face of the wall is estimated at $3,000. There are no related costs to the Agency or City. ak:kaumanIra4s\d",apeal.ra4 ¿¡-~ /'. MINUTES OF A SPECIAL MEETING OF THE DESIGN REVIEW COMMITrEE Mond3v October 3. 1994 Conference Rooms 2 and 3 4:30 p.m A. ROLL CALL ~ MEMBERS PRESENT: Chair Spethman, Vice Chair Rodriguez, Member Way MEMBERS ABSENT: Member Duncanson and Kelly, with noûfication STAFF PRESENT: Principal Planner Steve Griftm . Acting Associate Planner Amy. Wolfe 'I Redevelopment Coordinator Fred Kassman B. INTRODUcrORY REMARKS Chair Spethmanmade an opening statement explaining the design review process and the committee's responsibilities. He asked that all speakers sign in and identify themselves verbally for the record when speaking. C. PRESENTATION OF PROJECfS DRC~3-23. South BavChevrolet " Discussion Chair Spethman $fated that all Design Review Committee members present bad visited the So!Ith Bay ÇhcVrolet and the Fuller FordlHouda site. He indicated that in his opinion a) bomanite should be installed at the main driveway entrance to the South Bay Chevrolet site, b) the pedestrian access areas adjacent to the showroom eutrance area should be defined by using a saw-<:ut pattern and tile pavers, c) the southerly perimeter wall should be painted and screened with landscaping materials. Project manager Tony Collura $fated that the suggested design treatment for thC pedestrian access areaS is not Possible because saw-cutting the slab would affect its r¡trocturaI integrity, and additional1andscapingcould not be provided arid m~int~i~ adj~ to the perimeter wall due to water consumption limitations. Redevelopment Coordinator Fred Kassman indicated that a water meter is in place forthC irrigation òflaIìdscaping materials planted on the slope adjacent to the southerly property line of the project and that would , address any concerns exptCSSCd by the applicam. in terms 'of ~~ou. . - M~3 - ~ Member Rodriguez coIlCl1ITCd with the Chair in that the pedestri:in access areas adjacent to the showroom should be enhanced with a decorative hardscape treatment. Mr. Collura asked if the Committee could simply approve or deny the project proposal¡ as constructed. Principal Planner Steve Griffm indicated that the Committee tries to resolve design issues by provid~ some general direction and design suggestions which may be considered and! or refined by the project architect. Member Way stated that he agreed with the Cbair'srecommendations. MSUC (Spethm.aD!Way) (3-0) to approve the proposed amendments to DRC .93-23 subject to the following conditions;. , L Bomanite shaIl be installed at the main driveWay entrance 'to the South Bay Chevrolet site. 2. The pedestrian acCess areas adjacent to the showroom shall be defined by an " enhanced, hardscape treatment. Specific design solUtions shall be submitted to . staf( for review and approval. . ' 3. . The southerly perimeter wall shall be painted and adeqUate planting materials shall.be provided on the slope adjacent to it to screen sald wall arid satisfy pertinentEIR requirements. .' . - . . '-1-1 ,- -, "-, 03-eJ1-1995 06:33PM FROM 00i! 1i 0æe10i! 1i 00000i! 1i 0i! 1i TO 102884765310 P.02 . CMaD Con.truçtion Management &. Development City OfChula Vista C/O Frœ Kassman,Coordinator Community Developement 276 Fourth Ave, Chula Vista, Vista,Ca 92010 March I, 1995 Dear Fred, In ¡egards to the painting of the south side of the south wall on the property line at Fuller Ford, Mr. Fuller will not agree to paint the south side of this wall white. As it stands the wall matches his building with natural gray- South Bay Chevrolets wall on the south side matches their building which is white. Thank you very much for your cooperation, Sincerely, ~~ Project Manager, CM&D H..oIol. OffIce ...1Heto om« '2B Nuuanu Avo.... ,.,. "-my VIII. Road. _th"- "'...""- H."oM... H....¡¡ '6$17 ... ."",CA 9zm ,aoB) 52307710 10..1774-'111 ".BI ........ I,. <6191 974-9179 r.. TOTAL P.Ø2 '1- :; -, INFORMATION MEMORANDUM March 30, 1995 TO: Honorable Mayor & Council Members VIA: John D. Goss, City Manager~ t:-;-;) FROM: Chris Salomone, Community Development Director{Q;' L~ SUBJECT: Refinancing of Eastlake Assessment Districts - Relationship to Future High Tech/Bio Tech Zone Menu Agreement with Eastlake Council will be considering the refinancing of ~ EastLake Assessment District bonds and the issuance of new EastLake Assessment District bonds at the April 4 meeting. This is to advise you that this Council action (staff report attached) is related to on-going negotiations with Eastlake Development Company concerning the High Tech/Bio Tech Zone. As you know, an agreement is being negotiated to facilitate land write downs and/or payment of fees as incentives in the zone. The agreement proposes that Eastlake absorb the costs of providing such incentives in exchange for City concessions of a non-cash nature. The agreement, to be brought forward to Council in the near future, will include a "menu" of concessions. It will also include concession values (the value of the benefit to Eastlake) from which the City and Eastlake can negotiate incentive packages as desirable business prospects are identified, i.e., on a case by case basis. Discussions have been ongoing with Eastlake for some time with certain concession items already identified for recommendation to Council. Among those proposed by Eastlake since the program's inception is the refinancina of Eastlake Assessment District bonds. Therefore, staff recommends that as part of Council's action to refinance Eastlake bonds, Council direct staff to include this item and the related value as a concession in the Menu Agreement. Further, staff recommends that the issuance of ~ Eastlake Assessment District Bonds also be included as a concession in the Menu Agreement. As indicated, the Menu Agreement is being negotiated with Eastlake and will be brought to Council in the near future. IIMD) c:\wp51\document\eastlake.mem) JOINT AGENCY/COUNCIL/AUTHORITY AGENDA STATEMENT Item S Meeting Date 4/04/95 ITEM TITLE: Resolution It/# of the Redevelopment Agency of the City of Chula Vista authorizing the execution and delivery of a joint exercise of powers agreement by and between the Agency and the City of Chula Vista, establishing the Chula Vista Financing Authority. Resolution! 7ð'~ of the City Council of the City of Chula Vista authorizing the execution and delivery of a joint exercise of powers agreement by and between the City and the Redevelopment Agency of the City of Chula Vista, establishing the Chula Vista Financing Authority. Resolution/1f530f the City Council of the City of Chula Vista appointing the team of Stone & Youngberg and Grigsby Brandford & Co., Inc. to serve as underwriters for the proposed negotiated sale of bonds for advance refunding of various Assessment District debt under the Marks-Roos Local Bond Pooling Act. Resolution/78"if the City Council of the City of Chula Vista of intention to levy reassessments and to issue refunding bonds upon the security thereof. SUBMITTED BY: Director of Finance~ REVIEWED BY: C;ty M""'lXt b ~ (4/5ths Vote: Yes - N o..lL_J SUMMARY: On November 1, 1994, the Council/Agency adopted resolution numbers 17708 and 1432 tentatively approving a refinancing of the outstanding debt of several Assessment Districts in order to achieve savings in annual assessments for property owners. The direction was to pursue the refunding using a pooled concept allowed under State laws referred to as Marks-Roos. Under the same resolutions, the firms of Kelling, Northcross & Nobriga. Inc. and Jones, Hall, Hill & White were appointed as Financial Advisor and Bond Counsel respectively. Additionally, staff was directed to conduct a competitive process for the selection of an underwriting firm and to return to Council for approval of that selection and to establish a Marks-Roos Joint Power Authority as the conduit for the pooled refunding. Approval of this item will s-¡ _.. Page 2. Item j Meeting Date 4/04/95 establish the Chula Vista Public Financing Authority, appoint the team of Stone & Youngberg and Grigsby, Brandford & Co. Inc. as the underwriters on the transaction, and direct preparation of the required reassessment report in furtherance of the refinancing of the debt for Assessment Districts 85-2, 86-1, 87-1, and 88-2. Once the reassessment report is completed, staff will return to the Council and the Authority for the necessary approvals to issue the refunding bonds. RECOMMENDATION: Approve Resolution No. 1448 of the Redevelopment Agency and approve Resolution No. 17852, 17853 and 17854 of the City Council and direct staff to include any savings to Eastlake Development Company as the result of this refunding in the Concessions Menu currently under consideration for the High Tech/Biotech Zone. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable DISCUSSION: The City currently has twelve special assessment districts with outstanding debt. Based on a review by the financial advisory firm of Kelling, Northcross & Nobriga, Inc. (KNN), it appears that property owners in four of those districts would benefit by a savings of between ten and twenty-two percent on their annual assessments as the result of a refunding. In order to achieve such a high level of savings, it is recommended that the refunding be accomplished on a pooled basis allowed under State law referred to as the Marks-Roos Local Bond Pooling Act (Government Code Section 6584 et. al.). Under these statutes, the City and the Agency must create a Marks-Roos joint powers authority (JPA) to act as a conduit to issue the debt, with the Council sitting as the JPA Board. Otherwise the JPA will have no other functions and will incur no other expenses. In a traditional refinancing, each issue of assessment bonds would be refunded with an issue of refunding assessment bonds. A pooled financing involves the issuance of a single issue of bonds, for the purpose of financing multiple projects of multiple issuers. The benefits of a pooled financing include (1) payment of only a single set of issuance costs, (2) increasing the diversity of taxpayers securing the refunding bonds, (3) eliminating the need for a reserve fund to be established for each issue of Assessment Bonds, since under this financing structure a reserve fund is established solely for the authority bonds, and (4) providing for ease of administration (for example, arbitrage rebate requirements under federal income tax law are applied only at the pool level). j-J -.. - / Page 3. Item !) Meeting Date 4/04/95 A fairly recent modification of the typical pooled structure makes use of a "senior - subordinate" bond structure. This financing technique calls for the joint powers authority to issue two separate series of bonds to finance the pool of underlying transactions - one issue is secured by a senior lien on the pool, the other is secured by a junior lien on the pool. This structure essentially isolates a piece of the financing (Le. the senior lien bonds) which are not only secured by an underlying pool, but which are over-collateralized by the pool and have a first claim to it. The inherent strength of the senior lien bonds allows them to be highly rated and. in some cases, eligible for municipal bond insurance. This, in turn, results in significant interest rate savings to the pool as a whole. This financing structure was recently used by the City of Oceanside. Based on the foregoing discussion, the proposed financing technique for refunding the City's Assessment Bonds is as follows: 1) Form a Joint Powers Authoritv. As mentioned above, the Mark Roos Local Bond Pooling Act is only available to joint powers authorities. In order to take advantage of the Act, the proposal is that the City and the Agency form a joint powers authority (the "Authority"). This is accomplished by the City Council and the Agency each adopting a resolution which authorizes a Joint Exercise of Powers Agreement, and the execution of the Agreement by the City and the Agency. 2) Citv Issues Refundina Bonds. The City will issue its refunding bonds for the purpose of refunding each issue of the Assessment Bonds, The refunding bonds will be issued under the "summary" refunding provisions of the Streets and Highways Code (starting at Section 9520 of the Code). These provisions allow the City to refund the Assessment Bonds without a public hearing so long as (1) each annual assessment is reduced as a result, (b) the maturity of the bonds is not extended, and (c) the principal amount of the new assessments is less than the unpaid principal amount of the original assessment. 3) JPA Issues Pool Bonds. The Authority will issue a single issue of its refunding bonds, which will be divided into a series of senior lien bonds and a series of junior lien bonds as described above. Proceeds of the Authority's bonds will be used to purchase the City's refunding bonds described in paragraph 2; in this way, the City's refunding bonds become the "pool" which secures the Authority bonds. The Authority bonds will be sold to the underwriter(s) selected and an official statement will be prepared for marketing purposes. Authorization of the bonds and approval of the sale of the bonds will be accomplished by a single resolution of the Authority. The Authority's bonds ~~3 Page 4. Item S Meeting Date 4/04/95 will be structured so that all excess cash flow will be returned to the assessment districts on an annual basis, after paying annual debt service on the Authority bonds, which thereby provides the reduction in annual assessments. The four districts considered candidates for refunding are as follows: Assessment District Estimated Savinqs 85-2 Eastlake AD 22.4% 86-1 Eastlake AD 13.8% 87-1 East "H" Street 11.8% 88-2 Otay Lakes Road 10.1 % Selection of Bond Underwriter At the Council Meeting of November 1, the Director of Finance was authorized to follow a competitive process for selection of an underwriting firm or firms, and to return to Council with a recommendation for approval. A request for qualifications was sent to ten different municipal underwriting firms on Monday, November 7, soliciting information regarding their qualifications for marketing this somewhat unique type of debt. Three proposals were subsequently received, one from the firm of M. L. Stern & Co., Inc proposing alone, and one each from the firms of Chilton & O'Conner, Inc./Miller & Schroeder Financial, Inc. and Stone & Youngberg/Grigsby Brandford & Co., Inc., proposing as underwriting teams. Due to the complex and somewhat unique nature of this transaction, the primary criteria for evaluation was experience in underwriting assessment district debt that was either rated, insured, or specifically structured as a senior/junior issue. Although all three proposals were well received, the proposal from Stone & Youngberg/Grigsby Brandford & Co., Inc. was judged the best based on this team's superior level of related experience. Stone & Youngberg has sold more California assessment district bonds than all other firms combined. Although it is anticipated that most of the debt will be purchased by retail investors, which is the market segment in which Stone & Youngberg excels, Grigsby Brandford & Co. will be a valuable asset in marketing the senior lien debt due to their relationships with potential institutional investors. As communicated in the November agenda item, the underwriting fees will be less than two percent of the par value of the refunding issue (estimated at $20.6 million). It is proposed that the fee be set at one percent for the senior bonds and two percent for the junior bonds. The differential is due to the additional effort involved in marketing the junior, uninsured, bonds. In addition to these marketing fees, it is proposed that expenses related to contracting for the legally required reassessment S~L{. -, - Page 5. Item ,.- Meeting Date 4/04/95 report be approved in an amount not to exceed $30,000. All such costs will be funded out of the debt proceeds. Hiah Tech/Biotech Zone A "menu" of potential concessions related to attracting businesses to the High tech/biotech Zone is currently being formulated with Eastlake Development Company. Since Eastlake Development Company still owns approximately 30 percent of Assessment District 85-2, and it is estimated that this District will benefit by reductions in debt service payments from this refunding by approximately 22.4 percent, the savings to Eastlake Development Company should be considered as a concession by the City in that process. FISCAL IMPACT: All costs of issuance, including the fees for Bond Counsel ($60,000 est.) and Financial Advisor ($100,000) previously approved, will be paid from the debt proceeds, including the cost of staff time spent in managing the refunding process. The staff time reimbursement should result in approximately $4,000 to $5,000 in reimbursement revenue to the General Fund. The underwriting fees including the expense of the reassessment report will be approximately $277,750. ~ ~ 6 -~ - . '. RESOLUTION 1448-A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AUTHORIZING THE EXECUTION AND DELIVERY OF A JOINT EXERCISE OF POWERS AGREEMENT BY AND BETWEEN THE AGENCY AND THE CITY OF CHULA VISTA, ESTABLISHING THE CHULA VISTA PUBLIC FINANCING AUTHORITY WHEREAS, the City of Chula Vista (the "City") and the Redevelopment Agency of the City of Chula Vista (the" Agency") desite to create and establish, pursuant to the laws of the State of California, the Chula Vista Public Financing Authority (the" Authority") for the purpose of facilitating the refinancing of certain outstanding assessment bonds previously issued by the City with' respect to various assessment districts located in the City; and, WHEREAS, there has been presented to this meeting a ptoposed form of Joint Exercise of Powers Agreement (the "Agreement"), by and between the Agency and the City which Agreement creates and establishes the Authority; NOW, THEREFORE, IT IS HEREBY ORDERED as follows: Section 1. Approval of the Agreement. The form of the Agreement, on file with the Agency Secretary and known as document RACO-95-02, is hereby approved, and the Chairman is hereby authorized to eXecute, and the Agency Secretary is hereby authorized to attest, seal and deliver, the Agreement in substantially said form, with such additions or changes thereto that may hereafter become necessary in the interests of Agency and which are reviewed and approved by the Executive Director, any such additions or changes to be conclusively evidenced by the execution and delivery of the Agreement. Upon the adoption of this resolution and the adoption by the City Council of its resolution approving the execution and delivery of the Agreement by the City, the Authority shall thereupon come into existence and shall be authorized to act under the Agreement. Section 2. Effective Date. This resolution shall take effect from and after its adoption. &; W f~ » Presented by: ~ 'mœ M, ,}_d "Robert W. Powell Agency Treasurer Agency Counsel .- RESOLUTION NQ. l'f¥g' - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AUTHORIZING THE EXECUTION AND DELIVERY OF A JOINT EXERCISE OF POWERS AGREEMENT BY AND BETWEEN THE AGENCY AND THE CITY OF CHULA VISTA, ESTABLISHING THE CHULA VISTA PUBLIC FINANCING AUTHORITY WHEREAS, the City of ChuJa Vista (the "Citý') and the Redevelopment Agency of the City of ChuJa Vista (the" Agencý') desire to create and establish, pursuant to the laws of the State of California, the Chula Vista Public Financing Authority (the" Authoritý') for the purpose of facilitating the refinancing of certain outstanding assessment bonds previously issued by the City with respect to various assessment districts located in the City; and WHEREAS, there has been presented to this meeting a proposed form of Joint Exercise of Powers Agreement (the "Agreement"), by and between the Agency and the City, which Agreement creates and establishes the Authority; NOW, THEREFORE, IT IS HEREBY ORDERED as follows: Section 1. Approval of Agreement. The form of the Agreement, on file with the Agency Secretary and incorporated in this resolution by reference, is hereby approved, and the Chairman is hereby authorized to execute, and the Agency Secretary is hereby authorized to attest, seal and deliver, the A&reement in substantially said form, with such additions or changes thereto that may herea er become necessary in the interests of Agency and which are reviewed and ~proved bl the Executive Director, any such additions or changes to be conclusively evi enced by t e execution and delivery of the Agreement. Upon the adoption of this Resolution and the adoption by the City Council of its resolution approving the execution and delivery of the Agreement by the City, the Authority shall thereupon come into existence and shall be authorized to act under the Agreement. Section 2. Effective Date. This resolution shall take effect from and after its adoption. Presented by: J ~~ Robert W. potu Agency Treasurer - 5-7 ~/1> RESOLUTION NO. /1.f 5' ;?--- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE EXECUTION AND DELIVERY OF A JOINT EXERCISE OF POWERS AGREEMENT BY AND BE1WEEN THE CITY AND THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, ESTABLISHING THE CHULA VISTA PUBLIC FINANCiNG AUTHORITY WHEREAS, the City of ChuIa Vista (the "City") and the Redevelopment Agency of the City of ChuIa Vista (the "Agency") desire to create and establish, pursuant to the laws of the State of California, the Chula Vista Public Financing Authority (the "Authority") for the purpose of facilitating the refinancing of certain outstanding assessment bonds prevIously issued by the City with respect to various assessment districts located in the City; and WHEREAS, there has been prešented to this meeting a proposed form of Joint Exercise of Powers Agreement (the "Agreement"), by and between the Agency and the City, which Agreement creates and establishes the Authority; NOW, THEREFORE, IT IS HEREBY ORDERED as follows: Section 1. Approval of Agreement. The form of the Agreement, on file with the City Oerk and incorporated in this resolution by reference, is hereby approved, and the Mayor is hereby authorized to execute, and the City Cierk is hereby authorized to attest, seal and deliver, the Agreement in substantially said form, with such additions or cha:fes thereto that may hereafter become necessary in the interests of City and which are review and 3proved by the City Manager, any such additions or changes to be conclusively evidenc by the execution and delivery of the Agreement. Upon the adoption of this Resolution and the adoption by the Agency of its resolution approving the execution and delivery of the Agreement by the Agency, the Authority shall thereupon come into existence and shall be authorized to act under the Agreement. Section 2. Effective Date. This resolution shall take effect from and after its adoption. Presented by: ~ t/.. --d~ Director of Finance j- q ~,; 13122-01 HHWGkgyl 3/15/95 3/22/95 , JOINT EXEROSE OF POWERS AGREEMENT CHULA VISTA PUBLIC FINANCING AUTIIORITY TIlIS JOINT EXERCISE OF POWERS AGREEMENT dated as of April 4, 1995, Is by and between the CITY OF CHULA VISTA, a charter city and municipal corporation duly organized and existing under and by virtue of the Constitution and laws of the State of California (the "City"), and the REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, a public body corporate and politic organized and existing under the laws of the State of California (the" Agency"); WITNESSETH: WHEREAS, agencies formed under Article 1 (commencing with Section 6500) of Chapter 5, Division 7, Title 1 of the Government Code of the State of California (the "Joint Powers Law") are permitted to provide financing for any of their members or other local public agencies in the State of California in connection with the acquisition, construction and improvement of public capital improvements, working capital requirements or insurance programs of such members or other local agencies; and WHEREAS, the City and the Agency wish to form an agency under the Joint Powers Law, to be 1cnown as the Chula Vista Public Financing Authority, for the p~se of providing an entity which can assist in providing financing for purposes which are au orized under the Joint Powers Law; NOw, THEREFORE, In consideration of the above premises and of the mutual promises herein contained, the City and the Agency do hereby agree as follows: ARTICLE I DEFINITIONS Section 1.01. Definitions. Unless the context otherwise requires, the words and terms defined In this Article shall, for the purpose hereof, have the meanings herein specified. "Aweement" means this Joint Exercise of Powers Agreement, as originally entered Into or as amended from time to time In accordance with Section 5.06. "Authority" means the ChuIa Vista Public Financing Authority established pursuant to Section 2.02. "Board" means the Board of Directors referred to In Section 2.03, which shall be the governing body of the Authority. "Bond Act" means the provisions of Article 4 of the Joint Powers Law (commencing with Section 6584). S..- II ð.. b "Bonds" means bonds, notes or other obligations of the Authority issued pursuant to the Bond Act or pursuant to any other provision of law to finance the acquisition, construction and improvement of Public Capital Improvements, or for any other purposes authorized under the Bond Act. "By-Laws" means any by-laws, rules and regulations adopted by the Board pursuant to Section 2.07, as amended from time to time pursuant to resolution of the Board. "Fiscal Year" means the period from July 1 in any calendar year to and including June 30 in the succeeding calendar year. "Toint Powers Law" means Articles 1 through 4 (commencing with Section 6500) of Chapter 5, Division 7, Title 1 of the Government Code of the State of California. "LocaT A&ençy" means eaçh of the Members, and any other city, çounty, city and county, agency, special district or other public corporation of the State of California. "Members" means, çollec:tively, the Oty and the Agency. "Publiç Capital Improvements" has the meaning given such term in Sec:tion 6585(g) of the Bond Act. ARTICLE II GENERAL PROVISIONS Section 2.01. Purpose. This Agreement is entered into pursuant to the Joint Powers Law. The purpose of this Agreement is t°tafrovide for the financing for the acquisition, construction and Improvement of Publiç CaJ: ~rovements of any Local Agency, or for any other financing purposes authorized under Bo Act. Section 2.02. Creation of Authority. Pursuant to the Joint Powers Law, there is hereby created a joint powers agency to be known as the "Chula Vista Publli: Fmancing Authority". The Authority shall be a publiç entity separate and apart from the Members, and shall administer this Agreement. Section 2.03. Board. (a) Composition of Board. The Authority shall be iovemed by a Board of five (5) directors, unless and until changed by amendment of this greement. The directors shall consist the members of the 0% Council of the Oty, eaçh of whom shall be a member of the Board by virtue of being a mem er of the Oty Council of the Oty. The Board shall be called the "Board of Directors of the Chula Vista Publli: Financing Authority". All voting power of the Authority shall reside in the Board. ' (b) Call. Notice and Conduct of Meetin&s. All meetings of the Board, including without limitation, regular, adjourned regular and special meetings, shall be called, notked, held and conducted in accordance with the þ'°visions of the Ralph M. Brown Açt of the State of California (constituting Chapter 9 of art 1 of Division 2 of Title 5 of the Government Code of the State of California). - -2- S - I), IÀ-,b (c) Q!!Qmm. A majority of the members of the Board shall constitute a quorum for the transaction of business, except that less than a quorum may adjourn from time to time. The . affirmative votes of at least a majority of the Directors present at any meeting at which a quorum is present shall be required to take any action by the Board. Section 2.04. Chief Financial Officer. Pursuant to Section 6505.5 of the Joint Powers Law, th~rson performing the functions as chief financial officer of the City is hereby designat as the Chief Financial Officer of the Authority and, as such, Shalll,erform the functions of the treasurer of the Authority and the functions of the auditor of the uthority, as such functions are set forth in Section 6505.5 of the Joint Powers Law. Pursuant to Section 6505.1 of the Joint Powers Law, the Chief Financial Officer shall have charge of, handle and have access to all accounts, funds and money of the Authority and all records of the Authority relating thereto. As treasurer of the Authority, the Chief Financial Officer shall have custody of all of the accounts, funds and money of the Authority from whatever source. In the event, but only in the event, that the Chief Financial Officer holds moneys for the account of the Authority or the Members, the Chief Financial Officer shall verify and report in writing on the first day of July, October, Januàry and April of each year to the Authority and the Members the amount of money held for the Authority by the Chief Financial Officer, the amount of receipts since the last such report, and the amount paid out since the last such report. The Members hereby acknowledge and agree that the inItial finanång proposed to be undertaken by the Authority for the purpose of refinancing various issues of assessment bonds of the City is not intended to result in any such moneys being held by the Chief Financial Officer for the account of the Authority or the Members, as a consequence of which no such report shall be required to be given by the Chief Financial Officer under this paragraph. As auditor of the Authority, the, Chief Financial Officer shall draw warrants to I::fi demands against the Authority when the demands have been a~ved by the Board and s assure that there shall be strict accountability of all funds an reporting of all receipts and disbursements of the Authority. Section 2.05. Officers of the Authority. The officers of the Authority shall consist of a Chairman, Vice-Chairman, Executive Director and Secretary, who shall consist of the Mayor, Vice-Mayor, City Manager and City Oerk of the City, respectively. Said officers shall ~orm such functions as shall be customary in the exeråse of such ~ and as 7 more specifically rovided by the Authority from time to time. The shall sign contracts on behalf 0 the Authority, except as may otherwise be provided by resolution of the Board. The Vice Chairman shall act, sign contracts and perform the duties of the Chairman in the absence of the Chairman. The Executive Director shall have char\e of the da~-day administration of the Authority and shall execute the directives of the oard. The tary shall have charge of the records of the Authority and shall be responsible for recording the minutes of all meetings of the Board The officers of the Authority shall consist of a Chairman, Vice-Chairman, Executive Director and Secretary. The Malor of the City shall serve ex officio as the Chairman of the Authority; the Vice Mayor of t e City shall serve #° as the Vice-Chairman of the Authority; the City Manager of the City shall serve ex 0 . . as the Executive Director of the Authority; and the City Oerk of the City shall serve ex .. as the Secretary of the Authority. Said officers shall perform such functions as shall be customary in the exercise of such positions, and as may be more specifically provided in the By-Laws. The Board shall appoint an attorney, who may also represent either the City or the Agency, to act as the legal advisor of the Authority; such attorney shall perform such duties as may be prescribed by the Board. -3- 5 -/3 ~/.h Section 2.06. Bonding of Officers. From time to time, the Board may designate officers of the Authority having charge of, handling or having access to an! records, funds or accounts or other assets of the Authority, and the respective amounts 0 the official bonds of such officers and such other persons pursuant to Section 6505.1 of the)oint Powers Law. In the event that any officer of the Authority is required to be bonded pursuant to this Section 2.06, such bond may be maintained as a part of or in conjunction with any other bond maintained on such f,erson by any Member, it being the intent of this Section 2.06 not to require duplicate or over- ab~ing bonding requirements from those bonding requirements which are otherwise applica e to the Members. Section 2.07. By-laws. The Board may ado&t By-laws providing for the conduct of its meetings and the designation and duties of the 0 ficers of the Authority, as the Board may deem necessary or advisable for the p~ses hereof. This provision shall not be construed to require the adoption of any By-laws by e Board. ARTICLE III POWERS Section 3.01. General Powers. The Authority shall exercise the l'o°wers f:f¡ted to it under the Joint Powers Law, including but not limited to the powers set orth in t e Bond Act and the powers common to each of the Members, as may be nece::7c to the accomplishment of the purposes of this Agreement, subject to the restrictions set orth in Section 3.03. As k,°vided in the Joint Powers Law, the Authority shall be a public entity separate and apart m the Members. Section 3.02. SpecIfic Powers. The Authority Is hereby authorized, in its own name, to do aU acts necessary for the exercise of the foregoing powers, including but not limited to any or all of the following: (a) to make and enter into contracts; (b) to acquire, construct, manage, maintain or operate any Public Capital Imbrovement, including the common power of any of the Members to acquire any Pu lie Capital Improvement by any lawful means; (c) to sue and be sued in its own name; (d) to issue Bonds and otherwise to incur debts, liabilities or obligations; (e) to apply for, accept, receive and disburse grants, loans and other assistance from any agency of the United States of America or of the State of California; (£) to invest any money in the treasury pursuant to Section 6505.5 of the Joint Powers Law that Is not required for the immediate necessities of the Authority, as the Authority determines is advisable, in the same manner and upon the same conditions as local {;Æencies, pursuant to Section 53601 of the Government Code of the State of Ca . ornia¡ , -4- S- ~/t.f1Jo.. I b -. (g) to make and enter into agreements, assignments and other documents of any nature whatsoever as may be necessary or convenient in the exercise of its powers hereunder or under the Joint Powers Law; (h) to make loans to any Local Agency for the purposes hereof, or to refinance indebtedness incurred by any Local Agency in connection with any of the purposes hereof; and . (n to exeråse any and all other powers as may be provided in the Joint Powers Law or in the Bond Act. Section 3.03. Restrictions on Exercise of Powers. The powers of the Authority shall be exercised in the manner provided in the Joint Powers Law and in the Bond Act, and, except for the exercise of those powers set forth in the Bond Act, shall be subject (in accordance with Section 6509 of the Joint Powers Law) to the restrictions u~on the manner of exercising such powers that are imposed upon the Member for whose bene 't such power is being exercised by the Authority. Section 3.04. Non-Liability of Members and Directors For Obligations of Authority. The debts, liabilities and obligations of the Authority shall not be the debts, liabilities and obligations of any of the Members. No member, officer, agent or employee of the Authority shall be individually or personally liable for the payment of the principal of or premium or interest on any obligations of the Authority or be subject to any personal liability or accountability by reason of any obligations of the Authority; but nothing herein contained shall relieve any such member, officer, agent or e~loyee from the performance of any official duty provided by law or by the instruments au orizing the issuance of any obligations of the Authority. In addition, no Member shall assume any liability or resernsibility for any debts, liabilities or obligations which may be Incurred by the other Mem In connection with the issuance of Bonds or other obligations of the Authority for the benefit of such other Member. ARTICLE IV CONTRIBUTION: ACCOUNTS AND REPORTS: FUNDS Section 4.01. Contributions. The Members may, but are not r= to: (a) make contn"butions from their treasuries for any of the purposes set forth herein, ) make payments of public funds to defray the cost of such purposes, (c) make advances of public funds for such purposes, such advances to be repaid as provided herein, or (d) use their personneL equipment or property In lieu of other contributions or advances. The provisions of Government Code 6513 are hereby Incorporated Into this Agreement. With respect to contributions required to pay the costs of maintaining the AUthOri~ Including but not limited to costs of annual audits or other re~orts, such contributions shall made ~ the Members for each FISCal Year during the term 0 this Agreement on a pro rata basis bas on the aggregate principal amount of any Bonds or other obligations of the Authority (if any) which are outstanding for the benefit of each of the respective Members as of the first (IsO day of such FLSCal Year. Section 4.02. Accounts and Reports. To the extent not covered by the duties assigned to a trustee chosen by the Authority, the Chief Financial Officer shall establish and maintain such funds and accounts as may be required by good accounting practice or by any provision of -5- 5-/5 4) any trust instrument entered into with respect to the proceeds of any Bonds issued by the Authority. The books and records of the Authority in the hands of a trustee or the Chief Financial Officer shall be open to ined'ection at all reasonable times by representatives of any of the Members. The trustee appoint under any trust agreement shall establish suitable funds, furnish financial reports and provide suitable accounting procedures to carry out the provisions of said trust agreement. Said trustee may be given such duties in said trust instrument as may be desirable to carry out this Agreement. Section 4.03. Funds. Subject to the applicable provisions of any instrument or agreement which the Authori~ may enter into, which may provide for a trustee to receive, have custody of and disburse Aut ority funds, the Chief Financial Officer of the Authority shall receive, have the custody of and disburse Authority funds as nearly as possible in accorc1ance with generally accepted accounting practices, shall make the disbursements required by this Agreement or to carry out any of the provisions or purposes of this Agreement. ARTICLE V MISCELLANEOUS PROVISIONS Section 5.01. Tenn. This Agreement shall become effective, and the Authority shall come into existence, on the date of execution and delivery hereof, and this Agreement and the Authority shall thereafter continue in full force and effect so long as either (a) any Bonds or other obligations remain outstanding or any material contracts to which the Authority is a party remain in effect, or (b) the Authority shall own any interest in any Public Capital Improvements. Section 5.02. Disposition of Assets. ~n the termination of this Agreement, all p~ of the Authority, both real and perso shall be divided between the Members in su manner as shall be agreed upon by the Members. Section 5.03. Notices. Notices hereunder shall be in writing and shall be sufficient if delivered to: City of ChuIa Vista 276 Fourth Avenue ChuIa Vista, California 91910 Attention: City Manager Redev~ent Agency of the City of ChuIa Vista 276 Fo Avenue ChuIa Vista, California 91910 Attention: Executive Director Section 5.04. Section Headings. All section headings in this Agreement are for convenience of reference only and are not to be construed as modif?ug or goVernlnf the language in the section referred to or to define or limit the scope 0 any provision 0 this Agreement. Section 5.05. Law Governing. This Agreement is made in the State of California under the Constitution and laws of the State of California, and is to be so construed. -6- 5"/(, Ci,b Section 5.06. Amendments. This Agreement may be amended at any time, or from time to time, except as limited by contract with the owners of Bonds issued by the Authority or by applicable regulations or Jaws of any jurisdiction having authority, by one or more s~Jrlemental agreements executed by all of the parties to tlús Agreement either as required in 0 er to carry out any of the provisions of this Agreement or for any other purpose, including without limitation addition of new parties (including any legal entities or taxing areas heretofore or hereafter created) in pursuance of the purposes of tlús Agreement. Section 5.07. Enforcement by Authority. The Authority is hereby authorized to take any or all legal or equitable actions, includ~ but not limited to injunction and specific performance, necessary or permitted by Jaw to e orce this Agreement. Section 5.08. Severability. Should any part, term or provision of this Agreement be 'decided by any court of competent jurisdiction to be illegal or in conflict with any Jaw of the State of Ca1ifornia, or otherwise be rendered unenforceable or ineffectual, the validity of the remaining portions or provisions shall not be affected thereby. Section 5.09. Successors. This Agreement shall be binding upon and shall inure to the benefit of the successors of the respective Members. No Member may assign any right or obligation hereunder without the written consent of the other Member. -7- S- - n ....,b IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their proper officers thereunto duly authorized and their official seals to be hereto affixed, as of the day and year first above written. CITY OF CHULA VISTA Mayor Attest: City Cierk REDEVELOPMENT A G EN CY OF THE CITYOFCHULA VISTA Chairman Attest: Secretary - -8- S - /0 />.,h RESOLUTION NO. l'1f53 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPOINTING THE TEAM OF STONE & YOUNGBERG AND GRIGSBY BRAND FORD & CO., INC. TO SERVE AS UNDERWRITERS FOR THE PROPOSED NEGOTIATED SALE OF BONDS FOR ADVANCE REFUNDING OF VARIOUS ASSESSMENT DISTRICT DEBT UNDER THE MARKS-ROOS LOCAL BOND POOLING ACT WHEREAS, on November 1,1994, the Council/Agency adopted Resolution Nos. 17708 and 1432 tentatively approving a refinancing of the outstanding debt of several Assessments Districts in order to achieve savings in annual assessments for property owners; and WHEREAS, the direction was to pursue the refunding using a pooled concept allowed under State laws referred to as Marks- Roos; and WHEREAS, staff was directed to conduct a competitive process for the selection of an underwriting firm and to return to Council for approval of that selection and to establish a Marks- Roos Joint Power Authority as the conduit for the pooled refunding; and WHEREAS, approval of this resolution will appoint the team of Stone & Youngberg and Grigsby, Brandford & Co., Inc. as the underwriters on the transaction. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula vista does hereby appoint the team of Stone & Youngberg and Grigsby Brandford & Co., Inc. to serve as underwriters for the proposed negotiated sale of bonds for advance refunding of various Assessment District debt under the Marks-Roos Local Bond Pooling Act. Presented by ROber~or of City Finance c: Irslgrigsby s-/9 4- , 13O1&-27 }HHW:DJO:brl 3/14/95 . RFSOLunON NO. /1~51 A RFSOLunON OF1HE OTY COUNCIL OF1HE OTY OFOIULA VISTA OF INTFNI1 ONTO LEVY RFASS FSS MENTS AND TO ISSUE REFUNDING BONDS UPON TIiE SECURITY1HEREOF CI1Y OF CHULA VISTA Reassessment District of 1995 WHEREAS, the Oty has heretofore conducted special assessment ft.¡oceedJngs for certain assessment districts and issued five series of improvement bonds 0 the Oty, all as described in Exhibit A attached hereto and hereby made a ~ hereof, and reference is hereby expressly made to Exhibit A for further particulars, in uding the numbers and dates of authorizing resolutions, dates and amounts of bonds; WHEREAS, the assessment districts desmöed in Exhibit A are hereinafter collectively referred to as the "Assessment Districts," and the improvement bonds desatöed in Exhibit A are hereinafter collectively referred to as the "Prior Bonds"; and WHEREAS, the public interest :es the refunding of the Prior Bonds and this Oty Council intends to accomplish said refun . g through the levy of reassessments in and for the Oty's proposed Reassessment District of 1994 (the "Districr) and the issuance of refunding bonds upon the security thereof, the purpose of which refunding bonds shall be used to refund the Prior Bonds. . NOW, THEllEFORE, BE IT IlESOL VED by the Oty Councn of the City of Chu]a Vista as follows: 1. Authority. The proceedings for the levy and collection of reassessments as securi% for the issuance and payment of refunding bonds shall be conducted pursuant to the Refun ing Act of 1984 for 1915 Improvement Act Bonds, Division 11.5 (commencing with Section 9500) of the Streets and Highways Code of Calüomia (the "Act"). 2. ~. The contemplated reassessments and refunding, in the opinion of this °:l, Council. are 0 more than local or ordinary public benefit, and the costs and expenses ereof are made chargeable ~n the District, the exterior boundaries of which are shown on the maps thereof heretofore ed in the office of the Oty Oerk. and in the office of the County Recorder of the County of San Diego to which maps reference is here~de for further particulars. The maps indicates by bowidary Jines the extent of the territory uded in each of the assessment districts which are the subject of these proceedings and shall govern for all details as to the extent thereof. 3. Public Property Omitted. This Oty Council declares that all public streets, highways, lanes and alleys within the District in use in the perfonnance of a public function, and all lands owned by any public =' inclu~ the United States and the State of Calüorrùa, or any departments thereof, be omit from the reassessment hereafter to be made to cover the costs and expenses of the reassessment and refunding. 4. Reassessment and R~ort.. The reassessment and refunding are hereby referred to Muni Financial Services, Inc., a qualified firm employed for the purpose hereof (the 6-~1 cL "Reassessment Consultant"), and the Reassessment Consultant is hereby directed to make and file with said Oerk a report in writing, presenting the following: (a) A schedule setting forth the unpaid t&rinci~ and interest on the Prior Bonds to be refunded and the total amounts ereo; (b) The total estimated principal amount of the reassessment and of the refunding bonds to be secured by the unpaid reassessments and the maximum interest thereon, together with an estimate of cost of the reassessment and of issuin~e Bonds, including all costs of issuing the refunding bonds, as defined by su . vision (a) of Section 9600 of the Act; (c) The auditor's record kept pursuant to Section 8682 of the Streets and Highways Code of California showing the schedule of principal installments and interest on all unpaid original assessments for the Prior Bonds and the total amounts thereof; (d) The estimated amount ,.of each reassessment, identified by reassessment number corre:K,°ndintE to the reassessment number of the reassessment diagram, toge er wi a cPï°sed auditor's record for the reassessment prepared in the manner descri in said Section 8682; and (e) A reassessment diagram showing the assessment district and the boundaries and dimensions of the subdivisions of land within the district Each subdivision, including each separate condouùnium interest as defined in Section 783 of the evil Code, shall be given a separate number upon the diagram. When any portion or percenta£e of the costs and expenses of the reassessment and refunding is to be paid from sources 0 er than the reassessments, the amount of such portion or percentage shall first be deducted from the total estimated cost and expenses of the reassessment and refunding, ~d the reassessments shall include only the remainder of the estimated cost and expenses. If an¿ excess shall be realized from the reassessment it shall be used, in such amounts as this Oty ouncil may detemùne, in accordance with the provisions of Jaw, in a manner or manners to be provided in these proceedings. 5. Refundin~ Bonds. Notice is hereby given that the limited obligation refunding improvement bonds (the "Bonds"), to represent the unpaid reassessments, and in the formes) of serial/or term bonds and bearing interest at the rate or rates of interest to be detemùned by this Oty Council at the time of sale thereof, but not to exceed the maximum rate authorized by applicable law at time of such sale, will be issued in these proceedings in the manner provided }fi the Act and the Improvement Bond Act of 1915, being Division 10 of the Streets and ighways Code of California (the "'Bond Law"'), the Jast installment of which bonds shall mature not to exceed thirty (30) years from the second day of September next succeeding twelve (12) months from their date. Under the Bond Law, the Oty will not obligate itself to advance available funds from the ~Of the Oty to cure any defìciency in the redemption fund to be aeated with respect to the Bo 6.. Bond Call Procedur~ovisions of Part lU of Division 10 of the Streets and Highways Code of California, g for an alternative procedure for the advance payment of reassessments and the g of bonds, shall apply to the Bonds issued under these proceedings. -2- 5-;;¡~ q 7.. Division 4. Reference is hereby made to proceedings heretofore had under Division 4 of the Streets and Highways Code of California for the Prior Bonds which are contained in the records of the City. 8- Effective Date. 11ús resolution shall take effect upon the date of its adoption. ............ Presented by 1t1 John Goss Bruce Boogaard City Manager City Attorney ~ ç-.,130/. EXHIBIT A LIMITED OBUGA nON REFUNDING IMPROVEMENT BONDS CITY OF CHULA VISTA REASSESSMENT DISTRICI' OF 1995 PRIOR DISTRICTS AND BONDS Assessment Raolt~ Date of Pdndpal Amount mm1å liIuDIw: R.esoluljon J2t:id¡W R.emalnl,,~ Assessment District No. 85-2 12539 June 17, 1986 $7,680,623.85 $4,765.000 (East1aJœ) Assessment Disbict No. ~ 1 12626 July 22, 1986 $5,279,986.04 $3,985.000 (EastJùæ) Assessment Disbict No. 87-1 14065 April25,1989 . $7,752,14128 $6,630,000 (East "H" Street) Assessment Disbict No. 88-2 15540 March 6, 1990 $7,976,330.81 $6,815.000 (Clay Lakes Road) ExhIbit A-l- 5'-~(¡, 01.