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HomeMy WebLinkAboutCC Reso No 1991-25RESOLUTION NO, 91 -25 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE AUTHORIZING THE ISSUANCE OF BONDS BY CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 88 -3 (WEST LAKE ELSINORE), PRESCRIBING THE TERMS THEREOF, APPROVING THE FISCAL AGENT AGREEMENT AND THE CONTRACT OF PURCHASE AND APPROVING JOINT FINANCING AGREEMENTS, AND PROVIDING FOR OTHER MATTERS RELATED THERETO WHEREAS, on November 14, 1989, the City Council of the City of Lake Elsinore (the "City Council ") duly adopted Resolution No. 89 -64 declaring its intention to establish a community facilities district and to levy a special tax to pay for certain public facilities in and for such community facilities district under and pursuant to the terms and provisions of the Mello -Roos Community Facilities Act of 1982 (the "Act "), being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, which community facilities district was designated as "City of Lake Elsinore Community Facilities District No. 88 -3 (West Lake Elsinore)" (the "Community Facilities District "); and WHEREAS, on November 14, 1989, the City Council also adopted Resolution No. 89 -65 declaring its intention to incur bonded indebtedness in an amount not to exceed $30,000,000 within the Community Facilities District, for the purpose of financing the construction and acquisition of certain public facilities to serve the area within the Community Facilities District; and WHEREAS, pursuant to notice given as provided in the Act, a public hearing was held on December 26, 1989 concerning the formation of the Community Facilities District, the levy of the special tax and the establishment of an appropriations limit therein and the issuance of bonded indebtedness by the District; and WHEREAS, on March 13, 1990, the City Council, following the closing of the public hearing, adopted Resolution No. 89 -76, establishing the Community Facilities District, approving the proposed rate and method of apportionment of the special tax, calling a special election to submit to qualified electors within such Community Facilities District the question of levying a special tax; and WHEREAS, on March 13, 1990, the City Council also adopted Resolution No. 89 -77, declaring the necessity to incur bonded indebtedness to pay for the Facilities and calling a special election to submit to qualified electors of such Community Facilities District the proposition of incurring such bonded indebtedness, and a special election was duly and legally held and conducted in the Community Facilities District on the 14th day of November, 1990, at which election there was submitted to the qualified voters of the Community Facilities District the following bond proposition, to wit: PROPOSITION (A): Shall City of Lake Elsinore Community Facilities District No. 88 -3 (West Lake Elsinore) be authorized to finance all or a portion of the acquisition and construction of public infrastructure facilities, including streets, drainage, sewer and water improvements, fire protection and park facilities, together with necessary appurtenances thereto and site and right -of -way acquisition, by incurring a bonded indebtedness in the principal amount of $30,000,000 and shall an appropriations limit in the amount of $3,000,000 per fiscal year in connection therewith be established for the Community Facilities District, and shall a special tax with a maximum rate and method of apportionment as provided in Exhibit C to Resolution No. 89 -64 adopted by the City Council of the City of Lake Elsinore on November 14, 1989, which is incorporated by reference herein, be levied to pay for such public facilities, including the payment of current and future principal of and interest on such bonds and the annual administration expenses of the City and the Community Facilities District in determining, apportioning, levying and collecting the special tax, and including the repayment of funds advanced to or on behalf of the Community Facilities District? such bond proposition being approved by more than a two- thirds vote by the qualified electors of the Community Facilities District as determined by the City Council in Resolution No. 90 -120, adopted on November 27, 1990; and E 3085c WHEREAS, the Superior Court of the City of Lake Elsinore has declared, in Case No. 209031, the levy of the special tax to be valid and consistent with the Act and Article XIIIA of the Constitution of the State of California; and WHEREAS, the City Council desires to provide for the issuance of the first issue of several series of bonds of the Community Facilities District at this time in an amount not to exceed $16,000,000 and to approve all necessary and proper documents and transactions in connection therewith; WHEREAS, the City Council desires to enter into certain agreements in connection with the construction of the Facilities to be financed by the Bonds; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, AS FOLLOWS: Section 1. All of the above recitals are true and correct. Section 2. The first issue of several series of bonds of the Community Facilities District is hereby established and authorized to be issued in an amount not to exceed $16,000,000. Such issue of bonds is to be called "City of Lake Elsinore Community Facilities District No. 88 -3 (West Lake Elsinore), 1991 Special Tax Bonds" (the "1991 Bonds "). The 1991 Bonds shall be issued upon the terms and conditions contained in the Fiscal Agent Agreement described below, which terms and conditions are by this reference incorporated herein. No additional bonds beyond the $30,000,000 in principal amount authorized by the special election held within the Community Facilities District on November 14, 1990, will be issued by the Community Facilities District without obtaining the approval of the electors within the Community Facilities District in accordance with the Act. 3 3085c Section 3. Pursuant to Section 53360.4 of the Act, the City Council hereby finds and determines that a private sale of the 1991 Bonds would result in a lower overall cost to the Community Facilities District, and the 1991 Bonds shall be sold at private sale. Section 4. The proposed form of Fiscal Agent Agreement (the "Fiscal Agent Agreement "), to be entered into by the Community Facilities District and delivered to and accepted by the Fiscal Agent (the "Fiscal Agent "), on file in the office of the City Clerk of the City Council and presented to the City Council at this meeting, is hereby approved. The City Manager or Director of Finance, acting singly, is hereby authorized and directed, for and in the name of the City, on behalf of the Community Facilities District, to execute and deliver to the Fiscal Agent the Fiscal Agent Agreement, and the City Clerk is authorized to attest such execution, in substantially said form, with such additions and changes therein as the City Attorney or Orrick, Herrington & Sutcliffe ( "Bond Counsel ") may require or approve, such requirement or approval to be conclusively evidenced by the execution and delivery of the Fiscal Agent Agreement, with such additions and changes. Section 5. The form and content of Commitment Agreement and Purchase Contract for Purchase and Sale of Local Obligations (the "Contract of Purchase ") by and among Lake Elsinore Public Financing Authority (the "Purchaser ") and the City pursuant to which the Purchaser will purchase the 1991 Bonds, a copy of which is before the City Council and is on file in the office of the City Clerk, is hereby approved. The City Manager or Director of Finance, acting singly, is hereby authorized and directed, for and in the name of the City, on behalf of the Community Facilities District, to execute and deliver the Contract of Purchase, and the City Clerk is 4 3085c authorized to attest such execution, in substantially said form, with such additions and changes therein as the City Manager or Director of Finance, acting singly, shall approve as being in the best interests of the City and the Community Facilities District, and as is approved as to form by the City Attorney, and with such other changes as may be required by Bond Counsel in order to maintain the tax exempt status of the interest represented by the 1991 Bonds, such approvals to be conclusively evidenced by the execution and delivery of said Contract of Purchase, with such additions and changes. In connection with the execution and delivery of said Contract of Purchase, the City Manager, the Director of Finance or the Treasurer of the City (the "Treasurer ") acting singly, is further authorized and directed to negotiate the price and the interest rates for the 1991 Bonds to be sold pursuant to such Contract of Purchase up to a maximum initial principal amount of $16,000,000 (including 1991 Bonds which may be issued at an original issue discount), such that the yield of the issue (without deduction of underwriters' discount or costs of issuance) shall not exceed nine and five tenths percent (9.5 %) and such that the maximum aggregate underwriter's discount /financial advisory fee shall not exceed three and five tenths percent (3.5 %) of the aggregate principal amount thereof. Section 6. The proposed forms of Joint Financing Agreements to be entered into by the City, on behalf of the Community Facilities District, and the Elsinore Valley Municipal Water District and the Riverside County Control and Water Conservation District (such Agreements being referred to herein as the "Joint Financing Agreements "), each presented to the City Council at this meeting, are hereby approved. The City Manager or Director of Finance, acting singly, is hereby authorized and directed, for and in the name of the City, on 5 3085c behalf of the Community Facilities District, to execute and deliver such Joint Financing Agreements, and the City Clerk is authorized to attest such execution, in substantially said forms, with such additions and changes therein as the City Manager or Director of Finance, acting singly, and the City Attorney or Bond Counsel may require or approve, such requirement or approval to be conclusively evidenced by the execution and delivery of each Joint Financing Agreement, with such additions and changes. Section 7. All actions heretofore taken by the Mayor of the City, the City Clerk, the City Manager, the Director of Finance, the Treasurer and all officers of the City in furtherance of or in respect of any of the above resolutions are hereby confirmed, ratified, and approved. The following officers of the City of Lake Elsinore are, and each of them hereby is, authorized and directed to do any and all things, and to execute and deliver any and all documents which said officers of the City of Lake Elsinore may deem necessary or appropriate in order to consummate the issuance of the 1991 Bonds and otherwise to carry out, give effect to and comply with the terms and intent of this Resolution, the 1991 Bonds, the Fiscal Agent Agreement, the Contract of Purchase, and the Joint Financing Agreements: (i) the Mayor of the City, (ii) the City Clerk, (iii) the City Manager, (iv) the Director of Finance, (v) the Treasurer, and (vi) the designee of any of the foregoing. 0 30B5c Section 8. This Resolution shall take effect immediately upon its passage. PASSED, APPROVED AND ADOPTED this 26th day of March , 1991. AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: VICKI L OF THE GARY M-)i� WASHBURN, MAYOR COUNCILMEMBERS: BUCK, DOMINGUEZ, STAR.KEY, WINKLER, WASHBURN COUNCILMEMBERS: NONE COUNCILMEMBERS: NONE COUNCILMEMBERS: NONE KASAD, CITY COUNCIL APPROVED AS TO FORM AND LEGALITY: JOHN R. AARPER, CI ATTORNEY w 3085c STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) SS: CITY OF LAKE ELSINORE ) I, Vicki Lynne Kasad, City Clerk of the City of Lake Elsinore, DO HEREBY CERTIFY that the foregoing Resolution duly adopted by the City Council of the City of Lake Elsinore at a regular meeting of said Council on the 26th day of March, 1991, and that it was so adopted by the following vote: AYES: COUNCILMEMBERS: BUCK, DOMINGUEZ, STARKEY, WINKLER, WASHBURN NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE VICKI ij -YN KASAD, CITY CLERK CITY OF IATE ELSINORE (SEAL) STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) SS: CITY OF LAKE ELSINORE ) I, Vicki Lynne Kasad, City Clerk of the City of Lake Elsinore, DO HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of Resolution No. 91 -25 of said Council, and that the same has not been amended or repealed. D TED: March 27, 11991 I J� VICKI LYNNE SAD, CITY CLERK CITY OF LAKE 4LSINORE (SEAL)