HomeMy WebLinkAboutCC Reso No 1984-16RESOLUTION No. 84-16
RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF LAKE ELSINORE, RIVERSIDE COUNTY,
CALIFORNIA, APPROVING AGREEMENTS TO
FINANCE CONSTRUCTION OF CERTAIN SCHOOL
FACILITIES AND AUTHORIZING EXECUTION OF
LEASE OF THE SCHOOL FACILITIES AND SUCH
OTHER DOCUMENTS AS MAY BE APPROPRIATE
WHEREAS, the Lake Elsinare School District (the "District")
and the City of Lake Elsinore (the "City") have consistently
cooperated to provide adequate school facilities for students
in the community; and
WHEREAS, the District and City have determined that it is
in the best interest and for the common benefit of the citizens
to cooperate in the financing and construction o£ the Jean
Hayman Elementary School (the "School Facilities"); and
WHEREAS, the Redevelopment Agency of the City of Lake
Elsinore (the "Redevelopment Agency") has heretofore acquired a
site (the "Site") suitable for construction of the Scho~l
Facilities and desires to convey the Site to the City £or
construction o£ the School Facilities; and
WHEREAS, in ~rder to finance and construct the School
Facilities on the Site, it is proposed that (i) the City enter
into a Lease with option to purchase with City National Bank
(the "Bank") whereby the Bank will advance funds to pay for
construction o£ the School Facilities, (ii) the City secure
repayment of the funds advanced by the Bank by a deed of trust
on the Site and School Facilities, (iii) the District enter
into a Sublease with the City whereby the District will use and
occupy the School Facilities, and (iv) the District enter into
an Agency Agreement with the Bank and City whereby the District
will supervise construction of the School Facilities; and
WHEREAS, under the above-mentioned financing of the School
Facilities, the sublease payments made by the District to City
will be equal to the lease payments made by the City to Bank
and, at the end of the lease term, title to the School
Facilities will vest in the City:
NOW, THEREFORE, the City Council o£ the City of Lake
Elsinore does hereby RESOLVE, DETERMINE AND ORDER as £allows:
Section 1. The above recitals are all true and correct.
Section 2. The City Council hereby appraves the dacuments
specified as £ollows:
(a) Lease with Option to Purchase the School Facilities
between the Bank, as Lessor and City, as Lessee.
(b) Sublease of Schoal Facilities between the City, as
Sublessor and District, as Sublessee.
(c) Agency Agreement between the Bank, City and District
for supervision o£ construction of the School
Facilities.
(d) Deed of Trust on the Site and School Facilities to
secure repayment to the Bank.
(e) Assignment of contracts for construction o£ School
Facilities to Bank.
(f) Assignment af performance bond and labor and material
bonds for construction of School Facilities to Bank.
(g) Acceptance of Construction and Notice of Completion.
2.
Section 3. The City Council hereby finds and determines as
follows:
(a) The City is statutorily authorized to cause the School
Facilities to be constructed, to lease the Site and
School Facilities as lessee and to enter into the
agreements contemplated under the aforementioned
financing of the School Facilities;
(b) The Lease, Sublease and agreements contemplated under
the aforementioned financing of the School Facilities
is in furtherance of the public purposes of the City;
(c) The proposed agreements shall create no immediate
indebtedness for any aggregate payments which may
become due under the Lease and the ~bligation of the
City to pay rental and any other payments under the
Lease shall constitute a current expense of the City,
payable exclusively from Sublease revenues ar general
funds of the City which are budgeted and appropriated
by the City, or which are atherwise legally available,
f~r the purpose af paying rental or any other payments
due under the Lease as cansideration for actual use o£
the School Facilities during the fiscal year of the
City for which such funds are budgeted and appro-
priated or otherwise made legally available; and
(d) Neither the City nor the Bank on its behalf, has
pledged the credit of the City to the payment of rent
ar any other payments due under the Lease and neither
the Lease nor any other documents shall directly or
contingently obligate the City to apply maney far, or
3.
levy or pledge any form o£ taxation or other funds to,
the payment of the rent or any other payments due
under the Lease.
Section 4. The Mayor and City Clerk are hereby authorized
and directed to act in behalf of the City as follaws:
(a) To execute and deliver the Lease, Slublease, Agency
Agreement and such other documents as may be
appropriate to complete the financing of the Schoal
Facilities, in such form and subject to such terms and
conditions as may be agreed upon with the Bank and
City;
(b) To consent to delivery of the School Facilities from
the Bank to the District; and
(c) To take such other action as may be appropriate to
fulfill the intent and purpose of this Resolution.
Section 5. The authority given under this Resolution shall
be deemed retroactive and any and all acts authorized hereunder
which may have been performed priar ta the passage of this
Resolution are hereby deemed ratified and affirmed.
Section 6. This Resolution shall take effect upon adoption.
ADOPTED this 24th day of April, 1984.
ATTEST:
~
City Clerk
EAL)
ARTA VALENZUELA, M ` R
CITY OF LAKE ELSI E
4.
STATE OF CALIFORNIA )
) ss.
COUNTY OF RIVERSIDE )
I, JO ANN MONEY, City Clerk of the City of Lake Elsinore,
DO HEREBY CERTIFY that the foregoing Resolution, being
Resolution No. 84-16 , was duly adopted by the City Council at
a regular meeting o£ said City held on the 24th day of April,
1984, and that it was passed and adopted by the following vate:
AYES: KNIGHT, MATSON, STRIGOTTE, VERMILLION, VALENZUELA
NoES: NONE
ABSENT: NONE
ABSTAIN: NONE
' City Clerk
- (SEAL)