HomeMy WebLinkAboutPFA Res 10-02 2010-12-13 RESOLUTION NUMBER PFA 1 0-02
A RESOLUTION OF THE SEAL BEACH PUBLIC FINANCING
AUTHORITY AUTHORIZING THE SALE, ISSUANCE AND
DELIVERY OF WASTEWATER REVENUE REFUNDING BONDS
AND APPROVING AS TO FORM AND AUTHORIZING THE
EXECUTION AND DELIVERY OF DOCUMENTS RELATING
THERETO AND AUTHORIZING CERTAIN OTHER MATTERS
RELATING THERETO
WHEREAS, the City of Seal Beach (the "City ") and the Redevelopment Agency
of the City of Seal Beach (the "Agency ") have heretofore executed and delivered
a joint exercise of powers agreement, dated May 8, 2000 (the "Joint Powers
Agreement "), by and between the City and the Agency, which Joint Powers
Agreement created and established the Seal Beach Public Financing Authority
(the "Authority "); and
WHEREAS, for the purpose of raising funds necessary to refinance certain
obligations relating to the City's wastewater system, the Authority proposes to
authorize the issuance of its revenue bonds under the provisions of Article 4
(commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the
Government Code of the State of California (the "Act "), to be designated as the
Seal Beach Public Financing Authority 2011 Wastewater Revenue Refunding
Bonds, Series A (the "Bonds "); and
WHEREAS, the proceeds of the Bonds will be used to refund $4,230,000
Certificates of Participation (2000 Sewer System Project), outstanding in the
amount of $3,460,000, evidencing the direct, undivided fractional interests of the
owners thereof in certain installment payments to be made by the City as the
purchase price for certain property pursuant to an installment sale agreement
with the Authority (the "2000 COPs "); and
WHEREAS, pursuant to an Installment Sale Agreement by and between the City
and the Authority (the "Installment Sale Agreement "), the City will purchase
certain improvements to the City's wastewater system from the Authority, and
the Authority will use the installment payments made by the City to the Authority
pursuant to the Installment Sale Agreement to pay debt service on the Bonds;
and
WHEREAS, the Authority desires to prepare and make available to potential
investors an official statement relating to the Bonds containing information to be
used in connection with the sale of Bonds; and
WHEREAS, the Board of Directors (the "Board ") of the Authority has duly
considered these transactions and wishes at this time to approve these
transactions;
NOW, THEREFORE, BE IT RESOLVED, BY THE BOARD OF DIRECTORS OF
THE SEAL BEACH PUBLIC FINANCING AUTHORITY, as follows:
Section 1. Recitals. The above recitals, and each of them, are true and
correct.
Section 2. Issuance of Bonds; Approval of Indenture. The Board hereby
authorizes the issuance of the Bonds in a maximum aggregate principal amount
not to exceed $4,000,000. The Bonds shall be issued pursuant to an Indenture
of Trust (the "Indenture ") by and between the Authority and the Trustee
(hereinafter defined). The Board hereby approves the Indenture in the form on
file with the Secretary of the Authority (the "Secretary "), together with such
additions thereto and changes therein as the Executive Director or the Chair of
the Authority, or the written designee of any of them (each, an "Authorized
Resolution Number PFA 10 -02
Officer "), deems necessary, desirable or appropriate upon consultation with bond
counsel to the Authority, the execution of which by the Authority shall be
conclusive evidence of the approval of any such additions and changes. The
Authorized Officers, each acting alone, are hereby authorized and directed to
execute, and the Secretary is hereby authorized and directed to attest, the final
form of the Indenture for and in the name and on behalf of the Authority. The
Board hereby authorizes the performance by the Authority of its obligations under
the Indenture.
Section 3. Installment Sale Agreement. The Board hereby approves the form
of the Installment Sale Agreement, by and between the Authority and the City on
file with the Secretary, together with such additions thereto and changes therein
as the Authorized Officers deem necessary, desirable or appropriate upon
consultation with bond counsel to the Authority, the execution of which by the
Authority shall be conclusive evidence of the approval of any such additions and
changes. The Authorized Officers, each acting alone, are hereby authorized and
directed to execute, and the Secretary is hereby authorized and directed to
attest, the final form of the Installment Sale Agreement for and in the name of
and on behalf of the Authority. The Authority hereby authorizes the performance
by the Authority of its obligations under the Installment Sale Agreement.
Section 4. Bond Purchase Agreement. The Authority hereby authorizes and
directs the Executive Director of the Authority to sell the Bonds pursuant to a
negotiated sale to Southwest Securities, Inc., as underwriter of the Bonds (the
"Underwriter "). The Authority hereby approves the form of the Bond Purchase
Agreement on file with the Secretary, with such additions thereto and changes
therein as Authorized Officers deem necessary, desirable or appropriate upon
consultation with bond counsel to the Authority, the execution of which by the
Authority shall be conclusive evidence of the approval of any such additions or
changes; provided that no such addition or change may increase the aggregate
principal amount of Bonds to be in excess of $4,000,000, or may provide for a
net interest cost in excess of 4.60% or an underwriter's discount (exclusive of
any original issue discount) of greater than 0.80 %; provided further, that the 2000
COPs shall be refunded only if such refunding results in present value savings,
as determined by the Authorized Officers, of at least $220,000. The Authorized
Officers, each acting alone, are hereby authorized and directed to execute the
Bond Purchase Agreement and to take all actions necessary to fulfill the
Authority's obligations thereunder. The Authority hereby authorizes the
performance by the Authority of its obligations under the Bond Purchase
Agreement.
Section 5. Official Statement. The Board hereby approves the form of Official
Statement relating to the Bonds (the "Official Statement ") on file with the
Secretary, together with such changes or additions thereto as the Authorized
Officers deem necessary, desirable or appropriate upon consultation with bond,
counsel to the Authority, and authorizes the Authorized Officers, each acting
alone, to deem a preliminary form of the Official Statement final within the
meaning of Rule 15c2 -12 of the Securities Exchange Act of 1934, as amended,
except for omissions permitted therein. Distribution of the preliminary form of
Official Statement by the Underwriters is hereby approved. The Authorized
Officers, each acting alone, are hereby authorized to execute the final form of the
Official Statement with such changes or additions as the Authorized Officers
deem necessary, desirable or appropriate upon consultation with bond counsel to
the Authority, and the execution of the final Official Statement by the Authority
shall be conclusive evidence of the approval of any such additions and changes.
The Board hereby authorizes the distribution of the final Official Statement.
Section 6. Selection of Trustee. The Board hereby approves of the
appointment of Bank of New York Mellon Trust Company, N.A., as trustee (the
"Trustee ") for the Bonds, and authorizes the Authorized Officers to negotiate the
fees for trustee services in the name of and on behalf of the Authority.
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Resolution Number PFA 10 -02 j.
Section 7. Irrevocable Refunding Instructions':-, ; The Board hereby approves
the form of the Irrevocable Refunding Instructions (the "Refunding Instructions ")
from the Authority and the City to Bank of New York Mellon Trust Company, N.A.
(successor in interest to BNY Western Trust Company, as trustee for the 2000
COPs), on file with the City Clerk. Each Authorized Officer is hereby authorized
and directed, for and in the name and on behalf of the Authority, to execute and
deliver the Refunding Instructions in substantially said form, with such changes
therein as such Authorized Officer executing the same may approve (such
approval to be conclusively evidenced by the execution and delivery thereof).
Section 8. Bond Counsel. The appointment of Richards, Watson & Gershon, A
Professional Corporation, to act as bond counsel and disclosure counsel for the
issuance of the Series 2011 Bonds is hereby approved.
Section 9. Other Acts. The Authorized Officers and all other officers of the
Authority are hereby authorized and directed, jointly and severally, to do any and
all things and to execute and deliver any and all instruments which they may
deem necessary or proper in order to effectuate the purposes of this Resolution,
the documents approved hereby, and the issuance, sale and delivery of the
Series 2011 Bonds and any such actions previously taken by such officers are
hereby ratified and confirmed.
Section 10. Effective Date. This resolution shall take effect from and after its
passage and adoption by the Authority.
PASSED, APPROVED AND ADOPTED by the Seal Beach Public Financing
Authority this 13th day of December , 2010 by the following vote:
AYES: Authority Members __'iiAt f'�'JA Lit //
NOES: Authority Members vi
ABSENT: Authority Members 0(44}kte
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ABSTAIN: Authority Members `/ Oil 1
Chair
ATTEST:
Secretary /City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Linda Devine, City Clerk of the City of Seal Beach, California, do hereby certify
that the foregoing Resolution is the original copy of Resolution Number PFA 10-
02 on file in the office of the City Clerk, passed, approved, and adopted by the
Seal Beach Public Financing Authority of the City of Seal Beach at a regular
meeting thereof held on the 13th day of December , 2010.
/ C
Se retary /City Clerk
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