HomeMy WebLinkAboutCC Res 6087 2010-12-13 RESOLUTION NUMBER 6087
RESOLUTION OF THE CITY OF SEAL BEACH APPROVING,
AUTHORIZING AND DIRECTING EXECUTION OF CERTAIN
FINANCING DOCUMENTS AND DIRECTING CERTAIN
RELATED ACTIONS IN CONNECTION WITH REFINANCING
CERTAIN IMPROVEMENTS TO THE CITY'S WASTEWATER
SYSTEM
WHEREAS, the City of Seal Beach (the "City ") and the Redevelopment Agency
of the City of Seal Beach (the "Agency ") have entered into a Joint Exercise of
Powers Agreement, dated May 8, 2000, establishing the Seal Beach Public
Financing Authority (the "Authority ") for the purpose, among others, of having the
Authority issue bonds to be used to finance and refinance the acquisition,
construction and improvement of certain public capital improvements; 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 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 paid by the City pursuant to the
Installment Sale Agreement to pay debt service on the Bonds; and
WHEREAS, in order to assist Southwest Securities, Inc. (the "Underwriter "), as
the underwriters of the Bonds, in complying with Rule 15c2 -12 of the Securities
and Exchange Commission, the City will undertake certain continuing disclosure
obligations pursuant to a continuing disclosure agreement to be executed by the
City (the "Continuing Disclosure Agreement "); and
WHEREAS, there has been prepared a Preliminary Official Statement containing
information to be used in connection with the sale of the Bonds; and
WHEREAS, the City has duly considered such transactions and wishes at this
time to approve certain matters relating to these transactions in the public
interest of the City;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEAL BEACH,
Section 1. Recitals. The above recitals, and each of them, are true and correct.
Section 2. Installment Sale Agreement. The City Council hereby approves the
form of the Installment Sale Agreement on file with the City Clerk, with such
additions thereto and changes therein as the Mayor or the City Manager, or the
written designee of any of them (each, an "Authorized Officer ") deems
necessary, desirable or appropriate upon consultation with bond counsel, the
execution by the City of which shall be conclusive evidence of the approval of
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Resolution Number 6087
any such additions and changes. The Authorized Officers and all other
appropriate officials of the City are hereby authorized and directed to execute,
and the City Clerk is hereby authorized to attest, as appropriate, the Installment
Sale Agreement and such other agreements, documents and certificates as may
be necessary or desirable to effectuate the purposes of this resolution and the
financing herein authorized, including, without limitation, such other agreements,
documents and certificates as may be required by the Installment Sale
Agreement. The City Council hereby authorizes the performance by the City of
its obligations under the Installment Sale Agreement. The maximum stated term
of the Installment Sale Agreement shall not exceed 35 years.
Section 3. Bond Purchase Agreement. The City Council hereby approves the
form of the Bond Purchase Agreement on file with the City Clerk. Each
Authorized Officer is hereby authorized and directed, for and in the name and on
behalf of the City, to execute and deliver the Bond Purchase Agreement 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); provided that the principal amount of
Bonds shall not exceed $4,000,000, the net interest cost shall not exceed
4.60 %, and the underwriter's discount (exclusive of any original issue discount)
shall not be 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.
Section 4. Official Statement. The City Council hereby approves the preparation
of, and hereby authorizes the City Manager and the Director of Administrative
Services of the City, each acting alone, to deem final within the meaning of Rule
15c2 -12 of the Securities Exchange Act of 1934, as amended (except for
permitted omissions), the preliminary form of the Official Statement describing
the Bonds (the "Preliminary Official Statement ") on file with the City Clerk,
together with such changes or additions as the Authorized Officer may deem
necessary, desirable or appropriate upon consultation with bond counsel.
Distribution of the Preliminary Official Statement by the Underwriter 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, and the execution of the final Official Statement
by the City shall be conclusive evidence of the approval of any such additions
and changes. The City Council hereby authorizes the distribution of the final
Official Statement.
Section 5. Continuing Disclosure Agreement. The City Council hereby
approves the Continuing Disclosure Agreement in the form on file with the City
Clerk. Each Authorized Officer is hereby authorized and directed, for and in the
name and on behalf of the City, to execute and deliver the Continuing Disclosure
Agreement 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 6. Irrevocable Refunding Instructions The City Council hereby approves
the form of the Irrevocable Refunding Instructions from the Authority and the City
to BNY Western Trust Company, as trustee for the 2000 COPs (the "Refunding
Instructions "), on file with the City Clerk. Each Authorized Officer is hereby
authorized and directed, for and in the name and on behalf of the City, 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 7. Other Acts. The Authorized Officers and all other officers of the City
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
Resolution Number 6087
necessary or proper in order to effectuate the purposes of this Resolution, the
documents approved hereby, and the issuance, sale and delivery of the Bonds
and any such actions previously taken by such officers are hereby ratified and
confirmed.
Section 8. Effective Date. This resolution shall take effect from and after its
passage and adoption by the City.
PASSED, APPROVED and ADOPTED . by the Seal Beach City Council at a
regular meeting held on the 13th day of December , 2010 by the following vote:
AYES: Council Members �,;,L A%A L./ mA ...i 4 A 4 �-
NOES: Council Members r ' r /
ABSENT: Council Members
ABSTAIN: Council Members 7 OA,
&Y; /
Mayor
ATTEST:
City Clerk
STATE OF CALIFORNIA }
• COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution Number 6087 on file in
the office of the City Clerk, passed, approved, and adopted by the City Council at
a regular meeting held on the 13th day of December , 2010.
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Ci Clerk
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