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07/16/1991 ,N„-..-.,rF FILE COPY (IT), GRAND TERR.C JULY 16, 1991 22795 Barton Road Grand Terrace CITY OF GRAND TERRACE J. California 92324-5295 Civic Center (714) 824-6621 Regular Meetings • 2nd and 4th Thursday - 6:00 p.m. Byron R Matteson Mayor • Hugh J Grant Mayor Pro Tempore Gene Carlstrom Ronald M Christianson Herman Hilkey Council Members Thomas J Schwab City Manager Council Chambers Grand Terrace Civic Center 22795 Barton Road Grand Terrace, CA 92324-5295 CITY OF GRAND TERRACE SPECIAL COUNCIL MEETING AGENDA CITY COUNCIL CHAMBERS July 16, 1991 GRAND TERRACE CIVIC CENTER 6 00 P.M 22795 Barton Road * Call to Order - * Invocation - * Pledge of Allegiance - Roll Call - STAFF RECOMMENDATIONS COUNCIL ACTION CONVENE COMMUNITY REDEVELOPMENT AGENCY 1 Approval of 6/27/91 Minutes Approve 2 Approval of Check Register No CRA071191 Approve 3 Joint Exercise of Powers Agreement to Create Approve the Huntington Park-Lancaster-Grand Terrace Housing Finance Authority ADJOURN COMMUNITY REDEVELOPMENT AGENCY CONVENE CITY COUNCIL 1. Items to Delete 2 SPECIAL PRESENTATIONS None 3 CONSENT CALENDAR The following Consent Calendar items are expected to be routine & non-controversial They will be acted upon by the Council at one time without discussion . Any Council Member, Staff Member or Citizen may request removal of an item from the Consent Calendar for discussion. A Approve Check Register No 063091 & 071191 Approve B Ratify 07/16/91 CRA Action C. Waive full reading of Ordinances on Agenda D Approve 6/27/91 Minutes Approve COUNCIL AGENDA STAFF 07/16/91 - Page 2 of 3 RECOMMENDATION COUNCIL ACTION 4 PUBLIC COMMENT 5 ORAL REPORTS A. Committee Reports B. Council Reports 6. PUBLIC HEARINGS None 7. UNFINISHED BUSINESS A Award Mini Study on School District Award Feasibility 8 NEW BUSINESS A. Annual Levy of Assessment - FY 1991-92, City of Grand Terrace Landscaping and Lighting District 89-1 B. A Resolution Providing for Final Approval Adopt of Lease Agreements in Connection with the Issuance by the Grand Terrace Public Financing Authority of Not to Exceed $3,500,000 Principal Amount of 1991 Lease- Purchase Revenue Bonds, Series A, and Providing Other Matters Properly Relating Thereto A Resolution Authorizing the Issuance of Adopt Not to Exceed $3,500,000 Principal Amount of 1991 Lease-Purchase Revenue Bonds, Series A, Authorizing and Directing Execution of an Indenture of Trust and Lease Agreements , Authorizing the Sale of Bonds, Approving Official Statement and Providing Other Matters Properly Relating Thereto A Resolution Pledging as Additional Adopt Security Monies Credited to the Motor Vehicle License Fee Account in the Trans- portation Tax Fund Established Pursuant to Section 11001 of the Revenue and Taxation Code COUNCIL AGENDA STAFF 07/16/91 - Page 3 of 3 RECOMMENDATION COUNCIL ACTION 9 CLOSED SESSION ADJOURN THE NEXT REGULAR CRA/CITY COUNCIL MEETING WILL BE HELD ON JULY 25, 1991 AT 6 00 P.M AGENDA ITEM REQUESTS FOR THE 7/25/91 MEETING MUST BE SUBMITTED IN WRITING TO THE CITY CLERK'S OFFICE BY NOON 7/18/91 PENDING CRA APPROVAL. CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY MINUTES REGULAR MEETING - JUNE 27, 1991 A regular meeting of the Community Redevelopment Agency, City of Grand Terrace, was held in the Council Chambers , Grand Terrace Civic Center , 22795 Barton Road, Grand Terrace , California, on June 27, 1991 , at 6 00 p m. PRESENT Byron Matteson , Chairman Hugh J. Grant, Vice-Chairman Gene Carlstrom, Agency Member Ronald Christianson , Agency Member Herman Hilkey, Agency Member Thomas J. Schwab, Executive Director Randall Anstine, Assistant City Manager Brenda Stanfill , Deputy City Clerk Patrizia Materassi , Planning Director John Harper, City Attorney Joe Kicak, City Engineer ABSENT None APPROVAL OF JUNE 11 , 1991 AND JUNE 13, 1991 CRA MINUTES CRA-91-21 MOTION BY VICE-CHAIRMAN GRANT, SECOND BY AGENCY MEMBER CHRISTIANSON, CARRIED 5-0, to approve the June 11 , 1991 and June 13, 1991 CRA Minutes APPROVAL OF CHECK REGISTER NUMBER CRA062791 CRA-91-22 MOTION BY AGENCY MEMBER HILKEY, SECOND BY AGENCY MEMBER CHRISTIANSON, CARRIED 5-0, to approve Check Register No CRA062791 Mayor Matteson adjourned the CRA meeting at 6 10 p.m. , until the next regular City Council/CRA meeting , which is scheduled to be held on Thursday, July 25, 1991 at 6 00 p.m SECRETARY of the City of Grand Terrace CHAIRMAN of the City of Grand Terrace C R A AGENDA ITEM NO. 1 COMMUNITY REDEVELOPMENT AGENCY CI1Y 01 GRAD; ERPAC[ DATE JULY 11, 1991 CHECK REGISTER NO CRA071191 CHECK OUTSTANDING DEMANDS AS OF JULY 11 , 1991 NUMBER VENDOR DESCRIPTION AMOUNT 23535 UNITED STATES ESCROW APPRAISAL FEES FOR ARIAS AND SERVICE $ 212 00 23564 PETTY CASH REIMBURSEMENT FOR GENERAL PETTY CASH 8 79 23588 DEPT OF HOUSING/COMMUNITY SVCS INSPECTION FEE, WHITE 66 00 23602 GOFORTH & MARTI OFFICE SUPPLIES 59 15 TOTAL $ 345 94 I CERTIFY THAT, TO THE BEST OF MY KNOWLEDGE, THE AFORELISTED CHECKS FOR PAYMENT OF THE COMMUNITY REDEVELOPMENT AGENCY LIABILITIES HAVE BEEN AUDITED BY ME AND ARE NECESSARY AND APPROPRIATE EXPENDITURES r m FOR THE OPERATION OF THE COMMUNITY REDEVELOPMENT AGENCY z C, 0 n THOMAS SCHWAB a C) TREASURER 13 m z 0 r" z 0 DATE July 10 , 1991 STAFF REPORT CRA ITEM (xx) COUNCIL ITEM ( ) MEETING DATE July 16 , 1991 SUBJECT JOINT EXERCISE OF POWERS AGREEMENT TO CREATE THE HUNTINGTON PARK-LANCASTER- --- --- GRAND-TERRACE-HOUSING-FINANCE AUTHORITY The Community Redevelopment Agency issued housing redevelopment bonds to(CRA ) of Grand Terrace in 1981 Interest loans for new housingprovide lower-than-market Griffiner Homes construction being developed by residual value of nthe8bondelssue City of Grand Terrace sold the $450, 000 The residual cash for the accumulated sassetsewasA of result of the mortgage interest rate being the bond coupon ratea slightly higher than With the sale of the residual assets to Meridian Bank , the CRA , for all intents and purposes , had no future financial interest the issue. It has been determined that it would be of mutual in benefit for the City of Grand Terrace and Meridian Bank to defease the bond issue which would allow Meridian Bank to convert this mortgage asset into a thisUnited States Government-backed security, which would then give them a higher quality asset for their bank portfolio. Meridian Bank has offered to pay the CRA for its participation in the defeasement of We areand Toning with the Huntington Park and are Joining Lancaster Redevelopment Agencies in doing the identical transaction for The CRA of Grand Terrace can purposes of saving issuance cost in which requires little effort on1 behalf$50, 0of 00 thethls transaction , Agency In order to Redevelopment cresolutlon ipate , the approving and Agency would have to adopt the attached a Joint Powers Agreement to create the HuntingtonnParktLanca Grand Terrace Housinginto Park-Lancaster- Grand to Finance Authority Council would also needto Create approveenerin Paco_a Joint Exercise of HuntingtonLancaster-Grand Terrace eHousing rs ement Finance Authority, to approve an Escrow Agreement between Redevelopment the Agency authorize the g y and Security National Pacific Bank , and to City Manager, Thomas Schwab, the authority to execute necessar ss issuing agent , with Y documents to complete the transaction. CRA AGENDA NO. 3 STAFF RECOMMENDS THAT COUNCIL 1 ADOPT RESOLUTION 91- APPROVING JOINT POWERS AGREEMENT TO CREATE THE HUNTINGTON PARK-LANCASTER-GRAND TERRACE HOUSING AUTHORITY 2 AUTHORIZE THE CHAIRMAN OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE TO EXECUTE THE JOINT EXERCISE OF DOWERS AGREEMENT TO CREATE THE HUNTINGTON PARK-LANCASTER- GRAND TERRACE HOUSING FINANCE AUTHORITY. 3 AUTHORIZE THE CHAIRMAN OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE TO EXECUTE THE ESCROW AGREEMENT BETWEEN THE AGENCY AND SECURITY PACIFIC NATIONAL BANK. 4 AUTHORIZE THE CITY MANAGER , THOMAS SCHWAB, AS ISSUING AGENT , WITH THE AUTHORIZATION TO EXECUTE NECESSARY DOCUMENTS TO COMPLETE THE TRANSACTION TS bt RESOLUTION NO CRA A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE APPROVING JOINT POWERS AGREEMENT BY AND AMONG THE HUNTINGTON PARK REDEVELOPMENT AGENCY, THE LANCASTER REDEVELOPMENT AGENCY AND THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERACE FOR THE PURPOSE OF CREATING THE HUNTINGTON PARK-LANCASTER-GRAND TERRACE HOUSING FINANCE AUTHORITY BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OR THE CITY OF GRAND TERRACE, AS FOLLOWS 1 That the Community make Redevelopment Agency of the Cityof Grand Terrace ( the "Agency " ) Powers Agreement To Create the Huntingtonnd t Parker -Lancaster- Gr Housing Finance Authority " to a "Joint Exercise of soch Y ( the " Joint Exercise of Powers Agreement" ) joint Exercise of Powers Agreement to be in substantiallygthe form attached hereto as ' approved , and the Chairman ,Exhibit A, and such Agreement is Deputy Executive Director/Finance and the hereby Senior Deputy Executive Director or the ry authorized and directed to execute such Joint Exerciseof Powers Agreement on behalf of the Agency Powers 2 That the purpose of entering into such Joint Exercise of Powers Agreement is to create the Huntington Park- Lancas Terrace Housing Finance Authority f ( thee " Housing Finance AuthoretyG�ai n order to cause the refundingd Revenue Bonds , Issue of 1981 , dated March 1 ,Agency ' s981 1e ( the ential Mortgage and the Agency believes such refunding will be better served Bonds " sale of refunding bonds to be issued by the Housing ) created in conjunction with the aforementioned other by the Finance Authority agencies , all in accordance with the provisions of redevelpomento Division 7 of title 1 of the Chapter5 of California , commencing with Section °6500mthereofent de of the refunding , it may State of variousefuns documents, trelati o or1 1 To effectuate such necessary desirable to amend and restate agreement relating to the mortgage loans financed in connection the 1981 Bonds , including any servicing thethe execution of various escrow deposit agreements relating to the redemption of the 1981 Bonds , the execution of a purchase contract and bill of assignment of residual assets relating tole p the lBonds ng oheretofore s by the Agency and the assignment of such mortgage loans and the purchase or provided for suchsold es 1981 Bonds Accordingly, any reserves designee , the Executive Director the Chairman , or his daesignee , and directed to and the Secretary certificates execute and deliver such agreements, and other documents agreement , amended servicing � including any escrow deposit of se with end act agreement or purchase contract and bill by the toA e y residual assets with respect to the Bonds heretofore sold g Y, and to take such other actions as they , or refunany ding of Powerandtion the 1981 Bonds cause the pursuant to the Joint _= _ - — — _ = �� — _ RESOLUTION NO =--- --- _- - PAGE 2 3 It is the finding and declaration of the Agency that the refunding of the 1981 Bonds through the issuance of refunding bonds by the aforementioned Housing Finance Authority is advantageous to the Agency and therefore serves a valid public purpose 4 That in accordance with Section 9 of the Joint Exercise of Powers Agreement , the Executive Director is hereby designated as an initial member of the Board of Directors of the Housing Finance Authority , such member to serve at the pleasure of this Agency 5 That the Agency staff is authorized and directed to implement the refunding and redemption of the 1981 Bonds in accordance with the Joint Exercise of Powers Agreement and the terms provisions controlling the 1981 Bonds 6 This resolution shall take effect from and after the date of passage and adopted ADOPTED this 16th day of July , 1991 ATTEST Secretary of the Grand Terrace Chairman of the Grand Terrace Community Redevelopmnet Agency Community Redevelopment Agency I , BRENDA STANFILL , Secretary of the City of Grand Terrace Community Redevelopment Agency , do hereby certify that the foregoing Resolution was introduced and adopted at a regular meeting of the Grand Terrace Community Redevelopment Agency of the City of Grand Terrace held on the 16th day of July , 1991 , by the following vote AYES NOES ABSENT ABSTAIN Secretary Approved as to form City Attorney 1B'ista01 JHHW TAD cep 07/02/91 COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE as Issuer and SECURITY PACIFIC NATIONAL BANK, as Escrow Agent ESCROW AGREEMENT Dated as of July 1, 1991 ESCROW AGREEMENT This ESCROW AGREEMENT is dated as of July 1 , 1991 , by and between the Community Redevelopment Agency of the City of Grand Terrace, a public body corporate and politic, organized and existing under the laws of the State of California (the "Issuer"), and Security Pacific National Bank, a national banking association organized and existing under the laws of the United States of America, with its principal corporate trust office located in Los , Angeles, California, as escrow agent (the "Escrow Agent") WITNESSETH Article 1 DEFINITIONS The following words and terms used in this Escrow Agreement shall have the following meanings unless the context or use clearly indicates another or different meaning "Agreement" means this Escrow Agreement, dated as of July 1, 1991, by and between the Issuer and the Escrow Agent, as from time to time supplemented and amended "Authority" means the Huntington Park-Lancaster-Grand Terrace Housing Financing Authority "Bond Resolution" means the resolution duly adopted by the governing body of the Authority on July 1991 , authorizing the issuance of the Bonds "Bonds" means the $ aggregate principal amount of the Issuer's Residential Mortgage Revenue Refunding Bonds, 1991 Series A and 1991 Series B, of the Issuer, the proceeds of which are to be used to refund the Prior Bonds "Defeasance Report" means the report of __ _, independent certified public accountants, attached hereto as Exhibit B, or any subsequent report issued pursuant to paragraph (c) of Section 5 01 hereof in connection with any Subsequent Action, to the effect that the principal of, interest on and income and profit realized from the Escrow Investments, when received, and the beginning cash deposit on demand held hereunder, will be sufficient at all times to pay all principal of and interest on the Prior Bonds at the times and in the manner stipulated therein "Escrow Agent" means Security Pacific National Bank, a banking corporation organized and existing under the laws of the State of California, with its principal corporate trust office located in Los Angeles, California, not individually but in the ca acit forth uses and purposes hereinafter mentioned, or any successor thereto p y and the "Escrow Investments" means the cash and Governmental Obligations purcha transferred pursuant to this Escrow Agreement for the purpose of defeasingthe Gr sed or Bonds as described in Exhibit attached and made a part of this Agreeme 9 and Terrace "Governing Body" means the governing body of the Issuer "Governmental Obligations" means United States Treasury notes, bonds, bi certificates of indebtedness, or obligations which are direct and general obligations Ids or g which the full faith and credit of the United States are pledged for the payment of ri ci and for painterest, and which are not redeemable in advance of their maturity at the option of th s and e is or any other person (other than the holder thereof) including United States Treasursuer entry) certificates, notes and bonds, state and local government series y (book "Indenture" means the Trust Indenture, dated as of July 1, 1991, by and betwee Issuer and Security Pacific National Bank , as Trustee, and as from time to time supplemented the and amended "Issuer" means the Community Redevelopment Agency of the City of Grand Ter public body, corporate and politic, organized and existing under the Constitution race s and th of the State of California, and any successor to the duties or functions of the Issu e laws er "Grand Terrace Escrow Fund" means the trust fund created under the term Agreement with the Escrow Agent and comprised of the Escrows is this a certain beginning can deposit on demand, as more fully described irs bed in Exhibit A att and hereto and made a part hereofA attached "Grand Terrace Bonds" means the Community Redevelopment Agency of the Grand Terrace Residential Mortgage Revenue Bonds, Issue of 1981, currently the aggregate principal amount of $ City of outstanding in "Paying Agent" means Security Pacific National Bank , Los Angeles Francisco, California or _ 9 and San _ ---- --- as paying agents under the Prior Proceedings 2 "Prior Bonds" means the Grand Terrace Bonds "Prior Investments" means the investments of the Community Redevelopment Agency of the City of Grand Terrace identified as such in Section 1 (b) of Exhibit A attached hereto (the "Grand Terrace Prior Investments") and the investments of the Lancaster Redevelopment Agency identified as such in Section 2(b) of Exhibit A attached hereto (the "Lancaster Prior Investments") "Prior Proceedings" means with respect to the Grand Terrace Bonds the resolutions duly adopted by the governing body of the Community Redevelopment Agency of the City of Grand Terrace on February _, 1980 (the "Grand Terrace Prior Proceedings") "Prior Trustee" means Security Pacific National Bank, as trustee for the Prior Bonds "Subsequent Action" shall have the meaning set forth in Section 5 01 of this Agreement "Subsequent Action Surplus" means the amount resulting from any Subsequent Action which is in excess of the amounts stated in the opinion of the independent certified public accountants as being necessary to pay when due all principal of, premium, if any, and interest on the Grand Terrace Bonds at the times and in the manner stated therein and to pay to the - Prior Trustee all sums of money due or to become due according to the provisions thereof and of the Prior Proceedings, after the taking of the Subsequent Action "Treasurer" means the Treasurer of the Issuer 3 ARTICLE II CREATION OF ESCROW Section 2 01 The Issuer, by the Bond Resolution and the Indenture, has authorized the issuance and delivery of the Bonds, the proceeds of which, together with certain funds of the Issuer on hand and legally available for such purpose, are to be used to refund the Prior Bonds by the irrevocable deposit with the Escrow Agent, in the form of an irrevocable trust, of moneys sufficient to provide a beginning cash deposit on demand and to purchase the Escrow Investments identified in Exhibit A attached hereto and made a part hereof and in the Defeasance Report on behalf of the Issuer for the benefit of the holders and owners of the Prior Bonds The independent certified public accountants who prepared the Defeasance Report have determined that such deposits and Escrow Investments are sufficient to provide all moneys necessary to pay the principal and redemption price of, premium, if any, and interest on the Grand Terrace Bonds, when due, and upon call for redemption on (September) 1, 1991, at the times and in the manner stated therein and in the Prior Proceedings Section 2 02 Proceeds of the Bonds in the amount of $ , together with $ of other funds and investments in the amount of $ consisting of Grand Terrace Prior Investments on hand and legally available for the purpose are hereby deposited with the Escrow Agent, the receipt of which is hereby acknowledged The amount of $ _ is to be applied by the Escrow Agent to the purchase of Governmental Obligations as set forth in Section I (a) of Exhibit A hereof (together with the Grand Terrace Prior Investments as set forth in Section I (b) of Exhibit A, the "Grand Terrace Escrow Investments") on the date of the issuance of the Bonds and $ will be held by the Escrow Agent as a beginning cash deposit on demand for purposes of the Grand Terrace Bonds, as set forth in Section 1 of Exhibit A attached hereto and made a part hereof The beginning deposit on demand and the Grand Terrace Escrow Investments are held as an irrevocable trust fund account of the Issuer for the benefit of the holders and owners of the Grand Terrace Bonds to pay the principal and redemption price of, premium, if any, and interest on the Grand Terrace Bonds, when due and upon call for redemption on (September) 1, 1991 at the times and in the manner stated therein and in the Grand Terrace Prior Proceedings The Escrow Agent is hereby irrevocably instructed to (i) pay the principal and redemption price of, premium, if any, and interest on the Grand Terrace Bonds when due as shown in the Defeasance Report, and (ii) call for redemption prior to maturity pursuant to the Grand Terrace Prior Proceedings, give notice of such prior redemption in substantially the same form as Exhibit D attached hereto and made a part hereof, and pay the principal and 4 redemption price of, premium, if any, and interest on the Grand Terrace Bonds , as provided in the Grand Terrace Prior Proceedings The Escrow Agent and the Issuer have each received the Defeasance Report, attached hereto as Exhibit B In the event that any of the respective Escrow Investments mature seven or less days prior to the date on which such Escrow Investments are to be applied to the payment of the principal and redemption price of, premium, if any, and interest on the Grand Terrace Bonds, the Escrow Holder is hereby authorized and directed to reinvest the moneys derived upon such maturity, and interest earnings thereon, in money market funds which invests solely in Government Obligations and which is rated in the highest rating category of Moody's Investors Service, Inc Any reinvestment as provided in this Section 2 04 shall be established such that amounts necessary for the payment of the principal and redemption price necessary for the payment of the principal and redemption price of, premium, if any, and interest on the Grand Terrace Bonds shall be available on the applicable redemption date of the respective Grand Terrace Bonds In connection with any such reinvestment, the Escrow Agent shall receive the opinions required by Sections 5 01(b) and (c) hereof 5 ARTICLE III COVENANTS OF ESCROW AGENT The Escrow Agent covenants and agrees with the Issuer as follows Section 3 01 The Escrow Agent will hold the Grand Terrace Escrow Investments, the beginning cash deposit on demand and all interest, income and profit derived therefrom and all uninvested cash relating to the Grand Terrace Bonds, in a segregated and separate trust fund namely the Grand Terrace Escrow Fund for the sole and exclusive benefit of the Issuer, the Grand Terrace Redevelopment Agency, the holders and owners of the Grand Terrace Bonds and the owners of the Bonds, to be used solely for the purposes set forth in this Agreement Section 3 02 The Escrow Agent will hold the Grand Terrace Escrow Investments and the $ beginning cash deposit on demand in the Grand Terrace Escrow Fund Section 3 03 The Escrow Agent may rely on all specific directions in this Agreement in the investment of balances held hereunder Section 3 04 The Escrow Agent will promptly collect the principal of, interest on and income and profit realized from the Grand Terrace Escrow Investments and any other Governmental Obligations and promptly apply the same solely and only to the payment of the principal and redemption price of, premium, if any, and interest on the Grand Terrace Bonds, as provided in Section 2 02 hereof, and to such other purposes as are herein expressly stated, including, but not limited to, the purposes expressed in Section 3 03, Section 3 06 or Section 5 02 hereof Section 3 05 The Escrow Agent will make available to the Paying Agents good funds on or before each interest and principal payment date, including without limitation any redemption or mandatory sinking fund redemption date, moneys sufficient to pay such principal, premium, if any, and interest as will meet the requirements for the timely payment of the Grand Terrace Bonds as set out in the Defeasance Report, and each such remittance shall fully release and discharge the Escrow Agent from any further duty or obligation thereto under this Agreement Section 3 06 Any interest on and income and profit realized from the investments made by the Escrow Agent hereunder, which interest income and profit is not needed as a cash deposit on demand as set forth in the Defeasance Report, shall be held in a separate, 6 segregated account and upon the defeasance of the Grand Terrace Bonds shall be remitted to the Issuer Section 3 07 All necessary and proper fees, compensation and expenses of the Prior Trustee and the Paying Agent pertaining to the Grand Terrace Bonds have been paid or the payment thereof provided for to the satisfaction of the Prior Trustee and the Paying Agent, and all other sums of money due or to become due according to the provisions of the Prior Proceedings have been paid to the Prior Trustee The fees and expenses of the Escrow Agent have been paid Section 3 08 The Escrow Agent shall have all of the privileges and immunities afforded to the Prior Trustee under the respective Grand Terrace Proceedings, and shall have all the powers and duties herein set forth with no liability in connection with any act or omission to act hereunder, except for its own negligence or willful breach of trust, and shall be under no obligation to institute any suit or action or other proceeding under this Agreement or to enter any appearance in any suit, action or proceeding in which it may be a defendant or to take any steps in the enforcement of its, or any, rights and powers hereunder, and shall not be deemed to have failed to take any such action, unless and until it shall have been indemnified to its satisfaction against any and all costs and expenses, outlays, counsel fees and other disbursements, including its own reasonable fees, and if any judgment, decree or recovery be obtained by the Escrow Agent, payment of all sums due it, as aforesaid, shall be a first charge against the amount of any such judgment, decree or recovery Section 3 09 The Escrow Agent may in good faith buy, sell, hold and deal in any of the Bonds or the Prior Bonds Section 3 10 If at any time it shall appear to the Escrow Agent that the available proceeds of the Grand Terrace Escrow Investments and deposits on demand in the Grand Terrace Escrow Fund will not be sufficient to make any payment due to the holders and owners of any of the Grand Terrace Bonds, the Escrow Agent shall notify the Issuer prior to such date, and the Issuer agrees that it will, from any funds lawfully available for such purpose, make up the anticipated deficit so that no default in the making of any such payment will occur 7 ARTICLE IV COVENANTS OF THE ISSUER The Issuer covenants and agrees with the Escrow Agent as follows Section 4 01 The Escrow Agent shall have no responsibility or liability whatsoever for (i) any of the recitals of the Issuer herein, (ii) the performance of or compliance with any covenant, condition, term or provision of the Indenture or the Bond Resolution, or (ii) any undertaking or statement of the Issuer under this Agreement Section 4 02 All payments to be made by, and all acts and things required to be done by, the Escrow Agent, under the terms and provisions hereof shall be made and done by the Escrow Agent without any further direction or authority of the Issuer Section 4 03 The Issuer will promptly and without delay remit to the Escrow Agent, within five (5) days after receipt of its written request, such sum or sums of money, if any, as are necessary to make the payments required of the Issuer under Sections 3 07 and 3 10 hereof and to fully pay and discharge any obligation or obligations or charges, fees or expenses incurred by the Escrow Agent in carrying out any of the duties, terms or provisions of this Agreement, including the fees and expenses of the Escrow Agent incurred in enforcing the terms and provisions of this Agreement ARTICLE V AMENDMENTS, IRREVOCABILITY OF AGREEMENT Section 5 01 This Agreement may be amended or supplemented to provide that the Escrow Investments (or any portion thereof) may be sold or redeemed, and moneys derived therefrom invested, reinvested or disbursed in any manner provided (any such amendment, supplement, direction to sell or redeem or invest, reinvest or disburse to be referred to as a "Subsequent Action"), upon submission to the Escrow Agent of each of the following (a) A certified copy of proceedings of the Governing Body authorizing the Subsequent Action and a copy of the document effecting the Subsequent Action signed by the duly designated officers of the Issuer (b) An opinion of any bond counsel or tax counsel nationally recognized as having an expertise in the area of tax-exempt municipal bonds, municipal laws and federal arbitrage regulations to the effect that the Subsequent Action will not cause the 8 interest on the Prior Bonds to become includible in the gross income of the holders and owners thereof under the laws of the United States of America providing for the taxation of income, and will not cause the Prior Bonds to be treated as arbitrage bonds within the meaning of Section 103(c)(2) of the Internal Revenue Code of 1954, as amended, or Section 148 of the Internal Revenue Code of 1986, as amended (c) An opinion of a firm of nationally recognized independent certified public accountants that the amounts (which will consist of cash or deposits on demand held in trust or Governmental Obligations of the type described in the definition thereof contained herein, all of which shall be held hereunder) available or to be available for payment of the principal of, premium, if any, and interest on the Prior Bonds will remain sufficient to pay the principal of, premium, if any, and interest on the Prior Bonds, when due and upon mandatory sinking fund redemption, at the times and in the manner stated therein after the taking of the Subsequent Action Section 5 02 Any Subsequent Action Surplus shall be disbursed on the date of such Subsequent Action to the Issuer, subject to the provisions of Section 3 06 of this Agreement Section 5 03 The Issuer and the Escrow Agent may amend or add to the terms of this s- Agreement to correct errors, clarify ambiguities or insert inadvertently omitted material Section 5 04 Except as provided in Sections 5 01 and 5 03 hereof, all of the rights, powers, duties and obligations of the Escrow Agent hereunder shall be irrevocable and shall not be subject to amendment by the Escrow Agent and shall be binding on any successor to the Escrow Agent during the term of this Agreement Section 5 05 Except as provided in Sections 5 01 and 5 03 hereof, all of the rights, powers, duties and obligations of the Issuer and the Governing Body hereunder shall be irrevocable, shall not be subject to amendment by the Issuer or the Governing Body, and shall be binding on any successor to the officials now comprising the Governing Body during the term of this Agreement Section 5 06 Except as provided in Sections 5 01 and 5 03 hereof, all of the rights, powers, duties and obligations of the Treasurer hereunder shall be irrevocable and shall not be subject to amendment by the Treasurer and shall be binding on any successor to said official now in office during the term of this Agreement 9 ARTICLE VI NOTICES TO THE ISSUER, THE TREASURER AND THE ESCROW AGENT Section 6 01 All notices and communications to the Issuer shall be addressed in writing to Community Redevelopment Agency of the City of Grand Terrace or at such other address as is furnished from time to time by the Issuer Section 6 02 All notices and communications to the Escrow Agent shall be addressed in writing to Security Pacific National Bank 707 Wilshire Boulevard Los Angeles, California 90017 Attention Corporate Trust Department or at such other address as is furnished from time to time by the Escrow Agent Section 6 03 All notices and communications to the Treasurer shall be addressed in writing to or at such other address as is furnished from time to time by the Treasurer ARTICLE VII RESIGNATION OF ES_AGENT The Escrow Agent may at any time resign as Escrow Agent under this Agreement by giving thirty (30) days' written notice to the Issuer, but such resignation shall take effect only upon the appointment of a successor Escrow Agent by the Issuer The Issuer may select as successor Escrow Agent any financial institution with capital, surplus and undivided profits of at least $50,000,000 and which is authorized to maintain trust accounts under Federal or California law 10 ARTICLE VIII TERMINATION OF AGREEMENT, MISCELLANEOUS Section 8 01 Upon the final disbursement for the payment of the principal of, premium, if any, and interest on the Prior Bonds as hereinabove provided and the fees and expenses of the Escrow Agent as hereinabove provided, the Escrow Agent will transfer any balance remaining in the Escrow Fund to the Issuer, and thereupon this Agreement shall terminate Section 8 02 If any provision of this Agreement shall be held or deemed to be invalid or shall, in fact, be illegal, inoperative or unenforceable, the same shall not affect any other provision or provisions herein contained or render the same invalid, inoperative or unenforceable to any extent whatsoever Notice of any determination described in this Section 8 02 shall be given immediately by the Escrow Agent to Moody's Public Finance Rating Desk/Refunded Bonds, 99 Church Street, New York, New York 10007 Section 8 03 This Agreement shall be governed by and construed in accordance with the laws of the State of California Section 8 04 This Agreement may be executed in several counterparts, each of which shall be deemed to be an original and all of which counterparts shall constitute one and the same Agreement Section 8 05 Prior written notice of any amendment to this Agreement shall be given by the Escrow Agent, at least ten (10) days prior to the effective date thereof, to Moody's Public Finance Rating Desk/Refunded Bonds, 99 Church Street, New York, New York 10007 11 IN WITNESS WHEREOF, the HUNTINGTON PARK-LANCASTER-GRAND TERRACE HOUSING FINANCE AUTHORITY, has caused this Agreement to be signed in its name by its Chairman and to be attested to by its Secretary under its official seal hereunto affixed, not individually, but in the capacity as hereinabove described, and Security Pacific National Bank has caused this Agreement to be signed in its corporate name by two of its authorized representatives all as of the date first above written COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE By (SEAL) Chairman Attest Secretary SECURITY PACIFIC NATIONAL BANK, as Escrow Agent By Authorized Signatory 12 - -- --- - = EXHIBIT A DESCRIPTION OF ESCROW INVESTMENTS AND BEGINNING CASH DEPOSIT ON DEMAND Section 1 - Grand Terrace Escrow Investments (a) (b) Cash Deposited - $ r i I I I I A-1 EXHIBIT B DEFEASANCE REPORT B-1 EXHIBIT C MATURITY AND REDEMPTION SCHEDULE Grand Terrace Bonds Principal Amount C-1 EXHIBIT D NOTICE OF REDEMPTION NOTICE IS HEREBY GIVEN that the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE (the "Issuer") is calling all of its outstanding Residential Mortgage Revenue Bonds, Issue of 1981, dated March 1, 1981 (the "Bonds") for redemption and payment prior to their maturity, pursuant to the resolution duly adopted by the governing body of the Issuer on (the "Prior Proceedings") Security Pacific National Bank, as Trustee under the Prior Proceedings (the "Trustee") and escrow agent under the Escrow Agreement, dated as of July 1 , 1991, by and between the Issuer and the Trustee (the "Escrow Agreement"), in accordance with the terms and provisions of the Prior Proceedings and the Escrow Agreement, and the Issuer will redeem the Bonds on (September) 1, 1991 , at the redemption price of % of the principal amount thereof plus accrued interest to (but not including) (September)1, 1991 The Bonds so called for redemption prior to maturity will be redeemed upon surrender of such Bonds for payment The holder or owner of each Bond so called for prior redemption should present such Bond to the Trustee at its principal corporate trust office at , on said date fixed for redemption for payment of the redemption price On said date fixed for redemption, the redemption price will become due and payable on each Bond so called for prior redemption, and interest on each such Bond shall cease to accrue from and after said date, whether or not such Bond is presented to the Trustee on said date fixed for redemption Each holder or owner of any Bond so called for redemption prior to maturity must also submit a completed IRS Form W-9, certifying his or her tax identification number, to the Trustee with such Bond An IRS Form W-9 is available, and may be obtained from any local bank or broker Failure to submit such an IRS Form W-9 with any Bond so called for prior redemption and presented for payment will result in a withholding of 20% of the interest due to such holder or owner pursuant to Section 3406 of the Internal Revenue Code of 1986, as amended COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE By SECURITY PACIFIC NATIONAL BANK, as Trustee By Its El 29020 60 JHHW TAD jaj 06/26/91 cep 07/02/91 JOINT EXERCISE OF POWERS AGREEMENT TO CREATE THE HUNTINGTON PARK-LANCASTER- GRAND TERRACE HOUSING FINANCE AUTHORITY This Agreement, dated for convenience as of July 1, 1991, is made by and between the Huntington Park Redevelopment Agency ("Huntington Park"), the Lancaster Redevelopment ' Agency ("Lancaster") and the Community Redevelopment Agency of the City of Grand Terrace ("Grand Terrace") (Huntington Park, Lancaster and Grand Terrace are collectively referred to herein as the "Redevelopment Agencies"), each a public body, corporate and politic, duly organized and existing under the Constitution and laws of the State of California WITNESSETH WHEREAS, redevelopment agencies are empowered by Chapter 8, Part 1 of Division 24 of the Health & Safety Code of the State of California (the "Act") to incur indebtedness for the purpose of financing or refinancing the construction of residences as authorized by the Act, and WHEREAS, the Redevelopment Agencies have determined that a joint exercise of powers authority should be formed to exercise their respective powers pursuant to the Act for the purpose of refunding certain single family mortgage revenue bonds issued under the Act, such bonds being more particularly described on Exhibit A hereto, NOW, THEREFORE, the Redevelopment Agencies for and in consideration of the mutual promises and agreements herein contained, each do agree as follows SECTION 1 Definitions Unless the context otherwise requires, the terms defined in this Section 1 shall for all purposes of this Agreement have the meanings herein specified Act The term "Act" shall mean Chapter 8, Part 1 of Division 24 of the Health & Safety Code of the State of California commencing at Section 33750, as now in effect or as it may from time to time hereafter be amended or supplemented Agreement The term "Agreement" shall mean this Agreement as the same now exists or may from time to time be amended by any supplemental agreement entered into and pursuant to the provisions hereof Authority The term "Authority" shall mean the Huntington Park-Lancaster-Grand Terrace Housing Finance Authority created by this Agreement Board The term "Board" shall mean the governing board of the Authority as described in Section 10 hereof Bonds The term "Bonds" shall mean single family mortgage revenue refunding bonds of the Authority authorized and issued pursuant to the Joint Powers Law to effectuate the purposes of the Program Joint Powers Law The term "Joint Powers Law" shall mean Article 1 through 4 (commencing with Section 6500) of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California Obligations The term "Obligations" shall have meaning given to the term "Bonds" in Section 6585(c) of the Joint Powers Law Prior Bonds r The term "Prior Bonds" shall mean the single family mortgage revenue bonds of the Redevelopment Agencies set forth in Exhibit A hereto Program The term "Program" means the Authority's program to cause the refunding of certain single family mortgage revenue bonds of the Redevelopment Agencies, as more particularly described in Exhibit A hereto, pursuant to the Act and the Joint Powers Law SECTION 2 Purpose This Agreement is made pursuant to the Joint Powers Law to provide for the joint exercise of certain powers common to the Redevelopment Agencies The Redevelopment Agencies are each empowered by the laws of the State of California to exercise powers specified in the recitals herein including the refunding of bonds previously issued to finance the construction of residences pursuant to the Act for the benefit of the residents of the communities These common powers will be jointly exercised in the manner hereinafter set forth SECTION 3 Creation of Authority There is hereby created pursuant to the Joint Powers Law an authority and public entity to be known as "Huntington Park-Lancaster-Grand Terrace Housing Finance Authority" As provided in the Joint Powers Law, the Authority shall be a public entity separate and apart from each of the Redevelopment Agencies SECTION 4 Term This Agreement shall be effective as of the date hereof and shall continue in full force and effect until January 1, 2040, or until such time as the Bonds and the interest thereon shall have been paid in full, or provisions for such payment shall have been made, whichever is -2- shorter, provided, however, that unless extended by an agreement supplemental hereto executed by each of the Redevelopment Agencies, this Agreement shall terminate on December 31, 1992 in the event that none of the Bonds shall have been issued and sold on or before such date SECTION 5 Powers, Restriction Upon Exercise ' (a) Each participating Redevelopment Agency agrees that the Authority shall have all necessary powers consistent with the Joint Powers Law (particularly Section 6546 11 thereof and other applicable sections) to issue its refunding bonds to provide funds necessary to 'establish sufficient escrowed funds to cause the redemption of the Prior Bonds previously issued from time to time by the Redevelopment Agencies, and each of the Redevelopment Agencies, as applicable, shall upon defeasance of the liens of the respective Prior Bonds transfer or assign to the Authority, or its designee, reserves and mortgage loans securing such Prior Bonds in order for the Authority to use such assets to secuntize the Authority's Bonds and provide funds to each Redevelopment Agency in amounts described herein in Section 7 hereof (b) The Authority is authorized on its own to do all acts necessary for the exercise of said powers for said purposes including, but not limited to any or all of the following to make and enter into contracts, to accept the assignment of contracts which relate to the Program and purposes of this Agreement entered into by each of the Redevelopment Agencies prior to the establishment of the Authority, to reimburse the participating Redevelopment Agencies for prior expenses, if any, incurred in developing this Program pursuant to the Act, to employ agents and employees, to acquire, hold or dispose of property, including property subject to home mortgages, to incur debts, liabilities or obligations which do not constitute debts, liabilities or obligations of the Redevelopment Agencies, including the power to issue bonds under the Joint Powers Law, to sue and be sued in its own name, to acquire Obligations of the participating Redevelopment Agencies, to apply for letters of credit or other forms of financial guarantees in order to secure payment of the Bonds (if necessary) and to enter into agreements in connection therewith, to make and enter into bond purchase agreements, and to exercise any and all other powers as may be provided by the Joint Powers Law (c) Such power shall be exercised subject only to such restrictions upon the manner of exercising such power as are imposed upon any of the Redevelopment Agencies in the exercise of similar powers, as provided in Section 6509 of the Joint Powers Law (d) Subject to the applicable provisions of any indenture or resolution providing for the investment of moneys held thereunder, the Authority shall have the power to invest any money in the Authority's treasury pursuant to Section 11(b) hereof 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 agencies pursuant to Section 53601 of the Government Code of the State of California SECTION 6 Cooperation Each Redevelopment Agency agrees to undertake such further proceedings or actions as may be necessary in order to carry out the terms and the intent of this Agreement, and each 1 Redevelopment Agency further agrees to refrain from taking any actions which would, to its knowledge, tend to adversely affect the rating on the Bonds -3- SECTION 7 Allocation of Residual and Other Assets The Authority hereby agrees to allocate all excess cash flow, money, assets and residuals derived from the financing contemplated by this Agreement among each of the participating Redevelopment Agencies in a manner to be mutually agreed to by all parties hereto prior to the issuance of any Bonds by the Authority Such allocation shall be agreed to in writing and shall comply with all Federal tax law requirements SECTION 8 Termination of Powers The Authority shall continue to exercise the powers herein conferred upon it until the termination of the Agreement or until the Redevelopment Agencies shall have mutually rescinded this Agreement, except that if any Bonds are issued and delivered, then in no event shall the exercise of powers herein granted be terminated until all Bonds so issued and delivered and the interest thereon shall have been paid or provision for such payment shall have been made SECTION 9 Governing Board (a) The Authority shall be administered by the Board which shall consist of three members, each serving in his or her individual capacity as a member of the Board (b) One member and one alternate member of the Board shall be appointed by Huntington Park One member and one alternate member of the Board shall be appointed by Lancaster One member and one alternate member of the Board shall be appointed by Grand Terrace (c) Initial members and alternate members of the Board shall serve for a term of three - years Successors to such members shall be selected in the manner in which the respective initial member was selected and shall serve a term of three years Any appointment to fill an unexpired term, however, shall be for such unexpired term The term of office of any member or alternate member of the Board may be terminated at any time with or without justification by a majority vote of the Redevelopment Agency which appointed such member (d) Board members and alternates shall be officials or employees of the appointing Redevelopment Agency (e) When the Board member is not present at a Board meeting, then an alternate member appointed by that Authority may serve in his or her place with full authority (f) Members of the Board shall not receive any compensation for serving as such, but shall be entitled to reimbursement for any expenses actually incurred in connection with serving as a member of the Board if the Board shall determine that such expenses shall be reimbursed and there are funds available for such purpose SECTION 10 Meetings of the Board (a) The Board shall hold at least one regular meeting each year, and by resolution, may provide for the holding of regular meetings at more frequent intervals The regular meeting of the Board shall be held in the offices of the City of Lancaster or at such other place and upon such date and at such hour as may be fixed from time to time by resolution of the Board -4- (b) The first Board meeting shall be held as soon as possible from the effective date of this Agreement as shall be mutually agreed to by the parties hereto (c) Special meetings of the Board may be called in accordance with the provisions of Section 54956 of the Government Code of the State of California (d) All meetings of the Board shall be called, noticed held and conducted subject to the provisions of the Ralph M Brown Act (Chapter 9 of Part 1 of Division 2 of the Government Code of the State of California, commencing with Section 54950 thereof) (e) The secretary of the Authority shall cause minutes of all meetings of the Board to be kept and shall, as soon as possible after each meeting, cause a copy of the minutes to be forwarded to each member of the Board and to each Redevelopment Agency (f) The attendance of four members of the Board shall constitute a quorum for the transaction of business, and the affirmative votes of a majority of the members present shall be necessary to take any Board action, except that less than a quorum may adjourn from time to time Each member of the Board shall have one vote (g) The Board may adopt, from time to time, such bylaws and other rules and regulations for the conduct of its meetings as are necessary for the purposes hereof SECTION 11 Officers, Duties, Official Bonds (a) The Board shall elect a chairman of the Authority and a vice-chairman of the Authority from among its members, and shall have a secretary of the Authority who shall be the Board member representing Grand Terrace, who shall also serve as Administrative Officer to carry out the day-to-day responsibilities of the Authority and who may, but need not, be a member of the Board It is the intention of the parties hereto that the agency employing the Administrative Officer will assume the responsibility for carrying out the administrative functions of the Authority and shall be reimbursed for its costs and expenses from available revenues (b) Subject to the applicable provisions of any indenture or resolution providing for a trustee or other fiscal agent, the Administrative Officer is designated as the depository of the Authority, to have custody of all the money of the Authority, from whatever source, and, as such, shall have the powers, duties and responsibilities specified in Sections 6505 and 6505 5 of the Joint Powers Law The Board shall require the filing of an official bond with respect to such Administrative Officer and any other persons designated by the Board having charge of, custody or access to any property of the Authority, in such amount as it determines reasonable by the Board, all in accordance with Section 6505 1 of the Joint Powers Law (c) The Board shall have the power to appoint such other officers and employees as it may deem necessary and to retain independent counsel, consultants and accountants SECTION 12 Budget (a) The Authority shall prepare an annual budget of revenues and expense in each fiscal year which shall be from July 1 to June 30 Such budget shall also show the revenues and expenses anticipated in connection with the Program for which revenue bonds, notices or other evidences of indebtedness are outstanding All expenses of the Authority shall be paid from revenues or funds derived in connection with the Program -5- (b) Unless and until changed by resolution of the Board, the fiscal year of the Authority shall be the period from July 1 of each year to and including the following June 30, except for the first fiscal year, which shall be the period from the date of this Agreement to June 30, 1992 SECTION 13 Disposition of Assets (a) In the event that Bonds are issued as contemplated herein, then at the end of the term hereof, or upon the earlier terminating of this Agreement, all assets of the Authority including all home mortgages and property acquired as a result of the joint exercise of powers under this Agreement, shall be distributed to each Redevelopment Agency in accordance to the allocation formula to be agreed upon pursuant to in Section 7 hereof (b) In the event that Bonds are not issued, then any and all assets of the Authority shall be distributed to the respective grantors or assignors thereof After the completion of the purpose of this Agreement, any surplus money on hand shall be returned to each Redevelopment Agency in proportion to any of their respective contributions made, or based on the allocation formula to be agreed upon pursuant to Section 7 hereof SECTION 14 Bonds Subject to the notice requirement set forth in Section 6503 7 of the Joint Powers Law and Section 25 hereof, the Authority shall have the power to issue Bonds, at any time, in accordance with the provisions of the Act and the Joint Powers Law for the purpose of raising funds necessary to carry out its powers under this Agreement and shall also have the power to issue any other forms of indebtedness authorized by the Joint Powers Law in accordance with the provisions of the Joint Powers Law for such purpose SECTION 15 Agreement Not Exclusive This Agreement shall not be exclusive and the Redevelopment Agencies expressly reserve their respective rights to carry out other home financing programs under the Act and to issue other obligations for such purposes except as provided by Section 5 hereof This Agreement shall not be deemed to amend or alter the terms of other agreements between each Redevelopment Agency, except as expressly provided herein SECTION 16 Contribution, Advances and Prior Expenses, Assignment of Contacts (a) On a voluntary basis, contributions or advances of public funds and of personnel, services, equipment or property may be made to the Authority by the Redevelopment Agencies for any of the purposes of this Agreement Any such advance may be made subject to repayment, and in such cases shall be repaid in the manner agreed upon by the Redevelopment Agencies, as the case may be, and the Authority, at the time of making such advance (b) Expenses incurred prior to Bond sale, such as the cost of Bond rating and the printing of, the official statement, shall be allocated between the parties to this Agreement in accordance with the allocation formula to be agreed to pursuant to Section 7 hereof SECTION 17 Accounts and Reports (a) The Authority shall establish and maintain such funds and accounts as may be required by good accounting practice and by any provision of any resolution or indenture of the Authority securing the Bonds The books and records of the Authority shall be open to ( -6- inspection at all reasonable times to the Redevelopment Agencies and their representatives The Authority shall give an independent audited written report of all financial activities for each fiscal year to the Redevelopment Agencies, within 120 days after the close of each fiscal year (b) The Administrative Officer of the Authority shall either make or contract with a certified public accountant or public accountant to make an annual audit of the accounts and records of the Authority In each case the minimum requirements of the audit shall be those prescribed by the State Controller for special districts under Section 26909 of the Government Code of the State of California or its successor statute, and shall conform as closely as possible to generally accepted auditing standards When such an audit of accounts and records is made by a certified public accountant or public accounts and records is thereof shall be filed as a public record with the Redevelopment Agencies and also with the County Auditor of the Counties where each Redevelopment Agency is located Such report shall be filed within 12 months of the end of the fiscal year under examination (c) Any cost of the audit, including contracts with, or employment of, certified public accountants or public accountants in making an audit pursuant to this Section, shall be borne by the Authority and shall be a charge against any unencumbered funds of the Authority available for said purpose (d) In any year in which the annual budget of the Authority does not exceed five hundred dollars ($500), the Board may, by unanimous vote, replace the annual special audit with an audit covering a two-year period (e) All the books, records, accounts and files referred to in this Section shall be open to the inspection of holders of any Bonds to the extent and in the manner provided in any resolution or indenture providing for the issuance of Bonds SECTION 18 Breach If default shall be made by any Redevelopment Agency with respect to any agreement contained in this Agreement, such default shall not excuse the defaulting party from fulfilling its obligations under this Agreement and all parties shall continue to be liable for the performance of all conditions herein contained The Redevelopment Agencies hereby declare that this Agreement is entered into for the benefit of the Authority created hereby, and the Redevelopment Agencies hereby grant to the Authority the right to enforce by whatever lawful means the Authority deems appropriate all of the obligations of each of the parties hereunder Each and all of the remedies given to the Authority hereunder or by any law now or hereafter enacted are cumulative, and the exercise of one right or remedy shall not impair the right of the Authority to any or all other remedies SECTION 19 Liability Indemnification and Insurance (a) The debts, liabilities and obligations of the Authority shall not constitute debts, liabilities or obligation of the Redevelopment Agencies No member shall be liable for any indebtedness of the Authority except that which is expressly consented to by the respective Redevelopment Agency All persons dealing with the Authority shall be hereby notified that no party to this Agreement shall be liable for the debts of the Authority (b) The Board may obtain and carry appropriate insurance coverage in an amount deemed appropriate by the Board which sum shall be increased from time to time in accordance with prudent insurance coverage practice -7- SECTION 20 Severability Should any part, terms, or provision of this Agreement be decided by the courts to be illegal or in conflict with any law of the State of California or otherwise be rendered unenforceable or ineffectual, the validity of the remaining parts, terms or provisions hereof shall not be affected thereby SECTION 21 Successors, Assignment This Agreement shall be binding upon and shall inure to the benefit of the successors of the parties Except to the extent expressly provided herein, the parties may not assign any right or obligation hereunder without the consent of both other parties SECTION 22 Amendment of Agreement This Agreement may be amended by supplemental agreement executed by the Redevelopment Agencies (a) at any time prior to the issuance of Bonds or (b) at any time after the issuance of Bonds subject to the conditions and restrictions set forth in the resolution or indenture authorizing the issuance of Bonds SECTION 23 Form of Approvals Whenever an approval is required in this Agreement, unless the context specifies otherwise, it shall be given by resolution duly and regularly adopted by the Authority whose consent is required, and in the case of the Authority by resolution duly and regularly adopted by the Board Whenever in this Agreement any consent or approval is required, the same shall not be unreasonably withheld SECTION 24 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 under such laws SECTION 25 Filing of Notice of Agreement with Secretary of State The Administrative Officer shall file within 30 days of the effective date of this Agreement a notice with the Secretary of State of the State of California setting forth the name of each party to this Agreement, the date upon which this Agreement became effective, a statement of the purpose of this Agreement or power to be exercised, and a description of any amendment or amendments made to this Agreement, if any SECTION 26 Section Headings All section headings contained herein are for convenience or reference only and are not intended to define or limit the scope of any provision of this Agreement -8- 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 Attest Huntington Park Redevelopment Agency Secretary By Approved as to form Agency Attorney Attest Lancaster Redevelopment Agency Secretary By Approved as to form Agency Attorney Attest Community Redevelopment Agency of City of Grand Terrace Secretary By Approved as to form Agency Attorney -9- EXHIBIT A The Huntington Park Redevelopment Agency Single Family Residential Mortgage Revenue Bonds, Issue of 1980, dated February 1, 1980 The Lancaster Redevelopment Agency Residential Mortgage Revenue Bonds, 1980 Series A, dated March 1, 1980 The Community Redevelopment Agency of the City of Grand Terrace Residential Mortgage Revenue Bonds, Issue of 1981, dated March 1, 1981 A-1 .— -- -= 18049 01_ — — 7F�iW TAD•cep — 07/02/91 — JOINT POWERS AGREEMENT BETWEEN THE REDEVELOPMENT AGENCIES OF THE CITIES OF LANCASTER, GRAND TERRACE AND HUNTINGTON PARK PROPOSED REFUNDING OF SINGLE FAMILY MORTGAGE REVENUE BONDS ISSUER ORIGINAL TRUSTEES Lancaster 44933 Fern Avenue Security Pacific National Bank Lancaster, CA 93534 (Lancaster& Grand Terrace) (805) 723-6019 - Rodio 600 Wilshire Blvd (805) 723-6030 -Dukett Los Angeles, CA 90017 (805) 723-6141 [Fax] (213) 345-3815 (Mawn) (213) 345-1364 (Matamoros) Mr Arnie Rodio (213) 345-3998 [Fax] City Councilman JPA Chairman Steven H Dukett Tamara Mawn (Lancaster) Deputy Director of RDA Jose Matamoros (Grand Terrace) Grand Terrace Bank of America (Huntington Park) 22795 Barton Road 555 South Flower Street Grand Terrace, CA 92324-5295 5th Floor, Corporate Trust 8510 (714) 824-6621 Los Angeles, CA 90071 (213) 228-4146 Mr Thomas J Schwab (213) 689-4772 [Fax] City Managei Kathryn Valdivia Huntington Park Civic Center NEW TRUSTEE AND ESCROW AGENT 6550 Miles Avenue, Room 205 Huntington Palk, CA 90255 Security Pacific Bank (213) 582-6161 333 S Grand Avenue Los Angeles, CA 90071 Donald L Jeffeis (213) 345-3815 Chief Administrative Office (213) 345-1364 [Fax] AGENCY COUNSEL Tamara Mawn Stradling, Yocca, Carlson & Rauth )3OND COUNSEL (Lancaster Counsel) 660 Newport Center Drive, Suite 1600 Jones Hall Hill & White Newport Beach, CA 92660 Four Embaicadero Center, 19th Flooi (714) 640-7035 San Francisco, CA 94111 (415) 391-5780 David R McEwen, Esq (415) 391-5784 [Fax] Michael B Montgomery Law Corp Thomas A Downey (Huntington Park Counsel) 13200 Crossioads Paikway Noith, Suite 350 Industry, CA 91746 ; (213) 908-1850 ' (213) 908-1854 [Fax] Michael N Montgomery 18049-01 JHHW TADccp 07/02/91 UNDERWRITER'S COUNSEL RATING AGENCY Chapman & Cutler 111 West Monroe Street Moody's Investor Service Chicago, Illinois 60603 Structured Finance Group (312) 845-3795 99 Church Street (312) 701-2361 [Fax] New York, NY 10007 (212) 553-4836 Charles L Jarik Chris Martin Saul, Ewing Remick & Saul Centie Square West, 38th Floor SERVICERS Philadelphia, PA 19102 (213) 972-7777 Metmor Financial Inc (Grand Terrace) Investor I D #683 Timothy A Frey 9225 Indian Creek Parkway 2nd Floor Lundquist & Lundquist PC Overland Park, Kansas 66210 1015 Penn Avenue, 2nd Floor (913) 661-0555 (3083) Wyomissing, PA 19610 (913) 661-0305 [Fax] (215) 374-1344 (215) 374-3829 [Fax] Cindy Jantti Mark Lundquist Key Bank-Golddome Realty Credit Corp 205 Palk Club Lane UNDERWRITERS Buffalo, NY 14231-9000 (716) 635-2562 Whipple Kinsell & Co , Inc (716) 635-2204 [Fax] 30131 Town Center Drive Laguna Niguel, CA 92677 Jams Galouzzo (714) 495-8883 (714) 495-5068 [Fax] Atlas Mortgage Ltd (Lancaster) Investors I D #130 J Jeffrey Kinsell 5375 Avenida Enemas, Suite A Scott Baldndge Carlsbad, CA 92008 Nancy Wilson (619) 431-9697 (619) 431-1956 [Fax] Meridian Capital Markets 601 Penn Street Mary Hamilton 4th Flooi Reading, PA 19601 NCNB Mortgage Corporation (Lancaster) (215) 320-3698 (Paikin) Investors I D #317 (215) 320-3652 (Cox) 700 West Liberty Street (215) 320-3279 [Fax] Louisville, KY 40203 (502) 566-5426 Steve A Paikin,Public Finance Mike Cox, Interest Rate Pioducts Madelame Floience Stifel, Nicholaus & Co , Inc FINANCIAL ADVISOR 500 North Broadway St Louis, MO 63102 Urban Futures, Inc (314) 342-2134 401 W Chapman Ave , Suite 106 (314) 342-2165 Fulleiton, CA 92631-3807 (314) 342-2179 [Fax] (714) 738-4277 (714) 738-3767 [Fax] J Joseph Schlafly Peter J Czajkowski Maishall Lynn I CITY OF GRP TERRACE I 'I DATE JUNE 30, 1991 CHECK REGISTER NO 063091 CHECK OUTSTANDING DEMANDS AS OF JUNE 30, 1991 NUMBER VENDOR DESCRIPTION AMOUNT P7272 SOUTHERN CA EDISON COMPANY CASH PAYMENTS FOR 6/20/91 $ 95 17 i II P7273 SOUTHERN CA GAS COMPANY CASH PAYMENTS FOR 6/20/91 21 47 ' i P7274 SOUTHERN CA EDISON COMPANY CASH PAYMENTS FOR 6/24/91 288 70 " A P7275 SOUTHERN CA GAS COMPANY CASH PAYMENTS FOR 6/24/91 469 85 ' ;,, P7276 QUALITY AUTOMOTIVE REPAIRS ON CITY TRUCK 109 87 , 1I P7277 n DEFERRED COMPENSATION FUND AUDJUSTMENT TO PAYROLL, ON DEFERRED COMPENSATION 375 53 4 P7278 C PRO-SOUND MOBILE DJ SERVICE D/J FOR TEEN DANCE 290 00 ' H 1 P7279 ii KELLY'S SILK SCREEN T-SHIRTS FOR SUMMER YOUTH EMPLOYEES 146 08 r P7280 F.= RVC ROADWAY CONSTRUCTION PROGRESS PAYMENT ON SENIOR CITIZENS PROJECT 13,046 62 ` P7281 3) EMPLOYMENT DEVELOPMENT DEPT ADJUSTMENT TO PAYROLL, S U I TAX 3 74 P7282 2 PERS FOR PAYROLL ENDING 6/21/91 2,704 83 P7283 a SOUTHERN CA EDISON COMPANY CASH PAYMENTS FOR 6/28/91 436 29 P7284 SOUTHERN CA GAS COMPANY CASH PAYMENTS FOR 6/28/91 220 00 P7285 STATE COMPENSATION INS FUND WORKERS COMPENSATION INSURANCE FOR JUNE, 1991 2,075 37 4t PAYROLL FOR JUNE, 1991 75,385 76 ` 3, TOTAL $ 95,669 28 I CERTIFY THAT, TO THE BEST OF MY KNOWLEDGE, THE AFORELISTED CHECKS FOR PAYMENT OF CITY LIABILITIES HAVE BEEN AUDITED BY ME AND ARE NECESSARY AND APPROPRIATE EXPENDITURES FOR THE OPERATION OF THE CITY O C '3 zm coz P.a 6 v z /� -�v0 THOMAS SCHWA �/ O M � FINANCE DIRECTOR O -I a r COUNCIL APPROVAL CITY OF GRAr TERRACE DATE JULY 11, 1991 CHECK REGISTER NO 071191 CHECK OUTSTANDING DEMANDS AS OF JULY 11, 1991 NUMBER VENDOR DESCRIPTION AMOUNT 23530 LYDIA TAN REFUND, RECREATION PROGRAM $ 140 00 / /' 23531 LINDA BRAUN REFUND, RECREATION PROGRAM 70 00 23532 EDITH THORNTON REFUND, RECREATION PROGRAM 70 00 i 23533 ROBERT ZITAR REFUND, RECREATION PROGRAM 100 00 'I 23534 CCAN INNOVATION GROUP WORKSHOP REGISTRATION, PLANNING 80 00 23536 INTRUCTOR BOOK CLUB INSTRUCTION BOOK, CHILD CARE 21 59 23537 HAROLD LANDERS REFUND, WASTE WATER DISPOSAL SERVICES 8 50 23538 JAMES PERRY REFUND, WASTE WATER DISPOSAL SERVICES 8 50 23539 AT&T INFORMATION CENTER RENT PHONE, EMERGENCY OPERATIONS CENTER 4 37 23540 ADAIR OFFICE FURNITURE FURNITURE FOR SENIOR CITIZENS CENTER AND FILE AND STOREAGE CABINET FOR CHILD CARE 5,060 62 23541 ANY HOUR LOCK AND KEY DUPLICATE KEYS FOR CIVIC CENTER AND SENIOR CITIZENS CENTER 78 54 23542 0 BASTANCHURY BOTTLED WATER BOTTLED WATER FOR CIVIC CENTER AND CHILD CARE 121 60 23543 Z DANIEL BUCHANAN PLANNING COMMISSION MEETING, 6/20/91 50 00 23544 r E & L LANDSCAPING LANDSCAPE MAINTENANCE FOR TERRACE PINES, JUNE, 1991 200 00 23545 > EWING IRRIGATION SUPPLIES IRRIGATION SUPPLIES FOR PARKS 116 35 23546 m LENORE FROST REIMBURSEMENT FOR CA PARKS AND RECREATION CONFERENCE 84 81 23547 0 KAREN GERBER REIMBURSEMENT FOR LOCAL MILEAGE 7 65 23548 a GREENWOOD' S UNIFORMS UNIFORMS FOR CITIZENS PATROL 122 95 23549 A STANLEY HARGRAVE PLANNING COMMISSION MEETING, 6/20/91 50 00 23550 JERRY HAWKINSON PLANNING COMMISSION MEETING, 6/20/91 50 00 23551 w HEMSTRA SIGNS NAME PLATES, PLANNING, FINANCE, AND CITY CLERK 83 82 1 23552 j' ROSALBA HERNANDEZ BABYSITTER FOR AEROBICS CLASS 45 00 23553 HOLDEN PEST CONTROL PEST CONTROL FOR COMMUNITY CENTER, JUNE, 1991 25 00 1 Cl f Y Of GRAND TERRACE_ ifs' DATE JULY 11, 1991 CHECK REGISTER NO 071191 �,,, CHECK OUTSTANDING DEMANDS AS OF JULY 111 , 1991 111111 NUMBER VENDOR DESCRIPTION AMOUNT f,'I' l 1 23554 INLAND EMPIRE COMMUNITY NEWS SUBSCRIPTION, L/L LIGHT NEWS $ 25 00 , @j'� 23555 INLAND EMPIRE STAGES UNLIMITED BUS FOR RECREATION EXCURSION 365 00 FOR FINANCE AND PLANNING 86 89 r`� 23556 INMARK NAME BADGES AND NAME PLATESl 23557 SHARON KORGAN REIMBURSEMENT FOR SUPPLIES FOR CITIZENS PATROL 44 42 ttl� 23558 ALECIA LUCAS REIMBURSEMENT FOR LOCAL MILEAGE AND MONITOR FOR TWO I „`�" NIGHTS, CIVIC CENTER 65 98 23559 MINUTEMAN PRESS LETTERHEAD AND BUILDING PERMITS 376 37 �i�II 23560 RAY MUNSON PLANNING COMMISSION MEETING, 6/20/91 50 00 23561 PACIFIC BELL PHONE FOR EMERGENCY OPERATIONS CENTER, SENIOR CITIZENS, f' CHILD CARE, AND CIVIC CENTER 639 32 i 23562 PARTIES PLUS SUPPLIES FOR TEEN DANCE 94 23 23563 PATTON SALES CORP SUPPLIES FOR CIVIC CENTER COMPLEX 646 26 r 23564 PETTY CASH REIMBURSEMENT FOR GENERAL PETTY CASH 335 41 A 23565 PETTY CASH REIMBURSEMENT FOR CHILD CARE PETTY CASH 198 64 23566 COUNTY OF SAN BERNARDINO PARKING CITES FOR JAN—JUNE, 1991 187 50 23567 SIERRA WHOLESALE HARDWARE CORE DOOR AND HARDWARE 342 38 23568 JIM SIMS PLANNING COMMISSION MEETING, 6/20/91 50 00 1i' 23569 LOUISE SMITH REIMBURSEMENT FOR OFFICE SUPPLIES, LOCAL MILEAGE, AND SUPPLIES FOR EMERGENCY OPERATIONS CENTER 358 581 �1,i 23570 SMART & FINAL IRIS COMPANY SUPPLIES FOR CHILD CARE 298 82 y 23571 SPEEDEE OIL CHANGE SERVICE ON CITY TRUCK 20 38 1r III 23572 STANDARD REGISTER COMPUTER PAPER, PAYROLL JOURNALS 129 28 11(I 23573 STATE COMPENSATION INS FUND SURCHARGE FOR CIGA/WCA, WORKERS COMPENSATION 279 30 23574 THE SUN AD—PERSONNEL, FINANCE 30 91 il� 23575 TOYS R US SUPPLIES FOR CHILD CARE 198 32 2 'fl1 CITY OF GRAL TERRACE i DATE JULY 11 , 1991 CHECK RCG11ER NO 071191 1�1 CHECK OUTSTANDING DEMANDS AS OF JULY 11 , 1991 /1 NUMBER VENDOR DESCRIPTION AMOUNT h,l 23576 TRI-COUNTY OFFICIALS UMPIRES FOR SLO-PITCH SOFTBALL, 6/16-6/30/91 $ 108 00 ; It 23577 UNOCAL FUEL FOR CITY TRUCKS AND EQUIPMENT 475 87 11Ii il 23578 FRAN VAN GELDER PLANNING COMMISSION MEETING, 6/20/91 50 00 23579 WAXIE JANITORIAL SUPPLIES FOR CIVIC CENTER 258 10 It 23580 WEST-COMPUTIL CORP PROCESS PARKING CITATIONS, APRIL/MAY, 1991 24 00 1141� 23581 WILLDAN ASSOCIATES FINAL BILLING ON HOUSING ELEMENT PROJECT 1 ,539 75 11 P7286 SOFTWARE WIZARD MAINTENANCE ON WORD PROCESSOR/PRINTER, 91/92 11 1 ,910 00 P7287 POSTMASTER-COLTON POSTAGE FOR METER 2,000 00 I� I'P7288 CAL-MOBILE LEASING FINAL PAYMENT ON SENIOR CITIZENS MODULAR UNIT 3,808 84 �I� P7289 STRAND EARTHQUAKE SEISMIC VALVE 2,875 70 ;If P7290 ALL PRO CONSTRUCTION REPAIRS ON VAN BUREN, SLURRY SEAL, VARIOUS LOCATIONS 12,849 50 Ijf P7291 SOUTHERN CA EDISON COMPANY CASH PAYMENTS FOR 7/3/91 581 09 P7292 SOUTHERN CA GAS COMPANY CASH PAYMENTS FOR 7/3/91 123 15 P7293 SOUTHERN CA EDISON COMPANY CASH PAYMENTS FOR 7/8/91 32 75 P7295 GENE CARLSTROM TRAVEL ADVANCE, LEAGUE OF CA CITIES CONFERENCE 103 50 P7296 SOUTHERN CA EDISON COMPANY CASH PAYMENTS FOR 7/10/91 59 90 P7297 SOUTHERN CA GAS COMPANY CASH PAYMENTS FOR 7/10/91 8 41 , 23583 LA UNIFIED SCHOOL DISTRICT VISUAL AIDS, D A R E 80 56 23584 LINDA SINES REFUND, RECREATION PROGRAM 20 00 II, 23585 WILLIE CLAYTON REFUND, CHILD CARE 40 00 V EI 23586 JANA HOPPER REFUND, RECREATION PROGRAM 70 00 23587 SANDRA LUCKMAN REFUND, RECREATION PROGRAM 20 00 ' 23589 ABBEY WESTERN RENTALS TABLES FOR GRAND TERRACE DAY 116 50 0 23590 AIRKEM PROFESSIONAL PRODUCTS LATHER VALVE 49 39 3 i1 I CITY OF GRAND TERRACE 1! DATE JULY 11, 1991 CHECK REGISTER NO 071191 ,i 10 iii CHECK OUTSTANDING DEMANDS AS OF JULY 11 , 1991 NUMBER VENDOR DESCRIPTION AMOUNT ; ` to 23591 ALL PRO CONSTRUCTION OVERLAY PALM CT AND GRADE/SET TWELVE MANHOLES $ 6,100 00 23592 AMATEUR ELECTRONICS SUPPLIES FOR EMERGENCY OPERATIONS CENTER 223 01 � � 23593 RANDALL ANSTINE AUTO ALLOWANCE FOR JULY, 1991 200 00 1 23594 CA CONTRACT CITIES ASSOCIATION MEMBERSHIP FOR 1991/92 100 00 11 ! 23595 CA PARKS & RECREATION MEMBERSHIP FOR 1991/92 270 00 ' ' 23596 CITY CLERKS ASSOCIATION MEMBERSHIP FOR 1991/92 75 00 l���� 23597 CITY OF COLTON WASTE WATER DISPOSAL SERVICES FOR JULY, 1991 AND i CONNECTIONS FOR JUNE, 1991 58,173 09 23598 DICKSON COMPANY/INLAND EMPIRE STREET SWEEPING FOR JUNE, 1991 1 ,775 00 23599 EASTMAN KODAK CREDIT CORP LEASE KODAK COPIER FOR JULY, 1991 223 27 I 23600 EWING IRRIGATION SUPPLIES IRRIGATION SUPPLIES FOR PARKS 244 52 23601 F & E CHECK PROTECTION MAINTENANCE ON CHECK PROTECTOR, 1991/92 204 50 23602 GOFORTH & MARTI OFFICE SUPPLIES 407 68 23603 G T AREA CHAMBER OF COMMERCE GRANT, 1ST QUARTER, 1991/92 10,000 00 'l 23604 HONEYWELL, INC MAINTENANCE ON HVAC UNIT FOR JULY, 1991 1 ,043 00 ', 23605 INTERNATIONAL MAILING SYSTEMS RENTAL OF POSTAGE METER FOR JULY-OCT, 1991 131 00 ' 23606 J & M SILKSCREEN AWARDS FOR SLO-PITCH SOFTBALL 100 00 23607 SHARON KORGAN REIMBURSEMENT FOR SUPPLIES, CITIZENS PATROL MEETING 38 50 23608 PATRIZIA MATTERASSI AUTO ALLOWANCE FOR JULY, 1991 200 00 ! 23609 MORELAND & ASSOCIATES PROGRESS PAYMENT FOR AUDIT, JUNE 30, 1991 3,836 54 I 23610 MTN VIEW CYCLERY THREE BIKES, POLICE 1,772 28 ' 23611 MUNIMETRIX, INC SOFTWARE RENTAL FOR CITY CLERK, JULY-SEPT, 1991 142 50 23612 NCR CORPORATION SOFTWARE MAINTENANCE FOR FINANCE, JULY, 1991 , AND HARDWARE MAINTENANCE FOR 1991/92 2,584 03 23613 OTIS ELEVATOR COMPANY MAINTENANCE ON ELEVATOR FOR JULY, 1991 213 78 4 { ,1 CITY OF GRAN RRACE DATE JULY 11, 1991 CHECK REGI3IER NO 071191 CHECK OUTSTANDING DEMANDS AS OF JULY 11 , 1991 ' NUMBER VENDOR DESCRIPTION AMOUNT 23614 PAGENET-ONTARIO AIR TIME/MAINTENANCE ON PAGERS, JULY, 1991 $ 33 00 23615 RIVERSIDE HIGHLAND WATER COMPANY WATER FOR BARTON/PALM 35 72 23616 COUNTY OF SAN BERNARDINO CHEMICAL WEED CONTROL FOR F/Y 1990/91 4,071 49 23617 COUNTY OF SAN BERNARDINO RELEASE LIEN, WASTE WATER DISPOSAL SERVICES 9 00 r 23618 SHERIFF DICK WILLIAMS LAW ENFORCEMENT AND CRIME PREVENTION OFFICER FOR JULY, 1991 76,800 50 23619 COUNTY OF SAN BERNARDINO DUMPING CHARGES FOR 5/17-6/12/91 752 50 i" 23620 THOMAS SCHWAB AUTO ALLOWANCE FOR JULY, 1991 200 00 { 23621 SIGNAL MAINTENANCE, INC MAINTENANCE ON SIGNALS FOR JUNE, 1991 AND REPAIRS ON SIGNAL 658 56 23622 SOUTHERN CA EDISON COMPANY ELECTRIC FOR BALL PARK LIGHTS, ROBIN, CITY BLDGS, CIVIC CENTER, TWO LIGHTS AT PARK ON DEBERRY, BARTON/PALM, ONE LIGHT AT PICO PARK, SPRINKLER AT PARK ON DEBERRY, AND SIGNALS 4,342 56 23623 SO CA JOINT POWERS INS DEPOSIT ADJUSTMENT, GENERAL LIABILITY INSURANCE 31,466 60 23624 THE SUN NOTICE OF PUBLIC HEARING 135 90 23625 WESTINGHOUSE SECURITY SYSTEMS MAINTENANCE ON SECURITY SYSTEM, JULY-SEPT, 1991 75 00 23626 WILLDAN ASSOCIATES TEMP HELP IN PLANNING 3,754 00 TOTAL $249,019 83 I CERTIFY THAT, TO THE BEST OF MY KNOWLEDGE, THE AFORELISTED CHECKS FOR PAYMENT OF CITY LIABILITIES HAVE BEEN AUDITED BY ME AND ARE NECESSARY AND APPROPRIATE EXPENDITURES FOR THE OPERATION OF THE CITY , I THOMAS SCHWA FINANCE DIRECTOR , 5 CITY OF GRAND TERRACE PENDING Cr' COUNCIL APPROVAL CITY COUNCIL MINUTES REGULAR MEETING - JUNE 27, 1991 A regular meeting of the City Council of the City of Grand Terrace was called to order in the Council Chambers , Grand Terrace Civic Center, 22795 Barton Road , Grand Terrace, California, on June 27, 1991 at 6 00 p m PRESENT Byron Matteson , Mayor Hugh J. Grant, Mayor Pro Tem Gene Carlstrom, Councilmember Ronald Christianson , Councilmember Herman Hilkey, Councilmember Thomas J. Schwab , City Manager/Finance Director Randall Anstine, Assistant City Manager Patrizia Materassi , Planning Director Brenda Stanfill , Deputy City Clerk John Harper, City Attorney Joe Kicak, City Engineer ABSENT None The meeting was opened with invocation by Pastor Roger Greenwalt, First Baptist Church of Grand Terrace, followed by the Pledge of Allegiance led by Councilmember Carlstrom Mayor Matteson convened City Council meeting at 6 00 p.m Mayor Matteson reconvened City Council meeting at 6 10 p.m. SPECIAL PRESENTATIONS 2A Lisa Coburn, Grand Terrace Chamber of Commerce, introduced Miss Grand Terrace 1991 , Jane Salinas , and Ms. Salinas presented her portrait to the City. CONSENT CALENDAR CC-91-111 MOTION BY COUNCILMEMBER CARLSTROM, SECOND BY MAYOR PRO TEM GRANT, CARRIED 5-0, to approve the Consent Calendar A. APPROVE CHECK REGISTER NO 062791 B RATIFY 06/27/91 CRA ACTION C. WAIVE FULL READING OF ORDINANCES ON AGENDA COUNCIL AGENDA MEM I/3 Council Minutes - 6/27/91 Page 2 D APPROVE 06/10/91, 6/11/91 AND 6/13/91 MINUTES E. AUTHORIZATION FOR COUNCIL AND STAFF TO ATTEND LEAGUE MEETING IN MONTEREY F RECYCLING EXEMPTIONS G ADOPT RESOLUTION TO PARTICIPATE IN THE EMPLOYEE HEALTH BENEFIT PLAN OF THE SOUTHERN CALIFORNIA JOINT POWERS INSURANCE AUTHORITY 1 H 1991/92 APPROPRIATIONS LIMIT PUBLIC COMMENT Richard Rollins, 22700 De Berry St , Grand Terrace, revealed his desire that Grand Terrace once again become a part of the "Keep America Beautiful " program He expressed chagrin at the amount of trash at the baseball diamond at Terrace Hills Community Park on De Berry and suggested that additional trash receptacles be placed at that location and that those receptacles be emptied on a regular basis He stated that he has brought the matter to the attention of the City and the Colton/Grand Terrace Little League and added that the Parks & Recreation Committee Chairman met with representatives from the Colton Joint Unified School District but the situation has not been rectified. Barbara Pfennighausen, 22111 Ladera St , Grand Terrace, stated that she still holds the title of Coordinator for the disbanded Clean Community Systems Committee and indicated that the Committee can be reinstated if there is sufficient interest in the program, adding that many Ordinances regarding trash in the City were implemented by the Committee and that the Committee had an anti -graffiti program. She indicated that the Committee requires a board of five members and that members need some training. She added that the Committee was required to complete a monthly photometric index or a photographic record of the amount of litter in the City, commenting that now the PI is required to be completed only twice yearly She expressed dissatisfaction with the condition of the mobilehome park at the junction of Grand Terrace and Barton Roads, suggesting that it be inspected She specifically objected to a damaged , uninhabitable mobilehome that was removed from its space and left parallel to the street She questioned whether the owner of the mobilehome park can be fined on a daily basis to provide incentive to have the trailer removed from that location City Manager Schwab, indicated that the mobilehome park owner has been ordered to remove the coach within ( 10) days in accordance with the City' s Public Nuisance Abatement procedures, adding that the owner was also notified that if the trailer is not moved, the City will move the coach and assess a lien against the property He stated that the City will pursue the matter through the division of San Bernardino County that handles mobilehomes , stating that the mobilehome park owner `Counci-l :Minutes - 6/27j31 Page 3 is uncooperative and that many of the certified notices return unserved, but he assured Council that the trailer will be removed Stan Hargrave, 12048 Canary Ct , Grand Terrace , informed Council that the vacant lot at the corner of Preston and Barton Road has become a used car sales lot. He inquired whether the City has an Ordinance that will allow the Sheriff' s Department to enter onto private property to ticket the vehicles, suggesting that if the City does not have such an Ordinance , one should be amended to include that provision He stated that he objects to the auto sales since the area is not zoned for retail sales, no permits have been issued for sales at that location, and it is situated within the Specific Plan area whereby the appearance of the location is important for future business development. He commented further that the lot is adjacent to a residential neighborhood and poses a potential problem because it attracts strangers into the area after dark In reference to the school issue, he commented that the feasibility study should not be preempted by comments from Councilmember Hilkey, adding that schools in Grand Terrace can receive more funding only if those schools perform more poorly but stressedthat the Council Meeting is an improper forum for discussion of the issue. He concluded that the issue should be approached from a noncombative position to avoid causing a breach between the CJUSD and the City. - City Manager Schwab, indicated that the City has addressed the car sales lot matter at other locations in the City, commenting that the cars for sale always reappear at new locations He stated that if the Council desires that the car sales cease at that site, Council should direct Staff to notify the property owner that an illegal business is being conducted on his property and then post the area for "No Parking" and enforce the no parking rule He clarified that with the agreement of the property owner to post no parking , the Sheriff's Department can enter onto the property to ticket the vehicles Barbara Pfennighausen , 22111 Ladera St , Grand Terrace, remarked that less than 1/4 of the student body of Colton High School is from Grand Terrace She suggested that it would be possible to determine the number of Colton High School students from Grand Terrace who take college preparatory courses, commenting that she does not know of any Grand Terrace students who were rejected at a college because they were graduates from Colton High School , adding that schools do not receive funding when those schools are doing well She emphasized that the facts referenced about the school district should reflect Grand Terrace rather than district-wide student progress She implied further that there is no correlation between the prestige of a school and the presence of crime on any campus Ron Wright, 22914 De Berry, Grand Terrace , aired his belief that the community supports the City' s elementary schools , commenting that the actual concern is at the high school level He expressed his desire Council Minutes - 6/27/91 Page 4 th for accountability and the that the foruma ate of the Coltond mediocrity Schooln Boar school d lacks system, Indicating openness ORAL REPORTS 5A. Committee Reports 1. Historical & Cultural Committee (a) Minutes of 6/3/91 and 6/18/91 CC-91-112 MOTION BY MAYORPROe TEM h RAHistorE Historical BY& CulOtuNalLCommitteeRMSnROes CARRIED 5-0, to p of June 3, 1991 and June 18, 1991 (b) Appoint New Member CC-91-113 MOTION BY MAYOR PRO TEM GRANT, SECOND BY COUNCILMEMBER CHRISTIANSON, CARRIED 5-0, to accept the resignation of Hazel Fuller as a of ntul Colleen be Edmundson Historicalr of the as a regular Cultural member Committee t ofthe and to app Committee 2. Crime Prevention Committee (a) Minutes of 5/13/91 CC-91-114 MOTION BY COUNCILMEMBER HILKEY, SECOND BY MAYOR PRO TEM GRANT, CARRIED 5-0, to accept the Crime Prevention Committee Minutes of May 13, 1991. 5B Council Reports Mayor Matteson , referenced a letter written byateacher in Vfiom Colton High School , Donald Douglas Gage, that appeared ce of the People , which cited the Council 's actions regarding the possible formation of a Grand Terrace School District as racist and read another letter, written by the Principle of Colton High School , which appeared in the same publication , that lauded the th merits of Colton High Colton School Joi Jointand Unified criticized Di str i ct i tyHe dissatisfaction with the emphasized that the school issue is not racial in nature and questioned the reason many students are attending high schools in other districts , stating that the common goal should be the achievement of the best education for the students rather than dissension. However, he added that some of the statistics in the article do not correspond with statistics from state reports Councilmember Hilkey, displayed statistics on the educational programs of the Colton Joint Unified School District which he erintendent of ontaintd from thathe the tesBte sco ei n ratings havernardo County declined Schools , indicating declined at Colton High Council Minutes - 6/27/91 Page 5 School He revealed that the average percentage of high school graduates from Colton who are accepted in the University of California college system is less than 2% in comparison to other districts such as the Riverside District. He indicated further that the elementary schools in Grand Terrace are the lowest funded schools in the district He stated that funding is state and federally controlled and questioned how the Colton school district could improve the service to Grand Terrace He also remarked that Colton High School is one of the poorest performing schools in the state, which is itself ranked as the fourth poorest performing state in the nation in terms of the educational system. He expressed dissatisfaction with the results of his efforts to work with the Colton Joint Unified School District, stating that the School District does not provide as open of a forum as that which is available at Council meetings in Grand Terrace. He reported that he represented the City on a tour of the San 0nofre Nuclear Power Plant, adding that he was impressed with the security and safety measures observed at the site. Councilmember Christianson, queried the City Manager as to whether senior citizens need to go to B F I. or to the City to obtain the senior recycling discount and questioned how the public was to be informed about the senior discount City Manager Schwab, indicated that there have been numerous requests for senior citizen recycling exemptions and stated that the recycling contract, which was negotiated with B F. I. , includes a provision for individuals 65 years of age or older to receive a senior discount of 10% of the disposal portion of their bill He clarified that the current bill is $1. 15 but added that the seniors will save $.05 per bill and pay only $1. 10 per month He announced that seniors can file for their discounts at B.F I but added that they may apply at the City Manager ' s office with his assistant, Betty Trimble, who will process the applications He commented further that the applicants will need to bring a Driver 's License or some other proof of age and some form of identification such as a property tax bill or a rental receipt to obtain their discount and stated that the City will publish an article in the Chamber of Commerce newsletter to clarify the discount procedure Councilmember Carlstrom, in reference to the car sales lot situation, recommended that the City contact the San Bernardino office of the Department of Motor Vehicles to alleviate the dilemma He expressed delight at the development along Barton Road but stressed his displeasure at the graffiti on the GTI building, the Keeney development, Hair Benders, and the lawnmower shop, adding that the graffiti problem needs to be addressed. He stated further that he has received negative comments regarding the close proximity of the development at the corner of Mt Vernon and Barton Road to the street as a potential traffic hazard for that intersection, and he indicated that these concerns need to be Council Minutes - 6/27/91 Page 6 considered before developing the area any further He expressed his belief that the school district issue is creating a breach between the Colton Joint Unified School District and the City and commented that the dissent is harmful to the students. Mayor Pro Tem Grant, emphasized that Councilmember Hilkey does represent the people of the community on all issues as an elected official . He stated that he was satisfied with the earlier school district study but expressed his wish that the feasibility study be conducted to end the controversy on the school district matter. He reported that he represented the Mayor at the Citizens ' Patrol quarterly meeting on June 22, 1991, indicating that the meeting was interesting and informative. He referred to a population status report he received from the City Manager ' s office and stated that the City should initiate the change of the population figures on the City signs He commented that the Clean Community Systems Committee worked and was evidence of the City' s community volunteerism and activism, adding his opinion that with the growing population and subsequent increase in trash and graffiti in the area, the Clean Community Systems Committee should be reinstated He expressed displeasure with the increase in water use rates and the increase in the meter charge UNFINISHED BUSINESS 7A. City Engineer' s Report on Traffic Control Request for Mt. Vernon CC-91-115 MOTION BY MAYOR MATTESON, SECOND BY MAYOR PRO TEM GRANT, CARRIED 5-0, to post a two-hour parking limitation on the East side of Mt. Vernon from Barton Road to 1,300 feet North of Barton Road and to provide pavement markings for the parking spaces within that area, including a red curb, to provide for no parking at least five feet on each side of the driveways , and to appropriate $2,000 to provide the required striping and signage. 7B SECOND READING - AN ORDINANCE OF THE CITY OF GRAND TERRACE, CALIFORNIA, AMENDING CHAPTER 13 12 OF THE GRAND TERRACE MUNICIPAL CODE, REGULATING THE DISCHARGE OF WASTES INTO THE SEWERAGE SYSTEM OF THE CITY OF GRAND TERRACE AND REPEALING ORDINANCE NO 72 C�,C-91-116 MOTION BY MAYOR MATTESON, SECOND BY COUNCILMEMBER CHRISTIANSON, CARRIED 5-0, to accept the second reading of the Ordinance relating to the regulation of the discharge of wastes into the sewerage system of the City of Grand Terrace and repealing Ordinance No. 72. 7C SECOND READING - AN ORDINANCE APPROVING, AUTHORIZING AND DIRECTING EXECUTION OF LEASE AGREEMENTS BETWEEN THE CITY OF GRAND TERRACE AND THE PUBLIC FINANCING AUTHORITY AND AUTHORIZING AND DIRECTING CERTAIN OTHER ACTIONS WITH RESPECT THERETO Council Minutes - 6/27/91 Page 7 , CC-91-117 MOTION BY MAYOR MATTESON, SECOND BY MAYOR PRO TEM GRANT, CARRIED 5-0, to accept the second reading of the Ordinance relating to the approval and authorization of the execution of lease agreements between the City of Grand Terrace and the Public Financing Authority. NEW BUSINESS 8A. Year End Budget Adjustments CC-91-118 MOTION BY MAYOR MATTESON, SECOND BY COUNCILMEMBER CARLSTROM, CARRIED 5-0, to approve the budget adjustments and to appropriate the following 1 $2,000 for City Attorney Professional Services , 2 $13,000 for City Engineer Professional Services, 3. $16,586 for County Administrative Fee to Collect Property Taxes , 4 $19,000 for Insurance and Surety Bonds , 5 $4,640 for the Public Health Contract, 6 $14,000 for San Bernardino County Jail Booking Fees, 7. $1,500 for Park Maintenance Utilities , 8. Decrease by $3,000 the County Weed Abatement Appropriation, 9 $7,034 for Street Services Fund Contract, 10. $300 for School Crossing Guard Salaries , 11 $24,331 for Waste Water Treatment Payments. 8B. Reschedule July 11, 1991 Council Meeting It was the consensus of Council to cancel the July 11 , 1991 City Council Meeting upon learning that Mayor Pro Tem Grant and Councilmember Carlstrom will be unable to attend A Special Meeting of the City Council was scheduled for Tuesday, July 16, 1991 at 6 00 p.m. ORDER OF ADJOURNMENT Mayor Matteson adjourned the City Council meeting at 8 00 p.m. , until the next regular CRA/City Council meeting, which is scheduled to be held on Thursday, July 25, 1991. Deputy City Clerk of the City of Grand Terrace MAYOR of the City of Grand Terrace DATE July 12 , 1991 STAFF REPORT CRA ITEM ( ) COUNCIL ITEM ( xx) MEETING DATE July 16 , 1991 SUBJECT AWARD MINI STUDY FOR FEASIBILITY OF GRAND TERRACE SCHOOL DISTRICT FUNDING REQUIRED x NO FUNDING REQUIRED At the meeting of June 13 , 1991, Council Member Herman Hilkey presented a proposal by Stallings and Associates to conduct a mini study for the feasibility of a Grand Terrace Unified School District At that same meeting Council directed staff to solicit additional proposals Staff had initially sent out proposals to Stallings and Associates , Far West Laboratories , Hawkins Mark-Tell , and University of California at Riverside Subsequent to that time , we had three more requests for proposals which were sent , one of which was to School Services of California , Inc. In addition to the initial proposal made by Stallings and Associates for $6 , 500 , we have received a proposal from School Services of California , Inc , which is attached The base cost for School Services of California Inc is $2 , 850 plus additional costs . Discussions with School Services of California , Inc determined that the additional expenses are expected to be approximately $3 , 000 which makes their total cost approximately $6 , 000 STAFF RECOMMENDS THAT SHOULD THE CITY COUNCIL WISH TO CONDUCT A MINI FEASIBILITY STUDY, COUNCIL SHOULD AWARD A CONTRACT TO SCHOOL SERVICES OF CALIFORNIA , INC. , AND APPROPRIATE $6 , 000 FROM THE UNAPPROPRIATED GENERAL FUND BALANCE FOR THE STUDY. TS bt COUNCIL AGENDA ITEM # `Th RECEIVED JUL 8 1991 CITY OF GRAND TERRACE July 5 , 1991 Mr Thomas Schwab, City Manager City of Grand Terrace 22795 Barton Road Grand Terrace, CA 92324-5295 Dear Mr Schwab Attached is School Services of California ' s response to your June 27 RFP concerning a school district unification feasibility study for the City of Grand Terrace I hope our proposal meets your expectations, and that our firm will be selected to perform the work Please call if we can provide additional information Yours truly, William C ieper Director of Management and Efficiency Review I 1 I I , ,,1 ,(1, 1 1 ,i1, t \ ()561 1 fi 110 )1 PROPOSAL FOR A FEASIBILITY STUDY CONCERNING THE FORMATION OF A SEPARATE GRAND TERRACE UNIFIED SCHOOL DISTRICT Contents of Proposal School Services of California, Inc (Consultant) is pleased to make the following proposal to perform a feasibility study concerning the formation of a separate Grand Terrace Unified School District on behalf of the City of Grand Terrace (City) Our proposal consists of sections devoted to Purpose of Analysis Objectives Analytical Approach Qualifications of Consultant Cost of Proposed Services Attachment Purpose of Analysis Based on a June 27 , 1991, letter from Grand Terrace City Manager, Thomas Schwab, and a subsequent telephone conversation with him, the Consultant understands that the purpose of the analysis is to assist the City in determining the feasibility of forming a separate unified school district to educate the children of Grand Terrace in grades K-12 All territory to be included in the potential new district now lies within the Colton Unified School District Because the project has been described by the City as a "mini study, " it will not involve preparation of a formal unification proposal to be taken before the County Committee on School District Organization or the State Board of Education Objectives The Consultant ' s objectives are to Provide information, including a review of applicable state law and regulations, about the process to be followed in separately unifying territory that lies within the boundaries of an existing unified school district Identify the demographic, geographic, educational and financial factors relevant to the formation of a unified school district, and the degree to which these factors will affect the feasibility of a potential Grand Terrace unification Determine the extent to which a potential Grand Terrace unification will meet each of the nine unification criteria set forth in Education Code Section 35753 Answer all remaining questions posed in Mr Schwab ' s June 27 letter not covered as part of the three preceding objectives Provide a written report stating the Consultant ' s findings Analytical Approach (1) The analysis will consist largely of researching reports, maps and documents on file with the California Department of Education, the San Bernardino County Superintendent of Schools, Colton Unified School District and the City of Grand Terrace Much of this work can be accomplished by telephone and/or mail (2) At the City ' s option, Consultant will spend a full day in the Grand Terrace area visiting City offices, the Colton Unified office and other Colton Unified facilities currently used by Grand Terrace children (Site visitations are recommended, but are not essential to completion of the study ) (3 ) At the City ' s option, Consultant will attend meetings and make presentations to or on behalf of City officials with regard to the study or the findings stated in the Consultant ' s report (4) Proposed timelines are Acceptance of proposal and clarification of options desired made known to Consultant by August 1, 1991 Analysis to begin no later than September 10 and be completed no later than October 31 Site visits, if any, to take place between September 10 and September 30 Draft report delivered to City by November 30 Final report delivered to City by December 15 Other meetings , presentations , etc to take place following delivery of the draft report Qualifications of Consultant The Consultant has provided a full range of financial and management services to California school districts for over fifteen years Client references will be provided upon request WILLIAM C PIEPER, Director of Management and Efficiency Review, will have overall responsibility for this project, conduct the analysis and prepare the written report Please see the attachment for Mr Pieper ' s professional biography Cost of Proposed Services The basic study, as described, will be conducted for $2 , 850 plus actual expenses for telephone, postage, duplicating etc Site visits and meetings will be billed at $95 per hour, including travel time, plus necessary expenses for transportation, meals and lodging Beginning September 30 , the Consultant will submit monthly billings for time and expenses associated with the project up to 75% of the total cost The final 25% will be due upon completion BY DATE City of Grand Terrace BY DATE -1 / /�l l William C ieper Director, Management and Efficiency Review School Services of California, Inc WILLIAM C PIEPER Director, Management and Efficiency Review School Services of California, Inc An expert in school business management with a 23-year career in public education, Mr Pieper joined School Services of California, Inc in 1991 In collaboration with other SSC staff, he offers comprehensive management consulting services to school districts and county offices throughout the state s. During 1990 Mr Pieper provided similar services through the California Department of Education's School District Management Assistance Team • From 1980 to 1984 and 1987 to 1989, Mr Pieper worked in several capacities • for the San Juan Unified School District, most recently as Associate Superintendent for Business and Personnel He was responsible for all non- instructional support services to the district's 46,000 students and 70 school sites in the areas of personnel, finance, maintenance, transportation, insurance, food service and data processing He had previously worked in school business management for the Sierra-Plumas Joint Unified School • District, the Nevada County office of Education and the Sacramento County Office of Education From 1984 to 1987, Mr Pieper served as Deputy Superintendent of Public Instruction for the State of California, having been appointed to that position by State Superintendent Bill Honig During this tune, Mr Pieper had primary responsibility for legislative testimony on the state education budget and represented Mr Honig on the State Teachers' Retirement Board and the California School Finance Authority He was also instrumental in drafting legislation on a wide range of school finance and financial management issues A Sacramento resident since 1979, Mr Pieper is marred and has a son who attends American River College Mr Pieper holds a cum laude degree in economics from Dartmouth College, an MBA from the University of Michigan and a certificate in advanced financial management from the University of Pennsylvarua's Wharton School ,No•w!.4w44r• • (IT r ) fi 12 453 o GRf1HP TERR CE: STAFF REPORT 22795 Balton Road Date July 11 , 1991 Grand Teiiacc California 92324-5295 Meeting Date July 16, 1991 Civic Centel Subject Annual Levy of Assessment - F Y 1991-1992, City of (714) 824 6621 Grand Terrace Landscaping and Lighting District 89-1 1 City of Grand Terrace has formed the Landscaping and Lighting District 89-1 and subsequently annexed 2 tracts as Annexation No 1 to the A D 89-1 Each year, it is the responsibility of the City to file annual assessments that provide for the costs of maintaining the landscaping Byion R Matteson , and lighting within these areas M,Nor Attached for your consideration is the "Engineer' s Report", A D 89-1 HughJ Giant for the annual assessments for F Y 1991-1992 M, or Pro lempon. Attached you will also find an "Order of Procedure" and various Gen_, Carlstrom resolution to be adopted by the City Council Zc d M Christianson Herman Hilkcy STAFF RECOMMENDS THAT CITY COUNCIL CU"nll Menlbtr, 1 Adopt Resolution approving Engineer ' s Report Thomas J Schwab Cii, Minig�r 2 Adopt Resolution of Intention setting the Public Hearing for August 8, 1991 at 6 P M JK/ct { i - COUNCIL AGENDA ITEM# ORDER OF PROCEDURE CITY OF GRAND TERRACE LANDSCAPING AND STREET LIGHTING DISTRICT NO 89-1 DATE OF MEETING July 16, 1991 STAFF Present map showing the general boundaries of the area proposed to be assessed, and showing in general terms the works of improvement to be maintained CITY COUNCIL Adopt RESOLUTION ORDERING CITY ENGINEER TO PREPARE PLANS, SPECIFICATIONS, COST ESTIMATE, DIAGRAM AND ASSESSMENT STAFF Present to the City Council the "Report," pursuant to the "Landscaping and Lighting Act of 1972," consisting of the following 1 Plans and specifications, 2 Estimate of costs, 3 Diagram of proposed District, 4 Assessment of costs CITY COUNCIL Adopt RESOLUTION APPROVING ENGINEER'S "REPORT " ' CITY COUNCIL Adopt RESOLUTION OF INTENTION i * * * * RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL DECLARING ITS INTENTION TO PROVIDE FOR AN ANNUAL LEVY AND COLLECTION OF ASSESSMENTS FOR CERTAIN MAIN- TENANCE IN AN EXISTING DISTRICT, PURSUANT TO THE PROVISIONS OF DECISION 15, PART 2 OF THE STREETS AND HIGHWAYS CODE OF THE STATE OF CALIFORNIA, AND SETTING A TIME AND PLACE FOR PUBLIC HEARING THEREON WHEREAS, the CITY COUNCIL of the CITY OF GRAND TERRACE, CALIFORNIA, has previously formed a street lighting district pursuant to the terms and provisions of the "Landscaping and Lighting Act of 1972", being Division 15, Part 2 of the Streets and Highways Code of the State of California, in that is known and designated as CITY OF GRAND TERRACE LANDSCAPING AND STREET LIGHTING DISTRICT NO 89-1 (hereinafter referred to as the "District"), and, WHEREAS, at this time, this City Council is desirous to take proceedings to provide for the annual levy of assessments for the next ensuing fiscal year, to provide for the costs and expenses necessary for continual maintenance of improvements within said District, and, WHEREAS, by petition representing 100% of the effected property owners, said property owners have requested annexation to said District, as a condition of development Ind have waived mailed notice of public heating WHEREAS, at this time there has been presented and approved by this City Council, the Engineer's "Report" as required by law, and this City Council is desirous of proceeding with the proceedings for said annual levy NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Grand Terrace does hereby resolve, determine and order as follows SECTION 1 That the above recitals are all true and correct PUBLIC INTEREST SECTION 2 That the public interest and convenience requires, and it is the intention of this City Council, to undertake proceedings for the annual levy and collection of special assessments for the continual maintenance of certain improvements, all to serve and benefit said District as said area is shown and delineated on a map as previously approved by this City Council and on file in the Office of the City Clerk, open to public inspection, and herein so referenced and made a part hereof, and proposed changes thereto are set forth in the "Report" of the Engineer, incorporated herein as a part hereof REPORT SECTION 3 That the "Report" of the Engineer regarding the annual levy for said District, which "Report" is for maintenance for the fiscal year 1991-1992, is hereby approved ,and is directed to be filed in the Office of the City Clerk ASSESSMENT SECTION 4 That the public interest and convenience requires, and it is the intention ,of this City Council to order the annual assessment levy for the District as set forth and described in said Engineer's "Report," and further it is determined to be in the best public interest and convenience to levy and collect annual assessments to pay the costs and expense of said maintenance and improvement as estimated in said "Report " DESCRIPTION OF MAINTENANCE SECTION 5 The assessments levied and collected shall be for the maintenance of certain street lighting improvements, as set forth in the Engineer's "Report," referenced and so incorporated herein COUNTY AUDITOR SECTION 6 The County Auditor shall enter on the County Assessment Roll the amount of the assessments, and shall collect said assessments at the time and in the same manner as County taxes are collected After collection by the County, the net amount of the assessments, after the deduction of any compensation due to the County for collection, shall be paid to the Treasurer for purposes of paying for the costs and expenses of said District SPECIAL FUND SECTION 7 I hat all monies collected shall be deposited in a special fund known as "SPECIAL FUND CITY OF GRAND TERRACE LANDSCAPING AND STREET LIGHTING DISTRICT NO 89-1" Payment shall be made out of said fund only for the purpose provided for in this Resolution, and in order to expedite the making of this maintenance and improvement, the City Council may transfer into said funds as it may deem necessary to expedite the proceedings Any funds shall be repaid out of the proceeds of the assessments provided for in this Resolution BOUNDARIES OF DISTRICT SECTION 8 Said contemplated maintenance work is, in the opinion of this City Council, of direct benefit to the proper ties within the boundaries of the District, and this City Council makes the costs and expenses of said maintenance chargeable upon a district, which district said City Council hereby declares to be the district benefitted by said improvement and maintenance, and to be further assessed to pay the costs and expenses thereof Said District i shall include each and every parcel of land within the boundaries of said District, as said District !is shown on a map as approved by this City Council and on file in the Office of the City Clerk, 'and so designated by the name of the District PUBLIC PROPERTY ' SECTION 9 Any lots or parcels of land known as public property, as the same are defined in Section 22663 of Division 15, Part 2 of the Streets and Highways Code of the State 'of California, which are included within the boundaries of the District, shall be omitted and exempt from any assessment to be made under these proceedings to cover any of the costs and expenses of said improvement and maintenance work PUBLIC HEARING SECTION 10 NOTICE IS HEREBY GIVEN THAT THURSDAY, THE 8th DAY OF AUGUST, 1991, AT THE HOUR OF 6 00 O'CLOCK P M , IN THE REGULAR MEETING OF THE CITY COUNCIL, BEING THE COUNCIL CHAMBERS, IS THE TIME AND PLACE FIXED BY THIS CITY COUNCIL FOR THE HEARING OF PROTESTS OR OBJECTIONS IN REFERENCE TO THE ANNUAL LEVY OF ASSESSMENTS, TO THE 'EXTENT OF THE MAINTENANCE, AND ANY OTHER MATTERS CONTAINED IN 'THIS RESOLUTION BY THOSE PROPERTY OWNERS AFFECTED HEREBY ANY 'PERSONS WHO WISH TO OBJECT TO THE PROCEEDINGS FOR THE ANNUAL LEVY 'SHOULD FILE A WRI FI'EN PROTEST WITH THE CITY CLERK PRIOR TO THE TIME SET AND SCHEDULED FOR SAID PUBLIC HEARING NOTICE SECTION 11 That the City Clerk is hereby authorized and directed to publish, pursuant to Government Code Section 6066, a copy of this Page 4 of 6 Resolution in the San Bernardino Sun, newspaper of general circulation within said City, said publication shall be not less than ten (10) days before the date set for said Public Hearing SECTION 12 That the City Clerk is further directed to cause a copy of the Resolution of Intention to be posted upon the official bulletin board customarily used for the posting of notices EFFECTIVE DATE SECTION 13 That this Resolution shall take effect immediately upon its adoption PROCEEDINGS INQUIRIES SECTION 14 For any and all information relating to the proceedings, protest procedure, any documentation and/or information of a procedural or technical nature, your attention is directed to the below listed person at the local agency or department so designated Joe Kicak, City Engineer CITY OF GRAND TERRACE 22795 Barton Road Grand Terrace, CA 92324 (714) 824-6621 PASSED, APPROVED AND ADOPTED this day of , 1991, by the following vote AYES NOES ABSENT ABSTENTIONS BYRON MATTESON, MAYOR CITY OF GRAND TERRACE A'I'I'EST BRENDA STANFILL, CITY CLERK CITY OF GRAND TERRACE APPROVED AS TO FORM JOHN R HARPER, CITY ATI'ORNEY STATE OF CALIFORNIA COUNTY OF SAN BERNARDINO CITY OF GRAND TERRACE I, BRENDA STANFILL, CITY CLERK of the CITY OF GRAND TERRACE, CALIFORNIA, DO HEREBY CERTIFY that the foregoing Resolution, being Resolution No was duly passed, approved and adopted by the City Council, approved and signed by the Mayor, and attested by the City Clerk, all at the meeting of said City Council held on the Aday of , 1991, and that the same was passed and adopted by the following vote AYES NOES ABSENT ABSTAIN EXECUTED this day of , 1991, at GRAND TERRACE, California BRENDA STANFILL, CITY CLERK CITY OF GRAND TERRACE STATE OF CALIFORNIA [SEAL] RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL APPROVING THE ENGINEER'S "REPORT" FOR ANNUAL LEVY OF ASSESSMENT FOR FISCAL YEAR IN A DISTRICT WITHIN SAID CITY WHEREAS, the CITY COUNCIL of the CITY OF GRAND TERRACE, CALIFORNIA, pursuant to the provisions of Division 15, Part 2 of the Streets and Highways Code of the State of California, did, by previous Resolution, order the preparation of an Engineer's "Report" for the annual levy of assessments, consisting of plans and specifications, an estimate of the cost, a diagram of the district, and an assessment relating to what is now known and designated as CITY OF GRAND TERRACE LANDSCAPING AND STREET LIGHTING DISTRICT NO 89-1 (hereinafter referred to as the "District"), and, WHEREAS, there has now been presented to this City Council the "Report" as required by said Division 15 of the Streets and Highways Code and as previously directed by Resolution, and, WHEREAS, this City Council has now carefully examined and reviewed the "Report" as presented, and is satisfied with each and all of the items and documents as set forth therein, and is satisfied that the assessments, on a preliminary basis, have been spread in accordance with ' the benefits received from the maintenance to be performed, as set forth in said "Report " NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Grand Terrace does hereby resolve, determine and order as follows SECTION 1 That the above recitals are all true and correct SECTION 2 That the "Report" as presented, consisting of the following A Plans and specifications, B Estimate of cost, C Diagram of the District, D Assessment of the estimated cost, is hereby approved on a preliminary basis, and is ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection SECTION 3 That the City Clerk shalt certify to the passage and adoption of this Resolution, and the minutes of this meeting shall so reflect the presentation of the Engineer's "Repot t " PASSED, APPROVED AND ADOPTED this day of , 1991, by the following vote AYES NOES ABSENT ABSTAIN BYRON MATIESON, MAYOR CITY OF GRAND TERRACE ATTEST BRENDA S I'ANFILL, CITY CLERK CITY OF GRAND TERRACE APPROVED AS TO FORM JOHN R HARPER, CITY A 1'1 ORNEY STATE OF CALIFORNIA COUNTY OF SAN BERNARDINO CITY OF GRAND TERRACE I, BRENDA STANFILL, CITY CLERK of the CITY OF GRAND TERRACE, CALIFORNIA, DO HEREBY CERTIFY that the foregoing Resolution, being Resolution No was duly passed, approved, and adopted by the City Council, approved and signed by the Mayor, and attested by the City Clerk, all at the meeting of said City Council held on the day of , 1991, and that the same was passed and adopted by the following vote AYES NOES ABSENT ABSTAIN EXECUTED this day of , 1991, at GRAND TERRACE, California BRENDA STANFILL, CITY CLERK CITY OF GRAND TERRACE STATE OF CALIFORNIA i [SEAL] RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL ORDERING THE PREPARATION OF PLANS, SPECIFICATIONS, COST ESTIMATE, DIAGRAM, ASSESSMENT AND REPORT PURSUANT TO THE PROVISIONS OF DIVISION 15, PART 2 OF THE STREETS AND HIGHWAYS CODE OF THE STATE OF CALIFORNIA, FOR PROCEEDINGS FOR ANNUAL ASSESSMENT LEVY AFTER FORMATION OF A DISTRICT WHEREAS, the CITY COUNCIL of the CITY OF GRAND TERRACE, CALIFORNIA, desires to initiate proceedings for the annual levy of assessments for a street lighting distnct pursuant to the terms and provisions of the "Landscaping and Lighting Act of 1972," being Division 15, Part 2 of the Streets and Highways Code of the State of California, in what is known and designated as CITY OF GRAND TERRACE LANDSCAPING AND STREET LIGHTING DISTRICT NO 89-1 (hereinafter referred to as the "District"), and, 'WHEREAS, the proceedings for the annual levy of assessments shall relate to the fiscal year commencing July 1, 1991, and ending June 30, 1992, and, 'WHEREAS, there has been submitted to this City Council for its consideration at this time, a map showing the boundaries of the area to be annexed and that territory affected by the levy of the assessment for the above referenced fiscal year, and the territory proposed to be annexed, said map further showing and describing in general the works of improvement proposed to be maintained in said District, said description being sufficient to identify the works of improvement and the areas proposed to be assessed for said maintenance thereof, and, I WHEREAS, the provisions of said Division 15, Part 2 require a written "Report," consisting of the following 1 Plans and specifications of the area of the works of improvement to be maintained, 2 An estimate of the costs for maintaining the improvements for the above referenced fiscal year, 3 A diagram of the area proposed to be assessed, 4 An assessment of the estimated costs for maintenance work for said fiscal year NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Grand Terrace does hereby resolve, determine and order as follows SECTION 1 That the above recitals are all true and correct SECTION 2 That a map, entitled CITY OF GRAND TERRACE LANDSCAPING AND STREET LIGHTING DISTRICT NO 89-1 ' ANNUAL LEVY as submitted to this City Council, showing the boundaries of the proposed area to be assessed and showing the works of improvement to be maintained, is hereby approved, and a copy thereof shall be on file in the Office of the City Clerk and open to public inspection The proposed parcels and properties within said area aie those to be assessed to pay certain of the costs and expenses for said maintenance work SECTION 3 That the proposed maintenance work within the area proposed to ' be assessed shall be for certain street lighting improvements, as said maintenance work is set forth in the "Report" to be presented to this City Council for consideration SECTION 4 That JOE KICAK AND ASSOCIATES, is hereby ordered to prepare and file with this City Council, a "Report" relating to said annual assessment and levy in accordance with the provisions of Article IV, commencing with Section 22565 of Chapter 1 of the Streets and Highways Code of the State of California SECTION 5 That upon completion, said "Report" shall be filed with the City Clerk, who shall then submit the same to this City Council for its consideration pursuant to Sections 22623 and 22624 of said Streets and Highways Code PASSED, APPROVED AND ADOPTED this day of , 1991, by the following vote AYES NOES ABSENT ABSTENTIONS BYRON MATTESON, MAYOR CITY OF GRAND TERRACE A'1"1'EST BRENDA STANFILL, CITY CLERK CITY OF GRAND TERRACE APPROVED AS TO FORM JOHN R HARPER, CITY ATTORNEY ' STATE OF CALIFORNIA COUNTY OF SAN BERNARDINO CITY OF GRAND TERRACE I, BRENDA STANFILL, CITY CLERK of the CITY OF GRAND TERRACE, CALIFORNIA, DO HEREBY CERTIFY that the foregoing Resolution, being Resolution No was duly passed, approved and adopted by the City Council, approved and signed by the Mayor, and attested by the City Clerk, all at the meeting of said City Council held on the ' day of , 1991, and that the same was passed and adopted by the following vote AYES NOES ABSENT ABSTAIN EXECUTED this day of , 1991, at GRAND TERRACE, California BRENDA STANFILL, CITY CLERK CITY OF GRAND TERRACE STATE OF CALIFORNIA [SEAL] DATE July 12 , 1991 STAFF REPORT CRA ITEM ( ) COUNCIL I IEM ( x) MEETING DATE July 1 6 , 1991 SUBJECT Grand Terrace Public Financing Authority FUNDING REQUIRED NO FUNDING REQUIRED THE CITY ATTORNEY WILL MAKE AN ORAL PRESENTATION FOR THIS ITEM AT THE CITY COUNCIL MEETING COUNCIL AGENDA ITEM # 8 RESOLUTION NO A RESOLUTION OF THE GRAND TERRACE PUBLIC FINANCING AUTHORITY A ENTITLED "A RESOLUTION OF THE GRAND TERRACE PUBLIC FINANCING AUTHORITY AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3 , 500, 000 PRINCIPAL AMOUNT OF 1991 LEASE-PURCHASE REVENUE BONDS, SERIES A, AUTHORIZING AND DIRECTING EXECUTION OF AN INDENTURE OF TRUST AND LEASE AGREEMENTS, AUTHORIZING THE SALE OF BONDS, APPROVING OFFICIAL STATEMENT AND PROVIDING OTHER IviA Il ERS PROPERLY RELATING THERETO" WHEREAS, the City of Grand Terrace (the "City"), and the Redevelopment Agency of the City of Grand Terrace (the "Agency") have heretofore entered into a Joint Exercise of — Powers Agreement, dated December 13, 1990, establishing the Grand Terrace Public Financing Authority (the "Authority") for the purpose of issuing its bonds to finance the acquisition of bonds, notes and other obligations of, or for the purpose of making loans to public entities, including the City and the Agency, and to provide financing for public capital improvements of public entities, including the City and the Agency, WHEREAS, the Authority proposes at this time to issue its Grand Terrace Public Financing Authority 1991 Lease-Purchase Revenue Bonds, Series A, in an aggregate principal amount of not to exceed $3,500,000 (the "Bonds") for the purpose of providing financing for the acquisition, construction and equipping a Child Care Center, Pico Part. Development, and the Grand Terrace Road Park Site Improvement Projects, mole particularly described in the hereinafter defined Lease Agreements (the "Projects") for lease to the City in accordance with the terms of the Lease Agreements i WHEREAS, the City Council has heretofore approved the lease agreement for the Child Care Center, namely the lease agreement dated as of June 1, 1991, entitled "Lease Agreement (Child Care Center)", by Ordinance No 130, adopted June 27, 1991, WHEREAS, the City Council has heretofore approved the lease agreement for the Pico Park Development Project, namely the lease agreement dated as of June 1, 1991, entitled "Lease Agreement (Pico Park Development Project)", by Ordinance No 130, adopted June 27, 1991, WHEREAS, the City has heretofore approved the lease agreement for the Grand Terrace Road Park-Site Improvement Project, namely the lease agreement dated as of June 1, 1991, entitled "Lease Agreement (Grand Terrace Road Park-Site Improvement Project), by Ordinance No 130, adopted June 27, 1991, WHEREAS, the Lease Agreement (Child Care Centel Project), the Lease Agreement (Pico Park Development Project) and the Lease Agreement (Grand Terrace Road Park-Site Improvement Project) are herein defined and referred to together as the "Lease Agreements", WHEREAS, the Bonds are to be issued pursuant to the Marks-Roos Local Bond Pooling " Act of 1985 (the "Act'), constituting Article 4 (commencing with section 6584) of Chapter 5 of Division 7 of Title 1 of the California Government code, and pursuant to an Indenture of Trust dated as of June 1, 1991 (the "Indenture"), by and between the Authority and , as Trustee (the "Tiustee"), WHEREAS, Chilton & O'Connor, Inc (the "Underwrites ") intends to submit an offer to purchase the Bonds in form on file with the Secretary (the "Purchase Contiact") and in connection with the offering thereof, the Underwriter has caused to be prepared an Official Statement describing the Bonds, the pieliminary form of which is on file with the Secretary, and 1 WHEREAS, this Board has duly considered such transactions, including, without 'limitation, the Indenture, the Lease Agreements, the Purchase Contract and the Official 2 Statement and wishes at this time to approve said transactions in the public interests of the Authority and the City, NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED by the Board of Directors of the Grand Terrace Public Financing Authority as follows Section 1 Issuance of Bonds, Approval of Indenture The Board hereby authorizes the issuance of the Bonds under and pursuant to the Act and the Indenture in the aggregate principal amount of not to exceed $3,500,000 for the purposes hereinbefore described The Board hereby approves the Indenture in substantially the form on file with the Secretary together with any additions thereto or changes therein deemed necessary or advisable by the Chairman or an authorized representative of the Chairman, upon consultation with bond counsel, whose execution thereof shall be conclusive evidence of approval of any such additions and changes The Chairman is hereby authorized and directed to execute, and the Secretary is hereby authorized and directed to attest and affix the seal of the Authority to the final form of the Indenture for and in the name and on behalf of the Authority The Board hereby authorizes the . delivery and performance of the Indenture Section 2 Approval of Lease Agreements The Board hereby approves the lease of the Projects to the City pursuant to and in accordance with the Lease Agreements in substantially the form on file with the secretai y together with any additions thereto or changes therein deemed necessary or advisable by the Chairman or an authorized representative of the Chairman, upon consultation with bond counsel, whose execution thereof shall be conclusive evidence of approval of any such additions and changes The Chaiiman is hereby authorized and directed to execute, and the Secretary is hereby authorized and directed to attest and affix the seal of the Authority to the final form of the Lease Agreements for and in the name and on behalf of the Authority 3 Section 3 Approval of Purchase Contract The Board hereby approves the sale of the , Bonds by negotiation with the Underwriter, pursuant to the Purchase Contract by and between the Authority and the Underwriter, in substantially the form on file with the Secretary together with any changes therein or additions thereto approved by the Chairman or an authorized representative of the Chairman, upon consultation with bond counsel, whose execution thereof shall be conclusive evidence of approval of any such additions and changes The Purchase Contract shall be executed in the name and on behalf of the Authority by the Chairman, who is hereby authorized and directed to execute and deliver said form of Purchase Contract on behalf of the Authority upon submission of a proposal by the Underwriter to acquire the Bonds, which proposal is acceptable to the Chairman and subject to the following conditions, namely, the purchase price received by the Authority for the Bonds shall be not less than percent ( %) of the par amount thereof, exclusive of original issue discount, and the average annual stated interest rate to be borne by the Bonds shall not exceed percent ( %) per annum Section 4 Approval of Official Statement The Board hereby approves the preliminary Official Statement describing the Bonds, in substantially the form submitted by the Underwriter and on file with the Secretary Distribution of the preliminary Official Statement by the Underwriter is hereby approved, and, prior to the distribution of the preliminary Official Statement, the Chairman is authorized and directed, on behalf of the Authority, to deem the preliminary Official Statement "final" pursuant to Rule 15c2-12 under the Securities Exchange Act of 1934 (the "Rule") The execution of the final Official Statement, which shall include ' such changes and additions thereto deemed advisable by the Chairman, upon consultation with bond counsel, and such infoi matron permitted to be excluded from the Preliminary Official Statement pursuant to the Rule, is hereby approved for deliver to the purchasers of the Bonds, ' and the Chairman is authorized and directed to execute the final Official Statement for and on 4 behalf of the Authority and to deliver to the Underwriter a certificate with respect to the information set forth therein Section 5 Official Action The Chairman, the Vice-Chairman, the Treasurer, the Secretary, the Counsel to the Authority and any and all other officers of the Authority are hereby authorized and directed, for and in the name and on behalf of the Authority, to do any and all things and take any and all actions, including execution and delivery of any and all assignments, certificates, requisitions, agreements, including, without limitation, an agreement or agreements for investment of the proceeds of the Bonds and an agreement appointing the City as an agent of the Authority for all purposes of acquisition, construction and equipping of the Projects, consents, instruments of conveyance, warrants and other documents, which they, or any of them, may deem necessary or advisable in order to consummate the lawful issuance, sale and delivery of the Bonds, the payment of issuance costs incurred with respect to the Bonds and the acquisition, construction and equipping of the Projects 5 Section 6 Effective Date This Resolution shall take effect from and after the date of its passage and adoption PASSED AND ADOPTED this 16th day of August, 1991, by the following vote AYES NOES ABSENT GRAND TERRACE PUBLIC FINANCING AUTHORITY By BYRON MATTESON, MAYOR Attest BRENDA STANFILL, CITY CLERK APPROVED AS TO FORM JOHN R HARPER, CITY ATTORNEY 6 RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE PLEDGING AS ADDITIONAL SECURITY MONIES CREDITED TO THE MOTOR VEHICLE LICENSE FEE ACCOUNT IN THE TRANSPORTATION TAX FUND ESTABLISHED PURSUANT TO SECTION 11001 OF THE REVENUE AND TAXATION CODE WHEREAS, the City of Grand Terrace desires to enter into an agreement to finance the lease purchase of certain property through the issuance of 1991 Lease-Purchase Revenue Bonds, Series A, issued by the Grand Terrace Public Financing Authority, and WHEREAS, the Legislative Body of the City may elect, by Resolution, to guarantee payment under said Lease-Revenue Bond Financing Agreement pursuant Government Code Section 37351 5, NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS 1 The foregoing recitals are true and correct 2 The City Council for the City of Grand Terrace does hereby elect to guarantee payment pursuant to a Financing Agreement to finance the Lease-Purchase of certain property through the issuance of Lease Revenue Bonds as mole particularly described in "Lease Agreement (Child Care Center)", "Lease Agreement (Pico Park Development Project) and "Lease Agreement (Grand Terrace Road Park-Site Improvement Project)", all dated as of June 1, 1991 3 The City Manages for the City of Grand Terrace is hereby directed to provide notice to the Controller for the State of California of such election, which notice shall include a schedule for payments to be made by the City under by the City under that Financing Agreement, and identify the Trustee appointed by the City 4 In the event that, for any reason, funds otherwise available to the City will not be sufficient to make any payment under the Financing Agreement at the time payment is required, the City shall notify said Trustee and the Trustee shall immediately communicate that information to the affected bond holders and to the Controller 5 Upon receipt by the Controller of the aforesaid notice, or should the City fail to make any payment under the Financing Agreement at that time the payment is required, the Controller shall make an apportionment to the Trustee in the amount of that required payment for the purpose of making that payment The Controller shall make that payment only from monies credited to the Motor Vehicle License Fee Account in the Transportation Tax Fund to which the City of Grand Terrace is entitled at that time under Chapter 5 (commencing with Section 11001) of Part 5 of Division 2 of the Revenue and Taxation Code, and shall there upon reduce by the amount of the payment, the subsequent allocation to which the City would otherwise be entitled 1 6 This Resolution shall be effective immediately upon adoption I APPROVED, PASSED AND ADOPTED this day of , 1991 CITY OF GRAND TERRACE By BYRON MATFESON, MAYOR ATTEST BRENDA STANFILL, CI I Y CLERK APPROVED AS TO FORM JOHN R HARPER, CITY A I-I ORNEY , RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE ENTITLED "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE PROVIDING FOR FINAL APPROVAL OF LEASE AGREE- MENTS IN CONNECTION WITH THE ISSUANCE BY THE GRAND TERRACE PUBLIC FINANCING AUTHORITY OF NOT TO EXCEED $3,500,000 PRINCIPAL AMOUNT OF 1991 LEASE-PURCHASE REVENUE BONDS, SERIES A, AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO" WHEREAS, the City of Grand Terrace (the "City") and the Redevelopment Agency of the City of Grand Terrace (the "Agency") have heretofore entered into a Joint Exercise of Powers Agreement, dated December 13, 1990, establishing the Grand Terrace Public Financing Authority (the "Authority") for the purpose of issuing its bonds to finance the acquisition of bonds, notes and other obligations of, or for the purpose of making loans to public entities, including the City and the Agency, and to provide financing for public capital improvements of public entities, including the City and the Agency, WHEREAS, the Authority proposes at this time to issue its Grand Terrace Public Financing Authority 1991 Lease-Purchase Revenue Bonds, Series A, in an aggregate principal amount of not to exceed $3,500,000 (the "Bonds") for the purpose of providing financing for a City Child Care Center, the City Pico Park Development, and the Grand Terrace Road Park- Site Improvement, more particularly described in the heieinafter defined Lease Agreements (the "Projects") for lease to the City in accordance with the terms of the Lease Agreements, WHEREAS, the City Council has heretofore approved the lease agreement for the Child Care Center, namely the lease agreement dated as of June 1, 1991, entitled "Lease Agreement (Child Care Center)", by Ordinance No 130, adopted June 27, 1991, WHEREAS, the City Council has heretofore approved the lease agreement for the Pico Park Development Project, namely the lease agreement dated as of June 1, 1991, entitled "Lease Agreement (Pico Park Development Project)", by Ordinance No 130, adopted June 27, 1991, WHEREAS, the City has heretofore approved the lease agreement for the Grand Terrace Road Park-Site Improvement Project, namely the lease agreement dated as of June 1, 1991, entitled "Lease Agreement (Grand Terrace Road Park-Site Improvement project), by Ordinance No 130, adopted June 27, 1991 WHEREAS, the Lease Agreement (Child Care Center Project), the Lease Agreement (Pico Park Development Project) and the Lease Agreement (Grand Terrace Road Park-Site Improvement Project) are herein defined and referred to together as the "Lease Agreements", WHEREAS, the financing of the Projects with the proceeds of the Bonds will provide significant public benefits to the City within the meaning of the Marks-Roos Local Bond Pooling Act of 1985, being the law pursuant to which the Authority will issue the Bonds, in that the combination of the financing of the Projects into one issue of bonds will provide demonstrable - savings in the cost of such financing to the City, and WHEREAS the City Council desires to confirm its prior approval of the Lease Agreements and for such purpose has, with the aid of its staff, reviewed the Lease Agreements, NOW, THEREFORE, IT IS HEREBY ORDERED, as follows 1 The City Council hereby confirms its approval of the Lease Agreements 2 'I he Lease Agreements shall be executed and delivered as further provided in the respective Ordinances described above 3 Issuance of the Bonds by the Authority, together with the description of the City contained in the Official Statement relating thereto, is hereby appioved and the Mayor, the City Manager, the City Clerk, the City Attorney and other proper 2 officials of the City are hereby authorized and directed to take such actions and to execute such documents as shall be necessary or convenient to complete the execution and delivery of the Lease Agreements and the issuance, sale and delivery of the Bonds to the purchasers thereof 4 This Resolution shall be effective immediately upon adoption APPROVED, PASSED AND ADOPTED this day of , 1991 I d CITY OF GRAND TERRACE By BYRON MA'F1ESON, MAYOR A'1`1'EST t BRENDA STANFILL, CITY CLERK APPROVED AS TO FORM JOHN R HARPER, CITY ATTORNEY 3