1991-22 I
RESOLUTION NO. 91-22
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
i 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 and the Grand Terrace Road Park-Site Improvement, more particularly
described in the hereinafter 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 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 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. The 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 approved and the
Mayor, the City Manager, the City Clerk, the City Attorney and other proper
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
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delivery of the Bonds to the purchasers thereof.
4. This Resolution shall be effective immediately upon adoption.
APPROVED, PASSED AND ADOPTED this 16th day of July, 1991.
CITY OF GRAND TERRACE
By:
BYRI MATTES N, MA OR
ATTEST:
BRENDA`STANFILL, CI CLERK
APPROVED AS TO FORM:
OHN R. HARP R,ICITY ATTORNEY
3
ram`
J STATE OF CALIFORNIA
COUNTY OF SANBERNARDINO
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 . 91-22 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 said regular meeting of said City Council
held on the 16th day of July, 1991, and that the same was passed and
adopted by the following vote :
AYES : Councilmen Matteson , Grant , Carlstrom, Christianson, and Hilkey
NOES : None
ABSENT :None
ABSTAIN : None
i"
EXECUTED this 16th day of July, 1991, at GRAND TERRACE, California .
�22 A
BRENDA S A FIL , CI NY CLERK
CITY OF GRAND TERRACE
STATE OF CALIFORNIA
RESOLUTION NO. 91-23
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
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 Bondsr 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 and the Grand Terrace Road
Park Site Improvement Projects, more particularly described in the hereinafter 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 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 Improvements Project), by
Ordinance No. 130, adopted June 27, 1991;
WHEREAS, the Lease Agreement (Child Care Center Project) and the Lease Agreement
(Grand Terrace Road Park-Site Improvements 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 Bank of America
National Trust and Savings Association, as Trustee (the "Trustee");
WHEREAS, Chilton & O'Connor, Inc. (the "Underwriter") intends to submit an offer
to purchase the Bonds in form on file with the Secretary (the "Purchase Contract") and in
connection with the offering thereof, the Underwriter has caused to be prepared an Official
Statement describing the Bonds, the preliminary form of which is on file with the Secretary; and
WHEREAS, this Board has duly considered such transactions, including, without
limitation, the Indenture, the Lease Agreements, the Purchase Contract and the Official
Statement and wishes at this time to approve said transactions in the public interests of the
Authority and the City;
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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 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 Lease Agreements for and in the name and on behalf of the Authority.
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
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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 ninety seven and
one-half percent (97.5%) 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 eight percent (8%)
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 information 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
behalf of the Authority and to deliver to the Underwriter a certificate with respect to the
information set forth therein.
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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.
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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 July, 1991, by the following vote:
AYES: Councilmen Matteson, Grant , Carlstrom, Christianson, Hilkey
NOES: None
ABSENT: None
GRAND TERRACE PUBLIC
FINANCING AUTHORITY
By:
BY MATTESON, MAYOR
Attest:
BRENDA-STANFILL, C Y CLERK
APPROVED AS TO FORM:
JOHN R. HAIIPE4 qTY ATTORNEY
6
rl~_
! STATE OF CALIFORNIA
COUNTY OF SANBERNARDINO
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 . 91-23 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 said regular meeting of said City Council
held on the 16th day of July, 1991, and that the same was passed and
adopted by the following vote :
AYES : Councilmen Matteson, Grant , Carlstrom, Christianson and Hilkey
NOES : None
ABSENT : None
ABSTAIN : None
EXECUTED this 16th day of July, 1991, at GRAND TERRACE, California .
C
B NDA STANFILL , CITV CLERK
CITY OF GRAND TERRACE
STATE OF CALIFORNIA