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HomeMy WebLinkAbout4199RESOLUTION NO. 4199 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDLANDS APPROVING PURCHASE AGREEMENT WITH RESPECT TO AND AWARDING CERTIFICATES OF PARTICIPATION (DOMESTIC WATER TREATMENT FACILITIES 1986 REFUNDING PROJECT) IN A PRINCIPAL AMOUNT NOT TO EXCEED $25,500,000, AND APPROVING AND AUTHORIZING EXECUTION AND DELIVERY OF PRELIMINARY AND FINAL OFFICIAL STATEMENTS WHEREAS, the City Council ("this City Council") of the City of Redlands (the "City") has authorized the execu- tion, acknowledgement and delivery on behalf of the City of an Acquisition Agreement, Installment Sale Agreement, Trust Agreement, Escrow Agreement and Agency Agreement with respect to the refinancing of the acquisition of a domestic water treatment plant and appurtenant facilities and the financing of the acquisition, construction and installation of certain capital improvements and equipment (the "Project") all of which are dated as of October 1, 1986, and has authorized Bank of America National Trust & Savings Association, the Trustee named and appointed in the said Trust Agreement, to issue the Certificates of Participation (Domestic Water Treatment Facilities Refunding and 1986 Projects) in an aggregate principal amount which shall not exceed $25,500,000 (the "Certificates") for the financing and refinancing of said acquisitions, improvements and equipment as provided in the Trust Agreement; and WHEREAS, there has been presented to this City Council a form of Purchase Agreement (the "Purchase Agreement") whereby Seidler -Fitzgerald Public Finance, as Underwriter (the "Underwriter"), has offered to purchase the Certificates from the Trustee on the terms therein set forth; and WHEREAS, certain terms to be included in the Purchase Agreement, including the purchase price for the Certificates and the interest rates for the several maturi- ties of the Certificates, have not been determined and are not set forth therein; and WHEREAS, this City Council has determined that the terms which are set forth in the Purchase Agreement are acceptable and that it is in the best interest of the City that the Certificates be awarded to the Underwriter on the terms set forth in the Purchase Agreement and to be set forth therein upon approval by the City Manager and Finance Director, pursuant to the authorization hereinafter given; and WHEREAS, there has also been presented to this City Council a Preliminary Official Statement relating to the Certificates and this City Council has determined that the discussion and information contained therein is correct, and that said Preliminary Official Statement should be approved and that the preparation and delivery of a Final Official Statement should also be approved and authorized; -2- NOW, THEREFORE, BE IT RESOLVED AND ORDERED BY THE CITY COUNCIL OF THE CITY OF REDLANDS AS FOLLOWS: 1 The Purchase Agreement is hereby approved and the City Manager and Finance Director are hereby authorized to determine, with the advice of Special Counsel to the City, the final terms and conditions of the sale of the Certificates, including the aggregate principal amount thereof, the amount of the discount to be allowed to the Underwriter, and the interest rates on the different maturi- ties of the Certificates; provided that the aggregate prin- cipal amount of the Certificates may not exceed $25,500,000, the discount allowed to the Underwriter may not exceed 6 percent, and the interest rate on any maturity of the Certificates may not exceed 10 percent per annum Upon determining the final terms and conditions of the sale of the Certificates, the City Manager and Finance Director are hereby further authorized to insert such terms and condi- tions in and approve the final form of the Purchase Agree- ment, and the City Manager is authorized to execute and deliver the Purchase Agreement as so approved on behalf of the City. 2. The Preliminary Official Statement is hereby approved. The preparation of a Final Official Statement to consist of the Preliminary Official Statement and such changes thereto as may be approved by the City Manager, upon advice of Special Counsel to the City, is hereby approved -3- and the Mayor or any Councilmember is hereby authorized to execute said Final Official Statement on behalf of the City and to deliver copies thereof to the Underwriter for distribution in connection with the marketing of the Certificates The City Manager is hereby authorized to approve and authorize such changes in the Preliminary Official Statement in the preparation of the Final Official Statement as are approved and directed by Special Counsel to the City Adopted this 7th day of October, 1986. ATTT Mayor of the City of Redlands Deputy City Clerk I, Beatrice Sanchez, Deputy City Clerk of the City of Redlands, California, do hereby certify that the foregoing Reso- lution No. 4199 was regularly introduced and adopted by the City Council of the City of Redlands, California, at a regular meeting thereof held on the 7th day of October, 1986, by the following vote of the City Council AYES Councilmembers Larsen, DeMirjyn, Johnson, Wormser; Mayor Beswick NOES None ABSENT: None ABSTAINED None and that said resolution has not been amended, superseded or repealed, and is in full force and effect IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Redlands, California, this 7th day of October, 1986 Deputy City Clerk -5- JRR0345