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HomeMy WebLinkAbout4117_CCv0001.pdf RESOLUTION NO. 4117 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 PROJECT) IN A PRINCIPAL AMOUNT NOT TO EXCEED $14, 000,000, AND APPROVING AND AUTHORIZING PREPARATION, 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 execution, acknowledgment and delivery on behalf of the City of an Installment Sale Agreement, a Trust Agreement, an Agency Agreement, and an Escrow Agreement with respect to the acquisition, construction and installation by the Redlands Public Improvement Corporation (the "Corporation" ) of a domestic water treatment plant and related facilities having a treatment capacity of 12 ,000,000 gallons per day (the "Project" ) and the purchase by the City from the Corporation of the Project pursuant to the said Installment Sale Agreement, all of which agreements are dated as of November 1, 1985, and has authorized Bank of America National Trust and Savings Association, the Trustee named and appointed in said Trust Agreement, to issue the Certificates of Participation (Domestic Water Treatment Facilities Project ) in an aggregate principal amount which shall not exceed $14, 000, 000 ( the "Certificates" ) for the i financing of the acquisition, construction and installation of the Project; and WHEREAS, there has been presented to this City Council a Purchase Agreement ( the "Purchase Agreement" ) whereby Merrill Lynch, Pierce, Fenner & Smith Incorporated, 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 matu- rities of the Certificates, have not yet 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 the City Treasurer pursuant to the authorization hereinafter given; and WHEREAS, there has also been presented to this City Council a draft Preliminary Official Statement dated October, 1985, and this City Council has determined that the discussion and information contained therein is correct, and that said draft Preliminary Official Statement should be -2- approved as the basis for the preparation of the Preliminary Offical Statement and that the preparation and delivery of a Final Official Statement should also be approved and authorized; 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 the City Treasurer are hereby autho- rized 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 maturities of the Certificates; provided that the aggregate principal amount of the Certificates may not exceed $14,000,000, the discount allowed to the Underwriter may not exceed 5. 5 percent, and the interest rate on any maturity of the Certificates may not exceed 11 . 00 percent per annum. Upon determining the final terms and conditions of the sale of the Certificates, the City Manager and the City Treasurer are hereby further authorized to insert such terms and conditions in and approve the final form of the Purchase Agreement, and the City Manager is authorized to execute and deliver the Purchase Agreement as so approved on behalf of the City. -3- k Z. The draft Preliminary Official Statement is hereby approved, and the City Manager is hereby authorized to assist in the preparation of the Preliminary Official Statement utilizing said draft as a basis therefor , and to approve the Preliminary Official Statement on behalf of the City. A Final Official Statement to consist of the Preliminary Official Statement (prepared and approved by the City Manager on the basis of the draft 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 and the Mayor 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 said draft Preliminary Official Statement in the preparation of the Preliminary Official Statement and in the Preliminary Official Statement in the preparation of the Final Official Statement as are approved and directed by Special Counsel to the City. The City Manager is further hereby authorized to authorize the Underwriter to distribute the Preliminary Official Statement -4- ( in the form approved by the City Manager, as herein autho- rized) to prospective purchasers of the Certificates . ADOPTED this 15th day of October 1985. Mayor of the City of Redlands ATTEST: City Cleric -of-/the City of Rdlands -5- 11 k I , LORRIE POYZER, City Clerk of the City of Redlands, California, do hereby certify that the foregoing Resolution No. 4117 was regularly introduced and adopted by the City Council of the City of Redlands, California, at a regular meeting thereof held on the 15th day of October , 1985, by the following vote of the City Council : AYES: Councilmembers DeMirjyn, Martinez, Larsen; Mayor Beswick NOES: Councilman Johnson 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 15th day of October 1985 . Ci- y Jerk of City of Redl ds -6- RTA44