HomeMy WebLinkAbout4106_CCv0001.pdf RESOLUTION NO. 4106
RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF REDLANDS AUTHORIZING THE ISSUANCE, SALE
AND DELIVERY OF THE CITY OF REDLANDS MULTI-
FAMILY RENTAL HOUSING REVENUE BONDS
(GIBRALTAR COMMUNITY BUILDERS) , AUTHORIZING
THE EXECUTION AND DELIVERY OF AN INDENTURE,
LETTER OF CREDIT AGREEMENT, ORIGINATION AND
SERVICING AGREEMENT, REGULATORY AGREEMENT,
OFFICIAL STATEMENT AND PURCHASE CONTRACT,
AND AUTHORIZING THE EXECUTION AND DELIVERY
OF AND APPROVING OTHER RELATED DOCUMENTS
AND APPROVING OTHER RELATED ACTIONS IN
CONNECTION THEREWITH
WHEREAS, Chapter 7 ( commencing with Section 52075 )
of Part 5 of Division 31 of the Health and Safety Code of
the State of California ( the "Act" ) authorizes municipali-
ties to incur indebtedness for the purpose of financing the
construction or development of multifamily rental housing
and for the provision of capital improvements in connection
with and determined necessary to such multifamily housing;
WHEREAS, the City of Redlands ( the "City" ) hereby
finds and declares that it is necessary, essential and a
public purpose for the City to engage in a program ( the
"Program" ) of financing the construction and development of
multifamily rental housing, and has determined to borrow
money for such purpose by the issuance of revenue bonds as
authorized by the Act ;
WHEREAS, this City Council of the City of Redlands
(the "City Council" ) hereby finds and declares that this
resolution is being adopted pursuant to the powers granted
by the Act;
WHEREAS, the Project is located in the City; and
WHEREAS, all conditions , things and acts required
to exist, to have happened and to have been performed prece-
dent to and in connection with the issuance of the Bonds and
the implementation of the Program as contemplated by this
resolution and the documents referred to herein exist , have
happened and have been performed in due time , form and
manner as required by the laws of the State of California,
including the Act .
NOW, THEREFORE, BE IT RESOLVED by the City Council
of the City of Redlands , as follows :
1 . The City Council does hereby find and declare
that the above recitals are true and correct .
2 . Pursuant to the Act and the Indenture (here-
inafter defined) , revenue bonds of the City, designated as
"City of Redlands , California Multifamily Rental Housing
Revenue Bonds (Gibraltar Community Builders) " in an aggre-
gate principal amount not to exceed $23 , 000 , 000 ( the
"Bonds" ) , are hereby authorized to be issued. The Bonds
shall be executed by the manual or facsimile signature of
Mayor or the Mayor Pro Tem of the City, the facsimile of the
seal of the City shall be reproduced thereon and attested by
the manual or facsimile signature of the City Clerk , in the
form set forth in and other wise in accordance with the
Indenture.
3 . The proposed form of indenture ( the "Inden-
ture" ) between the City and Security Pacific National Bank
( the "Trustee" ) , in substantially the form presented to this
meeting, is hereby approved. The Mayor or the Mayor Pro
Tem, each acting alone, is hereby authorized and directed,
for and in the name and on behalf of the City, to execute
and deliver the Indenture, and the City Clerk is hereby
authorized and directed, for and in the name and on behalf
of the City, to attest the signature of the Mayor or the
Mayor Pro Tem, as the case may be, in substantially said
form, with such additions thereto or changes therein as are
approved by the Mayor upon consultation with Bond Counsel to
the City ( including such additions or changes as are neces-
sary or advisable in accordance with Section 10 hereof ,
provided that no additions or changes shall authorize an
aggregate principal amount of Bonds in excess of
$23 ,000 , 000 ) , the approval of such additions or changes to
be conclusively evidenced by the execution and delivery of
said Indenture by the officer of the City who has executed
such document . The date, maturity dates, interest rate or
rates, interest payment dates, denominations , form,
registration privilege, manner of execution, place of pay-
ment , terms of redemption and other terms of the Bonds
shall be as provided in the Indenture as finally executed.
4 . The proposed form of Letter of Credit Agree-
ment ( the "LC Agreement" ) among the City, the Trustee,
Gibraltar Savings ( the "Credit Institution" ) , and Gibraltar
Community builders ( the "Owner" ) , in substantially the form
presented to this meeting, is hereby approved. The Mayor or
Mayor Pro Tem are hereby authorized and directed to execute
and deliver the LC Agreement in substantially said form,
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with such additions thereto or changes therein as are
approved by the Mayor or Mayor Pro Tem upon consultation
with Bond Counsel to the City, including such additions or
changes as are necessary or advisable in accordance with
Section 10 hereof, the approval of such changes to be
conclusively evidenced by the execution and delivery of said
LC Agreement by the Mayor or Mayor Pro Tem.
5 . The proposed form of Origination and Servicing
Agreement ( the "Origination Agreement" ) among the City, the
Trustee , the Credit Institution and the Owner , in substan-
tially the form presented to this meeting, is hereby
approved. The Mayor or Mayor Pro Tem are hereby authorized
and directed, for and in the name and on behalf of the City,
to execute and deliver the Origination Agreement in substan-
tially said form, with such additions thereto or changes
therein as are approved by the Mayor or Mayor Pro Tem upon
consultation with Bond Counsel to the City, including such
additions or changes as are necessary or advisable in accor-
dance with Section 10 hereof , the approval of such additions
or changes to be conclusively evidenced by the execution and
delivery of said Origination Agreement by the Mayor or Mayor
Pro Tem. The selection of the the Credit Institution and of
the Owner and the allocation thereto of the moneys to be
made available by the sale of the Bonds is hereby approved,
and is found to be made on a fair and equitable basis
considering the public purposes of the Program and the
requirements of the City and the Program.
6. The proposed form of Regulatory Agreement and
Declaration of Restrictive Covenants ( the "Regulatory Agree-
ment" ) among the City, the Trustee and the Owner , in sub-
stantially the form presented to this meeting, is hereby
approved . The Mayor and the Mayor Pro Tem are hereby autho-
rized and directed for and in the name of and on behalf of
the City, to execute and deliver the Regulatory Agreement in
substantially said form, with such additions thereto or
changes therein as are approved by the Mayor or Mayor Pro
Tem upon consultations with Bond Counsel to the City,
including such additions or changes as are necessary or
advisable in accordance with Section 10 hereof, the approval
of such changes to be conclusively evidenced by the execu-
tion and delivery of said Regulatory Agreement by the Mayor
or Mayor Pro Tem.
7 . The proposed form of bond purchase contract
( the "Purchase Contract" ) among the City, Paine Webber
Incorporated and Kidder Peabody & Co. , Incorporated (collec-
tively, the "Underwriters" ) , and the Owner in substantially
the form presented to this meeting, is hereby approved. The
Mayor and Mayor Pro Tem are hereby authorized and directed,
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for and in the name and on behalf of the City, to accept the
offer of the Underwriters to purchase the Bonds contained in
the Purchase Contract (when such offer is made and if such
offer is consistent with Section 3 of this resolution) and
to execute and deliver said Purchase Contract .
8 . The proposed form of preliminary official
statement relating to the Bonds ( the "Preliminary Official
Statement" ) in substantially the form presented to this
meeting, is hereby approved. The Mayor and the Mayor Pro
Tem are hereby authorized and directed, for and in the name
and on behalf of the City, to execute a final Official
Statement ( the "Official Statement" ) in substantially the
form of the Preliminary Official Statement , with such
additions thereto or changes therein as are approved by the
Mayor or the Mayor Pro Tem upon consultation with Bond
Counsel to the City, the approval of such additions or
changes to be conclusively evidenced by the execution and
delivery of said Official Statement by the Mayor or the
Mayor Pro Tem. The Underwriters are hereby authorized to
distribute copies of said Preliminary Official Statement to
persons who may be interested in the purchase of the Bonds
and are directed to deliver copies of said Official State-
ment to all actual purchasers of the Bonds .
9. Security Pacific National Bank is hereby
appointed as Trustee under the Indenture for the City and
the Owners of the bonds , with the duties and powers of such
Trustee as are set forth in the Indenture. The Bonds , when
executed, shall be delivered to the Trustee for authenti-
cation. The Trustee is hereby requested and directed to
authenticate the Bonds by executing the Trustee ' s certif-
icate of authentication and registration appearing thereon,
and to deliver the Bonds , when duly executed and authentica-
ted, to the Underwriters in accordance with written instruc-
tions executed on behalf of the City by the Mayor , Mayor Pro
Tem or the City Manager , which instructions said officers
are hereby authorized and directed, for and in the name and
on behalf of the City, to execute and deliver to the
Trustee. Such instructions shall provide for the delivery
of the Bonds to the Underwriters in accordance with the
Purchase Contract , upon payment of the purchase price
therefor .
10 . The City Manager , based on such advice of Bond
counsel as he may deem necessary, is hereby authorized and
directed to act on behalf of the City Council to establish
and determine ( i ) the final principal amount of the Bonds,
which amount shall not exceed $23 , 000 , 000 ; ( ii ) the final
maximum interest rate on the Bonds , which rate shall not
exceed 10 . 5 percent per annum; ( iii ) the Underwriter ' s
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discount, which amount shall not exceed 3 . 5 percent of the
principal amount of the Bonds, and ( iv) such other matters
as may relate to the final terms and provisions for the sale
of the Bonds . The City Manager , upon the determination of
such matters , is further authorized and directed, in and for
the name of the City, to execute any supplements or amend-
ments to the Purchase Contract as, based on advice of Bond
Counsel, may be necessary to include such matters as so
determined as a part of the Purchase Contract . The autho-
rization and powers delegated to the City Manager by this
Section 10 shall be valid for a period of 75 days from the
date of adoption of this resolution .
11 . Findings as to Very Low Income Tenants . This
City Council hereby finds and determines that it is infea-
sible that it be required that any of the units in the
Project be reserved for occupancy on a priority basis by
individuals or families whose adjusted gross income does not
exceed 50 percent of the median adjusted gross income for
the area , as median adjusted gross income is referred to in
Section 52080 (a ) of the Act . In making this finding, this
City Council has considered the matters referred to in
Section 52080 (c) of the Act , and in accordance with the
provisions of Section 52080(a) of the Act , the above find-
ings and determinations are final and conclusive.
12 . The law firm of Best, Best & Krieger , is
hereby authorized and employed to serve as Bond Counsel for
the City with respect to the Bonds , and the fees and
expenses of such Bond Counsel are hereby authorized to be
paid as a Cost of Issuance from Bond proceeds .
13 . Sutro & Company Incorporated, San Francisco,
California, is hereby retained, at no cost to the City, as
an investment firm to the City for purposes of compliance
with Section 52032 . 5 of the Act . The City Manager is hereby
authorized and directed on behalf of the City Council to
review and approve the report prepared by said firm pursuant
to Section 52032 . 5 of the Act .
14 . All actions heretofore taken by the officers
and agents of the City with respect to the establishment of
the Program and the sale and issuance of the Bonds are
hereby approved, confirmed and ratified, and the proper
officers of the City are hereby authorized and directed, for
and in the name and on behalf of the City, to do any and all
things and take any and all actions and execute any and all
certificates, agreements and other documents, which they, or
any of them, may deem necessary or advisable in order to
consummate the lawful issuance and delivery of the Bonds in
accordance with this resolution and resolutions heretofore
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adopted by the City and in order to carry out the Program,
including but not limited to those certificates, agreements
and other documents described in the Indenture, the LC
Agreement , the Origination Agreement , the Regulatory Agree-
ment, the Purchase Contract and the other documents herein
approved and any certificates , agreements or documents as
may be necessary to evidence credit support or additional
security for the Bonds or for the Credit Institution ' s
obligation under the Letter of Credit (as defined in the LC
Agreement ) .
15 . This Resolution shall take effect immediately
upon its adoption.
ADOPTED this 3rd day of Seotembe,r_r, 1985, by the
following vote:
Mayor of the City of Redlands,
California
(SEAL)
ATTEST:
Cit C erk , Cof Redlands,
Calif rnia
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1
I , LORRIE POYZER, City Clerk of the City of
Redlands , California, do hereby certify that the foregoing
Resolution was regularly introduced and adopted by the City
Council of the City of Redlands , California at a regular
meeting thereof held on the 3rd day of September 1985 ,
by the following vote of the City Council :
AYES: Councilmembers Johnson, Martinez, Larsen;
Mayor Beswick
NOES: Councilmember DeMirjyn
ABSENT: None
ABSTAIN: None
IN WITNESS WHEREOF, I have hereunto set my hand and
affixed the official seal of the City of Redlands , Cali-
fornia, this 3rd day of fpr, 1985 .
Cit l rk of City of
Redland s , Cali nia
(SEAL)
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JRR0139 8/30/85
I , Lorrie Poyzer, City Cleric of the City of Redlands ,
California, do hereby certify that the foregoing Resolution
was regularly introduced and adopted by the City Council of
the City of Redlands , California, at a regular meeting thereof
held on the 3rd day of September , 1985 , by the following vote
of the City Council :
AYES : Councilmen Johnson, Martinez , Larsen;
Mayor Beswick
NOES : Councilman DeMirjyn
ABSENT: None
ABSTAIN: None
IN WITNESS WHEREOF, I have hereunto set my hand and
affixed the official seal of the City of Redlands , California ,
this 11th day of October, 1985 .
City Clerk of: City of
Red�Ands , Ca rnia
Resolution No. 4106
Page seven
1/27/86 forwarded to Best, Best & Krieger
SABO & GONDEK
A PROFESSIONAL CORPORATION
ATTORNEYS AT LAW
(818)704.0195 SUITE 100 SUITE 207440 WEST COURT STREET
TELECOPIER:(818)704472 5855 TOPANGA CANYON BOULEVARD SAN BERNARDINO,CALIF'rWA 92401
WOODLAND HILLS.CALIFORNIA 91367 (714)884.2960
(714)824.7302
January 17, 1986
City of Redlands
c/o City Clerk, City Hall
Post Office Box 280
Redlands, California 92373
Dear Madam or Sir:
Please send me one (1) copy each of the Official Statement and
the Bond Resolutions with regard to the $22,650,000 Multi-family Rental
Housing Revenue Bonds for Gibraltar Community Builders, as listed in The
Bond Buyer during the week of October 4, 1985, and issued by the City of
Redlands. Please mail the requested material to the Woodland Hills
address.
Thank you for your cooperation in this matter.
Very truly yours,
SABO & GONDEK
A FESSIONAL CORPORATION
i
i
3odi� rtin
Secr tary
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