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RESOLUTION NO.
A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF
REDLANDS AUTHORIZING THE ISSUANCE OF $5,670,000 BONDS OF SAID
AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT
PROJECT KNOWN ASTHE REDLANDS REDEVELOPMENT PROJECT
WHEREAS, the Redevelopment Agency of the City of Redlands is a redevelopment ageney (a. public
body, corporate and politic) duly created, established and authorized to transact business and exercise its
powers, all under and pursuant to the Community Redevelopment Law (Part 1 of Division 24 of the
Health and Safety Code of the State of California) and the powers of such agency include the power
to issue bonds for any of its corporate purposes; and
WHEREAS, a redevelopment plan for a redevelopment project known and designated as the "Redlands
Redevelopment Project" (hereinafter referred to as the "Redevelopment Project") has heretofore been
adopted and approved and all requirements of law for, and precedent to, the adoption and approval of
said plan have been duly complied with; and
WHEREAS, said plan contemplates that the Agency Will issue its bonds to finance a portion of the
cost of such redevelopment;
Now, THEREFORE, the Redevelopment Agency of the City of Redlands DOES HEREBY Ri"sol-vi"', as
follows:
Section 1. Definitions. As used in this resolution the following terms shall have the following
meanings:
(a) "Bonds" means the $5,670,000 principal amount tax allocation bonds authorized by this
resolution.
(b) "Federal Securities" means United States Treasury notes, bonds, bills or certificates of
indebtedness or those for which the faith and credit of the United States are pledged for the
payment of principal and interest; obligations issued by banks for cooperatives, federal land banks,
federal intermediate credit banks, federal home loan banks, the Federal Home Loan Bank Board and
the Tennessee Valley Authority, all as and to the extent that such securities are eligible for the
legal investment of Agency funds.
(c) "Fiscal Agent" means the fiscal agent appointed by the Agency pursuant to Section 25
hereof, its successors and assigns, and any other corporation or association which may at any time
be substituted in its place, as provided in this resolution.
(d) "Fiscal year" means the year period beginning on July 1st and ending on the next
following June 30th,
(e) "Parity Bonds" means any additional tax allocation bonds issued by the Agency as per-
mitted by Section 18 of this resolution.
(f) "Paying Agent" means any paying agent provided by the Agency pursuant to this
resolution.
(g) "Redevelopment Agency" or "Agercy" means the Redevelopment Agency of the City
of Redlands.
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(h) "Redevelopment Law" or "Law" means the Community Redevelopment Law of the
State of California as cited in the recitals hereof.
(i) "Redevelopment Plan" means the redevelopment plan for the Redevelopment Project
Area approved and adopted by Ordinance No. 1500, described in Section 20 hereof, and includes
any amendment of said plan heretofore or hereafter made pursuant to law.
M "Redevelopment Project" means the project of carrying out, pursuant to the Redevelop-
ment Law, the Redevelopment Plan for th:, Redevelopment Project Area.
(k) "Redevelopment Project Area" means the project area, described and defined in said
Ordinance No. 1500, which project area is known and designated as the "Redlands Redevelop-
ment Project,"
(1) "Tax Revenues" means that portion of taxes levied upon taxable property in the
Redevelopment Project Area and received by the Agency on or after August 1, 1975, which is
allocated to and paid into a spccial, fund (as in this reSOIL160u, created) of the Agency pursuant
to Article 6 of Chapter 6 of the Law and Section 16 of Article XVI of the Constitution of, the
State of California, all as more particularly set forth hereafter in this resolution.
W "Treasurer" or "Treasurer of the Agency" means the officer who is then performing
the functions of Treasurer of the Agency.
Section 2. Amount, Issuance and Purpose of Bonds. Under and pursuant to said Law and tinder
and pursuant to this resolution Bonds of the Redevelopment Agency in the principal amount of
$5,670,000 shall be issued by the Agency for the purpose of financing a portion of the cost of the
Redevelopment Project and for other purposes related thereto as hereinafter provided.
Section 3. Nature of Bonds. The Bonds shall be and are special obligations, of the Agency
ar-W are secured by an irrevocable and first pledge of, and are payable as to both principal and
interest solely from Tax Revenues and other funds as hereinafter provided. The Bonds and the
interest thereon shall not be paid from any proceeds from the sale, lease or other disposition of
property in the Project Area, nor shall the payment of such principal and interest be fa) secured by
any interest in property used or to he used in a trade or business or in payments in respect of such
property or (b) derived from payments in respect of property, or borrowed money, used or to be used
in a trade or business., within the tricarting of Section 103(c)(2)(B) of the Internal Revenue Code and
the regulations adopted thereunder. Said Bonds, the interest thereon, and any premiums payable upon
the redemption of any thereof, are riot a, debt of the City of Redlands, the State of California or any of
its political subdivisions and neither said city, said state nor any of its political subdivisions is liable on
them, nor in any event shall said Bonds, interest or premiums be payable out of any funds or properties
other than those of the Agency as in this resolution set forth. Said Bonds do not constitute an indebted-
ness within the meaning of any constitutional or statutory debt limitation or restriction. Neither the
members of the Agency nor any persons executing the Bonds are liable personally on the Bonds by
reason of their issuance.
Said Bonds shall be and are equally secured by an irrevocable and first pledge of Tax Revenues
and other funds as hereinafter provided, without priority for number, date of sale, date of execution,
or date of delivery, except as expressly provided herein.
The validity of said Bonds is not and shall not be dependent upon the completion of the Redevelop-
ment Project or upon the performance by anyone of his obligation relative to the Redevelopment Project,
Nothing in this resolution shall preclude the redemption and -payment of said Bonds prior to
maturity, or the payment thereof at maturity, from the proceeds of refunding bonds issued pursuant to
law. Nothing in this resolution shall prevent the Agency from making advances of its own funds
howsoever derived to any of the uses and purposes mentioned in this resolution.
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Section 4. Description of Bonds. The Bonds shall be in the principal amount of $5,670,000, shall
be 1,134 in number, numbered I to 1,134 inclusive, and shall be of the denomination of $5,000 each,
Said bonds shall be designated 1975 REDLANDS REDEVELOPMENT PROJECT TAX ALLOCA-
TION BONDS, shall be dated July t, 1975, (except that fully registered Bonds shall be dated as
hereinafter provided), and shall, mature on July 1, in each of the years and in the amounts as follows:
Year Principal Amount Year Principal Amount
1978-----......... $ 90,000 1990------------ ---------- $230,000
1979...... 100,000 1991_.....-------- 250,000
1980-._._.-_.__. 110,000 1992- -------------------- 270,000
1981-..__...._..-_---.. -. 120,000 199;3_-....m___------------- 300,000
1982._-_..--------------- -_ 130,000 1994--.-_... _._------ ---- 320,000
1983--.._.--_._.........._..-. 140,000 1995- -------------- ---- 340,000
1984—.-.------ ---- 150,000 1996 . ----- 370,000
1985---... ........ 160,000 1997._..._...---- ----- 400,00111
1986----, 170,000 1998- --------------------- 430,000
1987-........... 190,000 1999-- ----------------- 470,000
1988.-.- _- 200,000 x'000....._......... ------ 510,000
1989-.__..._-...-_--.-....._ 220,000
The fully registered Bonds shall be numbered by the Fiscal Agent as said Fiscal Agent shall
determine and shall he dated as of the date of authentication thereof, except that fully registered Bond,",
issued upon exchanges and transfers of fully registered Bonds and upon exchanges of coupon Bonds for
fully registered Bonds shall be dated so that no gain or loss of interest shall result front such exchange
or transfer. Each fully registered Bond shall bear interest from the interest payment date next preceding
the date thereof unless it is dated as of an interest payment date, in which event it shall bear interest
from the date thereof, or unless it is dated prior to the first interest payment date, in which event it shall
bear interest from July 1, 1975. Interest on fully registered Bonds shall be paid by the Fiscal Agent
(out of funds provided for that purpose by the Agency) by check or draft mailed to the registered
owner at his address as it appears on the register kept by the Fiscal Agent pursuant to Section 9 of this
resolution.
Section 5. Interest. The Bonds shall bear interest at a rate or rates, to be hereafter fixed by resolu-
tion, but not to exceed eight per cent (8%) per anynnn, payable semiannually on January I and
July I of each year. Each Bond shall bear interest until the principal sum thereof has been paid,
provided, however, that if at the maturity date of any Bond, or if the same has been duly called for
redemption, funds are available for the payment or redemption thereof in full accordance with the terms
of this resolution, said Bond shall then cease to bear interest.
Section 6. Place of Payment. Subject to the provisions of Section 8 hereof, the Bonds and the
interest thereon shall be payable in lawful money of the United States of America at the Corporate Agency
Division of the Fiscal Agent in Los Angeles or San Francisco, California, or, at the option of the
holder, at the office of any Paying Agent of the Agency in New York, New York, or Chicago, Illinois,
Z,
Section 7. Execution of Bonds. The Bonds shall be signed on behalf of the Agency by its (11air-
niam by his manual or facsimile signature and lay its Secretary by manual signature, and the seat of
the Agency shall be impressed, imprinted or reproduced thereon. The interest coupons on said Bonds
shall be signed by said Secretary by manual or facsimile signature, The foregoing officers are hereby
authorized and directed to sign said Bonds and coq,,ons in accordance with this section.
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Section 8. Types of Bonds, Registration, Discharge and Exchange. To facilitate registration of
the Bonds, two forms of Bonds have been provided: (I) those which shall be initially issued and which
are in negotiable form, payable to bearer with negotiable coupons (herein sometimes referred to as
"bearer Bonds"), and (2) those which are issued to facilitate registration and so are issued as non-
negotiable fully registered bonds payable to tM� registered owner (herein sometimes referred to as
"fully registered Bonds").
The bearer Bonds are not registrable by endorsement, and, to facilitate their registration, they may
be exchanged for fully registered Bonds as provided herein.
A bearer Bond or bearer Bonds may be exchanged for a fully registered Bond or fully registered
Bonds, as the case may be. A fully registered Bond may be exchanged in whole for bearer Bonds or in
part for such bearer Bonds and the balance for fully registered Bonds. Transfer of ownership of a fully
registered Bond or fully registered Bonds shall be made by exchanging the same for a new fully registered
Bond or fully registered Bonds. All of such exchanges shall be made in such manner and upon such
reasonable terms and conditions as may from time to time be determined and prescribed by the Agency;
provided, however, no such exchange shall be made between the fifteenth day preceding any interest
payment date and such interest payment date. One such exchange shall be free of any costs or charges
to the person, firm or corporation requesting such exchange, except for any tax or governmental charge
that may be imposed in connection with such exchange. Each bearer Bond issued pursuant to this
resolution shall be of the denomination of $5,000. Each fully registered Bond issued pursuant to the
resolution shall be of a denomination which is $5,000 or a multiple thereof. Such fully registered Bond
or Bonds shall be of the same series, and shall be of only one interest rate and maturity.
Section 9. Bond Register. The Fiscal Agent will keep or cause to be kept at its office in the City
of Los Angeles, California, sufficient books for the registration and transfer of the Bonds, which
shall at all times be open to inspection by the Agency; and, upon presentation for such purpose, the
Fiscal Agent shall, under such reasonable regulations as he may prescribe, register or transfer or cause
to be registered or transferred on said register, Bonds as hereinbefore provided.
Section 10. Temporary Bonds, Any Bond issued under this resolution may be issued in temporary
form exchangeable for definitive Bonds when ready for delivery. The temporary Bonds may be printed,
lithographed or typewritten, shall be of such denomination as may be determined by the Agency, shall
be without coupons and may contain such reference to any of the provisions of this resolution as may be
appropriate. Every temporary Bond shall, be executed by the Agency upon the same conditions and in
substantially the same manner as the definitive Bonds. If the Agency issues temporary Bonds, it shall
execute and furnish definitive Bonds without delay and thereupon the temporary Bonds shall be sur-
rendered, for cancellation, in exchange therefor at the office of the Fiscal Agent, and the Fiscal Agent
shall deliver in exchange for such temporary Bonds all equal aggregate principal amount of definitive
Bonds of authorized denorninations of the same interest rate and maturity. Until so exchanged, the
temporary Bonds shall be entitled to the same benefits under this resolution as definitive Bonds of the
same series delivered hereunder.
Section 11. Redemption of Bonds. Bonds maturing on or before July 1, 1987 are not subject
to redemption prior to maturity. Bonds maturing on and after July 1, 1988 may be called before
maturity and redeemed at the option of the Agency, from any source of funds, on July 1, 1987, or
on any interest payment date thereafter, as a whole, or in part in inverse order of maturity and by lot
within a maturity, at a redemption price for each redeemed Bond equal to the principal amount thereof
with accrued interest to the date of redemption plus a premium of one-quarter of one percent (1/4%)
of said principal amount for each year, or fraction of a year, between the redemption date and the
maturity date.
The interest payment date on which Bonds are called for redemption is herein sometimes called
the "redemption date."
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Section 12. Notice of Redemption. Notice of the intended redemption shall be published by the
Fiscal Agent by one insertion in a newspaper of general circulation in the City of Los Angeles, California,
and in a financial newspaper or journal of national circulation published in The City of New York,
New York,said publication to be at least 30 days but not more than 90 days prior to the redemption date,
provided that notice of redemption may be given and published earlier than said 90th day if provision is
made for the republication of said notice within the period above prescribed. The notice of redemption
shall (a) state the redemption date; (b) state the redemption price; (c) state the numbers and date of
maturity of the Bonds to be redeemed, provided, however, that if the call includes all of the outstanding
Bonds the numbers of the Bonds need not be stated; (d) require that such Bonds be surrendered with
all interest coupons maturing subsequent to the redemption date at the office of the Fiscal Agent or at the
office of any Paying Agent; (e) state, as to any fully registered Bond redeemed in part only, the registered
Bond numbers and the principal portion thereof to be redeemed; and (f) give notice that further interest
on. such Bonds will not accrue after the designated redemption date.
If any of the Bonds designated for redemption shall be fully registered Bonds the Fiscal Agent shall,
on or before the date of publication of said notice of redemption, mail a similar notice, postage prepaid,
to the respective registered owners thereof, at the addresses appearing on the bond registry books in the
office of the Fiscal Agent.
The actual receipt by the holder of any Bond (hereinafter referred to as "bondholder") of notice
of such redemption. shall not be a condition precedent to redemption, and failure to receive such notice
shall not affect the validity of the proceedings for the redemption of such Bonds or the cessation. of
interest on the date fixed for redemption. The notice or notices required by this section shall be given
by the Fiscal Agent.
A certificate by the Fiscal Agent that notice of call and redemption has been given as herein
provided shall be conclusive as against all parties, and no bondholder whose Bond or fully registered
Bond is called for redemption may object thereto or object to the cessation of interest on the redemption
date fixed by any claim or showing that he failed to receive actual notice of call and redemption.
Section 13. Partial Redemption of Fully Registered Bond. Upon surrender of any fully registered
Bond redeemed in part only, the Agency shall execute and the Fiscal Agent shall authenticate and
deliver to the registered owner thereof, at the expense of the Agency, a new Bond or Bonds of authorized
denomination equal in aggregate principal amount to the unredeemed portion of the Bond surrendered
and of the same interest rate and maturity which new Bond or Bonds may be, at the option of the
registered owner, either a coupon Bond or Bonds with all unmatured coupons appertaining thereto or a.
fully registered Bond or Bonds without coupons. The registered owner of any fully registered Bond
may, in lieu of surrendering such Bond for a new Bond, endorse on the reverse of such Bond a notation
of such partial redemption, in such form as may be satisfactory to the Agency and the Fiscal Agent
and under such conditions as the Fiscal Agent may approve. Such partial redemption shall be valid
upon payment of the amount thereby required to be paid to such registered owner, and the Agency and
the Fiscal Agent shall be released and discharged from all liability to the extent of such payment,
irrespective of whether such endorsement shall or shall not have been made upon the reverse of such
fully registered Bond by such registered owner and irrespective of any error or omission in such endorse-
ment.
Section 14. Redemption Food. Prior to the time the Agency determines to call and redeem, any
of said Bonds there shall be established with the Fiscal Agent a redemption fund to be described or
known as the 1975 Redlands Redevelopment Project Tax Allocation Bonds Redemption Fund (herein-
after sometimes referred to as the "Redemption Fund"), and prior to the publication of, the notice of a
redemption the Fiscal Agent must set aside in said Redemption Fund moneys available for the purpose
and sufficient to redeem, at the premiums payable as in this resolution provided, the Bonds designated in
such notice for redemption, Said moneys must be set aside in said fund solely for that purpose and shall
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be applied on or after the redemption date to payment (principal and premium) for the Bonds to be
redeemed upon presentation and surrender of such bonds and (except as to fully registered Bonds)
all interest coupons maturing after the redemption date, and shall be used only for that purpose. Any
interest coupon due on or prior to the redemption date shall be paid from the Special Fund described
in Section 21 hereof, upon presentation and surrender thereof. Each bearer Bond presented must
have attached thereto or presented therewith all interest coupons maturing after the redemption date.
If after all of the Bonds called have been redeemed and cancelled or paid and cancelled there are
moneys remaining in said Redemption Fund, said moneys shall be transferred to the Special Fund;
provided, however, that if said moneys are part of the proceeds of refunding bonds said moneys shall
be transferred to the fund created for the payment of principal of and interest on such refunding bonds.
Section 15. Effect of the Notice of Redemption. When notice of redemption has been given,
substantially as provided in Section 12 hereof, and when the amount necessary for the redemption of the
Bonds called for redemption (principal and premium) is set aside for that purpose in the Redemption
Fund, as provided in Section 14 hereof, the Bonds designated for redemption shall become due and
payable on the date fixed for redemption thereof, and, upon presentation and surrender of said Bonds
and (except as to fully registered Bonds) all interest coupons maturing after the redemption date,
at the place specified in the notice of redemption, such Bonds shall be redeemed and paid at said
redemption price out of the Redemption Fund, and no interest will accrue on such Bonds called for
redemption or on any interest coupons thereof after the redemption date specified in such notice, and
the holders of said Bonds so called for redemption after such redemption date shall look for the
payment of such Bonds and the premium thereon only to the Redemption Fund. All Bonds redeemed and
all interest coupons thereof shall forthwith be cancelled by the Fiscal Agent and shall not be reissued.
All interest coupons pertaining to any redeemed Bonds, which coupons have matured on or prior
to the time fixed for redemption, shall continue to be payable to the respective holders thereof but
without interest thereon. All unpaid interest payable at or prior to the date fixed for redemption upon
fully registered Bonds shall continue to be payable to the respective registered owners of such Bonds, or
their order, but without interest thereon.
Section 16. Funds. There is hereby created with the Treasurer a special trust fund called the
Redlands Redevelopment Project Redevelopment Fund (hereinafter sometimes called the"Redevelopment
Fund").
There is hereby created with the Fiscal Agent a special trust fund called the Redlands Redevelop-
nient Project Reserve Fund (herein sometimes called the "Reserve Fund").
There is hereby created with the Fiscal Agent a special trust fund called the Redlands Redevelopment
Project Special Fund (herein sometimes called the "Special Fund").
So long as any of the Bonds herein authorized, or any interest thereon, remain unpaid, the moneys
in the foregoing funds shall be used for no purpose other than those required or permitted by this
resolution and the Redevelopment Law,
Section 17. Disposition of Bond Proceeds; Redevelopment Fund. The proceeds from the sale
of the Bonds shall be placed in the Redevelopment Fund, except that (a) a sum equal to 24 months
interest from the date of the Bonds shall be transferred to the Fiscal Agent to be placed in the Special
Fund and (b) an amount which, together with interest earnings to be realized from the deposit or
investment of the moneys in the Reserve Fund and in the Special Fund during the first 24 months after the
date of the Bonds, will equal 12 months interest from the date of the Bonds shall be transferred to the
Fiscal Agent to be placed in the Reserve Fund. In order to insure that the interest earnings will be
adequate to bring the Reserve Fund balance to the required amount, the investments or deposits
to be made will be selected by the Treasurer at the time the Bonds are delivered to the purchaser and
the amount to be deposited in, the Reserve Fund will be determined by the Treasurer by deducting
from an amount equal to 12 months interest from the date of the Bonds the actual yield to maturity
of such deposits or investments,
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The moneys set aside and placed in the Redevelopment Fund shall remain therein until from time
to time expended solely for the purpose of financing a portion of the cost of the Redevelopment Project
and other costs related thereto, such other costs to include but not be limited to:
(a) The payment or provision therefor of those certain notes of the Agency designated
"Redlands Redevelopment Project 1974, T:.ix Allocation Notes", dated October 1, 1974, in the
principal amount of $2,000,000.
(b) The payment of all or part of the value of the land for and the cost of the installation and
construction of any building, facility, structure or other improvement which is publicly owned either
within or without the Redevelopment Project Area, subject to the limitations of Section 33445 of
the Redevelopment Law;
(c) The repayment of any advances made by the City of Redlands for the Redevelopment
Project; and
(d) The necessary expenses in connection with the issuance and sale of the Bonds.
If any sum remains in the Redevelopment Fund after the full accomplishment of the objects and
purposes for which said Bonds were issued, said sum shall be transferred to the Special Fund.
Section 18. Issuance of Parity Bonds to Pay Project Costs. If at any time the Agency determines
that it will not have sufficient moneys available from other sources to pay its share of the costs of
the Redevelopment Project, the Agency may provide for the issuance of, and sell, additional tax
allocation bonds in Such principal amount as it estimates will be needed for such purpose, subject to
the following conditions precedent to such sale:
(a) The Agency shall be in compliance with all covenants set forth in this resolution,
(b) Tax Revenues received or to be received by the Agency, during the fiscal year in which
such Parity Bonds are issued, based upon the most recent assessed valuation of taxable property
in the Redevelopment Project: Area (,is certified by the Auditor-Controller of San Bernardino
County) plus, at the option of the Agency, an allowance for additional Tax Revenues to be received
by the Agency during the twelve-month period commencing on the day next succeeding the last
day of the period for which interest on said Parity Bonds shall have been fully funded from
the proceeds of such Parity Bonds (provided thatin such case no principal of such Parity Bonds
shall become due prior to the termination of said twelve-month period), based upon ,in estimated
increase in the assessed valuation of taxable property in the Redevelopment Project Area over the
amount shown on the most recent equalized assessment roll of San Bernardino County, in an aniount
equal to such estimated additional Tax Revenues (provided that (i) such estimate shall be made in
writing by the County Auditor or by the County Assessor of San Bernardino County or by a drily
licensed independent M.A.I. real estate appraiser designated by the Agency and approved by the
Fiscal Agent, which approval shall not be unreasonably withheld; (ii) such estimate shall assume no
increase in the then current tax rates: and (iii) such estimate, to the extent that. it includes the
estimated value of taxable secured and unsecured property, shall consider only projects for which
substantial binding obligations have been incurred and for which adequate funds have been com-
mitted) shall be at least equal to the maximum amount of principal and interest (on all outstanding
Bonds and Parity Bonds) which will become due and payable in any fiscal year following file
issuance of such Parity Bonds.
(c) The resolution providing for such additional bonds shall, require that from tire proceeds
of such sale there shall be deposited in the Reserve Fund an amount which, when lidded to the
balance then on hand in the Reserve Fund, will be equal to the amount of interest (on all out-
standing Bonds and Parity Bonds) which will become due and payable on the next two interest
payment dates following the issuance of such additional bonds.
(d) The additional bonds shall mature on July 1, and the interest thereon shall be payable
on July 1 and January I of each year and shall not be subject to call or redemption prior to July 1,
1987.
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If at any time the amount in the Reserve Fund is less than the minimum Reserve Fund
balance required by Section 19 hereof, the Agency determines that such deficiency is due to
a temporary delay in the receipt of Tax Revenues, the Agency may issue and sell notes payable
from Tax Revenues on a parity with th'-, Bonds and any Parity Bonds, solely for the purpose of
restoring said minimum Reserve Fund balarce, provided that such notes shall mature no later
than one year from their date, and provided further that in no event shall the principal amount
of such notes exceed the amount of Tax Revenues estimated to be received by the Agency during
the next twelve months following the issuance of such notes, provided that such estimate of Tax
Revenues shall be made in writing by the County Auditor or by the County Assessor of San
Bernardino County,
Section 19. Reserve Fund. Moneys in the Reserve Fund shall be used and withdrawn solely for
thep urpose of paying the interest on the Bonds as it shall become due and payable (including accrued
interest on any Bonds purchased or redeemed prior to maturity pursuant to this resolution), or for the
purpose of paying the principal of the Bonds at maturity, to the extent that there are insufficient moneys
available for such purposes in the Special Fund. A minimum Reserve Fund balance equal to the amount
of interest (on all outstanding Bonds and Parity Bonds) which will become due and payable on the
next two succeeding interest payment dates shall be maintained at all times. Any moneys in excess of
said minimum Reserve Fund balance shall, at the request of the Agency, be transferred to the Special
Fund or the Redemption Fund.
If at any time or for any reason the amount in the Reserve Fund is less than the minimum Reserve
Fund balance as required at that time, such minimum balance shall be restored by transfers to the
Reserve Fund from the Special Fund of the first available moneys in the Special Fund; provided, however,
that no payment need be made into the Reserve Fund when and if the amounts contained therein and
in the Special Fund are together at least equal to the principal amount of the Bonds then outstanding
or (in the case of Bonds which have been duly called for redemption) equal to the redemption price
of such Bonds plus all interest due and to become due thereon to maturity or (in the case of Bonds
which have been duly called for redemption) to the redemption date.
Section 20. Tax Revenues. As provided in the Redevelopment Plan pursuant to Article 6 of
Chapter 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State of
California, taxes levied upon taxable property in the Redevelopment Project Area each year by or for the
benefit of the State of California, any city, county, city and county, district, or other public corporation
(hereinafter sometimes called "taxing agencies") after the effective date of the ordinance approving the
Redevelopment Plan (being Ordinance No. 1500 adopted by the City Council of the City of Redlands
on September 26, 1972, which ordinance became effective on October 27, 1972) shall be divided
as follows:
(1) That portion of the taxes which would be produced by the rate upon which the tax is
levied each year by or for each of said taxing agencies upon the total sum of the assessed value
of the taxable property in the Redevelopment Project Area as shown upon the assessment roll
used in connection with the taxation, of such property by such taxing agency last equalized prior to
October 27, 1972 (being the effective date of the ordinance above referred to) shall be allocated to
and when collected shall be paid into the funds of the respective taxing agencies as taxes by or for
said taxing agencies on all other property are paid; and
(2) That portion of said levied taxes each year in excess of such amount shall be allocated
to and when collected shall be paid into a special fund (which, in the case of taxes received by the
Agency on or after August 1, 1975, shall be the Special Fund provided in Section 21 hereof) of the
Agency.
The foregoing provisions of this section are a portion of the provisions of said Article 6 as applied
to the Bonds and shall be interpreted in accordance with said Article 6, and the further provisions
and definitions contained in said Article 6 are hereby incorporated herein by reference and shall apply.
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The Tax Revenues (except that portion which the Agency may use pursuant to Section 21 hereof and
for any purpose authorized in said Article 6 of Chapter 6 of the Redevelopment Law) are hereby allocated
and pledged in their entirety to the payment of the principal of, interest on, and premiums payable upon
redemption of, said Bonds as in this resolution provided, and until all of said Bonds, and all interest
thereon, have been paid (or until moneys for that purpose have been irrevocably set aside) the Tax
Revenues shall be applied solely to the payment of said Bonds, the interest thereon, and premiums payable
upon redemption thereof, as in this resolution provided. Such allocation, and pledge is for the exclusive
benefit of the holders of the Bonds herein authorized and shall be irrevocable.
Section 21. Special Fund. The interest on the Bonds (including all Parity Bonds) and the principal
thereof upon maturity shall be paid by the Fiscal Agent from the Special Fund.
All Tax Revenues shall be deposited in the Special Fund. The Fiscal Agent, on or before
January 2 of each year, shall ascertain the amount of Tax Revenues received or to be received by
the Agency based upon the most recent assessed valuation of taxable property in the Redevelopment
Project Area (as certified by the Auditor-Controller of San Bernardino County), and shall estimate
that portion of said Tax Revenues which will be in excess of the amount of principal and interest
then due or to become due on the next following July I and January I on the Bonds and on any
Parity Bonds then outstanding, and shall promptly notify the Agency of the excess portion so determined.
The Agency may, by written notice to the Fiscal Agent within 30 days after receipt of such noti-
fication, direct that an amount not exceeding said excess portion be paid to the Agency, which
amount may be used by the Agency for any purpose authorized in the Redevelopment Law; provided
that the Agency may direct the Fiscal Agent to pay all or any remaining part of said excess portion
to the Auditor-Controller of San Bernardino County for payment into the funds of the respective
taxing agencies. Upon receipt of the Tax Revenues, the Fiscal Agent shall make such payment or
payments, as directed, by the Agency. The remaining balance of said excess portion shall be retained
by the Fiscal Agent and may be used and applied to purchase outstanding Bonds including Parity
Bonds in the manner hereinafter set forth, provided however that, if on April 1, 1987 or on any
April I thereafter, any remainder of said moneys so available to purchase Bonds but which is not
used to purchase Bonds may (and if sufficient to redeem at least $25,000 principal amount, shall) be
used and applied to call and redeem on the next succeeding July I the largest principal amount of
outstanding Bonds which can be called (including the payment of the applicable premium thereon)
with the moneys available therefor. Any such call and redemption shall be made in accordance
with the provisions of Sections 1.1 to 15 hereof, inclusive.
Purchase of outstanding Bonds may be made by the Fiscal Agent at public or private sale as
and when and at such prices as the Fiscal Agent may in its discretion determine but only at prices
(including brokerage or other expenses) not more than par plus accrued interest plus the premium
applicable at the next following call date according to the schedule set forth in Section 11 hereof,
and any accrued interest payable upon the purchase of Bonds may be paid from the amount reserved
in the Special Fund for the payment of interest on the next following interest date. Any Bonds so
purchased together with all unpaid interest coupons pertaining thereto shall be cancelled by the Fiscal
Agent forthwith and surrendered to the Agency and shall not be reissued.
The previous provisions of this section for the determination each year of the amount of moneys
available for purchase or redemption of Bonds shall not prevent the Fiscal Agent, if directed by the
Agency, from purchasing Bonds with moneys in the Special Fund in the manner hereinbefore, provided,
at any time or times during any year but any such purchases (except for accrued interest) shall be made
only with the portion of the then balance in said fund which is in excess of principal and interest to
become due on the then outstanding Bonds (including Parity Bonds) on the next two following interest
payment dates.
Section 22. Deposit and Investment of Moneys in Funds. Subject to the provisions of Covenant 9
of Section 23 hereof, all moneys held by the Agency in the Redevelopment Fund and by the Fiscal Agent
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in the Special Fund and the Reserve Fund, except such moneys which are at the time invested, shall be
held in time or demand deposits in any bank or trust company authorized to accept deposits of public
funds (including the banking department of the Fiscal Agent) and shall be secured at all times by bonds
or other obligations which are authorized by law as security for public deposits, of a market value at least
equal to the amount required by law.
Moneys in the Redevelopment Fund may be from time to time invested by the Agency, and moneys
in the Special Fund and the Reserve Fund may, and upon written request of the Agency shall, be
invested by the Fiscal Agent, in Federal Securities, subject to the following restrictions:
(a) Moneys in the Redevelopment Fund shall be invested in obligations which will by their
terms mature not later than the date the Agency estimates the moneys represented by the particular
investment will be needed for withdrawal from such fund.
(b) Moneys in the Special Fund shall be invested only in obligations which will by their terms
mature on such dates as to insure that before each interest payment date there will be in such fund,
from matured obligations and other moneys already in such fund, cash equal to the interest and
principal payable on such date.
(c) Moneys in the Reserve Fund shall be invested only in negotiable obligations.
Obligations purchased as an investment of moneys in any of said funds shall be deemed at all times
to be a part of such fund and, except as provided below, the interest accruing thereon and any gain
realized from such investment shall be credited to such fund and any loss resulting from any such
authorized investment shall be charged to such fund without liability to the Agency or the members
and officers thereof or to the Fiscal Agent, Income derived from the investment or deposit of moneys in
the Special Fund during the first 24 months after the date of the Bonds shall be transferred to the
Reserve Fund. The Agency or the Fiscal Agent, as the case may be, shall sell at the best price obtainable
or present for redemption any obligation so purchased whenever it shall be necessary to do so in
order to provide moneys to meet any payment or transfer from such fund as required by this resolution.
For the purpose of determining at any given time the balance in any such fund any such investment
constituting a part of such fund shall be valued at the then estimated market value of such investment.
Section 23. Covenants of the Agency. The Agency shall preserve and protect the security of the
Bonds and the rights of, the bondholders and defend their rights against all claims and demands of all
persons. Until such time as an amount has been set aside sufficient to pay at maturity, or to call prior
to maturity, all outstanding Bonds, plus unpaid interest thereon to maturity, or to the call date, the
Agency will (through its proper members, officers, agents or employees) faithfully perform and abide by
all of the covenants, undertakings and provisions contained in this resolution or in any Bond issued
hereunder, including the following covenants and agreements for the benefit of the bondholders:
1. The Agency covenants and agrees that it will diligently carry out and continue to com-
pletion, with all practicable dispatch, the Redevelopment Project in accordance with its duty so to do
under and in accordance with the Redevelopment Law and the Redevelopment Plan and in a sound
and economical manner. The Redevelopment Plan may be amended as provided in the Redevelop-
ment Law but no amendment shall be made which would substantially impair the security of the
Bonds or the rights of the bondholders.
2. The Agency covenants and agrees that the proceeds of the sale of said Bonds will be
deposited and used as provided in this resolution and that it will manage and operate all properties
owned by it and comprising any part of the Redevelopment Project in a sound and businesslike
manner.
3. The Agency covenants and agrees that, except as permitted in Section 18 hereof, it will not
issue any other obligations payable, principal or interest, from the Tax Revenues which have, or
purport to have, any lien upon the Tax Revenues superior to or on a parity with the lien of the
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Bonds herein authorized and the interest coupons pertaining thereto; provided, however, that
nothing in this resolution shall prevent the Agency from issuing and selling pursuant to law
refunding bonds or other refunding obligations payable from and having a first lieu upon the
Tax Re-venues if such refunding bonds or other refunding obligations are issued for the purpose of,
and are sufficient for the purpose of, refunding all of the Bonds authorized by this resolution and
then outstanding.
4. The Agency covenants and agrees that it will duly and punctually pay or cause to be paid
the principal of and interest on each of the Bonds issued hereunder together with the premium
thereon if any be payable on the date, at the place and in the manner provided in said Bonds
and the interest coupons pertaining thereto, solely from the Tax. Revenues and other funds as
herein provided.
5. The Agency covenants and agrees that it will from time to time pay and discharge, or
cause to be paid and discharged, all payments in lieu of taxes, service charges, assessment,, or other
governmental charges which may lawfully be imposed upon the Agency or any of the properties
then owned by it in the Redevelopment Project Area, or upon the revenues and income therefrom
and will pay all lawful claims for labor, material and supplies which if unpaid might become a lien
or charge upon any of said properties, revenues or income or which might impair the security of the
Bonds or the use of Tax Revenues or other funds to pay the principal of and interest thereon, all to
the end that priority and security of said Bonds shall be preserved; provided that nothing in this
paragraph shall require the Agency to make any such payment so long as the Agency in good faith
shall contest the validity thereof,
6. The Agency covenants and agrees that it will at all times keep, or cause to be kept, proper
and current books and accounts (separate from all other records and accounts) in which complete
and accurate entries shall be made of all transactions relating to the Redevelopment Project and
the Tax Revenues and other funds herein provided for, and will prepare within 120 days after
the close of each of its fiscal years a complete financial statement or statements for each such year in
reasonable detail covering such Redevelopment Project, the Tax Revenues and other funds and
certified by a certified public accountant or firm of certified public accountants selected by the Agency,
and will furnish a copy of such statement or statements to any bondholder upon written request.
7. The Agency covenants and agrees that if all or any part of the Redevelopment Project Area
should be taken from it, by eminent domain proceedings or other proceedings authorized by law, for
any public or other use under which the property will be tax exempt, the net proceeds realized by
the Agency therefrom will be deposited in the Special Fund and used and applied for the purpose
of paying principal of and interest on said Bonds as in this resolution provided.
8. The Agency covenants and agrees that it will not dispose of land in the Redevelopment
Project Area (except property shown in the Redevelopment Plan in effect on the date this resolution
is adopted as planned for public use) to public bodies or other persons or entities whose property
is tax exempt if as a result of such disposition the security of the Bonds or the rights of the
bondholders would be substantially impaired.
9. The Agency covenants and agrees that no use will be made of the proceeds of the Bonds
which, if such use had been reasonably expected on the date of issue of the Bonds, would have
caused the Bonds to be arbitrage bonds. The Agency further covenants that it will comply with
the requirements of Section 103(d) of the Internal Revenue Code and the regulations adopted
thereunder throughout the term of the issue.
Section 24. Taxation of Leased Property. Whenever any property in the Redevelopment Project
Area has been redeveloped and thereafter is leased by the Agency to any person or persons (other than
the City of Redlands or any public instrumentality thereof), the property shall be assessed and taxed
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in the same manner as privately owned property, as required by Section 33673 of the Health and Safety
Code, and the lease or contract shall provide (a) that the lessee shall pay taxes upon the assessed value
of the entire property and not merely upon the assessed value of his or its leasehold interest, and (b)
that if for any reason the taxes levied on such property in any year during the term of the lease or
contract are less than the taxes which would have been levied if the entire property had been assessed
and taxed in the same manner as privately owned property, the lessee shall pay such difference to the
Agency within thirty days after the taxes for such year become payable to the taxing agencies and in no
event later than the delinquency date of such taxes established by law. All such payments shall be treated
as Tax Revenues, and when received by the Agency shall be deposited in the Special Fund.
Section 25. Fiscal Agent and Paying Agents. The Agency hereby appoints Bank of America National
Trust and Savings Association as Fiscal Agent to act as the agent and depositary of the Agency
for the purpose of receiving Tax Revenues and other funds as provided in this resolution, to hold, allocate,
use and apply such Tax Revenues and other funds as provided in this resolution, and to perform such
other duties and powers of the Fiscal Agent as are prescribed in this resolution.
The Agency may remove the Fiscal Agent initially appointed or any successor thereto and in
such case shall forthwith appoint a successor thereto but any successor shall be a bank or trust company
doing business and having an office in the City of Los Angeles and having a combined capital and surplus
of at least $50,000,000, The Fiscal Agent herein appointed or any substituted Fiscal Agent may at
any time resign as such in writing filed with the Agency in which event the Agency shall forthwith
appoint a substitute Fiscal Agent and the resignation shall become effective upon such appointment.
In the event that the Fiscal Agent or any successor becomes incapable of acting as such the Agency
shall forthwith appoint a substitute Fiscal Agent. Any bank or trust company into which the Fiscal
Agent may be merged or with which it may be consolidated shall become the Fiscal Agent without
action of the Agency. A Fiscal Agent may become the owner of any of. the Bonds authorized by this
resolution or any of the coupons appurtenant thereto with the same rights it would have had if it
were not the Fiscal Agent,
The Fiscal Agent shall have no duty or obligation whatsoever to enforce the collection of or to
exercise diligence in the enforcement of the collection of funds assigned to it hereunder, or as to the
correctness of any amounts received, but its liability shall be limited to the proper accounting for
such funds as it shall actually receive.
The recitals of fact and all promises, covenants and agreements herein and in the Bonds of said
authorized issue contained shall be taken as statements, promises, covenants and agreements of the
Agency, and the Fiscal Agent assumes no responsibility for the correctness of the same, and makes no
representations as to the validity or sufficiency of this resolution or of the Bonds or coupons, and shall
incur no responsibility in respect thereof, other than in connection with the duties or obligations herein
or in the Bonds assigned to or imposed upon the Fiscal Agent. The Fiscal Agent shall not be liable in
connection with the performance of its duties hereunder, except for its own negligence or default.
The Agency shall, during the life of the Bonds, provide for Paying Agents, at least one in Chicago,
Illinois, and at least one in New York, New York, at the office of which the bearer Bonds and coupons
are payable at the option of the holder.
Section 26. Lost, Destroyed or Mutilated Bonds. In the event that any Bond or any interest coupon
pertaining thereto is lost, stolen, destroyed or mutilated, the Agency will cause to be issued a new Bond
or coupon similar to the original to replace the same in such manner and upon such reasonable terms
and conditions, including the payment of costs and the posting of a surety bond if the Agency deems
such surety bond necessary, as may from time to time be determined and prescribed by resolution. The
Agency may authorize such new Bond or coupon or coupons to be signed and authenticated in such
manner as it determines in said resolution.
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Section 27. Cancellation of Bonds. All Bonds and coupons surrendered to the Fiscal Agent or any
Paying Agent for payment upon maturity or for redemption shall upon payment therefor be cancelled
immediately, and held for one year, then transmitted to the Treasurer or destroyed at the direction of
the Treasurer.
Section 28. Amendments without Consent of Bondholders,. The Agency may, from time to time
and at any time, adopt such resolutions supplemental hereto as shall not be inconsistent with the terms
and provisions hereof (which supplemental resolutions shall thereafter form a part hereof),
(a) to care any ambiguity or formal defect or omission in this resolution or in any supple-
mental resolution, or
(b) to grant to or confer upon the Fiscal Agent for the benefit of the bondholders any
additional rights, remedies,powers, authority or security that may lawfully be granted to or conferred
upon the bondholders or the Fiscal Agent.
Section 29. Amendments with Consent of Bondholders. This resolution, and the rights and obliga-
tions of the Agency and of the holders of the Bonds and coupons issued hereunder, may be modified
or amended at any time by supplemental resolution adopted by the Agency with the consent of bond-
holders holding at least sixty per cent (60%) in aggregate principal amount of the outstanding Bonds,
exclusive of Bonds, if any, owned by the Agency or the City of Redlands, and obtained as herein-
after set forth; provided, however, that no such modification or amendment shall, without the express
consent of the holder or registered owner of the Bond affected, reduce the principal amount of
any Bond, reduce the interest rate payable thereon, advance the earliest redemption date, reduce the
premium payable upon redemption thereof, extend its maturity or the times for paying interest
thereon or change the monetary medium in which principal and interest is payable, nor shall any such
modification or amendment reduce the percentage of consent required for amendment or modification.
Any act done pursuant to a modification or amendment so consented to shall be binding upon the
holders of all the Bonds and interest coupons, whether such coupons be attached to Bonds or detached
therefrom, and shall not be deemed an infringement of any of the provisions of this resolution or of said
Law, whatever the character of such act may be, and may be done and performed as fully and freely as
if expressly permitted by the terms of this resolution, and after such consent relating to such specified
matters has been given, no bondholder or holder of any interest coupon, whether attached to a Bond or
detached therefrom,shall have any right or interest to object to such action or in any manner to question
the propriety thereof or to enjoin or restrain the Agency or any officer thereof from taking any action
pursuant thereto.
If the Agency shall desire to obtain any such consent, it shall cause notice to be published in a
financial newspaper or journal of national circulation published in The City of New York, New York.
If any of the Bonds shall be registered, the Agency shall cause the Fiscal Agent to mail a similar notice,
postage prepaid, to the respective registered owners thereof at their addresses appearing on the bond
registry books.
Such notice shall briefly set forth the nature of the proposed supplemental resolution and shall state
that a copy thereof is on file at the office of the Fiscal Agent for inspection by all bondholders. The
Fiscal Agent shall not, however, be Subject to any liability to any bondholders by reason of his failure
to mail the notice required by this section, and any Such failure shall not affect the validity of such
supplemental resolution when consented to and approved as provided in this section.
Whenever at any time within one year after the date of the publication of such notice, the Agency
shall receive an instrument or instruments purporting to be excluded by the holders of not less than
sixty per cent (60%) in aggregate principal amount of the Bonds then outstanding (exclusive of Bonds,
if any, owned by the Agency or the City of Redlands), which instrument or instruments shall refer
13
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to the proposed supplemental resolution described in such notice, and shall specifically consent to and
approve the adoption thereof in substantially the form of the copy thereof referred to in such notice as
on file with the Fiscal Agent, thereupon, but not otherwise, the Agency may adopt such supplemental
resolution in substantially such form, without liability or responsibility to any holder of any Bonds,
whether or not such holder shall have consented thereto.
Upon the adoption of any supplemental resolution pursuant to the provisions of this section, this
resolution shall be, and be deemed to be, modified and amended in accordance therewith, and the
respective rights, duties and obligations under this resolution shall thereafter be determined, exercised
and enforced hereunder, subject in all respects to such modifications and amendments.
Section 30. Bond and Coupon Forms. The bearer Bonds and the interest coupons to be attached
thereto which shall be issued in negotiable form and the fully registered Bonds, the form of regis-
tration to appear on the fully registered Bonds and the Assignment shall be substantially in the forms
hereinafter set forth with necessary or appropriate variations, omissions and insertions, as permitted or
required by this Resolution:
[FORM OF BEARER BOND]
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF SAN BERNARDINO
CITY OF REDLANDS
REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS
1975 REDLANDS REDEVELOPMENT PROJECT
TAX ALLOCATION BOND
No- ------------ $5,000
The REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS (hereinafter sometimes called the
"Agency"), a public body corporate and politic, duty organized and existing under the laws of the
State of California, for value received, hereby promises to pay (but solely from the funds hereinafter
mentioned) to the bearer on July 1, __---. (subject to right of prior redemption as hereinafter
stated), upon presentation and surrender of this bond, the sum of FIVE THOUSAND DOLLARS
($5,000), with interest thereon (payable solely from said funds) from the date hereof at the rate of
---------.-.% per annum, interest payable semiannually on the first day of January and the first day
of July of each and every year until this bond is paid, upon presentation and surrender of the
respective interest coupons hereto attached; provided, however, that if at the maturity date of this
bond or, if the same is duly called for redemption, then at the date fixed for redemption, funds
are available for payment or redemption thereof, as provided in the resolution hereinafter mentioned,
this bond shall then cease to bear interest. Both principal and interest are payable in lawful
money of the United States of America at the Corporate Agency Division of the Bank of America
National Trust and Savings Association, Fiscal Agent for the Agency, in Los Angeles or San
Francisco, California, or, at the option of the holder hereof, at the office of any Paying Agent of
the Agency in New York, New York, or Chicago, Illinois.
This bond, the interest thereon, or any premium payable upon the redemption thereof, are
not a debt of the City of Redlands, the State of California or any of its political subdivisions and
neither said city, said state nor any of its political subdivisions is liable thereon, nor in any event
shall this bond or said interest or premiums be payable out of any funds or properties other than
the funds of the Agency hereinafter mentioned. This bond does not constitute an indebtedness
14
6/27/75
within the Meaning of any constitutional or statutory debt limitation or restriction. Neither the
members of the Agency nor any persons executing this bond are liable personally on this bond by
reason of its issuance.
This bond is one of as duly authorized issue of bonds of the Agency designated "1975 Redlands
Redevelopment Project Tax Allocation Bonds" (hereinafter called the "bonds") limited in aggre-
gate principal amount to $5,670,000, all of like tenor (except for bond numbers and maturity dates
and differences, if any, in interest rate) and all of which have been issued pursuant to and in full
conformity with the Constitution and laws of the State of California and particularly the Com-
munity Redevelopment Law (Part I of Division 24 of the Health and Safety Code of the State
of California) for the Purpose of financing a portion of the cost Of the redevelopment project
above designated, and are authorized by and issued pursuant to Resolution No. -------.-. (herein-
after called "the resolution") adopted by the Agency on June 27, 1975, and all of the bonds
are equally secured in accordance with the terms of the resolution, reference to which is hereby
made for a specific description of the security therein provided for said bonds, for the nature,
extent and manner of enforcement of such security, for the covenants and agreements made for the
benefit of the bondholders, and for a statement of the rights of the bondholders, and by the
acceptance of this bond the holder thereof and of the coupons attached hereto assents to all
of the terms, conditions and provisions of said resolution. In the manner provided in the resolu-
tion, said resolution and the rights and obligations of the Agency and of the holders of said bonds
and coupons, may (with certain exceptions as stated in said resolution) be modified or amended
with the consent of the holders of 60% in aggregate principal amount of outstanding bonds,
exclusive Of issuer-owned bonds.
The principal of this bond, the interest thereon, and any premium payable upon redemption
thereof are secured by an irrevocable and first pledge of, and are payable solely from, the Tax
Revenues (as such term is defined in said resolution) and other funds, all as more particularly
set forth in the resolution.
If this bond matures on or after July 1, 1988, it is callable and redeemable prior to maturity
in accordance with the provisions for redemption endorsed hereon,
This bond and the coupons attached hereto are negotiable instruments and shall be, negotiable
by delivery. This bond (issued in the form of a bearer bond and herein sometimes referred to as
"bearer bond") is not registrable by endorsement. Bearer bond,, bearing all unmatured coupons
may be exchanged for a like aggregate principal amount of fully registered bonds of authorized
denomination of the same interest rate and maturity and fully registered bonds may be exchanged
for a like aggregate principal amount of bearer bonds of the same interest rate and maturity
bearing all unmatured coupons or for a like aggregate principal amount of fully registered bonds
of authorized denomination of the same interest rate and maturity; provided, however, no such
exchange shall be made between the fifteenth day preceding any interest payment date and such
interest payment date. One such exchange shall be free of any costs or charges to the person,
firm or corporation requesting such exchange, except for any tax or governmental charge that
may be imposed in connection with such exchange.
It is hereby recited, certified and declared that any and all acts, conditions and things required
to exist, to happen and to be performed precedent to and in the issuance of this bond exist, have
happened and have been performed in due time, form and manner as required by the Constitution
and statutes of the State of California,
IN WITNESS WHERE,0F, the Redevelopment Agency of the City of Redlands has caused this
bond to be signed on its behalf by its Chairman by his facsimile signature and by its Secretary and
the seal of said Agency to be impressed, imprinted or reproduced hereon, and the interest coupons
15
6/27/75
hereto attached to be signed by said Secretary by facsimile signature and this bond to be dated
the first day of July, 1975.
Agency
of the City of Redlands
(SEAL)
Sel of the e*e1o1TmW:t)6ency-
of the City of Redland
[COUPON FORM]
On the first day of ___w__..__----_n, 19__
the REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS will pay
to bearer, at the Corporate Agency Division of the Bank of America National
Trust and Savings Association, Fiscal Agent for the Agency, in Los Angeles or Coupon No.
San Francisco, California or at the option of the holder hereof, at the office of any
Paying Agent of the Agency in New York, New York, or Chicago, Illinois, solely
out of the funds mentioned in the bond to which this coupon is attached, the sum
shown hereon in lawful money of the United States of America, being the semi-
annual interest then due on its 1975 REDLANDS REDEVELOPMENT PROJ-
ECT TAX ALLOCATION BOND, dated July 1, 1975, subject to the pro- No,
visions on the reverse hereof.
i- eci'__4 he RWeae�ve�ment Age
of the City of Redlands
[REVERSE OF COUPON]
If the bond to which this coupon is attached is duly called for redemption on a date prior to
the maturity date of this coupon, this coupon will be void.
PROVISIONS FOR REDEMPTION
If this bond matures on or after July 1, 1988, it is redeemable in the manner and subject to the
terms and provisions, and with the effect, set forth in the resolution of the Redevelopment Agency of the
City of Redlands referred to on the face of this bond, at the option of said Agency, on July 1, 1987,
or on any interest payment date thereafter prior to maturity, as a whole or in part, in inverse order of
maturity and by lot within a single maturity, upon at least 30 days' prior notice published in a newspaper
in the City of Los Angeles, California, and in a financial newspaper or journal of national circulation
published in The City of New York, New York, at a redemption price equal to the principal amount
thereof with accrued interest to the date of redemption plus a premium of 1/4% of said principal amount
for each year, or fraction of a year between the redemption date and the maturity date.
16
6/27/75
[FORM OF FULLY REGISTERED BOND]
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF SAN BERNARDINO
CITY OF REDLANDS
REDEVELOPMENT AGENCY OFTHE CITY OF REDLANDS
1975 REDLANDS REDEVELOPMENT PROJECT
TAX ALLOCATION BOND
No----------------------___---------
Coupon Bond Nos.,-..,.,..--- .......
The REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS (the "Agency"), a public body
corporate and politic, duly organized and existing under the laws of the State of California, for
value received, hereby promises to pay (but solely from the funds hereinafter mentioned), to
----------------_----- ------ -------- _.____________..w.._________..___.,.____.--______-_-_----_-___a____.____.____......._,
the registered owner hereof, or such owner's registered assigns, on July I, -------- (subject to the right.
of prior redemption hereinafter mentioned), upon presentation and surrender of this bond,
thesum of _.,------ -- -------_--- ------------ ----------------------------- ------------ ......- DOLLARS ($___._-__________-®m.)
together with interest thereon from the interest payment date next preceding the date hereof (unless
the date hereof is prior to January 1, 1976, in which event from July 1, 1975, or unless this
bond is dated July I or January I in which event from the date hereof) at the rate of ..... ........
-------------I------- percent (___.____..__.____%) per annum, payable semiannually on the first days of
January and July of each and every year until this bond is paid; provided, however, that if at
the maturity date of this Bond or, if the same is redeemable prior to maturity and shall be duly
called for redemption, then at the date fixed for redemption, funds are available for the payment
or redemption thereof, as provided in the resolution hereinafter mentioned, this bond or the part
thereof so called for redemption shall then cease to bear interest. Both principal and interest are
payable in lawful money of the United States of America at the Corporate Agency Division of the
Bank of America National Trust and Savings Association, Fiscal Agent for the Agency, in the
City of Los Angeles or San Francisco, California,
This bond, the interest thereon, or any premium payable upon the redemption thereof, are
not a debt of the City of Redlands, the State of California or any of its political subdivisions and
neither said city, said state nor any of its political subdivisions is liable thereon, nor in any event
shall this bond or said interest or premiums be payable out of any funds or properties other than
the funds of the Agency hereinafter mentioned. This bond does not constitute an indebtedness
within the meaning of any constitutional or statutory debt limitation or restriction. Neither the
members of the Agency nor any persons executing this bond are liable personally on this bond by
reason of its issuance.
This bond is one of a duly authorized issue of bonds of the Agency designated "1975 Redlands
Redevelopment Project Tax Allocation Bonds" (hereinafter called the "bonds") limited in aggregate
principal amount to $5,670,000, all of like tenor (except for bond numbers and maturity dates
and differences, if any, in interest rate) and all of which have been issued pursuant to and in full
conformity with the Constitution and laws of the State of California and particularly the Com-
munity Redevelopment Law (Part I of Division 24 of the Health and Safety Code of the State
of California) for the purpose of financing a portion of the cost of the redevelopment project
above designated, and are authorized by and issued pursuant to Resolution No_ ------- --- (herein-
17
6/27/75
after called "the resolution") adopted by the Agency on June 27, 1975, and all of the bonds
are equally secured in accordance with the terms of the resolution, reference to which is hereby
made for a specific description of the SCCUrity therein provided for said bonds, for the nature,
extent and manner of enforcement of such security, for the covenants and agreements made for the
benefit of the bondholders, and for a statement of the rights of the bondholders, and by the
acceptance of this bond the holder thereef and of the coupons attached hereto assents to all
of the terms, conditions and provisions of said resolution. In the manner provided in the resolu-
tion, said resolution and the rights and obligations of the Agency and of the holders of said bonds
and coupons, may (with certain exceptions as stated in said resolution) be modified or amended
with the consent of the holders of 60% in aggregate principal amount of outstanding bonds,
exclusive of issuer-owned bonds.
The principal of this bond, the interest thereon, and any premium payable upon redemption
thereof are secured by an irrevocable and first pledge of, and are payable solely from, the Tax
Revenues (as such term is defined in said resolution) and other funds, all as more particularly
set forth in the resolution.
If this bond matures on or after July 1, 1988, it is callable and redeemable prior to
maturity in accordance with the provisions for redemption endorsed hereon.
This bond is issued in fully registered form (herein sometimes referred to as "fully registered
bond") and is non-negotiable. This bond may be exchanged for a like aggregate principal amount
of bearer bonds of the same interest rate and maturity bearing all unmatured coupons or for
a like aggregate principal amount of fully registered bonds of authorized denomination of the same
interest rate and maturity and bearer bonds bearing all unmatured coupons may be exchanged for
a like aggregate principal amount of fully registered bonds of authorized denomination of the same
interest rate and maturity; provided, however, no such exchange shall be made between the fifteenth
day preceding any interest payment date and such interest payment date. One such exchange shall
be free of any costs or charges to the person, firm or corporation requesting such exchange, except
for any tax or governmental charge that may be imposed in connection with such exchange.
This bond is transferable by the registered owner hereof, in person or by his attorney duly
authorized in writing, at the office of the Fiscal Agent of the Agency, but only in the manner, subject
to the limitations and upon payment of the charges provided in the resolution, and upon surrender
and cancellation of this bond. Upon such transfer a new fully registered bond of authorized
denomination or denominations for the same aggregate principal amount of the same interest rate
and maturity will be issued to the transferee in exchange herefor.
The Agency and the Fiscal Agent may treat the registered owner hereof as the absolute owner
hereof for all purposes, and the Agency and the Fiscal Agent shall not be affected by any notice
to the contrary,
It is hereby recited, certified and declared that any and all acts, conditions and things required
to exist, to happen and to be performed precedent to and in the issuance of this bond exist, have
happened and have been performed in due time, form and manner as required by the Constitution
and statutes of the State of California.
1.8
6/27/75
IN WITNESS WHEREOF, the Redevelopment Agency of the City of Redlands has caused this
bond to be signed on its behalf by its Chairman by facsimile signature and by its Secretary, and the
seal of said Agency to be impressed, imprinted or reproduced hereon and has caused this bond to
be dated the ---- day of -----._. ..----- m..,_.
Chairman of the Redevelopment Agency of the
City of Redlands
Secretary cif the Redevelopment Agency of the
City (if Redlands
(SEAL)
[FORM OF CERTIFICATE t7F AUTHENTICATION OF REGISTERED BONDS]
This is one of the Bonds described in the within-mentioned resolution.
Fiscal Agent
By
PROVISIONS FOR REDEMPTION
If this bond matures on or after July 1, 1988,. it is redeemable in the manner and subject to the
terms and provisions, and with the effect, set forth in the resolution of the Redevelopment Agency of
the City of Redlands referred to on the face of this bond, at the option of said Agency, on July 1,
1987, or on any interest payment date thereafter prior to maturity, as a whole or in part, in inverse
order of maturity and by lot within a single maturity, upon at least 30 days' prior notice published in a
newspaper in the City of Los Angeles, California, and in a financial newspaper or journal of national
circulation published in the City of. New York, New York, at a redemption price equal to the principal
amount thereof with accrued interest to the date of redemption plus a premium of r/4% of said
principal amount for each year, or fraction of a year between the redemption date and the maturity date.
[FORM OF ENDORSEMENT ON REGISTERED BONDS]
This registered bond, issued in fully registered form without coupons, is issued in lieu of or in
exchange for bearer bond(s) of this same issue of the denomination of $5,000 and bearing the bond
numbers shown on the face hereof, each not contemporaneously outstanding, aggregating the face value
hereof; and bear bonds of this same issue and of the denomination of $5,000 and bearing the numbers
above referred to, have been reserved and will be issued in exchange for this bond in the maturer, with
the effect and under the terms and conditions stated on the face of the bond and in the resolution referred
to therein.
[FORM OF ASSIGNMENT]
Forvalue received -- -._.----------------------------------------------------_------------- -------------------------------------- hereby sells,
assigns and transfers unto -----.__.m_._.___ .---.----_-----.----------._.___.m-__-.-.___----------------------------------- the within-mentioned
bond and hereby irrevocably constitutes and appoints --. _.._._._.._- ____.__m-.__m.._.--------
attorney,
_ .--_.attorney, to transfer the same on the books of the Fiscal Agent with full power of substitution in the
premises.
DATED: -------------------am...w_-._____m...
NOTE: The signature to the Assignment must correspond with the name as written on the face of the
within bond in every particular, without alteration or enlargement or any change whatsoever,
19
6/27/75
Section 31. Proceedings Constitute Contract. The provisions of this resolution, of the resolutions
providing for the sale of the Bonds and awarding the Bonds and fixing the rate or rates thereon, and of any
other resolution supplementing or amending this resolution and adopted prior to the issuance of the
Bonds hereunder, shall constitute a contract between the Agency and the bondholders and the provisions
thereof shall be enforceable by any bondholder for the equal benefit and protection of all bondholders
similarly situated by mandamus, accounting, mandatory injunction or any other suit, action or proceeding
at law or in equity that is now or may hereafter be authorized under the laws of the State of California
in any court of competent jurisdiction. Said contract is made under and is to be construed :in accordance
with the laws of the State of California,
No remedy conferred hereby upon any bondholder is intended to be exclusive of any other remedy,
but each such remedy is cumulative and in addition to every other remedy and may be exercised without
exhausting and without regard to any other remedy conferred by the Law or any other law of the
State of California. No waiver of any default or breach of duty or contract by any bondholder shall
affect any subsequent default or breach of duty or contract or shall impair any rights or remedies
on said subsequent default or breach. No delay or omission of any bondholder to exercise any
right or power accruing upon any default shall impair any such right or power or shall be construed
as a waiver of any such default or acquiescence therein. Every substantive right and every remedy
conferred upon the bondholders may be enforced and exercised as often as may be deemed expedient.
In case any suit, action or proceeding to enforce any right or exercise any remedy shall be brought or
taken and should said suit, action or proceeding be abandoned, or be determined adversely to the bond-
holders, then, and in every such case, the Agency and the bondholders shall be restored to their former
positions, rights and remedies as if such suit, action or proceeding had not been brought or taken.
After the issuance and delivery of the Bonds this resolution and supplementary resolutions thereto
shall be irrepealable, but shall be subject to modification or amendment to the extent and in the manner
provided in this resolution, but to no greater extent and in no other manner.
Section 32. Defeasance. If the Agency shall pay or cause to be paid, or shall have made provision
to pay, or there shall have been set aside in trust funds to pay, to the holders of the Bonds and coupons,
the principal and interest, and premium, if any, to become due thereon, then the pledge of the Tax
Revenues and all other rights granted hereby, shall thereupon cease, terminate and become void and
be discharged and satisfied.
Bonds or coupons for the payment and discharge of which upon maturity, or upon redemption
prior to maturity, provision has been made through the setting apart in a reserve fund or special trust
account created pursuant to this resolution or otherwise to insure the, payment thereof, of money
sufficient for the purpose or through the irrevocable segregation for that purpose in some sinking fund
or other fund or trust account of moneys sufficient therefor, including, but not limited to, investment
income earned or to be earned on direct obligations of the United States of America or bonds or other
obligations for which the faith and credit of the United States of America are pledged for the payment
of principal and interest, or other investments which are authorized investments of the Agency, shall, as
provided herein, no longer be deemed to be outstanding and unpaid; provided, however, that if any
such Bonds are to be redeemed prior to the maturity thereof, the Agency shall have taken all action
necessary to redeem such Bonds and notice of such redemption shall have been duly given or pro-
vision made for the giving of such notice; and provided, further, that, if the maturity or redemption
date of any such Bond shall not have arrived, provision shall have been made by the Agency by deposit,
for the payment to the holder of any such Bonds and coupons, upon surrender thereof, whether or not
prior to the maturity or redemption date thereof, of the full amount to which they would be entitled
by way of principal, premium, if any, or interest to the date of such maturity or redemption, including
in the computation of said full amount any income to be earned by way of investment of said deposit, as
provided below, and provision shall have been made by the Agency, for the publication, in a financial
20
6/27/75
newspaper or journal published in The City of New York, New York, of a notice to the holders of such
Bonds and coupons that such moneys are available for such payment.
Moneys held for payment or redemption in accordance with the provisions of this section shall
be invested in direct obligations of the United States of America, or bonds or other obligations for
which the faith and credit of the United States of America are pledged for the payment of principal
d interest, or other investments which are authorized investments of the Agency, to mature or be with-
drawable, as the case may be, not later than the time when needed for such payment or redemption.
Net income earned on such investments may be paid to the Agency or may be used for the payment or
redemption of Bonds and to the extent permitted by law may be considered as adequate provision for
payment.
Section 33. Severability. If any covenant, agreement or provision, or any portion thereof, contained
in this resolution, or the application thereof to any person or circumstances, is held to be unconstitutional,
invalid or unenforceable, the remainder of this resolution and the application of any such covenant,
agreement or provision, or portion thereof, to other persons or circumstances, shall be deemed severable
and shall not be affected, and this resolution and the, Bonds issued pursuant hereto shall remain valid
and the bondholders shall retain all valid rights and benefits accorded to them under this resolution and
the Constitution and laws of the State of California. If the provisions relating to the appointment and
duties of a Fiscal Agent are held to be unconstitutional, invalid or unenforceable, said duties shall be
performed by the Treasurer.
Section 34. Effective Date. This resolution shall take effect upon adoption.
APPROVED AND ADOFFED this 27th day of June, 1975,
/Z
_Chairman �___
Redevelopment Agency of the
City of Redlands
Attest:
'7
Secreta the
e velopment A ency of e
City of Redlands
(SEAL)
21
MINUTES of an adjourned adjourned meeting of the Redevelopment
Agency of the City of Redlands held in the Council
Chambers, Safety Hall, 212 Brookside Avenue on June 27,
1975 at 5000 P�Mg
PRESENT jack B. Cummings, Chairman
Ellsworth E. Miller, Vice Chairman
Charles G. DeMirjyn, Member
Chresten M. Knudsen, Member
Bertha Rose Grace, Member
R,, P. Merritt, Jr. , Acting Executive Director
Edward F. Taylor, City Attorney
Peggy A,, Moseley, Secretary
Erwin S . Hein, Redlands Daily Facts
Pat Sheeran, San Bernardino Sun
ABSENT None
Chairman Cummings called this adjourned adjourned meet-
ingof the Redevelopment Agency to order at 5.-00 'P.M,,
The minutes of the adjourned regular meeting of June 24th
were approved as submitted,
Acting Executive Director Merritt presented Redevelopment
Resolution No. 143, A Resolution, Authorizing The Issuance
Of Bonds and explained that the only change from the
origninal plan was in the amount which is now $5, 670,000.
On motion of Member Miller, seconded by Member Grace
Resolution Resolution No. 143, A Resolution Of The City Of Redlands
No. 143 Authorizing The Issuance Of $5, 6'70, 000 Bonds Of Said
Issuance of Agency To Finance A Portion Of The Cost Of A Redevelop-
Bonds ment Project Known As The Redlands Redevelopment Project
was adopted by the following roll call. voteg
AYES : Members Miller, Grace; Chairman Cummings
NOES - None
ABSTAIN. Members DeMirjyn, Knudsen
ABSENT,,, None
Mr. Merritt then presented The Official Statement which
contained the corrected amount and an amended schedule
of redemption adjusted to the $5, 670, 000 amount. He also
presented Resolution No. 144, A Resolution Approving The
Official Statement.
On motion of Member Grace, seconded by Chairman Cummings,
Resolution No. 144, A Resolution Of The Redevelopment
Redevelopment Agency -
Page one -
June 27, 1975
SECRETARY 'S CERTIFICATE
I, Lorrie Poyzer , Secretary of the Redevelopment
Agency of the City of Redlands, hereby certify that the fore-
going resolution was adopted by the Redevelopment Agency of
the City of Redlands at a regular meeting thereof held on the
27th day of June, 1975 , by the following vote:
AYES : Members Miller , Grace; Chairman Cummings
NOES : None
ABSTAIN: Members DeMirjyn, Knudsen
ABSENT: None
IN WITNESS WHEREOF, I have hereunto set my hand and
affixed the official seal of said Agency on June 3, 1985 .
Secretary, -Re-d-e—velopment Agency
City of Redlands