HomeMy WebLinkAbout410 RDA_CCv0001.pdf RESOLUTION NO. 410
A RESOLUTION OF THE REDEVELOPMENT AGENCY OF
THE CITY OF REDLANDS APPROVING THE ISSUANCE OF
ITS REDLANDS REDEVELOPMENT PROJECT AREA
TAXABLE TAX ALLOCATION BONDS, SERIES 2007 A,
APPROVING A SECOND SUPPLEMENT TO INDENTURE,
AN OFFICIAL STATEMENT, A BOND PURCHASE
AGREEMENT SETTING THE MAXIMUM FINAL TERMS OF
THE SALE OF THE BONDS AND MAKING CERTAIN
DETERMINATIONS RELATING THERETO
WHEREAS, the Redevelopment Agency of the City of Redlands (the "Agency") is a
redevelopment agency duly created, established and authorized to transact business and exercise
its powers, all under and pursuant to the Community Redevelopment Law, being Section 33000
and following of the Health and Safety Code of the State of California, and the powers of the
Agency include the power to issue bonds for any of its corporate purposes; and
WHEREAS, on September 26, 1972, the City Council of the City of Redlands adopted
Ordinance No. 1500, approving a Redevelopment Plan for a redevelopment project known as the
Redlands Redevelopment Project Area (the "Project"). The Redevelopment Plan for the Project,
as amended, has 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, the Agency proposes to issue not to exceed $5,000,000 principal amount of
its Redlands Redevelopment Project Area Taxable Tax Allocation Bonds, Taxable Series 2007 A
(the "2007 Bonds"), the proceeds of which will be used to finance low and moderate income
housing related to the Project, on a parity with its Redlands Redevelopment Project Tax
Allocation Refunding Bonds, Series 1998A (the "1998 Bonds") and its Redlands Redevelopment
Project Area Tax Allocation Bonds, Series 2003 A (the -2003 Bonds," and together with the
1998 Bonds referred to herein as the "Prior Bonds"), the repayment of which 2007 Bonds will be
secured from tax increment revenues of the Project on a parity basis with the Prior Bonds; and
WHEREAS, there has been presented to this meeting a form of Second Supplement to
Indenture providing for the issuance of the 2007 Bonds; and
WHEREAS, there has been presented to the Agency a proposed form of Official
Statement describing the Bonds, to be used in, connection with the marketing thereof; and a Bond
Purchase Agreement pursuant to which E. J. De La Rosa & Co. has agreed to purchase the 2007
Bonds; and
WHEREAS, the Agency will use a portion of the unspent proceeds of the 2003 Bonds in
the 2003 Low and Moderate Income Housing Fund to prepay and defease a portion of the 2003
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Bonds pursuant to the terms of an Escrow Deposit and Trust Agreement, the form of which has
been presented to this meeting;
NOW, THEREFORE, THE REDEVELOPMENT AGENCY OF THE CITY OF
REDLANDS DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS:
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Section 1. Approval of Issuance of 2007 Bonds. The issuance of not to exceed
$5,000,000 in principal amount of 2007 Bonds in order to provide moneys to finance low and
moderate income housing relating,to the Project is hereby authorized and approved.
Section 2. Second Supplement to Indenture. The form of the Second Supplement to
Indenture by and between the Agency and U.S. Bank National Association, as trustee (the
"Indenture"), presented at this meeting is hereby approved and the Chairman, the Executive
Director or the Finance Officer is and each of them are hereby authorized and directed, for and in
the name of and on behalf of the Agency, to execute, acknowledge and deliver the Indenture in
substantially the form presented at this meeting with such changes therein as the officer
executing the same may approve upon consultation with Agency Counsel and the Agency's
financial advisor and Bond Counsel, such approval to be conclusively evidenced by the
execution and delivery thereof
Section 3. Appointment of Trustee. U.S. Bank National Association is hereby appointed
as Trustee pursuant to the Indenture, to take any and all action provided for therein to be taken
by the Trustee.
Section 4. Bond Purchase Agreement. The form of Bond Purchase Agreement (the
"Purchase Agreement") as presented to this meeting between the Agency and the Underwriter
and the sale of the 2007 Bonds pursuant thereto upon the terms and conditions set forth herein is
hereby approved, and subject to such approval and subject to the provisions of Section 6 hereof,
the Chairman or any other member of the Agency or Executive Director or his designee is hereby
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authorized and directed to evidence the Agency's acceptance of the offer made by the Purchase
Agreement by executing and delivering the Purchase Agreement in said form with such changes
therein as the officer executing the same may approve and such matters as are authorized by
Section 6 hereof, such approval to be conclusively evidenced by the execution and delivery
thereof.
Section 5. Official Statement. The form of Preliminary Official Statement relating to the
2007 Bonds and presented to this meeting is hereby approved. The preparation of a Final
Official Statement relating to the 2007 Bonds is hereby approved and the Chairman, the
Executive Director or the Finance Officer is and each of them are hereby authorized and
directed, for and in the name and on behalf of the Agency, to execute and deliver a Final Official
Statement containing such changes from the Preliminary Official Statement as may be approved
by the Chairman, the Executive Director, the Finance Officer, Bond Counsel and/or the Agency
Counsel, and the distribution of such Preliminary and Final Official Statements in connection
with the sale of the 2007 Bonds is hereby authorized. The Chairman, the Executive Director or
the Finance Officer is and each of them are also authorized and directed to deem the Preliminary
Official Statement final within the meaning of Rule 15c2-12 of the Securities Exchange Act of
1934 (the "Rule"), omitting only such information as is permitted under such Rule, and to
execute an appropriate certificate stating the Agency's determination that the Preliminary
Official Statement has been deemed final within the meaning of such Rule. The Executive
Director or the Finance Officer is authorized to execute a continuing disclosure agreement on
behalf of the Agency as may be necessary to comply with Rule 15c2-12 of the Securities
Exchange Act of 1934.
Section 6. Executive Director Authorized to Establish Final Terms of Sale by Bonds.
The Executive Director, based on such advice of Staff and the Agency's financial advisor as he
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may deem necessary, is hereby authorized and directed to act on behalf of the Agency to
establish and determine (1) the final principal amount of the various maturities of the 2007
Bonds, which amount shall not exceed $5,000,000 in the aggregate for the 2007 Bonds; (ii) the
final interest rates on various maturities of the 2007 Bonds, provided that such rates shall not
exceed 7.00% per annum for any maturity of the 2007 Bonds; and (iii) the Underwri'ter's
discount for the purchase of the 2007 Bonds, which amount shall not exceed 1.50% of the
principal amount of the 2007 Bonds.
Section 7. Form of 2007 Bonds. The form of the 2007 Bonds as set forth in the
Indenture as presented to this meeting is hereby approved and the Chairman or the Vice
Chairman and the Secretary or any Assistant Secretary are hereby authorized and directed to
execute by manual or facsimile signature, in the name and on behalf of the Agency, such 2007
Bonds in either temporary and/or definitive form in the aggregate principal amount set forth in
the Indenture and all in.accordance with the terms and provisions of the Indenture.
Section 8. Requisitions. The Executive Director or the Finance Officer is and each of
them are hereby authorized and directed to execute one or more requisitions authorizing the
Trustee to pay the costs of issuing the 2007 Bonds from the proceeds of the 2007 Bonds and the
moneys, if any, deposited by the Agency with the Trustee for such purpose, all pursuant to the
Indenture.
Section 9. Rating• Bond Insurance. The Executive Director, or his designee, acting in
the name of the Agency and on its behalf hereby is authorized and empowered to approve the
obtaining of a rating on the 2007 Bonds from one or more nationally recognized rating agencies
and/or a policy of insurance guaranteeing payment of all or a portion of the 2007 Bonds and, if
available and desirable, a reserve fund surety bond to replace a cash reserve fund for the 2007
Bonds upon such terms and conditions as may be approved by the Executive Director or his
designee and the Executive Director or his designee is authorized and empowered to executive
any certificates or agreements that may be required by the issuer of such ratings and insurance
policy or surety bond.
Section 10. Escrow Agreement. The form of Escrow Deposit and Trust Agreement (the
"Escrow Agreement") relating to the use of a portion of the unspent proceeds of the 2003 Bonds
in the 2003 Low and Moderate Income Housing Fund for the prepayment and defeasance of a
portion of the 2003 Bonds as presented at this meeting and by and between the Agency and U.S.
Bank National Association, as Escrow Bank, is hereby approved and any of the Chairman, the
Executive Director or the Finance Officer are hereby authorized and directed, for and in the
name of and on behalf of the Agency, to execute, acknowledge, and deliver the Escrow
Agreement in substantially the form presented at this meeting with such changes therein as the
officer executing the same may approve, such approval to be conclusively evidenced by the
execution and delivery thereof. The Agency further approves the deposit of such funds under the
Escrow Agreement for the purpose of prepaying and defeasing, a portion of the 2003 Bonds.
Section 11. Bond Counsel and Disclosure Counsel. The law firm of Best Best & Krieger
LLP is hereby retained as Bond Counsel and Disclosure Counsel by the Agency in connection
with the issuance and sale of the 2007 Bonds in accordance with the terms of the proposal letter
of said firm on file with the Agency and any of the Chairman, Executive Director or Finance
Officer are hereby authorized to enter into an agreement for such services by said Finn by signing
the proposal letter of said finn by and on behalf of the Agency.
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Section 12. 2007 Bonds to be Issued as Taxable Bonds. Pursuant to the provisions of
Chapter I I of Division 6 of Title I (commencing with Section 5900) of the Government Code of
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the State of California, the Agency hereby determines that the interest payable on the 2007
Bonds will be subject to federal income taxation under the law in existence on the date of
issuance of the 2007 Bonds.
Section 1.3. Other Acts. The Chairman, the Vice-Chairman, the Executive Director, the
Finance Officer and the Secretary of the Agency are hereby authorized and directed,jointly and
severally, to do any and all things to execute and deliver any and all documents which in
consultation with Staff, Bond Counsel and the Agency Counsel, they may deem necessary or
advisable in order to consummate the issuance, sale and delivery of the 2007 Bonds, or otherwise
effectuate the purposes of this Resolution, and any and all. such actions previously taken by such
officers or staff members are hereby ratified and confirmed.
Section 14. Effective Date. This Resolution shall take effect upon adoption.
ADOPTED SIGNED AND APPROVED this 7t' day of August, 2007.
ATTEST:' ��arrison, dtairrnan
Lorrie Poyzer, "t*y
1, Lorrie Poyzer, hereby certify that Resolution No. 410 was duly and regularly adopted
by the Redevelopment Agency of the City of Redlands at a regular meeting thereof held on the
7t" day of August, 2007 by the following vote:
AYES: Members Gilbreath, Gil, Gallagher, Aguilar; Chairperson Harrison
NOES: None
ABSENT: None
ABSTAIN: None
Lorrie'Poyzer, Secr!t )
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