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HomeMy WebLinkAboutResolutions 85-265 N.C.S. 08/05/1985.. ~~ .. . '~~ r3 ~~ ~~soi~.ttio~:~ ~1~.~~1~1. C. ~. of tl~~ ~ity of ~~t~luma, Calif~rnia RESOLUTION AUTHORIZING ISSUANCE OF BONDS Assessment District No. 16 NS, Redwood Business Park The City Council of the City of Petaluma resolves: Section l. RECITALS. On July l, 1985, the City Council of the City of Petaluma adopted its resolution of intention to order improvements in Assessment District No. 16 NS, Redwood Bu~iness Park, under the provisions of the Municipal Improvement Act of 1913 (the "Act"). Proceedings taken under the Act led to the levy.of a special assessment by the City Council against parcels af. land within the assessment district in the total amount of $1,250,000.00. These assessments will be recorded in.the office of the County Recorder of the County of Sonoma and thereupon will became a lien on each parcel assessed. The period within which parcel owners might pay their assessments in cash without interest nas been waived, and there remain unpaid assessments in the total amount of $1,250,000.00. Section 2. ISSUANCE OF BONDS. The City Council hereby authorizes the issuance of improvement bonds under the provisions of the Improvement Borid Act of 1915 to represent ungaid asse,ssments. The bonds shall be designated, "Improvement Bonds, Assessment District No. 16 NS, Redwood Business Park, City of Petaluma, Sonoma California, Series No. 1985-2." Bonds shall be issued in denominations of $5,000.00 or integral multiples thexeof, and shall be dated September 3, 1985. Bonds shall be numbered, shall mature and shall bear interest at the rates set forth in the table attached as Exhibit A. Reso. ~5-265' NCS ~ ~ ~' ~6 1 of 6 plus Exhibit Section 3. APPOINTMENT OF PAYING AGENT, REGISTRAR AND TRANSFER AGENT. The City Council hereby appoints the Bank of America Nati~nal Trust and Savings Association as paying agent, registrar and transfer agent for the bonds in accordance with an agreement between the City and Bank of America National Trust and Savings Association heretofore approved by the City.Council. Section 4. FORM AND EXECUTION. Bonds shall be issued as fully registered bonds in the form set f~rth as Exhibit B to this resolution. The bonds shall be signed by the City Treasurer and the City C1erk and the seal of the City shall be affixed. Both signatures and-seal may be reproduced on the boflds by facsimile, but upon its registration or reregistration each bond shall be authenticated by the manual signature o£ the registrar. - The paying agent shall assign to each bond authenticated and registered by it a distinctive letter, or number, or letter and number, and shall maintain a record - thereof which shall be available to the City for inspection. Section 5. FSTABLISHMENT OF SPECIAL FUNDS. For administering the proceeds of the sale of bonds and payment of interest and principal on the oonds, there are hereby established three funds to be known as the improvement fund, the redempti~n fund and the special reserve fund, respectively, for Assessment District No. 16 NS, Redwood Business Park. Section 5.1. IMPROVEA2ENT FIIND. Except as provided in Section 5.3, proceeds of sale of fhe bonds shall be deposited in the improvement fund to be maintained by the City Treasurer. Reso. ~5-265 NCS 2 Page ~_ of 6 plu.~; exhibits Disbursements fr~m the improvement fund shall be made by the - City Treasurer in accordance with the 'oudget of estimated costs and expenses set forth in the engineer's report hereLOfore approved by the City Council, which report and budget are subject to modification by the City Council from time to time as prescribed by the Act. Ssction 5.2. REDEMPTION ~UND. The redemption fund shall be maintained by the City Treasurer. All payments of principal and interest installments on the assessments, together with penalties, if any, shall be deposited in the redemption fund, which shall be a trust fund for the benefit of the bo~dholders. Paymen~ of the bonds at maturity, or at redemption prinr to maturity, and all interest on the 'oonds sha11 be made from the redemption fund. ~ Section 5.3. SP~CIAL RESERVE FUND. The special reserve fund shall be maintained by the City Treasurer. There shall be deposited into tfi e special reserve fund the amount of $87,500.00 from the proceeds of the sale of bonds. The special reserve fund shall be administered as follows: ~. During the term of the bonds, the amount in the special reserve fund shall be available for transfer into the redemption fund in accordance with Section 8808 of the Streets and Highways Code. The amount so advanced shall be reimbursed to the special reserve fund from the proceeds of redemption o~r sale of the parcel for which payment of delinquent assessment installments was made from the special reserve fund. B. If any assessment is prepaid before final ReSo. 85- 265 NCS 3 Page of 6 plus exhibits maturity of the bonds, the amount of principal which the assessee is required to prepay shall be reduced by an amount which is in the same ratio to the original amount of the special reserve fund, together with accrued interest, as the original amount of the prepaid assessment bears to the total amount of assessments originally levied in Assessment District No. .16 NS, Redwood Business Park. This re3uction in the amount of principal prepaid shall be balanced by a transfer from the special reserve fund to the redemption fund in the same amount. C. Whenever required to prevent the reserve fund from exceeding the reserve limitations set by federal statute and regulation, the City Treasurer is directed to transfer accrued i~terest from the special reserve fund to the redemption fund from time to time, and to estaa.lish pro rafa credits against annual installments of assessmen~t principal and interest ~in the same amount in the year following the year of transfer. ~D. When the amount in the special reserve fund equals or exceeds the amount required to retire the remaining unmatured bonds (whether by advance retirement or otherwise), the amount of the special reserve fund shall be transfexred to the redemption fund, and the remaining installments of principal and intexest not yet due from assessea property owners shall be cancelled without payment. Section 6. PAYMENT ON BONDS. The principal and interest ~n the 'AOnds shall be payable at Bank of America Nat.ional Trust and Savings Association, Corporate Agency Division, Post Office Box 37000, San Francisco, CA 94137. Reso 85 2'65 NCS 4 p , , , ,,5~~,~ . . ~~P^~ ~f~6~plus exhibit~ • ~. . , r ~... _ .~ _., . , _ . , . . ~,. . . . _. t t, .:~~~ Principal and interest shall be paid by check, drait or warrant mailed to the registered owner of each bond at the owner's address appearing on the register maintainea by the registrar on the 15th day preceding the ~ate of interest payment ~r maturity of each bond. Section 7. REREGISTRATION. Any bond may be registered to a new owner by completing the assignment ~ertificate on the reverse of the bond and delivering the bond to the registrar. Upon reregistration, any bond may be replaced by one or more bonds of the same maturity and aggregate amount in denominations of $5,000 or-any integral multiple thereof. ---- Section 8. ~OVENANTS. In the event of a default in the payment of any bond or any installment of interest tizereon, bondhoTders sha11 have the remedies set forth in the Improvement Bond Act of 1915. In addition, the City Council makes the following covenants, which shall constitute a contract with the bon~7fiolders : Section 8.1. FORECLOSURE OF LI~NS. If any installment of the princip~al or interest of any assessment levied in Assessment District No. 16 NS, Redwoo~ Business Park, becomes delinquent, the City Couneil shall cause an action to be filed in the Superior Court oF the County of Sonoma to foreclose the lien of the delinquent assessment under the authority of Section 8830 and following of the Streets and Highways Code of the S~ate of California. This action shall be filed not later than one hundred fifty (150) days after the date of delinquency. Section 8.~. ARBZTRAGE~: During the term of the Reso. 85-2-,5 NCS . 5 Pa2'e 5 of 6 plus exhibits bonds, the City will make no use of bond proceeds which, if sucn use had been reasonably expected at the date the bonds are issued, would have caused the bonds to be "arbitrage bonds" within the meazing of Section 103(c~ of the United States Internal Revenue Code of 1954, as amended, and regulations of ~he Internal Revenue•Service authorized thereby. Under #he power and aut6ority conferred upon this Council by the Charter of aaid City. I hereby certify tbe foregoing Resolution was introduced and adopted bq the Council of the City of Petaluma at a(Regular) ~~r~~~~~~~1~xmeeting Approved as to form on the ...._.._.5th-•-...... daq of .••••-••---.~.U.gUSx.........••-•-•• ............. 19_~.`~.., by the following vote: .............•-.....__......._-•-•---••••_-- Ciry Attorney AYES: Bond, Cavanagh, Davis, Woolsey, Tencer, Vice Mayor Balshaw, Mayor Mattei NOES: None ABSENT: No . , ~ ~ ATTEST: •- --•- --•--...: -~•---. ...-• . .. ... .. .. ............................._.... City Cler~ FORM CA 2 1/80 aviar~t COUNCIL FILF REB. No.. 85-265 page 6 of 6 ~ United States of America State of California Connty of Sonoma City of Petaluma REGISTERED REGISTERED Number $ IMPROVEMENT BOND CITY OF PETALUMA ASSESSMENT DISTRICT No. 16 NS REDWOOD BUSINESS PARK SERIES N0. 1985-2 INTEREST RATE MATURITY DATE BOND DATE CUSIP NUMBER September 3, 1985 -__°-_ Under and by virtue of the Improvement Bond Act of 1915, Division l0, of the Streets and Highways Code, (the "Act".), the City of Petaluma, County of Sonoma, State of California, (the "City"), will, out of the redemption fund for the payment of the bonds issued upon the unpaid portion of assessments made for the acquisition, work and improvements more fully.described in proceedings taken pursuant to Resolution of Intention No. , adopted by the City Council of the City of Petaluma on the lst day of July, 1985, pay to or registered assigns, on the maturity date stated above, the principal sum of , in lawful money of the United States of America and in like manner will pay interest from the interest payment date next preceding the date on which this Bond is authenticated, unless this Bond is authenticated and registered as of an interest payment date, in which event it shall bear~ interest from such interest payment date, or unless this Bond is authenticated and registered prior to March 2, 1987, in which event it shall bear interest from its date, until payment of such principal sum shall have been discharged, at the rate per annum stated above, payable semiannually on P~arch 2 and September 2 in each year commencing on March 2, 1987. Both the principal hereof and redemption premium hereon are payable at the principal corporate trust office of Bank of America National Trust and Savings Association-Corporate Agency Division, or its successor, as Transfer Agent, Registrar and Paying Agent, in San Francisco, California, and the interest hereon is payable by check or draft mailed to the owner hereof at the owner's address as it appears on the r.egistration books of the Bank, or at such address as may_have been filed with the Bank for that purpose, as of the fifteenth day immediately preceding each interest payment date. REFERENCE IS MADE TO THE FURTHER PROVISIONS OF THIS BOND SET FORTH IN THE REVERSE SID~ HEREOF WHICH SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS THOUGH FULLY SET FORTH HEREIN. This bond will continue to bear interest af.ter maturity at the rate above stated, provided, it is presented at maturity and payment thereof is refused upon the sole ground that there are not sufficient moneys in said redemption fund with which to pay same. If it is not presented at maturity, interest thereon will run until maturity. This Bond shall not be entitled to any benefit under the Act or the Resolution Authorizing Issuance of Bonds (the "Resolution of Issuance"), or become valid or obligatory for any purpose,~ until ~ / ~ ~ the certificate of authentication and registration hereon endorsed shall have been dated and signed by the Bank. IN WITNESS WHEREOF, said City of Petaluma has caused this bond to be signed in facsimile by the City Finance Officer and Treasurer of said City and by its Clerk, and has caused its corporate seal to be reproduced in facsimile hereon all as of the 3rd day of September, 1985. CITY OF PETALUMA City Clerk City Finance Officer and Treasurer - ('SEAL) Certificate of Authentication and Registration This is one of the Bonds described in the within mentioned Resolution of Issuance, which has been authenticated and registered on Bank of America National Trust and Savings Association, as Transfer Agent, Registrar and Paying Agent By Authorized Officer ~ (REVERSE OF BOND) CITY OF PETALUMA ASSESSMENT DISTRICT N0. 16 NS, REDWOOD BUSINESS PARK ADDITIONAL PROVISIONS OF THE BOND This bond is one of several annual series of bonds of like date, tenor and effect, but differing in amounts, maturities and interest rates, issued by the City of Petaluma under the Act and the Resolution of Issuance, for the purpose of providing means for paying for the improvements described in said proceedings, and is secured by the moneys in said redemption fund and by the unpaid nortion of said assessments made for the payment of said improvements, and, including principal and interest, is payable exclusively out of said fund. . This Bond is transferable by the registered owner. hereof, in person or by the owner's attorney duly authorized in writing, at said office of the Bank, subject to the terms and conditions provided in the Resolution of Issuance, including the payment of certain charges, if any, upon surrender and cancellation of this Bond.. Upon such transfer, a new registered Bond or Bonds, of any authorized denomination,or denominations, of the same maturity, for the same aggregate principal amount, will be issued to the transferee in exchange therefor. Bonds shall be registered onl~ in the name of an ~ individual (including joint owners), a corporation, a partnership or a trust. Neither the City nor the Bank shall be required to make such exchange or registration of transfer of bonds during the fifteen (15) days immediately preceding any interest payment date. The City and the Bank may treat the owner hereof as the absolute owner for all purposes, and the City shall not be affected by any notice to the eontrary. This bond or any portion of it in the amount of $5,000 or any integral multiple thereof, may be redeemed and paid in advance of maturity upon the second day of March or September in any year by giving at least 60 days' notice by registered mail to the registered owner hereof at such owner's address as it appears on the registration books of the Bank and by paying principal and accrued interest together w.ith a premium equal to five percentum of the principal. I hereby certify that the f~llowing is a correct copy of the signed legal opinion of STURGIS, NESS, BRUNSELL & SPERRY a professional corporation, Emeryville, California, on file in my office. City Clerk ~ United States of Amer ica State of California County of Sonoma City of Petaluma REGISTERED Number REGISTER~D $ IMPROVEMENT BOND CITY OF PETALUMA ASSESSMENT DISTRICT No. 16 NS REDWOOD BUSINESS PARK SERIES N0. 1985-2 INTEREST RATE MATURITY DATE BOND DATE CUSIP NUMBER September 3, 1985 -..-°-_ Under and by virtue of the Improvement Bond Act of 1915, Division l0, of the Streets and Highways Code, (the "Act"), the City of Petaluma, County of Sonoma, State of California, (the "City"), will, out of the redemption fund for the payment of the bonds issued upon the unpaid portion of assessments made for the acquisition, work and improvements more fully described in proceedings taken pursuant to Resolution of Intention No. , adopted by the City Council of the City of Petaluma on the lst day of July, 1985, pay to or registered assigns, on the maturity date stated above, the princi~al sum of , in lawfal money of the United States of America and in like manner will pay interest from the intexest payment date next preceding the date on which this Bond is authenticated, unless this Bond is authenticated and registered as of an interest payment date, in which event it shall bear~ ,~' , interest from such interest payment date, or unless this Bond is authenticated and registered prior to March 2, 1987, in which event it shall bear interest from its date, unt.il payment of such principal sum shall have been discharged, at the rate per annum stated above, payable semiannually on P~iarch 2 and September 2 in each year commencing on March 2, 1987. Both the principal hereof and redemption premium hereon are payable at the principal corporate trust office of Bank of America National Trust and Savings Association-Corporate Agency Division, or its successor, as Transfer Agent, Registrar and Paying Agent, in San Francisco, California, and the interest hereon is payable by check or draft mailed to the owner hereof at the owner's address as it appears on the r.egistration books of the Bank, or at such address as may..have been filed with the Bank for that purpose, as of the fifteenth day immediately preceding each interest payment date. REFERENCE IS MADE TO THE FURTHER PROVISIONS OF THIS BOND SET FORTH IN THE REVERSE SID~ HEREOF WHICH SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS THOUGH FULLY SET FORTH HEREIN. This bond will continue to bear interest after maturity at the rate above stated, provided, it is presented at maturity and payment thereof is ref used upon the sole ground that there are not sufficient moneys in said redemption fund with which to pay same. If it is not presented at maturity, intezest thereon will run until maturity. This Bond shall not be entitled to any benefit under the Act or the Resolution Authorizing Issuance of Bonds (the "Resolution of Issuance"), or become valid or obligatory for any purpose,~ until ~ ' . . ;' , the certificate of authentication and registration hereon endorsed shall have been dated and signed by the Bank. _ IN WITNESS WHEREOF, said City of Petaluma has caused this bond to be signed in facsimile by the City Finance Officer and Treasurer of said City and by its Clerk, and has caused its corporate seal to be reproduced in facsimile hereon all as of the 3rd day of September, 1985. CITY OF PETALUMA City Clerk City Finance Officer and Treasurer - (s~L) Certificate of Authentication and Registration This is one of the Bonds described in the within mentioned Resolution of Issuance,•which has been authenticated and registered on Bank of America Nati.onal Trust and Savings Association, as Transfer Agent, Registrar and Paying Agent By Authorized Officer . '. ' ~ , ' (REVERSE OF BOND) CITY OF PETALUMA ASSESSMENT DISTRICT N0. 16 NS, REDWOOD BUSINESS PARK ADDITIONAL PROVISIONS OF THE BOND This bond is one of several annual series of bonds of like date, tenor and effect, but differing in amounts, maturities and interest rates, issued by the City of Petaluma under the Act and the Resolution of Issuance, for the purpose of providing means for paying for the improvements described in said proceedings, and is secured by the moneys in said redemption fund and by the unpaid nortion of said assessments made.for the payment of said improvements, and, including principal and interest, is payable exclusively out of said fund. This Bond is transferable by the registered owner. hereof, in person or by the owner's attorney duly authorized in writing, at said office of the Bank, subject to the terms and conditions provided in the Resolution of Issuance, including the payment of certain charges, if any, upon surrender and cancellation of this Bond. Upon such transfer, a new registered Bond or Bonds, of any authorized denomination,or denominations, of the same maturity, for the same aggregate principal amount, will be issued to the transferee in exchange therefor. Bonds shall be registered onl~ in the name of an individual (including joint owners), a corporation, a partnership or a trust. Neither the City nor the Bank shall be required to make such exchange or registration of transfer of bonds during the ,.~- . fifteen (15) days immediately preceding any interest payment date. The City and the Bank may treat the owner hereof as the absolute owner for all purposes, and the City shall not be affected by any notice to the contrary. This bond or any portion of it in the amount of $5,000 or any integral multiple thereof, may be redeemed and paid in advance of maturity upon the second day of March or September in any year by giving at least 60 days' notice by registered mail to the registered owner hereof at such owner's address as it appears bn the registration books of the Bank and by paying principal and accrued interest together with a premium equal to five percentum of the principal. I hereby certify that the following is a correct copy of the signed legal opinion of 5TURGIS, NEBS, BRUNSELL & SPERRY a professional corporation, Emeryville, California, on file in my _ office. City Clerk ~ MATU RITY SCHEDULE Assessment' Distxict No. 16 NS, Redwood Business Park MATU RITY PRINCIPAL INTERES''P DATE AMOUNT RATE 1987 $5,000.00 5.75$ 1988 60,000.00 6.25 1989 65,000.00 6.75 1990 65,000.00 7.25 1991 70,000.00 7.75 1992 75,000.00 8.25 1993 85,000.00 8.50 1994 90,000.00 8.75 1995 100,000.00 9.00 1996 105,000.00 9.10 1997 115,000.00 9.20 1998 125,000.00 9.25 1999 140,000.00 9035 2000 150,00~.00 9.35 TOTAL: $1,250,000.00 ti