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HomeMy WebLinkAboutResolutions 9918 N.C.S. 09/19/1983~. ~ :~ • . . - Re~Oll,~ti4Y~ NO:~ `~~18 let: C. S. of the City of Petaluma, California AUTHORIZING ISSUANCE OF BONDS SPECIAL ASSESSMENT DISTRICT N0. 10 NS •.~ The City Gouncil of the City of Petaluma resolves: Section 1. RECITALS. On April 20, 1981, the City Council of the City of Petaluma adopted its resolution of intention to order improvements in Spec'ial Assessment District No. 10 NS under the provisions of the Municipal Improvement Act of 1913 (the "Act"). The resolution of intention was later amended. Proceedings taken under the Act led to the levy of a special assessment by the City Council against parcels of land within the assessment district in the total amount of $2,257,554.00. These assessments the County Recorder of the County 1983, and thereupon became a lien period within which parcel owners cash without interest was waived, assessments in the total amount o were recorded in the office of of Sonoma on September 16, on each parcel.assessed. The might pay their assESSments in and there remain unpaid E $2,257,554.00. Section 2. ISSUANCE OF BONDS. The City Council hereby authorizes the issuance of improvement bonds under the provisions of the Improvement Bond Act of 1915 ~to represent unpaid assessments. The bonds shall be designated, "Improvement Bonds, Special~Assessment District No. 10 NS, City of Petaluma, ,_, ~•c. . ~A'•S~i.~~ F'.A L~i KY: ~ !j ..: r F ! as ~ ~ , ~: .'! ~';;'._;,Sonoma`'~Gountty, California. Bonds shall be issued in ~OVNCIL PILB RL8. NO. denominations of $5000 or integral multiples thereof, and shall be dated October 2, 1983. Bonds shall be numbered, shall mature and shall bear interest at the rates stated in the following table: DATE OF BOND DENOM- ANNUAL INTEREST MATURITY NUMBERS INATION AMOUNT RATE-~ 1985 . A1 $2,554.00 $7,554.00 .00 A2 5,000.00 1986 B1- B16 5,000.00 80,000.00 .00 1987 C1- C17 5,000.00 85,000.00 .00 1988 Dl- D19 5,000.00 95,000.00 -.00 1989 El- E21 5,000.00 105,000.00 .00 1990 F1- F23 5,000.00 115,000.00 .00 1991 Gl- G26 5,000.00 130,000.00 -.00 1992 H1- H28 5,000.00 140,000.00 .00 1993 J1- J31 5,000.00 155,000.00 .00 1994 K1- K34 5,000.00 170,0OO.OQ -.00 1995 Ll- L38 5,000.00 190,0OO.OQ .00 1996 M1- M42 5,000.00 210,000.00 .00 1997 Nl- N47 5,000.00 235,000.00 .00 1998 P1- P51 _ 5,000.00 255,000.00 .00 1999 ~ Q1- Q57 5,000.00 285,000.00 .00 ~ $2,257,554.00 Section 3. APPOINTMENT OF PAYING AGENT, REGISTRAR AND TRANSFER AGENT. The City Council hereby appoints the City Finance Officer and Treasurer as paying agent, registrar and transfer agent for. the bonds. Section 4. FORM AND EXECUTION.~ Bonds shall be issued as fully registered bonds in the form set forth as Exhibit A to this resolution. The bonds shall be signed by the City ~~~ ~~~CIL ~ILg 2 kES. NO. ~ T"r° Treasurer and the City Clerk and the seal of the City shall be affixed. Both signatures and seal may be reproduced on the bonds by facsimile, but upon its registration or reregistration each bond shall be authenticated by the manual signature of the registrar. ~ Section 5. ESTABLISHMENT OF SPECIAL FUNDS. For administering the proceeds of the sale of bonds and payment of interest and principal on the bonds, there are hereby established three funds to be known as the improvement fund, the redemption fund and the special reserve fund, respectively, for Speeial Assessment District No, l0 NS. Section 5.1. IMPROVEMENT FUND. Except as provided°in Section 5.3, proceeds of sale of the bonds, together with all amounts paid on the assessments pr.ior to bond issuance, shall be deposited in the improvement fund to be maintained by the City Treasurer. Disbursements from the"improvement fund shall be made by the City Treasurer in accordance with the budget of estimated costs and expenses set forth in the engineer's report heretofore approved by the Council, which report and budget are subject to modification by the Council from time to time as prescribed by the Act. ~ 5ection 5.2. REDEMPTION FUND. The redemption fund shall be maintained by the paying agent of the City. All 3 ,.. _,~ ar4~~ ,~~5~ _~ r~r•~--- ~-,L~:~, hi0~ 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 bondholders. Paymen~t of the bonds at maturity, or at redemption prior to maturity, and all interest on the bonds shall be made from the redemption fund. Section 5.3. SPECIAL RESERVE FUND. The special reserve fund shall be maintained by the City Treasurer. There shall be deposited into the special reserve fund the amount of $180,604.00 from the proceeds of the sale of bonds. The special reserve fund shall be administered as follows: A. 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 or 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 the final 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 origi~nal amount of the special reserve fund, together with accrued interest, as the original ~.~.'a.~--IL PILE'' 4 ~~ Res. no, ~~ amount of the pxepaid as.sessment bears to the total amount of . assessments originally levied in Special Assessment District No. 10 NS. This reduction 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 requir'ed to prevent the reserve fund from exceeding the reserve limitations set.by federal statute and regulation, the City. Treasurer is directed to transfer accrued interest from the special reserve fund to the redemption fund from time to time, and to establish pro rata credits against annual installments of assessment 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~r'etire the rema;ining unmatured bonds ~(whether by advance retirement" or o'therwise) , the amount of the special reserve fund shall~be.transferred to the redemption fund, and the remaining installments of principal and interest not y.et due from assessed pr.operty owners s:fiall be cancelled without payment. . Section 6. PAYMENT ON BONDS. The principal and interest on~the bonds sha11 be payable at~City Hall, Post and and English 5treets, Petaluma, CaTifornia 94953. Principal and interest shall be paid by check, draft or warrant mailed to the JrCh""'Clt RiLL ----~;._.. .-syy~, h.ES. NO. registered owner of each bond at the owner'.s address appearing on the register maintained by the registrar on the 15th day preceding the date of interest payment.or maturity of each bond. - Section 7. REREGISTRATION. Any bond may be registered to a new owner by completing the assignment certificate 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 $5000 or any integral multiple thereof. Section 8. COVENANTS. In the event of a default in the payment of any bond or any installment of interest thereon, bondholders shall 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 bondholders: Section 8.1. FORECLOSURE~OF LIENS. If any installment of the principal or inte~rest of any assessment levied in Special Assessment District No. 10 NS becomes delinquent, the Council 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 State of California. This action shall be filed not later than one ."'^IL FILK 6 . . . rvc. ~ hundred fifty (150) days after the date of delinquency. Section 8.2. ARBITRAGE. During the term of the bonds, the City will make no use of bond proceeds which, if such use had been reasonably expected at the date the bonds are issued, would have caused the bonds to be "arbitrage bonds" within the meaning of Section 103(c) of the United States Internal Revenue Code of 1954, as amended, and regulations of the Internal Revenue Service authorized thereby.~ Under the power and authority conferred upon this Counc~ by the Charter of said City. I hereby certify the fore;oing Resolucion was introduced and adopted by tht ~ Counc~ of the City of Petaluma at a(Regular) (~ (~) meeting A rove ~ o / on the :..--- l~h::....... day of ....... ~1?t~ber.:.._...----..~. ., 19:$3., by the •-••- {ollowing vote: - - -------------'---------------/ AYES: Per~y, Bond,. Cavanagh; Vice Mayor Harberson, Mayor Ma:tt NU~S: ~v~iie ~ ABSENT: B~tta.g ', , Balshaw ` a- . . . _ ................... . .. HTTEST: - - - - - ,...... , ...__ .....:.. ... ............ .... •--.,.... _..._..,. _ .....----........... .._..--•--.._. City Clerk ~~~ . = ~Mayor IMPROVEI/~ENT BOND CITY OF PETALUMA SPECIAL ASSESSMENT DZSTRICT 10 NS SERIES N0. 1983-1 Under and by virtue of the Improvement Bond Act of 1915, Division 10, of the Streets and Highways Code, the City of Petaluma, County of Sonoma, State of Galifornia, will, out of the~redemption fund for the payment of the bonds issued upon, the assessments made for the improvements in Special Assessment DiStrict 10 NS more fully described in the Resolution of Intention No. 9127 N.C.S., passed by the City Council of the City of Petaluma on the 20th day of April, 1981, as later amended, pay to or registered assigns, on July 2, 1985, the principal sum of $5000 with interest thereon at the rate of ~ per annum, all as her.einafter specified, and at the office of the City Finance Officer and Treasurer, the transfer agent, registrar and paying agent in Petaluma, California. ~ THIS BOND SHALL NOT BECONE VALID FOR ANY PURPOSE UNTIL THE CERTIFICATE OF AUTHENTICATION AND REGISTRATION HEREON SHALL HAVE BEEN DATED AND SIGNED BY THE CITY FINANCE OFFICER AND TREASURER. The interest is payable semiannually, to wit: on the second day of January and July in each year hereafter, by check or draft mailed to the owner hereof at his address as it appears on the registration books of the City (or at such address as may : ~^...~.,:rC ar~e EXHIBIT r~~~ No~ have been filed with the City for that purpose) as of the 15th day pr.eceding each interest payment date; provided,that the first interest payment date shall be January 2, 1985, and thereafter interest shall be paid semiannually. If this bond is authenticated and registered before. January 2, 1985, it shall bear interest from its date. Otherwise, this bond.shall bear interest from the interes.t payment date on or next preceding the date of its authentication and registration. Additional provisions of this bond are set forth on the reverse hereof. 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 C1erk, and has caused its Clerk to affix hereto in facsimile its corporate seal, all on the 2nd day of October, 1983. CITY OF PETALUMA Clerk ~ City Finance Officer and Treasurer (SEAL) Certificate of Authentication and Registration This bond has been registered on , 19_ City F'inance Officer and Treasurer BY Authorized Officer c G :'uCIL FILS 2 RL=B. NO. ~ (REVERSE OF BOND) CITY OF PETAL:UMA SPECIAL ASSESSMEN,T DISTRICT 10 NS 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 said law with the purpose of providing means for paying for the improvements described in said Resolution of Intention, as later amenaed, and is secured by the money in said redemption fund and by the unpaid assessments ma~de for the payment of said improvements, and, including principal and interest, is payable exclusively out of said fund. The bonds are issuable only as fully registered bonds in denominations of $5,000 or integral multiples thereof, except Bond No. A-l in the principal amount of $ Bonds may be exchanged, at said office of the City Finance Officer and Treasurer, for the same aggregate principal amount of registered bonds of the same maturity but of other authorized denominations. ~ This bond is transferable by the registered owner hereof,.in person or by his attorney duly authorized in writing, at said off°ice of the City Finance Officer and Treasurer. Upon such transfer, a new registered bond or bonds, of any authorized denomination, of the same maturity, and for the same aggregate principal amount, will be issued to the transferee in exchange therefor. Bonds shall be registered only.in the name of an C°C7UNCIL ~ILH REB.. NO. ,,,,,~ D individual (including joint owners), a corporation, a partne,rship or a trust. ~ The City shall not be required to make such exchange or registration of transfer of bonds during the fifteen .(15) days i:nmediately preceding any interest,payment date. The City may treat the owner hereof as the absolute owner for all purposes notwithstanding any notice to:the contrary. ' This bond will continue to bear interest after maturity at the rate herein stated; provided, it is presented at maturity and payment thereof is refused upon the sole grourids that there is not sufficient money in said redemption fund with which to pay the bond. If the bond is not presented on maturity, interest thereon will run to maturity. 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 January or July in any year by the giving of notice provided under said ~aw and by paying principal and accrued interest together with a premium equal to five pexcent of the principal. 2p ~!L FIL6 , r,cS, NO. '~~