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HomeMy WebLinkAboutCC Resolution 8806 (Mariposa Rd Assessment District)RESOLUTION NO. 8806 RESOLUTION ORDERING SALE OF BONDS MARIPOSA ROAD ASSESSMENT DISTRICT The City Council of the City of San Rafael resolves: The City Council accepts the offer of Stone & Youngberg (attached to this resolution and by reference incorporated in it) to purchase all of the improvement bonds to be issued in Mariposa Road Assessment District. The City Council directs the sale and delivery of the bonds to the offeror in accordance with the terms and conditions stated in the offer. I, JEANNE M. LEONCINI, Clerk of the City of San Rafael, California, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a regular meeting of the Council of said City held on the 21st day of December, 1992, by the following vote, to wit: AYES: COUNCILMEMBERS: Breiner, Cohen, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Shippey n . JFM.LEON�,Ci Clerk STONE & YOUNGBERG MEMBERS- PACIFIC STOCK EXCHANGE ol December 21, 1992 City Council City of San Rafael 1400 Fifth Avenue P. O. Box 151560 San Rafael, CA 94915-1560 Attention: Ransom E. Coleman Re: Offer to Purchase Bonds in the Amount of $233,687.57 City of San Rafael Limited Obligation Improvement Bonds Mariposa Road Assessment District Series No. 1-1993 Dear Councilmembers: Pursuant to discussions with City staff, bond counsel, and our investigation and analysis of the captioned bond issue, Stone & Youngberg ("the Underwriter") hereby offers to purchase all of the above referenced bonds (the 'Bonds") subject to the following conditions: The Bonds shall be issued pursuant to the provisions of the Improvement Bond Act of 1915. 2. The Bonds shall be as described in the Resolution of Issuance for the Bonds. 3. The par value of the Bonds shall be in the amount of $233,687.57 and the Bonds shall mature and bear interest rates as set forth in Exhibit A. 4. The Bonds shall be issued in denominations of $5,000, or in integral multiples thereof as may be requested by the Underwriter, with the exception of one Bond in an odd amount due in 1994. 5. All Bonds shall be issued in registered form in accordance with instructions to be determined by the Underwriter prior to closing. Bank of America NT & SA shall act as Paying Agent, Registrar, and Transfer Agent. 6. The Bonds shall be dated January 6, 1993 and shall be delivered on or about their date. 7. Interest on the Bonds will be payable commencing on March 2, 1993 and semi-annually thereafter each September 2 and March 2 until maturity. 8. The City shall establish from the proceeds of the Bonds a reserve fund equal to five percent (5%) of the principal amount of the Bonds. The reserve fund shall be administered pursuant to the Resolution of Issuance for the Bonds, as well as pursuant to applicable federal laws and regulations. ONE CALIFORNIA STREET • SAN FRANCISCO, CALIFORNIA 94111 . (415) 981-1314 C 0 110VI City of San Rafael December 21, 1992 Page 2 9. The City shall award the sale of the Bonds to the Underwriter at its Council meeting of December 21, 1992. 10. The purchase price for the Bonds shall be ninety-seven percent (97%) of par, plus accrued interest, if applicable. The purchase price shall be paid in full upon delivery of the Bonds to the Underwriter. Payment for the Bonds shall be made in immediately available funds. The City shall be responsible for the costs of issuance of the financing including bond printing, registrar/paying agent fee, bond counsel fee, and other miscellaneous expenses. 11. The City will deliver to the Underwriter at closing in forms suitable to the Underwriter: (a) The unqualified approving legal opinion of Sturgis Ness Brunsell & Sperry of Emeryville, Bond Counsel. The legal opinion shall be printed on the Bonds at no charge to us. (b) A no -litigation certificate of the City. 12. The obligations of the Underwriter to accept delivery of and pay for the Bonds on the Closing Date shall be subject, at the option of the Underwriter to the following additional conditions: (A) At the Closing Date, the Resolution of Issuance and any other applicable agreements shall be in full force and effect, and shall not have been amended, modified or supplemented except as may have been agreed to in writing by the Underwriter, and there shall have been taken in connection therewith, with the issuance of the Bonds and with the transactions contemplated thereby and by this Purchase Contract, all such actions as, in the opinion of Bond Counsel, shall be necessary and appropriate; (B) Between the date hereof and the Closing Date, the market price or marketability of the Bonds at the initial offering prices shall not have been materially adversely affected, in the judgment of the Underwriter (evidenced by a written notice to the City terminating the obligation of the Underwriter to accept delivery of and pay for the Bonds) by reason of any of the following: (a) Legislation enacted (or resolution passed) by the Congress of the United States of America or a decision rendered by a court established under Article III of the Constitution of the United States of America or by the Tax Court of the United States of America, or an order, ruling, regulation (final, temporary or proposed), press release or other form of notice issued or made by or on behalf of the Treasury Department or the Internal Revenue Service of the United States of America, with the purpose or effect, directly or indirectly, of imposing federal income taxation upon the interest as would be received by the owners of the Bonds; City of San Rafael December 21, 1992 Page 3 (b) Legislation enacted (or resolution passed) by the Congress of the United States of America, or an order, decree or injunction issued by any court of competent jurisdiction, or an order, ruling, regulation (final, temporary or proposed), press release or other form of notice issued or made by or on behalf of the Securities and Exchange Conunission, or any other governmental agency having jurisdiction of the subject matter, to the effect that obligations of the general character of the Bonds, or the Bonds, including any or all underlying arrangements, are not exempt from registration under or other requirements of the Securities Act of 1933, as amended, or that the Resolution of Issuance is not exempt from qualification under or other requirements of the Trust Indenture Act of 1939, as amended, or that the issuance, offering or sale of obligations of the general character of the Bonds, or of the Bonds, including any or all underwriting arrangements, as contemplated hereby or otherwise is or would be in violation of the federal securities laws as amended and then in effect; (c) Any amendment to the Federal or California Constitution or action by any Federal or California court, legislative body, regulatory body or other authority materially adversely affecting the tax status of the City, its property, income, securities (or interest thereon), validity or enforceability of the reassessments; or (d) Any event occurring, or inforrnation becoming known which, in the judgment of the Underwriter makes untrue or misleading in any material respect any statement or information contained in the Offering Memorandum prepared by the Underwriter. Respectfully submitted, STONE & YOUNGBERG LIM APPROVED AND ACCEPTED CITY OFF SAN RAFAELL Title: Date: • �f KS:ssj (WPP/174C) P.4 1 1 0.11 $233,687.57 CTTY OF SAN RAFAEL 11MTTED OBLIGATION IMPROVEMENT BONDS MARIPOSA ROAD DISTRICT' SERIFS 1-1993 Initial Public Maturity Date Principal Interest Offering (September 2) Amount Rate Price 1994 $13,687.57 4.50% 100% 1995 10,000.00 5.00% 100% 1996 10,000.00 5.25% 100% 1997 10,000.00 5.50% 100% 1998 10,000.00 5.75% 100% 1999 15,000.00 6.00% 100% 2000 15,000.00 6.20% 100% 2001 15,000.00 6.40% 100% 2002 15,000.00 6.50% 100% 2003 15,000.00 6.60% 100% 2004 20,000.00 6.70% 100% 2005 20,000.00 6.80% 100% 2006 20,000.00 6.80% 100% 2007 20,000.00 6.90% 100% 2008 25,000.00 6.90% 100% The average interest rate is 6.578%. The net interest cost including an underwriting discount of 3.0% is 6.885%.