HomeMy WebLinkAboutCC Resolution 7417 (Kener Blvd Assessment District)RESOLUTION NO. 7417
RESOLUTION ORDERING SALE OF BONDS
KERNER BOULEVARD REFUNDING ASSESSMENT DISTRICT
The City Council of the City of San Rafael resolves
The City Council accepts the offer of WULFF, HANSEN &
CO., (attached to this resolution and by reference incorporated in
it), to purchase all of the refunding bonds to be issued in the
Kerner Boulevard Refunding 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.
Notwithstanding any of the foregoing, Ransom E. Coleman,
Finance Director of the City, is authorized to execute a contract
for the sale of the bonds to Wulff, Hansen & Co. on the following
conditions:
1. The owners of at least 500 of the property area
subject to assessment sign valid consents and waivers
to the reassessment;
2. Mr. Coleman is satisfied with the pricing of the
bonds and their interest rates; and
3. Mr. Coleman is informed that the unqualified legal
opinion of Sturgis, Ness, Brunsell & Sperry approving
the bonds will be forthcoming.
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 18th day of August, 1986, by the
following vote, to wit:
AYES: COUNCILMEMBERS: Breiner, Frugoli, Nave & Mayor Mulryan
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: Russom
JE 41 Ax �.L ONCINl� City Clerk
vNTUEFF, HANSEN & CO.
ESTABLISHED 1931
INVESTMENT 13,kXXF.7RS
201 SANSOME STREET, 7TH FLOOR
SAN FRANCISCO 94104
(4151 421-8900
August 27, 1986
City Council
City of San Rafael
San Rafael, California
Re: City of San Rafael
Kerner Boulevard Assessment District
Aunicipal Financing
Reassessment and Refunding of 1986
Dear Council Members:
3N::cialAssessment Wulff, Hansen & Co. hereby offers to purchase all, but
nd Revenue Bonds not less than all, bonds to be offered by the City of
San Rafael according to the Refunding Act of 1984 for
1915 Act bonds, Division 11.5 of the California Streets
and Highways Code (the "ACT") to represent the cost of
ou"ty
;ty refunding the Kerner Boulevard Assessment District
pecial district bonds ( the "Bonds") .
Net Interest Cost: 8.1863520.
r�
iNF HALF A CENTURY HELPING CALIFORNIANS
We make this offer
under
the following terms and
ommercial
conditions:
,duslrial
asidential
ospital
Amount of Bonds:
Not to
Exceed $6,445,000.00.
ublic
Form of Bonds:
Registered
bonds
to be
issued
serially. Bond denominations
of
�ireetopening
,eater
$5,000
to $100,000.
Vater
3ndscaping
Interest Rates:
1987
7.50
1997
8.00
ldewalks
orbs
1988
7.50
1998
8.00
:utters
1989
7.50
1999
8.00
ighting
1990
7.75
2000
8.00
nainage
,afflccontrol
1991
7.75
2001
8.00
diking
1992
7.75
2002
8.00
Qeters
1993
8.00
2003
8.00
ledestrial malls
,arks
1994
8.00
2004
8.00
iayground
1995
8.00
2005
8.00
!ocreation
1996
8.00
refinancing
renovation
hedging
Price:
97.50%
of par value
plus
accrued
reclamation
interest.
Term:
19 years.
Average Interest
Cost:
7.9830.
Net Interest Cost: 8.1863520.
r�
iNF HALF A CENTURY HELPING CALIFORNIANS
City Council
City of Sari Rafael
August 27, 1986
Page Two
Approximate
Maturity Schedule:
1987 100,000.00
1997 340,000.00
1988 170,000.00
1998 365,000.00
1989 185,000.00
1999 395,000.00
1990 200,000.00
2000 425,000.00
1991 215,000.00
2001 460,000.00
1992 230,000.00
2002 495,000.00
1993 250,000.00
2003 535,000.00
1994 270,000.00
2004 580,000.00
1995 290,000.00
2005 625,000.00
1996 315,000.00
Date of Bonds and
Delivery Date:
Approximately August 29, 1986.
Foreclosure Clause:
City to covenant
to commence judicial
foreclosure of delinquent
assessments
within 150 days of any delinquency.
Reserve Fund:
The City shall
establish from the
proceeds of the
Bonds a reserve fund
equal to 6% of the
principal amount of
the Bonds. In our
view, it is reasonably
required for this
issue, and vital to
the marketing
of the Bonds, that
proceeds from the
investment of monies
in said reserve fund should be retained
in said fund until
the amount in said
fund equals 10%
of the original par
value of the bond
issue.
Redemption Premium: 5% of unmatured principal.
Paying Agent and
Registrar: Bank of America, San Francisco,
California.
No Litigation: A no litigation certificate of the City
shall accompany the bonds at delivery.
City Council
City of San Rafael
August 27, 1986
Page Three
Legal Opinion: The opinion of Sturgis, Ness, Brunsell &
Sperry, Emeryville, California, without
qualification and without expense to us
to be printed on the bonds.
Conditions Precedent: The obligations of the Underwriters to
accept delivery of and pay for the Bonds
on the Closing Date shall be subject, at
the option of the Underwriters, to the
following additional conditions:
(a) The Resolution 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 in writing by the
Underwriters, 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 Sturgis, Ness,
Brunsell & Sperry, Emeryville,
California, Bond Counsel for the
City, 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 set forth in
the Final Statement shall not have
been materially adversely affected
in the judgment of the Underwriters
(evidenced by a written notice to
the City terminating the obligation
of the Underwriters to accept
delivery of and pay for the Bonds)
by reason of any of the following:
City Council
City of San Rafael
August 27, 1986
Page Four
(1)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 t h e T r e a s u r y
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;
(2)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 Commission, 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
City Council
City of San Rafael
August 27, 1986
Page Five
amended, or that the Resolution
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
comtemplated hereby or by the
Final Statement or otherwise is
or would be in violation of the
federal securities laws as
amended and then in effect;
(3) The withdrawal or downgrading of
any rating of any securities of
the City or the Redevelopment
Agency of the City by a national
municipal bond rating agency;
(4) 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
assessments or the ability of
the City to construct or acquire
the improvements as contemplated
by the Resolution and the Final
Statement; or
(5)Any event occurring, or
information becoming known
which, in the judgment of the
Underwriters makes untrue or
misleading in any material
respect any statement or
information contained in the
Final Statement concerning the
City, the Improvement Project,
the landowner, or the property
assessed.
City Council
City of San Rafael
August 27, 1986
Page Six
City Covenant: The City shall covenant to take any
action within its powers to maintain the
tax-exempt status of the Bonds.
Place of Delivery: Bank of America, N.T. & S.A. , San
Francisco, California.
Time of Delivery: Not later than 48 hours after the City
notifies the undersigned that the bonds
are ready for delivery. If the subject
bonds are not delivered by 5:00 p.m. on
the third day after the aforementioned
delivery date, Wulff, Hansen & Co.
reserves the right to renegotiate the
price and/or the rate of interest.
Expiration: This offer expires noon, August 28,
1986.
Very truly yours,
WULFF, HANSEN & CO.
Mark Pressman
Vice President
ie 'Ercole
S nior Vice President
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