HomeMy WebLinkAboutCC Resolution 6721 (Phoenix American Inc.)RESOLUTION NO. 6721
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SAN RAFAEL CONCERNING THE ISSUANCE OF INDUSTRIAL
DEVELOPMENT REVENUE BONDS FOR PHOENIX AMERICAN INCORPORATED
WHEREAS, the City Council of the City of San Rafael (the
"City") has, by Ordinance No. 1441 (the "Ordinance") adopted by the
City Council on October 4, 1982, enacted the City of San Rafael
Economic Development Revenue Bond Law (the "Law), constituting Title
3, Chapter 3.30 of the Municipal Code of the City, authorizing and
establishing the procedure for the sale and issuance of revenue
bonds by the City for the purpose of providing financing to partici-
pating parties for economic development purposes, and authorizing
the appropriate officers of the City to take any and all actions and
execute and deliver any and all agreements and documents necessary or
advisable to consummate the lawful issuance and delivery of the bonds
authorized by the Law; and
WHEREAS, Phoenix American Incorporated (the "Participating
Party") has requested the financial assistance of the City in con-
nection with the acquisition and construction of an office building
in the City known as 1890 Francisco Boulevard (the "Facility") and
has presented to the City a general description of the Facility; and
WHEREAS, the City desires to assist the Participating Party in
the financing of the Facility; and
WHEREAS, the Participating Party requires satisfactory assurance
from the City that the proceeds of the sale of bonds of the City will
be made available to it to assist in the financing of the Facility,
and the City requires satisfactory assurance from the Participating
Party that certain costs of issuing such bonds will be paid by the
Participating Party.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City
of San Rafael, as follows:
Section 1. The City Council of the City finds and determines
that the financing of the Facility will be in furtherance of the
public purposes set forth in the Ordinance by promoting the full and
gainful employment of residents of the City; the full and efficient
utilization and modernization of existing industrial, commercial and
business facilities; and the growth of the City's tax base through
increased property values and consumer purchasing; and that it is
necessary and essential and a proper public purpose that the
Facility be financed at the earliest practicable date.
URYURC-FINAIRI
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Section 2. The City Council states its present intent to issue,
at one time or from time to time, economic development revenue bonds
of the City (the "Bonds") in an aggregate principal amount not to
exceed $5,000,000 for the Participating Party to finance the
Facility; provided that, prior to commencing the preparation of
documentation for the issuance of the Bonds, the City and the
Participating Party shall have entered into a letter agreement in
substantially the form attached hereto, with such additions or
deletions as are considered necessary or appropriate by officers of
the City and the Participating Party. The City Clerk of the City
is hereby directed to transmit said letter agreement in substan-
tially the form attached hereto to the Participating Party, and the
City Manager of the City (or his deputy) is hereby authorized to
execute said letter agreement and all other necessary implementation
documents for and in the name and on behalf of the City.
Section 3. The Bonds shall be payable solely from the revenues
to be received by the City pursuant to loans or other agreement(s)
to be entered into by the City and the Participating Party in con-
nection with the financing of the Facility, and shall not be
deemed to constitute a debt or liability of the City under any
constitutional, charter or statutory debt limitation. Neither the
faith and credit nor the taxing power of the City shall be pledged
to the payment of the principal of or premium, if any, or interest
on the Bonds.
Section 4. Issuance of the Bonds shall be subject to the
following conditions: (a) the City and the Participating Party
shall have first agreed to mutually acceptable terms for the Bonds
and the sale and delivery thereof and mutually acceptable terms
and conditions for the loans or other agreement(s) for the finan-
cing of the Facility; and (b) all requisite governmental approvals
shall have first been obtained, or if they cannot be obtained,
the Participating Party shall demonstrate to the satisfaction of
the City that any remaining approvals are expected to be obtained.
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Section 5. It is the purpose and intent of the City that this
Resolution constitute official action toward the issuance of
obligations by the City for the Facility in accordance with
Section 1.103-8(a)(5)(iii) of the Regulations promulgated by the
United States Department of Treasury under Section 103 of the
Internal Revenue Code of 1954, as amended.
Section 6. This Resolution shall take effect immediately
upon its passage.
I, JEANNE M. LEONCINI, Clerk of the City of San Rafael, hereby
certify that the foregoing Resolution was duly and regularly intro-
duced and adopted at a regular meeting of the Council of said City
on Tuesday , the Third day of January ,
19843, by the following vote, to wit:
AYES: COUNCILMEMBERS:Breiner, Frugoli, Nave, Russom & Mayor Mulryan
NOES: COUNCILMEMBERS:None
ABSENT: COUNCILMEMBERS:None
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LEONCIN , City Clerk
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