HomeMy WebLinkAboutJPFA Minutes 1997-01-06SRJPFA MINUTES (Special) 1/6/97
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IN THE COUNCIL CHAMBER OF THE CITY OF SAN RAFAEL, MONDAY, JANUARY 6, 1997, AT 8:55
PM
Special Meeting: Present: Albert J. Boro,
Board Chairman
San Rafael Joint Powers Financing Authority Cyr Miller, Board
Member
Gary O. Phillips, Board Member
Absent: Paul M. Cohen, Board Member
Barbara Heller, Board Member
Others Present: Jeanne M. Leoncini, Board Secretary
Board Members Cohen and Heller stated they were disqualified from this item due
to conflict of interest, and left the Council Chamber.
1.1997 AUTHORITY REVENUE BONDS: (Adm. Svcs.) - File FA -4
Administrative Services Director Ken Nordhoff reported the Financing Authority was
formed as a Joint Powers entity between the City of San Rafael and the San Rafael
Redevelopment Agency in 1992, stating its primary purpose was to look at
alternative ways of issuing debt and looking at financing arrangements, as
opposed to traditional bonds which are done through City or Redevelopment
actions.
Mr. Nordhoff stated the items before the Board included issuing Revenue Bonds in
the amount of $5,285,000, noting the proceeds would be used to pay off the
refunding bonds the City will issue as part of the new Reassessment District,
which would ultimately retire the bonds associated with the Kerner Boulevard,
Sun Valley, and Civic Center/Northgate Assessment District bonds. He noted
it would also pay for the cost of issuing the bonds, the Bond Counsel, the
Underwriters, and attorney costs. Mr. Nordhoff explained a Reserve Account
would be set up to handle any delinquencies to our Assessment to make sure the
bonds can be paid when needed.
Mr. Nordhoff stated that if the Board wished to approve the transaction, there were
several Resolutions to be approved. The first was merely a clean-up item, as
there had been confusion in the by-laws about the actual legal title of the
Authority; the second Resolution was the contract for the Bond Counsel, the
firm of Sturgis, Ness, Brunsell & Assaf; the third was the authority to purchase
the Refunding Bonds issued by the City, and issue the 1997 Revenue Bonds of
the Financing Authority; and the last was a Resolution allowing for the
preparation of a draft and a final Official Statement, which is a document placed
in the financing community to market the bond instrument. The Official
Statement includes the refinancing structure, legal opinions, financial data,
and the sources and uses of funds. Mr. Nordhoff stated the Board's approval
would also allow the Mark Pressman firm to price and buy the bonds, and have
that transaction completed approximately January 28, 1997.
Mr. Nordhoff stated the interest rate savings being anticipated on these bonds,
relative to the existing bonds, was somewhere between 2%-3% on each issue, and
he expected assessment reductions to flow through between 6%-18% to the property
owners.
Mr. Nordhoff stated staff recommended approval of all the Resolutions.
a.RESOLUTION AMENDING ARTICLE I, SECTION 1 OF THE BY-LAWS OF THE AUTHORITY IN THE
MATTER OF THE OFFICIAL NAME OF THE AUTHORITY.
Board Member Phillips moved and Board Member Miller seconded, to adopt the Resolution.
RESOLUTION NO. FA -97-1 - RESOLUTION AMENDING ARTICLE I, SECTION 1 OF THE
BY-LAWS OF THE AUTHORITY IN THE MATTER OF THE OFFICIAL NAME OF THE AUTHORITY
- 1997 AUTHORITY REVENUE BONDS (The Official Name of the Authority Shall be
"SAN RAFAEL JOINT POWERS FINANCING AUTHORITY").
AYES: BOARD MEMBERS: Miller, Phillips & Chairman Boro
NOES: BOARD MEMBERS: None
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ABSENT/DISQUALIFIED: BOARD MEMBERS: Cohen & Heller (due to conflict
of interest).
b.RESOLUTION APPROVING AGREEMENT FOR LEGAL SERVICES
Board Member Miller moved and Board Member Phillips seconded, to adopt the Resolution.
RESOLUTION NO. FA -97-2 - RESOLUTION APPROVING AGREEMENT FOR LEGAL SERVICES
- 1997 AUTHORITY REVENUE BONDS (WITH STURGIS, NESS, BRUNSELL & ASSAF).
AYES: BOARD MEMBERS:
NOES: BOARD MEMBERS:
ABSENT/DISQUALIFIED: BOARD MEMBERS:
of interest).
Miller, Phillips & Chairman Boro
None
Cohen & Heller (due to conflict
c. RESOLUTION AUTHORIZING PURCHASE OF CITY REFUNDING BONDS AND ISSUANCE OF AUTHORITY
REVENUE BONDS
Board Member Phillips moved and Board Member Miller seconded, to adopt the Resolution.
RESOLUTION NO. FA -97-3 - RESOLUTION AUTHORIZING PURCHASE OF CITY REFUNDING
BONDS AND ISSUANCE OF AUTHORITY REVENUE BONDS - 1997 AUTHORITY REVENUE BONDS
(UNION BANK OF CALIFORNIA, NA, TRUSTEE).
AYES: BOARD MEMBERS:
NOES: BOARD MEMBERS:
ABSENT/DISQUALIFIED: BOARD MEMBERS:
of interest).
Miller, Phillips & Chairman Boro
None
Cohen & Heller (due to conflict
d. RESOLUTION AUTHORIZING PRELIMINARY OFFICIAL STATEMENT AND OFFICIAL STATEMENT
Board Member Miller moved and Board Member Phillips seconded, to adopt the Resolution.
RESOLUTION NO. FA -97-4 - RESOLUTION AUTHORIZING PRELIMINARY OFFICIAL
STATEMENT AND OFFICIAL STATEMENT - 1997 AUTHORITY REVENUE BONDS.
AYES: BOARD MEMBERS:
NOES: BOARD MEMBERS:
ABSENT/DISQUALIFIED: BOARD MEMBERS:
of interest).
Miller, Phillips & Chairman Boro
None
Cohen & Heller (due to conflict
There being no further business to come before the Joint Powers Financing Authority,
the meeting was adjourned at 9:00 PM.
JEANNE M. LEONCINI, Board Secretary
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