HomeMy WebLinkAbout2001-20 - Assessment District 79 - Beacon BayRESOLUTION NO. 2001- 20
A RESOLUTION OF THE CITY OF NEWPORT BEACH
AUTHORIZING ISSUANCE OF BONDS AND APPROVING THE
FORM OF CERTAIN BOND DOCUMENTS FOR ASSESSMENT
DISTRICT NO. 79 (BEACON BAY)
WHEREAS, this City Council has previously adopted its Resolution of Intention and
initiated proceedings for the acquisition of certain public works of improvement, together with
appurtenances and appurtenant work, in a special assessment district designated as
Assessment District No. 79 (Beacon Bay) (hereinafter referred to as the "Assessment District')
pursuant to the terms and provisions of the "Municipal Improvement Act of 1913 ", being Division
12 of the Streets and Highways Code of the State of California, as adopted and modified by
Ordinance No. 2000 -17 of the City of Newport Beach (together, the "Improvement Act "); and
WHEREAS, this legislative body, to finance the acquisition and construction of such
improvements, declared in its Resolution of Intention to issue bonds against any unpaid
assessments as certified by the Treasurer, such bonds to issue pursuant to the terms and
provisions of the "Improvement Bond Act of 1915 ", being Division 10 of such Code (the 'Bond
Act'); and
WHEREAS, at this time this legislative body desires to set forth the general terms and
conditions relating to the authorization, issuance and administration of such bonds; and
WHEREAS, there has been presented, considered and ready for approval the form of a
bond indenture and a form of Preliminary Official Statement, which documents contain
information including but not limited to the Assessment District and the terms and conditions of
the bonds; and
WHEREAS, there has also been presented for consideration by this legislative body a
form of Bond Purchase Contract authorizing the sale of bonds to M. L. Stern & Co. Inc., as
underwriter;
NOW, THEREFORE, it is hereby Resolved, Determined, and Ordered as follows:
SECTION 1. Recitals. The above recitals are true and correct.
SECTION 2. Bonds Authorized. Pursuant to the Bond Act, this Resolution and the
Bond Indenture (hereafter defined), limited obligation improvement bonds of the City for the
Assessment District designated as "City of Newport Beach Assessment District No. 79 (Beacon
Bay) Limited Obligation Improvement Bonds" (the "Bonds ") in an aggregate principal amount not
to exceed the unpaid assessments are hereby authorized to be issued, sold and delivered. The
date, manner of payment, interest rate or rates, interest payment dates, denominations, form,
registration privileges, manner of execution, place of payment, terms of redemption and other
terms, covenants and conditions of the Bonds shall be as provided in the Bond Indenture as
executed.
SECTION 3. Authorization and Conditions. The City Manager, the City Treasurer, and
such other official of the City as may be designated by the City Council, or any of them (each an
"Authorized Officer "), are hereby authorized and directed to execute and deliver the various
documents and instruments described in this Resolution with such additions and changes as the
Authorized Officer deems advisable, provided that no additions or changes shall authorize an
aggregate principal amount of Bonds in excess of the unpaid assessments. The approval of
such additions or changes shall be conclusively evidenced by the execution and delivery of
such documents or instruments by an Authorized Officer, upon consultation with and review by
the City Attorney and bond counsel.
SECTION 4. Bond Indenture. The form of Bond Indenture with respect to the Bonds
as presented to this City Council and on file with the City Treasurer is hereby approved. The
Authorized Officer is hereby authorized and directed to cause the same to be completed and
executed on behalf of the City.
SECTION 5. Official Statement and Continuing Disclosure Agreement. The City
Council hereby approves the form of the Preliminary Official Statement as presented to this City
Council and on file with the City Treasurer describing the financing described therein, together
with any changes therein or additions thereto deemed advisable by the Authorized Officer.
Pursuant to Rule 15c2 -12 under the Securities Exchange Act of 1934 (the "Rule ") the
Authorized Officer is authorized to determine when the Preliminary Official Statement is deemed
final, and the Authorized Official is hereby authorized and directed to provide written certification
thereof. The execution of the final Official Statement, which shall include such changes and
additions thereto deemed advisable by the Authorized Officer pursuant to the Rule, shall be
conclusive evidence of the approval of the final Official Statement by the City. The Council
hereby authorizes the distribution of the final Official Statement by the purchaser of the Bonds.
The form of Continuing Disclosure Agreement as presented to this City Council and on
file with the City Treasurer is hereby approved. The Authorized Officer is hereby authorized and
directed to cause the same to be completed and executed on behalf of the City, subject to
Section 3 above.
SECTION 6. Sale of Bonds. This City Council hereby authorizes and approves the
sale of the Bonds by negotiation to M. L. Stern & Co. Inc. (the "Underwriter"). The form of the
Bond Purchase Agreement as presented to this City Council and on file with the City Treasurer
is hereby approved and the Authorized Officer is hereby authorized and directed to execute the
Bond Purchase Agreement on behalf of the City upon the execution thereof by the Underwriter,
subject to Section 3 and further subject to the following conditions: the aggregate principal
amount of the bonds is equal to the unpaid assessments within the Assessment District, the
underwriter's discount does not exceed two percent (2 %) and the net interest rate on the bonds
shall not exceed seven percent (7 %) per annum..
SECTION 7. Bonds Prepared and Delivered. Upon the execution of the Bond
Purchase Agreement, the Bonds shall be prepared, authenticated and delivered, all in
accordance with the applicable terms of the Bond Act and the Bond Indenture, and the
Authorized Officer and other responsible City officials are hereby authorized and directed to
take such actions as are required under the Bond Purchase Agreement and the Bond Indenture
to complete all actions required to evidence the delivery of the Bonds upon the receipt of the
purchase price thereof from the Underwriter.
SECTION 8. Annual Assessment Installments. A copy of the resolution confirming the
assessments, which assessments shall constitute the security for the Bonds, shall be delivered
to the City Treasurer, and the City Treasurer shall keep or cause to be kept the record showing
the several installments of principal and interest on the assessments which are to be collected
each year during the term of the bonds. An annual portion of each reassessment, together with
annual interest on said reassessment, shall be payable in the same manner and at the same
time and in the same installment as the general property taxes of the County of Orange and
shall be payable and become delinquent at the same time and in the same proportionate
amount. Each year the annual installments shall be submitted to the County Auditor for
purposes of collection.
SECTION 9. Covenant to Initiate Foreclosure Proceedings. This legislative body does
further specifically covenant for the benefit of the bondholders to commence and prosecute to
completion foreclosure actions regarding delinquent installments of the assessments in the
manner, within the time limits and pursuant to the terms and conditions as set forth in the Bond
Indenture as submitted and approved through the adoption of this Resolution.
SECTION 10. Actions. All actions heretofore taken by the officers and agents of the
City with respect to the establishment of the Assessment District and the sale and issuance of
the bonds are hereby approved, confirmed and ratified, and the proper officers of the City are
hereby authorized and directed to do any and all things and take any and all actions and
execute any and all certificates, agreements, contracts, and other documents, which they, or
any of them, may deem necessary or advisable in order to consummate the lawful issuance and
delivery of the Bonds in accordance with Bond Act, this Resolution, the Bond Indenture, the
Bond Purchase Agreement, the Continuing Disclosure Agreement, and any certificate,
agreement, contract, and other document described in the documents herein approved.
SECTION 11. Effective Date. This resolution shall take effect from and after its
adoption.
PASSED, APPROVED and ADOPTED this 10th day of April, 2001.
AYES: Heffernan, O'Neil, Ridgeway, Glover, Bromberg, Mayor Adams
NOES:
ABSENT: proctor
ATTEST:
y
City Clerk
Mayor
STATE OF CALIFORNIA }
COUNTY OF ORANGE
CITY OF NEWPORT BEACH }
I, LAVONNE M. HARKLESS, City Clerk of the City of Newport Beach, California, do
hereby certify that the whole number of members of the City Council is seven; that the foregoing
resolution, being Resolution No. 2001 -20 was duly and regularly introduced before and adopted by
the City Council of said City at a regular meeting of said Council, duly and regularly held on the
10th day of April, 2001, and that the same was so passed and adopted by the following vote, to wit:
Ayes: Heffernan, O'Neil, Ridgeway, Glover, Bromberg, Mayor Adams
Noes: None
Absent: Proctor
Abstain: None
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the
official seal of said City this 11th day of April, 2001.
(Seal)
City Clerk
Newport Beach, California