HomeMy WebLinkAbout91-009 - ResolutionsRE~DI/3I~0NND. FD 91-009
A RESOLUTION OF THE BOARD OF DIPaCTORS OF THE RANC}tO
O3CAMIqGA FIRE ~ON DISTRICT, RANC}tO CIEAM1qGA,
CALIFORNIA, (1) AUIHCRIZING THE ISSUANCE OF 1991-1992 ~X
AND I~N~]q~RS~}~I~T AGRRFMMqT, (2) APPROVING PRk~.TMINARY
OFFICIAL ~, C~Fa'I~'ICATES PURfI{ASE AGRRNMMqT, AND
RESOLVED, by the Board of Dire of the Rancho Cucamonga Fire
Protection District as follows:
~, pursuant to Sections 53850 et seq. of the Govel,,.~ent Code of
the State of California (the "Code"), contained in Article 7.6 thereof,
entitled "Temporary Borrowing", on or after the first day (being July 1) of
any fiscal year, the Board of Directors of the Rancho Cucamonga Fire
Protection District (the "Board") ba-~ found and determined that borrc~ing is
needed for the requirements of the Rancho Cucamonga Fire Protection District
(the "District"), a fire protection district duly organized and existing under
the laws of the State of California, to satisfy obligations payable frcm its
General Fund, and that it is appropriate that said borrowing be undertaken at
this time by the issuance of tempor~ Notes therefor in anticipation of the
receipt of taxes, revenues and other moneys to be received by the District for
the General Fund of the District during or allocable to the Fiscal Year 1991-
1992; and
NOW, THEREFORE, the Board of Directors of the Rancho Cacamonga Fire
Protection District hereby finds, determines, declares and further resolves as
fol lows:
SECTION 1: Authorization of Issuance of Notes; Terms Tnereof. The
Board hereby authorizes the issuance of its Notes in an amount not to exceed
$2,000,000.00 principal amount under Sections 53850 et seq. of the Code,
designated "Rancho Cucamonga Fire Protection District 1991-92 Tax and Revenue
Anticipation Notes" (the "Notes"); to be numbered from 1 consecutively u~
in order of issuance; to be in the denominations of $5,000.00 or integral
multiples thereof; to be dated the date of delivery thereof; to mature
(without option of prior redemption) no more than 364 days from said date of
delivery; and to bear interest, payable at maturity and computed on a 30-day
month/360-day year basis, at the rate or rates determixBd at the time of sale
thereof, in accordance with the Certificates Purcha~e Agreement (hereinafter
described), but not in excess of twelve percent (12%) per annum. Both the
principal of and interest on the Notes shall be payable, only upon surrender
thereof, in lawful money of the United States of America at the principal
office of the Fiscal Agent as defined herein.
SECTION 2: l.{mitation on Maximum Amount of Notes. The principal
amount of Notes issued pursuant hereto, when added to the interest payable
thereon, shall not exceed eighty-five percent (85%) of the estimated amount of
the uncollected taxes, revenue and other moneys of the District for the
General Fund of the District attributable to Fiscal Year 1991-1992, and
available for the payment of the Notes and the interest thereon (as
hereinafter provided).
Rasolution No. FD 91-009
Page 2
SECTION 3: Form of Notes. The Notes shall be issued in registered
form, registered in the name of the Fiscal Agent, and shall be substantially
in the form and substance set forth in Exhibit "A" attached hereto and by
reference incorporated herein, the blanks in said form to be filled in with
appropriate words and figures.
SEL~F/ON 4: Deposit of Note Proceeds. The moneys so borrowed shall
be deposited in the General Fund of the District, to be withdrawn and expended
for any lawful purpose for which the District is authorized to expend moneys,
including, but not limited to current expenses, capital expenditures and the
discharge of any obligations or indebtedness of the District.
S~CTION 5: Payment of Notes.
(A) Source of Payment. The principal amount of the Notes, together
with the interest thereon, shall be payable from taxes, inccee, revenue, cash
receipts and other moneys which are received by the District during Fiscal
Year 1991-1992 and which are available therefor. The Notes shall be a general
obligation of the District, and to the extent the Notes are not paid fren the
Pledged Revenues def]/Bd below, the Notes shall be paid with interest thereon
from any other moneys of the District lawfully available therefor, as provided
herein and by law.
(B) Pledged Revenues. As security for the payment of the principal
of and interest on the Notes, the District hereby pledges an amount equal to
fifty percent (50%) of the principal amount of the Notes from the first
unrestricted revenues (as hereinafter defined) received by the District in the
month ending February, 1992; and an amount equal to fifty percent (50%) of the
principal amount of the Notes, plus an amo~unt sufficient to pay interest on
the Notes, from the first unrestricted revenues received by the District in
the month ending May, 1992 (such pledged amounts being hereiDafter called the
"Pledged R~venues"). The term "unrestricted revenues" shall mean taxes,
income, revenue, camh receipts, and other money of the District as provided in
Section 53856 of the Code, which are intended as receipts for the General Fund
of the District and which are generally available for the payment of current
expenses and other obligations of the District.
The principal of the Notes and the interest thereon shall be a first
lien and charged against and shall be payable frc~ the first moneys received
by the District from such Pledged Revenues, as provided by law.
In the event that there are insufficient unrestricted revenues
received by the District to permit the deposit into the Repayment FUnd, as
hereinafter defined, of the District of the full amount of Pledged Revenues to
be deposited frc~ unrestricted revenues in a month, then the amount of any
deficiency shall be satisfied and made up from the first additional moneys of
the District lawfully available for the repayment of the Notes and the
Resolution No. FD 91-009
Page 3
The Pledged Revenues will not be pledged to secure any iraebted~ess
other than the Notes. None of the Pleck/ed Revenues shall be available for the
payment of principal and interest with respect to any Tax and Revenue
Anticipation Notes attribute_hie to any of the Participants, as hereinafter
defined, and the District acknowledges and agrees that it shall not be
entitled to any payment of principal and interest on the Notes from tba
revenues of any otbar participant.
(C) Deposit of Pledged Revenues in Repayment Fund. There is hereby
created a special fund to be hold by the District designated the "1991-92 Tax
and Revenue Anticipation Notes Repayment FUnd" (herein called the "Repayment
Fund") and applied as directed in this Resolution. Any moneys placed in the
Repayment Fund shall be for the sole benefit of the holders of the Notes, and
until the Notes and all interest thereon are paid or until provision has been
made for the payment of the Notes at maturity with interest to maturity, the
moneys in the Repayment Fund shall be applied only for the purpose for which
the Repayment FUnd is created.
(D) Disbursenent; Investment of Moneys in Repayment Fund. From the
date this Resolution takes effect, all Pledged Pavenues shall, when received,
be deposited into the R~payment Fund. On or before the date on which payment
is required on the Notes, the moneys in the Repayment Fund shall be
transferred to the Fiscal Agent, as registered owner of the Notes, for
remittal in accordance with the Fiscal Agency Agreement. Any moneys remaining
in the Repayment Fund after such payments have been made, or provision for
such payments have been made, shall be transferred to the District.
All moneys held by the District in the Repayment Fund, if not
invested, shall be held in time or denar~ deposits as public funds and shall
be secured at all times by bends or other obligations which are authorized by
law as security for public deposits, of a market value at least equal to the
amount required by law. Moneys in the Repayment Fund, to the greatest extent
possible, shall be invested in investments authorized for public agencies
pursuant to Sect6ion 53601 of the Gove~x~fent Code of California, and the
proceeds of any such investments shall be deposited in the Repayment Fund.
S~CTION 6: Fiscal Agent Agreement; Authorized Officers; Reimburse-
ment Agreement. The Notes shall be delivered and placed in trust with State
Street Bank & Trust Cumpany of California, N.A., as Fiscal Agent (the "Fiscal
Agent") pursuant to a fiscal agent agreenent or a paying agent and servicing
agreement (the "Fiscal Agent Agreement"). The Fiscal Agent, pursuant to the
Fiscal Agent Agreement, will execute and deliver certificates of participation
(the "Certificates"), each representing the proportional, undivided ownership
interest of the owner thereof in the Notes and other Notes of the other public
agencies who are signatories to the Fiscal Agent ~jreement ( the
"Participants"). The City Manager, Administrative Services Director and
Financial Officer are hereby each designated as an Authorized Officer of the
District (the "Authorized Officer"), and are hereby authorized and directed to
enter into a Fiscal Agent Agreenent with the foregoing provisions on behalf of
the District.
Resolution No. FD 91-009
Page 4
The District and other Participants may decide to provide for credit
enhancement for the Certificates in the form of a letter of credit or similar
instnment. Should the District so decide, the Authorized Officers are hereby
authorized to enter into a reimbarsement agreement in the form on file with
the Secretary of the Board.
SECTION 7: Execution of the Notes. The Authorized Officers are
hereby authorized to execute the Notes by manual or facsimile signature, and
the Secretary is hereby authorized to countersign the same by manual or
facsimile signature and to affix the seal of the District thereto either
manually or by facsimile impression thereof, and said officers are hereby
authorized to cause the blank spaces thereof to be filled in as may be
appropriate.
S~CTION 8: Approval of Sale of Notes and Certificates. The sale of
the Notes and the sale of the Certificates are hereby authorized pursuant to
the terms of a Certificates Purchase Agreement relating thereto to be
presented to the District by the financial institution purchasing the
Certificates (the "Underwriter"), to be determined upon consultation with the
Financial Consultant, hereinafter designated. The Authorized Officer is
hereby authorized to execute said Certificates Purchase Agreement and the
Secretary is hereby authorized to attest to his or her signature so long as
the/riterest rate on the Notes does not exceed eight percent (8%) and so long
as the discount on the Certificates does not exoeed one percent (1%) of the
par amount of the Notes. The Authorized Officer is further authorized to
determine the maximm principal amount of Notes to be sold to the
Underwriters, not to exceed $2,000,000.00.
SECTION 9: Appointment of Bond Counsel. Buchalter, Nemer, Fields &
Younger, a Professional Law Corporation, is hereby approved as Bond Oounsel
for the issuance of the Notes.
SECTION 10: Appointment of Financial Consultant. Sutro & Co.,
Incorporated, is hereby appointed as Financial Consultant for the issuance of
the Notes, and that certain agreement, entitled "Financial Consultant
Agreement" (the "Financial Consultant Agreement" ), by and among the
Participants and the Financial Consultant, and the Authorized Officer is
hereby authorized to execute the Financial Consultant Agreement and the
Secretary is hereby authorized to attest to his or her signature, the form of
which Financial Consultant Agreement is on file with the Secretary. The
Financial Consultant is hereby authorized and requested to respond to the
Request for Proposal and sukm%it a bid to purchase the Certificates.
SECTION 11: Authorization of Preliminary Official Statement and
Official Statement. The facts contained in the Preliminary Official Statement
on file with the Secretary are true and correct in all material respects and
the Preliminary Official Statement emits no statenent of a material fact
necessary to make the Preliminary Official Statement not misleading in light
of the circumstances under which it was made; provided, however, that the
Preliminary Official Statement does not contain final interest rates with
Resolution No. FD 91-009
Page 5
respect to the Notes and that amounts set forth therein are subject to
changes. The Authorized Officer is authorized to approve corrections and
additions to the Preliminary Official Statement, acting with the advice of the
Financial Consultant, the Underwriter and Bond Counsel, by supplement or
amendment thereto, or otherwise as may be appropriate; provided either that
any such corrections or additions shall be necessary to cause the information
contained in the Preliminary Official Statement to conform with facts material
to the Notes or to requirements of pr_oceea~_~ngs of the District, or that such
corrections or additions are of form rather than of sukstarse.
SECT/ON 12: Distribution of Preliminary Official Statement and
Official Statement. Tne Financial Consultant and the Underwriter are
authorized and directed to cause a Preliminary Official Statenent and an
Official Statement relating to the Notes and the Certificates, including
information with regard to the District, to be used in connection with the
offering and sale of the Notes and tba Certificates which shall be in
cc~pliance with Rule 15c2-12 of the Securities and Exchange Cxatu~Hssion under
the Securities Exchange Act of 1934, as amended.
SECTION 13: General. All actions heretofore taken by the officers
and agents of the District with respect to the Notes are hereby approved,
confirmed and ratified. Tne Authorized Officer and other proper officers of
the District are hereby authorized and directed to do any and all things and
take any and all actions including bat not limited to those described herein,
which they, or any of them, may deem necessary or advisable in order to
consummate the lawful ism~ance and delivery of the Notes in accordance with
this Resolution.
SECTION 14: No Arbitrage; Tax Exemption. The District shall not
take, nor permit, nor suffer to be taken by the Fiscal Agent or otherwise, any
action with respect to the proceeds of the Notes which would cause the Notes
to be or beccme "arbitrage bonds" within the me~_ning of Section 148(a) of the
Internal Revenue Code of 1986, as anex~ed (the "Tax Code").
In addition, the District shall not take, nor permit, nor suffer to
be taken by the Fiscal Agent or otherwise, any action which would cause the
interest on the Notes to be subject to Federal incc~e taxation under the Tax
Code.
S}.~fION 15: Federal Guarantee Prohibition. The District shall take
no action, nor permit, nor suffer any action to be taken if the result of the
same would be to cause the Notes to be "federally qp~a~anteed" within the
meaning of Section 149(b) of the Internal Revenue Code of 1986, as amended
(the "Tax Code").
S~iTION 16: Exemption from Rebate. The District intends to qualify
under the "small gove/-~u~ental unit" exception of Section 148(f)(4)(C) of the
Tax Code to be exempt from the rebate requirements of Section 148(f)(2) of the
Tax Code, and, therefore, the aggregate face amount of all tax-exempt
obligations (other than private activity bonds) issued by the District (and
Resolution No. FD 91-009
Page 6
all subordinate entities thereof) during 1991, which is the calendar year in
which the Notes are issued, is not reasone~bly expected to exceed
$5,000,000.00.
S~CTION 17: Covepants and Warranties. It is hereby coychanted and
warranted by the District that all representations and recitals contained in
this Resolution are true and correct, and its appropriate officials have duly
taken all proceedings necessary to be taken by them, and will take any
additional proceedings necessary to be taken by them, for the levy, collection
and enforcement of the secured property taxes pledged under this Resolution in
accord_ance with the law and for carrying out the provisions of this
Resolution.
SEETION 18: Costs and Expenses. The District covenants and agrees
to pay its share of the costs and expenses incurred in connection with the
execution and delivery of the Notes and the Certificates.
PASSED, APPROVtI), and ADO~ this 15th day of May, 1991.
Alexaraer, Buquet, Williams, Wright
AYES:
NOES: None
ABSM~: Stout
Dek~a J. M__ , Secretary
I, DE~RA J. ADAMS, S~CRETARY of the Rancho Cucamcr~ja Fire Protection
District do hereby certify that the foregoing Resolution was duly passed,
approved, and adopted by the Board of Directors of the Rancho Cucamonga Fire
Protection District, at a regular meeting of said Board held on the 15th day
ofMay, 1991.
Resolution No. FD 91-009
Page 7
Executed this 16th day of May, 1991 at Rancho Cucamong~, California.
Resolution No. FD 91-009
Page 8
RANCHO CUCAMONGA FIRE PROTECTION DISTRICT,
COUNTY OF SAN BERNARDINO,
STATE OF CALIFORNIA 1991-92
TAX AND REVENUE ANTICIPATION NOTE
No. R-1 July 3, 1991
Principal Amount: $2,000,000
FOR VALUE RECEIVED, the Rancho Cucamonga Fire Protection
District (the "District"), County of San Bernardino, State of California,
acknowledges itself indebted to and promises to pay to State Street Bank and
Trust Company of California, N.A., at the principal office of the State Street
Bank and Trust Company of California, N.A., Los Angeles, California, the
principal sum of Two Million Dollars ($2,000,000) in lawful money of the United
States of America, on June 30, 1992 together with interest thereon at the rate of
five and twenty-five hundredths percent (5.25%), per annum in like lawful money
of the United States of America from the date hereof until maturity. Both the
principal of and interest on this note shall be payable only upon surrender of this
note as the note shall fall due; provided, however, that no interest shall be
payable for any period after maturity during which the holder hereof fails
properly to present this note for payment.
It is hereby certified, recited and declared that this note is made,
executed and given pursuant to and by authority of a resolution duly passed and
adopted on May 15, 1991, by the Board of Directors of the Rancho Cucamonga
Fire Protection District (the "District"), under and by authority of Article 7.6
(commencing with Section 53850) of Chapter 4, Part 1, Division 2, Title 5,
California Government Code, and that all acts, conditions and thing required to
exist, happen and be performed precedent to and in the issuance of this note have
existed, happened and been performed in regular and due time, form and manner
as required by law, and that this note, together with all other indebtedness and
obligations of the District, does not exceed any limit prescribed by the
Constitution or laws of the State of California.
Resolution No. FD 91-009
Page 9
"'- The principal mount of the notes, together with the interest
shall be payable from taxes, income, revenue, cash receipts and other moneys
which are received by the District during Fiscal Year 1991-92. As security for
the payment of the principal of and interest on the notes, the District ha~ pledged
an mount equal to fifty percent (50%) of the principal amount of the notes from
the first unrestricted revenues received by the District in the month ending
February, 1992; and an amount equal to fifty percent (50%) of the principal
amount of the notes, plus an amount sufficient to pay interest on the notes, from
the first unrestricted revenues received by the District in the month ending May,
1992 (such pledged amounts being hereinafter called the "Pledged Revenues"),
and the principal of the notes and the interest thereon shall be payable from the
Pledged Revenues, and to the extent not so paid shall be paid from any. other
moneys of the District lawfully available therefor.
IN WITNESS WHEREOF, the Board of Directors of the Rancho
C'ucamonga Fire Protection District has caused this note to be executed by its
City Manager, Administrative Services Director and Financial Officer of the
District and countersigned by the Secretary, or their duly designated deputies,
which signatures may be facsimile signatures (provided that one of such signatures
shall be manually affixed) and has caused a facsimile of its official seal to be
printed hereon this 3rd day of July, 1991.
'City Manager
Administrative Services Director/
Financial Office
Countersigned: