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HomeMy WebLinkAboutRES NO 32-95 RESOLUTION NO. S 2 - 9 5 RESOLUTION AUTHORIZING /~MENDMENT TO RESOLUTION NO. 180-94 CITY OF BAKERSFIELD &SSESSMENT DISTRICT NO. (CALIFORNIA-OAK) 93-3 RESOLVED BY THE CITY COUNCIL (the "Council") OF THE CITY OF BAKERSFIELD (the "City") as follows: WHEREAS, on November 16, 1994, the Council adopted Resolution No. 180-94, titled, "Resolution Determining Unpaid Assessments and Providing for Issuance of Bonds" (the "Resolution of Issuance"), which resolution sets forth the terms and conditions for the issuance of the City of Bakersfield Assessment District No. 93-3 Limited Obligation Improvement Bonds (the "Bonds"); and WHEREAS, since the adoption of the Resolution of Issuance, the amount of capitalized interest necessary as a component of the financing of the Bonds has been reduced, which will reduce the final par amount of Bonds issued; and WHEREAS, since the final par amount of Bonds issued will be reduced, the amount to be held in the Reserve Fund (as defined in the Resolution of Issuance) will also be reduced; and WHEREAS, since the Resolution of Issuance set forth the specific amount of $151,700 to be transferred to the Reserve Fund, the Resolution of Issuance must be amended to reflect the reduced amount to be transferred to the Reserve Fund, in light of the reduction of the capitalized interest amount. NOW, THEREFORE, IT IS HEREBY FOUND, DETERMINED AND ORDERED AS FOLLOWS: 1. Section 11 of the Resolution of Issuance is hereby amended to read as follows: "Upon placement of the proceeds from the sale of the Bonds in the Improvement Fund, the Treasurer shall forthwith transfer the sum of the lesser of (a) 10 percent of the par amount of the Bonds, (b) maximum annual debt service on the Bonds, or (c) 125 percent of average annual debt service on the Bonds, into a Reserve 2/10/95(6372.1) Fund, which shall be designated by the name and/or number of the improvement or assessment district. The money in the Reserve Fund shall be administered by the Treasurer in accordance with and pursuant to the provisions of Part 16 of the Act, provided that only proceeds from (1) investment of moneys in the Reserve Fund and (2) redemption or sale of the properties with respect to which payment of delinquent assessments and interest thereon was paid from the Reserve Fund, shall be credited to the Reserve Fund only to the extent that the amount credited to the Reserve Fund will not result in the Bonds becoming Arbitrage Bonds for the purposes of Section 148 of the Code and the Regulations. To the extent that such proceeds, or any portion thereof, would cause the Bonds to becomeArbitrage Bonds if credited to the Reserve Fund and invested in Higher Yielding Investments, then such proceeds, or portion thereof, shall be credited upon the assessments; provided only that in the event credit of any portion of such proceeds upon assessments not theretofore paid in full in cash would result in moneys in the Redemption Fund remaining therein for a period of more than 12 months, then any portion of such moneys which would otherwise remain in the Redemption Fund for a period of more than 12 months shall be used to call Bonds prior to their maturity date on the earliest call date next succeeding the deposit thereof in the Redemption Fund." 2/10/95(6372.1) ORiGiNAL I HEREBY CERTIFY that the foregoing Resolution was passed and adopted by the City Council of the City of Bakersfield at a regular meeting thereof held on the 22nd day of February 1995, by the following vote: AYES: COUNCILMEMBER DeMOND, CARSON, SMITH, McDF~RMOTT, ROWLES, C~OW, SALVAGGIO NOES: COUNCILMEmBER ~ 0~] O ABS?aXN: COUNCXU . ER ABSENT: COUNCILM~!BER ~OFL~ City Clerk and Ex Officio Clerk of the Council of the City of Bakersfield APPROVED this 22nd Day of February, MAYOR of th~ C~ity of Bakersfield 1995: APPROVED AS TO FOP~M: GROVE, ~ond Counsel COUNTERS I GNED: CITY ATTOP~NEY ty o Bakersfield 2/10/95(6372.1) ORIGINAL