HomeMy WebLinkAboutRES NO 124-86RESOLUTION NO. 124-86
A RESOLUTION OF THE COUNCIL OF THE CITY OF
BAKERSFIELD, CALIFORNIA, DETERMINING UNPAID ASSESSMENTS
AND PROVIDING FOR ISSUANCE OF BONDS IN THE MATTER
OF CITY OF BAKERSFIELD ASSESSMENT DISTRICT NO. 86-3
RESOLVED, by the Council of the City of Bakersfield,
California, that:
WHEREAS, on June 18, 1986, this Council passed and
adopted Resolution of Intention No. 1005, to order acquisition
and improvements (herein "Improvements") under and pursuant to
the provisions of the Municipal Improvement Act of 1913 and there-
in provided that serial bonds would be issued thereunder pursuant
to the provisions of the Improvement Bond Act of 1915, reference
to said Resolution of Intention hereby being made for further
particulars; and
WHEREAS, notice of the recordation of the assessment and
of the time within which assessments were to be paid in cash was
duly published and mailed in the manner provided by law, and the
time so provided for receiving payment of assessments in cash was
waived by the owners of all the property proposed to be assessed,
and the Finance Director of the City of Bakersfield, the official
who has been designated by this Council as Collection Officer for
cash payments of said assessments, has filed herewith for presen-
tation to the Council a list of all assessments which remain un-
paid; and
WHEREAS, this Council duly considered said list and
determined that the same was an accurate statement thereof;
NOW, THEREFORE, iT IS HEREBY DETERMINED AND ORDERED, as
follows:
1. List of Unpaid Assessments. The assessments now re-
maining unpaid are as shown on said list and on Exhibit "A"
attached hereto and by this reference is made a part hereof;
aggregate amount thereof is $2,845,000, and for a particular
the
description of the lots or parcels of land bearing the respective
assessment numbers set forth in said list, reference is hereby
made to the assessment and to the diagram recorded in the office
of the Director of Public Works of this City after confirmation
thereof by this Council.
2. Issuance of Bonds. Bonds in the aggregate principal
amount of $2,845,000 shall be issued as hereinafter provided upon
the security of said unpaid assessments in accordance with and
under and pursuant to the provisions of said Resolution of Inten-
tion and the proceedings thereunder duly had and taken. The
bonds herein provided to be issued shall be known as "Improvement
Bonds, City of Bakersfield, Improvement District No. 86-3", and
shall be dated the date of delivery in 1986, if other than August
13, 1986. Said bonds shall be issued in fully registered form,
be numbered and of the denominations and mature in the amounts
and on the dates set forth in Exhibit "B" attached hereto and by
this reference made a part hereof. The Bank of America, N.T. &
S.A., San Francisco, California, is hereby designated Transfer
Agent, Registrar and Paying Agent (the "Agent") for the City with
respect to said Bonds.
3. Payment. of Bonds. Said bonds shall bear interest at
the rate or rates determined by this Board at the time of sale of
said bonds (not to exceed twelve percent [12%] per annum, or such
higher rate of interest as may be authorized by applicable law at
the time of sale of such bonds), payable commencing on March 2,
1987, and semiannually thereafter on September 2 and March 2 of
each year to maturity.
Each bond shall bear interest from the interest payment
date next preceding the date on which it is authenticated, unless
authenticated on a March 2 or a September 2, in which event it
shall bear interest from such interest payment date, or, unless
authenticated prior to March 2, 1987, in which event it shall
bear interest from its date; provided, however, that if at the
2
time of authentication interest is in default, each bond shall
bear interest from the date to which interest has been paid.
Each bond will continue to bear interest after maturity
at the rate stated therein, proviaed it is presented at maturity
and payment thereof is refused on the sole ground that there is
not sufficient money in the redemption fund with which to pay
same; if it is not presented at maturity, interest thereon will
run only until maturity. The principal and redemption premium of
said bonds shall be payable in lawful money of the United States
of America at the principal office of the Agent, or its successor,
in San Francisco, California, upon the presentation and the
surrender of said bonds as the same become due and payable.
Interest on said bonds shall be paid to the registered owner by
check or draft mailed to the address entered in the registry book
provided for herein as of the 15th day
interest payment date.
4. Form. The bonds shall be
immediately preceding each
substantially in the form
set forth in Section 8652
State of California.
5. Execution.
of the Streets and Highways Code of the
Said bonds shall be executed on behalf
of the City and its official seal by the Treasurer of the City of
Bakersfield and by its City Clerk of said City, whose signatures
shall be reproduced on the bonds by engraved, printed or litho-
graphed facsimile thereof, and the official seal may be placed on
the bonds in like manner; such signing and sealing shall consti-
tute and be a sufficient and binding execution of each and every
one of said bonds. The bonds shall then be delivered to the
Agent for authentication by it.
If any officer whose signature appears on said bonds
ceases to be such officer before the authentication and delivery
of said bonds to the purchaser thereof, such signature shall be as
valid as if such officer had remained in office until the authen-
tication and delivery of said bonds.
6. Authentication. Only such of the bonds as shall
bear thereon a certificate of authentication substantially in the
form below, manually executed by the Agent, shall be valid or ob-
ligatory for any purpose or entitled to the benefits of this Reso-
lution, and such certificate of the Agent shall be conclusive evi-
dence that the bonds so authenticated have been duly executed,
authenticated and delivered hereunder and are entitled to the
benefits of this resolution. The Agent's certificate of authenti-
cation on any bond shall be deemed to be executed by it if signed
Dy an authorized officer or signatory of the Agent, but it shall
not be necessary that the same officer or signatory sign the cer-
tificate of authentication on all of the bonds issued hereunder.
FORM OF CERTIFICATE OF AUTHENTICATION AND REGISTRATION
This is one of the bonds, described in the within men-
tioned Resolution of Issuance, which was registered on ,
198
BANK OF AMERICA, National
Trust and Savings Association
Transfer Agent, Registrar
and Paying Agent
Authorized Officer
7. Preparation and Delivery of Bonds. The Treasurer of
said City is hereby directed to cause said bonds to be prepared in
accordance with this resolution and to deliver same upon their
completion and execution to the Agent who shall authenticate and
deliver said bonds to the purchaser thereof, upon receipt of the
purchase price therefor, and upon the performance of the condi-
tions contained in the accepted bid for the bonds.
8. Improvement Fund. Said Treasurer shall keep an
improvement fund designated by the name and/or number of the
improvement or assessment district, into which shall be placed the
proceeds received from the sale of said bonds, including any
premium (except that any interest accrued from the date of the
bonds to the date of delivery thereof shall be placed in the
redemption fund provided for herein). All moneys in said fund
shall be withdrawn only upon checks or warrants of the City of
Bakersfield and shall be applied exclusively to the payment of the
cost of the acquisitions and/or construction of the improvements
described in the proceedings under and pursuant to said Resolution
of Intention, as now of hereafter changed or modified by appropri-
ate legal proceedings, and all expenses incidental thereto. Any
surplus remaining after payment of all costs and all legal
charges, claims and expenses shall be used as set forth in saia
proceedings.
9. Redemption Fund. Said Treasurer shall keep a re-
demption fund designated by the name of the bonds, into which
shall be placed any accrued interest for the period from the date
of said bonds to the date of delivery thereof and all sums re-
ceived from the collection of unpaid penalties thereon, and from
which fund disbursement shall be made to pay the principal or ad-
vance redemption price of the bonds and the interest due thereon.
10. Reserw~ Fund. Upon placement of the proceeds from
the sale of said bonds in the improvement fund, the City Treasurer
shall forthwith transfer the sum of $199,150.00 from said fund
into a special reserve fund, which shall be designate~ by the
name and/or number of the improvement or assessment district. The
money in said special fund shall be administered by the City
Treasurer in accordance with and pursuant to the provisions of
Part 16 of the Improvement Bond Act of 1915, provided only that
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 re-
5
sult in the bonds becoming "arbitrage bonds" as defined in Section
103 (c) of the Internal Revenue Code of 1954, as amended, and
regulations promulgated by the United States Department of the
Treasury thereunder. To the extent that such proceeds, or any
portion thereof, would cause the bonds to become "arbitrage bonds"
if credited to the reserve fund and invested at a higher yield
than permitted Dy said Section 103 (c) and said regulations, then
such proceeds, or portion thereof, shall be credited upon t~e
assessments, provided only that in the event crediting of any por-
tion of such proceeds upon assessments not theretofore paid in
full in cash would result in moneys in the bond redemption ~und
remaining therein for a period of more than twelve (12) months,
then any portion of such proceeds which would otherwise remain in
the bond redemption ~und for a period of more than twelve (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.
11. Collection of Unpaid Assessments. The unpaid
assessments shown on
on, shall be payable
said list, together with the interest there-
in annual series corresponding in number of
serial maturities of the bonds issued.
each unpaid assessment shall be payable
date of maturity of each of the several
An annual proportion of
in each year preceding the
series of bonds issued,
sufficient to pay the bonds when due, and such proportion of each
unpaid assessment coming due in any year, together with the annual
interest thereon, shall be payable in the same manner and at the
same time and in the same installments as the general taxes on
real property are payable, and become delinquent at the same times
and in the same proportionate amounts and bear the same propor-
tionate penalties and interest after delinquency as do the general
taxes on real property. All sums received from the collection of
said unpaid assessments and of the interest and penalties thereon
shall be placed in the redemption fund provided for herein.
12. Redemption Prior to Maturity. Each bond outstanding
may be redeemed and paid in advance of maturity upon the second
day of March or September in any year by giving at least 60 days
notice and by paying the principal amount thereof together with a
premium equal to 3% of the principal plus interest to the date of
advanced maturity, unless sooner surrendered, in which event said
interest will be paid to the date of payment, all in the manner
and as provided in the Improvement Bond Act of 1915.
The City Treasurer shall call for redemption and retire
bonds upon prepayment of assessments in amounts sufficient there-
for, or whenever sufficient surplus funds are available therefor
in the redemption fund. In selecting bonds for retirement, the
lowest numbered bonds of the various annual maturities shall be
chosen pro rata in a manner intended to disturb as little as pos-
sible the relationship of unpaid assessments to bonds outstand-
ing.
13. Exchange of Bonds. Any bond, upon surrender thereof
at the principal office of the Agent, together with an assignment
duly executed by the registered owner thereof or his attorney or
legal representative in such form as shall be satisfactory to the
Agent, may, at the option of such owner, be exchanged for an
aggregate principal amount of bonds equal to the principal amount
of the bond so surrendered, and of any authorized denomination or
denominations.
The City shall make provision for the exchange of bonds
at the principal office of the Agent.
14. Negotiability, Registration and Transfer of Bonds.
The Agent shall keep books for the registration, and for the
registration of transfers, of bonds as provided in this resolution
which shall at all times be open to inspection by the City. The
transfer of any bond may be registered only upon such books upon
surrender thereof to the Agent together with an assignment duly
executed by the owner or his attorney or legal representative in
7
such form as shall be satisfactory to the Agent. Upon any such
registration of transfer the City shall execute and the Agent
shall authenticate and deliver in exchange for such bonds a new
bond or bonds registered in the name of the transferee, of any
denomination or denominations authorized by this resolution, and
in an aggregate principal amount equal to the principal amount of
such bond or bonds so surrendered.
In all cases in which bonds shall be exchanged the City
shall execute and the Agent shall authenticate and deliver at the
earliest practicable time bonds in accordance with the provisions
of this resolution. All bonds surrendered in any such exchange or
registration of transfer shall forthwith be cancelled by the
Agent. The City or the Agent may make a charge for every such
exchange or registration of transfer of bonds sufficient to reim-
burse it for any tax or other governmental charge required to be
paid with respect to such exchange or registration of transfer,
but no other charge shall be made to any owner for the privilege
of exchanging or registering the transfer of bonds under the pro-
visions of this resolution. Neither the City nor the Agent shall
be required to make such exchange or registration of transfer of
the 15 days immediately preceding any March 2 or
bonds during
September 2.
15.
Ownership of Bonds. The person in whose name any
bond shall be registered shall be deemed and regarded as the abso-
lute owner thereof for all purposes and payment of or on account
of the principal, and redemption premium, if any, of any such
bond, and the interest on any such bonds, shall be made only to or
upon the order of the registered owner thereof or his legal repre-
sentative. All such payments shall be valid and effectual to
satisfy and discharge the liability upon such bond, including the
redemption premium, if any, and interest thereon to the extent of
the sum or sums so paid.
16. Advances from Available Surplus Funds. The City
shall be the purchaser of property upon which payment of an annual
installment of principal and interest due upon any of said unpaid
assessments is delinquent, in like manner in which it becomes or
may become the purchaser of property sold for the nonpayment of
general taxes, and shall transfer from available surplus funds
into the redemption fund for said bonds, as an advance recoveraDle
upon sale or redemption of the property, the amount of the delin-
quent unpaid assessment installment upon which said sale is made.
The City shall also pay and transfer from available surplus funds
into said redemption fund, as an advance recoverable upon sale or
redemption of the property, the amount of any future delinquent
unpaid assessment installments on such property pending redemp-
tion.
17. Investment of Funds. Moneys in the Redemption Fund
and the Improvement Fund shall, whenever practicable, be invested
in legal investments for the City of Bakersfield under applicable
law for the moneys held pursuant to this resolution at the time
when any of such moneys are to be invested therein. Any income
therefrom or interest thereon shall accrue to and be deposited in
the fund from which said moneys were invested.
18. Covenant to Foreclose. The City hereby covenants
with and for the benefit of the holaers of the bonds that it will
order, and cause to be commenced within 150 days following the
date of delinquency, and thereafter diligently prosecuted, an
action in the superior court to foreclose the lien of any assess-
ment or installment thereof not paid when due, pursuant to and as
provided in Sections 8830 through 8835, inclusive, of the Streets
and Highways Code of the State of California, provided that the
alternative method of tax apportionment (Sections 4701 through
4717 of the California Revenue and Taxation Code) is no longer
applied by the County of Kern to special assessments, for which
bonds have been issued pursuant to the Charter of the City of
9
Bakersfield and the Improvement Bond Act of 1915, for any reason
whatsoever.
19. Non-Arbitrage Covenant. The City hereby covenants
with the holders of the bonds that it will make no use of the pro-
ceeds of said bonds at any time during the term thereof which, if
such use had been reasonably expected on the date said bonds were
issued, would have caused said bonds to be arbitrage bonds within
the meaning of Section 103(c) Qf the Internal Revenue Code of
1954, as amended, and the Temporary and Proposed Treasury Regula-
tions promulgated thereunder.
20. Certificate as to Non-Arbitrage. On the basis of
the facts, estimates and circumstances now in existence and in
existence on the date of issue of said bonds, as determined by the
City Treasurer, said City Treasurer is authorized to certify that
it is not expected that the proceeds of said issue will be used in
a manner that would cause such obligations to be arbitrage bonds.
Such certification shall be delivered to the purchaser of said
bonds at the time of delivery of and payment for said bonds.
21. The Treasurer of said City is hereby authorized to
negotiate or cause to be negotiated the
bonds.
22. The City will furnish the
sale of such improvement
legal opinion of Richard
H. Hargrove approving the legality of the proceedings and the
issuance of such bonds.
23. Certified Copies. The City Clerk of said City shall
furnish a certified copy of this resolution to the Treasurer, the
Agent, and to the Auditor of the County of Kern.
......... 000 .........
I HEREBY CERTIFY that the foregoing Resolution was
passed and adopted by the Council of the City of Bakersfield at a
regular meeting thereof held on the 13th day of August ,
1986, by the following vote:
10
of the Council of the City of
Bakersfield
APPROVED this 13th day of
August , 1986.
MAYOR of the City of Bakersfield
APPROVED as to form:
Bakersfield
11
7-23-86
MODIFIED
ENGINEER'S REPORT
EXHIBIT '~"
CITY OF BAKERSFIELD ASSESSMENT DISTRICT NO. 86-3
ACQUISITION OF EFFLUENT DISPOSA~ PIPELINE FOR
WASTEWATER TREATMENT PLA~T 3
Assessment Number
Assessor's
Parcel Number
Assessment Number 1
APN 184-010-09-00-1
ASSESSMENT ROLL
Owner Preliminary
Name/Address Assessment
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$53,445.55
Modified and
Confirmed
Assessment
$54,138.10
Assessment Number 2
APN 184-010-11-01-5
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$ 6,032.23
$ 6,110.40
Assessment Number 3
APN 184-010-13-01-1
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$18,096.69
$18,331.19
Assessment Number 4
APN 184-010-15-01-7
Tenneco Realty Dev. Corp.
P.O. Box 9380
Bakersfield, CA 93389
$12,064.46
$12,220.79
Assessment Number 5
APN 184-010-16-01-0
Tenneco Realty Dev. Corp.
?. O. Box 9380
Bakersfield, CA 93389
$23,586.02
$23,891.65
Assessment Number 6
APN 184-010-17-01-3
Tenneco Realty Dev. Corp.
P.O. Box 9380
Bakersfield, CA 93389
$11,762.85
$11,915.27
Assessment Number 7
APN 184-010-18-01-6
Tenneco Realty Dev. Corp.
P.O. Box 9380
Bakersfield, CA 93389
$11,521.56
$11,670.85
Assessment Number 8
APN 184-010-19-01-9
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$18,096.69
$18,331.19
A-I
Assessment Number
Assessor's
Parcel Number
Assessment Number 9
APN 184-010-27-00-3
Assessment Number 10
APN 184-010-28-00-6
Assessment Number 11
APN 184-010-31-00-4
Assessment Number 12
APN 184-010-32-00-7
Assessment Number 13
APN 184-010-37-00-2
Assessment Number 14
APN 184-010-38-00-5
Assessment Number 15
APN 184-010-39-00-8
Assessment Number 16
APN 184-010-40-00-0
Assessment Number 17
APN 184-090-02-01-3
Assessment Number 18
APN 184-090-03-00-7
ASSESSMENT ROLL
Name/Address
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
Tenneco Realty Dev. Corp.
P.O. Box 9380
Bakersfield, CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
Tenneco Realty Dev. Corp.
P.O. Box 9380
Bakersfield, CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
Tenneco West Inc.
P. O. Box 9380
Bakersfield CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
A-2
Prelimimary
Assessment
$83,365.41
$82,822.50
$66,897.42
$42,527.21
Modified and
Confirmed
Assessment
$84,445.66
$83,895.73
$67,764.28
$43,078.29
$ 0.00 $ 0.00
$ 6,394.16 $ 0.00
$ 0.00 $ 0.00
$305,291.11
$24,128.92
$24,128.92
$309,247.10
$24,441.58
$24,441.58
Assessment Number
Assessor's
Parcel Number
Assessment Number 19
APN 184-090-09-00-5
ASSESSMENT ROLL
Owner
Name/Address
Tenneco West Inc.
P. O. Box 9380
Bakersfield, CA 93389
Preliminary
Assessment
$193,031.33
Modified and
Confirmed
Assessment
$195,532.65
Assessment Number 20
APN 184-090-12-00-3
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$190,135.86
$192,599.66
Assessment Number 21
APN 184-090-13-00-6
Tenneco West Inc.
P. O. Box 9380
Bakersfield, CA 93389
$ 6,032.23
$ 6,110.40
Assessment Number 22
APN 184-090-14-00-9
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$ 24,128.92
$ 24,441.58
Assessment Number 23
APN 184-090-23-00-5
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$ 16,166.37
$ 16,375.86
Assessment Number 24
APN 184-090-27-00-7
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$119,679.42
$121,230.24
Assessment Number 25
APN 184-090-29-00-3
Tenneco West Inc.
P. O. Box 9380
Bakersfield, CA 93389
$174,572.71
$176,834.84
Assessment Number 26
APN 184-090-30-08-7
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$ 26,179.87
$ 26,519.12
Assessment Number 27
APN 184-090-33-00-4
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$ 0.00 $ 0.00
Assessment Number 28
APN i84-090-35-00-0
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$244,244.95
$247,409.90
A-3
Parcel Number
Assessment Number 29
APN 184-090-36-00-3
ASSESSMENT ROLL
O%mer
Name/Address
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
Preliminary
Assessment
$ 33,177.26
Modified and
Confirmed
Assessment
$ 33,607.17
Assessment Number 30
APN 184-100-11-00-2
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$ 5,609.97 $ 5,682.67
Assessment Number 31
APN 184-110-12-00-8
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$ 3,016.11 $ 3,055.20
Assessment Number 32
APN 184-110-13-00-1
Assessment Number 33
APN 184-110-14-00-4
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$ 3,016.11 $ 3,055.20
$ 3,016.11 $ 3,055.20
Assessment Number 34
APN 184-110-15-00-7
Tenneco West Inc.
P.O. Box 9380
Bakersfield CA 93389
$183,982.99
$186,367.05
Assessment Number 35
APN 184-110-25-00-6
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$371,283.69
$376,094.79
Assessment Number 36
APN 184-110-26-00-9
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$ 12,064.46
$ 12,220.79
Assessment Number 37
APN 184-110r30-00-0
Tenneco West Inc.
P. O. Box 9380
Bakersfield, CA 93389
$ 0.00 $ 0.00
Assessment Number 38
APN 184-110-31-00-3
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
$152,736.04
$154,715.21
A-4
Assessment Number
Assessor's
Parcel Number
Assessment Number 39
APN 184-110-33-00-9
ASSESSMENT ROLL
O~ner
Name/Address
Tenneco West Inc.
P.O. Box 9380
Bakersfield, CA 93389
Preliminary
Assessment
$262,763.90
Modified and
Confirmed
Assessment
$266,168.81
A-5