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HomeMy WebLinkAboutRES NO 65-83RESOLUTION NO. 65-83 RESOLUTION OF THE COUNCIL OF THE CITY OF BAKERSFIELD DETERMINING THE UNPAID LIST AND PROVIDING FOR THE ISSUANCE OF $6,189,877.00 PRINCIPAL AMOUNT OF IMPROVEMENT BONDS ASSESSMENT DISTRICT NO. 82-1 RESOI, UTION OF INTENTION NO. 955) WHEREAS, this Council of the City of Bakersfield, Cali- fornia, by Resolution of Intention No. 955, duly adopted on March 16, 1983, declared its intention to acquire improvements pursuant to the Municipal Improvement Act of 1913 in an assessment dis- trict in this City and in the County of Kern pursuant to Resolu- tion No. 82-297 of the County of Kern adopted July 7 , i98 2 , therein provided for and designated City of Bakersfield Assessment District No. 82-1 (Stockdale Sewer Trunk- line), and further declared its intention to ~ssue Bonds under the Improvement reference being 955 for further Bond Act of hereby made particulars; ]915 te ~epres~mt u*/t?aid ~ssess~ae~-~ka, ke sai~] Reso] ut~on of InteP. tion No. and WUEREAS, an assessment in said assessment district was thereaft£r duky confirmed, adopted and levied by resolution of this City Council adopted on April 20, i[983, and said acquisition was thereby ordered to be made, and the assessment and diagram and the notice thereof were ordered to be duly recorded, upon which the assessment shall become a lien upon the land upon which it was levied and become due and payable, all vided by law; and WHEREAS, all persons owning property district waived the cash payment period; and WHEREAS, the Finance Director of the field has made and filed with the City Clerk Bakersfield a complete list Of all unpaid assessment, based upo~ said waiver showing in the manner pro- xn said assessment City of Bakers- of the City of assessments upon said unpaid assessments in the aggregate amount of $6,189,877.00, and said Finance Director has determined, and this Council hereby finds and determines, that said assessments so listed as unpaid upon said list of un- paid assessments are unpaid and that the aggregate amount thereof is said amount of $6,189,877.00. NOW, THEREFORE, BE IT RESOLVED AND ORDERED BY THE COUNCIL OF THE CITY OF BAKERSFIELD, AS FOLLOWS: Section 1. This City Council has reviewed all proceed- ings heretofore taken relative to the foregoing and has found, as a result of such review, and does hereby find and determine that all acts, conditions and things required by law to exist, happen and be performed p~ecedent to and in the issuance of Bonds as heretoafter provided do exist, have happened and have been per- formed in due time, form and manner as required by law, and the City of Bakersfield is now authorized pursuant to each and every requirement of law to issue Bonds in the manner and form as in this resolution provided, subject only to the recording of the Notice of Assessment. Section 2. Improvement Bonds of the City of Bakers- field in the aggregate principal amount of $6,189,877.00 shall be issued upon and shall represent and shall be secured by said unpaid assessments. Section 3. Said Bonds shall be issued, upon hereinafter set forth upon ments in accordance with the Act of 1915 (Division 10 of pursuant to said Resolution $6,189,877.00 principal amount of the recording of the Assessment, as the security of said unpaid assess- provisions of the Improvement Bond the Streets and Highways Code and of Intention No. 955. The Bonds shall be known as "Improvement Bonds, City of Bakersfield Assess- ment District 82-1", hereinafter sonletimes referred to as "Bond" and "Bonds". The Bonds shall be issued as coupon Bonds; and, ex- cept as provided in Section 4 hereof, shall be dated April 2, -2- 1983, shall be numbered and of the denomination and mature as set forth in Exhibit "A" attached hereto and by reference incorpo- rated herein. The Bonds are registrable as to principal and in- terest or as to principal only. Section 4. The Bonds shall bear interest from their date until paid at the rate or rates determined at the time of the sale thereof, but not to exceed twelve percent (12%) per annum, payable on January 2, 1984, and semiannually thereafter on January 2 and July 2 of each year. Such interest, unless the Bonds are registered, shall be evidenced by coupons attached to each Bond, which shall be numbered in consecutive numerical order from I upwards in the order of their respective maturities, and each of said coupons shall represent six months' interest (except the first coupon on the Bonds, which shall represent interest from its date) on the Bond to which it is attached. Each Bond will continue to bear interest after maturity at the rate stated therein, provided 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 presentee at maturity, interest thereon will run only until maturity. Section 5. Both the principal of and interest on the Bonds shall be payable in lawful money of the United States of America at the office of the Finance Director of the City of Bakersfield, 1501 Truxtun Avenue, Bakersfield, California, or such paying agent as may be approved by the City of Bakersfield. Principal and interest on any fully registered Bonds shall be paid to the registered owner by check or warrant mailed to the address entered in the registry book required to be kept pursuant to Section 12 hereof. Section 6. The Bonds, the coupons attached thereto, and the registration endorsement shall each be in substantially -3- the form attached hereto as Exhibit "B". Said exhibit is incor- porated herein by reference, the blank spaces therein to be filled in to conform to the provisions of this resolution. Section 7. The Finance Director and the Clty Clerk of the City of Bakersfield are hereby authorized and directed, respectively, as such officers, to execute eac~ of the Bonds on behalf of the City, and said Clerk is hereby authorized and directed to affix the official seal of the City thereto. Such seal may be prJ_nted, engraved, lithographed or otherwise placed by facsimile thereon. Said ?inance Director is hereby authorized to cause the Bends to be signed by printed, lithographed or en- graved facsimile signature, and is hereby authorized and directed to cause each of the interest coupons to be signed by printed, lithographed or engraved facsimile signature. Such signing and sealing as herein provided shall be a sufficient and binding execution of the Bonds and coupons by the City. In case any of such officers whose signature appears on the Bonds or coupons shall cease to be such officer before the delivery of the Bonds to the purchases, such signature shall nevertheless be valid and sufficient for all purposes the same as though such officer had remained in office until the delivery of the Bonds. Section 8. The unpaid assessments as shown on said list hereinabove referred to and as determine(] by said Finance Director and this City Council, together with interest thereon computed at the rate specified in the Bonds, shall remain and constitute a trust fund for the redemption arid payment of the principal of the Bonds and for the interest due thereon, and said assessments and each installment thereof and the interest and penalties thereon shall constitute a lien against the lots and parcels of land on which they are made, until the same be paid. The Finance Director of the City of Bakersfield shall annually make a record in his office showing the several installments of -4- principal and interest on said assessment which are to be collected for the forthcolning year during the term of the Bonds. An annual installment of said unpaid assessments shall be payable and shall be collected in each year corresponding in amount to the amount of Bonds unpaid and to accrue that year, which amount shall be sufficient to pay the Bonds as the same become due, and an annual installment of interest on said unpaid assessments shall be payable and shall be collected in each year correspond- ing in amount to the amount of interest which will accrue on the Bonds outstanding for such year, and which shall be sufficient to pay the interest coupons thereof that shall become due in the next succeeding January and July. The annual proportion of each assessment coming due in any year, together with the annual interest on such assessment, shall be payable Jn the same manner and at the same time and in the same installments as the general taxes of the County of Kern on real property are payable, and said assessment installments and said annual interest on the assessment shall be payable and become delinquent on the same dates and in the same proportionate amounts and bear the same proportionate penalties and interest after delinquency as do the general taxes on real property in the County of Kern. Section 9. There is hereby created and established a fund to be known as the "City of Bakersfield Assessment District NO. 82-1 Improvement Bond Redemption Fund", which shall be kept by the Finance Director of the City of Bakersfield. All sums received by said Finance Director from the collection of said unpaid assessments, and of the interest and penalties thereon, shall upon collection be forthwith paid into said fund, and all sums to become due for the principal of and the interest on the bonds shall be paid from sai~J fund, and the Bonds and the inter- est thereon shall not be paid out of any other funds. Any sur- -5- plus remaining in said fund after payment of all Bonds and the interest thereon shall be applied as authorized by law. Section 10. Upon placement of the proceeds from the sale of said bonds in the improvement fund, the City Finance Director shall forthwith transfer the sum of $435,000.00 from said fund into a special reserve fund, which shall be designated by the name and/or number of the improvement or assessment district. The money in said special fund shall be administered by the City Finance Director 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- 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 by said Section 103 (c) and said regulations, then such proceeds, or portion thereo~, shall be credited upon the assessments, provided only that in the event crediting of any pot- paid in tion of such proceeds upon assessments not theretofore full in cash would result in moneys in the bond redemption fund ~emaining therein for a period of more than twelve (12) months, then any portion of such proceeds which would otherwise remain in the bond redemption fund 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. -6- Section 11. There is hereby created and established a fund to be known as the "City of Bakersfield Assessment District No. 82-1 Improvement Fund", which shall be kept by the Finance Director of the City of Bakersfield. All proceeds of the sale of the Bonds shall be placed by said Finance Director to the credit of said fund and shall be kept separate and distinct from all other City of Bakersfield funds. There shall likewise be paid into said fund all payments heretofore made upon the assessment levied as above recited. All moneys in said fund may, and upon direction of this City Council shall, be invested in any lawful investments maturing not later than the date on which such moneys are required for disbursement as herein provided; all such moneys shall be withdrawn only upon checks or warrant of the City. All interest earned on such investments shall be credited to said fund. The moneys in said fund shall be applied exclusively for the purpose of paying the cost of the acquisition referred to in Section 2 of this resolution, including payment of the incidental expenses in connection with such acquisition; provided, however, that after completion ot said acquisition and the payment of all claims from said fund, any surplus moneys remaining in said fund (as determined by this City Council) shall be used in the manner provided in Section 10427 of said Streets and Highways Code. Section 12. The Finance Director of the City of Bakersfield is directed to cause the Bonds to be prepared in accordance with this resolution, and to procure their execution by the proper officers, and to deliver them, when so executed, to the purchaser or [~urchasers thereof, on receipt of the purchase price. Said Finance Director and the Clerk of the City of Bakersfield are further authorize~ and directed to make, execute and deliver to the purchaser of the Bonds a signature and no- litigation certificate in the form .customarily required by pur- chaser of municipal Bonds, certifying to the genuineness and due -7- execution of the Bonds and further certifying to all facts within their knowledge relative to any litigation which may or might affect City of Bakersfield Assessment District No. 82-1 of the City, said officers or the Bonds, and said Finance Director is further authorized and directed to make, execute and deliver to the puchaser of the Bonds a receipt in the form customarily required by purchasers of municipal Bonds, evidencing the payment of the purchase price of the Bonds, which receipt shall be con- clusive evidence t~at said purchase price has been paid and has been received by the City. Any purchaser or subsequent taker or holder of the Bond is hereby authorized to rely upon and shall be justified in relying upon such signature ficate and such receipt with respect to and no-litigation certi- the Bonds executed and delivered pursuant to the authority of this resolution. Section 13. The Finance Director shall keep or cause to be kept a register showing the series, number, date, amount, rate of interest, the last known holder of each Bond, and the number and amount of each interest coupon paid. The Finance Director shall cancel or cause to be cancel]ed each Bond and coupon paid. Section 14. Each Bond outstanding may be redeemed and paid in advance of maturity upon the second day of January or July in any yeas by giving at least sixty (60) days notice and by paying the principal amount thereof together with a premium equal to five percent (5%) 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 event and as provided in the Improvement Bond Act of 1915. The premium shall be paid, to the extent available, from surplus funds from the fund created in Section 10 hereof. -8- The provisions of Part 11.1 of said Bond Act are appli- cable to the advance payment of assessments and to the calling of bonds. The Finance Director 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 retire- ment, the lowest numbered Bonds of the various annual maturities shall be chosen pro rata in a manner intended to disturb as little as possible the relationship of unpaid assessments to Bonds outstanding. Section 15. An appropriate book shall be kept in the Finance Director's office showing at all times what Bonds are registered and in whose names, and, upon presentation of the Bonds for such purpose, the Finance Director may prescribe, register or transfer or cause to be registered or transferred, in said registry book, the Bonds as herein provided. Section 16. Each coupon Bond herein authorized may be registered as to both principal and interest only, upon the written request of the holder and upon presentation of the Bond to the Finance Director for such purpose. (a) When a coupon Bond is presented for registration as to both principal and interest, the coupons shall be removed therefrom and cancelled (or preserved in a place of safekeeping, at the option .of the Finance Director), and the number of the Bond, the name and address of the holder in whose name it is to be registered, the date of such registration and a notation that the Bond is registered as to both principal and interest shall be entered in the registry book, and appropriate endorsement thereof shall be made by the Finance D~rector in the space provided therefor on the back of the Bond. Until such registration is discharged as hereinafter provided, the interest when due shall -9- be payable only to the registered owner and the principal when due shall be payable only to such owner upon surrender of the Bond to the Finance Director. (b) A registered coupon Bond may be transferred only by the registered owner, in person or by attorney duly authorized in writing, by s written instrument of transfer in form acceptable to the Finance Director, and by the Finance Director endorsing such transfer on the Bond and in the registry book. No transfer shall be required to be made during the fifteen (15) days next preceding an interest payment date. (c) A registered coupon Bond may be discharged from registration upon written request of the registered owner. In such case, the Finance Director shall transfer the Bond to bearer by appropriate endorsement on the Bond and in the registry book, cause allL unmatured coupons that have been removed from the Bond to be reattached to the Bond (such coupons to be reprinted, if necessary), and deliver the Bond and coupons to the owner, and thereupon negotiability and transferability by delivery shall be restored. (d) Coupon Bonds that have been discharged from regis- tration are subject to successive registrations and transfers in the manner heretofore provided. (e) The person requesting discharge from registration of coupon precedent to the exercise of such Director's reprinting the coupons and registration, transfer or Bonds shall, as a condition privilege, pay the Finance any tax or other governmen- tal charge required to Section 17. Section 13 hereof shall be paid with respect thereto. Any ~ully registered Bond provided for in not be valid or obligatory for any purpose until the Fin,~nce Director shall have entered in the registry book required to be kept pursuant to Section 14 hereof the number of the Bond, the name and address of the registered owner, the -10- date of such registration and a notation that it is registered as to principal and interest, and until the registry date and regis- tered owner's name have been endorsed by the Finance Director in the space provided therefor on the back of the Bond. Thereafter, until such Bond has been fully paid or until such Bond is sur- rendered for transfer or in exchange for coupon Bonds, the inter- est thereon and the principal thereof shall be payable only to the registered owner last entered in said book and upon said Bond. Such Bond may, in accordance with its terms, be trans- ferred irl the registry book by the registered owner, in person or by the registered owner's duly authorized attorney in writing, upon surrender of such registered Bond for registration of such transfer, together with a duly executed written instrument of transfer in form approved by the Finance Director. The Finance Director shall require the payment by the holder of the Bond requesting such transfer of any tax or other governmental charge required to be paid with respect to such transfer. No transfer of the fully registered Bond shall be re- quired to be made during tile fifteen (15) days next preceding an interest payment date. Section 18. The fully registered Bond may be surren- dered and exchanged at the office of the Finance Director for coupon Bonds of like series of authorized denominations aggre- gating in principal amount the unpaid principal amount of said registered Bond. All coupon Bonds delivered in exchange shall have attached thereto all unmatured coupons appertaining thereto (and any matured coupons but unpaid). The Finance Director shall require the p.tyment by the holder of the Bond requesting such exchange of an]; tax or other governmental charge required to be paid with respect to such exchange. No such exchange shall be -1] - required to be made during the fifteen (15) days next preceding an interest payment date. Section 19. For the protection and security of the Bonds, the City of Bakersfield covenants and agrees to and with the holders of the Bonds to commence and diligently prosecute to completion pursuant to Section 8830 et seq. of the Streets and Highways Code of the State of California as necessary regarding delinquent installments which secure the Bonds that are to be issued such foreclosure actions of any assessments hereunder. Such foreclosure actions shall be commenced within one hundred twenty (120) days of receipt of written request for such foreclosure from the holder of any Bonds, which have part or all of any coupons or install]~tents unpaid because of insufficient funds in the Bond redemption fund of the City for said Bonds. In any event, such foreclosure shall be commenced by the City not later than two (2) years after the due date of such delinquent install- ments remaining unpaid. ......... o0o ......... I BEREBY 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 20th day of April , 1983, by the following vote: CITY CLER~ and'Ex Officio Clerk of the Council of the City of Bakersfield APPROVED.this 20th day of April MAYOR Bakersfield -12- , 1983. APPROVED as to form: Bakersfield -13- BOND NUMBERS (inclusive) EXHIBIT "A" PRINCIPAL Maturing Maturity Year (July 2) 1 - 18 19 - 48 49 - 83 84 123 124 163 164 - 213 214 - 268 269 - 328 329 - 393 394 - 463 464 - 543 544 633 634 728 729 - 833 834 - 953 954 - 1083 1084 - 1238 $ 89,877 150,000 175,000 200,000 200,000 250,000 275,000 300,000 325,000 350,000 400,000 450,000 475,000 525,000 600,000 650,000 775,000 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 UNITED STATES OF AMERICA STATE OF CALIFORNIA COUNTY OF KERN IMPROVEMENT BOND CITY OF BAKERSFIELD ASSESSMENT DISTRICT NO. 82-1 No. $ Under and by virtue of the Improvement Bond Act of 1915, Division 10 of the Streets and Highways Code, the City of Bakers- field will on the second day of April, 1983, Out of the redemp- tion fund for the payment of the Bonds issued upon the unpaid por- tion of the assessments made for the improvement in an assessment district designated "City of Bakersfield Assessment District No. 82-1, which said improvement and assessment district are more fully described in Resolution of Intention No. 955 passed by the City Council of the City of Bakersfield on March 16, 1893, pay to the bearer the sum of DOLLARS ( $ ) with interest thereon from April 2, 1983, at the rate of percent ( %) per annum, all as is hereinafter specified, at office of the Crocker National Bank, Corporate Trust Division, Paying Agent, in San Francisco, California. the the This Bond is one of several annual series of Bonds of like date, tenor and effect, but differing in amounts, and matu- rities, issued by said City under said law for the purpose of pro- viding means for paying for the improvement described in said Resolution of Intention and is secured by the moneys in said re- demption fund and by the unpaid portion of the assessments made for the payment of said improvement, and including principal and interest, is payable exclusively out of said fund. The interest is payable semiannually, to wit: On the second day of January and July in each year hereafter, upon pre- sentation of the proper coupons therefor; provided, that the first of said coupons is for the interest to the second day of January, 1984, and thereafter the interest coupons are for the semiannual interest. This Bond will continue to bear interest after maturity at the rate above stated; provided, it is presented at maturity and payment thereof is refused upon the sole ground that there are not sufficient moneys in said redemption fund with which to pay the same. If it is not presented at maturity, interest thereon will run until maturity. This Bon~ may be registered as to principal and interest or as to principal only, with the privilege of transfer, discharge from registration and successive registration, upon written re- quest of the owner and presentation of the Bond to the Paying Agent, and payment of the charges, if any, all as set forth in the resolution providing for the issuance hereof. This Bond may be redeemed and paid in advance of matur- ity upon the second day of January or July in any year by giving notice provided in said law and by paying principal and accrued interest together with a premium equal to five percent (5%) of the principal. EXHIBIT "B" For the protection and security of the Bonds, the City of Bakersfield covenants and agrees to and with the holders of the Bonds to commence and diligently prosecute to completion pursuant to Section 8830 et seq. of the Streets and Highways Code of the State of California such foreclosure actions as necessary regard- ing delinquent installments of any assessments which secure the Bonds that are to be issued hereunder. Such foreclosure actions shall be commenced within one hundred twenty (120) days of receipt of written request for such foreclosure from the holder of any Bonds which have part or all of any coupons or installments unpaid because of insufficient funds in the Bond redemption fund of the City for said Bonds. In any event, such foreclosure shall be commenced by the City not later than two (2) years after the due date of such delinquent installments remaining unpaid. IN WITNESS WHEREOF, the City of Bakersfield has caused this Bond to be signed by the Finance Director of said City and by its Clerk, has caused the coupons to be signed by its Finance Director, and has caused its Clerk to affix thereto its corporate seal, all on the 2nd day of April, 1983. (SEAL) FII~ANCE DIRECTOR OF THE CITY OF BAKERSFIELD CITY CLERK OF THE CITY OF BAKERSFIELD EXHIBIT "D" {il) COUPON FORM: The coupons to be attached Bonds shall be substantially in the following form: CITY OF BAKERSFIELD, California, will on the due date hereof, unless the Bond specified herein is redeemed prior there- to, pay to bearer (unless said Bond is registered as to both principal and inter- est) the suni hereon at the principal office of the Crocker National Bank, Corporate Trust Division in San Francisco, Califor- nia, upon surrender hereof, the sum shown hereon in lawful money of the United States, as interest on its IMPROVEMENT BOND designated ASSESSME~T DISTRICT NO. 82-1, dated , Due $ Coupon No. No. to the coupon Finance Director of the City of Bakersfield REGISTRATION FORM: The form of endorsement for regis- tration on the coupon Bonds shall be subtantially as follows: This Bond is registered in the name of the registered owner last entered below and both the principal of and interest on this Bond are payable only to such owner, unless registered as to principal only, in which event only the principal is so payable; provided, however, that this Bond may be registered to bearer and thereby discharged from registration and the negotiability hereof restored. Note: No writing below except by the Paying Agent of the City of Bakersfield. Date of Type of Registry Registration* Principal Only and Interest Name and Address of Registered Owner Signature of Paying Agent Principal Only and Interest Principa] Only and Interest * If registration Interest"; if as "only". is as to principal only, strike the words "and to principal and interest, strike the word EXHIBIT "B" (iii)