HomeMy Public PortalAbout2016.202 (09-20-16)RESOLUTION NO. 2016.202
A RESOLUTION OF THE CITY COUNCIL OF LYNWOOD APPROVING THE
ISSUANCE AND SALE BY THE LYNWOOD UTILITY AUTHORITY OF NOT TO
EXCEED $16,000,000 PRINCIPAL AMOUNT OF ITS LYNWOOD UTILITY
AUTHORITY ENTERPRISE REVENUE BONDS, 2016 SERIES A, AND
AUTHORIZING AND DIRECTING THE EXECUTION THEREOF AND AUTHORIZING
ACTIONS RELATED THERETO
WHEREAS, the Lynwood Utility Authority (the "Authority ") has heretofore
authorized, issued and sold $9,755,000 principal amount of its Lynwood Utility Authority
Enterprise Revenue Bonds, 2008 Series A (the "2008 Bonds "), for the purpose of
refunding, on a current basis, outstanding Lynwood Public Financing Authority Water
Revenue Bonds (Water System Improvement Project), Series 1995 and for the purpose
of financing certain new improvements to the water distribution system of the City of
Lynwood and certain capital improvements for the City of Lynwood (the "City"); and
WHEREAS, the Authority has heretofore authorized, issued and sold $5,735,000
principal amount of its Lynwood Utility Authority Enterprise Refunding Revenue Bonds,
2009 Series A (the "2009 Bonds "), for the purpose of refunding, on a current basis,
outstanding Lynwood Public Financing Authority Water Revenue Bonds (Water System
Improvement Project), Series 1999; and
WHEREAS, payment of the principal of and interest on the 2008 Bonds and 2009
Bonds was secured by a pledge of net revenues received by the Authority from the
operation by the City of its combined water and sewer system (the "Enterprise "); and
WHEREAS, the Authority has previously issued its $5,660,000 Lynwood Utility
Authority Enterprise Refunding Revenue Bonds, 2014 Series A (the "2014 Bonds "); and
WHEREAS, the Authority is authorized pursuant to the provisions of section
6546 of the Act (the 'Bond Law "), to issue its revenue bonds for the purpose of
financing facilities for the production, storage, transmission, or treatment of water or
waste water; and
WHEREAS, the Authority, after due investigation and deliberation, has
determined that it is in the interests of the Authority at this time to provide for the
issuance of additional bonds under the Bond Law to (a) refund, on an advance basis,
the 2008 Bonds and 2009 Bonds, (b) finance certain improvements to the Enterprise,
(c) fund a reserve fund for such bonds, and (d) pay the costs of issuance of such bonds;
and
WHEREAS, to that end, the Authority has determined to issue its revenue bonds,
to be designated as the Lynwood Utility Authority Enterprise Revenue Bonds, 2016
Series A, in the principal amount not to exceed $16,000,000 (the "2016 Bonds "), to be
secured by a pledge of the net revenues derived from the operation of the Enterprise,
on a parity with the 2014 Bonds; and
WHEREAS, the firm of Ramirez & Co., Inc. (the "Underwriter ") has proposed to
purchase and underwrite the 2016 Bonds; and
WHEREAS, the Council has duly considered such transactions and wishes at
this time to approve said transactions in the public interests of the City; and
WHEREAS, the Council has on this date held a duly noticed public hearing on
the financing, as required by section 6586.5(a) of the California Government Code; and
WHEREAS, the Council now desires to make a finding of significant public
benefit, pursuant to section 6586.5(a)(2) of the California Government Code, and to
approve the issuance and sale of the 2016 Bonds.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES
HEREBY FIND, ORDER, AND RESOLVE AS FOLLOWS:
Section 1. Findings and Determinations. The Council hereby finds that
significant public benefits will arise from the financing in accordance with section 6586
of the California Government Code, in that the financing will result in demonstrable
savings in effective interest rates, bond preparation, bond underwriting, bond issuance
costs and other fixed costs.
Section 2. Approval of the 2016 Bonds. The Council hereby approves the
issuance of the 2016 Bonds in a principal amount not to exceed $16,000,000.
Section 3. Approval of Sale of 2016 Bonds. The Council hereby approves the
sale of the 2016 Bonds by the Authority by negotiation with the Underwriter.
Section 4. Official Actions. The Mayor, the Mayor Pro Tem, the City Manager,
the City Treasurer, the City Clerk and any and all other officers of the Authority are
hereby authorized and directed, for and in the name and on behalf of the City, to do
any and all things and take any and all actions, including execution and delivery of
any and all assignments, certificates, requisitions, agreements, notices, consents,
instruments of conveyance, warrants and other documents, which they, or any of
them, may deem necessary or advisable in order to consummate the lawful issuance
and sale of the 2016 Bonds and the consummation of the transactions as described
herein.
Section 5. Effective Date. This Resolution shall take effect from and after the
date of its passage and adoption.
Section 6. The City Clerk shall certify as to the adoption of this City Council
Resolution.
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PASSED, APPROVED AND ADOPTED this 20th day of September, 2016.
ATTEST:
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City Clerk
APPROVED AS TO FORM:
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David A. Garcia,
City Attorney
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Edwin Hernandez,
Mayor
APPROVED AS TO CONTENT:
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J. Arnoldo Beltran,
City Manager
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, City Clerk of the City of Lynwood, do hereby
certify that the foregoing Resolution was passed and adopted by the City Council of
the City of Lynwood at a regular meeting held on the 20th day of September, 2016,
and passed by the following vote:
AYES: COUNCIL MEMBERS ALATORRE, SANTILLAN -BEAS, SOLACHE,
CASTRO AND MAYOR HERNANDEZ
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
U
Maria Quinonez, City Clerk
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, City Clerk of the City of Lynwood, and the Clerk of
the City Council of said City, do hereby certify that the above foregoing is a full, true
and correct copy of Resolution No. 2016.202 on file in my office and that said
Resolution was adopted on the date and by the vote therein stated. Dated this 20th day
of September, 2016.
Maria Quinonez, City Clerk
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