HomeMy Public PortalAbout95-6 LPFAi, ~
RESOLUTION NO. 95-6
RESOLUTION OF THE AUTHORTI'Y COMMISSION OF THE
LYNWOOD PUBLIC FINANCING AUTHORITY
AUTHORIZING THE EXECUTION AND DELIVERY AND
SALE OF UP TO $1,500,000 OF TFFI)3, AUTHORITY'S
REVENUE BONDSI 1995 SERIES A, THE EXECUTION AND
DELIVERY OF THE TRUST INDENTURE,
LEASE/PURCHASE AGREEMENT, SITE LEASE,
ASSIGNMIIVT AGREEMENT, BOND PURCHASE CONTRACT
-~-' -_ _ _ ...,_:.,a, ~~i~ EiLL Via=ig'.i<t1C~1~GrdS
IN CONNECTION WITH THE SALE AND DEI-IVERY OF UP
TO $1,500,000 OF REVENUE BONDS OF THE
AUTHORITY
WHEREAS, the Lynwood Public Financing Authority (the "Authority") is authorized
under the Marks-Roos Local Bond Pooling Act of 1985, constituting Article 4, Chapter 5,
Division 7, Title 1 (commencing with Section 6584) of the California Govetnment Code, as
amended (the "Act"), to purchase at public or negotiated sale certain qualified obligations, as
further defined herein ("Obligations"), issued by Members of the Authority and other public
agencies ("Local Agencies") and sell at public or negotiated sale Authority bonds secured in
whole or in part by such Obligations or by other designated revenues; and
WHEREAS, the Authority is atthorized under the Act to provide fmancitig for Public
Capital Improvements and other costs by entering into Lease/Purchase Agreements (as defined
in the Act) with Local Agencies; and
` '.L WfIEREAS, the Autho-ity desires to issue, sell and deliver i=.s Revenue ,ilords, i=~9`~
u .~, ~_ e aggregate pnrc:pal 3r-?Dual hereinafter set forth to obtain monies to finance
certain Public Capital Improvements and to enter into a certain Lease/Purchase Agreement, all
under and in accordance with the Constitution and laws of the State of California, including the
Act; and
WHEREAS, all acts, conditions and things required by the Constitution and laws of'the
State of California to exist, to have happened and to have been performed precedent to and in
connection with the consummation of the transactions authorized hereby do exist, have happened
and have been performed in regular and due time, form and manner as required by law, and the
Authority is now duly authorized and empowered, pursuant to each and every requirement of
law, to consummate such ttnsactions for the purpose, in the manner and upon the terms herein
provided;
NOW, THEREFORE, BE IT RESOLVED by the Authority, as follows:
Section 1. Pursuant to the Act, Revenue Bonds of the Authority designated as the
"Lynwood Public Financing Authority Revenue Bonds, 1995 Series A" (the "Bonds") in az~
uEbi~.b< i:i ii.CiYni d';Prveini Lu't t0 eXCeeL1 31,3i;'v,i/G arc tereby authorzed to be issued.
Section 2. The Treasurer/Auditor of the Authority (the "Treasurer") is hereby authorized
to sell the Bonds, at private sale, in such aggregate amount and at such price and at such interest
rate or tales and upon such terms and conditions as the Treasurer may determine; so long as
(i) the aggregate principal amount of the Bonds does not exceed $1,500,000; (ii) the maximum
term of the Bonds does not exceed 15 years; (iii) the net interest cost of the Bonds does not
exceed eight percent (8.5 %1 per annum; and (iv) the underwriters' fee does not exceed 1.5
of the original aggregate principal amount of the Bonds.
Section 3. The proposed form of T>~rst Indenture related to the Bonds, between the
~AathoT~ay and Seattle-First National ,Bank, .us trus*,ee (the "Trustee") (the "Indenture";, as
presented to this meeting is hereby approved. The President, Vice President, Chief
Administrative Officer, Treasurer and Secretary of the Authority (the "Officers") are hereby
authorized and dtrected, for and on behalf of the Authority, to execute and deliver to said
Trustee the Indenture, in substantially the form presented to this meeting, with such changes
therein as such Officers may require or approve, such approval to be conclusively evidenced by
the execution and delivery thereof. The date, maturity date, method of calculating the interest
rate or rates, interest payment dates, denominations, forms, restrictions, privileges, phtce or
places of payment, terms of redemption and other terms of the Bonds shall be provided in said
Indenture, as finally executed.
Section 4. The proposed form of Site Lease (the "Site Lease") between the Authority
and the City of Lynwood (the "City") as presented to this meeting is hereby approved. The
Officers of the Authority are hereby authorized and directed, for and on behalf of the Authority,
to execute the Site Lease in substantially the form presented at the meeting, vrith such changes
therein as such Officers may require or approve, such approval to be conclusively evidenced by
the execution and delivery thereof.
Section 5. The proposed form of Lease/Purchase Agreement between the Authority and
the City (the "Lease") as presented to this meeting is hereby approved so long as (i) the
aggregate principal amount of the Lease does not exceed $1,500,000; (ii) the maximum initial
term of the Lease does not exceed 15 years; and (iii) the net interest cost on the Lease does not
exceed eight and one half percent (8.5 %) per annum. The Officers of the Authority are hereby
authorized and directed, for and on behalf of the Authority, to execute the Lease in substantially
the form presented at this meeting, with such changes therein as such Officers may require or
approve, such approval to be conclusively evidenced by the execution and delivery thereof.
Section 6. The proposed form of Assignment Agreement between the Authority and the
Trustee (the "Assignment Agreement") as presented to this meeting is hereby approved. The
Officers of the Authority are hereby authorized and directed, for and on behalf of the Authority,
to execute the Assignment Agreement in substantially the form presented at this meeting, with
such changes therein as such Officers may require or approve, such approval to be conclusively
evidenced by the execution and delivery thereof.
Section 7. The proposed form of Bond Purchase Contract (the "Bond Purchase
Contract") between Grigsby Brandford & Co., Inc. (the "Underwriter") and the Authority, as
presented to this meeting, is hereby approved. The Officers of the Authority are hereby
authorized and dsected, for and on behalf of the Authority, to execute the Bond Purchase
Contract in substantially the form presented at this meeting, with such changes therein as such
Officers may require or approve, such approval to be conclusively evidenced by the execution
and delivery thereof.
Section 8. The President or the Chief Administrative Officer of the Authority is hereby
authorized to review the Preliminary Official Statement, a form of which has been presented to
this meeting, and to certify on behalf of the Authority to the Underwriter, at or before the
mailing of the Preliminary Official Statement, that the Preliminary Official Statement is deemed
in substantially final form in accordance with Securities and Exchange Rule 15c2-12, except for
certain information permitted to be omitted therefrom. The Underwriter's use and distribution
of the Preliminary Official Statement, as certified by the President or Chief Administrative
Officer of the Authority, and use and distribution of the final Official Statement in connection
with the sale of the Bonds are hereby approved.
Section 9. The Bonds will be limited obligations of the Authority payable solely from
the Revenues to be received by the Authority pursuant to the Lease, Qualified Investments and "~
other assets (including certain proceeds of the Bonds) pledged therefor under the Indenture, all JI
as defined in the Indenture, and shall not be deemed to constitute a debt or liability of the
Authority, the City, the Lynwood Redevelopment Agency, the State of California, or any other
subdivision thereof, under any constitutional or statutory debt limitation. Each Bond shall
contain a statement to the effect that neither the State of California nor the Authority shall be
obligated to pay the principal of such Bond, or the interest thereon, except from Revenues of
the Authority. as defined in the Indenture, and that neither the faith and credit nor the taxing
power of the State of California or any political subdivision thereof is pledged to the payment
of the principal of or the interest on such Bonds. Neither the Members of the Authority nor any
person executing the Bonds shall be liable personally on the Bonds or be subject to any personal
liability or accountability by reason of the issuance of the Bonds.
. '. ~ - ' ,
Section 10. The Bonds shall be issued subject to compliance with provisions of the Act,
and under applicable laws and regulations and subject to the further conditions that (a) the
Authority and the Underwriter shall have first agreed to mutually acceptable terms for the Bonds
and the sale and delivery thereof, and (b) all requisite governmental approvals shall first have
been obtained.
Section 11. The Bonds in the aggregate principal amount of not to exceed One Million
Five Hundred Thousand Dollars ($1,500,000) shall be executed by the manual or facsimile
signature of the President or Vice President of the Authority, and attested by the manual or
facsimile signature of the Secretary of the Authority, or such other officer or employee as may
be designated by the President, in the form set forth in and otherwise in accordance with the
Indenture.
Section 12. The Bonds, when so executed, shall be delivered to the Trustee for
authentication by the Trustee. The Trustee is hereby requested and directed to authenticate the
Bonds by executing the Trustee's Certificate of Authentication appearing thereon, and to deliver
the Bonds, when duly executed and authenticated, to or at the direction of the Underwriter as
original purchaser thereof in accordance with the written instructions executed on behalf of the
Authority by the President, Vice President or such other officers or employees. as may be
designated by the President, which instructions said officers are hereby authorized and directed,
for and on behalf of the Authority, to execute and deliver to the Trustee. Said instructions shall
provide for the delivery of the Bonds to or at the direction of the Underwriter as original
purchaser thereof, as determined and confirmed by the Chief Administrative Officer of the
Authority, upon payment of the purchase price thereof.
Section 13. The Secretary of the Authority is hereby authorized and duected to attest
the signatures of the President, the Vice President or such other officers or employees as may
be required in connection with the execution and delivery of the Indenture, the Lease, the Site
Lease, the Assignment Agreement, the Bond Purchase Contract and the Bonds in accordance
with this Resolution.
Sectic~ 14. The O`rce.-; oft':e ,=;~tiEority are 'rereby authorued and directed, jointly and
severally, to do any and all things and to execute and deliver any and all such documents which
they deem necessary or advisable (including the purchase of a municipal bond insurance policy)
in order to consummate the issuance, sale and delivery of the Bonds and otherwise to effectuate
the purposes of this Resolution, the Bond Purchase Contract, the Lease, the Site Lease, the
Assignment Agreement, and the Indenture and the transactions contemplated hereby and thereby.
Section 15. This Resolution shall take effect immediately upon its passage and remain
in full force and effect thereafter.
I hereby certify that the foregoing resolution was duly passed and adopted by the
Authority Commission of the Lynwood Public Financing Authority at a regular meeting thereof,
held October 17, 1995, by the following vote:
AYES: COUNCILMEMBER HEINE, REA, RICHARDS, BYRD
NOES: NONE
ABSENT: COUNCILMEMBER HENNING
Secretary of the Authority Approved:
Approved:
~ ^ ~~
President Louis Byrd
APPROVED AS TO CONTENT:
ic' .~ ~/ 1/Loci~
A~Ifr~tta Earnest
Finance Director
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