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HomeMy Public PortalAbout2011.002 - LPFA (02-01-11) RESOLUTION NO. 2011.002 A RESOLUTION OF THE LYNWOOD PUBLIC FINANCING AUTHORITY AUTHORIZING THE PURCHASE AND SALE OF TAX ALLOCATION BONDS OF THE LYNWOOD REDEVELOPMENT AGENCY ISSUED TO FINANCE REDEVELOPMENT ACTIVITIES WITHIN OR FOR THE BENEFIT OF THE AGENCY'S PROJECT AREA A, APPROVING THE FORM AND AUTHORIZING EXECUTION OF RELATED DOCUMENTS AND AUTHORIZING OFFICIAL ACTIONS WHEREAS, the City of Lynwood (the "City") and the Lynwood Redevelopment Agency (the "Agency") have heretofore entered into a Joint Exercise of Powers Agreement, dated as of December 1, 1992, establishing the Authority for the purpose, among others, of issuing its bonds to be used to provide financial assistance to the City and to the Agency; and WHEREAS, the Agency is a public body, corporate and politic, duly established and authorized to transact business and exercise powers under and pursuant to the provisions of the Community Redevelopment Law of the State of California, constituting Part 1 of Division 24 of the California Health and Safety Code (the "Law"), including the power to issue bonds for any of its corporate purposes; and WHEREAS, a redevelopment plan for Project Area A(the "Redevelopment ProjecY') has been adopted in compliance with all requirements of the Law; and WHEREAS, the Agency has determined that, due to prevailing financial market conditions, it is in the best interests of the Agency at this time to generate new money to Finance redevelopment activities within or of benefit to the Redevelopment Project (the "2011 Projects"); and WHEREAS, to provide moneys to Finance the 2011 Project, the Agency has determined to issue its Lynwood Redevelopment Agency Tax Allocation Bonds (Project Area A—Subordinate Lien), 2011 Series A, in the aggregate principal amount of not to exceed $25,000,000 (the "2011 Project Area A Bonds"), under the provisions of Part 1 of Division 24 of the California Health and Safety Code, commencing with section 33640 of said Code (the "Bond Law"); and WHEREAS, the Agency's obligation to pay the principal of and interest on the 2011 Project Area A Bonds will be subordinate to its obligations with respect to (a) the portion of the outstanding Lynwood Public Financing Authority 1999 Tax Allocation Bonds, Series A(Project Area A), issued to Finance non-housing projects and the Agency's obligation to make loan payments with respect to the related portion of that certain Loan Agreement, dated as of October 1, 1999, by and between the Authority and the Agency (the "Project Area A 1999 Loan Agreement"), and (b) the outstanding Lynwood Public Financing Authority 1999 Tax Allocation Bonds, Series B(Taxable) (Project Area A), issued to Finance non-housing projects and the Agency's obligation to make loan payments with respect to the related portion of the Project Area A 1999 Loan Agreement; and WHEREAS, the Authority has duly considered such transactions and wishes at this time to authorize the purchase and sale of the 2011 Project Area A Bonds and to approve the form and authorize execution of a bond purchase agreement in connection therewith pursuant to the Bond Law and sections 6588 and 6589 of the California Government Code. s NOW, THEREFORE, THE LYNWOOD PUBLIC FINANCING AUTHORITY OF THE CITY OF LYNWOOD, DOES HEREBY RESOLVE AS FOLLOWS: Section 1. Purchase and Sale of the 2011 Proiect Area A Bonds The Board hereby authorizes the purchase by the Authority of the 2011 Project Area A Bonds from the Agency for concurrent re-sale to Stone & Youngberg LLC and Nollenberger Capital Partners, Inc. (the "Underwriters"), so long as the total Underwriters' discount, excluding original issue discount which does not constitute compensation to the Underwriter, does not exceed 0.6% of the principal amount of the 2011 Project Area A Bonds. The Authority hereby approves the bond purchase agreement, by and among the Underwriters, the Agency and the Authority, in the form on file with the Secretary (the "Bond Purchase Agreement"), together with such additions thereto and changes therein as the President, the Chief Administrative Officer, the Finance Director or the Treasurer of the Authority shall deem necessary, desirable or appropriate, and the execution thereof by the President, the Chief Administrative Officer, the Finance Director or the Treasurer shall be conclusive evidence of the approval of any such additions and changes. The President, the Chief Administrative Officer, the Finance Director or the Treasurer is hereby authorized and directed to execute the final form of the Bond Purchase Agreement for and in the name and on behalf of the Authority. Section 2. Official Actions The President, the Chief Administrative Officer, the Finance Director and the Treasurer of the Authority, and any and all other officers of the Authority, are hereby authorized and directed, for and in the name and on behalf of the Authority, 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 2011 Project Area A Bonds as described herein. Whenever in this resolution any officer of the Authority is authorized to execute or countersign any document or take any action, such execution, countersigning or action may be taken on behalf of such officer by any person designated by such officer to act on his or her behalf in the case such officer shall be absent or unavailable. Section 3. Effect This Resolution shall take effect from and after the date of its passage and adoption. PASSED, APPROVED AND ADOPTED this 1 day of February, 2011. �' � Aide Castro, Presi ent ATTEST: / .� Maria Quinonez, Secretary Roger L. Haley, ief Administrative Officer APPROVED AS TO FORM: APPROVED AS TO CONTENT: � �� � ' �-- ���� . ; Fred Galante, Authority Counsel Robert S. orrez, t City Manager and Finance Dire r STATE OF CALIFORNIA ) )SS. COUNTY OF LOS ANGELES ) I, the undersigned, Secretary of Lynwood Public Finance Authority, do hereby certify that the foregoing Resolution was passed and adopted by the Agency at its regular meeting held on the 1 day of February, 2011. AYES: MEMBERS FLORES, RODRIGUEZ, SANTILLAN, MORTON AND CASTRO NOES: NONE ABSENT: NONE ABSTAIN: NONE � ._-- Maria Quinonez, cretary STATE OF CALIFORNIA ) )SS. COUNTY OF LOS ANGELES ) I, the undersigned, Secretary of the Lynwood Public Finance Authority, do hereby certify that the above foregoing is a full, true and correct copy of Resolution No. 2011.002 on file in my office and that said Resolution was adopted on the date and by the vote therein stated. Dated this 1 day of February, 2011. i aria Quinonez, Secretary