HomeMy WebLinkAboutORD 3264·-e ORI-CINAL
ORDINANCE NO. -l£~i-
ORDINANCE OF THE COUNCIL OF THE CITY OP PALO ALTO
AUTHORIZING THE NORTHERN CALIFORNIA POWER AGr..:NCY
TO ISSUE REVENUE NOTES
WHEREAS, by Ordinance No. 3191 of the City of Palo Alto, the
Northern California Power Agency {"NCPAn), organized under that cer
tain Joint Powers Agreement to which this City is a party, dated July
19, 1968, as amended, was authorized to issue revenue bonds, as pro
vided in said Joint Powers Agreement, pursuant to the provisions of
Article 2 (commencing with Section 6540)~ Chapter 5, Division 7,
Title 1 of the Government Code of the State of California in an
amount not to exceed Twenty-eight Million Dollars ($28,000,000)
("Bondsft), for the project described in said ordinance;
The Council of the City of Palo Alto does ORDAIN as follows:
SECTION 1. That the previous authorization of Bonds undec Sec
tion ~~470't~the Government, Code shall hereby include in addition the
authorization to issue notes or other evidences of indebtedness to
the extent permitted o~ authorized by Sections 6547 and 6547.1 of the
Government Code {"Notes~). Th~t the provisions of said ordinance
with ~espect to the Bonds shall apply to the Notes authori~cd here
under.
SECTION 2. The project or studi~s or other preliminary cost to
be fu·nae(J"(T0.3"1uding reimbursement) by the Notes hereby authoriz~d is
the loaning of funds t.o Northern California Mu.nieipal Power Corporu~
tion No. Two, Non-Profit Corporation (the ncorporation"), for the
purpose of acting on behalf of NCPA in the acquisition, construction,
maintenance and operation of a power plant (using geothermal steam
produced from certain leasehold interests of Shell Oil Company in
Sonoma County, California, and provided to NCPA pursuant to ~ geo
thermal steam sales agreement dated as of June 27, 1977, aR amended),
and other facilities and appurtenances necessa~y or convenient to
such plant, including transmission lines.
SECTION 3. The maximum amount of Notes to be issued for the
purpo"'Sesdescribed in Section 2. shall not exceed Twenty-eight Mi 11 ion
Dollars ($28,000,000)~ the same as the amount of the Bonds.
SECTION 4. The anticipated sources of revenue or other funds to
pay the prfncfpal and interest of the Notes are loan repayments t.o be
made by t,he Corporat. ion to NCPA I.Hider an appropriate loan agreement
and to be derived from the sale of power produced by the plant refer
red to in Section 2 hereof and any payments made by certain NCPA mem
bers pursuant to Section S(b) of the "Member Agreement For The Con
struction, Operation and ~·i nancing of NCPA Geothermal Generating Unit
Project 12" as may from tima to time be amended; provided, further,
such sou~ces shall also include the proca~ds of revenue bonds includ
ing the Bonds, or renewal of the Notes; in addition such Notes may be
secured by a guaranty, letter of credit or other obligations or funds
of a bank or private financial institution.
§_f!CTION 5. The Cities of Palo Alto, Redding, and Biggs are not
pa-r·ticlpants fn the acquisition, construction, maintenance, <:>pera
tion, or financing of the plant referred to in the recitals hereof
and nothing in this ordinance shall ~ean or be construed to mean th~t
the City of Palo Alto, the City of kedding, or the City of Biggs has
assumed o~ agreed to assume any financial or other responsibility or
liability associated with the acquisition, construction, maintenance,
operation, or financing of such plant.
SECTION 6. This
refe·r:endum prescribed
State of California.
take effect and be in
tion.
ordinance is subject to the provisions for
by Section 3751.7 of the Elections Code of the
Subject to the foregoing, this ordinance shall
force sixty (60) days from the date of adop-
~. • •
SECTION 7. The City Clerk of the City is h~reby directed to
causethlS ordinance to be published Within fifteen (15) days after
its adoption in a newspaper of general circulation within the City of
Palo Alto and shall also do all other things required to cause notice
of the adoption of this ordinance to be published in the manner re
quired by Section 6040.1 of the Government Code of the State of
Californ.ta.
INTRODUCED: February 2 s 1981
PASSED: Februar,y· 23, 1981
AYES: Bechtel, Eyerlyt Fazzino, F'letrhet·~ Henderson, Levy, Renzel, Witherspoon
NOES: None
ABSTENTIONS: None
ABSENT: None