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HomeMy WebLinkAboutRESO7478RESOLUTION NO. 7473 RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO APPROVING AND AUTHORIZING THE ISSUANCE OF $8,640,000 PRINCIPAL AMOUNT OF UTILITY REVENUE BONDS, 1995 SERIES A, AND AUTHORIZING AND DIRECTING EXECUTION OF SECOND SUPPLEMENTAL, INDENTURE OF TRUST RELATING THERETO, AWARDING SALE OF SUCH SERIES OF BONDS, AND AUTHORIZING OFFICIAL ACTION The Council of the City of Palo Alto does RESOLVE as follows: SECTION 1. Bonds to be Issued. The City, after due investigation and deliberation, has determined that it is in the public interest of the City at this time to provide for the issuance of its City of Palo Alto Utility Revenue Bonds, 1995 Series A (the "Bonds"), under the provisions of Chapter 12.,2.8 (commencing with Section 12.28.010) of the Palo Alto Municipal. Code (the "Law") for the purpose of financing certain improvements to the storm and surface water system component of the City's utility Enterprise; SECTION 2. Indenture of Trust. The Bonds are proposed to be issued pursuant tc an Indenture of Trust dated as of August 1, 1990 (the "Indenture"), by and between the City and Bank of America, NTSA, as successor to Security Pacific National Bank, as trustee (the "Trustee") and a Second Supplemental Indenture of Trust (the "Second Supplement"), dated as of February 1, 1995 by. and between the City and the Trustee; SECTION 3. Bond Bids Obtained. This Council, through its Financial Advisor and Bond Counsel, has solicited bids for the purchase of the Bonds by publication as required by law and by circulation of an Official Notice of Sale and Official Statement and bids have been duly received and presented to this Council; and SECTION 4. Actions to be Taken. The Council wishes at this time to authorize the execution and delivery of the Second Supplement, to award sale of the Bonds and the performance of such acts as may be necessary or desirable to effect the issuance and sale of the Bonds as herein provided; SECTION 5. Issuance of Bonds. The Council hereby authorizes and approves a series of Bonds, to be known and designated as the "City of Palo Alto Utility Revenue Bonds, 1995 Series A", under and pursuant to the Law and the Indenture and the Second Supplement in the principal amount of $8,640,000. • • SECT=Ot 6. Purposes. The purposes for which the Bonds are proposed to be issued are to provide funds for the acquiring, constructing, improving and financing of additions, betterments, extensions to the existing storm and surface water system component of the City's utility Enterprise. S TION 7. Indenture of Trust and Second Supplement. -The Bonds shall be issued pursuant to and secured by the Indenture and the Second Supplement, each of which is hereby referred to and incorporated herein by reference. .ECTION 8. Details. The Bonds shall be dated, shall bear interest at the rates, shall mature on the dates, shall be issued in the form, shall be subject to redemption, and shall otherwise be issued on the terms and conditions, all as set forth in the Second Supplement. The Mayor and the Director of Finance are hereby authorized and directed, for and in the name of the City, to execute the Bonds by their manual or facsimile signatures and the City Clerk is hereby authorized and directed to attest said signatures by manual or facsimile signature and to affix the seal of the City thereon, all in accordance with the provisions of the Second Supplement. SECTION 9. Approval of Second Supplement. The Second Supplement, in substantially the form on file with the City Clerk and made a part hereof as though set forth in full herein, is hereby approved by the Council. The Mayor and the City Clerk are hereby authorized and directed, for and in the name of the City,. to execute and deliver the Second Supplement in such form together with such changes, insertions and omissions as may be approved by the City Attorney, Bond Counsel, and the officers executing the Second Supplement, such execution to be conclusive evidence of such approval; and the City Clerk is hereby authorized and directed to attest such Second Supplement and affix the seal of the City thereto. The Council hereby authorizes the delivery and performance of the Second Supplement. SECTION 10.. Award of Sale. The proposal for the purchase of the Bonds submitted by BA Securities, Inc. (the "Original Purchaser") is hereby accepted on the terms and conditions set forth in the proposal of the Original Purchaser and all bids received for the purchase of the Bonds, excepting such bid of the Original Purchaser, are hereby rejected and the Bonds are hereby sold to the Original Purchaser, said sale to be subject to all of the terms and conditions set forth in the Official Notice of Sale of the Bonds. The Director of Finance is hereby directed to cause the Bonds to be prepared, executed and to be delivered to the Trustee. for authentication and delivery to the Original Purchaser on receipt of the purchase price therefor and upon performance- of the conditions contained in the Official Notice of Sale and the Second Supplement. - 2 - The Trustee is hereby authorized to authenticate and deliver the Bonds to the Original Purchaser. .SECTION 11. Further Authority. The officers of the City are hereby authorized and directed to execute all documents .and take such actions as they may deem necessary or advisable in order to carry out and perform the purposes of this Resolution, and the execution or taking of such action shall be conclusive evidence of such necessity or advisability. SECTION 12. Transcript. The City Clerk is hereby authorized to cause to be prepared and furnished to the Original Purchaser of the Bonds issued hereunder and attorneys examining the same a complete set of certified copies of all ordinances, resolutions and documents of the Council and the City relating to the Bonds and of all other proceedings and records of the Council showing the right, power and authority to issue the Bonds and to provide the security therefor, and such certified copies and certificates shall be deemed representations of the Council as to all facts stated therein. SECTION 13. C.E.Q.A. The City Council finds that the action hereby approved does not constitute a project under the California Environmental Quality Act. - 3 -- INTRODUCED AND PASSED: January 23, 1995 AYES: ANDERSEN, FAZZINO, HUBER, KNISS, MCCOWN, ROSENBAUM, SIMITIAN, NOES: ABSENT: SCHNEIDER ABSTENTIONS: ATTEST: y Clerk APPROVED AS TO FORM - JONES HALL HILL & WH A Professional ration By - Stephen R._-asaleggio, Bond Counsel APPROVED: Director of Public Works ,Director of Finance WHEELER Senior A sistant City At1 rney