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HomeMy WebLinkAbout81-18 - Assessment District 80-1, Award of Sale of Bonds; Redemption FundRESOLUTION NO. 81-18 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, ACCEPTING PROPOSAL AND MAKING AWARD FOR SALE OF BONDS, AND PROVIDING FOR THE ESTABLISHMENT OF A REDEMPTION FUND FOR THE PAYMENT OF SAID BONDS. WHEREAS, this City Council has heretofore instituted and con- ducted proceedings under the terms and provisions of the "Municipal Improvement Act of 1913", being Division 12 of the Streets and High- ways Code of the State of California, for the construction of certain public works of improvement, together with appurtenances and appurte- nant work, in a special assessment district known and designated as: ASSESSMENT DISTRICT NO. 80-1, SUNFLOWER/MacARTHUR INDUSTRIAL AREA (hereinafter referred to as the "Assessment District"); and WHEREAS, said City Council in its Resolution of Intention therein determined and declared that bonds should issue under the provisions of the "Improvement Bond Act of 1915", being Division 10 of the Streets and Highways Code of the State of California; and WHEREAS, the City Council has now received, in proper form, a proposal for the purchase of said bonds to issue under said proceedings and said proposal received is, in the opinion of this City Council, considered to be the bid that would best serve the interests of owners of land included within the Assessment District and should be accepted by this City Council. NOW, THEREFORE, IT IS HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, AS FOLLOWS: SECTION 1. That the above recitals are all true and correct. SECTION 2. That the written proposal and bid received from STONE AND YOUNGBERG for the purchase of improvement bonds representing unpaid assessments in said Assessment District is hereby accepted and approved. SECTION 3. That said sale is subject to all the terms and con- ditions as set forth in the previously approved Notice of Sale of said bonds and in the accepted bid. SECTION 4. That the City Treasurer be, and is hereby directed to have the bonds printed immediately upon the expiration of the cash collection period, and he shall then have said bonds signed and delivered to said bidder upon receipt of the amount of monies due pursuant to said bid and upon the performance of all the conditions as set forth in the written offer. SECTION 5. That the interest rate and discount on said bonds shall be fixed and determined prior to the conclusion of the public hearing, pursuant to the Purchase Agreement, a copy of which is attached hereto. SECTION 6. That the City Treasurer is hereby authorized and directed to keep a redemption fund designated by the name of the proceedings, into which he shall place all sums received for the collection of the assessments and the interest thereon, together with all penalties, if applicable, thereon and from which he shall disburse such funds upon presentation of proper coupons. Under no circumstances shall the same securities or interest thereon be paid out of any other fund except as provided by law. SECTION 7. That said fund shall be known as "REDEMPTION FUND FOR ASSESSMENT DISTRICT NO. 80-1". SECTION 8. The City Treasurer is hereby also authorized to create a special reserve fund identified by the name of this Assessment Dis- trict, and said funds shall constitute a trust fund for the benefit of the bond holders. Said monies shall be used to reduce all assessments, either upon advance payment or payment against final debt service. Said funds also shall be used and transferred into the redemption fund to pay for any delinquencies, in the absence of any other City avail- able funds, and said monies shall then be reimbursed from the proceeds of any redemption. These funds may be temporarily invested and any income shall be credited to said fund. PASSED AND ADOPTED this 16th day of March, 1981. Mayor of the City of Costa esa ATTEST: City Clerk of the City of Costa Mes STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF COSTA MESA 1 I, EILEEN P. PHINNEY, City Clerk of the City of Costa Mesa, Cali- fornia, do hereby certify that the foregoing Resolution No. 81-16 was duly passed, approved, and adopted by the Costa Mesa City Council, approved and signed by the Mayor, and attested by the City Clerk, all at a regular meeting of said City Council held on the 16th day of March, 1981, and that the same was passed and adopted by the following roll call vote: AYES: Council Members: Schafer, Hall, Hertzog, Johnson NOES: Council Members: McFarland ABSENT: Council Members: None EXECUTED this 17th day of March, 1981, at Costa Mesa, California. City Clerk of the City of Costa Mes