HomeMy WebLinkAbout06-10 RDA Resolution
I
I
I
RESOLUTION NO. RDA 06.10
A RESOLUTION OF THE BOARD OF DIRECTORS OF
THE TEMECULA REDEVELOPMENT AGENCY OF THE
CITY OF TEMECULA AUTHORIZING THE ISSUANCE
AND SALE OF TWO SERIES OF TAX ALLOCATION
BONDS IN CONNECTION WITH TEMECULA
REDEVELOPMENT PROJECT NO.1, AND APPROVING
RELATED DOCUMENTS AND ACTIONS
THE BOARD OF DIRECTORS OF THE TEMECUlA REDEVELOPMENT
AGENCY OF THE CITY OF TEMECUlA DOES HEREBY RESOLVE AS FOllOWS:
Section 1. Part 1 of Division 24 of the Health and Safety Code of the State of
California, as amended (the "law"), authorizes redevelopment agencies to incur
indebtedness for the purpose of financing redevelopment activities within or of benefit to
redevelopment project areas of redevelopment agencies.
Section 2. The Redevelopment Agency of the City of Temecula (the "Agency")
now desires to finance redevelopment activities within or of benefit to the Agency's
Temecula Redevelopment Project NO.1 (the "Redevelopment Project").
Section 3. The Agency has determined at this time to issue two series of
revenue bonds (collectively, the "Bonds"), under the provisions of the law to finance
such activities, with the payment of the principal of and interest on (a) the Series A
Bonds (as defined below) to be secured by a pledge of the tax increment revenues
received by the Agency from the Redevelopment Project (the "Tax Increment
Revenues") on a parity with the pledge thereof to the payment of the Agency's
Temecula Redevelopment Project No.1 2002 Tax Allocation Bonds; and (b) the Series
B Bonds (as defined below) to be secured by a pledge of the Tax Increment Revenues
subordinate to the pledge thereof with respect to the Series A Bonds and certain other
outstanding bonds and obligations of the Agency.
Section 4. All conditions, things and acts required to exist, to have happened
and to have been performed precedent to and in the issuance of the Bonds as
contemplated by this Resolution and the documents referred to herein exist, have
happened and have been performed in due time, form and manner as required by the
laws of the State of California, including the law, and the Agency now desires to
authorize the issuance of the Bonds, as provided herein.
Section 5. The Agency hereby authorizes the issuance of its Temecula
Redevelopment Project No. 1 2006 Tax Allocation Bonds, Series A (the "Series A
Bonds") in the initial principal amount of not to exceed $25,000,000. The Series A
Bonds shall be issued pursuant to the law and an Indenture of Trust, dated as of April
1, 2002 (the "Original Indenture"), by and between the Agency and U.S. Bank National
Association, successor to U.S. Bank, N.A., as trustee (the "Trustee"), as amended and
R:/RDA Resas 2006/RDA 06-10
I
I
I
supplemented by a First Supplemental Indenture of Trust, dated as of December 1,
2006 (the "First Supplement"), between the Agency and the Trustee. The Agency
hereby approves the First Supplement in the form on file with the Secretary, together
with such additions thereto and changes therein as the Executive Director, upon
consultation with Bond Counsel and the Agency's General Counsel, shall deem
necessary, desirable or appropriate, and the execution thereof by the Executive Director
shall be conclusive evidence of the approval of any such additions and changes. The
Executive Director is hereby authorized and directed to execute, and the Secretary is
hereby authorized and directed to attest the final form of the First Supplement for and in
the name and on behalf of the Agency. The Agency hereby authorizes the delivery and
performance of the First Supplement as so executed, and hereby ratifies and confirms
the provisions of the Original Indenture.
Section 6. The Agency hereby authorizes the issuance of its Temecula
Redevelopment Project NO.1 2006 Tax Allocation Bonds, Series B (Subordinate Lien)
(the "Series B Bonds") in the aggregate principal amount of not to exceed $10,000,000.
The Series B Bonds shall be issued pursuant to the Law and pursuant to an Indenture
of Trust, dated as of December 1, 2006 (the" Series B Indenture"), by and between the
Agency and the Trustee. The Agency hereby approves the Series B Indenture in the
form on file with the Secretary, together with such additions thereto and changes therein
as the Executive Director, upon consultation with Bond Counsel and the Agency's
General Counsel, shall deem necessary, desirable or appropriate, and the execution
thereof by the Executive Director shall be conclusive evidence of the approval of any
such additions and changes. The Executive Director is hereby authorized and directed
to execute the final form of the Series B Indenture for and in the name and on behalf of
the Agency. The Agency hereby authorizes the delivery and performance of the Series
B Indenture as so executed.
Section 7. The Agency hereby approves the bond purchase contract, by and
among Stone & Youngberg LLC, as underwriter (the "Underwriter"), the Temecula
Public Financing Authority (the "Authority"), and the Agency, in the form on file with the
Secretary (the "Bond Purchase Agreement"), together with such additions thereto and
changes therein as the Executive Director, upon consultation with Bond Counsel and
the Agency's General Counsel, shall deem necessary, desirable or appropriate, and the
execution thereof by the Executive Director or his designee shall be conclusive
evidence of the approval of any such additions and changes. The Executive Director, or
any designee of the Executive Director, 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
Agency. The Agency hereby approves the negotiated sale of the Bonds to the Authority,
and the sale of the Bonds by the Authority to the Underwriter, pursuant to the Bond
Purchase Agreement, so long as the Underwriter's discount, excluding original issue
discount, does not exceed 1.50% of the principal amount of the Bonds, the net interest
cost of the Series A Bonds does not exceed 5.50% and the net interest costs of the
Series B Bonds does not exceed 6.00%, and the initial principal amount of the Series A
Bonds is not in excess of $25,000,000 and the initial principal amount of the Series B
Bonds is not in excess of $10,000,000.
R:/RDA Resos 2006/RDA 06-10
2
I
I
I
Section 8. The Agency hereby authorizes the Executive Director to approve
and deem final within the meaning of Rule 15c2-12 of the Securities Exchange Act of
1934, except for permitted omissions, a form of Official Statement describing the Bonds
in the preliminary form on file with the Secretary. Distribution of such preliminary Official
Statement by the Underwriter to prospective purchasers of the Bonds is hereby
approved. The Executive Director is hereby authorized to execute the final form of the
Official Statement, including as it may be modified by such additions thereto and
changes therein as the Executive Director, upon consultation with Bond Counsel and
the Agency's General Counsel, shall deem necessary, desirable or appropriate, and the
execution of the final Official Statement by the Executive Director shall be conclusive
evidence of the approval of any such additions and changes. The Agency hereby
authorizes the distribution of the final Official Statement by the Underwriter.
Section 9. The Bonds, when executed, shall be delivered to the Trustee for
authentication. The Trustee is hereby requested and directed to authenticate the Bonds
by executing the Trustee's certificate of authentication and registration appearing
thereon, and to deliver the Bonds, when duly executed and authenticated, to or upon
the instruction of the Underwriter in accordance with written instructions executed on
behalf of the Agency by the Executive Director, which instructions such officer is hereby
authorized and directed, for and in the name and on behalf of the Agency, to execute
and deliver to the Trustee. Such instructions shall provide for the delivery of the Bonds
to the Underwriter in accordance with the Bond Purchase Agreement upon payment of
the purchase price therefor.
Section 10. The Continuing Disclosure Certificate, in the form on file with the
Secretary, is hereby approved. The Executive Director is hereby authorized and
directed, for and in the name of and on behalf of the Agency, to execute and deliver the
Continuing Disclosure Certificate in said form, with such additions thereto or changes
therein as the Executive Director, upon consultation with Disclosure Counsel, shall
deem necessary, desirable or appropriate, the approval of such changes to be
conclusively evidenced by the execution and delivery by the Executive Director of the
Continuing Disclosure Certificate.
Section 11. The Chairman, the Vice Chairman, the Executive Director, the
Treasurer and the Secretary of the Agency, and any and all other officers of the Agency,
are hereby authorized and directed, for and in the name and on behalf of the Agency, 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 Bonds as described herein. The Board of Directors specifically authorizes Agency
Staff to obtain a policy of bond insurance and a reserve account surety bond for the
Series A Bonds and to execute any documents required in connection therewith, as
contemplated by the First Supplement. Whenever in this resolution any officer of the
Agency 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
R:/RDA Resos 2006lRDA 06-10
3
I
I
I
person designated by such officer to act on his or her behalf in the case such officer
shall be absent or unavailable.
Section 12. This Resolution shall take effect upon its adoption.
PASSED, APPROVED, AND ADOPTED by the Board of Directors of the Temecula
Redevelopment Agency of the City of Temecula this 14th day of November, 2006.
ATTEST:
[SEAL]
R:/RDA Resos 2006lRDA 06-10
~ ~1flc-
Michael S. Naggar, Chairperson
4
I
I
I
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss
CITY OF TEMECULA )
I, Susan W. Jones, MMC, City Clerk/Board Secretary of the Temecula
Redevelopment Agency of the City of Temecula, do hereby certify that the foregoing
Resolution No. RDA 06-10 was duly and regularly adopted by the Board of Directors of the
Temecula Redevelopment Agency of the City of Temecula at a meeting thereof held on
the 14th day of November, 2006, by the following vote:
AYES: 5
BOARD MEMBERS:
NOES: 0
BOARD MEMBERS:
ABSENT: 0
BOARD MEMBERS:
ABSTAIN: 0
BOARD MEMBERS:
R:/RDA Resos 2006lRDA 06-10
5
Comerchero, Edwards, Roberts,
Washington, Naggar
None
None
None
. Jones, MMC
oard Secretary