HomeMy WebLinkAbout92-01 RDA ResolutionRESOLUTION NO. RDA 92-01
A RESOLUTION OF THE REDEVELOPIVIENT AGENCY OF THE
CITY OF TEMECULA DECLARING CERTAIN FINDINGS
REGARDING CITY EXPENDITURES IN CONNECTION WITH THE
ACQUISITION OF PROPERTY WEST OF DIAZ ROAD AND
SOUTH OF CHERRY STREET AS REQUIRED BY THE UNITED
STATES DEPARTMENT OF THE TREASURY REGULATIONS
(SECTION 1.103-18)
WHEREAS, on January 27, 1992, the United States Department of the Treasury (the
"Treasury") issued final regulations (Section 1.103-18) relating to the use of bond proceeds for
the reimbursement of expenditures made prior to the date of issuance of bonds (the
"Reimbursement Regulations"); and
WHEREAS, under the Reimbursement Regulations, in general, if specified requirements
are satisfied, the proceeds used for reimbursement are deemed to be spent on the date of
reimbursement; and
WHEREAS,if such requirements are not satisfied, then proceeds used for reimbursement
will remain subject to the rebate, arbitrage and other rules relating to tax-exemption until
ultimately spent; and
WItEREAS, the Reimbursement Regulations apply to tax-exempt obligations issued after
March 2, 1992, except that the Reimbursement Regulations do not apply to expenditures before
such date if such expenditures were made after September 8, 1989, and if there was objective
evidence at the time of the expenditures that the issuer reasonably expected to reimburse the
expenditure with bond proceeds; and
WHEREAS, the Temecula Redevelopment Agency ("Agency") desires to purchase 40
acres of property located west of Diaz Road and south of Cherry Street with a right of first refusal
on an addition 17 acres (the "Property") at a total purchase price of $3,484,800. The Agency
further intends to reimburse itself for the purchase price of the project from the proceeds of
Redevelopment Bonds the agency intends to issue ("Obligations"). Agency intends to make
expenditures relating to the purchase and development of the property in anticipation of issuance
of the obligations collectively referred to as the ("Expenditure"); and
WHEREAS, in order to comply with the Reimbursement Regulations, the public interest
and convenience require that the agency officially declare its intent that the agency reasonably
expects to reimburse the Expenditure with proceeds of the Obligations;
Rems RDA 924)1 I
NOW THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND
DECLARED by the Redevelopment Agency of the City of Temecula as follows:
Section 1. The foregoing recitals are true and correct.
Section 2. The agency reasonably expects to reimburse the Expenditure with proceeds
from the Obligations. The reimbursement of the Expenditure is consistent with the agency's
established budgetary and financial circumstances. There are no funds or sources of money of the
Agency, or any related person or commonly controlled entity, that have been, or reasonable
expected to be, reserved, allocated on a long-term basis or otherwise set aside to pay costs of the
property to be paid or reimbursed out of proceeds of the Certificates.
Section 3. This Resolution is a declaration of Agency's official intent under the
Reimbursement Regulations.
Section 4. The maximum principal amount of the Obligations for which the Expenditure
is made is reasonably expected to be $16,000,000.00
Section 5. The proceeds from the Obligations are to be used for the Project.
Section 6. The City Clerk/Agency Secretary shall certify the adoption of this Resolution
and thenceforth and thereafter same shall be in full force and effect.
PASSED, APPROVED AND ADOPTED this 14th day of April, 1992.
ATTEST:
J. Sal Mufloz, Chairperson
J~~~k, City Clerk/Agency Secretary
[SEAL]
Resos RDA 92-01 2
STATE OF CALIFORNIA)
COUNTY OF RIVERSIDE)
CITY OF TEMECULA )
SS
I, June S. Greek, City Clerk/Redevelopment Agency Secretary of the City of Temecula,
HEREBY DO CERTIFY that the foregoing Resolution No. RDA 92-01 was duly adopted at a
regular meeting of the Redevelopment Agency of the City of Temecula on the 14th day of April,
1992, by the following roll call vote:
AYES: 5
AGENCY MEMBERS:
Birdsall, Lindemans, Moore, Parks,
Mufioz
NOES:
0 AGENCY MEMBERS: None
ABSENT: 0 AGENCY MEMBERS: None
Jun S~x~k, City Clerk/Agency Secretary
Resos RDA 92-01 3