HomeMy WebLinkAbout2016-05-10 - RESOLUTIONS - SC PUBLIC FINANCIAL AUTHORITY (2)RESOLUTION NO. 16-17
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA
CLARITA, CALIFORNIA, APPROVING THE ADVANCE PREPAYMENT
OF ITS $15,525,000 CERTIFICATES OF PARTICIPATION, (OPEN SPACE
AND PARKLAND ACQUISITION PROGRAM), 2007 SERIES,
APPROVING THE ISSUANCE OF THE SANTA CLARITA PUBLIC
FINANCING AUTHORITY LEASE REVENUE REFUNDING BONDS,
SERIES 2016B IN THE AGGREGATE PRINCIPAL AMOUNT NOT TO
EXCEED $16,500,000, APPROVING THE EXECUTION AND DELIVERY
OF A SITE AND FACILITY LEASE, A LEASE AGREEMENT, AN
ESCROW AGREEMENT, A CONTINUING DISCLOSURE CERTIFICATE,
A PRELIMINARY OFFICIAL STATEMENT, A FINAL OFFICIAL
STATEMENT AND SALE DOCUMENTS; APPROVING THE
RETENTION OF CERTAIN PROFESSIONAL FIRMS; AND
AUTHORIZING THE TAKING OF CERTAIN ACTIONS IN
CONNECTION THEREWITH
WHEREAS, the City of Santa Clarita, California (City) has previously executed
and delivered its Certificates of Participation, (Open Space and Parkland Acquisition Program),
2007 Series (Prior Certificates); and
WHEREAS, the City finds it desirable to exercise its right to prepay the
remaining unpaid base rental payments under the lease relating to the Prior Certificates to realize
net present value savings; and
WHEREAS, pursuant to Articles 1 through 4 (commencing with Section 6500) of
Chapter 5, Division 7, Title 1 of the Government Code of the State of California (Act), the City
and the Santa Clarita Redevelopment Agency have heretofore entered into that certain Joint
Exercise of Powers Agreement, dated as of July 9, 1991, and as amended on May 10, 2016, by
and among the City, the City as successor agency to the Santa Clarita Redevelopment Agency,
and the Santa Clarita Parking Authority, relating to the Santa Clarita Public Financing Authority
(Authority), for the purpose, among other things, of issuing its bonds to be used to provide
financing and refinancing for public capital improvements of the City; and
WHEREAS, the City has requested that the Authority issue its Lease Revenue
Refunding Bonds (Open Space and Parkland Acquisition Program) Series 2016B (Bonds); and
WHEREAS, the Bonds are to be issued pursuant an Indenture (Indenture), by and
between the Authority and a trustee, and pursuant to the Marks -Roos Local Bond Pooling Act of
1985 (Bond Law), constituting Article 4 (commencing with Section 6584) of the Act); and
WHEREAS, it is proposed that the Bonds be sold on a competitive basis in
accordance with the terms and provisions of an Official Notice Inviting Bids (Official Notice
Inviting Bids), the proposed forms of which has been presented to this City Council; and
WHEREAS, it is proposed that the City, the Authority and The Bank of New
York Mellon Trust Company, N.A., or such other escrow agent as an Authorized Officer shall
designate, enter into an Escrow Agreement (Escrow Agreement) related to the refunding and
defeasance of the Prior Certificates, the form of which is on file with the City Clerk of the City;
and
WHEREAS, it is proposed that the City and the Authority enter into a Site and
Facility Lease (Site Lease) pursuant to which the City will lease the City's Aquatics Center and
Sports Complex (Leased Property) to the Authority; and
WHEREAS, it is proposed that the City and the Authority enter into a Lease
Agreement (Lease) pursuant to which City will lease back the Leased Property from the
Authority, the form of which is on file with the City Clerk of the City; and
WHEREAS, under the Lease, the City will be obligated to make base rental
payments to the Authority which the Authority will use to pay debt service on the Bonds; and
WHEREAS, to fulfill the requirements of Rule 15c2-12 (as defined herein), the
City will enter into a Continuing Disclosure Certificate (Continuing Disclosure Certificate), with
respect to the Bonds, whereby the City will agree to provide disclosure reports and notices of
certain enumerated events pursuant to the Rule; and
WHEREAS, there have been presented to this meeting the proposed forms of the
following documents:
(a) the Site Lease
(b) the Lease
(c) the Escrow Agreement
(d) the Continuing Disclosure Certificate
(e) the Preliminary Official Statement
(f) the Official Notice Inviting Bids
WHEREAS, the City Council has reviewed the documentation related to the
issuance of the Bonds, which documentation is on file with the City Clerk of the City.
NOW, THEREFORE, the City Council of the City of Santa Clarita, California,
does hereby resolve as follows:
SECTION 1. Recitals. All of the above recitals are true and correct and the City
Council so finds.
SECTION 2. Approval of Bonds. The City hereby authorizes the prepayment of
the remaining unpaid base rental payments under the lease relating to the Prior Certificates to
realize net present value savings, approves the advance prepayment and defeasance of all of the
Prior Certificates and approves the issuance by the Authority of the Bonds.
SECTION 3. Approval of Site Lease. The Site Lease, in substantially the form
on file with the City Clerk of the City and presented to the City Council at this meeting, is hereby
approved. Any one of the Mayor, the City Manager of the City, or the Deputy City
Manager/Director of Administrative Services (each, an Authorized Officer), is hereby authorized
and directed, for and in the name and on behalf of the City, to execute and deliver the Site Lease,
with such insertions and changes as may be approved by the Authorized Officer executing the
same, subject to the provisions of this Resolution, such approval to be conclusively evidenced by
such execution and delivery, and the City Clerk is hereby authorized to attest to such execution.
SECTION 4. Approval of the Lease. The Lease, in substantially the form on file
with the City Clerk of the City and presented to the City Council at this meeting, is hereby
approved. Any Authorized Officer is hereby authorized to execute the Lease in substantially the
form on file, with such revisions, amendments and completions as shall be approved by an
Authorized Officer, such approval to be conclusively evidenced by the execution and delivery
thereof, and the City Clerk is hereby authorized to attest to such execution.
SECTION 5. Approval of the Escrow Agreement. The Escrow Agreement, in
substantially the form on file with the City Clerk of the City and presented to the City Council at
this meeting, is hereby approved. Any Authorized Officer is hereby authorized to execute the
Escrow Agreement in connection with the advance prepayment and defeasance of the Prior
Certificates in substantially the form on file, with such revisions, amendments and completions
as shall be approved by an Authorized Officer, such approval to be conclusively evidenced by
the execution and delivery thereof, and the City Clerk is hereby authorized to attest to such
execution.
SECTION 6. Approval of the Preliminary Official Statement and the Official
Statement. The Preliminary Official Statement, in substantially the form on file with the City
Clerk of the City and presented to the City Council at this meeting, is hereby approved with such
revisions, amendments and completions as shall be approved by an Authorized Officer to make
the Preliminary Official Statement final as of its date, except for the omission of certain
information, as permitted by Section 240.15c2 -12(b)(1) of Title 17 of the Code of Federal
Regulations ("Rule 15c2-12"). Any Authorized Officer is authorized to execute a certificate
relating to the finality of the Preliminary Official Statements under Rule 15c2-12. An Authorized
Officer is authorized and directed to execute and deliver the final Official Statement in
substantially the form of the Preliminary Official Statement, with such additions and changes as
may be approved by the Authorized Officer executing the same, such approval to be
conclusively evidenced by the execution and delivery thereof.
SECTION 7. Approval of the Continuing Disclosure Certificate. The Continuing
Disclosure Certificate, in substantially the form on file with the City Clerk of the City and
presented to the City Council at this meeting, are hereby approved. Any Authorized Officer is
hereby authorized to execute the Continuing Disclosure Certificate in substantially the form on
file, with such revisions, amendments and completions as shall be approved by an Authorized
Officer, such approval to be conclusively evidenced by the execution and delivery thereof.
SECTION 8. Approval of Official Notice Inviting Bids. The City hereby
authorizes and directs that the Bonds be sold on a competitive basis. Any Authorized Officer is
hereby authorized to undertake all appropriate steps to implement the sale of the Bonds. The total
principal amount of Bonds shall not exceed $16,500,000 and the true interest cost of the Bonds
shall not exceed 3.85%. The Official Notice Inviting Bids, in substantially the form on file with
the City Clerk of the City and presented to the City Council at this meeting, is hereby approved.
The terms and conditions of the offering and sale of the Bonds shall be as specified in the
Official Notice Inviting Bids. Bids for the purchase of the Bonds shall be received at the time
and place set forth in the Official Notice Inviting Bids.
SECTION 9. Official Actions. The Authorized Officers, the City Clerk and all
other officers of the City are hereby authorized and directed, for and in the name and on behalf
of the City, to do any and all things and take any and all other actions, including the publication
of any notices necessary or desirable in connection with the sale of the Bonds, procurement of
municipal bond insurance and/or a reserve surety, and execution and delivery of any and all
assignments, certificates, requisitions, agreements, notices, consents, instruments of conveyance,
warrants, escrow instructions and other documents, which they, or any of them, deem necessary
or advisable to consummate the lawful issuance and sale of the Bonds and the consummation of
the transactions as described herein.
SECTION 10. Approval of Certain Financing Team Members. The City Council
hereby approves the appointment of (a) Norton Rose Fulbright US LLP, to provide Bond
Counsel and Disclosure Counsel services in connection with the Bonds, (b) C.M. de Crinis &
Co. Inc., as Financial Advisor in connection with the Bonds, (c) The Bank of New York Mellon
Trust Company, N.A., as Trustee and Escrow Bank in connection with the Bonds and the Prior
Bonds, and Causey Demgen & Moore P.C., as verification agent in connection with the Prior
Bonds, upon such terms and conditions as approved by any Authorized Officer.
SECTION 11. Ratification. All actions heretofore taken by any Authorized
Officer or any officer, employee or agent of the City with respect to the issuance, delivery and
sale of the Bonds or in connection with or related to any of the agreements referred to herein, are
hereby approved, confirmed and ratified.
SECTION 12. Effective Date of Resolution. This Resolution shall take effect
immediately upon its adoption.
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PASSED, APPROVED, AND ADOPTED this 10th day of May 2016.
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF SANTA CLARITA )
I, Kevin Tonoian, City Clerk of the City of Santa Clarita, do hereby certify that the
foregoing Resolution was duly adopted by the City Council of the City of Santa Clarita at a
regular meeting thereof, held on the 10th day of May 2016, by the following vote:
AYES
NOES:
ABSENT:
COUNCILMEMBERS: Acosta, McLean, Boydston, Weste, Kellar
COUNCILMEMBERS: None
COUNCILMEMBERS: None