M-9/11/1984 (2)
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RESOLUTION NO. 392 (RAS)
A RESOLUTION OF THE REDEVELOPMENT AGENCY
OF THE CITY OF SANTA MONICA AUTHORIZING THE
INVITATION OF PROPOSALS FOR THE PURCHASE OF
TAX ALLOCATION BONDS OF SAID AGENCY
WHEREAS, this Agency deems it proper and necesslty
therefor appears that proposals be invited for the purchase
of $5,700,000 principal amount of its Ocean Park Redevelopment
Project Tax Allocation Bonds, Serles 1984, and that said
Bonds be sold in the manner and at the time and place herein-
after set forth;
NOW, THEREFORE, the Redevelopment Agency of the City
of Santa Monica DOES HEREBY RESOLVE as follows:
section 1. Sealed proposals for the purchase of the
Bonds shall be recelved by the Agency at the time and place
herelnafter set forth in the Notice of Sale.
section 2. The Secretary is hereby authorized and
directed to publish a Notlce of Sale, substantially in the
form annexed hereto, marked uExhibit An, and hereby approved,
by one insertlon in the Evening Outlook, a newspaper of general
clrculation published in the Clty of Santa Monica, said publl-
cation to be at least 5 days prior to the date of receiving
proposals stated therein, as required by section 33646 of the
Health and Safety Code.
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Section 3. The Secretary is further authorized and
directed to publish a Notice of Intention to Sell Bonds,
substantially in the form annexed hereto, marked lIExhibit BII,
and hereby approved, by one insertion in The Bond Buyer, a
financlal publication generally circulated throughout
Callfornia, said publication to be at least 15 days prlor to
the date of receiving proposals stated therein, as requlred
by Section 53692 of the Government Code.
Section 4. The Secretary is further authorized and
directed to give written notice of such sale, by mail, postage
prepaid, to the Californ1a Debt Advisory Commission, no later
than 10 days prior to the date of recelving proposals for said
Bonds, as required by Sectlon 8855(g) and (h) of the Government
Code and the rules of the Commission.
section 5. This Agency hereby approves the Bid
Form, substantlally in the form annexed hereto, marked
lIExhib1t C,II and the Offic1al statement, substantially 1n the
form now ln the hands of the Secretary and copies of which
have been presented to this Agency, to be furnished to pros-
pective bidders for the Bonds as provided in Sectlon 6 hereof,
and directs the Secretary to file a copy in his office, and
to identify it as being the Offlcial statement, so approved,
by an endorsement thereon to that effect over his signature.
Section 6. The Secretary is authorized and directed
to cause to be furnished to prospective bidders, upon their
request, a reasonable number of copies of the Resolution of
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Issuance, Natlce of Sale, Bid Form and Officlal statement,
substantlally in the forms herelnabove approved. The
Secretary is further authorized and directed, after any
proposal for the purchase of said Bonds has been accepted by
this Agency, to cause to be furnlshed to the successful bidder,
for use in connection with the resale of said Bonds, such
numbers of caples of the Official statement as may be required
to comply with the provisions of the Notice of Sale.
APPROVED AND ADOPTED thlS llth day of September, 1984.
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(JetA-- C~ {? _! S
Chairman of the Redevelopment
Agency of the city of
Santa Monica
ATTEST:
~)I?~
Secretary of tpe Redevelopment
Agency of the Clty of
Santa Monlca
(Seal)
APROVED AS TO FORM:
~~.~
Agency CounselU
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Adopted and approved thlS 11th day of September 1984.
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_nn~~ /_ L_~-_ __nun
- Chairplffson
I hereby certlfy that the foregolng Resolutlon No. 392(RAS)
was duly adopted by the Redevelopment Agency of the CIty of Santa
Monlca at a meetIng thereof held on September 11, 1984 by the
followIng Agency vote:
Ayes:
Agency Members:
Noes: Agency Members:
Abstain: Agency Members:
Absent: Agency Members:
Conn, Press, Zane, and Chalrper-
son Edwards
EpsteIn and Reed
None
Jenn
ATTEST:
_~u_~_u
Secretary
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EXHIBIT A
NOTICE OF SALE
REDEVELOPMENT AGENCY OF THE CITY OF SANTA MONICA
OCEAN PARK REDEVELOPMENT PROJECT
TAX ALLOCATION BONDS, SERIES 1984
NOTICE IS HEREBY GIVEN that sealed proposals for
the purchase of $5,700,000 par value tax allocatlon bonds of
the Redevelopment Agency of the Clty of Santa Monlca will be
received by said Agency at the place and up to the tlme
speclfled below.
TIME:
10:00 a.m.
October 9, 1984
Office of Morrlson & Foerster
Board Room, 38th Floor
Crocker Center
333 South Grand Avenue
Los Angeles, Callfornia 90071
Mailed bids should be addressed to:
Redevelopment Agency of the
City of Santa Monica
C/O William K. Kramer, Esq.
at the above address
PLACE:
MAILED BIDS:
OPENING OF BIDS: The bids wlll be opened at the tlme
and place shown above and will be
presented to the Agency at its meetlng to be held later
on the same date In the Council Chambers, City Hall,
Santa Monlca, Callfornia.
ISSUE: $5,700,000 designated "Ocean Park Redevelop-
ment Project Tax Allocation Bonds, series 1984"
consisting of fully registered bonds of the denomination of
$5,000 or any integral multiple thereof, numbered consectively
from R-l upward, dated October 1, 1984.
MATURITIES: The bonds wlll mature in consecutive numerical
order on October 1 in the amounts for each of
the several years as follows:
Year
Princlpal
Amount
Year
Principal
Amount
1987
1988
1989
1990
1991
1992
1993
$ 95,000
105,000
115,000
130,000
145,000
155,000
175,000
1994
1995
1996
1997
1998
1999
2006
$ 190,000
210,000
235,000
255,000
285,000
310,000
3,295,000
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INTEREST: The bonds shall bear interest at a rate or rates
to be fixed upon the sale thereof but not to exceed
12% per annum, payable semiannually on April 1 and October 1.
PAYMENT: Said bonds are payable in lawful money of the
united states of Amer~ca at the securit~es
Services Divis10n of Bank of America National Trust and
Sav1ngs Assoc~at~on, Fiscal Agent for the Agency, in Los
Angeles, Cal~fornia. Interest thereon 1S payable by check or
draft mailed to the registered owners of the bonds at their
respective addresses, as shown on the registration books
ma~ntained by the Fiscal Agent.
REGISTRATION: The bonds will be issued only in fully
registered form and may be exchanged for bonds
of the same maturity of other denominations only upon the
terms set forth in the resolution prov~ding for the issuance
of the bonds (hereinafter referred to as the IfResolution")
adopted on September 11, 1984.
REDEMPTION: The bonds matur~ng on or prior to October I,
1994, shall not be subJect to call or redempt~on
pr10r to matur1ty. The bonds maturing on and after October 1,
1995 may be called before maturity and redeemed at the option
of the Agency on October I, 1994, or on any 1nterest payment
date thereafter pr10r to maturity, from any source of funds,
as a whole or in part in inverse order of maturity and by lot
wlthin a maturity, at a redemption prlce equal to the prin-
cipal amount thereof, accrued interest to the date of redemp-
tion, plus the following premiums (percentage of par value):
Redemption Dates Premiums
October 1, 1994 or April I, 1995 2%
October I, 1995 or Apr1l 1, 1996 l~~
October 1, 1996 or April 1, 1997 1%
October 1, 1997 or April 1, 1998 ;..~
October 1, 1998 or thereafter 0
The Agency is obligated to retire, by call and
redemptlon or otherwise, the term bonds maturing on October 1,
2006, in the minimum amounts on October 1 of each of the
several years as follows:
Year
Principal Amount
Year
Principal Amount
$510,000
560,000
620,000
2000
2001
2002
2003
$345,000
380,000
420,000
460,000
2004
2005
2006
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PURPOSE
OF ISSUE: The bonds are to be issued by the Agency under
and pursuant to the community Redevelopment
Law of the State of Californ1a (Part 1 of D1vision 24 of the
Health and Safety Code) to aid 10 financing redevelopment
proJects In the city of Santa Monica, known as Ocean Park
ProJects Nos. lea) and l(b).
SECURITY: The bonds are payable, both principal and
interest, solely from Pledged Tax Revenues
(as defined ln the Resolution) and from certain other
limlted funds as provlded in the Resolution. The bonds
are not obligations of the City of Santa Monica or the
State of callfornia.
TERMS OF SALE
Interest Rate: The maximum rate bid may not exceed 12% per
annum payable semiannually. Each rate bid
must be a multiple of 1/8 or 1/20 of 1%. No bond shall
bear more than one interest rate, and all bonds of the same
maturity shall bear the same rate. Each bond must bear
interest at the rate specif1ed in the bid from its date to
its fixed maturlty date. The interest rate on any maturity
or group of maturities shall not be more than 2% higher than
the 1nterest rate on any other maturlty or group of maturities.
Award: The bonds shall be sold for cash only. All
bids must be for not less than all of the
bonds hereby offered for sale and each bid shall state that
the bidder offers accrued interest to the date of delivery,
the purchase price, which shall not be less than 97\% of par,
and the interest rate or rates not to exceed that specified
herein, at which the bidder offers to buy the bonds. Each
bidder shall state ln its bid the total net interest cost in
dollars and the average net interest rate determined thereby,
WhlCh shall be considered informative only and not a part of
the bid.
Bond Insurance: The Agency will apply for a policy of
insurance from a reputable insurer guaran-
teeing the payment when due of principal and lnterest on the
bonds. If obtalned, the insurance w1ll extend for the life
of the bonds and will not be cancellable by the insurer.
The premium for such insurance will be paid by the Agency.
Further lnformation regarding such bond lnsurance will be
made avallable to prospective bidders prior to the date
provlded hereln for the receipt of proposals.
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Highest Bidder; Bond Printing: The bonds will be awarded to
the hlghest responsible bidder
or bidders considering the lnterest rate or rates specified
and the premlum or discount offered, lf any. The highest bid
wlll be determlned by deducting the amount of the premium bld
(If any) from, or adding the amount of the dlscount (If any)
to, the total amount of interest which the Agency would be
required to pay from the date of said bonds to the respective
matur~ty dates thereof at the interest rate or rates specified
in the bld, and the award will be made to the b1dder or b1dders
offerlng the lowest net interest cost to the Agency. For
the purpose of determining interest cost, the term bonds w111
be deemed to mature at the times and in the amounts set forth
above under "Redemptionu. The purchaser must pay accrued
lnterest (computed on a 360-day year basls) from the date of
the bonds to the date of delivery. The cost of prlnting the
bonds wlll be borne by the Agency.
Right of ReJectlon: The Agency reserves the right, in its
discretlon, to reject any and all blds
and to the extent not prohibited by law to waive any lrre-
gularity or informality in any bid.
Prompt Award: The Agency will take action awarding the
bonds or rejecting all bids not later
than 26 hours after the time hereln provided for the recelpt
of proposals; prov~ded that the award may be made after the
exp1ration of the speclfled time if the bldder shall not have
glven to the Agency notice 10 writing of the withdrawal of
such proposal.
Place of Delivery
and Funds for Payment:
Delivery of sald bonds will be made
to the successful bidder at the
Securltles Services Dlvision of the
Fiscal Agent in Los Angeles, Californla, or at such other
place as may be agreed upon by the successful b1dder and the
Treasurer of the Agency.
Payment for the bonds shall be made in Federal Reserve
Bank funds or other immediately available funds.
It is expected that the bonds wlll
be dellvered to the successful b~dder
on or about October 25, 1984. The
successful bldder shall have the
rlght, at lts optlon, to cancel the contract of purchase if
the Agency shall fail to execute the bonds and tender them
for delivery within 60 days from the date here1n flxed for
the receipt of bids, and 1n such event the successful bidder
shall be ent1tled to the return of the check accompanYlng hlS
bid. The Agency expects to make such dell very 1n the form of
deflnitive bonds, but reserves the right to make such delivery
Prompt Delivery;
Cancellation for
Late Delivery:
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~n the form of temporary bonds, exchangeable for def~n~t~ve
bonds at no cost to the purchaser.
Form of B1d: Each b1d, together with the bid check, must be
in a sealed envelope, addressed to the Agency,
w1th the envelope and b1d clearly marked "Proposal for Ocean
Park Redevelopment Project Bonds. II Each bid must be un-
cond1tional and 1n accordance wlth the terms and cond~t1ons
set forth hereln, or permltted herein, and must be submltted
on, or 1n substantial conformance with, the bld form provided
by the Agency.
Bid Check: A certified or cash1erls check on a responsible
bank or trust company 1n the amount of $250,000
payable to the order of the Agency, must accompany each pro-
posal as a guaranty that the bidder, if successful, will
accept and pay for said bonds in accordance wlth the terms of
its b1d. The check accompanY1ng any accepted proposal shall
be applied on the purchase pr1ce or, if such proposal lS
accepted but not performed, unless such fallure of performance
shall be caused by any act or omisslon of the Agency, shall
then be cashed and the proceeds retalned by the Agency. The
check accompanYlng each unaccepted proposal wlll be returned
promptly.
At any time before the bonds are tendered for
delivery, the successful bidder may dlsafflrm
and withdraw the proposal if the 1nterest
rece1ved by prlvate holders from bonds of the
same type and character shall be declared to be taxable 1ncome
under present federal income tax laws, either by a ruling of
the Internal Revenue Service or by a decislon of any federal
court, or shall be declared taxable or be requlred to be taken
into account 1n computlng any federal income taxes, by the
terms of any federal income tax law enacted subsequent to the
date of this notice.
Change 1n
Tax Exempt
status:
Each proposal will be understood to be
condltloned upon the Agency furnishing
to the purchaser, Wlthout charge, con-
currently wlth payment for and dellvery of the bonds, the
followlng closlng papers, each dated the date of dellvery:
Clos1ng Papers;
Legal Opinion:
(a) Legal Opinion - The opln~on of Morrison &
Foerster, Los Angeles, Californ~a, Bond Counsel, approving
the valldlty of the bonds and stating that interest on
the bonds is exempt from Federal lncome taxes and from
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State of Californla personal lncome taxes under existing
statutes, regulations, rullngs and court declslons.
(A copy of sald opinion, certified by an offlcer of the
Agency by facsimile slgnature, wlll be pr1nted on the
back of each bond. No charge will be made to the
purchaser for such printing or certification.);
(b) Nonarb1trage certlflcate - A certlflcate of
the Agency certifying that on the basis of the facts,
est1mates and circumstances in eX1stence on the date of
lssue, it 1S not expected that the proceeds of the bonds
wlll be used 1n a manner that would cause the bonds to
be arbitrage bonds;
(c) signature and No-L1tigat1on Certlficate - A
certlficate of the Agency slgned by offlcers of the
Agency certifYlng the followlng: (1) that said officers
have slgned the bonds, whether by facslmile or manual
signature, and that they were respectlvely duly author-
lzed to execute the same; and (2) that there is no
11tigatlon threatened or pending affectlng the val1d1ty
of the bonds;
(d) Rece1pt - The receipt of the Agency showing
that the purchase pr1ce of the bonds, including lnterest
accrued to the date of dellvery thereof, has been recelved
by the Agency; and
(e) Cert1f1cate Re Off1c1al Statement - A certifi-
cate of an officer of the Agency, acting in such person's
offlC1al and not personal capacity, to the effect that
at the time of the sale of the bonds and at all times
subsequent thereto up to and 1ncluding the time of
delivery of the bonds, the Off1c1al Statement relat1ng
to the bonds dld not contaln any untrue statement of a
mater1al fact or omlt to state a mater1al fact necessary
to make the statements therein, 1n llght of the c1rcum-
stances under which they were made, not ffilsleading.
Offlclal
Statement:
The Agency wl11 furnish to the successful
bldder or b1dders as many caples of the
Official statement as the bldder or bldders
No charge wlll be made to the successful
first 250 coples of the Officlal Statement.
shall request.
bidder for the
Blue Sky Laws: The successful bidder wlll be responsible for
the clearance or exemptlon with respect to the
status of the Bonds for sale under the securltles or "Blue
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Sky" laws of the several states and the preparatlon of any
surveys or memoranda ln connect10n therewith.
CUSIP Numbers: It is antic1pated that CUSIP numbers w11l be
prlnted on the bonds, but neither the failure
to prlnt such numbers on any bond nor error wlth respect
thereto shall constitute cause for fallure or refusal by the
purchaser thereof to accept delivery of and pay for the bonds
ln accordance wlth the terms of the purchase contract. All
expenses of prlntlng CUSIP numbers on the bonds shall be pald
by the Agency, but the CUSIP Service Bureau charge for the
assignment of sald numbers shall be paid by the purchaser.
INFORMATION Requests for lnformation concernlng the Agency
AVAILABLE: should be addressed to the Agency's flnanclng
consultant, Paine Webber Incorporated, PubllC
Flnance Department, 555 Californla Street, San Francisco,
Californla 94104.
GIVEN by order of the Redevelopment Agency of the Clty of
Santa Monica, adopted September 11, 1984.
se~ o~/fe~~pment
Agency of the Clty of Santa
Monlca
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EXHIBIT B
NOTICE OF INTENTION TO SELL BONDS
$5,700,000
REDEVELOPMENT AGENCY OF THE CITY OF
SANTA MONICA, CALIFORNIA
OCEAN PARK REDEVELOPMENT PROJECT
TAX ALLOCATION BONDS, SERIES 1984
The Redevelopment Agency of the city of Santa Monlca
lntends to receive sealed bids until 10:00 a.m. (Callfornla
tlme) on Tuesday,
October 9, 1984
ln the offlce of Morrison & Foerster, Board Room, 38th
Floor, Crocker Center, 333 South Grand Avenue, Los Angeles,
Callfornla 90071, for the above bonds dated October 1, 1984
and maturing In varYlng amounts on october 1 of the years
1987 to 1999, lncluslve, and on October 1, 2006.
Copies of the complete Notlce of Sale and Bid Form,
together with copies of the Offlclal Statement to be lssued
in connectlon wlth the sale of sald bonds, and the Resolutlon
of Issuance may be obtained from the Agency's flnanclng consul-
tant, Palne Webber Incorporated, Public Flnance Department,
555 Ca11fornla street, San FranCi~lifornla 94104.
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Secretary of the Redevelopment
Agency of the Clty of Santa
Monlca
Dated September 11, 1984
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EXHIBIT C
PROPOSAL FOR
OCEAN PARK REDEVELOPMENT
PROJECT BONDS
October
, 1984
Redevelopment Agency
of the city of Santa Monica
Gentlemen:
In behalf of a group Wh1Ch we have formed, consistlng
of the flrms hereinafter named, and pursuant to the Notlce of
Sale dated September 11, 1984, we offer to purchase $5,700,000
pr~ncipal amount, all or none, of the bonds of the Redevelop-
ment Agency of the City of Santa Monlca deslgnated as "Ocean
Park Redevelopment Project Tax Allocatlon Bonds, Series
1984,11 partlcularly described ln sald Notlce, with lnterest
as set forth 1.n the followlng schedule, entl.tled "Schedule of
Interest Rates, It and to pay therefor the prinClpal amount
thereof [plus a premlUffi of $ ] [less a dlscount of
$ ], making a total sum of $ plus interest
accrued on such bonds to the date of delivery thereof.
SCHEDULE OF INTEREST RATES
Prlncipal Amount Maturity Date Interest Rate
$ 95,000 October 1, 1987 %
105,000 October 1, 1988 %
115,000 October I, 1989 %
130,000 October 1, 1990 %
145,000 October 1, 1991 %
155,000 October 1, 1992 %
175,000 October I, 1993 %
190,000 October 1, 1994 %
210,000 October 1, 1995 %
235,000 October 1, 1996 %
255,000 October 1, 1997 %
285,000 October 1, 1998 %
310,000 October 1, 1999 %
3,295,000 October 1, 2006 %
Thl.S bid is made subJect to all of the terms and
conditlons of the Notice of Sale dated September 11, 1984 and
heretofore published, all of which terms and condltions are
made a part hereof as fUlly as though set forth in this
bld.
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STATEMENT OF TOTAL NET INTEREST
COST AND AVERAGE NET INTEREST RATE
(For Information Purposes Only)
The total net interest payable on the bonds during
the life of the lssue under this bid 15 $ and the average
net interest rate 25 %. For the purpose of determlning
such amount of net 1nterest, the term bonds are deemed to
mature 1n accordance wlth the mandatory redemption schedule
set forth in the Not2ce of Sale.
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This bid is subject to acceptance w1th1n twenty-six
(26) hours after the expirat10n of the time for the recelpt
of bids, as speclfied in said Notice of Sale.
There 1S enclosed herewith a certlfied or cashler's
check for $250,000 payable to the order of the Redevelopment
Agency of the city of Santa Mon1ca.
There is submitted herewlth a statement (which
shall not constitute a part of this bid) of the total net
interest cost 1n dollars and the average net interest rate
determined thereby under this bld.
We hereby request that cop~es of the Official
statement be furnlshed to us in accordance with the Notice
of Sale.
Very truly yours,
By:
LIST OF SYNDICATE MEMBERS
(SubJect to Change Prior to Delivery of Bonds)
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