m20170808 pfa.pdfCITY OF SANTA MONICA
PUBLIC FINANCING AUTHORITY MINUTES
AUGUST 8, 2017
A special joint meeting of the Public Financing Authority was called to order by Vice Chair Davis at 7:55
p.m., on Tuesday, August 8, 2017, at the City Council Chamber, 1685 Main Street.
Roll Call: Present: Vice Chair Gleam Davis
Authority Member Sue Himmelrich
Authority Member Kevin McKeown
Authority Member Terry O'Day
Authority Member Tony Vazquez
Absent: Chair Ted Winterer
Authority Member Pam O'Connor
Also Present: Executive Director Rick Cole
Interim Authority Attorney Joseph Lawrence
Authority Secretary Denise Anderson -Warren
CONVENE On order of the Vice Chair, the Public Financing Authority convened to a
joint meeting with the City Council, with Chair Winterer and Authority
Member O'Connor absent.
REPORT ON MEETING Pursuant to State law, Authority Secretary Denise Anderson -Warren
COMPENSATION announced that Council will receive no compensation for meeting as the
Public Finance Authority.
COMBINING ITEMS At the request of staff, Items 8-A and 9-A were to be heard together.
Council approved by voice vote by all members present, except
Councilmember O'Connor, and Mayor Winterer.
STAFF ADMINISTRATIVE S.A. City Services Building Guaranteed Maximum Price for
ITEMS: Construction Services and Award for Construction Management
CITY SERVICES BUILDING Services, was presented.
Recommended Action
Staff recommends that the City Council:
1. Authorize the City Manager to negotiate and execute a
Guaranteed Maximum Price (GMP) second amendment to
Design -Build Contract No. 10051 (CCS) for construction
services with Hathaway Dinwiddie Construction Company, a
California-based company, in the amount of $61,843,526
1 August 8, 2017
(includes 2.4% contingency) for a new total amount not to exceed
$70,600,507 for the City Services Building Project (CSB);
2. Award RFP #SP2250 to GKK Works, a California-based
company, to provide construction management services for the
City Services Building Project;
3. Authorize the City Manager to negotiate and execute Agreement
No. 10526 (CCS) with GKK Works in an amount not to exceed
$887,920 (includes 10% contingency);
4. Authorize the Director of Public Works to issue any necessary
change orders to complete additional work within contract
authority; and
5. Authorize budget changes as outlined in the Financial Impacts &
Budget Actions section of this report.
Motion by Councilmember McKeown, seconded by Councilmember
Vazquez, to adopt the staff recommendation. The motion was approved
by the following vote:
AYES: Councilmembers McKeown, Vazquez, Himmelrich,
O'Day, Mayor Pro Tem Davis
NOES: None
ABSENT: Councilmembers O'Connor, Mayor Winterer
PUBLIC HEARINGS: 9.A. Public Hearing and Issuance of Lease Revenue Bonds, Series
LEASE REVENUE BONDS 2017, was presented.
Recommended Action
Staff recommends that the City Council:
1. Hold a public hearing, receive public comment, and adopt attached
Resolution No. 11072 (CCS) entitled, "A RESOLUTION OF THE
CITY COUNCIL OF THE CITY OF SANTA MONICA
AUTHORIZING THE EXECUTION AND DELIVERY BY THE
CITY OF A GROUND LEASE, A LEASE AGREEMENT, AN
INDENTURE, A BOND PURCHASE AGREEMENT ANDA
CONTINUING DISCLOSURE CERTIFICATE IN CONNECTION
WITH THE ISSUANCE OF SANTA MONICA PUBLIC
FINANCING AUTHORITY LEASE REVENUE BONDS, SERIES
2017 (CITY SERVICES BUILDING PROJECT), APPROVING
THE ISSUANCE OF SUCH BONDS IN AN AGGREGATE
PRINCIPAL AMOUNT OF NOT TO EXCEED $76,760,000,
AUTHORIZING THE DISTRIBUTION OF AN OFFICIAL
STATEMENT IN CONNECTION WITH THE OFFERING AND
SALE OF SUCH BONDS AND AUTHORIZING THE
EXECUTION OF NECESSARY DOCUMENTS AND
CERTIFICATES AND RELATED ACTIONS".
Staff recommends that the Public Financing Authority:
2 August 8, 2017
1. Hold a public hearing, receive public comment, and
OF THE BOARD OF DIRECTORS OF THE SANTA MONICA
PUBLIC FINANCING AUTHORITY AUTHORIZING THE
EXECUTION AND DELIVERY OF A GROUND LEASE, A
LEASE AGREEMENT, AN INDENTURE AND A BOND
PURCHASE AGREEMENT IN CONNECTION WITH THE
ISSUANCE OF SANTA MONICA PUBLIC FINANCING
AUTHORITY LEASE REVENUE BONDS, SERIES 2017
(CITY SERVICES BUILDING PROJECT), AUTHORIZING
THE ISSUANCE OF SUCH BONDS IN AN AGGREGATE
PRINCIPAL AMOUNT OF NOT TO EXCEED $76,760,000,
AUTHORIZING THE DISTRIBUTION OF AN OFFICIAL
STATEMENT IN CONNECTION THEREWITH AND
AUTHORIZING THE EXECUTION OF NECESSARY
DOCUMENTS AND CERTIFICATES AND RELATED
ACTIONS)".
Members of the public Denise Barton and Michael Toney spoke on the
recommended action.
Questions asked and answered included: who are the underwriters for
this bond; is this bonding only for the City Services building; how can
we make sure that we stay within our budget now; if they go over in
price, who makes up that additional cost; and can we impose labor union
agreement on this project.
Motion by Councilmember McKeown, seconded by Councilmember
O'Day, to adopt Resolution No. 11072 (CCS), authorizing the issuance
of Series 2017 Bonds. The motion was approved by the following vote:
AYES: Councilmembers McKeown, Vazquez, Himmelrich,
O'Day, Mayor Pro Tem Davis
NOES: None
ABSENT: Councilmember O'Connor, Mayor Winterer
Motion by Authority Member McKeown, seconded by Authorit
Member O'Day, to adopt Resolution No. 13 (PFA), authorizing the
issuance of Series 2017 Bonds. The motion was approved by the
following vote:
AYES: Authority Members O'Day, Himmelrich, Vazquez,
McKeown, Chair Pro Tem Davis
NOES: None
ABSENT: Authority Member O'Connor, Chair Winterer
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ADJOURNMENT: On order of the Vice Chair, the special joint meeting of the Public
Financing Authority adjourned at 8:18 p.m., with Chair Winterer and
Authority member O'Connor absent.
ATTEST:
Denise Anderson -Warren
Authority Secretary
ROVED:
G e m Davis
Vice Chair
August 8, 2017