R-9435
RESOLUTION NO. 9435 (CCS)
(CITY COUNCIL SERIES)
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 AND A CONTINUING DISCLOSURE CERTIFICATE IN
CONNECTION WITH THE ISSUANCE OF SANTA MONICA PUBLIC
FINANCING AUTHORITY LEASE REVENUE BONDS, SERIES 1999
(PUBLIC SAFETY FACILITY PROJECT), APPROVING THE ISSUANCE
OF SUCH BONDS IN AN AGGREGATE PRINCIPAL AMOUNT OF NOT
TO EXCEED $15,000,000, APPROVING A NOTICE OF INTENTION TO
SELL AND AN OFFICIAL NOTICE INVITING BIDS FOR SUCH BONDS,
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
WHEREAS,
the City of Santa Monica (the ?City?) desires to finance a portion of the
costs of the acquisition, construction and installation of certain capital improvements constituting
a public safety facility and related improvements, facilities and equipment (the ?Project?);
WHEREAS,
in order to finance the Project, the City desires to lease certain real property
on which the Project is to be constructed (the ?Site?) to the Santa Monica Public Financing
Authority (the ?Authority?) pursuant to a Ground Lease (the ?Ground Lease?) and to sublease
the Site and the Project back from the Authority pursuant to a Lease Agreement (the ?Lease
Agreement?);
WHEREAS,
the City and the Authority have determined that it would be in the best
interests of the City and the Authority to provide the funds necessary to finance the Project
through the issuance by the Authority of its Santa Monica Public Financing Authority Lease
Revenue Bonds, Series 1999 (Public Facility Building Project) (the ?Bonds?);
WHEREAS,
the Bonds will be issued pursuant to the Marks-Roos Local Bond Pooling
Act of 1985, commencing with Section 6584 of the California Government Code (the ?Act?);
WHEREAS,
the City and the Authority have determined that it would be in the best
interests of the City and the Authority to provide for the issuance of the Bonds pursuant to an
Indenture (the ?Indenture?), by and among the Authority, the City and BNY Western Trust
Company, as trustee (the ?Trustee?);
WHEREAS,
the Bonds will be payable from the base rental payments (the ?Base Rental
Payments?) to be made by the City under the Lease Agreement, and all rights to receive the Base
Rental Payments will be assigned without recourse by the Authority to the Trustee pursuant to an
Assignment Agreement;
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WHEREAS,
the City and the Authority desire to provide for the public sale of the
Bonds;
WHEREAS,
a form of the Notice of Intention to Sell (the ?Notice of Intention to Sell?)
to be published in connection with the public offering of the Bonds has been prepared;
WHEREAS,
a form of the Preliminary Official Statement (the ?Preliminary Official
Statement?) and a form of the Official Notice Inviting Bids (the ?Notice Inviting Bids?) to be
distributed in connection with the public offering of the Bonds have been prepared;
WHEREAS,
Rule 15c2-12 promulgated under the Securities Exchange Act of 1934
(?Rule 15c2-12?) requires that, in order to be able to purchase or sell the Bonds, the underwriter
thereof must have reasonably determined that the City has undertaken in a written agreement or
contract for the benefit of the holders of the Bonds to provide disclosure of certain financial
information and certain material events on an ongoing basis;
WHEREAS,
in order to cause such requirement to be satisfied, the City desires to
execute and deliver a Continuing Disclosure Certificate (the ?Continuing Disclosure
Certificate?);
WHEREAS,
the City is a member of the Authority and the Project is to be located within
the boundaries of the City;
WHEREAS,
on this date, the City held a public hearing on the financing of the Project in
accordance with Section 6586.5 of the Act, which hearing was held at 1685 Main Street, Santa
Monica, California;
WHEREAS,
in accordance with Section 6586.5 of the Act, notice of such hearing was
published once at least five days prior to the hearing in the Argonaut, a newspaper of general
circulation in the City;
WHEREAS,
the City Council of the City (the ?City Council?) has been presented with
the form of each document referred to herein relating to the financing contemplated hereby, and
the City Council has examined and approved each document and desires to authorize and direct
the execution of such documents and the consummation of such financing; and
WHEREAS,
all acts, conditions and things required by the laws of the State of
California and the City Charter of the City to exist, to have happened and to have been
performed precedent to and in connection with the consummation of such financing authorized
hereby do exist, have happened and have been performed in regular and due time, form and
manner as required by law, and the City is now duly authorized and empowered, pursuant to
each and every requirement of law, to consummate such financing for the purpose, in the manner
and upon the terms herein provided;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SANTA MONICA
, as follows:
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Section 1.
All of the recitals herein contained are true and correct and the City Council
so finds.
Section 2.
The City Council, on behalf of the City, hereby finds that the use of the Act to
assist the City in financing the Project will result in significant public benefits to the citizens of
the City because it is expected that such use will provide demonstrable savings in effective
interest rate costs.
Section 3.
The form of the Ground Lease, on file with the City Clerk, is hereby
approved, and the Mayor of the City, or such other member of the City Council as the Mayor
may designate, the City Manager of the City and the Director of Finance of the City (the
?Authorized Officers?), are each hereby authorized and directed, for and in the name and on
behalf of the City, to execute and deliver the Ground Lease in substantially said form, with such
changes, insertions and omissions therein as the Authorized Officer executing the same may
require or approve, such approval to be conclusively evidenced by the execution and delivery
thereof.
Section 4.
The form of the Lease Agreement, on file with the City Clerk, is hereby
approved, and the Authorized Officers are each hereby authorized and directed, for and in the
name and on behalf of the City, to execute and deliver the Lease Agreement in substantially said
form, with such changes, insertions and omissions therein as the Authorized Officer executing
the same may require or approve, such approval to be conclusively evidenced by the execution
and delivery thereof; provided, however, that the aggregate amount of the principal components
of the Base Rental Payments shall not exceed $15,000,000, the term of the Lease Agreement
shall terminate no later than July 1, 2021 (provided that such term may be extended as provided
therein) and the true interest cost applicable to the interest components of the Base Rental
Payments shall not exceed 6.0% per annum.
Section 5.
The form of Indenture, on file with the City Clerk, is hereby approved, and
the Authorized Officers are each hereby authorized and directed, for and in the name and on
behalf of the City, to execute and deliver the Indenture in substantially said form, with such
changes, insertions and omissions therein as the Authorized Officer executing the same may
require or approve, such approval to be conclusively evidenced by the execution and delivery
thereof; provided, however, that the aggregate amount of the Bonds shall not exceed
$15,000,000, the final maturity date of the Bonds shall be no later than July 1, 2021 and the true
interest cost applicable to the Bonds shall not exceed 6.0% per annum and, provided, further, that
such changes, insertions and omissions shall be consistent with the terms of the Bonds
established by offering the Bonds at public sale pursuant to the Notice Inviting Bids.
Section 6.
The issuance of not to exceed $15,000,000 aggregate principal amount of the
Bonds, in the principal amounts, bearing interest at the rates and maturing on the dates as
specified in the Indenture as finally executed, is hereby approved.
Section 7.
The form of Notice of Intention to Sell, on file with the City Clerk, with such
changes, insertions and omissions therein as may be approved by an Authorized Officer, is
hereby approved, and the use of the Notice of Intention to Sell in connection with the offering
and sale of the Bonds is hereby authorized and approved.
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Section 8.
The form of Notice Inviting Bids, on file with the City Clerk, with such
changes, insertions and omissions therein as may be approved by an Authorized Officer, is
hereby approved, and the use of the Notice Inviting Bids in connection with the offering and sale
of the Bonds is hereby authorized and approved.
Section 9.
The form of Preliminary Official Statement, on file with the City Clerk, with
such changes, insertions and omissions therein as may be approved by an Authorized Officer, is
hereby approved, and the use of the Preliminary Official Statement in connection with the
offering and sale of the Bonds is hereby authorized and approved. The Authorized Officers are
each hereby authorized to certify on behalf of the City that the Preliminary Official Statement is
deemed final as of its date, within the meaning of Rule 15c2-12 (except for the omission of
certain final pricing, rating and related information as permitted by Rule 15c2-12).
The Authorized Officers are each hereby authorized and directed to furnish, or cause to
be furnished, to prospective bidders for the Bonds a reasonable number of copies of the
Preliminary Official Statement.
Section 10.
The preparation and delivery of an Official Statement, and its use in
connection with the offering and sale of the Bonds, is hereby authorized and approved. The
Official Statement shall be in substantially the form of the Preliminary Official Statement with
such changes, insertions and omissions as may be approved by an Authorized Officer, such
approval to be conclusively evidenced by the execution and delivery thereof. The Authorized
Officers are each hereby authorized and directed, for and in the name of and on behalf of the
City, to execute the final Official Statement and any amendment or supplement thereto for and in
the name and on behalf of the City.
Section 11.
The form of Continuing Disclosure Certificate, on file with the City Clerk, is
hereby approved, and the Authorized Officers are each hereby authorized and directed, for and in
the name and on behalf of the City, to execute and deliver the Continuing Disclosure Certificate
in substantially said form, with such changes, insertions and omissions therein as the Authorized
Officer executing the same may require or approve, such approval to be conclusively evidenced
to the execution and delivery thereof.
Section 12.
The officers, employees and agents of the City are hereby authorized and
directed, jointly and severally, to do any and all things which they may deem necessary or
advisable in order to consummate the transactions herein authorized and otherwise to carry out,
give effect to and comply with the terms and intent of this Resolution.
Section 13.
All actions heretofore taken by the officers, employees and agents of the
City with respect to the transactions set forth above are hereby approved, confirmed and ratified.
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Section 14.
The City Clerk shall certify to the adoption of this Resolution and
thenceforth and thereafter the same shall be in full force and effect.
APPROVED AS TO FORM:
S/
Marsha Jones Moutrie, City Attorney
Adopted and approved this 14th day of September 1999.
S/
Mayor
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I hereby certify that the foregoing Resolution No. __________ (CCS) was duly
adopted by the City Council of the City of Santa Monica at a meeting thereof held on
September 14, 1999 by the following Council vote:
Ayes: Councilmembers:
Noes: Councilmembers:
Abstain: Councilmembers:
Absent: Councilmembers:
ATTEST:
City Clerk
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Adopted and approved this 14th of September, 1999
S/____________________
Pam OConnor, Mayor
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I, Maria M. Stewart, City Clerk of the City of Santa Monica, do hereby
certify that the foregoing Resolution 9435 (CCS) was duly adopted at a meeting
h
of the Santa Monica City Council held on the 14 of September, 1999, by the
following vote:
Ayes: Council members: Rosenstein, McKeown, Feinstein, Bloom,
Holbrook, Mayor Pro Tem Genser, Mayor
OConnor
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Noes: Council members: None
Abstain: Council members: None
Absent: Council members: None
ATTEST:
S/_______________________
Maria M. Stewart
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