HomeMy WebLinkAboutMINUTES - 07221997 - C67 TO: BOARD OF SUPERVISORS 5E--L.-
-� Contra
FROM: Costa
Phil Batchelor, County Administrator '
�4o County
cP�
DATE: July 22, 1997
SUBJECT: Refunding of 1991 Certificates of Participation
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS:
1. Adopt resolution determining to proceed with refunding of the 1991
Certificates of Participation.
2. Authorize the County Administrator to take the necessary actions to
accomplish the refunding.
FINANCIAL IMPACT:
Refunding of the 1991 Certificates of Participation will result in a decrease in the
interest cost for the funding of the buildings financed with the original issue.
The current interest rate market is very favorable, especially in relation to what
existed in 1991. Depending on the interest rates at the time of sale, the savings
on the debt service could exceed $2,000,000 in net present value over the
remaining term of the securities. In addition to reducing the interest cost,
additional funds will be added to the borrowing to cover the cost for the remodel
of the Sheriff's Dispatch Center and for purchase of a building for the Public
Defender upon completion of renovations.
BACKGROUND:
The 1991 COP issue was used to acquire the buildings at 10, 40 and 50 Douglas
Drive in Martinez. An opportunity exists to reduce the debt service costs for
those buildings due to the current favorable interest rates. In addition, the
Board approved a lease purchase of a building for the Public Defender in
Martinez. Funds will be included in the refunding to exercise the purchase
option after the renovations are complete for 'that building. The debt service for
the Public Defender's_building will be covered by cancellation of existing leases
currently occupied by that office in other locations. Funding for e approved
remodel of the Sheriff's Dispatch Center will also be included.
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON �-� APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
/ I HEREBY CERTIFY THAT THIS IS A TRUE
V UNANIMOUS(ABSENT ) AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
ATTESTED
Contact: De Bell 335-1093 PHIL BAT(HELD ,CLERK OF THE BOARD OF
cc: County Administrator SUPERVISORS AND COUNTY ADMINISTRATOR
County Counsel ,
Auditor-Controller
Treasurer-Tax Collector BY DEPUTY
General Services
C- 7
-2-
The tax-exempt deferred financing of County buildings has been a very cost
effective program resulting in ownership of buildings with much of the cost
reimbursed by State and Federal programs. The move away from no-equity leases
has provided significant savings for the County over time.
1
RESOLUTION NO. 97/401
OF THE BOARD OF SUPERVISORS OF THE
COUNTY OF CONTRA COSTA
CALIFORNIA
RESOLUTION DETERMINING TO PROCEED WITH CERTIFICATE OF
PARTICIPATION FINANCING FOR REFUNDING OF CERTIFICATES OF
PARTICIPATION (1991 COUNTY BUILDINGS ACQUISITION PROJECT), AND
AUTHORIZING COUNTY OFFICIALS TO TAKE NECESSARY ACTIONS AND TO
PREPARE NECESSARY DOCUMENTS.
WHEREAS, this Board of Supervisors hereby determines that it would be in
the best interest of the County to proceed with a certificate of participation financing (the
"Certificates of Participation") for the refunding of the outstanding Certificates of
Participation (1991 County Buildings Acquisition Project) (herein called the "Outstanding
Certificates of Participation") and the financing of certain additional capital improvements;
WHEREAS, this Board of Supervisors desires to authorize the County
Administrator to prepare necessary legal documents, determine the manner of sale of the
Certificates of Participation and to take other preliminary actions in connection with the
proposed issuance of Certificates of Participation.
NOW, THEREFORE, BE IT RESOLVED by the Board of Supervisors of the
County of Contra Costa, as follows:
SF2-76912.2
Section 1. This Board of Supervisors hereby determines to proceed with a
Certificate of Participation financing for the refunding of Outstanding Certificates of
Participation and the financing of certain additional capital improvements.
Section 2. The County Administrator is hereby authorized and directed to
prepare the necessary legal documents to accomplish said financing, and to determine the
r
manner of sale of the Certificates of Participation, including, in the event the County
Administrator determines that a negotiated underwriting would be in the best interest of the
County, the selection of an underwriter.
Section 3. C. M. de Crinis & Co., Inc. is hereby appointed as financial
advisor in connection with the Certificates of Participation and Orrick, Herrington &
Sutcliffe LLP is hereby appointed as special counsel in connection with the Certificates of
Participation.
SM-76912.2 2
Section 4. This resolution shall take effect from and after its date of adoption.
PASSED AND ADOPTED THIS 22nd day of July, 1997.
AYES: Supervisors Rogers, Uilkema, Gerber, Canciamilla, DeSaulnier
NOES: None
ABSENT: None
[Seal]
Chairman of the Board of Supervisors
ATTEST: Philip J. Batchelor,
Clerk of the Board of Supervisors
and County Administrator
of the County of Contra. Costa
State of California
By.
Dep ut lerk
SF2 76912.2 3
CLERK'S CERTIFICATE
I, Shirley Casillas , Deputy Clerk of the Board of Supervisors of the County of
Contra Costa, hereby certify that the foregoing is a full, true and correct copy of a resolution
duly adopted at a regular meeting of the Board of Supervisors of said County duly and
regularly held at the regular meeting place thereof on the 22nd day of July, 1997, of which
meeting all of the members of said Board of Supervisors had due notice and at which a
majority thereof were present; and that at said meeting said resolution was adopted by the
following vote:
AYES: SADersors Pogers, ttilkcro, Gerber, Camciaralla, DaSaihtier
NOES: Nam
ABSENT: Nave
An agenda of said meeting was posted at least 72 hours before said meeting at
651 Pine Street , Martinez, California, a location freely accessible to members of the public,
and a brief general description of said resolution appeared on said agenda.
I further certify that I have carefully compared the same with the original
minutes of said meeting on file and of record in my office; that the foregoing resolution is a
full, true and correct copy of the original resolution adopted at said meeting and entered in
said minutes; and that said resolution has not been amended, modified or rescinded since the
date of its adoption, and the same is now in full force and effect.
SF2-76912.2
t
WITNESS my hand and the seal of the County of Contra Costa this 22nd day
of July, 1997.
Deputy Clerkthe Board of Supervisors
of the County of Contra Costa
State of California
[Seal]
SM-76912.2 2
ERRICK, HEtZRINGTON
SUTCLIFFE LLP
July 8, 1997
Direct Dial
(415) 773-5524
MEMORANDUM TO INTERESTED PARTIES
(as set forth in the attached list)
Re: County of Contra Costa
1997 Refunding Certificates of Participation
(County Buildings Project)
Enclosed is a draft of the Resolution Determining to Proceed with
Certificate of Participation Financing. Please call me with any questions or
comments.
Very truly yours,
Philip C. Morg
PCM/nr
Enclosure
Old Federal Reserve Bank Building • 400 Sansome Street • San Francisco,California 94111-3143
Telephone 415 392 1122 • Facsimile 415 773 5759
Los Angeles • New York • Sacramento • Silicon Valley • Singapore • Washington,D.C.
SF2-3456.1