HomeMy WebLinkAboutMINUTES - 10131987 - 1.55 1-USS
BOARD OF SUPERVISORS
COUNTY OF CONTRA COSTA, CALIFORNIA
RESOLUTION NO. 87/614
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE
COUNTY OF CONTRA COSTA PROVIDING FOR THE BORROWING OF
FUNDS FOR FISCAL YEAR 1987-1988 AND THE ISSUANCE AND
SALE OF 1987 TAX AND REVENUE ANTICIPATION NOTES FOR
THE CONTRA COSTA COMMUNITY COLLEGE DISTRICT
WHEREAS, pursuant to Sections 53850 to 53858, both
inclusive, of the Government Code of the State of California
(herein called the "Code" ) (being Article 7.6, Chapter 4,
Part 1, Division 2, Title 5 of said Code) , the Governing Bcard
of Contra Costa Community College District (herein called the
"District") has filed with this Board of Supervisors (herein
called the "Board" ) a resolution requesting that the Board
borrow money for the District by the authorization, issuance
and sale of up to Five Million Dollars ($5,000,000) principal
amount of 1987 Tax .and Revenue Anticipation Notes of the
District in anticipation of the receipt of taxes, income,
revenue, cash receipts and other moneys to be received by the
District for the General Fund of the District during or
attributable to Fiscal Year 1987-1988; and
WHEREAS, the Governing Board of the District has
found and determined that the sum of Five Million Dollars
($5,000,000) , when added to the interest payable thereon, does
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RESOLUTION NO . 87/614
not exceed eighty-five per cent (85%) of the estimated amount
of the- uncollected taxes, income, revenue, cash receipts and
other moneys to be received by the District for the General
Fund of the District during or attributable to Fiscal Year
1987-1988 and available for the payment of the principal of
and the interest on said notes; and
WHEREAS, the County intends to borrow, for and in
the name of the District for the purposes set forth above,
Five. Million Dollars ($5,000,000) by the issuance of said
notes; and
WHEREAS, pursuant to Section 53856 of the Code,
certain moneys which will be received by the District for the
General Fund of the District during or attributable to Fiscal
Year 1987-1988 can be pledged for the payment of the principal
of and the - interest on said, notes (as hereinafter provided) ;
and .
WHEREAS, Bank of America National Trust and Savings
Association (herein called the "Underwriter") intends to
submit an offer to purchase said notes and has submitted a
form of Note Purchase Agreement (herein called the "Purchase
Agreement") to the Board, which form has been approved by the
District;
NOW, THEREFORE, the Board of Supervisors of the
County of Contra Costa hereby resolves as follows:
Section 1. All the above recitals are true and
correct and this Board so finds, determines and represents.
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Section 2. Solely for the purpose of anticipating
taxes, income, revenue, cash receipts and other moneys to be
received by the District for the General Fund of the District
during or attributable to Fiscal Year 1987-1988, and not .
pursuant to any common plan of financing, the County hereby
determines to and shall issue (for and on behalf of the
District) Five Million Dollars ($5,000,000) principal amount
of temporary notes under Sections 53850 et sec . of the Code,
designated "Contra Costa Community College District 1987 Tax
and Revenue Anticipation Notes" (herein called the "Notes" ) ,
to be numbered from one consecutively upward in order of
issuance, to be in the denomination of twenty-five thousand
dollars ($25,000) , to be dated October 15, 1987, to mature
(without option of prior redemption) on September 30, 1988,
and to bear interest, payable at maturity and computed upon
the basis of a 360-day year consisting of twelve 30-day
months, at a rate not to exceed 12% per annum, as. determined
by the Treasurer-Tax Collector of the County (herein called
the "County Treasurer") with the approval of the District, in
accordance with the Purchase Agreement. Both the principal of
and interest on the Notes shall be payable, but only upon
surrender thereof, in lawful money of the United States of
America at the principal office of Bank of America National
Trust and Savings Association in San Francisco, California.
Section 3. The Notes shall be issued without
coupons and shall be substantially in the form and substance
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set forth in Exhibit A attached hereto and by reference
incorporated herein, the blanks in said form to be filled in
with appropriate words or figures. .
Section 4. The moneys so borrowed shall be
deposited in the General Fund of the District.
Section S. (A) The principal amount of the Notes,
together with the interest thereon, shall be payable from
taxes, income, revenue, cash receipts and other moneys which
are received by the District for the General Fund of the
District during or attributable to Fiscal Year 1987-1988 and
which are available for payment thereof. As security for the
payment of the principal of and interest on the Notes, the
County (for and on behalf of the District) hereby pledges
certain secured property taxes (as hereinafter provided) which
are received by the District for the General Fund of the
District during or attributable to Fiscal Year 1987-1988, and
the principal of the Notes and the interest thereon shall
constitute a first lien and charge thereon and shall be
payable from the first moneys received by the District from
such pledged secured property taxes, and, to the extent not so
paid, shall be paid from any other taxes, income, revenue,
cash receipts and other moneys of the District lawfully
available therefor (all as provided for in Sections 53856 and
53857 of the Government Code) . In order to effect this
pledge, the County agrees to cause to be created and
established a special fund, designated the "Contra Costa
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Community College District 1987 Tax and Revenue Anticipation
Note Repayment Fund" (herein called the "Repayment Fund" ) ,
which fund will be held by the County Treasurer, acting as the
responsible agent to maintain such fund until the payment of
the principal of the Notes and the interest thereon, and the
County agrees to cause to be deposited directly therein the
first Two Million Dollars ($2.,000,000) of the first
installment of secured property taxes to be received by the
District which become due and payable on November- 1, 1987, and
become delinquent after December 10, 1987, and the first Three
Million Dollars ($3,000,000) , together with an amount
sufficient to pay the interest on the Notes, of the second
installment of secured property taxes to be received by the
District which become due and payable on February 1, 1988, and
become delinquent .after April 10, 1988 (such pledged amounts
being hereinafter called the "Pledged Revenues") . In the
event that there are insufficient secured property taxes
received by the District to permit the deposit into the
Repayment Fund of the full amount of the Pledged- Revenues to
be deposited, by January 31, 1988, or by May 31, 1988, as the
case may be, then the amount of any deficiency shall be
satisfied and made up on such dates from any other moneys of
the District lawfully available for the repayment of the Notes
and interest thereon.
(B) Any moneys placed in the Repayment Fund shall
be for the benefit of the holders of the Notes, and until the
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principal of the Notes and all interest thereon are paid or
until provision has been.made for the payment of the principal
of the Notes at maturity with interest ,to maturity, the moneys
in the Repayment Fund shall be applied only for the purposes
for which the Repayment Fund is created.
(C) From the date this resolution takes effect, all
Pledged Revenues shall, when received, be deposited in the
Repayment Fund. On September 30, 1988, the moneys in the
Repayment Fund shall be used, to the extent necessary, to pay
the principal of and interest on the Notes. Any moneys
remaining in or accruing to the Repayment Fund after the
principal of thn Notes and the interest thereon have been
paid, or provision for such payment has been made, shall be
transferred to the General Fund of the District.
(D) Moneys in the Repayment Fund, to the greatest
extent possible, shall be invested by the County Treasurer, as
permitted by applicable California law, as it is now in effect
and as it may be amended, modified or supplemented from time
to time; provided that no such investments shall have a
maturity date later than the maturity date of the Notes.
Section 6. The County Treasurer or one or more
deputies to the County Treasurer are hereby authorized to
manually execute the Notes and the Clerk of this Board and
County Administrator is hereby authorized to countersign the
Notes by facsimile signature. The Clerk of this Board and
County Administrator is hereby authorized to affix the seal of
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the County to the Notes either manually or by facsimile
impression thereof. The County Treasurer is hereby authorized
to cause the blank spaces of the Notes to be filled in as may
be appropriate.
Section 7. It is hereby covenanted that the County,
and its appropriate officials, have duly taken all proceedings
necessary to be taken by them, and will take any additional
proceedings necessary to be taken by them, for the levy,
collection and enforcement of the Pledged Revenues in
accordance with law for carrying out the provisions of this
Resolution and the Notes.
Section 8. All the Notes shall be sold to the
r Underwriter in accordance with the terms of the Purchase
Agreement in substantially the form presented to this meeting
and by reference incorporated herein (as shall be finally
approved by the County Treasurer as hereinbelow provided) .
Section 9. The Purchase Agreement relating to the
Notes, in substantially the form attached hereto as Exhibit B,
is hereby approved with such additions, changes or corrections
as the County Treasurer may approve upon consultation with the
District, and the County Treasurer is hereby authorized to
execute the Purchase Contract.
Section 10. The -distribution of the Official
Statement in connection with the offering and sale of the
Notes, dated October 13, 1987, in substantially the form
presented to this meeting with such additions, changes or
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corrections as the -County Treasurer may approve upon
consul-tation• with the District is hereby approved.
Section 11. (a) The County will not make any use of
the proceeds of the Notes or any other funds of the District
which would cause the Notes to be "arbitrage bonds" subject to
federal income taxation by reason of Section 148 of the
Internal Revenue Code of 1986, as amended (the "Code" ) ,
"private activity bonds" subject to federal income taxation by
reason of Section 141(a) of the Code, or obligations subject
to federal income taxation because they are "federally
guaranteed" as provided in Section 149(b) of the Code; and to
that end the Cr,snty, with respect to the proceeds of the
Notes, will comply with all requirement of such sections of
the Code and all regulations of the United States Department
of the Treasury issued thereunder to the extent that such
requirements are, at the time, applicable and in effect, and
will comply with the provisions of the Letter of Instructions
delivered to the County and the District by Orrick, Herrington
& Sutcliffe, dated the date of issuance of the Notes, as
originally executed and as it may be amended from time to time
(the "Letter of Instructions") .
(b) In furtherance of the covenants of the County
.set forth above, the County will cause the County Treasurer to
comply with the Letter of Instructions, and the County hereby
agrees and covenants to establish and maintain with the County
Treasurer the "Contra Costa Community College District •1987
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Tax and Revenue Anticipation Note Rebate Fund" and to use such
fund to segregate the Rebate Requirement (as that term is
defined in the Letter of Instructions) and Rebate Earnings (as
that term is defined in the Letter of Instructions) from all
others moneys of the County in accordance with the Letter of
Instructions.
Section 12. The County Treasurer and the Clerk of
this Board of Supervisors and County Administrator are hereby
authorized and directed to execute and deliver the Notes to
the Underwriter, pursuant to the terms and conditions of the
Purchase Agreement. All actions heretofore taken by the
officers and agents of the County or this Board with respect
to the sale and issuance of the Notes are hereby approved,
confirmed and ratified and the officers and agents of the
County and this Board are hereby authorized and directed, for
and in the name and on behalf of the County, to do any and all
things and take any and all actions and execute any and all
certificates, agreements and other documents which they, or
any of them, may deem necessary or advisable in order to
consummate the lawful issuance and delivery of the Notes in
accordance with this resolution.
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J ,
PASSED AND ADOPTED this 13th -day of October, 1987,
by the following vote:
AYES: Supervisors Powers , Fanden, Schroder , Torlakson, McPeak.
NOES: None.
ABSENT: None.
Chairman of the oard- of Supervisors
Phil Batchelor, Clerk of the Board of
ATTEST: Supervisors and County Administrator
Clerk of the oard
of -Supervisors
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CLERK' S CERTIFICATE
I, .PHIL BATCHELOR, Clerk of the Board of Supervisors .
and County Administrator of the County of Contra Costa,
California, do 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 legally held at the regular meeting place thereof on
the 13th day of October, 1987, of which meeting all of the
members of said Board of Supervisors had due notice and at
which 5 members thereof were present; that at said meeting
said resolution was introduced by Supervisor McPeak
and was thereupon, upon motion of Supervisor Schroder ,
seconded by Supervisor Dowers adopted by the
following vote:
AYES: Supervisors Powers , Fanden, Schroder , Torlakson, McPeak.
NOES: None .
ABSENT: None.
I do hereby further certify that I have carefully
compared the same with the original minutes of said meeting on
file and of record in my office and that said 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 in now in full force and
effect.
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WITNESS my hand and seal of the Board of Supervisors
of the- County of Contra Costa, State of California, this 13th
day of October, 1987.
(SEAL)
PHIL BATCHELOR
Clerk of the Board of Supervisors
and County Administrator of the
County of Contra Costa.
By
_ &&n&6f:
Deputy
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EXHIBIT A
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF CONTRA COSTA
CONTRA COSTA COMMUNITY COLLEGE DISTRICT
1987 TAX AND REVENUE ANTICIPATION NOTE
No. $25,000
FOR VALUE RECEIVED, the Contra Costa Community
College District (the "District" ) , County of Contra Costa,
California, acknowledges itself indebted to and promises to
pay to the holder hereof, at the principal office of Bank of
America National Trust and Savings Association in San
Francisco, California, the principal sum of
TWENTY-FIVE THOUSAND DOLLARS ($25,000)
in lawful money of the United States of America, on
September 30, 1988, together with interest thereon at the
rate of
PER CENT (_%)
per arum, upon the basis of a 360-day year consisting of
twelve 30-day months, in like lawful money from the date
hereof until payment in full of said principal sum. Both the
principal of and interest on this Note shall be payable only
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upon surrender of this Note as the same shall fall due;
provided, however, no interest shall be payable for any period
after maturity during which the holder hereof fails to
properly present this Note for payment.
It is hereby certified, recited and declared that
this Note . is one of an authorized issue of Notes entitled,
"Contra' Costa Community College District 1987' Tax and Revenue
Anticipation Notes" (the "Notes") , in the aggregate principal
amount of Five Million Dollars ($5,000,000) , all of like date,
tenor and effect, made, executed and given pursuant to and by
authority of a resolution of the Board of Supervisors of the
County of Contra Costa duly passed and adopted on October 13,
1987 (at the request of the District pursuant to a resolution
of the Governing Board of the District duly passed and adopted
on May 20, 1987) under and by authority of Article 7.6
(commencing with Section 53850) of Chapter 4, Part 1, Division
2, Title 5 of the California Government Code, and that all
acts, conditions and things required to exist, happen and be
performed precedent to and in the issuance of this Note have
existed, happened and been performed in regular and due time,
form and manner as required by law, and that this Note,
together with all. other indebtedness and obligations of the
District, does not exceed any limit prescribed by the
r.
Constitution or statutes of the State of California.
The principal amount of the Notes, together with the
interest thereon, shall be payable from taxes, income,
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revenue, cash receipts and other moneys which are received by
the District for the Fiscal Year 1987-1988. As security for
the payment of the principal of and interest on this Note and
all Notes of said authorized issue, the District has pledged
certain secured property taxes to be received by the District
for the General Fund of the District during or attributable to
Fiscal Year 1987-1988 (as provided in said resolutions) , and
the principal of and the interest on this Note and all Notes
of said authorized issue shall constitute a first lien and
charge thereon and shall be payable therefrom, and to the
extent not so paid shall be paid from any other moneys of the
District lawfully available therefor.
IN WITNESS WHEREOF, the County of Contra Costa has
caused this Note to be executed by its Treasurer-Tax Collector
by manual signature, and countersigned by the Clerk of its
Board of Supervisors and County Administrator by facsimile
signature and has caused its official seal to be printed
hereon .this 15th day of October, 1987.
COUNTY OF CONTRA COSTA
By
Treasurer-Tax Collector
(SEAL)
Countersigned:
Clerk of the Board of Supervisors
and County Administrator
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