HomeMy WebLinkAboutRESOLUTIONS - 01011993 - 1993-244 RESOLUTIONNO. 9 3 i 244
RESOLUTION AUTHORIZING ISSUANCE OF BONDS
ASSESSMENT DISTRICT NO. 1992-1
MRACK ROAD IMPROVEMENTS CAMINO TASSAJARA AREA
The Board of Supervisors of the County of Contra Costa resolves.
Section 1. RECITAIS. On June 16, 1992, the Board''of Supervisors of the
County of Contra Costa adopted its resolution of intention, to order improvements
in Assessment District No. 1992-1, Mrack Road Improvements Camino''Tassaiara Area,
County of Contra Costa, California, under the provisions of the Municipal
Improvement Act of 1913'' (the "Act"), as amended. Proceedings taken 'under the Act
led to the levy of a ,special assessment by the Board against parcels of land'within
the assessment'district in the total amount of $2,321,569.00 These assessments will
be recorded in the office of the County Recorder of the County of Contra Costa, and
thereupon will become a lien on each parcel assessed.
Section 2. ISSUANCE OF BONDS. The Board 'hereby authorizes the issuance
of improvement bonds under the provisions of the Improvement Bond Act of 1915
to represent unpaid assessments in the amount of $2,312,598.00. Each bond shall
be designated, "Limited Obligation Improvement Bond, County of Contra Costa,
Assessment District No. 1992-1, Mrack Road Improvements Camino Tassajara Area,
Series No. 1992-1." Bonds shall be dated approximately the date: of delivery and
issued in denominations of $5000 or integral multiples thereof, except for Bond No.
1, which may be an odd amount, and may issued as serial bonds, term bonds, or
any combination thereof. Bonds shall mature in principal amounts as set forth in
the table attached as':Exhibit A. The bond date and interest rates on the bonds shall'`
be as set forth in the bond purchase contract,
Section 3. APPOINTMENT OF 'PAYING AGENT REGISTRAR AND TRANSFER
AGENT. The Beard hereby appoints the Bank of America National Trust and Savings
RESOLUTION NO,. 93/244
Association (the "Bank") as paying agent, registrar and transferagent_for the bonds in
accordance with an agreement between the County of Contra Costa and the Bank.
Section 4. FORM'AND EXECUTION. Bonds 'shall be issued as fully registered
bands substantially in the form set forth as Exhibit B to this resolution. The bands
shall be signed by the County Treasurer and the County Clerk and the seal of the
County shall be affixed. Both signatures and seal may be reproduced on the bonds
by facsimile, but upon its registration or rerefistration each bond shall be
authenticated by the manual signature of the Bank
The Bank shall assign to each bond authenticated and registered by it a
distinctive letter, or number, or letter and number, and shall maintain a record
thereof which shall be available to the County for inspection.
Section . ESTABLISHMENT OF SPECIAL FUNDS. For administering the
proceeds of the sale of bonds and payment of interest and principal on the bonds,
there are hereby established five funds to be known as the improvement fund, the
redemption fund, the special reserve fund, the investment earnings fund and the
arbitrage rebate fund, respectively, for Assessment District No. 1992-1, Mrack Road
Improvements Camino Tassajara Area, County of Contra Costa, California.
Section 5.1. IMPROVEMENT FUND. Except'as provided in Section 5.3,:
proceeds of sale of the bonds, together with all amounts paid on the assessments
before'bond`issuance, shall be deposited in the improvement fund to be maintained
by the County Treasurer. Disbursements from the improvement fund shall be 'made
by the County 'Treasurer in accordance with the budget of estimated costs and
expenses set forth in the engineer's report heretofore approved by the Board, which
report and budget are subject to modification by the Board from time to time as
prescribed by the:Act.
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RESOLUTION NO. 93/244
Section 5.2. REDEMPTIQN FUND. The redemption fund shall be maintained
by the County Treasurer. All:payments of principaland interest installments on the
assessments, together with penalties, if any, shall be deposited in the redemption
fund, which shall be a trust fund for the benefit of the bondholders. Payment of the
bonds at maturity, or at redemption before maturity, and all interest on the bonds
shall be made from the redemption fund. The County Treasurer shall deposit into
the redemption fund, from the proceeds of the sale of the bonds, the amount of
$223,918.00 which shall be applied to payment of the first payable interest on the
bonds until fully expended.
Section 5.3 SPECIAL RESERVE FUND. There shall be deposited into the
special reserve fund the amount of $69,377.94 from the proceeds of the sale of
bonds. That amount, less any amounts transferred to the redemption fund pursuant
to Section 8884 of the Streets and Highways Code, shall constitute the "Reserve
Requirement" for the bonds. The special reserve fund shall be maintained by the
County Treasurer;
A. During the term of the bonds, the amount in the special reserve fund shall
be available for transfer into the redemption fund in accordance with Section 8883
and 8808 of the Streets:and Highways Code. <The amount so advanced shall b
reimbursed to the special reserve fund from the proceeds of redemption or sale of
the parcel for which payment of delinquent assessment installments;was made from
the special reserve fund.
B. If any assessment is prepaid before final «maturity of the bonds, the
amount of principal which the assessee is required to prepay shall be reduced by an
amount which is in the same ratio to the original amount of the special reserve fund
as the 'original amount of the prepaid assessment bears to the total amount of
unpaid assessments originally securing the Bands. 'This 44reduction in the amount of
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RESOLUTION NO. 93/244
R
principal prepaid shall be balanced by a transfer from the special reserve fund to the
redemption fund in the same:amount.
C. The amount maintained in the special reserve fund will never exceed
$200,000.00. Proceeds of investment of the special reserve fund shall be deposited
in the investment earnings fund.
D. When the amount in the special reserve fund equalsor exceeds the
amount required to retire the remaining unmatured bonds (whether by advance
retirement or otherwise), the amount of the special:reserve fund shall be transferred
to the redemption fund, and the remaining installments of principal and interest not
yet due'from assessed property owners shall be cancelled without payment.
Section 5.4. INVESTMENT EARNINGS FUND. Proceeds of the investment of
amounts in the improvement'fund and the special reserve fund will be deposited in
the investment earnings fund. As of September 2 of each year during the term of
the bonds, the County Treasurer shall determine whether any portion of'investment
earnings must be rebated to the United States pursuant to Section 148 of the United
States internal Revenue Code and regulations adopted thereunder. Any amounts
required to be rebated will be transferred to the arbitrage rebate fund, and the
balance will be transferred as follows:
(a) A transfer will be made from the investment earnings fund to the special
reserve fund in an amount that will not 'cause the balance in the special reserve
fund, including earnings thereon, to exceed $200,040.00 during the ensuing 12-
month 'period.
(b) The remaining balance in the investment earnings fund, if any, will be
transferred to the 'redemption fund to be used, in the discretion of the County
Treasurer, as a credit upon the annual installments of assessment or for the advance
retirement of bonds.
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RESOLUTION N0. 93/244
The County Treasurer is authorized to retain ''independent attorneys,
accountants and other consultants to assist in complying with Federal requirements.
Section 53. ARBITRACxE REBATE FUND. Amounts in the arbitrage rebate
fund shall be invested in the same manner as amounts in the other funds and shall
be held``in trust for rebate to the United Statesat the times required by Section 148
of the United States Internal Revenue Code and regulations adapted thereunder.
Section 5.6 RETURN OF UNCLAIMED FUNDS. Other provisions of this
resolution to the contrary notwithstanding, the Bank' shall return to the County any
funds held by it hereunder not later than thirty (30) days' before those funds would`
escheat to the State of California under any law now or hereafter enacted.
Section 6. PAYMENT ON BONDS. The principal and interest"on the bonds
shall be payable at the office of the Bank of America National Trust and Savings
Association, Glendale, California. principal and interest shall be paid by check„
mailed to the registered'owner of each bond at the owner's address'appearing on
the register maintained by the Bank on the 15th day preceding the date of payment.
Upon;the payment and cancellation of any bond, the bond shall be destroyed
and the Bank shall furnish the County a,certificate of destruction.
Section AT3VANCE RETIREMENT 4F BONDS. Any Bond or any;portion
thereof in the amount of $5,000 or any integral multiple thereof, may be redeemed
and paid in advance of maturity upon the second day of March or September in any
year by giving at least 30 days' notice by registered or certified mail or by personal
service to the registered owner thereof at such owner's address as it appears on the
registration books of the Bank and by paying principal and accrued'interest together'
with a premium equal to three percentum of the principal.
Section 8. REREGISTItATION. Any bond may be registered to a new owner
by completing the assignment certificate on the reverse of the bond :and delivering
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RESOLUTION NO. 93/244
the bond to the Bank. Upon'reregistration, any bond may be replaced by one or
more bonds of the same maturity,and aggregate amount in denominations of $`5000
or any integral multiple thereof.
Section 9 COVENANTS. In the event of a default in the payment of any
band or any installment of interest thereon, bondholders shall have the remedies set
forth in the Improvement Bond Act of 1915. In addition, the Board`makes the
following covenants, which shall constitute a contract with the bondholders;
Section 9.1. FORECLOSURE` OF LIENS.'' Not later than October 1 in any year,
the County shall file an action in the Superior Court to foreclose the lien of each
delinquent assessment if the sum of uncured assessment delinquencies for the
preceding fiscal year exceeds five percent (5%) of the .assessment installments posted
to the tax roll for that fiscal year, and if the amount of the special reserve fund is
less than $69,377.94.
Section 9.2. ARBITRM E. During the term of the`'bonds, the"County will
make no use of bond proceeds which, if such use had been reasonably expected at
the bate the bonds are issued, could have caused the bands to be "arbitrage bonds
within the meaning of Section 148 of the United States Internal Revenue Code of
1986, and regulations of the Internal Revenue Service adopted thereunder, and
further shall' rebate to the United States'any amounts required to be rebated on
account of arbitrage in accordance with the provisions of that Code and those
regulations.,
Section 9.3. MAINTENANCE OF TAX EXEMPTION, The County will take all
reasonable actions required to maintain the status of interest on the bonds as
excludable from gross income for federal income tax purposes and as exempt from
the State of California personal income taxes,
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RESOLUTION NO. 931244
I HEREBY CERTIFY that the foregoing resolution was duly and regularly
adapted by the Board of'Supervisors of the County of Contra Costa, State of
California, at the regularmeeting thereof, :held on the 11th day of May, 1993.
ATTEST:
PHIL BATCHELOR, 'Clerk of the
Board of Supervisors and
County .Administrator
By: r( c,,
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RESOLUTION NO. 93/244
MATURITY SCHEDULE
EXHIBIT A
Maturity Year, Principal
1995 $ 62,598
1996 $ 75,000
1997 $ 80,000
1998 $ 80,000
1999 $ 85,000
2000 $ 95,000
2001 $100,000
2002 $105,000
2003 $115,000
2004 $125,000
2005 $135,000
2006 $145,000:.
2007 $155,000
2008 $165,000
2009 $175,000
2010 $190,000
2011 $205,000'
2012 $220,000
RESOLUTION NO. 93/244EXH BIT
United States of America
State of California
County of Contra Costa
REGISTERED REGISTERED
Number $
LIMITED OBLIGATION IMPROVEMENT BOND
COUNTY OF CONTRA COSTA
ASSESSMENT DISTRICT NO. 1992-1
MRACK ROAD IMPROVEMENTS CAMINO TASSAJARA AREA
SERBS NO. 1992-1
INTEREST RATE MATURITY DATE BOND DATE CUSIP NUMBER
REGISTERED 0"ER:
PRINCIPAL SUM: DOLLARS
Under and:by virtue of the 'Improvement Bond Act of 1915, Division 14
(commencing with Section 8500), of the Streets and Highways Cade '(the "Act"), the
County of Contra Costa, State of California (the "County") will, out of the redemption
fund for the payment of the bonds issued upon the unpaid portion of assessments
made for the acquisition, work and improvements more fully described in
proceedings 'taken pursuant to Resolution of Intention No. 92/422, adopted by the
Board of Supervisors of the County of Contra"Costa on the loth day of June, 1992,
pay to the registered owner stated above or registered assigns, on the maturity date
stated above, the principal sum stated above, in lawful money of the United States of
America and in like manner will pay interest from the interest 'payment date next
preceding the date on which this Bond is authenticated, unless this Bond is
authenticated and registered as of an interest payment date,-in which event it shall
bear interest from such interest payment date, or unless this Bund is authenticated
and registered prier to March. 2, 1994, in which event it shall bear interest from its
date, until payment of such principal sum shall have been discharged, at the rate per
annum stated above, payable semiannually on March 2 and September 2 in each year
commencing:on March '2, 1994. Both the principal hereof and redemption premium
hereon' are payable at the principal corporate 'trust office of Bank of America National
Trust and Swings Association, or its successor, as Paying Agent, Registrar and Transfer
Agent, in Glendale, California' (the "Bank"), and the interest hereon is payable by
check by first-class mail, postage prepaid mailed on each interest payment.date to the
owner Hereof at the owner's address as it appears on the registration books of the
Bank, or at such address as may have been filed with the Bank for that purpose, as of
the fifteenth 'day immediately preceding each interest payment date.
REFERENCE IS MADE TO THE FURTHER PROVISIONS OF THIS BOND
SET FORTH ON THE REVERSE SIDE HEREOF 'WHICH SHALL FOR ALL PURPOSES
HAVE THE SAME EFFECT AS.THOUGH FULLY SET FORTH HEREIN.
This'Bond will continue to bear interest after maturity at the rate above
stated, provided, it is presented at maturity and payment'thereof is refused upon the
sole ground that there are not sufficient moneys in said redemption'fund with which
to pay same. If it is not presented at maturity, interest thereon will run until maturity.
This Bond shall not be entitled to any benefit under the Act or the
Resolution Authorizing Issuance of Bonds (the "Resolution of Issuance"), or become
valid or obligatory for any purpose, until the certificate of authentication and
registration hereon endorsed'shall'have been dated'' and signed by the Bank.
RESOLUTION NO. 93/244 �.. .
IN WITNESS WHEREOF, the County has caused this Bond to be signed
in: facsimile by the Treasurer of said County and byits Clerk, and has caused its
corporate seat to be reproduced in facsimile hereonall as of the 25th day;of May,
1993.
COUNTY OF CONTRA COSTA
Clerk Treasurer '
(SEAL)
Certificate of Authentication and Registration
This is one of the Bonds described in the within mentioned Resolution of Issuance,
which has been authenticated and registered on
BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION
as paying agent, registrar and transfer agent
By
Authorized Officer
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RESOLUTION NO. 93/244
(REVERSE OF BOND)
IJMITED OBLIGATION IMPROVEMENT BUND
COUNTY OF CONTRA COSTA
ASSESSMENT DISTRICT NO. 1992-1
MRACK ROAD IMPROVEMENTS CAMINO TASSAJA.RA AREA
SERIES NO. 1992-1
ADDITIONAL PROVISIONS OF THE BOND
This Bond is one of several' annual series of bonds of like date, tenor
and effect, but differing in amounts, maturities and interest rates, issued by the
County''of Contra Costa under the Act and the Resolution:of Issuance, for the purpose
of providing means for paying for the improvements described in said proceedings,
and is secured by the moneys in said redemption fund and by the unpaid portion o
said assessments made for the payment of said improvements, and, including principal
and interest, is payable exclusively out of said fund.
This Bond is transferable by the registered owner hereof, in person or
by the owner's attorney,.duly authorized in writing, at said office of the Bank, subject
to the terms and conditions provided in the Resolution of Issuance, including the
payment of certain chanes, if any, upon surrender and cancellation .of this Bond.
Upon such transfer, a new registered bond or bonds, of any authorized denomination
or denominations, of the same maturity, for the same aggregate principal amount, will
be issued to the transferee in exchange therefor.
Bands shall be registered only in the name of an individual (including
;dint owners), a corporation, a partnership or a trust.
Neither the County nor the Bank' shall be required to make such
exchange or registration of transfer of bunds during the fifteen (15) days immediately
preceding any interest payment date.
The County will not obligate itself to advance available funds from the
County treasury to cureany deficiency which may occur in the bond redemption
fund. A determination not to obligate itself shall not prevent the County from, in its
sale discretion, so advancing funds'.
The County and the Bank may treat the registered owner hereof as the
absolute owner for all purposes, and the County and the Bank' shall not be affected
by any notice to the contrary.
This Bond'or any portion of it in the amount of$5,000 or any integral'
multiple thereof, may be redeemed and paid in advance of maturity upon the second
day of March or September in any year by giving at least'30 days' notice by registered
or certified mail or by personal service to the registered owner hereof at such
owner's address as it appears on the registration books of the Bank and by paying
principal and accrued interest together with a premium equal to three percentum of
the principal.
I hereby certify that the fallowing is a correct copy of the signed legal
opinion of STURGIS, NQS, BRUNSELL & ASSAF a professional'corporation,
Emeryville, California, on file in my office.
Clerk of the Board. of Supervisors
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RESOLUTION NO. 93/244