HomeMy WebLinkAboutMINUTES - 03311987 - 1.49 RESOLUTION NO. 87/182
RESOLUTION APPROVING AGREEMENT FOR LEGAL SERVICES
ASSESSMENT DISTRICT 1987-1, PLEASANT HILL
BART STATION AREA REFUNDING
The Board of Supervisors of the County of Contra Costa
resolves:
This Board approves that certain agreement between the
County of Contra Costa and STURGIS , NESS , BRUNSELL & SPERRY a
professional corporation, for services of that firm as Special
Bond Counsel for Assessment District 1987-1, Pleasant Hill BART
Station Area Refunding, dated March 31, 1987 , and on file with
the Clerk of the Board.
The Chairman of the Board is authorized to sign the
agreement and the County Clerk is authorized to attest its
execution.
I HEREBY CERTIFY that the foregoing resolution was
duly and regularly adopted by the Board of Supervisors of the
County of Contra Costa, State of California, at a regular
meeting thereof, held on the 31st day of March, 1987.
ATTEST: March 31 , 1987
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
By a 1 Z'4-�-o
RESOLUTION NO. 87/182
RESOLUTION NO. 87/183
RESOLUTION APPROVING AGREEMENT
FOR ENGINEERING SERVICES
ASSESSMENT DISTRICT 1987-1, PLEASANT HILL
BART STATION AREA REFUNDING
The Board of Supervisors of the County of Contra Costa
resolves:
This Board approves that certain agreement between the
COUNTY of CONTRA COSTA and RICHARD NYSTROM for his engineering
services in Assessment District 1987-1, Pleasant Hill BART
Station Area Refunding , dated the 31st day of March, 1987 , and
on file with the County Clerk.
The Chairman of the Board is authorized to sign the
agreement and the County Clerk is authorized to attest its
execution.
I HEREBY CERTIFY that the foregoing resolution was
duly and regularly adopted by the Board of Supervisors of the
County of Contra Costa, State of California, at a regular
meeting thereof, held on the 31st day of March, 1987.
ATTEST: March 31 , 1987
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
By
_ a q*444
Depivy
RESOLUTION NO. 87/183
RESOLUTION NO. 87/184
RESOLUTION APPROVING AGREEMENT
FOR FINANCIAL CONSULTING SERVICES
ASSESSMENT DISTRICT 1987-1,
PLEASANT HILL BART STATION AREA REFUNDING
The Board of Supervisors of the County of Contra Costa
resolves:
This Board approves that certain letter agreement by
and between the COUNTY OF CONTRA COSTA, CONTRA COSTA CENTRE
ASSOCIATION, AND JOHN G. KERNS for his financial consulting
services in Assessment District 1987-1, Pleasant Hill BART
Station Area Refunding, dated February 17, 1987.
The Director of Community Development is authorized to
sign said letter agreement.
I HEREBY CERTIFY that the foregoing resolution was duly
and regularly adopted by the Board of Supervisors of the County
of Contra Costa, State of California, at a regular meeting
thereof, held on the 31st day of March, 1987.
ATTEST: March 31 , 1987
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
By
RESOLUTION NO. 87/184
RESOLUTION NO. 87/185
RESOLUTION OF INTENTION TO CONDUCT REASSESSMENT PROCEEDINGS
IN ASSESSMENT DISTRICT 1987-1, PLEASANT HILL
BART STATION AREA REFUNDING
The Board of Supervisors of the County of Contra
Costa, State of California resolves:
This Board hereby determines that the public interest
and necessity requires the refunding of all outstanding bonds
previously issued as Pleasant Hill BART Station Area (Assessment
District No. 1983-1) , dated April 5, 1984. This Board hereby
declares its intention to refund said outstanding bonds and to
levy reassessments pursuant to the Refunding Act of 1984 for
1915 Improvement Act Bonds (the "Act") as security for said
refunding bonds.
This Board hereby directs Richard Nystrom to prepare
and file with the County Clerk of the County of Contra Costa a
written report containing each of the items specified by Section
9523 of the Act.
Serial bonds representing unpaid reassessments, and
bearing interest at a rate not to exceed twelve percent (12%)
per annum, will be issued in the manner provided by the Act, and
the last installment of the bonds shall mature not later than
September 2, 2004.
The County will not obligate itself to advance
available funds from the County Treasurer to cure any deficiency
which may occur in the bond redemption fund. A determination
not to obligate itself shall not prevent the County from, in its
sole discretion, so advancing funds.
Until September 2, 1991, the procedure for the
collection of reassessment and advance retirement of bonds under
the Act shall be as provided in parts 8-11, Division 10 of the
RESOLUTION NO. 87/185
r .J a,••
Streets and Highways Code of the State of California.
Thereafter those proceedings will be taken under part 11.1 of
said Division 10.
The amount of any surplus remaining after completion
of the refunding shall be transferred to the reserve fund for
the refunding bonds.
I HEREBY CERTIFY that the foregoing resolution was
duly and regularly adopted by the Board of Supervisors of the
County of Contra Costa, State of California, at a regular
meeting thereof, held on the 31st day of March, 1987.
ATTEST: March 31 , 1987
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
By fit
4t-�
Depugy
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RESOLUTION NO. 87/185
RESOLUTION NO. 87/186
RESOLUTION APPROVING REASSESSMENT REPORT
AND CONFIRMING REASSESSMENTS
ASSESSMENT DISTRICT 1987-1, PLEASANT HILL
BART STATION AREA REFUNDING
BE IT RESOLVED by the Board of Supervisors of the
County of Contra Costa, California, as follows:
The Engineer of Work filed the written report
prescribed by Section 9523 of the Streets and Highways Code.
The Board of Supervisors hereby determines that no hearing on
this proposed reassessment is required, in that the owners of
all land subject to reassessment have signed and filed with the -
Board a written consent and waiver of any requirement of notice
or hearing and further have waived the right to contest the
reassessment by litigation. Accordingly, this Board of
i
Supervisors is authorized to proceed with approval and
confirmation of the report and with authorized issuance and sale
of the proposed refunding bonds without notice to the affected
landowners or hearing on the report.
This Board hereby approves and confirms the
Reassessment Report, including Exhibits A thr.ough I thereof.
All assessments originally levied in Assessment
District 1983-1, Pleasant Hill BART Station Area Refunding shall
be deemed supplanted and superseded by the reassessments
proposed hereby, except for any installments of principal and
interest on the original assessments which are delinquent on the
date of this resolution. Installments of principal and interest
on the original assessments which are now posted to the County
tax roll, but do not become delinquent until April 10, 1987 , are
not superseded and supplanted by the proposed reassessments.
RESOLUTION NO. 87/186
RESOLUTION NO. 87/187
RESOLUTION AUTHORIZING ISSUANCE OF REFUNDING BONDS
ASSESSMENT DISTRICT NO 1987-1, PLEASANT HILL
BART STATION AREA REFUNDING
BE IT RESOLVED by the Board of Supervisors of the
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County of Contra Costa, State of California:
Section 1. RECITALS. On March 31, 1987, the Board of
Supervisors of the County of Contra Costa adopted its resolution
of intention to conduct reassessment proceedings and issue
refunding bonds under the provisions of the Refunding Act of
1984 for 1915 Improvement Act Bonds (the "Act") . Proceedings
taken under the Act led to the levy of reassessments by the
Board of Supervisors against parcels of land within the
reassessment district in the total amount of $8,785,000. These
reassessments will be recorded in the office of the County
Recorder of the County of Contra Costa and thereupon will become
a lien upon each of the reassessment parcels. The refunding
bonds are being issued in the amount of the total reassessment.
Section 2. ISSUANCE OF BONDS. The Board of
Supervisors hereby authorizes the issuance of refunding bonds
and supplemental interest certificates under the provisions of
the Act to be secured by the reassessments. The bonds shall be
designated, "Assessment District 1987-1, Pleasant Hill BART
Station Area Refunding Bonds, County of Contra Costa,
California, Series No. 1987-1, Without Obligation to Advance
Funds. " In all respects not specified in this resolution, the
bonds shall be issued in the manner prescribed by the Act.
Bonds shall be issued in denominations of $5000 or integral
multiples thereof, and shall be dated April 16, 1987. Bonds
shall mature and shall bear interest (other than as described in
RESOLUTION NO. 87/187
M1 �
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Section 4.1 hereof) at the rates set forth in the table attached
as Exhibit A-1. The bonds shall bear additional interest,
represented by the supplemental interest certificates as
described in Section 4.1 hereof.
Section 3. APPOINTMENT OF PAYING AGENT, REGISTRAR AND
TRANSFER AGENT. The Board of Supervisors hereby appoints the
Bank of America National Trust & Savings Association as paying
•agent, registrar and transfer agent for the bonds in accordance
with an agreement between the County and the Bank heretofore
approved by the Board of Supervisors.
Section A. FORM AND EXECUTION. Bonds shall be issued
as fully registered bonds substantially in the form set forth in
Exhibit B to this resolution. In addition, supplemental
interest certificates as described in Section 4-1 shall be
issued as fully registered certificates substantially in the
form set forth in Exhibit B-1 to this resolution. The bonds and
supplemental interest certificates shall be signed by the
Treasurer and the Clerk of the Board and the seal of the County
shall be affixed thereto. All signatures and the seal may be
reproduced on the bonds and supplemental interest certificates
by facsimile but upon its registration or reregistration each
bond or supplemental interest certificate shall be authenticated
by the manual signature of the registrar.
The paying agent shall assign to each bond or
supplemental interest certificate 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 4.1. SUPPLEMENTAL INTEREST CERTIFICATES. A
portion of the interest payable on each bond maturing in an
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even-numbered year shall be represented by separate supplemental
interest certificates. The rate of interest represented by each
such certificate and the maturities of the bonds to which the
supplemental interest certificates pertain shall be as set forth
in Exhibit A-2. The supplemental interest certificates
represent a portion of the interest payable on the even-numbered
years, payable on each interest payment date from and including
March 2, 1988 to and including March 2, 1990. Supplemental
interest certificates shall be redeemable at the option of the
County in advance of any bond interest payment date and the
normal maturity by payment to the registered certificate owner
of the interest with respect to any such certificate to the date
of redemption of the bonds to which they relate.
Section 4.2 ADVANCE PAYMENT OF ASSESSMENTS AND ADVANCE
REDEMPTION OF BONDS. Assessments may be paid in full at any
time in accordance with the provisions of Part 8, Part 9, and
Part 11 or Part 11.1 of the Improvement Bond Act of 1915. In
the event of a prepayment of any assessment prior to March 2,
1990, the Treasurer shall select for advance redemption only
bonds which mature in odd numbered years, so far as such bonds
are available for advance redemption. It is the intent of this
provision that the supplemental interest certificates issued
with respect to bonds maturing in even numbered years shall not
be called for advance redemption unless and until all bonds
maturing in odd numbered years have been called for advanced
redemption. Payment in full of assessments after March 2, 1990
shall be governed by the provisions of Part 11.1 of the
Improvement Bond Act of 1915.
Section 5. ESTABLISHMENT OF SPECIAL FUNDS. For
administering the proceeds of the sale of bonds and payment of
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interest and principal on the bonds and supplemental interest
;certificates, there are hereby established five funds to be
..known as the escrow fund, the redemption fund, the special
reserve fund, the investment earnings fund and the excess
.investment earnings fund, respectively, for Assessment District
1987-1, Pleasant Hill BART Station Area Refunding.
Section 5.1. ESCROW FUND. Except as provided in
Section 5.3, proceeds of sale of the bonds and supplemental
interest certificates, together with the redemption fund and
:-.special reserve fund for the outstanding bonds for Assessment
.,District 1983-1, Pleasant Hill BART Station Area shall be
deposited with the County Treasurer . Disbursements from the
..escrow fund shall be made in accordance with the Reassessment -
for
eassessment for these proceedings. The amount of any surplus.
: remaining in the Escrow Fund after completion of the refunding; .
: of the bonds being refunded in these proceedings shall be
transferred to the Special Reserve Fund.
Section 5.2. REDEMPTION FUND. The redemption fund
. ,shall be maintained by the County Treasurer . All payments of
,_principal and interest installments on the reassessments,
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 prior to maturity, and all interest on the bonds
- (including that with respect to the supplemental interest
-:; certificates) shall be made from the redemption fund.
Section 5.3. SPECIAL RESERVE FUND. The special
reserve fund shall be maintained by the County Treasurer . There
shall be transferred into the special reserve fund the amount of
,. $263,550.00 from the special reserve fund established for the
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bonds being refunded with the proceeds of the bonds authorized
herein. The special reserve fund shall be administered as
follows and as described in Exhibit C hereto:
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 8808 of the
Streets and Highways Code. The amount so advanced shall be
reimbursed .to the special reserve fund from the proceeds of
redemption or sale of the parcel for which payment of delinquent
reassessment installments was made from the special reserve
fund.
B. If any reassessment 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, together with accrued interest, as the original
amount of the prepaid reassessment bears to the total amount of
reassessments originally levied in Assessment District 1987-1.
This reduction in the amount of principal prepaid shall be
balanced by a transfer from the special reserve fund to the
redemption fund in the same amount.
C. The amounts deposited in the reserve fund will
never exceed 10% of the proceeds or maximum annual debt service,
whichever is less.
D. When the amount in the special reserve fund
equals or 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
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cancelled without payment.
Section 5. 4. INVESTMENT EARNINGS FUND. The
investment earnings fund will be administered by the Treasurer
in the manner described in Exhibit C.
Section 5. 5. EXCESS INVESTMENT EARNINGS FUND. The
excess investment earnings fund will be administered by the
Treasurer in the manner described in Exhibit C.
Section 6. PAYMENT ON BONDS. The principal and
interest on the bonds and interest with respect to the
supplemental interest certificates shall be payable at the
office of the Bank of America National Trust & Savings
Association San Francisco, California. Principal and interest _
shall be paid by check, draft or warrant mailed to the
registered owner of each bond and supplemental interest
certificates at the owner ' s address appearing on the register
maintained by the registrar on the 15th day preceding the date
of interest payment or maturity of each bond.
Section 7. REREGISTRATION. Any bond and supplemental
interest certificates may be registered to a new owner by
completing the assignment certificate on the reverse of the
document and delivering the document to the registrar . 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 8. COVENANTS . In the event of a default in
the payment of any bond or any installment of interest thereon,
bondholders and owners of supplemental interest certificates
shall have the remedies set forth in the Act. In addition, the
Board of Supervisors makes the following covenants, which shall
constitute a contract with the bondholders and owners of
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supplemental interest certificates:
Section 8.1. FORECLOSURE OF LIENS. If any
installment of the principal or interest of any reassessment
levied in Assessment District 1987-1 becomes delinquent, the
Board of Supervisors shall cause an action to be filed in the
Superior Court of the County of Contra Costa to foreclose the
lien of the delinquent reassessment under the authority of
Section 8830 and following of the Streets and Highways Code of
the State of California. This action shall ' be filed not later
than one hundred fifty (150) days after the date of delinquency.
Section 8. 2. ARBITRAGE. During the term of the
bonds, the County will make no use of bond proceeds or the
proceeds of the supplemental interest certificates which, if
such use had been reasonably expected at the date the bonds are
issued, would have caused the bonds 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 authorized thereby. The detailed provisions of the
Arbitrage and Rebate Covenants are set forth in Exhibit C.
Section 8.3. MAINTENANCE OF TAX EXEMPTION. The
County will take all reasonable actions required to maintain the
status of the interest on the bonds (other than that represented
by the supplemental interest certificates) as interest which is
exempt from federal income taxes and State of California
personal income taxes.
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I HEREBY CERTIFY that the foregoing resolution was
duly and regularly adopted by the Board of Supervisors of the
County of Contra Costa, State of California, at a regular
meeting thereof , held on the 31st day of March, 1987.
ATTEST: March 31 , 1987
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
By
_ 0 S�4�
Dep t
8
I
BOND MATURITY SCHEDULE
Assessment District 1987-1, Pleasant Hili BART Station
Area Refunding, Contra Costa County, California
SEPT 2
MATURITY PRINCIPAL INTEREST
DATE AMOUNT RATE*'
1987 -
1988 5 ,000. 00 4 . 750
1989 5 , 000. 00 5 . 250
1990 5 ,000. 00 5 . 500
1991 5 ,000. 00 5 . 750
1992 245 ,000 . 00 6 . 00%
1993 480 ,000 . 00 6 . 200
1994 515 , 000. 00 6 . 40%
1995 545 , 000 . 00 6 . 60%
1996 580,000. 00 6 . 80%
1997 615 , 000 . 00 7 . 00%
1998 665 , 000. 00 7 .15%
1999 710 , 000 . 00 7 . 20%
2000 760 ,000 . 00 7 . 30%
2001 820 ,000. 00 7 . 40%
2002 875 ,000 . 00 7 . 50%
2003 945 ,000 .,00 7 . 50%
2004 1 , 010 . 000 . 00 7 . 50%
TOTAL: $8 ,785 ,000 . 00
* Does not include interest with
respect to the Supplemental Interest
Certificates as shown in Exhibit A-2 .
EMBITA - _
SUPPLEMENTAL INTEREST CERTIFICATES
INTEREST RATE SCHEDULE
(interest to be payable on each March 2 and September 2
commencing March 2 , 1988 and ending March 2 , 1990 or
the date of redemption of the bonds to which they
relate , if earlier) :
SUPPLEMENTAL
SEPT. 2 INTEREST
BOND CERTIFICATE;
MATURITY INTEREST
DATE RATE*
1988 3.150%
1990 3.1500
1992 3.1500
1994 3. 1500
1996 3.1500
1980 3.1500
2000 3.150%
2002 3. 150%
2004 3.150%
* Such interest rate is in addition to the interest
rate for the related maturities of the bonds
shown in Exhibit A-1.
United States of America
State of California
County of Contra Costa
REGISTERED REGISTERED
Number $
REFUNDING BOND
COUNTY OF CONTRA COSTA
Assessment District 1987-1, Pleasant Hill BART Station Area Refunding
SERIES NO. 1987-1
Without Obligation to Advance Funds
(Section 8769 (b) , Streets and Highways Code)
INTEREST RATE MATURITY DATE BOND DATE CUSIP NUMBER
REGISTERED OWNER:
PRINCIPAL SUM:
Under and by virtue of the Refunding Act of 1984 for
1915 Improvement Act Bonds, Division 11. 5 of the Streets and
Highways Code, (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
reassessments made for the refunding of all outstanding 1915 Act
bonds in Assessment District 1987-1, Pleasant Hill BART Station
Area Refunding, more fully described in the Resolution of
Intention adopted by the Board of Supervisors of the County of
Contra Costa on the 31st day of March, 1987 , 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 Bond is authenticated and registered prior
to March 2, 1988, 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, 1988 . Both the principal hereof and redemption
premium hereon are payable at the principal corporate trust
office of Bank of America National Trust and Savings
Association-Corporate Agency Division, or its successor , as
Transfer Agent, Registrar and Paying Agent, in San Francisco,
California, and the interest hereon is payable by check or draft
mailed 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
EX1HU BU U V
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 IN 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.
IN WITNESS WHEREOF, said. County of Contra Costa has
caused this bond to be signed in facsimile by the Treasurer of
said County and by its Clerk, and has caused its corporate seal
to be reproduced in facsimile hereon all as of the 16th day of
April, 1987.
COUNTY OF CONTRA COSTA -
Clerk of the Board 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, transfer agent and registrar
By
Authorized Officer
2
(REVERSE OF BOND)
COUNTY OF CONTRA COSTA
ASSESSMENT DISTRICT 1987-1, PLEASANT HILL BART STATION AREA REFUNDING
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 refunding
bonds described in said proceedings, and is secured by the moneys
in said redemption fund and by the unpaid portion of said
reassessments 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 charges, 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 .
Bonds shall be registered only in the name of an
individual (including joint 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 bonds during the
fifteen (15) days immediately preceding any interest payment date.
The County and the Bank may treat the 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 60 days' notice by registered mail 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. .
This bond is not subject to refunding pursuant to the
procedures of Division 11 (commencing with Section 9000) or
Division 11. 5 (commencing with Section 9500) of the Streets and
Highways Code prior to March 2, 1990.
I hereby -certify that the following is a correct copy of
.the signed legal opinion of STURGIS , NESS , BRUNSELL & SPERRY a
professional corporation, Emeryville, California, on file in my
office.
Clerk of the Board
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF CONTRA COSTA
ASSESSMENT DISTRICT 1987-1, PLEASANT HILL
BART. STATION AREA REFUNDING
SERIES NO. 1987-1
WITHOUT OBLIGATION TO ADVANCE FUNDS (SECTION 8369 (b) ,
STREETS AND HIGHWAYS CODE)
REGISTERED
SUPPLEMENTAL INTEREST CERTIFICATE
REGISTERED SUPPLEMENTAL
INTEREST CERTIFICATE
RELATING TO BOND NO. Maturity Date Par Value: $
REGISTERED OWNER:
REGISTERED. SUPPLEMENTAL INTEREST CERTIFICATE INTEREST RATE:
On the dates listed below, except to the extent the -
related bond referred to above shall have been duly called for
prior redemption and payment of the redemption price made or
duly provided for , the County of Contra Costa, California, will
pay to the registered owner identified above, or registered
assigns, but only out of the sources referred to in said bond ,
in lawful money of the United States of America, the amount (s)
shown below, being partial semi-annual interest on the related
bond referred to above, at the Registered Supplemental Interest
Certificate Interest Rate per annum identified above, on its
Refunding Improvement Bonds, Assessment District 1987-1,
Pleasant Hill BART Station Area Refunding, Series No. 1987-1
(the "Bonds") numbered as indicated above. Such payments (other
than the final payment hereon) will be made on or before each
interest payment date commencing March 2, 1988 to and including
March 2, 1990, to the registered owner of this registered
Supplemental Interest Certificate by check or draft mailed to
such registered owner at the address appearing on the
registration books kept for that purpose at the office of Bank
of America National Trust and Savings Association, San
Francisco, California, as Agent, at the close of business on the
fifteenth day preceding the interest payment date. The related
bond referred to above, will continue to bear interest after
maturity at the rate above stated provided that it is presented
at maturity and payment hereof is refused upon the sole ground
that there are not sufficient moneys available to pay same. If
this Supplemental Interest Certificate is not presented at
maturity interest represented hereby will run only until
maturity. Final payment on this Supplemental Interest
Certificate shall be made to the registered owner hereof upon
presentation and surrender at the office of the Agent. This
registered Supplemental Interest Certificate may be transferred
and reissued, all in accordance with the Resolution of Issuance
referred to in said bond, and the provisions of said Resolution
of Issuance are hereby incorporated herein by reference.
Pursuant to the provisions of the Resolution of
EXHUBQT B
Issuance this supplemental Interest Certificate may be redeemed
and paid in advance of the above stated maturity date if the
bond to which this certificate relates is redeemed in advance of
its maturity prior to March 2, 1990 , in which case the interest
represented hereby to the maturity date of the bond to which
this certificate relates shall be paid to the registered owner
hereof, without premium.
This Supplemental Interest Certificate shall not be
valid or obligatory for any purpose until the Agent shall have
manually signed the certificate of authentication hereon.
REGISTRATION DATE:
County of Contra Costa
(SEAL)
Clerk of the Board of County Treasurer of the
County of Contra Costa County of Contra Costa
CERTIFICATE OF AUTHENTICATION
This is the registered Supplemental Interest
Certificate described in the within-mentioned Resolution of
Issuance, and this registered Supplemental Interest Certificate
has been duly registered on the registration books kept by the
undersigned as Agent for such bonds.
Bank of America National Savings and Trust Association
as Transfer Agent, Registrar and Paying Agent
By
Authorized Officer
Interest Interest
Payable Payment Date (s)
2
ASSIGNMENT
For value received the undersigned do(es) hereby sell, assign and
transfer unto
the within-mentioned Supplemental Interest Certificate and hereby
irrevocably constitute (s) and appoint (s)
attorney, to transfer the same on the books of the Bank of America
National Savings and Trust Association as Transfer Agent, Registrar
and Paying Agent with full power of substitution the premises.
Dated:
Signature (s) must correspond
exactly to name (s) on face
hereof
Signature Guaranteed
3
EXHIBIT C
ARBITRAGE AND REBATE COVENANTS
Section 1. Definitions Applicable to These Covenants
(a) Bonds. The term "Bonds" means the refunding
improvement bonds, issued in the par value of $8,785,000 , dated
April 16 , 1987, by the County of Contra Costa for Assessment
District 1987-1, Pleasant Hill BART Station Area Refunding.
(b) Bond Year . The term "Bond Year" means the twelve
month period beginning on April 16 of each year and ending on
April 15 of the following year , commencing with the period
beginning on April 16, 1987 and ending on April 15, 1988.
(c) Code. The term "Code" .means the Internal Revenue
Code of 1986.
(d) Debt Service. The term "Debt Service" means the
scheduled amount of interest and amortization of principal
payable on the Bonds during the period of computation, excluding
amounts scheduled during such period which relate to principal
which has been retired before the beginning of such period.
(e) Excess Investment Earnings. The term "Excess
Investment Earnings" has the meaning ascribed to it in Section
3 (b) hereof .
(f) Excess Investment Earnings Fund. The term "Excess
Investment Earnings Fund" means the account by that name created
by, and held by the County pursuant to this Certificate.
(g) Gross Proceeds. The term "Gross Proceeds" means
the sum of the following amounts:
(i) original proceeds, namely, net amounts (after
payment of all expenses of issuing the Bonds) received
by or for the -County as a result of the sale of the Bonds,
excluding original proceeds which become transferred
proceeds (determined in accordance with applicable
Regulations) of obligations issued to refund in whole
or in part the Bonds;
(ii) investment proceeds, namely, amounts received
at any time by or for the County, such as interest and
dividends, resulting from the investment of any original
proceeds (as referenced in clause (i) above) or investment
proceeds (as referenced in this clause (ii) in Nonpurpose
Obligations, increased by any profits and decreased (if
necessary, below zero) by any losses on such investments,
excluding investment proceeds which become transferred
proceeds (determined in accordance with applicable
Regulations) of obligations issued to refund in whole
or in part the Bonds;
(iii) transferred proceeds, namely, original proceeds
of the Prior Bonds, and interest earnings and profits
less losses resulting from investment of such original
proceeds in Nonpurpose Obligations, which are deemed to
become proceeds of the Bonds ratably as original proceeds
EXHIBIT
of the Bonds and interest earnings and profits resulting
from investment of such original proceeds in Nonpurpose
Obligations, discharge the outstanding principal of the
Prior Bonds, all on the date of such ratable discharge;
(iv) sinking fund proceeds, namely, amounts, other
than original proceeds, investment proceeds or transferred
proceeds (as referenced in clauses (i) through (iii) above
of the Bonds, which are held in the Redemption Fund and
any .other fund to the extent that the County reasonably
expects to use such other fund to pay Debt Service on the
Bonds;
(v) amounts in the Reserve Fund and in any other fund
established as a reasonably required reserve or replacement
fund;
(vi) Investment Property pledged as security for payment
of Debt Service on the Bonds by an ultimate obligor or
a related person or by the County;
(vii) amounts received with respect to loans made with
original proceeds of the Bonds, financing leases entered
into for property acquired with original proceeds of the
Bonds and other obligations acquired to carry out the
governmental purposes of the Bonds;
(viii) amounts, other than as specified in this
definition, used to pay Debt Service on the Bonds; and
(ix) amounts received as a result of investing amounts
described in this definition.
(h) Investment Earnings Fund. The term "Investment
Earnings Fund" means the account by that name created by, and
held by the County pursuant to the provisions hereof .
(i) Investment Property. The term "investment
,property" means any security as said term is defined in section
165 (g) (2) (A) or (B) of the Code) , obligation, annuity or
investment-type property, excluding, however , obligations the
interest on which is exempt from income tax under section 103 of
the Code.
(j) Nonpurpose Obligation. The term "Nonpurpose
Obligation" means any Investment Property which is acquired with
the Gross Proceeds of the Bonds and is not acquired in order to
carry out the governmental purpose of the Bonds.
(k) Prior Bonds. The term "Prior Bonds" means the
improvement bonds of the County of Contra Costa which are being
refunded and called for redemption on July 2, 1987 , in the total
principal amount of $8,785 ,000 as a result of issuance of the
Bonds .
(1) Purchase Price. The term "Purchase Price ," for
the purpose of computation of the Yield of the Bonds, has the
same meaning as the term "issue price" in sections 1273 (b) and
1274 of the Code, and , in general, means the initial offering
price to the public (not including bond houses and brokers , or
2
similar persons or organizations acting in the capacity of
underwriters or wholesalers) at which price a substantial amount
of the Bonds are sold or , if the Bonds are privately placed, the
price paid by the first buyer of the Bonds or the acquisition
cost of the first buyer. The term "Purchase Price," for the
purpose of computation of the Yield of Nonpurpose Obligations,
means the fair market value of the Nonpurpose Obligations on the
date of use of Gross Proceeds of the Bonds for acquisition
thereof, or if later , on the date that Investment Property
constituting a Nonpurpose Obligation becomes a Nonpurpose
Obligation of the Bonds.
. (m) Regulations. The term "Regulation" means
temporary and permanent regulations promulgated under section
148 of the Code.
(n) Resolution. The term "Resolution" means the
Resolution Authorizing Issuance of Bonds adopted by the Board of
Supervisors of the County on March 31, 1987.
(o) Treasurer . The term "Treasurer" means the County
Treasurer of the County of Contra Costa.
(p) Yield. The term "Yield" means that. yield which,
when used in computing the present worth of all payments of
principal and interest (or other payments in the case of
Nonpurpose Obligations which require payments in a form not
characterized as principal and interest) on a Nonpurpose
Obligation or on the Bonds, produces an amount equal to the
Purchase Price of such Nonpurpose Obligation or the Bonds, all
computed as prescribed in applicable Regulations. For the
purpose hereof, the yield on a Nonpurpose Obligation that
consists of variable rate Investment Property shall be- -
determined as of the date the Nonpurpose Obligation is acquired
and as of the first day of each Bond Year by assuming that the
rate of interest will be the weighted average rate of interest
for such Investment Property during the preceding one-year
period (or portion .thereof in which the Nonpurpose Obligation
_was outstanding) . With respect to a Nonpurpose Obligation
purchased on its date of issue, the Yield for the first Bond
Year shall be determined by assuming that the rate of interest
will be the initial rate of interest for such Nonpurpose
Obligation as determined under the prescribed formula on such
date of issue (without regard to any fixed rate initially
applicable to such Nonpurpose Obligation) .
Section 2. No Arbitrage Covenant.
The County shall not take, nor permit nor suffer to be taken by
any other person, any action with respect to the Gross Proceeds
of the Bonds which if such action had been reasonably expected
to have been taken, or had been deliberately and intentionally
taken, on the date of the issuance of the Bonds would have
caused the Bonds to be "arbitrage bonds" within the meaning of
section 148 (x) of the Code and Regulations promulgated
thereunder . At no time will the amounts deposited in or
credited to the Excrow Fund , the Redemption Fund , the Reserve
Fund, the Investment Earnings Fund, and the Excess Investment
Earnings Fund be invested in any form of investment which
produces a yield greater than the bond yield.
3
Section 3. Rebate Covenant.
(a) Creation of Funds. There are hereby created, to
be held by the Treasurer as separate funds distinct from all
other funds and accounts held by the Treasurer under the
Resolution, the Investment Earnings Fund and the Excess
Investment Earnings Fund. All interest earnings and profits on
amounts in all funds established under the Resolution, other
than interest earnings on the Redemption Fund and any other
funds referenced in subsection (c) (5) hereof if such earnings in
any Bond Year are less than $100 ,000 , shall, upon receipt by the
County, be deposited in the Investment Earnings Fund. In
addition, all interest earnings and profits on Gross Proceeds in
funds held by the County shall upon receipt, be deposited in the
Investment Earnings Fund. Annually, on the last day of each
Bond Year or on the preceding business day in the event that
such last day is not a business day, the Treasurer shall
transfer from the Investment Earnings Fund to the Excess
Investment Earnings Fund for purposes of ultimate rebate to the
United States an amount equal to Excess Investment Earnings, all
as more particularly described in this Section. Following the
transfer referenced in the preceding sentence, the Treasurer
shall transfer all amounts remaining in the Investment Earnings
Fund to the Redemption Fund to be used for the payment of Debt
Service on the Bonds on the next interest payment date and for
such purpose, Debt Service due from the County on such date
shall- be credited by an amount equal to the amount so
transferred.
(b) Definition of Excess Investment Earnings. The
County shall calculate Excess Investment Earnings in accordance
with subsection (b) and shall assure payment of an amount equal
to Excess Investment Earnings to the United States in accordance
with subsections (c) and (d) . The term "Excess Investment
Earnings" means an amount equal to the sum of:
(i) the excess of
(A) the aggregate amount earned from the date of
delivery of the Bonds on all Nonpurpose Obligations in
which Gross Proceeds of the Bonds are invested (other
than amounts attributable to an excess described in
this paragraph (i) , over
(B) the amount that would have been earned if the
Yield on such Nonpurpose Obligations (other than amounts
attributable to an excess described in this paragraph (i) )
had been equal to the Yield on the Bonds, plus
(ii) any income attributable to the excess described
in paragraph (i) .
(c) Calculation of Excess Investment Earnings. Prior
to the last day of the first Bond Year , the County shall
calculate the Excess Investment Earnings referenced in paragraph
(i) of subsection (b) . Thereafter , prior to the last day of
each Bond Year and on the date of the retirement of the Bonds,
the County shall calculate the amount of Excess Investment
Earnings referenced in paragraphs (i) and (ii) of subsection
(b) . Said calculations shall be made or caused to be made by
4
the County in accordance with the following:
(1) Except as provided in (2) , in determining the
amount described in paragraph (i) (A) of subsection (b) ,
the aggregate amount earned on Nonpurpose Obligations
shall include (i) all income realized under federal
income tax accounting principles (whether or not the
person earning such income is subject to federal income
tax) with respect to such Nonpurpose Obligations and
with respect to the reinvestment of investment receipts
from such Nonpurpose Obligations (without regard to
the transaction costs incurred in acquiring, carrying,
selling or redeeming such Nonpurpose Obligations) ,
including, but not limited to, gain or loss realized
on the disposition of such Nonpurpose Obligations
(without regard to when such gains are taken into
account under Section 453 of the Code relating to
taxable year of inclusion of gross income) , and
income under Section 1272 of the Code (relating
to original issue discount) and (ii) any unrealized
gain or loss as of the date of retirement. of the Bonds
in the event that any Nonpurpose Obligation is retained
after such date.
(2) In determining the amount described in
paragraph. (i) of subsection (b) , Investment Property
shall be treated as acquired for its fair market value
at the time it becomes a Nonpurpose Obligation, so that
gain or loss on the disposition of such Investment
Property shall be computed with reference to such fair
market value as its adjusted basis .
(3) In determining the amount described in paragraph -
(i) (B) of subsection (b) , the Yield on the Bonds shall be
determined based on the actual Yield of the Bonds during
the period between the date of issuance of the Bonds and
the date the computation is made (with adjustments for
discount or premium) .
(4) In determining the amount described in paragraph
(ii) of subsection (b) , all income attributable to the
excess described in paragraph (i) of subsection (b)
must be taken into account, whether or not that income
exceeds the Yield on the Bonds, and no amount may be
treated as "negative arbitrage" .
(5) In determining the amount described in subsection
(b) , there shall be excluded any amount earned on any fund
or account which is used primarily to achieve a proper
matching of revenues and Debt Service within each Bond
Year and which is depleted at least once a year except for
a reasonable carryover amount not in excess of the greater
of one year ' s earnings on such fund or account or
one-twelfth of annual Debt Service as well as amounts
earned on said earnings if the gross earnings on all such
funds and accounts for the Bond Year is less than $100,000.
(d) Payment to United States. The Treasurer shall pay
from the Excess Investment Earnings Fund an amount equal to
Excess Investment Earnings to the United States in installments
5
with the first payment to be made not later than thirty (30)
days after the end of the fifth Bond Year and with subsequent
payments to be made not later than five (5) years after the
preceding payment was due. The Treasurer shall assure that each
such installment is in an amount equal to at least 90 percent of
the Excess Investment Earnings with respect to the Bonds as of
the close of the computation period. Not later than sixty (60)
days after the retirement of the Bonds, the Treasurer shall pay
from the Excess Investment Earnings Fund to the United States
100 percent of the theretofore unpaid Excess Investment Earnings
of the Bonds. In the event that there are any amounts remaining
in the Excess Investment Earnings Fund following the payment
required by the preceding sentence, the Treasurer shall pay said
amounts to the County to be used for any lawful purpose of the
County. The Treasurer shall remit payments to the United States
at the address prescribed by the Regulations as the same may be
in time to time in effect with such reports and statements as
may be prescribed by such Regulations. In the event that, for
any reason, amounts in the Excess Investment Earnings Fund are
insufficient to make the payments to the United States which are
required by this subsection (d) , the Treasurer shall assure that
such payments are made to the United States, on a timely basis,
from any funds lawfully available therefor .
(e) Further Obligation of Treasurer . The Treasurer
shall assure that Excess. Investment Earnings are not paid or
disbursed except as required herein. To that end, the Treasurer
shall assure that investment transactions are on an arm' s length
basis. In the event that Nonpurpose Obligations consist of
certificates of deposit or investment contracts, investment in
such Nonpurpose Obligations shall be made in accordance with the
procedures described in applicable Regulations as from time to
time in effect.
(f) Maintenance of Records. The Treasurer shall keep,
and retain for a period of six (6) years following the
retirement of the Bonds, records of the determinations made
pursuant to the provisions hereof.
(g) Independent Consultants. In order to provide for
the administration of these Arbitrage and Rebate Covenants, the
Treasurer may provide for the employment of independent
attorneys, accountants and consultants compensated on such
reasonable basis as the Treasurer may deem appropriate.
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RESOLUTION NO. 87/188
RESOLUTION AUTHORIZING SALE OF BONDS
ASSESSMENT DISTRICT 1987-1, PLEASANT HILL
BART STATION AREA REFUNDING
The Board authorizes the Chair of the Board, the Vice
Chair of the Board , the County Administrator and the Director of
Community Development, or any one of them, to accept on behalf
of the County the offer of Dean Witter Reynolds Inc. to
purchase all of the improvement bonds .in Assessment District
1987-1, Pleasant Hill BART Station Area. Refunding, if such offer
is submitted prior to April 7, 1987 , and if the total debt
service to be paid on the bonds does not exceed the total debt
service set forth in the Reassessment Report heretofore approved -
by this Board.
I HEREBY CERTIFY that the foregoing resolution was
duly and regularly adopted by the Board of Supervisors of the
County of Contra Costa, State of California, at a regular
meeting thereof, held on the 31st day of March, 1987.
ATTEST: March 31 , 1987
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
By
Dep y
RESOLUTION NO. 87/188