HomeMy WebLinkAboutMINUTES - 05121998 - C77 RESOLUTION OF THE BOARD OF SUPERVISORS
CONTRA COSTA COUNTY,CALIFORNIA
RESOLUTION NO. 98/267
RESOLUTION OF THE BOARD OF SUPERVISORS OF CONTRA COSTA
COUNTY AUTHORIZING THE ISSUANCE AND SALE OF TALC AND
REVENUE ANTICIPATION NOTES IN THE NAME OF THE WEST CONTRA.
COSTA UNIFIED SCHOOL DISTRICT FOR FISCAL YEAR 1998/91 IN THE
PRINCIPAL AMOUNT OF NOT TO EXCEED$25,000,000 AND
AUTHORIZING PROCEEDINGS RELATING TO THE ISSUANCE AND SALE
OF SUCH NOTES
On motion of Supervisor Gerber, duly seconded and carried, the following resolution
was adopted:
RESOLVED, by the Board of Supervisors of Contra Costa County, California, as
follows:
WHEREAS, pursuant to Article 7.6 (commencing with Section 53850) of Chapter 4 of
Part 1 of Division 2 of Title 5 of the California Government Code (the 'Law"), a school district
organized and existing under the laws of the State of California is authorized to borrow money
by the issuance of temporary notes, the proceeds of which may be used and expended for any
purpose for which such school district is authorized to spend moneys;and
WHEREAS, pursuant to the Law, such notes are required to be issued in the name of
such school district by the board of supervisors of the county, the county superintendent of
which has jurisdiction over such school district, as soon as possible following receipt of a
resolution of the governing board of such school district requesting such borrowing;and
WHEREAS, the Board of Education of the West Contra Costa Unified School District
(the "District") has heretofore adopted its Resolution on May 6, 1998 (the "District Resolution)
finding and determining that it is desirable that the District borrow funds in an amount not to
exceed $25,000,000 with respect to the fiscal year 1998/99 for authorized purposes of the
District, and requesting that the Board of Supervisors (the "Board") of the County of Contra
Costa (the "County") for that purpose authorize the sale and issuance of'tax and revenue
anticipation notes in the name of the District in the principal amount of not to exceed
$25,000,000 under and pursuant to the provisions of the Law; and
WHEREAS, pursuant to the District Resolution, the District has approved proceedings
for the sale of such notes and has approved the form of an official statement (the "Official
Statement")relating to the offering and sale of such notes for the District;
NOW,THEREFORE,it is hereby DETERMINED and ORDERED as follows:
Section 1. Recitals True and Correct. All of the recitals herein set forth are true and
correct and the Board so finds and determines.
Section 2. Aplrroval of Request of District. The Board hereby approves the request of
the District for the Board of Supervisors to issue notes in its name.
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Section 3. Authorization and Tgrms of Notes. Solely for the payment of current
expenses, capital expenditures and other obligations payable from the general fund of District
during or allocable to fiscal year 1998/99, and not pursuant to any common plan of financing,
the Board hereby determines to and shall borrow the aggregate principal sum of not to exceed
Twenty-Five Million Dollars($25,000,000) in the name of the District. Such borrowing shall be
by the issuance of temporary notes under the Law,designated the "West Contra Costa Unified
School District (Contra Costa County, California) 1998/99 Tax and Revenue Anticipation
Notes" (the "Notes"). The Notes shall be dated as of their date of issuance. The Notes shall
mature and shall bear interest from their date,payable at maturity and computed on a 30-day
month/360-day year basis, at the rate of interest to be set forth upon the sale of the Notes
pursuant to Section 14 hereof. Both the principal of and interest on the Notes shall be payable
in lawful money of the United States of America,as described below.
Section 4. Form of Notes: Book-Enter System The Notes shall be issued in fully
registered form,without coupons,and shall be substantially in the form and substance set forth
in Exhibit A attached hereto and by reference incorporated herein,the blanks in said form to be
filled in with appropriate words and figures. The Motes shall be numbered from 1 consecutively
upward,shall be in the denomination of$5,000 each or any integral multiple thereof.
"CUSIP"identification numbers shalt be imprinted on the Notes,but such numbers shall
not constitute a part of the contract evidenced by the Notes and any error or omission with
respect thereto shall not constitute cause for refusal of any purchaser to accept delivery of and
pay for the Notes. In addition, failure on the part of the Board or the District to use such
CUSIP numbers in any notice to registered owners of the Notes shall not constitute an event of
default or any violation of the District's contract with such registered owners and shall not
impair the effectiveness of any such notice.
Except as provided below, the owner of all of the Notes shall be The Depository Trust
Company, New York, New York ("DTC"), and the Notes shall be registered in the name of
Cede & Co., as nominee for DTC. The Notes shall be initially executed and delivered in the
form of a single fully registered Note in the full aggregate principal amount of the Notes. The
Board and the District may treat DTC (or its nominee) as the sole and exclusive owner of the
Notes registered in its name for all purposes of this Resolution, and neither the Board nor the
District shall be affected by any notice to the contrary. Neither the Board nor the District shall
have any responsibility or obligation to any participant of DTC (a "Participant"), any person
Claiming a beneficial ownership interest in the Notes under or through DTC or a Participant, or
any other person which is not shown on the register of the Board or the District as being an
owner, with respect to the accuracy or adequacy of any records maintained by DTC or any
Participant or the payment by DTC or any Participant by DTC or any Participant of any
amount in respect of the principal or interest with respect to the Notes. The District shall pay
all principal and interest with respect to the Notes only to DTC,and all such payments shall be
valid and effective to fully satisd discharge the District's obligations with respect to the
principal and interest with respect to the Notes to the extent of the sum or sums so paid.
Except under the conditions noted below, no person other than DTC shall receive a Note.
Upon delivery by DTC to the Board of written notice to the effect that DTC has determined to
substitute a new nominee in place of Cede&Co.,the term"Cede&Co."in this Resolution shall
refer to such new nominee of DTC.
If the Board and the District determine that it is in the best interest of the beneficial
owners that they be able to obtain Notes and deliver a written certificate to DTC to that effect,
DTC shall notify the Participants of the availability through DTC of Notes. In such event,the
Board shall issue, transfer and exchange Notes as requested by DTC and any other owners in
appropriate amounts. DTC may determine to discontinue providing its services with respect to
the Notes at any time by giving notice to the Board and the District and discharging its
responsibilities with respect thereto under applicable law. Under such circumstances (if there is
no successor securities depository), the Board shall be obligated to deliver Notes as described in
this Resolution. Whenever DTC requests the Board to do so, the Board will cooperate with
DTC in taking appropriate action.after reasonable notice to (a) make available one or more
separate Notes evidencing the Notes to any DTC Participant having Notes credited to its DTC
account or (b) arrange for another securities depository to maintain custody of Certificates
evidencing the Notes.
Notwithstanding any other provision of this Resolution to the contrary, so long as any
Note is registered in the name of Cede&Co.,as nominee of DTC,all payments with respect to
the principal and interest with respect to such Note and all notices with respect to such Note
shall be made and given, respectively, to DTC as provided as in the representation letter
delivered on the date of issuance of the Notes.
Section 5. Use of Proceeds. The moneys so borrowed shall be deposited in the Treasury
of the County in a proceeds fund to the credit of the District to be withdrawn, used and
expended by the District for any purpose for which it is authorized to expend funds from the
general fund of the District,including,but not limited to,current expenses,capital expenditures
and the discharge of any obligation or indebtedness of the District.
Moneys in such proceeds fund shall, to the greatest extent possible, be invested by the
Treasurer-Tax Collector of the County (the "Treasurer-Tax Collector") or such other
appropriate investment officer of the County,directly in investments, or through an investment
agreement, as permitted by the laws of the State of California as now in effect'and as hereafter
amended, and in accordance with such procedures and subject to such requirements as the
Treasurer-Tax Collector or such other appropriate investment officer of the County shall
establish.
Section 6. Security. The principal amount of the Notes, together with the interest
thereon, shall be payable from taxes, revenues and other moneys which are received by the
District for the general fund of the District for the fiscal year 1998/99. As security for the
payment of the principal of and interest on the Notes, the Board, in the name of the District,
hereby pledges the first "unrestricted moneys",as hereinafter defined,(a)in an amount equal to
ry percent (50%) of the princi al amount of the Notes to be received by the County on behalf
the District in April, 1999, (b) in an amount equal to fifty percent (50%)',of the principal
amount of the Notes to be received by the County on behalf of the District in May, 1999, and
(c)in an amount equal to all interest due on the Notes at maturity to be received by the County
on behalf of the District in June,1999 (the "Pledged Revenues"). The principal of the Notes and
the interest thereon shall constitute a first lien and charge thereon and shall be paid from the
Pledged Revenues. To the extent not so paid from the Pledged Revenues, the Notes shall be
paid from any other moneys of the District lawfully available therefor. In the event that there
are insufficient unrestricted moneys received by the District to permit the deposit in the
Repayment Fund, as hereinafter defined, of the full amount of the Pledged Revenues to be
deposited in any month on the last business day of such month, then the amount of any
deficiency shall be satisfied and made up from any other moneys of the District lawfully
available for the repayment of the Notes and interest thereon. The term "unrestricted moneys"
shall mean taxes,income,revenue and other moneys intended as receipts for the general fund of
the District and which are generally available for the payment of current expenses and other
obligations of the District.
Section 7. PaAgent. The Treasurer-Tax Collector is hereby appointed to act as the
paying agent of theDistrict e "Paying Agent") for the purpose of paying to the registered
owners of the Notes both the principal of and interest on the Notes at maturity and to perform
such other duties and powers of the Paying Agent as are prescribed in this Resolution.
Section S. RepAyment Fund. There is hereby created a special fund to be held on behalf
of the District by the Treasurer-Tax Collector separate and distinct from all other County and
District funds and accounts designated the "West Contra Costa Unified', School District
1998/99 Tax and Revenue Anticipation Notes Repayment Fund" (the "Repayment Fund")and
applied as directed in this Resolution. Any money placed in the Repayment Fund shall be for
the benefit of the registered owners of the Notes,and until the Notes and all interest thereon are
paid or until provision has been made for the payment of the Notes at maturity with interest to
maturity,the moneys in the Repayment Fund shall be applied solely for the purposes for which
the Repayment Fund is created; provided, however, that any interest earned on amounts
deposited in the Repayment Fund shall periodically be transferred to the general fund of the
District.
All Pledged Revenues shall,during the months in which received,be deposited into the
Repayment Fund. On the maturity date of the Notes,the Treasurer-Tax Collector shall transfer
to DTC the moneys in the Repayment Fund necessary to ay the principal and interest on the
Notes at maturity and,to the extent said moneys are insufficient therefor,an amount of moneys
from the District's general fund which will enable payment of the full principal of and interest
on the Notes at maturity. Any moneys remaining in the Repayment Fund after the Notes and
the interest thereon have been paid, or provision for such payment has been made, shall be
transferred to the District's general fund.
Section 9. ,p=osit and Investment of Repayment Eund. All moneys held on behalf of
the District in the Repayment Fund,if not invested,s be held in time or demand deposits as
public funds and shall be secured at all times by bonds or other obligations which are
authorized by law as security for public deposits, of a market value at least equal to the
amount required by law.
Moneys in the Repayment Fund shall,to the greatest extent possible,be invested by the
Treasurer-Tax Collector, or such other appropriate investment officer of the County,directly in
investments, or through an investment agreement, as permitted by the laws of the State of
California as now in effect and as hereafter amended, and the proceeds of any such
investments shall, as received, be deposited in the Repayment Fund and shall be part of the
Pledged Revenues.
Section 10. Execution of Notes. The Notes shall be executed in the name of the District,
with the manual or facsimile signature of the Treasurer-Tax Collector or one or more of his duly
authorized dei ties and the manual or facsimile counter-signature of the Clerk of the Board of
Supervisors ( hough at least one of such signatures shall be manual)with the seal of the Board
impressed thereon,and said officers are hereby authorized to cause the blank spaces thereof to
be filled in as may be appropriate.
Section 11. Transfer and Exchange of Notes. Any Note may, in accordance with its
terms,but only if the District determines to no longer maintain the book entry only status of the
Notes, UTC determines to discontinue providing such services and no successor securities
depository is named or DTC requests the Treasurer-Tax Collector to deliver Nate certificates to
particular UTC Participants,be transferred,upon the books required to be kept pursuant to the
provisions of Section 12 hereof,by the person in whose name it is registered,in person or by his
duly authorized attorney, upon surrender of such Note for cancellation at the office of the
Treasurer-Tax Collector,accompanied by delivery of a written instrument of transfer in a form
approved by the Treasurer-Tax Collector,duly executed. Whenever any Note or Notes shall be
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surrendered for transfer, the Treasurer-Tax Collector shall execute and deliver a new Note or
Notes,for like aggregate principal amount.
Notes may be exchanged at the office of the Treasurer-Tax Collector for a like aggregate
principal amount of Notes of authorized denominations and of the same maturity.
Section 12. Note,Register. The Treasurer-Tax Collector shall keep or cause to be kept
sufficient books for the registration and transfer of the Notes if the book entry only system is no
longer in effect and,in such case,the Treasurer Tax Collector shall register or transfer or cause
to be-registered or transferred,on said books, Notes as herein before provided'. While the book
entry only system is in effect,such books need not be kept as the Notes will be represented by
one Note registered in the name of Cede&Co.,as nominee for DTC.
Section 13. Cov na is and Wa anties. Based on the representations and covenants of
the District, it is hereby covenanted and warranted by the Board that all representations and
recitals contained in this Resolution as to the County are true and correct,and that the Board
has reviewed all proceedings heretofore taken relative to the authorization of the Notes and has
found,as a result of such review,and hereby finds and determines that all acts,conditions and
things required by law to exist, happen and be performed precedent to and in the issuance of
the Notes have existed, happened and been performed in due time, form and manner as
required by law,and the Board is duly authorized to issue the Notes in the name of the District
and incur indebtedness in the manner and upon the terms provided in this Resolution. The
Board and the District and their appropriate officials have duly taken all proceedings necessary
to be taken by therm, and will take any additional proceedings necessary to be taken by them,
for the prompt collection and enforcement of the taxes,revenue,cash receipts and other moneys
V
edged hereunder in accordance with law and for carrying out the provisions of this
esolution.
Section 14. Sale of Notes. Vogel Lopez & Associates, Inc., as financial advisor to the
District, on behalf of the District and the Board, is authorized to Identify a purchaser for the
Notes and to negotiate an interest rate and purchase price for the Notes, solong as the net
Interest cost to the District does not exceed six percent (6%) per annum. The definitive
principal amount of Notes to be issued shall be determined byy the District's financial advisor,
on behalf of the District and the Board,at the time of sale of tlue Notes to suchpurchaser. The _
Treasurer-Tax Collector is hereby authorized and directed to accept an offer from such
purchaser, for and in the name of the Board,by notice to the successful bidder. The Treasurer-
Tax Collector is hereby authorized to execute a Note purchase agreement or other document in
connection with such award.
The District's financial advisor is hereby delegated, the responsi
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Notes to be delivered when so executed to DTC on behalf of the identified purchaser therefor
upon the receipt of the purchase price by the Treasurer-flax Collector on behalfof the District.
Section 17. Further Ap rp ovals. The Treasurer-Tax Collector, the Clerk of the Board,
and any officer of the Board or the County, is further authorized and directed to make, execute
and deliver to the purchaser of the Notes: (a) a certificate attesting to the use of the proceeds
of the Notes, the investment thereof, and any other matters relating to the exclusion of the
interest on the Notes from gross income for federal income taxation purposes pursuant to
applicable federal tax law; (b) a certificate certifying to the due execution of the Notes; (c) a
receipt evidencing the payment of the purchase price of the Notes, which',receipt shall be
conclusive evidence that said purchase price has been paid and has been received by the
County on behalf of the District;and (d)such other certifications and documentation as may be
required in connection with the sale and issuance of the Notes. The purchaser of the Notes is
hereby authorized to rely upon and shall be justified in relying upon any such certificate or other
document with respect to the Notes executed pursuant to the authority of this Resolution.
Section 18. Limited Liability. Notwithstanding anything to the contrary contained
herein, in the Notes or in any other document mentioned herein, neither the County nor the
Board shall have any liability hereunder or by reason hereof or in connection with the
transactions contemplated hereby and the Notes shall be payable solely from the moneys of the
District available therefor as set forth in Section 6 hereof.
Section 79. Effectiveness of Resolution. This Resolution shall take effect from and after
its passage and adoption.
I hereby certify that the foregoing is a true and correct copy of a resolution adopted by
the Board of Supervisors of Contra Costa County at a regular meeting held on May 121998,by
the following vote:
AYES: Supervisors Uilkema , Gerber , DeSaulnier , Canciamilla and Rogers
NOES: None
ABSENT: None
By A
C
[SEAL]
Attest:
0
B a
y
tleik of the o o upervisors
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EXHIBIT A
BOARD OF SUPERVISORS OF CONTRA COSTA,CALIFORNIA
IN THE NAME OF THE
WEST CONTRA COSTA UNIFIED SCHOOL,DISTRICT
(CONTRA COSTA COUNTY,CALIFORNIA)
1998/99 TAX AND REVENUE ANTICIPATION NOTE
RATE OF INTEREST: MATURITY DATE: ORIGINAL ISSUE DATE: CUSIP:
June_ , 1999 July , 1998
REGISTERED OWNER:
PRINCIPAL AMOUNT:
The WEST CONTRA COSTA UNIFIED SCHOOL DISTRICT, a unified school district
organized and existing under the laws of the State of California (the "District"), for value
received, hereby promises to pay (but only out of the Pledged Revenues and other moneys and
securities hereinafter referred to) to the Registered Owner identified above or registered assigns
(the "Registered Owner"), on the Maturity Date identified above, the Principal Amount
identified above in lawful money of the United States of America; and to pay interest thereon
at the Rate of Interest identified above in like money from the Original Issue Date identified
above. The Principal Amount hereof and interest hereon are payable by check of the Treasurer-
Tax Collector of the County of Contra Costa, as Paying Agent (the "Paying Agent"), mailed by
first class mail on the Maturity Date to the Registered Owner hereof at the address of the
Registered Owner as it appears on the Registration Books of the Paying Agent as of the fifteenth
calendar day of the month preceding such Maturity Date.
This Note is one of an authorized issue of Notes in the aggregate principal amount of
Dollars ($ ), all of like tenor, issued
pursuant to the provisions of a resolution of the Board of Supervisors (the "Board") of the
County of Contra Costa (the "County") duly passed and adopted on May 1998 (the
"Resolution"),and pursuant to Article 7.6 (commencing with Section 53850) of Chapter 4, Part
1, Division 2, Title 5, of the California Government Code, and that all things, conditions and
acts required to exist, happen and be performed precedent to and in the issuance of this Note
exist, have happened and have 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 Constitution or statutes of the State of
California.
The principal amount of the Notes,together with the interest thereon,';shall be payable
from taxes, revenue and other moneys which are received by the County on behalf of the
District for Repayment Fund of the District (as defined in the Resolution) for the fiscal year
1998199. As security for the payment of the principal of and interest on the Notes,the Board,
in the name of the District,has pledged the first "unrestricted moneys",as hereinafter defined,
(a) in an amount equal to fifty percent (50%) of the principal amount of the Notes to be
received by the County on behalf of the District in April, 1999, (b)in an amount equal to fifty
percent (50%) of the principal amount of the Notes to be received by the County on behalf of
the District in May, 1999, and (c) in an amount equal to all interest due on the Notes at
maturity to be received by the County on behalf of the District in June, 1999 (such pledged
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amounts being hereinafter called the "Pledged Revenues"). The principal of the Notes and the
interest thereon shall constitute a first lien and charge thereon and shall be paid from the
Pledged Revenues. To the extent not so paid from the Pledged Revenues, the Notes shall be
paid from any other moneys of the District lawfully available therefor. The term "unrestricted
moneys" shall mean taxes, income, revenue and other moneys intended as receipts for the
general fund of the District and'which are generally available for the payment of current
expenses and other obligations of the District.
The Notes are issuable as fully registered Notes without coupons in denominations of
$5,400 or any integral multi le thereof. Subject to the limitations and upon payment of the
charges,if any,provided in tl�e Resolution,Notes may be exchanged at the office of the Paying
Agent for a like aggregate principal amount and maturity of Notes of other authorized
denominations. This Note is transferable by the Registered Owner hereof, in person or by his
attorney duly authorized in writing,at the office of the Paying Agent,but only in the manner,
subject to the limitations and upon payment of the charges provided in the Resolution, and
upon surrender and cancellation of this Note. Upon such transfer a new Note or Notes, of
authorized denomination or denominations,for the same aggregate principal amount and of the
same maturity will be issued to the transferee in exchange herefor. The County,the District and
the Paying Agent may treat the Registered Owner hereof as the absolute owner hereof for all
purposes,and the County,the District and the Paying Agent shall not be affected by any notice
to the contrary.
The Notes are not subject to redemption prior to maturity.
Unless this Note is presented by an authorized representative of The Depository Trust
Company to the Board or the Paying Agent for registration of transfer, exchange or payment,
and any Note issued is registered in the name of Cede&Co.or such other name as requested by
an authorized representative of The Depository Trust Company and any payment is made to
Cede & Co., ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL since the registered owner hereof,
Cede&Co.,has an interest herein.
IN WITNESS WHEREOF, the Board of Supervisors of the County of Contra Costa,
California has caused this Note to be issued in the name of the District and to be executed by
the manual signature of the Treasurer-Tax Collector and countersigned by the facsimile
signature of the Clerk of the Board,all as of the Original Issue Date stated above.
BOARD OF SUPERVISORS OF THE
COUNTY OF CONTRA COSTA
By
Treasurer-Tax Collector
(SEAL)
Countersigned:
By
Clerk of the Board
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PAYING AGENT's CERTIFICATE OF AUTHENTICATION
This is one of the Notes described in the within-mentioned Resolution and registered on
the Registration Books.
Date:
By
Treasurer-Tax Collector
of the County of Contra Costa
FORM OF ASSIGNMENT
For value received the undersigned do(es)hereby sell,assign and transfer unto
(Name,Address and Tax Identification or Social Security Number of Assignee)
the within registered Note and hereby irrevocably constitute(s) and appoint(s)
attorney, to transfer the same on the
Registration Books of the Paying Agent with full power of substitution in the premises.
Dated:
Signature Guaranteed:
Note: signatures)must be guaranteed by an eligible guarantor Note: The signature(s)on this Assignment trust correspond
institution. with the name(s)as written on the face of the within
Note in every particular, without alteration or
enlargement or any change whatsoever.
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RESOLUTION OF THE BOARD OF SUPERVISORS
CONTRA COSTA COUNTY,CALIFORNIA
RESOLUTION NO. 98/267
RESOLUTION OF THE BOARD OF SUPERVISORS OF CONTRA COSTA
COUNTY AUTHORIZING THE ISSUANCE AND SALE OF TAX AND
REVENUE ANTICIPATION NOTES IN THE NAME OF THE WEST CONTRA
COSTA UNIFIED SCHOOL DISTRICT FOR FISCAL YEAR 1998/91 IN THE
PRINCIPAL AMOUNT OF NOT TO EXCEED $25,000,000 AND
AUTHORIZING PROCEEDINGS RELATING TO THE ISSUANCE AND SALE
OF SUCH NOTES
On motion of Supervisor Gerber, duly seconded and carried, the following resolution
was adopted:
RESOLVED, by the Board of Supervisors of Contra Costa County, California, as
follows:
WHEREAS, pursuant to Article 7.6 (commencing with Section 53850) of Chapter 4 of
Part 1 of Division 2 of Title 5 of the California Government Code (the "Law"), a school district
organized and existing under the laws of the State of California is authorized to borrow money
by the issuance of temporary notes, the proceeds of which may be used and expended for any
purpose for which such school district is authorized to spend moneys;and
WHEREAS, pursuant to the Law, such notes are required to be issued in the name of
such school district by the board of supervisors of the county, the county superintendent of
which has jurisdiction over such school district, as soon as possible following receipt of a
resolution of the governing board of such school district requesting such borrowing;and
WHEREAS, the Board of Education of the West Contra Costa Unified School District
(the 'District") has heretofore adopted its Resolution on May 6, 1998 (the "District Resolution)
finding and determining that it is desirable that the District borrow funds in an amount not to
exceed $2.5,000,000 with respect to the fiscal year 1998/99 for authorized purposes of the
District, and requesting that the Board of Supervisors (the "Board") of the :County of Contra
Costa (the "County") for that purpose authorize the sale and issuance of tax and revenue
anticipation notes in the name of the District in the principal amount of not to exceed
$25,000,000 under and pursuant to the provisions of the Law; and
WHEREAS, pursuant to the District Resolution, the District has approved proceedings
for the sale of such notes and has approved the form of an official statement (the "Official
Statement")relating to the offering and sale of such notes for the District;
NOW,THEREFORE,it is hereby DETERMINED and ORDERED as fellows:
Section 7. Recitals True and Correct. All of the recitals herein set forth are true and
correct and the Board so finds and determines.
Section 2. Approval of Request of District. The Board hereby approves the request of
the District for the Board of Supervisors to issue notes in its name.
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Section 3. Authorization and Terms of Notes. Solely for the payment of current
expenses, capital expenditures and other obligations payable from the general fund of District
during or allocable to fiscal year 1998/99, and not pursuant to any common plan of financing,
the Board hereby determines to and shall borrow the aggregate principal sum of not to exceed
Twenty-Five Million Dollars ($25,000,000)in the name of the District. Such borrowing shall be
by the issuance of temporary notes under the Law,designated the "West Contra Costa Unified
School District (Contra Costa County, California) 1998/99 Tax and Revenue Anticipation
Notes" (the "Notes"). The Notes shall be dated as of their date of issuance. The Notes shall
mature and shall bear interest from their date,payable at maturity and computed on a 30-day
month/360-day year basis, at the rate of interest to be set forth upon the:sale of the Notes
pursuant to Section 14 hereof. Both the principal of and interest on the Notes shall be payable
in lawful money of the United States of America,as described below.
Section 4. Form of Not= Book-Entry, ystem. The Notes shall be issued in fully
registered form,without coupons,and shall be substantially in the form and substance set forth
in Exhibit A attached hereto and by reference Incorporated herein, the blanks in said form to be
filled in with appropriate words and figures. The Dotes shall be numbered from 1 consecutively
upward,shall be in the denomination of$5,000 each or any integral multiple thereof.
"CUSIP" identification numbers shall be imprinted on the Notes,but such numbers shall
not constitute a part of the contract evidenced by the Notes and any error or omission with
respect thereto shall not constitute cause for refusal of any purchaser to accept delivery of and
pay for the Notes. In addition, failure on the part of the Board or the District to use such
CUSIP numbers in any notice to registered owners of the Notes shall not constitute an event of
default or any violation of the District's contract with such registered owners and shall not
impair the effectiveness of any such notice.
Except as provided below, the owner of all of the Notes shall be The Depository Trust
Company, New York, New York ("DTC"), and the Notes shall be registered in the name of
Cede & Co., as nominee for DTC. The Notes shall be initially executed and delivered in the
form of a single fully registered Note in the full aggregate principal amount of the Notes. The
Board and the District may treat DTC (or its nominee) as the sole and exclusive owner of the
Notes registered in its name for all purposes of this Resolution, and neither the Board nor the
District shall be affected by any notice to the contrary. Neither the Board nor the District shall
have any responsibility or obligation to any participant of DTC (a "Participant"), any person
claiming a beneficial ownership interest In the Notes under or through DTC or a Participant, or
any other person which is not shown on the register of the Board or the District as being an
owner, with respect to the accuracy or adequacy of any records maintained by DTC or any
Participant or the payment by DTC or any Participant by DTC or any Participant of any
amount in respect of the principal or interest with respect to the Notes. The District shall pay
all principal and interest with respect to the Notes only to DTC,and all such payments shall be
valid and effective to fully satisfy and discharge the District's obligations with respect to the
Erincipal and interest with respect to the Notes to the extent of the sum or sums so paid.
xcept under the conditions noted below, no person other than DTC shall receive a Note.
Upon delivery by DTC to the Board of written notice to the effect that DTC has determined to
substitute a new nominee in place of Cede&Co.,the term"Cede&Co."in this Resolution shall
refer to such new nominee of DTC.
If the Board and the District determine that it is in the best interest of the beneficial
owners that they be able to obtain Notes and deliver a written certificate to DTC to that effect,
DTC shall notify the Participants of the availability through DTC of Notes. lin such event, the
Board shall issue, transfer and exchange Notes as requested by DTC and any other owners in
appropriate amounts. DTC may determine to discontinue providing its services with respect to
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.. ............ ._........ ......... ......... .._........... ....
_. _. _....... ......... ......... ................
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the Notes at any time by giving notice to the Board and the District and discharging its
responsibilities with respect thereto under applicable law. Under such circumstances (if there is
no successor securities depository), the Board shall be obligated to deliver Notes as described in
this Resolution. Whenever DTC requests the Board to do so, the Board will cooperate with
DTC in taking appropriate action.after reasonable notice to (a) make available one or more
separate Notes evidencing the Notes to any DTC Participant having Notes credited to its DTC
account or (b) arrange for another securities depository to maintain custody of Certificates
evidencing the Notes.
Notwithstanding any other provision of this Resolution to the contrary, so long as any
Note is registered in the name of Cede& Co.,as nominee of DTC,all payments with respect to
the principal and interest with respect to such Note and all notices with respect to such Note
shall be made and given, respectively, to DTC as provided as in the representation letter
delivered on the date of issuance of the Notes.
Section 5. Use of Proceeds. The moneys so borrowed shall be deposited in the Treasury
of the County in a proceeds fund to the credit of the District to be withdrawn, used and
expended by the District for any purpose for which it is authorized to expend funds from the
general fund of the District, including,but not limited to,current expenses,capital expenditures
and the discharge of any obligation or indebtedness of the District.
Moneys in such proceeds fund shall, to the greatest extent possible, be invested by the
Treasurer-Tax Collector of the County (the "Treasurer-Tax Collector"), or such other
appropriate investment officer of the County,directly in investments, or through an investment
agreement, as permitted by the laws of the State of California as now in effect and as hereafter
amended, and in accordance with such procedures and subject to such requirements as the
Treasurer-Taut Collector or such other appropriate investment officer of the County shall
establish.
Section 6. Security. The principal amount of the Notes, together with the interest
thereon, shall be payable from taxes, revenues and other moneys which are received by the
District for the general fund of the District for the fiscal year 1998/99. As security for the
payment of the principal of and interest on the Notes, the Board, in the name of the District,
hereby pledges the first "unrestricted moneys",as hereinafter defined,(a)in an amount equal to
fifty percent (50%) of the principal amount of the Notes to be received by the County on behalf
of the District in April, 1999, (b) in an amount equal to fifty percent (50%) of the principal
amount of the Notes to be received by the County on behalf of the District in May, 1999, and
(c)in an amount equal to all interest due on the Notes at maturity to be received by the County
on behalf of the District in June,1999(the"Pledged Revenues"). The principal of the Notes and
the interest thereon shall constitute a first lien and charge thereon and shall be paid from the
Pledged Revenues. To the extent not so paid from the Pledged Revenues, the Notes shall be
paid from any other moneys of the District lawfully available therefor. In the event that there
are insufficient unrestricted moneys received by the District to permit the deposit in the
Repayment Fund, as hereinafter defined, of the full amount of the Pledged Revenues to be
deposited mi any month on the last business day of such month, then the amount of any
deficiency shall be satisfied and made up from any other moneys of the District lawfully
available for the repayment of the Notes and interest thereon. The term "unrestricted moneys"
shall mean taxes,income,revenue and other moneys intended as receipts for the general fund of
the District and which are generally available for the payment of current expenses and other
obligations of the District.
Section 7. j?ng Agent. The Treasurer-Tax Collector is hereby appointed to act as the
paying agent of the District(the "Paying Agent") for the purpose of paying to the registered
.........
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_. ...... ._....... ......... ......... ............
.. ..........................................................................................
....._.
_.................................
owners of the Notes both the principal of and interest on the Notes at maturity and to perform
such other duties and powers of the Paying Agent as are prescribed in this Resolution.
Section 8. Repayment Fund. There is hereby created a special fund to be held on behalf
of the District by the Treasurer-Tax Collector separate and distinct from all other County and
District funds and accounts designated the "West Contra Costa Unified School District
1998/99 Tax and Revenue Anticipation Notes Repayment Fund" (the "Repayment Fund") and
applied as directed in this Resolution. Any money placed in the Repayment Fund shall be for
the benefit of the registered owners of the Notes,and until the Notes and all interest thereon are
paid or until provision has been made for the payment of the Notes at maturity with interest to
maturity,the moneys in the Repayment Fund shall be applied solely for the purposes for which
the Repayment Fund is created; provided, however, that any interest earned on amounts
deposited in the Repayment Fund shall periodically be transferred to the general fund of the
District.
All Pledged Revenues shall,during the months in which received,be deposited into the
Repayment Fund. On the maturity date of the Notes,the Treasurer-Tax Collector shall transfer
to DTC the moneys in the Repayment Fund necessary to pay the principal and interest on the
Notes at maturity and,to the extent said moneys are insufficient therefor,an amount of moneys
from the District's general fund which will enable payment of the full principal of and interest
on the Notes at maturity. Any moneys remaining in the Repayment Fund after the Notes and
the interest thereon have been paid, or provision for such payment has been made, shall be
transferred to the District's general fund.
Section 9. Deposit and investment of Reoavment Fund. All moneys held on behalf of
the District in the Repayment Fund,if not invested,shall be held in time or demand deposits as
public funds and shall be secured at all times by bonds or other obligations which are
authorized by law as security for public deposits, of a market value at least equal to the
amount required by law.
Moneys in the Repayment Fund shall,to the greatest extent possible,be invested by the
Treasurer-Tax Collector, or such other appropriate investment officer of the County,directly in
investments, or through an investment agreement, as permitted by the laws of the State of
California as now in effect and as hereafter amended, and the proceeds of any such
investments shall, as received, be deposited in the Repayment Fund and shall be part of the
Pledged Revenues.
Section 10. Execution of Notes. The Notes shall be executed in the name of the District,
with the manual or facsimile signature of the Treasurer-Tax Collector or one or more of his duly
authorized deputies and the manual or facsimile counter-signatwe of the Clerk of the Board of
Supervisors(although at least one of such signatures shall be manual) with the seal of the Board
impressed thereon,and said officers are hereby authorized to cause the blank spaces thereof to
be filled in as may be appropriate.
Section 11. Transfer and Exchange of Ngtes. Any Note may, in accordance with its
terms,but only if the District determines to no longer maintain the book entry;only status of the
Notes, DTC only
to discontinue providing such services and no successor securities
depository is named or DTC requests the Treasurer-Tax Collector to deliver Mote certificates to
particular DTC Participants,be transferred,upon the books required to be kept pursuant to the
provisions of Section 12 hereof,by the person in whose name it is registered,in person or by his
duly authorized attorney, upon surrender of such Note for cancellation at the office of the
Treasurer-Tax Collector,accompanied by delivery of a written instrument of transfer in a form
approved by the Treasurer-Tax Collector,duly executed. Whenever any Note or Notes shall be
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surrendered for transfer, the Treasurer-Tax Collector shall execute and deliver a new Note or
Notes,for like aggregate principal amount.
Notes may be exchanged at the office of the Treasurer-Tax Collector for a like aggregate
principal amount of Notes of authorized denominations and of the same maturity.
Section 12. j��ote Reeister. The Treasurer-Tax Collector shall keep or cause to be kept
sufficient books for the registration and transfer of the Notes if the book entry only system is no
longer in effect and,in such case,the Treasurer-Tax Collector shall register or transfer or cause
to be registered or transferred,on said books,Notes as herein before provided.While the book
entry only system is in effect,such books need not be kept as the Notes will be represented by
one Note registered in the name of Cede&Co.,as nominee for DTC.
Section 13. CovenanIA and 'Warranties. Based on the representations and covenants of
the District, it is hereby covenanted and warranted by the Board that all representations and
recitals contained in this Resolution as to the County are true and correct,and that the Board
has reviewed all proceedings heretofore taken relative to the authorization of the Notes and has
found,as a result of such review,and hereby finds and determines that all acts,conditions and
things required by law to exist, happen and be performed precedent to and in the issuance of
the Notes have existed, happened and been performed in due time, form and manner as
required by law,and the Board is duly authorized to issue the Notes in the name of the District
and incur indebtedness in the manner and upon the terms provided in this Resolution. The
Board and the District and their 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 prompt collection and enforcement of the taxes,revenue,cash receipts and other moneys
pledged hereunder in accordance with law and for carrying out the provisions of this
Resolution.
Section 14. Sale of Notes. Vogel Lopez & Associates, inc., as :Financial advisor to the
District, on behalf of the District and the Board, is authorized to identify a purchaser for the
Notes and to negotiate an interest rate and purchase price for the Notes, so long as the net
interest cost to the District does not exceed six percent (6%) per annum. The definitive
principal amount of Notes to be issued shall be determined by the District's financial advisor,
on behalf of the District and the Board,at the time of sale of the Notes to such purchaser. The.
Treasurer-Tax Collector is hereby authorized and directed to accept an offer from such
purchaser, for and in the name of the Board,by notice to the successful bidder. The Treasurer-
Tax Collector is hereby authorized to execute a Note purchase agreement or other document in
connection with such award.
The District's financial advisor is hereby delegated the responsibility of negotiating,
receiving,opening and analyzing bids submitted for the purchase of the Notes and to report the
results thereof to the Treasurer-Tax Collector.
Section 15. Official Statement. The District has, in the District Resolution, approved
and deemed nearly final within the meaning of Rule 15c2-12 of the Securities Exchange Act of
1934, the preliminary Official Statement describing the Notes, in the form on file with the
Secretary. The Board hereby authorizes the District's financial advisor and the purchaser of the
Notes to distribute said Official Statement in connection with the sale of the Notes.
Section 16. Pr=aration of Notes. )ones Hall, A Professional Law Corporation,as bond
counsel to the District, is directed to cause suitable Notes to be prepared showing on their face
that the same bear interest at the rate aforesaid,and to cause the blank spaces therein to be
filled in to comply with the provisions of this Resolution in accordance with the identified
purchaser of the Notes,and to procure their execution by the proper officers,and to cause the
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Notes to be delivered when so executed to DTC on behalf of the identified purchaser therefor
upon the receipt of the purchase price by the Treasurer-Tax Collector on behalf of the District.
Section 17. Furtber ARpt.Qvals. The Treasurer-Tax Collector, the Clerk of the Board,
and any officer of the Board or the County,is further authorized and directed to make, execute
and deliver to the purchaser of the Notes: (a) a certificate attesting to the use of the proceeds
of the Notes, the investment thereof, and any other matters relating to the exclusion of the
interest on the Notes from gross income for federal income taxation purposes pursuant to
applicable federal tax law; (b) a certificate certifying to the due execution of the Notes, (c) a
receipt evidencing the payment of the purchase price of the Notes, which receipt shall be
conclusive evidence that said purchase price has been paid and has been received by the
County on behalf of the District;and (d)such other certifications and documentation as may be
required in connection with the sale and issuance of the Notes. The purchaser of the Notes is
hereby authorized to rely upon and shall be justified in relying upon any such certificate or other
document with respect to the Notes executed pursuant to the authority of this Resolution.
Section 18. Limited Liability. Notwithstanding anything to the contrary contained
herein, in the Notes or in any other document mentioned herein, neither the County nor the
Board shall have any liability hereunder or by reason hereof or in connection with the
transactions contemplated hereby and the Notes shall be payable solely from the moneys of the
District available therefor as set forth in Section 6 hereof.
Section 19. Effectiveness of Resolution. This Resolution shall take effect from and after
its passage and adoption.
I hereby certify that the foregoing is a true and correct copy of a resolution adopted by
the Board of Supervisors of Contra Costa County at a regular meeting held on May 121998 by
the following vote:
AYES: Supervisors Uilkema, Gerber , DeSaulnier , Canciamilla and Rogers
NOES: None
ABSENT: None
By
Ii C
[SEAL] '
Attest:
By am 01a
k of e o o upervisors
-fr ''
C-77
EXHIBIT A
BOARD OF SUPERVISORS OF CONTRA COSTA,CALIFORNIA
IN THE NANS OF THE
WEST CONTRA COSTA UNIFIED SCHOOL DISTRICT
(CONTRA COSTA COUNTY,CALIFORNIA)
1998199 TAX AND REVENUE ANTICIPATION NOTE
RATE OF INTEREST: MATURITY DATE: ORIGINAL ISSUE DATE: CUSIP:
June_, 1.999 July , 1998
REGISTERED OWNER:
PRINCIPAL AMOUNT:
The WEST CONTRA COSTA UNIFIED SCHOOL DISTRICT, a unified school district
organized and existing under the laws of the State of California (the "District"), for value
received, hereby promises to pay (but only out of the Pledged Revenues and other moneys and
securities hereinafter referred to)to the Registered Owner identified above or registered assigns
(the "Registered Owner"), on the Maturity Date identified above, the Principal Amount
identified above in lawful money of the United States of America; and to pay interest thereon
at the Rate of Interest identified above in like money from the Original Issue Date identified
above. The Principal Amount hereof and interest hereon are payable by check of the Treasurer-
Tax Collector of the County of Contra Costa, as Paying Agent (the "Paying Agent"), mailed by
first class mail on the Maturity Date to the Registered Owner hereof at the address of the
Registered Owner as it appears on the Registration Books of the Paying Agent as of the fifteenth
calendar day of the month preceding such Maturity Date.
This Note is one of an authorized issue of Notes in the aggregate principal amount of
Dollars ($ ), all of like tenor, issued
pursuant to the previsions of a resolution of the Board of Supervisors (the "Board") of the
County of Contra Costa (the "County") duly passed and adopted on May _ . 1998 (the
"Resolution"),and pursuant to Article 7.6 (commencing with Section 58850)of Chapter 4, Part
1, Division 2, Title 5, of the California Government Code, and that all things, conditions and
acts required to exist, happen and be performed precedent to and in the issuance of this Note
exist, have happened and have 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 Constitution or statutes of the State of
California.
The principal amount of the Notes,together with the interest thereon, shall be payable
from taxes, revenue and other moneys which are received by the County;on behalf of the
District for Repayment Fund of the District (as defined in the Resolution) for the fiscal year
1998/99. As security for the payment of the principal of and interest on the Notes,the Board,
in the name of the District,has pledged the first"unrestricted moneys",as hereinafter defined,
(a) in an amount equal to fifty percent (50%) of the principal amount of the Notes to be
received by the County on behalf of the District in April, 1999, (b)in an amount equal to fifty
percent (50%) of the principal amount of the Notes to be received by the County on behalf of
the District in May, 1999, and (c) in an amount equal to all interest due on the Nates at
maturity to be received by the County on behalf of the District in June, 1999 (such pledged
A-1
��.
amounts being hereinafter called the "Pledged Revenues"). The principal of the Nates and the
interest thereon shall constitute a first lien and charge thereon and shall be paid from the
Pledged Revenues. To the extent not so paid from the Pledged Revenues, the Notes shall be
paid from any other moneys of the District lawfully available therefor. The term "unrestricted
moneys" shall mean taxes, income, revenue and other moneys intended as receipts for the
general fund of the District and'which are generally available for the payment of current
expenses and other obligations of the District.
The Notes are issuable as fully registered Notes without coupons in denominations of
$5,000 or any integral multiple thereof. Subject to the limitations and upon payment of the
charges,if any,pravided'in the Resolution, Notes may be exchanged at the office of the Paying
Agent for a like aggregate principal amount and maturity of Notes of other authorized
denominations. This Note is transferable by the may
Owner hereof,in person or by his
attorney duly authorised in writing, at the office of the Paying Agent, but only in the manner,
subject to the limitations and upon payment of the charges provided in the Resolution, and
upon surrender and cancellation of this Note. Upon such transfer a new Mote or Notes, of
authorized denomination or denominations,for the same aggregate principal amount and of the
same maturity will be issued to the transferee in exchange herefor. The County,the District and
the Paying Agent may treat the Registered Owner hereof as the absolute owner hereof for all
purposes,and the County, the District and the Paying Agent shall not be affected by any notice
to the contrary.
The Notes are not subject to redemption prior to maturity.
Unless this Note is presented by an authorized representative of The Depository Trust
Company to the Board or the Paying Agent for registration of transfer, exchange or payment,
and any Nate issued is registered in the name of Cede&Co. or such other name as requested by
an authorized representative of The Depository Trust Company and any payment is made to
Cede & Co., ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE' BY OR TO ANY PERSON IS WRONGFUL since the registered owner hereof,
Cede&Co.,has an interest herein.
IN WITNESS WHEREOF, the Board of Supervisors of the County'of Contra Costa,
California has caused this Note to be issued in the name of the District and to be executed by
the manual signature of the Treasurer-Tax Collector and countersigned by the facsimile
signature of the Clerk of the Board,all as of the Original Issue Date stated above.
BOARD OF SUPERVISORS OF THE
COUNTY OF CONTRA COSTA
By
Treasurer-Tax Collector
(SEAL)
Countersigned:
By
Clerk of the Board
A-2
C,7
.PAVING AGENT'S CERTIFICATE OF AUTHENTICATIOI
This is one of the Notes described in the within-mentioned Resolutionand registered on
the Registration Books.
Date:
By
Treasurer-Tax Collector
of the County of Contra Costa
FORM OF ASSIGNMENT
For value received the undersigned do(es)hereby sell,assign and transfer unto
(Name,Address and Tax Identification or Social Security Number of Assignee)
the within registered Note and hereby irrevocably constitute(s) ' and appoint(s)
attorney, to transfer the same on the
Registration Books of the Paying Agent with full power of substitution in the premises.
Dated:
Signature Guaranteed:
Note: Signature(s)must be guaranteed by an eligible guarantor Note: The signature(s)on this Assignment mast correspond
institution with the name(s)as written on the face of the within
Note in every particular, without alteration or
enlargetnent or any change whatsoever.
A-3
WEST CONTRA COSTA UNIFIED SCHOOL DISTRICT
1108 Bissell Avenue
Richmond, CA 94801-3135
Telephone (510)234.3825
Herbert M. Cole,Jr., Ed.D. Eve M. Manalo,M.B.A.,C.P.A.
Superintendent of Schools Associate Superintendent
Fiscal Services
May 7, 1998
Charles F. Adams, Esq.
Jones Hall
650 California Street, 18th Floor
San Francisco, CA. 94108
Dear Mr. Adams:
Enclosed is a copy of the resolution for the 1998-99 TRANS that was approved by the
Board. of Education on May 6, 1998.
Sincerely,
61at 44z"-�
Eve Manalo
Associate Superintendent
Fiscal Services
EM:rw
Enclosures
WEST;CONTRA COSTA UNIFIED SCHOOL DISTRICT
1108 Bissell Avenue
Richmond, California 9€801-3135
Office of Superintendent of Schools
ITEM REQUIRING ATTENTION----BOARD OF EDUCATION
To the-Superintendent of Schools: Date: April 28, 1998
Subiect: Resolution No. 59-9748 Requesting the Board of Supervisors of Contra Costa County to
Issue Tax and Revenue Anticipation Notes in the Name of the West Contra Costa Unified
School District for Fiscal Year 1998/'99 in the Principal Amount of Not to Exceed $25,000,000
and Authorizing Proceedings Relating to the Issuance and Sale of Such Notes
Staff Analysis:
Tax and Revenue Anticipation Notes (TRA:Ns) are short-term, tax-exempt
securities which are issued by public agencies to provide adequate funds for
expenditures during months of projected cash flow shortages, and which are
reinvested during the high cash flow months. TR.ANs proceeds will range
from $15 to $25 million depending on projected cash flow needs for 1:998-99,
and may bring in net interest earnings from $200 - $400,000.
Staff recommends approval of this resolution.
Submitted b Eve M. Title:
Assoc. Superintendent, discal Srvzces
To the Board of Education: Meeting: May 5, 1998
Recommend approval.
1.0.2 �x
Agenda Placement Superintendent of"skh6ofs
DISPOSITION BY BOARD OF EDUCATION
Motion by: / _ Seconded by: e1-2 74
Q/
`'
Approved Not Approved Tabled
geecuem. e
BOARD OF EDUCATION
NEST CONTRA COSTA UNIFIER SCHOOL DISTRICT
RESOLUTION NO. 59.9798
A RESOLUTION OF THE BOARD OF EDUCATION REQUESTING TATE BOARD
OF SUPERVISORS OF CONTRA COSTA COUNTY TO ISSUE TAX AND
REVENUE ANTICIPATION NOTES IN THE NAME OF THE WEST CONTRA
COSTA UNIFIEDSCHOOL DISTRICT FOR FISCAL YEAR 1998-99 IN THE
PRINCIPAL AMOUNT OF NOT TO EXCEED $25,000,000 AND .AUTHORIZING
PROCEEDINGS RELATING TO THE ISSUANCE AND SALE OF SUCH NOTES
MAY 6, 1998
RESOLVED,by the Board of Education of the West Contra Costa Unified School District (the
'District"), as follows:
WHEREAS, school districts organized and existing under the laws of the State of California are
authorized by Article 7.6 (commencing with Section 53850) of Chapter 4 of Part 1 of Division 2 of Tide
5 of the California Government Code (the "Law") to borrow money by the issuance of temporary
notes, the proceeds of which may be used and expended for any purpose for which the school district
is authorized to spend moneys;and
WHEREAS, pursuant to the Law, such notes shall be issued in the name of such school district by the
board of supervisors of the county, the county superintendent of which has jurisdiction over such
school district, as soon as possible following receipt of a resolution of the governing board of such
district requesting such borrowing;and
WHEREAS,the District has determined that it is desirable that the District borrow funds in an
amount not to exceed$25,000,000 with respect to fiscal year 1998-99 for authorized purposes of the
District; and
WHEREAS, the District approves of the issuance of notes under the Law and wishes to take formal
action at this time authorizing the proceedings for the issuance and sale thereof;
NOW, THEREFORE, it is hereby DETERMINED and ORDERED as follows:
Section 1. Request. The Board of Supervisors of Contra Costa County(the "County")is hereby
requested to issue tax and revenue anticipation notes in the name of the District in the principal
amount of not to exceed $25,000,000(the "Notes"), under and pursuant to the provisions of the Law.
Section 2. Limitation on MaKunum Amount. The principal amount of Notes, when added to the
interest payable thereon, shall not exceed eighty-five percent (85%)of the estimated amount of the
uncollected taxes, revenue and other.moneys of the District for the general fund cif the District
attributable to fiscal year 1998-99, and available for the payment of the Notes and the interest thereon.
Section 3. Pled e. The Notes shall be general obligations of the District and shall be secured by a
pledge of and first lien and charge against the first"unrestricted moneys", as hereinafter defined„ (a) in
an amount equal to fifty percent (50%) of the principal amount of the Notes to be received by the
County on behalf of the District in April, 1999, (b) in an amount equal to fifty percent (Sot%) of the
principal amount of the Notes to be received by the County on behalf of the District in May, 1999,and
(c) in an amount equal to all interest due on the Notes at maturity to be received by the County on
behalf of the District in June, 1999 (the "Pledged Revenues"). To the extent not so paid from the
Fledged revenues, the Notes shall be paid from any other moneys of the District lawfully available
therefor. In the event that there are insufficient unrestricted moneys received by the District to permit
the deposit in the Repayment Fund (as hereinafter defined) of the full amount of the Pledged
Revenues to be deposited in any month on the last business day of such month, then the amount of
any deficiency shall be satisfied and made up from any other moneys of the District lawfully available
for the repayment of the Notes and interest thereon. The term "unrestricted moneys" shall mean taxes,
income, revenue and other moneys intended as receipts for the general fund of the District and which
are generally available for the payment of current expenses and other obligations of the District.
Section 4. Approval of Issuance Resolution. The Notes shall be issued pursuant to a resolution (the
"Issuance Resolution") to be adopted by the Board of Supervisors of the County in substantially the
form on file with the Clerk of the Board. The Board hereby approves the Issuance Resolution. All of
the terms and provisions of the Issuance Resolution are incorporated herein by reference.
Section 5. Qfficial Statement. The Board hereby approves, and deems final within the meaning of
Rule 15c212 of the Securities Exchange Act of 1934 except for permitted omissions, the Preliminary
Official Statement describing the Notes in the form on file with the Clerk of the Board together with
any additions thereto or changes therein approved by the Superintendent, whose execution thereof
shall be conclusive evidence of such approval. The purchaser of the Notes is hereby authorized to
distribute the Official Statement in connection with the sale of the Notes. The Superintendent is
hereby authorized and directed to(a) execute and deliver to the purchaser of the Notes a certificate
deeming the preliminary Official Statement to be nearly final prier to the distribution thereof, (b)
approve any changes in or additions to cause such Official Statement to be put in final form, and (c)
execute said final Official Statement for and in the name and on behalf of the District.
Section 6. Sale of Notes. The District's financial advisor, Vogel Lopez and Associates, Inc., on behalf
of the District and the Board, is authorized and directed to cause the Preliminary Official Statement to
be distributed to such municipal bond broker-dealers, to such banking institutions and to such other
persons as may be interested in purchasing the Nates therein offered for sale. The District's financial
advisor, on behalf of the District and the Board,is authorized to identify a purchaser for the Notes
and to negotiate an interest rate and purchase price for the Notes, so long as the net interest cost to
the District does not exceed six percent(6%) per annum. The definitive principal;amount of Notes to
be issued shall be determined by the District's financial advisor, on behalf of the District and the
Board, at the time of sale of the Notes to the purchaser thereof.
Section 7. Tax Covenants.
(a) Private Activity Bond Limitation. The District shalt assure that the proceeds of the Nates
are not so used as to cause the Notes to satisfy the private business test of Section 141(b) the Internal
Revenue Code of 1986 as in effect on the date of issuance of the Notes or as it may be amended to
apply to obligations issued on the date of issuance of the Notes, together with applicable proposed,
temporary and final regulations promulgated, and applicable official public guidance published, under
said Code (the"Tax Code"). The District shall further assure that the proceeds of the Notes are not so
used as to cause the Notes to satisfy the private loan financing test of Section 141 (c)of the Tax Code.
(b) Federal Guarantee Prohibition, The District shall not take any action or permit or suffer
any action to be taken if the result of the same would be to cause any of the Notes to be "federally
guaranteed" within the meaning of Section 144(b) of the Tax Code.
,
2
(c) Rebate Reguirement• The District shall take any and all actions necessary to assure
compliance with Section 148(f) of the Tax Code, relating to the rebate of excess investment earnings, if
any, to the federal government, to the extent that such Section is applicable to the Notes.
(d) No Arbitrage. The District shall not take, or permit or suffer to be taken any,action with
respect to the proceeds of the Notes which,if such action had been reasonably expected to have been
taken, or had been deliberately and intentionally taken, on the date of issuance of the Notes would
have caused the Notes to be "arbitrage bonds" within the meaning of Section 148 of the Tax Code.
(e) Maintenance of Tax-lwxernt�t cn. The District shall take all actions necessary to assure the
exclusion of interest on the Notes from the gross income of the registered owners of the Notes to the
same extent as such interest is permitted to be excluded from gross income under the Tax Code as in
effect on the date of issuance of the Notes.
Section 8. Continues Disclosure. The District hereby covenants and agrees that it will comply with
and carry out all of the previsions of the Continuing Disclosure Certificate. Notwithstanding any
other provision of this resolution,failure of the District to comply with the Continuing Disclosure
Certificate shall not be considered an event of default;however, any holder or beneficial owner of the
Notes may, take such actions as may be necessary and appropriate to compel performance, including
seeking mandate or specific performance by court order. For purposes of this Section 8,the terra
"Continuing Disclosure Certificate" means that certain Continuing Disclosure Certificate executed by
the District and dated the elate of issuance and delivery of the Notes, as originally executed and as it
may be amended from time to time in accordance with the terms thereof. For purposes of this Section
8, the term "Participating Underwriter" shall have the meaning ascribed thereto in the Continuing
Disclosure Certificate.
Section 9. No Temporary Trarrsfers�„ It is hereby covenanted and warranted by the District pursuant to
Article X' L Section 6 of the Constitution of the State of California that it will not request the
Treasurer-Tax Collector of the County to make temporary transfers of funds in the custody of the
Treasurer-Tax Collector to meet any obligations of the]district during the 1998 99 fiscal year.
Section 10. Engagement of Professional Services. The Board hereby approves the engagement of the
services of Vogel Lopez &.Associates,Inc., to act as financial advisor to the District in connection with
the issuance and sale of the Notes, and the services of Jones Hall,A Professional Law Corporation, to
act as bond counsel to the District in connection with the issuance and sale of the Notes. Payment of
the fees and expenses of said firms shall be contingent upon the successful sale and issuance of the
Notes. The Superintendent is hereby authorized and directed to execute the respective agreements
with said firms in the forms on file with the Clerk of the Board,in the name of the District.
Section 11. Further Authorization. All actions heretofore taken by the officers and agents of the
District with respect to the sale and issuance of the Notes are hereby approved, and the
Superintendent, the Associate Superintendent, Business Services, the Secretary of the Board and any
and all other officers of the District are hereby authorized and directed for and in the name and on
behalf of the District, to do any and all things and take any and all actions relating to the execution
and delivery of any and all certificates,requisitions,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 the Issuance Resolution and this Resolution. Whenever in
this Resolution any officer of the District is authorized to execute or countersign any document or take
any action, such execution,countersigning or action may be taken on behalf of such officer by any
person designated by such officer to act on his or her behalf in the case such officer shall be absent or
unavailable.
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Section 12, Indemnification. The District shall indemnify and hold harmless, to the extent permitted
by law, the County and its officers and employees (the "Indemnified Parties"), against any and all
losses, claims,damages or liabilities,jointor several, to which such Indemnified Parties may become
subject, because of action or inaction related to the Notes. The District shall also reimburse the
Indemnified Parties for any legal or other expenses incurred in connection with investigating or
defending any such claims or actions.
Section 13. Effective Date. This resolution shall take effect from and after its adoption.
PASSED AND ADOPTED on May 6, 1998, at a regular meeting of the Board of
Education by the following vote:
AYES: 5 NOES: 0 ABSENT: 0 ABSTAIN: 0
Dr. He +ert . Cole, Jr.
Secretary, Burd of Education
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Certification
I hereby certify that the foregoing resolution was duly adopted at a meeting of
the Board of Education of West Contra Costa Unified School District held on the 6th
day of May, 1998.
West Contra Costa Unified School District
Dr
Herb'e'-rf M. Coe Jr.
Superintendent
Phil Bfthelm
The Sward of Supervisors Contra. CW*of ft&Mrd
County Administration Buildingh +}+ Count')Vk"
651 Pine Street,Room 106 Costa (510)3 IDD
Martinez,Callfomla 84553.1293 County
ft"M,Ist
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Dotm Herb►st oma
Merle D*Ssufni rr,401 DIOW41 �
July 2, 1998 . 4`
Ms. Monica Ohyoung
Jones Hall
650 California Street
Eighteenth Floor
San Francisco, CA 94108
Dear Monica:
Enclosed please find four certified sealed copies of
Resolution No. 98/267 relative to the West Contra Costa Unified
School District Bond Issue adopted by the Contra Costa County
Board of Supervisors on May 12, 1998 .
I am sending back your duplicate original sealed and
certified which you had so kindly sent to me. I found I was
looking in the minutes in the incorrect date and the original was
in the minutes on the correct date of May 12, 1998 . Thank you
very much for your assistance .
Jeanne Maglio always certified the bonds and is now retired
and the task has fallen to me. Perhaps in order to facilitate my
providing what you need, if you could send a cover letter with
the material for the Board' s consideration telling mel how many
copies you need or whether they need to be duplicate originals or
whatever you need to complete the issue.
I look forward to working with you and developing a workable
process for these matters .
Sincerely,
PHIL BATCHELOR, Clerk of the
Board of Supervisors and
County Administrator
e
An Cervelli, Deputy Clerk