HomeMy WebLinkAboutMINUTES - 06242003 - D.2 r
TO: REDEVELOPMENT AGENCY/BOARD OF SUPERVISORS
FROM: John Sweeten, Executive Director
Dennis M. Barry, AICP, Director of Community Development
DATE: June 24, 2003
SUBJECT: Redevelopment Agency Tax Allocation Bonds
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
1) As the Board of Supervisors, HOLD Public Hearing as required by Section 6586.5(a)(2)of the
California Government Code with respect to the public benefit of financing improvements using
proposed revenue bond proceeds;
2) As the Board of Supervisors,ADOPT a resolution making findings of public benefit with respect
to,and approving the issuance of bonds by the Contra Costa County Public Financing Authority,
and approving the borrowing of bond proceeds by the Contra Costa County Redevelopment
Agency;
3) As the Governing Board of the Contra Costa Public Financing Authority, ADOPT a resolution
authorizing the issuance of revenue bonds to make loans to the Contra Costa County
Redevelopment Agency for Pleasant Hill BART, North Richmond, Bay Point and Rodeo
Redevelopment Project Area's: and
4) As the Governing Board of the Contra Costa Redevelopment Agency, ADOPT a resolution
authorizing the borrowing of funds from the Contra Costa County Public Financing Authority
related to the Pleasant Hill BART, North Richmond, Bay Point and Rodeo Redevelopment
Projects and approving actions related thereto.
FISCAL IMPACT
None. All bonds are secured by a pledge by Redevelopment Agency Tax Increments.
BACKGROUND/REASONS FOR RECOMMENDATIONS
CONTINUED ON ATTACHMENT: X YES SIGNATURE: Ji
P
_RECOMMENDATION OF EXECUTIVE DIRECTOR COMME ATION OF A NCY
COMMITTEE APPROVE OTHER
SIGNATURE(S):
ACTION OF AGENCY/ON ,Tune 24. 2003 _APPROVED AS RECOMMENDED OTHER
SUPERVISORS
VOTE OF COMMISSIONERS/SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A
X UNANIMOUS (ABSENT Nme ) TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT.: ABSTAIN: MINUTES OF THE BOARD OF
District III Seat vacant SUPERVISORS/AGENCY ON THE
Contact: Jim Kennedy DATE SHOWN.
5-1255
orig: Redevelopment Agency
cc: County Administrator ATTESTED Jum 24, 2003
County Counsel
Community Development JOHN SWEETEN, CLERK OF
via: Redevelopment THE BOARD OF SUPERVISORS/
Quint & Thimmig AGENCY SECRETARY
Goldfarb & Lipman
Jones Hall BY � :- DEPUTY
Stone & Youngberg
W:\Personal\Boardorders\BOARD.RDA.6.03.rda.tax.allocation
BACKGROUND/REASONS FOR RECOMMENDATIONS
1. OVERVIEW
In 1992, 1995, and 1999 the Contra Costa County Public Financing Authority issued
revenue bonds to make loans to the Redevelopment Agency, the repayment of which was
secured by a pledge of Redevelopment Agency Tax Increment revenues. The proceeds of
these bonds were loaned to the Redevelopment Agency to undertake its redevelopment
activities.
The purpose of the Public Financing Authority,which is a joint powers authority between the
County of Contra Costa and the Redevelopment Agency, is to allow for the issuance of
bonds secured by multiple sources of revenue. This pooling of project area resources
permits the Redevelopment Agency to realize efficiencies in the issuance process. All
bonds are secured solely by a pledge of Redevelopment Agency Tax Increments.
To date,bonded indebtedness has been incurred for the Pleasant Hill BART Station Project
Area,the North Richmond Project Area,the Bay Point Project Area, and the Rodeo Project
Area. Bonded indebtedness also exists for the Oakley Project Area,which has since been
transferred to the City. The proposed and recommended financing will refinance existing
Bonds and generate additional bond proceeds for each of the aforementioned project areas,
except Oakley. This financing has been recommended by all existing Redevelopment
Project Area committees or MAC's.
Based on current estimates of Tax Increments, current tax-exempt bond rates, and current
assumptions regarding project needs,the amount of the financing would be approximately
$52million as shown in the table below:
Estimate of Contra Costa County Public Financing Authority 2003 Tax Allocation Revenue Bonds
Amount of Refunding Bonds New Bond Proceeds Total
Project Area ($0009000) ($000,000) ($000,000)
Pleasant Hill BART 7.7 37.1* 44.8
North Richmond - 3.9 3.9
Bay Point 2.9 4.7 7.6
Rodeo - 4.3 4.3
(Subject to Change)
* Includes approximately $22 million in escrowed proceeds, which will be released upon Plan
Amendment increasing caps on total tax increment,and bonded indebtedness—estimate December,
2003.
The resolutions of the County Board of Supervisors, the Governing Board of the
Redevelopment Agency, and the Governing Board of the Contra Costa County Public
Financing Authority link together. The resolution of the Public Financing Authority authorizes
the issuance of the bonds and the making of loans to the Contra Costa County
Redevelopment Agency, and the resolution of the Redevelopment Agency authorizes the
borrowing of funds from the Public Financing Authority. The expected issuance of these
bonds, is to occur in late early April, dependent on market conditions.
2. PROPOSED IMPROVEMENTS
The following is a listing of various improvements that are being considered for financing
with a portion of the proceeds of the above-mentioned bonds. The improvements are not
listed in any particular order of priority. No decisions have been made as to the specific
improvements to be funded with bond proceeds, which improvements actually will be
constructed, or the expected construction schedule. These funds will be explicitly
programmed during the Agency's budgeting process.
W:\Personal\Boardorders\BOARD.RDA.6.03 .rda.tax.allocation
i
Pleasant Hill BART Candidate Projects
Capital Pronects
1. BART Replacement Parking Garage
2. Project Infrastructure-Streets, Utilities, Drainage
3. Placemaking Improvements- Parks, Plazas, Public Art, etc.
4. Public Facilities-Civic Use, Business Conference Center, etc.
Housing Projects
1. Residential New Construction Assistance
North Richmond Candidate Projects
Capital Projects
1. Employment Area Infrastructure (roads, drainage, utilities)
2. Pedestrian Overcrossing
3. Small Business Incubator Establishment
4. Gertrude Avenue Extension
5. Giant Highway Extension
Housing Projects
1. Land Assemblage
2. Housing Rehabilitation
Bay Point Candidate Projects
Capital Projects
1. BART Area Public Improvements
2. Willow Pass Road Improvements
3. N. Broadway Area Infrastructure
4. Marina/Waterfront Infrastructure
5. Light Industrial Area Infrastructure
6. Area Drainage
Housing Projects
1. Bay View Housing
2. BART Area Land Assemblage
3. Housing Rehabilitation
Rodeo Candidate Projects
Capital Projects
1. Waterfront Land Acquisition or Infrastructure
2. Water/Sewer Upgrades
3. Pacific Avenue Bridge
4. Parker Avenue Improvements
Housing Projects
1. Live/Work Housing Development
2. Housing Rehabilitation
3. STATE BUDGET
Sizing of the proposed bond issuance could be affected by the outcome of the current
discussions of the State Legislature regarding the State's Budget. The sizing assumes that
the Agency will incur an additional one-year(FY 03/04)of revenue diversion to the Education
Revenue Augmentation Fund (ERAF)at an amount equal to FY 02/03. The mechanism for
providing worst-case coverage would be funding Agency administration from alternative
funds borrowed from County non-general fund sources.
W:\Personal\Boardorders\BOARD.RDA.6.03.rda.tax.allocation
RESOLUTION NO. 2 00 3/411
A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF
CONTRA COSTA MAKING FINDINGS WITH]RESPECT TO AND APPROVING
THE ISSUANCE OF BONDS BY THE COUNTY OF CONTRA COSTA PUBLIC
FINANCING AUTHORITY,AND APPROVING THE BORROWING OF BOND
PROCEEDS BY THE CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
WHEREAS,the County of Contra Costa (the "County") and the Contra Costa County
Redevelopment Agency(the "Agency") have heretofore entered into a Joint Exercise of Powers
Agreement establishing the County of Contra Costa Public Financing Authority (the
"Authority")for the purpose,among others,of issuing its bonds to be used to provide financial
assistance to the Agency;and
WHEREAS, the Agency is undertaking to assist the redevelopment of its Pleasant Hill,
North Richmond, Bay Point and Rodeo Redevelopment Projects (collectively, the
"Redevelopment Projects"),and the Agency has previously entered into a loan agreement with
respect to its Pleasant Hill Redevelopment Project (the "Prior Pleasant Hill Loan Agreement")
with the Authority pursuant to which the Authority has made a loan to the Agency (the "Prior
Pleasant Hill Loan") from the proceeds of revenue bonds issued by the Authority for such
purpose (the "Prior Bonds"); and
WHEREAS, the Agency has determined that due to prevailing financial market
conditions it is in the best interests of the Agency to realize interest rate savings by refunding
the portion of the Prior Pleasant Hill Loan that is outstanding at this time, and the Agency has
requested the Authority to lend it funds in an amount sufficient for such purpose and also to
provide additional financing for 'improvements (the "Improvements") to be located in the
County and within or of benefit to the Redevelopment Projects, including certain low and
moderate income housing programs of the Agency, and other redevelopment activities of the
Agency;and
WHEREAS, for the pur ose of raising funds necessary to provide such financial
assistance to the Agency,the AuTority proposes to authorize the issuance of three series of its
0.11
revenue bonds (collectively, the "Bonds") under the provisions of Article 4 (commencing with
Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of
California (the "Code"), designated as the "Series A Bonds," the "Series A-T Bonds" and the
"Series B Bonds"in the Indenture identified below;and
WHEREAS, the proceeds of the Bonds will be applied to make loans (collectively, the
"Loans.') to the Agency pursuant to supplements to the Prior Pleasant Hill Loan Agreement
and other existing loan agreements with respect to the North Richmond, Rodeo and Bay Point
Project Areas (collectively, the "Loan Agreements" and the "Supplements," respectively), as
applicable,each between the Agency and the Authority;and
WHEREAS, the County has on this date held a duly noticed public hearing on the
financing of the Improvements with the proceeds of the Bonds,as required by Section 6586.5(a)
of the Code; and
WHEREAS, the Board of Supervisors of the County now desires to make a finding of
significant public benefit, pursuant to Section 6586.5(a)(2) of the Code, and to approve of the
financing of he Improvements and the transactions contemplated by the Bonds and the Loans.
2003/411
4;1
NOW,THEREFORE,BE IT RESOLVED, DETERMINED AND ORDERED by the Board
of Supervisors of the County, as follows: (1) the County hereb finds that significant public
benefits will arise from the financing of the Improvements with e proceeds of the Bonds and
the Loans, in accordance with Section 6586 of the Code, in that the financing will result in
demonstrable savings in effective interest rates,bond preparation, bond underwriting and bond
issuance;(2)the County hereby approves the financing of the Improvements with the proceeds
of the Bonds and the Loans;(3)the issuance of the Bonds by the Authority, the enterin into of
the Supplements by the Agency and the Loans made to the Agency pursuant to le Loan
Agreements as amended by the Supplements, and the application of a portion of the proceeds
of such Loans to repay the Prior Pleasant Hill Loan, to refund the Prior Bonds and to fund
redevelopment activities of the Agency(as well as to repay a prior loan by the Authority to the
Agency related to the Agency's Bay Point Redevelopment Project and related bonds, if
determined cost effective by the County's Deputy Director- Redevelopment, be and are hereby
approved; and (4) this Resolution shall take effect from and after the date of its passage and
adoption.
1 hereby certify that the foregoing Resolution was duly adopted by the Board of
Supervisors of Contra Costa County, California, at a regularly scheduled meeting thereof, held
on the 2e day of June,2003,by the following vote of the Board:
AYES.- Supervisors Gioia, Uilkema, Glover and DeSaulnier
NOES: None
ABSENT: None
District III Seat is Vacant ATTEST: June 24, 2003
Clerk of the Board of Supervisors and
County Adn u*iniistrator
`-
By.
Deputy
03012.02J6786
6/16/03
2
1
RESOLUTION NO, 2 4
A RESOLUTION OF THE COUNTY OF CONTRA COSTA PUBLIC FINANCING
AUTHORITY AUTHORIZING THE ISSUANCE OF REVENUE BONDS TO MAKE
LOANS TO THE CONTRA COSTA COUNTY REDEVELOPMENT AGENCY IN
CONNECTION WITH ITS PLEASANT HILL BART,NORTH RICHMOND,BAY
POINT AND RODEO REDEVELOPhffNT PROJECTS, AND APPROVING
RELATED DOCUMENTS AND ACTIONS
WHEREAS,the County of Contra Costa (the "County") and the Contra Costa County
Redevelopment Agency(the "Agency") have heretofore entered into a Joint Exercise of Powers
Agreement establishing the County of Contra Costa Public Financing Authority (the
"Authority")for the purpose,among others,of issuing its bonds to be used to provide financial
assistance to the Agency;and
WHEREAS, the Agency is undertaking to assist the redevelopment of its Pleasant Hill
BART, North Richmond, Bay Point and Rodeo Redevelopment Projects (collectively, the
"Redevelopment Projects"),and the Agency has previouslyentered into a loan agreement with
res ect to its Pleasant Hill Redevelopment Project (the "Prior Pleasant Hill Loan Agreement")
wi the Authority pursuant to which the Authority has made a loan to the Agency (the "Prior
Pleasant Hill Loan") from the proceeds of revenue bonds issued by the Authority for such
purpose(the Prior Bonds ) a portion of which Prior Pleasant Hill Loan remains outstanding;
and
WHEREAS, the Agency has determined that due to prevailing financial market
conditions it is in the best interests of the Agency to realize interest rate savings by refunding
the portion of the Prior Pleasant Hill Loan that is outstanding at this time, and the Agency has
requested the Authority to lend it funds in an amount sufficient for such purpose and also to
provide additional financing for the Redevelopment Projects, including certain low and
moderate income housing programs of the Agency;and
WHEREAS, for the pur ose of raising funds necessary to provide such financial
assistance to the Agency,the Au ority proposes to authorize the issuance of three series of its
revenue bonds (collectively, the "Bonds") under the provisions of Article 4 (commencing with
Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of
California (the "Act") designated as the "Series A Bonds," the "Series A-T Bonds" and the
"Series B Bonds"in the Indenture identified below;and
WHEREAS, the proceeds of the Bonds will be applied to make loans (collectively, the
Loans ) to the Agency pursuant to supplements to the Prior Pleasant Hill Loan Agreement
and to other existing loan agreements with respect to the North Richmond, Bay Point and
RodeoProject Areas (collectively, the "Loan Agreements" and the "Supplements,"
respectively),as applicable, each between the Agency and the Authority, and a portion of the
proceeds of the Loans will be used to finance various improvements (the "Improvements")
located in the County and within or of benefit to the Redevelopment Projects;and
WHEREAS, the Board of Supervisors of the County has held a duly noticed public
hearing with respect to the financing of the Improvements,and has made a finding of significant
public benefits in connection with the issuance of the Bonds and the use of the proceeds thereof
to finance the Improvements;and
WHEREAS, the firm of Stone &Youngberg LLC (the "Underwriter") has proposed to
purchase and underwrite the Bonds and there has been presented to the Authority a form of
2003/424
yr
Purchase Agreement for the Bonds,to be entered into among the Authority, the Agency and the
Underwriter (the "Purchase Agreement") and there has been presented to the Authority a
proposed form of an official statement (the "Official Statement") describing the Bonds, to be
used in connection with the marketing thereof by the Underwriter;and
WHEREAS, the Board of Directors (the "Board") of the Authority has duly considered
such transactions and wishes at this time to approve said transactions in the public interests of
the Authority.
NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the County of
Contra Costa Public Financing Authority as follows:
Section 1. Findings and Determinations. Pursuant to the Act, the Board hereby finds
- and determines that the issuance of the Bonds will result in savings in effective interest rates,
bond underwriting costs and bond issuance costs and thereby result in significant public
benefits to its members within the contemplation of Section 6586 of the Act.
Section 2. Issuance of Bonds;Approval of Indentures. The Board hereby authorizes the
issuance of the Bonds in a maximum aggregate principal amount not to exceed $68,000,000.
The Bonds shall be issued pursuant to one or more Indentures of Trust,each by and between the
Authority and U.S. Bank National Association, as trustee (collectively, the "Indenture"). The
Board hereby approves the Indenture in the respective forms on file with the Secretary. The
Chair, Executive Director, Assistant Executive Director, and Deputy Executive Director (the
"Designated Officers"), each acting alone, are hereby authorized and directed to execute the
Indenture for and in the name and on behalf of the Authority in such forms, together with such
additions thereto and changes therein as the Deputy Executive Director of the Authority shall
deem necessary,desirable or appropriate (including but not limited to the consolidation of the
two forms of the Indenture into a single Indenture), the execution of which by a Designated
Officer shall be conclusive evidence of the approval of any such additions and changes. The
Board hereby authorizes the delivery and performance of the Indenture.
Section 3. Approval of Loans to Agency; Loan Agreements. The Board hereby
authorizes and approves the loan of the Bond proceeds by the Authority to the Agency
pursuant to and in accordance with the provisions of the Loan Agreements, as amended and
supplemented by the Supplements. The Board hereby approves the Supplements in the
respective forms on file with the Secretary. The Designated Officers, each acting alone, are
hereby authorized and directed to execute each of the Supplements for and in the name and on
behalf of the Authority in such forms, together with such additions thereto and changes therein
as the Deputy Executive Director of the Authority shall deem necessary, desirable or
appropriate (including but not limited to the consolidation of the two Supplements for each
Redevelopment Project into a single Supplement for each Redevelopment Project), the execution
of which by a Designated Officer shall be conclusive evidence of the approval of any such
additions and changes. The Authority hereby authorizes the delivery and performance of the
Supplements.
Section 4. Sale of Bonds. The Board hereby approves the sale of the Bonds by the
Authority by negotiation with the Underwriter,pursuant to the Purchase Agreement in the form
on file with the Secretary. The Designated Officers, each acting alone, are hereby authorized
and directed to execute the Purchase Areement for and in the name and on behalf of the
Authority in such form, together with sul additions thereto and changes therein as the Deputy
Executive Director of the Authority shall deem necessary, desirable or appropriate, the
execution of which bthe Deputy Executive Director shall be conclusive evidence of the
approval of any suc additions and changes, upon the submission of an offer by the
Underwriter to purchase the Bonds,which offer is acceptable to the Deputy Executive Director
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of the Authority and consistent with the requirements of this Resolution. The amount of
Underwriter's discount for the Bonds shall be not more than two and one-half percent (2.5070)
of thear amount thereof (not taking into account any original issue discount on the sale
thereof and (a) the average interest rate on the Series A Bonds shall not exceed six and one-
half percent(6.5070)per annum,and (b) the average interest rate on the Series A-T Bonds and
the Series B Bonds shall not exceed nine percent(9.007o)per annum.
Section 5. Official Statement. The Board hereby approves the preparation of, and
hereby authorizes the Designated Officers, each acting alone, to deem final within the meaning
of Rule 15c2-12 of the Securities Exchange Act of 1934 except for permitted omissions, a
preliminary form of the Official Statement for the Bonds. Distribution of such prelimina
Official Statement by the Underwriter is hereby approved. The Designated Officers, eac
acting alone, are hereby authorized to execute the final form of the Official Statement, including
as it may be modified by such additions thereto and changes therein as the DTie
uty Executive
Director of the Authority shall deem necessary, desirable or appropriate, and execution of
the final Official Statement by the Authority shall be conclusive evidence of the approval of any
such additions and changes. The Board hereby authorizes the distribution of the final Official
Statement by the Underwriter. The final Official Statement shall be executed in the name and
on behalf of the Authority by a Designated Officer.
Notwithstanding the forereing, if determined by the Deputy Executive Director as
advantageous in connection with marketing of the Bonds,the Preliminary Official Statement
a i rate Preliminary Official
Statement and Official Statement for the Series A Bonds and the Series A-T Bonds, and for the
Series B Bonds. In such event,all references herein to the Preliminary Official Statement and the
Official Statement are hereby deemed to refer to sets of Preliminary Official Statements and
Official Statements,each in the form acceptable to the Deputy Executive Director.
Section 6.Defeasance of the Prior Bonds.The Authority consents to the use of proceeds
of the Bonds for the defeasance of a portion of the Prior Bonds and the prepayment of the Prior
Pleasant Hill Loan pursuant to an Escrow Deposit and Trust Agreement by and among the
Agency, the Authorit and U.S. Bank National Association, as escrow bank (the "Escrow
Agreement").The Au ority hereby approves the Escrow Agreement in the form on file with the
Secretary,to ether with such additions thereto and changes therein as the Deputy Executive
Director of t e Authority shall deem necessary, desirable or appropriate, and the execution
thereof by a Designated Officer shall be conclusive evidence of the approval of any such
additions and changes. The Designated Officers, each acting alone, are hereby authorized and
directed to execute the Escrow Agreement for and in the name and on behalf of the Authority.
The Authority hereby authorizes the delivery and performance of the Escrow Agreement.
Notwithstanding the foregoing, if determined by the Deputy Executive Director as cost
effective for the Agency and the Authority, the Escrow Agreement and the other documents
approved by this Resolution may be modified to include provisions related to the refunding and
defeasance of all or a portion of an outstanding loan by the Authority to the Agency related to
the Bay Point Redevelopment Project and any related bonds of the Authority.
Section 7. Continuing Disclosure Certificate. The Continuing Disclosure Certificate, in
the form on file with the Secretary, is hereby approved. The Designated Officers, each acting
alone, are hereby authorized and directed, for and in the name of and on behalf of the
Authority, to execute (if required by disclosure counsel) and deliver the Continuing Disclosure
Certificate in said form, with such additions thereto or changes therein as are deemed
necessary, desirable or appropriate by the Deputy Executive Director, the approval of such
changes to be conclusively evidenced by the execution and delivery by a Designated Officer of
the Continuing Disclosure Certificate.
Section 8. Designation of Bond Counsel and Disclosure Counsel. The law firm of Quint
&Thimmig LLP is hereby designated as bond counsel to the Authority, and the law firm of
McFarlin &Anderson LLP is hereby designated as disclosure counsel for the Authority, with
respect to the Bonds. The Deputy Executive Director is hereby authorized and directed to
execute agreements with said firms for their services in connection with the Bonds, provided
that payment of the fees and expenses of such firms shall be contingent upon the issuance of,
and payable solely from the proceeds of,the Bonds.
Section 9. official Actions. The Chair, the Executive Director, the Assistant Executive
Director, the Deputy Executive Director, the Secretary and any and all other officers of the
Authority are hereby authorized and directed, for and in the name and on behalf of the
Authority, to do any and all things and take any and all actions, including execution and
delivery of any and all assignments, certificates, requisitions, a eements, notices, consents,
instruments of conveyance,warrants and other documents, whi they, or any of them, may
deem necessary or advisable in order to consummate the lawful issuance and sale of the Bonds,
the refunding of a portion of the Prior Bonds and refinancing of the Prior Pleasant Hill Loan
(and, if determined to be cost effective by the Deputy Executive Director, the refunding of a
portion of a prior Bay Point Redevelopment Project loan and related bonds), and the
consummation of the transactions on the part of the Authority as described in the documents
approved herein.
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Section 10. Effective Date. This Resolution shall take effect from and after the date of
its passage and adoption.
PASSED, APPROVED AND ADOPTED this 24t` day of June, 2003 by the following
vote:
AYES: Supervisors Gioia, Uilkema, Glover and DeSaulnier
NOES: None
ABSENT: None
ABSTAIN: None
District III Seat Vacant
By.
-VA4 t
Chair, County of Contra Coa ublic
Financing Authority
ATTEST:Authority Secretary
By:
Deputy
03012.02:]6785
6/16/03
-5-
Y
I HEREBY CERTIFY that the foregoing resolution was duly and regularly passed and
adopted by the County of Contra Costa Public Financing Authority at a regular meeting thereof
held on the 24t`day of June, 2003 and that the foregoing is a full, true and correct co of said
copy
Resolution.
Secretary of the County of Contra Costa
Public Financing Authority
B � ~
Y•
Deputy
-6-
RESOLUTION NO. 2 0 0 3/4 2 5
A RESOLUTION OF THE CONTRA COSTA COUNTY REDEVELOPMENT
AGENCY AUTHORIZING THE BORROWING OF FUNDS FROM THE
COUNTY OF CONTRA COSTA PUBLIC FINANCING AUTHORITY
RELATING TO THE AGENCY'S PLEASANT HILL BART,NORTH
RICHMOND, BAY POINT AND RODEO REDEVELOPMENT PROJECTS,
AND APPROVING RELATED DOCUMENTS AND ACTIONS
WHEREAS,the County of Contra Costa (the "County") and the Contra Costa County
Redevelopment Agency(the "Agency") have heretofore entered into a Joint Exercise of Powers
Agreement establishing the County of Contra Costa Public Financing Authority (the
"Authority")for the purpose, among others,of issuing its bonds to be used to provide financial
assistance to the Agency;and
WHEREAS, the Agency is undertaking to assist the redevelopment of its Pleasant Hill
BART, North Richmond, Bay Point and Rodeo Redevelopment Projects (collectively,, the
"Redevelopment Projects"),and the Agency has previously entered into a loan agreement with
resect to its Pleasant Hill Redevelopment Project (the "Prior Pleasant Hill Loan Agreement")
wig the Authority pursuant to which the Authority has made a loan to the Agency (the "Prior
Pleasant Hill Loan") from the proceeds of revenue bonds issued by the Authority for such
purpose(the"Prior Bonds") a portion of which Prior Pleasant Hill Loan remains outstanding;
and
WHEREAS, the Agency has determined that due to prevailing financial market
conditions it is in the best interests of the Agency to realize interest rate savings by refunding
the portion of the Prior Pleasant Hill Loan that is outstanding at this time, and the Agency has
requested the Authority to lend it funds in an amount sufficient for such purpose and also to
provide additional financing for the Redevelopment Projects, including certain low and
moderate income housing programs of the Agency;and
WHEREAS, for the purpose of raising funds necessary to provide such financial
assistance to the Agency,the Authority proposes to authorize the issuance of three series of its
revenue bonds (collectively, the "Bonds")under the provisions of Article 4 (commencing with
Section 6584) of Cha ter 5 of Division 7 of Title 1 of the Government Code of the State of
California (the "Act" designated as the "Series A Bonds," the "Series A-T Bonds" and the
"Series B Bonds" in the Indenture identified below;and
WHEREAS, the proceeds of the Bonds will be applied to make loans (collectively the
"Loans") to the Agency pursuant to supplements to the Prior Pleasant Hill Loan Agreement
and to other existing loan agreements with respect to the North Richmond, Bay Point and
Rodeo Project Areas (collectively, the "Loan Agreements" and the "Supplements,"
respectively),as applicable,each between the Agency and the Authority;and
WHEREAS, the firm of Stone &Youngberg LLC (the "Underwriter") has proposed to
purchase and underwrite the Bonds and there has been presented to the Agency a form of
Purchase Agreement for the Bonds,to be entered into among the Authority, the A ency and the
Underwriter (the "Purchase Agreement") and there has been presented tote Agency a
proposed form of official statement(the "Official Statement")describing the Bonds, to be used
in connection with the marketing of the Bonds by the Underwriter;and
2003/425
4 .
WHEREAS, the Agency has duly considered such transactions and wishes at this time
to approve said transactions in the public interests of the Agency.
NOW, THEREFORE, BE IT RESOLVED, by the Contra Costa County Redevelopment
Agency as follows:
Section 1. Findings and Determinations. Pursuant to the Act, the Agency hereby finds
and determines that the issuance of the Bonds will result in savings in effective interest rates,
bond underwriting costs and bond issuance costs and thereby result in significant public
benefits to the members of the Authority within the contemplation of Section 6586 of the Act.
Section 2. Approval of Loans from Authority; Supplements to Loan Agreements. The
Agency hereby authorizes and approves the borrowing by the A ency from the Authority of the
proceeds of the Bonds pursuant to and in accordance wit the provisions of the Loan
Agreements and the Supplements;provided that the aggregate principal amount of the Loans
does not exceed $68,000,000. The Agency hereby approves the Supplements in the respective
forms on file with the Secretary. The Chair, Executive Director, Assistant Executive Director,
De uty Executive Director and Deputy Director - Redevelopment (the "Designated Officers"),
eacift acting alone,are hereby authorized and directed to execute the Supplements for and in the
name and on behalf of the Agency, in such forms, together with such additions thereto and
changes therein as the Deputy Director Redevelopment shall deem necessary, desirable or
appropriate (including but not limited to the consolidation of the two Supplements for each
Redevelopment Project into a single Supplement for each Redevelopment Project), the execution
of which by a Designated Officer shall be conclusive evidence of the approval of any such
additions and changes. The Agency hereby authorizes the delivery and performance of the
Supplements.
Section 3. Refunding of the Prior Loan Agreements. A portion of the proceeds of the
Bonds will be applied to refinance the Aency's obligations under the Prior Pleasant Hill Loan
Agreement and to defease a portion of ge Prior Bonds pursuant to an Escrow Deposit and
Agreement by and among the Agency,the Authority and U.S.Bank Trust National Association,
as escrow bank(the"Escrow Agreement"). The Agency hereby approves the Escrow Agreement
in the form on file with the Secretary, together with such additions thereto and changes therein
as the Deputy Director Redevelopment shall deem necessary, desirable or ap ropriate, and
the execution thereof by a Designated Officers shall be conclusive evidence of t e approval of
any such additions and changes. The Designated Officers, each acting along, are hereby
authorized and directed to execute the final form of the Escrow Agreement for and in the name
and on behalf of the Agency.The Agency hereby authorizes the delivery and performance of the
Escrow Agreement.
Notwithstanding the foregoing,if determined by the Deputy Director— Redevelopment
as cost effective for the Agency, the Escrow Agreement and the other documents approved by
this Resolution may be modified to include provisions related to the refunding and defeasance
of all or a portion of an outstanding loan by the Authority to the Agency related to the Bay
Point Redevelopment Project and any related bonds of the Authority.
Section 4. Sale of Bonds. The Agency hereby approves the sale of the Bonds by the
Authority by negotiation with the Underwriter,pursuant to the Purchase Agreement in the form
on file with the Secretary. The Designated Officers, each acting alone, are hereby authorized
and directed to execute the Purchase Agreement for and in the name and on behalf of the
Agency in such form, together with such additions thereto and changes therein as the Deputy
Director Redevelopment shall deem necessary, desirable or appropriate, the execution of
which by the Agency shall be conclusive evidence of the approval of such additions and
changes,upon the submission of an offer by the Underwriter to purchase the Bonds, which offer
-2-
is acceptable to the Deputy Director - Redevelopment and consistent with the requirements of
this Resolution. The amount of Underwriter's discount for the Bonds shall be not more than
two and one-half percent (2.5070) of the par amount thereof (not taking into account any
original issue discount on the sale thereof) and (a) the average interest rate on the Series A
Bonds shall not exceed six and one-half percent(6.507o)per annum, and (b)the average interest
rate on the Series A-T Bonds and the Series B Bonds shall not exceed nine percent (9.007o) per
annum.
Section 5. Official Statement. The Agency hereby approves the preparation of, and
hereby authorizes the Designated Officers, each acting alone, to deem final within the meaning
of Rule 15c2-12 of the Securities Exchange Act of 1934 except for permitted omissions, a
preliminary form of the Official Statement for the Bonds. Distribution of such pre
Official Statements by the Underwriter is hereby approved. The Designated Officers, eac
acting alone,are hereby authorized to execute the final form of the Official Statement, including
as it may be modified by such additions thereto and changes therein as the Deputy Director -
Redevelopment shall deem necessary, desirable or appropriate, and the execution of the final
Official Statement by the Agency shall be conclusive evidence of the approval of any such
additions and changes. The Agency hereby authorizes the distribution of the final Official
Statement by the Underwriter. The final Official Statement shall be executed in the name and
on behalf of the Agency by a Designated Officer.
Notwithstanding the foregoing,if determined by the Deputy Director- Redevelopment
as advantageous in connection with the marketing of the Bonds, the Preliminary Official
Statement and the Official Statement may be recast in the form of a separate Preliminary
Official Statement and Official Statement for the Series A Bonds and the Series A-T Bonds, and
for the Series B Bonds. In such event,all references herein to the Preliminary Official Statement
and the Official Statement are hereby deemed to refer to sets of Preliminary Official Statements
and Official Statements, each in the form acceptable to the Deputy Director-Redevelopment.
Section 6. Continuing Disclosure Certificate. The Continuing Disclosure Certificate, in
the form on file with the Secretary, is hereby approved. The Designated Officers, each acting
alone,are hereby authorized and directed,for and in the name of and on behalf of the Agency,
to execute and deliver the Continuing Disclosure Certificate in said form,with such additions
thereto or changes therein as are deemed necessary, desirable or appropriate by the Deputy
Director Redevelopment,the approval of such changes to be conclusively evidenced by the
execution and delivery by a Designated Officer of the Continuing Disclosure Certificate.
Section 7. official Actions. The Chair, the Executive Director, the Assistant Executive
Director, the Deputy Executive Director, the Deputy Director - Redevelopment, the Secretary
and any and all other officers of the Agency are hereby authorized and directed, for and in the
name and on behalf of the Agency, to do any and all things and take any and all actions,
including execution and delivery of any and all assignments, certificates, requisitions,
agreements, notices, consents, instruments of conveyance, warrants, agreements and other
documents which they, or any of them, may deem necessary or advisable in order to
consummate the lawful issuance and sale of the Bonds, the making of the Loans and the
refunding of a portion of the Prior Bonds and refinancing of the Prior Pleasant Hill Loan(and, if
determined to be cost effective by the Deputy Director - Redevelopment, the refunding of a
portion of a prior Bay Point Redevelopment Project loan and related bonds) as described in the
documents approved herein.
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r
v
r r
Section 8. Effective Date. This Resolution shall take effect from and after the date of its
passage and adoption.
PASSED AND ADOPTED on June 24,2003 by the following vote:
AYES: Supervisors Gioia, Uilkema, Glover and DeSaulnier
NOES: None
ABSENT: None
ABSTAIN: None
District III Seat Vacant
ATTEST:
Agency Secretary
By.
Deputy
03012.02:J6784
6/16/03
-4-
t
PROOF OF PUBLICATION
(2015.5 C.C.P.)
STATE OF CALIFORNIA
County of Contra Costa
I am a citizen of the United States and a resident of the
County aforesaid; I am over the age of eighteen years,
and not a party to or interested in the above-entitled
matter.
I am the Principal Legal Clerk of the West County Times,
a newspaper of general circulation, printed and published
at 2640 Shadelands Drive in the City of Walnut Creek,
County of Contra Costa, 94598.
And which newspaper has been adjudged a newspaper of
general circulation by the Superior Court of the County of
Contra Costa, State of California, under the date of
August 29, 1978. Case Number 188884.
The notice, of which the annexed is a printed copy (set in
type not smaller than nonpareil), has been published in
each regular and entire issue of said newspaper and not
in any supplement thereof on the following dates,to-wit:
June 14
all in the year of 2003
I certify (or declare) under penalty of perjury that the
foregoing is true and correct.
Executed at Walnut Creek, Ca4fornia.
On this 14 y J ne 2 0
................ .. ..............
Signature ...
West County Times
P 0 Box 100
Pinole, CA 94564
(510) 262-2740
Proof of Publication of:
(attached is a copy of the legal advertisement that
published)
NOTICE OF
PUBLIC HEARING
BEFORE THE
CONTRA COSTA COUNTY
BOARD OF SUPERVISORS
ON PLANNING MATTERS
MONTALVIN
MANOR AREA
Notice is hereby given
that on Tuesday June 24,
2003 at 10:30 a.m. in the
County Administration
Building Board Cham-
bers, 651 Pine Street
(Corner of Pine and
Escobar Streets) Marti-
nez, California, tke Con-
tra Costa CountyBoard
of Supervisors will con-
duct a public hearing,to
consider the following
plannig matter:
MONTALVIN MANOR
MIXED USE GENERAL
PLAN AMENDMENT,CON-
TRA COSTA COUNTY RE-
DEVELOPMENT AGENCY
(County File: GP#02-
0004): The Contra Costa
CountyRedevelopment
i
Agency s proposing to
amend the Land Use El-
ement to the Contra Cos-
ta County General Plan
(1995-2010) to promote
mixed use development
on two sites at Tara Hills
Drive and San Pablo Ave-
nue within the proposed
Montalvin Manor Rede-
velopment Project Area
(Note: The Board of Su-
pervisors will conduct a
separate public hearing
on the adoption of the
proposed Montalvin
Manor Redevelopment
Plan on Tuesday June 17,
2003). The Contra Costa
County General Plan
(1995-2010) utilizes the
"Mixed Use" (MU) land
use designation in sever-
al locations in the unin-
corporated area to pro-
vide for the integration in
a single project of both
residential and commer-
cial uses. The proposed
re-designation to Mixed
Use (MU) for Montalvin
Manor would apply to
two sites located at the
intersection of Tara Hills
Drive and San Pablo Ave-
nue,as follows:Site#1)
Assessor Parcel Number
403-030-005,a vacant site
of approximate 13 acres
located at the northeast
intersection of Tara Hills
Drive and San Pablo Ave-
nue, would be re-
designated from Multiple
Family Residential - Me-
dium Density (MM) to
Mixed Use (MU); and
Site #2)Assessor Parcel
Number 403-202-011/012,
a 3 acre site located at
the southeast corner of
Tara Hills Drive and San
Pablo Avenue,would be
re-designated from
Commercial (CO) to
Mixed Use(MU).A range
of neighborhood oriented
retail commercial/office
uses and residential uses
would be allowed under
the Mixed Use desi!Rna-
tion for the subject saes
to stimulate the upgrad-
ing and redevelopment in
the MontalvinManor
area.(CT:3640.01)
The location of the sub-
tect properties are within
he unincorporated terri-
tory of the County of
Contra Costa, State of
California, generally
identified above(a more
precise description may
be examined in the Office
of Director of Community
Development, County
Administration Building).
For the purposes of com-
pliance with the0 *-
sions of the California r ''
Environmental Quality
Act (CEQA), an Environ-
mental impact Report
(SCH#2002102117) has
beenrepared for this
projecr
If you challenge this mat-
ter in Court,you may be
limited to rasing only
those issues you or
someone else raised at
the public hearing de-
scribed in the notice, or
in written
correspondence.
Prior to the hearing,
Community Development
Department staff will be
available on Tuesday,
June 24,2003,at 9:00 a.m.
in Room 108,Administra-
tion Building, 651 Pine
Street, Martinez, CA, to
meet with any interested
person in order to(1)an-
swer questions; (2) re-
view the hearing proce-
dures used by the Board;
(3) clarify the issues be-
ingconsidered by the
Board;and(4)provide an
opportunity to Identify,
resolve or narrow any
differences which remain
in dispute.ute.If you wish to
attendthis meeting with
staff, please call Patrick
Roche, Community De-
velopment Department
at(925)335-1242 by 3:00
NNm on Monday,June 23,
. to confirm your
participation.
Date June 11,2003
JOHN SWEETEN, Clerk of
the Board of Supervisor
and County
Administrator
BY:Danielle Kelly
Deputy Clerk
Legal WCT 0670
Publish June 14,2003
BOARD OF SUPERVISORS, CONTRA COSTA COUNTY,
CALIFORNIA
AFFIDAVIT OF MAILING
IN THE MATTER OF
Montalvin Manor
General Plan Amendment
CF#02-0004
I declare under penalty of perjury that I am now,and at all times herein mentioned have been,a citizen of the United
States,over age 18;and that today I deposited with Contra Costa County Central Service for mailing,a copy of the
hearing notice in the above matter to the following:
Rosenberg Emily Jane Trust
777 Fitch Street
Healdsburg,CA 95448
APN#403-202-012
Pacific Mobile IV,L.P.
1033 Gayley Ave.,#200
Los Angeles,CA 90024
(APN#403-030-005)
Wong David&Rosie Living Trust
5222 Heavenly Ridge Lane
El Sobrante,Ca 94803
APN#403-202-011
I declare under penalty of perjury that the foregoing is true and correct.,Martinez,CA.
Date: June 12,2003 anielle Kelly,DeputyCl I e®rk
NOTICE OF PUBLIC HEARING BEFORE THE CONTRA COSTA COUNTY BOARD
OF SUPERVISORS ON PLANNING MATTERS
MONTALVIN MANOR AREA
Notice is hereby given that on Tuesday, June 24 2003, at 10:30 a.m., in the County
Administration Building, Board Chambers, 651 Pine Street (Comer of Pine and Escobar Streets),
Martinez, California,the Contra Costa County Board of Supervisors will conduct a public hearing
to consider the following planning matter:
MONTALVIN MANOR MIXED USE GENERAL PLAN AMENDMENT
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY (County File:
GP#02-0004): The Contra Costa County Redevelopment Agency is proposing to
amend the Land Use Element to the Contra Costa County General Plan (1995-
2010) to promote mixed use development on two sites at Tara Hills Drive and
San Pablo Avenue within the proposed Montalvin Manor Redevelopment Project
Area (Note: The Board of Supervisors will conduct a separate public hearing on
the adoption of the proposed Montalvin Manor Redevelopment Plan on Tuesday,
June 17, 2003). The Contra Costa County General Plan(1995-2010) utilizes the
"Mixed Use" (MU) land use designation in several locations in the
unincorporated area to provide for the integration in a single project of both
residential and commercial uses. The proposed re-designation to Mixed Use
(MU) for Montalvin Manor would apply to two sites located at the Intersection of
Tara Hills Drive and San Pablo Avenue, as follows: Site #1) Assessor Parcel
Number 403-030-005, a vacant site of approximate 13 acres located at the
northeast intersection of Tara Hills Drive and San Pablo Avenue, would be re-
designated from Multiple Family Residential—Medium Density (MM) to Mixed
Use (MU); and, Site#2) Assessor Parcel Number 403-202-011/012, a 3 acre site
located at the southeast comer of Tara Hills Drive and San Pablo Avenue, would
be re-designated from Commercial (CO) to Mixed Use (MU). A range of
neighborhood oriented retail commercial/office uses and residential uses would
be allowed under the Mixed Use designation for the subject sites to stimulate the
upgrading and redevelopment in the Montalvin Manor area. (CT: 3640.01).
The location of the subject properties are within the unincorporated territory of the County of
Contra Costa, State of California, generally identified above (a more precise description may be
examined in the Office of Director of Community Development, County Administration
Building).
For the purposes of compliance with the provisions of the California Environmental Quality Act
(CEQA),an Environmental Impact Report(SCH#2002102117)has been prepared for this project.
If you challenge this matter in Court, you may be limited to raising only those issues you or
someone else raised at the public hearing described in the notice, or in written correspondence.
Prior to the hearing, Community Development Department staff will be available on Tuesday,
June 24, 2003, at 9:00.a.m. in Room 108, Administration Building, 651 Pine Street, Martinez
CA, to meet with any interested persons in order to (1) answer questions; (2) review the hearin
9
procedures used by the Board; (3) clarify the issues being considered by the Board; and, (4)
provide an opportunity to identify,resolve, or narrow any differences which remain in dispute. If
you wish to attend this meeting with staff, please call Patrick Roche, Community Development
Department, at (925) 335-1242 by 3:00 p.m. on Monday, June 23, 2003 to confirm your
participation.
Date: June 11, 2003