HomeMy WebLinkAboutCC RES 83-059RESOLUTION NO. 83-59
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF TUSTIN APPROVING THE FINANCING PLAN OF, AND
CERTAIN OTHER ACTIONS TAKEN BY, CITY OF TUSTIN
WATER CORPORATION, AND AUTHORIZING CERTAIN
OFFICIALS OF THE CITY OF TUSTIN TO EXECUTE
CERTAIN DOCUMENTS IN CONNECTION WITH THE
FINANCING PLAN.
WHEREAS, City of Tustin Water Corporation was organized
under the Nonprofit Public Benefit Corporation Law of the State of
California for the purpose of rendering assistance to the City of
Tustin by acquiring, constructing and operating or providing for the
operation of water facilities, including water transmission pipe-
lines, appurtenances and appurtenant works and related facilities for
the use, benefit and enjoyment of the public; and
WHEREAS, pursuant to an Agreement for Purchase and Sale of
All the Common Stock of Tustin Water Works, entered into as of
March 3, 1980, by and among City of Tustin Water Corporation, the .
City of Tustin, Tustin Water Works (a California corporation) and the
shareholders of Tustin Water Works, City of Tustin Water Corporation
acquired a system for the production, storage, transmission and dis-
tribution of water to and for the benefit of inhabitants of the City
of Tustin and its environs; and
WHEREAS, City of Tustin Water Corporation, being organized
as a nonprofit corporation, does not have capital stock but has dedi-
cated all of its property and assets to the Ci.ty of Tustin; and
WHEREAS, City of Tustin Water Corporation has not made, and
does not intend to make, any profit by reason of the acquisition or
ownership of said water system, no part of City of Tustin Water
Corporation's net earnings, if any, will ever inure to the benefit of
any person except the City of Tustin, and City of Tustin Water
Corporation's sole purpose for existence is to enable the City of
Tustin to provide said water system as a civic-venture and municipal
improvement; and
WHEREAS, in order to carry out its purposes, City of Tustin
Water Corporation is empowered to incur indebtedness and in connec-
tion therewith to issue bonds, debentures, notes and other evidences
of indebtedness.; and
WHEREAS, City of Tustin Water Corporation has adopted a
plan of financing (the "Financing Plan") by which it has determined
to finance the purchase price of said water system by authorizing and
providing for the issuance and sale of $4,500,000 aggregate principal
amount of bonds designated "City of Tustin Water Corporation Lease
Revenue Bonds, Series A" (the "Bonds") pursuant to competitive
bidding. The Bonds are to be. payable from and secured by a pledge of
certain revenues assigned to a Trustee pursuant to an Indenture dated
as of October 1, 1983, including rent payable by the City of Tustin
pursuant to a certain Lease of· s'aid water system dated as of
October 1, 1983 and .entered into by and between City of Tustin Water
Corporation, as lessor, and the City of Tustin, as lessee; and
WHEREAS, the Board of Directors of City of Tustin Water
Corporation has approved forms of the Lease, Notice of Sale,
Indenture and Preliminary Official Statement to be published, entered
into or used by, as the case may be, City of Tustin Water
Corporation, and has taken certain other actions, in connection with
the issuance and sale of the Bonds;
BE IT RESOLVED, DETERMINED AND ORDERED BY THE CITY COUNCIL
OF THE CITY OF TUSTIN AS FOLLOWS:
SECTION 1. The Financing Plan of City of Tustin Water
Corporation is hereby ratified and aPproved.
SECTION 9_. The use of the Lease, the Notice of Sale, the
Indenture and the Preliminary Official Statement in connection with
the sale of the Bonds, with such changes, additions and deletions
thereto as 'may be made by the officers of the Corporation, is hereby
ratified and approved.
.
SECTION 3. The Mayor, the City Manager, the Finance
Director and the City Attorney of the City of Tustin, and each of
them, be, and hereby are, authorized and directed to execute and
· deliver any and all such documents, and to take any and all such
actions, as may be' deemed necessary or advisable in order 'to allow
City of Tustin Water Corporation to effect the Financing Plan or oth-
erwise to take the actions described in the foregoing recitals and
resolutions.
1983.
PASSED, APPROVED AND ADOPTED this 22nd day of August, 1983
Attest:
Mayor
i;ty l~~erk '
-2-
STATE OF CALIFORNIA )'
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
,,
MARY E. WYNN, City Clerk and ex-officio Clerk of the City Council of
the City of Tustin, California, does hereby certify that the whole
number of the members of the City Council of the City of Tustin is
five; that the above and foregoing Resolution No. 83-59 was duly and
regularly introduced, passed and adopted at an adjourned regular
meeting of the City Council held on the 22nd day of August, 1983, by
the following vote:
AYES :
NOES :
ABSENT:
COUNCILPERSONS: Edgar, Greinke, Kennedy, Saltarelli
COUNCILPERSONS: None
COUNCILPERSONS: Hoesterey
City of Tust~n, Cal rnia