HomeMy WebLinkAboutCC RES 71-678
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RESOLUTION NO. 71-67
A RESOLUTION OF THE CITY COUNCIL. OF TIlE CITY OF
TUSTIN, PROVIDING FOR TIlE ISSUANCE OF A NEGOTIABLE
NOTE IN THE AMOUNT OF $400,000.
¥sq{EREAS, funds are .needed to meet the immediate. 'requir.".
ments of the City of Tustin, including but not limited to the pa'.
ment of current expenses, capital., expenditures, and the ..dischar~..,
of any obligation or indebtedness of said City; and
~'~HEREAS, the City may borrow for said purposes, such
indebtedness to be represented by a note or notes issued to the
lender pursuant to Article 7.6, Chapter 4, Part 1, Division 2,
Title 5, of the Government Code of the State of California; and
~HEREAS, BANK OF AMERICA has offered to lend th sum
°f"'$400,000 at an interest rate of 2.765 % per annum, upon a
negotiable note to be made payable on or before April 21, 1972,
with interest to date of payment,
NOW, THEREFORE, the City Council of the City of Tustin,
California, DOES HEREBY RESOLVE, DETERMINE AND ORDER, as follows:
Section 1. This Council finds that it is necessary for
the City to issue a negotiable note in the amount of $400,000 in ,
order to mee.t: the immediate requirements of said City.. i
Section 2. The taxes, income, revenue, cash receipts anf
other moneys ~o be received by said City during the current fisca2'.'..
year are estimated to be $1,675,707. The amount of the note here-:" ....
...
authorized to be issued, together with other notes outstanding, ,
any, does no't exceed 85% of the uncollected portion of said money'
Section 3. Said note shall be dated as of the date of
delivery, shall be in the denomination of $400,000, shall.be
on or before April 21, 1972, and shall bear interest at the rate
of 2.765% per annum, payable at the maturity thereof.
Section 4. Both th'e principal of and [he interest on sai~'
note shall-be~pa~'able in lawful money of the United States of i
America at the office of the City Treasurer in the CitY of Tustin,
State of California.
Section 5. Said note shall be payable from taxes, income
revenue, cash receipts or other moneys of the City of Tustin, to be
received during the fiscal year 1971-72, said moneys being
hereby pledged to repay said note; provided, however, that if said'
moneys or any portion thereof when received by the City will be
encumbered for a special purpose other than the repayment of said
note, then pursuant to Section 53856 of the Government Code an
equivalent amount of the proceeds of' said note shall be set aside
and used for said special purpose; and provided, further, that said
note with interest thereon may be paid from any. other moneys of the
Ci.ty lawfully available therefor .......
Section 6. Said note shall be signed by the ..~.~ayor and
City Treasu.r~r~ ahd .... countersigned by the City Clerk, and shall be
in substantially the following form: '
;.
·
CITY OF TUSTIN
NEGOTIABLE NOTE
~ .FOR VALUE RECEIVE~, th-e City of Tustin, California, a
municipal corporation, promises to. pay to BANK OF AMERICA, or order
4 on or before April 21, 1972, the sum of Four hundred thousand
Dollars ($400,000), with interest thereon, payable at the maturity
§ thereof, at the rate of 2.765% per annum, from the date hereof.
Both principal and interest are payable in lawful money of the'Unit~
6 States of America at the office .of the City Treasurer in the City o~
Tustin, State of California.
The principal of'' and the interest on this note are pavabl~
· 8 from taxes, income, revenue, cash receipts or other moneys of the
City of Tustin to be received during the fiscal year 1971-72, said
9 moneys being pledged for the payment of this note and the interest
hereon. Notwithstanding said pledge, this note is a general
10 obligation of the City and, to the extent not paid from said moneys
shall be paid with interest hereon from any other moneys of the
11 City lawfully available therefor.
lZ IT IS HEREBY CERTIFIED, RECITED AND DECLARED that all
acts, conditions and things required by law to exist, happen and
1.~ be performed precedent to arrt in the issuance of this note have
existed, happened and been. performed in due time, form and manner
~.4 as required by law, and that the amount of this note, together with
all other indebtedness of the City, does not exceed any debt limit
J.5 prescribed by. the laws or Cons ti tutuion of the State of California.
16 IN WITNESS WHEREOF, said City of Tustin has caused this
note to be signed by the Mayor and the City Treaurer of said City
~? and coutersigned by the City Clerk of said City and sealed with
the corporate seal of said City, and has caused this note to be
18 da ted the day of , 1971.
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COUNTERS IGNED-
~l~YO~ ~F THE C'ITY OF' TUS~IN ..... ' .....
C~Ty TREASURER OF THE ~ITY OF' TusTiN
CITY C~ERK OF THE CITY' OF~ TO~Ti-~
(SEAL)
Section 7. This City Council hereby finds and determines
~7 that it is necessa~ and desirable that the City borrow from BANK
OF AMERICA the sum of $400,000, such indebtedness to be represented
~8 by. the negotiable note authorized hereby. The Mayor and the City
Treasurer are authorized to sign said note and the City Clerk is
~9 authorized to countersign said note and to date and seal said note
on the 'date of delivery thereof. Said note shall be issued accordi
50 to the terms and substantially in the form provided in this
resolution.
'
Section 8. This r.esoltuion shall constitute acceptance
~ of the offer of'BA~K~ OF AMERICA above referred to.
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PASSED AND ADOPTED at a regular meeting of the' citY
·
Council of the City of Tustin, held on the 18th day of October,
1971.
MAYOR
8 ATTEST:
10 ~ LERK
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' 15 STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
14 CITY OF TUSTIN) )
15 I, RUTH C. POE, City Clerk of the City of Tustin, do
hereby certify that the foregoing Resolution No. 71-67 was intro.: ......
16 duced and adopted at a regular meeting provided by law, of the
City Council of the City of Tustin, held on ~he 18th day of
~ October, 1971, by the following vote of the members thereof:
AYES-
COUNCILMEN COCO, C. MILLER, MARSTERS, L., MILLER, OSTEr.
19 NOES:
COUNCILMEN NONE
ABSENT: COUNCIL~[EN NONE
And I further certify that the Mayor of the CitY of Tusti$
approved and signed said Resolution No. 71-67 on the' /9~ day of
6.,", ~ ~,-.~ , 1971.
25 IN WITNESS WHEREOF, I have hereunto set mw hand and affix~
the official seal of the City of Tustin, this
24 1971.
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(SEAL)
~ITY CLERK
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