HomeMy WebLinkAboutRDA RES 10-05RESOLUTION NO. RDA 10-05
A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY
OF TUSTIN, CALIFORNIA, AUTHORIZING THE ISSUANCE AND SALE
OF TAX ALLOCATION BONDS TO REFINANCE LOW AND
MODERATE INCOME HOUSING ACTIVITIES WITHIN THE
GEOGRAPHIC BOUNDARIES OF THE CITY OF TUSTIN AND
APPROVfNG RELATED DOCUMENTS AND ACTIONS
The Tustin Community Redevelopment Agency (the "Agency") of the City of Tustin
does hereby resolve as follows:
WHEREAS, the Agency is a public body, corporate and politic, duly established
and authorized to transact business and exercise powers under and pursuant to the
provisions of the Community Redevelopment Law of the State of California, constituting
Part 1 of Division 24 of the California Health and Safety Code (the "Law"), including the
power to issue bonds for any of its corporate purposes;
WHEREAS, (a) a redevelopment plan for the Town Center Redevelopment
Project (the "Town Center Project") in the City of Tustin (the "City"), has been adopted
in compliance with all requirements of the Law, (b) a redevelopment plan for the South
Central Redevelopment Project (the "South Central Project") in the City, has been
adopted in compliance with all requirements of the Law; and (c) a redevelopment plan
for the MCAS Tustin Redevelopment Project (the "MCAS Tustin Project" and, with the
Town Center Project and the South Central Project, the "Redevelopment Projects") in
the City, has been adopted in compliance with all requirements of the Law;
WHEREAS, the City has written down the cost of land that has been re-sold and
developed with affordable housing in the MCAS Tustin Project, which units ("Affordable
Units"} are encumbered with covenants and deeds of trust that will ensure they remain
affordable for the periods of time required by the Law;
WHEREAS, on June 5, 2007, the City and the Agency entered into an
agreement, amended on January 5, 2010, pursuant to which the Agency has agreed to
reimburse the City for the difference between the market price of the land on which the
Affordable Units have been developed and the actual subsidized price for which the
land was sold from money deposited in the low and moderate income housing fund for
the Redevelopment Projects and other available sources (the "City Obligation");
WHEREAS, the Agency has determined that, due to prevailing financial market
conditions and for other reasons, it is in the best interests of the Agency at this time to
prepay a portion of the City Obligation;
RDA Resolution 10-05
Page 1 of 4
WHEREAS, to provide moneys for such purpose, the Agency has determined to
issue its Tustin Community Redevelopment Agency Tax Allocation Housing Bonds,
Series 2010, in the aggregate principal amount of not to exceed $30,000,000 (the
"Bonds"), under the provisions of Part 1 of Division 24 of the California Health and
Safety Code, commencing with section 33640 of said Code (the "Bond Law"); and
WHEREAS, the Agency has duly considered such transactions and wishes at
this time to authorize proceedings for the issuance and sale of the Bonds;
NOW, THEREFORE, it is hereby ORDERED and DETERMINED, as follows:
SECTION 1: Authorization. The Agency hereby authorizes the issuance of the
Bonds to refinance low and moderate income housing activities throughout the
geographic boundaries of the City and, in particular, to repay the City Obligation.
SECTION 2: Issuance of the Bonds; Approval of the Indenture. The Bonds shall
be issued pursuant to the Bond Law and pursuant to an indenture of trust, by and
between the Agency and The Bank of New York Mellon Trust Company, N.A., as
trustee (the "Indenture"). The Agency hereby approves the Indenture in substantially the
form on file with the Secretary, together with such additions thereto and changes
therein as the Chair or the Executive Director shall deem necessary, desirable or
appropriate, and the execution thereof by the Chair or the Executive Director shall be
conclusive evidence of the approval of any such additions and changes. The Chair or
the Executive Director is hereby authorized and directed to execute, and the Secretary
is hereby authorized and directed to attest to, the final form of the Indenture for and in
the name and on behalf of the Agency. The Agency hereby authorizes the delivery and
performance of the Indenture.
SECTION 3: Sale of the Bonds. The Agency hereby authorizes the sale of the
Bonds to the Tustin Public Financing Authority (the "Authority") for concurrent re-sale to
Piper Jaffray & Co. (the "Underwriter"), so long as the total Underwriter's discount,
excluding original issue discount which does not constitute compensation to the
Underwriter, does not exceed 0.7% of the principal amount of the Bonds. The Agency
hereby approves a bond purchase agreement, by and among the Underwriter, the
Agency and the Authority, in substantially the form on file with the Secretary (the "Bond
Purchase Agreement"), together with such additions thereto and changes therein as the
Chair or the Executive Director shall deem necessary, desirable or appropriate, and the
execution thereof by the Chair or the Executive Director shall be conclusive evidence of
the approval of any such additions and changes. The Chair or the Executive Director is
hereby authorized and directed to execute the final form of the Bond Purchase
Agreement for and in the name and on behalf of the Agency.
SECTION 4: Approval of the Preliminary Official Statement. The preliminary
official statement describing the Bonds on file with the Secretary (the "Preliminary
Official Statement") is hereby approved for distribution by the Underwriter to municipal
bond broker-dealers, to banking institutions and to members of the general public who
RDA Resolution 10-05
Page 2 of 4
may be interested in purchasing the Bonds. The Chair or Executive Director is
authorized to approve, upon advice of the Agency's Disclosure Counsel, modifications
to the Preliminary Official Statement, from time to time, pending such distribution as
shall be required to cause the Preliminary Official Statement to contain any further
information necessary to accurately describe the Bonds. With respect to the distribution
of the Preliminary Official Statement, the Chair or Executive Director is authorized and
directed, on behalf of the Agency, to deem the Preliminary Official Statement "final"
pursuant to Rule 15c2-12 under the Securities Exchange Act of 1934 (the "Rule").
SECTION 5: Approval of the Final Official Statement. A final official statement,
which shall include such changes and additions thereto deemed advisable by the Chair
or Executive Director and upon advice of the Agency's Disclosure Counsel (the "Final
Official Statement"), is hereby approved for delivery to the purchasers of the Bonds,
and the Chair or the Executive Director is authorized and directed to execute the Final
Official Statement for and on behalf of the Agency. The Chair or Executive Director is
authorized and directed to deliver (i) a certificate with respect to the information set
forth therein, and (ii) a continuing disclosure certificate substantially in the form
appended to the Final Official Statement.
SECTION 6: Official Actions. The Chair, the Executive Director and 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 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 as
described herein. Whenever in this resolution any officer of the Agency 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.
SECTION 7: Effect. This Resolution shall take effect from and after the date of
its passage and adoption.
PASSED AND ADOPTED at a regular meeting of the Tustin Community
Redevelopment Agency held on the 2"d day of February, 2010.
RDA Resolution 10-05
Page 3 of 4
ATTEST:
PAMELA STOKER,
Recording Secretary
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF TUSTIN )
I, Pamela Stoker, City Clerk and ex-officio. Secretary of the Tustin Community
Redevelopment Agency of the City of Tustin, California, do hereby certify that the whole
number of the members of the Tustin Community Redevelopment Agency of the City of
Tustin is five; that the above and foregoing Resolution No. RDA 10-05 was duly passed
and adopted at a regular meeting of the Tustin Community Redevelopment Agency,
held on the 2"d day of February, 2010 by the following vote:
COUNCILMEMBER AYES: Amante Nielsen Davert Gavello (4)
COUNCILMEMBER NOES: None (0)
COUNCILMEMBER ABSTAINED: None (0)
COUNCILMEMBER ABSENT: Palmer (1)
~~~~
P 11AELA S`TOK R
City Clerk
RDA Resolution 10-05
Page 4 of 4