HomeMy WebLinkAboutCC RES 95-118
RESOLUTION N0.95-118
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF TUSTIN OF INTENTION TO LEVY REASSESSMENTS
AND TO ISSUE REFUNDING BONDS UPON THE
SECURITY THEREOF
Reassessment District No. 95-2 (Tustin Ranch)
WHEREAS, the City Council (the "City Council") of the City of Tustin (the "City"), by
Resolution No. 86-81, adopted on June 16, 1986, resolved its intention to form City of Tustin
Assessment District No. 85-1 ("District 85-1") and to issue bonds to represent unpaid
assessments therein;
WHEREAS, the City Council, by Resolution No. 86-81, adopted on June 16, 1986,
confirmed said assessments;
WHEREAS, pursuant to Resolution No. 86-102 of the City Council, adopted on August
18, 1986, an Indenture of Trust, dated as of August 1, 1986 (the "85-1 Indenture"), by and
between the City and Citibank, N. A., as trustee, and the Improvement Bond Act of 1915, being
Division 10 of the Streets and Highways Code of California (the "Bond Law"), the City issued
City of Tustin Assessment District No. 85-1 Improvement Bonds (the "85-1 Bonds") in the
original principal amount of $50,650,000;
WHEREAS, the City Council, by Resolution No. 88-61, adopted on June 13, 1988,
resolved its intention to form City of Tustin Assessment District No. 86-2 ("District 86-2") and
to issue bonds to represent unpaid assessments therein;
WHEREAS, the City Council, by Resolution No. 88-81, adopted on July 18, 1988,
confirmed said assessments;
WHEREAS, pursuant to Resolution No. 88-97 of the City Council, adopted on
September 6, 1988, an Indenture of Trust, dated as of September 1, 1988 (the "86-2 Indenture"),
by and between the City and Citibank, N. A., as trustee, and the Bond Law, the City issued City
of Tustin Assessment District No. 86-2 Limited Obligation Improvement Bonds (the "86-2
Bonds") in the original principal amount of $81,400,000;
WHEREAS, certain savings and efficiencies may be obtained by refunding the
$23,969,000 aggregate principal amount of 85-1 Bonds that have not been converted to a fixed
interest rate pursuant to the 85-1 Indenture and the $41,362,000 aggregate principal amount of
86-2 Bonds that have not been converted to a fixed interest rate pursuant to the 86-2 Indenture
(said portion of the 85-1 Bonds and said portion of the 86-2 Bonds being collectively referred to
as the "Prior Bonds"); and
WHEREAS, the City desires to refund the Prior Bonds;
NOW, THEREFORE, BE IT RESOLVED by the City Council the City of Tustin as
follows:
Section 1. The City Council hereby determines that the public interest requires the
refunding of the Prior Bonds and the City Council hereby declares its intention to refund the
Prior Bonds and to levy reassessments in and for the City's proposed Reassessment District No.
95-2 (Tustin Ranch) (the "District") as security for the City of Tustin Limited Obligation
Improvement Bonds, Reassessment District No. 95-2 (Tustin Ranch) (the "Bonds") proposed to
be issued to refund the Prior Bonds.
Section 2. The proceedings for the levy and collection of reassessments as security for
the issuance and payment of the Bonds shall be conducted pursuant to the Refunding Act of 1984
for 1915 Improvement Act Bonds, Division 11.5 (commencing with Section 9500) of the
California Streets and Highways Code (the "Act").
Section 3. The contemplated reassessments and refunding, in the opinion of the City
Council, are of more than local or ordinary public benefit, and the costs and expenses thereof aze
made chargeable upon the District, the exterior boundaries of which are shown on the maps
thereof heretofore filed in the office of the City Clerk, and in the office of the County Recorder
of the County of Orange to which maps reference is hereby made for further particulars. The
maps indicate by boundary lines the extent of the territory included in each of District 85-1 and
District 86-2 which aze the subject of these proceedings and shall govern for all details as to the
extent thereof.
Section 4. The City Council declares that all public streets, highways, lanes and alleys
within the District in use in the performance of a public function, and all lands owned by any
public entity, including the United States and the State of California, or any departments thereof,
shall be omitted from the reassessment hereafter to be made to cover the costs and expenses of
the reassessment and refunding.
Section 5. The City Council declares that it elects to establish a special reserve fund for
the Bonds pursuant to Part 16 (commencing with Section 8880) of Division 10 of the California
Streets and Highways Code and, therefore, the amount of such special reserve fund shall be
included in the contemplated reassessment.
Section 6. The reassessment and refunding are hereby referred to Muni Financial
Services, Inc., Temecula, California, a qualified firm employed by the City for the purpose
hereof (the "Reassessment Consultant"), and the Reassessment Consultant is hereby directed to
make and file with the City Clerk a report in writing, presenting the following:
(a) A schedule setting forth the unpaid principal and interest on the Prior Bonds to be
refunded and the total amounts thereof;
(b) The total estimated principal amount of the reassessment and of the Bonds to be
secured by the unpaid reassessments and the maximum interest thereon, together with an
estimate of cost of the reassessment and refunding, including all costs of issuing the
Bonds, as defined by subdivision (a) of Section 9600 of the Act;
(c) The auditor's record kept pursuant to Section 8682 of the California Streets and
Highways Code showing the schedule of principal installments and interest on all unpaid
original assessments for the Prior Bonds and the total amounts thereof;
(d) The estimated amount of each reassessment, identified by reassessment number
corresponding to the reassessment number of the reassessment diagram, together with a
proposed auditor's record for the reassessment prepared in the manner described in said
Section 8682; and
(e) A reassessment diagram showing the assessment district and the boundaries and
dimensions of the subdivisions of land within the district. Each subdivision, including
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each separate condominium interest as defined in Section 783 of the Civil Code, shall be
given a separate number upon the diagram.
When any portion or percentage of the costs and expenses of the reassessment and
refunding is to be paid from sources other than the reassessments, the amount of such portion or
percentage shall first be deducted from the total estimated cost and expenses of the reassessment
and refunding, and the reassessments shall include only the remainder of the estimated cost and
expenses. If any excess shall be realized from the reassessment it shall be used, in such amounts
as the City Council may determine, in accordance with the provisions of law, in a manner or
manners to be provided in these proceedingse
Section 7. Notice is hereby given that the Bonds, representing the unpaid reassessments,
in the form of serial and/or term bonds and initially bearing interest at variable interest rates, at
rates not to exceed the maximum rate then permitted by applicable law, will be issued in these
proceedings in the manner provided by the Act and the Bond Law, including Part 6.5 thereof, the
last installment of which Bonds no later than September 2, 2013. Pursuant to Section 8650.1 of
the Bond Law, the City Council hereby determines that the principal amount of the Bonds
maturing or becoming subject to mandatory prior redemption each year may be other than an
amount equal to an even annual proportion of the aggregate principal of the Bonds. Under the
Bond Law, the City will not obligate itself to advance available funds from the treasury of the
City to cure any deficiency in the redemption fund to be created with respect to the Bonds;
provided, however, that a determination not to obligate itself shall not prevent the City from, in
its sole discretion, so advancing the funds.
Section S. The provisions of Part 11.1 of Division 10 of the California Streets and
Highways Code, providing for an alternative procedure for the advance payment of
reassessments and the calling of bonds, shall apply to the Bonds issued under these proceedings.
Section 9. Reference is hereby made to proceedings heretofore had under Division 4 of
the California Streets and Highways Code for the Prior Bonds, which are on file in the office of
the City Clerk.
Section 10. The officers and employees of the City are hereby authorized and directed to
take all actions and do all things which they, or any of them, may deem necessary or desirable to
accomplish the purposes of this Resolution and not inconsistent with the provisions hereof.
Section 11. This Resolution shall take effect immediately upon its adoption.
APPROVED and ADOPTED by the City Council of the City of Tustin on
November 20, 1995.
Jim tts, Mayor
ATTEST:
Pamela Stoker, City erk
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss
I, Pamela Stoker, City Clerk of the City of Tustin, California hereby certify that the
foregoing is a full, true and correct copy of a Resolution duly adopted at a regular meeting of the
City Council of said City duly and regularly held at the regular meeting place thereof on
November 20, 1995, of which meeting all of the members of said City Council had due notice
and at which a majority thereof were present; and that at said meeting said Resolution was
adopted by the following vote:
AYES: COUNCIL, MEMBERS: Potts, Worley, Doyle, Saltarelli, Thomas
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
An agenda of said meeting was posted at least 72 hours before said meeting at 300
Centennial Way, Tustin, California, a location freely accessible to members of the public, and a
brief general description of said Resolution appeared on said agenda.
I further certify that I have carefully compared the same with the original minutes of said
meeting on file and of record in my office; that the foregoing Resolution is a full, true and correct
copy of the original Resolution adopted at said meeting and entered in said minutes; and that said
Resolution has not been amended, modified or rescinded since the date of its adoption, and the
same is now in full force and effect.
Dated: i l-zo , 1995
Pamela Stoker, City Cl rk