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HomeMy WebLinkAboutReso 156-1982 RESOLUTION NO. 156-F~ A RESOLUTION DETERMINING UNPAID ASSESSMENTS AND PROVIDING FOR ISSUANCE OF BONDS THE GATEWAY ASSESSMENT DISTRICT NO. ST-82-2 RESOLVED, by the City Council of the City of South San Francisco, County of San Mateo, California, that WHEREAS, on July 7, 1982, this Council passed and adopted Resolution of Intention No. 74-82 relating to the acquisition and/or construction of public improvements under and pursuant to the provisions of the Municipal Improvement Act of 1913, and therein provided that serial bonds would be issued thereunder pursuant to the provisions of the Improvement Bond Act of 1915, reference to said Resolution of Intention hereby being expressly made for further parti cul ars; WHEREAS, the Director of Finance of this City, the official who has been designated by this Council as Collection Officer for cash payments of said assessments, filed with the City Treasurer of this City, on December 1, 1982, a list of all assessments which remained unpaid; and WHEREAS, this Council duly considered said list and determined that the same was an accurate statement thereof; NOW, THEREFORE, IT IS HEREBY DETERMINED AND ORDERED, as follows: 1. List of Unpaid Assessments. The assessments now remaining unpaid are as shown on said list and on Exhibit "A" attached hereto and by this reference made a part hereof; the aggregate amount thereof is $21,551.870.00; r~l ....and for a particular description of the lots 'or parcels of land bearing the respective assessment numbers set forth in said list, reference is hereby made to the assessment and to the diagram recorded in the office of the Superintendent of Streets of this City after confirmation thereof by this Council. 2. Issuance of Bonds. Bonds in the aggregate principal amount of $15,805,190 shall be issued as hereinafter provided upon the security of said unpaid assessments in accordance with the provisions of the Improvement Bond Act of 1915 (Division lO of the Streets and Highways Code) and under and pursuant to the provisions of said Resolution of Intention and the proceedings thereunder duly had and taken. Jurisdiction is reserved to issue bonds to represent and upon the security of the remaining $5,746,680 of' said unpaid assessments. The bonds herein provided to be issued shall be known as ~ "Improvement Bonds, City of South San Francisco, The Gateway Assessment District, No. ST-82-2, Series 86-A", and shall be dated December 2, 1982. Said bonds shall be issued as coupon bonds, registrable as to principal and interest or as to principal only, be numbered and of the denominations and mature in the amounts and on the dates set forth in Exhibit "B" attached hereto and by this reference made a part hereof. 3. Interest. Said bonds shall bear interest from their date at the rate or rates determined by this Council at the time of sale of said bonds (not to exceed twelve percent (12%) per annum, or such higher rate of interest as may be authorized by applicable law at the time of sale of such bonds), payable commencing on January 2, 1984, and semiannually thereafter 'on July 2 and January 2 of each year to maturity. Each bond will continue to bear interest after ~maturity at the rate stated therein, provided it is presented at maturity and payment thereof is refused on the sole ground that there is not sufficient money in the redemption fund with which to pay same; if it is not presented at maturity, interest thereon will run only until maturity. 4. Payable. The principal of and interest on said bonds shall be payable in lawful money of the United States of America at the Crocker National Bank, the Paying Agent of this City, at its corporate trust division in San Francisco, California. Principal and interest on any fully registered bonds and principal on any bonds registered as to principal only shall be paid to the registered owner by check or warrant mailed to the address entered in the registry book provided for herein. 5. Form. The coupon bonds, the registration endorsement thereon and ,, , the coupons to be attached to such bonds shall be substantially in the forms set forth in Exhibit "C" attached hereto and incorporated herein by reference, the blank spaces therein to be filled in to conform to the provisions of this resolution. 6. Execution. Said bonds shall be executed on behalf of the City and under its official seal by said City Treasurer and by its City Clerk, and the coupons attached to the coupon bonds shall be executed by said City Treasurer, whose signature may be reproduced on the bonds and on the coupons by engraved, printed or lithographed facsimile thereof, and the official seal may be placed on the bonds in like manner; such signing and sealing shall constitute and be a sufficient and binding execution of each and every one of said bonds and of any coupons thereon, respectively. If any officer whose signature appears on said bonds or on any coupons thereon ceases to be such officer before the delivery of said bonds to the purchaser thereof, such signature shall be as valid as if such officer had remained in office until the delivery of said bonds. 7. Preparation and Delivery of Bonds. The City Treasurer is hereby directed to cause said bonds to be prepared in accordance with this resolution and to deliver same upon their completion and execution to the purchaser thereof, upon receipt of the purchase price therefor, and upon the performance of the conditions contained in the accepted bid for the bonds, as determined by this Council. 8. Improvement Fund. Said City Treasurer shall keep an improvement fund designated by the name and/or number of the improvement or assessment district, into which shall be placed the proceeds received from the sale of said bonds, including any premium (except that any interest accrued from the date of the bonds, to the date of delivery thereof shall be placed in the redemption fund provided for herein). All moneys in said fund shall be withdrawn only upon checks or warrants of the City of South San Francisco and shall be applied exclusively to the payment of the cost of the acquisitions and/or construction of the improvements described in the proceedings under and pursuant to said Resolution of Intention, as now or hereafter changed or modified by appropriate legal proceedings, and all expenses incidental thereto. Any surplus remaining after payment of all costs and all legal charges, claims and expenses shall be used as set forth in said proceedings. 9. Redemption Fund. Said City Treasurer shall keep a redemption fund designated by the name of the bonds, into which shall be placed any accrued interest for the peri od from the date of said bonds to the date of delivery thereof and all sums received from the .collection of unpaid assessments provided for in Section ll hereof, and of the interest and penalties thereon, and from which fund disbursement shall be made to pay the principal or advance redemption price of the bonds and the interest due thereon. 10. Bond Register. The City Treasurer shall keep or cause to be kept a register showing the series, number, date, amount, rate of interest, the last known holder of each bond, and the number and amount of each interest coupon paid, and shall cancel or cause to be canceled each bond and coupon paid. 11. Collection of Unpaid Assessments. The unpaid assessments shown on said list, together with the interest thereon, shall be payable in annual series corresponding in number to the number of serial maturities of the bonds issued. An annual proportion of each unpaid assessment shall be payable in each year preceding the date of maturity of each of the several series of bonds issued, sufficient to pay the bonds when due, and such proportion of each unpaid assessment coming due in any year, together with the annual interest thereon, shall be payable in the same manner and at the same time and in the same installments as the general taxes on real property are payable, and become delinquent at' the same times and in the same proportionate amounts and bear the same proportionate penalties and interest after delinquency as do the general taxes on real property. All sums received from the collection of said unpaid assessments and of the interest and penalties thereon shall be placed in the redemption fund provided for herein. 12. Redemption Prior to Maturity. Each bond outstanding may be redeemed and paid in advance of maturity upon the second day of January or July in any year by giving at least 60 days notice and by paying the principal amount thereof together with a premium equal to 5% of the principal plus interest to the date of advanced maturity, unless sooner surrendered, in which event said interest will be paid to the date of payment, all in the manner and as provided in the Int)rovement Bond Act of 1915. The provisions of Part ll.1 of the Improvement Bond Act of 1915 are applicable to the advance payment of assessments and to the calling of said bonds. The City Treasurer shall call for redemption and retire bonds upon prepayment of assessments in amounts sufficient therefor, or whenever sufficient surplus funds are available therefor in the redemption fund. In selecting bonds for retirement, the lowest numbered bonds of the various annual maturities shall be chosen pro rata in a manner intended to disturb as little as possible the relationship of unpaid assessments to bonds outstanding. 13. Reqistration Book. The City Treasurer shall keep or cause to be kept an appropriate book showing at all times which of said bonds are registered and in whose names, and, upon presentation of bonds for such purpose, the City Treasurer shall, pursuant to such reasonable regulations as the City Treasurer may prescribe, register or transfer or cause to be registered or transferred, in said registry book, any of said bonds presented for such purposes. 14. Reqistration and Transfer of Coupon Bonds. Each coupon bond herein authorized may be registered as to both principal and interest or as to principal only, upon the written request of the holder and upon presentation of the bond to the Paying Agent for such purpose. {a) Principal and Interest. When a coupon bond is presented for ' iii ~m ~ T'i T registration as to both principal and interest, the coupons, shall be removed therefrom and canceled (or preserved in a Place of safekeeping, at the option of the Paying Agent), and the number of the bond, the name and address of the holder in whose name it is to be registered, the date of such registration and a notation that the bond is registered as to both principal and interest shall be entered in the registry book, and appropriate endorsement thereof shall be made by the Paying Agent in the space provided therefor on the back of the bond. Until such registration is disCharged as hereinafter provided, the interest when due shall be payable only to the registered owner and the principal when due shall be payable only to such owner upon surrender of the 'bond to the Paying Agent. (b) Principal Only. When a coupon bond is presented for registration as to principal only, the entries specified in the preceding paragraph shall be made in the registry book and on the bond, except that a notation in said book and on said bond shall indicate that the bond is registered as to principal only. In such case, the coupons remain negotiable and transferable by delivery and shall not be removed from the bond. Interest on such bond shall be paid to or upon the order of the person presenting the coupons for payment; principal, however, shall be paid only to the registered owner upon surrender of such bond to the Paying Agent. (c) Transfer. A registered coupon bond may be transferred only by the registered owner, in person or by attorney duly authorized in writing, by a written instrument of transfer in form acceptable to the City Treasurer, and by the Paying Agent endorsing such transfer on the bond and in the registry book. No transfer shall be required to be made during the fifteen (15) days next preceding an interest payment date. (d) Discharge from Registration. A registered, coupon, bond may be discharged from registration upon written request of the registered owner. In such case, the Paying Agent shall transfer the bond to bearer by appropriate endorsement on the bond and in the registry book, cause all unmatured coupons that have been removed from the bond to be reattached to the bond (such coupons to be reprinted, if necessary), and deliver the bond and coupons to the owner, and thereupon negotiability and transferability by delivery shall be restored. (e) Reregistration. Coupon bonds that have been discharged from registration are subject to successive registrations and transfers in the manner heretofore provided. (f) Charges. The person requesting registration, transfer or discharge from registration of coupon bonds shall, as a condition precedent to the exercise of such privilege, pay the reasonable charges of the Paying Agent therefor, if any, including any cost of reprinting the coupons and any tax or other governmental charge required to be paid with respect thereto. 15. Advances from Available Surplus Funds. The City shall be the purchaser of property upon which payment of an annual installment of principal and interest due upon any of said unpaid assessments is delinquent, in like manner in which it becomes or may become the purchaser of property sold for the nonpayment of general taxes, and shall transfer from available surplus funds into the redemption fund for said bonds, as an advance recoverable upon sale or redemption of the property, the amount of the delinquent unpaid assessment installment upon which said sale is made. The City shall also pay and transfer from available surplus funds into said redemption fund, 'as an advance recoverable upon sale or redemption of the property, the amount of any future delinquent unpaid assessment installments on .such property pending red emp t i on. 16. Reserve Fund. Upon placement of the proceeds from the sale of said bonds in the improvement fund, the City Treasurer shall forthwith transfer the sum of $1,264,415 from said fund into a special reserve fund, which shall be designated by the name and/or number of the improvement or assessment district. The money in said special fund shall be administered by the City Treasurer in accordance with and pursuant to the provisions of Part 16 of the Improvement Bond Act of 1915, provided only that proceeds from (1) investment of moneys in the reserve fund and (2) redemption or sale of the properties with respect to which payment of delinquent assessments and interest thereon was paid from the reserve fund, shall be credited to the reserve fund only to the extent that the amount credited to the reserve fund will not result in the bonds becoming "arbitrage bonds" as defined in Section 103(c) of the Internal Revenue Code of 1954, as' amended, and regulations promulgated by the United States Department of the Treasury thereunder. To the extent that such proceeds, or any portion thereof, would cause the bonds to become "arbitrage bonds" if credited to the reserve fund and invested at a higher yield than permitted by said Section 103(c) and said regulations, then such proceeds, or portion thereof, shall be credited upon the assessments, provided only that in the event crediting of any portion of such proceeds upon assessments not theretofore paid in full in cash would result in moneys in the bond redemption fund remaining therein for a period of more than twelve (12) months, then any portion of such proceeds which would otherwise remain in the bond redemption fund for a period of more than twelve (12) months shall be used to call bonds prior to their maturity date on the earliest call date next succeeding the deposit thereof in the redemption fund. The amount in the reserve fund shall not in any event exceed ten percent {10%) of the outstanding principal of the bonds. 17. Investment of Funds. Moneys in the Redemption Fund, the Reserve Fund and the Improvement Fund shall, whenever practicable, be invested in legal investments for the City of South San Francisco under applicable law for the moneys held pursuant to this resolution at the time when any of such moneys are to be invested therein. Any income therefrom or interest thereon shall accrue to and be deposited in the fund from which said moneys were invested. 18. Covenant to Foreclose. The City hereby covenants with and for the benefit of the holders of the bonds that it will order, and cause to be commenced within 120 days following the date of delinquency, and thereafter diligently prosecuted, an action in the superior court to foreclose the lien of any assessment or installment thereof not paid when due, pursuant to and as provided in Sections 8830 through 8835, inclusive, of the Streets and Highways Code of the State of California. 19. Non-Arbitraqe Covenant. The City hereby covenants with the holders of the bonds that it will make no use of the proceeds of said bonds at any time during the term thereof which, if such use had been reasonably expected on the date said bonds were issued, would have caused said bonds to be arbitrage bonds within the meaning of Section 103(c) of the Internal Revenue Code of 1954, as amended, and the Temporary and Proposed Treasury Regulations promulgated thereunder. 20. Certificate as to Non-Arbitrage. On the basis of the facts, estimates and circumstances now in existence and in existence on the date of 10 issue of said bonds, as determined by the City'Treasurer,, said City Treasurer is authorized to certify that it is not expected that the proceeds of said issue will be used in a manner that would cause such obligations to be arbitrage bonds. Such certification shall be delivered to the purchaser of said bonds at the time of delivery of and payment for said bonds. 21. Certified Copies. The City Clerk shall furnish a certified copy of this resolution to the City Treasurer, to the Paying Agent and to the Auditor of the County of San Mateo. I hereby certify that the foregoing resolution was regularly introduced and adopted by the City Council of the City of South San Francisco at a regular meeting held on this 1st day of December , 1982, by the following vote: AYES: NOES: Councilmembers Ronald G. Acosta, Mark N. Addiego, Emanuele N. Damonte, Gus Nicolopulos; and Roberta Cerri Teglia None ABSENT' None ATTEST- 11 - LIST OF UNPAID ASSESSMENTS CITY -OF sOUTH` SAN FRANC !SCO THE GATEWAY ASSESSMENT DISTRICT NO. ST-82-2 WHEREAS, an assessment and diagram were directed to be recorded in the office of the Superintendent of Streets of the City of South San Francisco for. the acquisition and construction of the improvements described in the proceedings taken pursuant to Resolution of Intention No. 72-84, adopted by the City Council of the City of South San Francisco on July 7, 1982; WHEREAS, notice of said recordation and of the place where and the time within which the individual assessments could be paid, in whole or in part, and the time so provided for such payments has been waived by all of the owners of the properties subject to said assessments; NOW, THEREFORE, the undersigned Director of Finance of the City of South San Francisco, being the person designated ColleCtion Officer to receive payments of assessments, does hereby certify that Exhibit "A" attached hereto, and by this reference made a part hereof, is a true, correct and complete-list of all assessments remaining unpaid upon said assessment and that this List of Unpaid Assessments was filed in my office on December 1, 1982. . The total amount of assessments unpaid is $2,551,870.00 . Dated: DecemberI 1, 1982. Directo~ of ~qXance o City of Sout~v~San Francisco I, the undersigned Treasurer of the City of South San Francisco, hereby certify that this List of Unpaid Assessments was filed with me by.the Director of Finance of the City of South San FranciSco on<pecember 1, 1982. Treasurer of the City of South San Francisco LIST OF UNPAID ASSESSMENTS As ses sment Number 9 10 11 12 13 14 CITY OF SOUTH SAN FRANCISCO THE GATEWAY ASSESSMENT DISTRICT NO. ST-82-2 Assessor' S Parcel No. 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-140 015-023-150 015-023-160 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P 015-023-170P 015-023-180P Amount of Assessment Unpaid $343,485.02 $305,166.39 $387,136.65 $367,977.34 $395,037.40 $2,266,527.08 $6,509,821.31 $3,659,033.92 $5 98,086.62 $1,800,000. O0 $3,218,764.74 $576,557.09 $1,124,276.44 $0.00 EXHIBIT A $15,805,190 IMPROVEMENT BONDS SERIES 86-A CI?Y OF SOUTH SAN FRANCISCO THE GATEWAY ASSESSMENT DISTRICT NO. ST-82-2 Coupon Bond Numbers (Inclusive) Principal Denomi n at i on Amount 1 $5,190.00 $5,190.00 2-21 $5,000. O0 $100,000. O0 22-61 $5,000. O0 $200,000. O0 62-121 $5,000. O0 $300,000. O0 122-181 $5,000. O0 $300,000. O0 182-261 $5,000. O0 $400,000. O0 262-341 $5,000. O0 $400,000. O0 342-431 $5,000. O0 $4 50,000. O0 432-531 $5,000. O0 $500,000. O0 532-641 $5,000. O0 $5 50,000. O0 642 - 761 $ 5,000. O0 $ 600,000. O0 762-901 $5,000. O0 $700,000. O0 902-1061 $5,000. O0 $800,000. O0 1062-1241 $5,000. O0 $900,000. O0 12 42 - 1441 $ 5,000. O0 $1,000,000. O0 1442-1661 $5,000. O0 $1,100,000. O0 1662-1901 $ 5,000. O0 $1,200,000. O0 lg02-2171 $5,000. O0 $1,350,000. O0 2172-2471 $5,000. O0 $1,500,000. O0 2472-2801 $5,000. O0 $1,650,000. O0 2802-3161 $5,000. O0 $1,800,000. O0 Maturity Date (July 2) 1984 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 EXHIBIT B COUPON BOND FORM. The coupon bonds shall be' substantially in the following form: UNITED STATES OF AMERICA STATE OF CALIFORNIA COUNTY OF SAN MATEO CITY OF SOUTH SAN FRANCISCO IMPROVEMENT BOND THE GATEWAY ASSESSMENT DISTRICT NO. ST-82-2 SERIES 86-A BOND NO. Under and by virtue of the Improvement BOnd Act of 1915, Division l0 of the Streets and Highways Code, the City of South San Francisco, State of California, will, on the second day of July, , out of the redemption fund for the payment of the bonds issued upon the unpaid portion of the assessments made for the acquisition, work and improvements more fully described in the proceedings taken pursuant to Resolution of Intention No. 74-84, adopted by the City Council of the City of South San Francisco on the 7th day of July, 1982, pay to bearer (or, if this bond is registered as herein provided, to the registered owner hereof) the sum of DOLLARS ( $ ) with interest thereon from the day of , 19 ., at the rate of percent ( %) P'er annum, all as is hereinafter specified, at Crocker National Bank, the Paying Agent of the City of South San Franci.sco, at its corporate trust division in San Francisco, California. This bond is one of several annual series of bonds of like date, tenor and effect, but differing in interest rates and maturities, issued by the City of South San Francisco under said law for the purpose of providing means for paying for the acquisition, work and improvements described in said proceedings, and is secured by the moneys in said redemption fund and by the unpaid portion of the assessments made for the payment of said acquisition, work and improvements, and, including principal and interest, is payable exclusively out of said fund. The interest is payable semiannually, to wit: On the second days of January and July in each year hereafter, upon presentation of the proper coupons therefor; provided, that the first of said coupons is for the interest to the second day of January, 1984, and thereafter the interest coupons are for the semiannual interest. This bond will continue to bear interest after maturity at the rate above stated; provided, it is presented at maturity and payment thereof is EXHIBIT C ]'il[ TI i Ti ' refused upon the sole ground that there is not suff, icient .money in said redemption fund with which to pay same; if it is not presented at maturity, interest thereon will run until maturity. This bond may be registered as to principal and interest or as to principal only, with the privilege of transfer, discharge from registration and succes si ve regi strat i on, upon written request of the owner and presentation of the bond to the Paying Agent and payment of the charges, if any, all as set forth in the resolution providing for the issuance hereof. This bond may be redeemed and paid in advance of maturity upon the second day of January or July in any year by giving the notice provided in said law and by paying principal and accrued interest together with the premium equal to five per centum of the principal. IN WITNESS WHEREOF, the City of South San Francisco has caused this bond to be signed by its City Treasurer and by its City Clerk, has caused the coupons attached hereto to be signed by said City Treasurer, and has caused said City Clerk to affix hereto its official seal, all on the day of , 1982. City Clerk of the City of South San South San Francisco City Treasurer of the City of Francisco (SEAL) COUPON FORM. The coupons to be attached to the coupon bonds shall be substantially in the following form' THE City of South San Francisco, County of San Mateo, California, will, on the due date hereof, unless the bond specifiedherein is redeemed prior thereto, pay to bearer the sum hereon at Crocker National Bank, the Paying Agent of the City of South San Francisco, at its corporate trust division, San Francisco, California as interest on its IMPROVEMENT BOND designated The Gateway Assessment District, No. ST-82-2, SERIES 86-A, dated , 1982. Due 2, Coupon No. Bond No. City Treasurer of the City of South San Francisco EXHIBIT C (ii) REGISTRATION FORM: The fora of endorsement for registration on the coupon bonds shall be substantially as follows: This bond is registered in the name of the registered owner last entered below and both the principal of and interest on this bond. are payable only to such owner, unless registered as to principal only, in which event the principal is so payable; provided, however, that this bond may be registered to bearer and thereby discharged from registration and the negotiability hereof restored. Note: No writing below except by the Paying Agent of the City of South San Francisco. Date of Registry Type of Re~i stration* Principal only and Interest Principal only and Interest Principal only and Interest Principal only and Interest Name and Address of Registered Owner Signature of Paying Agent *If registration is as to principal only, strike the words "and Interest"; if as to principal and interest, strike the word "only". EXHIBIT C (iii)