HomeMy WebLinkAbout17466 - RESOLUTIONS - 4/3/1991 03/28/91 1035
RESOLUTION NO. 17466
RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF PALM SPRINGS CONCERNING
THE DELIVERY OF CERTAIN CERTIFICATES
OF PARTICIPATION, ISSUE OF 1991, TO
FINANCE A CERTAIN RESIDENTIAL CARE
FACILITY FOR THE ELDERLY AND
APPROVING AND AUTHORIZING THE
EXECUTION OF CERTAIN DOCUMENTS IN
CONNECTION THEREWITH
WHEREAS, the City of Palm Springs, a municipal
corporation and general law city duly organized and existing under
and ;pursuant to the constitution and laws of the State of
California (the "City") , has full legal right, power and authority
under provisions of the California Government Code, particularly
Chapter 5 of Part 2 of Division 3 of Title 4 thereof as found at
Section 37350 et sea. (the "Act") , to purchase, sell and lease both
personal and real property, for the common benefit and as is
necessary or proper for municipal purposes;
WHEREAS, United Community and Housing Development
Corporation, being a nonprofit corporation organized under the
nonprofit corporation law of the State of California and an
organization described :in Section 501(c) (3) of the Internal Revenue
Code of 1986, as amended (the "Company") , has proposed that the
City provide financing for the development of a certain forty-six
(46) unit licensed residential care facility for the elderly to be
located within the City (the "Facility") , including but not limited
to the acquisition, construction and equipping and operation of the
Facility and payment of fees and expenses incurred in connection
with the foregoing financing, which financing shall be accomplished
by means of a purchase and sale arrangement (the "Project") ; and
WHEREAS, on September 5, 1990, the City adopted a
resolution (the "Initial Resolution") giving its preliminary
approval to the proposed execution and delivery of certain
Certificates of Participation (Palm Springs Assisted Living
Center) , 1990 Series (the 101990 Certificates") , to finance the
Facility; and
WHEREAS, on Septemmber.• 19, 1990, the City held a duly
noticed public hearing pursuant to Internal Revenue Code
Section 147 (f) concerning the financing of the Project at which
time the City received no comments or questions regarding the
Project or the financing thereof; and
WHEREAS, on September 19, 1990, the City duly adopted its
Resolution No. 17267 at which time it approved the form of certain
documents and the form of the Preliminary official Statement
pertaining to the 1990 Certificates and authorized the execution
and delivery of such documents; and
WHEREAS, on November 21, 1990, the City duly adopted its
Resolution No. 17338 at which tine it approved the form of certain
revised documents as well as the form of a revised Preliminary
Official Statement pertaining to the 1990 Certificates and
authorized the execution and delivery of such documents; and
WHEREAS, subsequent to the approval date of Resolution
No. 17338, the documents prepared in connection with the 1990
Certificates have undergone certain additional changes in order to
compensate for changing economic conditions which additional
changes have necessitated the reapproval of the financing
transaction and the proposed execution and delivery of revised
Certificates of Participation designated as the: Certificates of
1
Participation (Palm Springs Assisted Living Center) , 1991 Series
' (the 111991 Certificates") ; and
WHEREAS, in connection with the execution of the 1991
Certificates, the City deems it desirable to approve certain
revised documents and authorize the execution of said revised
documents as well as any other documents which may be necessary for
the financing of the Project and the issuance of the 1991
Certificates; and
WHEREAS, the documents pertaining to the 1991
Certificates are substantially similar in form and content to the
documents prepared in connection with the 1990 Certificates; and
WHEREAS, the revised documents to be approved include an
Installment Sale Agreement and an Installment Purchase Agreement
between the City and the Company pertaining to the acquisition and
sale of the Facility which comprises the Project; and
WHEREAS, the revised documents also include a Trust
Agreement, a Certificate Purchase Contract and an Official
Statement; and
WHEREAS, the City may deem it necessary to enter into
certain other documents pertaining to the 1991 Certificates in
' order to accomplish the financing and development of the Project.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
" City of Palm Springs, California, as follows:
Section 1. The financing of the Project through the
use of the proceeds of the 1991 Certificates in an aggregate
principal amount not to exceed $8,400, 000 is hereby approved to be
accomplished under and pursuant to the Act. The 1991 Certificates
shall be designated the "City of Palm Springs Certificates of
Participation (Palm Springs Assisted Laving Center_) , 1991 Series A,
1991 Subordinate Series B and 1991 Taxable Series C" and shall be
executed and sold for the purposes of financing: (i) the
acquisition and improvement of the Project as more fully described
in the Trust Agreement (ii) a reserve and other funds for the 1991
Certificates as more fully described in the Trust Agreement and
(iii) the costs of issuing the 1991 Certificates which shall
include an underwriter discount.
Section 2 . The 1991 Certificates are to be revenue
obligations of the City payable solely from the payment received
from the Company pursuant to the Installment Sale Agreement and are
not to be secured by the taxing powers or general credit of the
City.
Section 3 . The revised form of the documents
pertaining to the 1991 Certificates as more fully described in the
recitals hereof and on file with the City Clerk, including the form
of the official Statement as revised from the Preliminary Official
Statement are hereby approved. The Mayor, the Finance Director,
the City Attorney and such other persons designated by the Mayor
are hereby authorized and directed for and in the name and on
behalf of the City, to execute, acknowledge and deliver said
documents in substantially the form as they presently exist, with
such changes therein as such persons who are authorized to execute
such documents may require or approve, such approval to be
conclusively evidenced by the execution and delivery thereof.
Section 4. The Mayor or such other persons designated
by the Mayor are further authorized and directed to enter into such
other agreements and documents and to determine such other fees and
expenses payable pursuant thereto in order to consummate and give
effect to the financing. The execution and delivery of the
documents referred to above by the Mayor or his designees shall
conclusively evidence the approval by the City of each of such
documents and agreements and the fees and expenses thereunder.
2 -
Section 5. The City Clerk is hereby authorizea ana
directed to attest the signature of the Mayor or such other person
designated by the Mayor and to affix and attest the Seal of the
City as may be required or appropriate in connection with the
execution and delivery of the documents and agreements.
Section 6. The City' Manager or such other person
designated by the City Manager is hereby authorized to take any and
all actions and to execute and deliver any and all documents which �
they may deem necessary or advisable in order to consummate the
sale, execution and delivery of the 1991 Certificates and otherwise
to carry out, give effect to and comply with the terms and intent
of this Resolution, the 1991 Certificates and the documents
relating thereto. Such actions heretofore taken by such officers
are hereby ratified, confirmed and approved.
Section 7. It is the purpose and intent of the City ,
that this Resolution constitute approval by the applicable elected
representative in accordance with the terms of Section 147 (f) of
the Internal Revenue Code of 1986, as amended.
Section 8. This iZesolu'tion shall. take effect
immediately upon its passage.
ADOPTED this 3rd day of __April , 1991.
AYES: Councilmembers Hodges, Murawslci , Neel and Mayor pro tem Broich
NOES: None
ABSENT: Mayor Bono
ATTEST: CITY 017 M eniINGS, CALIFORNIA
I (I ` )
By
City Clerk City 14anager
REVIEWED AND APPROVED,
PALM0001\D0043
3 _