HomeMy WebLinkAbout23709 RESOLUTION NO. 23709
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, AUTHORIZING THE
ISSUANCE OF NOT TO EXCEED $7,000,000 PRINCIPAL
AMOUNT OF 2015 LOCAL MEASURE A SALES TAX
REVENUE BONDS AND AUTHORIZING INSTITUTION OF
JUDICIAL VALIDATION PROCEEDINGS.
WHEREAS, the City of Palm Springs (the "City") is a charter city organized,
under the Constitution of the State of California and as such has the right and power to
make and enforce all laws and regulations in respect of municipal affairs in
accordance with and as more particularly provided in Sections 3, 5 and 7 of Article XI
of the Constitution of the State of California and Section 200 of the Charter of the City;
and
WHEREAS, at an election held on November 5, 2002, more than two-thirds of
the voters in Riverside County (the "County") authorized the imposition of retail
transaction and use taxes for the purpose of financing qualifying transportation
projects in the County, which taxes are administered by the Riverside County
Transportation Commission (the "Commission") pursuant to the Riverside County
Transportation Sales Tax Act; and
WHEREAS, a portion of such taxes (the "Measure A Revenues") are allocated
and paid by the Commission to the City for the purpose of financing qualified
transportation projects, pursuant to Ordinance No. 02-001 which was adopted by
the Commission on May 8, 2002; and
WHEREAS, pursuant to its municipal affairs powers as a charter city, the City is
authorized to issue its revenue bonds which are payable from the Measure A
Revenues for the purpose of providing financing for qualified transportation projects
for which the Measure A Revenues are authorized to be expended; and
WHEREAS, to that end, the City has determined to issue its 2015 Local Measure
A S a I e s Tax Revenue Bonds in the aggregate principal amount of not to
exceed $7,000,000 (the 'Bonds") for the purpose of financing various street
improvement projects which constitute qualified transportation facilities for which the
Measure A Revenues are authorized to be expended (the "Qualifying Transportation
Projects"); and
WHEREAS, the City Council wishes at this time to authorize the issuance of the
Bonds and the institution of judicial proceedings to determine the validity thereof.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM
SPRINGS HEREBY RESOLVES, AS FOLLOWS:
Resolution No. 23709
Page 2
SECTION 1. Authorization of Bonds. The City Council hereby authorizes
the issuance of the Bonds pursuant to its municipal affairs powers as a charter city for
the purpose of providing funds to finance Qualifying Transportation Projects of the City.
SECTION 2. Material Provisions of Bonds. The Bonds shall be issued under
an Indenture of Trust (the "Indenture") between the City and U.S. Bank
NationalAssociation, as trustee (the 'Trustee"), in substantially the form on file
with the City Clerk. The Bonds shall be subject to the following limitations:
(a) Interest on the Bonds will be calculated at a fixed rate, which shall not
exceed the maximum rate of interest permitted by law.
(b) Principal of and interest and redemption premium (if any) on the
Bonds shall be payable from the Measure A Revenues. The Bonds shall not
constitute an obligation of the City for which the City is obligated to levy or pledge
any form of taxation, and shall not constitute an obligation of the general fund of
the City.
(c) Proceeds of the Bonds, except to the extent required to pay the
costs of issuing and underwriting the Bonds and except to the extent required to
fund a reserve for the Bonds, shall be applied for the sole purpose of financing
Qualifying Transportation Projects.
SECTION 3. Institution of Judicial Validation Proceedings. The City
Council hereby authorizes the filing of an action to determine the validity of
the Bonds, the Indenture and related matters in the Superior Court of
Riverside County, under the provisions of Sections 860 et sea. of the Code
of Civil Procedure of the State of California. The firm of Jones Hall, A
Professional Law Corporation, as bond counsel to the City, is hereby directed, in
concert with the City Attorney, to prepare and cause to be filed and prosecuted to
completion all proceedings required for the judicial validation of the Bonds, the
Indenture and related matters.
SECTION 4. Consideration of Final Documentation. Following the
conclusion of proceedings described in Section 3, the City Council shall
consider taking action approving the final form of the Indenture, a Preliminary
Official Statement describing the Bonds, the sale of the Bonds and other matters
which are necessary or advisable in order to consummate the issuance and sale of
the Bonds.
SECTION 5. Engagement of Professional Services. The firm of
Harrell & Company Advisors, LLC has previously been retained as financial advisor
to the City in connection with the issuance and sale of the Bonds. The
firm of Jones Hall, A Professional Law Corporation, is hereby retained as
bond counsel to the City in connection with the issuance and sale of the Bonds
Resolution No. 23709
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and the judicial validation thereof and the City Manager is hereby authorized and
directed on behalf of the City to execute an agreement with said firm in the form
on file with the City Clerk. The firm of Stifel, Nicolaus & Company, Incorporated,
is hereby designated as the underwriter of the Bonds upon the negotiated sale
thereof, pursuant to a bond purchase agreement which shall be considered for
approval by the City Council following conclusion of the proceedings
described in Section 3.
SECTION 6. Effective Date. This Resolution shall take effect from and
after the date of approval and adoption thereof.
PASSED, APPROVED AND ADOPTED BY THE PALM SPRINGS
CITY COUNCIL THIS 19T" DAY OF NOVEMBER, 2014.
DAVID H. READY, NAGER
ATTEST:
;iESTHOMPSON, CITY CLERK
Resolution No. 23709
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CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Resolution No. 23709 is a full, true and correct copy, and was duly adopted at a regular
meeting of the City Council of the City of Palm Springs on the 19t" day of
November, 2014, by the following vote:
AYES: Councilmember Foat, Councilmember Lewin, Councilmember Mills,
Mayor Pro Tern Hutcheson, and Mayor Pougnet.
NOES: None.
ABSENT: None.
ABSTAIN: None.
MES THOMPSON, CITY CLERK
City of Palm Springs, California 11/1 q/10 J,�
I Charles F . Adams (State Bar #69952)
2 ' ICourtney L. Jones (State Bar 4178686)
Jones Hall , A Professional Law Corporation
3 475 Sansome Street , Suite 1700
San Francisco, California 94108
4 Telephone : (415) 391-5780
cadams@joneshall . com
5 cjones@joneshall . com
6 Douglas C. Holland, Esq. (State Bar #069014)
7 City Attorney
City of Palm Springs
8 Woodruff, Spradlin & Smart
555 Anton Boulevard, Suite 1200
9 Costa Mesa, CA 92626
Telephone : (760) 323-8211
10 Douglas.Holland@palmspringsca . gov
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Attorneys for Plaintiff
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IN THE SUPERIOR COURT OF THE STATE OF CALIFORNIA
13 ' IN AND FOR THE COUNTY OF RIVERSIDE
14 '' I UNLIMITED CIVIL JURISDICTION
15 PALM SPRINGS BRANCH
16 �,
( CITY OF PALM SPRINGS, ) CASE NO.
17 Plaintiff, )
18 v DECLARATION IN SUPPORT OF
PLAINTIFF' S EX PARTE
19 ) APPLICATION FOR ORDER OF
ALL PERSONS INTERESTED IN THE ) PUBLICATION AND POSTING OF
20 MATTER OF THE ISSUANCE AND SALE OF ) SUMMONS
LOCAL MEASURE A SALES TAX REVENUE ) (C.C. P. § 860-870 . 5 ;
21 BONDS FOR THE PURPOSE OF FINANCING ) Govt . Code § 53511)
22 STREET IMPROVEMENTS BY THE CITY OF )
PALM SPRINGS, AND ALL PROCEEDINGS ) [Fee Exemption:
23 LEADING THERETO, INCLUDING THE ) Govt . Code § 61031
ADOPTION OF A RESOLUTION )
24 AUTHORIZING SUCH MATTERS, )
25 Defendants . )
26 )
27 )
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DECLARATION IN SUPP(RT OF EX PARTE APPLICATION
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I , James Thompson, declare :
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1 . I have personal knowledge of the following:
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2 . I am the City Clerk of the City of Palm Springs (the
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"City") , the Plaintiff herein.
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3 . On November 19, 2014 , at a regular meeting of the City
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Council at which I was present , which meeting was noticed and
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8 conducted in accordance with the provisions of all applicable
9 laws and attended by a quorum of the City Council, following a
noticed public hearing, by motion made and seconded, the City
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Council adopted a resolution (the "Resolution" ) entitled "A
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12 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS
AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $7, 000, 000 PRINCIPAL
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AMOUNT OF 2015 LOCAL MEASURE A SALES TAX REVENUE BONDS AND
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AUTHORIZING INSTITUTION OF JUDICIAL VALIDATION PROCEEDINGS, "
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16 pursuant to which the City Council authorized the issuance of
Local Measure A Sales Tax Revenue Bonds of the City (the
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"Bonds" ) in the aggregate principal amount of not-to-exceed
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$7 , 000 , 000 for the purpose of financing certain qualifying
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Itransportation projects of the City. A true and correct copy of
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the Resolution is attached hereto and made a part hereof as
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Exhibit "A" .
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4 . Pursuant to the Resolution, the City Council approved
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24 the form of an Indenture of Trust relating to the Bonds . A true
and correct copy of said Indenture of Trust is attached hereto
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26 and made a part hereof as Exhibit "B" .
5 . Pursuant to the Resolution, the City Council has
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28 authorized Jones Hall, A Professional Law Corporation, acting in
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DECLARATION IN SUPP(RT OF EX PARTE APPLICATION
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2 concert with the City Attorney of the City, to institute
3 judicial validation proceedings pursuant to Section 860, et seq.
4 of the California Code of Civil Procedure, which proceedings
require service of the summons by publication.
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6 6 . The Desert Sun is a newspaper which is published and
7 of general circulation in the City of Palm Springs .
8 I declare under penalty of perjury that the foregoing is
true and correct and that this declaration was executed in
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10 support of the ex parte application for order of publication and
11 posting of summons in the boundaries of the City of Palm
12 Springs, on November 19, 2014 .
13 By
14 e : James Thompson
Title : City Clerk
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DECLARATION IN SUPP(RT OF EX PARTE APPLICATION
I EXHIBIT A
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DECLARATION IN SUPP(RT OF EX PARTS APPLICATION
1 EXHIBIT B
2 Form of Indenture of Trust
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