HomeMy WebLinkAboutResolution No. 93-P8RESOLUTION NO. 93—p8 ®RAFT
A RESOLUTION OF THE BOARD OF THE AZUSA PUBLIC FINANCING
AUTHORITY AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF
ELECTRIC REVENUE BONDS (AZUSA LANDFILL GAS PROJECT)
FOR THE PURPOSE OF PROVIDING FUNDS FOR THE ACQUISITION AND
CONSTRUCTION OF AN ELECTRIC PRODUCTION FACILITY;
APPROVING A TRUST INDENTURE WHICH CREATES A TRUST ESTATE
AND MAKES CERTAIN PROVISIONS THEREFOR AND FOR THE BONDS;
APPROVING A LOAN AGREEMENT WITH GES -KMS III;
APPROVING A FORM OF BOND PURCHASE AGREEMENT;
AUTHORIZING SUCH OTHER RELATED DOCUMENTS AND FURTHER
ACTION AS MAY BE NECESSARY TO CONCLUDE THE ISSUANCE, SALE
AND DELIVERY OF SUCH BONDS; AND MAKING CERTAIN FINDINGS AND
DETERMINATIONS IN CONNECTION THEREWITH
WHEREAS, the City Council of the City of Azusa (the "City") and the members
of the Redevelopment Agency of the City of Azusa (the "Agency") have entered into that
certain Joint Exercise of Powers Agreement, as such agreement has been and may be
amended, modified or supplemented (the "JPA") pursuant to the provisions of
Government Code Section 6584 et seq. (the "Law") which forms the Azusa Public
Financing Authority (the "Authority");
WHEREAS, the Law authorizes the issuance of revenue bonds by the Authority
to finance the cost of the acquisition and construction of electric generation projects;
WHEREAS, GES -KMS III, a California partnership (the "Company"), has
submitted a request for the issuance by the Authority of not to exceed $5.5 million of tax
exempt electric revenue bonds (the "Bonds") to finance the costs of the acquisition and
construction of a gas electric production facility to be located on the Azusa landfill (the
"Project") which will produce electricity to be sold under agreements that will insure that
such electricity will be sold to members of the general public;
WHEREAS, City Council of the City has conducted a duly noticed public hearing
regarding the issuance of the Bonds;
WHEREAS, this Board desires to authorize the issuance of the Bonds and the
execution and delivery of various documents in connection with the issuance, sale and
delivery of the Bonds as well as any and all other actions necessary inorder to carry out
the purposes of this Resolution;
NOW, THEREFORE, THE BOARD OF THE AZUSA PUBLIC
FINANCING AUTHORITY DOES HEREBY RESOLVE, DETERMINE AND
ORDER AS FOLLOWS:
Section 1. The recitals set forth hereinabove are true and correct in all material
respects, and all actions heretofore taken by or at the direction of the City and its officer
directed toward the sale and issuance of the Bonds therefore are hereby approved and
ratified.
Section 2. • The issuance by the Authority of its Electric Revenue Bonds
(Azusa Landfill Gas Project) in an amount not to exceed $5.5 million at an average
interest rate not to exceed 12% per annum is hereby approved. The Bonds shall be issued
in substantially the form and in accordance with the terms of the Trust Indenture (the
"Indenture"), between the Authority and ---'as trustee (the "Trustee").
This Board hereby approves the form of the Indenture as presented to this Board at the
meeting at which this Resolution was adopted, with such corrections, changes,
modifications, additions or deletions as may be approved and recommended by the City
Attorney and - - ('Bond Counsel'). The Chairman, Vice
Chairman, Executive Director and Secretary of the Authority, or their designated
representatives, are hereby authorized and directed to execute and deliver such final
Indenture when the same shall have been prepared for execution and delivery.
Section 3. The form of Loan Agreement (the "Loan Agreement") as presented
to this Board at the meeting at which this Resolution was adopted, with such corrections,
changes, modifications, additions or deletions as may be approved and recommended by
the City Attorney and Bond Counsel, is hereby approved. The Chairman, Vice Chairman,
Executive Director and Secretary of the Authority, or their designated representatives, are
hereby authorized and directed to execute and deliver such final Loan Agreement when
the same shall have been prepared for execution and delivery.
Section 4. The form of Bond Purchase Agreement between the Authority and
as presented to this Board at the meeting at which this Resolution was
adopted, with such corrections, changes, modifications, additions or deletions as may be
approved and recommended by the City Attorney and Bond Counsel, is hereby approved.
The Chairman, Vice chairman, Executive Director and Secretary of the Authority, or their
designated representatives, are hereby authorized and direct to execute and deliver such
final Bond Purchase Agreement when the same shall have been prepared for execution and
delivery.
Section 5. None of the Bonds issued by the Authority pursuant to the
Indenture and this Resolution shall be deemed to constitute a debt or liability of the City,
the Agency or the Authority, or a pledge of the faith and credit of the City, the Agency or
the Authority, but shall be payable solely from the revenues and other funds, if any,
provided therefor in the Indenture. The issuance of the Bonds shall not directly or
indirectly or contingently obligate the City, the Agency or the Authority to levy or to
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pledge any form of taxation whatsoever therefor or to make any appropriation for this
payment. All Bonds shall contain on the face there of a statement to the following effect:
"Neither the faith and credit, the taxing power or any source of revenue of the City
of Azusa, the Redevelopment Agency of the City of Azusa or the Azusa Public
Financing Authority is pledged to the payment of the principal of, premium, if any,
or interest on this Bonds, nor is the City, the Agency or the Authority in any
manner obligated to make any appropriation for payment."
Section 6. The Executive Director, Secretary and such other officers of the
Authority and the City as are appropriate are authorized and directed to execute such
other documents and take such further action as shall be consistent with the intent and
purposes of this Resolution and shall be needed to conclude the issuance, sale and delivery
of the Bonds, including, without limitation, applying for an allocation of the State of
California "private activity bond limit" as prescribed by state and federal law.
Section 7. This Resolution shall take effect immediately upon its passage.
PASSED, APPROVED AND ADOPTED this20t1iay of September, at a
regular meeting of the Azusa Public Financing Authority, by the following vote:
AYES: DANGLEIS, MADRID, NARANJO, MOSES
NOES: ALEXANDER
ABSENT: NONE
ABSTAIN: NONE
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