HomeMy WebLinkAboutResolution No. 2015-C37RESOLUTION NO. 2015-C37
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF AZUSA, ACTING FOR ITS COMMUNITY FACILITIES
DISTRICT NO. 2005-1 (ROSEDALE) IMPROVEMENT
AREA NO. 1, AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED 540,000,000 AGGREGATE PRINCIPAL AMOUNT
OF CITY OF AZUSA COMMUNITY FACILITIES DISTRICT
NO. 2005-1 (ROSEDALE) IMPROVEMENT. AREA NO. 1
SPECIAL TAX REFUNDING BONDS, SERIES 2015,
APPROVING THE EXECUTION AND DELIVERY OF A
FIRST SUPPLEMENT TO BOND INDENTURE, A BOND
PURCHASE AGREEMENT AND THE PREPARATION OF
AN OFFICIAL STATEMENT AND OTHER MATTERS
RELATED THERETO
WHEREAS, the City Council (the "City Council") of the City of Azusa (the "City")
conducted proceedings under and pursuant to the Mello -Roos Community Facilities Act of 1982
(the "Act') to form the City of Azusa Community Facilities District No. 2005-1 (Rosedale) (the
"District") and designate improvement areas therein including Improvement Area No. 1 (the
"Improvement Area No. 1"), to authorize the levy of a special tax (the "Special Tax") within
Improvement Area No. 1 and to authorize bonds secured by the Special Tax; and
WHEREAS, such proceedings authorized the issuance of bonded indebtedness within
Improvement Area No. 1 in an amount not exceed $80,000,000 (the "Bond Authorization") to
finance authorized facilities; and
WHEREAS, the City Council, by and through the District, issued on February 7, 2007 its
City of Azusa Community Facilities District No. 2005-1 (Rosedale) Improvement Area No. 1
2007 Special Tax Bonds, in the original principal amount of $71,125,000 (the "Prior Bonds"),
the proceeds of which were used to finance authorized facilities or, in connection with the
termination of escrowed proceeds, to redeem Prior Bonds if required under special mandatory
redemption provisions set forth in the Bond Indenture, dated as of January 1, 2007 (the
"Indenture") between the City, for itself and on behalf of the District, and fiscal agent to be
selected by the City Manager in accordance with the City Purchasing Regulations (the "Fiscal
Agent'); and
WHEREAS, in order to (i) refinance the Prior Bonds and (ii) finance not to exceed
$1,000,000 of additional facilities previously authorized to be financed with proceeds of bonded
indebtedness within Improvement Area No. 1, the City Council desires to authorize the issuance,
by and through the District, of City of Azusa Community Facilities District No. 2005-1
(Rosedale) Improvement Area No. 1, Special Tax Refunding Bonds, Series 2015 (the "Bonds"),
in an aggregate principal amount of not to exceed $40,000,000; and
OHSUSA:762711639.4
41856-5
WHEREAS, in order to provide for the authentication and delivery of the Bonds, to
establish and declare the terms and conditions upon which the Bonds are to be issued and secured
and to secure the payment of the principal thereof, premium, if any, and interest thereon, the City,
for itself and on behalf of the District, proposes to enter into a First Supplement to Bond
Indenture (the "First Supplement") with the Fiscal Agent (such First Supplement, in the form
presented to this meeting, with such changes, insertions and omissions as are made pursuant to
this Resolution, being referred to herein as the "First Supplement"); and
WHEREAS, the City, for itself and on behalf of the District, will enter into a Bond
Purchase Agreement (the "Bond Purchase Agreement") with Stifel, Nicolaus & Company,
Incorporated (the "Underwriter) in connection with the sale of the Bonds; and
WHEREAS, there have been prepared and submitted to this meeting forms of:
(a) the First Supplement;
(b) the Bond Purchase Agreement; and
(c) the Preliminary Official Statement to be u sed in connection with the offering and
sale of the Bonds (such Preliminary Official Statement in the form presented to this meeting,
with such changes, insertions and omissions as are made pursuant to this Resolution, being
referred to herein as the "Preliminary Official Statement"); and
WHEREAS, the City, for itself and on behalf of the District, desires to proceed to issue
and sell the Bonds and to authorize the execution of such documents and the performance of such
acts as may be necessary or desirable to effect the offering, sale and issuance of the Bonds;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Azusa,
acting for the City's Community Facilities District No. 2005-1 (Rosedale) Improvement Area
No. 1, as follows:
Section 1. Subject to the provisions of Section 2 hereof, the issuance of the Bonds, in the
aggregate principal amount of not to exceed $40,000,000, on the terms and conditions set forth
in, and subject to the limitations specified in, the Indenture, as supplemented by the First
Supplement, is hereby authorized and approved. The Bonds shall be dated, shall bear interest at
the rates, shall mature on the dates, shall be issued in the form, shall be subject to call and
redemption and shall be as otherwise provided in the First Supplement, as the same shall be
completed as provided in this Resolution.
Section 2. The First Supplement, in substantially the form submitted to this meeting and
made a part hereof as though set forth herein is hereby approved. The Mayor of the City, and
such other members of the City Council as the Mayor may designate, the Mayor Pro Tem of the
City, the City Manager, the Director of Finance of the City, and the City Clerk (the "Authorized
Officers") are, and each of them is, hereby authorized and directed, for and in the name of the
District, to execute and deliver the First Supplement in the form submitted to this meeting, with
such changes, insertions and omissions as the Authorized Officer executing the same may require
or approve, such requirement or approval to be conclusively evidenced by the execution of the
OHSUSA:762711639.4 2
41856-5
First Supplement by such Authorized Officer; provided, however, that such changes, insertions
and omissions shall not authorize an aggregate principal amount of Bonds in excess of
$40,000,000, shall not result in a final maturity date of the Bonds later than September 1, 2037,
and shall not result in a true interest cost for the Bonds in excess of 4.75%. The First Supplement
may also be changed to add terms for the inclusion of bond insurance and of a credit facility,
surety bond, letter of credit or insurance policy for all or a portion of the Reserve Requirement, as
defined therein.
Section 3. The form of Bond Purchase Agreement in substantially the form submitted to
this meeting and made a part hereof as though set forth herein is hereby approved. The
Authorized Officers, jointly and severally, or any such officer's designee, are each hereby
authorized and directed, on behalf of the City, to execute and deliver a bond purchase agreement
in substantially said form, with such changes therein as such Authorized Officer may require or
approve, such approval to be conclusively evidenced by the execution and delivery thereof;
provided, however, the underwriting discount (not including original issue discount) shall not
exceed 0.60% of the aggregate principal amount of the Bonds.
Section 4. The Preliminary Official Statement, in substantially the form presented to this
meeting and made a part hereof as though set forth in full herein, with such changes therein as
may be approved by an Authorized Officer, is hereby approved, and the use of the Preliminary
Official Statement in connection with the offering and sale of the Bonds is hereby authorized and
approved. The Authorized Officers are, and each of them is, hereby authorized and directed, for
and in the name of the District, to certify to the Underwriter that the Preliminary Official
Statement has been "deemed final" for purposes of Rule 15c2-12.
Section 5. The preparation and delivery of a final Official Statement (the "Official
Statement"), and its use in connection with the offering and sale of the Bonds is hereby
authorized and approved. The Official Statement shall be in substantially the form of the
Preliminary Official Statement, with such changes, insertions and omissions as may be approved
by an Authorized Officer, such approval to be conclusively evidenced by the execution and
delivery thereof. The Authorized Officers are, and each of them is, hereby authorized and
directed to execute the final Official Statement and any amendment or supplement thereto, for
and in the name of the District.
Section 6. Pursuant to Section 53345.8 of the Act, the City Council hereby finds and
determines that the value of the real property that would be subject to the Special Tax to pay debt
service on the Bonds will be at least three times the principal amount of the Bonds to be sold and
the principal amount of all other bonds outstanding that are secured by a special tax levied
pursuant to the Act on property within Improvement Area No. 1 or a special assessment levied on
property within Improvement Area No. 1.
Section 7. Notwithstanding the refunding of the Prior Bonds, it is the City's intention
that any proceeds realized through foreclosure actions commenced with respect to delinquent
special taxes previously levied to pay the principal of and interest on the Prior Bonds, shall, to
the maximum extent possible, be transferred to the Fiscal Agent and applied to the payment of
OHSUSA:76271 1639.4 3
41856-5
debt service on the Bonds and to the appropriate reduction of Special Taxes, as defined in the
Indenture.
Section 8. The Authorized Officers are, and each of them hereby is, authorized and
directed to prepare or cause to be prepared, execute and deliver any and all documents and
instruments, including a refunding escrow agreement, and a continuing disclosure certificate or a
supplement to the existing continuing disclosure certificate, and to do and cause to be done any
and all acts and things necessary or proper for carrying out the issuance of the Bonds and the
transactions contemplated by this Resolution. In addition, the City Manager is authorized to
enter into discussions with representatives of the developer of the Rosedale master -planned
community to determine which authorized facilities are to be financed with proceeds of the
Bonds.
Section 9. All actions heretofore taken by the Authorized Officers and by the officers
and staff of any member of the City with respect to the District, the Prior Bonds, the Special Tax
and the issuance and sale of the Bonds, or in connection with or related to any of the agreements
or documents referenced herein, are hereby approved, confirmed and ratified.
Section 10. This Resolution shall take effect immediately upon its adoption.
APPROVED and ADOPTED by the City Council of the City of Azusa, acting for its
Community Facilities District No. 2005-1 (Rosedale) Improvement Area No. 1, on July 27, 2015.
IL, 141 A
oseph Romero Rocha
MMayor
ATTEST:
Jeffre'Y'La*YaKee Cornejo r.
City Clerk
0HSUSA:76271 1 63 9.4 4
41856-5
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF AZUSA )
I HEREBY CERTIFY that the foregoing Resolution No. 2015-C37 was duly adopted by
the City Council of the City of Azusa at a special meeting thereof, held on the 271h day of July,
2015, by the following vote of Council:
AYES: COUNCILMEMBERS: GONZALES, CARRILLO, MACIAS, ALVAREZ, ROCHA
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
110100Iffir
- �-
SO
APPROVED AS TO FORM:
Best Best 4 Krieger,LP
City Atton ey
OHSUSA:762711639.3
41856-5
The Canyon City—Gateway to the American Dream
CLERK'S CERTIFICATE
I, the undersigned City Clerk of the City of Azusa, hereby certify that the foregoing is a
full, true and correct copy of Resolution No. 2015-07 duly adopted at a special meeting of the
City Council of said City held on July 27, 2015, of which meeting all of the members of said
Council had due notice and at which a majority thereof were present; and that at said special
meeting said resolution was adopted by the following vote:
AYES: COUNCILMEMBERS: GONZALES, CARRILLO, MACIAS, ALVAREZ, ROCHA
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
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: July 27, 2015
u
J 4aWceComcjcgh. 61 011
City Clerk of the City of Azusa
OHSUSA:76271 1639.3
41856-5