HomeMy WebLinkAboutResolution No. 91-C0870
NO. 91_C87
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA AUTHORIZ'
A LOAN FOR PURPOSES OF THE MERGED REDEVELOPMENT PROJECT AREA
WHEREAS, the Redevelopment Agency of the City of Azusa
("Agency") is undertaking certain actions which are necessary and
incidental to the carrying out of the Redevelopment Plan which
has previously been adopted by the City of Azusa; and
WHEREAS, the Agency has incurred and will continue to incur
obligations for such purpose; and
WHEREAS, the City of Azusa is authorized, pursuant to
Section 33260, et. seq., of the Health and Safety Code of the
State of California to make loans to the Agency for the purposes
of defraying said expenses;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Azusa that:
Section 1. Pursuant to the provisions of said Section
33620, et. seq., of the Health and Safety Code, the City Council
hereby authorizes to the Redevelopment Agency of the City of
Azusa a loan for the Merged Redevelopment Project.
Section 2. The Agency shall accept and administer any funds
loaned to it pursuant to this request in accordance with the
provisions of Section 33620, et. seq., of the Health and Safety
Code.
Section 3. Such loan shall be evidenced by a secured note
of the Agency containing the following terms, in addition to all
usual and customary terms:
INT. PLEDGED REVENUE
LOAN AMOUNT RATE TERM BORROW FROM SOURCES
$2,300,000 Variable 5 Yr. Light Fund Tax Increment,
Land Sales
(a) Secured Loan Note is effective June 30, 1991.
(b) Interest payments shall be made annually on or before
May 31st of each year, beginning May 31, 1992.
(c) Interest rate for the May 31st payment shall be the
higher of 8% or the Local Agency Investment Fund (LAIF) rate in
effect on March 31st of the payment year. Interest rate shall
not exceed the maximum rate permitted by Section 53531 of the
Government Code (12% as of this date).
(d) Land sale proceeds from the sale of the property shall
be applied to the principal of the Note. The remaining unpaid
principal balance shall be paid in annual installments on May
31st, with the last installment payment due and payable on or
before May 31, 1996.
(e) Note is also payable from accumulated tax increment
funds in excess of those pledged for payment of Agency bonded
indebtedness, or from any other funds available to the Agency
from which such payment may legally be made.
(f) Note may be prepaid at any time without penalty.
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PASSED AND ADOPTED this 1st day of July , 1991.
I HEREBY CERTIFY that the foregoing resolution was duly
adopted by the City of Azusa at a regular meeting thereof, held
on the 1st day of July , 1991.
AYES: COUNCILMEMBERS: DANGLEIS, STEMRICH, NARANJO, ALEXANDER, MOSES
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
Deputy City Clerk