HomeMy WebLinkAboutRes - 1989.122 - Certain Water Improvements Ate.
RESOLUTION NO. /W/ate
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
EAST VALLEY WATER DISTRICT AUTHORIZING THE
SALE AND DELIVERY OF $5 , 940, 000 PRINCIPAL
AMOUNT OF CERTIFICATES OF PARTICIPATION,
APPROVING CERTAIN DOCUMENTS AND AUTHORIZING
CERTAIN ACTIONS IN ,CONNECTION THEREWITH
WHEREAS, East Valley Water District, a public corporation
organized and existing under the laws of the State of
California (the "District" ) desires to acquire certain water
improvements (the "Project") ; and
WHEREAS, the East Valley Public Facilities Corporation, a
nonprofit public benefit corporation organized and existing
under the laws of the State of California (the "Corporation" )
has the authority to assist in the financing of the Project on
behalf of the East Valley Water District; and
WHEREAS, the District and the Corporation desire to enter
into Amendment No. 1 to Installment Purchase Agreement Relating
to the Highland System dated as of June 1, 1989 by and between
the District and the Corporation (the "Amendment" ) pursuant to
which the District will agree to pay the additional cost to
purchase certain property acquired pursuant—the Installment
Purchase Agreement, dated as of December 1, 1986 , by and
between the District and the Corporation (the "Agreement" ) ; and
WHEREAS, the Amendment provides that the District will pay
additional Installment Purchase Payments which will be pledged
to the owners of the Certificates of Participation (Highland
System Project) Issue of 1989 (the "Certificates" ) to be issued
pursuant to a Supplemental Trust Agreement, dated as of June 1,
19.89 , by and among Security Pacific National Bank, as trustee
(the "Trustee" ) , the District and the Corporation (the
"Supplemental Trust Agreement" ) ; and
WHEREAS, the Certificates in an aggregate principal amount
of $5, 940 , 000 will be issued secured by the additional
Installment Purchase Payments to be made pursuant to the
Amendment and all right, title and interest of the Corporation
under the Amendment will be assigned to the Trustee pursuant to
an Assignment Agreement, by and between the Corporation and the
Trustee, dated as of June 1, 1989 (the "Assignment Agreement") ;
and
WHEREAS, the Board of Directors of the Corporation has
advertised for the sale of the Certificates and at 10 : 30 a .m.
on May 22 , 1989 has received the bids on the Certificates . The
bid of MERRILL LYNCH CAPITAL MARKETS (the "Purchaser") offering
$5,792 , 114 . 60 (par less a discount of $147, 885 . 40) at the
following rates :
Maturity Date Principal Interest
June 1 Amount Rate
1990 $135, 000 6 .40%
1991 145, 000 6 .40
1992 155, 000 6 .40
1993 165, 000 6 .40
1994 180, 000 6 . 50
1995 195, 000 6 . 50
1996 210, 000 6 . 50
1997 225, 000 6 . 50
1998 245, 000 6 . 50
1999 260, 000 6 . 50
2000 280, 000 6_. 50
2001 305, 000 6 . 50
2002 325, 000 6 . 50
05/22/89
4708n/2497/02 -2-
yr 2003 350, 000 6 . 50
2004 380, 000 6 . 50
2005 410, 000 6 . 50
2006 440, 000 6 . 50
2007 475, 000 6 . 50
2007 510, 000 6 . 50
2009 550, 000. 6 . 50
WHEREAS, copies of each of the aforementioned documents
have been presented to this Board of Directors; and
NOW, THEREFORE, the Board of Directors of the District does
hereby resolve as follows :
SECTION 1 . This Board of Directors hereby authorizes
the issuance of the Certificates in an aggregate principal
amount of $5, 940, 000 in accordance with the terms and
provisions of the Supplemental Trust Agreement as presented.
The purposes for which the proceeds and the Certificates shall
be expended are for the Project, as defined in the Agreement,
and to pay the costs of the issuance of the Certificates .
SECTION 2 . The Amendment is approved. The President
and the Secretary of the District are authorized and directed
for and in the name of the District to execute said Amendment .
The Amendment shall be executed in substantially the form
hereby approved, with such additions thereto and changes
therein as are recommended or approved by Bond Counsel to the
District and Corporation and such officers , such approval to be
conclusively evidenced by the execution and delivery thereof .
SECTION 3 . The Supplemental Trust Agreement and the
Assignment Agreement are approved. The President and the
Secretary of the District are authorized and directed for and
05/22/89
4708n/2497/02 -3-
on behalf of the District to execute and deliver the
Supplemental Trust Agreement in substantially the form
approved, with such additions thereto and changes therein as
are recommended or approved by Bond Counsel to the District and
Corporation and such officers, such approval to be conclusively
evidenced by the execution and delivery thereof .
SECTION 4 . The Preliminary Official Statement as
modified is hereby approved and the President or the. Secretary
of the District is authorized and directed to execute and
deliver the final Official Statement in substantially the form
of the modified Preliminary Official Statement, with such
additions thereto and changes therein as are recommended or
approved by the Financial Consultant and the Bond Counsel to
the District and the Corporation and approved by the officer
executing the Official Statement, such approval to be
conclusively evidenced by the execution and delivery thereof .
SECTION 5 . The President and the Secretary of the
District and such other officers of the District are authorized
and directed, jointly and severally, to do any and all things
and to execute and deliver any and all documents which they may
deem necessary and advisable in order to consummate 'the sale
and delivery of the Certificates and otherwise effectuate the
purposes of this Resolution, and such actions previously taken
by such officers are hereby ratified and confirmed.
05/22/89
4708n/2497/02 -4-
•
SECTION 6 . This Board of Directors finds and determines
that the District and all of its subordinate entities will not
issue more than $10 , 000 , 000 of obligations during the calendar
year 1989 and that the Certificates are designated as qualified
tax-exempt obligations as that term is defined in Section
265(b) of the Internal Revenue Code of 1986 .
SECTION 7 . This Resolution shall take effect from and
after its date of- adoption.
ADOPTED, SIGNED AND APPROVED this 22nd day of May, 1989 .
Preside of the Board of Directors
of East Valley Water District
(SEAL)
ATTEST:
X
Secret lc of the oard of Directors
of E t alley Wat r District
05/22/89
4708n/2497/02 -5-