HomeMy WebLinkAboutResolution - 3590 STATE OF CALIFORNIA ) RESOLUTION NO. 3590
COUNTY OF RIVERSIDE )ss
CITY OF SAN JACINTO )
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN
JACINTO, CALIFORNIA, AUTHORIZING THE EXECUTION AND
DELIVERY OF AN INSTALLMENT SALE AGREEMENT, AND
AUTHORIZING AND DIRECTING CERTAIN ACTIONS IN CONNECTION
WITH THE ACQUISITION AND CONSTRUCTION OF AN ENERGY
PROJECT
WHEREAS, the City of San Jacinto (the "City") is a municipal corporation duly
organized and existing under and pursuant to the laws of the State of California; and
WHEREAS, the District desires to provide for financing in the approximate amount
of $4,594,818.65 for the acquisition and construction of certain energy efficiency
improvements to be provided by Opterra Energy(the "Project"); and
WHEREAS, Municipal Finance Corporation (the "Corporation") has proposed a
cost-effective twenty year installment sale financing arrangement at a 3.50% interest rate;
NOW, THEREFORE, BE IT RESOLVED, determined and ordered by the City
Council of the City of San Jacinto, as follows:
SECTION 1. Approval of Financing. The financing of the Project pursuant to an
installment payment arrangement as described herein is hereby approved; provided that
the principal amount of the installment payment arrangement shall not exceed $5,000,000
and the annual rate of interest associated therewith shall not exceed 4.00%.
SECTION 2. Installment Sale Agreement. The agreement entitled "Installment Sale
Agreement' to be entered into between the City and the Corporation (the "Installment Sale
Agreement') is hereby approved in form. The Mayor, the City Manager, the Finance
Director or a designee in writing are each hereby authorized and directed to execute and
deliver the final form of the Installment Sale Agreement, with such additions thereto or
changes therein as such authorized officer may deem necessary and advisable; provided,
however, that no additions or changes shall authorize an aggregate principal amount or
interest rate in excess of those stated in Section 1 above
SECTION 3. Attestations. The City Clerk or other appropriate City official is hereby
authorized and directed to attest the signature of the Mayor, the City Manager, the Finance
Director or of such other person or persons as may have been designated by the Mayor or
the City Manager, the Finance Director and to affix and attest the seal of the City, as may
be required or appropriate in connection with the execution and delivery of the Installment
Sale.
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SECTION 4. Authorization to Establish Project Fund. The City Council hereby
authorizes and directs the Mayor, the City Manager, the Finance Director or a designee in
writing to make appropriate arrangements to establish a special fund into which the
proceeds of the financing are deposited for the purpose of paying the costs of the Project.
SECTION 5. Approval of Special Counsel. The City Council hereby approves Best
Best & Krieger LLP to serve as special counsel in connection with the installment payment
arrangement.
SECTION 6. Other Actions. The Mayor, the City Manager, the Finance Director and
other officers of the District are each hereby authorized and directed, jointly and severally,
to take any and all actions and to execute and deliver any and all documents, agreements
and certificates which they may deem necessary or advisable in order to carry out, give
effect to and comply with the terms of this Resolution and the Installment Sale. Such
actions are hereby ratified, confirmed and approved.
SECTION 7. Qualified Tax-Exempt Obligations. The Installment Sale is hereby
designated as a "qualified tax-exempt obligation" within the meaning of Section 265(b)(3)
of the Internal Revenue Code of 1986, as amended (the "Code"). The District, together
with all subordinate entities of the District, do not reasonably expect to issue during the
calendar year in which the Installment Sale is issued more than $10,000,000 of obligations
which it could designate as "qualified tax-exempt obligations" under Section 265(b) of the
Code.
SECTION 8. Effect. This Resolution shall take effect immediately upon its passage.
PASSED, APPROVED, and ADOPTED this 7th day of July 2015 by the following
vote:
Ayes: Bartel, Kotyuk, Ledezma, Miller, Ruiz
Nays: None
Absent: None
Abstain: None
City of San Jaciintto
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Crysta ITUIZ, Mayor
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Richard Miller, City Clerk
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