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HomeMy WebLinkAboutResolution - 3590 STATE OF CALIFORNIA ) RESOLUTION NO. 3590 COUNTY OF RIVERSIDE )ss CITY OF SAN JACINTO ) t 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. 24438.70021V 1869141.1 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 ��,4j Crysta ITUIZ, Mayor ATTE Richard Miller, City Clerk 24438.70021�11869141.1