HomeMy WebLinkAboutResolution No. 3499 RESOLUTION NO. 3499
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY,
COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, APPROVING,
CONFIRMING AND RATIFYING BASE RENTAL UNDER THE CITY OF
DOWNEY WATER FACILITIES CORPORATION AND THE CITY OF
DOWNEY LEASE AND SUBLEASE
WHEREAS, this City Council adopted Ordinance No. 535 on December 8, 1977,
approving the City of Downey Water Facilities Corporation and the City of Downey
Lease and Sublease ( "Lease ");
WHEREAS, said Lease provided that the estimated. Base Rental be paid by the
City for the water system would not exceed $630,000.00 per year, the exact Base
Rental to be determined at the time that the bids for the bonds were to be
received; and
WHEREAS, the City of Downey Water Facilities Corporation ( "Corporation ")
has received bids, awarded the bonds of the Corporation and fixed the Base
Rental per year on January 17, 1978 by appropriate Resolution; said amount of
Base Rental for each Payment Period being fixed in the amount of $624,100.00,
with initial payment following the commencement of liability for such rental
to be $242,182.25; and
WHEREAS, the schedule of debt service payments on the bonds of the
Corporation will decrease over their life from the maximum of $624,100.00 so
that surplus funds will be available in future years for credits under Section
5(c) of the Lease and the Council intends to request reimbursement for and
credits against Base Rental as provided for in Section 604(b)(i) of the Indenture
of the Corporation dated January 1, 1978;
NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED BY THE CITY
--- COUNCIL OF THE CITY OF DOWNEY, AS FOLLOWS:
SECTION 1. The Base Rental per year for each Payment Period under the ,
Lease is hereby approved, confirmed and ratified in the amount of $624,100.00,
with the Base Rental for the period in which such liability commences (assuming
liability commences on January 31, 1978, )to be in the amount of $242,182.25.
ADOPTED AND APPROVED this 24th day of January , 1978.
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Ri, hard M. Jenn"i gs, / r ayor
ATTEST:
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Robert L. Shand, City Clerk
-- I HEREBY CERTIFY that the foregoing Resolution was adopted at a regular
meeting of the City Council of the City of Downey on the 24th day of January ,
1978, by the following vote:
AYES: 5 Council Members: Miller, Greene, Jackman, Scotto, Jennings
NOES: 0 Council Members: None
ABSENT: 0 Council Members: None
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Robert L. Shand, City Clerk