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HomeMy WebLinkAboutResolution No. 4752 RESOLUTION NO. 4752 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY APPROVING PREPARATION AND DISTRIBUTION OF PRELIMINARY OFFICIAL STATEMENT AND APPOINTING SPECIAL LEGAL COUNSEL AND UNDERWRITER IN CONNECTION WITH REFINANCING OF CITY OBLIGATIONS UNDER 1984 FACILITY LEASE WHEREAS, the City has heretofore financed the acquisition, construction, improvement and equipping of certain civic center improvements and land, including City administrative offices, library facilities and public parking facilities (the "Project "), pursuant to that certain Facility Lease dated as of February 1, 1984, (the "Facility Lease ") by and between the City as lessee and the City of Downey Civic Center Corporation, a nonprofit corporation organzied and existing under the laws of the State of California (the "Corporation "), as lessor; and WHEREAS, the City has determined that it will realize substantial interest cost savings by refinancing a portion of the obligations of the City under the Facility Lease, and to that end the City proposes at this time to enter into an amendment of the Facility Lease between the City and the Corporation with respect to such refinancing, and has duly introduced an ordinance approving the form and execution of such an amendment; and WHEREAS, the City proposes entering into a Trust Agreement among the City, the Corporation and First Interstate Bank of California as trustee (the "Trustee ") relating to such refinancing, under which the Trustee agrees to execute and deliver Refunding Certificates of Participation in the aggregate principal amount of not to exceed $20,000,000 (the "Certificates ") representing the proportionate interests of the owners thereof in lease payments to be made by the City under such amendment to the Facility Lease; and WHEREAS, in connection with such refinancing proceedings the City wishes to engage the services of special legal counsel and underwriter; and WHEREAS, subject to final approval of the documents relating to such refinancing proceedings, the City Council wishes to authorize the underwriter if and as it may deem necessary to prepare and distribute a preliminary official statement describing the Certificates; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Downey as follows: SECTION 1. Appointment of Special Legal Counsel and Underwriter. The City Council hereby appoints the firm of Jones, Hall, Hill & White, A Professional Law Corporation, to act as special legal counsel to the City, and the firm of Goldman, Sachs & Co. to act as underwriter, in connection with said refinancing proceedings. SECTION 2. Authorization to Prepare and Distribute Preliminary Official Statement. The City Council hereby authorizes Goldman, Sachs & Co., as underwriter in connection with said refinancing proceedings, to prepare and distribute to prospective purchasers of the Certificates a Preliminary Official Statement describing the Certificates. Sale of the Certificates to said underwriter shall be subject to approval by the City Council of an appropriate form of purchase agreement among the City, the corporation, the trustee and said underwriter, and all other agreements to which the city is a party relating to the sale of the Certificates. SECTION 3. Effective Date. This Resolution shall take effect from and after the date of its passage and adoption. Resolution No. 4752 Page Two SECTION 4. The City Clerk shall certify to the adoption of this Resolution and provide for appropriate distribution thereof. APPROVED AND ADOPTED this 13th day of May, 1986. w Bob Davila, Mayor ATTEST: _,.. City Clerk I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City Council of the City of Downey at a regular meeting hereof, held on the 13th day of May, 1986 by the following vote, to wit: AYES: 5 COUNCIL MEMBERS: Santangelo, Boggs, Cormack, Barb, Davila NOES: 0 COUNCIL MEMBERS: None ABSENT: 0 COUNCIL MEMBERS: None ity Clerk