HomeMy WebLinkAboutResolution No. 6495 RESOLUTION NO. 6495
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY
APPROVING THE FORM AND AUTHORIZING THE EXECUTION OF
DOCUMENTS BETWEEN THE CITY OF DOWNEY AND THE CALIFORNIA
STATE LANDS COMMISSION
WHEREAS, the City of Downey (the "City ") is authorized under the
provisions of the City Charter and other provisions of the State of California to
acquire property as the City Council of the City may deem necessary or
advisable; and
WHEREAS, the California State Lands Commission (the "Commission ")
under the provisions of the California Desert Protection Act of 1994 and other
State and Federal laws is authorized to enter land transactions involving property
of the United States; and
WHEREAS, the United States wishes to dispose of certain property,
known as the NASA property, located in the City of Downey; and
WHEREAS, THE City desires to promote the commercial development of
the property in order to create jobs to replace the jobs being lost because of the
job reductions occurring on the NASA property; and
WHEREAS, the Commission has prepared an Offer to Purchase Real
Estate in the City of Downey and Acceptance of Offer to Purchase, which
includes General Terms of Sale, Joint Escrow Instructions, a Promissory Note
Secured by Deed of Trust, and a Deed of Trust with Assignment of Rents; and
WHEREAS, the City Clerk has the documents on file; and
WHEREAS, the final purchase payment constitutes a contingent debt and
is not payable as a pledge of future tax revenues; and
WHEREAS, the City Council of the City (the "City Council ") desires to
approve these documents:
THEREFORE, THE CITY COUNCIL OF THE CITY OF DOWNEY DOES
RESOLVE AS FOLLOWS:
Section 1. The City Council hereby finds and determines that it is a
municipal affair and for the common benefit of the City and its residents and is
necessary for municipal purposes that the City enter into the documents.
RESOLUTION NO. 6495
Section 2. The City Council hereby approves, and authorizes and directs
the Mayor, Mayor pro tem, or City Manager to execute and the City Clerk to
attest and affix the seal of the City to the documents in substantially the form
thereof on file with the City Clerk, together with any changes as may be approved
by the City Manager, whose execution of the documents shall be conclusive
evidence of such approval; provided, however, the purchase price amount to be
made by the City to the Commission under the documents shall not exceed
$20,000,000, the amount of the Promissory Note shall not exceed $18,000,000,
the interest rate of the Promissory Note shall not exceed 7 %, and the term of the
Promissory Note shall not exceed seven years.
Section 3. The City Council hereby reserves $8,820,000 of existing City
funds for the purpose of making interest payments required by the Promissory
Note.
The City Clerk shall certify to the adoption of this Resolution (and any
other language that may be appropriate to fit this document).
APPROVED AND ADOPTED this 26th lay of June , 2001.
Mayor, ROBERT C. WINN NGHAM
ATTEST:
/
ity Clerk, KATHLEEN L. MIDSTOKKE
I HEREBY CERTIFY that the foregoing Resolution was adopted by the
City Council of the City of Downey at a regular meeting held on the 26th day
of June , 2001, by the following vote, to wit:
AYES: 5 Council Members: Tre jo , Perkins, McCarthy, Cartozi an , Winningham
NOES: 0 Council Members: None
ABSENT: 0 Council Members: None
ABSTAIN: 0 Council Members: None
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City Clerk, KATHLEEN L. MIDSTOKKE