HomeMy WebLinkAboutMinutes-01-10-84-Adjourned Regular Meeting1/
OF 17 CITY OF ••
ADJOURNED REGULAR MEETING
The City Council of the City of Downey held an adjourned regular meeting at
6:30 p.m., January 10, 1984, in the Council Chamber of the Downey City Hall, Mayor
Robert G. Cormack presiding.
PRESENT: Council Members:
Robert G. Coxmack Mayor
Ted H. Jackman Mayor Pro Tern
Randall R. Barb
Bob Davila
James T. Quinn
ALSO PRESENT: Bud Ovrom, City Manager
Carl K. Newton, City Attorney
Lee Powell, Director of Administrative Services
Robert L. Shand, City Clerk -Treasurer
Refinancing of Civic Center Bonds
Mr. Powell explained all of the tasks for the Civic Center financing have
been completed. The proposed resolution for adoption sets the legal form of the
Official Statenent and Purchase Contract for sale of the bonds. Final action on
the anounts will be taken later this nnnth to complete the financing. Mr. Powell
further explained the goal of the refinancing is not to change the Civic Center
Project in any way but to save the money the City is obligated to pay in relation
to financing the project. He said the bonds were originally sold at 11.5 percent.
The current trend is that the interest rates are going down and today are at 9.5
percent.
Mr. Peter Ross, Vice President for Dean Witter Reynolds, underwriter for the
bond issue, commented on a cash flow analysis conducted and gave a prediction of
a downward trend for the interest rates. He mentioned there would be no penalty
for refinancing the bonds.
During discussion, Mr. Ross said before actually selling the bonds and go-
ing to market, the Council will have to make a decision on haw to proceed with
the debt service schedule.
RESOLUTION NO.
OF THE OF DOWNEY
APPROVING THEOF DOWNEY CIVIC CENTER PROJECT • •
• 1 1 ••A • • /• I/1' •01 • • 1 9 •
The Resolution was read by title only. It was immved by Councilman Quinn,
seconded by Councilman Davila, and passed by the following vote to waive further
reading and to adopt.
It was indicated Councilmmn Jackman will not participate in any of the dis-
cussion because he owns some of the bonds.
Patricia Barnett of Orrick, Herrington & Sutcliffe, the bond counsel,
explained scene of the changes in the preliminary resolution and final copy now
before the City Council, which is clarification of some language and the documents
being approved.
Councilman Barb expressed concern about voting on the new resolution when he
has not had an opportunity to read it.
Mr. Newton explained an addition to the docLmient is the fact that a judgment
was entered January 9th which validated all of the actions taken by the Council
up to this point, including all of the resolutions and ordinances adopted imple-
menting the procedure for refinancing.
Patricia Barnett said there will need to be another meeting of the Council
to approve the final terms and conditions of the refinancing before closing the
issue.
AYES: 4 Council Members: Barb, Davila, Quinn, Cormack
NOT VOTING: 1 Council Member: Jackman (Shareholder)
Council Minutes 1/10/84 (adj.) -1-
1fi-°
The meeting was adjourned at 7:15 p.m.
Robert L. Shandy, City Clerk -Treasurer
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