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HomeMy WebLinkAbout1990-184 29105-02 JHHW:ACH:zdg 05/11/90 zdg 05/15/90 H9398 ~. """" c t. RESOLUTION NO. 90- ~84 A RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE ISSUANCE OF $18,840,000 PRINCIPAL AMOUNT OF SINGLE FAMILY MORTGAGE REVENUE REFUNDING BONDS (GNMA MORTGAGE- BACKED SECURITIES) SERIES 1990A, SUCH BONDS TO BE ISSUED PURSUANT TO A TRUST INDENTURE DATED AS OF MAY 1, 1990, AUTHORIZING THE SALE OF BONDS, APPROVING FINAL OFFICIAL STATEMENT RELATING TO THE BONDS, APPROVING IMPLEMENTING AGREEMENTS AND DOCUMENTS RELATING TO THE BONDS AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO SINGLE FAMILY MORTGAGE REVENUE BONDS (GNMA MORTGAGE- BACKED SECURITIES) SERIES 1990A WHEREAS, Chapters 1-5 of Part 5 of Division 31 of the Health and Safety Code of the State of California (herein called the "Act") authorizes cities and counties to issue revenue bonds for the purpose of financing home mortgages authorized by the Act, and the Act provides a complete, additional and alternative method for doing the things authorized thereby; WHEREAS, the City has heretofore determined by ordinance to implement a home mortgage financing program (the "Program") within the City of San Bernardino by financing home mortgages made to qualified persons and families pursuant to the Act, and has now determined to borrow money for such purpose by the issuance of revenue bonds as authorized by the Act; WHEREAS, the Bonds described in Section 1 below (the "Bonds") are to be issued in the aggregate principal amount of Eighteen Million Eight Hundred Forty Thousand Dollars ($18,840,000) for the purpose, among others, of providing moneys to finance home mortgages by the purchase of an investment to refund certain outstanding bonds of the City, such outstanding bonds of the City being designated as the City's "Single Family Residential Mortgage Revenue Bonds, 1980 Series A". The Bonds authorized under this Resolution are to be issued and secured by a Trust Indenture (the "Trust Indenture"), and the proceeds of the refunding (by the sale of such investment) are to be used to purchase from a participating lending institution (the "Lender") certain fully- modified mortgage-backed securities (the "GNMA Securities) issued by the Lender with respect to home mortgages (the "Home Mortgages") made to finance single-family dwelling units intended for use as the permanent place of residence by qualified persons (the "Homes") and guaranteed as to timely payment of principal and interest by the Government National Mortgage Association ("GNMA"), which Home Mortgages are to be originated and serviced by the Lender pursuant to an Origination and Servicing Agreement (the" Agreement"); 05/17/90 .. " ,., .- -< WHEREAS, Miller & Schroeder Financial, Inc., Stifel, Nicolaus & Co., Inc. and Meridian Capital Markets, Inc. (the "Underwriters") intend to submit an offer to purchase the Bonds pursuant to a purchase contract between the City and the Underwriters (the "Purchase Contract") and in connection with the offering of the Bonds, have assisted the City in the preparation of a final Official Statement describing the Bonds, the "near final" form of which, for purposes of Rule 15c2-12 under the Securities Exchange Act of 1934, as amended ("Rule 15c2-12"), is on file with the City Clerk; and WHEREAS, forms of the Trust Indenture, the Agreement and the other necessary implementing documents have been presented to and reviewed by the City, with the aid of its staff, and such documents shall be conformed to the terms and requirements of the Purchase Contract and the final Official Statement and are thereupon approved for execution in final form; NOW, THEREFORE, IT IS HEREBY FOUND, DETERMINED AND ORDERED, as follows: 1. The City of San Bernardino, California Single Family Mortgage Revenue Refunding Bonds (GNMA Mortgage-Backed Securities), Series 1990A, in the principal amount of $18,840,000 are hereby authorized to be issued pursuant to a Trust Indenture dated as of May I, 1990, in form substantially as submitted at this meeting, which Trust Indenture shall be conformed in final form to the provisions of the Purchase Contract and the final Official Statement and the Mayor or his written designee, is authorized and directed to execute the Trust Indenture for and on behalf of the City and the City Clerk is authorized and directed to attest his signature thereto; 2. The Mayor and Common Council hereby approve the sale of the Bonds by negotiation with the Underwriters, pursuant to the Purchase Contract by and among the City and the Underwriters, in substantially the form on file with the City Clerk, together with any changes therein or additions thereto approved by the City Administrator or an authorized representative of the City Administrator, upon consultation with bond counsel, whose execution thereof shall be conclusive evidence of approval of any such additions and changes. The Purchase Contract shall be executed in the name and on behalf of the City by the City Administrator, who is hereby authorized and directed to execute and deliver said form of Purchase Contract on behalf of the City; provided that the purchase price to be received by the City for the Bonds shall be not less than percent <-%) of the par amount thereof, exclusive of original issue discount, and the average annual stated interest rate to be borne by the Bonds shall not exceed percent (_%) per annum. 3. The Mayor and Common Council hereby approve the "near final" Official Statement describing the Bonds, in substantially the form submitted to the Underwriters heretofore and on file with the City Clerk. The City Administrator is authorized and directed, on behalf of the Issuer, to deem the near final Official Statement "final" pursuant to Rule 15c2-12. The execution of the final Official Statement, which shall include such changes and additions thereto deemed advisable by the City Administrator, upon consultation with bond counsel, and such information permitted to be excluded from the near final Official Statement pursuant to Rule 15c2-12, is hereby approved for delivery to the purchasers of the Bonds, and the City Administrator is authorized and directed to execute the final Official Statement for and on behalf of the City and to 05/17/90 -2- .' .'",.'. < -. " deliver to the Purchaser a "10b-5" certificate with respect to the information set forth therein. 4. All actions heretofore taken by the officers and agents of the City with respect to the establishment of the Program, including the criteria established for lenders participating in the Program as set forth in the mailed notice therefor, and in the issuance, sale and delivery of the Bonds, are hereby approved, confirmed and ratified, and the Mayor, the City Administrator, the City Attorney and the City Clerk and any and all other officers of the City are hereby authorized and directed, for and in the name and on behalf of the City, to do any and all things and take any and all actions and execute and deliver any and all documents, certificates, requisitions, agreements and other documents described in the Trust Indenture and the final Official Statement, including, without limitation, the Origination and Servicing Agreement dated as of May 1, 1990 between the Lender, the Trustee with respect to the Bonds, and the City, and the Investment Agreement for investment of various funds to be held under the Trust Indenture. 5. The City Administrator, or his designee, is hereby authorized and directed to ailminil,ter the Program within the City, and such such City Administrator, or his designee, is hereby authorized to act on behalf of the City in such capacity. Any designee pursuant to this or any other Section of this Resolution shall be designated in writing signed by the person making such designation. 6. This resolution shall take effect from and after its adoption. * * * * * * * ADOPTED and APPROVED this.z&i day of May, 1990 AYES: Council Members Reilly, Flores, Maudsley, Minor, Pope-Ludlam, Miller NOES: None .../- /~......... AUBSENT: Council Member Estrada ATTEST: Jff'daY!V iYC:Uh7 /tb~ ~ City Clerk /; ~ Approved as to fonn and legal content: James F. Penman City Attorney ,~ 05/17/90 -3-