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HomeMy WebLinkAbout1981-536 >" " San Bernardino Brier Drive Assoc. 50,002-1-2 .~ RESOLUTION NO. 81-536 RESOLUTION OF THE MAYOR AND CO~10N COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY FOR A CERTAIN PROJECT, FINDING THAT SAID APPLICATION COMPLIES WITH THE PRO- VISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; APPROVING SAID APPLICATION AND THE PROJECT TO ~IICH IT REFERS; DIRECTING THE PREPARATION OF A PROJECT AGREEf1ENT, A RESOLUTION OF ISSUANCE AND SUCH OTHER LEGAL DOCill1ENTS AS MAY BE NECESSARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERI-IINATIONS IN CONNECTION THEREWITH BRIER DRIVE ASSOCIATES, A LIMITED PARTNERSHIP WHEREAS, the City of San Bernardino ("City" herein). 1S a "home rule city" duly organized and existing under and pursuant to a Charter adopted under the provisions of the Constitution of the State of California; and WHEREAS, pursuant to its home rule powers, the City duly and regularly enacted Ordinance No. 3815 ("Ordinance" herein) to finance various types of projects, as defined in the Ordinance, and to issue its special revenue bonds for the purpose of paying the cost of financing such projects, and has amended the same from time to time; and #P31(is) 10/27/81 '. . " San Bernardino Bri'er Drive Assoc. 50,002-1-2 . . WHEREAS, said Ordinance No. 3815, as amended, is intended to finance the development of industry and commerce and to thereby broaden the employment opportunities for residents of the City and its tax and revenue base; and WHEREAS, there has been presented to this Mayor and Common Council an Application by BRIER DRIVE ASSOCIATES, A LIMITED PARTNERSHIP (the "Applicant"), requesting the issuance of industrial development bonds in the principal amount not to exceed $1,085,000 for the purpose of financing, a certain Project, to wit: two (2) concrete tilt-up industritil buildings providing a total of approximately 45,100 square feet of man'lfacturing and office space, on a certain site now known as lots 17 and 19 of tract 5464 of the Inland Industrial Park, San Bernardino, including, without limitation, equipment and off-street parking for motor vehicles and off- site and on-site improvements necessary therefor and appur- tenances and appurtenant work (the "Project"). The Applicant is applying for construction financing and permanent financ- ing of the Project, on its own behalf and on behalf of its successors and assigns, if any, including without limitation the purchaser(s) of either or both of the two(2) industrial buildings of the Project. #P31(is) 10/27/81 2 " ", San Bernardino Brier Drive Assoc. 50,002-1-2 NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED BY THE MAYOR AND CO~lON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: Section 1. That the recitals set forth herein- above are true and correct in all respects. Section 2. The City of San Bernardino, California, 1S a municipal corporation duly created, established and authorized to transact business and exercise its powers, all under and pursuQnt to the Constitution and laws of the State of California, and the City Charter of the City, and the powers of the City include the power to issue bonds for any of its corporate purposes. Section 3. Pursuant to the Charter of the City and Ordinance No. 3815, as amended, of the City, the City is legally authorized to issue special revenue bonds for the permanent financing as described in the recitals hereof. Section 4. This body constitutes the governing body of the City and is legally authorized to provide for the issuance of such special revenue bonds by the City. #P31(is) 10/27/81 3 , " San Bernardino Brier Drive Assoc. 50,002-1-2 Section 5. The Project referred to in the recitals hereof constitutes a project which may be financed by the issuance of such special revenue bonds by the City ftnd located within the jurisdiction of the City. section 6. The Application referred to in the recitals hereof complies with the provisions and requirements of said Orcinance No. 38lS, as amended, and the Project involved in such application is hereby approved and the provisions of Subsection (d) of Section 10 and Subsection (a) of Section 11 of said Ordinance No. 381S shall not apply. section 7. The City hereby declares its intention to exercise the authority referred to in Section 3 hereof by issuing bonds of the city in such amounts as will be adequate to implement the city financing of the Project. section 8. The bonds shall be payable from the revenues described in said Ordinance No. 3815, as amended. Section 9. The bonds shall be and are special obligations of the city, and, subject to the right of the City to apply moneys as provided in the applicable laws, are secured by such revenues as are specified in the proceedings #P31(is) 10/27/81 4 San Bernardin" Brier Drive Assoc. 50,002-1-2 for the issuance of such bonds and funds and accounts to be herd by the trustee or fiscal agent, and are payable as to principal, redemption price, if any, and interest from the revenues of the City as therein described. The bonds are not a debt of the City, the State of California or any of its political subdivisions, and neither the City, the State, nor any of its political subdivisions is liable thereon, nor in any event shall the bonds by payable out of any funds or properties other than all or any part of the revenues, mortgage loans, and funds and accounts as in this Resolution set forth. The bonds do not constitute an indebtedness within the meaning of any constitutional or statutory debt limitation or restriction. Neither the persons serving as "the Nayor and Common Council nor any persons executing the bonds shall be liable personally on the bonds or subject to any personal liability or accountability by reason of the issuance thereof. Section 10. The details of such bonds, including the establishing of the aggregate face amount of such obligations, shall be authorized by indenture, resolution or resolutions of the City at a meeting or meetings to be held for such purpose. The City Staff, Bond Counsel, Under- writers, the Applicants and the agents and representatives #P31(is) 10/27/81 5 San Bernardino Brier Drive Assoc. 50,002-1-2 of same are hereby authorized and directed to prepare or cause to be prepared the necessary legal documents, in- cluding the Project Agreements, Resolutions of Issuance, and such other documents as may be necessary to effect said Project and the issuance of industrial development revenu~ bonds therefor and to present same to said Mayor and Common Council. The Mayor of the City is hereby authorized and directed to coordinate the efforts of all concerned relating to the issuance and sale of the bonds, and the City staff, consultants, legal counsel to the City and Bond Counsel are hereby directed to take such steps as shall be appropriate to implement such sale and delivery of the bonds including working with persons WIIO may acquire vested rights as the result of such actions. Section 11. This Resolution constitutes a proper exercise of the powers of this Mayor and Common Council and conforms to State and local legal requirements relating to the issuance of such special revenue bonds and other bonds or debt obligations by a charter city in this State. Section 12. It is intended that this Resolution shall constitute such "official action" toward the issuance of the bonds within the meaning of the United States Treasury Regulations, the United states Tax Laws, and any legislation #P31(is) 10/27/81 6 San Bernardino Brier Drive Assoc. 50,002-1-2 now or hereafter pending in the Congress of the United States which may require official action in order for the bonds to be exempt from Federul income taxation. Section 13. At the closing of the financing there shall be paid to the city the fee set forth in Resolution No. 81-108, as amended by Resolution 81-410, of the Muyor and Common Council, adopted September 24, 1981. I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of regular San Bernardino at a ___ meeting thereof, held on the 2nd day of November , 1981, by the following vote, to wit: AYES: COUNCIL MEMBERS: Castaneda, Reilly, Hernandez Botts, Hobbs, Strickler NAYS: None ABSENT: None ,,4/My?/?/frffAb / Clty Cler #P31(is) 10/27/81 7 San Bernardino Brier Drive Assox. 50,002-1-2 The foregoing resolution is hereby approved this ~jI. day of ,}~) APPROVED AS TO FORM: ~~~~~ CJ.ty At orney , 1981. #P31 (is) 10/27/81 - 8 - AYt'LlU\UV.~ ''uU . .' APPLICATION FOR REVENUE BOND FINANCING PART 1. GENERAL AND BUSINESS INFORMATION 1.1 LEGAL NAME or APPLICANT BRIER DRIVE ASSOCIATES, A Limited Partnership I.e LINE OF BUSINESS Industrial Real Estate Developing & Construction 1.3 MA1LING AND HEADQUARiERS ADDRESS 2067 Palo5 Verdes Drive North Lomita, Ca. 90717 1.4 EM~lOYER 1.0. NUMBER Applied For 1.5 NA~E AN~ TITLE or PRINCIPAL CO~TACT Jeri R. Tarrant, General Partner Vice President - Terre Corporation 1.6 PHONE NUMSEP (213) 326- 8206 1.7 TYPE OF BUSINESS ORGANIZATION Limited Partnership I.B CONSTITUTION OF OWNERSHIP Terre Corporation - 35~ (General Partner) Limited Partners - 65~ 1.9 NAMES AND LOCATIONS OF KEY OFFICIALS Terre Corporation - General Partner Jerry Z. Tarrant, President 50% Stock Jeri R. Tarrant, Vice President 50~ Stock 2067 Palos Verdes Drive East Lomita, Ca. 90717 ",,,,,t 1 " "'",.... ,,,,gl..'UfI ,ur Revenue Bond Financing PAGE 2' . 1.10 DESCRIPTIONS or OTHER BUSINESS AFFILIATIONS or PRINCIPAL OFrlCERS Various partnerships for development of industrial buildings. 1. 11 E,,"PLOY[ E S Partnership - 0 General Partner - 7 1. Ie EXPERi SERV1CES ].12.] APPLICANT'S ACCOUNTANT Rohert H. Sherrill, C.P.A. 275 Centennial Way. # 203 Tustin, Ca. 9268(1 ].12.2 APPLICANT'S ATTORNEY H. M. Peccorini 323 East 4th Street, #4(12 San Bernardino, Ca. (714) 888-5731 1.12.3 APPL1CA~T'S UNDERWRITER NO\l: 1.12.4 APPLICANT'S ARCHITECT Chester Schultz McLean & Schultz 2000 East Chapman Boulevard Fullerton, Ca. 92631 (714) 871-7370 ].]3 PR1NCIPAL BANr. AND OFF]CER FIRST INTERSTATE mRTGAGE 245 South Los Robles Pasadena, Ca. 91109 Allan Griffith (213) 356-7873 . .' Appf;cation for Revenue Bond Financing PAGE 3 PART 2. BOND ISSUE 2.1 Provide the estimated total amount of the financing with a tabulation of proposed use of Bond Proceeds: USE OF LOAN PROCEEDS: Construction of two concrete, 23,834 sq. ft. and 21,280 sq. $1,085,000.00. Construction Arch, Eng, Permits Financing Fees Capitalized Interest Legal, Printing, etc. Miscellaneous Expense tilt-up industrial buildings ft. respectively. Total Financing: $ 850,000.00 55,000.00 60,000.00 80,000.00 10,000.00 30,000.00 $1,085,000.00 2.2 ESTIMATED TARGET DATE OF CONSTRUCTION FINANCING January, 1982 2.3 ESTIMATED TIME OF CONSTRUCTION FINANCING Nine months to 1 year, through December, 1982 2.4 TYPE OF BOND SALE Private Placement with Bank or Insurance Company PART 3. FINANCIAL INFORMATION 3.1 GENERAL: Personal financial statement for Jerry 2. Tarrant/Terre Corporation as General Partner, attached. .. v ~ Application for Revenue Bond Financing PAGE 4 " PART 4. PROJECT INFORMATION 4.1 SUMMARY OF PURPOSE, OBJECTIVE, AND FUNCTION OF THE PROPOSED PROJECT The proposed project is designed to provide the businessman a means to purchase his own industrial facility. We anticipate two businesses in the subject buildings with employment at 3S -42 workers. 4.2 DESCRIPTION OF COMPONENTS AND ESTIMATED TOTAL COST OF THE FUNCTION~L P~RTS OF THE PROJECT: Uses of Funds: $1,085,000.00 to construct two industrial buildings with permanent financing to be provided each business. Sources of Funds: Private placement 4.3 ESTIM~TED CONSTRUCTION PERIOD 6 - 8 months, beginning January, 1982. 4.4 N~ME AND LOCATION OF APPLICANT'S SUPERVISING ARCHITECT RESPONSIBLE FOR DESIGN OF THE PROJECT Chester Schultz McLean & Schultz 2000 East Chapman Avenue Fullerton, Ca. 92631 (714) 871-7370 PART 5. PUBLIC BENEFITS: Increase availability of industrial building inventory - provide additional jobs in southeast redevelopment area (approximately 35 - 42 new jobs) - add additional tax base for increment financing of redevelopment bonding. Application for Revenue Bond Fi~ancing PAGE 5 " PART 6. COMMITMENTS 6.1 The Applicant hereby agree~ and commits to comply, and/or to assist the City in complying, with all state and federal laws in the is~uance of the Bonds, including, without limitation, the making of any required application to a government department, for authorization, qualifi- cation or registration of the offer, issuance or sale of the Bond~, and any amendment~ thereto, and any permit or delivery by the City of the Bond~. 6.2 The Applicant hereby agree~ and commits to cause and/or to assist the City in causing to be printed any prospectus or other written or printed communication proposed to be published in connection with the issuance, offer and sale of Bonds prior to the delivery by the City of the Bond~, and, if deemed necessary by the City, following the delivery of the Bonds. 6.3 The Applicant hereby warrants and covenants to pay all expenses in connection with its commitments set forth above and with the issuance, offer and sale of the Bonds, whether or not they are finally issued, to hold the City harmless from any and all expenses related thereto, and to pay items on an ongoing basis so that neither the City, nor its advisors, attorneys, employees and the like, will accumulate any claims against the City. 6.4 The Applicant agrees that any additional information, agreements and undertakings as the City may require as a result of various conferences and negotiations shall be reproduced in written, printed or other tangible form, shall be supplied in as many copies as the City prescribes and shall be deemed supplement~ or amendment~ to thi~ Application. PART 7. SIGNATURE . ~~ 2. 14-~~ ~ This Application is signed below by ~~; 7, -, a.v-hl.~.:(- , who, by their signature represent and certify that they have authority to bind the Applicant to contract term~; that their Application, to the best of their knowledge of belief, contain~ no false or incorrect information or data, and this Application, including exhibit~ and attachment~, is truly de~criptive of the Project, and that the Applicant is familiar with Ordinance *3815. .'.'" Application for Revenue Bond Financing PAGE 6 ,. PART 8. FEE SCHEDULE 8.1 On acceptance and placement of the Bond, the Applicant agrees that it will pay the City a fee of $10,000.00 for administrative costs. Applicant agrees that its commitments in Part 6 above are in addition to these fixed amounts. 8.2 All fees of the City may be capitalized and included in the Bond Issue, as acceptable to the Bond Purchaser. 8.3 The City derives its entire support from the fees for its services. The total function of the City is conducted on a self-supporting basis, and involves no state general revenues or expenditures froffi taxes from the state or any of its political sub-divisions. No indebtedness or taxing power of the City is involved. Project revenues are the sole security for its Bonds. The federal guarantees, if any, enhance these revenues and income and the security for the Bonds. 8.4 Pursuant to Resolution No. 81-108, As Amended by Resolution 8]-4]0, one percent (1~) of the Bond Issue shall be deposited in the City Treasury in the Industrial Revenue Bond Reserve and Development Fund, which shall be used in such manner as the Mayor and Common Council may direct from time to time. DATE: October 27. 198] C? J:/~~