HomeMy WebLinkAboutR06-Redevelopment Agency
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Redevelopment Agency . City of San Bernardino
300 Nor1h "D" Suee~ Fourth Floor . San Bernardino, Califcmia 92418
(714) 384-5081 FAX (714) 888-9413
Pride -I
~e.
Sleven H. Dukelt
Executive Director
JUNE 14, 1989
AUTHORIZATION TO RENEW FIRST INTERSTATE
BANK OF CALIFORNIA LOAN
Synopsis of Previous Commission/Council/Committee Action:
6/8/89
Committee reviewed this item and recommended approval.
Recommended Motion:
(COMMUNITY DEVELOPMENT COMMISSION)
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Move to adopt a RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE
EXECUTION OF A FIXED RATE NOTE, SECURITY AGREEMENT, AND OTHER
DOCUMENTS NECESSARY OR PROPER FOR BORROWING A SUM NOT TO EXCEED $4
MILLION PROM FIRST INTERSTATE BANK OF CALIFORNIA AS FUNDING FOR
ADMINISTRATIVE EXPENSES.
Supporting data attached: YES
Ward:
All
FUNDING REQUIREMENTS: $4 MILLION
Project: All
Commission Notes:
1767R/AB/mv
Agenda of: JUNE 19, 1989
Item No._ {p
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Redevelopment Agency
STAFF REPORT
This is to request that the Commission adopt a Resolution authorizing the
execution of Fixed Rate Notes, security agreements and other documents
necessary or proper to borrow approximately $4 million from First Interstate
Bank of California.
BACKGROUND
For each year over the last three years, the Commission has authorized the
Agency to borrow $4.7 million from First Interstate Bank of California to
cover existing obligations in various redevelopment project areas for which
there was insufficient tax increment flow. These loans from First Interstate
Bank constitute an appropriate basis for claiming debt on the Agency's
Statements of Indebtedness that are filed with the County of San Bernardino
and State of California. For fiscal year 1989-90, staff is proposing that
loans from First Interstate Bank again be authorized to cover the current
level of obligations in the following project areas:
Project Area
Principal Balance
Central City West
Northwest
Tri City
Uptown
$ 777,000
2,177,000
242,000
794,000
$3,990,000
The loans will be secured by Time Certificates of Deposit invested by the
Agency with First Interstate Bank in an amount equal to the requested loans.
The Agency is obligated to pay 1% interest over the investment rates of the
Time Certificates as required by Regulation Q (attached) of the banking
regulations relating to loans secured by Certificates of Deposit.
It is anticipated that these loans will be restructured in the future based
upon the financial analysis currently being conducted by Katz, HolliS, Coren &
Associates, Inc., the Agency's financial consultants, and recommendations from
Special Counsel. Until such an analysis is completed, however, staff is
requesting your approval to complete the loan transaction prior to June 30,
1989, in order for the Agency to list the debt on the 1988-89 Statement of
Indebtedness.
Agency Counsel has approved the attached Resolution as to form and legal
content. On June 8, 1989 the Redevelopment Committee reviewed this matter and
recommended its approval. It is, therefore, requested that the Commission
adopt the attached Resolution authorizing execution of the necessary documents
from First Interstate Bank to initiate the loan transaction.
l767R/AB/mv
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Bank
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FIXED RATE NOTE
c.liIornia
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..... eM... lor __ ~. underSigned pr_1
ID pay 10 ... Older 01 FIRST INTERST...TE BANK OF CALIFORNIA r'88nk'l.1 .. on....
. ...~ol
DoII.rs (I ). with ....,.... payeble . "om !he dale
....eol on... UIlPlIid pfincipel_nce unIl....turly. ecalef.1ion OI_nd. eccordtng 10 Ihe lanor heleol, at. 'ale 01 percenl
( 'MIl per annum .nd ..... ....I..ly. _"ion 01 _nd .. . 'lIe pa' llI1IlUI1I aquallo pa'cent
( 'MIl above Ihe aIoreuid c:onIrlClual 'ale unlllUCh principal is paid in lull. Inter...lhan be calculeled on lIIe bull of. 35O.day yea' Ind
8CluaI days llapaed "om _ unIl paid. n... inIar... isl10l poid when due. .WI....uIter bear irU<es' in Ihe...... ....nna'.nd II \I1e ...... 'ale 1$ prll1Cllll1
Upon'" oc:currance. wilh ,~ 10 Ihe undarSigned. 01 any andorHl 01 guaranlor, ol.tny oflhe ~. anyone of Which _ COI1SliIuIe
en ...... of ........ . . /'_
Cal T... _ymant _ due 01 thiS FilllId Rale NOle 01 any _ obIigllion of .ny natura 01 desC"~...!4. 881lk;
Cbl T... daath. laI..e in buIi...... \lillolulion 01 .rrninalion of .xillence of any of tham; ~ \7
~ Any patition in benkluplCy beint/ltled by 01 .gainll any of tham 01 .ny proceedings in benkrupl . ve 01 unde, any other laws ,elating 10 \he
...., of_s.1leing canvnenced lor \I1e 'elial 01 ,~of.ny indebted..... alany of~. oilier ,_ganizal;on, CClfI1POSl\IOIl. .xtansion
01--';' \'
Cell The making by any ollhem of .n _ignmenllor ... benatil of_s. ~ ~
(II T... Ippolulmalll of . .-.... of .ny prClPlll1y of any of tham;
(I) My ..iI.... ~ of ,ights of 01 inIer..nlion by 01 under any eulIIorly 01 .ny by which \I1e mana_Ill of any of \hem iI dosplaced
01 ... _.y of any of tham in \I1e COnducI of \I1eir buIineu it cuneIed.
CIll Tha entry 01 . judgmelll againll .ny of tham;
Chl T... II1IIChmenI 01 _einl of .ny lunda 01 _ pIClPlII1y 01 any 01 tham which may be in. 01 coma inIO. ... _..ion Of c:onIrOl of Bank. 01 01 any
third pal1y lCling lor 88nk. or the ..ma fundi 01 prClpal1y becoming subjacI .. .ny lima 10 any mandelOfy OIeMr al coull 01 _, legal proce..,
(i) T... lalur. 10 Iumish _y financial inlor,,*ion 0110 pannl inspedion of bool<s Of 'lCIlfds;
Iil T'" making 01 .ny rnisrapresantation 10 88nk in obIaining cradl by tha unders'llned; Of
(Iol In 88nk', oPinion. lhe impairmant oIlIIe financial 'esponsibilly 01 Iny althem;
....... 01 .. any Ime Her Ihe heppaning 01 any suc:h .vent of "aul1. this F,xed Rate NOla and any _, obligations 10 Bank ollila underSigned and/or
. -_..r 01 gua..ntor. whe''''' cr'llad direc:lly OIlCQUired by ...'gnment. whalher ebsOIute Of contmgant. shaD torthwith be due Ind payable. without
~ upon 01 nolica 10 Ihe undersigned or .ny endorser Of guII.ntor.
W- principal .nd in...." on this Fix.d Rate NOIe ara payabla in lawlul currency oIlIIe Unilad Slales 01 .......ra wiIhou1 deduction lor Of on .ccounl
of .ny presant or luI..a _so dulies Of other Cha'g.. levied Of imposed on this Foxed Rata NOla Of lIIe proceed. Of holder lhereol by any go..rnmenl
01 .ny poIllU1 aubdlvision Of laxing luIhClfly lheraol.
In'" avent .,is Foxed RaIe Nole is placed in tha hands of an _ney lor cOIlectlOll. lIIe Undersigned and .ny endorser Of guarantor agr.. 10 pay all
COIIs.nd expenses 01 Bank. incIudtng rusonable _neys' ..... The larm ",easonable anorneys' "'s" "'.. be COI1SlIued 10 include ..asonable InClIners'
.... incurr.d in any and .U judiclaI. bankruptCy Ind other proceeding. (including appellala level proceed"'lls) whalllar such proceeding. arose belor. or
..... .ntry 01 I linaI judgment .nd whelllar Of I10lsul be brought.
.... ....- of lime lor paymanl. _r by operation of law. judJcial proceedong.. or otherwile. WI be included in lIIe compulSlion 01 II1le..st
.... obIigalions "'rain _ be tha indIvidual obIigalion 01... undersigned unIe.. '.quisla corporalelClion has been lakan 10 makethll F,xed Rate Nole
en .nIorceable CIlfporale obIigllion. .nd ell obligations .....in SI1IIl be _ued asllle pint and ....r.. obIigallClIlS oI.ach of the undarSlgned where the..
II more than one.
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n 8gf_. mode ..-......"'~........., -....11'..", 01 III be gowe", 01 COI1IotlUed, 1ll~"'!he"'-"'II'lOd I>\"IIIIT INTERSTATE
~K OF CALlFOIlHIA, · c.wo.... _.1.... he,.., _"Ilk c..... pr_,,,.. _ del,_.d, 01 ...., born _Ill '-.. Iho ....Ul. be ~'d
.. ......1>\' urIlIoIllgIlIll or .... -a .... lho __ 01_ _ 01 more '" _a",ned All 01 "'" _" _, lhI" fill propell, or ,.,... pr"",...,
-"'II ...., be held b, ......, .. lho 'Ill< 01 lho -"'lI"'d, .. ......., lor .", .nd .N DbIogal... 01 .", end everV kOld end nolur. """llOIvel 0' .",
- 01 more '" -a'lI"'d to ...., -'''-' ..., obI0g0'OOIlS be plosellll, ".1"'11 01 /let..l1ollllCUlled or _ed I>\'.......nd _'her d..CI. -..CI.
COfll"'llI.... joiIII. 11....,. _"'ed, ......cur.d 01 _WIll, IUbIIClIO lI1e ........ir1g pro."",", .
" ft. fIOIl1KI.II., Ihll' .", pr_n, /let_e 01 heruftll del,veled Ill...... b, or lor ..,., _... 01 ~ 01 -IogMOd be IPICdlCllI, pledged,
e..",ned, 01 -- hVPOlheca..d 10"" Pursuo...1O lho CeIIor... UflOIorm Cornmerciol Code. Uf1dor..gnad .apt....V pIedge'nd ....gn 10 "'d B.....
.. ..cur., .... IUCh obIogo1OO111, end gr.... . IKur'V -.11 ". .", .nd oN _"11 oIl11e _llQIllld .. _ pr_, ThII oncIucle. oN deposd .cc""",.
wrlh Ba" now or herUftl1 .. the 1'01......." or _llIIe COIlIrol 01 B.... reg.rdle.. 01 the purpose "'leek 01 P...p_lor whoch IUd, propell, .hall ho..
or"'...., - deI'~ld or '~ClplId IDgeIlleI will ."V Slock 'oghlS, ''lIhIS 10 IUbsclrbe, IeIU","'Cl" d..idend.. Ilock do.IClorld., 0._1 perd '" .IOCk new
eocur.... or ......... ,.pr',,"'mg opII,-.. or - plopenr or dlll'rbutClnlIO whith IIIe -.rgned is 01 ...., her..1101 btcome '''''led '0 rece,..
DflllCCCluIII 01 en, plopen,. hVPOlhecaIed 10.... pur....... ......0, .nd"lIle .ve... tne Uf1doI.'Unad reee,,,,,. .", Iuctl plopellV, Ihe undellog"ld Wll
immedoolel, llefover . III B.", 10 be held..... Bonk ....._ ..the lime ...._r .. lIIe proper" or",,""II, pledged her.undel
2 Be.. - ho..lIIe ,ighlll ."V lime, II'" .."._ of unde..iglllld, 10 b....... 'nv 01_ propen, 0fll0 1111 name 01 Be.. or.. "or'''llIe Undel.,gllld
......... .,""ItlIS.nd '1pt...n1S e')lhI'..... ~ _, oflll.". pr_, horeb, corlYeVld. (b)lhol..... pey.1I II.", ..........nlS. I,e". .nd
.. COlI. A P...."""', POIIClmg, ''1--.'''11 _''''11 ......"'II.lIlrppi"g 11I"'11 or _,_ deel"'ll wolh IIrd P_" .nd II COIl., onc:Iud,ng realOl1lble
aIlor",. . lee.. incurred b, IlerIk 1'1 enV lCloon or Poceedmg III enforce .ny 01 allCh obIige1,OI1I or 10 'eel". upon or delend or prllleCl '"y Heul', '"
de'''' lhorool, or "Ihe -- 01 the IlIfIto ..., poper." Ihe .... me" ".hou! clemend or fIOIa. II II ClIlIoon, PI" "'O$IV .nd doscharge lhe lI'd
te_, '--"", Chorge. or 'llCIlIIlbrences. - PI, .nd e>pend Iuctl """a ol mollll, II I ...., deem nece...rv, .... .hlll Cho.ge undo'."'llId 'he
- or - 01 aueh PlV"IInIS Ind COllI. togel/1ar wdll inlerell lhereon, II !he 'II' 01 _ POI CI"'.P"' monIh, Slrd amou... or arnoum. loge.he.
- aueh ....r.... - be. I_r I..n upon lho propell, he...... "''''Illld, .nd _ be ItCured by IhII org~me... Upon Ihe ,renole. Of en, OIlne .Iore...d
indobteclr...., obIogolOOllS. Ioabol4... or de....nelI, lho........v Ir.nslel .nv or ell ol... _ur.y lhele!or"'d _ be ...rubo. lull, drachorged "om '".
IoabICv .nd 'II\XlIlIibIiIv wdh IllPlClIO Ihe .....i1v 10 ......f.".d, .nd the Irenol..ee sholl be ..1I.d\ltIh \JI(he 'igIlls Ind po_a of tne .... hIIlundel
3. In lhe ...nt .nv pr-, pledged he._ sho. COUll B.nk 10 hOld or COIlIIOI . ....JOI~~~"'g lIock OlIn, corporllion the" Benk sholl
fIOI ho.. Ihe 'oghllO lIOIe IIIe ......, u...... Ind ...... I deI.uIt _, ...., In .ven' 01 del.ull, Be '. 0' .. nominee ....y VOle .nv or '11 01 IIId Slock
ii, UncIe'.'lInad .gree. (')10 keep.1I obIogo1oons II ell I..... lull, aec:ur.d, 10 the 1I1;sIICl<ln ol 'nk, (b) 10 m pevment or dePDS~ 'dd"Dno'''CUloly
in the. ...ntllle ."ue Of tne properly JlIIdged. _lIlnv I.... .ufler . dec/ollll or lor .ny O~'''' IS' be II orne oniutl,crentlo Plope.lr 'nd .deQuatel,
..cure IUCh Oblogo'Clno 10 lne 1I,.I.Cloon ol Bonk. Sueh odd4.....1 leeu" 1Il.11 be .ub 0 oS "ll! ' nl
d S_the.e be .ny de!ault III .nv 01'" llbOgations Of the Under IlId to I~"nk' lould unders.gnea D. '"y meker, endor... or gUlranlor
pledged Clocument C.) make .n "''0- .... ... beNt" 01 ed,lo" (b) m,l. IC llenkruPlc,. Ic} become I perl, 10 .ny reee'verShlp
ilPlCvor armlO. proceedmg.. Cd} become ......venI, or Ihould . "" .IIlmPl de t vy. .'lIch, or OIh11wose Ilk. prOP..ly heleby pledg.d 10
","nk. (0) IIrd propeny decl'ne in ..1.. or .... env ..lion be or become "'. ren or u O$I.Clor, .. the OIllnion 01 B.nk. (0') .", ."'temenl mlde by
.ny OIl11e Undersigllld 10 B.nk be or become _ue, "'n IU O'the obI,gal 10 Ba oI.n, Ind .ve.y k'nd OIuch Ol.he under.,gned rega.dl...
01 env term, sholl be immed....'y clue Ind Plvable. _ demond 0 .ee
I Upon en, del.uIt her.unde, or _r env Oblogol.... 01 Iny 01 undef.rgnad ....... apecdrcell, ir1cIudmg ._nees 01 debt whoch m., nol be due
in .CCOldlnce woIh Ihe terms thereof. Be......V proceed 10 'HI". upon InV plopen, ..ilCh . ..cur4, heleUnder .. 'uch poorc, "' Blnk ml, eleCI B...
mey ... - PopeRy.. .ny ....nner povrded lor low. IS . whole or in perc:els f'ornlme 10 lme 111111 doser""," of B'nk. II publc or pr,..le llle. upon
legelllOlit. (but onIV iI auch flDICI is .n.....I....V 'equ.ed bV lPPIocebIe 11I1"'.). Ind wCh or wdhoul lI,d prope.ly bemg in the p'''nee or w'h," the .lOW
01 P_Cl've bctders or purCho...., end grd Benk. or Inyone OIl .. boholl. mey purcho.. .nv or '" 01 IIld plope.I,. Under.rgned heleb, IPIcolrcell,
_ivelhe 'oghIlo 'equir. B.nk 10 PDCeed Iglinslenv perlew.r IOCU"V 10' .ny oIl1ill obI0g0"""'. rnctud'ng .n, ..cur4, fIOIl"OCted hII.b,. or .gl,nsl
Inv Plnic:uIer pe'lD/I or pe..ono l..bIe tor p.)'fIl8I1I or porIormence 01 Iny Of IIrd obIrgl"DnS, incIudmg .n, POIID/I or persons _ lhon unders'llned,
ploor 10 or .. · conddlO'l 01 proceed'ng .g.ir1SI _ '" Undela",ned, or .gl'nol Inv DIllie _urlly InlClld herelor Under''''llId hIIeb, w.'ve the ,,,,hI
IOpleld Inv....uIe oIl......Clno The Benk. II.. dlscrllCln, me"" II nome or..the nome 01 underloglllld. demand, sue lor, _.., coI!eCl.nd I.co'.e
en, monoV or poperlV II enV ..... clue, PI,abIe Or receivable upon, or on account Of, or .. ..Chonge lor. or mike In, cornporn... or ..n_nl iI deem.
de"abIe wIII.....ence 10, .n, 01'" aecurlV lleposoled woIh .. or in .. _<In, conI.oI, or CUlloa,. AnV proceedllO ,_..d Sholl be aubJlCllo 111,.
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T. Undera'll"'d sholl be. Ind - "meO!. IrebIe lor Ihe Plvment .. lull 01... proncrpet 'nd 0111111' 0' In, .nd en obIrgll'" '0 Bank, eaeepl 0IlI,
10 Ihe ....... ""Ihe lime, or .nv Plntheleol. _ be 'edueld .... pevme... or .CIUlI IPPIOCI'"," OI..curif, or proceed.
· The rlQhls al'1d rernedes herein conletred are ~hve al1d not ..c1uafve ot an.,. OIher lights or remed.. whICh Bank may OltlefWISe have No
orncsson or delay on Ile part 01 "ok in She ...rc:ile of any rlQhl or power IhIII opera.. as . Waiver "reol, nor shalllhe ...rose of any power or rlOtll
plect_ Olhll or Iur_ ,aerC1ll lhor.ol or ltae e..,c.. 01 .nV OIhel powel or 'oghl
. · The "'InS "unders'gnad" end "i1" - used wIII,eIer.nr.e 10 under.",ned. 1Il1~ be con5lrued on n.oS "'5I'um'nI to mea" Ihe pe,sons a'gnlng .nd
eaeculmg". 8gfeeme"" -- OldovtCluell, forma, CO-poI1rIefShtps or corporll..... "!here.. more Ihon 0111 ."'''''' he,.ot. II V.. 8gfeemenls hereon cOnll'llId
-. be cons"ued ..Ihe lOon' .nd ....,.. obI'1l1100n 01 uctl undPrloglllld .'c"l'I .. OIllOrwose provodl.d '" 10 below All, properl, .. _e'.<In 0' '",d
~ pur_nllO 111.. Igleeme... ....y be ''''''nod 10 .n, one 0I111e .""",IS heleo! D. .1 designee
io All, POII(JI\ who jotrls .. e.oculmg ... Agr_ .nd .", _ or lIIhe. AgIeementlo lapo, II.. obhglloon leeUfed hIIebV .p.ee. '"d "plessly
1:SO"" 10 V..loabIdy 01 aII..pellle plllPPn, lor Ihe oblogal... aecured he,aLoy An, ",.soro WhO fOol" '" ".C"''''IllhO$ Agreementlnd who .. no, OIherwos'
Ioable tor '_\'mini 01... oblogohorlS aecured ....eLoy Igr.. 0111, to.1OSe pro.lSlMS OIlh.. AII''''''''''nI whiCh ,......Illllle grl'" 01 the ..tUld, 1I1l're51
in Mopett,desr:rolled helM end does fIOI_, l>\'e_UlClnOl... Aooeement eIor1e, .ddd.......""'..., lor ref",....... ol.... ondoI""'~..... "",Mid t..reu,
"-' TI... Agree_....nd.. 'eIeled doc.-..... be go,,'ned end conslrued "ICCOIdrlr.. w4lr '11 laws 01.... SIll. 01 Celdorn,.
SECURITY AGREEMENT
(pERSONAL PROPERTV IN POSSESSION OF BANK)
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Dated II
.CrlIoIornoe
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IlcpIatioll Q (BoanllDlaFCWiona)
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2-462.1
poIil ia qulSlallClinJ. 1bcnI'arc, by ..r_l. eumplc, 1hc wife miahl opera.. . .......1.
th. Ia.. 01 inlcrcll paid 011 1hc depooil could busincu and would rcpa, 1hc ..... from indc.
be nduced 10 4 """""1 durina 1hc pcriocI or pendenl m...... Each .... mIDI be decided
110. loan. with in_ 011 th. loan ..... .. 6 upon 1hc panicular racu and cin:u...........
pment. This would DOl be. circumVClltioll or Uo........ 1hc bonk should .Im, IucU' lhal
th. rqulalion u 1hc CUIIomcr would 1Ii11 be 1hc proc:ecd& 0I1hc Joan arc DOl for th. Iou,.
pa,;nl 2 pcrllCIIl · _ in_ on th. Joan bond', bcnc61 and lhe b,po1hccalion oIth.
lhan he would ..... 0II1hc depooil. The lal. Iim. deposil ...... lhe .m. purpose u an
or in_ ....11hc bonk -W pa, on 1hc de- ............ocIadon 1nd_1. ...,11; Mucb
poIilllcl'orc and after 1hc loan would nOl be 15, 1966.
d'CCIcd. 1965 F.t Jr... .uu. 533; 12 CFIl
~17.l4O; t J465.
. J-462
LOANS SECURED BY DEPOSITS-
Time Deposil or Borrower's Spouse
The BoanI hu bcm uked to -.IcIer 1hc
qucstioll wbclhcr s mODlber boqk ma, make a
loan to 110. wife or a depooilor. MOund 10, 1hc
busbancl', limo dcpaIil and for 11II bcncIt,
wilboul requirinl inlcrcll OIIth. loan to be ..
....1 2 pmenl . _ than lbe in_ paid
011 th. lime dcpoaiI.
Section 211.4(.) or R......1ion Q provides
thai a member bonk m., make a Joan 10 th.
dcpalilor upon th. MOuril, or lllllim. dcpaIil
provided thallbe Ia" 01 inleresl OII,ucb loan
...... be DOl .... than 2 pcrclCIll . per annODl in
...... or th. lal. 01 inler... 011 1hc lime de-
poIil. Th. precise ........1. or this provision
ref.n onl, to a Joan "to th. depooilor" upon
th. MOuril, or "11II lime dcpaIil." In 1hc cue
pramled. bowcver. th. bank 'ugclled 10 th.
dcpalilor thaI lhe arranlODlenl dClCribcd be
followed i'! order 10 avaicl 11II pa,Dlenl or .
bilber Ia" 01 inlcral. Sucb an arranlCDlCllI
clcarl, would circUmycnl a requirCDICDl or 110.
rqul.lion and defeal ill purpose. Accordi...
I,. il is lbe Board', opinion thaI a loan mad.
under 1hac circuDII....... mull bear inlcral
or DOl .... lbon 2 percenl' in UCCII or 1hc
inl.r... paid on lbe 1imc depooit.
This docs DOl ...... thaI .YctJ loan 10 a
wire MOOred by her busband', Iim. dcpaIil
mull require lhe 2 percenl ditrcrcDlial. · For
oc:-lrl_
FIlRS
Pop I . IIG.I
Tnnamitlal I)
(1111)
3-462.1
LOANS SECURED BY DEPOS~ <
IlIlcre1t Bale Dil'eratlal
SecIiou 217.4(0 oIllcpIatioll Q (12 CFIl
211.4(f)) provides 1hII . DICDIbcr bonk ma,
make a Joan 10 a dcpaIiIOr upon1hc MCuriI,
of Ida or ber tbnc dcpaIil .. ......., .. .h. ...... nI'
inlcral 011 1hc loan is al ....1 I _IU.
DDint above the rate beina Mid 011 the denosil.
The purpose 0I1hia prDYiaion 1110 ensure thaI
1hc rules rcprdina th. mainlenance ur inler.
OIl nl. ceilin.. arc DOl YioIa1.... includinl
rules thaI require pcnslli.. for carl, wilb.
dlawail 01 limo dcpaIill.
El'celi.. October 5, 1912, 1hc Board
amended Rqula1lon D. 11....... R...uire.
Dlenll or DcpaIiIDrJ ....lilulionl (12 CFIl
Pan 204), 10 d.b. u Ilanuc1ion _nls.
Iim. dcposlll ilaoed in connccIlon with an ar.
lanaemenl 1hII permlll th. depooilOr 10 ob-
lain cndil, dirccIl, or indirccll" Ihroulh th.
dlawinl 01 a chcck, dra/\ or similar device
thaI can be used for 1hc purpose or maid..
paymenu or .....oI'cn 10 third pcnons or oth.
en. (47 Fd. II.,. 449'12) In conIidcrinlthi.
amendment, 1hc Board _Ioded lhal IODIC
or th... arranlCDlCllII arc llruclurcd usinl a
loan MOund 10, a 1imc dcpaIil wllb IcrDII pro-
vidina for in..r... on lbe loan 10 be charled al
1 pmenlll. poinl _1hc annual./mpl. ,al.
beinl paid on lb. d.poIil wbon 1hc Ijfte,i..
lal. on 1hc depo,iI is bilher duo 10 lbe .trceu
or compoundinl. For .wnpl.. after d.iI,
compoundi.. OIl a 365/160 buis, a 12 pcr.
_I annualsimpl. lal. _I paid OIl . depos-
il reaulll in an annual cl'ceIly..... 0112.935
percent. This rcaul1 hu 1hc cl'CC1 01 minimi..
inl lbe impaot 0I1hc requind I pmenlal'
point ditrcrcnlial. In order 10 prcacrvc lbc cr.
o
c
.0
J
o
........ Q 1211.5
....... IIIaU lie _lid u priacip.!, ud 0111,
.....1 ror lIIe _.. ....... -, lie pold at
"11imc wllboul .......11 dun.., aucb 1cnII.
a..1U
(') A lime dcpoIit, or a portion t/acreof.
mal lie pold W...e _Iurill wilhoul a ror.
reilure olin_ u ...-nlled b,1bis pat1l.
....pb in lIle rllllowiD& clrcumstan_:
(i) Where a member bank pall aU or a
ponioo ol a Iimc deposil ......Iin.
. rundl _Iribulld lo .. incIi.lduol retire-
.
. . menl _I or a K..... (ft. Jl 10)
p.... ."bIiabed putlUaRl lo 26 USC
(lIlC 1'54) 401. 401 wllCllllle iIIdlYidu.
.. ror wlac bcDdt lIIe _I is main.
tained alwlII ... SPA or it disabled (u
dclnecliII 26 use (11lC "54) 72(81)
(7)) or lIlercallcr; or
(Ii) Where a member buk pall thai
portioa ola lime depoaIl 011 wbich reder. ,
.. depoaIlin.u...... baa boaa Ioat u lIle
rault olllle mer.er ollwo or more I'cdcr.
aU,laiurcd buts ill wllicJlllle depositor
....YiouaI, maintained ICpat1lIc lime de.
posi... ror a period ol ODe lcar rrom.lb.
dale olllle meracr.
(') A Iimc deposit, or lIIe portiOll lhereof
requesled, mUll lie paid Wore _Iurily
wilhoul a rorfeilure olinleresl u praerilled
b, Ibis ............ la Ill. rollowin.
circu.....,.:
(i) Where requeslld. upon lhe dealh or
anl owner II ollbe time dcpoIil f'unda; or
(0) Wbcre reqUCllcd, when lIle Owner "
or lIIe lime deposil it de.......ined 10 lie
"pOy incompclcnl by a llDIIrt or oth.
er admlnlatrative bod, ol competenl
ju.....~ion.
t
J.-3I4
(e) Dis&/oa,rwqfarl, wilIu/"''''/~''''/r,. AI
{
.. For ... _ "'... --. _ ____ '"
"'''''1 ,.......,......... who died.. ... "cr-
.... 10 .. :_- ,.... _ or ...... A...... I. 197.. .1Id
.110 .1 .... .... ., WI .. .. _.. or .......1_ r1I
-_...............-.lido..OUOf.
....... "'.... ,... Of," ... ... "'... Of'" ....,~ Of
-".ioo "'-.,..._..... __iii.... oil Of
. pan... ",.... ,... ... ... _ "'.......ioo ...
_wlJ~__.
FRas
....2. "
T-...u'laI36
(2114)
o
2-3"
IIle lime a dcpoIitor CDten InIO a lime dcpoall
_1IacI willi a member bank. IIle bonk aball
pnwidc a wrillCD llalCDlcnl olllle cl'oot ollll.
pcnoJll praeribed ia ........pb (d) ollllis
ICClioa, wllicJllIIaU (I) _e cIcatI,thallhc
CUIl_ baa -Iraclcd lo keep his rundi on
deposil ror IIlc llalld malurill. ud (2) de-
acribe Mil ud cIcatIy Ioow aucb .......11 pro.
Waiona appl,1O lime dcpoalllln ..... bonk, in
IIle _I Ill. bank. _wllIlallDdlna IIlc CIlD.
IIacI proYiaino, pcrmiII paymcnlWorc ....
lurily. Such '''_11 IIIaU lie "_Iy
caUed 10 IIle allCDliOD olllle _er.
(I) LotJm IIlMII ~rllv ,., 'i_. J._.I,. Ea.
c:cpI u provIded ia aootion 217.7 (e)(2), a
member buk "'1 mate a ..... lo IIlc dcpoal.
tor upon IIlc MCurily ol bia lime dcpoall ......
Yided thai IIle tale olial_ 011 ..... loan
aha.. be DOl Is. .han I ~lWOnt ftl!r annum. in .
e.~, nr th,. r.'" rI &",......, nil ,Ia.. ~i';.
'" f ..;f
was
SECTION 2JU-Withdrawal or
Sa.inlS Dcposils
(a) R.,uirwmellu tqllrrli"l _i<< 'II "",h.
d",...L Whether or IlOl inler.1 is paid. DO
member but IIIaU require Dr waive -u:c ol
willldraw" .. lo any _I or .--.... ol
lb. ..Yinp dcpoall ol ..y depositor unIeu il
1haJllimilarly require or wai.e la IIOIic:e u
10 IIlc II8IC _I or .--.... olllle ....
in.. deposill ol CYCIJ oIIler dcpoallor ..hicb
are lubject 10 lb. II8IC CIlDllacluoI JWOYiaiono
wllh rapOOl 10 IIOIic:e ol wllIldtawol. U a
member bank. wllhoul requlrlaa IIOIic:e or
wilhdta..... pall inlerCllthal h.. -....a 011
a ...inp deposil dun.., lhe prac:edlna lateral
period, It ....1. upon requesl and wiIIloul rc-
quirin. luch IIDIlcc. pal inlerClI thai h.. ac-
crued dun.., ..Id period OIIlhc ...in.. dcpoa-
ill ol CYCIJ other dcpoallor. No mem'" bank
lhall chan.e ill praclic:e wllh respeel 10 Ih.
requirin. or walYin. or lIOIicc ol wilhdraw"
or ..Yin.. deposill ror lhe putpoIc ol dlacrimi.
n'lin. in ra_ ol or a..1naI ..y depositor Dr
d.poailon. and no such chan.e ol practice
shall lie m.de UCCpl pu.......IIO duly record.
ed aClioa or lhe bank'l board ol dlr_ or a
properly aulbnrized ......mil.. Ibcreol.
'\
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RESOLUTION NO.
2 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE
CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE EXECUTION OF
3 A FIXED RATE NOTE, SECURITY AGREEMENT, AND OTHER DOCUMENTS
NECESSARY OR PROPER FOR BORROWING A SUM NOT TO EXCEED $4 MILLION
4 FROM FIRST INTERSTATE BANK OF CALIFORNIA AS FUNDING FOR
ADMINISTRATIVE EXPENSES.
5
BE IT RESOLVED BY THE COMMUNITY DEVELOPMENT COMMISSION OF
6 THE CITY OF SAN BERNARDINO AS FOLLOWS:
7
SECTION 1. The Secretary of the Community Development
8 Commission, Stephen H. Dukett, is hereby authorized to borrow,
9 for and on behalf of the Redevelopment Agency of the City of San
10 Bernardino, a sum not to exceed four million dollars ($4 million)
11 from First Interstate Bank of California, as funding for
12 administrative expenses, and to execute any and all documents
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necessary and proper for the execution of such loan.
The
Secretary of the Commission is specifically authorized to sign
15 one or more fixed rate notes, security agreement forms, and any
16 and all other documents necessary or proper in order for the.
17 Agency to pledge Certificates of Deposit or other collateral to
18 secure the borrowings from said bank, with the execution of all
19 such loan documents by Stephen H. Dukett, as Secretary, for and
20 on behalf of the Redevelopment Agency of the City of San
21 Bernardino being hereby specifically approved. The form and
22 substance of the loan documents, a copy of each of which were
23 submitted to the Commission for its review, are specifically
24 approved, and the
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DAB:br
May 15, 1989
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Secretary is authorized to execute such documents for and on
2 behalf of the Redevelopment Agency.
3 AYES:
NAYS:
ABSENT:
Secretary
The foregoing resolution is hereby approved this
day of
, 1989.
Chairman
Approved as to form
and legal content:
DAB: br
May 15, 1989
3