HomeMy WebLinkAbout2010-331
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(NOTE: COMPANION RESOLUTION CDCj2010-53)
RESOLUTION NO. 2010-331
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO APPROVING THE BORROWING BY THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO IN
CONNECTION WITH THE ISSUANCE OF THE INLAND VALLEY
DEVELOPMENT AGENCY REVENUE BOND, SERIES 2010 (CMB
INFRASTRUCTURE INVESTMENT GROUP V, LP AGENCY
PROJECTS)
7 WHEREAS, the City of San Bernardino, California (the "City") is a municipal corporation
8 and charter city, duly organized and existing pursuant to the provisions of the constitution of the
9 State of California; and
10 WHEREAS, the Community Development Commission of the City of San Bernardino (the
11 "Commission") is the governing body of the Redevelopment Agency of the City of San Bernardino
12 (the "Agency") and is authorized under Health and Safety Code Section 33000, et seq., to issue
13 bonds, notes and other obligations and enter into loan agreements for the purpose of financing
14 public capital improvements within the City; and
15 WHEREAS, the Inland Valley Development Agency (the "IVDA") is a joint powers
16 authority organized under the laws of the State of California and is authorized pursuant to the
17 Community Redevelopment Law to issue bonds, notes and other obligations for the purpose of
18 financing public capital improvements; and
19 WHEREAS, the Agency desires to finance certain public infrastructure located along "E"
20 Street and Inland Center Drive within the City and located within the IVDA project area, namely,
21 the redesign and reconstruction of said streets, including but not limited to, landscaping, street
22 lights, upgraded signal lights, street improvements, upgrades to the entrances of the Inland Center
23 Mall, improvements in connection with the Omnitrans project for the sbX bus rapid-transit route,
24 water lines, sewer lines, storm drain improvements, and other improvements (the "Improvements");
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26 WHEREAS, the Agency has requested that the IVDA assist the Agency with the financing
27 of the Improvements, and the IVDA desires to assist the Agency with said financing by the issuance
28 of the Inland Valley Development Agency Revenue Bond, Series 2010 (CMB Infrastructure
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2010-331
1 Investment Group V, LP - Agency Projects) (the "Bond") in the principal amount of $8,000,000, as
2 evidenced by an Indenture and Loan Agreement dated as of September 1, 2010, by and among the
3 IVDA, Agency and CMB Infrastructure Investment Group V, LP (the "Indenture"), and loan the
4 proceeds thereof to the Agency as provided in the Indenture; and
5 WHEREAS, CMB Infrastructure Investment Group V, LP, a California limited partnership,
6 organized in accordance with the requirements for regional centers as set forth under the United
7 States Immigration Act of 1990, as amended, has offered to purchase the Bond with capital raised
8 from foreign investors who seek to obtain permanent residency in the United States through the EB-
9 5 investor visa program under the United States Immigration and Nationality Act; and
10 WHEREAS, the Agency desires to pledge surplus tax increment revenues from the
11 Southeast Industrial Park Redevelopment Project Area (the "Agency Surplus Revenues") to the
12 payment of the Bond until such time as the Merger As has been formally adopted; and
13 WHEREAS, the Agency and the IVDA desire to enter into that certain Loan Agreement
14 dated as of September 1, 2010, by and between the Agency and the IVDA (the "Agency Loan
15 Agreement") to evidence the pledge of the Agency Surplus Revenues for the repayment of the
16 Bond, and under the Agency Loan Agreement the Agency authorizes the pledge of the Agency
17 Surplus Revenues to the repayment of the Bond; and
18 WHEREAS, the Agency and the IVDA have determined that in order to provide additional
19 revenues as necessary to support the repayment of the Bond and to fund the Improvements, as of the
20 2010-2011 fiscal year, tax increment revenues derived from the Inland Center Mall (the "Inland
21 Center Mall Revenues"), which are currently IVDA tax increment revenues, shall become revenues
22 attributed to the Agency, and said revenues shall be pledged by the Agency for the development of
23 the Inland Center Mall, the Improvements, and the repayment of any financial obligations incurred
24 as a result of said Improvements; and
25 WHEREAS, in order to evidence the transfer of the Inland Center Mall Revenues to the
26 Agency, the Agency and the IVDA desire to enter into that certain Cooperation Agreement dated as
27 of September 1,2010, by and between the Agency and the IVDA (the "Cooperation Agreement");
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2010-331
1 WHEREAS, based upon the foregoing and, the City desires to approve the financing as set
2 forth above; and
3 WHEREAS, the Mayor and Common Council have duly considered the terms of such
4 transactions as contemplated herein and find that approval of the issuance of the Bond is in the best
5 interests of the City.
6 NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED
7 BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, AS
8 FOLLOWS:
9 Section 1. Approval of the Bond. The Mayor and Common Council hereby approve the
10 issuance of the Bond by the IVDA for the benefit of the Agency in the amount not to exceed
11 $8,000,000. The proposed term of the Bond shall be six (6) years at a rate of interest not to exceed
12 5.25%.
13 Section 2. Official Action. The Mayor and Common Council, the City Clerk and any and
14 all other officers of the City are hereby authorized and directed, on behalf of the City, to do any and
15 all things and to take any and all actions, including execution and delivery of assignments,
16 certificates, requisitions, agreements, notices, consents, instruments of conveyance, warrants, Bond
17 closing documents and other documents which any of such officers may deem necessary or
18 advisable in connection with the execution and delivery of the Bond, and the borrowing by the
19 Agency of the proceeds derived therefrom and the consummation of the transactions described
20 herein and therein. The Mayor and Common Council hereby consent to the funding of the public
21 improvements identified by Resolution of the Community Development Commission of the City of
22 San Bernardino with regard to the use of the tax increment revenues of the Southeast Industrial Park
23 Redevelopment Project Area for the repayment of the Bond as required pursuant to Health & Safety
24 Code Section 33445.1 for public improvements which are contiguous to a redevelopment project
25 area.
26 The Mayor and Common Council further find and determines as follows, as required by
27 Health & Safety Code Section 33445.1:
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1 (1) that such buildings, facilities, structures or other improvements are of primary benefit to
2 the Southeast Industrial Park Redevelopment Project Area or the immediate neighborhood in which
3 the Improvements are located, regardless of whether such Improvements are within another project
4 area; (2) that no other reasonable means of financing such buildings, facilities, structures or other
5 improvements is available to the community, and such determination by the Commission and the
6 Council shall be final and conclusive; (3) that the payment of funds for the cost of the facilities,
7 structures or other improvements will assist in the elimination of one (1) or more blighted conditions
8 inside the Southeast Industrial Park Redevelopment Project Area; (4) that the payment of funds for
9 the cost of the buildings, facilities, structures or other improvements is consistent with the
10 Implementation Plan adopted pursuant to Health and Safety Code Section 33490; and (5) that the
11 installation of each building, facility, structure, or improvement is provided for in the
12 Redevelopment Plan.
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Section 3.
Effective Date. This Resolution shall be effective from and after the date and
14 in the manner as provided in the City Charter.
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2010-331
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RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO APPROVING THE BORROWING BY THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO IN
CONNECTION WITH THE ISSUANCE OF THE INLAND VALLEY
DEVELOPMENT AGENCY REVENUE BOND, SERIES 2010 (CMB
INFRASTRUCTURE INVESTMENT GROUP V, LP - AGENCY
PROJECTS)
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I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
7 Common Council ofthe City of San Bernardino at a j oint regular
meeting
8 thereof, held on the 20th day of September ,2010, by the following vote to wit:
9 Council Members: Ayes Nays Abstain Absent
10 MARQUEZ X
11 DESJARDINS X
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12 BRINKER X
13 SHORETT X
14 KELLEY X
15 JOHNSON X
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16 MC CAMMACK X
17 Q-~h.~
18 Rachef G. Clark, City Clerk
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20 The foregoing Resolution is hereby approved this ~h~ay of September
,2010.
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24 Approved as to Form:
~G~
Tobin Brinker, Mayor Pro Tern
City of San Bernardino
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