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HomeMy WebLinkAbout2015-205 I RESOLUTION NO. 2015-205 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY 3 OF SAN BERNARDINO APPROVING THE ASSIGNMENT OF DELINQUENT TAX RECEIVABLES TO THE CALIFORNIA STATEWIDE COMMUNITIES 4 DEVELOPMENT AUTHORITY FOR PRIOR FISCAL YEARS, AND AUTHORIZING EXECUTION AND DELIVERY OF RELATED DOCUMENTS AND ACTIONS 5 6 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE 7 CITY OF SAN BERNARDINO AS FOLLOWS: 8 WHEREAS, under Section 6516.6 of the Government Code of the State of California 9 (the "Law"), a city is authorized to sell and assign to a joint powers authority any or all of its 10 11 right,title, and interest in and to the enforcement and collection of delinquent and uncollected 12 ad valorem property taxes, special taxes and assessments, and property-related fees and charges 13 that have been levied by or on behalf of such city for collection on the secured, unsecured, or 14 supplemental property tax rolls (collectively, "Delinquent Taxes and Assessments") in 15 accordance with such terms and conditions as are set forth in an agreement with the joint 16 17 powers authority; and 18 WHEREAS, the California Statewide Communities Development Authority (the 19 "Authority") is an existing joint powers authority and, as such, is authorized under the Law to 20 issue its bonds, notes, certificates of participation or other obligations for the purpose of 21 22 providing funds to purchase Delinquent Taxes and Assessments in accordance with the Law 23 upon terms and conditions which are acceptable to the local agency from whom such 24 Delinquent Taxes and Assessments are acquired; and 25 WHEREAS, the Authority has requested the City to authorize the sale of its Delinquent 26 Taxes and Assessments to the Authority for the fiscal years ending June 30 in each of the years 27 28 2010 through 2016 (the "Covered Fiscal Years") at a purchase price equal to 110% of the 1 1 principal amount of Delinquent Taxes and Assessments which are eligible for sale and 2 assignment; and 3 WHEREAS, the Authority has made arrangements to issue and sell one or more series 4 of certificates of participation representing a participation interest in all of the Delinquent Taxes 5 6 and Assessments received from the City and from other participating local agencies, which will 7 be sold to a designee of Tower Capital Management, LLC, a Delaware limited liability 8 company ("Tower Capital"); and 9 WHEREAS, the Mayor and Common Council wishes at this time to approve the 10 11 foregoing financing plan and authorize the execution and delivery of all related documents and 12 actions; 13 NOW, THEREFORE, BE IT RESOLVED by the Mayor and Common Council of the 14 City of San Bernardino as follows: 15 SECTION 1. Authorization of Sale of Delinquent Taxes and Assessments. The 16 17 Mayor and Common Council hereby approves and authorizes the sale of Delinquent Taxes and 18 Assessments, in whole or in part, for any one or more of the Covered Fiscal Years,to the 19 Authority for a minimum purchase price of 110% of the amount thereof. 20 21 22 SECTION 2. Authorization to Execute Financing Documents. In order to 23 implement the financing plan approved under Section 1, the Mayor and Common Council 24 hereby authorizes the City Manager and/or the Deputy City Manager (each, an"Authorized 25 Officer of the City"), to execute and deliver one or more agreements between the Authority and 26 27 the City whereby the City sells Delinquent Taxes and Assessments to the Authority upon terms 28 and conditions which are acceptable to an Authorized Officer of the City. An Authorized 2 1 Officer of the City is hereby authorized and directed to execute such agreements in the name 2 and on behalf of the City. The material terms of each such agreement shall include the 3 following: 4 (a) the Delinquent Taxes and Assessments shall be sold to the Authority for a 5 6 purchase price at least equal to 110% of their par amount, which shall be 7 paid to the City upon the closing of the transaction in funds that are 8 immediately available to the City; 9 (b) as a result of such sale, the Authority shall be entitled to receive all 10 11 amounts collected in respect of such Delinquent Taxes and Assessments, 12 including applicable interest and penalties, provided that all such 13 collections shall continue to be made in the manner prescribed by law; 14 (c) such sale of Delinquent Taxes and Assessments shall be without recourse 15 to the City, and the City shall not incur any liability or assume any 16 17 responsibility to the Authority for the collection of the Delinquent Taxes 18 and Assessments; 19 (d) all costs of financing the purchase of Delinquent Taxes and Assessments 20 by the Authority shall be the sole responsibility of the Authority, and the 21 i 22 City shall not have any liability for payment of such costs; and 23 (e) in order to provide funds for the financing of the Delinquent Taxes and 24 Assessments, the Authority shall be authorized to sell one or more series of 25 certificates of participation to Tower Capital. 26 27 28 3 1 SECTION 3. Official Actions. The Mayor, the City Manager, the Deputy City 2 Manager, the City Clerk and all other officers of the City are hereby authorized and directed, for 3 and in the name and on behalf of the City, to do any and all things and take any and all actions, 4 5 including execution and delivery of any and all assignments, certificates, requisitions, 6 agreements, notices, consents, amendments to existing bond indentures or similar instruments, 7 instruments of conveyance, warrants and other documents, which they, or any of them, may 8 deem necessary or advisable in order to consummate the sale of Delinquent Taxes and 9 Assessments to the Authority for the Covered Fiscal Years. Whenever in this Resolution any 10 11 officer of the City is authorized to execute or countersign any document or take any action, such 12 execution, countersigning or action may be taken on behalf of such officer by any person 13 designated by such officer to act on his or her behalf if such officer is absent or unavailable. 14 15 SECTION 4. Effective Date. This Resolution shall take effect from and after the date 16 17 of approval and adoption thereof 18 19 20 21 22 23 24 25 26 27 28 4 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING THE ASSIGNMENT OF DELINQUENT TAX 2 RECEIVABLES TO THE CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY FOR PRIOR FISCAL YEARS, AND AUTHORIZING EXECUTION AND DELIVERY OF RELATED DOCUMENTS AND ACTIONS 4 5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and 6 7 Common Council of the City of San Bernardino at a joint regular meeting thereof, held on the 8 21St day of September, 2015, by the following vote, to wit: 9 Council Members: AYES NAYS ABSTAIN ABSENT 10 MARQUEZ X 11 12 BARRIOS X 13 VALDIVIA X 14 SHORETT X 15 NICKEL X 16 JOHNSON X 17 18 MULVIHILL X 19 Georgea Hanna, C, City Clerk 20 21 The foregoing Resolution is hereby approved this y— day of September, 15. 22 /0 23 R. Carey Davis ayor 24 City of San B rnardino Approved as to form: 25 Gary D. Saenz, City Attorney 26 27 By: 28 5