HomeMy WebLinkAboutR07-Economic Development Agency
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DEVELOPIIEaT DEP.&JtTIIEaT
OF DB CITr OF SAIl _.lImnro
JlBOtJBS'I' FOR CORIISSIOa/COUlICIL ACTIOB'
From:
AJ5ftu:J:H J. IIB1Q)ERSON
Executive Director
Subj ec t : LA. Q1JIJI1'.& IIJtOR
IIIIIS. DC.
Date:
December 19, 1991
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Svnoosis of Previ01l8 c-fssicmlCouncil/C-fttee Action(s):
On December 5, 1991, the Redevelopment Committee considered this
matter and recommended to the Mayor and Common Council approval of
same.
On December 16, 1991, the Mayor and Common Council approved the
application for revenue financing, and directed that the necessary
legal documents be prepared.
RecDmmPnded Rotion(s):
(lIavor and C- Council)
OPEN PUBLIC HEARING.
CLOSE PUBLIC HEARING.
mTIOa A
RESOLUTION OF THE MAYOR ARD COMMON COUNCIL OF TIIB CITY OF
SAlf BBRlWlDINO, CALIFORNIA, REGARDING TIIB HOLDIaC OF A
PUBLIC HEARING IN CORRECTION WITH THE ISSUAlfCE OF TIIB
"CITY OF SAR BERlWlDIRO, CALIFORNIA, INDUSTRIAL
DBVELOPMBRT REVENUE REFUNDING BONDS, ISSUE OF 1992 (LA
QUIRTA MOTOR IRRS, INC. PROJECT)".
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Administrator
(JIlTIOB'S CORTI~ TO lInT PAGE...)
~O.
Executive Director
Contact Person(s):
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Ken Henderson/Barbara Lindseth
Phone:
5081
Project Area(s): Ward(s):
Supporting Data Attached: St,ff Reoort:
FUNDING REQUIRBMBRTS:
Amount: $ NA
Source:
Budget Authority:
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C_issionlCmmt'U aotes:
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KJH:b1:1627A
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COIIIISSIoa IIDTIIIG AGBRD.&
Meeting Date: 01/06/92
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UQlJBSr lOll COIMISSIOII/COUIICIL ACTIOII Continued...
La Quinta IIotor 1Das, IDe.
Dec~er 19, 1991
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Recommended Motiona(a) Continued:
11)7101 B
IlESOLUTIOI OF THE MAYOR AID COMMaI COUlCIL OF THE CITY OF SAN
BlIlIARDIIO, CALIFORlU, APPROVIIG AID AtlTBORIZIIG THE
EXlCUTIOI OF CERTAII DOCUMERTS II COIl1lECTIOI WITH THE
ISSUANCE OF THE "CITY OF SAN BERlWIDIIO, CALIFORlIA,
IIDUSTRIAL DEVELOPMERT REVEIUE REFUlDIIG BOlDS, ISSUE OF 1992
(LA QUIRTA MOTOR IllS, IIC. PROJECT)" AID AUTHORIZIIG SUCH
IlJJaIllSJl ACTION AS MAY BE NECESSARY TO CONCLUDE THE ISSUANCE,
SALE AID DELIVERY OF SUCH BOlDS.
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JCJII:bl:1627A
CClMISSIOI MEErIIIG AGEIDA
lleetiDa Date: 01106/92
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DBVBLOPMBKr DBPARrMBKr
OF TIIB crn OF SAW BBDARDIIIO
STAFF IlBPORr
La Guinta Motor Tnn... Inc.
La Quinta Motor Inns, Inc. ("La Quinta") submitted an application to
the City for an industrial development revenue bond financing in order
to refinance the outstanding $7,000,000 City of San Bernardino,
California, Industrial Development Revenue Bonds, Series 1982A (La
Quinta Motor Inns, Inc. Project) (the "1982 Bonds"), which were issued
to raise funds for the construction and equipment of a l53-room hotel
and restaurant facility located within the City. The total amount
outstanding on the 1982 Bonds is estimated at $6,670,000.
At the December 16, 1991 meeting of the Mayor and Common Council, the
application for revenue finanCing was approved and the Staff and
representatives and agents of the City were authorized and directed to
prepare or cause to be prepared necessary legal documents for the
issuance of the Bonds. At that time, the Mayor and Common Council
SCheduled a public hearing as required by the Internal Revenue Code for
January 6, 1992.
Two Resolutions are attached for consideration by the Mayor and Common
Council: (1) Resolution approving the execution of certain Bond
Documents, namely the rrust Indenture, Loan Agreement, Bond Purchase
Agreement and Official Statement, and authorizing further action to
conclude the issuance; and (2) Resolution regarding hOlding a public
hearing and approving the issuance of the Bonds. It is anticipated
that a bond closing will occur on January 22, 1992.
The prior issue being refunded was issued in 1982, utilizing a similar
finanCing structure as is proposed at this time. As with any financing
of this nature, the City has no responsibility for repayment of the
bonds, except from payments made to the City by La Quinta under the
Loan Agreement. The bondholders will seek repayment from La Quinta.
Staff recommends adoption of the attached resolutions.
~~~(~
J. IIBlUl OB, Executive Director
Development Department
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KJH:bl:1627A
COIIUSSIOB IIEB'lIltG AGElUlA
Meeting Date: 01/06/92
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Agenda Item Bo.
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Action to
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KAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO, CALIFORNIA
AGENDA
January 6, 1992
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RESOLUTION OF THE KAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING AND
AUTHORIZING THE EXECUTION OF CERTAIN DOCUMENTS IN
CONNECTION WITH THE ISSUANCE OF THE .CITY OF SAN
BERNARDINO, CALIFORNIA, INDUSTRIAL DEVELOPMENT
REVENUE REFUNDING BONDS, ISSUE OF 1992 (LA QUINTA
MOTOR INNS, INC. PROJECT). AND AUTHORIZING SUCH
l'UIC.l"ftJU( ACTION AS KAY BE NECESSARY TO CONCLUDE
THE ISSUANCE, SALE AND DELIVERY OF SUCH BONDS
Adopt Resolution.
Certified copy of Resolution to be returned to Sabo , Green, A
Professional Corporation.
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RESOLtlTION NO.
RESOLtlTION OF THE MAYOR AND COMMON COUNCIL
OF THE CITY OF SAN BERNARDINO, CALIfORNIA,
APPROVING AND AtlTHORIZING THE BXECO'1'ION OF
CERTAIN DOCUMENTS IN CONNECTION III'1'B THE
ISSUANCE OF THE "CITY OP SAN BERlfARDINO,
CALIFORNIA, INDUSTRIAL DEVELOPMEH'l' REVENuE
REPONDING BONDS, ISSUE OP 1992 (LA QUINTA
IIO'1'OR INNS, INC. PROJECT)" AND AtJ'l'BORIZING
SUCH FURTHER ACTION AS MAY BE NECESSARY TO
CONCLUDE THE ISSUANCE, SALE AND DELIVERY OF
SUCH BONDS
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("City"), is a charter city duly orqanized and existinq under and
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WHEREAS,
the City of San Bernardino,
California
pursuant to the provisions of the Constitution of the State of
California; and
WHEREAS, pursuant to its charter powers, the City duly
and
reqularly enacted Ordinance No. 3815, as amended
(the
"Ordinance"), to finance various types of projects, as defined in
the Ordinance, and to issue its special revenue bonds for the
purpose of payinq the costs of financinq or refundinq such
projects; and
WHEREAS, there was filed with the City an Application
(the "Application") pursuant to the provisions of the Ordinance
by La Quinta Motor Inns, Inc., San Antonio, Texas, referred to
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herein as the "Corporation"), requestinq the issuance of revenue
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bonds (the "Bonds") for the purpose of refundinq the outstanding
$7,000,000
City
of
San
Bernardino,
California
Industrial
Development Revenue Bonds, Series 1982A (La Quinta Motor Inns,
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Inc. Project) (the "1982 Bonds"); and
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1 WHEREAS, the Application was reviewed and the plan of
2 financing was found to comply with the spirit, intent and
3 provisions of the Ordinance, and the City determined to proceed
4 with the financing; and
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13 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
14 COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
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16 SECTION 1. The Recitals set forth hereinabove are
17 true and correct in all respects.
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19 SECTION 2. The City hereby determines that the
20 project proposed by the Corporation to be refunded and for which
21 the Bonds will be issued is in compliance with the purposes of
22 the Ordinance and with the criteria established pursuant thereto,
23 and further determines that the Corporation provides benefits and
24 services to the citizens of the City and the undertaking of such
25 proposed project by the City will be a substantial factor in the
26 ability of the Corporation to continue to provide such necessary
27 services and to contain the cost of such services. The project
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WHEREAS, the Mayor and Common Council must now approve
and authorize the execution of various documents in connection
with the issuance, sale and delivery of such Bonds entitled "City
of San Bernardino, California, Industrial Development Revenue
Refunding Bonds, Issue of 1992 (La Quinta Motor Inns, Inc.
Project)".
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1 proposed by the COrPOration is in compliance with the purposes of
2 the Ordinance and with the criteria established pursuant thereto.
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9 SECTION 4. The issuance by the city of the "City of
10 San Bernardino, California, Industrial Development Revenue
11 Refunding Bonds, Issue of 1992 (La Quinta Motor Inns, Inc.
12 Project)" in an amount not to exceed $7,000,000 is hereby
13 approved. The Bonds shall be issued in substantially the form
14 and in accordance with the terms of the Trust Indenture as herein
15 defined and herein approved and as such Trust Indenture may be
16 from time to time amended. The Bonds shall be issued and sold to
17 NCNB Investment Banking Company (the "Underwriters") upon such
18 terms and conditions as are provided in the Bond Purchase
19 Agreement as hereinafter defined and approved.
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21 SECTION 5. The Bonds shall be special obligations
22 of the City and shall not be deemed to constitute a debt or
23 liability of the City or a pledge of the faith and credit of the
24 City, but shall be payable solely from the payments received
25 under the terms of the Loan Agreement, described hereinafter.
26 The issuance of such Bonds shall not directly or indirectly or
27 contingently obligate the City to levy or pledge any form of
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SECTION 3. It is likely that the undertaking of the
project by the City will be a substantial factor in the accrual
of public benefits froll the use of the COrPOration'. facilities
as proposed in the Application.
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1 taxation whatsoever therefor or to .ake any appropriation for
2 their payment.
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4 SECTION 6. The Mayor and Coaaon Council, actinq for
5 and on behalf of the City, hereby approve the Trust Indenture
6 referred to above, substantially in the fora as on file with the
7 City Clerk with such corrections, chanqes, llOdifications,
8 additions or deletions as _y be approved and recomaended by the
9 city Attorney and Bond Counsel to the city, the Mayor, or, in his
10 absence or disability, the Mayor Pro Tea, and approved by him,
11 his execution thereof to be conclusive evidence of such approval.
12 The Mayor, or, in his absence or disability, the Mayor Pro Tam,
13 and City Clerk are hereby .uthorized and directed to execute such
14 final Trust Indenture when the same shall have been prepared for
15 execution, with the seal of the City to be affixed thereto.
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17 SECTION 7. The Mayor and Co_on Council, actinq for
18 and on behalf of the City, hereby approve the Loan Aqreament with
19 the Corporation, substantially in the fora as on file with the
20 City Clerk with such corrections, chanqes, modifications,
21 additions or deletions as may be approved and reco_ended by the
22 City Attorney and Bond Counsel to the Mayor or in his absence or
23 disability, the Mayor Pro Tem, and approved by him, his execution
24 thereof to be conclusive evidence of such approval. The Mayor,
25 or in his absence or disability, the Mayor Pro Tam, and City
26 Clerk are hereby authorized and directed to execute such final
27 Loan Aqreament when the same shall have been prepared for
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1 SECTION 8. The Mayor and eo.mon Council, acting for
2 and on behalf of the City, bereby approve the Bond P:urchase
3 Agreement, substantially in the form as on file with the City
4 Clerk with sucb corrections, changes, modifications, additions or
5 deletions as -y be approved and recommended by the City Attorney
6 and Bond Counsel to the City, the Mayor, or, in bis absence or
7 disability, the Mayor Pro Tem, and approved by bim, bis execution
8 thereof to be conclusive evidence of such approval. Tbe Bond
9 Purchase Agreement shall be executed on behalf of the City as
hereinafter provided at such time as the final interest rates,
principal amount of Bonds, maturity dates and amounts and
Underwriter's discount are known; provided, however, that such
principal amount of Bonds shall- not exceed $7,000,000, the net
interest cost shall not exceed 8\ and the Underwriter's discount,
including original issue discount, shall not exceed 2\, without
further approval and authorization by the Mayor and Common
17 Council. The Mayor, or, in his absence or disability, the Mayor
18 Pro Tem, and City Clerk are hereby authorized and directed to
19 execute such final Bond Purchase Agreement when the same shall
20 have been prepared for execution, with the seal of the City to be
21 affixed thereto.
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23 SECTION 9. The Mayor and the Common Council, acting
24 for and on behalf of the City, hereby approve the Preliminary
25 Official Statement and authorize its use by the Underwriters in
26 connection with the offering of the Bonds. The City authorizes
27 and directs the Underwriters to prepare a final Official
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1 the city hereby authorizes the execution of such final Official
2 Stat_ent by the Mayor, or, in his absence or disability, the
3 Mayor Pro T8II. The Final Official Stat_ent uall be in
4 substantially the form of the Preliminary Official Stat8llent as
5 on file with the City Clerk with such corrections, changes,
6 modifications, additions or deletions as may be proposed by the
7 Underwriters, approved and recolDIDended by the City Attorney and
8 Bond Counsel to the City, the Mayor, or, in his absence or
9 disability, the Mayor Pro Tem, and approved by the Mayor or, in
10 his absence or disability, the Mayor Pro T8II, with the execution
11 thereof to be conclusive evidence of such approval.
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13 SECTION 10. The Mayor, or, in his absence or
14 disability, the Mayor Pro Tem, the City Clerk, the City's Project
15 Coordinator and such other City officers and employees as are
16 appropriate are authorized and directed to provide for the
17 payment of the costs of issuance solely from the proceeds of the
18 Bonds, provide for the investment of funds pursuant to the terms
19 of the Trust Indenture, execute such other documents, inClUding
20 a subscription for federal securities, if necessary, to complete
21 the issuance of the Bonds and take such further action as shall
22 be consistent with the intent and purpose of this Resolution and
23 shall be needed to conclude the issuance, delivery and sale of
24 the Bonds.
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1 RESOLtlTION OP THE MAYOR AND COMMON COUNCIL OP THE CITY OF SAN
BERNARDINO, CALIFORNIA, APPROVING AND AUTHORIZING THE EXECtlTION
2 OP CERTAIN DOCUMENTs IN CONNEerION WITH THE ISSUANCE OP THE .CITY
OP SAN BERNARDINO, CALIFORNIA, INDUSTRIAL DEVELOPIIBNT REVENUE
3 REFUNDING BONDS, ISSUE OF 1992 (LA QUINTA IIOTOR INNS, INC.
PROJEer). AND AUTHORIZING SUCH l'"UK.I.'JU5K AerION AS KAY BB NECESSARY
4 TO CONCLUDE THE ISSUANCE, SALE AND DELIVERY OP SUCH BONDS
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SEerION 11.
This Resolution ahall take effect upon
the date of it. adoption.
I HEREBY CERTIFY that the foreqoing Resolution was duly
adopted by the Mayor and COlDIDon Council of the City of
San Bernardino at a
meeting
thereof, held on the
day of
,
1992, bY the following vote, to wit:
Council MelllhBrs:
AID
BAn
ABSTAIN
ABSENT
ESTRADA
REILLY
HERNANDEZ
MAUDSLEY
MINOR
POPE-LUDLAM
MILLER
City Clerk
day of
The foreqoing resolution is hereby approved this
, 1992.
Mayor of the City of
San Bernardino
Approved as to fora and
JAMES P. PENMAN
City Attorney
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1 STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
2 CITY OF SAN BERNARDINO )
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I, City Clerk of the City of
San Bernardino, DO HEREBY CERTIFY that the foreqolnq and attached
copy of Mayor and Co_on Council of the City of San Bernardino
Resolution No. is.a full, true and correct copy of that
now on tile in this office.
IN WITNESS WHEREOF, I have hereunto set Jay hand and
affixed the official seal of the Mayor and Co_on Council of the
City of San Bernardino this day of ,
1992.
City Clerk
City of San Bernardino
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Action to
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MAYOR AND COMMON COUNCIL OP THE
CITY OP SAN BERNARDINO, CALIFORNIA
AGENDA
January 6, 1992
RESOLUTION OP THE MAYOR AND COMMON COUNCIL OP THE
CITY OP SAN BERNARDINO, CALIFORNIA, REGARDING THE
HOLDING OP A PUBLIC HEARING IN CONNECTION WITH
THE ISSUANCE OF THE "CITY OF SAN BERNARDINO,
CALIFORNIA, INDUSTRIAL DEVELOPMENT REVENUE
REFUNDING BONDS, ISSUE OF 1992 (LA QUINTA MOTOR
INNS, INC. PROJECT)"
Ad.opt Resolution.
Certified. copy of Resolution to be returned. to Sabe , Green, A
PrOfessional Corporation.
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o 1 RESOLUTION NO.
2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL
OF THE CITY OF SAN BERNARDINO, CALIFORNIA,
3 REGARDING THE HOLDING OF A PUBLIC HEARING IN
CONNECTION WITH THE ISSUANCE OF THE "CITY OF
4 SAN BERNARDINO, CALIFORNIA, INDUSTRIAL
DEVELOPMENT REVENUE REFUNDING BONDS, ISSUE
5 OF 1992 (LA QUINTA MOTOR INNS, INC.
PROJECT)"
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7 WHEREAS, the City of San Bernardino, California (the
8 "City"), is a charter city duly orqanized and exisUnq under and
9 pursuant to the provisions of the Constitution of the State of
10 california; and
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12 WHEREAS, pursuant to its charter powers, the City duly
13 and reqularly enacted Ordinance No. 3815, as alIIended (the
o 14 "Ordinance"), to finance various types of projects, as defined in
15 the ordinance, and to issue its special revenue bonds for the
16 purposes of payinq the costs of financinq such projects; and
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WHEREAS, there has previously been filed with the City
an Application (the "Application") pursuant to the provisions of
he Ordinance by La Quinta Motor Inns, Inc., San Antonio, Texas
(referred to herein as the "Corporation"), requestinq the
issuance of revenue bonds (the "Bonds") for the purpose of
efundinq the outstandinq $7,000,000 City of San Bernardino,
alifornia Industrial Development Revenue Bonds, Series 1982A (La
uinta Motor Inns, Inc. Project) (the "1982 Bonds"), which were
riqinally issued to finance the costs and expenses of
onstruction of a 153 room hotel and associated restaurant as
ore particularly described in said Application; and
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o 1 WHEREAS, the Kayor and COIIIDon Council have previoUSly
2 on December 16, 1991, adopted a resolution providinq for the
3 publication of a Notice of Public Hearinq reqardinq the proposed
4 issuance, 8ale and delivery of the Bonds which Bonds shall be
5 entitled "City of San Bernardino, California, Industrial
6 Development Revenue Refundinq Bonds, Issue of 1992 (La Quinta
7 Motor Inns, Inc. Project)"; and
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9 WHEREAS, the Kayor and Common Council have caused the
10 timely publication of notice reqardinq the holdinq of the public
11 hearinq in accordance with Section 147(f) of the Internal Revenue
12 Code of 1986, as amended (the "Code"), in connection with the
13 proposed i8suance of the Bonds.
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NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION 1. The Mayor and Common Council have held
a public hearinq in accordance with provisions of Section 147(f)
of the Code, and have considered all testimony and comments
submitted in connection with the proposed issuance and delivery
of the Bonds.
SECTION 2. '!'he Kayor and Common Council, after
consideration of comments received at the public hearinq, hereby
26 approve the issuance of the Bonds.
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0 1 SECTION 3. It is the purpose and intent of the
2 Mayor and COlllllon Council that this Resolution constitute approval
3 by the applicable elected representative in accordance with the
4 terms of Section 147(t) of the Code.
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1 RESOLUTION OF 'l'HE MAYOR AND COMMON COUNCIL OF '1'HE CITY OF SAN
BERNARDINO, CALIFORNIA, REGARDING '1'HE HOLDING OF A PUBLIC HEARING
2 IN CONNECTION WI'l'H 'l'HE ISSOANCE OF '1'HE .CITY OF SAN BERNARDINO,
CALIFORNIA, INDOSTRIAL DEVELOPMENT RBVENtJB REPONDING BONDS, ISSUE
3 OF 1992 (LA QUINTA MOTOR INNS, INC. PROJECT).
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SECTION 4.
its adoption.
This Resolution ahall take effect upon
I HEREBY CERTIFY that the foregoing Resolution was duly
adopted by the Mayor and CODon Council of the City of
San Bernardino at a .eeting
thereof, held on the day of ,
1992, by the following vote, to wit:
Council Members:
AID
BAn
ABSTAYN
ABSENT
ESTRADA
REILLY
HERNANDEZ
MAUDSLEY
MINOR
POPE-LUDLAM
MILLER
City Clerk
day of
The foregoing resolution is hereby approved this
, 1992.
Mayor of the City of
San Bernardino
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