Loading...
HomeMy WebLinkAbout8.1 Financing Civic Center Complex V CITY OF DUBLIN AGENDA STATEMENT CITY COUNCIL MEETING DATE: December 9, 1985 SUBJECT Certificate of Participation - Financing of Civic Center Complex and Related Facilities EXHIBITS ATTACHED Ordinance; Resolution; Public Notice; A Memorandum from Robert Haight regarding his proposed fees as Bond Counsel ; Certificates of Participation Issue will be presented at Monday nights ' meeting; Exhibits "A" , "B" , and "C" of the Ordinance will be available at the meeting RECOMMENDATION 1 ) Adopt Resolution setting a Public Hearing on the proposed lease transaction 2 ) Waive reading and introduce ordinance 3 ) Approve the hiring of Bob Haight as the Bond Counsel for this project 4 ) Authorize City Manager to secure firm to under- write Certificates of Participation FINANCIAL STATEMENT: Estimated financing package $10 . 5 million to $11 . 5 million for civic center land acquisition and construction DESCRIPTION It is apparent that the City has come to terms with the property owner of the Imperial Freeholds property regarding the purchase of the property by the City. In order to acquire the property and construct a civic center complex and related facilities, it is necessary to provide adequate financing. It is proposed by Staff that the City issue Certificates of Participation in order to maximize the financial resources of the community. It is anticipated that approximately $10 . 5 million to $11 . 5 million will be required to finance the acquisition and related improvements . Mr . Bob Haight , the proposed Bond Counsel will make a detailed presentation to the City Council with respect to the process and advantages of utilizing Certificates of Participation. It is Staff ' s recommendation that the City Council adopt the attached Resolution authorizing the publication of a Notice of Public Hearing in connection with the proposed lease agreement, waive the reading and introduce an Ordinance approving the lease transaction for the lease by the City as lessee of certain public facilities and approving and authorizing the execution of certain leases and other related financing documents in connection with the project, approve the hiring of Robert Haight as Bond Counsel for this project, and authorize City Manager to secure firm to underwrite Certificates of Participation ---------------------------------------------------------------------------- = COPIES TO: ITEM N0. © i ORDINANCE NO. - 85 T AN ORDINANCE OF THE CITY OF DUBLIN, CALIFORNIA ------------------------ APPROVING A CERTAIN LEASE TRANSACTION FOR THE LEASE BY THE CITY AS LESSEE OF CERTAIN PUBLIC FACILITIES AND APPROVING AND AUTHORIZING THE EXECUTION OF CERTAIN LEASES AND OTHER RELATED FINANCING DOCUMENTS IN CONNECTION WITH THE DUBLIN PUBLIC FACILITIES PROJECT NO. 1 WHEREAS, the City of Dublin ( the "City" ) , has initiated certain actions in connection with the preparations necessary for the adoption of the proposed Public Facilities Project No. 1 ( the "Project" ) ; and WHEREAS, the City deems it desirable to proceed to undertake certain actions prior to the anticipated adoption of the Project in order to expedite the acquisition and construction of the proposed Project and to take advantage of the currently favorable economic conditions which make the acquisition and construction of said proposed public facilities project more feasible and affect in a positive manner the ability of the City to obtain lower construction costs and financing costs for certain public improvements ; and WHEREAS, the City deems it to be desirable to lease from Dublin Information, Inc. , a California nonprofit corporation, ( the "Lessor" ) certain real property ( the "Site" ) for the purposes and upon such terms as are more fully described in that certain lease agreement entitled "Lease Agreement Relating to Public Facilities Project No. 1" , dated as of December 18 , 1985 , ( the "Lease Agreement" ) , attached hereto as Exhibit "A" and incorporated herein by this reference; and WHEREAS, the City deems it desirable to enter into an Agency Agreement with the Lessor , attached hereto as Exhibit "B" and incorporated herein by this reference, wherein the City would be appointed as agent for the Lessor for the purposes of construction, acquisition and operation of the Project ; and WHEREAS, in accordance with the Lease Agreement, the Lessee as agent for the Lessor , shall construct a civic center complex and related facilities upon the Site, as more fully described in said Lease Agreement, and the Lessor shall lease said completed public facilities which shall constitute the Facilities to the City upon the terms which are more fully described in said Lease Agreement; and WHEREAS, pursuant to the Trust Agreement attached hereto as Exhibit "C" , and incorporated herein by reference, the City and the Lessor desire to authorize the sale of participation interests in the Lease Agreement by the Lessor as Trustee designated in the Trust Agreement , at rates of interest to be subsequently determined and approved by the City; and WHEREAS, the entering into of the Lease Agreement by the Lessor and the City and the execution and delivery thereof is authorized or permitted by California Government Code Section 37350 et seq. , and 37380 , et seq. , and the laws and Constitution of the State of California NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DUBLIN DOES ORDAIN AS FOLLOWS: Section 1 . The City of Dublin hereby approves the Lease Agreement by and between the City and the Lessor substantially in the form as attached hereto as Exhibit "A" and substantially upon the terms and conditions as set forth therein, subject to the insertion of the interest component of the lease payments as shall be made by the City- when the same shall have been ascertained and subject to any changes in the principal amount to be financed pursuant to the Lease Agreement . Any amendments, modifications or changes to the Lease Agreement shall not materially alter the City' s obligation under the Lease Agreement and shall be subject to approval by resolution of the City Council . The Mayor and the City Clerk are hereby authorized and directed ,to execute the Lease Agreement which shall be dated December 18 , 1985 , and the seal of the City shall be affixed thereto upon approval of the final forms thereto by a duly approved and adopted Resolution of the City Council . Section 2 . The City hereby approves the Agency Agreement by and between the City and the Lessor substantially in the forms as attached hereto as Exhibit "B" , and substantially upon the terms and conditions as set forth therein. Any amendments, modifications or changes shall not materially alter the City' s obligation under the Trust Agreement and shall be subject to approval by resolution of the City Council . The Mayor and the City Clerk are hereby authorized and directed to execute the Agency Agreement which shall be dated December 18 , 1985 , and the seal of the City shall be affixed thereto upon approval of the final forms thereof by a duly approved and adopted Resolution of the City Council . Section 3 . The City hereby approved the form of the Trust Agreement by and among the City, the Lessor and the Lessor as Trustee designated therein substantially in the forms as attached hereto as Exhibit "C" , and substantially upon the terms and conditions as set forth therein, subject to the insertion of the interest component of the payments to be made on the Certificates of Participation, evidencing ownership interests in the Lease Agreement when such interest component has been ascertained and subject to any changes in the principal amount of the Certificates of Participation to be issued by the Lessor as Trustee pursuant to the Trust Agreement . The Mayor and City Clerk are hereby authorized and directed to execute the Trust Agreement which shall be dated as of December 18 , 1985 , and the seal of the City shall be affixed thereto upon approval of the final forms thereof by a duly approved and adopted Resolution of the City Council . Section 4 . The Mayor , the City Clerk , other authorized officials of the City and all members of the City Council are hereby authorized and directed to execute and deliver any and all documents which may be required under the terms of the Lease Agreement, the Agency Agreement , and the Trust Agreement and to execute such instruments and take such other action as may be required or appropriate for the performance of the duties imposed thereby. Section 5 . IMMEDIATE EFFECT This Ordinance shall take effect immediately upon its enactment because the adoption and immediate effect thereof is necessary in order to protect the public peace, health, safety and welfare. Section 6 . POSTING OF ORDINANCE The City Clerk of the City of Dublin shall cause this Ordinance to be posted in at least three ( 3 ) public places in the City of Dublin in accordance with Section 36933 of the Government Code of the State of California. PASSED, APPROVED AND ADOPTED by the City Council of the City of Dublin on this day of 1985 by the following vote: AYES : NOES : ABSENT : Mayor ATTEST: City Clerk RESOLUTION NO. - 85 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN, CALIFORNIA -------------------------------------- AUTHORIZING THE PUBLICATION OF A CERTAIN NOTICE OF HEARING AND SETTING SAID HEARING IN CONNECTION WITH A PROPOSED LEASE AGREEMENT OF SAID CITY DUBLIN PUBLIC FACILITIES PROJECT NO. 1 WHEREAS, the City of Dublin, California ( the "City" ) , has proposed to enter into a certain Lease Agreement with the Dublin Information, Inc. , a California nonprofit public benefit corporation ( the "Corporation" ) , for the purpose of financing the acquisition and construction of a civic center complex and related facilities within the City; and WHEREAS, Government Code Section 37380 requires that any lease agreement for the lease by a municipality of municipally owned property be authorized by an ordinance adopted by the City Council thereof subject to the applicable referendum period as provided by the laws of the State of California after the holding of a public hearing by the City Council and after the publication of a notice thereof as provided in Government Code Section 6066 ; and WHEREAS, Government Code Section 37380 (b) ( 4 ) requires that any such lease which shall be awarded to the bidder at such public hearing which, in the determination of the City Council, offers the greatest economic return to the City, after competitive bidding conducted in the manner as shall be determined by the City Council ; and WHEREAS, it is desirable at this time for the City Council to set a public hearing in connection with the proposed Lease Agreement, authorize the publication of notice of such public hearing and to provide for the bid procedures as shall be applicable thereto. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DUBLIN, CALIFORNIA, DOES HEREBY FIND, RESOLVE, DETERMINE AND ORDER AS FOLLOWS : Section 1 . The City Council hereby sets a public hearing for December 18 , 1985 , at the time of 7 : 30 p.m. , for the purpose of conducting a public hearing as required by Government Code Section 37380 . The City Council hereby approves the form of the Notice of Public Hearing substantially in the form as attached hereto as Exhibit "A" and incorporated herein by reference. The City Clerk shall provide for the publication of said Notice of Public Hearing in the manner as prescribed by Government Code Section 6066 with the first publication to be on or about December 12, 1985 , and the second publication on or about December 17, 1985, all as further required by Government Code Section 6066 together with the applicable notice period as specified therein. Section 2 . The City Council proposes that the City shall enter into a Lease Agreement with the Dublin Information, Inc. , ( the "Corporation" ) for the lease of the civic center complex and related facilities, the land for which shall be hereafter acquired by the City. It is anticipated that the City shall lease the appropriate sites for such proposed public improvements from the Corporation. The proposed Lease Agreement as shall be presented to the City Council at said public hearing shall contain such financial terms and provisions so as to enable the City Council to determine the economic effect of such leases and a comparison shall be made with any other bids or proposals as may be submitted at said public hearing. The City hereby establishes that any other entity, person, firm or underwriter may propose such terms to be considered by the City at the time of such public hearing but prior to the final adoption of the Ordinance approving the lease transaction with the Corporation or such other entity, person, firm or underwriter who may submit such bid which offers the greatest economic return to the City, all as required by Government Code Section 37380 (b) ( 4 ) . Section 3 . The City Clerk is hereby authorized and directed to cause such Notice of Public Hearing to be published and to make available to any prospective bidders information as may be reasonably requested by such prospective bidders , including the proposed Lease Agreement . Section 4 . This Resolution shall take effect upon adoption . PASSED, APPROVED AND ADOPTED this 9th day of December , 1985 . AYES : NOES: ABSENT: Mayor ATTEST: City Clerk CITY OF DUBLIN P.O. Box 2340 Dublin, CA 94568 (415) 829-4600 NOTICE OF PUBLIC HEARING ON A CERTAIN PROPOSED LEASE TRANSACTION BY THE CITY OF DUBLIN, CALIFORNIA DUBLIN PUBLIC FACILITIES PROJECT NO. 1 NOTICE IS HEREBY GIVEN that the City of Dublin, California (the "City" ) , shall conduct a public hearing on December 18 , 1985 , at the hour of 7: 30 p.m. , at the Dublin Library, 7606 Amador Valley Boulevard , Dublin, California 94568, for the purposes of the consideration pursuant to Government Code Section 37380 of a proposed lease transaction for the Lease of the sites of a certain municipally owned civic center complex and related facilities hereafter to be acquired to the City and the lease of the completed civic center complex and related facilities , respectively , from said firm, person, corporation or entity to the City. In accordance with the laws of the State of California , all persons interested in submitting a proposal upon such financial terms which will offer the greatest economic return to the City may be submitted not later than at the time and on the date of such public hearing and in accordance with the proposed Lease Agreement and the proposed Trust Agreement all as on file with the City Clerk. All persons interested in the matter may attend such public hearing of the City Council at the hour and at the date as above specified and may submit written proposals prior to such time of the hearing or at the time thereof or may make any other written or oral comment , bid or proposal as they may deem appropriate under the circumstances. This notice has been duly authorized for publication by the City Council of the City of Dublin, California, on the date as hereinafter set forth. DATED : December 6, 1985 City Clerk of the City of Dublin, California Publish: Tri-Valley Herald , December 12 and December 17, 1985