HomeMy WebLinkAbout05-026RESOLUTION NO. 05-026
BOARD OF SUPERVISORS
OF THE
BUTTE COUNTY
A RESOLUTION APPROVING THE FORM OF AND AUTHORIZING THE
EXECUTION AND DELNERY OF A PURCHASE AND SALE AGREEMENT
AND RELATED DOCUMENTS WITH RESPECT TO THE SALE OF THE
SELLER'S VEHICLE LICENSE FEE RECEIVABLE FROM THE STATE;
AND DIRECTING AND AUTHORIZING CERTAIN OTHER ACTIONS IN
CONNECTION THEREWITH
WHEREAS, certain public agencies within the State of California (the "State") are
entitled to receive certain payments payable by the State to each such local agency on or before
August 15, 2006, in connection with vehicle license fees pursuant to Section 10754.11 of the
California Revenue and Taxation Code ("VLF Gap Repayments");
WHEREAS, the Butte County (the "Seller"} is entitled to and has determined to sell all
right, title and interest of the Seller in and to the "VLF Receivable", as defined in Section 6585(1)
of the California Government Code (the "VLF Receivable"), namely, the right to payment of
moneys due or to become due to the Seller out of funds payable in connection with vehicle
license fees to a local agency pursuant to Section 10754.11 of the California Revenue and
Taxation Code, in order to obtain money to fund public capital improvements deemed necessary
to meet the needs of the Seller's population;
WHEREAS, the Seller is authorized to sell or otherwise dispose of its property as the
interests of its residents require;
WHEREAS, the California Statewide Communities Development Authority, a joint
exercise of powers authority organized and existing under the laws of the State (the "Authority"),
has been authorized pursuant to Section 6588(w) of the California Government Code to purchase
the VLF Receivable;
WHEREAS, the Authority desires to purchase the VLF Receivable and the Seller desires
to sell the VLF Receivable pursuant to a purchase and sale agreement by and between the Seller
and the Authority in the form presented to this Board of Supervisors (the "Sale Agreement") for
the purposes set forth herein;
WHEREAS, in order to finance the purchase price of the VLF Receivable from the Seller
and the purchase price of other VLF Receivables from other local agencies, the Authority will
issue its taxable and tax-exempt notes (the "Notes") pursuant to Section 6590 of the California
Government Code and an Indenture (the "Indenture"), by and between the Authority and Wells
Fargo Bank, National Association, as trustee (the "Trustee"), which Notes will be payable solely
from the proceeds of the VLF Receivable and such other VLF Receivables;
WHEREAS, the Seller acknowledges that the Authority will grant a security interest in
the VLF Receivable to the Trustee and any credit enhancer to secure payment of the Notes;
Tax-Exempt
llOCSSF1:795393.1
WHEREAS, a portion of the proceeds of the Notes will be used by the Authority to,
among other things, pay the purchase price of the VLF Receivable which will be deposited in a
separate account held in the Seller's name (the "Participant Custody Account") by Wells Fargo
Bank, National Association, as custodian (the "Custodian") under a master custodial agreement
(the "Custody Agreement");
WHEREAS, pursuant to the ternls of the Custody Agreement, the Custodian will hold
and invest the sale proceeds in the Participant Custody Account and will disburse such proceeds
and the investment earnings thereon only upon the written request of the Seller, as provided in
the Custody Agreement; and
WHEREAS, the Seller reasonably expects to use the proceeds from the sale of the VLF
Receivable for the purposes described in Appendix A attached hereto and by reference
incorporated herein (collectively, the "Project");
WHEREAS, the Seller will use the proceeds received from the sale of the VLF
Receivable for any lawful purpose as permitted under the applicable laws of State;
NOW THEREFORE, the Board of Supervisors of the Butte County hereby resolves as
follows:
Section 1. All of the recitals set forth above are true and correct, and this Board
of Supervisors hereby so finds and determines.
Section 2. The Seller hereby authorizes the sale of the VLF Receivable to the
Authority for a price no less than the Minimum Purchase Price set forth in Appendix A. The
form of Sale Agreement presented to the Board of Supervisors is hereby approved. An
Authorized Officer (as set forth in Appendix A) is hereby authorized and directed to execute and
deliver the Sale Agreement on behalf of the Seller, which shall be in substantially the form
presented to this meeting, with such changes therein, deletions therefrom and additions thereto,
as such Authorized Officer shall approve, which approval shall be conclusively evidenced by the
execution and delivery of the Sale Agreement.
Section 3. Any Authorized Officer is hereby authorized and directed to send, or
to cause to be sent, an irrevocable written instruction to the State Controller notifying the State of
the sale of the VLF Receivable and instructing the disbursement pursuant to Section 6588.5(c) of
California Government Code of the VLF Receivable to the Trustee, on behalf of the Authority.
Section 4. The Board of Supervisors hereby approves the application of the
proceeds from the sale of the VLF Receivable to the funding of the Project.
Section 5. The Authorized Officers and such other Seller officers, as appropriate,
are hereby authorized and directed, jointly and severally, to do any and all things and to execute
and deliver any and all documents, including but not limited to, if required, one or more tax
certificates, appropriate escrow instructions relating to the delivery into escrow of executed
documents prior to the closing of the Notes, appropriate investment instructions, structured
investment agreements and related documents in connection with the investment of the
Participant Custody Account, and such other documents mentioned in the Sale Agreement or the
Tax-Exempt
DOCSS['1:795393.1 2
Indenture, which any of them may deem necessary or desirable in order to implement the Sale
Agreement and otherwise to carry out, give effect to and comply with the terms and intent of this
Resolution; and all such actions heretofore taken by such officers are hereby ratified, confirmed
and approved.
Section 6. All consents, approvals, notices, orders, requests and other actions
permitted or required by any of the documents authorized by this Resolution, whether before or
after the sale of the VLF Receivable or the issuance of the Notes, including without limitation
any of the foregoing that may be necessary or desirable in connection with any default under or
amendment of such documents, may be given or taken by an Authorized Officer without further
authorization by this Board of Supervisors, and each Authorized Officer is hereby authorized and
directed to give any such consent, approval, notice, order or request, to execute any necessary or
appropriate documents or amendments, and to take any such action that such Authorized Officer
may deem necessary or desirable to further the purposes of this Resolution.
Section 7. The Board of Supervisors acknowledges that, upon execution and
delivery of the Sale Agreement, the Seller is contractually obligated to sell the VLF Receivable
to the Authority pursuant to the Sale Agreement and the Seller shall not have any option to
revoke its approval of the Sale Agreement or to determine not to perform its obligations
thereunder.
Tax-Exempt
DOCSSI~ 1:795393.1 3
Section 8. This Resolution shall take effect from and after its adoption and
approval.
PASSED AND ADOPTED by the Board of Supervisors of the Butte County,
State of California, this 8th day of February , 2005, by the following vote:
AYES: Supervisors Connelly, Dolan, Josiassen, and Chair Yamaguchi
NOES: Supervisor Houx
ABSENT: None
Chair of the Board of Supervisors
Attest:
%~
,'.
Clerk of the Board of Supervisors
Approved as to form
SEL ER'S C;OUNSE ,l
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Dated: .~~ ~:ti ~~- ='
Tax-Exempt
DOCSSF 1:795393.1 4
APPENDIX A
BUTTE COUNTY
Description of Project: Acquisition, construction, development and/or equipping of the
following public capital improvements (the "Improvements"), for
which all necessary approvals (including CEQA compliance)
required prior to the sale of the VLF Receivable have been obtained:
Acquisition and Installation of Photovoltaic Solar Energy System
For County Facilities
Minimum Purchase An amount equal to or greater than $4,000,000.00 (the "Minimum
Price: Purchase Price").
Authorized Officers: Chief Administrative Officer and Clerk of the Board
Treasurer-Tax Collector
Assistant Treasurer-Tax Collector
any designee of any of them, as appointed in a written certificate of
such Authorized Officer delivered to the Trustee.
Tax-Exempt
DOCSSF1:795393.1