HomeMy WebLinkAbout08-124-~~.~ ~~
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' ~ GOt,t~ITY CIR' ~3l1TTE, STATE OF CALIF't]RNIA
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`~~~;,~.~~ I~C'SO~Uf1O11 N0. 08-124
A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF BUTTE
AUTHORIZING AND PROVIDING FOR THE INCURRENCE OF INDEBTEDNESS FOR THE
PURPOSE OF PROVIDING A PORTION OF THE COST OF ACQUIRING,
CONSTRUCTING, ENLARGING, IMPROVING, AND/OR EXTENDING ITS BANGOR FIRE;
STATION #55 LIVING QUARTERS & SHED REPLACEMENT PROJECT FACILITY TO
SERVE AN AREA LAWFULLY WITHIN ITS JURISDICITION TO SERVE
(FIRE STATION 55 RENOVATION PROJECT)
WHEREAS, it is necessary for the i oanty of Butte (herein after called Association) to raise a portion of
the cost of such undertaking by issuance of its bonds in the principal amount of $1,100,000.00 pursuant to the
provisions of California Government Code Section 25371 ;and
WHEREAS, the Association ir~i~:nds to obtain assistance from the Rural Housing Service, Rural
Business -Cooperative Service, Rural Utilities Service, or their successor Agencies with the United States
Department of Agriculture, (herein called the Government) acting under the provisions of the Consolidated
Farm and Rural Development Act (7 U.S.C. 1921 et seq.) in the planning, financing, and supervision of such
undertaking and the purchasing of bonds lawfully issued, in the event that no other acceptable purchaser for
such bonds arc found by the Association;
NOW, THEREFORE BE IT RESOLVED that the Butte County Board of Supervisors hereby adopts
the USDA provided "Loan Resolution" (See Attachment #1) pertaining to the aforementioned issuance of
certificates of participation.
PASSED AND ADOPTF,D by the Butte County Board of Supervisors this 9`~' day of September 200$
by the following votes:
AYES: Supervisors Connelly, Kirk, Dolan, Yamaguchi, and Chair Josiassen
NOES: None
ABSENT: None ~
NOT VOTING: None ~ '
.~ _~.
C,up't Josiassen, Chair
ATTF,ST:
;'
C. Brian Ha ix G~iief Administrative Of 'cer
And Clerk th~,parc~` ,/
gy; , c "~ ` i ~ /
Deputy j ~~
Atta~,1~~~~ni~~A
USDA
Fonn RD 1942-47
(Kcv.l2-97)
LOAN KESOLti'I'ION
(Public Bodies}
FORM .•1PPROVEU
(>~1B NO. (}575-Ot)1
~~ RESOI,U~E~ION OI' THE
FGARD OF S:JPERVSSORS
OF THE couNTV of BUTTE
AU~I~HOR-IING AND PROVIDING I"OR THE INCURRENCE OF 1NDEBTFDNf;SS IY~R THE? PURPOSE OF PROVEDING
A PORTION OF THE CUS~1' OF ACQUIRING, CONS"fRUC°I~INt;, ENLARGING, 1MPROV[NG, AN[>,%OR CX~[ ENDING ITS
F3ANGOR FIRE STATION #55 I 1 V I N(, urJAR 1P;kS & SHED REPLACENFN'1' P3OJECI'
FACILITY TO Sf~:RVF~ AN AREA LAWFL!LLl' W[THEN I"E'S JURISDIC"LION "TO SERVf:.
WI IEREAS, it is necessary for the
COUNTY OF BUTTE
(Public Boclt/
(herein afta~ called Association) to raise a portion of the cost of such undertaking by issuance of its bonds in the principal amount of
1,ioo,aoo.oo
pursuant to the pCOVisiOtls of California Government Code Section 25371 ;and
WHEREAS, the Association intends to obtain assistance from the Rural Housing Service, Rural E3usiness -Cooperative Service, Rural
Utilities Service, or their successor Agencies with the United States Department of Agriculture, (herein called the Govermnent) acting
under [he provisions of the Consolidated Farm and Rural Development Act {7 U.S.C. 1921 et seq.} in the planning, financing, and
supervision of such undertaking and the purchasing of bonds lawfully issued, in the event that no other acceptable purchaser for such
bonds is found by the Association:
NOW THEREFORE in consideration of the premises the Association hereby resolves:
I. To have prepared on its behalf and to adopt an ordinance or resolution for the issuance of its bands containinsz such items
and in such forms as are required by State statutes and as are agreeable and acceptable to the Government.
2. l~o refinance the unpaid balance, in whole or in part, of its bonds upon the request of the Government if at any time it shall
appear to the Government that the Association is able to refinance its bonds by obtaining a loan for such purposes from
responsible cooperative or private sources at reasonable rates and terms for loans for similar purposes and periods of time as
required by section 333(c) of said Consolidated Farm and Rural Development Act (7 U. S. C. 19F3 (c)}.
3. To provide for, execute, and comply with Form RD 400-4, °Assurance Agreement," and Form RD 400-I, "Equal Opportunity
Agreement," including an "Equal Opportunity Clause," which clause is to be incorporated in, or attael7ed as a rider to, each
construction contract and subcontract involving in excess of $ 10,000.
4. To indemnity the Government for any payments made or losses suffered by the Government on behalf of the Association.
Such indemnification shall be payable from the same source of funds pledged to pay the bonds or any other I~< ~I permissible
source. `"
5. That upon default in the payments of any principal and accrued interest on the bonds or in the performance of any covenant or
agreement contained herein or in the instruments incident to making or insuring the loan, the Government at its option may (a)
declare the entire principal amount then outstanding and accrued interest immediately due and payable, (b) for the account of the
Association (payable from the source of funds pledged to pay the bonds or any other legally permissible source), incur and pay
reasonable expenses for repair, maintenance, and operation of the facility and such other reasonable expenses as may be necessary
to cure the cause of default, and/or (c) take possession of the faciliri~, repair, maintain, and operate or rent it Def"cult under the
provisions of this resolution or any instrument incident to the making or insuring of the loan may be construed by the Government
to constitute default under any other instrument held by the Government and executed or assumed by the Association. and default
under any such instrument may be construed by the Government to constitute default hereunder.
6. Not to sell, transfer, lease, or otherwise encumber the facility or any portion thereof, or interest therein, or permit others to do
so without the prior written consent of the Government.
7. Not to defease the bonds, or to borrow money, enter into any contract or agreement, or otherwise incur any liabilities for any
purpose in connection with the facility (exclusive of normal maintenance) without the prior written consent of the
Government if such undertaking would involve the source of funds pledged to pay the bonds.
8. To place the pracceds of the bonds on deposiC in an account and in a manner approved by the Government. 1~'unds may be
deposited in institutions insured by the State or Federal Government or invested in readily marketable securities backed by
the full faith and credit of the United States. Any income from these accounts will be considered as rcvenucs of the system.
9. fo comply with all applicable Slate and federal laws and regulations and to continually operate and maintain the facility in
good condition.
10. To provide far the receipt of adequate rcvenucs to meet the requirements of debt service, operation and maintenance, and the
establishment of adequate receives. Revenue accumulated over and above that needed to pay operating and maintenance, debt
service and reserves may only be retained or used to make prepayments on tl7e loan. Revenuie cannot be used to pay any
expenses which are not directly inem~red for the facility financed by the Government. No free service or use of the facility will
be permitted.
. uenrdin,~ In lht Per/~~ i~ir4~r6 R~~rltieltun .h1 of /JI ~ iin pri~~uei~ air rrquirrd try n cpunrl to ,v e~ul(<r~ion uJu;lrn manna an(rce i~ di,c~r/rtt'e ~i r,~hd l7A /R euntrn7 nauthrr. the rued [}tl8
~,~n/ru/ umnhrr Jhr /his iuJnrnterlinn ru]/rrnun is !J?-i.t)0/i. !hc lone izyuii~~ d a~ cr,nt/~/rtr ibis n+frn~murrnn rnl/rcunir is c~lionnrd In „rz r~r~~• 1 lt~uu~~~ra i< epnnre, inrlndur, drr iimr jr,r
rrriru~tn~ iizc/rnc(inrzc, crr~rc hint; <ai.cloi,g d<rt«.cnrrr s ~~uhrri~r,~ am7 moinlninin,~ Ilfc dcu~r n<<<Irr(, rind rwnplrrin~ and r~ i ii ~i nr~ thr r~~llrctiuu ri(inlnrnrrttinrt
1 1. l~o acquire and maintain such insurance and fidelity bond coverage as may be required by the Government.
~-'~ To establish and maintain such books and records relating to the operation of the facility and its financial ati~iirs and to
provide fin' required audit thereof as required by the Government, to provide the Government a copy of each such audit
evithout its request, and to forward to the Government such additional information and reports as it may from time to time;
require.
13. I~o provide the Government at all reasonable times access to all books and records relating to the facility and access to the
property of the system so that the Government may ascertain that the Association is complying ~~~ith the provisions hereof
and of the: instruments incident to the making or insuring of the loan.
1-f. That if the Govermnent requires that a reserve account be established and maintained, disbursements from that account
may be used when necessary for payments due on the bond if sufficient funds are not otherwise available. With the prior
written approval of the Govermnent, funds may be withdrawn for:
{a) Paying the cost of repairing or replacing any damage to the facility caused by catastrophe.
{b) Repairing or replacing short-lived assets.
(c} Making extensions or improvements to the facility.
.Any time funds are disbursed from the reserve account, additional deposits will be required until the reserve account has
reached the required funded level.
I ~. ~I'o provide adequate service to all persons within the service area who can feasibly and legally be served and to obtain the
Government's concurrence prior to refusing new or adequate services to such persons. Upon failure to provide services
which are feasible and legal, such person shall have a direct ri~~ht of action against the Association or public body.
1 G. To comply with the measures identified in the Government's environmental impacC analysis for this facility for the purpose
of avoiding or reducing the adverse environmental impacts of the facility's construction or operation.
f 7. ho accept a grant in an amount not to exceed $
under the terms offered by the Government; that the (Noe Applicable )
and (NoC Applicable) of the Association are hereby authorized and empowered to take all action necessary
or appropriate in the execution of all written insUuments as may be required in regard to or as evidence of such Brant; and
to operate the facility under the terms offered in said grant agreement(s).
The provisions hereof and the provisians of all instruments incident to the making or the insuring of the loan, unless
otherwise specifically provided by the teens of such instrument, shall be binding upon the Association as long as the bonds
are held or insured by the Government or assignee. The provisions of sections 6 through 17 hereof may be provided for in
more specific detail in the bond resolution or ordinance; to the extent that the provisians contained in such bond resolution
ar ordinance should be found to be inconsistent with the provisions hereof, these provisions shall be construed as
controlling between the Association and the Government or assignee
l~he vote was: Yeas ~; y~~ Nays None Absent None
f~~ WI~~NLSS WHI:Rt'.(~f,the BOARD OF SUPERVISORS
of the
CouNTY o~' BuTTE, STATE of cAiJTFOrztv~zA has duly adopted this resolution and caused it
9TH day of SE`rTEMBER 2CC8
1
r.
-_ _
Fay cug•T JoszASSEN
'f~itle Chair
_;_
CERTIFICATION TO BE EXECUTED AT LOAN CLOSING
1. the undersigned, as Cxz~,F av;wzNls'rrzt~rzvF orFZCErz
hereby certify that the ~oAZ~ or ~uY~zvlso~5
Ot-lhe CGJ~1'Y 01~ Fst7T'I.~,
of such association is composed of
FIVE members, of ~~~hom , constituting a quorum, were present at a meeting thereof duly called and
held on the `32N day of `F'''rFMavR zoos ; aid that the foregoing resolution was adopted at such meeting
by the vote shown above. I further certify that as of the date of closing of the loan from the Government, said resolution
remains in effect and has not been rescinded or amended in any way.
Dated, this day of
~fitle Chief Iadmin OEficer~Clerk of the Board