RES-8967 Approving Report Regarding Refunding Outstanding Bonds for Assessment District No. 90-1RESOLUTION NO. 8967
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE APPROVING AND CONFIRMING
REPORT AND REASSESSMENT FOR THE REFUNDING
OF THE OUTSTANDING BONDS FOR ASSESSMENT
DISTRICT NO. 90-1 (CRAWFORD CANYON
ROAD).WHEREAS, on May 26, 1998, the City Council (the "City Council") of the City
of Orange (the "City") adopted Resolution No. 8942 (the "Resolution of Intention")
determining that the public interest requires the refunding of the outstanding bonds issued for
Assessment District No. 90-1 (Crawford Canyon Road) (the "Assessment District"), and
declaring its intention to refund such bonds (the "Outstanding Bonds") and to levy
reassessments as security for the refunding bonds, all pursuant to Division 11.5 (commencing
with Section 9500) of the Streets and Highway Code of the State of California, the "Refunding Act
of 1984 for 1915 Improvement Act
Bonds;" and WHEREAS, pursuant to the Resolution of Intention and Section 9523 of
the Streets md Highways Code of the State of California (the "Code"), the
Reassessment Consultant appointed by the Resolution of Intention has prepared and filed with the City Clerk
a report containing the matters required by said Section 9523, and such report (the "Report")
has been presented to the City Council for
consideration; and WHEREAS, the City Council has considered the Report and has determined
that the Report contains all of the matters required to be included therein by Section 9523 of
the Code md that the Report demonstrates that all of the conditions specified in Section 9525
of the Code will be satisfied, and the City Council may therefore proceed to approve the
Report and confirm the Reassessment contained
therein; and WHEREAS, by the Resolution of Intention the City Council determined
that the assessments which are security for the payment of the principal of and interest
on the Outstanding Bonds shall continue as security for the collection of the unpaid
installments of such assessments which have been posted to and are to be collected on the tax
assessment roll for the 1997-98 fiscal year and all unpaid and delinquent installments
of such assessments which were posted to the tax assessment roll for
prior fiscal years.NOW, THEREFORE, BE IT RESOLVED, by the City Council of
the City of
Orange as follows:Section 1. Findings. The City Council finds that: (i) the Report
contains all matters required to be included therein by Section 9523 of the Code; (ii)
each estimated armual installment of principal and interest on the Reassessment, as contained in the
Report, is less than the corresponding annual installment of principal and interest on
the assessment being superseded and supplanted by the same percentage for all subdivisions of
land within the Assessment District; (iii) the number of years to maturity for the refunding bonds
be issued upon and secured as to payment by the Reassessment is not more than the number of
years to the last maturity to the Outstanding Bonds being refunded; (iv) the principal amount
of the Reassessment on each subdivision of land within the Assessment District is less than the
unpaid principal amount of the assessment being superseded and supplanted by the same
percentage for each subdivision ofland within the Assessment District; (v) the Report assumes
a maximum interest rate on the refunding bonds to be issued to represent the Reassessment
which will not exceed seven percent (7%) per armum; (vi) the Reassessments contained in the
Report do not include the armual installments of the assessments for the 1997-98 fiscal
year which have been posted to and will be collected on the tax assessment roll for said fiscal
year,or unpaid and delinquent installments of the assessments which were posted to the
tax assessment roll for prior fiscal years; and (vii) it is in the best interests of the owners
of propeliy within the Assessment District that the Report and the Reassessment
contained therein be approved and confirmed and that the City Council proceed to authorize, issue,
and sell refunding bonds pursuant to Chapter 3 (commencing with Section 9600) of Division 11.
5 of the
Code.Section 2. Confirmation of Report and Reassessment. The Report and
the Reassessment contained therein are approved and confirmed. Upon the preparation
and approval of the Final Report containing the final Reassessment as provided in Section
3 hereof, the Reassessment and the reassessment diagram contained in the Final Report shall
be recorded in the office of the Superintendent of the Streets of the City, and the City Clerk
shall record such reassessment diagram and a Notice of Reassessment with the County Recorder
of the County of Orange pursuant to Sections 9536, 9537 and 3114 of the
Code.Section 3. Final Report. The City Manager and the Director of Public Works
are authorized to approve the Final Report containing the final Reassessment after the terms of
the sale of the refunding bonds are determined and the Reassessment Consultant has prepared
the final Reassessment without presenting the Final Report to the City Council; provided that
the final Reassessment amounts contained in the Final Report shall not be greater than
the Reassessment amounts contained in the Report presented to and confirmed by the City
Council at th(, meeting at which this resolution is adopted and such Reassessment amounts for
all parcels of property within the Assessment District shall continue to satisfy the requirements
of Section 9525 of the Code. Upon approving the Final Report, the City Manager and
the Director of Public Works are authorized and directed to record the reassessment
diagram contained in the Final Report with the Superintendent of Streets of the City and to
authorize the City Clerk to record the reassessment diagram and a Notice of Reassessment as provided
in Section 2
above.Section 4. Continuation of Lien of Assessments as Securitv for Unpaid
Installments Thereof. It is further ordered that the lien of the assessments on parcels of property within
the Assessment District shall continue as security for the payment of the unpaid installments of
the assessments and the penalties and interest thereon, including the installments which have
been posted to and are to be collected on the tax assessment roll for the 1997-98 fiscal year
and all unpaid and delinquent installments of such assessments which were posted to
the tax assessment roll for prior fiscal years. Pursuant to Section 9539 of the Code, the lien
of such assessments with respect to such unpaid installments shall be equal in priority to the lien
of the Reassessments. The Notice of Reassessment to be recorded by the City Clerk
pursuant to R"so No.
Section 2 hereof shall provide notice that the lien of such assessments shall continue as
security for such installments thereof.
Section 5. Refunding Bonds. Refunding bonds shall be issued for the Assessment
District in an aggregate principal amount which shall be equal to and shall not exceed the total
amount of the Reassessment. The number of years to maturity of all such refunding bonds
shall not be more than the number of years to the last maturity of the Outstanding Bonds for
the Assessment District which are to be refunded. The maximum interest rate on such
refunding bonds shall not exceed seven percent (7%) per armum.
Section 6. Special Reserve Fund. Pursuant to the declaration of the intent of the City
Council contained in Section 3 of the Resolution of Intention, provision shall be made in the
resolution authorizing the issuance of the refunding bonds to be issued to refund the
Outstanding Bonds for the establishment from the proceeds of the sale of the refunding bonds
of a special reserve fund for the refunding bonds pursuant to Part 16 (commencing with
Section 8880) of Division 10 ofthe Code.
Section 7. No Citv Obligation. As provided in Section 6 of the Resolution of
Intention, the City Council has determined, pursuant to Section 8769 of the Streets and
Highways Code of the State of California, that the City will not obligate itself to advance
available funds form the City Treasury to cure any deficiency which may occur in the bond
redemption fund for the refunding bonds.
ADOPTED this 23rd day of June, 1998.
J e Coontz
ayor of the City ofOrangti/
ATTEST:
l~~A~
Cassandra J. Ca h
City Clerk of the City of Orange
3 Reso No. 8967
I hereby certify that the foregoing resolution was duly and regularly adopted by the City
Councill of the City of Orange at a regular meeting thereof held on the 23rd day of June, 1998
by the following vote.
AYES: COUNCIL MEMBERS: MURPHY, SLATER, COONTZ, SPURGEON, ALVAREZ
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
ABSTAINED: COUNCIL MEMBERS: NONE
8/.WA/UAJ~-J- Ccr~~
Cassandra J. Cath
City Clerk of the City of Orange
TlR:dg
Reso No. 8967 4