2001/02/27 City Council Resolution (14)RESOLUTION NO. 01 -4 $_
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK DECLARING INTENTION TO ISSUE
REVENUE BONDS FOR THE PURPOSE OF FINANCING THE ACQUISITION BY MILLENNIUM HOUSING OF THE
LAS CASITAS DE SONOMA MOBILE HOME PARK AND AUTHORIZING AND DIRECTING RELATED ACTIONS
WHEREAS, the City of Rohnert Park (the "City ") is authorized to issue bonds pursuant to the provisions of
the California Health and Safety Code (the "Law ") for the purpose of providing financing for the acquisition by tax -
exempt organizations of mobile home parks; and
WHEREAS, the City may, in the future, desire to issue and sell its revenue bonds (the "Bonds ") pursuant to
the procedures specified in the Law for the purpose of financing the acquisition by Millennium Housing, a nonprofit
organization exempt from federal income taxation ( "Millennium ") of the Las Casitas de Sonoma mobile home park
( "Las Casitas") located in the City; and
WHEREAS, the City Council now desires to direct City Staff to proceed with the preparation of documents
necessary for the, issuance of the Bonds and_ to authorize the City Manager to engage bond and disclosure counsel
and to select an underwriter in connection therewith.
NOW, THEREFORE, the City Council of the City of Rohnert Park hereby resolves as follows:
1. The City Council hereby declares its intent to issue and sell the Bonds pursuant to the procedures
specified in the Law in an aggregate principal amount not to exceed $5,500,000 for the purpose of providing
financing for the acquisition by Millennium or a related entity of Las Casitas.
2. The issuance and sale of the Bonds shall be upon such terms and conditions as may be
determined by the City, Millennium and the purchaser of the Bonds, and shall be authorized by a separate resolution
of the City Council. Nothing contained in this Resolution shall obligate the City to issue the Bonds.
3. The City Council hereby declares that it reasonably expects that a portion of the proceeds of the
Bonds will be used for reimbursement of expenditures by Millennium or a related entity in respect of the acquisition
of Las Casitas that are paid before the date of initial execution and delivery of the Bonds, and that the maximum
amount of proceeds of the Bonds to be used for reimbursement of any such expenditures that are paid before the
date of initial execution and delivery of the Bonds is $5,500,000.
4. Millennium shall be responsible for the payment of all present and future costs in connection with
the issuance of the Bonds, including, but not limited to, any fees and expenses incurred by the City in anticipation of
the issuance of the Bonds, the costs of printing an official statement, rating agency costs, bond and disclosure
counsel fees and expenses, underwriting discount and costs, trustee fees and expenses, and the cost of printing the
Bonds. In no event shall the City be liable to pay, from its own funds, any costs related to the issuance of the Bonds
or any of the debt service on the Bonds. Notwithstanding the foregoing, it is acknowledged that the City may make a
grant of up to $200,000 towards the financing of the acquisition of Las Casitas, but any such grant will be subject to
the approval by the City Council of the terms thereof by separate resolution of the City Council.
7. The City Manager, the Finance Director and the other appropriate officers of the City are hereby
authorized to proceed with the preparation of all documentation required for the issuance of the Bonds, and to
present the documents to this City Council for approval.
Resolution No. 01 -48
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8. The City Manager is hereby authorized and directed to appoint an underwriter for the Bonds,
following the submission of such additional information as is necessary to select such firm from the two firms
presently being considered to act as the underwriter for the Bonds. The law firm of Quint & Thimmig LLP is hereby
appointed as bond counsel and disclosure counsel to the City for the Bonds. The City Manager is hereby authorized
to enter professional services agreements with Quint & Thimmig LLP and the firm selected by the City Manager to
underwrite the Bonds, provided that any compensation received by such firms is contingent upon the successful
sale, issuance and delivery of the Bonds and is payable solely from the proceeds of the Bonds or any contribution by
the City in connection with the financing.
PASSED, APPROVED AND ADOPTED this 27th day of February, 2001, by the following vote:
AYES: (5) Councilmembers Flores, Reilly, Spiro, Vidak Martinez and
Mayor Mackenzie
NOES: (0)
ABSENT: (0)
FLORES: AYE REILLY: AYE SPIRO: AYE VIDAK- MARTINEZ: AYE MACKENZIE: AYE
AYES: (5) NOES: (0) ABSENT: (0) ABSTAIN: (0)