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HomeMy WebLinkAboutReso - CC - 070-2006RESOLUTION NO. 70-2006 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BURLINGAME APPROVING THE BOND PURCHASE AGREEMENT AND OFFICIAL STATEMENT IN CONNECTION WITH PENSION OBLIGATION BONDS AND AUTHORIZING OTHER MATTERS RELATING THERETO RESOLVED, by the City Council of the City of Burlingame: WHEREAS, the City Council (the "City Council") of the City of Burlingame (the "City") adopted a retirement plan pursuant to the Public Employees' Retirement Law, commencing with Section 20000 of the Government Code of the State of California, as amended (the "Retirement Law"); and WHEREAS, the Retirement Law obligates the City to (1) make annual contributions to the California Public Employees' Retirement System (the "System") to fund pension benefits for its employees, (2) amortize the unfunded accrued actuarial liability with respect to such pension benefits, and (3) appropriate funds for the purposes described in (1) and (2); and WHEREAS, the obligation of the City to pay its unfunded accrued actuarial liability to the System and its normal annual contribution to the System for its police, fire and miscellaneous pension plans (collectively, the "Pension Obligation") are evidenced by contracts between the City and the System, as heretofore and hereafter amended from time to time (collectively, the "PERS Contract"); and WHEREAS, under and pursuant to Resolution No. 43-2006 (the "POB Resolution") adopted on June 19, 2006, the City Council authorized the issuance of bonds (the "Pension Obligation Bonds") in an aggregate principal amount not to exceed the Pension Obligation, plus an additional amount to pay costs of issuance of the Pension Obligation Bonds, for the purpose of refunding the PERS Contract and thereby providing funds to the System in payment of all or part of the Pension Obligation; and WHEREAS, the City Council determined to supplement the POB Resolution as provided herein; and WHEREAS, there are on file with the City Clerk the proposed forms of Bond Purchase Agreement for the Pension Obligation Bonds (the "Purchase Agreement") between the City and E.J. De La Rosa & Co., hie. as underwriter (the "Underwriter") and the Preliminary Official Statement relating to the Pension Obligation Bonds, NOW, THEREFORE, IT IS RESOLVED AND ORDERED: Section 1. The proposed form of Purchase Agreement, between the City and the Underwriter, on file with the City Clerk, is hereby approved. The City Manager and the Finance Director/Treasurer (the "Authorized Representatives") are each hereby authorized and directed, severally, or any such officer's designee, for and on behalf of the City, to execute and deliver the Purchase Agreement, substantially in the form on file with the City Clerk, with such changes therein, deletions therefrom and additions thereto as such Authorized Representative shall approve, such approval to be conclusively evidenced by the execution and delivery thereof. Section 2. The proposed form of Preliminary Official Statement relating to the Pension Obligation Bonds (the "Preliminary Official Statement"), on file with the City Clerk, is hereby approved. The Authorized Representatives are each hereby authorized and directed, severally, or any such officer's designee, for and on behalf of the City, to execute the final Official Statement, and to deliver the Official Statement in substantially said form, with such changes therein, deletions therefrom and additions thereto, as such Authorized Representative shall approve, such approval to be conclusively evidenced by the execution and delivery thereof. Distribution by the Underwriter of a Preliminary Official Statement relating to the Pension Obligation Bonds is hereby approved. Section 3. The Authorized Representatives are each hereby authorized and directed, severally, or any such officer's designee, for and on behalf of the City, to execute a Continuing Disclosure Certificate containing such covenants of the City as shall be necessary to comply with the requirements of Securities and Exchange Commission Rule 15c2-12. The City hereby covenants and agrees that it will comply with and carry out all of the provisions of such Continuing Disclosure Certificate. Section 4. Except as otherwise herein specifically supplemented, all terms and provisions of the POB Resolution shall remain in full force and effect, and all authorizations, provisions and terms of the POB Resolution shall apply to this resolution with the same effect as if set forth herein. The officers and agents of the City are, and each of them hereby is, authorized and directed to do any and all things and to execute and deliver any and all documents which they or any of them deem necessary or advisable in order to consummate the transactions contemplated by this resolution, the Trust Agreement, the Purchase Agreement and the Pension Obligation Bonds and otherwise to carry out, give effect to and comply with the terms and intent of this resolution, including but not limited to investment agreements, forward purchase agreements and a letter of representations and other agreements with The Depository Trust Company, and all such actions heretofore taken by such officers are hereby ratified, confirmed and approved. Section 5. This resolution shall take effect froip and after date of adoption. MAYOR N I, DORIS MORTENSEN, City Clerk of the City of Burlingame, do hereby certify that the foregoing resolution was introduced at a regular meeting of the City Council held on the 5th day of September , 2006, and was adopted thereafter by the following vote: AYES: COUNCILMEMBERS: sAY.ocx, com=er, KnGnRAN, olmAaoay NOES: COUNCILMEMBERS: /:�:L`1:1►11YtK�lIL[�llllr ul: