HomeMy WebLinkAboutCC Reso 2020-22 - Authorizing JPA for Creation of Ukiah Public Financing Authority RESOLUTION NO. 2020-22
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH DECLARING THE CITY COUNCIL AS
THE BOARD OF DIRECTORS OF THE INDUSTRIAL DEVELOPMENT AUTHORITY OF THE CITY OF
UKIAH AND AUTHORIZING AND DIRECTING THE EXECUTION AND DELIVERY OF A JOINT EXERCISE
OF POWERS AGREEMENT NECESSARY FOR THE CREATION OF THE UKIAH PUBLIC FINANCING
AUTHORITY
WHEREAS, the City of Ukiah (the "City") is a municipal corporation and general law city duly organized and
validly existing under the Constitution and laws of the State of California, and
WHEREAS, on January 4, 1984, the City Council (the "City Council") adopted Ordinance No. 824 creating
the Industrial Development Authority of the City of Ukiah (the "IDA"), authorizing it to transact business and
exercise all of the powers and other authority conferred upon industrial development authorities by Title 10
(commencing with section 91500) of the California Government Code (the "Act"); and
WHEREAS, Section 91522 of the Act provides that all powers vested in an industrial development authority
shall be exercisable by a board of directors appointed by the City Council: and
WHEREAS, Section 91523 of the Act provides that as an alternate to the appointment of a board of directors
of an industrial development authority, the City Council by resolution may declare itself to be the board of
directors of its industrial development authority in its sole discretion and at any time; and
WHEREAS, Section 91523 of the Act further provides that if the City Council declares itself to be the board
of directors of its industrial development authority all of the rights, powers, privileges, duties, liabilities,
disabilities, and immunities vested in such board shall be vested in the City Council as such board; and
WHEREAS, the City Council desires to declare itself to be the Board of Directors of the IDA pursuant to the
Act: and
WHEREAS, the City, upon authorization of the City Council, may, pursuant to Article 1 (commencing with
Section 6500) of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California (the
"JPA Law"), enter into a joint exercise of powers agreement with one or more other public agencies pursuant
to which such contracting parties may jointly exercise any power common to them or conferred to them by
the JPA Law; and
WHEREAS, the City and the IDA intend to enter into a joint exercise of powers agreement pursuant to the
JPA Law (the"JPA Agreement") pursuant to which the Ukiah Public Financing Authority (the"Authority") will
be created to, among other things, make loans and purchase and sell bonds of local agencies, at public or
private sale as authorized by the Marks-Roos Local Bond Pooling Act of 1985 constituting Article 4
(commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the California Government Code (the
"Bond Pooling Act"); and
WHEREAS, under California law and the JPA Agreement, the Authority will be a public entity separate and
apart from the parties to the JPA Agreement and the debts, liabilities and obligations of the Authority will not
be the debts, liabilities or obligations of the City or the IDA or any representative of either the City or the IDA
serving on the governing body of the Authority (the "Governing Board"), and
WHEREAS, this City Council proposes to authorize the execution of the above-referenced JPA Agreement,
in substantially the form presented to this City Council, and
WHEREAS, all acts, conditions and things required by the Constitution and laws of the State of California to
exist, to have happened and to have been performed precedent to and in connection with the consummation
of the transactions authorized hereby do exist, have happened and have been performed in regular and due
time, form and manner as required by law, and the City is now duly authorized and empowered, pursuant to
each and every requirement of law, to consummate such transactions for the purpose, in the manner and
upon the terms herein provided;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ukiah, as follows:
SECTION 1. Declaration of City Council. This City Council hereby specifically finds and declares
that the actions authorized hereby constitute and are with respect to public affairs of the City, and that the
statements, findings and determinations of the City set forth in the preambles above and of the documents
approved herein are true and correct.
SECTION 2. Designation of IDA Board and Officers. The City Council hereby declares itself to
be the Board of Directors of the IDA (the "Board of Directors"). The Board of Directors shall consist of five
(5)directors. Each member of the City Council shall be a member of the Board of Directors by virtue of being
a member of the City Council. The offices of President, Vice-President, Executive Director, Treasurer, and
Secretary of the Board of Directors shall be held by the Mayor, Vice Mayor, City Manager, Finance Director
and City Clerk or Acting City Clerk of the City, respectively.
SECTION 3. JPA Agreement. The form of JPA Agreement, presented to this meeting and on file
with the City Clerk is hereby approved. The City Manager and Finance Director, each acting alone, is hereby
authorized and directed to execute the final JPA Agreement, for and in the name of and on behalf of the City,
with such changes therein as such officer may require or approve, with such approval to be conclusively
evidenced by the execution and delivery thereof.
SECTION 4. Purpose of the JPA Agreement. The purpose of the JPA Agreement and the creation
of the Authority is for the City and the IDA, through the Authority, to jointly exercise the powers set forth in
both the JPA Law and the Bond Pooling Act, including, but not limited to, (i)the purchase and sale, at public
or negotiated sale, certain obligations issued by members of the Authority, or (ii) make loans, secured or
unsecured, to local agencies, or (iii) sell, at public or negotiated sale, obligations, or (iv) issue and sell, at
public or negotiated sale, bonds secured in whole or in part by such obligations. Reference is hereby made
to both the JPA Law and the Bond Pooling Act for a complete recital of the powers of the Authority the
exercise of which is the purpose of the Authority. The Authority is authorized, in its own name, to do all acts
necessary to exercise such powers in order to fulfill the purposes of the JPA Agreement.
SECTION 5. Determination of Significant Public Benefits. The City has determined and hereby
declares that the creation of the Authority for the express purpose of providing a pool of funds from which
the City may draw to finance and/or refinance local public capital improvements offers significant public
benefits in that there will be both (i)demonstrable savings in effective interest rates, bond preparation costs,
bond underwriting, and other bond issuance costs by having the Authority purchase the City's obligations
rather than selling them to the public by some other means, and (ii) more efficient delivery of services to
residential and commercial development within the City.
SECTION 6. Attestation and Seal. The City Clerk is hereby authorized and directed to attest the
signature of the authorized signatory, and to affix and attest the seal of the City, as may be required or
appropriate in connection with the execution and delivery of the JPA Agreement.
SECTION 7. Further Actions. The Mayor, City Manager, Finance Director and City Clerk, and any
other City officer or official authorized by resolution of the City council, is hereby authorized and directed,
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jointly and severally, to do any and all things and to execute and deliver any and all documents which they
may deem necessary or advisable in order to consummate, carry out, give effect to and comply with the
terms and intent of this resolution and the JPA Agreement. Such actions heretofore taken by such officers
are hereby ratified, confirmed and approved.
SECTION 8. Effective Date. This resolution shall take effect immediately upon its passage and
adoption.
PASSED AND ADOPTED by the City Council of the City of Ukiah on May 5, 2020 by the following
vote:
AYES: Councilmembers Mulheren, Brown, Scalmanini, Orozco, and Mayor Crane
NOES: None
ABSTAIN: None
ABSENT: None
Douglas . Crane, Mayor
ATTEST:
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Kristine Lawler, City Clerk
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