Resolution 1976-07
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RESOLUTION NO. 76- 7
A RESOLUTION DETERHINING UNPAID ASSESSMENTS
AND PROVIDING FOR ISSUANCE OF BONDS
MURRAY AVENUE IMPROVEMENT DISTRICT
PROJECT 1975-5
SERIES 1975-5A
SERIES 1975-5B
$33,266.98
$90,101. 53
RESOLVED, by the City Council of the City of Gilroy,
California, that
WHEREAS, this Council did on November 17, 1975, pass and adopt
its Resolution No. 75-51 of Preliminary Determination and of Intention
relating to the acquisition and construction of public improvements
in said City, and did provide therein and in the proceedings had
thereunder that serial bonds would be issued upon the security of
the unpaid assessments levied pursuant thereto, reference to said
resolution and proceedings hereby being expressly made for further
particulars;
WHEREAS, notice of the recordation of the assessment and of the
time within which assessments may be paid in cash has been duly
published and mailed in the manner provided by law, and the time so
provided for receiving payment of assessments in cash has expired,
and the Director of Finance has filed in his office a list of all
assessments which now remain unpaid; and
WHEREAS, the Council has duly considered said list and has de-
termined that the same is an accurate statement thereof;
NOW, THEREFORE, IT IS HEREBY ORDERED, as follows:
1. List of Unpaid Assessments. That the assessments now
remaining unpaid are as shown on said list and on Exhibit "A" hereto
attached and by reference made a part hereof, that the aggregate
amount thereof is $123,368.51, and that for a particular description
of the lots or parcels of land bearing the respective assessment
RESOLUTI ON NO. 7 6 -7
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numbers set forth in said list, reference is hereby made to the
assessment and to the diagram recorded in the office of the Superin-
tendent of Streets of this City after confirmation by this Council,
the several lots or parcels of land represented by said assessment
numbers being so numbered and designated upon said diagram and
assessment as so confirmed and recorded, severally and respectively.
2. Bonds - Series 1975-SA. Bonds in the amount of $33,266.98
shall be issued pursuant to chapter 4.5, commencing with Section 6468,
of Part 5, Division 7 of the Streets and Highways Code, the Improve-
ment Act of 1911, secured by Assessment No. 3 in said amount,
assessed on property belonging to the Gilroy Unified School District.
Said bonds shall be designated Series 1975-5A, be dated April 2,
1976, and the principal and interest thereof shall be payable in
lawful money of the United States of America at the principal office
of Bank of America National Trust and Savings Association, San
Francisco, California, Paying and Registration Agent of the City,
and shall bear interest from their date to their respective dates
of maturity at the rate or rates determined in the highest bid
therefor (not to exceed eight percent (8%) per annum), represented
by coupons payable on December 2 and June 2 of each year, commencing
on December 2, 1976. The denomination of said bonds and their
respective numbers and dates of maturity are as shown on Exhibit liB"
hereto attached and made a part hereof by reference.
(a) Collection of Assessment - Redemption Fund. Collec-
tion of installments of the unpaid assessment of Assessment No. 3
and the interest thereon shall be made by the Director of Finance
on special bills transmitted at least 30 days prior to the 1st day
of July of each and every year after the date of the bonds until
the bonds are paid in full. Said assessment, constituting the
security for the Series 1975-5A bonds, is an enforceable obligation
against the Gilroy Unified School District and the School District is
obligated to include in the tax levy for each and every fiscal year
of the period of the bonds an amount, in addition to moneys for all
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annum), represented by coupons payable on January 2 and July 2 of
each year, commencing on January 2, 1977. The denomination of said
bonds and their respective numbers and dates of maturity are as
shown on Exhibit "c" hereto attached and made a part hereof by
reference.
(a) Collection of Assessments - Redemption Fund. The
unpaid assessments shown on said list (except Assessment No.3),
together with the interest thereon, shall remain and constitute a
trust fund for the redemption and payment of the Series 1975-5B
bonds and of the interest which may be due thereon, which unpaid
assessments shall be taxable in annual series corresponding in
number to the number of serial maturities of the bonds issued, and
an annual proportion of each assessment shall be payable in each
year preceding the date of the maturity for each of the several
bonds issued, and such proportion of each assessment coming due in
any year, together with the annual interest thereon, shall be
payable in installments as the general taxes of the City on real
property are payable, and shall become delinquent at the same time
and in the same proportionate amounts and bear the same proportionate
penalties for delinquency. The Director of Finance shall keep a
redemption fund designated Series 1975-5B Improvement Bond Redemption
Fund, or similar title, into which shall be placed all sums received
from the collection of said assessments and of the interest and
penalties thereon and from which fund disbursement shall be made to
pay the bonds and the interest due thereon.
(b) Callable. Any of the Series 1975-5B bonds may be re-
deemed and paid in advance of maturity upon the second day of January
or July in any year after their date by giving at least 60 days
notice and by paying the principal amount thereof together with a
premium equal to 5% of the principal plus interest to the date of
advanced maturity, unless sooner surrendered, in which event said
interest will be paid to the date of payment, all in the manner and
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as provided for in said Bond Plan B. The provisions of Part 11.1
of the Improvement Bond Act of 1915, as incorporated in said Bond
Plan B, apply to the advance payment of assessments and to the
calling of bonds.
4. Execution and Form. All of the bonds shall be executed on
behalf of the City and under its official seal by the Director of
Finance and Clerk, and the coupons attached to the bonds shall be
executed by the Director of Finance, whose signature may be repro-
duced on the bonds and coupons by engraved, printed or lithographed
facsimile thereof, and the official seal may be placed on the bonds
in like manner; and such signing and sealing shall constitute and
be a sufficient and binding execution of each and everyone of said
bonds and coupons thereof, respectively.
5. Registration of Bonds. Any of said bonds may be registered
as to both principal and interest or as to principal alone, and if
registered may be deregistered, reregistered or the ownership thereof
transferred, upon the written request of the holder or registered
owner and presentation of the bond to the Registration Agent for
such purpose.
(a) Principal and Interest. When a bond is presented for
registration as to both principal and interest the coupons shall be
removed therefrom and canceled (or preserved in a place of safekeeping,
at the option of the Registration Agent) ,and the number of the bond
and the name and address of the person in whose name it is to be
registered shall be entered in the book of registered bonds required
to be maintained by the Registration Agent, and a notation shall be
made therein and on the back of the bond that registration is as to
both principal and interest. Until such registration is discharged
as hereinafter provided, the interest shall be payable only to the
registered owner, and the principal shall be payable only to such
owner upon presentation of the bond to the Registration Agent.
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(b) Principal Only. When a bond is presented for registra-
tion as to principal only, a notation to that effect shall be made
in the registry book and on the back of the bond, the coupons remain
negotiable and transferable by delivery and shall not be removed;
interest on such bond shall be paid to the person presenting the
coupons for payment; principal, however, shall be paid only to the
registered owner upon presentation of such bond to the Registration
Agent.
(c) Transfer. A registered bond may be transferred only
by the registered owner, in person, or by attorney duly authorized,
by a written instrument of transfer in form acceptable to the
Registration Agent, and by the Registration Agent endorsing on the
back of the bond and in the registry book the fact of the transfer.
(d) Deregistration. A registered bond may be discharged
from registration upon written request of the registered owner.
The Registration Agent shall transfer the bond to bearer by appro-
priate endorsement on the back of the bond and in the registry
book, cause all unmatured coupons to be reattached to the bond,
where necessary, and deliver the bond and coupons to the owner,
and thereupon negotiability and transferability by delivery shall
be restored; until registered again, the principal and interest
shall be payable to bearer upon surrender of the coupons and bond,
as due.
(e) Reregistration. Deregistered bonds may be registered
again, in the manner heretofore provided.
(f) The person requesting registration, transfer or de-
registration, shall pay any charges therefor, including any cost of
reprinting the coupons.
(g) There shall be provided on the back of each bond a
suitable statement with appropriate blanks to be signed by the
Registration Agent indicating the date of registration or transfer,
the type of registration and the name and address of the registered
owner.
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6. Bond and Coupon Form. Except for such changes as are
necessary to conform to the provisions of this resolution, the
Series 1975-5A bonds shall be substantially in the form set forth in
Section 6468 of the Streets and Highways Code, and the Series 1975-5B
bonds shall be substantially in the form set forth in said Bond
Plan B. The coupons attached to the bonds shall be numbered con-
secutively and be substantially in the following form, to wit:
The CITY OF GILROY, California, will, on On 2,
the due date hereof, unless the bond specified 19
herein is redeemed prior thereto, pay to bearer
the sum hereon at the principal office of $
Bank of America National Trust and Savings
Association, San Francisco, California, Paying
and Registration Agent of said City, as interest Coupon No.
on its Improvement Bond, Murray Avenue Improve-
ment District, Project 1975-5, dated April 2, 1976.
SERIES 1975-5A No.
(l975-5B)
Director of Finance
7. Proceeds of Sale of Bonds. The proceeds received from the
sale of the bonds, including any premium, shall be placed in the fund
for the acquisition and/or construction of the project, except that
any interest accrued from the date of the bonds to the date of delivery
thereof shall be placed in the applicable redemption fund provided for
in Sections 2(a) and 3(a) hereof.
8. On the basis of the facts, estimates and circumstances now
in existence and in existence on the date of issue of the bonds, as
determined by the Director of Finance, the Director of Finance is
authorized to certify that it is not expected that the proceeds of
each issue will be used in a manner that would cause such obligations
to be arbitrage bonds. Such certification shall be delivered to the
purchaser together with the bonds.
9. The Clerk shall forward certified copies of this resolution
to the Director of Finance of the City and to the Director of Finance
of Santa Clara County.
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I hereby certify the foregoing is a full, true and correct
copy of a resolution duly passed and adopted by the City Council
of the City of Gilroy, California, at a meeting thereof held on
the 1st day of March, 1976, by the following vote of the members
thereof:
AYES, and in favor thereof, Council members: CHILDERS, DeBELL,
LINK, PATE and GOODRICH.
NOES, Council members: None
ABSENT, Council members: DUFFIN and STOUT.
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APPROVED:
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LIST OF UNPAID ASSESSMENTS
MURRAY AVENUE IMPROVEMENT DISTRICT
PROJECT 1975-5
Assessment Assessor's Amount of Ass'd ValIn
Number Parcel No. Assessment Land Impv't
2 841-01-062 $ 30,928.18 $ 58,925 $ 85,525
3 841-02-016 33,266.98 Gilroy School Distr.
4 841-59-002 8,526.54 5,310 430
5 841-59-003 3,581.77 10,290 226,930
6 841-59-004 1,036.83 4,250 25,650
7 841-59-005 35,144.31 14,520
8 841-59-006 10,883.90 7,880 2,050
$123,368.51 $101,175 $340,585
EXHIBIT "A"
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CITY OF GILROY
MURRAY AVENUE IMPROVEMENT DISTRICT
PROJECT 1975-5
SERIES 1975-5A
$33,266.98
Bond Principal Date of Maturity
Numbers Amount (June 2)
1 $1,266.98 1977
2-5 4,000.00 1977
6-11 6,000.00 1978
12-18 7,000.00 1979
19-25 7,000.00 1980
26-33 8,000.00 1981
NOTE: All bonds in the denomination of $1,000 each
except Bond No.1 in amount of $1,266.98.
EXHIBIT "B"
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CITY OF GILROY
MURRAY AVENUE IMPROVEHENT DISTRICT
PROJECT 1975-5
SERIES 1975-5B
$90,101. 53
Bond Principal Date of Maturity
Numbers Amount (July 2)
1 $ 101.53 1977
2 1,000.00 1977
3-5 3,000.00 1978
6-9 4,000.00 1979
10-13 4,000.00 1980
14-17 4,000.00 1981
18-22 5,000.00 1982
23-27 5,000.00 1983
28-32 5,000.00 1984
33-38 6,000.00 1985
39-45 7,000.00 1986
46-53 8,000.00 1987
54-61 8,000.00 1988
62-70 9,000.00 1989
71-80 10,000.00 1990
81-91 11,000.00 1991
NOTE: All bonds in the denomination of $1,000.00 each
except Bond No.1 in amount of $101.53
EXHIBIT "C"