CC Resolution No. 3873.26
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, E0137A-lla . ~ML:RJH:HK:ar 11/10/77
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RESOLUTION N0. 3873.26
~ A:RESOLUTION OF, THE. CITY ,COUNCIL OF THE CITY •OF .CUP.ERTINO,~ • ;
DETERMINING AMENDED._^,.UNPAID ~ASSESSM~NTS;bAN~D: PRO,V.~I;DING FOR
ISSUANCE OF BONDS
VALLCO PARR ASSESSMENT DISTRICT N0. 1974-2
~ SECOND SALE .
RESOLVED, by the City Council of the City of Cupertino,
California, that
WHEREAS, this Council has provided in proceedings conducted .
pursuant to its Reso.lution of Intention No. 3873.2, adopted
March 17, 1975, that serial bonds will be issued to represent the
unpaid assessments;
WHEREAS, this Council, by its Resolution No. 3873.10, adopted
November 18, 1975, provided for the issuance of $160,000 principal
amount of bonds, which bonds were sold and delivered to the
purchaser thereof, and by said resolution reserved jurisdiction to
issue additional bonds as funds are required for the project;
WHEREAS, a List of Unpaid Assessments in the amount of
$855,095.65 was filed with the Director of Finance of this City,
and, subsequent to the filing of said list, this Council, by its
Resolution Nos. 3873.15 and 3873.17, adopted May 3; 1976 and
September 19, 1977,.respectively, ordered the assessment increased
to $1,770,000; ' ,
WHEREAS, a complete list of all unpaid assessments upon the
assessment, as increased, has been made by the Collection Officer
and filed with the Director of Finance, which list is designated
"Amended List of Unpaid Assessments"; ~
WHEREAS, this Council has duly considered said amended list
and has determined that the same is an accurate statement thereof;
NOW, THEREFORE, THIS COUNCIL HEREBY DETERMINES AND ORDERS, as
follows:
1. Amended.List of Unpaid Assessments. That the assessments
now remaining unpaid are as shown on said amended list and on
Exhibit "A" attached hereto and by reference made a part hereof,
that the aggregate amount thereof is $1,770,000, and that for a
particular description of the lots or parcels of land bearing the
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respective assessment numbers set forth in said list, reference is
hereby made to the assessment and to the diagram recorded in the
' office of the Superintendent of Streets of this City after
confirmation by this Council.
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2. Issue. Bonds in the aggregate amount of $1,200,000 shall
be issued upon the security of said unpai.d assessments in accordance ~
with the provisions of the Improvement Bond Act of 1915 (Division 10
of the Streets and Highways Code) and under and pursuant to the !
provisions of said Resolution of Intention and the proceedings ~
thereunder duly had and taken. Jurisdiction is hereby reserved to ;
issue additional bonds in one or more increments as funds are ~
required for the project, which bonds, toqether with the bonds
heretofore issued aad the bonds herein authorized, shall not exceed
in aggregate the tdtal amount of the unpaid assessments. The bonds
herein authorized to be issued shall be known as "Improvement Bonds, ~
City of Cupertino, Vallco Park Assessment District No. 1974-2,
Series 1974-2B", be dated December 2, 1977, be numbered, of the
denominations and mature in the amounts and on the dates as set
forth in Exhibit "B" attached hereto and by this reference made a f'
part hereof. . ~ ~
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3. Interest. Said bonds shall bear interest from their date
at the rate or rates determined by this Council at the time of sale
of said bonds (not to exceed 8$ per annum), payable commencing on ~
January 2, 1979, and semiannually thereafter on July 2 and January 2.
of each year to maturity. ~
~ Each bond will continue to bear interest after maturity~at
the rate stated therein, provided it is presented at,maturity and
payment thezeof is refused on the sole ground that there is not
sufficient money in the redemption fund provided for herein with
which to pay same; if it is not presented at maturity, interest ~
thereon will run only until maturity. ~
4. Payable. The principal of and interest on said bonds
shall be payable in lawful money of the United States of America by
Bank of America National Trust and Savings Association, the.Paying
Agent of the City, at its principal office in San Francisco,
California. Principal and interest on any fully registered bonds
and principal on any bonds registered as to principal only shall be
paid by check, draft or warrant mailed to the registered owner at
the registered owner's address as the same appear on the registry
books provided for herein.
5. Form. The bonds, the registration endorsement thereon and
the coupons to be attached to the bonds shall be substantially in
the forms set forth in Exhibit "C" attached hereto and by this
reference made a part hereof, the blank spaces therein to be filled
in to conform to the provisions of this resolution.
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6. Execution. The bonds sha11 be executed on beha.lf of the
• City and un
e~-official seal by the Treasurer and by the Cler.k,
and the coupons shall be executed by the Treasurer whose signature
may be reproduced on the bonds and coupons by engraved, printed ar
lithographed facsimile thereof, and the official seal may be.placed
on the bonds in like manner; such signing and sealing shall
constitute and be a sufficient and binding execution of each and
every one of said bonds and coupons thereof, respectively.
If any officer whose signature appears on the bonds or
coupons ceases to be such officer before the delivery of the bonds .
to the purchaser thereof, such signature shall be as valid as if
such officer had remained in office until the delivery of. the bonds.
7.. Proceeds of Sale of Bonds. The proceeds received from the
sale of the on s, inclu ing 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 6e placed in the redemption fund provided for
herein.
8. Redemption Fund. The Treasurer shall keep a redemption
fund designated by the name of the bonds, into which shall be placed
any accrued interest~and all sums received from the collection of
unpaid assessments provided for in Section 9 hereof, and of the
interest and penalties thereon, and from which fund disbursement
shall be made to pay the principal of the bonds and the interest due
thereon.
9. Collection of Un aid Assessments. The unpaid assessments
shown on said list, toget er w t t e interest thereon, shall be
payable in annual series correspondinq in number to the number of
serial maturities of the bonds issued. An annual proportion of each
unpaid assessment shall be payable in each year preceding the date
of maturity of each of the several series of bonds issued,
sufficient to pay the bonds when due, and such proportion of each
unpaid assessment coming due in any year, together~with the annual
interest thereon, shall be payable in the same manner and at the .
same time and in the same installments as the general taxes of the
City on real property are payable, and become delinquent at the same
times and in the same proportionate amounts and b~ar the same
proportionate penalties and interest after delinquency as do the
general taxes on real property of the City. All sums received from
the collection of said unpaid assessments and of the interest and
penalties thereon shall be placed in the redemption fund provided ,
for herein.
10. Callable. Each bond outstanding may be redeemed and paid
in advance o~ maturity upon the second day of January or July in any
year by giving at least 60 days notice and by paying the principal
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amount thereof together with a premium equal to 5$ of the pri.ncipa.l
• plus interest to the date of advanced maturity, unless sooner
surrendered, in which event said interest will be paid to the daL•e
of payment, all in the manner and as provided in t:he Impr.ovemenl .
Bond Act of 1915. The provisions of part 11.1 of the bond act are
applicable to the advance payment of ~assessments and to the calling
of bonds. The Treasurer shall call for redemption and retire bonds
upon prepayment~of assessments in amounts sufficient therefor. In
selecting bonds for retirement, the lowest numbered bonds of the
various annual maturities shall be chosen pro rata .in a manner ,
intended to disturb as little as possible the relationship of unpaid
assessments to bonds outstanding.
11. Re istration of Bonds. Each bond may b~ registered as to
both principal an xnterest or as to principal alone, upon the
written request of the holder and upon presentation of the bond to
the Paying Agent, the Registrar for the bonds.
(a) Books of Re istration. The Registrar shall maintain
sufficient books for t e registration and transfer of the bonds,
and, upon presentation for such purpose, the Registrar shall, and
under such reasonable regulations as the Registrar may prescribe,
register or ~traris_fer or cause to be registered or transferred, on
the registry books, the bonds as herein provided.
(b) Princiaal and Interest. When a bond is presented for
registration as to bot principal an interest, the coupons shall be
removed therefrom and canceled (or preserved in a place of
safekeeping, at the option of the Registrar), and the number of the
bond, the name and address of the holder in whose name it is to be
registered, and the date of such registration~shall be entered in
the book of registered bonds, and a notation shall be made therein
and on the bond that registration is as to both principal and
interest. Until such registration is discharged as hereinafter
provided, the interest when due shall be payable only to the
registered owner.and the principal when due shall be payable only to
such owner upon surrender of the bond to the Registrar.
~ (c) Principal Only. When a bond is presented for
registration as to principal only, the number of ~he bond, the name~
and address of the holder in whose name it is to be registered, and
the date of such registration shall be entered in the book of
registered bonds, and a notation shall be made therein and on the
bond that registration~is as to principal on1y. In such case, the
coupons remain negotiable and transferable by delivery and shall not
be removed from the bond. 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 surrender of such
bond to the Registrar.
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(d) Transfer. A registered bond may be transferred only
. by the registerecTowner, in person or by attorney duly authorized,
by a written instrument of transfer in form acceptable to the
Registrar, and by the Registrar endorsing such transfer on the bond
and in the registry book.
(e) Deregistration. A registered bond may be discharged
from registration upon writ
en request of the registered owner.. In
such case, the Registrar shall transfer the bond to bearer by ~
appropriate endorsement on the bond and in the registry book, cause ~
all unmatured coupons that have been removed from the bond to be
reattached to the bond (such coupons to be reprinted, if necessary),
and deliver the bond and coupons to the owner, and thereupon
negotiability and transferability by delivery shall be restored.
(f) Rere istration. Deregistered bonds may be registered
again in the manner ereto ore provided.
(g) Char es. The person requesting registration,
transfer, or deregistration shall pay the Registrar's charges
therefor, including any cost of reprinting the coupons and any tax
or other governmental charge required to be paid with respect
thereto. ~ ~
13. The City of Cupertino hereby convenants that amounts which shall.,be
received ~~r.om the regulated public ~.utii'i:tiES :which_ will .b.ecome owners of the
utili;ty facili.ties=.•under agreements for reimbursement..of„a ~portion -of , the costs
thereof shall not.be accumulated in amounts whieh,Qtogether wi.th.any accumul.ated
original and~investment•~proceeds~ shall.b.e:.sufficient to_.enab.le retirement of ~
substantially.all of the bonds at a date,which:'is'significantly earli.er_than
the _l~ast maturi~ty thereof.,
14. On the basis of.the.£acts, es.timates and cixcumstances now.in existence
and in< existence on •the. date~ of :•is'Sue-of .tlie bonds,, as .determined by the Tr,easurer,
.tfie Treasurer is.authorized to certify that it is not expected tfiat the proceeds
of tfie issue will be used in a manner that would cause such obligations to be
arbi.trage bonds. Such certification shall be delivered to the purchaser together
with the bonds. •
15. The Clerk shall forward certified copies of this resolution to the
City Treasurer and to the Director of Finance of Santa Clara County.
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PASSED and ADOPTED at a reqular meeting of the CiLy Counc;i~l c~C
• the City of Cuper.t.ino this 21st day of November., 1977, by ~lie
following vote:
Vote Members of the Council
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AYES: Jackson, Meyers, Nellis, 0'Keefe, Frolich
NOES : None ~
ABSENT : None
ABSTAIN: None '
APPROVED:
. /s/ Donald A. Frolich
Mayor, City o Cupertino
ATTEST:
/s/ ~•7m. E. F.vder
City Clerc
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Resolution No. 3873.26
• Exhibit "A"
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. CITY OF CUPERTINO ~
VALLCO PARK ASSESSMENT DISTRICT N0. 1974-2
Assessment and Assessor's Amount of
Diagram No. Parcel No. Assessment
1 3Y6-20-32 $ 64,193.33
2 316-20-33 10,131.14
3 316-19-Por. 51
316-20-29 42,471.12
4 316-20-28 52,336.82
~ 5 ~ . 316-19-52 & Por. 51 114,216.83
6 316-19-50 &.53 252,615.88
~A 316-19-Por. 48 106,528.04
~B 316-19-Por. 48 37,068.38
, 8 316-19-Por. 46 100,686.99
9 ~ 316-19-40 ~ 126,385.75
10 316-19-Por. 46 . 316,073.96
11 316-19-Por, 46 252,364.05
12 316-19-Por. 42 & Por. 45 105,928.83
13 316-19-Por. 42 & Por. 45 147,147.12
14 316-19-25 21,368.29
15 316-19-26 20,483.47
$1,770,000.00
EXHIBIT "A" . ~
, . Resolution No. 3873.26
' • Exhib i t• ~ "B"
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CITY OF CUPERTINO
VALLCO PARK ASSESSMENT DISTRICT N0. 1974-2
$1,200,000 IMPROVEMENT BONDS, SERIES 1974-2B
Bond Numbers Principal Maturity Date
(Inclusive) Denomination Amount (July 2) ~
1 - 5 $5,000.00 $ 25,000.00 1979
6- 19 5,000.00 70,000.00 1980
20 - 34 5,000.00 75,000.00 1981
35 - 50 5,000.00 80,000.00 1982
51 - 67 5,000.00 85,000.00 1983
68 - 85 5,000.00 90,000.00 1984
86 - 104 5,000.00. 95,000.00 .1985
• 105 - 124 5,000.00 100,000.00 1986
125 - 145 5,000.00 105,000.00 1987
146 - 167 5,000.00 110,000.00 1988
168 - 191 5,000.00 120,000.00 1989
192 - 215 5,000.00 120,000.00 1990
216 - 240 5,000.00 125,000.00 1991
EXHIBIT "B"
Resolution No. 3873.26
~ ' ~ ~ Exhibit "C"
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BOND FORM. The bonds shall be substantially in t~he following
. form:
UNITED STATES OF AMERICA
STATE OF CALIFORNIA COUNTY OF SANTA CLARA
IMPROVEMENT BOND
CITY OF.CUPERTINO
VALLCO PARK ASSESSMENT DISTRICT N0. 1974-2
SERIES 1974-2B
BOND N0. $ ~
Under and by virtue of the Improvement Bond Act of 1915,
Division 10 of the Streets and Highways Code, the City of Cupertino,
State of California, will, on the second day of July, 19 , out of
the redemption fund for the payment of the bonds issued upon the
unpaid portion of the assessments made for the acquisition, work and
improvements more fully described in the proceedings~taken pursuant
to Resolution of Intention No. 3873.2, adopted by the City Council
of said City on the 17th day of March, 1975, pay to bearer (or, if
this bond is registered as herein provided, to the registered owner
~ hereof) the sum of
~ Dollars )
with interest thereon from the second day of December, 1977, at the
rate of percent ( per annum, all as is hereinafter
specifiec'T,-an-?c at Bank o~rica National Trust and Savings
Association, the Paying Agent of the City, at its principal of_fice
in San Francisco, California.
This bond is one of several annual series of bonds of like
date, tenor and effect, but differing in interest rates and
maturities, issued by said City under said law for the purpose of
providing means for paying for the acquisition, work and
improvements described in said proceedings, and is secured by the ~
moneys in said redemption fund and by the unpaid portion of the
assessments made for the payment of said acquisition, work and
improvements, and, including principal and interest, is payable
exclusively out of said fund.
The interest is payable semiannually, to wit: On the second
days of January and July in each year hereafter, upon presentation
of the proper coupons therefor; provided, that the first of said
coupons is for the interest to the second day.of January, 1979, and
thereafter the interest coupons are for the semiannual interest.
EXHIBIT "C"
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. This bond wi.1.1 continue to bear interest after maturity at the
rate above stated; provided, it is presented at maturity and payment
' there~F is refused upon the sole ground that there is not suffic.ient
money in said redemption fund with which to pay same; if it is not
pr.esented at maturity, interest thereon wi11 run until maturity.
This bond may be registered as to principal and interest or as .
to principal only, with.the privilege of transfer, discharge from
registration and reregistration, upon written request of the owner
and presentation of the bond to the Paying Agent, the Registrar
therefor, and payment of the charges,.if any, including any cost of
reprinting the coupons, all as set forth in the resolution providing
for the issuance hereof.
~ This bond may be redeemed and paid in advance of maturity upon
the second day of January or July in any year by giving the notice
provided in said law and by paying principal and accrued interest
together with a premium equal to five per centum of the principal.
IN WITNESS WHEREOF, said City of Cupertino has caused this
bond to be signed by the Treasurer of said City and by its Clerk,
has caused the coupons attached hereto to be signed by the
Treasurer, and has caused its Clerk to affix hereto its official
seal, all on the second day of December, 1977.
Treasurer, City of Cupertino Clerk, City of Cupertino
( SEAL)
INTEREST COUPON FORM. The coupons to be attached to the bonds
shall e su stantial y in the following form:
CITY OF CUPERINTO, California; will, on the due Due 2, 19
date hereof, unless the bond specified herein ~
is redeemed prior thereto, pay to bearer the $
sum hereon at Bank of America National Trust
and Savings Association, the Paying Agent of
the City, at its principal office in San Coupon No.
Francisco, California, as interest on its
IMPROVEMENT HOND designated VALLCO PARR ASSESS-
MENT DISTRICT N0. 1974-2, SERIES 1974-2B, No.
dated December 2, 1977.
Treasurer, City of Cupertino
EXHIBIT "C"
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~ REGISTRATION FORM. The form of endorsement for registration
' on sai on s s a e substantially as follows:
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~ This bond is registered in the name of the registered owner •
last entered below, and both the principal of.and interest on this .
bond are payable.only to such owner, unless registered as to
, principal only, in which event only the principal is so payable;
. provided that this bond may be registered to beaier and thereby
~ discharged from registration and the negotiability hereof restored.
NOTE: There must be no writing below except by the Registrar.
Date of Type of Name an A ress Signature o
Registry Registration* of Registered Owner Registrar
r inc ipaT'anly ~
and Interest
rinc pa n y
and Interest
r ncpa ny .
:and Interest
rincipa n y
~ and Interest
*If registration is as to principal only; strike the words "and
Interest"; if as to principal and intere'st, strike the word "only".
EXHIBIT "C"
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