HomeMy WebLinkAboutTC Res 2021-08-04 (4)Page 1 of 2 Town Council Resolution No. 34-2021 08/04/2021
RESOLUTION NO. 34-2021
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF
TIBURON AUTHORIZING THE DISPOSITION OF SURPLUS MONEY IN THE FUNDS FOR THE TOWN OF TIBURON ASSESSMENT DISTRICT NO. 2017-2 (VIRGINIA UNDERGROUNDING DISTRICT)
WHEREAS, the Town Council of the Town of Tiburon (the “Town”) has previously adopted Town Council Resolution No. 2996 supporting the undergrounding of overhead utility wires and poles and has adopted Policy and Procedures for the Formation of Utility Undergrounding Assessment Districts (the “Policies”); and
WHEREAS, in accordance with the Policies, this Town Council has taken proceedings under
the Municipal Improvement Act of 1913, Division 12 of the California Streets and Highways Code (the “Code”) to form the Town of Tiburon Assessment District No. 2017-2 (Virginia Undergrounding District) (the “Assessment District”) and has levied assessments on the land within the Assessment District and issued bonds secured by such assessments (the “Bonds”); and
WHEREAS, after the completion of the improvements and the payment of all the claims from the Improvement Fund established for the Assessment District by the Bond Indenture by and between the Town and U.S. Bank National Association, as trustee (the “Trustee”) pursuant to which the Bonds were issued (as supplemented from time to time, the “Indenture”), there remains a surplus
in the Improvement Fund in the amount of approximately $120,600; and
WHEREAS, pursuant to Sections 10427 of the Code, such surplus money remaining in the Improvement Fund may be used for a number of different purposes, including to call Bonds, thereby reducing outstanding assessments and subsequent assessment installments; and
WHEREAS, the Town Council of the Town now desires to declare all the amounts remaining
in the Improvement Fund for the Assessment District surplus and to direct that such surplus amounts be applied as set for in Sections 10427(d) and 10427.1 of the Code; and
WHEREAS, in approximately November 2020, at the request of the Trustee the Town transferred $27,149.03 to the Trustee for deposit in the Reserve Fund established for the Bonds, and
the Trustee has now determined that such funds are in excess of the Reserve Requirement established for the Bonds and the Town desires to have such excess returned to the Town; and
NOW, THEREFORE, the Town Council of the Town of Tiburon DOES HEREBY FIND, DETERMINE, RESOLVE, AND ORDER as follows:
Section 1. The above recitals are all true and correct.
Section 2. Pursuant to Section 10427 of the Code, the Town Council of the Town hereby declares all amounts on deposit in the Improvement Fund established by the Indenture to be surplus.
Section 3. The Town Council hereby directs that that the surplus funds described in the foregoing Section 2 are to be applied in accordance with Section 10427(d) of the Code to optionally
redeem a portion of the Series B Bonds issued and outstanding under the Indenture on September 2,
DocuSign Envelope ID: 9297BE09-DA33-409E-B45D-AFAB4D8376B7
Page 2 of 2 Town Council Resolution No. 34-2021 08/04/2021
2025 and to provide a credit to any assessment previously paid in cash in the amount of such assessment’s proportionate share of the surplus funds, as described in Section 10427.1 of the Code.
Section 4. The Town Council hereby authorizes the Town Manager, and any other proper official of the Town, to take all actions necessary to carry out the disposition of such surplus funds in accordance with Sections 10427(d) and 10427.1 of the Code and to provide notice to the owners of the Series B Bonds of the planned redemption on September 2, 2025.
Section 5. The Town Council hereby authorizes the Town Manager, and any other proper official of the Town, to take all actions necessary to instruct the Trustee to return to the Town the $27,149.03 transferred by the Town to the Trustee in November 2020 for deposit in the Reserve Fund.
Section 6. This Resolution shall take effect immediately upon its adoption.
Section 7. The Town Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.
PASSED, APPROVED, and ADOPTED on August 4, 2021.
HOLLI P. THIER, Mayor
ATTEST:
LEA STEFANI Town Clerk
DocuSign Envelope ID: 9297BE09-DA33-409E-B45D-AFAB4D8376B7