HomeMy WebLinkAbout10/04/1994, C-8 - REFUNDING OF 1986 LEASE REVENUE BONDS Auulll city o f Sa 1 LUIS OB�SPO MEETING DA
COUNCIL AGENDA R ORT ITEM NUMBER:
FROM: William C. Statler, Director of Finance
Prepared by: Linda Asprion, Revenue Managerlgeooll
SUBJECT: REFUNDING OF 1986 LEASE REVENUE BONDS
CAO RECOMMENDATION
Adopt a resolution amending the deadline from October 1, 1994 to December 31, 1994 for the
sale of the refunding bonds which will be used to refinance the 1986 Lease Revenue Bonds.
DISCUSSION
On June 7, 1994 the Capital Improvement Board approved the refunding of the 1986 Lease
Revenue Bonds. The authorizing resolution adopted by the Board provided a three month
timeframe for completing the refunding, which ends October 1, 1994. While the "ground
work" necessary to complete the refunding has been performed, the continued volatility of the
financial markets has delayed us in going forward with the refinancing. Accordingly, we are
requesting an extension of the time period, by two months, to December 31, 1994 to complete
the refunding of the 1986 Lease Revenue Bonds.
This delay should not be construed to mean that sufficient savings are not available to justify
the refinancing. We simply want to ensure that the refinancing goes forth at the best possible
time to ensure maximum savings.
FISCAL EWPACT
There are no adverse fiscal impacts associated with extending the timeframe to complete the
refunding of the .1986 Lease Revenue Bonds.
ATTACHMENT
Resolution amending the deadline for the sale of the refunding bonds for the purpose of .
refinancing 1986 lease revenue bonds
RESOLUTION NO. (1994 Series)
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SAN LUIS OBISPO CAPITAL IMPROVEMENT BOARD
AMENDING RESOLUTION NO. 8303 RELATING TO THE
ISSUANCE AND SALE OF REFUNDING BONDS FOR
THE PURPOSE OF REFINANCING 1986 LEASE REVENUE BONDS
WHEREAS, the City of San Luis Obispo Capital Improvement Board
(the "Board") has previously adopted its Resolution No. 8303 on
June 7, 1994, (the "Bond Resolution") authorizing the issuance and
sale of its 1994 Refunding Lease Revenue Bonds in the principal
amount of not to exceed $12,750, 000 (the "Bonds") for the purpose
of refunding its outstanding $13, 970, 000 aggregate principal amount
of Lease Revenue Bonds (Capital Improvement Projects) , Series 1986,
and approving related matters; and
WHEREAS, Section 3 of the Bond Resolution provides that the
authorization to sell the Bonds thereunder expired on October 1,
1994; and
WHEREAS, due to unforeseen circumstances in the municipal bond
market, the Bonds were not sold pursuant to the Bond Resolution
prior to October 1, 1994, and the Board wishes at this time to
amend the Bond Resolution to extend such deadline;
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of
the City of San Luis Obispo Capital Improvement Board as follows:
SECTION 1. Amendment of Bond Resolution. Section 3 of the
Bond Resolution is hereby amended by deleting the date "October 1,
1994" and inserting in its place the date December 31, 1994 . " In
all other respects, the terms and provisions. of the Bond Resolution
shall remain in full force and effect.
Resolution No. (1994 Series)
Page Two
Section 2. Effective Date. This Resolution shall take
effect immediately upon its passage and adoption.
On motion of , seconded by
and on the following roll call vote:
AYES:
NOES: .
ABSENT:
the foregoing Resolution was adopted this day of
1994.
President
ATTEST:
Secretary
APPROVED AS TO FORM:
Board Attorney e,w,,,
JJ
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