HomeMy WebLinkAboutResolution 1992 - 0054RESOLUTION NO.92-54-13
DEDICATING REVENUES FOR THE PAYMENT OF OBLIGATIONS
A RESOLUTION OF THE BOARD OF DIRECTORS OF DISTRICT NO.1.3
OF ORANGE COUNTY,CALIFORNIA DEDICATING ITS REVENUES FOR
THE PAYMENT OF OBLIGATIONS
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WHEREAS,District No.13 is a County Sanitation District
organized and existing pursuant to the provisions of the County
Sanitation District Act,California Health &Safety Code Section
4700 et seq.;and
WHEREAS,District is a signatory agency to the Joint
Ownership,Operation and Construction Agreement by and among the
several County Sanitation Districts of Orange County,California to
provide for the joint administrative organization and to jointly
acquire,construct and operate wastewater collection,treatment and
disposal facilities dated and effective July 1,1985;and,
WHEREAS,pursuant to the terms of the Joint Ownership,
Operation and Construction Agreement,the District is obligated to
make payments on a pro rata basis with each of the other signatory
Districts to the Agreement,for the construction of joint
facilities,and to additionally make payments on a pro rata basis
with each other District for the cost of operation and maintenance
of the joint facilities;and,
WHEREAS,District has delivered Certificates of Participation
in 1990,as a financing mechanism to assist in paying the cost of
the acquisition and construction of District facilities and joint
works facilities;and,
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WHEREAS,District,in the course of the 1990-92 Certificates
of Participation financing,received very favorable credit ratings
based upon its financial stability and the reliability of its
sources of revenues,thus resulting in more favorable interest
rates on the obligations and a lower net cost to the ratepayers of
the District;and,
WHEREAS,the District,in order to fulfill the capital
facilities requirements of its 30-year Master Plan,is
contemplating additional Certificates of Participation financing
during 1992 and subsequent years,to assist in paying the cost of
the acquisition and construction of additional District facilities
and joint works facilities;and,
WHEREAS,future financing obligations will be most cost
effective if the District again receives favorable credit ratings
and is able to sell its obligations at the lowest possible interest
rates;and,
WHEREAS,the District has determined that (a)a dedication of
its revenues,and in particular its most reliable revenues,towards
the payment of its obligations under the Joint Ownership,Operation
and Construction Agreement and under long—term financing,past and
future,will benefit the ratepayers of the District;and (b)
dedicated reliable revenue sources and the related higher credit
ratings are of considerable importance to investors purchasing the
long-term financing obligations of the District,as is evidenced by
the successful prior financing issues which were able to rely upon
the annual sewer service charges.
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NOW,THEREFORE,the Board of Directors of County Sani~ation
District No.13 of Orange County,California,
DOES HEREBY RESOLVE,DETERMINE AND ORDER AS FOLLOWS:
Section 1 To assure the continued financial viability of
this District,and for the benefit of all other Districts,and
understanding that each other District will similarly make such a
dedication,District No.13 hereby dedicates its revenues,in.the
following order of priority:
First:Its sanitary sewer service charges,and
Second:Its other revenues,
to meet its obligations under the Joint Ownership,Operation and
Construction Agreement,the Agreements for Acquisition and
Construction and Certificates of Participation,1990-92 Series A,
and any future agreement or agreements for acquisition,
construction,maintenance or operations of the sewers,works of
other facilities designated by the District as receiving the
benefit of this dedication.
PASSED AND ADOPTED at a regular meeting held May 13,1992
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STATE OF CALIFORNIA)
)SS.
COUNTY OF ORANGE )
I,RITA J.BROWN,Secretary of the Board of Directors of County
Sanitation District No.13 of Orange County,California,do hereby certify that
the foregoing Resolution No.92-54—13 was passed and adopted at a regular
meeting of said Board on the 13th day of May,1992,by the following vote,
to wit:
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AYES:John M.Gullixson,Chairman,Fred Barrera,Glenn Parker,
Roger R.Stanton
NOES:None
ABSENT:William D.Ehrle
IN WITNESS WHEREOF,I have hereunto set my hand and affixed the official
seal of County Sanitation District No.13 of Orange County,California,this
13th day of May,1992.
Board of Directors of County—-
Sanitation District No.13 -~~
of Orange County,Californi~T
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