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HomeMy WebLinkAboutOrdinances - No. 1331ORDINANCE No. 1331 ORDINANCE OF TWE CITY axTNcIL OF 1wE CITY OF m1, CALI!XRNIA AUIKRIZING THE ISSUANCE OF NXES BY IDUHlBN WIJXXWIA PaWER KZhCY (CDvBUSTIa TURBINE PRomZc NuWER rn) hHEREAS, pursuant to the provisions relating to joint exercise of powers found in Chapter 5 of Division 7 of,Title 1 of the Government Code of the State of California, as amended (the "Joint Powers Act"), the City of Mi, California and certain other public agencies created pursuant to the laws of the State of California (collectively, the 'lkhers"), have entered into a Joint Powers Agreement as amended (the 7tAgreementrf), creating Northern California Power Agency (the TtAgencyfl), a public entity separate and apart from the NIenS3ers; and WHHtEAS, in accordance with the Agreement and the Joint Powers Act, the Agency has entered or will enter into agreements to acquire and construct (or to cause to be acquired and constructed) a project for the generation and transmission of electric energy consisting of not more than seven 24megawatt combustion turbine generating units or such lesser nmher of units, but not less than three, as wiIl be determined in accordance with the tern and conditions of the Third Phase Agreement (as hereinafter defined) and related facilities, including electric facilities necessary for the Project to interconnect with the adjacent electric system, and all rights, properties and improvements necessary therefor, including fuel and water facilities and resources, and capital improvements that my be constructed from time to time (the "Project"); and WEREAS, the Agency proposes to issue, in accordance with the Agreement and the Joint Powers Act, from time to time, in one or more installments, its notes and other evidences of indebtedness (including renewal notes) ("Notesff) to be outstanding at any one time in accordance with their terms in the estimated maxim aggregate principal amount of $130,000,000; for the purpose of financing studies, the acquisition of options, permits, and other preliminary costs to be incurred prior to the undertaking of the construction or -1- acquisition of the Project and for the purpose of providing tenporary financing of costs of acquisition and construction of the Project; and WHEREAS, the Agency proposes to issue its revenue bonds and other evidences of indebtedness ("Acquisition Bonds") for the purpose of providing funds for the financing of the acquisition and construction of the Project; and WHEREAS, notwithstanding the aforesaid estimated maxim aggregate principal amount of Notes proposed to be issued by the Agency for the Project and to be outstanding at any one time in accordance with their terms, additional Notes my be required to ccqlete the financing of studies, the acquisition of options, pennits and other preliminary costs to be incurred prior to the undertaking of the construction or acquisition of the Project or to cqlete the tenporary financing of costs of acquisition and construction of the Project; and WHEREAS, the Agency has entered or will enter into one or more agreements (the Third Phase Agreements") with certain entities (including two or more of the Nlernbers"), pursuant to which the entities entering into such Third Phase Agreements with the Agency (the T7Participants1t) will, in the aggregate, purchase options and/or rights to purchase and/or receive 100% of the capacity and energy of the Project; and WEREAS, the Notes are to be renewable from time to time and the principal of and interest on the Notes are payable from proceeds of renewal Notes and the proceeds of the Acquisition Bonds and, to the extent not so paid, may be payable from revenues of the Agency from the Project, including payments to ,be made by the Participants under the Third Phase Agreements; and WHEREAS, in accordance with Section 6547 of the Joint Powers Act, the exercise by the Agency of its per to issue the Notes is subject to the authorization of such issuance by the Participants pursuant to ordinance; and WEREAS, neither the payment of principal of the Notes nor any part thereof nor interest thereon shall constitute a debt, -2- liability or obligation of the City of Mi, California; nor does this Ordinance cmit the City of Lodi, California to take or pay for any capacity or energy of the Project; and WEREAS, this City Council has determined that the financing of the acquisition and construction of the Project by the Agency is appropriate to assist the City in meeting the future power needs of its custaners for electric energy; and WHEREAS, this City Council has authorized by Ordinance the issuance and sale by the Agency of its Acquisition Bonds, the proceeds from the sale of which are to be used for the financing of the acquisition and construction of the Project, including interest on such Acquisition Bonds and deposits to reserves, and to pay the principal, premiun, if any, and interest on the Notes authorized by this Ordinance when due. W, 7BW3CRE, the City Council of the City of Lodi, California does ordain as follows: 1. The issuance and sale by the Agency from time to time, in one or mre installments, of its Notes (including renewal Notes) for the purpose of financing studies, the acquisition of options, permits and other preliminary costs to be incurred prior to the undertaking of the construction or acquisition of the Project and for the purpose of providing temporary financing of costs of acquisition and construction of the Project, outstanding at any one time in accordance with their tern in a maxim aggregate principal amount of $130,000,000 is hereby authorized. Notwithstanding such maxim aggregate principal amount, the Agency is hereby authorized to issue additional principal amounts of Notes if and to the extend required to conplete the financing of studies, the acquisition of options, permits and other preliminary costs to be incurred prior to the undertaking of the construction or acquisition of the Project or to conplete the tenporary financing of costs of acquisition and construction of the Project. The proceeds from the sale of the Notes hereby authorized are to be used for the purpose of financing financial feasibility studies, enviromntal inpact studies and other studies relating to the Project, the acquisition of options, permits and other preliminary -3- costs to be incurred prior to the undertaking of the construction or acquisition of the Project and for the purpose of providing taporary financing of costs of acquisition and construction of the Project, including interest on the Notes. The Notes hereby authorized are to be renewable from time to time and the principal of such Notes, and premim, if any, and interest thereon, are to be payable from proceeds of renewal Notes and the proceeds of Acquisition Bonds of the Agency, and, to the extent not so paid, may be payable from revenues of the Agency from the Project, including payments received by the Agency from the Participants under the Third Phase Agreements. 2. Pursuant to Section 6547 of the Joint Powers Act, this Ordinance is subject to the provisions for referendun prescribed by Section 3751.7 of the Elections Code of the State of California. 3. The City Clerk shall certify to the enactment of this Ordinance and shall cause notice of the same to be published in accordance with Section 6040.1 of the Govemnt Code of the State of California. 4. Sixty (60) days from and after its enactment, this Ordinance shall take effect and be in full force, in the manner provided by law. THE mING CwDI"X is approved, enacted and adopted by the City Council of the City of Mi, California this 1st day of August, 1984. Attest: Alice M. Reimche City Clerk State of California County of San Joaquin, ss. I, Alice M. Reimhe, City Clerk of the City of Lodi, do hereby certify that Ordinance No. 1331 was introduced at a regular meeting of the City Council -4- of the City of Lodi held July 18, 1984 and was thereafter passed, adopted and ordered to print at a regular meeting of said Council held August 1, 1984 by the following vote: Ayes : Council mers - Hinclman, Olson, and Reid Noes: Council mers - Pinkerton Absent: Council hk&ers - Snider Abstain: Council Wers - None I further certify that Ordinance No. 1331 was approved and signed by the Mayor on the date of its passage and the same has been published pursuant to law. Alice M. Reimche City Clerk -5-