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HomeMy WebLinkAbout1386RESOLUTIONNO. /38b A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, APPROVING EXECUTION AND DELIVERY BY THE CITY OF KENT ECONOMIC DEVELOPMENT CORPORATION OF A SECOND SUPPLEMENTAL INDENTURE OF TRUST PREPARED IN CONNECTION WITH ITS FLOATING/FIXED RATE INDUSTRIAL DEVELOPMENT REVENUE BONDS, SERIES 1985 (CASCADE DEVELOPMENT COMPANY PROJECT) CITY OF KENT, WASHINGTON BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, as follows: WHEREAS, the City of Kent Economic Development Corporation (the "Issuer") is a public corporation created by the City ofKent, Washington (the "City"), pursuant to chapter 39.84 RCW, as amended (the "Act"); WHEREAS, the Issuer is authorized pursuant to the Act to issue its nonrecourse revenue bonds for the purpose, among others, of financing the cost of acquiring, constructing, equipping and installing "industrial development facilities," as defined in the Act; WHEREAS, on April 22, 1985, the Board of Directors of the Issuer adopted Resolution No. 1985-22 authorizing the financing of the acquisition, construction, equipping and installing of certain industrial development facilities and the issuance of $3,750,000 principal amount of the Issuer's nonrecourse revenue bonds designated as Floating/Fixed Rate Industrial Development Revenue Bonds, Series 1985 (Cascade Development Company Project) (the "Bonds") and the loan of the proceeds of the Bonds to Cascade Development Company (the "Company") pursuant to a Loan Agreement dated as of April 1, 1985, by and between the Issuer and the Company (the "Loan Agreement"); WHEREAS, the Issuer, Union Bank, formerly, California First Bank, as Trustee (the "Trustee") and ffiJ Schroder Bank and Trust Company, formerly, J. Henry Schroder Bank and Trust Company, as the Paying Agent/Registrar (the "Paying Agent/Registrar") entered into an Indenture of Trust (the "Indenture") dated as of April l, 1985, providing for the issuance by the Issuer of the Bonds and the security for payment by the Issuer of the principal of, premium, if any, and interest on the Bonds; WHEREAS, on April 21, 1986, the Board of Directors of the Issuer adopted Resolution No. 1986-43 authorizing the execution and delivery of a First Supplemental Indenture of Trust dated as of April 1, 1986 (the "Supplemental Indenture"); WHEREAS, the Company and the Issuer (at the request of the Company) desire to effect certain amendments to the Supplemental Indenture namely to reduce the notice period in Section 4.07(C) of the Supplemental Indenture from 45 days to 30 days; 01579-0014/SB940680.255 WHEREAS, the Issuer, the Trustee and the Paying Agent/Registrar have caused a Second Supplemental Indenture of Trust (the "Second Supplemental Indenture") dated as of March 1, 1994, to be prepared to accomplish the amendments to the Supplemental Indenture desired by the Company; WHEREAS, the Trustee, as Trustee for the Bonds, the Credit Bank as issuer of the Letter of Credit and the Company have each consented in writing to the execution and delivery of the Second Supplemental Indenture and the Lessee of the Project has been given notice thereof; WHEREAS, Bond Counsel have delivered to the Issuer, Trustee, the Company, and the Credit Bank their opinion that the Second Supplemental Indenture is authorized and permitted by the Indenture and the Act and comply with the respective terms thereof, will, upon execution and delivery hereof, be valid and binding upon the Issuer in accordance with its terms, and will not adversely affect the exemption from federal income taxation of interest on the Bonds; and WHEREAS, the Act requires the City to approve by resolution any agreement by the Issuer to issue bonds. NOW, THEREFORE, IT IS HEREBY FOUND, DETERMINED AND ORDERED as follows: Section 1. The City hereby approves the form of and the execution and delivery by the Issuer ofthe Second Supplemental Indenture of Trust dated as ofMarch 1, 1994, among the Issuer, the Trustee and the Paying Agent/Registrar. The foregoing resolution was adopted by the City Council of the City of Kent, Washington, and approved by the Mayor, at a regular open public meeting this 15th day of March, 1994. ATTEST: LL xk1aur BreHeltt Jaeober, City Clerk {I>EPIATY) :DoJ.J..oA .sw~lc.J CITY OF KENT, King County, Washington OIS79-0014/SB940680.2SS -2- FORM APPROVED: 0 1579-0014/SB940680.255 -3- ************* CERTIFICATE Donna Swaw Deputy I, :ai~eRuJaee8arr, duly appointed and acting Clerk of the City of Kent, Washington (the "City"), do hereby certify that the foregoing resolution is a full, true and correct copy of Resolution No. l3..B..6 duly adopted at a regular open meeting of the City duly noticed and held at the regular meeting place thereof held on March 15 1994, of which meeting all members of said City Council had due notice and at which a majority thereof was present; and that at said meeting said resolution was adopted by the following vote: AYES and in favor thereof Bennett, Clark, Johnson, Mann, Orr, Woods ' ' NOES, None ABSENT, Houser ABSTAIN, None I further certify that I have carefully compared the same with the original resolution on file and of record in my office; that said resolution is a full, true and correct copy of the original resolution adopted at said meeting; and that said resolution has not been amended, modified or rescinded since the date of its adoption, and is now in full force and effect. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City this 15th day of March, 1994. Deputy City ClerkoftheCity (SEAL) 01579-0014/SB940680.255 -4- CITY OF KENT ECONOWC DEVELOP!vfENT CORPORATION to UNION BANK Formerly, California First Bank, as Trustee SECOND SUPPLE!vfENT AL INDENTURE OF TRUST DATED AS OF MARCH 1, 1994 $3,750,000 City ofKent Economic Development Corporation Floating/Fixed Rate Industrial Development Revenue Bonds, Series 1985 (Cascade Development Company Project) 0 1226-0006/S 8940690 .I 06 SECOND SUPPLEMENTAL INDENTURE OF TRUST This Second Supplemental Indenture of Trust, made and dated as of the first day of March, 1994, by and between the City of Kent Economic Development Corporation (the "Issuer"), a public corporation of the State of Washington (the "State"), acting by and through its board of directors, having its principal office at 220 Fourth Avenue South, Kent, Washington 98032-5895 and Union Bank, formerly, California First Bank, a banking corporation, organized and existing under the laws of the State of California, with its principal corporate trust office at San Francisco, California, as trustee (the "Trustee"). WITNESSETH THAT: WHEREAS, an Indenture of Trust (the "Indenture") was previously entered into among the Issuer, the Trustee and the Paying Agent/Registrar dated as of April 1, 1985, pursuant to which the Issuer authorized the issuance of its Three Million Seven Hundred Fifty Thousand Dollars principal amount nonrecourse revenue bonds designated as Floating/Fixed Rate Industrial Development Revenue Bonds, Series 1985 (Cascade Development Company Project) (the "Bonds"); and WHEREAS, the Indenture permits the adoption of supplemental indentures to amend the Indenture so long as the provisions of Section 12.03 are complied with; and WHEREAS, the Indenture was supplemented in accordance with Section 12.03 pursuant to the terms of a First Supplemental Indenture ofTrust dated as of April 1, 1986 (the "Supplemental Indenture") by and among the Issuer, the Trustee and the Paying Agent/Registrar; and WHEREAS, the Issuer has requested the Trustee to enter into a second supplemental indenture for one of the purposes set forth in Section 12.03, namely to reduce the notice requirement relating to the optional redemption of the Bonds from 45 days to 30 days; and WHEREAS, the conditions precedent to the adoption of a supplemental indenture of trust have been met; NOW, THEREFORE, TillS SECOND SUPPLEMENTAL INDENTURE OF TRUST WITNESSETH: Section 1. read as follows: Section 4.07(C) of the Supplemental Indenture is hereby amended to (C) Optional Redemption During Subsequent Fixed Rate Periods. During any Fixed Rate Period beginning on or after May 1, 1991, the Bonds shall be subject to redemption in whole or in part on any Interest Payment Date occurring during such Fixed Rate Period by the Issuer, at the option of the Company, at redemption prices (expressed as percentages of between one hundred percent (100%) and one hundred and three percent (103%) of the principal amount to be redeemed as determined by the Remarketing Agent in 0 1226-0006/S 8940690 .I 06 connection with the remarketing of the Bonds) plus accrued interest to the redemption date solely from Available Moneys, upon receipt by the Trustee no fewer than thirty_Q.Q}.forty five ~ days before such redemption date of a written direction from the Company stating that it intends to exercise its option to prepay the payments due under the Loan Agreement in whole or in part and thereby effect redemption of such Bonds. Upon receipt of such written direction. the Trustee shall immediately transmit notice of redemption to the Owners of the Bonds by facsimile in accordance with Section 4. 13 of the Indenture. Section 2. Counterparts. This Second Supplemental Indenture may be simultaneously executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. Section 3. Applicability of the Second Supplemental Indenture. Except as hereby modified, the terms and conditions of the Second Supplemental Indenture shall remain in full force and effect. Section 4. Controlling Provisions. Any conflicting provisions between the Indenture, the Supplemental Indenture and this Second Supplemental Indenture shall be resolved in accordance with the Second Supplemental Indenture. IN WITNESS WHEREOF, the City of Kent Economic Development Corporation has caused this Second Supplemental Indenture of Trust to be signed in its name and behalf by the Chairman of its Board of Directors and attested by the Secretary of its Board of Directors, and to evidence their acceptance of the trusts hereby created, Union Bank, formerly, California First Bank has caused these presents to be signed in its name and behalf by its duly authorized officer, as of the date first above written. ATTEST: 0 1226-0006/SB940690.1 06 CITY OF KENT ECONOMIC DEVELOPl\1ENT CORPORATION By Chai'fi?m r ~ UNION BANK By: -2-