Ordinance 2113CITY OF ALAMEDA ORDINANCE NO. 2113
New Series
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ALAMEDA
AUTHORIZING THE ISSUANCE OF PUBLIC POWER REVENUE
REFUNDING BONDS BY NORTHERN CALIFORNIA POWER AGENCY
WHEREAS, pursuant to the provisions of Chapter 5, Division
7, Title 1 of Government Code of the State of California, as
amended (the "Joint Powers Act "), the City of Alameda and certain
other public agencies created pursuant to the laws of the State
of California (collectively, the "Members "), have entered into
a Joint Powers Agreement, as amended (the "Agreement "), creating
the Northern California Power Agency (the "Agency "), a public
entity separate and apart from the Members; and
WHEREAS, 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 con-
structed) a project for the generation and transmission of
electric energy consisting of certain geothermal generating
units (known as Geothermal Project Number 2) and related facilities,
and capital improvements thereto that may be constructed from
time to time, and interests in certain other property and rights
relating thereto ( "Project Number 2 "); and
WHEREAS, the Agency has heretofore issued its $40,000,000
Public Power Revenue Bonds, 1981 Series A, and its $15,000,000
Public Power Revenue Bonds, 1982 Series A, and has assigned
to the Bank of Montreal (California) (the "Bank ") its rights
to receive certain payments under the member agreement relating
to Project Number 2, to secure the obligation of the Northern
California Municipal Power Corporation No. Two (the "Corporation ")
to the Bank under a Loan AGreement wherein the Corporation has
borrowed the amount of $45,000,000 from the Bank, such loan
guaranteed by the United States Department of Energy, all to
finance a portion of the costs of construction and acquisition
of Project Number 2 (together, the "Outstanding Indebtedness ");
and
WHEREAS, the Agency is considering the construction of
an additional project for the generation and transmission of
electric energy consisting of two 55 megawatt geothermal generat-
ing units and related facilities, including transmission, proposed
to be constructed in Sonoma and Lake Counties, State of California,
and capital improvements thereto that may be constructed from
time to time, and interests in certain other property and rights
relating thereto ( "Project Number 3 "); and
WHEREAS, 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 revenue refunding bonds and
evidences of indebtedness (including refunding bonds) ( "Public
Power Revenue Refunding Bonds ") to be outstanding at any one
time in accordance with their terms in the estimated maximum
aggregate principal amount of $125,000,000, for the purpose
of providing funds for the refinancing of all or a portion of
the Outstanding Indebtedness; and
WHEREAS, notwithstanding the aforesaid estimated maximum
aggregate principal amount of Public Power Revenue Refunding
Bonds proposed to be issued by the Agency for the Project and
to be outstanding at any one time in accordance with their terms,
additional Public Power Revenue Refunding Bonds may be required
to complete the refinancing of all or a portion of the Outstanding
Indebtedness; and
WHEREAS, the Agency has entered or will enter into one
or more agreements (the "Member Agreements ") with certain entities
(including two or more of the Members), pursuant to which the
entities entering into such Member Agreements with the Agency
(the "Participants ") will, in the aggregate, purchase options
and /or rights to purchase and /or receive 100% of the capacity
and energy of Project Number 2, and, if so determined by the
Agency, Project Number 3; and
WHEREAS, the Public Power Revenue Refunding Bonds are
to be payable from funds held in trust for the benefit of the
holders of such Bonds and from revenues of the Agency from Project
Number 2, and, if so determined by the Agency, Project Number 3,
including payments to be made by the Participants under the
Member Agreements; and
WHEREAS, in accordance with the Joint Powers Act, the
exercise by the Agency of its power to issue the Public Power
Revenue Refunding Bonds is subject to the authorization of such
issuance by the Members pursuant to Ordinance; and
WHEREAS, neither the payment of principal of the Public
Power Revenue Refunding Bonds nor any part thereof nor interest
thereon shall constitute a debt, liability or obligation of
the City of Alameda; nor does this Ordinance commit the City
of Alameda to take or pay for any capacity or energy of the
Project.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE
CITY OF ALAMEDA as follows:
1. The issuance and sale by the Agency, from time to
time, in one or more installments, of its Public Power Revenue
-2-
Refunding Bonds outstanding at any one time in accordance with
their terms in a maximum aggregate principal amount of
$125,000,000 is hereby authorized. Notwithstanding such maximum
aggregate principal amount, the Agency is hereby authorized
to issue additional principal amounts of its Public Power Revenue
Refunding Bonds if and to the extent required to complete the
refinancing of the Project. The proceeds from the sale of the
Public Power Revenue Refunding Bonds hereby authorized are to
be used for the refinancing of all or a portion of the Outstanding
Indebtedness, including interest on such Bonds, deposits to
reserves, all expenses incident to the calling, retiring, or
payment of any or all of the Outstanding Indebtedness, including
the costs of issuing such Bonds and any premium necessary in
the calling or retiring of the Outstanding Indebtedness. The
Public Power Revenue Refunding Bonds hereby authorized, and
premium and interest thereon, are to be payable from, and secured
by, funds held in trust for the benefit of the holders of Public
Power Revenue Refunding Bonds and from revenues of the Agency
from Project Number 2, and, if so determined by the Agency,
Project Number 3, including payments received by the Agency
from the Participants under the Member agreements.
2. Pursuant to Section 6547 of the Joint Powers Act,
this Ordinance is subject to the provisions for referendum pre -
scribd 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 Government 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
u provided by law.
�`. THE FOREGOING ORDINANCE is approved, enacted / , a / nd adopted
c by the City Council of the City of Alameda, this day of
1982.
a
a>
o
Presidin�O' ficer of the Council
Attest:
Lo )
City Clerk
-3-
I, the undersigned, hereby certify that the foregoing Ordinance
was duly and regularly adopted and passed by the Council of the
City of Alameda in regular meeting assembled on the 16th of November, 1982,
by the following vote to wit:
AYES: Councilmen Gorman, Sherratt, Stone and President Corica - 4.
NOES: None.
ABSENT: Councilman Diament - 1.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
official seal of said City this 17th day of November, 1982.
city "rk th i of A1 a