HomeMy WebLinkAboutRes1995-080
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Sponsored by: Carzini
CITY OF SEWARD, ALASKA
RESOLUTION NO. 95-080
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, AMENDING RESOLUTION NO. 90-159
RELATING TO THE $7,300,000 CITY OF SEWARD, ALASKA,
REVENUE BONDS, 1990 (ALASKA PACIFIC UNIVERSITY PROJECT)
TO CHANGE CERTAIN TERMS THEREOF
WHEREAS, the City of Seward, Alaska, (the "City) issued its $7,300,000 Revenue
Bonds, 1990 (Alaska Pacific University Project) (the "Bonds") on December 31, 1990; and
WHEREAS, on December 20, 1990, the City adopted Resolution No. 90-159 to
authorize the issuance of the Bonds; and
WHEREAS, the maturity date for the Bonds is July 10, 1995; and
WHEREAS, Alaska Pacific University ("Borrower") executed and delivered to the
City a promissory note in the principal sum of seven million, three hundred thousand
and 00/100 dollars ("Note"); and
WHEREAS, the City assigned the Note and all of its right, title, and interest to
receive payments thereunder to Security Pacific Bank Alaska, N.A., ("Security Pacific")
under an Agreement to Issue Bonds and Assignment dated as of December 1,1990 (the
"Agreement"); and
WHEREAS, on April 22, 1992, Bank of America Alaska, N.A., (the "Bank") became
and is now the successor in interest to all Security Pacific's right, title, and interest in the
Note and the Agreement; and
WHEREAS, on June 7, 1995, the Bank and the Borrower agreed to change certain
terms of the Note in accordance with the provisions of a commitment letter from the
Bank to the Borrower dated May 17, 1995; and
WHEREAS, the Bank and the Borrower desire that the Note be modified to extend
the maturity date by five years and to make certain other changes as noted herein;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. Resolution No. 90-159 is hereby amended to revise the terms of the
Bonds, the Note, and other documents executed in connection with the issuance of the
Bonds in accordance with the attached Explanation of Changes.
CITY OF SEWARD, ALASKA
RESOLUTION NO. 95-080
Section 2. Payments made under the Bonds prior to the date hereof conforming
to the changes described in the attached Explanation of Changes are hereby ratified,
confirmed, and approved.
Section 3. The City Manager and the Finance Director are each authorized,
empowered, and directed to take such actions and execute such documents by and on
behalf of the City as may be necessary to effectuate the changes authorized by this
resolution.
Section 4. The approval of this resolution is subject to the condition that the
University award an additional full tuition scholarship to a student who is a graduate of
Seward High School, subject to the terms in Schedule B to the Loan Agreement between
the City and the University.
Section 5. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this
10th day of July, 1995.
THE CITY OF SEWARD, ALASKA
~'1.1)Q ~. (b1l1"Atv--IL
Dave W. Crane, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
Anderson, Crane, Darling, Deeter, King, O'Brien, Sieminski
None
None
None
ATTEST:
(City Seal)
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Resolution No. 95-080
Attachment
EXPLANATION OF CHANGES
1. The final maturity date of the Bonds shall be extended from July 10, 1995, to July
10, 2000. Principal payments shall be made during the extension period in accordance
with the attached schedule.
2. All references to Security Pacific Bank Washington's Prime Rate for purposes of
calculating interest with respect to the Bonds shall be replaced with Bank of America's
publicly stated Reference Rate, fully floating.
3. The Agreement shall be amended to incorporate the following covenants of the
Borrower:
(a) With respect to the Borrower's University Plaza, the Borrower shall
maintain a minimum debt service coverage ratio of 1.25:1.0 measured annually. The debt
service coverage ratio shall be calculated as the net operating income of University Plaza
divided by annual principal and interest payments on the Bonds.
(b) The Borrower shall provide annual audited financial statements to
the Bank within 120 days after the end of each of the Borrower's fiscal years and shall
provide quarterly unaudited financial statements to the Bank within 30 days after the end
of each fiscal year quarter.
(c) The Borrower shall maintain the following ratios, each to be
measured during each fiscal year quarter: debt service coverage of at least 1.1:1.0j current
ratio on a consolidated basis of at least 1.25:1.0; and maximum debt to net worth (fund
balance) of 1.4:1.0.
4. All terms of the Note and other documents not expressly modified herein remain
unchanged.
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Attachement A to Commitment Letter Oated Mav 17. , 995 to
Alaska Plcific University
Payment
o ate:
I'rincipal
Amount
Outstanding
Loan Balance
7'10,95 ., 1,907.63 $4.759,396.40
811 0/95 $ 11.984.04 .4,747412.38
9il0195 .12.060.94 $4.7315,351.42
10/10195 $1~.138.J3 $4,723.213.09
11/10/95 $12,216.22 .4.710.996.87
12/10/951 '12,294.60 '4.698.702.27
1/10/96 .12 373.49 .4.888,328.78
, 2110/96 $12.452.89 $4.673.875.89
3/10/98 '12.532.80 .4.881.343.09
4/10/96 '12,813.21 '4.548,729.88
5/1 0/98 '12.694.15 '4,836,035.73
6/10/t8 '12,778.80 '4,823,280.13
7/10/96 '12.857.58 '4,810402.55
8/1 0/96 .12,940.08 '4,697.482.47
9/10/96 .13.023.12 '4,584,439.36
, 1 0/1 0/96 '13.108.68 '4,!71 332.87
i 1 1/10/96 .13.190.78 .4 55e 141.89
I 1211 0/98 '13,215.42 '4.644.886.47
1/10/97 "3.360.61 14531 506.88
2/10/97 .'3.448.34 '4.818,0151.52
3/10/97 '13.632.82 '4,504,528.80
4/10/97 .'3.819.46 '..490,907.46
5/10/97 .'3.70~U4 '4.477.200.81
6/10/97 '13.7H.80 '4.483,405.81
7fl0/97 '13.883.31 '.,448,522.50
8/10/97 "3.972.40 $4,435,560.10
9nO/9? '14.0412.06 N.421,488.06
1 Oil 0/97 '14.1152.28 ....,407.336.77
11/10197 "4.243.10 '4,383.082.87
1 2/1 0197 "4.334.49 '4.378,768.18
I'.yment
DI1I:
Itrincipal
Amount
Qutstanding
Loan Balal1ce
1/10/98 $14.426.47 $4,364,331 .7'
2/10/98 $14,519.04 '4,349,812.67
3/10/98 "4.812.20 .4.335,200.47
4/10/98 .'4,705.96 '4,320.494.51
5/10/98 $14800.33 $4.305.694.18
6/10/98 $14.895.30 '4.290.798.88
7/10/98 .'4.990.87 $4.275.808.01
811 0/88 "5.087.06 $4280.720.95
911 0/98 $15183.87 '4.245,537.08
101t018S '16.281.30 $4.230.255.78
11/10/98 '15,379.38 $4,214,876.42
1 21t 0/88 $16.478.04 '4,199.398.38
lit 0/98 '15.571.36 '4,183,821.02
2110/89 .'5.&77.31 '4.168.143.71
3/1 0/89 $15,777.81 $4,162.366.80
4110lt8 $16,879.1 & '4,136.486.65
511 0/0 "15,881.04 $4,120.605.81
8/1 0/89 $ 18.083.69 $4.104 422.02
711 0118 '18,188.79 '4 088 235.23
8/1 0/98 $18,210.88 '4.071.944.57
911 a". ne.391.18 '..055,549.38
1 011 0/89 "8,500.3' $4.039.048.99
1 1/1 0/18 '18.808.27 '4.022,442.72
1 2/1 Oil. '1'.712.83 '4.005.729.89
1/10100 $18.820.07 $3.188909.82
2/10JOO '1e.927.98 $3.871,981.83
3110100 "7,038.82 '3.964.946.21
4/10100 "1.'45.13 '3.837,188.28
511~ '17.258.915 13.'20.543.33
8/10100 $17.388.88 U,I03.176.65
"10100 "1..78.12 '3.886.688.53
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