The city council hereby finds and declares that it is necessary and essential to the well-being of the city that it provide financing to improve various other municipal facilities located in the city.
(Ord. 2040-82 § 1)
Unless the context otherwise requires, the terms defined in this chapter shall have the following meanings:
"Bonds"
means the bonds, notes, certificates, debentures and other obligations authorized to be issued by the city pursuant to this chapter and payable as provided in this chapter.
"City"
means the city of Sunnyvale.
"Cost"
means the total of all costs incurred to carry out all works and undertakings and to obtain all rights and powers necessary or incident to the financing of improvements with bonds issued pursuant to this chapter. "Cost" may include all costs of issuance of bonds for such purposes, capitalized bond interest, reserves for debt service and for working capital incident to the completion and operation of an improvement.
"Council"
means the city council of the city of Sunnyvale.
"Improvement"
means the acquisition, construction, installation, reconstruction, rehabilitation or other improvement of any building, structure, land, fixture, machinery or other capital equipment owned or held or controlled by the city for municipal purposes, but not including any place or building used or to be used primarily for sectarian instruction or study or as a place for devotional activities or religious worship.
"Participating party"
means any individual, association, corporation, partnership or other entity which is approved by the city to undertake the financing of the costs of a facility for which the chapter authorizes the issuance of the bonds.
"Purchase money note"
means that purchase money note, to evidence that portion of the purchase price not paid in cash, to be given to the city by the purchaser of the public library in partial payment for said library upon approval of such transaction by the council.
"Revenues"
means amounts received by the city as payments of principal, interest, and all other charges with respect to a loan authorized by this chapter, as payments under a lease, sublease, sale agreement, purchase money note or other evidence of indebtedness with respect to an improvement or other property, real and personal, owned or held or controlled by the evidence of indebtedness with respect to an improvement or other property, real and personal, owned or held or controlled by the city, as proceeds received by the city from mortgage, hazard or other insurance on or with respect to such improvement or other property, any amounts received by the city as investment earnings on moneys deposited in any fund securing the bonds, and such other legally available moneys as the council may, in its discretion, lawfully designate as revenues.
(Ord. 2040-82 § 1)
The city is hereby authorized to undertake or contract for improvements with the proceeds of bonds and upon such terms and conditions as the city shall deem proper. The city is also authorized to contract with a participating party to undertake on behalf of the city to acquire, construct or complete an improvement.
(Ord. 2040-82 § 1)
The city is hereby authorized to make, purchase or otherwise contract for the making of, a mortgage or other secured or unsecured loan, with the proceeds of bonds upon terms and conditions as the city shall deem proper, to any participating party for the costs of a facility.
(Ord. 2040-82 § 1)
The city is hereby authorized to sell, lease or otherwise transfer improvements financed, or to be financed, pursuant to this chapter to a participating party for lease back to the city, upon such terms and conditions as the city shall deem proper, to the extent such sale, lease or other transfer and leaseback are approved by appropriate action of the council and do not impair any obligations or covenants of the city under any resolution or indenture entered into by the city with respect to the bonds.
(Ord. 2040-82 § 1)
Any person may apply to the city for approval as a participating party and for approval of an improvement for financing under this chapter. Applications shall set forth such information as the city may require in order to enable the city to evaluate the applicant, the improvement and its proposed costs.
(Ord. 2040-82 § 1)
The city is hereby authorized to charge participating parties application, commitment, financing and other fees, in order to recover all administrative and other costs and expenses incurred in the exercise of the powers and duties conferred by this chapter. The council shall direct the city clerk to transmit a letter agreement or contract to a participating party which will obligate such party to pay such fees and expenses as the council may charge or incur hereunder.
(Ord. 2040-82 § 1)
The city is hereby authorized to obtain, or aid in obtaining, from any department or agency of the United States or of the State of California or any private company, any insurance or guarantee as to, or of, or for the payment or repayment of, interest or principal, or both, rents, fees or other charges, or any part thereof, on any loan, lease or sale obligation or any instrument evidencing or securing the same, made or entered into as authorized by this chapter; and is authorized to accept payment in such manner and form as provided therein in the event of default by a participating party, and to assign any such insurance or guarantee as security for bonds.
(Ord. 2040-82 § 1)
The city is hereby authorized to fix rents, payments, fees, charges and interest rates for a financing authorized by this chapter and to agree to revise from time to time such rents, payments, fees, charges and interest rates to reflect changes in interest rates on bonds, losses due to defaults or changes in other expenses related to this chapter, including city administrative expenses.
(Ord. 2040-82 § 1)
The city is hereby authorized to hold deeds of trust or mortgages or security interests in personal property as security for loans and other obligations authorized by this chapter and to pledge or assign the same as security for repayment of bonds. Such deeds of trust, mortgages or security interests, or any other interest of the city in any improvement, may be assigned to, and held on behalf of the city by, any bank or trust company appointed to act as trustee by the city in any resolution or indenture providing for issuance of bonds.
(Ord. 2040-82 § 1)
The city requires that contractors and subcontractors engaged in making improvements financed under this part shall provide equal opportunity for employment, without discrimination as to race, marital status, sex, color, religion, national origin or ancestry.
(Ord. 2040-82 § 1)
The city is hereby authorized to issue bonds in aggregate principal amounts to be determined by resolution of the council and to issue such bonds, from time to time, in such series and amounts as are determined by the council to be necessary approved by the council. Bonds shall be negotiable instruments for all purposes, subject only to the provisions of such bonds for registration.
(Ord. 2040-82 § 1)
All of the bonds hereby authorized to be issued shall be limited obligations of the city payable from revenues. Such revenues shall be the sole source of repayment of such issue of bonds. Bonds issued as authorized by this chapter shall not be deemed to constitute a debt or liability of the city or a pledge of the faith and credit of the city but shall be payable solely from revenues. The issuance of bonds shall not directly, indirectly, or contingently obligate the city to levy or pledge any form of taxation or to make any appropriation for their payment.
All bonds shall contain on the face thereof a statement to the following effect:
Neither the faith and credit nor the taxing power of the City of Sunnyvale is pledged to the payment of the principal of or premium, if any, or interest on this bond.
(Ord. 2040-82 § 1)
Bonds shall be issued as serial bonds, term bonds, installment bonds or pass through certificates or any combination thereof. The mayor or city manager shall determine the terms and timing of the issuance of particular bonds in accord with the resolution of the council approving the particular improvements to be financed thereby. Bonds shall bear such date or dates, mature at such time or times not to exceed 40 years, bear interest at such fixed or variable rate or rates approved by the mayor or city manager but not to exceed the maximum rate permitted by law, if any, be payable at such time or times, be in such denominations, be in such form, either coupon or registered, carry such registration privileges, be executed in such manner, be payable in lawful money of the United States of America at such place or places, but subject to such terms of redemption and have such other terms and conditions as such resolution, or any indenture to be entered into by the city pursuant to such resolution, shall provide. Bonds shall be sold at either public or private sale and for such prices as the city shall determine.
(Ord. 2040-82 § 1)
Any resolution relating to the issuance of any bonds, or any indenture to be entered into by the city pursuant to such resolution, may contain provisions respecting any of the following terms and conditions, which shall be a part of the contract with the holders of such bonds:
(a) 
The terms, conditions and form of such bonds and the interest and principal to be paid thereon;
(b) 
Limitations on the uses and purposes to which the proceeds of sale of such bonds may be applied and the pledge or assignment of such proceeds to secure the payment of such bonds;
(c) 
Limitations on the issuance of additional parity bonds, the terms upon which additional parity bonds may be issued and secured, and the refunding of outstanding bonds;
(d) 
The setting aside of reserves, sinking funds and other funds and the regulation and disposition thereof;
(e) 
The pledge or assignment of all or any part of the revenues and the use and disposition of such revenues subject to such agreements with the holders of bonds as may then be outstanding;
(f) 
Limitation on the use of revenues for operating, administration or other expenses of the city;
(g) 
Specification of the acts or omissions to act which shall constitute a default in the duties of the city to holders of such bonds, and providing the rights and remedies of such holders in the event of default, including any limitations on the right of action by individual bondholders;
(h) 
The appointment of a corporate trustee to act on behalf of the city and the holders of its bonds, the pledge or assignment of deeds of trust, mortgages, purchase money notes, leases, subleases, sales contracts and any other contracts to such trustee, and the rights of such trustee;
(i) 
The procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of such bonds the holders of which must consent thereto, and the manner in which such consent may be given; and
(j) 
Any other provisions which the council may deem reasonable and proper for the purposes of this chapter and the security of the bondholders.
(Ord. 2040-82 § 1)
Any pledge of revenues authorized by this chapter shall be valid and binding from the time such pledge is made. Revenues so pledged and thereafter received by the city shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the city, irrespective of whether such parties have notice thereof. Neither the resolution nor any indenture by which a pledge is created need be filed or recorded except in the records of the city.
(Ord. 2040-82 § 1)
Neither the members of the council, the officers or employees of the city, nor any person executing any bonds shall be liable personally on the bonds or be subject to any personal liability or accountability by reason of the issuance thereof.
(Ord. 2040-82 § 1)
The city shall have the power out of any funds available therefor to purchase its bonds. The city may hold, pledge, cancel, or resell such bonds, subject to and in accordance with agreements with the bondholders.
(Ord. 2040-82 § 1)
Any holder of bonds issued under the provisions of this chapter or any of the coupons appertaining thereto, and any trustee appointed pursuant to any resolution relating to the issuance of bonds, except to the extent the rights thereof may be restricted by such resolution or any indenture authorized thereby to be entered into by the city, may, either at law or in equity, by suit, action, mandamus or other proceedings, protect or enforce any and all rights specified in law or in such resolution or indenture, and may enforce and compel the performance of all duties required by this chapter or by such resolution or indenture to be performed by the city or by any officer, employee, or agent thereof, including the fixing, charging, and collecting of rates, fees, interest, and charges authorized and required by the provisions of such resolution or indenture to be fixed, charged, and collected.
(Ord. 2040-82 § 1)
In anticipation of the sale of bonds authorized by this chapter, the city is hereby authorized to issue bond anticipation notes, and renew the same from time to time, in such series and amounts as are determined by the council to be necessary or appropriate for the costs of improvements approved by the council. Such notes shall be payable solely from revenues authorized by this chapter to be pledged to secure payment of bonds, and which are not otherwise pledged, or from the proceeds of sale of the particular bonds in anticipation of which they are issued. Such notes shall be issued in the same manner as bonds. The mayor or city manager shall determine the terms and timing of the issuance of particular bond anticipation notes in accord with the provisions of Section 14.28.180 and the resolution of the council approving the particular improvements to be financed thereby. Such notes, any resolution relating to the issuance of such notes and any indenture to be entered into by the city pursuant to such resolution may contain any provisions, conditions or limitations permitted under Section 14.28.190.
(Ord. 2040-82 § 1)
The validity of the authorization and issuance of any bonds is not dependent on and shall not be affected in any way by any proceedings taken by the city for the approval of any financing or the entering into of any agreement, or by the failure to provide financing or enter into any agreement, for which bonds are authorized to be issued under this chapter.
(Ord. 2040-82 § 1)
Any omission of any officer or the city in proceedings under this chapter or any other defect in the proceedings shall not invalidate such proceedings or the bonds issued pursuant to this chapter.
(Ord. 2040-82 § 1)
This chapter shall be deemed to provide a complete, additional, alternative method for doing the things authorized thereby, and shall be regarded as supplemental and additional to the powers conferred by other laws. The issuance of bonds under the provisions of this chapter need not comply with the requirements of any other law applicable to the issuance of bonds. The purposes authorized hereby may be effectuated and bonds are authorized to be issued for any such purposes under this chapter notwithstanding that any other law may provide for such purposes or for the issuance of bonds for like purposes and without regard to the requirements, restrictions, limitations or other provisions contained in any other law.
(Ord. 2040-82 § 1)
If any provision of this chapter or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect any other provision or application of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable. The council hereby declares that it would have adopted and passed this chapter and each section, subsection, sentence, clause, phrase and word hereof, irrespective of the fact that any one or more of the other sections, subsections, sentences, clauses, phrases or words hereof be declared invalid or unconstitutional.
(Ord. 2040-82 § 1)