HomeMy WebLinkAboutPFA Reso No 2002
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RESOLUTION NO. PFA 2002-01
RESOLUTION OF THE LAKE ELSINORE PUBLIC FINANCING
AUTHORITY AUTHORIZING THE ISSUANCE OF ITS 2002 LOCAL
AGENCY REVENUE BONDS, SERIES H IN THE AGGREGA TE
PRINCIPAL AMOUNT OF NOT TO EXCEED $35,000,000; APPROVING
AN EIGHTH SUPPLEMENTAL INDENTURE OF TRUST, AN ESCROW
AGREEMENT, A PURCHASE CONTRACT, COMMITMENT
AGREEMENT AND PURCHASE CONTRACT FOR PURCHASE AND
SALE OF LOCAL OBLIGATION BONDS, A PRELIMINARY OFFICIAL
STATEMENT AND A FINAL OFFICIAL STATEMENT; AND
AUTHORIZING THE TAKING OF CERTAIN OTHER ACTIONS IN
CONNECTION THEREWITH
WHEREAS, the City of Lake Elsinore (the "City") and the Redevelopment Agency of
the City of Lake Elsinore (the "Agency") have heretofore entered into a Joint Exercise of Powers
Agreement establishing the Lake Elsinore Public Financing Authority (the "Authority") for the
purpose, among other things, of issuing its bonds to be used to provide financing and refinancing
for public capital improvements of the City and the Agency; and
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WHEREAS, the Authority has, for such purpose, heretofore authorized the issuance of
bonds pursuant to an Indenture of Trust, dated as of February 1, 1990, as amended and restated
in full as of May 1, 1995 (the "Master Indenture"), by and between the Authority and Union
Bank of California, N.A., as the successor trustee (the "Trustee"), in the maximum principal
amount of not to exceed $500,000,000 (the "Bonds"), the Bonds to be issued in series from time
to time pursuant to supplemental indentures; and
WHEREAS, the Authority has previously issued its $55,000,000 original principal
amount of 1990 Local Agency Revenue Bonds, Series A (the "1990 Bonds"), pursuant to the
Master Indenture and a First Supplemental Indenture of Trust, dated as of June 1, 1990;
WHEREAS, in order to provide for the refunding of the currently outstanding 1990
Bonds, the Authority now proposes to enter into an eighth supplemental indenture entitled
"Eighth Supplemental Indenture of Trust" (the "Eighth Supplemental Indenture"), to provide for
the issuance of its 2002 Local Agency Revenue Bonds, Series H (the "Series H Bonds"); and
WHEREAS, the Series H Bonds are to be issued pursuant to the Marks-Roos Local
Bond Pooling Act of 1985 (the "Act"), constituting Article 4 (commencing with Section 6584 of
Chapter 5 of Division 7 of Title 1 ofthe Government Code of the State of California; and
WHEREAS, the Authority intends to use a portion of the proceeds of the Series H Bonds
to purchase City of Lake Elsinore Community Facilities District No. 98-1 (Summerhill Public
Improvements) Special Tax Bonds, Series 2002 (the "Local Obligations") pursuant to a
Commitment Agreement and Purchase Contract for Purchase and Sale of Local Obligation
Bonds (the "Local Obligation Purchase Contract") to be entered into between the Authority and
the City; and
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WHEREAS, the proceeds of the Local Obligations will be used by the City to redeem
and pay in full its outstanding City of Lake Elsinore, Community Facilities District No. 91-2
(Summerhill Public Improvements) 1991 Special Tax Bonds (the "Prior Local Obligations"); and
WHEREAS, the Prior Local Obligations were purchase by the Authority with a portion
of the proceeds of its 1990 Bonds and the proceeds of the redemption of the Prior Local
Obligations shall be used in connection with the refunding of the 1990 Bonds; and
WHEREAS, the Authority now desires to provide for the sale of the Series H Bonds; and
WHEREAS, there has been presented to this meeting a form of Purchase Contract (the
"Purchase Contract"), by and among the Authority, the City and O'Connor SWS Securities (the
"Underwriter"), whereby the Underwriter has offered to purchase the Series H Bonds from the
Authority and a form of Preliminary Official Statement relating to the Series H Bonds; and
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Lake
Elsinore Public Financing Authority as follows:
Section 1. The Board hereby approves the issuance of the Series H Bonds III the
aggregate principal amount of not to exceed $35,000,000.
Section 2. The Eighth Supplemental Indenture, in substantially the form on file with the
Secretary of the Authority and presented to the Board at this meeting, is hereby approved. Any
one of the Chairperson, the Executive Director, the Assistant Executive Director or other officers
of the Authority designated by the Authority as an Authorized Officer (individually, an
"Authorized Officer," and collectively, the "Authorized Officers"), is hereby authorized and
directed, for an in the name and on behalf of the Authority, to execute and deliver the Eighth
Supplemental Indenture, with such insertions and changes as may be approved by an Authorized
Officer executing the same, such approval to be conclusively evidenced by such execution and
delivery.
Section 3. The Purchase Contract, in substantially the form on file with the Secretary of
the Authority and presented to the Board at this meeting, is hereby approved. Anyone of the
Authorized Officers is hereby authorized and directed, for an in the name and on behalf of the
Authority, to execute and deliver the Purchase Contract, with such insertions and changes as may
be approved by an Authorized Officer executing the same, such approval to be conclusively
evidenced by such execution and delivery; provided, however, that the interest rate on the Series
H Bonds as specified in the Purchase Contract shall not exceed 8.0% and the Underwriter's
discount for the Series H Bonds specified in the Purchase Contract shall not exceed 3.0%,
exclusive of original issue discount.
Section 4. The form of Preliminary Official Statement relating to the Series H Bonds
(the "Preliminary Official Statement"), in substantially the form on file with the Secretary of the
Authority and presented to the Board at this meeting, is hereby approved. Anyone of the
Authorized Officers is hereby authorized and directed, for and in the name and on behalf of the
Authority, and to make such insertions and changes to the Preliminary Official Statement as may
be approved by the Authorizing Officer, in consultation with Fulbright & Jaworski L.L.P., Bond
Counsel and Disclosure Counsel to the Authority ("Bond Counsel"), and to prepare the final
Official Statement relating to the Series H Bonds (the "Official Statement"). Anyone of the
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Authorized Officers is hereby authorized and directed to execute the Official Statement. The
distribution of the Preliminary Official Statement to potential purchasers and the distribution of
the Official Statement to actual purchasers of the Bonds is hereby authorized and approved.
Section 5. The Escrow Agreement, in substantially the form on file with the Secretary of
the Authority and presented to the Board at this meeting, is hereby approved. Anyone of the
Authorized Officers is hereby authorized and directed, for an in the name and on behalf of the
Authority, to execute and deliver the Escrow Agreement, with such insertions and changes as
may be approved by an Authorized Officer executing the same, such approval to be conclusively
evidenced by such execution and delivery.
Section 6. The Board hereby approves the purchase of the Local Obligations pursuant to
the Local Obligation Purchase Contract. The Local Obligation Purchase Contract, in
substantially the form on file with the Secretary of the Authority and presented to the Board at
this meeting, is hereby approved. Anyone of the Authorized Officers is hereby authorized and
directed, for an in the name and on behalf of the Authority, to execute and deliver the Local
Obligation Purchase Contract, with such insertions and changes as may be approved by an
Authorized Officer executing the same, such approval to be conclusively evidenced by such
execution and delivery.
Section 7. The Authorized Officers, the other officers and employees of the Authority,
the members of the Authority's Board of Directors, Bond Counsel and the other consultants to
and agents of the Authority, are each hereby authorized and directed to do all things and take all
actions necessary or desirable to effectuate the transaction contemplated by this Resolution, and
to execute such other assignments, agreements, certificates, receipts, endorsements, orders,
opinions and other documents in connection with such transactions, including, without
limitation, closing documents in connection with the issuance of the Bonds are hereby ratified,
approved and confirmed in every respect.
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Section 8. Effective Date. This Resolution shall take effect from and after its passage
and adoption.
PASSED AND ADOPTED this 26thdayof November.
,2002.
Ayes:
BRINLEY, BUCKLEY, HICKMAN, SCHIFFNER, KELLEY
Noes:
NONE
Absent:
NONE
Abstain:
NONE
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[S E A L]
ATTEST:
--....
APPROVED AS TO FORM
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STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) SS:
CITY OF LAKE ELSINORE )
I, VICKI KASAD, CITY CLERK OF THE CITY OF LAKE ELSINORE,
DO HEREBY CERTIFY that the foregoing Resolution duly adopted by the Public Finance
Authority of the City of Lake Elsinore at a Regular meeting of said Agency on 26th day of
November, 2002, and that it was so adopted by the following vote:
AYES:
BOARDMEMBERS:
BRINLEY, HICKMAN, KELLEY, SCHIFFNER,
BUCKLEY
NOES:
BOARDMEMBERS:
NONE
ABSENT:
BOARDMEMBERS:
NONE
BOARDMEMBERS:
NONE
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) SS:
CITY OF LAKE ELSINORE )
I, VICKI KASAD, CITY CLERK OF THE CITY OF LAKE ELSINORE,
DO HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of Resolution
No. PF A 2002-01 of said Agency, and that the same has not been amended or repealed.