APFA 2000-2RESOLUTION NO. APFA2000-2
RESOLUTION OF THE ANAHEIM PUBLIC FINANCING
AUTHORITY AUTHORIZING THE ISSUANCE OF
REVENUE BONDS IN THE AGGREGATE PRINCIPAL
AMOUNT OF NOT TO EXCEED $34,000,000 TO MAKE A
LOAN TO THE ANAHEIM REDEVELOPMENT AGENCY IN
CONNECTION WITH ANAHEIM REDEVELOPMENT
PROJECT ALPHA, AUTHORIZING AND DIRECTING
EXECUTION OF AN INDENTURE OF TRUST, LOAN
AGREEMENT, BOND PURCHASE CONTRACT AND
RELATED DOCUMENTS, APPROVING THE FORM OF
PRELIMINARY OFFICIAL STATEMENT, AUTHORIZING
SALE OF BONDS, AND AUTHORIZING OFFICIAL ACTIONS
WHEREAS, the City of Anaheim (the "City") and the Anaheim Redevelopment Agency (the
"Agency") have heretofore entered into a Joint Exercise of Powers Agreement establishing the
Anaheim Public Financing Authority (the "Authority") for the purpose, among others, of issuing the
Authority's bonds to be used to provide financial assistance to the Agency; and
WHEREAS, the Agency is undertaking to assist the redevelopment of Anaheim
Redevelopment Project Alpha in the City (the "Redevelopment Project"), and for such purpose the
Agency has previously issued its Anaheim Redevelopment Project Alpha Tax Allocation Refunding
Bonds (Subordinate Lien), Series 1986 A (the "1986 Bonds"), and its Anaheim Redevelopment
Project Alpha, 1995 Taxable Tax Allocation Bonds (Housing) (the "1995 Bonds") (collectively, the
1986 Bonds and the 1995 Bonds are referred to herein as the "Prior Obligations"); and
WHEREAS, the Agency has previously entered into a Loan Agreement dated as of May 1,
1997 (the "1997 Loan Agreement") between the Agency and the Authority in connection with a loan
(the "1997 Loan") made to the Agency from the Authority in two parts for the purpose of providing
funds to defease and refund the Prior Obligations and to finance certain housing activities of the
Agency to be undertaken pursuant to Section 33334.6 of the Redevelopment Law; and
WHEREAS, concurrently with the execution and delivery of the 1997 Loan Agreement, the
Authority issued its $27,905,000 aggregate principal amount of Anaheim Public Financing Authority
1997 Tax Allocation Revenue Refunding Bonds (Redevelopment Project Alpha), Series A for the
purpose of providing funds to make the 1997 Loan; and
WHEREAS, the Agency has determined it is in the best interests of the Agency and in
furtherance of valid public purposes of the Agency to borrow money on a parity with the 1997 Loan
to finance redevelopment housing activities of the Agency, and the Agency has requested the
Authority to lend it funds in an amount sufficient for such purpose, including payment of associated
costs; and
WHEREAS, for the purpose of raising funds necessary to provide such financial assistance to
the Agency, the Authority proposes to authorize the issuance and sale of its revenue bonds (the
"Bonds") in two series under the provisions of Article 4 (commencing with Section 6584) of Chapter
DOCSOC'\768930v4k22621.0085
5 of Division 7 of Title 1 of the Government Code of the State of California (the "Act"), designated
as the Anaheim Public Financing Authority 2000 Tax Allocation Revenue Bonds (Redevelopment
Project Alpha), Series A and Series B (Taxable), the interest on a series of which may be subject to
federal income taxation (the "taxable series"); and
WHEREAS, the proceeds of the Bonds will be applied to make a loan (the "Loan") to the
Agency on a parity with the 1997 Loan, pursuant to a Loan Agreement dated as of November 1, 2000
(the "Loan Agreement"), which Loan Agreement will constitute a Parity Debt Instrument under the
1997 Loan Agreement; and
WHEREAS, the firm of Stone & Youngberg LLC (the "Underwriter") has proposed to
purchase and underwrite the Bonds and has presented to the Authority, a form of Purchase Contract
for the Bonds, to be entered into among the Authority, the Agency and the Underwriter (the
"Purchase Contract") and there has been presented to the Authority a proposed form of Official
Statement describing the Bonds, to be used in connection with the marketing thereof by the
Underwriter; and
WHEREAS, the Agency has approved the financing of the projects to be financed by the
Bonds and made a finding of significant public benefit after a public hearing for purposes of
Section 6586.5 of the Act; and
WHEREAS, the Board of Directors (the "Board") of the Authority has duly considered such
transactions and wishes at this time to approve said transactions in the public interests of the
Authority.
NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED by the Board
of Directors of the Anaheim Public Financing Authority as follows:
SECTION 1. Findings and Determinations. Pursuant to the Act, the Board hereby finds
and determines that the issuance of the Bonds will result in savings in effective interest rates, bond
underwriting costs and bond issuance costs and thereby result in significant public benefits to its
members within the contemplation of Section 6586 of the Act.
SECTION 2. Issuance of Bonds; Approval of Indenture. The Board hereby authorizes the
issuance of the Bonds under and pursuant to the Act provided that the maximum aggregate principal
amount of the Bonds shall not exceed $34,000,000. The Bonds shall be issued pursuant to an
Indenture of Trust dated as of November 1, 2000, by and between the Authority and U.S. Bank Trust,
National Association, as trustee (the "Indenture"). The Board hereby approves the Indenture in the
form thereof on file with the Secretary, together with such additions thereto and changes therein as
the Executive Director shall deem necessary, desirable or appropriate, the execution of which by the
Executive Director shall be conclusive evidence of the approval of any such additions and changes.
The Executive Director is hereby authorized and directed to execute, and the Secretary is hereby
authorized and directed to attest and affix the seal of the Authority to, the final form of the Indenture
for and in the name and on behalf of the Authority. Subject to the sale of the Bonds, the Board
hereby authorizes the delivery and performance of the Indenture.
SECTION 3. Approval of Loan to Agency; Loan Agreement. The Board hereby authorizes
and approves the loan of the Bond proceeds by the Authority to the Agency pursuant to and in
accordance with the provisions of the Loan Agreement. The Board hereby approves the Loan
DOCSOC\768930v&22621.0085
2
Agreement in the form thereof on file with the Secretary, together with such additions thereto and
changes therein as the Executive Director shall deem necessary, desirable or appropriate to effectuate
the issuance of the Bonds and the making of the Loan to the Agency, the execution of which by the
Executive Director shall be conclusive evidence of the approval of any such additions and changes.
The Executive Director is hereby authorized and directed to execute, and the Secretary is hereby
authorized and directed to attest and affix the seal of the Authority to, the final form of the Loan
Agreement for and in the name and on behalf of the Authority. The Authority hereby authorizes the
delivery and performance of the Loan Agreement.
SECTION 4. Sale of Bonds; Approval of Indenture. The sale of the Bonds to the
Underwriter pursuant to the Purchase Contract is hereby approved. The Board hereby approves the
Purchase Contract in substantially the form thereof on file with the Secretary, together with such
additions thereto and changes therein as the Executive Director shall deem necessary, desirable or
appropriate, the execution of which by the Executive Director shall be conclusive evidence of the
approval of any such additions and changes. The Executive Director is hereby authorized and
directed to execute the final form of the Purchase Contract for and in the name and on behalf of the
Authority provided the effective average interest rate payable on the Series A Bonds shall not exceed
7% per annum and the interest rate payable on the Series B Bonds shall not exceed 8.5% per annum,
in each case, inclusive of original issue discount, and the underwriter's discount may not exceed 1%
of the par amount of the Bonds. The Board hereby authorizes the delivery and performance of the
Purchase Contract.
SECTION 5. Approval of Official Statement. The form of Preliminary Official Statement
(the "Preliminary Official Statement") presented to this meeting is hereby approved, and the
Underwriter is hereby authorized to distribute the Preliminary Official Statement to prospective
purchasers of the Bonds in the form hereby approved, together with such conforming changes therein
or additions thereto as are determined necessary by the Chairman or Executive Director of the
Authority, to make such Preliminary Official Statement "final" as of its date. The Chairman or
Executive Director of the Authority or the designee of either of them is hereby authorized and
directed, for and in the name and on behalf of the Authority, to execute a final Official Statement for
the Bonds in substantially the form of the Preliminary Official Statement, with such additions thereto
or changes therein describing the specific form and terms of the Bonds as are recommended or
approved by the Chairman or Executive Director of the Authority, and approved by such officers,
such approval to be evidenced conclusively by the execution and delivery of the Official Statement.
SECTION 6. Official Actions. The Chairman, the Executive Director, the Treasurer, the
Secretary and any and all other officers of the Authority are hereby authorized and directed, for and
in the name and on behalf of the Authority, to do any and all things and take any and all actions,
including execution and delivery of any and all assignments, certificates, requisitions, agreements,
notices, consents, instruments of conveyance, warrants and other documents, which they, or any of
them, may deem necessary or advisable in order to consummate the lawful issuance and sale of the
Bonds, the making of the Loan, and the consummation of the transactions as described herein. Such
actions shall include securing of a commitment for bond insurance which will result in net present
value debt service savings for the Bonds.
SECTION 7. Effective Date. This Resolution shall take effect from and after the date of its
passage and adoption.
DOCSOC\768930v4\22621.0085
The FOREGOING RESOLUTION was approved and adopted by the Anaheim Public
Financing Authority this 2.fi~day of October ,2000, by the following vote:
By:
Financing Authority
ATTEST:
~ec3etar~f the A~aheim Public
Financing Authority
APPROVED AS TO FORM:
DOCSOC'~768930v4~2621.0085
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF ANAHEIM )
I, SHERYLL SCHROEDER, Secretary of the Board of Directors of the Anaheim Public
Financing Authority, do hereby certify that the foregoing Resolution No. APFA2000-1 was
introduced and adopted at a special meeting provided by law, of the Board of Directors of the
Anaheim Public Financing Authority held on the 24th day of October, 2000, by the following
vote of the members thereof:
AYES:
BOARD MEMBERS: Feldhaus, Kring, Tait, McCracken, Daly
NOES: BOARD MEMBERS: None
ABSENT: BOARD MEMBERS: None
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the City of
Anaheim this 24th day of October, 2000.
SECRETAR~ OF T~E ANAHEIM PUBLIC'
FINANCING AUTHORITY
(SEAL)
I, SHERYLL SCHROEDER, Secretary of the Anaheim Public Financing Authority, do hereby
certify that the foregoing is the original of Resolution No. APFA2000-1 duly passed and adopted
by the Anaheim Public Financing Authority on October 24, 2000.
S~CRETA(~Y OF THE ANAHEIM PUBLIC
FINANCING AUTHORITY