RES-2014-046RESOLUTION NO. 2014-046
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ANAHEIM APPROVING, AUTHORIZING AND
DIRECTING THE EXECUTION OF CERTAIN
DOCUMENTS RELATING TO THE ISSUANCE OF BONDS
BY THE ANAHEIM PUBLIC FINANCING AUTHORITY
AND OTHER MATTERS RELATING THERETO
WHEREAS, the City of Anaheim, California (the "City ") owns and operates the
Anaheim Convention Center; and
WHEREAS, the City has determined to make certain additions and
improvements to the Anaheim Convention Center constituting the 2014 Project (capitalized
terms used herein but not otherwise defined shall have the meanings given such terms in the
Indenture mentioned below) and has requested the Anaheim Public Financing Authority's (the
"Authority ") assistance in financing the costs of the 2014 Project; and
WHEREAS, the City has previously entered lease transactions in connection with
additions and improvements to the Anaheim Convention Center and other City assets pursuant to
which certain outstanding securities, consisting of the 1992 Certificates, the 1993 Certificates,
the 2002 Bonds and the 2010 Note (collectively, the "Prior Obligations ") remain payable from
lease payments to be made by the City; and
WHEREAS, the City has requested the Authority's assistance in financing the
costs of the 2014 Project; and
WHEREAS, pursuant to Article 4 of the Act, the Authority is authorized to issue
its bonds and notes for the purpose of financing the costs of capital improvements, such as the
2014 Project, for a local agency such as the City; and
WHEREAS, the City has determined to provide for the refunding of the Prior
Obligations; and
WHEREAS, the Authority is authorized pursuant to the Refunding Act to issue
bonds for the purpose of refunding the Prior Obligations; and
WHEREAS, in connection with the financing of the 2014 Project and the
refunding of the Prior Obligations, the City has determined to lease certain Anaheim Convention
Center property described in the Site Lease (the "Leased Property ") to the Authority pursuant to a
Site and Facility Lease (the "Site Lease ") with the Authority, and, on the terms and conditions set
forth in a Lease Agreement (the "Lease Agreement ") with the Authority, the City has determined
to lease the Leased Property back from the Authority; and
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WHEREAS, the Authority has agreed to authorize and issue one or more series
of lease revenue bonds (the "Bonds "), on the terms and conditions set forth in an Indenture of
Trust (the "Indenture "), by and between the Authority and U.S. Bank National Association, as
trustee (the "Trustee "), to pay the costs of the 2014 Project, including the costs of issuance of the
Bonds, and to refund all of the outstanding Prior Obligations;
WHEREAS, there is on file with the City Clerk of the City (the "City Clerk ") the
following:
(1) a proposed form of the Site Lease to be entered into by the City and the
Authority in connection with the Leased Property;
(2) a proposed form of the Lease Agreement to be entered into by the City and
the Authority in connection with the Leased Property;
(3) a proposed form of a Purchase Contract (the "Purchase Contract ") for the
purchase of the Bonds to be entered into by the Authority, the City and
Citigroup Global Markets Inc., as representative of the underwriters of the
Bonds;
(4) a proposed form of Continuing Disclosure Agreement (the "Continuing
Disclosure Agreement ") to be entered into by the City and U.S. Bank
National Association, as dissemination agent for the Bonds;
(5) a proposed form of Preliminary Official Statement (the "Preliminary
Official Statement ") to be used in connection with the offering of the
Bonds;
(6) a proposed form of Escrow Agreement (the "1992 Escrow Agreement ") to
be entered into by the City and U.S. Bank National Association in
connection with the refunding of the outstanding 1992 Certificates;
(7) a proposed form of Escrow Agreement (the "1993 Escrow Agreement ") to
be entered into by the City and U.S. Bank National Association in
connection with the refunding of the outstanding 1993 Certificates;
(8) a proposed form of Escrow Agreement (the "2002 Escrow Agreement ") to
be entered into by the City and The Bank of New York Mellon Trust
Company, N.A. in connection with the refunding of the outstanding 2002
Bonds; and
(9) a proposed form of Escrow Agreement (the "2010 Escrow Agreement ") to
be entered into by the City and Wells Fargo Bank, National Association in
connection with the refunding of the outstanding 2010 Note.
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WHEREAS, it is in the public interest and for the public benefit that the City
make certain findings in connection with the issuance of the Bonds by the Authority, approve and
authorize certain actions and documents in connection with the leasing of the Leased Property
and the authorization, issuance and sale of the Bonds as provided in this Resolution;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Anaheim as follows:
Section 1 . The leasing of the Leased Property to the Authority by the City
pursuant to the Site Lease, and the terms and provisions of the Site Lease in substantially the
form on file with the City Clerk are hereby approved. Each of the Mayor, the City Manager, the
City Treasurer and the Finance Director (each an "Authorized Officer "), acting alone, is hereby
authorized and empowered to execute and deliver the Site Lease. The Authorized Officer
executing the Site Lease may include in the executed Site Lease any changes, insertions or
deletions therein from the form on file with the City Clerk, which are approved by such
Authorized Officer and the City Attorney, such approval of the Authorized Officer and City
Attorney to be conclusively evidenced by such Authorized Officer's execution and delivery of
the Site Lease.
Section 2 . The leasing of the Leased Property by the City from the Authority
pursuant to the Lease Agreement, and the terms and provisions of the Lease Agreement in
substantially the form on file with the City Clerk are hereby approved. Each Authorized Officer,
acting alone, is hereby authorized and empowered to execute and deliver the Lease Agreement.
The Authorized Officer executing the Lease Agreement may include in the executed Lease
Agreement any changes, insertions or deletions therein from the form on file with the City Clerk,
which are approved by such Authorized Officer and the City Attorney, such approval of the
Authorized Officer and City Attorney to be conclusively evidenced by such Authorized Officer's
execution and delivery of the Lease Agreement.
Section 3 . The terms and provisions of the Purchase Contract in substantially
the form on file with the City Clerk are hereby approved for each series of Bonds. Each
Authorized Officer, acting alone, is hereby authorized and empowered to execute and deliver the
Purchase Contract for each series of Bonds. The Authorized Officer executing the Purchase
Contract may include in the executed Purchase Contract any changes, insertions or deletions therein
from the form on file with the City Clerk, which are approved by such Authorized Officer and the
City Attorney, such approval of the Authorized Officer and the City Attorney to be conclusively
evidenced by an Authorized Officer's execution and delivery of the Purchase Contract.
The purchase price of each series of Bonds shall not be less than 95% of the
aggregate principal amount of the Bonds of such series, the underwriter's discount cannot exceed
1% of the aggregate principal amount of the Bonds of such series and the stated interest rate on any
Bond shall not exceed 8% per annum.
Section 4 . The terms and provisions of the Continuing Disclosure Agreement
in substantially the form on file with the City Clerk are hereby approved. Each Authorized
Officer, acting alone, is hereby authorized and empowered to execute and deliver the Continuing
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Disclosure Agreement in connection with the issuance of the Bonds. The Authorized Officer
executing the Continuing Disclosure Agreement may include in the executed Continuing
Disclosure Agreement any changes, insertions or deletions therein from the form on file with the
City Clerk, which are approved by such Authorized Officer and the City Attorney, such approval
of the Authorized Officer and the City Attorney to be conclusively evidenced by such Authorized
Officer's execution and delivery of the Continuing Disclosure Agreement.
Section 5 . Each Authorized Officer, acting alone, is hereby authorized and
empowered to prepare, or cause to be prepared, a Preliminary Official Statement in connection
with the Bonds in substantially the form on file with the City Clerk. The Authorized Officer
deeming the Preliminary Official Statement final pursuant to Section 6 hereof may include in the
final Preliminary Official Statement delivered in connection with the Bonds any changes, insertions
or deletions therein from the form on file with the City Clerk, which are approved by such
Authorized Officer and the City Attorney, such approval of the Authorized Officer and the City
Attorney to be conclusively evidenced by such Authorized Officer's certification that the
Preliminary Official Statement is so deemed final. Each Authorized Officer, acting alone, is
hereby authorized and empowered to prepare, or cause to be prepared a final official statement in
connection with the Bonds (the "Official Statement ") substantially in the form of the Preliminary
Official Statement delivered in connection with the Bonds with such changes, insertions or
deletions therein as may be approved by the Authorized Officer executing the Official Statement
and the City Attorney, such approval to be conclusively evidenced by such Authorized Officer's
execution and delivery thereof. Each Authorized Officer, acting alone, is hereby authorized and
empowered to deliver the Preliminary Official Statement to the underwriter for the Bonds, and to
execute and deliver the Official Statement to the underwriter for the Bonds.
Section 6 . Each Authorized Officer, acting alone, is hereby authorized and
empowered to certify on behalf of the City that the Preliminary Official Statement is deemed
final as of its respective date, within the meaning of Rule 15c2 -12 promulgated under the
Securities Exchange Act of 1934, as amended.
Section 7 . The terms and provisions of the 1992 Escrow Agreement in
substantially the form on file with the City Clerk are hereby approved, and each Authorized
Officer, acting alone, is hereby authorized and empowered to execute and deliver the 1992
Escrow Agreement. The Authorized Officer executing the 1992 Escrow Agreement may include in
the executed 1992 Escrow Agreement any changes, insertions or deletions therein from the form
on file with the City Clerk, which are approved by such Authorized Officer and the City Attorney,
such approval of the Authorized Officer and the City Attorney to be conclusively evidenced by
such Authorized Officer's execution and delivery of the 1992 Escrow Agreement.
Section 8 . The terms and provisions of the 1993 Escrow Agreement in
substantially the form on file with the City Clerk are hereby approved, and each Authorized
Officer, acting alone, is hereby authorized and empowered to execute and deliver the 1993
Escrow Agreement. The Authorized Officer executing the 1993 Escrow Agreement may include in
the executed 1993 Escrow Agreement any changes, insertions or deletions therein from the form
on file with the City Clerk, which are approved by such Authorized Officer and the City Attorney,
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such approval of the Authorized Officer and the City Attorney to be conclusively evidenced by
such Authorized Officer's execution and delivery of the 1993 Escrow Agreement.
Section 9 . The terms and provisions of the 2002 Escrow Agreement in
substantially the form on file with the City Clerk are hereby approved, and each Authorized
Officer, acting alone, is hereby authorized and empowered to execute and deliver the 2002
Escrow Agreement. The Authorized Officer executing the 2002 Escrow Agreement may include in
the executed 2002 Escrow Agreement any changes, insertions or deletions therein from the form
on file with the City Clerk, which are approved by such Authorized Officer and the City Attorney,
such approval of the Authorized Officer and the City Attorney to be conclusively evidenced by
such Authorized Officer's execution and delivery of the 2002 Escrow Agreement.
Section 10 . The terms and provisions of the 2010 Escrow Agreement in
substantially the form on file with the City Clerk are hereby approved, and each Authorized
Officer, acting alone, is hereby authorized and empowered to execute and deliver the 2010
Escrow Agreement. The Authorized Officer executing the 2010 Escrow Agreement may include in
the executed 2010 Escrow Agreement any changes, insertions or deletions therein from the form
on file with the City Clerk, which are approved by such Authorized Officer and the City Attorney,
such approval of the Authorized Officer and the City Attorney to be conclusively evidenced by
such Authorized Officer's execution and delivery of the 2010 Escrow Agreement.
Section 11 . The City hereby approves the appointment of. (i) Orrick,
Herrington & Sutcliffe LLP as bond counsel for the Bonds; (ii) Public Financial Management,
Inc. as financial advisor to the Authority in connection with the issuance of the Bonds; and
(iii) Citigroup Global Markets Inc., De La Rosa & Co., Merrill Lynch, Pierce, Fenner & Smith
Incorporated, and Wells Fargo Bank N.A., as the underwriters for the Bonds.
Section 12 . The City Council hereby approves the financing of the 2014
Project through the issuance of the Bonds by the Authority and hereby finds and determines that
the 2014 Project will be located within the City and that the financing of the 2014 Project
through the issuance of the Bonds and the application of the proceeds thereof as provided in the
Indenture will provide significant public benefits in accordance with the criteria specified in
Section 6586 California Government Code in that there are demonstrable savings in effective
interest rate, significant reductions in effective user charges levied by the City, and employment
benefits from undertaking the 2014 Project in a timely fashion.
Section 13 . The City hereby approves the terms and provisions of the
Indenture.
Section 14 . In making any determination with respect to the Bonds, the
Indenture, the Lease Agreement, the Site Lease, the Purchase Contract, the Continuing
Disclosure Agreement, the 1992 Escrow Agreement, the 1993 Escrow Agreement, the 2002
Escrow Agreement or the 2010 Escrow Agreement, or in taking any other action required or
authorized to be taken pursuant to this Resolution, each Authorized Officer shall be subject to the
provisions of this Resolution.
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Section 15 . All actions heretofore taken by the officers and employees of the
City with respect to the transactions set forth above are hereby approved, confirmed and ratified
and the Authorized Officers, other officers and employees of the City and their authorized
deputies and agents are hereby authorized and directed, severally, to do any and all things and to
execute and deliver any and all certificates and documents, including without limitation
amending the City budget to take the transactions set forth above into account, in addition to
those enumerated herein, including the preparation and distribution of any additional offering
material for the Bonds, which any such officer and the City Attorney may deem necessary or
advisable in order to assist the Authority with the issuance, sale and delivery of the Bonds and to
otherwise effectuate the purposes of this Resolution.
Section 16 . This Resolution shall take effect from and after its adoption.
THE FOREGOING RESOLUTION is approved and adopted by the City Council
of the City of Anaheim this 11 th day of March, 2014, by the following roll call vote:
AYES: Council Members Murray, Eastman, Brandman and Kring
NOES: Mayor Tait
ABSENT: None
ABSTAIN: None
CITY OF AN
MAYOR PRO TEM OF THE CITY OF ANAHEIM
ATTEST:
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CITY CLERK OF THE CITY OF ANAHEIM
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