RES-2018-026RESOLUTION NO. 2018-026
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
APPROVING THE RELEASE OF A PORTION OF THE LEASED
PREMISES LEASED UNDER A 1997 SITE AND FACILITY LEASE AND A
1997 LEASE AGREEMENT, AUTHORIZING THE EXECUTION AND
DELIVERY OF A FIRST SUPPLEMENTAL SITE AND FACILITY
LEASE AND A FIRST SUPPLEMENTAL LEASE AGREEMENT IN
CONNECTION THEREWITH AND AUTHORIZING OTHER MATTERS
RELATED THERETO
WHEREAS, pursuant to the Site and Facility Lease, dated as of February 1, 1997 (the
"Site Lease"), by and between the City of Anaheim (the "City") and the Anaheim Public
Financing Authority (the "Authority"), the City leased certain parcels of real property (the
"Site") and certain improvements on or to be constructed on the Site (the "Facility" and, together
with the Site, the "Leased Premises") to the Authority;
WHEREAS, pursuant to the Lease Agreement, dated as of February 1, 1997 (the "Lease
Agreement"), by and between the Authority and the City, the Authority leased the Leased
Premises to the City (capitalized undefined terms used herein have the meanings ascribed thereto
in the Lease Agreement);
WHEREAS, Section 8.3(b) of the Lease Agreement provides that the City has the option
at any time and from time to time during the Term of the Lease Agreement to release any portion
of the Facility and/or the Site, provided that the City shall satisfy all of the following requirements
which are declared to be conditions precedent to such release:
(i) The City shall file with the Authority, the Municipal Bond Insurer, The Walt
Disney Company and the Trustee an amended Exhibit A to the Site Lease which describes
the Site, as revised by such release;
(ii) The City shall file with the Authority, the Municipal Bond Insurer, The Walt
Disney Company and the Trustee an amended Exhibit B to the Site Lease which describes
the Facility, as revised by such release;
(iii) The City shall file with the Authority, the Municipal Bond Insurer, The Walt
Disney Company and the Trustee an amended Exhibit A to the Lease Agreement which
describes the Site, as revised by such release;
(iv) The City shall file with the Authority, the Municipal Bond Insurer, The Walt
Disney Company and the Trustee an amended Exhibit B to the Lease Agreement which
describes the Facility, as revised by such release;
(v) The City delivers to the Trustee, the Municipal Bond Insurer, The Walt
Disney Company and the Authority evidence that the Site and/or the Facility, as revised by
such release, is of a value at least equal to the value of the Site and/or Facility as of the
Closing Date;
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(vi) The City shall obtain an amendment to the title insurance policy required
pursuant to Section 5.6 of the Lease Agreement which describes the Site and the Facility, as
revised by such release; and
(vii) The City shall obtain the prior written consent of the Municipal Bond Insurer
and The Walt Disney Company and notice of such consent shall be given to any rating
agency then rating the Bonds;
WHEREAS, Sections A(7) and B(5) of Article VII of the Reimbursement Agreement,
dated as of February 1, 1997, by and among the City, the Authority, Walt Disney World Co., The
Walt Disney Company and BNY Western Trust Company, as trustee, as amended and
supplemented the First Amendment to Reimbursement Agreement, dated as of June 1, 2007 (as
so amended and supplemented, the "Reimbursement Agreement"), by and among the City, the
Authority, Walt Disney World Co., The Walt Disney Company and The Bank of New York
Trust Company, as successor trustee, provides that the City and the Authority, respectively, will
not amend, modify or terminate the Site Lease or the Lease Agreement without the prior written
consent of Walt Disney World Co. and The Walt Disney Company;
WHEREAS, Section 3.05 of the First Supplemental Indenture of Trust, dated as of June
1, 2007 (the "First Supplemental Indenture"), by and between the Authority and The Bank of
New York Trust Company, N.A., as successor trustee, provides that (a) any amendment or
supplement to any principal financing document shall be subject to the prior written consent of
the Bond Insurer (as defined in the First Supplemental Indenture), and (b) any rating agency
rating the Series 2007 Bonds (as defined in the First Supplemental Indenture) must receive notice
of each amendment and a copy thereof at least 15 days in advance of its execution or adoption;
WHEREAS, the City desires, subject to the satisfaction of the conditions described in
Section 8.3(b) of the Lease Agreement, Sections A(7) and B(5) of Article VII of the
Reimbursement Agreement, and Section 3.05 of the First Supplemental Indenture, to release
from the Site Lease and the Lease Agreement the portion of the Site described in Exhibit A
attached hereto (the "Released Parcel");
WHEREAS, the City desires, subject to the satisfaction of the conditions described in
Section 8.3(b) of the Lease Agreement, Sections A(7) and B(5) of Article VII of the
Reimbursement Agreement, and Section 3.05 of the First Supplemental Indenture, to release
from the Site Lease and the Lease Agreement the portion of the Facility described in Exhibit B
attached hereto (the "Released Facility");
WHEREAS, in order to evidence the release of the Released Parcel and the Released
Facility from the Site Lease, there has been prepared a First Supplemental Site and Facility Lease
by and between the City and the Authority, which modifies the description of the Site in the Site
Lease so as to exclude therefrom the description of the Released Parcel and which modifies the
description of the Facility in the Site Lease so as to exclude therefrom the Released Facility
(such First Supplemental Site and Facility Lease, in the form presented to this meeting, with such
changes, insertions and omissions as are made pursuant to this Resolution, being referred to
herein as the "First Supplemental Site Lease");
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WHEREAS, in order to evidence the release of the Released Parcel and the Released
Facility from the Lease Agreement, there has been prepared a First Supplemental Lease
Agreement by and between the Authority and the City, which modifies the description of the Site
in the Lease Agreement so as to exclude therefrom the description of the Released Parcel and
which modifies the description of the Facility in the Lease Agreement so as to exclude therefrom
the Released Facility (such First Supplemental Lease Agreement, in the form presented to this
meeting, with such changes, insertions and omissions as are made pursuant to this Resolution,
being referred to herein as the "First Supplemental Lease Agreement");
WHEREAS, there have been prepared and submitted to this meeting forms of:
(a) the First Supplemental Site Lease; and
(b) the First Supplemental Lease Agreement; and
WHEREAS, the City Council of the City (the "City Council") desires to authorize the
release of the Released Parcel and the Released Facility from the Site Lease and the Lease
Agreement, the execution and delivery of the First Supplemental Site Lease and the First
Supplemental Lease Agreement and the execution of such documents and the performance of
such acts as may be necessary or desirable in connection therewith;
NOW, THEREFORE, the City Council of the City of Anaheim does hereby resolve,
determine and order as follows:
Section 1. The above recitals are true and correct, and the City Council so finds and
determines.
Section 2. The release of the Released Parcel and the Released Facility from the Site
Lease and the Lease Agreement is hereby approved. The officers and employees of the City are,
and each of them is, hereby authorized and directed, for and in the name of the City to do any
and all things that they or any of them deem necessary or advisable in order to cause the
Released Parcel and the Released Facility to be released from the Site Lease and the Lease
Agreement.
Section 3. The First Supplemental Site Lease, in substantially the form submitted to this
meeting and made a part hereof as though set forth in full herein, be and the same is hereby
approved. Each of the Mayor of the City, and such other members of the City Council as the
Mayor may designate, the City Manager of the City, the Finance Director of the City, the Deputy
Finance Director of the City and such other officers of the City as the City Manager may
designate (the "Authorized Officers") is hereby authorized, and any one of the Authorized
Officers is hereby directed, for and in the name of the City, to execute and, upon satisfaction of
the conditions described in the recitals hereto required to be satisfied in order to release the
Released Parcel and the Released Facility from the Site Lease, deliver the First Supplemental
Site Lease in the form presented to this meeting, with such changes, insertions and omissions as
the Authorized Officer executing the same may require or approve, such requirement or approval
to be conclusively evidenced by the execution of the First Supplemental Site Lease by such
Authorized Officer.
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Section 4. The First Supplemental Lease Agreement, in substantially the form submitted
to this meeting and made a part hereof as though set forth in full herein, be and the same is
hereby approved. Each of the Authorized Officers is hereby authorized, and any one of the
Authorized Officers is hereby directed, for and in the name of the City, to execute and, upon
satisfaction of the conditions described in the recitals hereto required to be satisfied in order to
release the Released Parcel and the Released Facility from the Lease Agreement, deliver the First
Supplemental Lease Agreement in the form presented to this meeting, with such changes,
insertions and omissions as the Authorized Officer executing the same may require or approve,
such requirement or approval to be conclusively evidenced by the execution of the First
Supplemental Lease Agreement by such Authorized Officer.
Section 5. The Authorized Officers and the officers and employees of the City are, and
each of them is, hereby authorized and directed, for and in the name of the City to do any and all
things and to execute and deliver any and all documents that they or any of them deem necessary
or advisable in order to consummate the transactions contemplated by this Resolution and
otherwise to carry out, give effect to and comply with the terms and intent of this Resolution.
Section 6. All actions heretofore taken by the officers and employees of the City with
respect to the release of the Released Parcel and the Released Facility from the Site Lease and
the Lease Agreement, or in connection with or related to any of the agreements or documents
referred to herein, are hereby approved, confirmed and ratified.
Section 7. This Resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED by the City Council of the City of Anaheim on March 27,
2018, by the following roll call:
AYES: Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes,
Kring and Faessel
NOES: None
ABSENT: None
ABSTAIN: None
9::: � 4 /Z'
Mayor of the City of Anaheim
ATTEST:
CArfmg City Clerk of ity of Anaheim
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EXHIBIT A
DESCRIPTION OF RELEASED PARCEL
All that real property in the City of Anaheim, County of Orange, State of California,
being that portion of the Northeast Quarter of the Northwest Quarter of the Northwest Quarter of
Section 27, Township 4 South, Range 10 West, in the Rancho San Juan Cajon de Santa Ana, as
per map recorded in Book 51, Page 10 of Miscellaneous Maps, in the office of the County
Recorder of said County, except therefrom the North 30 feet thereof, described as follows:
The North 53 feet thereof, and
Beginning at the northwest corner of said Northeast Quarter of the Northwest
Quarter of the Northwest Quarter of Section 27; thence along the centerline of
Katella Avenue as shown on Parcel Map No. 2013-153 filed in Book 382, Pages
41 through 47, inclusive, of Parcel Maps South 89°11'53" East 250.93 feet;
thence South 00°48'07" West 105.28 feet; thence South 20°53'58" West 30.30
feet; thence South 23°17'27" West 412.97 feet; thence North 89054'30" West
76.17 feet to the west line of said Northeast Quarter of the Northwest Quarter of
the Northwest Quarter of Section 27; thence along said west line North 00°05'30"
East 516.29 feet to the point of beginning.
A-1
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EXHIBIT B
DESCRIPTION OF RELEASED FACILITY
Any and all improvements located on all that real property in the City of Anaheim,
County of Orange, State of California, being that portion of the Northeast Quarter of the
Northwest Quarter of the Northwest Quarter of Section 27, Township 4 South, Range 10 West,
in the Rancho San Juan Cajon de Santa Ana, as per map recorded in Book 51, Page 10 of
Miscellaneous Maps, in the office of the County Recorder of said County, except therefrom the
North 30 feet thereof, described as follows:
The North 53 feet thereof; and
Beginning at the northwest corner of said Northeast Quarter of the Northwest
Quarter of the Northwest Quarter of Section 27; thence along the centerline of
Katella Avenue as shown on Parcel Map No. 2013-153 filed in Book 382, Pages
41 through 47, inclusive, of Parcel Maps South 89°11'53" East 250.93 feet;
thence South 00048'07" West 105.28 feet; thence South 20053'58" West 30.30
feet; thence South 23°17'27" West 412.97 feet; thence North 89°54'30" West
76.17 feet to the west line of said Northeast Quarter of the Northwest Quarter of
the Northwest Quarter of Section 27; thence along said west line North 00°05'30"
East 516.29 feet to the point of beginning.
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CLERK'S CERTIFICATE
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF ANAHEIM )
I, THERESA BASS, Acting City Clerk of the City of Anaheim, do hereby certify that the foregoing
is the original Resolution No. 2018-026 adopted at a regular meeting provided by law, of the
Anaheim City Council held on the 27thday of March. 2018 by the following vote of the members
thereof:
AYES: Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes,
Kring, and Faessel
NOES: None
ABSTAIN: None
ABSENT: None
IN WITNESS WHEREOF, I have hereunto set my hand this 28th day of March. 2018.
ACTING CITY CLERK OF THE CITY OF ANAHEIM
(SEAL)