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87-116RESOLUTION NO. 87R-116 A RESOLUTION PROVIDING PRELIMINARY APPROVAL OF THE EXECD~ION ~D DELIVERY OF AN INSTALLMENT SALE AGREEMENT FOR THE PURPOSE OF PROVIDING FINANCING FOR CERTAIN HEALTH FACILITIES RESOLVED, by the City Council of the City of Anaheim, California, as follows: WHEREAS, the City of Anaheim, (the "City") is authorized pursuant to its Charter to enter into installment sale agreements for the purpose of providing financing for the acquisition and construction of health facilities within tae City; WHEREAS, California Lutheran Homes ("CLH"), an organization qualified under section 501(c)(3) of the Internal Revenue Code of 1986, as amended, nas applied to the City to enter into an installment sale agreement for the purpose of providing financing for the acquisition and construction of an expansion to its skilled nursing facility located within the City, herein (the "Project"), and the City wishes to induce CLH to acquire and construct the Project within the City; and WHEREAS, it is in the public interest, for the public benefit and in furtherance of the public purposes of the City that the City Council provide preliminary approval of the execution and delivery of an installment sale agreement for the aforesaid purposes; NO~, THEREFORE, it is hereby FOUND, DETERMINED and ORDERED as follows: 1. The City of Anaheim hereby preliminarily approves the execution and delivery of an installment sale agreement of the City, pursuant to the authority above referenced, in a principal amount of not to exceed $6,000,000, for the purpose of providing financing to CLH for the acquisition and construction of the Project. 2. The City hereby determines that it will take all action necessary or advisable in connection with the execution and delivery of an installment sale agreement for said purposes and the execution of the financing agreements for the Project. 3. The installment sale agreement shall be a special obligation of the City payable solely from the sources referenced in the installment sale agreement and related financing documents, and shall not constitute an indebtedness of the City or a loan of credit thereof within the meaning of any constitutional or statutory provisions. 4. The execution and delivery of the installment sale agreement shall De upon such terms and conditions as may be mutually agreed upon by the City, CLH and the purchasers of any certificates of participation delivered with respect to the installment sale agreement and shall be subject to completion of proceedings relating thereto. 5. The proceeds of the financing shall include such related and necessary delivery costs, administrative expenses, debt service reserves and interest payments as may De required to accomplish the financing successfully. 6. The City Council hereby finds that the execution and delivery of the installment sale agreement as described herein is a substantial inducement to CLH to acquire a~)d construct the Project within the City and that the Project will further the public purposes of the City. City Clerk Mayor _~, the undersigned City Clerk of the City of Anaheim, hereby certify that the foregoing is a full, true and correct copy of Resolution No.87R_ll~uly adopted by the City Council of the City at a meeting thereof on the 31st day of March , 1987, by the following vote of the members thereof: AYES, and in favor thereof: Councilmembers: Pickler, Hunter, Kaywood, Bay. NOES: Councilmembers: None ABSENT: VACANCY: Councilmembers:None Councilmembers: One Cizy Clerk 2t35A -2- CLERK STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF ANAHEIM ) I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 87R-116 was introduced and adopted at a regular meeting provided by law, of the City Council of the City of Anaheim held on the 31st day of March, 1987, by the following vote of the members thereof: AYES: COUNCIL MEMBERS: Pickler, Hunter, Kaywood and Bay NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None VACANCY: COUNCIL MEMBERS: One AND i FURTHER certify that the Mayor of the City of Anaheim signed said Resolution No. 87R-116 on the 31st day of March, 1987. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the City of Anaheim this 31st day of March, 1987. CITY CLERK OF THE CITY OF ANAHEIM (SEAL) I, LEONORA N. $OHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 87R-116 duly passed and adopted by the Anaheim City Council on March 31, 1987. CITY CLERK OF THE CITY OF ANAHEIM