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84R-216 RESOLUTION NO. 84R-216 .~ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM AUTHORIZING THE BORROWING OF FUNDS FOR FISCAL YEAR 1984-1985 AND THE ISSUANCE OF 1984 TAX AND REVENUE ANTICIPATION NOTES THEREFOR RESOLVED, by the City Council of the City of Anaheim, California, as follows: WHEREAS, pursuant to Sections 53850 et seq. of the Government Code of the State of California, this City Council (the "Council") has found and determined that borrowing is needed for the requirements of the City of Anaheim (the "City"), a chartered city and municipal corporation duly organized and existing under the Constitution and laws of the State of California, to satisfy obligations payable from the General Fund of the City, and that it is appropriate that said borrowing be undertaken at this time by the issuance of temporary notes therefor in anti c i pati on of the recei pt of taxes, revenue and other moneys to be received by the City for the General Fund of the City during or allocable to Fiscal Year 1984-1985; NOW, THEREFORE, the City Council of the City of Anaheim hereby finds, determines, declares and resolves as follows: Section 1. Limitation on Maximum Account. The principal amount of notes issued pursuant hereto, when added to the interest payable thereon, sha 11 not exceed ei ghty-fi ve percent (85''/0) of the esti mated amount of the unco 11 ected taxes, revenue and other moneys of the Ci ty for the General Fund of the City attributable to Fiscal Year 1984-1985, and available for the payment of said notes and the interest thereon (as hereinafter provided). Section 2. Issuance and Terms of Notes. Solely for the purpose of anticipating taxes, revenue and other moneys to be received by the City for the General Fund of the City during or allocable to Fiscal Year 1984-1985, and not pursuant to any common plan of fi nanc i ng, the Ci ty hereby determi nes to and sha 11 borrow the aggregate pri nc i pa 1 sum of $27,400,000. Such borrowi ng sha 11 be by the issuance of temporary notes under Secti ons 53850 et seq. of the Government Code of the State of California, designated "City of Anaheim 1984 Tax and Revenue Anticipation Notes" (the "Notes"), to be numbered from 1 consecutively upward in order of issuance, to be in the denomination of $25,000 or any integral multiple thereof to be dated July 2, 1984, to mature (without option of prior redemption) on June 28, 1985, and to bear interest, payable at maturity and computed on a 30-day month/360-day year basis, at the rate determined in accordance with the bid of the successful bidders for the Notes approved by the Ci ty Counci 1 of the Ci ty of Anaheim on the date of adoption of this Resolution. Both the principal of and interest on the Notes shall be payable, only upon surrender thereof, in lawful money of the United States of America, at the Corporate Agency Division of Bank of America National Trust and Savings Association in Los Angeles or San Francisco, California. .....,~...,._.,. -- t""""'- Section 3. Form of Notes. The Notes shall be issued in bearer form, wi thout coupons, and sha 11 be substanti all y in the form and substance set forth in Exhibit A attached hereto and by reference incorporated herein, the blanks in said form to be filled in with appropriate words and figures. Section 4. Use of Proceeds. The moneys so borrowed shall be depos i ted in the Genera 1 Fund of the Ci ty and used and expended by the Ci ty for any purpose for whi ch it is authori zed to expend funds from the General Fund of the City. Section 5. Security. The principal amount of the Notes, together with the interest thereon, shall be payable from taxes, revenue and other moneys which are received by the City for the General Fund of the City for the Fiscal Year 1984-1985. As security for the payment of the principal of and interest on the Notes, the City hereby pledges the first "unrestricted moneys", as hereinafter defined, to be received by the City in the amount of $4,130,000 in September, 1984, December, 1984, and March, 1985, and the first "unrestricted moneys", as hereinafter defined, to be received by the City in the amount of $15,010,000 in June, 1985, plus an amount sufficient to pay interest due on the Notes at their maturity (such pledged amounts being hereinafter called the "Pledged Revenues"). The principal of the Notes and the interest thereon shall constitute a first lien and charge thereon and shall be paid from the Pledged Revenues. To the extent not so paid from the Pl edged Revenues, the Notes shall be paid from any other moneys of the City lawfully available therefor. In the event that there are insufficient unrestricted moneys received by the City to permit the deposit in the Repayment Fund, as here i nafter defi ned, of the fu 11 amount of the Pl edged Revenues to be deposited in any month on the last business day of such month, then the amount of any defi c i ency shall be sati sfi ed and made up from any other moneys of the City lawfully available for the repayment of the Notes and interest thereon. The term "unrestricted moneys" shall mean taxes, income, revenue and other moneys intended as recei pts for the General Fund of the Ci ty and whi ch are genera lly avail ab 1 e for the payment of current expenses and other obligations of the City. Section 6. Payin~ Agent. The Corporate Agency Division of Bank of America National Trust and Savings Association is hereby appointed to act as the Payi ng Agent and depos i tory of the Ci ty for the purpose of rece i vi ng the payments of principal and interest made by the City on the Notes at maturity, to hold, allocate, use and app 1 y sa i d payments and to perform such other duties and powers of the Paying Agent as are prescribed in this Resolution. Section 7. Repayment Fund. There is hereby created a special fund to be held by the City Treasurer separate and distinct from all other City funds and accounts designated the "1984 Tax and Revenue Anticipation Notes Repayment Fund" (the "Repayment Fund") and applied as directed in this Resolution. Any money placed in the Repayment Fund shall be for the benefit of the holders of the Notes, and until the Notes and all interest thereon are paid or until provision has been made for the payment of the Notes at maturity with interest to maturity, the moneys in the Repayment Fund shall be applied solely for the purposes for which the Repayment Fund is created. 2 "'-'-""~'"- t'r>' During the months of September, 1984, December, 1984, March, 1985, and June, 1985, the City shall deposit all Pledged Revenues in the Repayment Fund. On June 28, 1985, the City sha 11 pay to the Payi ng Agent the moneys in the Repayment Fund necessary to pay the principal and interest on the Notes at maturity and to the extent said moneys are insufficient therefor an amount of moneys from the General Fund which will enable payment of the full principal and interest on the Notes at maturity. Any moneys remaining in the Repayment Fund after the Notes and the interest thereon have been paid, or provision for such payment has been made, shall be transferred to the Ci ty for depos it in its General Fund. Section 8. Deposit and Investment of Repayment Fund. All moneys held by the City in the Repayment Fund, if not invested, shall be held in time or demand depos its as pub 1 i c funds and sha 11 be secured at all ti mes by bonds or other obligations which are authorized by law as security for public deposits, of a market value at least equal to the amount required by law. Moneys in the Repayment Fund shall, to the greatest extent possible, be invested by the City Treasurer directly, or through an investment agreement, in investments as permitted by the laws of the State of California as now in effect and as hereafter amended, and the proceeds of any such investments shall be deposited in the General Fund of the City monthly or at such other intervals as the City Treasurer shall deem appropriate. Section 9. Execution of Notes. The Mayor of the City is hereby authorized to execute the Notes by manual or facsimile signature, and the City Cl erk of the Ci ty is hereby author i zed to counters i gn the same by manual signature and to affi x the seal of the Ci ty thereto either manua 11 y or by facsimile impression thereof, and said officers are hereby authorized to cause the blank spaces thereof to be filled in as may be appropriate. Section 10. Covenants and Warranties. It is hereby covenanted and warranted by the City that all representations and recitals contained in this Resolution are true and correct, and that the City and its appropriate officials have duly taken all proceedings necessary to be taken by them, and wi 11 take any addi ti ona 1 proceedi ngs necessary to be taken by them, for the prompt collection and enforcement of the taxes, revenues and other moneys pledged hereunder in accordance with law and for carrying out the provisions of this Resolution. Section 11. Arbi trage Covenant. The Ci ty hereby covenants that it will make no use of the proceeds of the Notes which if such use had been made on the date hereof would have caused the Notes to be "arbitrage bonds" under Section l03(c) of the Internal Revenue Code of 1954, as amended; and, to that end, so long as any of the Notes are outstanding, the City, and all officers having custody or control of the proceeds of the Notes, shall comply with all requirements of said section and of the regulations of the United States Department of the Treasury thereunder, to the extent that such regul ations are, at the time, applicable and in effect, so that the Notes will not be "arbitrage bonds". 3 .=_.~""'"'-,,~ Section 12. Sale of Notes. The Notes are hereby ordered to be so 1 d to the succes sfu 1 bi dders therefor approved by the Ci ty Counc 11 of the City of Anaheim on the date of adoption of this Resolution. Section 13. Official Statement. The Director of Finance is hereby authorized to approve the Official Statement relating to the Notes prepared by the financial advisers to the City. The Director of Finance is authorized to execute a statement at the time of del ivery of the Notes to the effect that the Official Statement does not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. Section 14. Execution of Closing Documents. That the Mayor, City Clerk, Director of Finance, City Treasurer and other officers of the City are authori zed and di rected to execute such certi fi cates, agreements and other closing documents as are necessary to consummate the transactions contemplated by this Resolution. * * * * * * * * THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 12th day of June, 1984. ~~4- MAYOR OF THE CITY OF ANAHEIM ATTEST: ~~ ~S::JJ-- CITY CLERK OF THE CITY OF ANAHEIM - 4 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SSe CITY OF ANAHEIM ) I, LEONORA N. SORL, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 84R-2l6 was introduced and adopted at a regular meeting provided by law, of the City Council of the City of Anaheim held on the 12th day of June, 1984, by the following vote of the members thereof: <- AYES: COUNCIL MEMBERS: Kaywood, Bay, Overholt, Pickler and Roth NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None AND I FURTHER certify that the Mayor of the City of Anaheim signed said Resolution No. 84R-2l6 on the 12th day of June, 1984. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the City of Anaheim this 12th day of June, 1984. ~~~~ CITY CLERK OF THE CITY OF ANAHEIM ( SEAL ) I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 84R-2l6 duly passed and adopted by the Anaheim City Council on June 12, 1984. ~'l~S~ CITY CLERK - '_....~"'"',.~.~.._~'".~_..,."'F_..-., f".'" EXHI BIT A CITY OF ANAHEIM, CALIFORNIA 1984 TAX AND REVENUE ANTICIPATION NOTE No. $ Date: July 2,1984 FOR VALUE RECEIVED, the City of Anaheim (the "City"), State of California, acknowledges itself indebted to and promises to pay to the bearer hereof, at the Corporate Agency Division of Bank of America National Trust and Savings Association in Los Angeles or San Francisco, California, the principal sum of DOLLARS ($ ) in lawful money of the United States of America, on June 28, 1985, together with interest thereon at the rate of % per annum in like lawful money from the date hereof until payment in fUll of said principal sum. Both the principal of and interest on this Note shall be payable only upon surrender of this Note as the same shall fall due; provided, however, no interest shall be payable for any period after maturity during which the holder hereof fails properly to present this Note for payment. It is hereby certified, recited and declared that this Note is one of an authori zed issue of Notes in the aggregate pri nc i pa 1 amount of Twenty-Seven Million Four Hundred Thousand Dollars ($27,400,000), all of like tenor, issued pursuant to the prov is ions of a reso 1 uti on of the Ci ty Counc i 1 of the Ci ty entitled "A Resolution of the City Council of the City of Anaheim Authorizing the Borrowi ng of Funds for Fi sca 1 Year 1984-85 and the I ssuance of 1984 Tax and Revenue Anticipation Notes Therefor", duly passed and adopted on June 12, 1984, and pursuant to Article 7.6 (commencing with Section 53850) of Chapter 4, Part 1, Division 2, Title 5, of the California Government Code, and that all things, conditions and acts required to exist, happen and be performed precedent to and in the issuance of this Note have existed, happened and been performed in regular and due time, form and manner as required by law, and that this Note, together with all other indebted'ness and obligations of the City, does not exceed any limit prescribed by the Constitution or statutes of the State of California. A-l "..- The principal amount of the Notes, together with the interest thereon, shall be payable from taxes, revenue and other moneys which are received by the City for the Repayment Fund of the City for the Fiscal Year 1984-1985. As security for the payment of the principal of and interest on the Notes, the City has pledged the first "unrestricted moneys" to be received by the City in the amount of $4,130,000 in September, 1984, December, 1984, and March, 1985, and the first "unrestricted moneys" to be received by the City in the amount of $15,010,000 in June, 1985, plus an amount sufficient to pay interest due on the Notes at their maturity (such pledged amounts being herein called the "Pledged Revenues"). The principal of the Notes and the interest thereon shall constitute a first lien and charge thereon and shall be payable from the Pledged Revenues and to the extent not so paid from the Pledged Revenues, the Notes shall be paid from any other moneys of the City lawfully available therefor. The term "unrestricted moneys" shall mean taxes, income, revenue and other moneys intended as rece i pts for the General Fund of the Ci ty and wh i ch are genera 11 y ava i 1 ab 1 e for the payment of current expenses and other obligations of the City. IN WITNESS WHEREOF, the City of Anaheim has caused thi s Note to be executed by the Mayor of the Ci ty and counters i gned by the Ci ty Cl erk of the City, and caused its official seal to be affixed hereto all as of this 2nd day of July, 1984. CITY OF ANAHEIM By Mayor (S E A l) Countersigned: City Clerk c_ A-2