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2005-173CITY OF ANAHEIM RESOLUTION N0.2005- 173 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA (n APPROVING THE FORMS AND AUTHORIZING THE EXECUTION OF A FIRST SUPPLEMENTAL INDENTURE, AN AMENDED AND RESTATED REMARKETING AGREEMENT AND OTHER RELATED DOCUMENTS; (II) APPROVING THE DELIVERY OF A PRELIMINARY REOFFERING CIRCULAR AND A REOFFERING CIRCULAR; AND (III) APPROVING CERTAIN ACTIONS IN CONNECTION THEREWITH WHEREAS, the Anaheim Public Financing Authority (the "Authority") has previously issued its Distribution System Revenue Bonds, Series 1999 (City of Anaheim Electric System Distribution Facilities) (the "Bonds") in the aggregate principal amount of $45,000,000 pursuant to an Indenture of Trust, dated as of September 1,1999, by and among the Authority, the City of Anaheim (the "City"} and The Bank of New York Trust Company, N.A. (as successor to Harris Trust Company of California), as trustee; and WI-IEREAS, the Bonds were originally issued bearing interest at a Long-Term Interest Rate from the dated date of the Bonds to but not including October 1, 2005 (the "Conversion Date"); and WHEREAS, on the Conversion Date, the Authority intends to convert the interest rate on the Bonds to another Long-Term Interest Rate and will cause the Bonds to be remarketed in accordance with the terms of the Indenture; and WHEREAS, in order to make certain changes regarding the Long-Term Interest Rate and optional redemption provisions therein, the City intends to amend the Indenture by executing and delivering a First Supplemental Indenture of Trust (the "First Supplemental Indenture"), the proposed form of which has been presented to this City Council; and WHEREAS, in order to set the remarketing fee far the remarketing and sale of the Bonds on the Conversion Date and to add one or more underwriting firms to serve as remarketing agents thereunder, the City intends to amend the Remarketing Agreement relating to the Bonds by executing and delivering an Amended and Restated Remarketing Agreement (the "Amended and Restated Remarketing Agreement"), the proposed form of which has been presented to this City Council; and WHEREAS, the City has determined that it is in the best public interest of the City to approve the above documents and authorize and approve the transactions contemplated thereby; NOW, THEREFORE, the City Council of the City of Anaheim, California does hereby resolve, determine and order as follows: SECTION 1: The City Council hereby approves the First Supplemental Indenture in the form thereof on file with the City Clerk, together with such additions thereto and changes therein as shall have been approved by the Authorized Officers (as defined below), such approval to be conclusively evidenced by the execution and delivery thereof; provided, however, that the interest rate on any maturity of the Bonds shall not exceed S.SO% per annum. 45635543.2 The Mayor, the City Manager, the City Treasurer, the Public Utilities General Manager and the Public Utilities Assistant General Manager-Finance and Administration, and their respective designees (each, an "Authorized Officer"), are each hereby authorized to execute, and the City Clerk is hereby authorized to attest and affix the seal of the City to the final form of the First Supplemental Indenture, for and in the name and on behalf of the City. The City Council hereby authorizes the delivery and performance of the First Supplemental Indenture. SECTION 2: The City Council hereby approves the Amended and Restated Remarketing Agreement in the form thereof on file with the City Clerk, together with such additions thereto and changes therein as shall have been approved by an Authorized Officer, such approval to be conclusively evidenced by the execution and delivery thereof; provided that the total remarketing fee shall not exceed 0.6% of the principal amount of the Bonds remarketed. The City Council hereby authorizes the Bonds to be remarketed at a premium such that the total proceeds of remarketing shall not exceed $45,500,000. Each of the Authorized Officers is hereby authorized to execute, and the City Clerk is hereby authorized to attest and affix the seal of the City to, the final form of the Amended and Restated Remarketing Agreement, for and in the name and on behalf of the City. The City Council hereby authorizes the delivery and performance of the Amended and Restated Remarketing Agreement. SECTION 3: The City Council hereby approves the Preluninary Reoffering Circular relating to the Bonds (the "Preliminary Reoffering Circular") in the form thereof on file with the City Clerk, with such additions thereto and changes therein as are approved by any Authorized Officer, upon consultation with the City Attorney and Fulbright & Jaworski L.L.P., Bond Counsel and Disclosure Counsel {"Bond Counsel"). Each of the Authorized Officers is hereby authorized to execute and deliver a certificate that deems the Preliminary Reoffering Circular to be final for purposes of SEC Rule 15c2-12, Upon the pricing of the Bonds, each of the Authorized Officers is hereby authorized to prepare and execute a final Reoffering Circular (the "Reoffering Circular"), substantially in the form of the Preliminary Reoffering Circular, with such additions thereto and changes therein as approved by any Authorized Officer, upon consultation with the City Attorney and Bond Counsel. The City Council hereby authorizes the distribution of the Preliminary Reoffering Circular and the Reoffering Circular by the Remarketing Agents in wnnection with the offering and sale of the Bonds. SECTION 4: The Mayor, the City Manager, the Public Utilities General Manager, the Public Utilities Assistant General Manager-Finance and Administration, the City Treasurer, the City Attorney and the City Clerk of the City and the other officers, employees and agents of the City are hereby authorized and directed, jointly and severally, for and in the name of the City, to do any and all things and to take 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 reoffering and sale of the Bonds, and to consummate the transactions contemplated by the First Supplemental Indenture, the Amended and Restated Remarketing Agreement and this Resolution, and such actions previously taken by such officers, employees and agents are hereby ratified and confirmed. SECTION 5: This Resolution shall take effect from and after its date of adoption. 45635543.2 ~ PASSED AND ADOPTED this 23rd day of August, 2005, by the following vote: AYES: Mayor Pringle, Council Members Sidhu, Hernandez, Galloway, Chavez NOES: None ABSENT: None M or [SEAL] i ATTEST: L City Jerk 45635543.2 3 STATE OF CALiFORNL4 COUNTY OF ORANGE CITY OF ANAHEIM I, Sheryll A. Schroeder, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 2005- 173 _ was introduced and adopted at a regular meeting of the City Council of the City of Anaheim duly called, noticed and held on the23 day of August, 2005, by the following vote of the members thereof: AYES: COUNCIL MEMBERS: Mayor Pringle, Council Members Sidhu, Hernandez, Galloway, Chavez NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: AND I FURTHER certify that the Mayor of the City of Anaheim signed said Resolution No, 2005- ~_ on the 23rdday of August, 2005. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the City of Anaheim this 23rd day of August, 2005. r~ CYrY CLERK F CITY OF ANAHEIM (SEAL) I, Sheryll A. Schroeder, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original Resolution No. 2005- 173 duly passed and adopted by the Anaheim City Council on August ?~ 2005. ~~ , ' TTY CLERK 45635543.2 4