APFA2007/04/24ANAHEIM, CALIFORNIA ANAHEIM PUBLIC FINANCING AUTHORITY
SPECIAL MEETING OF APRIL 24, 2007
The Anaheim Public Financing Authority met in special session.
Present: Chairman Curt Pringle and Board Members: Lorri Galloway, Bob Hernandez, Lucille
Kring and Harry Sidhu.
Staff Present: City Manager David Morgan, City Attorney Jack White, and Secretary Linda
Nguyen.
A copy of the agenda for the meeting of the Anaheim Public Financing Authority was posted on
April 20, 2007 on the kiosk outside City Hall.
At 5:34 P.M., Chairman Pringle called the regular meeting of the Anaheim Public Financing
Authority to order in a joint public comment session with the Anaheim City Council.
ADDITIONS /DELETIONS TO THE AGENDA: None
PUBLIC COMMENTS:
No remarks offered during the joint Financing Authority /City Council public comment session
related to the Anaheim Public Financing Authority.
CONSENT CALENDAR: Authority Member Hernandez moved to approve the consent
calendar, seconded by Authority Member Kring. Roll Call Vote: Ayes — 5: Chairman Pringle,
Authority Members: Galloway, Hernandez, Kring and Sidhu. Noes — 0. Motion Carried.
CONSENT CALENDAR:
Approve the special meeting minutes of the Anaheim Public Financing Authority of
February 27, 2007.
END OF CONSENT CALENDAR:
Mayor Pringle requested Item No's 22 and 23 be heard concurrently with Item No's. 1 and 2
since they were related matters requiring action by both the Financing Authority and the Council
governing bodies.
2. RESOLUTION NO. APFA 2007 -003 A RESOLUTION OF THE ANAHEIM
4596 PUBLIC FINANCING AUTHORITY authorizing the issuance of not to exceed
$55,000,000 aggregate principal amount of Sewer Revenue Bonds, Series 2007;
approving the forms and authorizing the execution of an Indenture of Trust, an
Installment Purchase Agreement, an Official Statement, and a Bond Purchase
Agreement; and authorizing the execution of related documents and certificates and the
taking of related actions. (Related to Council Item No. 22).
April 24, 2007
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William Sweeney, Finance Director, reported, the Series 2007 bonds were the first in a series to
be issued to finance the construction of $102 million citywide sewer improvements and would
generate approximately $45 million for Phase 1 related sewer improvements. He emphasized
the bonds were long -lived assets with a long debt service and would be paid through adjusted
sewer fees of about $3 million per year. Chairman Pringle commented a presentation on the
various sewer improvement projects was made at a previous meeting when the City took action
to move forward with a sewer fee increase which was the foundation for repayment of this debt.
Authority Member Sidhu moved to approve Resolution No. APFA 2007 -003 authorizing the
issuance of $55,000,000 aggregate principal amount of Sewer Revenue Bonds, Series 2007;
approving forms and authoring execution of Indenture of Trust, an Installment Purchase
Agreement, an Official Statement and a Bond Purchase Agreement and other related
documents and certifications; seconded by Authority Member Kring. Roll Call Vote: Ayes — 5:
Chairman Pringle, Authority Members: Galloway, Hernandez, Kring and Sidhu. Noes — 0.
Motion Carried.
3. RESOLUTION NO. APFA 2007 -004 A RESOLUTION OF THE ANAHEIM
4595 PUBLIC FINANCING AUTHORITY authorizing the issuance of not to exceed
$270,000,000 aggregate principal amount of its lease revenue bonds (Anaheim Public
Improvements Project) to refinance certain infrastructure improvements and providing
the terms and conditions for the issuance of said refunding bonds, and other matters
relating thereto. (Related to Council Item No. 23).
Chairman Pringle pointed out that he and City Manager Dave Morgan were in San Francisco on
April 23r to make presentations to three rating agencies and two bond insurance agencies in
preparation for Item No's 3 and 23.
Mr. Sweeney indicated Item No's 3 and 23 represented a refinancing of revenue bonds issued
10 years ago to take advantage of current low interest rates. Chairman Pringle added that in
1994 with the establishment of the Anaheim Resort, the City in cooperation with other business
parties took on $510 million obligation to make public improvements to the resort area. Last
November, the Public Financing Authority and Council directed staff to move forward with
refinancing a portion of that debt ($270 million). He pointed out 20 percent of Anaheim's bed
tax went toward repayment of this debt and the monies saved in interest ($12 million) would
help secure and pay down that debt obligation scheduled to be repaid by 2037.
Authority Member Sidhu asked if there were early payment penalties associated with
refinancing the bonds; Mr. Sweeney responded the overall net interest savings more than made
up for the early payment premium and it made more economic sense to refinance.
Authority Member Hernandez moved to approve Resolution APFA 2007 -004 authorizing the
issuance of not to exceed $270,000,000 aggregate principal amount of its lease revenue bonds
(Anaheim Public Improvements Project) to refinance certain infrastructure improvements and
proving the terms and conditions for issuance of said refunding bonds and other maters related
thereto, seconded by Authority Member Galloway. Roll Call Vote: Ayes — 5: Chairman Pringle,
Authority Members: Galloway, Hernandez, Kring and Sidhu. Noes — 0. Motion Carried.
April 24, 2007
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ADJOURNMENT:
There being no further business, Chairman Pringle adjourned meeting of the Anaheim Public
Financing Authority at 5:50 P.M.
Respec Ily submitted,
Linda Nguyen 47
Secretary, Anaheim Public Financing Authority