95-017 RESOLUTION NO. 95R-17
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ANAHEIM DEMANDING THAT THE COUNTY OF
ORANGE RETURN 100 PERCENT OF THE CITY OF
ANAHEIM MONIES IN THE ORANGE COUNTY
INVESTMENT POOL (OCIP) FORTHWITH.
WHEREAS, the County of Orange is authorized by Section
53684 of the California Government Code to serve as a trustee for
funds deposited by cities and other governmental agencies in the
Orange County Investment Pool (OCIP); and
WHEREAS, the City of Anaheim has made substantial
deposits into the OCIP; and
WHEREAS, the City of Anaheim has acted to maintain
deposits in the OCIP in substantial reliance upon the State
Government Code with regards to the safety of funds retained
within the Orange County Investment Pool; and
WHEREAS, the City of Anaheim has acted to maintain
deposits in the OCIP in substantial reliance upon the Orange
County Investment Policy with regards to the safety and liquidity
of funds retained within the OCIP; and
WHEREAS, the Orange County Treasurer/Tax Collector made
assurances to the City of Anaheim concerning the safety and
liquidity of the City's deposits in the OCIP; and
WHEREAS, the Orange County Board of Supervisors is
required by law to exercise oversight of the activities of the
Orange County Treasurer/Tax Collector; and
WHEREAS, on December 6, 1994 the County of Orange filed
for bankruptcy under Chapter 9 of the Federal Bankruptcy Code on
behalf of the County and the OCIP; and
WHEREAS, the Orange County Board of Supervisors has
failed to acknowledge its responsibility to insure the safe
return of all participants' deposits and accrued interest
earnings; and
WHEREAS, it has recently been revealed that County
officials have wrongfully and illegally diverted at least $85
million in OCIP interest earning from OCIP depositors to a County
"economic uncertainty fund" established by the Board of
Supervisors and controlled by County officials.
NOW, THEREFORE, BE IT RESOLVED, that the City of
Anaheim City Council demands that the Orange County Board of
Supervisors accept its fiduciary responsibility to the
participants in the OCIP and to the taxpayers of the City of
Anaheim.
BE IT FURTHER RESOLVED that the city Council of the
City of Anaheim demands that the Orange County Board of
Supervisors assume the entire financial responsibility for the
OCIP losses and take all steps necessary to generate sufficient
revenues to make each of the OCIP depositors whole.
BE IT FURTHER RESOLVED that the City Council of the
City of Anaheim demands that the Orange County Board of
Supervisors immediately draft, adopt, and seek court approval of
a bankruptcy plan which will result in the return 100 percent of
the funds the City of Anaheim and all other depositors had on
deposit in the OCIP, together with interest thereon.
BE IT FURTHER RESOLVED that the City Clerk of the City
of Anaheim shall forward a copy of this resolution to each member
of the Orange County Board of Supervisors and to each of the
other cities in Orange County.
THE FOREGOING RESOLUTION is approved and adopted by the
City Council of the City of Anaheim this 24th day of January,
1995.
MAYO~ OF THE ~IM
CITY CLERK OF I
10432.1\JWH~TE\January 23, 1~5
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. 95R-17 was introduced and adopted at a regular meeting provided by law, of the Anaheim City Council
held on the 24th day of January, 1995, by the following vote of the members thereof:
AYES: MAYOR/COUNCIL: Lopez, Zemel, Feldhaus, Daly
NOES: MAYOR/COUNCIL: None
ABSENT: MAYOR/COUNCIL: None
COUNCIL VACANCY: COUNCILMEMBER: One
AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said Resolution No. 95R-17 on the
24th day of January, 1995.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Anaheim
this 24th day of January, 1995.
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. 95R-17 was duly passed and adopted by the City Council of the City of Anaheim on
January 24, 1995.
CITY CLERK OF THE CITY OF ANAHEIM