94-107 CITY OF ANAHEIM RESOLUTION NO. 94R-107
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ANAHEIM, CALIFORNIA (I) APPROVING A PROGRAM
AGREEMENT AND AN INDENTURE OF TRUST; (II)
AUTHORIZING THE EXECUTION AND DELIVERY OF A
PRELIMINARY OFFICIAL STATEMENT AND AN OFFICIAL
STATEMENT; AND (III) AUTHORIZING CERTAIN ACTIONS IN
CONNECTION THEREWITH
WHEREAS, the city of Anaheim (the "city") and other
public agencies have heretofore entered into a Joint Powers
Agreement creating the Financing Authority for Resource Efficiency
of California ("FARECal") for the purpose, among others, of issuing
FARECal's bonds to be used to finance (i) activities, programs, and
equipment which are designed to conserve, change usage patterns of
or reduce the demand for electrical or other energy or capacity,
natural gas or water, (ii) activities, programs and equipment which
are designed to utilize electrical or other energy or capacity,
natural gas or water facilities more efficiently, (iii) programs,
equipment or facilities which are designed to transport, distribute
or treat water, waste water or recycled water for purposes of reuse
and (iv) the planning, development, undertaking, purchase,
construction, repair and replacement of facilities for the
transmission and distribution of electrical energy (collectively,
the "Program"); and
WHEREAS, it has been proposed that the City purchase a
portion of the Program to assist the City in effecting its proposed
thermal energy storage systems program, its proposed lighting
efficiency program and its proposed transmission and electric
distribution program (such portion of the Program, the "city's
Program"); and
WHEREAS, it has been proposed that FARECal acquire the
City's Program and that the City purchase the City's Program from
FARECal pursuant to a Program Agreement, dated as of July 1, 1994,
by and between the City and FARECal (the "Program Agreement"), the
proposed form of which has been presented to this City Council,
pursuant to which the City will agree to make installment purchase
payments (the "Installment Payments") in connection therewith; and
WHEREAS, FARECal and the City have determined that it
would be in the best interests of FARECal, the city and the
citizens of the City to authorize, pursuant to the Indenture of
Trust, dated as of July 1, 1994 (the "Indenture"), the proposed
form of which has been presented to this City Council, for the
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purpose of raising funds necessary for FARECal to acquire the
City's Program, the issuance of its revenue bonds (the "Bonds") in
the aggregate principal amount of not to exceed $25,000,000, under
the provisions of Article 4 (commencing with Section 6584) of
Chapter 5 of Division 7 of Title 1 of the Government Code of the
State of California (the "Act"); and
WHEREAS, the City has determined that it is in the best
public interest of the City and the citizens of the City to approve
certain documents mentioned above and authorize and approve the
transactions contemplated thereby; and
NOW, THEREFORE, the City Council of the City of Anaheim,
California, does hereby resolve, determine and order as follows:
SECTION ~: Pursuant to the Act, the City hereby finds
and determines that the issuance of the Bonds will result in
savings in effective interest rates, bond underwriting costs and
bond issuance costs and thereby result in significant public
benefits to its members within the contemplation of Section 6586 of
the Act.
SECTION 2: That the Program Agreement and the Indenture
presented to this city Council are hereby approved. The Mayor, the
City Manager, the City Treasurer and the City Clerk are authorized
and directed for and in the name of the city to execute and deliver
said Program Agreement. The Program Agreement and the Indenture
shall be executed in the form hereby approved, with such additions
thereto and changes therein as are approved in accordance with
Section 6 hereof, which are in substantial conformance with the
form hereby approved, such approval to be conclusively evidenced by
the execution and delivery thereof.
SECTION 32 That this City Council hereby approves the
issuance of the Bonds by FARECal in accordance with the terms and
provisions of the Indenture (as executed and delivered).
SECTION 4. The Public Utilities General Manager is
hereby authorized to approve a Preliminary official Statement
relating to the Bonds allocable to the City (such approval to be
conclusively evidenced by the delivery thereof) (the "Preliminary
official Statement") and the City Council hereby approves the use
of the Preliminary Official Statement in connection with the
offering and sale of the Bonds allocable to the City. The Public
Utilities General Manager is authorized to deem the Preliminary
official Statement as it relates to the city to be final within the
meaning of Security and Exchange Commission Rule 15c2-12 subject to
the completion of those items permitted by said Rule.
SECTION $. The Public Utilities General Manager is
hereby authorized to approve an official Statement relating to the
Bonds allocable to the City (such approval to be conclusively
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evidenced by the execution and delivery thereof) (the "Official
Statement"), and the City Council hereby approves the use of the
official Statement in connection with the offering and sale of the
Bonds, and the City Council hereby further approves the use of any
supplement or amendment to the final Official Statement which is
necessary so that the final Official Statement as it relates to the
City does not include any untrue statement of a material fact and
does not omit to state a material fact necessary to make the
statements therein not misleading. The Mayor, the city Manager and
the Public Utilities General Manager are each hereby authorized to
execute a final form of the official Statement.
SECTION 6: The agreements approved in Section 2 of this
Resolution shall, when executed and delivered pursuant to Section
2 of this Resolution, contain such additions and changes (including
additions and changes necessary to satisfy the requirements of the
provider of any municipal bond insurance policy) as shall have been
approved by the City Manager. The Public Utilities General Manager
is hereby authorized to determine, in connection with the execution
and delivery of the agreements approved in Section 2 hereof, the
following with respect to the Bonds allocable to the City:
(a) the aggregate principal amount of the Bonds, which
shall not exceed $6,000,000;
(b) the final Installment Payment under the Program
Agreement, which shall be due and payable not later than
December 31, 2008; and
(c) the maximum rate of interest which may be paid on the
Bonds allocable to the city, which shall not exceed 7%.
SECTION 7: The Installment Payments and all other
payments with respect to Qualified Obligations (as defined in the
Program Agreement) shall be secured by a pledge, charge and lien
upon the Surplus Revenues in the Qualified Obligations Account
(each as defined in the Program Agreement) and shall be paid from
Surplus Revenues in the Qualified Obligations Account unless
otherwise paid from other sources of legally available funds.
Installment Payments and all other payments with respect to
Qualified Obligations shall be equally secured by the Surplus
Revenues in the Qualified Obligations Account without priority for
number or date. The Surplus Revenues in the Qualified Obligations
Account shall be held in trust by the Treasurer of the city for the
payment of the Installment Payments and any other Qualified
Obligations.
SECTION 8: The Mayor, the City Manager, the Public
Utilities General Manager and the Assistant General Manager of
Finance and Administration of the Public Utilities Department, the
city Clerk, City Attorney and City Treasurer and the other officers
and officials of the City are hereby authorized and directed,
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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, notices, consents, instruments
of conveyance, warrants and other documents which they, or any of
them, may deem necessary and advisable in order to consummate the
lawful issuance and sale of the Bonds and the consummation of the
transactions contemplated by the Program Agreement, the Indenture
and this Resolution, and such actions previously taken by such
officers are hereby ratified and confirmed.
SECT!ON 9: This Resolution shall take effect from and
after its date of adoption.
PASSED AND ADOPTED this 21st day of June , 1994, by the
following vote:
Mayor
ATTEST: ~- ~
City Clerk
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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. 94R-107 was introduced and adopted at a regular meeting provided by law, of the Anaheim City
Council held on the 21st day of June, 1994, by the following vote of the members thereof:
AYES: COUNCIL MEMBERS: Feldhaus, Simpson, Pickler, Hunter, Daly
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: N~)ne
AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said Resolution No. 94R-107
on the 22nd day of June, 1994.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of
Anaheim this 22rid day of June, 1994.
CITY CLERK OF THE CITY OF ANAHEIM
(SEAL)
I, LEONORA N. SOHL, City Clerk of the Cit't of Anaheim, do hereby certify that the foregoing is the
original of Resolution No. 94R-107 was duly' passed and adopted by the City Council of the City of
Anaheim on June 21, 1994.
CITY CLERK OF THE CITY OF ANAHEIM