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HomeMy WebLinkAbout05-048 CC Resolution I I I RESOLUTION NO 05-48 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THE ISSUANCE BY THE COLORADO EDUCATIONAL AND CULTURAL FACILITIES AUTHORITY OF ITS ADJUSTABLE RATE DEMAND REVENUE BONDS, SERIES 2005 (LINFIELD CHRISTIAN SCHOOL PROJECT) IN THE AGGREGATE PRINCIPAL AMOUNT OF APPROXIMATELY $25,000,000 WHEREAS, Linfield Christian School, a California nonprofit corporation located at 31950 Pauba Road, Temecula, California (the "Corporation") has requested the Colorado Educational and Cultural Facilities Authority (the "Issuer") to issue its Adjustable Rate Demand Revenue Bonds, Series 2005 (Linfield Christian School Project), in the aggregate principal amount of approximately $25,000,000 (the "Bonds"); and WHEREAS, the proceeds of the Bonds will be used for the purposes of: (a) financing the cost of acquiring, constructing and equipping various educational facilities for the Corporation, a K-12 independent school (the "Facilities"); (b) refinancing certain existing indebtedness of the Corporation, the proceeds of which were used to finance the cost of acquiring, constructing and equipping the Facilities; (c) funding capitalized interest on the Bonds; (d) funding a debt service reserve fund, if required; and (e) paying certain costs of issuance of the Bonds, including initial costs of any credit enhancement (collectively, the "Project"); and WHEREAS, in order to achieve interest savings, the Corporation desires that the Bonds be issued in compliance with the requirement of the Internal Revenue Code of 1986, as amended (the "Code") so that interest on the Bonds will be excludable from the gross income of the holders; and WHEREAS, Section 147 (f) of the Code requires, as a condition to receiving tax-exempt treatment of the interest on the Bonds, that an authorized, elected representative approve the Bonds and the City Council of the City of Temecula (the "Council") constitutes such an authorized, elected representative; and WHEREAS, it is deemed necessary and advisable that this Resolution be adopted. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Temecula as follows: Section 1: The issuance of the Bonds by the Issuer in an aggregate amount not to exceed $25,000,000 is hereby approved in accordance with the limited purposes of Section 147(f) of the Internal Revenue Code. Section 2: Such approval shall be solely for the limited purposes of Section 147 (f) of the Internal Revenue Code of 1986, and the City of Temecula, California, shall have no liabilities for the payment of the Bonds nor shall any of its assets be pledged to the payment of the Bonds. Additionally, nothing contained in this Resolution is intended to, nor shall it be construed, to provide any representation to any person or bondholder concerning any matters related to the issuance of the Bonds, except as specifically set forth herein. R:/Resos 2005lResos 05-48 I I I Section 3: The City Clerk shall certify the adoption of this Resolution and it shall take effect and be in full force immediately after its adoption by the Council. PASSED, APPROVED AND ADOPTED, this 26th day of April, 2005. ~- A TTEs:r:" - //$- / [SEJ(q. . ~~ R:/Resos 200S/Reses 05-48 2 I I I STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, CMC, City Clerk of the City of Temecula, hereby do certify that the foregoing Resolution No. 05-48 was duly adopted at a meeting of the City Council of the City of Temecula on the 26th day of April, 2005 by the following roll call vote: AYES: 5 COUNCILMEMBERS: Edwards, Naggar, Roberts, Washington, Comerchero NOES: ABSENT: o COUNCILMEMBERS: None o COUNCILMEMBERS: None ABSTAIN: o COUNCILMEMBERS: None R:/Resos 2005lResos 05-48 3