HomeMy WebLinkAbout02-02 TPFA Resolution RESOLUTION NO. TPFA 02-02
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
TEMECULA PUBLIC FINANCING AUTHORITY AUTHORIZING
THE PURCHASE AND SALE OF TAX ALLOCATION BONDS
OF THE REDEVELOPMENT AGENCY OF THE CITY OF
TEMECULA AND APPROVING OTHER MATTERS RELATED
THERETO
WHEREAS, the City of Temecula and the Redevelopment Agency of the City of
Temecula (the "Agency") have entered into a Joint Exercise of Powers Agreement creating the
Temecula Public Financing Authority (the "Authority"); and
WHEREAS, pursuant to Article 4 of Chapter 5 of Division 7 of Title 1 of the Government
Code of the State of California (the "Law"), the Authority is authorized to purchase bonds issued
by the Agency for financing and refinancing public capital improvements, working capital, liability
and other insurance needs, or projects whenever there are significant public benefits, as
determined by the Authority; and
WHEREAS, pursuant to the Law and the Agreement, the Authority is further authorized
to sell bonds so purchased to public or private purchasers at public or negotiated sale; and
WHEREAS, the Authority desires to purchase from the Agency not to exceed
$30,000,000 initial principal amount of the Agency's 2002 tax allocation bonds (the "Bonds"),
solely from the proceeds received from the Authority's concurrent sale of the Bonds to Stone &
Youngberg LLC (the "Underwriter"); and
WHEREAS, the Agency has caused a bond purchase contract to be submitted to the
Authority for approval; and
WHEREAS, the Authority now desires to approve the bond purchase contract and any
other documents necessary for the purchase and sale of the Bonds as provided below.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Temecula
Public Financing Authority as follows:
Section 1. Pursuant to the Law, this Board of Directors hereby finds and determines that
the issuance of the Bonds and the purchase and sale thereof by the Authority will result in
savings in effective interest rates, bond underwriting costs and bond issuance costs and thereby
result in significant public benefits to the Agency and the Authority within the contemplation of
Section 6586 of the Law.
Section 2. The proposed bond purchase contract (the "Bond Purchase Agreement"), by
and among the Agency, the Authority and the Underwriter, in the form on file with the Secretary
of the Authority, is hereby approved. The Executive Director of the Authority is hereby
authorized and directed, for and in the name and on behalf of the Authority, to accept the
request that the Authority purchase the Bonds from the Agency and to accept the offer of the
Underwriter to purchase the Bonds from the Authority, each subject to the terms end conditions
of the Bond Purchase Agreement, and to execute and deliver the Bond Purchase Agreement to
the Agency and the Underwriter; provided, however, that, the net interest cost of the Bonds shall
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not exceed 6.00% per annum and the Underwriter's discount (without regard to any original
issue discount) shall not be more than 1.25% of the principal amount of the Bonds. The final
principal amount of the Bonds shall be the amount set forth in the executed Bond Purchase
Agreement, not to exceed $35,000,000. The approval of any additions or changes in such form
of the Bond Purchase Agreement shall be conclusively evidenced by such execution and
delivery by the Executive Director of the Purchase Contract.
Section 3. The Chairman, the Executive Director, the Treasurer and the Secretary of the
Authority, and any and all other officers of the Authority, are hereby authorized and directed, for
and in the name and on behalf of the Authority, to do any and all things and take any and 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 purchase and sale of the Bonds as described herein. Whenever in this resolution any
officer of the Authority is authorized to execute or countersign any document or take any action,
such execution, countersigning or action may be taken on behalf of such officer by any person
designated by such officer to act on his or her behalf in the case such officer shall be absent or
unavailable.
Section 4. The Secretary shall certify to the passage and adoption of this Resolution,
which shall take effect immediately upon its adoption.
PASSED, APPROVED AND ADOPTED, by the Board of Directors of the Temecula
Public Financing Authority at a meeting held on the 26th day of March, 2002.
Ron Roberts, Chairperson
A'I-I'EST:
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STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss
CITY OF TEMECULA )
I, Susan W. Jones, Secretary of the Temecula Public Financing Authority, HEREBY DO
CERTIFY that the foregoing Resolution No. TPFA 02-02 was duly adopted at a regular meeting
of the Board of Directors of the Temecula Public Financing Authority on the 26th day of March,
2002, by the following vote:
AYES: 4 BOARDMEMBERS: Comerchero, Naggar, Stone, Roberts
NOES: 0 BOARDMEMBERS: None
ABSENT: 1 BOARDMEMBERS: Pratt
ABSTAIN: 0 BOARDMEMBERS: None
y Secretary
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