Resolution Number 09-03-17-05R9EOLUMON NO. C9 -C21-1745
RB, OLUMON OR THE CIIN COL N CIIL OF 11HE CITN OR SAN JL PIN
CPIRIETRAN O AFIRROVIN G 11HE E) BCLTION AND DELIVERY OR
CERTAIN DOCUMBNTr- AND AUTHORIZING C8RTAIN ACRS IN
CONNECTION WI1F THE E) BCI. TION AND DELIVERY OF NOT 110
HXCEED $'I2,0((,C(0 REVEN l 8 CER7IRICIATBE OF RARMCIRPITION,
BRIGS 20C9 QWA-IER RBVBN l 8 )
WE BRBAS, the Clity all ran Juan Capi: tiana (111 a "Cilly') is a municipality duly
cinganizeid and exisling undein and pursuant -lo -It a Clansili-lulian and laws cif thea S1late all
Califain ia; and
WE BRBAS, the San Juan Capisliana Public Rinancing Pltithcinity is a jcainl
e)iencise al pcmus authcanib cinganized and exisiling under 1hE laws (ifl the Etailu at
Califain is I1he "Ault arity') with the au'lt aiity la assisl in the financing and RE financing at
capital impraveme nts an bE tall cif the City; and
WE BRBAS, the Plulhunily l as the aulharity ica assisil in 'Ihe finanaing of 'It e
acquisi-lion all oar ain Iacal waien . ysleni public capilal improvemen'ls and to nE irriburse
-Il a Ci1Iy flan cer ain E xpE nses incurned in ccan nE ctian therewith on behalf all the Ci.Iy; and
WF BRBAS, the City Cciuncil ofl it a Ci-ly ha: determined 1ci acquiiaE and construct
cE riain katal wateii sys1E m nesourCE supply, stcaragE and di: tiaibutian impncivemE nis
consisting cif CE ruin vwaler enlenpr'se aapillal impiiovemE nil pncijecls Qihe "2C(9 Pucajecl"),
mane particulanly de: a nibE d in the InslallmE n1 FlunchasE AgneemE nt (liden1illiE d below)
and stabjECI Ica adjuslmiEnt as dEscnibEd 1hE nEin; and
WE BRBAS, 1hE City has determined 'It at i1 wciuld be in the bE St inteiesls cifl 'Ihe
Ci1Iy and citizE n s cif IhE ccammunity 'Io aulhcanize the pnE paralion and deliver71 oil Reve niae
Cert illicales (ifl Participation in an aggnegalE pnina ipal amounil noel to e)aceE d $12,( OC,( OC
11he "Cler ificalE s"), 11ca lin ance IhE 2( 09 Pnojecl and nela,Ied cas-1 and dE ems it prapen,
and nEcessily REqukE s 'If all, I1subjEGI i(a : ec'lion 6(e) belaw) bids bE invited lar 11 he sale
cif the Certifica-les and that if bids aiie sallisfacicarM, said Certificates be scald in 'Ihe
mann en and all the Mime and place here inaftEr SEI far h; and
WF BRBAS, the City has previously entered into a certain 20C2 InslallmE n1
Puncha: a Agreement and a 2(04 Installmeni Pura hase AgrieE mE M with the Pltalhonily
IthE "Raniq InstallmE nt Flunchase Agreemenls"), and caused Ica be executEd and
delivered cerlain ReVEnuE Cerlillicates of Rarlicipaiion Related 11ca eact agreemenl, tca
finance certain waien sysilem capillal improvements; and
WHBRBAS, in ardE r to accomplish the financing of 1he 20C9 RnojE et, the City and
'It a Plulhoriiy dEsine 10 enter in -lo 'It all CErtain Installment Flurchase Agreemen-1, by and
beMEen IhE Clity and the Auihoniiy Q1he "2C(9 Inslallmen'l RuiichasE Agreement"), la be
da1E d as oil Apnil '1, 2(( 9, the farm of which is can IME with -Il a TRE asune r all the Auihcanily;
and
1 3-17-2009
WHE REAS, pursuant to the 2CI(19 Installmeni Runchaise Agreement, the Authority
will agnee io acquine and sell to the Ciiy the Ka9 Pnojeci, all oil which consists of
facilities fon the pnoduclion, silonage, transmission or tneaitmenl of wallen on recycled
water within the meaning oil Government Code Secl ion 6586.5(c); and
WIH E REAS, pur: uaint to the 2CI09 Inslallmen-1 Flulichase Agneement, IF e Ciiy
punct ase: the projecls idenliilied lhenein with Im tallmenl Payments (ilhe "Insiaillmen-1
RaymE nts") payable fnom NO Revenues oil 1 he Wa-leii Sysilem, as dE fined 1hE ne in; and
WIH HREIAS, the City's obligations unden -IF a Installment Purchase Agreemen-1 to
makE In; tallmE n1 RaymE nis fnom Nel RevenuE s will be on ai panily with i -Is obligation to
maikE remaining Inslallmenl Rayments fnom Nei REVE nues undEn the Ranily Inslaillmen'I
Runchase Agreemenl: ; and
WHE RHAS, 'IhE Authority will assign cErtain nigh'ls under the Inslalllmen-1
Runchaise AgmemEint, including FIs right Io necElive such Inslaillmenl Palymenl: ilrom 1hEi
Ciiy, io The aanN o'l New Donk Mellon TrLis1 Company. I` .A., as Iruslea (the "Truslee"j
pursuant io an Assignment Agreement befinleen the Authonity and the Tnuslee (1hE1
"AIssignmen'l AIg iiEiernonil and the 7nus-lee will caLise io bEi exacUted and delivEined
Ihoso certain REivenue Certificates oil Flaricipaiion, Series20C19 (-IF a "Certiflicaies"j
pursuant ici ai 11rusl plgnEiemEini (1he "Trust Agreeimeni"; by and aimang the TilusteE, the
Authority and ilhe City, thEi forms cif which ane an file wish the Tneasuren; and
WHE RHAS, iho Ault onfly will cause 1he Ciily la construat and impnovEi the 2aC19
Rrajaccl pursuant io thEi Inslallmenl Flunchase AgneEiment; and
WHORHAS, -Ihere ha: been presented to lho City kir app noval thEi foiim oil a
Rreliminar)i Official .11alemEinl and Ccinlinuing DISCICISUIIEI Agneemeni lla bEi dEllivened io
p mospecclive purchasers oil 'IF a Cortificates; and
WHORHAS, thEi Clity has determinEid to aause 1hEi Certiflicalilus to be sold al
compeliiive salEi, punsuaini ilo ai notice inviling bids ("Notice of dale") subjec-1 to SEiclion
t erecd.
NOW, 1I-EREFORS, BE Il RHISC LVED, that 1he Ciiy Cauncil al the City dans
t areby find, daienmine, and declare at- killows:
f19CI11ON ' . 1 his Ciily Claumil hEineby consenils to the pneparalian, sale and
delivEiryl o•I -Ila Cartillicaies in an aggregate amaunt all not to exaead 9 'I Zacia,acia in
accondaince with ilhe lemurs and p novisions cd 1[a Tiiu: t Agreemen-1, wilh the exact
pninaipail arriciunil to be Ihai de-leimined necessary by thEi City Tneasuren to obtain
appnoximalEily s, a,ma,{ICICI in nerl pnaceieds to be applicable io it a 2CI[19 Rrojecil. The
pnciaaeds o'l thEi Cler ificaleis ,hall be Expended la 1linancE1 thEi 2CI(19 Piinjecl and -lo
pnovide akin a imserme Hund and Iha costs of the peepanation, sale and delliveiryl of the
Cler ifiaalEis.
2 3-17-2009
"-IBCTIOh 2. Ile Bank cif NEW N auk MEdlcin Tnust Company, N .A. is hereby
appainlEid as TruslEie on b0halll cif 'IF a awnersi cif 'IF a Certificates, wilh thEi duliEis and
PawEirs a'I such TrusiEie as set br1 h in the 7rc sl Agneemenl.
EUCITION 3. llhe lkinrris of the InsilallmEint Runcl asEi AgneEimEint, the llrusl
Agneement, thEi Cantinuing l]isclasune Agiieemenl, NallicEi cif Sale and the AssignrriEini
AgneEiment presEinled at Ihis meEllling cine heneby appraved. Each and any all IhEi Mayan,
the Clily Manager, the TnEiasurer and 1hEi City CIEmk (the "Aulharized OfficEins") is F eneby
aulhodaud fan and in the name crl the Ci1Iy 10 execu'le 'Ihe Ins'Iallmenl Runchase
AgneEimEint, I a Clonlinuing Clisclasune AgneEimEint, 'IF a Tryusl AgreEimenl and ill
applicable, 11he Cler ificale Purchase AgneEimEint nefeiienced in SEiclion z andlJon la
appnavEi the linal lcirm cif Nal ice cif :tale in substantially iF a foams henEiby appnoved, with
such additians lhenei'lo and changes thEinein as ane nocarrimendEid ar appiKived by
SI'Inadling Yacca Carlsan 81 Rau -1h, a Rraikis s ianal Clanpanalian, as Special Caunsul is IhEi
Clily (":IPEicial Clounsel"), cm 1hEi Ci1Iy AticimEiy, and the officen on afficerys EixEiculing IhEi
same, including all cl anges nEicessaryl la rellEicl thEi punct asEi cif band insunance as
describEid in Seclian 5 belaw. Appraval cif such changes shall be conclusively
evidenced by the ERE culicin and delivE rA cif the -kine gaing dacumenlls by onE ar male all
the Au'IF anized Officers idenlilliEid above. Bach and any till the Aulhariaed Officens is
hereby aull ariaed Io execute, acknawledgE and deliver any and all dacumenls required
to consummate the lransactians cantemplalEd by the Inslallmenll Ruiichase fiIgiiEernE n1,
the Clan'linuing Disclasune AgnEE ME n1, 1 a Trust AgreEmen'I, the FlssignmEnl AgrE errieni
and 1hE Ncrlice cif :lale andllar CErtilicalEs PurchEISE Canbiact described bElciw, as
applicable.
:IBCITIO� 4. (a) SE alEd prc pcisals lon the punchase til the CE rliliccrles in the
amciun'I of not to exceE d $12,ada,aao (1hE Exact amount 1Io be de1E nmined by 1hE Cit)j
llreasunE r on hen wniti en designee, fallowing 'I he neceipl of eleclranic bids via Ranillyo far
the Cler i'licalIEs) shall be recE ived by the Cily a1 IE cifflcEs of RiE Idman, Rcilapp 81
Associates, ('IF E "Rinancial Advisor") I99aa MacArthun Blvd., SuilIE I'Iaa, Irvine,
Clalilcirnia 92E1'14 (949) EIEIa-85CI(I on Mancl 31, 20a9 ar on an alieiinalE dale and all the
timE to be delle rmined by the Clity 7neasuneii of the City cin herr written dE signE e.
(b) -11 E Rinancial Advisory is hereby authciniaed and diryE c1Ed 'Io publish a nalicE
inviting such sE alEd piicipasals by one insE rlian in The Bond Buyers, a nEwspapE n o-1
genesial cinculalian, circulerled wilhin IhE S1aie, said publication 11ci be al least live (5)
days prian icy the da1IE cif cypE ning elE ctnonic bids stallE d in said nalice on to bE
de'Ieiimined by 'IF E Ciiy nreasunE n crl the Clily ar his an hely writlE n designE a in 'IF E forym on
file will the Clity 7neasuyeii.
(c) IIF a Clity Clouncil hereby appiioves 1hE forym cif the PriE liminaryl Official
clIalement, and the Financial Advisar is aullhaniaE d to dislribulE the Rrelirninaryl Official
EIlaiement Io prycyspEclive punchasens in the ikinm heryEby appnovEd, tagelhen with such
canfanming changes thenEin and additions 1hE nE'lo as ane dE emed nece ssaryl by -Ile Ci1Iy
TreasunE n of the City on his on hely wiflUen dE signE a to make such PnE liminaryl Official
EIlaiement complete and accurate as al ils dale. The Cit)j llneasullE n of the Clity an her
wnitlE n designee is heneby authaniaed to cert fl that the PnE liminarA Official Siatemeni is
3 9-111-7009
final wilhin -11 a rriealning of Rule '15c-2-12 al the Secunilies Exchange Ac11 cif 193L, as
amended. llhe City Ineas unen all the City ail hen wnitten designee all any AulhonizEid
Oflicen is hEineby direclEid 'lo eaiecule and delivEin, fail and in the name and on behall of
thEi City, the linall Ofliciall E-ItalEimenl relalling to 11he Cerliilicates, which shall be in
subslan11ially 11he larm all the Rreliminar)i Official Sllaierrienll wilh such changes lhenein
and alddillicins thenella as aiiEi deemed mcessarA by thEi Cilly Manalgen cif the Ciiy, the
Clily Tmalsuneir cin his an hen wiiitlen designee, such approval 10 be canclusivEdy
evidEince d by 'Ill a e)iecu-1 ion and delive ry lhene of.
(d) ThEi Flinanciall Advisor is herEiby aulhanized and dlrEcllE d 'Ica cause to be
funnishEd to prospEclive biddErsi copiEs of the PnellminarA Official Sllaltemenll and the
l\ ollice of 9alle. Said nolice shall t e subslanliallly as sE t icirlh in the lkinrri an file wilh ihE
Clily llnEasunen with such chaingE s lhenein as alne deE MEd necessary by ten to reillect ihE
teiims of sale ar alhemiisE . ThE le lure, in whale cir in par, 10 comply wish this SE ctian
he real shall nal in any manner aflE c1 the vallidily all the sale of said Cler dicales.
(e) The City Tneasureii all the Clity cir his an her wiiitten designeE is heneby
aullhonizE d lo awand the Ce rtiliWIE s io 11he IowE at iiespcinsiblE bidden fon IhE Certificates
(ar, in alccondancE wi'lh subseclicin (11) bEIClw, to ExecullE a certilica111E purcheisE
agneEmen'l wilh it a undenniritEr) pnovided 'It E pan arnauni cif 'I1 a Cler ifiaales does nat
exceed $12,Oa0,0a0, -11 a tnue inleiiest case does not exaeEd 7.0% pen annum, the ilinal
marlunity occurs on on belone calendan yean 2035 and the punchalser's disCCIUM daes not
excEed 1.25%, E7icluding original issue discounl.
(f) NabAli'll slanding the fonE going, the City Cauncil heneby au'll onizes the
Cert Hicales to be scald an a negatialE d ba Isis 10 an undE rwiii'len selected by the Trealsuner
Ripon the aldvicE oil the Rinancial Advisor, in the EVE n1 than eilhen (i) na bids aiie
submitted ail 11he aompelilive sane cin (ii) alll submitted bids ME nejecled pLinsuani la ihE
lenms all the No -lice 01 SaIIE on (iii) pnior to the sale dale It E 7nEalsuilE n aind the Clily
ManagEn delErmine in good Vilh llhal competitive sallE is not likely -lo nesull in an
accEptalblE bid oil al bid monE lkivonalblE than Iha-1 cibtainable by campe-li'live sale, such
detenminalicin -lo be final and canclusive. In such cases, the Cera illicates shall be sold
punsualnt 110 al CE rtilicate Purchase AgreE ment betweE n 'IhE Clity and 1he undenninilE r 110
I: e pnepalnEd by SpE cial Claunsel, which contains the maileiiia l lenms and pnovisions of
the CE rtificales as sE t -1or1 h in the Natice a1 Sale. ThE llnEals uiien is henE by auih(inizE d
and directed 10 SEIE Ct an undE rvuniiIE a fncim amang IhE top 1E n undE rwinilE rs cif municipal
obligations in Caliibnnial lk)n 20(18, nepared by the Califonnia Elleb1 Investrrienl pldvisary
Commissian, will the advice of the Financial AIdvisar based an her delerminaltion of
abilily 'lo peranai on al limely balsis on the terms mas'l lavanable 10 the City., her
selecllion to bEi linall and conclusive, and to accept a pnoposa l -from an underwiii'Ien for
the purchase all the Cler ificalIEs (pravidE d such bid is alcceplable to the Tneasureii and is
wilt in the panamE lens sel fors h in subsE ction (e)) and to EXE a IIE and dE liven the ilinal
foam o-1 s uch Cler ificalE Runchase AgreE mend an be hall cif the Boand.
E-I9CITION 5. 111 E AulhonizEd Oflicens and olhen offiaers of the City are hE neby —
alulhonizE d, jainlly and sevE rally, 110 do any and all 11 ings and la execute and deiivEr alny
and all dacumenls wt ich They may deem necessalrl and aidvisablEi in order 10
�I 3-17-2009
consumrrialE the sale and deliveryl of 'Ile CE riificatEs and olhenniisE effectuate the
purpases all it is REISOlUlicin and such actions previously taken by such offlcE re are
I ereby nalifiEid. 11ha City is hE HE by authorized io salicin bids fnam municipal bond
insurens, to selEicl an insunEir to pravide municipal bcind insurance wish nEispecl 1a
Cerli-licalEis, and 10 exEicule and negolia'10 any agreements neaessaryl in connection will
the procuremen-1 cd suct in: uuancEi, pnavided that suc h insurancE1 pnavide deb'l service
savings cm cdher benefits to N pnopasEid tnansacclion, as determiinEid by Ni Cily, the
CVY'S Eixecutian crl an ins uuancEi carnmi ImEint to be conclusivEi evidence cit such
de'lenminallian. Each oil the abovEi-nEiferenced afficens is t ereby aulhanizEid to direct
Special Counsel and/an the City AticinnEry is make any neaessaryl revisions -lo -It a legal
documents and Rueliminaryl Official S1alemed 'lo effeclua1Ei the pnocunEimEint o'1
municipal band insunanae.
SEICTIOI` EI. In -It a event an Authorized Offlceu is unavailable aii unablEr 1ci
execulEi and deliver any of the above-rellenenced documents, any alt er member oil the
Clity Council may validly exEiculle and deliven such documents, and any documenls
nequirEid Ici bEi signed by the Clity Clerk may be signed by any deputy ci-ly clerE .
SEC111ON 7. ThEi llulhcniizEid Offiaens and such oll er afflcens of the Ciily anE1
aulharized and dinEl&ed, acting singly, -lo do any and all lhings and to exEIcuile and
dEilivEin any and all documents whicl suah officers may deEirri nEicessaryl cm advisable in
order la cansurrimiale the sale and deliver�l 01 the Car ifiaaies, and the deliveryl and
perlormance of -1 a Inslallrrien,l Runchase AgneEimeni, AssignrriEini Agreement, 7nusl
Agneemenll, Continuing Disclasune Agreement and if applicable, NcHae all Sale and)lor
CertificalEr Ruuc haSU Agueamen•I and crit erwiise effecluallEi the purposes cif .This
REsollllion, and sucl aclians pnEviously IakE n by such offlcEirs are hereby na-Aed and
confirmed. Such acilicins may includE without lirriilaiian actions wiilh HE SPEC] 10 IhEi Clily's
abligaiions per aining -IwIhe San Juan Basin Auilhanily Lease REVE nuE Bands (Ground
WalEn RecovEryl Rrajecl) ISSUE cd 2(02 including ceriificaiians, delErminalians,
supplements ar o -IF eii actions as may be reasonablE lo lacilillate -IF a sale and dEliveryl of
the CErtilica,les in accordance with this Resalution.
SEC71ON 8. L NESS otherwise dEfined hErein, all ilenms usEd hE nein and not
crlhE rvriise dEifin ed shall havE 'Ihe meanings givE n such -lenms in the Trust AgnE emiE ni
unless -It a context crIt emiisE cleanly requires.
STICTION 9. This HE solution shall take efleci irrimE dia1E ly.
3-17-2009
FIASSED, APRROVBU, AN D ADOPTED this 171h day of Manch, 2009.
1/::�n-", -
" ""r' "' -LOEN, MAY
S-1AT9 OH CALIFICIRN IA )
COL N TY OF ORANGE ) ss.
CITY OH MAIN IL PIN CIARIS-IRP N O )
I, MARGAREII R. MONAF AIN, appointed Clity Clerk of the City of San Juan Capisinano,
do I eneby car ify -II al 1hEi 1kmEigaing Reisalulim Na. 091-03-17-09 was duly adaplEid by
'II a Clip Council cit the Clity cif San Juan Clapislrano al a Ragulan meeting Iheneol, held
'II a 171 day of Manch 2009, by 1hEi fallawing varle:
AYH9: CIOL N CIL MEMBERS: Alleva -la, FIREMS6, F ribar, Uso and Mayon Nielsen
NOBS 9OUN CIL MEMBER: Nane
ABS.ENjf:n tOUNCIL MEMBER: Nane
N
MOMHAN.'City Cl
9 3-17-2009