Reso 2016-880 RESOLUTION NO. 2016-880
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE COSTA MESA SANITARY
DISTRICT AUTHORIZING THE EXECUTION AND DELIVERY OF AN INSTALLMENT SALE
AGREEMENT, AND AUTHORIZING AND DIRECTING CERTAIN ACTIONS IN CONNECTION
WITH THE ACQUISITION OF AN ADMINISTRATIVE FACILITY.
WHEREAS, the Costa Mesa Sanitary District (the "District") is a public agency duly
organized and existing under and pursuant to the laws of the State of California; and
WHEREAS, the District desires to provide for financing in the approximate amount of
$4,000,000.00 for the acquisition of an administrative facility (the "Project"); and
WHEREAS, Municipal Finance Corporation (the "Corporation") has proposed a cost-
effective twenty year installment sale financing arrangement at a 3.50% interest rate.
NOW, THEREFORE, the Board of Directors does hereby resolve:
1. Installment Sale Agreement. The President of the Board of Directors, the General
Manager or a designee in writing is hereby authorized to enter into an Installment Sale
Agreement(the "Installment Sale")with the Corporation to finance the Project, subject
to approval as to form by the District's legal counsel.
2. Attestations. The Secretary of the Board or other appropriate District officer is hereby
authorized and directed to attest the signature of the President of the Board of
Directors, the General Manager or of such other person or persons as may have been
designated by the President of the Board of Directors or the General Manager, and to
affix and attest the seal of the District, as may be required or appropriate in connection
with the execution and delivery of the Installment Sale.
3. Authorization to Establish Proiect Fund. The Board of Directors hereby authorizes
and directs the President of the Board, the General Manager or a designee in writing
to make appropriate arrangements to establish a special fund into which the proceeds
of the financing are deposited for the purpose of paying the costs of the Project.
4. Other Actions. The President of the Board of Directors, the General Manager and
other officers of the District are each hereby authorized and directed, jointly and
severally, to take any and all actions and to execute and deliver any and all
documents, agreements and certificates which they may deem necessary or advisable
in order to carry out, give effect to and comply with the terms of this Resolution and
the Installment Sale. Such actions are hereby ratified, confirmed and approved.
5. Qualified Tax-Exempt Obligations. The Installment Sale is hereby designated as a
"qualified tax-exempt obligation" within the meaning of Section 265(b)(3) of the
Internal Revenue Code of 1986, as amended (the "Code"). The District, together with
all subordinate entities of the District, do not reasonably expect to issue during the
calendar year in which the Installment Sale is issued more than $10,000,000 of
obligations which it could designate as "qualified tax-exempt obligations" under
Section 265(b) of the Code.
6. Effect. This Resolution shall take effect immediately upon its passage.
PASSED and ADOPTED on this 28th day of April 2016.
aeA1( . Lad
Secretary, Costa Mesa Sanitary District Presid:", Costa M-' .I anitary District
Board of Directors Board of Dir:!! tors
STATE OF CALIFORNIA)
COUNTY OF ORANGE ) SS
CITY OF COSTA MESA )
I, Noelani Middenway, Clerk of the Costa Mesa Sanitary District, hereby certify that the
above and foregoing Resolution No. 2016-880 duly and regularly passed and adopted by said
Board of Directors at a special meeting thereof held on the 28th day of April 2016.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the Costa
Mesa Sanitary District, this 28th day of April 2016.
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oe -ni id. nway
Clerk of the Costa esa Sanitary District