Reso 2003-675•r
RESOLUTION NO 2003 -675
RESOLUTION AUTHORIZING REFINANCING OF AN EXISTING LEASE,
THE EXECUTION AND DELIVERY OF A` LEASE WITH OPTION TO PURCHASE
AND AUTHORIZING AND DIRECTING CERTAIN ACTIONS IN CONNECTION
THEREWITH
WHEREAS, the Costa Mesa Sanitary District (the "District ") is a sanitary district
duly organized and existing under and pursuant to the Constitution and laws of the
State of California; and
WHEREAS, the District desires to provide for the prepayment and the
refinancing of that certain Lease with Option to Purchase #01- 074 -AF (the "Prior
Lease "), by and between the District and Municipal Finance Corporation ( "MFC "); and
WHEREAS, MFC has proposed a cost - effective lease refinancing arrangement
to refinance the purchase option price of the Prior Lease in the amount of
$1,887,170.84 at a 3.65% interest rate;
NOW, THEREFORE, it is resolved by the Board of Directors of the Costa Mesa
Sanitary District as follows:
SECTION 1. Lease with Option to Purchase. The President of the Board or a
designee in writing is hereby authorized to enter into a Lease with Option to Purchase
(the "Lease ") with MFC, subject to approval as to form by the District's counsel.
SECTION 2. Attestations. The Secretary or other appropriate District officer are
hereby authorized and directed to attest the signature of the President of the Board or
of such other person or persons as may have been designated by the President of the
Board, 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. Lease.
SECTION 3. Other Actions. The President of the Board and other officers of the
District are each hereby authorized and directed, jointly and severally, to do any and all
things and to execute and deliver any and all agreements, documents 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 Lease. Such actions are hereby
ratified, confirmed and approved.
SECTION 4. Qualified Tax - Exempt Obligations. The Lease is hereby
designated as "qualified tax exempt obligations" 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 Lease 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.
SECTION 5. Effect. This Resolution shall take effect immediately upon its
passage.
PASSED AND ADOPTED this day of 2003, by the following vote:
AYES: Arlene Schafer, Greg Woodside, James Ferryman, Arthur Perry,
Dan Worthington
NOES:
ABSTENTIONS:
ABSENT:
Secret ry, 4 _ President
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF COSTA MESA )
I, Joan Revak, Clerk of the Costa Mesa Sanitary District, hereby certify that the
above and foregoing Resolution No. 2003 -675, was duly and regularly passed and
adopted by said Board of Directors at a regular meeting thereof held on the 14th day of
Auqust 2003.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of
the Costa Mesa Sanitary District, this � day of 2003.
Clerk of-t.b of-t. Costa Mesa Sanitary District
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