FA Resolution 2003-03RESOLUTION NO. FA 2003-03
A RESOLUTION OF THE LA QUINTA FINANCING
AUTHORITY AUTHORIZING THE EXECUTION AND
DELIVERY OF A PURCHASE CONTRACT BY AND
AMONG THE LA QUINTA REDEVELOPMENT AGENCY,
THE LA QUINTA FINANCING AUTHORITY, AND
WEDBUSH MORGAN SECURITIES
WHEREAS, the City of La Quinta (the "City") and the La Quinta
Redevelopment Agency (the "Agency") have entered into a Joint Exercise of
Powers Agreement, dated as of November 3, 1988 (the "Agreement"), creating the
La Quinta Financing Authority (the "Authority"); and
WHEREAS, pursuant to Article 4 of Chapter 5 of Division 7 of the
Government Code of the State of California (the "Act") and the Agreement, the
Authority is authorized to purchase bonds issued by the Agency for financing public
capital improvements, working capital, liability and other insurance needs, or
projects whenever there are significant public benefits as determined by the
Agency; and
WHEREAS, pursuant to the Act and the Agreement, the Authority is further
authorized to sell bonds so purchased to public or private purchasers by public or
negotiated sale; and
WHEREAS, the Authority desires to purchase not to exceed $30,000,000
aggregate principal amount of bonds of the Agency designated "La Quinta
Redevelopment Agency, La Quinta Redevelopment Project Area No. 1, Tax
Allocation Bonds, Taxable Series 2003" (the "Bonds") solely from the proceeds
received from the Authority's concurrent sale of such Bonds to Wedbush Morgan
Securities (the "Underwriter"); and
WHEREAS, in accordance therewith, the Authority now desires to authorize
the execution of a bond purchase contract by and among the Authority, the
Agency and the Underwriter (the "Purchase Contract"); and
WHEREAS, the Agency has determined that "significant public benefits," as
defined in Section 6586 of the Act, will be derived by the Agency in undertaking
the issuance of the Bonds and their sale to the Authority and resale to the
Underwriter, in furtherance of the corporate purposes of the Agency;
NOW, THEREFORE, BE IT RESOLVED BY THE GOVERNING BOARD OF THE
LA QUINTA FINANCING AUTHORITY AS FOLLOWS:
Resolution No. FA 2003-03
Wedbush Morgan / Purchase Contract
Adopted: August 5, 2003
Page 2
The foregoing recitals are true and correct and this Authority so finds
and determines.
The proposed form of Purchase Contract by and among the Agency,
the Authority and the Underwriter, on file with the Secretary of the Governing
Board -and incorporated into this Resolution by reference is hereby approved,
provided however, (i) the principal amount of the Bonds does not exceed
$26,800,000, preliminary, subject to market conditions; (ii) the Underwriter's
discount, exclusive of original issue discount, does not exceed 1.10%, preliminary,
subject to market conditions, of the principal amount of the Bonds; and (iii) the
estimated accrued interest of $50,000, preliminary, subject to change. The
Chairman or Executive Director or Assistant Executive Director or Finance Director
is hereby authorized and directed, for and in the name and on behalf of the
Authority, to purchase the Bonds from the Agency and to accept the offer of the
Underwriter to purchase the Bonds from the Authority, subject to the terms and
conditions of the Purchase Contract, and to execute and deliver the Purchase
Contract in substantially said form, with such changes or additions thereto that
may hereafter become necessary in the interests of the Authority and which are
reviewed and approved by counsel to the Authority, any such additions or changes
to be conclusively evidenced by the execution and delivery of said agreements.
The officers of the Authority and members of the Governing Board are
hereby authorized to take such other actions and execute such documents and
certificates as are necessary or appropriate for the accomplishment of the purposes
of this Resolution.
This Resolution shall take effect from and after its adoption.
PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta
Financing Authority held on this 5th day of August, 2003, by the following vote:
AYES: Members Henderson, Osborne, Perkins, Sniff, Chairman Adolph
NOES: None
ABSENT: None
ABSTAIN: None
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Resolution No. FA 2003-03
Wedbush Morgan / Purchase Contract
Adopted: August 5, 2003
Page 3
O"A
STANLEY SNIFF, ViVAthority
hair
La Quinta Financing
ATTEST:
'(f'21 '.. -Jj
JUS. GREEK, CMC, Authority Secretary
La Quinta Financing Authority
(SEAL)
APPROVED AS TO FORM:
M. ATHERINE JENSON, Aut ority Counsel
La Quinta Financing Authority
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