2003-70-Resolution No. 2003-011 Recorded 1/31/2003REVIEW,ED DESCHUTES COUNTY OFFICIAL RECORDS CJ 7003'10
NANCY BLANKENSHIP, COUNTY CLERK
LEG SEL COMMISSIONERS' JOURNAL 01131/2003 01;29;44 PM
VIII IIIIIIII IIIIIIIIIII IIIIIIII
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For Recording Stamp Only
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
A Resolution Authorizing the Financing of
Various Capital Construction and
Improvement Projects, an Amount Not to
exceed $30,250,000.00.
RESOLUTION NO. 2003-011
WHEREAS, the County is authorized by Oregon Revised Statutes Section 271.390 to
enter into loan agreements to finance real or personal property and to authorize certificates of
participation in the right to receive the payments due from the County under those loan agreements;
and,
WHEREAS, the County is authorized by ORS 287.053 to make these loan agreements
"limited tax bonded indebtedness" which the County is unconditionally obligated to pay; and,
WHEREAS, the Board hereby determines that the construction of the County/State
Government Center, the La Pine County Service Center, a new County warehouse, storage buildings
for the fair/expo center, sewer system improvements for the La Pine Sewer District and various
property acquisition, remodeling and infrastructure projects and other projects associated with the
construction projects (the "Projects") are needed, and that it is desirable to obtain financing for such
Projects in the aggregate principal amount of not more than $30,250,000.00 pursuant to ORS 271.390
and ORS 287.053; now, therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES
COUNTY, OREGON, as follows:
Section 1: Authorization. The Finance Director, the County Administrator or the Finance Director's
designee (the "County Official") is hereby authorized on behalf of the County and without
further action by the Board, to:
1.1 Finance one or all of the Projects under the authority of ORS 271.390 and ORS
287.053, plus any amounts required to pay costs of the financing, in an aggregate
principal amount of not more than Thirty Million Two Hundred Fifty Thousand
Dollars ($30,250,000.00).
1.2 Negotiate, execute and deliver one or more loan agreements, credit facilities or
other financing documents (the "Loan Agreements") for the financing of the Projects
which obligates the County to repay the principal amounts of the Loan Agreements
with interest.
1.3 Negotiate, execute and deliver one or more escrow agreements or similar
documents (the "Escrow Agreements") which provide for the issuance of one or
more series of "certificates of participation" or "full faith and credit obligations"
(the "Obligations") which represent ownership interests in the loan payments due
from the County under the Loan Agreements. Subject to the limitations of this
Resolution, the Escrow Agreements and each series of Obligations may be in such
form and contain such terms as the County Official may approve.
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1.4 Covenant for the benefit of the owners of tax-exempt Obligations to comply with all
provisions of the Internal Revenue Code of 1986, as amended, which are required
for the interest component of loan payments payable under the related Loan
Agreements to be excluded from gross income for federal income tax purposes.
1.5 Deem final and authorize the distribution of a preliminary official statement for each
series of Obligations, authorize the preparation and distribution of a final official
statement or other disclosure document for each series of Obligations, and enter
into agreements to provide continuing disclosure for owners of each series of
Obligations.
1.6 Engage the services of escrow agents or trustees and any other professionals
whose services are desirable for the financing.
1.7 Determine the final principal amount of each Loan Agreement, the interest rate or
rates which each series of loan payments shall bear, the County's prepayment
rights and other terms of each Loan Agreement and each series of Obligations;
1.8 Solicit competitive bids for the purchase of each series of the Obligations and
award their sale to the bidder offering the most favorable terms to the County, or
select one or more underwriters, negotiate the terms of the sale of each series of
Obligations, and sell that series to those underwriters.
1.9 Execute and deliver any other certificates or documents and take any other actions
which the County Official determines are desirable to finance the Project with the
Loan Agreements and the Obligations in accordance with this Resolution.
Section 2: Security. The Loan Agreements shall constitute "limited tax bonded indebtedness" as
defined in ORS 287.053 and the obligation of the County to make loan payments under
the Loan Agreements is unconditional. The County Official may pledge the County's full
faith and credit and taxing power within the limitations of Section 11 and 11 b of Article XI
of the Oregon Constitution, and any and all of the County's legally available funds,
including the proceeds of the Loan Agreements, to make the payments due under the
Loan Agreements.
Section 3: Maintenance of Tax -Exempt Status.
3.1 The County covenants to comply with all provisions of the Internal Revenue Code
of 1986, as amended (the "Code") which are required for interest paid on the Loan
Agreements to be excluded from gross income for federal income tax purposes.
The County makes the following specific covenants with respect to the Code.
3.2 The County shall not take any action or omit any action, if it would cause the Loan
Agreements to become "arbitrage bonds" under Section 148 of the Code and shall
pay any rebates or penalties to the United States which are required by
Section 148(f) of the Code.
3.3 The County shall operate the facilities financed or refinanced with the Loan
Agreements so that the Loan Agreements are not "private activity bonds" within the
meaning of Section 141 of the Code.
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3.4 The covenants contained in this Section 3 and any covenants in the closing
documents for the Loan Agreements shall constitute contracts with the lenders, and
shall be enforceable by them.
The foregoing Resolution adopted this 29th day of January 2003.
DATED thisday of Lt , 2003.
(,)BOARD OF COUNTY COMMISSIONERS
OF DESCHU S COUNTY, OREGON
D NIS R. LUKE, Chpir
ATTEST:
Recording Secretary
DEWOLF,
A/m, - f, �. " 4 Y, /(
MICHA L M. bALY, 7
missioner
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