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<br />28015.22
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<br />JH;SM;ldw
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<br />Attachment 4 8C
<br />04117107 Page 1 0
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<br />NEW ISSUE- BOOK ENTRY ONLY
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<br />RATINGS: Moody's: "_"
<br />S&P:" "
<br />Fitch: "-=
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<br />In the opinion of Nossaman, Guthner, Knox & Elliott. LLP, Irvine, California ("Bond Counsel"), under existing statutes,
<br />regulations, rulings and judicial decisions, and assuming certain representations and compliance with cerlain covenants and
<br />requirements described herein, interest on the Bonds IS excludable from gross income for federal income tax purposes and is not
<br />an item of tax preference for purposes of calculating the federal alternative minimum tax imposed on individuals and corporations.
<br />In the furlher opinion of Bond Counsel, interest on the Bonds is exempt from State of California personal income tax. See "OTHER
<br />INFORMA TION Tax Matters' herein with respect to tax consequences with respect to the Bonds.
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<br />CITY OF REDWOOD CITY PUBLIC FINANCING AUTHORITY
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<br />WATER REVENUE BONDS
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<br />SERIES 2007 A
<br />Dated: Date of Delivery Due: February 1, as shown on the inside front cover
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<br />Authority for Issuance.. The bonds captioned above (the "Bonds") are being issued by the City of Redwood City Public
<br />Financing Authority (the "Authority") under an Indenture of Trust, dated as of May 1, 2007, by and between the Authority and The
<br />Bank of New York Trust Company, N.A., as trustee (the "Trustee"). See 'THE BONDS - Authority for Issuance."
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<br />Use of Proceeds. The Bonds are being issued to (i) finance a water recycling project (as more fully described herein. the
<br />.Project") for the City's water system (the "Enterprise"), (ii) fund a reserve fund for the Bonds, and (iii) pay certain costs incurred in
<br />connection with issuing the Bonds. See "FINANCING PLAN."
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<br />Security for the Bonds. The Bonds are payable from and secured by the Authority's pledge of revenues under the Indenture,
<br />consisting primarily of installment payments to be made by the City of Redwood City (the "City") under an Installment Purchase
<br />Contract dated as of May 1, 2007, by and between the Authority and the City, under which the Authority will acquire the Project and
<br />sell the Project to the City. The Bonds are also secured by moneys on deposit in the funds and accounts established under the
<br />Indenture (other than the Project Fund and the Rebate Fund). The Installment Purchase Contract permits the City to issue bonds or
<br />incur other obligations payable from and secured by a pledge of and lien upon any of the Net Revenues on a parity with the
<br />Installment Payments if the conditions contained in the Installment Purchase Contract are satisfied. The City's obligation to make
<br />installment payments under the Installment Purchase Contract is on a parity with (i) Its obligation to make installment
<br />payments under an installment purchase contract entered into in connection with the issuance of the Authority's
<br />$35,790,000 Water Revenue Bonds, Series 2005A, and (Ii) Its obligation to make installment payments under an installment
<br />purchase contract entered into in connection with the issuance of the Authority's $26,000,000 Water Revenue Bonds,
<br />Series 2006A. See "SECURITY FOR THE BONDS - Additional Debt."
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<br />Bond Terms; Book-Entry Only. The Bonds will bear interest at the rates shown below, payable semiannually on February 1
<br />and August 1 of each year, commencing August 1, 2007, and will be issued in fully registered form in the denomination of $5,000 or
<br />any integral multiple of $5.000. The Bonds will be issued in book-entry only form. initially registered in the name of Cede & Co., as
<br />nominee of The Depository Trust Company, New York, New York ("DTC"). Purchasers of the Bonds will not receive certificates
<br />representing their interests in the Bonds.
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<br />Redemption. Prior to their maturity, the Bonds are subject to optional redemption, mandatory redemption from
<br />insurance or condemnation proceeds, and mandatory sinking fund redemption, as described in this Official Statement.
<br />See "THE BONDS - Redemption."
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<br />MATURITY SCHEDULE
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<br />(See inside front cover)
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<br />THE BONDS A.II:tE LIMITED OBLIGATIONS OF THE AUTHORITY AND ARE PAYABLE SOLELY FROM REVENUES
<br />DERIVED UNDER THE INDENTURE AS DESCRIBED HEREIN. NEITHER THE BONDS NOR THE OBLIGATION TO PAY
<br />PRINCIPAL OF OR INTEREST ON THE BONDS CONSTITUTES A DEBT OR A LIABILITY OF THE AUTHORITY, THE CITY,
<br />THE STATE OF CALIFORNIA OR ANY OF ITS POLITICAL SUBDIVISIONS WITHIN THE MEANING OF ANY CONSTITUTIONAL
<br />LIMITATION ON INDEBTEDNESS. IN NO EVENT Will THE BONDS BE PAYABLE OUT OF ANY FUNDS OR PROPERTIES
<br />OTHER THAN THOSE OF THE AUTHORITY AS DESCRIBED IN THIS OFFICIAL STATEMENT.
<br />This cover page contains certain information for quick reference only. It is not a summary of this issue of Bonds. Investors
<br />must read the entire Official Statement to obtain information essential to the making of an informed investment decision with
<br />respect to the purchase of the Bonds.
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<br />The Bonds are being sold pursuant to competitive sale on May_, 2007, as more fully described in the Official Notice of Sale
<br />relating to the Bonds.
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<br />The Bonds are offered when, as and if issued and accepted by the Underwriter, subject to the approval as to their legality by
<br />Nossaman. Guthner, Knox & Elliott, LLP, Irvine, California, Bond Counsel. Certain legal matters will be passed upon for the
<br />Authority and the City by the City Attorney. Jones Hall, A Professional Law Corporation, San Francisco, California, is serving as
<br />Disclosure Counsel to the Authority. It is anticipated that the Bonds will be delivered in definitive form through DTC on or about
<br />May _,2007.
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<br />The date of this Official Statement is May _,2007.
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