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05/20/2013 ORIGINAL RESOLUTION NUMBER 15264 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDWOOD CITY RELATING TO THE REFUNDING OF THE CITY'S OBLIGATIONS WITH RESPECT TO THE CITY OF REDWOOD CITY PUBLIC FINANCING AUTHORITY LEASE REVENUE BONDS, SERIES 2003, APPROVING RELATED FINANCING DOCUMENTS, AND AUTHORIZING OFFICIAL ACTIONS WHEREAS, the City of Redwood City Public Financing Authority is a joint powers authority duly organized and existing under and pursuant to that certain Joint Exercise of Powers Agreement dated as of June 18, 1991, by and between the City of Redwood City (the "City") and the City of Redwood City Redevelopment Agency, and under the provisions of Articles 1 through 4 (commencing with Section 6500) of Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California (the "Act"), and is authorized pursuant to Article 4 of the Act to borrow money to provide financing and refinancing for public capital improvements of the City; and WHEREAS, the City, working together with the Authority, caused the issuance and delivery of the Authority's $11,475,000 Lease Revenue Bonds, Series 2003 (the "2003 Bonds"), secured by undivided fractional interests of the owners thereof in lease payments to be made by the City as the rental for certain property pursuant to a lease agreement, dated as of November 1, 2003 (the "2003 Lease Agreement") between the City and the Authority; and WHEREAS, the 2003 Bonds are currently outstanding in the principal amount of $5,130,000; and WHEREAS, the City has determined at this time, due to prevailing interest rates in the municipal bond market and for other reasons, to refinance its obligations securing the 2003 Bonds by providing for the prepayment of the 2003 Lease Agreement and the refunding of all 2003 Bonds; and WHEREAS, Compass Bank, an Alabama corporation (the "Bank") has issued a commitment letter to the City (the "Commitment Letter") offering to provide moneys to prepay the City's obligations under the 2003 Lease Agreement, which prepayment proceeds will be used to refund the 2003 Bonds; and WHEREAS, pursuant to a resolution of the City adopted on May 6, 2013, the City Council has approved the execution of the Commitment Letter with the Bank. ATTY/RES0.2853/PFA LEASE REVENUE BONDS CITY RESO RESO.#15264 REV:05-09-13 PT MUFF#505 Page 1 of 3