Resolution 13680CITY OF ALAMEDA RESOLUTION NO. 13 6 8
APPROVING PUBLIC UTILITIES BOARD ACTION AND AUTHORIZING
NEGOTIATION, EXECUTION, SALE AND DELIVERY OF CERTAIN REVENUE BOND
ANTICIPATION INSTALLMENT SALE FINANCING DOCUMENTS TO BE DELIVERED
IN CONNECTION WITH AMENDMENTS AND AGREEMENTS RELATED TO THE
CONTINUED DEVELOPMENT, CONSTRUCTION, FINANCING AND OPERATION OF
THE CITYWIDE HYBRID FIBER OPTIC - COAXIAL BROADBAND TELECOM SYSTEM,
AND AUTHORIZING, RATIFYING AND DIRECTING
CERTAIN ACTIONS WITH RESPECT THERETO
WHEREAS, Alameda Power & Telecom (being the City of Alameda (the "City"), acting
by and through its Bureau of Electricity, or "Alameda P &T "), has authorized the acquisition,
E construction, development, financing and operation of a citywide hybrid fiber optic - coaxial
O broadband telecom system (the "Telecom System ") pursuant to resolutions including, without
--- limitation, Resolution No. 4110 of the Public Utilities Board of the City of Alameda (the "Public
w Utilities Board "), adopted December 13, 1999, and Resolution No. 4517 of the Public Utilities
nJ Board, adopted January 24, 2002 (collectively, the "Prior Board Resolutions "); and
O
WHEREAS, pursuant to the Prior Board Resolutions, Alameda P &T arranged for the
CD > financing of the Telecom System, in part through the sale and delivery of two series of certificates
Uof participation in installment sale agreements as set forth therein (the "Prior Sale Agreements "),
as approved by the City under City of Alameda Resolution No. 13175, adopted January 18, 2000,
and City of Alameda Resolution No. 13431, adopted January 22, 2002 (collectively, the "Prior
Council Resolutions "); and
WHEREAS, the City has heretofore granted Alameda P &T a franchise to build and operate
the Telecom System, which among other things requires that the Telecom System serve the entire
area of the City; and
WHEREAS, in connection with the continued development, construction and operation of
the Telecom System, and the repayment and refinancing of certain obligations due on or before
May 31, 2004, as and to the extent provided under the Prior Sale Agreements, and in anticipation
of the completion of the Telecom System in accordance with the provisions of the Prior Sale
Agreements and agreements referred to therein, and the ultimate refinancing of the Telecom
System based on future net operating revenues available from the ownership and operation of the
Telecom System, Alameda P &T has (a) authorized the negotiation, execution, sale and delivery of
revenue bond anticipation notes (the "Series 2004 Notes ") payable from an installment sale
agreement in an initial aggregate principal amount of not to exceed $33,000,000 and (b) requested
advances from the proceeds of outstanding bonds constituting loan repayments to the City's
general fund which are required to be expended for eligible capital projects of the City, in an
aggregate principal amount of not to exceed $2,200,000 (the "Advances "); and
WHEREAS, the Series 2004 Notes and the Advances, together with obligations under or in
connection with the Prior Sale Agreements which are permitted to remain outstanding after
May 31, 2004, are to be repaid in accordance with their terms from any or all of the following
sources: (a) the proceeds of obligations which may be issued or incurred in whole or in part for the
purpose of refinancing the Telecom System, (b) available revenues from the operation of the
Telecom System or (c) proceeds of any sale, lease, transfer or other disposition of the Telecom
System or any portion thereof which may hereafter be authorized by the Public Utilities Board
with the approval of the City; and
WHEREAS, prior to the date hereof the Public Utilities Board adopted its Resolution
No. 4600 (the "2004 Board Resolution ") approving, authorizing and directing the negotiation,
execution, sale and delivery of the Series 2004 Notes and the incurring of the Advances and all
agreements, documents and instruments related thereto, and declared official intent to reimburse
certain expenditures of the Telecom System from the proceeds thereof;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Alameda
hereby ORDERS and DETERMINES that the actions taken by the Public Utilities Board, as evidenced
in the 2004 Board Resolution, be and they are hereby, ratified, confirmed and approved in all
respects.
This resolution shall become effective immediately upon its adoption by this City Council.
I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly
adopted and passed by the Council of the City of Alameda in a special joint meeting of the City
Council, Alameda Public Improvement Corporation, and Alameda Public Financing Authority on the
17th day of February, 2004, by the following vote to wit:
AYES: Councilmembers Gilmore, Matarrese, and Mayor Johnson - 3.
NOES: Councilmembers Daysog and Kerr - 2.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said City this
18th day of February, 2004.
kctAra. 61-
Lara Weisiger, City ;16k
City of Alameda