HomeMy WebLinkAboutAgenda Report - January 6, 2010 J-01AGENDA ITEM Jdol
CITY OF LODI
• ,. ` COUNCIL COMMUNICATION
AGENDA TITLE: Authorize the City Manager to Engage Lamont Financial Services and Stone and
Youngberg LLC for Professional Services Related to Financing the Mokelumne
Water Treatment Plant and Adopt a Resolution Declaring Intent to Reimburse
Certain Expend itu res from Proceeds of Indebtedness
MEETING DATE:
PREPARED BY:
January 6,2010
Deputy City Manager
RECOMMENDED ACTION: Authorize the City Manager to engage Lamont Financial Services
and Stone and Youngberg LLC for professional services related to
financing the Mokelumne Water Treatment Plant and adopt a
resolution declaring intent to reimburse certain expenditures from
proceeds of indebtedness.
BACKGROUND INFORMATION: In November 2006, City Council formed a financial services
selection committee. At that time, several financial needs for which
financial advisory services were needed had been identified,
including expansion cf the wastewater plant, refinancing of Electric Utility bonds and Electric Utility bond
swaps. Lamont Financial Services was recommended to provide Financial Advisory Services, and Stone
& Youngberg were recommended to provide underwriting and investment banking services. The City
again needs financial advisory services for the new water treatment plant.
The firms of Lamont Financial and Stone and Youngberg, LLC have served the City well in recently
completed financings. We request that Council approve continuing to use the services of these firms on
upcoming financings. Financial advisors and bond underwriters are typically paid with the proceeds from
bond issues resulting in no out-of-pocket costs to the City. However, while typically underwriters are not
paid unless there is a successful financing, financial advisors are paid regardless in order to avoid a
conflict with a final debt offering.
Both Lamont and Stone and Youngberg have displayed a very high degree of customer service. Lamont
has consistently been available to provide uncompensated advice and counsel, and Stone and
Youngberg in 2008, while serving as the banker for the 2008 Electric Utility bond refinancing, stepped in
and underwrote $30 million of unsold bonds that allowed Lodi to have a successful bond sale. Stone and
Youngberg has an above average level of experience with Mello -Roos and assessment district financing
that will be an advantage to ensure costs are appropriately spread.
Lamont proposes a not -to -exceed fee for service of $60,000 and the fee for Stone and Youngberg is
subject to negotiation, which will be returned to Council for later approval.
City staff will shortly begin a selection process to add bond counsel to the financing team. A separate
approval by City Council of a bond counsel will be brought back at a later date.
APPROVED: _
Blair Ki , ty Manager
N:\Administration\CM\Susan\Council Communications\01 06 10 Approval of FA and I lkdprwritpr Cnunnnm firm 12/21/2009
A resolution declaring intent to reimburse certain expenditures from proceeds of bonded indebtedness is
a common vehicle that allows an issuer to include costs incurred prior to bond issuance in the face
amount of the bonds, thereby reimbursing the issuerfor the costs incurred to date. Such costs can be for
soft cost items such as design and engineering as well as hard construction costs.
The resolution does not commit the City to make any expenditures, incur any indebtedness, seek other
financing means, or proceed with the project. The resolution simply provides the City with the ability to
seek reimbursement for already incurred and future costs should the City proceed with bonded
indebtedness. This resolution is solely for the purposes of establishing compliance with the requirements
of Treasury Regulations Section 1.150-2.
FISCAL IMPACT: Adoption of the attached resolution will allow the City to reimburse itself for
any costs incurred. Lamont fee is not to exceed $60,000 and probably will
be paid from bond proceeds.
FUNDING AVAILABLE: Potential bond proceeds.
Jordan Ayers
Deputy City Manager/Internal Services Director
14MMO "' RAWdSI rel ow
November 24,2009
Mr. Blair King
City Manager
City of Lodi
221 West Pine Street
Lodi. California 95241-1910
Re: Financial Advisory Services Agreement/Surface Water Treatment Plant
Dear Blair
This letter ("Agreement") will set out the terms under which Lamont Financial Services
Corporation ("Lamont") will provide certain financial advisory services for the City of Lodi
("City"). The services to be provided relate to the City's effort to construct a Surface Water
Treatment Plant and the development of a Plan of Finance to support the revenues required for
debt issuance and operations.
Proposed Scope of Services:
Provided below is a general listing of financial advisory services to be provided by Lamont to the
City. The advisory assignment will include the review of the City's Water System Enterprise
Operation including debt capacity based on expected new system revenues and cost sharing
alternatives of a new Water Treatment Facility. Additional services will include:
• Provide detail financial analysis to assist the City in determining the overall cost in
constructing the Surface Treatment Plant,
• Develop and present to the City a Financial Evaluation of the potential cost sharing
alternatives for the construction and operation of the Facility i.e. new development
contribution,
■ Provide financial analysis for the potential benefits offered by the creation of a
Community Facilities District ("CFD) that may offset the System's Facility costs,
• Reviewthe credit and rating implicationsof particulardebt structuring alternatives unique
to the Facility that may impact the System's long-term capital program,
• Prepare financing time schedule with the City staff, rating presentation and bond
document coordination,
• Work closely with the underwriting team to establish pricing for the Facility debt offering.
Pricina of Services
1) We have prepared a fee proposal for your consideration. The team proposes a not to
exceed $60,000 fee for professional services related to the services to be provided under
Proposed Scope of Services. If the project is prolonged due to external events, we would
request the City's consideration to revisit our proposed fee for a justified adjustment. Lamont
will bill on a blended hourly rate of $250 for all senior level personnel working with the City.
Billingswill represent tasks approved by the City and will be billed for actual hours. Funds
remaining after the contract period will remain with the City.
2) Expenses: $2,500 lump-sumfee
FinancialAdvisory Services
City of Lodi Agreement
Contact person. The initial contact at Lamontfor the services described herein is as follows:
For Financial Advisory Services:
Thomas B. Dunphy.
Lamont Financial Services
3569 Perada Drive
Walnut Creek, CA 94598
(925) 937-4958; (925) 937-3383fax
TDunphve-Lamonffin.com
We look forward to serving the City. We are confident that the experience, personnel and
commitment to excellence of the team assembled for this assignment will provide a standard of
service to the City necessary to meet present and future program and financial challenges.
Sincerely,
Thomas Dunphy
ExecutiveVice President
Lamont Financial Services
APPROVED AND ACCEPTED:
City of Lodi
By:
Authorized Officer
STONE &
YOU N G B E RG
November 25.2009
Blair King
City Manager
City of Lodi
221 West Pine Street
Lodi. CA 95241
Dear Blair:
One Fern, Building —San Francisco, California 94111 — (415) 445-2300
On behalf of Stone & Youngberg. I am pleased to submit our qualifications and a fee proposal to
provide underwriting services to the City of Lodi for its proposed Water Treatment Plant
financing. Our proposal addresses the possibility of either Water Revenue Bonds, taxable Water
Revenue Build America Bonds or Mello Roos Special Tax Bonds. The following points highlight
our credentials.
Leader in Local Government Public Finance. Stone & Youngberg is the West Coast's
largest regional investment banking firm specializing in fixed income securities. The firm has
underwritten over I,142 individual financings totaling $24.6 billion in the five year period ending on
December 31, 2008. These include over 726 financings totaling $16.6 billion for California local
governmental entities — more than any other investment banking firm. In addition, the firm has
been repeatedly selected by the State of California for senior -manager, comanager and selling
group member roles on financings for the State and its agencies.
Leader in WaterfWastewater Financings. Stone & Youngberg was founded in 1931 to help
Central Valley irrigation districts finance their capital needs during the Great Depression. The
firm has continued this focus on California water and wastewater financings ever since. Between
2004 and 2008, Stone & Youngberg structured and underwrote 67 separate water or wastewater
issues for local California issuers. These financings represent a dollar volume of $1.55 billion, as
shown in the chart below. In 2009 to Ca 11iY �r vaosbNowt a9 Issues
date, the firm has underwritten over LYwa .�. � 5-�•• loo+ -100$
r r s w..ttis triwnir
15 water or wastewater financings
totaling $754 as sole or lead manager. p
a
A listing of recent transactions is m
provided as Appendix A. San..7w,"Rs'.0
p hlon al •errand aw.rqua 6.aN.n
Our recent water and wastewater
clients include the cities cf Clovis,
Garden Grove, Redlands, Brea. Lodi,
Millbrae, Hollister, Sacramento and
9 �
s
206++ M
Stockton, the Castaic Lake Water r,dddddddddd� dddddddddd�
GIG Non.k7wY�a EJ aLRow Nu[a!/YIIYkI Mgpn Snrdq
Agency, Amador Water Agency, .,... ,.......��. �.....��...........
Dublin San Ramon Services District, 5"° Th—.°"R—
Alameda County Water District, East Bay Municipal Utility District, Fairfield -Suisun Sewer District,
Truckee Donner Public Utility District, Sacramento County Water Agency, and the San Jose -Santa
Clara Clean Water Financing Authority.
$TONE & YOUNGBERG LLC
—....._._..._..Page 1
City cf Lodi Water Treatment Plant Financinn
billion and 26 mania Land -Secured Municipal Issues
m
assessment district ated and Competitive5aies 2004 -2008
Top 5 Managing Underwriters
15D
a
Fee Proposal. Stone & Youngberg's compensation is taken in the form of an underwriting
discount and is largely a function of the structure, size, tax status and credit quality of the issue,
and the volatility of the capital markets. Our underwriting fees consist of three components: a
STONE & YOUNGRERG LLC Page 2
tments
Dame
Ismer
Par Amount
Underwritten
Underwritten
March 2009
City of Las Vegas
$85,000,000
$17,500,000
20.5%
January2009
Metropolitan Water District
$200,000,000
$53,000,000
26.5%
August 2008
Grossmont Union HSD
$88,159,578
$27,420,000
31.1%
September 2008
State of CA I -Bank
$48,375,000
$27,350,000
56.6%
Fee Proposal. Stone & Youngberg's compensation is taken in the form of an underwriting
discount and is largely a function of the structure, size, tax status and credit quality of the issue,
and the volatility of the capital markets. Our underwriting fees consist of three components: a
STONE & YOUNGRERG LLC Page 2
City cF Lodi Water Treatment Plant Financinn
management fee, sales compensation or takedown and expenses. Fee ranges are provided for
each component assuming a variety of bond structures.
(1) Management Fee: The management fee compensates us for the banking work
needed to structure the transaction, guide the preparation of the legal documents and credit
presentation, and conduct financial and options analysis. This fee will depend, in part, upon the
division of labor between our staff and the City's financial advisor. For a straightforward water
revenue bond, we propose a managementfee in the range of $25,000 to $55,000. If the City were
to use Build America Bonds (authorized by the American Recovery and ReinvestmentAct of 2009
and available through the end of 2010). our management fee would increase by $5,000 to account
for the additional complexity. For Mello Roos special tax bonds, we propose a management fee in
the range of $40,000 to $75,000, depending upon the credit quality and timeline to complete the
transaction.
(2) Takedown: The largest component of our discount is the takedown, which
compensates our sales force for selling the bonds. During the market tumult of late 2008 and
early 2009, much higher takedowns were required to complete a successful bond sale due to the
widespread investor retreat. In the last few months, the market has been operating in a more
orderly fashion again. Assuming such relatively stable conditions continue, we propose the following
average takedowns: $4.85 per $1,000 of bonds for a straightforward water revenue bonds with an
A or AA category rating, $5.85 for similarly -rated taxable water revenue Build America Bonds, and
$10.00 for non -rated Mello Roos special tax bonds. If market conditions were to deteriorate
significantly at the time of the City's bond sale, we'd note that higher takedowns might be
required.
(3) Expenses: The bulk of our expenses
are regulatory fees, travel expenses and conference
calls. Our estimated itemized expenses are
presented at right. We would 0= require an
Underwriter's Counsel for a investment-grade rated
transaction if the City were to hire its own
Disclosure Counsel and that firm would be willing
to provide a 10(b)5 opinion to us. For a non -rated
financing, we would require Underwriter's Counsel
and estimate an additional expense of $15,000, If
the City prefers that we hire Underwriter's Counsel
to prepare the Official Statement then we'd
estimate an additional expense of from $25,000 to
$55,000.
Summary: The table below provides you
ixenses.
CUSIP Fees
430
SIFMA Fees
1,050
Cal PSA Fees
350
CDIAC
3,000
DTC Fee
337
Day Loan
972
Internet Posting of OS
500
Blue Sky filing
500
Handling fee
2,250
Travel, delivery, conference calls, etc.
2,500
Mar expenses
1.61 1
Total
$ 13,500
$TONE & YOUNGBERG LLC Page 3
City of Lodi Water Treatment Plant Fnancinn
I indicative SummarvVndewriting Proposal for a$35 Million Financiniz I
AverAp Takedown
Management Fee
Underwriters Counsel
Expenses
Total
Water Revenue Bonds
(A or AA rating)
S Per 31+No Tom!
54.85 $169,150
1.00 35,000
0.00 0
0.39 13,500
56.24 $218,250
Water Revenue BABs
(A or AA rating)
s pers i JM low
$5.85 $204,750
1.14 40,E
0.00 0
0.39 13, 500
$7.38 $258,250
5pedal Tax Bonds
(Non -rated)
iPffir $l.Qffl ZafaL
$10.00 $350,000
1.43 50,000
0.43 15,000
0.39 13,500
$1224 $428.500
Stone & Youngberg has earned a reputation for honest, thoughtful, energetic service to our clients
for nearly 80 years. W e appreciate the opportunity to present our qualifications and look forward
to earning this business.
Sincerely,
I
Eileen Gallagher
Managing Director
(415) 445-2311
egailagher@sylic.com
STONE & YOUNGBERG LLC Perms 4
City of Lodi Water Treatment Plant Financing
Appendix A
Stone & Youngberg Water and Wastewater Financing Experience Since 2005
Dated
S&Y
Date
Issuer Name
Par
Role
Sale
1 210 3 120 0 9
Central Contra Costa Sanitary District
$ 34,490,000
Sole
Neeotiated
12/02/2009
California Department of Water Resources
169,1 15,000
Lead
Negotiated
11/12/2009
Central Contra Costa Sanitary District
19,635,000
Sole
Negotiated
10/22/2009
Whittier UtilityAuthority
3,150,000
Sole
Negotiated
10/22/2009
Whittier Util'€cy Authority
5,945,000
Sole
Negotiated
10114/2009
Alameda County Water District
26,340,000
Sole
Negotiated
09/03/2009
Indian Wells Valley Water District
20,000,000
Sole
Competitive
08/20/2009
Riverside. City of
36,835,000
co
Negotiated
08/20/2009
Riverside, City of
240.910,000
c o
Negotiated
08/11/2009
Mesa Consolidated Water District
14,700,000
Sole
Negotiated
07/21/2009
Culver City
20,085,000
Sole
Negotiated
07/02/2009
South Bayside System Authority
55,855,000
Sole
Negotiated
06/30/2009
Tulare, City of
54,775,000
Sole
Negotiated
06/26/2009
SSW Diego Public Facilities Financing Authority
328,060,000
c o
Negotiated
06/25/2009
Metropolitan Water District of Southern California
91, 165,000
c o
Negotiated
06/1012009
Metropolitan Water Districtof Southern California
106,690,000
c o
Negotiated
06/10/2009
Metropolitan Water District of Southern California
78,385,000
c o
Negotiated
05/28/2009
Lynwood Utility Authority
5,735,000
c o
Negotiated
0512 U2009
Brea Public Financing Authority
12,855,000
Sole
Negotiated
05/2112009
Brea Public FinancingAuthority
12,945,000
Sole
Negotiated
05/201,1009
MrrropolitanWater Districtof Southern California
104, 160.000
Sole
Negotiated
011271'20419
Metropolitan Water Districtof Southern California
200,000.000
Lead
Negotiated
12/31/2008
South Bayside System Authority
10,000,000
Sole
Negotiated
12118/2008
Oceanside, City of
10,540,000
Sole
Negotiated
11/25/2008
Lynwood Utility Authority
9,755,000
c o
Negotiated
08/28/2008
Lomita, city of
7,550,000
Sole
Negotiated
07/31/2008
Metropolitan Water District of Southern California
79,045,000
co
Negotiated
0611 112008
Chino Basin Desalter Authority
89,440,000
Sole
Negotiated
05/29/2008
Millbrae Public Financing Authority
3,965,000
Sole
Negotiated
05/01/2008
Los Angeles Wastewater System
31,900,000
Sole
Negotiated
05/0 112008
California Department of Water Resources
632,890,000
co
Negotiated
12/20/2007
San Joaquin County Public Facilities Financing Corp
8,450,000
Sole
Negotiated
1210512D07
Lodi. City Of
30,320,000
Lead
Negotiated
I 1 /20/2007'
Badger Water Facilities FinanangAuthority
20,685,000
c o
Competitive
11/1512007
Fairfield, City of
84,466,697
Sole
Negotiated
06/13/2007'
Santa Rosa, City of
67,0 10,000
Sole
Negotiated
05/30/2007
Hollister Joint Powers Financing Authority
6,860,000
Sole
Negotiated
05/23/2007
Metropolitan Water District of Southern California
400,000,000
co
Negotiated
05/09/2007
Sacramento County Water FinanangAuthority
184,500,000
co
Negotiated
0311512007'
Clovis Public Financing Authority
68,540,000
Sole
Negotiated
01/30/2007'
Crescenta Valley Water District
10,070,000
Sole
Negotiated
12/20/2006
HollisterJoint Powers FinanangAuthority
120,535,000
Sole
Negotiated
10/26/2006
Richmond, City of
16,570,000
Sole
Negotiated
10/26/2006
Richmond, City of
32260.000
Sole
Negotiated
09/21/2006
CucamonpValley Water District
21,610,000
Sole
Negotiated
08/23/2006
Metropolitan Water District of Southern California
200,000,000
c o
Negotiated
03/16/2006
Vallejo Sanitation and Flood Control District
39,665,000
Sole
Negotiated
12113/2005
Lor Angeles. City of
300,655,000
c o
Competitive
09/22/2005
Avenal Public Financing Authority
9,660,000
Sole
Negotiated
STONE & YOUNGBERG LLC __ Page 1
City of Lodi Water Treatment Plant Financing
07/28/2005
Metropolitan Water District of Southern California
100,000,000
c o Negotiated
06/08/2005
Rohnert Park, City of
13,000,000
Sole Negotiated
05/05/2005
Clovis Public Financing Authority
25,735,000
Sole Negotiated
04/28/2005
Oxnard FinancingAuthority
20,955,000
Lead Negotiated
04/20/2005
Santa Fe Springs Public FinancingAuthority
3,705,000
Sole Negotiated
03/23/2005
Fairfield. City of
47,085,000
Sole Negotiated
03/17/2005
Santa Cruz County Sanitation District
9,335,000
Sole Negotiated
56 Transactions Totaling$4.36 Billion Par Value
Appendix B
Stone & Youngberg Land Secured Financing Experience Since 2005
Dated
Date
Issuer Name
Far
S&Y Role
Sale
11/8/2009
Los Altos, City of
$ 662.880
Sole
Negotiated
11/05/2009
Riverside Unified School District
5,465,000
Sole
Negotiated
07/09/2009
Piedmont City of
3,200,000
Sole
Negotiated
07/09/2009
Piedmont City of
205,000
Sole
Negotiated
07/02/2009
Poway Unified School District PFA
8,995,000
Sole
Negotiated
06/16/2009
Placentia Public Financing Authority
9,715,000
Sole
Negotiated
D5114/2009
Los Altos Hills, Town of
3,143,364
Sole
Negotiated
D31 12/2009
Carpinteria Sanitary District
6,053,439
Sole
Negotiated
01129/2009
Saugus Union School District
8,275,000
Sole
Negotiated
D 1/29/2009
Sattus Union School District
4,810,000
Sole
Negotiated
12/23/2008
Malibu. City of
4,365,000
Sole
Negotiated
12J 10/2008
Easrem MunicipalWater District
1,205,000
PA
PrivacePlacement
12/09/2008
Elk Grove Unified School District
30,575,000
FA
Competitive
12!09/2008
Elk Grove Unified School District
651.133
FA
Competitive
10/16/2008
Sacramento Area Flood Control Agency
84,965,000
c o
Negotiated
138/27/2008
Yolo, County of
6,405,000
Member
Competitive
138/21/2008
SEn Diego. City of
12,365,000
Sole
Negotiated
D7130/2008
Larnmersville School District
1,895,000
Sole
Negotiated
137/02/2008
Dana Point City of
8.710,000
Sole
Negotiated
14/10120a
San Diego. City of
3,950,000
Lead
Negotiated
04/03/2008
Fairfield. City of
18.095.000
Sole
Negotiated
Q4u3F4W
Fairfieia; City of
15,510,000
Sole
Negotiated
193/26/2008
Eastern Municipal Wafter District
5,110,000
Sole
Negotiated
133/26/2008
Poway Unified School District
48,420,000
Sole
Negotiated
152/21/2008
Carlsbad, City of
18,175,000
Sole
Negotiated
01/30/2008
Etiwanda School District
62,295,000
Sole
Negotiated
D1/30/2008
Stockton Public f=inancing Authority
12,745,000
Sole
Negotiated
131/08/2008
Riverside, County of
11,585,000
Sole
Negotiated
131/08/2008
Lincoln Unified School District
729,850
Sole
Negotiated
1 21 1 212007
Etiwanda School District
7.090.000
Sole
Negotiated
12106rM7
ANso Viejo, City of
34,070,000
Sole
Negotiated
12/04/2007
Lake Elsinore Unified School District
1,720,000
Sole
Negotiated
12/04/2007
Rocklin Unified School District
6,793,381
Sole
Negotiated
12/04/2007
Rocklin Unified School District
26,625,000
Sole
Negotiated
12/04/2007
Rocklin Unified School District
12,309,968
Sole
Negotiated
11/21/2007
I'm Jacinto Unified School District
1,460,000
Sole
Negotiated
I V2012007
Edwand2 5r_hool District
10,300,000
Sole
Negotiated
I I/14f2007
Tejon Rands PFFA
6,100,000
Sole
Negotiated
11/13/2007
Lincoln Unified School District
4,890,753
Sole
Negotiated
STONF& YOUNGBERG LLC _ - Page 2
City of Lodi Water Treatment Plant Financing
11/01/2007
ABAG Finance Authority
3,270,000
Sole
Negotiated
10131/2007
ABAG Finance Authority
11,000,000
Sole
Negotiated
10125/2007
Sacramento. City of
11,465,000
Sole
Negotiated
09/06/2007
Eastern Municipal Water District
5,675,000
Sole
Negotiated
09/06/2007
Sacramento, County of
14,4 15,000
Sole
Negotiated
09f0612007
Twin, City of
53,570,000
c o
Negotiated
08/2312007
Pakndale, City of
2,135,000
Sole
Negotiated
08/23/2007
Palmdale. City of
8,250,000
PA
Private Placement
08/23/2007
Palrndale, City of
3,205,000
Sole
Negotiated
08123/2007
Palmdale. City of
6,460,000
PA
Private Placement
08)0812007
Eastern MunicipalWater District
8,170,000
Sole
Negotiated
08/06/2007
Lake Berryessa Resortlmpvt District
4,755,84I
Sole
Negotiated
07/26/2007
Poway Unified School District
37.910,000
Sole
Negotiated
0711212007
E -in Marcos Public FacilitiesAuthority
26,405,000
Lead
Negotiated
07/11/2007
Eastern Municipal Water District
1,180,000
Sole
Negotiated
06/28/2007
Del Mar Union School District
19,955,000
Sole
Negotiated
06/26/2007
ABAG FinanceAuthority
112,545,000
Lead
Negotiated
06126/;1007
ABAG Finance Authority
45,560,000
Lead
Negotiated
06120/;1007
Eastern Municipal Water District
2,060,000
Sole
Negotiated
06120/;1007
Eastern Municipal Water District
1,435,000
Sole
Negotiated
061201:1007
Poway Unified School District PFA
69,945,000
Sole
Negotiated
06/14/2007
Chinn City of
23.715,000
Sole
Negotiated
06/05/2007
Davis, City of
14, 1 15,000
Sole
Negotiated
05/30/2007
Eastern Municipal Water Dimict
3,175,000
Sole
Negotiated
05/10/2007
Manteca Unified School District
� 120,000
Sole
Negotiated
05/10/2007
Manteca Unified School District
8,225,000
Sole
Negotiated
OS103/2007
HerperPa Unified School District
8,500,000
Sole
Negotiated
05/02/2007
Bakersfield, City of
5.010,000
Sole
Negotiated
04/26/2007
Lake Elsinore Unified School District
3,955,000
Sole
Negotiated
04/12/2007
Moreno Valley Unified School District
4,000,000
Sole
Negotiated
04/05/2007
Menifee Union School District
2,040,000
Sole
Negotiated
03/29/2007
Alvord Unified School District
4,560,000
Sole
Negotiated
03/2912007
Alvord Unified School District
4,360,000
Sole
Negotiated
03128/:1007
Imparial. County of
2,105,000
Sole
Negotiated
03/22!;2007
Orange Unified School District
5,920,000
Sole
Negotiated
03/22/2007
Moreno Valley Unified School District
11,235,000
Sole
Negotiated
02/281:1007
Anaheim, City of
9,060,000
Sole
Negotiated
02/27/2007
Lake Elsinore School Financing Authority
39,995,000
Sole
Negotiated
02/07/2007
Azusa, City of
71,125,000
Sole
Negotiated
01/25/2007
Rancho Cucamonga, City of
2,980,000
Sole
Negotiated
01/25/2007
Rancho Cucamonga, City of
5,800,000
Sole
Negotiated
01/24/2007
Temecula Valley Unified School District
12,700,000
Sole
Negotiated
12J21/2006
Fontana, City of
26,815,000
Sole
Negotiated
12121/2006
Chico Public Financing Authority
10,545,000
Sole
Negotiated
12J 1912006
Menifee Union School District
10,9001000
Sole
Negotiated
12114t20,06
Moreno Valley Unified School District
4,260,000
Sole
Negotiated
12/07/2006
Sacramento, C i of
26,210,000
Sole
Negotiated
111 1512006
Carson Public Financing Authority
25,000,000
Sole
Negotiated
11115/2006
Carson Public Financing Authority
7,955,000
Sole
Negotiated
(/0812006
Eastern Municipal Water District
3,500,000
Sole
Negotiated
111108/2006
Palindale. City of
2.220.000
Sole
Negotiated
11/01/2006
Escondido, City of
18,080,000
Sole
Negotiated
11101/2006
Eastern Municipal Water District
3,975,000
Sole
Negotiated
f0126/2006
Chino, City of
9,545,000
Sole
Negotiated
STONE & YOUNG13ERG LLC Page 3
City of Lodi Water Treatment Plant Financing
1011212006
TemeculaValley Unified School District
09/28/2006
Eastern MLmidpal Water District
09/28/2006
San Jacinto Unified School District
09/21/2006
NlurrietaValley Unified School District
09/12/2006
Lathrop, City of
09/07/2006
Eastern Municipal Water District
(19/07/2006
Eastern Municipal Water District
09/01/2006
Temecula Public FinancingAuthority
09101t2006
Temecula Public Financing Authority
13,445,000
Western Riverside Water and
08/30/2006
Wastewater FinancingAuthority
Sole
Western Riverside Water and
08/30/2006
Wastewater 9 -nd. e e__+,e-; ,
08/2912006
Lincoln Unified School District
(18/25/2006
Coachella Valley Water District
08/24/2006
Lammersville School District
08/24/2006
Roseville, City of
08/16/2006
loner, City of
08/16/2006
Ione, City of
OB11612006
lone, City of
08/16/2006
lone, City of
08/1012006
San Jacinto Unified School District
08/1012006
RNR School FinancingAuthority
08/08/2006
Rialto, City of
08/03/2006
Roreville. City of
07/20/2006
Tracy. City of
07/20/2006
Riverside, County of
07120/2006
Murrieta Valley Unified School District
07/20/2006
Riverside, County of
07/1312006
San Diego, City of
07/13/2006
Rancho Cucamonga, City of
07/13/2006
Menifee Union School District
07/06/2006
Eastern Municipal Water District
07/06/2006
Eastern Municipal Water District
(16/22/2006
Poway Unified School District
(36/22/2006
Poway Unified School District
06/20/2006
Chnla Vista. City of
16/15/2006
East: emMunicipal Water District
06/08/2006
ABAG Finance Authority
05124/2006
Moreno Valley Unified School District
(15/24/2006
Sed Beach, City of
(15/17/2006
Chula Vista, City of
05/1112006
Carlsbad, City of
05/1012006
Sacramento, City of
D4127f2006
emecula Public FinancingAuthority
04/27/2006
Sen Jacinto Unified School District
04/26/2006
Chino, City of
(14/05/2006
Chino, City of
02/(612006
Menifee Union School District PFA
02/0912006
Burbank, City cf
132/02/2006
Menifee Union School District
011257200'6"'
William S. Hart Union HSD
01/25/2006
Saugus Union School District
01/1912D06
Orange Unified School District
... .. . ...........
STONE & YOUNGBERG LLC
9,945,000
Sole
Negotiated
9,350,000
Sole
Negotiated
2,690,000
Sole
Negotiated
5,105.000
Sole
Negotiated
50.000.000
Sole
Negotiated
6,000,000
Sole
Negotiated
13,445,000
Sole
Negotiated
3,075,000
Sole
Negotiated
14,470,000
Sole
Negotiated
40.615,000
Sole
Negotiated
4,400,000
Sole
Negotiated
14,750,000
Sole
Negotiated
8,239,480
Sole
Negotiated
25,000,000
Sole
Negotiated
42,650,000
Lead
Negotiated
3,225,000
Sole
Negotiated
3,845,000
PA
Negotiated
1,550,000
PA
PrivatePlacement
10,855,000
PA
Private Placement
2,565,000
Sole
Negotiated
21,025,000
Sole
Negotiated
5,035,000
Sole
Negotiated
22,095,000
co
Negotiated
10,660,000
Sole
Negotiated
5,100,000
Sole
Negotiated
5,640,000
Sole
Negotiated
3,505,000
Sole
Negotiated
16,000,000
PA
PrivatePlacement
43,545,000
Sole
Negotiated
4,740,000
Sole
Negotiated
3,750,000
Sole
Negotiated
890.000
Sole
Negotiated
S 1,5 15.000
Sole
Negotiated
51,495,000
Sole
Negotiated
16,950,000
Sole
Negotiated
6,785,000
Sole
Negotiated
5,825,000
Lead
Negotiated
5,000,000
Sole
Negotiated
8,800,000
Sole
Negotiated
16,620,000
Sole
Negotiated
11,490,000
Sole
Negotiated
19,025,000
Sole
Negotiated
S1,250,000
Sole
Negotiated
2,330,000
Sole
Negotiated
6,055,000
Sole
Negotiated
25.615,000
Sole
Negotiated
37,325,000
Sole
Negotiated
6,155,000
Sole
Negotiated
4,625,000
Sole
Negotiated
18,605,000
Sole
Negotiated
16,055,000
Sole
Negotiated
6,540,000
Sole
Negotiated
�� Page 4
Citv of Lodi Water Treatment Plant Financine
12/29/2005
Lincoln Unified School District
14,995,814
Sole
Negotiated
12/28/2005
Eastern Municipal Water District
4,988,209
Sole
Negotiated
12/22/2005
Tracy Operating PartnershipJPA
14,965,000
Sole
Negotiated
12121/2005
Bakersfield, City of
15,595,000
Sole
Negotiated
12/21/2005
Chula Vista. City of
12,230,000
Sole
Negotiated
12/21/2005
Jurupa Unified School District
3,170,000
Sole
Negotiated
12/15/2005
Lake Elsinore Unified School District
3,435,000
Sole
Negotiated
12/1512005
Schell -Vista Fire Protection District
403,463
Sole
Negotiated
12/13/2005
Mission Springs Water District
7,200,000
Sole
Negotiated
12/08/2005
Moreno Valley Unified School District
27,935,000
Sole
Negotiated
12/06/2005
Chula Vista. City of
22,565,000
Sole
Negotiated
12/01/2005
Dry CreekJointElementary,9D
3,150,000
Sole
Negotiated
11/3012005
South Orange County PFA
84.0 15.000
Sole
Negotiated
11/29/2005
Eastern Municipal Water District
11,735,000
Sole
Negotiated
11/29/2005
Eastern Municipal Water District
2.8 15,000
Sole
Negotiated
11/22/2005
Poway Unified School District
44,305,000
Sole
Negotiated
11/22/2005
Poway Unified School District
30,000,000
Sole
Negotiated
11/1712005
Roseville, City of
9,165,000
Sole
Negotiated
V 1612005
Rio Elementary School District
30,725,000
Sole
Negotiated
11/16/2005
Eastern Municipal Water District
1,800,000
Sole
Negotiated
11/16/2005
Eastem Municipal Water District
525.000
Sole
Negotiated
11/0112005
Elk Grove Unified School District
43,540,000
Lead
Competitive
10/27/2005
Moreno Valley Unified School District
5,580,000
Sole
Negotiated
1012012005
Yuba, County of
13,895,000
Sole
Negotiated
10/20/2005
Rocklin, City of
13,645,000
Lead
Competitive
1011812005
Lathrop. City of
8,255,000
Sole
Negotiated
10/18/2005
Rancho Cucamonga, City of
9,835,000
Sole
Negotiated
I01I 312005
Lake Elsinore Unified School District
7,255,000
Sole
Negotiated
10/06/2005
-'RnJacinto Unified School District
2,450,000
Sole
Negotiated
09121/2005
Yucaipa -Caiimesa Joint USD
1,380,000
Sole
Negotiated
09/2112005
Eastern Municipal Water District
6,000,000
Sole
Negotiated
09/2112005
Faxtern Municipal Water District
3,500,000
Sole
Negotiated
09/15/2005
Roseville, City of
21,720,000
co
Negotiated
09/14/2005
Santa Ana Unified School District
11,785,000
Sole
Negotiated
09/01/2005
Piedmont City of
668,420
Sole
Negotiated
08/3112005
Stockton Public Financing Authority
16,680,000
c o
Negotiated
OW31/2005
Stockton Public Financing Authority
1,355,000
co
Negotiated
0812512005
Temecula Valley Unified Scrod District
1 9491040
Sole
Negotiated
08/24/2005
Roseville, City of
57,905,000
c0
Negotiated
08/24/2005
Temecula Public Financing Authority
3,865,000
Sole
Negotiated
DW 1812005
Fontana Public Financing Authority
28,020,000
Sole
Negotiated
08118/2005
Fontana Public Financing Authority
2885,000
Sole
Negotiated
08/1712005
Eastern Municipal Water District
4,700,000
Sole
Negotiated
08110/2005
Oxnard Financing Authority
2,355,000
Sole
Negotiated
08/1012005
Oxnard Financing Authority
5180,000
Sole
Negotiated
08/09/2005
Vacaville, City cf
6,755,000
Sole
Negotiated
08/04/2005
Seal Beach, City of
3,985,000
Sole
Negotiated
08/04/2005
Victorville, City of
3245,000
Sole
Negotiated
08/04/2005
Cathedral City, City of
33,847,337
Sole
Negotiated
08/04/2005
Roseville, City of
37,350,000
Lead
Negotiated
08/03/2005
Menifee Union School District
4,480,000
Sole
Negotiated
08102/2005
Palmdale, City of
8,675,000
Sole
Negotiated
08/02/2005
Palmdale. City of
3,436,684
PA
PrivatePlacement
08/02/2005
Palmdale, City of
1,460,000
PA
Private Placement
STONE & YOUNGBERG LLC __
Page 5
City of Lodi Water Treatment Plant Financing
07/29/2005
Stockton, City of
28,350,000
Lead
Negotiated
07/28/2005
Victorville. City of
7,935,000
Sole
Negotiated
07/26/2005
San Francisco Redevelopment Agency
15, 160,000
Lead
Negotiated
07/26/2005
&n Francisco Redevelopment Agency
5,70$,939
Lead
Negotiated
07121/2005
Fremont City of
38,000,000
Sole
Negotiated
07/20/2005
Long Beach Bond Finance Authority
2,100,000
Sole
Negotiated
07/19/2005
Rancho California Water District
15,370,000
Sole
Negotiated
07119/2005
Rancho California Water District
5,125,000
Sole
Negotiated
07/14/2005
Menifee Union School District
2,580,000
Sole
Negotiated
07/112005
Palm Springs, City of
3,806,000
Sole
Negotiated
06/28/2005
Bakersfield, City of
3,380,000
Sole
Negotiated
06/23/2005
SEn Jacinto Unified School District
1,800,000
Sole
Negotiated
06/16/2005
Poway Unified School District
9,035,000
Sole
Negotiated
06/16/2005
Poway Unified School District
13,475,000
Sole
Negotiated
06/09/2005
San Jacinto Unified School District
3,675,000
Sole
Negotiated
06/09/2005
Murrieta Valley Unified School District
2,880,000
Sole
Negotiated
06/08/2005
Sacramento, City of
35,460,000
Sole
Negotiated
06101/2005
Rocklin. City of
25,000,000
Sole
Negotiated
05/25/2005
Romoland School District
5,935,000
Sole
Negotiated
05112/2005
Hesperia Unified School District
1,565,000
Sole
Negotiated
05x11212005
Vacaville, City of
7,275,000
Sole
Negotiated
05/112005
Sacramento, Countyof
11,525,000
Sole
Negotiated
04128/2005
Fullerton JointUnion HSD
2,050,000
Sole
Negotiated
04/20/2005
83n Francisco Redevelopment Agency
34,500,000
Lead
Negotiated
14/2012005
Maifee Union School District
2,460,000
Sole
Negotiated
04/06/2005
EtiwandaSchool District
6.815.000
Sole
Negotiated
03/24/2005
Etiwanda School District
10,400.000
Sole
Negotiated
03/24/2005
Lake Elsinore Unified School District
9,645,000
Sole
Negotiated
03/1012005
Sweetwater Union HSD PFA
15180,000
Lead
Competitive
03101/1005
Temecula Valley Unified School District
11,000,000
Sole
Negotiated
01123/2005
Palmdale. City of
28,500,000
Lead
Negotiated
02/17/2005
Simi Valley, City of
8,800,000
Sole
Negotiated
02/17/2005
Carlsbad, C i of
33,085,000
Sole
Negotiated
02/03/2005
Menifee Union School District
2,3 15.000
Sole
Negotiated
0101/2005
Orange, County of
75,645,000
c o
Negotiated
01/27/2005
Menifee Union School District
4,160,000
Sole
Negotiated
0 1 /271200 5
SwWs Union School District
3,810,000
Sole
Negotiated
0112712005
William S. Hart Union HSD
5,690,000
Sole
Negotiated
01/26/2005
Rio Vista, City of
15,585,000
Sole
Negotiated
239 Transactions Totaling $3.3 Billion Par Value
STONE & YOUNGBERG LLC __._ � Page 6
RESOLUTION NO. 2010-01
A RESOLUTION OF THE LODI CITY COUNCIL DECLARING ITS
INTENT TO REIMBURSE CERTAIN EXPENDITURES FROM
PROCEEDS OF INDEBTEDNESS
WHEREAS, the City intends to design and construct a surface water treatment plant
and related appurtenances (the "Project"); and
WHEREAS, the City expects to pay certain expenditures (the "Reimbursement
Expenditures") in connection with the Project prior to the issuance of bonded indebtedness for
the purpose of financing costs associated with the Project; and
WHEREAS, the City reasonably expects that debt obligations will be issued in
connection with the project and that certain of the proceeds of such debt obligations will be
used to reimburse the Reimbursement Expenditures; and
WHEREAS, proceeds of such debt obligations will be allocated to reimburse
expenditures no later than 18 months after the later of (i) the date the cost is paid, or (ii) the
date the Project is placed in service or abandoned (but in no event more than three years after
the cost is paid).
NOW, THEREFORE, BE IT RESOLVED by the Lodi City Council as follows:
Section 1. The City finds and determines that the foregoing recitals are true and correct.
Section 2. The City herby declares its official intent to use proceeds of indebtedness to
reimburse itself for Reimbursement Expenditures.
Section 3. This declaration is made solely for the purposes of establishing compliance
with the requirements of Section 1.150-2 of the Treasury Regulations. This declaration does
not bind the City to make any expenditure, incur any indebtedness, or proceed with the Project.
Section 4. This resolution shall take effect from and after its adoption.
Dated: January 6, 2010
------------------------------------------------------------------------
------------------------------------------------------------------------
I hereby certify that Resolution No. 2010-01 as passed and adopted by the City Council
of the City of Lodi in a regular meeting held January 6, 2010, by the following votes:
AYES: COUNCIL MEMBERS— Hansen, Johnson, and Mayor Katzakian
NOES: COUNCIL MEMBERS— Mounce
ABSENT: COUNCIL MEMBERS— Hitchcock
ABSTAIN: COUNCIL MEMBER;
2010-01