April 29, 1999
The Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, California 90012
Dear Supervisors:
Adopt the Resolution of the Board of Supervisors of the County of Los_Angeles authorizing the issuance and sale of the Los Angeles Unified School District 1999-2000 Tax and Revenue Anticipation Notes in an aggregate principal amount not to exceed $200,000,000.
On April 27, 1999, the Board of Education of the Los Angeles Unified School District adopted a Resolution determining that the District needs to borrow funds in an aggregate principal amount not to exceed $200,000,000 to be used for authorized purposes. The District is requesting that your Board issue tax-exempt Tax and Revenue Anticipation Notes (TRANs) on behalf of the District in an aggregate principal amount not to exceed $200,000,000.
Pursuant to Article 7.6 and commencing with Section 53850 of the Government Code,school districts organized and existing under the laws of the State are authorized to borrow money by the issuance of short-term notes. Such notes shall be issued in the name and on behalf of such school district by the board of supervisors of the county following receipt of district resolution requesting such borrowing.
None to the County. All debt indebtedness will be borne by the District.
Not Applicable
The Notes, with a maximum interest rate of eight percent (8%), will mature not later than fifteen months after the issuance date of the Notes. There is no provision for call or redemption prior to maturity. The principal and interest payments of the Notes shall be payable from taxes, income, revenue, cash receipts and other moneys received by the District during or attributable to Fiscal Year 1999-2000.
The District has selected C.M. de Crinis & Company, Inc. and Annette Yee & Company as CoFinancial Advisors; and the firms of O'Melveny & Myers LLP, Ochoa & Sillas and Curls, Brown & Duran LLP as Co-Special Counsel for the 1999-2000 issuance of TRANs. The attached Resolution provides for the negotiated sale of the Notes by the Treasurer and Tax Collector with the underwriters selected by the District. The District has selected Lehman Brothers, Bear Stearns & Co., Inc., Merrill Lynch & Company, Siebert Brandford Shank & Co., L.L.C., Lam Securities Investments, Inc., and Samuel A. Ramirez & Co., Inc. as Underwriters.
Upon adoption of this Resolution, the Department will need three (3) originally executed copies of the Resolution.
Respectfully submitted,
MARK J. SALADINO
Treasurer and Tax Collector
MJS:MS
BBG:99 LAUSD TRN ltr
Attachments (2)
c: Chief Administrative Officer
County Counsel
Executive Officer, Board of Supervisors
Auditor-Controller
Los Angeles Unified School District
C.M. de Crinis & Company, Inc.
Annette Yee & Company
O'Melveny & Myers
Ochoa & Sillas
Curls, Brown & Duran
Lehman Brothers