RES-IDA-002 Authorizing Issuance of Debt to Control Air Conditioning CorporationRESOLUTION NO. IDA-
002 A RESOLUTION OF THE INDUSTRIAL
DEVELOP-MENT AUTHORITY OF THE CITY OF
ORANGE AUTHORIZING A MAXIMUM OF $5,000,000
OF DEBT PROCEEDS TO BE USED TO MAKE A
LOAN TO CONTROL AIR CONDITIONING
CORPORA-TION TO EXPAND ITS AIR
CONDITIONING METAL DUCT MANUFACTURING
FACILITY WHEREAS, the Industrial Development Authority of the City of Orange (
the Authority") desires and intends to issue its revenue bonds for the purpose of making
a loan to Control Air Conditioning Corporation or an affiliate entity including "Control
Air Conditioning Service Corporation", "Air Conditioning Control Systems, Inc.", "
Control Air North, Inc.", and "Ellis Enterprises, a California General Partnership''' (together,
the Company") for the purpose of expanding its air conditioning metal duct
manufacturing facility located at 2176 N. Pacific Street, Orange California 92865 (th~ "Project");
and WHEREAS, the Authority, in order to promote an increase .
employment opportunities and otherwise promote economic development in the City of
Orange,California, and as an aid and inducement to the Company, is willing to authorize
the issuance of debt in an aggregate principal amount of $5,000,000 ("Debt") which will
be sufficient to provide financing for the Project;
and WHEREAS, the Company expects to incur certain capital expenditures
relating to the Project prior to the issuance of such Debt;
and WHEREAS, the Authority expects that the maximum amount of Debt which
will be used to reimburse such capital expenditures will be $5,000,000;
and WHEREAS, this Resolution is intended to be a "declaration of official intent"
in accordance with Section 1.150-2 of the
Treasury Regulations;NOW, THEREFORE, BE IT RESOLVED by the Board of Directors
of the Industrial Development Authority of the City of Orange
as follows:Section 1. Findings. The Authority hereby determines that the undertaking
of the financing of the Project, should the Project be approved and constructed, will
be a substantial factor in the accrual of public benefits to be received from the Project,
that the activities and uses associated with the Project are in accord with Section 91503
of the California Government Code and that the proposed financing is in accord
with the purposes and requirements of the California Industrial Development Act, being
Title 10,commencing with Section 91500 of the California
Section 2. Declaration of Official Intent. It is intended that this Resolution shall
constitute a "declaration of official intent" for purposes of Section 1.150-2 of
the Treasury Regulations with respect to the issuance of $5,000,000 of debt for the
purpose of financing the
Project.ADOPTED this ~day of FEBRUARY ,
1997.
1 a~~zZ;-
rperson d
ATTEST:
Ouudd-'2uJ~A"~A-;f
Secretary . -f
I hereby r;ertify that the foregoing Resolution was duly and regularly adopted by
Industrial Development Authority of the City of Orange at a regular meeting thereof held
on the 11th day of FEBRUARY , 1997, by the following vote:
AYES: MURPHY, SLATER, COONTZ, SPURGEON, ALVAREZ
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
4A~I{;~Secretary ()I
Resolution No. IDA-