The Governor and Cabinet - Florida Department of State

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AGENDA

MEETING OF THE

STATE BOARD OF ADMINISTRATION

(Contact Person: Dorothy Westwood - 488-4406)

THE CAPITOL

September 12, 2000

Approval of minutes of meeting held July 25, 2000. (Att. #1)

2. APPROVAL OF FISCAL DETERMINATION OF AMOUNTS NOT EXCEEDING $9,615,000 TAX EXEMPT AND $2,630,000 TAXABLE FLORIDA HOUSING FINANCE CORPORATION HOUSING REVENUE BONDS, 2000 SERIES (SERIES TO BE DESIGNATED) (ASHTON POINTE APARTMENTS):

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue amounts Not Exceeding $9,615,000 Tax Exempt and $2,630,000 Taxable Florida Housing Finance Corporation Housing Revenue Bonds, 2000 Series (series to be designated) (the "Bonds") for the purpose of financing the construction and equipping of a multifamily residential rental development located in Volusia County, Florida (Ashton Pointe Apartments).

The Bonds shall not constitute an obligation, either general or special, of the State or of any local government thereof; neither the State nor any local government thereof shall be liable thereon. Neither the full faith, revenue, credit nor taxing power of the State of Florida, or any local governments thereof shall be pledged to the payment of the principal of, premium (if any), or interest on the Bonds. The Bonds shall be payable as to principal, premium (if any), and interest solely out of revenues and other amounts pledged therefor.

RECOMMENDATION: A study of this proposal and of estimates of revenue and other available moneys expected to accrue indicate that the issue meets the requirements for the fiscal determination required by Section 420.509, Florida Statutes, as stated in Article VII, Subsection 16(c) of the revised Constitution of 1968, and the Executive Director recommends that the State Board of Administration of Florida (the "Board") approve the fiscal determination thereof. It is further recommended that, pursuant to the fiscal determination requirements of Subsection 16(c) of Article VII of the revised Constitution of 1968, the Board find and determine that in no State fiscal year will the debt service requirements of the Bonds proposed to be issued and all other bonds secured by the same pledged revenues exceed the pledged revenues available for payment of such debt service requirements. The Board has relied upon information from others but has not independently verified the accuracy or completeness of such information. The Board does not assume any responsibility for, and makes no warranty (express or implied) with respect to any other aspect of this bond issue except for fiscal determination. (Att. #2)

SBA AGENDA

September 12, 2000

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3. APPROVAL OF FISCAL DETERMINATION OF AMOUNTS NOT EXCEEDING $13,370,000 TAX EXEMPT AND $4,500,000 TAXABLE FLORIDA HOUSING FINANCE CORPORATION HOUSING REVENUE BONDS, 2000 SERIES (SERIES TO BE DESIGNATED) (COBBLESTONE APARTMENTS):

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue amounts Not Exceeding $13,370,000 Tax Exempt and $4,500,000 Taxable Florida Housing Finance Corporation Housing Revenue Bonds, 2000 Series (series to be designated) (the "Bonds") for the purpose of financing the construction and equipping of a multifamily residential rental development located in Osceola County, Florida (Cobblestone Apartments).

4. APPROVAL OF FISCAL DETERMINATION OF AMOUNTS NOT EXCEEDING $8,816,500 TAX EXEMPT AND $3,901,000 TAXABLE FLORIDA HOUSING FINANCE CORPORATION HOUSING REVENUE BONDS, 2000 SERIES (SERIES TO BE DESIGNATED) (GRANDE POINTE APARTMENTS):

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue amounts Not Exceeding $8,816,500 Tax Exempt and

SBA AGENDA

September 12, 2000

Page three

$3,901,000 Taxable Florida Housing Finance Corporation Housing Revenue Bonds, 2000 Series (series to be designated) (the "Bonds") for the purpose of financing the construction and equipping of a multifamily residential rental development located in Orange County, Florida (Grande Pointe Apartments).

5. APPROVAL OF FISCAL DETERMINATION OF AMOUNTS NOT EXCEEDING $8,096,400 TAX EXEMPT AND $2,960,000 TAXABLE FLORIDA HOUSING FINANCE CORPORATION HOUSING REVENUE BONDS, 2000 SERIES (SERIES TO BE DESIGNATED) (THE PARK AT PALM BAY APARTMENTS):

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue amounts Not Exceeding $8,096,400 Tax Exempt and $2,960,000 Taxable Florida Housing Finance Corporation Housing Revenue Bonds, 2000 Series (series to be designated) (the "Bonds") for the purpose of financing the construction and equipping of a multifamily residential rental development located in Brevard County, Florida (The Park at Palm Bay Apartments).

The Bonds shall not constitute an obligation, either general or special, of the State or of any local government thereof; neither the State nor any local government thereof shall be liable

SBA AGENDA

September 12, 2000

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thereon. Neither the full faith, revenue, credit nor taxing power of the State of Florida, or any local governments thereof shall be pledged to the payment of the principal of, premium (if any), or interest on the Bonds. The Bonds shall be payable as to principal, premium (if any), and interest solely out of revenues and other amounts pledged therefor.

6. APPROVAL OF FISCAL DETERMINATION OF AMOUNTS NOT EXCEEDING $10,285,000 TAX EXEMPT AND $3,395,000 TAXABLE FLORIDA HOUSING FINANCE CORPORATION HOUSING REVENUE BONDS, 2000 SERIES (SERIES TO BE DESIGNATED) (RAINTREE APARTMENTS):

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue amounts Not Exceeding $10,285,000 Tax Exempt and $3,395,000 Taxable Florida Housing Finance Corporation Housing Revenue Bonds, 2000 Series (series to be designated) (the "Bonds") for the purpose of financing the construction and equipping of a multifamily residential rental development located in Lake County, Florida (Raintree Apartments).

SBA AGENDA

September 12, 2000

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7. APPROVAL OF FISCAL DETERMINATION OF AMOUNTS NOT EXCEEDING $14,000,000 TAX EXEMPT AND $1,200,000 TAXABLE FLORIDA HOUSING FINANCE CORPORATION HOUSING REVENUE BONDS, 2000 SERIES (SERIES TO BE DESIGNATED) (SUMMER PALMS APARTMENTS):

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue amounts Not Exceeding $14,000,000 Tax Exempt and $1,200,000 Taxable Florida Housing Finance Corporation Housing Revenue Bonds, 2000 Series (series to be designated) (the "Bonds") for the purpose of financing the construction and equipping of a multifamily residential rental development located in Hillsborough County, Florida (Summer Palms Apartments).

SBA AGENDA

September 12, 2000

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determination requirements of Subsection 16(c) of Article VII of the revised Constitution of 1968, the Board find and determine that in no State fiscal year will the debt service requirements of the Bonds proposed to be issued and all other bonds secured by the same pledged revenues exceed the pledged revenues available for payment of such debt service requirements. The Board has relied upon information from others but has not independently verified the accuracy or completeness of such information. The Board does not assume any responsibility for, and makes no warranty (express or implied) with respect to any other aspect of this bond issue except for fiscal determination. (Att. #7)

8. APPROVAL OF FISCAL DETERMINATION OF AN AMOUNT NOT EXCEEDING $75,000,000 FLORIDA HOUSING FINANCE CORPORATION AFFORDABLE HOUSING GUARANTEE REVENUE BONDS (TAXABLE), 2000 SERIES A:

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue an amount Not Exceeding $75,000,000 Florida Housing Finance Corporation Affordable Housing Guarantee Revenue Bonds (Taxable), 2000 Series A (the "Bonds") for the purpose of providing funds to further capitalize its affordable housing guarantee fund. The Bonds shall be issued on parity with the outstanding and unpaid Florida Housing Finance Corporation Affordable Housing Guarantee Revenue Bonds (Taxable), 1993 Series A and 1999 Series A.

The Bonds shall not constitute an obligation, either general or special, of the State or of any local government thereof; neither the State nor any local government thereof shall be liable thereon. Except as provided in the Trust Indenture with respect to Documentary Stamp Tax Revenues, neither the full faith, revenue, credit nor taxing power of the State of Florida, or any local governments thereof shall be pledged to the payment of the principal of, premium (if any), or interest on the Bonds. The Bonds shall be payable as to principal, premium (if any), and interest solely out of revenues and other amounts pledged therefor.

SBA Agenda

September 12, 2000

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independently verified the accuracy or completeness of such information. The Board does

not assume any responsibility for, and makes no warranty (express or implied) with respect to any other aspect of this bond issue except for fiscal determination. (Att. #8)

9. ADOPTION OF PROPOSED PEORP IMPLEMENTATION PERFORMANCE CRITERIA:

SBA staff believes that it is appropriate to identify certain selected performance criteria that revolve around the implementation phase of PEORP. These criteria are not intended to be the performance measures for the operational phase of the PEORP program itself, but rather for the implementation phase. Furthermore, modifications are certainly expected over the remaining months of the implementation phase but adoption of these initial measures helps to focus our energies on the mission critical tasks.

These measures have been reviewed by our general DC consultant, William M. Mercer, Inc., and reviewed by the Investment Advisory Council on two occasions. (Att. #9)

10. DISCUSSION OF AN INVESTMENT POLICY STATEMENT (IPS) FOR THE PUBLIC EMPLOYEE OPTIONAL RETIREMENT PROGRAM (PEORP) (Att. #10)

11. DC IMPLEMENTATION STATUS REPORT #2 � Information Only (Att. #11)

12. POTENTIAL CONFLICT OF INTEREST OF INVESTMENT ADVISORY COUNCIL ("IAC") MEMBER BILL McBRIDE AND PUBLIC EMPLOYEE OPTIONAL RETIREMENT PROGRAM ADVISORY COMMITTEE ("PEORPAC") APPOINTEE MARY KAY CARISEO:

The IAC is an advisory body to the SBA pursuant to Section 215.444 and (new) Section 121.4501(12)(a), Florida Statutes. IAC member Bill McBride has informed the Executive Director and his fellow IAC members that his law firm represents a client seeking to do business with the SBA. (See attached) The client, The Variable Annuity Life Insurance Company (VALIC), has an interest in becoming a provider to the Public Employee Optional Retirement Program to be administered by the SBA. Mr. McBride has decided to complete his term as a member of the IAC, but in order to avoid a conflict of interest he states that he will not participate in any matter in which VALIC has an interest.

The PEORPAC is an advisory body to the SBA pursuant to (new) Section 121.4501(12)(b), Florida Statutes. PEORPAC appointee Mary Kay Cariseo has informed the Executive

Director that her employer, the Florida Association of Counties, has an ongoing endorsement relationship with Nationwide Retirement Solutions, Inc. ("Nationwide") and that Nationwide has an interest in becoming a provider to the Public Employee Optional Retirement Program to be administered by the SBA. (See attached)

SBA Agenda

September 12, 2000

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Since Nationwide may do business with the SBA or matters may arise during Ms. Cariseo�s membership on the PEORPAC in which Nationwide has an interest, she is seeking of the Governor, as the individual who appointed her, a waiver of the applicable conflict of interest prohibitions of Section 112.313, Florida Statutes, pursuant to subsection (12) of that section. (See attached)

RECOMMENDATION: No action is requested with respect to IAC member Bill McBride. Mr. McBride has stated that he will not participate in any matter in which his firm�s client has an interest and does not request a conflict waiver as an advisory board member at this time. With respect to PEORPAC appointee Mary Kay Cariseo, it is recommended that the Governor grant the waiver pursuant to Section 112.313(12), Florida Statutes. (Att. #12)

REPORT BY THE EXECUTIVE DIRECTOR:

Submitted for information and review is the fund activity analysis report for the month of June 2000. (Att. #13)

14. THE FLORIDA WATER POLLUTION CONTROL FINANCING CORPORATION AGENDA:

The Florida Water Pollution Control Financing Corporation requests that the Comptroller and Treasurer, in their capacities as members of the Board of Directors, hold the organizational meeting of the Florida Water Pollution Control Financing Corporation. This Corporation was created in Section 403.1837, Florida Statutes, by Chapter 2000-271, Laws of Florida. An organizational meeting is necessary to commence the process to hire the necessary professionals to issue bonds to finance the costs of water pollution control projects and for the corporation to perform its responsibilities as set forth in Sections 403.1835 to 403.1837, Florida Statutes. (Exhibit 1)

THE FLORIDA WATER POLLUTION CONTROL FINANCING CORPORATION

AGENDA

THE CAPITOL

September 12, 2000

1. The Executive Director, in his capacity as Chief Executive Officer of the Corporation, will call David Struhs, Secretary of the Department of Environmental Protection, and Donna Ardin, the Governor�s Budget Director, to the podium and will call the organizational meeting of the Corporation to order.

All the members of the Board of Directors being present, motion and second that the Board of Directors take the following action:

Election of Officers:

Chairperson of the Board of Directors

President of the Corporation: Tom Herndon, Executive Director of the State Board of Administration

Treasurer: Coleman Stipanovich, Chief of Administrative Services of the State Board of Administration

Secretary: Thomas A. Beenck, Assistant General Counsel of the State Board of Administration.

Acceptance of the Articles of Incorporation filed with the Department of State prior to the meeting.

Adoption of the By-Laws of the Corporation.

Approval of the Corporate Seal.

Ratification of the previous distribution of Requests for Proposal for the hiring of bond counsel, disclosure counsel, and underwriters.

Direction to the Secretary to set out all these actions in the Minutes of the Corporation.

3. There being no further business, motion and second to adjourn this meeting.

EXHIBIT 1