Cabinet
Affairs |
AGENDA
MEETING OF THE
STATE BOARD OF ADMINISTRATION
THE CAPITOL
DECEMBER 12, 1995
1. Approval of minutes of meeting held on November 29, 1995.
(Att. #1)
2. APPROVAL OF FISCAL SUFFICIENCY OF NOT TO EXCEED $190,000,000
STATE OF FLORIDA, FULL FAITH AND CREDIT, STATE BOARD OF
EDUCATION, PUBLIC EDUCATION CAPITAL OUTLAY REFUNDING BONDS,
1995 SERIES (LETTER DESIGNATION(S) TO BE ASSIGNED LATER):
The Division of Bond Finance of the State Board of
Administration (the "Division"), on behalf of the State
Board of Education, has submitted for approval as to fiscal
sufficiency a proposal to issue Not to Exceed $190,000,000
State of Florida, Full Faith and Credit, State Board of
Education, Public Education Capital Outlay Refunding Bonds,
1995 Series (Letter Designation(s) to be assigned later)
(the "Bonds"), for the purpose of refunding previously
issued bonds; provided, however, that none of the said Bonds
shall be issued in excess of the amount which can be issued
in full compliance with the State Bond Act and other
applicable provisions of law, pursuant to Section 9(a)(2),
Article XII of the Constitution of Florida, as amended. It
is anticipated the Governor and Cabinet will adopt on
December 12, 1995 the Tenth Supplemental Authorizing
Resolution authorizing the issuance of the Bonds.
The State Board of Education has heretofore issued Public
Education Bonds, Series A and B of which $136,315,000 in
principal amount was outstanding and unpaid on December 1,
1995; and which bonds constitute a prior lien on the Gross
Receipts Taxes which are required to be deposited in the
Public Education Capital Outlay and Debt Service Trust Fund
(the "Gross Receipts Taxes.")
The State Board has heretofore issued Public Education
Capital Outlay Bonds, Series 1985, 1985-A, 1986-B, 1986-C,
1987-A, 1989-A, 1989-B, 1990, 1991-A, 1991-B, 1991-C and
1992-A, 1992 Series B, 1992 Series C, 1992 Series D, 1992
Series E, 1993 Series A, 1993 Series B, 1993 Series C, 1993
Series D, 1993 Series E, 1993 Series F, 1994 Series A, 1994
Series B, 1994 Series C, 1995 Series A, 1995 Series B, and
1995 Series C of which $5,657,640,000 in principal amount
was outstanding and unpaid on December 1, 1995, and has
authorized and intends to issue Not to Exceed 240,000,000
Public Education Capital Outlay Refunding Bonds, 1995 Series
(Letter Designation(s) to be assigned later.)
AGENDA
November 29, 1995
Page Two
The proposed Bonds shall be junior, inferior, and
subordinate to the unrefunded portion of the Public
Education Bonds, Series A and B, and to the outstanding and
unpaid Series 1991-B, 1991-C, and 1992-A Bonds, and the
unrefunded portion of Series 1985, 1985-A, 1986-B, 1986-C,
1987-A, 1989-A, 1989-B, 1990 and 1991-A Bonds as to lien on
and source and security for payment from the Gross Receipts
Taxes. The proposed Bonds shall be issued on a parity as to
lien on and source and security for payment from the Gross
Receipts Taxes with the outstanding and unpaid Public
Education Capital Outlay Bonds, 1992 Series B, 1992 Series
C, 1992 Series D, 1992 Series E, 1993 Series A, 1993 Series
B, 1993 Series C, 1993 Series D, 1993 Series E, 1993 Series
F, 1994 Series A, 1994 Series B, 1994 Series C, 1995 Series
A, 1995 Series B, 1995 Series C and, if and when issued, the
proposed $240,000,000 Public Education Capital Outlay Bonds
described above.
A study of this proposal and the estimates of revenue
expected to accrue from the Gross Receipts Taxes indicate
that the proposed Bonds and all other outstanding bonds
having a lien on the Gross Receipts Taxes are fiscally
sufficient, and that the proposal will be executed pursuant
to the applicable provisions of law.
RECOMMENDATION: It is recommended that the Board approve
the fiscal sufficiency of the proposal outlined above.
(Att. #2)
3. APPROVAL OF FISCAL SUFFICIENCY OF NOT TO EXCEED $242,695,000
STATE OF FLORIDA, FULL FAITH AND CREDIT, STATE BOARD OF
EDUCATION CAPITAL OUTLAY BONDS, 1996 SERIES A:
The State Board of Education of Florida has submitted for
approval as to fiscal sufficiency a proposal to issue Not to
Exceed $242,695,000 State of Florida, Full Faith and Credit,
State Board of Education Capital Outlay Bonds, 1996 Series A
(the "Bonds") for the purpose of financing the cost of
capital outlay projects for school purposes in certain
school districts and community college districts.
The State Board of Education is authorized to issue bonds
pledging the full faith and credit of the State payable
primarily from funds provided in Subsection (d) of Section 9
of Article XII of the Constitution of Florida, as amended
(the "School Capital Outlay Amendment"), for the purpose of
providing funds to finance capital outlay projects for
school purposes in the manner provided therein, upon
application of the School Boards of the School Districts of
the State, and the Boards of Trustees of the Community
College Districts of the State.
The State Board of Education has heretofore pledged the
State Motor Vehicle License Taxes distributable to the
account of the School Districts, pursuant to said School
Capital Outlay Amendment, to the payment of debt service on
the
AGENDA
November 29, 1995
Page Three
Outstanding Capital Outlay Bonds, Series 1975-A, Series 1975-
B, Series 1976-A,
Series 1977-A, Series 1978-A, Series 1979-A, Series 1980-A,
Series 1986-A, Series 1988-A, Series 1990-A and Series 1991-
A heretofore issued which bonds constitute a prior lien on
the State Motor Vehicle License Taxes.
The Capital Outlay Bonds, 1992 Series A, 1992 Series B, 1994
Series A and 1995 Series A heretofore issued and the Bonds
proposed to be issued shall rank equally and be on a parity
in all respects as to lien on and source and security for
payment from the State Motor Vehicle License Taxes
distributable for the account of certain School Districts
and Community College Districts in Florida, under the
provisions of said School Capital Outlay Amendment.
A study of this proposal and the estimates of revenue
expected to accrue from the Motor Vehicle License Taxes,
indicate that the proposed Bonds and all other outstanding
bonds having a lien on the Motor Vehicle License Taxes are
fiscally sufficient and that the proposal will be executed
pursuant to the applicable provisions of law.
RECOMMENDATION: It is recommended that the Board approve
the fiscal sufficiency of the proposal outlined above.
(Att. #3)
4. INTEREST RATE EXCEPTION PURSUANT TO SECTION 215.84, F.S.:
The Bayside Improvement Community Development District (the
"District") has submitted a request for approval of an
interest rate exception on the issuance of Not to Exceed
$10,000,000 Bayside Improvement Development District Bond
Anticipation Notes, Series 1995A and Not to Exceed
$3,000,000 Bayside Improvement Development District Taxable
Bond Anticipation Notes, Series 1995B (collectively, the
"Notes.")
The proceeds of the Notes will be used to finance the cost
of acquiring, constructing and equipping assessable
improvements within the District (the "1995 Project"), which
is located in Lee County, Florida, in anticipation of the
issuance, sale and delivery of long-term Capital Improvement
Revenue Bonds. The Notes will be payable from and secured
by the proceeds of the Bonds, when, and if issued, and will
also be secured equally and ratably by a first lien upon and
pledge of special assessments levied on property benefitted
by the 1995 Project. Neither the Notes nor the interest and
premium, if any, payable thereon shall constitute a general
obligation or general indebtedness of the District within
the meaning of the Constitution and laws of the State of
Florida. The Notes and the interest and premium, if any,
payable thereon shall not constitute a pledge of the full
faith and credit of the District or a lien upon any property
of the District other than as
AGENDA
November 29, 1995
Page Four
provided in the Trust Indenture pursuant to which the Notes
will be issued.
The Notes are expected to be sold only to qualified
institutional buyers. The interest rate on the Notes shall
not exceed 8.75 percent per annum. The maximum interest
rate for the month of November 1995 is 7.26 percent. The
Notes shall not be sold to the general public.
RECOMMENDATION: The Executive Director recommends that the
Board approve an interest rate exception on the Notes
described hereinabove and authorize an interest rate Not to
Exceed 8.75 percent per annum. This authorization is to in
no way be construed as an approval or recommendation of the
issue by the State Board of Administration. In granting
this interest rate exception, the State Board of
Administration has relied upon certain information provided
by the Bayside Improvement Community Development District.
The State Board of Administration
has not independently verified and does not intend to
independently verify any of this furnished information. The
State Board of Administration does not assume any
responsibility for, and makes no warranty (expressed or
implied) with respect to, the accuracy or completeness of
said information. (Att. #4)
5. INTEREST RATE EXCEPTION PURSUANT TO SECTION 215.84, F.S.:
The Eastlake Oaks Community Development District (the
"District") has submitted a request for approval of an
interest rate exception on the issuance of Not to Exceed
$8,050,000 Eastlake Oaks Community Development District
Special Assessment Revenue Bonds, Series 1996 (the "Bonds.")
The proceeds of the Bonds will be used to finance various
infrastructure improvements within the District (located in
Pinellas County, Florida) including master stormwater
management systems and roadways (the "Project"); to fund a
debt service reserve fund; to capitalize a portion of the
interest accruing on the Bonds and to pay the costs of
issuing the Bonds. The Bonds shall be limited obligations of
the District payable solely out of amounts pledged therefor
under the Trust Indenture. Neither the Bonds nor the
interest and premium, if any, payable thereon shall
constitute a general obligation or general indebtedness of
the District within the meaning of the Constitution and laws
of the State of Florida. The Bonds and the interest and
premium, if any, payable thereon shall not constitute a
pledge of the full faith and credit of the District or a
lien upon any property of the District other than as
provided in the Trust Indenture.
AGENDA
November 29, 1995
Page Five
It is anticipated the Bonds will be purchased by Prager,
McCarthy & Sealy (the "Underwriter") and resold solely to
accredited investors within the meaning of Chapters 517 and
189 of the Florida Statutes. The interest rate on the Bonds
shall not exceed 8.50 percent per annum. The maximum
interest rate for the month of November 1995 is 7.26
percent. The Bonds shall not be sold to the general public.
RECOMMENDATION: The Executive Director recommends that the
Board approve an interest rate exception on the Bonds
described hereinabove and authorize an interest rate Not to
Exceed 8.50 percent per annum. This authorization is to in
no way be construed as an approval or recommendation of the
issue by the State Board of Administration. In granting
this interest rate exception, the State Board of
Administration has relied upon certain information provided
by the Eastlake Oaks Community Development District. The
State Board of Administration has not independently verified
and does not intend to independently verify any of this
furnished information. The State Board of Administration
does not assume any responsibility for, and makes no
warranty (expressed or implied) with respect to, the
accuracy or completeness of said information. (Att. #5)
6. INTEREST RATE EXCEPTION PURSUANT TO SECTION 215.84, F.S.:
The Housing Authority of the City of Tampa, Florida (the
"Authority"), has submitted a request for authority to issue
bonds at an interest rate in excess of the maximum for Not
to Exceed $11,500,000 Housing Authority of the City of
Tampa, Florida Multi-Family Housing Revenue Bonds, Series
1995 (Tampa Housing Development Corp. Projects) (the
"Bonds.")
The proceeds of the Bonds will be loaned to the Tampa
Housing Development Corp., a Florida not for profit
corporation (the "Company"), or a wholly owned non-profit
subsidiary of the Company to (I) finance or refinance the
acquisition of certain real property, (ii) finance the cost
of the renovation of certain existing multi-family apartment
buildings to be used to provide housing for low income
families (the "Projects"), and (iii) finance certain costs
of issuance associated with the Bonds. The Bonds will be
issued, secured and structured in accordance with the Trust
Indenture. The Bonds will be special and limited
obligations of the Authority, payable solely from the funds
and revenues of the Authority pledged for their payment
under the Trust Indenture. The Bonds will not otherwise be
a debt or liability of the Authority, the State of Florida,
or of any other political subdivision thereof, and the
payment of such Bonds will not be secured by a pledge of the
full faith and credit of the State of Florida or of any
other political subdivision thereof, or the taxing power of
the State of Florida or any other political subdivision
thereof.
AGENDA
November 29, 1995
Page Six
The Bonds are expected to be sold via negotiated sale to
Miller & Schroeder Financial, Inc. (the "Underwriter") and
resold in minimum denominations of $100,000 by the
Underwriter to sophisticated investors. The net interest
rate on the Bonds shall not exceed 10.00 percent per annum.
The maximum interest rate for the month of November 1995 is
7.26 percent.
RECOMMENDATION: The Executive Director recommends that the
Board approve an interest rate exception on the Bonds
described hereinabove and authorize an interest rate Not to
Exceed 10.00 percent per annum. This authorization is to in
no way be construed as an approval or recommendation of the
issue by the State Board of Administration. In granting
this interest rate exception, the State Board of
Administration has relied upon certain information provided
by the Housing Authority of the City of Tampa, Florida. The
State Board of Administration has not independently verified
and does not intend to independently verify any of this
furnished information. The State Board of Administration
does not assume any responsibility for, and makes no
warranty (expressed or implied) with respect to, the
accuracy or completeness of said information. (Att. #6)
REPORTS BY THE EXECUTIVE DIRECTOR:
7. A. Submitted for information and review are the
investment performance and fund balance analysis for
the month of October 1995. (Att. #7-A)
B. Submitted for information and review is the bank
designation report for the month of November 1995.
(Att.#7-B)
8. INTEREST RATE EXCEPTION PURSUANT TO SECTION 215.84, F.S.,
AND APPROVAL OF NEGOTIATED SALE PURSUANT TO SECTION 159.613,
F.S.:
The Orange County Housing Finance Authority (the
“Authority”) has submitted a request for authority to issue
bonds at an interest rate in excess of the maximum for Not
to Exceed $10,700,000 Orange County Housing Finance
Authority Multifamily Mortgage Revenue Refunding Bonds, 1995
Series (Casselberry-Oxford Associates Project) (the
“Bonds.”)
The proceeds of the Bonds will be used to finance the
redemption of the Authority’s $10,700,000 Multifamily
Mortgage Revenue Refunding Bonds, 1989 Series B(Casselberry-
Oxford Associates Project). The Bonds shall be limited
obligations of the authority payable solely out of amounts
pledged therefor under the Trust Indenture.
AGENDA
December 12, 1995
Page Seven
A commitment to purchase the Bonds has been received from
the American Tax Exempt Bond Trust. The Bonds will bear
interest at a fixed “Base Rate” of 9.00 percent per annum.
Additional amounts of interest, referred to as “Contingent
Interest” will also be payable, but only if certain
additional revenues are realized on the project to cover
such additional amounts of interest. The maximum average
net interest cost rate at which the Authority is requesting
approval to sell the Bonds is 9.00 percent per annum, with
any increase in such rate after issuance of the Bonds
calculated in the manner and to the extent provided for in
the Trust Indenture. The maximum interest rate for the
month of December 1995 is 7.04 percent.
RECOMMENDATION: The Executive Director recommends that
the Board approve the negotiated sale of the Bonds described
hereinabove and authorize an interest rate Not to Exceed
9.00 percent per annum. This authorization is to in no way
be construed as an approval or recommendation of the issue
by the State Board of Administration. In granting this
interest rate exception, the State Board of Administration
has relied upon certain information provided by the Orange
County Housing Finance Authority. The State Board of
Administration has not independently verified and does not
intend to independently verify any of this furnished
information. The State Board of Administration does not
assume any responsibility for, and makes no warranty
(expressed or implied) with respect to, the accuracy or
completeness of said information. (Att. #8)
