|
|
Cabinet
Affairs |
MEMORANDUM
TO: Mr. Danny Fuchs, Office of the Governor
Ms. DeeDee Rasmussen, Office of the Treasurer
Mr. Jimmie Henry, Office of the Comptroller
Ms. Pat Smith, Office of the Comptroller
FROM: Tom Herndon
DATE: May 20, 1997
SUBJECT: SBA Agenda - May 28, 1997
Please replace pages one and two previously sent to you with
the attached corrected pages wherein Item No. 2, paragraphs two
through five have been changed. Also Item 3(4) on page three
has been removed because the Fund does not intend to request that
the resolution be adopted at this meeting; corrected page three
is attached. (Item 3(5) has been renumbered to Item 3(4).)
If additional information is required, please advise.
TH/Ybw
Attachment
c: Agenda Distribution
AGENDA
MEETING OF THE
STATE BOARD OF ADMINISTRATION
(Contact Person: Dorothy Westwood - 488-4406)
THE CAPITOL
May 28, 1997
1. Approval of minutes of meeting held on May 13, 1997. (Att.
#1)
2. INTEREST RATE EXCEPTION PURSUANT TO SECTION 215.84, F.S.,
AND APPROVAL OF NEGOTIATED SALE PURSUANT TO SECTION 159.613, F.S.:
The Housing Finance Authority of Polk County, Florida, (the
"Authority"), proposes to issue Not Exceeding $9,350,000
Housing Finance Authority of Polk County, Florida Multifamily
Housing Refunding Revenue Bonds, Series 1997A, and Not Exceeding
$2,184,000 Housing Finance Authority of Polk County, Florida Multifamily
Housing Subordinate Revenue Refunding Bond, Series 1997B (the
"Series B Bond") and Not Exceeding $2,141,000 Housing
Finance Authority of Polk County, Florida Multifamily Housing
Junior Subordinate Revenue Refunding Bond, Series 1997C (the "Series
C Bond.")
The Authority has submitted a request for authority to issue
the Series B Bond and Series C Bond (collectively, the "Bonds")
at an interest rate in excess of the maximum and approval of a
negotiated sale for the Bonds.
The Bonds are being issued for the purpose of financing the
current refunding and redemption of the Authority's Multifamily
Housing Revenue Bonds, Series 1985 (the "1985 Bonds.")
The 1985 Bonds were issued by the Authority to provide financing
to Crow Winter Oaks Partners, Ltd., now known as Winter Oaks Partners,
Ltd., (L.P) (the "Borrower") for the acquisition, rehabilitation
and renovation of a 460-unit multifamily rental housing facility
for persons or families of moderate, middle and lesser income,
located in Winter Haven, Florida (Winter Oaks Apartment Project)
(the "Project.") The Series B Bond will be a limited
obligation of the Authority payable solely from amounts paid by
the Borrower under the Subordinate Financing Agreement among
the Authority, the Borrower and the indenture trustee for the
Series B Bond and a subordinate mortgage on the Project. The
Series C Bond will be a limited obligation of the Authority payable
solely from amounts paid by the Borrower under the Junior Subordinate
Financing Agreement among the Authority, the Borrower and the
indenture trustee for the Series C Bond and amounts realized under
a pledge agreement from the limited partners of the Borrower.
The Bonds shall be privately placed with sophisticated investors and the transfer
of the Bonds shall be restricted to sophisticated investors. The initial interest rate on the Series B Bond shall not exceed 7.50 percent per annum. The interest
AGENDA
May 28, 1997
Page Two
rate on the Series C Bond shall not exceed 10.00 percent per
annum. The maximum interest rate for the month of May 1997 is
8.87 percent. The Authority intends to sell the Bonds in June
1997. Although the proposed rate of interest on the Series B
Bond does not exceed the maximum interest rate in effect for May
1997, the Authority is requesting an authorization at 7.50% to
ensure they will be authorized to sell the Bonds in the event
that the maximum rate for June 1997 drops below 7.50%.
RECOMMENDATION: The Executive Director recommends that the
Board approve the negotiated sale of the Bonds describe hereinabove
and authorize an initial interest rate Not Exceeding 7.50 percent
per annum for the Series B Bond and Not Exceeding 10.00 percent
per annum for the Series C Bond. This authorization is to in no
way be construed as an approval or recommendation of these issues
by the State Board of Administration. In granting this approval
of negotiated sale and interest rate exception, the State Board
of Administration has relied upon certain information provided
by the Housing Finance Authority of Polk County, 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. #2)
3. THE FLORIDA HURRICANE CATASTROPHE FUND REQUESTS THE TRUSTEES
APPROVAL ON THE FOLLOWING ITEMS:
(1) The Florida Hurricane Catastrophe Fund requests that the Trustees approve filing four rules for adoption, pursuant to Section 120.54, Florida Statutes. These are the rules applicable to the 1997-1998 contract year. Rule 19-8.010 is amended to adopt the 1997-1998 Reimbursement Contract. Rule 19-8.021 provides the definitions applicable to the 1997-1998 contract year. Rule 19-8.022 incorporates and adopts the 1997 premium formula, pursuant to Section 215.555(5)(b). Rule 19-8.023 incorporates insurer reporting requirements, particularly the 1997 exposure reporting requirements, pursuant to Section 215.555(5)(c). The Advisory Council approved
these rules for filing for notice at its meeting on March 19, 1997, and the Trustees approved filing for notice on April 15, 1997. The rule
hearing was held on May 21, 1997, and the Advisory Council
approved filing the rules for adoption at its meeting on May 22,
1997.
(2) The Florida Hurricane Catastrophe Fund requests that the Trustees approve filing proposed new rule 19-8.013 regarding bonding for
AGENDA
May 28, 1997
Page Three
notice. The workshop on this rule was conducted on May 21,
1997, and the Advisory Council approved filing the rule for notice
at its meeting on May 22, 1997.
(3) The Florida Hurricane Catastrophe Fund requests permission to provide an up-date of the FHCF's bonding activities, including the progress of its contract with its Financial Advisor; the progress of the
validation process; and a discussion of issuing bonds on a
pre-event basis. The FHCF will have a recommendation regarding
the issuance of bonds on a pre-event basis.
(4) The Florida Hurricane Catastrophe Fund requests that the
Trustees appoint Dr. Jack Nicholson as Chair of the Florida Commission
on Hurricane Loss Projection Methodology for the 1997-1998 fiscal
year. Dr. Nicholson has chaired the Commission since its creation
in 1995.
4. SBA BUDGET FOR FISCAL YEAR 1997-1998:
The Executive Director recommends approval of a proposed Operating
Budget for fiscal year 1997-1998. (Back-up will be furnished
prior to the meeting.)
5. REPORT OF THE INVESTMENT ADVISORY COUNCIL (IAC) AND RECOMMENDATIONS
OF THE SBBA STAFF ON TOBACCO DIVESTITURE. (Back-up will be furnished
prior to the meeting.)
6. REPORTS BY THE EXECUTIVE DIRECTOR:
Submitted for information and review are the investment performance
and fund balance analysis for the month of April 1997. (Att.
#6)
MEMORANDUM
TO: Mr. Danny Fuchs, Office of the Governor
Ms. DeeDee Rasmussen, Office of the Treasurer
Mr. Jimmie Henry, Office of the Comptroller
Ms. Pat Smith, Office of the Comptroller
FROM: Tom Herndon
DATE: May 22, 1997
SUBJECT: SBA Agenda - May 28, 1997
Please replace page three previously sent to you with the attached
corrected page wherein Item No. 3(4) has been removed.
If additional information is required, please advise.
TH/Ybw
Attachment
c: Agenda Distribution
AGENDA
May 28, 1997
Page Three
notice. The workshop on this rule was conducted on May 21,
1997, and the Advisory Council approved filing the rule for notice
at its meeting on May 22, 1997.
validation process; and a discussion of issuing bonds on a
pre-event basis. The FHCF will have a recommendation regarding
the issuance of bonds on a pre-event basis.
The Executive Director recommends approval of a proposed Operating
Budget for fiscal year 1997-1998. (Back-up will be furnished
prior to the meeting.)
6. REPORTS BY THE EXECUTIVE DIRECTOR:
Submitted for information and review are the investment performance
and fund balance analysis for the month of April 1997. (Att.
#6)