Item 3D: Resolution Authorizing EWEB Refunding Bonds

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F. EWEB has determined that substantial present value savings may be achieved by issuing refunding bonds for the purpose of refunding and defeasing the outstanding 1998 Bonds and Taxable 1998A Bonds, which may be called and redeemed as of August 1, 2008, without premium (the “Refunded 1998 Bonds”). G. EWEB has requested by resolution that the City Council adopt this Resolution in part to set the terms for the issuance of refunding bonds (the “Bonds”) in the aggregate principal amount of not to exceed $46,000,000, and §54 of Chapter 783 Oregon Laws 2007 (previously ORS 288.592) authorizes the issuance of the Bonds. H. The Bonds will not be general obligations of the City, nor a charge upon its tax revenues, but will be payable solely from revenues of the Electric Utility System which EWEB pledges to the payment of such Bonds pursuant to §46 of Chapter 783 Oregon Laws 2007 and the resolutions to be adopted by EWEB pursuant to this Resolution. I. EWEB has by resolution undertaken to cause to be prepared a plan showing that EWEB’s estimated Electric Utility System revenues are sufficient to pay the estimated debt service on the Bonds authorized by this Resolution. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, A MUNICIPAL CORPORATION OF THE STATE OF OREGON AS FOLLOWS: Section 1. Authorization of Bonds; Purpose of Issue. Based on the above findings, the City Council hereby authorizes EWEB, on behalf of the City, to issue and sell the Bonds designated as the “City of Eugene, Oregon Electric Utility System Revenue Refunding Bonds,” in one or more series, in the aggregate principal amount of not to exceed $46,000,000, for the purpose of refunding and defeasing the Refunded 1998 Bonds, funding any required reserves and costs of issuance (including obtaining any credit enhancement) and paying other costs related to the Bonds. Section 2. Conditions of Issuance and Sale. The City Council hereby prescribes that: (a)The Bonds of each series shall: (i) mature not later than thirty (30) years from the date of issuance of the series; (ii) be sold through public competitive sale and awarded to the bidder offering the most favorable terms to EWEB, on behalf of the City, or sold pursuant to negotiation at par or with a net original issue discount or premium that does not exceed seven percent (7%) of the aggregate principal amount thereof; and (iii) have an effective interest rate of not to exceed seven percent (7%) per annum; and (b)The proceeds of the Bonds shall be used only for the purposes above described. Section 3. Delegation of Authority for Terms of Bonds; Provisions for Issuance. Pursuant to §§48-49 of Chapter 783 Oregon Laws 2007, EWEB, or any individual designated by EWEB, is hereby authorized and directed to determine, with respect to the Bonds, the form of bond and series designation, the manner of disbursement of proceeds of the bonds, the maturity dates, principal amounts, redemption provisions, interest rates or the method for determining a 2 10862109.5