§ 3.11.130. Market Communication, Debt Administration and Reporting Requirements.

A.

Responsibilities — For purposes of this policy the General Manager/CEO delegates responsibility to the Assistant General Manager (AGM) or his/her successor in position and/or in title.

B.

Rating Agencies — The AGM shall be responsible for maintaining the District's relationships with Standard & Poor's Ratings Services, Fitch Ratings, and Moody's Investors Service, as appropriate. The District shall, from time to time, deal with one, two or all of these agencies as circumstances dictate. In addition to general communication, the AGM shall (1) strive to meet, (either in person or via phone) with credit analysts at least annually, as appropriate and (2) prior to each competitive or negotiated sale, offer conference calls or meeting(s) with rating analysts in connection with the planned sale.

C.

Observance of Debt Covenants — The AGM will periodically ensure that the District is in compliance with all legal covenants for each debt issue.

D.

Continuing Disclosure — The AGM will comply for all debt issued with Rule 15c2-12(b)(5) by required filing as covenanted in each debt issue's Continuing Disclosure Agreement. The AGM will maintain a calendar with the reporting deadlines and procedures for dissemination of annual reports and notices.

E.

Record Keeping — A copy of all debt-related records shall be retained at the District's offices or in an approved storage facility. To the extent possible, the District shall retain an electronic copy of each document, preferably in PDF or CD-ROM format. At minimum, these records shall include:

• Official Statements.

• Bid documents.

• Bond documents/transcripts.

• Board Resolutions.

• Trustee statements.

• Leases.

• Title reports/appraisals for each financing (to the extent available).

• Board Minutes.

• Newspaper ads and miscellaneous correspondence.

• Investment records.

• Expenditure histories.

• Invoices.

• IRS Filings.

• Records related to investment agreements/interest rate swaps.

• Payments for credit facilities.

• Arbitrage rebate and yield restriction compliance reports.

F.

Arbitrage Rebate — The District will comply with the administratively adopted policies and procedures regarding tax-exempt financings and tax-exempt financed property, as well as the tax and arbitrage certifications associated with each issue.

G.

Internal Controls for Use of Proceeds—To ensure that the proceeds of debt issuances are used in accordance with the intended uses, staff will perform annual procedures as outlined in the District's Post-Issuance Compliance Manual.

H.

California Debt and Investment Advisory Commission (CDIAC) Filings—The District will comply with required CDIAC rules and regulations and applicable filings including, but not limited to, the Annual Debt Transparency Report and the Marks-Roos Yearly Fiscal Status Report. The District shall also comply with Government Code Section 5852.1 by disclosing specified good faith estimates in a public meeting prior to the authorization of the issuance of debt.

I.

Policy Review — This policy should be reviewed on a biennial basis by the Finance Committee and adopted by the Board.

( Policy No. 8.5, 10-14-2014 ; Res. No. 2016-10-3 , § 1(Exh. A), 10-25-16; Res. No. 2018-8-3 , § 1(Exh. A, § 13), 8-28-2018)