AGENDA

MEETING OF THE

 STATE BOARD OF ADMINISTRATION

(Contact Person:  Dorothy Westwood – (850) 488-4406)

THE CAPITOL

TALLAHASSEE, FLORIDA

February 25, 2003

1.         AAPPROVAL OF MINUTES FROM THE MEETING ON FE FEBRUARY 11, 2003.

(Att. #1)

(ACTION REQUIRED)

2.         APPROVAL OF FISCAL SUFFICIENCY OF AN AMOUNT NOT EXCEEDING $510,000,000 STATE OF FLORIDA, DEPARTMENT OF TRANSPORTATION TURNPIKE REVENUE REFUNDING BONDS, SERIES 2003A:

(ACTION REQUIRED)

The Division of Bond Finance of the State Board of Administration (the Division), on behalf of the State of Florida Department of Transportation, has submitted for approval as to fiscal sufficiency a proposal to issue an amount not exceeding $510,000,000 State of Florida, Department of Transportation Turnpike Revenue Refunding Bonds, Series 2003A (the Bonds) for the purpose of refunding a portion of the outstanding Series 1993A bonds.  The Bonds will be issued pursuant to the Original Resolution adopted on October 25, 1988, as amended and restated on December 8, 1998, and a supplemental resolution anticipated to be adopted by the Governor and Cabinet on February 25, 2003 authorizing the issuance and sale of the Bonds.

The Division, on behalf of the Department of Transportation, has heretofore issued Turnpike Revenue and Revenue Refunding Bonds, Series 1992A through 2000B (the Outstanding Bonds) of which a combined total of $1,732,530,000 in principal amount was outstanding and unpaid on January 31, 2003.  The Bonds shall be payable on a parity and rank equally as to lien on and source and security for payment from the pledged revenues and in all other respects, with the Outstanding Bonds.  The Bonds shall not be secured by a pledge of the full faith and credit or the taxing power of the State of Florida or any political subdivision thereof.

RECOMMENDATION: A study of this proposal and the estimates of revenue expected to accrue indicate that the proposed Bonds are fiscally sufficient and that the proposal will be executed pursuant to the applicable provisions of law. It is recommended that the Board approve the fiscal sufficiency of the proposal outlined above. (Att. #2)

SBA AGENDA

February 25, 2003

            Page two

3.         APPROVAL OF FISCAL SUFFICIENCY OF AN AMOUNT NOT EXCEEDING $85,000,000 STATE OF FLORIDA, DEPARTMENT OF ENVIRONMENTAL PROTECTION SAVE OUR COAST REFUNDING REVENUE BONDS, SERIES 2003A:

(ACTION REQUIRED)

The Division of Bond Finance of the State Board of Administration (the Division), on behalf of the State of Florida Department of Environmental Protection of Florida, has submitted for approval as to fiscal sufficiency a proposal to issue an amount not exceeding $85,000,000 State of Florida, Department of Environmental Protection Save Our Coast Refunding Revenue Bonds, Series 2003A (the Bonds) for the purpose of refunding a portion of the outstanding Save Our Coast Refunding Revenue Bonds, Series 1993A.  The Bonds will be issued pursuant to the Authorizing Resolution adopted by the Governor and Cabinet on May 4, 1982, as amended and supplemented from time to time, and as supplemented by resolution anticipated to be adopted by the Governor and Cabinet on February 25, 2003 authorizing the issuance and sale of the Bonds.

The Division, on behalf of the Department of Environmental Protection, has heretofore issued Save Our Coast Refunding Revenue Bonds, Series 1993A and 1998A (the Outstanding Bonds) of which a combined total of $158,140,000 in principal amount was outstanding and unpaid on January 31, 2003.  The proposed Bonds shall be issued on parity with the Outstanding Bonds as to source and security for payment.  The Bonds shall not be secured by a pledge of the full faith and credit or the taxing power of the State of Florida or any political subdivision thereof.

The estimate of funds pledged to the Bonds indicates that sufficient monies can be pledged to exceed the debt service requirements of the proposed issue and that in no State fiscal year will the monies pledged for the debt service requirement of the proposed issue be less than the required coverage amount.

RECOMMENDATION:  It is recommended that the Board approve the fiscal sufficiency of the proposal outlined above.   (Att. #3)

SBA AGENDA

February 25, 2003

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4.         APPROVAL OF FISCAL SUFFICIENCY OF AN AMOUNT NOT EXCEEDING $58,000,000 STATE OF FLORIDA, FLORIDA EDUCATION SYSTEM, UNIVERSITY SYSTEM IMPROVEMENT REVENUE REFUNDING BONDS, SERIES 2003:

(ACTION REQUIRED)

The Division of Bond Finance of the State Board of Administration (the Division), on behalf the State Board of Education and the Florida Board of Governors, has submitted for approval as to fiscal sufficiency a proposal to issue an amount not exceeding $58,000,000 State of Florida, Florida Education System, University System Improvement Revenue Refunding Bonds, Series 2003 (the Bonds), for the purpose of refunding all or a portion of the outstanding Series 1993 Bonds.  It is anticipated that the Governor and Cabinet will adopt the authorizing and sale resolutions on February 25, 2003 authorizing the issuance and sale of the Bonds.

The Division, on behalf of the Florida Board of Regents and the Florida Board of Education, has heretofore issued University System Improvement Revenue Bonds and Certificates, and Revenue Refunding Bonds, Series 1991 through 2001 (the Outstanding Bonds) of which a combined total of $211,910,000 in principal amount was outstanding and unpaid on January 31, 2003.  The Bonds shall be payable on a parity and rank equally as to lien on and source and security for payment from the pledged revenues and in all other respects, with the Outstanding Bonds.  The Bonds shall not be secured by a pledge of the full faith and credit or the taxing power of the State of Florida or any political subdivision thereof.

A study of this proposal and the estimates of revenue expected to accrue from the Pledged Revenues indicate that the proposed Bonds 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. #4)

5.         APPROVAL OF FISCAL DETERMINATION OF AN AMOUNT NOT EXCEEDING $9,500,000 TAX EXEMPT FLORIDA HOUSING FINANCE CORPORATION MULTIFAMILY MORTGAGE REVENUE BONDS, 2003 SERIES (SERIES TO BE DESIGNATED) (ANDREWS PLACE APARTMENTS):

(ACTION REQUIRED)

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a  proposal  to  issue an  amount  not exceeding $9,500,000 Tax Exempt

FSBA AGENDA

February 25, 2003

Page four

Florida Housing Finance Corporation Multifamily Mortgage Revenue Bonds, 2003 Series (series to be designated) (the Bonds) for the purpose of financing the construction and equipping of a multifamily residential rental development located in Bay County, Florida (Andrews Place 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. #5)

6.      APPROVAL OF FISCAL DETERMINATION OF AN AMOUNT NOT EXCEEDING $9,000,000 TAX EXEMPT FLORIDA HOUSING FINANCE CORPORATION MULTIFAMILY MORTGAGE REVENUE BONDS, 2003 SERIES (SERIES TO BE DESIGNATED) (HUNTERS RUN PHASE II APARTMENTS):

(ACTION REQUIRED)

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue an amount not exceeding $9,000,000 Tax Exempt Florida Housing Finance Corporation Multifamily Mortgage Revenue Bonds, 2003 Series   (series  to  be  designated)  (the  Bonds)  for  the  purpose  of  financing  the

SBA AGENDA

February 25, 2003

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construction and equipping of a multifamily residential rental development located in Hillsborough County, Florida (Hunters Run Phase II 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. #6)

7.         APPROVAL OF FISCAL DETERMINATION OF AN AMOUNT NOT EXCEEDING $7,560,000 TAX EXEMPT FLORIDA HOUSING FINANCE CORPORATION MULTIFAMILY MORTGAGE REVENUE BONDS, 2003 SERIES (SERIES TO BE DESIGNATED) (HEATHER GLENN APARTMENTS):

(ACTION REQUIRED)

The Florida Housing Finance Corporation has submitted for approval as to fiscal determination a proposal to issue an amount not exceeding $7,560,000 Tax Exempt Florida Housing Finance Corporation Multifamily Mortgage Revenue Bonds, 2003 Series (series to be designated) (the Bonds) for the purpose of financing the construction and equipping of a multifamily residential rental development located in Okaloosa County, Florida (Heather Glenn Apartments).

SBA AGENDA

February 25, 2003

PagePage six

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. #7)

8.         LAWTON CHILES ENDOWMENT FUND: PROPOSED CHANGES TO TOTAL FUND INVESTMENT PLAN

(ACTION REQUIRED)

A review of the Lawton Chiles Total Fund Investment Plan (TFIP) has been completed. The study, which began in October 2002, is the first full-scale re-examination of the TFIP since the Endowment was created in 1999. The principal work was done by Prof. Moshe Milevsky, consultant to the Board, and augmented by SBA staff. The broad recommendation to alter the payout structure of the Endowment in order to preserve the principle was unanimously endorsed by the Investment Advisory Council.  (Att. #8 )