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BAWA Resolution No. 2012-04 RESOLUTION NO. 2012-04 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN AREA WATER AUTHORITY APPROVING THE PRELIMINARY OFFICIAL STATEMENT; APPOINTING THE PAYING AGENT/REGISTRAR AND UNDERWRITERS; APPROVING OTHER MATTERS INCIDENTAL THERETO; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF. WHEREAS, the Board of Directors (the "Board") of Baytown Area Water Authority (the "Authority") desires to issue its Baytown Area Water Authority Water Supply Contract Revenue and Refunding Bonds, Series 2012 (City of Baytown Project) (the "Bonds") in an aggregate principal amount not to exceed $8,500,000 for the purposes of(i) refunding certain outstanding bonds of the Authority to achieve debt service savings, (ii) making, purchasing, constructing, leasing or otherwise acquiring, enlarging, expanding and modifying the Project (as defined in the Amended and Restated Water Supply Contract — Treated Water, as amended, entered into between the Authority and the City of Baytown, Texas) and (iii) paying the costs of issuing the Bonds; and WHEREAS, the Authority desires to approve the form and content of a preliminary official statement (the "Preliminary Official Statement") in anticipation of its issuance of the Bonds, appoint the paying agent/registrar for the Bonds (the "Paying Agent/Registrar") and appoint the underwriters for the Bonds (the"Underwriters");NOW, THEREFORE BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE BAYTOWN AREA WATER AUTHORITY: Section 1: The findings, definitions and recitations set out in the preamble to this resolution are found to be true and correct and are hereby adopted by Board and made a part hereof for all purposes. Section 2: The form and content of the Preliminary Official Statement for the Bonds, as presented to the Board at this meeting, is hereby approved, with such additions, corrections and revisions as may be necessary or appropriate and approved by the General Manager of the Authority or his designee, and the Preliminary Official Statement, with such additions, corrections and revisions, is deemed final within the meaning and for the purposes of paragraph (b)(1) of Rule 15c-2-12 of the Securities and Exchange Commission. The use of the Preliminary Official Statement in connection with the sale of the Bonds is hereby approved. Section 3: The Authority's financial advisor, First Southwest Company, and bond counsel, Bracewell & Giuliani LLP, are authorized and directed to proceed with the necessary arrangements for the sale of the Bonds in accordance with the aforesaid Preliminary Official Statement. Section 4: The Bank of New York Mellon Trust Company, N.A., is hereby appointed as Paying Agent/Registrar for the Bonds. Section 5: Coastal Securities, Inc., and Morgan Keegan & Company, Inc., are hereby appointed as Underwriters for the Bonds. Section 6: The President, Vice President and Secretary of the Board, the General Manager of the Authority, and other officers and agents of the Authority are hereby authorized and directed to do any and all things necessary or desirable to carry out the provisions of this resolution. Section 7: This resolution shall take effect immediately from and after its passage by the Board of Directors of the Baytown Area Water Authority, INTRODUCED, READ and PASSED, by the affirmative vote of the Board of Directors of the Baytown Area Water Authority this the I 5t" day of February, 2012. 1BItENW D A B LEY SMIT' iUD president AYFES v. LETICIA gRYSC,11" ss i-slarn Secretary APPROVED AS TO FORM: 4 M g4e el NACIO R?,4MlR (2012 NNI kef)C1.mdoc% 2