Tab_H-1July 15, 2010
1Zo,eme~13 Couununity Developliclit Colnnli„1oll
1~~„~~mea~l. C<111loriiia
Re: Rosemead Community Development Commission (Los Angeles County, California)
Rosemead Merged Project Area Tax Allocation Bonds, Series 2010A
(Final Opinion)
Ladies and Gentlemen:
We have acted as bond counsel to and in connection with the issuance by the Rosemead
Community Development Commission (the "Commission") of $11,230,000 aggregate principal
amount of bonds designated Rosemead Community Development Commission (Los Angeles
County, California) the Rosemead Merged Project Area Tax Allocation Bonds, Series 2010A
Series 2010A (the `Bonds"), issued pursuant to the provisions of the Community Redevelopment
Lace of the State of California (being Part I of Division 24 of the Health and Safety Code of the
State of California), as amended, and a Indenture, dated as of June 1. 2010 (the "Indenture"), by
and between the Commission and U.S. Bank National Association, as trustee (the "Trustee").
Capitalized terms not otherwise defined herein shall have the meanings ascribed thereto in the
Indenture.
In such connection, we have reviewed the Indenture, the Tax Certificate of the
Commission, dated the date hereof (the "Tax Ce1°ti(ic~lte") ol~Mioas of counsel t,) the
Comn]I„1«n. the Trustee, certificates of the Commission, the TTLil tcc. and others, and shell other
clc~ctII icnt`'s, opinions and niauel', fl) the cstcnt we deemed nec ~s,ary to render the opiiduns yet
i~~~rli herein.
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clisAtllll anv c~1~li~~tti~,11 to uI)dLitc this letter. c lla~ c Assumed [11C 1ctluiI1cncss ~,1 ~tll (1~,clnlt~n~
alld siIJnatures hlcscIItcd to us ivvhctI I cr as 01,i1-1inals or as copies} and the dui Land Ic,-,ltI cyccLition
anal dI llvcly tlhcrcofby, and tialidit~ a~aitlsL Lim parties other than the ConimissWa. c h~l o
assumed, ~,,ithout undertaking to Ncn1,y, the accuracy of the factual matters represcrttcd,
vcau-rauted or certified in the documents, and of the legal conclusions contained in the opinions,
referred to in the second paragraph hereof. Furthermore, we have assumed compliance with all
covenants and agreements contained in the Indenture and the Tax Certificate including (without
limitation) covenants and agreements compliance with which is necessary to assure that future
actions, omissions or events will not cause interest on the Bonds to be included in gross income
for federal income tax purposes. In addition, we call attention to the fact that the rights and
obligations under the Bonds, the Indenture and the Tax Certificate and their enforceability may
be subject to bankruptcy, insolvency, reorganization, arrangement, fraudulent conveyance,
moratorium and other laws relating to or affecting creditors' rights, to the application of
equitable principles, to the exercise of judicial discretion in appropriate cases and to the
limitations on legal remedies against redevelopment agencies in the State of California. We
express no opinion with respect to any indemnification, contribution, penalty, choice of law,
choice of forum or waiver provisions contained in the foregoing documents. Finally, we
undertake no responsibility for the accuracy, completeness or fairness of the Official Statement
or other offering material relating to the Bonds and express no opinion with respect thereto.
Based on and subject to the foregoing, and in reliance thereon, as of the date hereof, we
are of the following opinions:
1. The Borg Is constitute valid and binding limited obligations of the Coilmlission.
~1hc Illa(cnturc llas i,ccn cluly executed and delivered h~. anal con~titutcs the valid
and hindin~ ~~Z,li~~~lti~,n o!. the (olllmission l the Indentul-c crc~ltcs It v'III'l hlcdL'c. to >cetlrc the
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the StLitc of Califonili i or any of its p()litiCdI suh~li~ isir~ns. arnl neither sail ~it~. said nor
'IM 01 11s political suh~liv isi~ms is liable thcrcf'Or, nor in amp ev cnt shall ti c 13uil~ls he lrl~ ahlc out
Of am I'un.ds or properties other than those of the Coauuiss,1011.
4. Interest on the Bonds is excluded from gross income for federal income tax
purposes under Section 103 of the Internal Revenue Code of 1986 and is exempt from State of
California personal income taxes. Interest on the Bonds is not a specific prcl'crence item for
purposes of the federal individual and corporate alternative minimum taxes, nor is it included in
adjusted current earnings when calculating corporate alternative minimum taxable income.
Pursuant to the Tax Certificate, the Commission has designated the Bonds as a "qualified tax-
exempt obligation" within the meaning of Section 265(b)(3) of the Code. We express no opinion
regarding other tax consequences related to the ownership or disposition of, or the accrual or
receipt of interest on, the Bonds.
Faithfully yours,
ORRICK, HERRINGTON & SUTCLIFFE LLP
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