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HomeMy WebLinkAboutCC Res 1649 1968-03-18 . ' I RESOLUTION NUMBER 1649 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH, CALIFORNIA, DIRECTING THE CITY CLERK TO PtmLISH NOTICE INVITING BIDS FOR WATER REVENUE BONDS IN THE PRINCIPAL AMOUNT OF $700,000. WHEREAS, a resolution providing for the issuance of water revenue bonds of the City of Seal Beach, California, in the principal amount of $700,000 has been adopted by the City Council of said City; and I WHEREAS, it is desirable that said bonds be sold; NOW, THEREFORE, the City Council of the City of Seal Beach, California, does hereby resolve, determine, and order as follows: Section 1. That said bonds be sold and that sealed bids or proposals for the purchase of said bonds be received up to the time stated in the notice inviting bids hereinafter set forth. Section 2. The City Clerk is authorized and directed to cause said notice to be published once in the I ORANGE COAST DAILY PILOT, said publication to be at least seven days prior to the date set for receiving sealed proposals. Section 3. Said notice shall be substantially as follows: Resolution Number 1 l<<>TICE INVITING BIDS ON $700.000 WATER REVENUE BONDS OF THE CITY OF SEAL BEACH. CALIFORNIA. l<<>TICE IS HEREBY GIVEN that sealed proposals for the purchase of $700.000 par value water revenue bonds of the CITY OF SEAL BEACH, will be received by the City Council of said City at the place and up to the time below specified: I PLACE: 8:00 P.M. Monday, April 15. 1968 Pacific Standard Time Ci ty Hall 201 Eighth Street Seal Beach. California 90740 City Clerk City of Seal Beach 201 Eighth Street Seal Beach, California 90740 TIME: MAILED . BIDS : OPENING OF BIDS: The bids Will be opened at the meeting of said City Council to be held April 15, 1968. at 8:00 P.M. o'clock at the City Hall of said City. ISSUE: $700.000 designated "CITY OF SEAL BEACH. 1968 WATER REVENUE BONDS, II consisting of 140 bonds. num- bered 1 to 140. both inclusive. of the denomination of $5.000 each. dated January 1. 1968. 1 MATURITIES: The bonds will mature in consecu- tive numerical order on January 1 in the amounts for each of the several years as follows: Resolution Number !!!!: Amount I 1970 $ 5,000 1971 5,000 1972 10,000 1973 10,000 1974 l5,OOO 1975 l5;000 1976 15,000 1977 15,000 1978 20,000 1979 20,000 1980 20,000 1981 20,000 1982 20,000 198~ 20,000 199 490,000 INTEREST: The bonds shall bear interest at a rate or rates to be fixed upon the sale thereof but not to exceed 6% per annum, payable semiannually. PAYMEl'ft': Said bonds and the interest thereon 1 w~ll be payable in lawful money of the Uhited States of America at the main office of the Bank of America N.T. & S.A. in Los Angeles, California, or San Francisco, California (or collectible through any of its branches in California) or, at the option of the holder, at any paying agent of the City in Chicago, Illinois, or in New York, N.Y. 1 REGISTRATION: The bonds will be coupon bonds registrable as to principal only or as to both principal and interest, and the form of registration may be changed, or the bonds discharged from registration, all in accord- ance with the proviSions in the resolution of the City Council providing for the issuance of the bonds, Resolution No. 1598, adopted September 18, 1967. REDEMPTION: The bonds maturing on or prior to January 1, 1983,' shall not be subject to call or redemp- tion prior to maturity. The bonds maturing on January 1, 2. Resolution Number 1 January 1, 1998 or any of them. may be called before maturity and redeemed at the option of the City Council of said City on J!l-nuary 1.1984. or on any'interest payment date there- after prior to maturity, at a redemption price for each redeemable bond equal to the principal amount thereof; plus a premium as set forth below if redeemed at the following times: I On or After Prior to Percentage JJanuary 1) JJanuary 1) of Principal 1984 1985 3-1/2% 1985 1986 3-1/4% 1986 198~ 3% 1987 198 2- 3/4% 1988 1989 2-1/2% 1989 1990 2-1/4% 1990 1991 2% 1991 1992 1-3/4% 1992 199~ 1-1/2% 1993 199 1-l/4% 1994 1995 l% 1995 1996 3/4% 1996 1997 1/2% 1997 1998 1/4% All or any of the bonds subject to call may be called for redemption at any one time. If less than all of the bonds are redeemed at any one time. such bonds shall be redeemed 'by lot. A sinking fund with compulsory redemption pro- visions far the term bonds maturing on January 1, 1998, has been established in the resolution of the City Council providing for the issuance of the bonds. 1 PURPOSE OF ISSUE: The bonds were authorized for the acquisition. construction and financing of additions to and extensions of the waterworks system of the City of Seal Beach. inclUding installation of additional storage facilities. wells. pumping stations. main pipe lines. inter- connection facilities and the acquisition of land and rights 3. Resolution Number ,~I of way. and including all engineering. inspection and legal fees. fiscal agent's fees, costs of the ~ssuance of the bonds. and bond reserve funds, and other costs and expenses inciden- tal to or connected with such acquisition. construction and financing. I SECURI'lY: Said bonds are issued pursuant to the Charter of the City of Seal'Beach. Chapter 4B of the Seal Beach City Code (Which incorporates certain procedures of the Revenue Bond Law of 1941. commencing with Govern- ment Code. Section 54300) and the resolution of the City Council providing for the issuance of the bonds. The bonds are equally secured by a pledge. charge and lien upon the gross revenues 'of the entire waterworks system of the City of Seal Beach together with all improvements and extensions of said system later constructed or ac- quired. except payments required to be made by the City pursuant to certain agreements as defined in the defintion of "gross revenues' of the enterprise" set forth in the resolution of the City Council providing for the issuance of the bonds. The principal of and interest on the bonds and any premi ums upon the redemption of any thereof prior to maturity are not a debt of the City of Seal Beach nor a legal or equitable pledge. charge. lien or encumbrance upon any of its property or upon any of its income. receipts or revenues, except the gross revenues of said waterworks system which are. under the terms of the resolution of the City oouncil providing for the issuance of the bonds. pledged to the payment of the principal of and interest on the bonds and any premiums upon the redemption of any thereof prior to maturity. The General Fund of the City of Seal I, 4. Resolution Number I Beach is not liable for the payment of the principal of and interest on the bonds, nor is the credit or the taxing power of the City pledged. The holders of the bonds or interest coupons shall not compel the exercise of the taxing power of the City of Seal Beach, or the forfeiture of any of its property. I TERMS OF SALE Interest Rate: The maximum rate bid may not exceed 6% per annum, payable semi-annually. Each rate bid must be a multiple of 1/20 of 1%. No bond shall bear more than one interest rate, and all bonds of the same maturity shall bear the same rate. Each bond must bear interest at the rate specified in the bid from its date to its fixed maturity date. Only one coupon will be attached to each bond for each installment of interest thereon, and bids providing for additional or supplemental coupons will be rejected. The rate on any maturity or group of maturities shall not be more than 2% higher than the interest rate on 'any other maturity or group of maturities. Award: The bonds shall be sold for cash only. All bids must be for not less than all of the bonds hereby offered for sale and each bid shall state that the bidder offers par and accrued interest to the date of delivery, the premium, if any, and the interest rate or rates at which the bidder offers to buy said bonds. Each bidder shall state in his bid the total net interest cost in dollars and the average net interest rate determined thereby, which shall be considered informative only and not a part of the bid. ~I Resolution Number Highest Bidder: The bonds will be awarded to the 1 highest responsible bidder or bidders considering the in- terest rate or rates specified and the premium offered, if any. The highest bid will be determined by deducting the amount of the premium bid, if any, from the total amount of interest which the city would be required to pay from the date of said bonds to the respective maturity dates thereof at the coupon rate or rates specified in the bid, and the award will be made on the basis of the lowest net interest cost to the City. The purchaser must pay accrued - interest from the date of the bonds to the date of delivery computed on a 360-day year basis. The cost of printing the bonds will be borne by the city. I Right of Rejection: The City reserves the right, in its discretion, to reject any and all bids and to the extent not prohibited by,law to waive any irregularity or informality in any b~d. Prompt Award: The City will take action awarding the bonds or rejecting all bids not later than twenty-six (26) hours after the time herein prescribed for the receipt of proposals; provided that the award may be made after the expiration of the specified time if the bidder shall not have given to the City Council notice in writing of the withdrawal of such proposal. 1 Place of Delivery: Delivery of said bonds will be made to the successful bidder at the main office of the Bank of America National Trust and Savings Association in Los Angeles, California, or at any other place mutually 6. Resolution NUmber I agreeable to the City and the successful bidder. Prompt Delivery; Cancellation for Late Delivery: It is expected that said bonds will be delivered to the suc- cessful bidder within 30 days from the date of sale thereof. The successful bidder shall have the right, at his option, to cancel the contract of purchase if the city shall fail to execute the bonds and tender them for delivery within 60 days from the date herein fixed for the receipt of bids, and in such event the successful bidder shall be entitled to the return of the check accompanying his bid. Form of Bid: Each bid, together with the bid check, must be in a sealed envelope, addressed to the city with the envelope and bid clearly marked "Proposal for City Seal Beach, 1968 Water Revenue Bonds." Bid Check: A certified or cashier's check on a responsible bank or trust company in the amount of $10,000 payable to the order of the city must accompany each proposal as a guaranty that the bidder, if successful, will accept and pay for said bonds in accordance with the terms of his bid. The check accompanying any accepted proposal shall be applied on the purchase price or, if such proposal is accepted but not performed, unless such failure of performance shall be caused by any act or omission of the city, shall then be cashed and the proceeds retained by the city. The check accompanying each unaccepted proposal will be returned promptly. Chan~e in Tax Exempt Status: At any time before the bonds are tendered for delivery, the successful bidder may disaffirm and withdraw the proposal if the interest received by private holders from bonds of the same type and I I Resolution Number . , I character shall be declared to be taxable income under present federal income tax laws, either by a ruling of the Internal Revenue Service or by a decision of any federal court, or shall be declared taxable by the terms of any federal income tax law enacted subsequent to the date of this notice. regal Opinion: The unqualified opinion of I O'Melveny & MYers, attorneys, approving the validity of said bonds will be furnished the successful bidder at or prior to the time of delivery of the bonds, at the expense of the city. A copy of such opinion, certified by an offioer of the city by his facsimile signature will be printed on the back of eaoh bond. No charge will be made to the pur- chaser for such printing or certification. No Litigation Certificate: At th~ time of payment for and delivery of said bonds, the city will furnish the successful bidder a certificate that there is no litigation pending affecting the validity of the bonds. INFORMATION AVAILABLE: Requests for information concerning the city should be addressed to: Stone & Youngberg Municipal Financing Consultants l314 Russ Building San Francisco, California 94104 GIVEN by order of the City Council of the City of Seal Beach, California, adopted Maroh 18, 1968. 1 ~:k~ City of Seal Beach, California. 8. I I 1 , " Resolution Numb~r , , ADOPTED, SIGNED AND APPROVED this 18th day of March , 19~. , ,r , . ~- - - , # , -. .. - 1\ , ..... " . ATTEST: c~~i ~~ of seal Beach , California. (SEAL) .~:...~:: . . : : :. ~ , ~, , 9. Resolution Number , . . , 1 STATE OF CALIFORNIA COUNTY OF ORANGE CITY OF 'SEAL BEACH ~, 'SSe I, a...t"P'~ . City Clerk ' of the City of ' Se~ach . . "California, DO HEREBY CElU'IFY that the roregoing resolution was duly adopted ' by the City Council of said city and was approved by the Mayor or said city at a -, , - res.uJ,ar meeting of said city Council held on the /k'-I:J.day of ~ . 19 68. and that it was so adopted as follows: AYES: councllmenOA?.6A4n> ~C.'-_H , _~AH"""J'2;"J.. ~'Io 4~#j". . I ~: Councilmen ~- Councilmen ~ ~~f~ or Seal Beach, Ca11rornia NOES: (SEAL ) 1 /1