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HomeMy WebLinkAboutCC Res 1238 1963-06-17 I I I 3/63-1 RESOLUTION NO. /25' t:.. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH , CALIFORNIA, DIRECTING THE CITY CLERK TO PUBLISH NOTICE INVITING SEALED PROPOSALS FOR BONDS OF SAID CITY WHEREAS, an ordinance providing for the 1ssuance of bonds of the City of the amount of $ 750,000 Seal Beach , California, in to be designated "WATER BONDS, 1963" has been introduced; and 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 hereinafter set forth. Section 2. That the C1ty Clerk be and is hereby authorized and directed to publish said notice once in SEAL BEACH POST & WAVE , a newspaper of general circulation published in said city, said publica- tion to be at least seven days prior to the date for receiving b1ds. Section 3. That said notice shall be substantially as follows: Resolut10n Number 3/63-1 I NOTICE INVITING BIDS ON $ 750,000 GENERAL OBLIGATION BONDS OF THE CI'1Y OF SEAL BEACH , CALIFORNIA NOTICE IS HEREBY GIVEN that sealed proposals for the purchase of $ 750,000 par value general obligation bonds of the CI'1Y OF SEAL BEACH will be received by the City Council of Baid city at the II place and up to the time below specified. TIME: 8:00 o'clock P.M. California Daylight Saving Time July 15, 1963 Council Chambers, City Hall 201 - 8th Street Seal Beach, California PLACE: MAILED BIDS: Mailed bids should be addressed to F. W. Hickman, City Clerk City of Seal Beach, at the above mentioned address. OPENING OF BIDS: The bids will be opened at the meeting of said City Council to be held July 15 , 1963, at 8:000'c1ock P.M. at the City Hall of said city. I ISSUE: $ 750,000 bonds, numbered 1 to 750 consisting of seven hundred fifty , both inclusive, of the denomination of $1,000 each, all dated August 1 , 19 63 and to be designated "WATER BONDS, 1963". 2 Reso1ut10n Number , 3/63-2 I MATURITIES: The bonds will mature in consecutive numerical order on August 1 in the amounts for each of the .everal years as follows: $15,000 in each of the years 1965 to 1970, inclusive, and $20,000 1n each of the years 1971 to 2003, inclusive. I 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 annually the first year and semiannually thereafter. PAYMENT: Said bonds and the interest thereon will be payable in lawful money of the United States of America at the United California Bank, Seal Beach, California, or, at the option of the holder, at any paying agent of the City in I Chicago, Illinois, or in New York, New York. REGISTRATION: The bonds will be coupon bonds registrable only as to both principal and interest. CALLABLE: The bonds maturing on and after August I, 1979, or any of them, may be called before maturity and redeemed, at the option of the City, on August 1, 1978, or on any interest 3. Resolution Number I payment date thereafter prior to maturity, at a redemption price for each redeemable bond equal to the principal amount thereof plus the following premiums (percentage of par value) if redeemed at the following times: REDEMPTION DATES AND PREMIUMS On or after And prior to On or after And pr10r to August 1 August 1 Premium August 1 August 1 Premium 1978 1980 3% 1992 1994 1-1/4% 1980 1982 2-3/4% 1994 1996 1~ 1982 1984 2-1/2% 1996 1998 3/4~ 1984 1986 2-1/4% 1998 2000 1/2~ 1986 1988 2~ 2000 2002 1/4% 1988 1990 l-3/4~ 2002 Ma turity 0 1990 1992 1-1/2~ All or any of the bonds subject to call may be called for redemption at anyone time. If less than all of the bonds I are redeemed at anyone time, such bonds shall be redeemed only in inverse order of maturity and number, beginning with the highest numbered bond. PURPOSE OF ISSUE: The bonds are the entire issue of bonds authorized at an election held April 10, 1962, for the purpose of additions to and improvements of the water system of the city. I SECURITY: Said bonds are issued pursuant to Article 1, Chapter 4, Div1sion 4, Title 4 (Section 43600 et seq.) of the Government Code of the State of California, sometimes known as the Municipal Bond Act of 1901. For the purpose of paying the principal of and interest on said bonds, said Act requires that the City Council shall at the time of fixing the general tax levy, and annually thereafter unt11 said bonds are paid or until there is a sum 1n the treasury of said city set apart for that purpose sufficient to meet all payments of principal and interest on said bonds as they become due, levy and collect a tax sufficient to pay the 1nterest on said bonds 4. Resolution Number I as it falls due and such part of the principal thereof as will become due before the proceeds of a tax levied at the next general tax levy will be available. Said tax shall be in addition to all other taxes levied for municipal purposes and shall be levied and collected as other city taxes. Pursuant to Article 4, Chapter 3, Part 1, Division 2, Title 5 of the Government Code of the State of California the bonds shall be additionally secured by a pledge, charge and lien upon the net reve- nues of the water system of the city. The terms and conditions of said pledge and the covenants made by the I ci ty are set forth in Ordina nce No, " 2. 9 on June 17, 1963. , adopted TERMS OF SALE Interest Rat7e: The maximum rate bid may not exceed 6~ per annum, payable annually the first year and semiannually thereafter. Each rate bid must be a mult1ple of 1/8 or 1/20 of l~. No bond shall bear more than one interest rate, and all bonds of the same maturity shall bear the same rate. Only one coupon will be attached to each bond for each in- stallment of interest thereon, and bids providing for addi- tional or supplemental coupons will be rejected. The rate on any maturity or group of maturit1es shall not be more than . I 1-1/2~ higher than the interest rate on any other maturity or group of maturit1es. 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 not to exceed those specified 5. Resolut10n Number I .herein, 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 Highest B1dder: The bonds will be awarded to the highest responsible bidder or bidders considering the interest 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 pur- chaser 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 c1ty. Right of Rejection: The city reserves the right, in its discretion, to reject any and all bids and to the extent not pro- hibited by law to waive any irregularity or informality in any bid. I 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 proposalsj provided that the award may be made after the expirat10n of the specified time if the bidder shall not have given to the City Council notice in writing of the withdrawal of such proposal, Place of Delivery: Delivery of said bonds will be made to the successful bidder at Jeffries Banknote Company, 117 Winston Street, Los Angeles, California, or at any other place agreed upon by the City Treasurer and the successful bidder. Prompt Delivery; Cancellation for Late Delivery: It is expected that said bonds will be delivered to the successful bidder within thirty days from the date of sale 6. I I I Resolut1on Number 3/63-6 th~reof. 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 sixty days from the date herein fixed for the receipt of bids, and in such event the successful bidder shall be en- titled 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 Water Bonds, 1963." Bid Check: A certified or cashier's check on a responsible bank or trust company in the amount of 3~ of the principal amount of the bonds. 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 accompany- ing 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 retaine4 by the city. The check accompanying each unaccepted proposal will be returned promptly. Change 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 rece1ved by private holders from bonds of the same type and character shall be declared to be taxable income under present federal income tax laws. either by a ruling of the 7. I I I Resolut1on Number 3/63-7 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. Legal Opinion: The unqualified opinion of 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 officer of the city by his facs1mile Signature will be printed on the back of each bond. No charge will be made to the purchaser for such printing or certification. No Litigation Certificate: At the 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 F. W. Hickman Ci ty Clerk City Hall 201 - 8th Street Seal Beach, California GIVEN by order of the City Council of the City of Seal Beach , California, adopted June 17 ,1963. ~. W. ~ICKMAN ity C erk 01' the City 01' Seal Beach, California. 8. I . 3/63-3 Resolution Number . ADOPTED, SIGNED AND APPROVED this 17th day of June , 1963. ATTEST: ~1'~~ ~ ~ "'I.~ C~tr erk 0 e y o~ Sea Beach , California J SEAL) I ,.'.:-...:...-;;..?:... :.. -....,~, ~ - "';..\:.-:; ~ .." - -" ,,~ .= ... .. ~ .... ' "' , rr.. I , .... ';: '\ .. 9. , Cal1fornia I I I .- . Resolution Number , , STATE OF CALIFORNIA COUNTY OF ORANGE CITY OF S~AL ~~AvH ~ SS. I, F. W. HICKMAN , City Clerk of the City of --Beal ~ach , California, DO HEREBY CERTIFY that the-torego ng reSolution was duly adopted by the City Council of said city and was approved by the Mayor of said city at a regular meeting of said City Council held on the J 7th day of June I 19~, and that it was so adopte as follows: AYES: councilmen~~r~ ~,~ NOES: Councilmen ~ ABSENT: Councilmen ~ , ... - (l?EAL) - . -;..~ .... .~--:---... ~,...~ ~~ ".-:., ".. -~ -' - ""', -:: _0 _~ ~'... S ...""1 ~ ~~~~lA. - Ci Y er 0 e i y of Seal Beach, California " .....': ,; 10.