HomeMy WebLinkAboutCC Res 1238 1963-06-17
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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
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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.
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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".
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Reso1ut10n Number
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3/63-2
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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.
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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
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Resolution Number
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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
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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.
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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
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Resolution Number
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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
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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
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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
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Resolut10n Number
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.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.
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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.
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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
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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
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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.
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. 3/63-3
Resolution Number
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ADOPTED, SIGNED AND APPROVED this 17th day of
June , 1963.
ATTEST:
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C~tr erk 0 e y o~
Sea Beach , California
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Resolution Number
,
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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~
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NOES: Councilmen ~
ABSENT: Councilmen ~
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