HomeMy WebLinkAboutRES NO 08-54 RESOLUTION N0. 8-54
PROVIDING FOR THE ISSUANCE AND SALE OF $150,000 PRINCIPAL AMOUNT
OF "CITY OF BAKERSFIELD 1954 CITY HALL BONDS, SERIES B", BEING
PART OF AN ISSUE OF $950,000 PRINCIPAL AMOUNT AUTHORIZED AT AN
ELECTION HELD IN SAID CITY ON NOVEMBER 4, 1952; PRESCRIBING THE
AMOUNT, DATE AND FORM OF SERIES B BONDS OF SAID AUTHORIZED ISSUE
AND OF THE COUPONS 'T0 BE ATTACHED THERETO, AND PRESCRIBING THE
MATURITIES THEREOF; FIXING THE MAXIMUM RATE OF INTEREST ON SAID
SERIES B BONDS; AUTHORIZING THE EXECUTION OF'SAID SERIES B BONDS
AND COUPONS; AND DIRECTING NOTICE OF THE SALE OF SAID SERIES B
BONDS TO BE GIVEN.
WHEREAS, the Council of the City of Bakersfield heretofore,
to wit, on the 7th day of December, 1953, duly passed and adopted its
Resolution No. 67-53 providing for the issuance of $950,000 principal
amount of "City of Bakersfield 1954 City Hall Bonds", as set forth in
the records of said Council; and
WHEREAS, in and by said resolution said authorized issue of
City of Bakersfield 1954 City Hall Bonds was divided into series,
whereof $800,000 principal amount were designated "Series A" and the
issuance and sale thereof authorized and directed; and
WHEREAS, said Series A Bonds in the amount of $800,000 have
heretofore been issued and are now outstanding; and
WHEREAS, said resolution above mentioned provided that the
remaining $150,000 principal amount of City of Bakersfield 1954 City
Hall Bonds might be divided into one or more series or divisions, as
the Council might determine; and
WHEREAS, this Council has determined, and does hereby declare,
that it is necessary and desirable that the remaining $150,000 princi-
pal amount of said City of Bakersfield 1954 City Hall Bonds be issued
and sold for the purposes for which they were authorized by the electors;
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NOW, THEREFORE, BE IT RESOLVED by the Council of the City
of Bakersfield,.as follows:
Section 1. Said Resolution No. 67-53 for the issuance of
City of Bakersfield 1954 City Hall Bonds, adopted by this Council on
December 7, 1953, is incorporated herein by reference and all of the
provisions thereof are made a part hereof and shall be applicable to
the remaining bonds of said authorized issue in the principal amount
of $150,000, except only as herein otherwise expressly provided.
Section 2. The remaining $150,000 principal amount of City
of Bakersfield 1954 City Hall Bonds shall be and constitute an addi-
tional series of said issue, to be designated "Series B'~. Bonds of
said Series B shall be negotiable in form, and of the character known
as serial, and shall be 150 in number, numbered consecutively from
B1 to B150, both inclusive, of the denomination of $1,000 each. Said
Series B Bonds shall be dated May l, 1954 (which is hereby fixed and
determined to be the date of the issue of such Series B Bonds). All
of said bonds shall bear interest from their date until paid at the
rate or rates designated by the Council of the City of Bakersfield at
the time of the sale of said bonds, but not to exceed four and one-half
per cent (4-1/2%) per annum, payable semi-annually. Said interest
shall be evidenced by coupons attached to each bond, and each of
said coupons shall represent six months' interest on the bond to
which it is attached. Said interest coupons shall be payable on
the 1st day of May and the 1st day of November of each year until
and at the respective dates of maturity of said bonds (the first
coupon on each bond representing interest from May l, 1954, to
November l, 1954). Both the principal of and interest on said bonds
shall be payable at the office of the Treasurer of the City of
Bakersfield, in Bakersfield, California, in lawful money of the
United States of America. Said Series B Bonds shall mature and be
payable in consecutive numerical order, from lower to higher, as
follows, to wit:
$10,000 principal amount of bonds shall mature and become
payable on May I in each of the years 1955 to 1969,
both inclusive.
Section 3. Said Series B Bonds and coupons shall each be
substantially in the following form, the blanks in said forms to be
filled with appropriate words or figures, namely:
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
Kern County
CITY OF BAKERSFIELD 1954 CITY HALL BOND
Series B
No. B $1,000
The CITY OF BAKERSFIELD, a municipal corporation, organized
and existing under the Constitution and laws of the State of California,
hereby acknowledges itself indebted and for value received, promises
to pay to the bearer (or if this bond be registered, to the registered
holder'~hereof) on the 1st day of May, 19 , ONE THOUSAND (1,000)
DOLLARS, together with interest thereon at the rate of
( ) per cent. per annum until payment of said principal sum in
fhll, payable semi-annually on the 1st day of May and the 1st day of
November of each year. Unless this bond is registered such interest,
prior to maturity, shall be payable only on presentation and surrender
of the proper interest coupons hereto attached as they respectively
become due. Both the principal of and interest on this bond are
payable in lawful money of the United States of America at the office
of the Treasurer of the City of Bakersfield, in Bakersfield, California.
This bond is one of a duly authorized issue of bonds of said
City aggregating nine hundred fift~ thousand ($950,000) dollars in
principal amount, all of like tenor (except for such variations, if
any, as may be required to designate varying series, dates, numbers,
maturities or interest rates), and is issued under and pursuant to th~
Constitution and statutes of the State of California, and under and
pursuant to the ordinances and proceedings of said City duly adopted
and taken and a vote and assent of more than two-thirds of all the
qualified electors of said City voting at a special election duly
called and held for that purpose.
It is hereby certified, recited and declared that all acts,
conditions and things required by law to exist, happen and'to be
performed precedent to and in the issuance of this bond have existed,
happened and been performed in due time, form and manner as required
by law, and that the amount of this bond, together with all other
indebtedness of SKid City, does not exceed any limit prescribed by
the Constitution or statutes of said State, and that provision has
been made as required by the Constitution and statutes of said State
for the collection of an annual tax sufficient to pay the principal
of, and interest on, this bond as the same become due. The full faith
and credit of said City are hereby pledged for the punctual payment of
the principal and interest of this bond.
This bond may be registered in the manner provided by law
and thereafter the principal hereof and interest hereon shall be
payable only to such registered owner.
IN WITNESS WHEREOF, the City of Bakersfield has caused this
bond to be executed under its official seal, signed by its Mayor and
its Treasurer, and countersigned by its Clerk, and has caused the
interest coupons hereto attached to be signed by its Treasurer, and
this bond to be dated the 1st day of May, 1954.
Countersigned:
Treasurer of the City of Bakersfield
City Clerk of the City of Bakersfield
(Interest Coupon)
On the 1st day of , 19
the City of Bakersfield will (unless the
within mentioned bond be registered) pay
to bearer at the office of the Treasurer
of said City, in Bakersfield, California,
, Dollars
in lawful money of the United States of
America, being six months' interest then
due on its 1954 City Hall Bond, Series B,
dated May l, 1954.
Coupon No.
No. B
Treasurer of the City of Bakersfield
Section 4. The proceeds of the sale of said $150,000 princi-
pal amount of City of Bakersfield 1954 City Hall Bonds, Series B, shall
be deposited into the "1954 City Hall Construction Fund" established
by Section 7 of said Resolution No. 67-53, passed and adopted by the
Council on December 7, 1953 (except premium and accrued interest
received on such sale).
Section 5. All of said Series B Bonds shall be offered for
public sale by the Council of the City of Bakersfield on Monday,
March 15, 1954, and the City Clerk is hereby authorized and directed
to cause notice of the sale of said Series B Bonds to be published
once in THE BAKERSFIELD CALIFORNIAN, a newspaper published in said
City, and such notice shall be*substantially in the following form,
to wit:
OFFICIAL NOTICE OF SALE
CITY OF BAKERSFIELD 1~54 CITY HALL BONDS,
SERIES B
NOTICE IS HEREBY GIVEN that sealed proposals will be
received by the Council of the City of Bakersfield, State of
California, at the office of the City Clerk thereof,.2101H Street,
Bakersfield, California, on
MONDAY, MARCH 15, 1954,
at the hour of 8:00 P. M. (P.S.T.) for the purchase of $150,000
principal amount of bonds of said City designated "City of
Bakersfield 1954 City Hall Bonds, Series B, more particularly
described below. Said Series B Bonds constitute part of an issue
of $950,000 aggregate principal amount authorized at'an election
held in said City of Bakersfield on November 4, 1952~ of which
issue $800,000 principal amount of bonds designated 'Series A"
have heretofore been issued and are now outstanding.
ISSUE:
$150,000 consisting of 150 bonds of the
denomination of $1,000 each, numbered B1 to
B150, both inclusive, all dated May l, 1954,
and designated "Series B."
MATURITIES:
Said Series B Bonds mature serially in consecu-
tive numerical order, from lower to higher, on
May i in each year as follows:
$10,000 principal amount in each of the years
1955 to 1969, both inclusive, without option
of prior payment.
INTEREST RATE: Maximum four and one-half per cent (4-1/2%)
per annum, payable semi-annually on May I and
November i in each year. Bidders must specify
the rate of interest which the bonds hereby
offered for sale shall bear. Bidders will be permitted to bid
different rates of interest and to split rates irrespective of the
maturities of said bonds. The interest rate stated in the bid must
be in a multiple of one-quarter of one per cent. per annum, payable
semi-annually.
PAYMENT:
Both principal and interest payable in lawful
money of the United States of America at the
office of the Treasurer of the. City of Bakers-
field, in Bakersfield, California.
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REGISTRATION:
Coupon bonds will be issued by the City.~ Such
bonds are registerable only as to both principal
and interest.
PURPOSE OF ISSUE:
Said bonds are authorized by a vote of two-thirds
of the qualified voters voting at a special
election for the purpose of authorizing bonds for
the acquisition and construction of a City Hall
for the City of Bakersfield.
SECURITY: Said bonds are general obligations of the City of
Bakersfield, and said City has power and is obli-
gated to levy ad valorem taxes for the payment
of said bonds and the interest thereon upon all
property within the City of Bakersfield subject to taxation by said
City (except certain intangible personal property, which is taxable
at limited rates), without limitation of rate or amount.
TAX-EXEMPT STATUS: In the event that prior to the delivery of the
bonds the income received by private holders from
bonds of the same type and character shall be
declared to be taxable under any Federal Income
Tax laws, either by the terms of such laws or by ruling of a Federal
Income Tax authority or official which is followed by the Bureau of
Internal Revenue, or by decision of any Federal Court, the successful
bidder may, at his option, prior to the tender of said bonds by the
City, be relieved of his obligation under the contract to purchase
the bonds and in such event the deposit accompanying his bid will be
returned.
LEGAL OPINION:
The legal opinion of Messrs. Orrick, Dahlquist,
Herrington & Sutcliffe, of San Francisco, California,
approving the+validity of said bonds, will be
furnished to the successful bidder without charge.
TERMS OF SALE
Highest Bid: The bonds will be awarded to the highest bidder
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 of said bonds 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
lowest net interest cost shall be computed between the dates afore-
said on a 360-day year basis. The purchaser must pay accrued interest
up to the date of delivery. The cost of printing the bonds will be
borne by the City.
Right of
Rejection:
The City of Bakersfield reserves the right in its
discretion to reject any and all bids and to waive
any irregularity or informality in any bid.
Prompt Award: The Council of the City of Bakersfield will take
action awarding the bonds or rejecting all bids
not later than 24 hours after the expiration of
the time herein prescribed for the receipt of
proposals; provided that the award may be made after the expiration
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of the specified time if the bidder shall not have given to the
Council notice in writing of the withdrawal of such proposal.
Prompt Delivery:
Delivery of said bonds will be made to the
successful bidder at the office of the City
Treasurer in Bakersfield, California, as soon
as the bonds can be prepared, but not prior to
May l, 1954.
RiEht of The successful bidder shall have the right, at
Cancellation: his option, to cancel the contract of purchase
if the City shall fail to execute said bonds and
tender the same for delivery within sixty (60)
days from the date of sale thereof, and in such event the successful
bidder shall be entitled to the return of the deposit accompanying
his bid.
Form of Bid: All bids must be for not less than all of the
bonds hereby offered for sale and for not less
than the par value thereof and accrued interest
to date of delivery. Such bids, together with bidder's check must
be enclosed in a sealed envelope addressed to the Council of the
t
Ci y Hall Bonds, Series B."
Bid Check: With each bid must be submitted a certified
check or cashier's check for $1,000, drawn on a
bank or trust company transacting business in the
State of California, payable to the order of the
City Treasurer of the City of Bakersfield, to secure the City from
any loss resulting from the failure of the bidder to comply with the
terms of his bid. In addition bidders are requested (but not required)
to supply an estimate of the total net interest cost to the City on
the basis of their respective bids, which shall be considered as
informative only and not binding on either the bidder or the City.
Checks of the unsuccessful bidders will be returned by the City by
mail upon the award of the bonds. No interest will be paid upon
the deposit made by any successful bidder.
InfOrmation relative to the financial condition of the City
of Bakersfield will be furnished to any bidder upon request.
There is no controversy or litigation pending or threatened
concerning the validity of the above bond issue, the corporate
existence of the City, or the title of the officers to their respec-
tive offices, and the City will furnish to the successful bidder a
no-litigation certificate certifying to the foregoing as of and at
the time of the delivery of the bonds.
Dated: February lp.. , 1954.
MARIAN S. IRVIN
City Clerk of the City of
Bakersfield, State of California.
Section 6. This resolution shall take effect from and
after its passage and approval.
PASSED AND ADOPTED this
the following vote:
8th day of February, 1954, by
AYES:
Councilmen Carnakis, Croes, EVeleth, Saunders, Sullivan, Vest
NOES: None
ABSENT: Collins
Attest:
City +C-lerk
California
1954.
Presented to and approved by me this 8th day of February,
Ma eld,
California
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CLERK'S CERTIFICATE
I, MARIAN S. IRVIN, City Clerk of the CITY OF BAKERSFIELD,
California, do hereby certify that the forgoing is a full,'true.and
correct copy of a resolution duly adopted at a regular meeting of
the Council of said City duly and regularly held at the regular
meeting place thereof on the 8th day of February, 1954, of which
meeting all of the members of said Council had due notice and at
which a majority thereof was present; that at said meeting said
resolution was introduced by Councilman Carnakis
and read in full, and was thereupon, upon motion of Councilman
Croes seconded by Councilman Eveleth
adopted by the following vote:
AYES: Councilmen
Carnakis, Croes, Eveleth, Saunders, Sullivan, Vest
NOES: None
ABSENT: Collins
That I have carefully compared the same with the original
minutes of said meeting on file and of record in my office and that
said resolution is duly entered of record in Book -- of Minutes,
at pages lye to -- , inclusive, and said resolution is a full,
true and correct copy of the original resolution adopted at said
meeting and entered in said minutes. That said resolution has not
been amended, modified or rescinded since the date of its adoption
and the same is now in full force and effect.
WITNESS my hand and the seal of said City of Bakersfield
this 10th day of~
February
, 1954.
Clerk of the City of Bakersfield
California