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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; 1 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. 5 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 6 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 8 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