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HomeMy WebLinkAboutRES NO 72-68RESOLUTION NO. 72-68 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAKERSFIELD , CALIFORNIA DIRECTING THE CITY CLERK TO PUBLISH NOTICE INVITING SEALED PROPOSALS FOR BONDS OF SAID CITY. WHEREAS, an ordinance providing for the issuance of bonds of the City of Bakersfield , California, in the amount of $2,525,000 to be designated "MUNICIPAL IMPROVEMENT BONDS, 1966, SERIES B" has been introduced~ and WHEREAS, it is desirable that said bonds be sold; NOW, THEREFORE, the City Council of the City of Bakersfield , California, DOES HEREBY RESOLVE, DETERMINE AND ORDER as follows: Section lo 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 R. That the City Clerk be and is hereby authorized and directed to publish said notice once'in THE BAKERSFIELD CALIFORNIAN , a newspaper of general circulation published in said city, said publica- tion to be at least seven days prior to the date for receiving bids. Section as follows: That said notice shall be substantially NOTICE INVITING BIDS ON $ 2,525,000 GENERAL OBLIGATION BONDS OF THE CITY OF BAKERSFIELD , CALIFORNIA. NOTICE IS HEREBY GIVEN that sealed proposals for the purchase of $ 2,525,000 par value general obligation bonds of the CITY OF BAKERSFIELD will be received by the City Council of said city at the place and up to the time below specified° TIME~ PLACE 8:00 o ' clock P.M. Pacific Daylight Saving Time City Hall 1501Truxtun Avenue Bakersfield, California MAILED BIDS~ Mailed bids should be addressed to: City Clerk City Hall.- 1501 Truxtun Avenue Bakersfield, California OPENING OF BIDS~ The bids will be opened at the meeting of said City Council to be held September l0 , 1968, at 8:00 o~clock PoM. at the City Hall of said city. $ 2,525,000 ISSUEm IMPROVEMENT BONDS, 1966, SERIES A," consisting of 505- .bonds, numbered- 1 inclusive', of the denomination of $ 5,000 October I , 19 68 o designated "MUNICIPAL to 505 ,-both' each, dated MATURITIES: The bonds will mature in consecutive numerical order on October 1 in the amounts for each of the several years as follows: Years Principal Years Principal Inclusive Amount Inclusive Amount .... 1981 $ 95,000 1970 25 000 1982 95,000 1971 25,000 1983 145,000 1972 25,000 1984 145,0o0 1973 55,000 1985 145,000 1974 70,000 1986 145,000 1975 70,000 1987 145,000 1976 70,000 1988 145,000 1977 70,000 1989 155,000 1978 75,000 1990 155,000 1979 75,000 1991 165,000 1980 95,000 1992 165,000 1993 170,000 · 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 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 office of the City Treasurer of said city in Bakersfield, California, or at the option of the holder thereof, at the main office of Bank of America National Trust and Savings Association, Los Angeles or San Francisco, California, or at any fiscal agent of the city in Chicago, Illinois, or New York, New York. 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 accordance with the provisions in the ordinance providing for the issuance of the bonds° REDEMPTIONc The bonds maturing on or prior to October 1, 1979 shall not be subject to calA or redemp- tion prior to matur~tyo The bonds maturing on or after October 1, 1980 or any of thems may be called before maturity and redeemed at the option of the City Council of said city on October 1, 1979 or on any interest payment date thereafter prior to maturity, at a redemption price for each redeemable bond equal to the principal amount thereof,. plus accrued interest, plus a premium equal to 1/4 of 1% for each year or fraction of a year from the redemption date to the maturity date of the bond. All or any of the bonds subject to call may be called for re- demption at any one time° If less than all of the bonds are redeemed at any one time,. such bonds shall be redeemed only in inverse order of maturity and number beginning with the highes~ numbered bond. PURPOSE OF ISSUE: Said bonds were authorized for the purpose of the acquisition and construction of additions to snd improvements of the sewer system of said city. SECURITY: Said bonds are issued pursuant to Article 1, Chapter 4, Division 4, Title ~ (Section 43600 et seq.) of the Government Code of the State of Cslifornia, sometimes known as the Municipal Bond Acts.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 until said bonds are paid or until there is a sum in the treasury of said city set apart for that purpose Sufficient to meet all payments of principal and ihterest on said bonds as they become due, levy and collect a tax sufficient to pay the interest on said bonds 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'levled for municipal purposes and shall be levied and collected as other city taxes. TERMS OF SALE Interest Rate~ The maximum rate bid may not exceed 6 % per annum, payable annually the first year and semi- annually thereafter° .Each rate bid must be a multiple of 1/20 or 1/8 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 install- ment of interest thereon, and bids providing for additional or supplemental coupons will be rejected° xxxxxxxxxxxxl~e~ea~x~a~eaxma~x~exbi~xxxT~ex~e~i~ax~x ~eK The rate on any maturity or group of maturities shall not be more than 11/2 % higher than the interest rate on any other ~turity or group of mturities. Dememimatioms ~ - -All -be~ds -will -be -o~ -the - whethe~-he-wlshes-bQm~$-all-~m-~he-~ememl~atl~-G~-$1~O00- 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 0rlrates not to exceed those speci- fied herein, at which the bidder offers to buy said bonds. n/6 5 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° Highest Bidders 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 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° Right of Rejections 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 bid° Prompt Awards 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 prod posals~ provided that the award may be made after the expira~ tion of the specified time if the bidder shall not have given to the Ci-t-y-Council notice in writing of the'withdrawal of such proposal. ll/6&-6 = ~ Place of Delivery: Delivery of said bonds will be made to the successful bidder at the office of the Treasurer of the city unless some other place of delivery is agreed upon between the city and the purchaser. Prompt Delivery~ Cancellation for Late Delivery~ It is expected that said bonds will be delivered to the successful 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 bids0 and in such event the successful bidder shall be en= titled to the returnof 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 Municipal Improvement Bonds, 1966, Series B." Bid Check~ A certified or cashier, s check on a 1% responsible bank or trust company in the amount of Y~ of the principal amount of the bonds, payable to the order of the city must accompany each proposal as a guaranty that the bidders if successful, will accept and pay for said bonds in'accordance with the terms of his bido'+'The check accompany~ ing any accepted proposal shall be applied on the purchase 11/6~-7 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° Change in Tax Exempt Status~ Ateany time before the bonds are tendered for delivery, the successful bidder my disaffirm and withdraw the proposal if the interest received by private holders from bonds of the'same type and character shall be declared to be taxable income under present federal income tax iaws, 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. Legal opinions 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 facsimile 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 Certificates 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 peDding affecting the validity~of~the bonds.~ 11/64-8 INFORMATION AVAILABLE ~ Requests for information concerning the city should be addressed to City Clerk, City Hall, 1501 Truxtun Avenue, Bakersfield, California 93301, or Schwsbacher-Rafferty & Co.,~625 Market Street, San Francisco, California 94105. GIVEN by order of the City Council of the City of Bakersfield , California~ adopted August 19 , 1968. Bakersfield, California. ADOPTED, SIGNED AND APPROVED this August , 19 68 . ATTEST: Bakersfield , California° 19th day of (SEA ) STATE OF CALIFORNIA COUNTY OF KERN CITY OF BAKERSFIELD I, MARIAN S. IRVIN , City Clerk of the City of ~akersfield , California, DO HEREBY CERTIFY that 'the foregoing resolution;was duly adopted by the City Council of said Icity and was approved by the MayOr of said city at a regular meeting of said City Council held on the 19th day of August , 19 68 , and that it wasso adopted as follows: AYES: Councilmen Heisey, Rees, Rucker, NOES: Stiern. Vetter. Whittemore Councilmen None ABSENT: Councilmen Hoskin~ ( SEAL )