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HomeMy WebLinkAboutCC RESO 89053/63-1 RESOLUTION NO. 8905 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY , 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 National City , California, in the amount of $600,000 to be designated "CITY OF NATIONAL CITY, 1965 CIVIC CENTER BONDS" has been introduced; and WHEREAS, it is desirable that said bonds be sold; NOW, THEREFORE, the City Council of the City of National City , 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 City Clerk be and is hereby authorized and directed to publish said notice once in NATIONAL CITY STAR NEWS , 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 3. That said notice shall be substantially as follows: Rev. 11/64-la NOTICE INVITING BIDS ON $ 600,000 GENERAL OBLIGATION BONDS OF THE CITY OF NATIONAL CITY , CALIFORNIA NOTICE IS HEREBY GIVEN that sealed proposals for the purchase of $ 600,000 par value general obligation bonds of the CITY OF NATIONAL CITY will be received by the City Council of said city at the place and up to the time below specified. TIME: 1:30 o'clock P.M. May 25, 1965 PLACE: Council Chambers City Hall National City, California MAILED BIDS; Mailed bids should be addressed to: Mrs. Ione Minogue City Clerk City Hall National City, California OPENING OF BIDS: The bids will be opened at the meeting of said City Council to be held May 2 5 , 1965, at 1:30 o'clock P .M. at the City Hall of said city. ISSUE: $ 600,000 designated "CITY OF NATIONAL CITY, 1965 CIVIC CENTER BONDS," all in the denomination of $1,000, or all in the denomina- tion of $5,000, at the option of the purchaser, and either 600 in number, numbered 1 to 600 , inclusive, or 120 in number, numbered 1 to 120 , inclusive, depend- ing upon the denomination specified, dated June 1 , 19 65. 2. 3/63-2 MATURITIES: The bonds will mature in consecutive numerical order on June 1 in the amounts for each of the several years as follows: SCHEDULE OF MATURITIES Maturity Principal Date Annual June 1 Amount 1966-1971 $15,000 1972-1977 20,000 1978-1981 25,000 1982-1986 30,000 1987-1990 35,000 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 in said city. 3. 9/64-3 (Rev.) REGISTRATION: The bonds will be coupon bonds regis. trable ADCx xzc WIMAx only me as to both principal and interests austxMxfts oarnXxCifaLoxwateCX Wcatxtaoat a casrx rx xininostonmuntarlailmadatxxxmlacciaxaccantaammarticquastiamatt JornaccgaalmnommoriatiaraMatatuiceaccaccaucalociaearextetEcx NOT CALLABLE: The bonds are not callable before maturity. PURPOSE OF ISSUE: Said bonds were authorized for the purpose of the acquisition, construction and financing of a civic center for said city. SECURITY: Said bonds are issued pursuant to Article 1, Chapter 4, Division 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 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 interest 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 levied for municipal purposes and shall be levied and collected as other city taxes. 4 Rev. 12/64-4 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 1/20th 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. Not more than four interest rates may be bid. The repetition of any rate will not be considered the bidding of an additional rate. The rate on any maturity or group of maturities shall not be more than 1-1/2 % higher than the interest rate on any other maturity or group of maturities. Denominations: All bonds will be of the same denomination. Each bidder shall also state in his bid whether he wishes bonds all in the denomination of $1,000 each or bonds all in the denomination of $5,000 each. In the event the successful bidder fails to specify the denomi- nation in his bid, the bonds will be issued and delivered to him in a denomination of $ 5,000.oceach. 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 speci- fied herein, at which the bidder offers to buy said bonds. 5. 11/64-5 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 Bidder: 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 Rejection:. 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 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 pro- 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 City Council notice in writing of the withdrawal of such proposal. 11/64-6 Place of Delivery: Delivery of said bonds will be made to the successful bidder at the office of Jeffries Banknote Company, 117 Winston Street, Los Angeles, California, or at any other place as agreed to by 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 thirty 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 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 CITY OF NATIONAL CITY, 1965 CIVIC CENTER BONDS." Bid Check: A certified or cashier's check on a 2% responsible bank or trust company in the amount of 750 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 7. 11/64-7 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: At any time before the bonds are tendered for delivery, the successful bidder may 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 laws, 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 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 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 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. 8. 11/64-8 INFORMATION AVAILABLE: Requests for information concerning the city should be addressed to Mrs. Ione Minogue City Clerk City Hall National City, California J. B. Hanauer & Co. 9300 Wilshire Boulevard Beverly Hills, California GIVEN by order of the City Council of the City of National City , California, adopted May 4 9. , 19 65. Ci ,y Clerk of ' the Cilty of National City, California 3/63-3 May ADOPTED, SIGNED AND APPROVED this 4th ATTEST: 1965. ii 4,— Mayor of --the National Ci City,4'1e k of the City of) National City , California (SEMI;,) 10. y day of y of/ , California STATE OF CALIFORNIA COUNTY OF SAN DIEGO CITY OF NATIONAL CITY ) I, IONE MINOGUE , City Clerk of the City of N tional Ci y,. , California, DO HEREBY CERTIFY that the forego ng resoliution was duly adopted by the City Council of said city. and was .approved by the Mayor of said city at a regµl,ar meeting of said City Council, held on the 4th day of Ma _: , 19 65 , and that it was adopted by a vote of two' -thirds of the members of said City Council, to wit: AYES; Councilmen Allen, Colburn, Hogue, Morgan, Gautereaux NOES: Councilmen None ABSENT: Counoi],men None (SEAL) City Clerk of the City of National City, California.