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.
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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.