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HomeMy WebLinkAboutResolution 1910 Sale of $400,000 Bonds of 1977 .320 COMMISSION RESOLUTION NO. 1910 RESOLUTION AWARDING SALE OF $400.000 GENERAL OBLIGATION BONDS OF 1977. DETERMINING THE FORM AND DETAILS OF THE BONDS. AUTHORIZING THEIR EXECUTION AND DELIVERY. AND LEVYING TAXES FOR THE PAYMENT THEREOF. BE IT RESOLVED by the Commission of the City of Bozeman. Montana. as follows: Section 1. Authorization and Sale. I 1.01 At an election duly called and held April 5. 1977. the electors of the City authorized the issuance and sale of $400.000 General Obligation Bonds of 1977 of the City(the .Bonds) for the purpose of providing funds to build and equip a new senior center for the City. Pursuant to such authorization this Board at a public sale duly noticed and held on September 14. 1977, awarded the sale ~f the Bonds to Piper. Jaffray & Hopwood. in Minneapolis. Minnesota. on a bid to purchase the Bonds at a price of par plus accrued interest, the Bonds to bear interest at the rate or rates designated by the purchasers such that the annual net interest rate does not exceed 4.27% per annum (a total net interest cost of $93.940.00). 1.02 The purchasers of the Bonds have designated the interest rates set forth in Section 3.01 of this resolution. which rates. together with a premium of $23.20 to be paid by the purchasers. result in an annual net interest rate of 4.27% per annum (a total net interest cost of $93.940.00). It is hereby found, determined and declared that the interest rates and premium designated by the purchasers and set forth in Section 3.01 are consistent with said purchaser's bid accepted by this Commission on September 14. 1977, and are hereby approved, and it is desirable. proper and in the best interest of the City that the form and details of the Bonds be set forth and prescribed in the official proceedings of this Commission. Section 2. Form of Bonds and Coupons. 2.01 The Bonds shall be printed in substantially the following form: UNITED STATES OF AMERICA STATE OF MONTANA COUNTY OF GALLATIN / CITY OF BOZEMAN GENERAL OBLIGATION BOND OF 1977 No. $5,000 I KNOW ALL MEN BY THESE PRESENTS that the City of Bozeman. Gallatin County, Montana, acknowledges itself to be indebted and for value received hereby promises to pay to bearer the sum of FIVE THOUSAND DOLLARS on the 1st day of October. 19 . or. if this Bond is prepayab1e. on any earlier date upon which it has been duly called for redemption. and promises to pay interest on such principal sum from the date hereof until such principal sum has been paid or until this Bond. if prepayable, has been duly called for redemption at the basic rate of Four & twenty-seven hundredths percent (4.27%) per annum. and at the additional rate of percent ( %) from November 17. 1977. to April 1. 1978. Interest is payable semiannually on each April 1 and October 1. commencing April 1. 1978. interest to maturity being payable in accordance with and upon presentation and surrender of the interest coupons appurtenant hereto, which consist of two sets, one representing interest at said basic rate from date of issue to maturity, and the other, designated as "B" coupons. representing interest at the additional rate and for the limited period above stated. Both principal and interest are payable at the main office of the Northwestern National Bank of Minneapolis, in Minneapolis, Minnesota. in any coin or currency of the United States of America. which on the respective dates of payment is legal tender for public and private debts. For the prompt and full payment of such principal and interest. as the same respectivelybecome due. the full faith. credit and taxing powers of the City have been and are hereby irrevocably pledged. The Bonds of this issue are in the aggregate principal amount of $400,000. all of like date and tenor except as toserial number. maturity date. interest rate and redemption prive1ege, all issued by the City for the purpose of providing funds to build and equip a new senior center for the City,and are issued pursuant to resolutions duly adopted by the City and in full conformity with the Constitution and laws of the State of Montana thereunto pertaining. including the Revised Codes of Montana 1947. Section 11-2301. as amended, and pursuant to the vote of the requisite majority of the duly qualified electors of said City at an election duly and regularly called and held. All Bonds of this issue maturing after October 1. 1982. are each subject to prior payment and redemption. at a price equal to the principal amount thereof plus accrued interest to the date of redemption, at the option of the City. on that date. and any interest payment date thereafter, in I order of serial numbers. upon notice of call for redemptiongiven as prescribed by the Revised Codes of Montana, Section 11-2326. Holders of prepayable Bonds who desire to receive such notice may register their names, addresses and serial numbers of their Bonds with the City Treasurer, at Bozeman, Montana. IT IS HEREBY CERTIFIED AND RECITED that all acts.conditions and things required by the Con- stitution and laws of the State of Montana to be done. to exist, to happen. and to be performed precedent to and in the issuance of this Bond. in order to make it the valid and binding general obligation of said City according to its terms. have been done. do exist. have happened and have been performed in regular and due form. time and manner as required by law. that a direct, annual, irrepealable tax has been ordered levied upon all of the taxable property in said City in amounts sufficient to pay theprincipal hereof and interest thereon when and as the same become due; and that this Bond. together with all other indebtedness of said City outstanding on the date hereof. does not exceed any constitutional or statutory limitation thereon. COMMISSION RESOLUTION NO. 1910 __ n____ __._.___.._______ ..----...----.-.. 321 IN WITNESS WHEREOF, the City of Bozeman, Gallatin County, Montana, by its City Commission, has caused this Bond to be executed on its behalf by its Mayor and Director of Finance, attested by the Clerk of the Commission, and sealed with its corporate seal, and has caused the interest coupons hereto attached and the certificate appearing on the reverse hereof to be executed and authenticated by the signatures of said officers, all such signatures being printed facsimiles except for the manual signature of one of said officers on the face of this bond and has caused this Bond to be dated as of October 1, 1977. I Si~oo b~~a~L- Signed by: GRANT D. MURIE, Director of Finance Signed by: ERNA V. HARDING, Clerk of the Commission 2.02 Interest on each Bond to maturity shall be represented by a consecutively numbered set of interest coupons printed in substantially the following form: No. $ On the 1st day of April (October), unless the Bond described below is subject to and has been called for earlier redemption, the City of Bozeman, Gallatin County, Montana, will pay to bearer at the main office of the Northwestern National Bank of Minneapolis, in Minneapolis, Minnesota, the I amount shown hereon in lawful money of the United States of America for interest then due on its General Obligation Bond of 1977, dated October 1, 1977, No. (Facsimile signature) (Facsimile signature) (Facsimile signature) Clerk of the Commission Director of Finance Mayor Erna V. Harding Grant D. Murie Edmund P. Sedivy, Sr. 2.03 A copy of the text of the legal opinion of bond counsel shall be printed on the reverse side of each Bond and identified by a certificate in the following form: We certify that the above is a full, true and correct copy of the legal opinion rendered by bond counsel in the issue of Bonds of the City of Bozeman, Gallatin County, Montana, which includes the within Bond, dated as of the date of delivery of and payment for the Bonds. (Facsimile signature) (Facsimile signature) (Facsimile signature) Clerk of the Commission Director of Finance Mayor Eroa V. Harding Grant D. Murie Edmund P. Sediby, Sr. Section 3. Bond Terms. Execution and Delivery. 3.01 The Bondsshall be dated as of October 1, 1977, and shall be 80 in number and numbered from 1 through 80. in the denomination of $5,000. The Bonds shall mature on October 1 in the respective years and amount listed below, and bonds maturing in such years and amounts shall bear interest from date of issue until paid or duly called for redemption at the rate shown opposite such years and amounts, and all Bonds shall bear addition al interest, represented by supplemental, detachable "B" Coupons, at the additional rate and for the limited period also set forth-opposite such years and amounts: .- Additional Period of ~ Amount ~ Rate Additional Interest 1978 $40,000 3.20% 3.10% 11-17-77 - 4-1-78 1979 40,000 3.40% 3.10% 11-17~77 - 4-1-78 I 1980 40,000 3.60% 3.10% 11-17-77 - 4-1-78 1981 40,000 3.75% 3.10% 11-17-77 - 4-1-78 1982 40,000 3.90% 3.10% 11-17-77 - 4-1-78 1983 40,000 4.00% 2.60% 11-17-77 - 4-1-78 1984 l~O, 000 4.10% 2.60% 11-17-77 - 4-1-78 1985 40,000 4.20% 2.60% 11-17-77 - 4-1-78 1986 40,000 4 . 30'70 2.60% 11-17-77 - 4-1-78 1987 40,000 4.40% 2.60% 11-17-77 - 4-1-78 COMMISSION RESOLUTION NO. 1910 ~..~ u_ ._...._._. ..._. __"....__...._._....__._.___ l~22 3.02 The Bon4s maturing in 1978 through 1982 shall not be subject to redemption prior to maturity, but those maturing in the years 1983 through 1987 are each subject to redemption and prepayment at the option of the City on October 1, 1982, and any interest payment date thereafter, in order of serial numbers, at a price equal to the principal amount thereof plus accrued interest to the date of redemption. 3.03 The interest on the Bonds shall be payable on April 1 and October 1 in each year, com- mencing April 1, 1977. Both principal and interest are payable at the main office of the North- I western National Bank of Minneapolis, in Minneapolis, Minnesota, and the City hereby agrees to pay the reasonable and customary charges of said paying agent for the receipt and disbursement of said principal and interest moneys. 3.04 The Bonds shall be forthwith prepared for execution under the direction of the Clerk of the Commission and said purchaser, at the expense of the City, and shall be executed on behalf of the City by the signatures of the Mayor and the Director of Finance, attested by the signature of the Clerk of tpe Commission, and sealed with the official seal of the City, and the interest coupons shall be executed and authenticated by the signatures of said officers. All such signatures may be printed, engraved or lithographed facsimiles thereof, except for the manual signature of one of said officers on the face of each Bond. On the reverse side of each Bond shall be printed a copy of the approving opinion to be rendered by bond counsel, certified by the facsimile signatures of the Mayor, Clerk of the Commission and Director of Finance. When the Bonds have been executed, they shall be registered in accordance with Section 11-2318, Revised Codes of Montana 1947, and when so executed and registered the Director of Finance shall deliver them, or cause them to be delivered, to said purchaser upon payment of the purchase price heretofore agreed upon, and the purchaser shall not be obligated to see to the proper application thereof. Section 4. Tax Levies. The full faith, credit and taxing powers of the City shall be and are hereby irrevocably pledged to the repayment of the Bonds with interest according to their terms, and the City shall cause direct taxes to be levied annually on all taxable property in the City sufficient to pay the interest on the Bonds when it falls due and also to pay and discharge the principal at maturity of each and all of the Bonds as they respectively become due. Section 5. Arbitrage and Certification of Proceedings. 5.01 The Mayor, Clerk of the Commission and Director of Finance, being the officers of the City charged with the responsibility for issuing the obligations pursuant to this resolution, are authorized and directed to execute and deliver to the purchaser a certificate in order to satisfy I the provisions of Section 1.103-13 of the amended Income Tax Regulations. Such certification shall state that on the basis of the facts, estimates and circumstances in existence on the date of issue and delivery of the Bonds as therein set forth, it is not expected that the proceeds of the Bonds will be used in such a manner that would cause the Bonds to be arbitrage bonds, and the certification shall further state that to the best of the knowledge and belief of the certifying officers there are no other facts, estimates or circumstances that would materially change such expectation. 5.02 The officers of the City are hereby authorized and directed to prepare and furnish to the purchasers of the Bonds and to the attorneys approving legality of the issuance thereof,certified copies of all proceedings and records of the City relating to the Bonds and to the organization and financial condition and affairs of the City and such affidavits and other information as may be required to show the facts relating to the legality and marketability of the Bonds as the same appear from books and records under their custody and control or as otherwise known to them; and all such certified copies, certificates and affidavits, including any heretofore furnished, shall constitute representations of the City as to the truth of the facts purported to be shown thereby. 5.04 All resolutions and parts of resolutions heretofore adopted by this Commission which are in conflict herewith are hereby amended so as to conform with the provisions of this resolution, and, as so amended, are hereby ratified and confirmed. ATTEST: t'/~ /: $~ Clerk of the Commission ~ State of Montana ) County of Gallatin) City of Bozeman ) I, Erna V. Harding, Clerk of the Commission of the City of Bozeman, I dd hereby certify that the foregoing Resolution NO. 1910 was published by title and number in the Bozeman Daily Chronicle, a newspaper of general circulation printed and published in said City in the issue of the 16th day of December, 19~7and due proof of such publication is on file in my office. IN WITNESS WHEREOF I hereunto set my hand and affix the corporate seal of my office this 15th day of December, 1977. t c::/ 2A' ..<::~ /' . '. A!:-o'"'j/ Clerk of "'the City Commi;6lon COMMISSION RESOLUTION NO. 1910 ------------- -,~._---- -------..-