HomeMy WebLinkAbout1964-01-07; City Council; Resolution 969RESOLUTION NO. 969
RESOLUTION OF THE CITY cou" OF THE cm OF CARLSBAD, CALIFORNIA, DIRECT- ING CITY CmRK TO PUBLISH NOTICE INVITING SEALfID PROPOSAIS FOR $1,000,000 SEkJER BONDS OF SAID CITY.
WHEFEAS, an ordinance providing for the issuance
of bonds of the City of Carlsbad, California, in the amount
of $1,000,000 to be designated "1962 SEWER BONDS, SERIES B,"
has been introduced; and
WHEREAS, it is desirable that said bonds be
sold;
NOW, THEREFORE, the City Council of the City of
Carlsbad, 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 herein-
after set forth.
Section 2. That the City Clerk be and he is
hereby authorized and directed to publish said notice
once in the CARLSBAD JOURNAL, a newspaper of general
circulation published in said city.
Section 3. That said notice shall be substan-
tially as follows:
NOTSCE INVITING BIDS ON $1,000,000 GENERAL OBLIGATION 30NDS OF THE CITY OF CARISBAD, CALIFORNIA.
NOTICE IS HEREBY GIVEN that sealed proposals for
the purchase of $1,000,000 par value general obligation
bonds of the CITY OF CARLSBAD will be received by the City
Council of said city at the place and up to the time below
specified:
TIME: Tuesday, February 18, 1964 7:30 o’clock, P.M.
PLACE : Council Chambers City Hall 2960 Pi0 Pico Drive Carlsbad, California
MAILED BIDS: Mailed bids should be addressed to: Mxxx&~- Mrs. Margaret E. Adams City Clerk 2960 Pi0 Pic0 Drive Carlsbad, California.
ISSUE: $1,000,000 consisting of 200 bonds,
numbered 1 to 200, inclusive, of the denomination of $5000
each, all dated January 1, 1964, and designated “1.962
’ SEWER BONDS, SERIES B. ‘I
MATURITIES: The bonds will mature in consecutive
numerical order on July 1 in the amounts for each of the
several years as follows:
Principal Amount
$ 10,000
20,000
30, ooo
40 000
go, 000
100,000
Years, Inclusive
1966
1967 - 1970
1971 - 1979
1980 - 1988
1989 - 1990
1991
INTEREST: The bunds shall bear interest at a
rate or rates to be fixed upon the safe thereof but not
to exceed six per cent (6%) per annum, payable annually
the first year and semiannually thereafter.
PAYMENT: Said bonds and the interest thereon
are payable in lawful money of the United States of America
at the office of the City Treasurer of the City of Carlsbad,
California, in said city, or, at the option of the holder
thereof, at the paying agent of the city in Los Angeles,
California, Chicago, Illinois,or in New York, New York,
REGISTRATION: The bonds will be coupon bonds
registrable either as to principal only or as to both
principal and interest, and the form of registration may
be changed, or the bond discharged from registration, all
in accordance with provisions in the ordinance providing
for the issuance of said bonds.
CALL PROVISIONS: The bonds maturing on or prior
to July 1, 1983, shall not be subject to call or redemption
prior to maturity. The bonds maturing on or after July 1,
1984, or any of them, may be called before maturity and
redeemed, at the option of the city, in inverse order of
maturity and number, on July 1, 1974, orm any interest
3.
payment date thereafter prior to maturity, at a redemption
price for each redeemable bond equal to the principal
amount thereof, plus interest to the date of redemption
plus a premium equal to one-quarter of one per cent of
the principal amount for each year or portion thereof
remaining from the date of redemption to the maturity
date of the bonds, or July 1, 1990, whichever occurs
first .
PURPOSE OF ISSUE: The bonds are part of an
authorized issue of $2,122,000 for the acquisition and
constructfon of sewers in the City of Carlsbad voted at
an election held January 16, 1962.
SECURITY: Said bonds are issued pursuant to
Article 1, Chapter 4, Division 4, Title 4 (Sections
43600 et seq.) of the Government Code of the State of
California, sometimes known as the Municipal Bond Act
of 1901. For the purpose of paying the principal of
and interest on said bonds, said Act requires that the
City Council shall at the time of fixing the general tax
levy, and annually thereafter until said bonds are paid or
until there is a sum in the treasury of said city set
apart for that purpose sufficient to meet a11 payments
of principal and interest on said bonds as they become
due, levy and collect a tax sufficient to pay the interest
on said bonds as it falls due and such part of the principal
thereof as will become due before the proceeds of a tax
levied at the next general tax levy will be available.
4.
Said tax shall be in addition to all other taxes levied
for municipal purposes and shall be levied and collected
as other city taxes.
Interest Rate: The maximum rate bid may not
exceed 6% per annum, payable annually the first year and
semiannually thereafter. Each rate bid must be a multiple
of 1/20 of 1%. No bond shall bear more than one interest
rate, and all bonds of the same maturity shall bear the
same rate. Only one coupon will be attached to each
bond for each installment of interest thereon, and bids
providing for additional or supplemental coupons will be
rejected. The rate on any maturity or group of maturities
shall not be more than 1=1/2$ higher than the interest
rate on any other maturity or group of maturities.
Award: The bonds shall be sold for cash only.
All bids must be for not less than a11 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 specified herein, at which the bidder
offers to buy said bonds. 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 amount of the premium bid (if any) from the total
The highest bid will be determined by deducting
mount 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. Such accrued interest, if any, shall be com-
puted on a 360-day year basis.
bonds will be borne by the city.
The cost of printing the
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 proposals; provided that the award may be made after the
expiration of the specified time if the bidder shall not
have given to the City Council notice in writing of the
withdrawal of such proposal.
6.
..
e
Place of Delivery: Delivery of said bonds will be
made to the successful bidder at Jeffries Banknote Company,
117 Winston Street, Los Angeles, California, or at any other
place agreeable to both the successful bidder and the City
Treasurer.
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
bids, and in such event the successful bidder shall be entitled
to the return of the check accompanying his bid.
Fomn 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 CARLSBAD, 1962 SEWER
BONDS, SERIf3S B. "
Bid Check: A certified or cashier's check on a
responsible bank or trust company in the amount of $5,000,
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.
applied on the purchase price or, if such proposal is
The check accompanying any accepted proposal shall be
7.
accepted but not performed, unless such failure of per-
formance 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 & Ivtyers, 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 pay-
ment for and delivery of said bonds, the city will furnish
the successful bidder a certificate that there is no
8.
litigation pending affecting the validity of the bonds.
INFORMATION AVAILABLE: Requests for information
concerning the city should be addressed to:
rs. Mar aret E. Adams &xx&x& xZbx&xe Stone C% Youngberg City Clerk 1314 Russ Building 2960 Pi0 Pic0 Drive or 235 Montgomery Street Carlsbad, California San Francisco, California
GIVEN by order of the City Council of the City of
Carlsbad, California, adopted January 7 1964. %$&z,i?gi?
City Clerk of the City of Carlsbad, California.
9.
ADOPTED, SIGNED AND APPROVED this 7th day of
January , 1964.
Mayor af the City of Carlsbad, California.
ATTEST:
%.dPH& CiVy Werk of the City of Carls%ad, California.
(SEAL)
10.
STATE OF CALIFORNIA 1
COUNTY OF SAN DIEGO CITY OF CARLSBAD
Margaret E. Adams
of the City o-f caris -nia, a DO HEREBY
CERTIFY that the foregoing resolution was duly adopted
I, SRXX , City Clerk
by the City Council of said city and was approved by the Mayor of said city at a
1964 -J and that it was so adop-follows:
regular meeting of said City Council held onthe 7th day of January ,
AYES : Councilmen -aCTuevara.
Neisw ender and Hughes
NOES : Councilmen None
ABSENT: Councilmen None
(SEAL)