HomeMy WebLinkAbout1961-04-18; Municipal Water District; Resolution 140RESOLUTION NO. 140
RESOLUTION OF THE BOARD OF DIMCTORS OF CARLSBAD MUNICIPAL WATER DISTRICT DECLARING ITS INTENTION TO SELL BONDS OF SAID DISTRICT FOR IMPROVEMENT DIS-
TRICT NO. 2 THEREOF IN THE AMOUNT OF $423,000 AND FIXING TIME AND PLACE FOR TAKING BIDS AND DIRECTING PUB-
LICATION OF NOTICE INVITING BIDS.
WHEREAS, this Board of Directors deems it proper
and the necessity therefor appears that bids be invited
for $425,000 bonds of
CARLSBAD MUNICIPAL WATER DISTRICT FOR IMPROVEMENT DISTRICT NO. 2
(said amount being part of the $900,000 authorized at an
electdon held in said Improvement District on November 19,
NOW, THERBFOW, The Board of Directors of
CARLSBAD MUNICIPAL WATER DISTRICT
does hereby RESOLVE, DETERMINE AND ORDER as follows:
Section 1. That sealed proposals for the pur-
chase of said $425,000 bonds be received by this Board of
Directors at its meeting place, 2698 State Street,
Carlsbad, California, up to the hour of 2:OO o'clock P.M.,
California Daylight Saving Time, May 2, 1961, and in the
manner contained in the notice set forth herein.
Section 2. That the Secretary of this Board is
hereby authorized and directed to publish notice inviting
I
i such sealed proposals once in the
CARLSBAD JOURNAL,
a newspaper of general circulation, circulated within said
district, said publication to be at least ten (10) days
prior to the date of opening bids stated in said notice.
Section 3. That the Secretary of this Board is
hereby authorized and directed to cause to be furnished
to prospective bidder copies of the notice inviting pro-
posals and of an official statement relating to the
properties, operations and finances of said district,
but failure in whole or in part to comply with this sec-
tion shall not in any manner affect the validity of the
sale.
Section 4. That said notice shall be substan-
tially as follows:
2.
NOTICE INVITINQ BIDS ON $425,000 GENERAL OBLIGATION BONDS OF
CARLSW MUNICIPAL WATER DIS- TRICT FOR IMPROVEMENT DISTRICT NO. 2.
NOTICE IS HEREBY GIVEN that sealed proposals for
the purchase of
bonds of
of San Diego
by the Board of
$ 425,000 par value general obligation
CARLSBAD MUNICIPAL WATER DISTRICT
FOR IMPROVEMENT DISTRICT N County, California, wiyl %e received
Directors of said district at the place and
up to the time below specified:
TIME: Tuesday, May 2, 1961
PLACE :
2:OO o'clock P.M. California Daylight Saving Time
Meeting Place of the Board of Directors, 2698 State Street,
Carlsbad, California.
MAILED BIDS: Mailed bids should be addressed
to the district, c/o Richard R. Coe, Secretary Carlsbad Municipal Water District 2698 State Street Carlsbad, California
ISSUE: $ 425,000 consisting of 425
bonds, numbered 1 to 425 , both inclusive, of the
denomination of $1,000 each, all dated May 1, 1961,
designated "ELECTION 1957, SERIES 2" (being part of an
issue of $900,000 authorized at an election held in said
Improvement District No, 2 on November 19, 1957).
3.
Dist. Bonds - Notice Inviting Bids
MATURITIESt The bond8 will mature in consecutfve
numerical order on May 1 in the amounts for each
of the several years as follows:
Principal Years Amount Inclusive
$ 5,000 1962 - 1965
10,000 1966 - 1975
15,000 1976 - 1982
20,000 1983 - 1987
INTEREST: The bonds shall bear interest at B
rate or rates to be fixed upon the sale thereof but not
to exceed 5 4% 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 Treasurer of the district, Carlsbad,
California, or at the main office of Bank of America National
Trust and Savings Association in Los Angeles, California, or
Sari Francisco, California, or at any fiscal agency of the
district in Chicago, Illinois, or New York, New York, at
the option of the holder.
4.
DIst. Bonds - Notice Inviting Bids
REGISTRATION: The bonds will be coupon bonds
registerable only as to both principal and interest.
NOT CALLABLE: The bonds are not callable before
maturity.
PURPOSE OF ISSUE: Said bonds were authorized for
the acquisition and construction of water transmission pipe-
lines with appurtenances and appurtenant works.
SlECURITYt Said bonds are issued pursuant to the
provisions of the Municipal Water District Act of 1911.
Under said Act if the revenues of the district or of the
improvement district are or in the judgment of the Board
of Directors will probably be inadequate for any cause to
pay the principal of or interest on these improvement dis-
trict bonds as it becomes due the Board of Directors must
cause a tax to be levied as provided in said Act upon the
taxable property within the improvement district sufficient
to pay the amount of such principal and interest as will
become due before the proceeds of a tax levied at the next
general tax levy will be available.
5.
TERMS OF SAIX
Interest Rate: The maximum rate bid may not
exceed 5% per annum, payable annually the first year and
semiannually thereafter. Each rate bid must be a multiple
of 1/8 or 1/20 of 1%.
interest rate, and all bonds of the same maturity shall bear
the same rate.
No bond shall bear more than one
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 the total price
offered for the bonds, 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, and accrued interest to
the date of delivery. 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 total
price offered, the interest rate or rates specified and the
premium offered, if any. The net cost to the district on
any bid or bids offering par will be determined by deducting
the amount of the premium bid, if any, from the total mount
of interest which the district 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. The net
cost to the district on any bid or bids offering less than
6.
par will be determined by adding to the total amount of
--
interest which the district 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
the amount of the discount bid. The award will be made to
the bidder or bidders offering the lowest net cost to the
district. In the event that two or more bidders have bid
the same total cost to the district the bid offering the
highest price for the bonds will be considered the best bid,
unless each bid has the same price, in which case the award
shall be made by lot. Interest shall be computed on a 360-
day year basis. The purchaser must pay accrued interest from
the date of the bonds to the date of delivery. The cost of
printing the bonds will be borne by the district.
Prompt Award: The district will take action award-
ing the bonds or rejecting all bids not later than twenty-six
hours after the expiration of 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 said Board notice in writing of the
withdrawal of such proposal.
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 place
agreeable to both the Treasurer of the district and the
successful bidder.
-- Prompt Delivery, Cancellation for Late Delivery:
It is expected that said bonds will be delivered to the
successful bidder within forty days from the date of sale
thereof. The successful bidder shall have the right, at
7.
his option, to cancel the contract of purchase if the
district shall fail to execute the bonds and tender them
- for delivery within sixty days from the date of the sale
thereof, and in such event the successful bidder shall be
entitled to the return of the deposit accompanying his bid.
Form of Bid: Each bid, together with the bid
check, must be in a sealed envelope, addressed to the dis-
trict, with the envelope and bid clearly marked:
"PROPOSAL FOR CARLSBAD MUNICIPAL WATER DISTRICT - IMPROVEMENT DISTRICT NO. 2> ELECTION 1957, SERIES 2 BONDS."
Bid Check: A certified or cashier's check on a
responsible bank or trust company in the amount of $10,000
payable to the order of the district, 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 proceeds of the check accompanying
any accepted proposal shall be applied on the purchase
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 district, shall then be retained by
the district. The check accompanying each unaccepted pro-
posal 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 re-
ceived by private holders from bonds of the same type and
character shall be declared to be taxable income under
present federallncome tax laws, either by a ruling of the
i
8.
DisL. Bonds - Ressln.
& Notice Inviting
Bureau of Internal Revenue or by a decision of any federal
court, or shall be declared taxable by the terms of any
federal 1ncome”tax law enacted subsequent to the date of
this notice.
Legal Opinion: The unqualified opinion of O’Melveny
8e Xyers, attorneys, approving the validity of said bonds
will be furnished the successful bidder at or prior to the
date of delivery of the bonds, at the expense of the district.
If requested In the bid of the sucaessful bidder, a copy of
the legel opinion certified by an offices of the district
by his facsimile signature will be printed on the back of
each bond, at the expense of the dfstrftzt.
No Litigation Certificate: At the time of payment;
for and delivery of said bonds the district will furnish
the successful bidder a certificate that there is no litiga-
tion pending affecting the validity of the bonds.
INFORMATION AVAILABI;IEt Requeats for information
ooncerning the district should be addressed to:
Richard R. Coe, Secretary Schwabacher & Co. Carlsbad Municipal Water District 2698 State Street - OR - San Prancisco 4, Carlsbad, California California
100 Montgomery Street
GIVEN by order of the Board of Directors of
CARLSBAD MUNICIPAL WATER DISTRICT
adopted on April 18 0 1961 0
RICHARD R. COE
Secretary of the Board of Direct ora of Carlsbad
Municipal Water Disbrict.
9.
ADOPTED, SIGNED AND APPROVED this 18 th day
of April 1961.
Directors of Carlsbad d Municipal Water District.
ATTFST : \ .i14 LLfl2 .-( k' . CL
Secretary of the Board of Directors of Carlsbad Municipal Water District.
(SEAL)
10.
STATE OF CALIFORNIA
COUNTY OF SAN DIEGO
I, RICHARD R. COE , Secretary of the Board of Directors of Carlsbad Municipal Water District
resolution was duly adopted by the Board of Directors of said ,D 0 HEREBY CERT IFY th at th e foregoing - district at a - regular meeting of said Board held on the 18tv April J 19% , and that it was so adopteathe following vote:
AYES : Directors Kelly, Carnohan, Coe, Greek. Maerkle
ABSENT :
(SEAL)
NOES : Directors None
Directors None
Secretary of Carlsbad MuniciDal Water Dlstrict __ ~ ~ ~ and of th e Board of Di rectors thereof.
11.