HomeMy WebLinkAbout1968-02-07; Municipal Water District; Resolution 215RESOLUTION NO. 2 15
RESOLUTION OF THE BOARD OF DIRECTORS 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
$125,000 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
$125,000.00 bonds of
CARLSBAD MUNICIPAL WATER DISTRICT
FOR IMPROVEMENT DISTRICT NO. 2
(said amount being part of the $900,000 authorized at an
election held in said Improvement District on November 19,
1957) ;
NOW, THEREFORE, 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 $125,000 bonds be received by this Board of
Directors at its meeting place, 5780 El Camino Real, Carlsbad,
California, up to the hour of 2:OO o'clock P.M., Pacific
Standard Time, March 20, 1968, 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
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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:
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NOTICE INVITING BIDS ON $125,000
GENERAL OBLIGATION BONDS OF
CARLSBAD MUNICIPAL WATER DISTRICT
FOR IMPROVEMENT DISTRICT NO. 2.
NOTICE IS HEREBY GIVEN that sealed proposals for
the purchase of $125,000.00 par value general obligation
bonds of
CARLSBAD MUNICIPAL WATER DISTRICT FOR IMPROVEMENT DISTRICT NO. 2
of San Diego County, California, will be received by the
Board of Directors of said district at the place and up to
the time below specified:
TIME : Wednesday, March 20, 1968
2:OO o'clock P.M.
Pacific Standard Time.
PLACE : Meeting Place of the Board of
Directors, 5780 El Camino Real
Carlsbad, California.
MAILED Mailed bids should be addressed
BIDS : to the district,
c/o William Carmichael, Secretary Carlsbad Municipal Water District
5780 El Camino Real
Carlsbad, California.
ISSUE: $125,000 consisting of
bonds numbered 1 to 125, both inclusive, of Le denomination
of $1,000 each, all dated May 1, 1968, designated "ELECTION
1957, SERIES 3" (being part of an issue of $900,000 authorized
at an election held in said Improvement District No. 2 on
November 19, 1957).
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MATURITIES: The bonds will mature in consecutive
numerical order on May 1 in the amounts for each of the
several years as follows:
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Principal Amount
$ 5,000
5,000
5,000
5,000
5,000 10,000
10,000
10,000
10,000
10,000
10,000
10,000
10,000
10,000
10,000
Year
1969
1970
1971
1972
1973 1974 1975 1976 1977 1978
1979
1980
1981
1982
1983
INTEREST: The bonds shall bear interest at a
rate or rates to be fixed upon the sale thereof but not
to exceed 5% 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
San Francisco, California, or at any fiscal agency of the
district in Chicago, Illinois, or New York, New York, at
the option of the holder.
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REGISTRATION:
registerable only as to
NOT CALLABLE:
maturity.
The bonds will be coupon bonds
both principal and interest.
The bonds are not callable before
PURPOSE OF ISSUE: Said bonds were authorized for
the acquisition and construction of water transmission pipe-
lines with appurtenances and appurtenant works.
SECURITY: 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.
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TERMS OF SALE
Interest Rate: The maximum rate bid may not
exceed 5% per annum, payable annually the first year and
semiannually thereafter.
of 1/8 or 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.
Each rate bid must be a multiple
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 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 net
cost to the district on any bid or bids offering less than
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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 date of the bonds to the date of delivery. The cost of
printing the bonds will be borne by the district.
The purchaser must pay accrued interest from
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 the office of the District,
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
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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 3 BONDS."
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 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 federal income tax laws, either by a ruling of the
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Bureau of Internal Revenue 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.
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 AVAILABLE: Requests for information
concerning the district should be addressed to:
William Carmichael
Carlsbad Municipal Water District
5780 El Camino Real
Carlsbad, California
GIVEN by order of the Board of Directors of
CARLSBAD MUNICIPAL WATER DISTRICT.
ADOPTED on FEBRUARY 1, , 1968.
._.- WILLIAM CARMICHAEL, "Secretary of the Board of Directors of Carlsbad Municipal Water District.
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r ADOPTED, SIGNED AND APPROVED this ~ 7th day of
FEBRUARY , 1968.
President of thdh oard of Directors
of Carlsbad M)n/ndipal Water District.
ATTEST :
Secretary of the Board of Directors of Carlsbad Municipal Water District
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(SEAL)
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STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
) ss.
I, WILLIAM CARMICHAEL, Secretary of the Board
of Directors of CARLSBAD MUNICIPAL WATER DISTRICT,
DO HEREBY CERTIFY that the foregoing resolution was duly
adopted by the Board of Directors of said District at a regular meeting of said Board held on
the fth day of FEBRUARY, , 1968, and that it was adopted by the following vote:
AYES : Directors CARMICHAEL, KELLY, MAC LEOD,
MAERKLE AND PALMER
NONE NOES : Directors
ABSENT: Directors NONE
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Secretary of Carlsbad Munidipal
Water District and of the Board
of Directors thereof.
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(SEAL)
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