HomeMy WebLinkAbout1970-09-24; City Council; 264; Moody's Municiapl Bond RatingTHE CITY OF CARLSBAD,
Agenda Bill No. ^^fy Date: Sept. 24. 1970
'Referred To: • •
Subject: Submitted By:
Moody's Municipal Bond Rating Attorney
Statement of the Matter
In order to present our water bond issue, it is necessary for the City
to be rated by Moody's Investor Service, Inc., of New York, so that
potential investors in other areas will have an idea of the City's
capabilities regarding repayment. Since the City proposes to go ahead
with the agreement, it was necessary to enter into an agreement with
Moody's for its rating service which they charge for based on the
amount of the issue and the size of the city. In this case, our
liability for payment would be approximately $1,000. Since this
matter came up between Council meetings and prompt action was neces-
sary, the agreement was entered into by the City Manager and we now
ask that this action by the Manager be ratified by the Council.
Exhibit
Agreement
Staff Recommendations
Ratification of Manager's action in entering into agreement on behalf
of City.
AS No. 264 Da te:Oct. 6, 1970
City Manager's Recommendation
Recommend approval.
Council Action
10-6-70 Council ratified City Manager's action in entering into agreement
with Moody's Municipal Bond Rating on behalf of the City.
-2-
Agreement Form
for
Moody's Municipal Bond Rating
The undersigned hereby applies for a Moody's Municipal Bond Rating for a new issue
designated' $1/225,000 City of Carlsbad,California,Waterworks Revenue Bonds,
' description of issue 1970, Series A.
The undersigned will promptly furnish to Moody's pertinent financial reports and other
data normally provided rating agencies, in order that Moody's may appraise the bond issue.
The undersigned agrees to be bound by Moody's rating policy set forth in a "Statement
of Policy" effective May 15,1970, and to pay a fee determined in accordance with that policy.
The undersigned requests Moody's to assign a rating to the bond issue or inform the
undersigned if the bond issue is not eligible for rating, in which latter event no fee is payable.
It is understood that such rating is subject to revision or withdrawal by Moody's if sub-
sequent information (or lack of information) requires such action.
APPLICANT: CITY OF CARLSBAD
BY: JACK B. ARNOLD T|TLE: CITY MANAGER
signature
MAILING ADDRESS: 1200 ELM AVENUE, CARLSBAD, CALIF. 92008
P.ITY: CARLSBAD STATF- CALIF. 7IP- 92008
DATE: Sept. 17, 1970
MOODY'S INVESTORS SERVICE, INC.
® 99 Church Street, New York, N.Y. 10007 (212) 267-8800