Loading...
HomeMy WebLinkAbout1958-01-13; Municipal Water District; Resolution 68RESOLUTION NO. 68 RESOLUTION OF THE BOARD OF DIREXTORS OF CARLSBAD MUNICIPAL WATER DISTRICT lEXU.R- ING ITS INTENTION TO SELL BONDS aF SAID DISTRICT FOR IMPROVEMENT DISTRICT NO. 2 THEREOF IN THE AMOUNT O?? $39,000 AND FIXING TIME AND PLACE FOR TAKING BIDS AND DIRECTING PUBLICATION OF NOTICE INVITING BIDS. WHEREAS, this Board of Directors deems it proper md the necissity therefor appears that bids be invited for $350,000 bonds of CARLSBAD MUNICIPAL WATER DISTRICT FOR IMPROVEMENT DISTRICT NO. 2 (said amount being part of the $90,000 authorized at an election held in said improvement district November 19, 1%7) and that bidders be allowed to bid on either or both of the following alternatives: prior to maturity, prior to maturity, 1. the bonds not b callable and reedemable 2. the bonds to be callable and reedemable so that this Board can have the opportunity to determine wether or not it should use a call provision in the bonds which will be sold in the manner and at the time and place hereinafter set forth; 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 purchase of all of said $353,000 of bonds be received by this Board of Directors at its meeting place 2960 Pi0 Pic0 Drive, Carlsbad, California, up to the hour of 4:OO o'clock P.M., on January 30, 1958, and in the manner contained in the notice set forth herin. Section 2, That the Secretary of this Board is hereby authorized and directed c to publish notice inviting such sealed proposals once in the CARLSBAD JOURNAL, a news- paper of general circulation, circulated within said district , said publication to be at least ten (ID) 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 bidders copies of the notice jnviting proposals 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 section shall not in any manner effect the validity of the sale. Section 4. That said notice shall be substantially as follows: NOTICE INVITING BIDS ON $350,000 GENERAL OBLIGATION BONDS OF CARLSBAD MUNICIPAL WATER DISTRICT FOR IMPROVEMENT DISTRICT NO. 2 NOTICE IS HEREBY GIVEN that sealed proposals for the purchase of $350,000 par value general obligation bonds of CARLSBAD MUNICIPAL WATER DISTRICT FOR IMPROVEMENT DISTRICT NO. 2, of San Mego County, California, will be received by the Board of Direc- tors of said district at the place and up to the time below speuified: 7 I TIME: Thursday, Jan- 30, 1958, at 4:OO o'clock P.M. '! PLACE: At the meeting place of the Board of Directors in the Carlsbad City Hall, 2933 Pi0 Pic0 Drive, Carlsbad, California. MAIIED BIDS: Mailed bids should be addressed to the district C/O Mr. Max 0. Evald, Secretary, Carlsbad Municipal Water District, 2%3 PI0 PIC0 Drive, Carlsbad, California, ISSUE: #340,000, designated ELECTION 1957, SERIES 1 (part of an issue of $900,000 authorized at an election held in safd Improvement District No. 2 on November 19, 1957) consisting of three hundred fifty bonds, nmbered 1 to 39, both inclusive, of the denomination of $1,000 each, -1- all dated March 1, 1958. c MATURITIES: The bonds will mature In consecutive numerical. order on March 1 in the amounts for each of the several years as follows: Principal Amount m Years Inclusive 1959 1W 1%1 1962 1%3 1%4 1965 1% 1%7 1%8 1969 1970 1971 1972 1973 Principal Years Inclusive 1974 INTERE3'rt The bonds shall bear interest at the rate of 5% per annum, payable annually the first year and semiannually thereafter. PAPMEN": Sald 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 the Bank of America National "rust and Savings Association in hs Angeles, California, or San Francisco, California or at any fiscal agency of €he district in Chicago, Illinois, or Mew Pork, New Pork, at the option of the holder, REGISTRATIO": - principal and interest, I The bonds will be coupon bonds registerable only as to both ALTERNATIVES - MCE CALLABLE - CALLABIE: Bidders may bid for bonds on either "Alternative A" or "Alternative B" (specified below) or may bid upon both alternatives. If the district decides to idsue bonds under "Alternative 8" the bonds will not be subject to call or redemption prior to maturity. If the district decides to issue bonds under "Alternative Bw the bonds matur- ing on or prior to March 1, 1%8, shall not be subject to call or redemption prior to maturity. The bonds maturing on or after March 1, 1%9, or any of them, may be called before maturity and redeemed, at the option of the Board of Directors, on &ch 1, 1968, or on any interest payment date thereafter prior to maturity at a redemption price for each redeemable bond equal to the principal amount thereof plus the following premiums if redeemed a% the following times: On or after March 1 1%8 1%9 1970 1971 1412 1973 I I 194 1975 1976 c And prior to March 1 PremiUBl 1%9 lsx, 1971 1412 1973 1974 1975 1976 Maturity All or any of the bonds subject to call (under "Alternative B") may be called for re- demption at any one tinae, If less than all the bonds are redeemed at any one time such bonds shall be redeemed only in inverse order of maturity and number beginning with the highest numbered bond. PURPOSE OF IS,SLJE: Said bonds were authorised for the aequisition and con- struction of water transmission pipelines with appurtenances and appurtenant works, -2- c SECURITY: Said bonds are issued pursuant to the provisions of the Wcipal Water Mstrict Act of 1911. 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 districts bonds as it becomes due the Board of Directors must cause atax 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. Under said Act if the revenues of the district or of the It 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 that the bidder offers par and accrued interest to the date of delivery, the premium, if any, and the alternative under which the bidder offers to buy said bonds. each alternative 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. Each bidder shall for Highest Bidder: The bonds will be awarded to the highest responsible bidder or bidders on the alternative under which the district decides to issue said bonds considering the premium offered, if any. The highest bid will be determined Q deduct ing 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 arid the award will be made on the basis of the lowest net interest cost to the district. The purchaser must pay accrued interest computed on a 3a-day year basis from the date of the bonds to the date of delivery. will be borne by the district. The cost of printing the bonds Right of Rejection: The district reserves the right, in its discretion, to accept the best bid on the alternative under which it decides to issue the bonds or 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 district will take action awarding the bonds or rejecting all bids not later than twenty-six hms after the expiration of the time herein pre- scribed for the receipt of proposalsj provided, that the award may be made after the expiration of the specified the 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 Jeff’ries Banknote Company, 117 Winston Street, Ins Angeles, California, or at any place agreeable to both the Treasurer of the district and the successful bidder. Prompt delivery, Cancellation for Late Delivery: The successRrl bidder shall have the right, at his option, to cancel the con- It is expected that said bonds will be delivered to the successful bidder within forty days fromthe date of sale thereof. tract 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 en- velope, addressed to the district with the envelope and bid clearly marked Vroposal for Carlsbad Municipal Water Mstrict - Improvement District No. 2 - Election 1957, series 1 Bonds.” Bid Check: A certified or aashierfs check on a responsible bank or trust - I I Company in the amount of 3% of the principal amount of the bonds, 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 proposal will be returned promptly. Change in Tax Exempt Statuss 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 Bureau of Internal Revenue or by a decision of any federal court, ox shall be decrlarsd 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 & lkyers, Attornep, 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. 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 litigation pending affecting the validity of the bonds. INFORMLTION AVAILABLX: Requests for information concerning the district should be addressed to : c I@. Max 0. Ewald, Secretary Carlsbad Municipal Water District 2- Pi0 Pic0 Drive Carlsbad, California -or- Schwabacher & Co. ID0 Montgomery Street San Francisco 4, California GIVEN by order of the Board of Directors of CARISBAD PlllNIC1PA.L WATER DISTRICT adopted January 13* 1958. Max 0. Evald Secretary of the Board of Directors of Carlsbad Mcipal Water District ADOF'TF,D, SIGNED AND APPROVED THIS 13th day of January 1958. /-' A7 ~ * President of/the hard ofDirectors of Bf,, et_,srg Secretary of the Board of Directors of Carlsbad Municipal Water District (-1 STATE OF CALIFORNIA),,. COUNTY OF SAB DIEGO) c Carlsbad Mmicipal Wateg Di strict I, Max 0. Ewald, secretary of the Board of Directors of Carlsbad Mm&Oipal Water District, DO HEIiEEE CERTIFY that the foregoing resolution was duly adopted by the Board of Directors of said District at an adjourned regular meeting of sad Board held on the 13th day of January, 192, and that it was so adopted by the following vote: AYES : Directors: EWALD. F'RY. KELLY, ROGERS, GREEK NOES: Directors : NOm ABSENT: Ml%ctors: NOHE Secretary of'Carlsbad Eelpal Water District- and of the Board of- Directors thereof .