HomeMy WebLinkAbout48-04 P SOL 0N NO. t
PROVIDING FOR THE ISSUANCE OF $~07,000 PRINCIPAL ANOUN~ OF
"CITY OF UKIAH 1948 IMPROVEMENT BONDS," PRESCRIBING THE DATE
AND FORM OF SAID BONDS AND OF THE COUPONS TO BE ATTACHED THERE-
TO; FIXING THE MAXIMUM RATE OF INTEREST ON SAID BONDS, AND
PRESCRIBING THE MATURITIES THEREOF; AUTHORIZING THE EXECUTION
OF SAID BONDS AND COUPONS; PROVIDING FOR THE LEVY OF A TAX
TO PAY THE PRINCIPAL AND INTEREST THEREOF; AND DIRECTING
NOTICE OF SALE OF SAID BONDS TO BE GIVEN,
WHEREAS, all the requirements of law have been complied
with in calling and holding the special bond election held in the
City of Ukiah on April 13, 1948, at which election the proposi-
tions to issue bonds of said City in the aggregate principal
amount of $407,000 for the objects and purposes hereinafter
stated were submitted to the voters of said City; and the City
Council of said City did duly and regularly canvass the returns
of said election and did as.the result of such canvass determine
and declare, and do hereby certify that said propositions, and
each thereof, received at said special bond election the
affirmative vote of more than two-thirds of all of the voters
voting on said propositions, respectively, at said election,
and were thereby carried and adopted by said election, and t~e
issuance of said bonds by said City was duly authorized,
NO____W, THEREFORE, BE IT RESOLVED, by the City Council
of the City of Ukiah, as follows:
Section 1. That all acts, conditions and things
required by law to exist, happen and be performed precedent to
and in the issuance of said bonds have existed, happened and
form and manner as required by law,
been performed in due time,
and said City of Ukiah is now authorized pursuant to each and
every requirement of ~aw to incur indebtedness in the manner
and form as in this resolution provided.
Section 2. That bonds of the City of Ukiah shall
issue to pay the cost of the acquisition, construction and
completion of the municipal improvements of said City set forth
in the following propositions, and each thereof, to wit:
PROPOSITION (A): Shall the City of Ukiah incur
bonded indebtedness in the amount
of $64,000.00 in lawful money of
the United States for the construction of improve-
ments consisting or'additions and alterations of the
sewage disposal plantof the City of Ukiah consisting
of sludge beds, digester, clarifier, chlorinating
houses and equipment, flow recorder, tractor and plow,
pumps, valves and pipe lines and other necessary
equipment and appurtenances for the operation thereof?~
PROPOSITION (B): Shall the City of Ukiah incur
bonded indebtedness in the amount
of $86,000.00 in lawful money of
the United States for the~construction of sewers,
a municipal improvement consisting of sewer mains,
laterals, rights ofway, man holes, lamp holes, and
appurtenances for the disposal of sewage of said
City of Ukiah?
PROPOSITION (C): Shall the City of Ukiah incur bonded
indebtedness in the amount of
$257,000.00 in lawful money of the
United States for~!the construction of the water
reservoir and distribution system, a municipal improve-
ment consisting of water reservoir, with a capacity of
two and one-half million gallons, together with addi-
tional water distribution system consisting of pipe
lines, mains, valves, pumps, and rights of way, and
the necessary appurtenances for the storage and distribu-
tion of water in said City of Ukiah? ~
Section 3. That said bonds shall be issued as here-
inafter set forth, and shall be sold in accordance with law at
not less than their par value and accrued interest. Said bonds
shall be $407,000 in aggregate principal amount and shall be
known as "City of Ukiah 1948 Improvement Bonds." Said bonds
shall be negotiable in form, and of the character known as
serial and shall be 407 in number, numbered consecutively from
1 to 407, both inclusive, of the denomination of $1,000 each.
Said bonds shall be dated October 15, 1948 (which is hereby
fixed and determined to be the date of the issue of such bonds).
Ail of said bonds shall bear interest from their date until
paid at the rate or rates designated by the City Council of
the City of Ukiab at the time of the sale of said bonds, but
not to exceed six (6) per cent,per annum, payable semi-annually.
Such interest shall be evidenced by coupons attached to each
bond, and each of said coupons shall represent six months'
interest on the bond to which it is attached. Said interest
coupons shall be payable on the 15th day of June and the 15th
day of December in each year until and at the respective dates
of maturity of said bonds (except the first coupon on each bond
which shall represent interest from October 15, 1948 to
December 15, 1948). Said bonds shall mature and be payable
in consecutive numerical order, from lower to higher, as
follows, to wit:
$15,000 principal amount of bonds shall mature
and be payable on June 15th in each of
the years 1949 to 1968, both inclusive:
$20,000 principal amount of bonds shall mature
and be payable on June 15th in each of
the years 1969 to 1972,~ both inclusive; and
$27,000 principal amount of bonds shall mature
and be payable on June 15, 1973.
Both the principal of and interest on said bonds shall be payable
at the office of the Treasurer of the City of Ukiah, in Ukiah,
California, in lawful money of the United States of America.
Section 4. Said bonds and coupons shall each be
substantially in the following form, the blanks in said forms
to be filled with appropriate words or figures, namely:
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
Mendocino County
No.
CITY OF UKIAH 1~48 IMPROVEMENT BOND
$1,000
The CITY OF UKIAH, a municipal corporation organized
and existing under the Constitution and laws of the State of
California, hereby acknowledges itself indebted and for value
received, promises to pay to the bearer (or if this bond is
registered, to the registered holder hereof) on the fifteenth
day of June, 19 ....
.... THO SA O ( ,000) O0 LARS,
together with interest thereon at the rate of (~)
per cent. per annum until payment of said principal sum in full,
payable semi-annually on the 15th day of June and the 15th day
of December of each year. Unless this bond is registered, such
interest, prior to maturity, shall be payable only on presenta-
tion and surrender of the proper interest coupons hereto attached
as they respectively become due. Both the principal of and
interest on this bond are payable in lawful money of the United
States of America at the office of the Treasurer of the City of
Ukiah, in Ukiah, California.
This bond is one of a duly authorized issue of bonds
of said City aggregating Four Hundred Seven Thousand (407,000)
Dollars in principal amount, all of like tenor and date (except
for such variations, if any, as may be required to designate
varying numbers, maturities or interest rates) and is issued
under and pursuant to the Constitution and statutes of the State
of California, and under and pursuant to the ordinances and
proceedings of said City duly adopted and taken and a vote and
assent of more than two-thirds of all the qualified electors of
said City voting at a special election duly called and held for
that purpose.
It is hereby certified, recited and declared that all
acts, conditions and things required by law to exist, happen and
to be performed precedent to and in the issuance of this bond
have existed, happened and been performed in due time, form and
manner as required by law, and that the amount of this bond, to-
gether with all other indebtedness of said City, does not exceed
any limit prescribed by the Constitution or statutes of said
State, and that provision has been made as required by the Con-
stitution and statutes of said State for the collection of an
annual tax sufficient to pay the principal of, and interest on,
this bond as the same becomes due. The full faith and credit
of said City are hereby pledged for the punctual payment of the
principal and interest on this bond.
This bond may be registered in the manner provided by
law and thereafter the principal hereof and interest hereon shall
be payable only to such registered owner.
IN WITNESS WHEREOF, the City of Ukiah has caused this
bond to be executed under its official seal, signed by its Mayor
and its Treasurer, and countersigned by its Clerk, and has
caused the interest coupons attached hereto to be signed by its
Treasurer, and this bond to be dated the 15th day of October,
1948.
Mayor of the City of Ukiah
Countersigned:
Treasurer of the City of Ukiah
City Clerk of the City of Ukiah.
(form of Coupon)
Coupon No.
On the fifteenth day of l~~
the City of Ukiah will (unless the within
mentioned bond be registered) pay to bearer
at the office of the Treasurer of said
City, in Ukiah, California,
Dollars
in lawful money of the United States of
America, being six months' interest
then due on its 1948 Improvement Bond
dated October 15, 1958.
NO.
TreasureP of the City of Ukiah,
California.
Section 5- The Mayor of said City of Ukiah and the
Treasurer of said City are hereby authorized and directed,
respectively, as such officers, to execute each of said bonds
on behalf of said City, and the City Clerk, or one or more of
his deputies, is hereby authorized and directed to countersign
each of such bonds and to affix the official seal of said City
thereto. Said Mayor and Treasurer are hereby each, respectively,
authorized to cause said bonds to be signed by their printed
lithographed or engraved facsimile signatures. Said Treasurer
is hereby, authorized and directed to sign each of the interest
coupons by printed, lithographed or engraved facsimile signature.
Such signing, countersigning and sealing as herein provided
shall be a sufficient and binding execution of said bonds and
coupons by said City, and all such signatures and countersignatures,
excepting that of the City Clerk or his deputies, may be printed,
lithographed or engraved. In case any of such officers whose
signatures or countersignatures appear on the bonds or coupons
shall cease to be such officer before the delivery of such bonds
to the purchaser, such signature or countersignature shall never-
theless be valid and sufficient for all purposes the same as
though they had remained in office until the delivery of the
bonds.
Section 6. For the purpose of paying the principal of
and interest on said bonds, the City Council of the City of Ukiah
shall, at the time of fixing the general tax levy and in the
manner for such general tax levy provided, levy and collect
annually each year until said bonds are paid, or until there
shall be a sum in the treasury of said City set apart for that
puz!oose to meet all sums coming due for principal and interest
on such bonds, a tax sufficient to pay the annual interest on
such bonds as the same becomes due, and also such part of the
principal thereof as shall become due before the proceeds of
a tax levied at the time for making the next general tax levy
can be made available for the payment of such principal. Said
tax shall be in addition to all other taxes levied for municipal
purposes, and shall be collected at the same time and in the
same manner as other municipal taxes are collected, and be used
for no other purpose than the payment of said bonds and accruing
interest. Said taxes as collected shall be forthwith paid into
the fund for which the same were levied and collected and which
shall be designated "1948 Improvement Bond Fund," and all sums
6
to become due for the principal of and interest on said bonds
shall be paid from such fund. There shall likewise be deposited
in said fund any moneys received on account of interest accrued
on said bonds, from their date to the date of delivery and
actual payment of the purchase price thereof.
Section 7. There are hereby created and established
three funds, which shall be kept by the Treasurer of said City,
into which shall be deposited the proceeds of the sale of the
bonds~ as follows:
(a) "Sewage Disposal Plant (19~8) Construction Fund,"
by which a record shall be kept of the disbursements of the
proceeds of the sale of not to exceed ~64,000 principal amount
of said 1948 Improvement Bonds (other than accrued interest
received on the sale of said bonds), and such proceeds shall
be applied solely to the purposes and objects specified in
proposition (A) set forth in Section 2 of this resolution; and
(b) "Sewer System (19~8) Construction Fund," by which
a record shall be kept of the disbursement of the proceeds of
the sale of not to exceed $86,000 principal amount of said 19~8
Improvement Bonds (other thau accrued interest received on the
sale of said bonds), and such proceeds shall be applied solely
to the purposes and objects specified in proposition (B) set
forth in Section 2 of this resolution.
(c) "Water Works (1948) Construction Fund," by which
a record shall be kept of the disbursement of the proceeds of
the sale of not to exceed $257~000 principal amount of said 1948
I~orovement Bonds (other than accrued interest received on the
sale of said bonds), and such proceeds shall be applied solely
to the purposes and objects specified in proposition (C) set
forth in Section ~ of this resolution.
Any premium received upon the sale of the bonds of
said issue shall be apportioned to the respective funds described
above under subparagraphs (a), (b) and (c) of this Section 7 in
the proportion which the amount so to be placed in such fund,
respectively~ bears to the total amount of the bonds authorized
for thepuEsoses set forth in propositions (A), (B) and (C) herein-
above mentioned.
Section 8. The citY Clerk is directed to cause a
sufficient number of blank bonds and coupons of suitable quality
to be lithographed, printed or engraved, and to cause the blank
spaces thereof to be filled in to comply with the provisions
hereof, and to procure their execution by the proper officers,
and to deliver them~ when so executed, to the Treasurer of said
City who shall safely keep the same until they shall be sold by
the said City Council; whereupon he shall deliver them to the
purchaser or purchasers thereof, on receipt of the purchase price.
Said Mayor~ Treasurer and City Clerk are further auth°rized and
directed to make, execute and deliver to the DGrchaser of said
bonds a signature and no-litigation certificate in the form
usually required by purchasers of municipal bonds generally~
certifying to the genuineness and due execution of said bonds
and further certifying to alR. facts within their knowledge
relative to any litigation which may or might affect said City,
said officers or said bonds, and said Treasurer is further
authorized and directed to make~ execute and deliver to the
purchaser of said bonds a Treasurer's Receipt in the form
usually required by purchasers of municipal bonds, evidencing
the payment of the purchase price of said bonds~ which receipt
shall be conclusive evidence that said purchase price has been
paid and has been received by said City. Any purchaser or
subsequent taker or holder of said bonds is hereby authorized
to ~e~y upon and shall be justified in relying upon any such
signature and no-litigation certificate or Treasurer's Receipt
with respect to said bonds executed pursuant to the authority
of this resolution.
Section ~. All of said bonds shall be offered for
public sale by the City Council of the City of Ukiah on the
6th day of October, 19~8, and the City Clerk is hereby authorized
and directed to cause notice of the sale of said bonds to be
published once in REPUBLICAN PRESS, the official newspaper of
said City~ and such notice shall be substantially in the
following fo~m, to wit:
OFFICIAL NOTICE OF SALE
CITY OF UKIAH 1948 IMPROVEMENT BONDS
NOTICE IS HEREBY GIVEN that sealed propo.Bals will
be received by the City Council of the City of Uklah, State
of California, at the office of the City Clerk thereof, in
the City Hall, Corner South School and Church Streets, in
Ukiah, California, on
W O SDA¥, OCTOBER 6,. 1948,
at the hour of 11:00 A.M..(C.D.S.T.) for the purchase of'
$407,000 principal amount of bonds of said City designated
"City of Ukiah 1948 Improvement Bonds," more particularly
described below:
ISSUE:
$407,000, consisting of 407 bonds,
numbered 1 to 407, both inclusive, of
the denomination of $1,000 each, all
dated October 15, 19~8.
MATURITIES:
Said bonds mature serially, in consecutive
numerical order, from lower to higher, on
June 15th in each year, as follows: $15,000
in each of the years 1949 to 1968; $20,000
in each of the years 1969 to 1972 (all inclusive):
And $27,000 in the year 1973, without option of
prior payment.
INTEREST Maximum six (6) per cent. per annum, payable
RATE: semi-annually on June 15th and December 15th
in each year (except that Coupon No.
1
represents
interest from October 15, 1948 to December 15, 1948)'
Bidders
must specify the rate of interest which the bonds hereby
offered for sale shall bear. Bidders will be permitted to bid
different rates of interest and to split rates irrespective
of the maturities of said bonds. The interest rate stated in
the bid must be in a multiple of one-quarter of one per cent.
per annum, payable semi-annually.
PAYMENT:
Both. principal and interest payable in lawful
money of the United States of America at the
office of the Treasurer of the City of Ukiah.
REGISTRATION:
Coupon bonds will be issued by the City. Such
bonds are registerable only as to both principal
and interest.
PURPOSE OF
ISSUE:
Said bonds are authorized for the purpose of
acquiring, constructing and completing the
improvements of the sewage disposal plant,
sewer system and water works system of said
city.
SECURITY: Said bonds are general obligations of the City
of Ukiah and said City bas power and is obligated
to levy ad valorem taxes for the payment of said bonds and the
interest thereon upon all property within the City of Ukiah
subject to taxation by said City (except certain intangible
personal property, which is taxable at limited rates) without
limitation of rate or amount.
10
TAX FRCEMPT In the event that prior to the delivery
STATUS: of the bonds the income received by private
holders from bonds of the same type and
character shall be declared to be taxable under any Federal
Income Tax Laws, either by the terms of such laws or by ruling
of a Federal Income Tax authority or official which is followed
by the Bureau of Internal Revenue, orby decision of any Federal
Court, the successful bidder may, at his option, prior to the
tender of said bonds by the City be relieved of his obligation
under the contract to purchase the bonds and in such case the
deposit accompanying his bid will be returned.
~I~GAL OPINION: The legal opinion of Messrs. Orrick,
Dablquist, Neff & Herrington, of San
Francisco, approving the validity of
said bonds will be furnished to the successful bidder without
charge.
TERMS OF SALE
Highest Bid: The bonds will be awarded to the highest and
best bidder considering the interest rate or
rates specified and the premium offered, if any. The highest
bid will be determined by deducting the amount of the premium
bid (if any) from the total amount of interest which the City
would be required to pay from the date of said bonds to the
respective maturity dates at the coupon rate or rates specified
in the bid, and the award will be made on the basis of the low-
est net interest cost to the City. The lowest net interest cost
shall be computed between the dates aforesaid according to
'standard bond interest tables. 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 City.
Right of
Rejection:
The City of Ukiah reserves the right, in its
discretion, to reject any and all bids and
to waive any irregularity or informality in
any bid.
prompt Award: The City Council of the City of Ukiah will
take action awarding the bonds or rejecting
all bids not later than 24 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 the City Council notice
in writing of the withdrawal~of such proposal.
Prompt Delivery:
Delivery of said bonds will be made to the
successful bidder at the office of the City
Treasurer in Ukiah, California, as soon as
the bonds can be prepared, which it is
estimated will be about November l, 1948.
Right of The successful bidder shall have the right,
Cancellation: at bis option, to cancel the contract of
purchase if the City shall fail to tender the
bonds for delivery on or before'December 1, 1948, and in such
event the successful bidder shall be entitled to the return of
the deposit accompanying his bid.
ll
Fo~m of bid: All bids must be unconditional, for not less
than all of the bonds hereby offered for sale,
and for not less than the par value thereof and accrued interest
to date of delivery. Such bids, together with bidders' check,
must be enclosed in a sealed envelope addressed to the City
Council of the City of Ukiah and endorsed "Proposal for City of
Ukiah 19~8 Improvement Bonds."
Bid Check: With each bid must be submitted a certified
check or cashier's check for $5,000, drawn
on a bank or trust company transacting business in the State of
California, payable to the order of the City Treasurer of the
City of Ukiah to secure the City from any' loss resulting from
the failure of the bidder to comply with the terms of his bid.
In addition, bidders are requested (but not required) to
supply an estimate of the total net interest cost to the City
on the basis of their respective bids, which shall be considered
as informative only and not binding on either the bidder or the
City. Checks of the unsuccessful bidders will be returned by
the City by mail upon the award of the bonds. No interest will'
be paid upon the deposit made by any successful bidder.
FINANCIAL STATEN_ENT
Information relative to the financial condition of the
City of Ukiah will be furnished to any bidder upon request.
There is no controversy or litigation pending or
threatened concerning the validity of the above issue, the cor-
porat~~ existence of the City, or the title of the officers to
their respective offices.
Dated: September l~, 19~8.
A. R. SPRECKELSEN
City Clerk of the City of Ukiah,
California
Section 10. This resolution shall take effect from
~od after its passage and approval.
PASSED AND ADOPTED this l~th day of September, 19~8,
by the following vote:
AYES-. Council men
.
12
NOES: Councilmen
ABSENT:
Councilmen
Ma~or of/ the (~Ity of ' '
Califo~ia. Ukiah,
Attest:
September ~ 1948.
Presented to and approved by me this lSth day of
~/Ma~6r ~f~h~ evi'ty of Ukiah,
~ C~l~fo~nia.
13
CLERK '$ CERTIFICATE
I, A. R. SPRECKELSEN, City Clerk of the CITY OF UKIAH,
California· do hereby certify that the foregoing is a full, true
and correct copy of a resolution duly adopted at a ~ _
~ meeting of the City Council of the
City o-~Ukiah duly and regularly held at the regular meeting
place thereof on the 15th da~' of September, 1948, of which
meeting all of the members of said Council had due notice and
at which a majority thereof was present; that at.~s_a~id meeting
said resolution was introduced by Councilman -~_----- ~_~
and read in full· and was thereupon, upon motion of Councilman
AYES: Councilmen
· seconded by Councilman
, adopted by the following vote:
NOES:
That I have carefully compared the same with the
original minutes of said meeting on file and of record in my
office and that said resolution is duly entered of record in
Book 3 of Minutes· at pages ~ to . ~/ , inclusive,
and said resolution is a full, true and correct copy of the
original resolution adopted at said meeting and entered in
said minutes. That said resolution has not been amended, modi-
fied or rescinded since the date of its adoption and the same
is now in full force and effect.
WITNESS my hand and the seal of said City of Ukiah,
this /~ _ day' of~_ ,1948.
Cit¥'Cle~k~f the Cit7 of Ukiah,
California