HomeMy WebLinkAbout1987 Resolution No. 011RESOLUTION NO, I/
Sf:R IES Of' 1987
I I c.,,
A RESOLUTION PROVIDING FOR THE NOTICE OF SALE OF SPECIAL
ASStSSMENT DONDS, OF THE CITY OF ENGLEWOOD, COLORADO, FOR PAVING
IJI STR ICT NO, 32, IN THE PRINCIPAL AMOUNT OF $586,000 AND PROVIDING
FOi ( THE PUBLICATION AND MAILING OF THE NOTICE,
w1n:REAS, the City Council of the City of Englewood,
Co l ,,rado, ha s, by Ordinance No, -u_, Series of 1987, created Paving
Di s trict No, 32, for the puqx:,se of construc ting and installing
street pavin<J, curb and gutter and sidewalk improvements, together
wi th n eeessary incidentals, on certain streets ln the City; and
WH EREAS, the City Council has determined that it is
n ec<>ssary t o issue special assessment bonds for the District, for
th e purpo se of paying part of the costs o f such construction and
in sta llation; and
WHEREAS, in accordance with the City Charter , it is
nece5sary to ad ve rtis e for the sale of th e bo nds;
DE IT RESOLVED BY THE CITY COUNCIL OF TflE CITY OF
ENGLE WOOD, COLORADO:
l. Not ice of Bond Sale. That not ice of the sale of
specia l ~~::es sment bonds for Paving District No. 32 i n the lotal
principa l amount of $586,000, shall be given by publication in one
issue of the Englewood Sentine l, a newspaper publi s hed and of
general c irculation in the City, in the edition dated April 8,
1987.
2, Form of Notice. The form of the notice of sale
shall b e substantially as follows:
-27 -
OFfICIAL NOTICE OF BOND SALE
5586,000
CITY OF EN GLEWOOD, COLOR~DO
PAV! NG DISTRICT NO, J 2, SPECIAL ASSESSMENT BONDS
SAU DATF.: 2:00 P.M., MONDAY, MAY 18, 1987
PUBLIC NOTICE IS HEREBY GIVEN that the City Council of
th e City of Englewood, Colorado, (the "City") will on Monday,
Ma y 18, 1987, at 2:00 P.M. local time, at the office of the
Dir e ctor of Financ e , 1400 So. Elati Street, in Englewood, Colorado
80110, r e ceive sealec! bids and publicly open the same for the
purch as e of the regist ~red special assessment bonds of the Citv,
more particularly described below:
BOND PROVISIONS
ISSUE: City of Englewood, Colorado, Paving Distric.t
No. 32 Special Assessment Bonds, in the principal amount of
$586,000, dated June I, 1987, consisting of registered bonds in
the denomination of $1,000 each (the "Bonds"),
MATURITIES: All Bonds shall mature on August l, 1998,
For the purpose of comparison only, bids shall be submitted on the
following estimated dates of payment:
ESTIMATED PAYMENT DATE (August l)
~ Amount
1988 $201,000
1989 100,000
1990 85,000
1991 60,000
1992 60,000
1993 40,000
1994 40,000
The above estimated payment dates ~re based upon past
experience of redemption by the City and their accuracy is not
guaranteed.
-28 -
I
INTEREST RATES AND LIMITATIONS: The maximum net
effective interest rate shall not exceed twelve percent ( 12\) per
annum.
A. Interest shall be payable to the registered owner
I.h e r eo f and payable on Fcbrc,ry 1 and August l each year,
L,1m111 c ncing February 1, 1988 .
o. Separate or different "A" and "B" lnteredt rates
ma y b e bid for each estimated payment date, but bids based on
split interest rates for any one estimated payment date will not
be a c cepted,
C. Each rate stated must be in multiples of one-eighth
(1 /8) o r one-twentieth (l/20) of one percent (11) per annum.
PAYMENT AND REGISTRATION: The principal of and premium,
if any, on the Bonds shall be payable in lawful money of the
United States of America to the registered owner of each 0-Jnd upon
presentation thereof, at the principal office of The First
National Bank of Englewood, in Englewood, Colorado, as paying
a<Jent. Interest on the Bonds is payable to the person in whose
name each Bond ls registered, at his address as it appears on the
registration books maintained by or on behalf of the City by The
First National Bank of Englewood, in Englewood, Colorado, as bond
registrar. The initial registration of the bonds by the bond
registrar shall be at the issuers' expense, Subs,quent transfer
and registration fees shall be at the owner•~ expense.
PRIOR REDEMPTION: Bonds ar subject to redemption at
the option of the City, in di ~ct numerical order on any interest
payment date upon payment of par and accrued interest.
SECURITY: The Bonds are payable solely from special
assessments to be levied against the property within the District
specially benefited by the construction and installation of the
improvements, In addition, the Charter of the City and the
ordinance authorizing the issuance of Bonds pro vi de: "Whenever a
Public Improvement District has paid and cancelled four-fifths
(4/5) of its bonds outstanding, and for any reason the remaining
-29 -
d ssessments are not paid in time to take up the f Ina! t,onds of the
di s trict and i.1terest thereon, then the City shall pay said bonds
when due and interest due thereon, and reimburs e ltself by
cC1 llecting the unpaid assessments due said district".
I\UTIIOfdZATION: An Ordinance authorizing the issuance of
t.he llonds will be considered on first reading by the City Council
o n Monday, May Ill, 1987, and on final reading, on Monday, .June 1,
I 907, and will bl? issued in accordance with Sections 107 and 110
of the City Charti,r.
PURPOSE OF ISSUE: The Bonds herein offered for sale
wi i I be :ssued for the purpose of paying part of the cost of
constructing and installing street paving, curb and ()Utter and
sidewalk improvem,,nts, together with necessary incidentals, on
certain streets within Paving District No, 32 in the City.
TERMS OF SALE
BID PROPOSALS: Any bidder is required to submit an
unconditional and written bid for the entire issue, specifying the
interest rate or rates and premium, if any, at which the bidder
will purchase the Bonds. No bids will be considered for less than
par and accrued interest. A bid form shall be provided by the
City and it is requested for informational purposes that each bid
disclose the total net interest cost in dollars and cents and the
net effective interest rate. E:ach bid must also be in a sealed
envelope addr.assed to Mr, Gary R. Higbee, Director of Finance,
City of Englewood, 3400 So. Elati Street, in Englewood, Colorado
80110,
BID CHECK: Each bid shall be accompanied by a cashier's
check or a certified check of a bank or trust company made payable
to the City of Englewood, Colorado, in the amount of $17,500, or
by a cash deposit in the same amount. Such check or cash deposit
will be held as evidence of good faith pending the delivery of the
Bonds, which deposit (check or cash) shall be promptly returned to
any such bidder if the bid is not accepted.
-30 -
I
I
TAX STATUS: In the opinion of bond counsel, under
existing laws, regulations, rulings and judicial decisions, the
int erest on the Bonds is excluded from gross inco me for federal
in come tax purposes and is also excluded from gross income for
Cnlorado income tax purposes, all as more par t. lcularly described
und,•r the section e ntitled TAX EXEMPTION in the Offering Circular.
If, prior to the delivery of the Bonds to the successful bidder
therefor, the income received by private holder s of obligations of
th e same type and character shall be taxable or shall be required
t o be used in any income tax computation by the terms of any
federal or Colorado law hereafter enacted, the successful bidder,
at hi s e l ec tion may, prior to the tender by the City of the Bonds
for uci Ivery, be relieved of the obligation under the contract to
purchase the Bonds, In such case the contract to purchase the
Bonds will terminate, and the deposit accompanying the purchas~r•s
bid will be returned to the purchaser upon written request
therefor. Any such option shall be exercised by a letter
addressed to the bond counsel hereinafter designated and deposited
in 'the United States mails, as first class mail, postage prepaid.
SALE RESERVATIONS: the City reserves the privilege:
(1) Of waiving any irregularity or informality in any
bid;
(2) Of rejecting any and all bids for the Bonds; and
(3) Of reoffering the Bonds for sale in any manner
permitted by law.
BASIS OF AWARD : The Bonds will be awarded to the bidder
offe ring to purchase all of the Bonds at the lowr.,1t net effective
interest rate to the City, If there are two ( :) or more equal
bids for: the Bonds, and such equal bids are the best bids
received, the City will determine in its complete discretion which
bid will be accepted.
TIME OF AWARD: The City will have bids opened at the
time hereinabove specified. An announcement of the best bid will
be made immediately following the bid opening. The City intends
-31 -
to take action to award the best bid by resolution of the City
Counci 1 at a meeting to be held on May 18, 1987.
M.~NNER AND TIME OF DELIVERY: The deposit from the best
bidder will be credited to the purchase at the time of delivery of
the llonds (without accruing interest), If the successful bidder
fo r the llonds fails or neglects to complete the purchase of the
llo ru.l s within ten (10) days next after the Bonds are made r e ~dy and
a re tendered by the City for delivery, the amount of this deposit
will be forfeited (as liquidated damages for noncompliance with
the bid) to the City, except as hereinafter provided. It is
anticipate d that delivery of the Bonds will be on or about July 2,
1987.
PAYMENT AT AND PLACE OF DELIVERY: The successful bidder
or bidders will be required to accept delivery of, and to make
p a yment of the balance due for, the Bonds:
(l) At some bank or trust company in Denver, Colorado;
or
(2) At the successful bidder's request and expense, in
either New York City or Chicago.
Payment of the balance of the purchase price due at delivery must
be made in federal funds or other funds acceptable to the City and
to the bank or trust company designated as the place of delivery
for immediate and unconditional credit to the City, or as directed
by the City. The balance of the purchase price, including any
premium, must be paid in such funds and not by cancellation of any
inte rest, nor by any waiver of Interest, nor by any other
concession as a substitution for such funds.
CUS IP NUMBERS: It is not anticipated that CUSIP
identification numbers will be printed on the Bonds.
CERTIFICATE CONCE .~NING THE INITIAL REOFFERING PRICES:
SIMULTANEOUSLY WITH OR BEFORE DELIVERY OF TllE BONDS, THE
SUCCESSFUL BIDDER SHALL FURNISH TO THE CITY A C~RTIFICATE
ACCEPTABLE TO BOND COUNSEL TO THE EFFECT THAT (I) THE SUCCESSFUL
BIDDER HAS MADE A BONA FIDE PUBLIC OFFERING OF THE BONDS AT THE
INITIAL REOFFERING PRICES AND (II) A SUBSTANTIAL AMOUNT OF THE
-3 2 -
I
BONDS WAS SOLD TO TllE PUBLIC (EXCLUDING BOND HOUSES, BROKERS MID
OTllER INTERMEDIARIES) AT SUCH INITIAL REOFFllRING PRICES, Bond
Counsel advises that (i) such certificate must be made on the best
kn o wledge, information and belief of the succossful bidder, ( i ·)
t h,• s a le to the public of 10\ or more in par amount of the bo ·
o f each maturity at (or '>elow) the Initial Reoffuring Prices would
l w ,.u fficient to certify as to the sale of a sulrntantlal amount o f
th,, bonds, and (iii) reliance on other facts as a basis for such
cc rl ification would require evaluation by Bond Counsel to assure
co mpliance with the applicable provisions of the Internal Revenue
Code o f 1986, as amended.
LEGAL OPINION, BONDS AND TRANSCRIPT: The legality of
th e bo nd issue will be approved by the finn of Lamm & Edstrom,
P.C., 600 17th Street, Suite 2500 South Tower, Denver, Colorado
80202, whose unqualified approving opinion, tor1ether with the
printed bonds, a certified transcript of the pro~ecd '~gs,
in c luding a certificate stating that there is no litigation
pending affecting the validity of the Bonds as of-the date of
their delivery, and other closing documents, will be furnished to
the purchaser. A certified true copy of the approving opinion of
bond counsel for the issue will be printed on each bond thereof at
th ~ City's expense. Bond counsel's approving opinion will recite,
ln c o nventional form, that bond counsel has examined tht1
constitution and laws of the State of Colorado, the Home Rule
Charter of the City, and a certified copy of the record of the
proceedings of the City Council taken preliminary to and in the
issuance of the Bonds and that bond counsel has found the same
properly executed and in due legal form. The opinion will express
an unquall' ,ed opinion as to legality, as to tax exemption of
interest and as to the security consistent with the provisions of
the paragraph of this notice entitled "Security",
The matters passed •Jpon by bond counsel do not extend
heyo nd those ment toned in the pr aced Ing paragraph. The opinion
will state that bond counsel has not Independently investigated or
-33 -
verifi e d the adequacy e~,d accuracy of the info r m~ti o n c ontained in
the Official Statement, Prospectus, Offering Clrcul,1r or other
similar documents, if any, and therefor assume ,; n o res(Xlnsibility
for th e accuracy, completeness or fairness of any statements made
in connecdon with any purchase or sale of any of the Bonds,
HIFORMATION: This Official Notice of Bond Sale, and
( inancial and other infc,~matlon concerning the District and the
l>o nds may be obtained from Hanifen, Imhoff Inc,, 1125 l 7th Street,
S uite 1600, Denver, Colorado 80202, or Gary R. Higbee, Director
of Finance, City of E:ngl1'wood, Colorado, 3400 So. E:l~~i Street,
Denver, Colorado 80110,
By order of the City Council of the City of E:nglewood,
Colorado, this 6th day of April, 1987.
( S E A L ) /s/ Gary R. Higbee
Director of Finance
-34 -
Sl.'1MARY NOTICE or BOND SALE
$586,000
CITY OF ENGLE\,,\'.JOD, COLORADO
S PECIAL ASSESSMENT BONDS, PAVING DISTRICT NO. 32
Sealed bids will be received at th e office of the
Dir ec t o r ,,[ Finance o f the City of Englewood, Colorado, 3400 So.
El ll ti St., in Engle"'Jod, Colorado 801!0.
Sale Date:
Time:
Bonds Da t.ad:
Maturity:
Legal Opinion:
Monday, May 18, 1987
2:00 P,M, local time
June 1, I 98 7
August I, 1998
Lamm & Edstrom, P,C ,
Denver, Colorado
For copies of the official Notice of Sale and Offering
Circular o f the City, please c o ntact the Financial Consultant of
the City, llanifen, Imhoff Inc,, 1125 17th Street, Suite 1600,
Denver, Colorado 80202, or the Director of Finance of the City,
34 00 So. Elati, Englewood, Colorado 80110,
Dated as of April 6, 1987.
Gary R. Higbee
Director of Finance
Englewood, Colorado
-35 -
] . Financial Consultant. In addition to the
publication of the notice of sale, the Dir e ctor o f Finance and the
Fi,,ancial Consultant are authorized to forward a copy of the
P r os pe c tu s and notice of sale to those investment banking firms,
lJ:inks and others who might be interested in bidding on bonds of
t h e City. The prior action of the City Council in designating
11 ,,n i fe n, Imhoff Inc,, Denver, Colorado, as Financial r.onsultant to
t h e City, is hereby ratified and approved; and that the fee paid
o r t o b e paid to such firm is fair and rcasonal>le compensation for
serv ices in acting as Financial Consultant. Hanifen, Imh o ff Inc.,
may e ither alone or with others, submit a bid f o r the purchase of
the bonds, and in such event, the fee paid or to be paid for
f i nan c ial advisory services shall not be deemed a disco unt for
p ur po ses ol' the par sale requirement.
4. Severability. That if any one or more sections or
parts of this Resolution shall be adjudged unenforcea b le or
invalid, such judgment shall not affect, impair or invalidate the
remaining provisions of this Resolution, it being the intention
that the various provisions hereof are severable.
ADOPTEU A~D APPROVED the 6th day of April, 1987.
Attest:
&tn✓~~~ ell d""(J
Patricia II. Crow, City Clerk
1, Patricia H. Crow, City Clerk of the City of Englewood,
Co lorado, her~by certify tne above and foregoing to be a true
copy of Resolution No. LL., Series of 1987 .
-36-
I
I