HomeMy WebLinkAbout1983 Resolution No. 032nESOLUTION NO, ,M, SERIES OF 1983
A RESOLU'rION PROVIDING FOR THE NP ICE OF SA LE OF US!::
TA X REFUNDING REVENUE BONDS OF TH E CITY OF ENGLEWOOD, COLORADO, IN
THE PRINCIPAL AMOUNT OF $2,320,000 ANO PROVIDING FOR THE PUBLICA-
TION OF THE NOTIC E .
WHEREAS, the City of Englewood, Colorado, h as by Ord i -
nance No , 59, Serie s of 1981, passed and a dopted on Augu s t],
1981 , author i z ed the is ~ua n ce of it s Us e Tax Rev e nue Bonds , Ser i e s
1981A in th e principal a mo u nt of $46~,000, d ated Sep tember 1,
19 8 1, and Use Tax Rev en ue Bond s , Seri e s 1981B in the principa l
amount of $1, 750,00, dated September 1, 1981 (coll e ctively, th e
"O u t s tanding Bond s "); and
WHER EAS , th e Outstanding Bonds are pay a ble from the u se
taxes imposed and coll ec ted by the City, a nd con s titute a f irs t
and pr ior li en o n such pledged r e venu es ; and
WHEREA S , there a re presently out st anding $4 50,000 of the
Se ri es 1 'I U I A Bonds and $1 ,68 5,000 of t he Se ri e ti 198 I 13 Do nd s ; and
1-1111 :REAS , the City Council ha s det ermined that by ref u nd -
,.1,, 1t~tandi11g Series 198 1A a nd Serieti 1981~ Bond s , t il e,·.:
I l 11..:;~u lt a i:u h ~tantial red uction of the toL. .. d p rincip i.Jl (111d
inte re st payable on such oblig ations; and
WHERE AS, Section 106 of the City Chart e r provid es that
the City Counci l ma y author ize the issuance of refunding bonds by
o rdi nance , without a n e lection, for th ,, purpo se o f paying out-
standing bond s of t h e Ci ty; a nd
WHEREAS, the refundi ng bond s and the interest thereon,
shall be payable from the s pecial fund pledged therefor, to
contain the proceeds of the use tax po rtion of the s ales and u se
tax imposed and co llec ted by the City ; and
WH ER EAS , in acco rdance wi t h the p r ov i sions of th e Ci ty
Charte r, it is necessar y to ad vertise for the sa l e o f the bonds;
BE I T RESOLVED BY THE CIT Y COU NCI L OF T HE CI 'fY OF
ENGLEWOOD, COLORA DO:
-l -
1, That notic:e of sale of the bonds J,. the total
pri ncipal amount of .$2,320,000, shall be given by pu 1 l i ca tion i n
o ne i ss ue of the Englewood Sentinel, ~ newspaper published and of
general circulation in the City, in the edition dated May 18,
198 3.
2, The form of the notice of sale shall b-a s ub s t a n-
t ially a s follows, I
-2 -
I
NOTICE OF SALE
CIT¥ OF ENGLEWOOD, COLORADO
USE TAX REFUNDING REVENUE BONDS, SERIES 1983
$2,320,000
BID OPENING: MONDA¥, JUNE 20, 1983, 2:00 P .M .
NO 'l'I CE s ll f:IU::BY GIVEN '!'hat th e City of Engl e wood ,
Colorado, wil l rec e ive sealed bids at the off ice of the Direct o r
of Finance at the Municipal Building, 34 00 So. Elati Streel , in
Eng lewood, Colorado, until 2:00 P.M ., on Mon d ay , June 20, 1983,
for the pu rchase of Use Ta x Refunding Re venue Bonds, Series 1983,
in the principal amount of $2,320,000.
'l'he bo nd s will be registere d a s to both pr incipa l a nd
interes t. The transfer agent for this i ssue of bond s will be The
Fir st Nat i onal Bank of Englewood, Englewood, Colorado. •rh e bonds
11 i ll be da te d Augus t 1, 1983 and be in th e denomination of $5,0 00
vi'1c ti 1 nu mbc.•rc.:d 1 to 464 , in c lusi ve , 'l'he bo nd s 1,o,1ill be a r int c r~st
u l a maximu m r,et e f f ect ive interes t rate not e xc eed i ng 1o i per
~nnu ,n , 1-a y aLJ~ c,~ No vember 1, 198 3 and semi -annually t hcr e at·tcr on
!lt1y 1 ,11: 1 !~uvcmoer 1 e ach y ea r, and ma tur e seriul l y o n No vt ·mbe r I
1·.1.!:U~
$ 4 '.i , OU1J
7 5 ,000
10 0 ,000
150 ,000
200,00 0
22 5 ,00 0
275 ,000
350 ,000
40 0 ,000
500 ,000 *
M,lt UL i.!:.}'.
190 4
1985
1986
1987
1988
1989
1990
1991
1992
199)
*T h e amount maturing i n the year 1993 is subject t o
ch a ng e , and wi l l be dete rmin ed after t he bid opening.
Bo nd s maturing on or be f o re Nov ember 1 , 1986, s hall not
be redeemabl e prior to the ir r espe ctive maturity dat es . Tho se
bon ds ma t uring o n November 1, 1987 and th ere af t e r, are r edeemable
at t he op tion of the Cit y on No ve mber 1, 1986 a nd on a ny interes t
paym ent da te t hereafter, in i nverse numerical o rd e r, upon payment
o f par , a cc rued int e r es t a nd a premium of 11 o{ the princ i p ~l
amou n t so r e deemec.
-) -
The bonds will be awarded on the ba sis of the bid
resulting in the lowest net interest cost for the bonds, Th e
lowest net interest cost is defined as the total amoun,t · o f in te r -·
••t t o accr ue from th e date o~ i ss ue t o the date o t matu r ily,
without rega rd to the prior r e d emption prov isions, l es s t he amoun t
of cash premium bid, if any . Bidd e rs are requested to set f ort h
th e net interest cost and the net effectiv e interest rat e in thei r
bid . No bid for le ss than the par amount will be accept ed .
Interest rat es should be stated in multiples of twenti eths or
eighths of one per cent. The maximum al l owa ble spread between the
highest and lowest interest rat es bid is 2 .0\. The ·maxiLl,um number
of se parate interest rates allowed s hall be five, a lthough th e
same inter es t rate may be repeated . No more than on e int ere~L
rate should be bi d for each maturity.
The bid f or the purchase of th e bond s must be without
condition or reservation and must be accompani e d by a certified or
ca sh i ers check on 3 bank or trust company pa y ab le to the City of
En g lewood in the amount of $50,000. Checks of unsucc essfu l bidders
wi .11 be r e turned p romptly after bid opening. 1'he c heck o[ th"
successful bidder will be reta ined, without interest , and ap pli ed
on bond pu rc hase if the purc hase is c o mp l eted, oth e rwise as
liquidated d am ages .
The bonds wi 11 be issued for t ~e purpo se of r efundi g
v ~ 1d ~n,1 c,l1Ls t a nd ing u se tax revenue bo nd s of the c:ity. ·rh e
; . .n 1 111·.1 .... d i.1111.l tnterest on th e bo nd s wiJ I be p..1y ah l 0 flom th e
.. r.d pletlgt.:d fo 1-the payment of prin1.:i1;...d a nd i nt eres t , to
us e· tax p ttion of the Ba l 0s ancl l!!-~t• t~1x 1mpO:jt.-d by
1 1:nyl1•woou . The bond s !>h ul l ClH1~,L1L utc u (t rsL ... 111.1
.: un tl ,l' spec:ial fund , alt houg l1 not 11ecc-t.~:1r1Jy
1 ... 11(: I 11 i;L l I l.:11 . A more detai l e d s ummu r y o t t h~ bund L elJ.ty ·
~~nc prov i s ions ap pears in the Prospe c t u s . The bo nd s do not
co nstitute an ind e btedness f the City wit hin the mean i ng of any
cons 1tutional , sta tutory or chart e r limitation or provi s ion, and
shal not e consid e red or hel d to be a general obl~ation of the
City . 'he holde r o( the bonds may not look to any general o r
other f u nd of the Ci ty for the payment of the principal of or
llll urc•:L Ori Lh0 bond~.
The award of the bonds will be made by the City Cou ncil
ac the reg u lar meeting on Monday , June 20 , 198 3 , at 7:30 P.M ., or
at an adj ou rnment of the r egular Cou nc il mee t i ng on that dat e .
The City of Eng l ewoorl reserves the privil ege of waiving an y defe c t
or irregu l arity in any b id , and the right t o reject any and all
bids for the purchase o f said bond s .
It is antici p a ted that delivery of th ~ bonds wil l be on
o r about Augus t 8 , 1983.
The City wi l l fu rnish the Pxec uted bonds , a cer tified
transcript of l egal p r o ce~d i ngs and the a pprov Ing l egal op i nion .
The legali ty of the bonds wil l be approved by Messrs. Lamm Edstrom
& Braymer , P . C., Attorney s at Law, Denver , Co l orado , whose
-4 -
I
I
l e gal opinion will be printed on each bond. Bond coun se l',;
approving opinion will recite, in conventional form, that boncl
co uns e l has examined the Constitution a nd Law s of tt,e State of
Culorado and the Char te r o f the City, a certif i e d copy ot th~
record of the proceedings of the Ci ty take~ ·prelimin ary to a nd in
the i s suance of the bonds, and bond numbered one of said i ssue ,
a nd that the Bond has been properly executed and is in du e l egal
fo rm. Th e opinion will st ate that the bond s are valid and lega ll y
binding upon the City, payable solely from the speci a l fu nd
described above, a nd that the obligations incurre d by the City in
i ssuing th e bonds are s ubject to applicable laws of -bankru ptcy and
the reasonable e xer cise of the police power of th e sta t e. '!'ill'
l a s L paragraph o f th e o p ini o n will e x press a n unqualif ied opinio n
as to the e x empt ion of interest on th e bond s fr o m f.e clera l taxa t i o "
nnd fr o m tdxation by the State of Co lorado .
Th ~ matters q s ed upon by bond counsel d o not ex t,rnd
be yond those men tioned i n the preced i ng paragraph. Th e o pinion
will sta te that bond co unsel has not ind e pendentl y inv es tigated
o r verified the adequacy and accur~cy of the information con -
tained in the Officia l Statement, Prospectu s, Off e ring Circul ar or
o ther s imilar do cument s , if any, and ther efore a ss umes no re-
s po n s i 1, i l i ty for the accuracy, compl e te ness or fairness of a n y
~.t a Leme nt s ma d e in connect i on with any pur chase or s al e of a n y of
tl.c bond s .
IHi Ll 1 t 1o nul information conceLning t hi s i s sue a nd the
in: o b t a i n C!d f rom Mr. Gary n . Hi g bee, uire:ctor u f Fin a nc e ,
,,,,il d ing, 3 4 00 So . Elati S t t"ee t , Ellgi l'wo od , Co lor a d o
1 iom li~1n i f en , I mh o ff I n c ., 11 25 S e v(!11Le e n t h St t vL·l,
J, De 1w ('r 1 Co l o r ad o 8 0202 , t he ri n <-1nc i...ll co n s u l t t111t
.._it/. 'J'l1e l'!t y Co u1u.:il h as expres :::ily c o n s e n Led i.11 wLi L 111'.J
a u Lho ri ze Ha n ifen, Imhoff Inc ., eithe r a lone o r with o thers, to
s ubmi t a b id fo r the pu rch ase of th is issue o f bo nd s ,
DATED at Englewood , Colorado, a s of the 6t h day of
J une , 1983 .
( S E I\ L I
A'rTES'l':
/s/ Gar y R. Higbe e
Director of finance ,
City o f Englewoo d , Col o rado
Publi s h in,
; 1blish o n :
Englewood sentinel
Ju ne 8, 1983
-5 -
/s/ E ug e ne L . Otis
Mci yor
City of Eng lewood, Co lo rado
3. In addition to the publication of the not i ce u l
sa le, the Director of Finance and the Financial Co ,,s ult a nt an·
aut ho ri zed to forward a copy of the Prospec~us and notice of sal e
to those investment banking firms, banks and others who might b e
int e r es t e d in bidding on bonds of the City. Th e prior action of
the City Council in designating Hanifen, Imhoff Inc., as Finan -
ci a l Consultant to the City, is hereby ratifi e d . a nd a pp ro v e d ;
an d that the fee paid or to b e paid to s uch firm i ~ f a i r a n d
r e as ona b le comp e n s atio n for se rvi ce s in actin g a s F inan c i u.l
Co n s ult an t. Hanif e n, Im ho f f I nc., may, e i t h er a l one or wi th
other s , submit a bid for the purchase of th e bo nds, and in s uch
event, the fee paid or to be paid for financial advisory service s
,~a ll no t b e d e e med a discount fo r purpose s o f th e par sa l e
r,,qu i rm ent.
4. Th at if any on e o r more section s or part s o f thi s
Re,;ol utio n shal l be ad jud ge d un e n fo rc ea bl e o r inva l id , s uch
j udg ment sh a l l no t a ff e ct, im pa ir o r in va li da t e the rem ain ing
pr o vi i,1or\~; o( th is Resolut i o n, i t be i ng t he lntention t ho L the
i:JL o visio 11 s hereof a r e se ve ra bl e .
'.i . He s ol uti o n No. g, Ser i es or 1~U3 , pas se d a nd
1,,f,L '-'d /Jy 1.:./J r_, C'it y Cou ncil on Mu y 1 6, 19 UJ, 1•v idL l 1HJ l 1.i l l 11..
cons ide r at i on of bid s to be re c eived on May 31, 1983, i s hereby
repealed .
ADOPTED AND APPROVED Th is 6th d ay of June , 1983.
( S E A L )
ATTES 'r :
~ec'$';f~i~·~
ex offic io City Clerk-Treasurer
I
I
I, Gary R. Higbee , t!X officio City Clerk•Treasurer of the
City of Englewood, Colorado, hereby certify that the foregoin g
is a t rue, accurate and complete copy of Resolu tion No. ,S,J., ,
s ~ries of 19 83, approved and ado pted by City Cou ncil the 6th
day of June, 1983.
-7-