HomeMy WebLinkAbout96-259
..
.
.
RESOLUTION NO. 96-259
RESOLUTION AUTHORIZING AND PROVIDING FOR THE EXECUTION, ISSUANCE
AND SALE OF $16,000,000 AGGREGATE PRINCIPAL AMOUNT OF LAKE HA V ASU
UNIFIED SCHOOL DISTRICT NO. 1 OF MOHA VE COUNTY, ARIZONA, SCHOOL
lMPROVEMENT BONDS, PROJECT OF 1996, SERIES A (1996); PROVIDING
CERTAIN TERMS, COVENANTS AND CONDITIONS CONCERNING THE BONDS;
PROVIDING FOR CERTIFICATES OF OWNERSHIP OF SUPPLEMENTAL INTEREST
PAYMENTS; PROVIDING THE FORM OF BONDS AND CERTIFICATES; PROVIDING
FOR THE DISPOSITION OF THE PROCEEDS OF SUCH BONDS AND CERTIFI-
CATES; PROVIDING FOR THE ANNUAL LEVY OF A TAX FOR THE PA'YMENT OF
THE BONDS AND CERTIFICATES; ACCEPTING A PROPOSAL FOR THE PURCHASE
OF THE BONDS AND CERTIFICATES; APPOINTING A REGISTRAR, TRANSFER
AGENT AND PAYING AGENT WITH RESPECT TO THE BONDS AND CERTIFI-
CATES; APPROVING THE FORM OF CONTRACT FOR SUCH RE,GISTRAR,
TRANSFER AGENT AND PAYING AGENT AND AUTHORIZING EXECUTION AND
DELIVERY THEREOF; MAKING CERTAIN TAX COVENANTS; APPROVING A FEE
PAYMENT AGREEMENT FOR PAYMENT TO THE COUNTY TREASURER OF THE
~"'EES AND COSTS OF THE REGISTRAR, TRANSFER AGENT AND PAYING AGENT
AND ARBITRAGE CONSULT ANTS; AND AUTHORIZING EXECUTION AND
DELIVERY THEREOF; ACCEPTING A PROPOSAL FOR THE BONDS AND
CERTIFICATES; APPROVING A BOND PURCHASE AGREEMENT AND
AUTHORIZING EXECUTION AND DELIVERY THEREOF; RATIFYING ALL
ACTIONS TAKEN WITH RESPECT TO THE BONDS AND CERTIFICATES AND THE
PREPARATION AND DISSEMINATION OF A PRELIMINARY OFFICIAL
ST A TEMENT; APPROVING A FORM OF OFFICIAL STATEMENT; AUTHORIZING
EXECUTION OF THE OFFICIAL STATEMENT; MeT]) AUTHORIZING CIRCULATION
OF THE OFFICIAL STATEMENT"
WHEREAS, by the vote of a majority of the qualified electors of Lake Havasu
Unified School District No.1 of Mohave County, Arizona (the "District"), voting at a special
bond election held in and for the District on May 21, 1996, the issuance of School Improvement
Bonds of the District has been authorized; and
WHEREAS, the Governing Board intends to issue bonds in the aggregate
principal amount of $16,000,000 for the purpose of making school improvements in accordance
with the authority granted at the special bond election held in and for the District on May 21,
1996 (the "Bonds"); and
WHEREAS, pursuant to the request of the Governing Board of the District,
$16,000,000 aggregate principal amount of such Bonds and $420,000 of certificates of supple-
mental interest thereon are to be issued and sold at this time; and
WHEREAS, the Governing Board of the District has received a bid from
Peacock, Hislop, Staley & Given, Inc" (the "Underwriter") and said District requested that the
LFW:gmh 142838.1 6/26/96
.
.
.
bonds and certificates of supplemental interest thereon be sold through negotiation to the
Underwriter; and
WHEREAS, by this resolution this Board will approve a bond purchase
agreement (the "Purchase Agreement") to be entered into among the District, the County and
the Underwriter for the sale of the Bonds and Certificates of Ownership of Supplemental Interest
Payments (as defined hereafter) appertaining to such Bonds to the Underwriter; and
WHEREAS, by this resolution this Board will authorize the execution, issuance
and sale of such Bonds and Certificates with respect to such Bonds to the Underwriter in
accordance with the Purchase Agreement;
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPER-
VISORS OF MOHA VE COUNTY, ARIZONA, AS FOLLOWS:
Section 1. Authorization. This Board hereby authorizes to be issued and sold
a series of bonds in an aggregate principal amount of $16,000,000. The bonds so authorized
shall be designated Lake Havasu Unified School District No.1 of Mohave Coumy, Arizona,
School Improvement Bonds, Project of 1996, Series A (1996) (the "Bonds"), and shall be issued
a.nd sold in accordance with the provisions of this resolution and delivered against payment
therefor by the Underwriter.
The Bonds shall mature on July 1 in each of the years 2001 to 2011, inclusive,
a.nd on July 1, 2015, on the dates and in the principal amounts set forth below:
Maturity [ Maturity
Date Principal Interest Date Principal Interest
(July 1) Amount Rate (July 1) Amount Rate
2001 $ 390,000 4.90% 2009 $ 575,000 5.70%
2002 400,000 5.00% 2010 650,000 5.75%
-
2003 425,000 5.10% 2011 690,000 5.80%
2004 475,000 5.20% 2015 10,265,000* 5.90%
2005 500,000 5.30%
2006 510,000 5.40%
2007 550,000 5.50%
2008 570,000 5.625 %
* Term Bond
LFW:gmh 14:2838.1 6/26/96
-2-
.
Section 2. Terms. The Bonds will be dated July 1, 1996, and will bear
interest from their date to the maturity or redemption of each of the Bonds at the interest rates
set forth above (excluding supplemental interest) and principal payable at each interest or
principal payment date set forth above.
The Bonds shall also bear supplemental interest which shall be payable to persons
who are the registered owners of the detached Certificates of Ownership of Supplemental Interest
Payments. Ownership of the supplemental interest payments shall be evidenced by Certificates
of Ownership of Supplemental Interest Payments in the form set forth in Exhibit B attached
hereto (the "Certificates"). Interest payments to the registered owners of the Certificates are
hereby designated as supplemental interest payments. For purposes of any disclosure document
interest payable to the registered owners of the appertaining Bonds may be designated as "A"
interest and supplemental interest payments may be designated "B" interest. The Bond
registrar's registration books shall show the ownership of the Bonds; and also show on a separate
register the Owners of the Certificates..
The Certificates shall be paid on the dates and in the amounts set forth below.
The supplemental interest represents interest on the Bonds commencing on the January 1 or
July 1, as applicable, immediately preceding the specified payment date and ending on the day
immediately prior to the specified payment date, at the interest rates set forth below:
Payment Amount Annualized
. Date Payable Interest Rate Price
1/1/97 $35,000 0.474398% $34,288.45
7/1/97 35,000 0.437500% 33,455.80
1/1/98 75,000 0.937500% 69,878.25
7/1/98 75,000 0.937500% 68,076.75
1/1/99 30,000 0.375000% 26,534.70
7/1/99 30,000 0.375000% 25,843.80
1/1/00 70,000 0.875000% 58,703.40
7/1/00 70,000 0.875000% 57,119.30
Both the Bonds and the Certificates will be administered by the Registrar in a
manner which assures against double issuance and provides a system of transfer of ownership
on the books of the Registrar in the manner set forth in the Bonds and the Certificates. Interest
on the Bonds (other than supplemental interest payments which shall be paid as set forth above)
shall be payable semiannually on each January 1 and July 1 (each an Interest Payment Date)
d.uring the term of the Bonds, commencing January 1, 1997.
.
Interest on the Bonds (other than supplemental interest represented by the
Certificates) will be paid on each Interest Payment Date by check mailed to the registered owner
thereof at such owner's address all shown on the registration books maintained by the bond
registrar, initially, First Trust of Arizona, National Association, having its principal corporate
trust office in Phoenix, Arizona (the "Bond Registrar") as of the close of business of the Bond
LFW:gmh 142838.1 6/26/96
-3-
.
.
.
Registrar on the fifteenth (15th) day of the month preceding an Interest Payment Date (the
"Record Date It).
Principal of the Bonds and supplemental interest represented by the Certificates
will be payable, when due, only upon presentation and surrender of the Bond or Certificate at
the principal corporate trust office of the Bond Registrar.
The Bonds are to be issued in the denomination of $5,000 each or integral
multiples thereof. The Certificates are to be issued in the denomination of $1,000 each or
integral multiples thereof. The Bonds and the Certificates shall be issued in fully registered
form.
The Bonds and the Certificates shall have such other terms and provisions as are
set forth in Exhibits A and B hereto.
Section 3. Prior Redemption.
A. Optional Redemption. Bonds maturing on or before July 1, 2006 are not
subject to redemption prior to their stated maturity. Bonds- maturing on or after July 1, 2007
are subject to call for redemption prior to their stated maturity dates, at the option of the
District, in whole or in part, on July I, 2006, or on any interest payment date thereafter by the
payment of a redemption price equal to the principal amount of each Bond called for redemption
plus accrued interest to the date fixed for redemption plus a premium (calculated as a percentage
of the principal amount of the Bonds to be redeemed) to be computed as follows:
Redemption Dates
Premium
July 1, 2006 and January 1, 2007
July 1, 2007 and January 1, 2008
July I, 2008 and thereafter without premium.
1.0%
0.5%
B. Mandatory Redemption. Bonds maturing on July 1, 2015, are subject to
mandatory redemption prior to their stated maturity, at random, as may be selected by the
paying agent, at a redemption price of par plus interest accrued to the date of redemption, but
without premium on the following dates and in the following principal amounts:
Year
(July 1)
Principal
Amount
2012
2013
2014
2015 (maturity)
$ 710,000
3,010,000
3,185,000
3,360,000
Whenever Bonds maturing on July 1, 2015 are purchased, redeemedl (other than
pursuant to mandatory sinking fund redemption) or are delivered by the District to the registrar
LFW:gmh 142838.1 6/26/96
-4-
.
.
.
for cancellation, the principal amount of the Bonds so retired shall satisfy and be credited against
the sinking fund requirements for such Bonds for such years as the District may direct.
C. Notice of Redemption. Notice of the redemption of any Bond will be
mailed not more than sixty (60) nor less than thirty (30) days prior to the date set for redemption
to the registered owner of the Bond or Bonds being redeemed at the address shown on the bond
register maintained by the registrar. Failure to give proper notice of redemption shall not affect
the redemption of any Bond for which proper notice was given.
D. Effect of Call for Redemption. On the date designated for redemption by
notice given as herein provided, the Bonds so called for redemption shall become: and be due
and payable at the redemption price provided for redemption of such Bonds on such date, and,
if moneys for payment of the redemption price are: held in separate accounts by the paying agent,
interest on such Bonds or portions of Bonds so called for redemption shall cease to accrue, such
Bonds shall cease to be entitled to any benefit or security hereunder and the owners of such
Bonds shall have no rights in respect thereof exce:pt to receive payment of the redemption price
thereof and such Bonds shall be deemed paid and no longer outstanding.
E. Redemption of Less Than All of a Bond. The District may redeem an
amount which is included in a Bond in the denomination in excess of, but divisible by, $5,000.
In that event, the registered owner shall submit the Bond for partial redemption and the paying
agent shall make such partial payment and the Re:gistrar shall cause to be issued a new Bond in
a principal amount which reflects the redemption so made to be authenticated and delivered to
the registered owner thereof.
F. No Certificate Redemption Prior to Maturity. The Certificates may not be
redeemed in advance of the stated respective certificate payment date.
Section 4. Security. For the purpose of paying the principal of, interest on,
premium (if any) on early redemption and costs of administration of the registration and payment
of the Bonds, including interest represented by the Certificates, there shall be levied on all the
taxable property in the District a continuing, direct, annual, ad valorem tax sufficie:nt to pay all
such principal,. interest, premium and administration costs as the same becomes due, such taxes
to be levied, assessed and collected at the same time and in the same manner as other taxes are
levied, assessed and collected. The proceeds of the taxes shall be kept in a special fund entitled
the Debt Service Fund of the District and shall be used only for the payment of principal,
interest, premium (if any) or costs as above-stated. This resolution shall be construed as consent
of this Board of Supervisors to investment moneys in the Debt Service Fund, subject to the
provisions of Section 16 and any restrictions imposed by any entity providing credit enhancement
for the Bonds, in any of the securities allowed by A.R.S. ~ 15-1025. This resolution shall
constitute the continuing consent of this Board of Supervisors to such investment and no further
annual consent need be given.
Section 5. Use of Proceeds. Upon the delivery of and payment for the Bonds
in accordance with the terms of their sale, the net proceeds from the sale of the Bonds (but in
no event an amount exceeding the par amount of the Bonds), after payment of the expenses of
LFW:gmh 142838.1 6/26/96
-5-
.
.
.
issuance, shall be set aside and deposited by the Treasurer of Pima County, Arizona (the
"Treasurer"), in a separate fund entitled the Building Fund of the District. This resolution shall
be construed as consent of the Board of Supervisors to invest such funds, pending use, in any
of the securities allowed by A.R.S. ~ 15-1025. The proceeds of the Bonds shall be expended
only for the purpose set forth in the ballot used at the special bond election wherein issuance of
the Bonds was approved.
Any premium (including proceeds generated from the sale of the Certificates)
remaining after the payment of costs of issuance allocable to the Bonds shall be transferred to
the Debt Service Fund.
Section 6. Form of Bonds and Certificates. Pursuant to A.R.S. ~ 35-491,
a fully registered bond form is adopted as an altemative to the form of bond provided in A.R.S.
~ 15-1023. A registrar and paying agent will be appointed for the administration of the Bonds
and the Certificates. The Bonds and the Certificates shall be in substantially the forms of
Exhibits A and B, attached hereto and incorporated by reference herein, with such necessary and
appropriate omissions, insertions and variations as are permitted or required hereby or by the
Purchase Agreement and are approved by those officers executing the Bonds and such
Certificates; execution thereof by such officers shall comtitute conclusive evidence of such
approval.
The Bonds and such Certificates IIlay have notations, legends or endorsements
required by law, securities exchange rule or usage. Each Bond shall show both the date of the
issue and the date of such Bond's authentication and registration.
The Bonds and such Certificates are prohibited from being converted to coupon
or bearer form without the consent of the Board of Supervisors and approval of bond counsel.
Section 7.
Execution of Bonds and Other Documents.
A. The Bonds and Certificates shall be executed for and on behalf of the District
by its President and attested by its Clerk and countersigned by the Chairman of the Board of
Supervisors of this County by their manual or facsimile signatures. The Chairman is authorized
to execute and deliver a final official statement to be used in connection with the sale of the
Bonds and Certificates. If an officer whose signature is on a Bond or a Certificate no longer
holds that offiCI;: at the time the Bond or Certificates is authenticated and registered, such Bond
or Certificate shall nevertheless be valid.
Neither a Bond nor a Certificate shall be valid or binding until authenticated by
the manual signature of an authorized representative of the registrar. The signature of the
authorized representative of the registrar shall be conclusive evidence that such Bond or
Certificate has been authenticated and issued pursuant to this resolution.
B. This Board approves the foml and orders and directs the execution of the
following contracts and agreements, each in substantially the form on file with the Clerk of this
Board:
LFW:gmh 14283B.l 6/26/96
-6-
.
.
.
(1)
The Registrar's Fee Payment Agreement;
(2)
The Registrar, Tramfer Agent and Paying Agent's Agreement; and
(3) The Bond Purchase Agreement.
The Chairman or Treasurer, as applicable, are authorized to execute such
c:ontracts on behalf of the District and the County, with such necessary and appropriate
omissions, insertions and variations as are pennitted or required hereby and are approved by
those officers executing the documents. Execution by such officers shall constitute conclusive
evidence of such approval and cause each respective contract to be delivered. The Clerk is
authorized to attest such signatures. Where applicable, any of the foregoing officers may affix
their signatures by manual, mechanical or photographic means.
C. The Chairman and the Treasurer, in conjunction with the authorized officers
of the District, are authorized to cause the final official statement to be executed and delivered
in connection with the sale of the Bonds and Certificates.
Section 8. Mutilated. Lost or Destroyed iJonds or Certificates. In case any
Bond or Certificate becomes mutilated or destroyed or lost, the District shall cause to be
executed and delivered a new Bond or Certificate of like date and tenor in exchange and
substitution for and upon the cancellation of the mutilated Bond or Certificate or in lieu of and
in substitution for the Bond or Certificate destroyed or lost, upon the owner's paying the
reasonable expenses and charges of the District in connection therewith and, in the case of the
Bond or Certificate destroyed or lost, tiling with the County Treasurer by evidence satisfactory
to the Treasurer that such Bond or Certificate was destroyed or lost, and furnishing the County
Treasurer with a sufficient indemnity bond pursuant to ~ 47-8405, Arizona Revised Statutes.
Section 9. Acceptance of Offer; Sale of Bonds and Certificates; Purchase
A~reement Approval. The offer of the Underwriter for the purchase of the Bonds and the
Certificates is contained in the Bond Purchase Agreement submitted to and on file with the Clerk
of this Board and such offer is accepted. The Bonds and Certificates are ordered sold to the
Underwriter pursuant to the Bond Purchase Agreement.
rhe Treasurer is hereby authorized and directed to cause the Bonds and
Certificates to be delivered to or upon the order of the Underwriter upon receipt of payment
therefor and satisfaction of the other conditions for delivery thereof in accordance with the terms
of the sale.
;Section 10. Official Statement. The distribution by the Underwriter of a
Preliminary Official Statement dated June 21, 1996 (the "Preliminary Official Statement"), to
prospective investors is hereby ratified, confirmed and approved. The use and distribution by
the Underwriter of the final Official Statement dated July 1, 1996 (the "Official Statement") in
connection with the offering and sale of the Bonds and Certificates is hereby approved and
authorized. Such Official Statement shall be in substantially the form of the Preliminary Official
Statement presented to this meeting with such changes or amendments as approved by the
L:!'W:gmh 142838.1 6/26/96
-7-
.
.
.
persons signing such Official Statement. The Official Statement is deemed to be 11na1 by this
Board, based upon representations of the Governing Board of the District.
Section 11. Re~strar. The District will maintain an office or agency where
Bonds and Certificates may be presented for registration or transfer (the "Registrar") and an
office or agency where Bonds may be presented for payment (the "Paying Agent"). The District
may appoint one or more co-registrars or one or more additional Paying Agents. The Registrar
and Paying Agent may make reasonable rules and set reasonable requirements for their
respective functions with respect to the owners of the Bonds and Certificates.
Initially, First Trust of Arizona, National Association, Phoenix, Arizona, is
appointed to act as Registrar and Paying Agent with respect to the Bonds and Certificates. The
District may change the Registrar or Paying Agent without notice to or consent of owners of the
Bonds and the Certificates and the District may act in any such capacity.
Each Paying Agent shall be required to agree in writing that the Paying Agent will
hold in trust for the benefit of the owners of the Bonds and the Certificates all moneys held by
the Paying Agent for the payment of principal of and interest and any premium on the Bonds
and payment of the interest on the Certificates.
The Registrar may appoint an authenticating agent acceptable to the: District to
authenticate Bonds and the Certificates. An authenticating agent may authenticate Bonds and
Certificates whenever the Registrar may do so. Each reference in this resolution to
authentication by the Registrar includes authentication by an authenticating agent acting on behalf
and in the name of the Registrar and subject to the Registrar's direction.
The Registrar shall keep separate registers for the Bonds and the Certificates.
One register shall show the registered owners of lhe Bonds and of transfer of the Bonds. One
re:gister shall show the owners of the Certificates and of transfer of such Certificates. When
Bonds or Certificates are presented to the Registrar or a co-registrar with a request to register
transfer, the Registrar shall register the transfer on the registration books if its requirements for
transfer are met and shall authenticate and deliver one or more Bonds or Certificates registered
in the name of the transferee of the same principal amount, maturity and rate of interest as the
surrendered Bonds or Certificates. All transfer fees and costs shall be paid by the transferor.
The "Record Date" for the Bonds and the Certificates shall be the close of business of the
Registrar on the fifteenth day of the month preceding an interest payment date. The Registrar
may, but shall not be required to, transfer or exchange any Bonds during the period commencing
(i) on the Record Date to and including the respective Interest Payment Date or (ii) if applicable,
on the date notice of redemption is given to the date of such redemption. The Registrar may,
but shall not be required to, transfer or exchange any Bonds which have been selected or called
for redemption. If the Registrar transfers or exchanges Bonds within the periods referred to
above, interest on such Bonds shall be paid to the registered owner as if such transfer or
exchange had not occurred.
The Registrar shall authenticate Bonds for original issue up to $16,000,000 in
aggregate principal amount and $420,000 of Certificates upon the written request of the County
LFW:gmh 142838.1 6/26/96
-8-
.
.
.
Treasurer. The Registrar shall keep a register of the Bonds and of their transfer. The aggregate
principal amount of Bonds outstanding at any time may not exceed that amount except for
replacement Bonds as to which the requirements of the Registrar and the District are met. The
registrar shall keep a register of the Certificates and of their transfer.
Section 12. Resolution a Contract. This resolution shall constitute a contract
between the District and the owners of the Bonds: and Certificates and shall not be repealed or
amended in any manner which would impair, impede or lessen the rights of the registered
owners of the Bonds or Certificates then outstmding. The performance by the Board of
Supervisors of the obligations in this resolution and in the Bonds, Certificates and Purchase
Agreement is hereby authorized and approved.
Section 13. Ratification of Actions and Revocation of Resolution. All actions
of the officers and agents of the District, the County or the Board of Supervisors which conform
to the purposes and intent of this resolution and which further the issuance and sale of the Bonds
and Certificates as contemplated by this resolution whether heretofore or hereaft(:r taken are
hereby ratified" confirmed and approved. The proper officers and agents of the District and the
County are hereby authorized and directed to do all such acts and things and to ,execute and
deliver all such documents on behalf of the District as may be necessary to carry out the terms
and intent of this resolution.
Section 14. Bond Insurance or Credit Enhancement. The Treasurer may
expend Bond proceeds to purchase bond insurance or other credit enhancements for the Bonds
and Certificates if deemed to be in the District's best interest.
Section 15. Tax Covenant. In consideration of the purchase and acceptance
of the Bonds and Certificates by the owners the:reof and, as authorized by Arizona Revised
Statutes, Title 35, Chapter 3, Article 7, and in consideration of retaining the exclusion of interest
income on the Bonds (including interest represented by the Certificates) from gross income for
federal income tax purposes, the County covenants with the owners from time to time of the
Bonds and Certificates to neither take nor fail to take any action which action or failure to act
is within its power and authority and would result in interest income on the Bonds, including the
Certificates, becoming subject to inclusion as gross income for federal income tax purposes
under either laws existing on the date of issuance of the Bonds or such laws as they may be
modified or amended.
The County agrees that it will comply with such requirements and will take any
such actions as in the opinion of Gust Rosenfeld P L.C. ("bond counsel") are necessary to prevent
interest income on the Bonds (including the Certificates) becoming subject to inclusion in gross
income for fedc~ral income tax purposes. Such requirements may include but are not limited to
making further specific covenants; making truthful certifications and representations and giving
necessary assurances; complying with all representations, covenants and assurances contained
in certificates or agreements to be prepared by bond counsel; to pay to the United States of
America any required amounts representing rebates of arbitrage profits relating to the Bonds and
Certificates; filing forms, statements and supporting documents as may be required under the
federal tax laws; limiting the term of and yield on invesunents made with moneys relating to the
LFW:gmh 14:!838.J. 6/26/96
-9-
..
..
.
.
Bonds and Certificates; and limiting the use of the proceeds of the Bonds and Certificates and
property financed thereby.
Section 16. Severability. If any section, paragraph, subdivision, sentence,
clause or phrase of this resolution is for any reason held to be illegal or unenforceable., such
decision will not affect the validity of the remaining portions of this resolution. The Board of
Supervisors hereby declares that it would have adopted this resolution and each and every other
section, paragraph, subdivision, sentence, clause or phrase hereof and authorized the issuance
of the Bonds and Certificates pursuant hereto irrespective of the fact that anyone or more
sections, paragraphs, subdivisions, sentences, clauses or phrases of this resolution may be held
illegal, invalid or unenforceable.
PASSED, ADOPTED AND APPROVED by the Board of Supervisors of Mohave
County, Arizona, on July 1, 1996.
.~~
Ghairman
ATTEST:
LFW:gmh 14:2838.1 6/26/96
-10-.
>.
EXHIBIT A
(Face of Bond)
i
LAKE HA V ASU UNIFIED SCHOOL DISTRICT NO.1
OF MOHAVE COUNTY, ARIZONA
SCHOOL IMPROVEMENT BOND
PROJECT OF 1996, SERIES A (1996)
Denomination:
$
Number:
Interest
Rate
Maturity
Date
Original
Issue Date
CUSIP
July 1, 1996
Registered Owner:
Principal Amount:
DOLLARS
. LAKE HA V ASU UNIFIED SCHOOL DISTRICT NO. 1 OF MOHA VE
COUNTY, ARIZONA (the "District"), for value received, hereby promises to pay to the
registered owner identified above, or registered assigns as provided herein, on the maturity date
set forth above, the principal amount set forth above, and to pay interest on the unpaid principal
amount at the interest rate shown above.
Bonds of the series of which this bond is one are subject to call for redemption
prior to maturity in accordance with the terms set forth on the back of this bond.
Interest is payable on January 1 and July 1 of each year commencing January 1,
1997, and willi accrue from the most recent date to which interest has been paid, or, if no
interest has been paid, from the original issue dal:e set forth above. Interest will be computed
on the basis of a year comprised of 360 days consisting of twelve (12) months of thirty (30) days
each.
.
Principal and interest are payable: in lawful money of the United States of
America. Interest will be paid by check payable to the order of and mailed to the registered
owner at the address shown on the registration books maintained by the registrar at the close of
business on the record date as explained on the reverse hereof. Principal will be paid when due
to the registered owner upon surrender of this bond for payment at the designated office of the
paying agent, which on the original issue date is the principal corporate trust office of First Trust
of Arizona, National Association, in Phoenix, Arizona.
LFW:gmh 142839.:L 6/26/96
.
.
.
See the reverse side of this bond for additional provisions.
It is hereby certified and recited that all conditions, acts and things required by
the Constitution and laws of the State of Arizona to exist, to occur and to be performed
precedent to and in the issuance of this bond exist, have occurred and have been performed and
that the series of bonds of which this is one, together with all other indebtedness of the District,
is within every debt and other limit prescribed by the Constitution and laws of the State of
Arizona, and that due provision has been made for the levy and collection of a direct, annual,
ad valorem tax upon all of the taxable property in the District for the payment of this bond and
of the interest hereon as each becomes due.
The District has caused this bond to be executed by the President and attested by
the Clerk of its Governing Board and countersigned by the Chairman of the Board of
Supervisors of Mohave County, Arizona, which signatures may be facsimile signatures.
This bond is not valid or binding upon the District without the manually affixed
signature of an authorized representative of the registrar.
This bond is prohibited from being issued in 'Coupon or bearer form without the
consent of the Board of Supervisors of Mohave County, Arizona, and the occurrence of certain
other conditions.
LAKE HA V ASU UNIFIED SCHOOL
DISTRICT NO.1 OF MOHAVE COUNTY,
ARIZONA
(facsimile)
President, Governing Board
ATTEST:
(facsimile)
Clerk, Governing Board
COUNTERSIGNED:
(facsimile)
Chairman, Board of Supervisors
LFW:gmh 142839.1 6/26/96
A-2
.
.
.
DATE OF AUTHENTICATION AND REGISTRATION:
AUTHENTICA TION CERTIFICATE
This bond is one of the Lake Havasu Unified School District No. 1 of Mohave
County, Arizona, School Improvement Bonds, Project of 1996, Series A (1996), described in
the resolution mentioned on the reverse hereof.
JfJRST TRUST OF ARIZONA, NATIONAL ASSOCIATION,
as Registrar
-
Authorized Representative
(Form of Reverse Side of Bond)
This bond is one of a series of bonds in the aggregate principal amount of
$16,000,000 of like tenor except as to amount, maturity date, rate of interest and number, issued
by the District to provide funds to make those school improvements approved by a majority vote
of qualified electors voting at an election duly called and held in and for the District, pursuant
to a resolution of the Board of Supervisors of Mohave County duly adopted prior to the issuance
hereof and pursuant to the Constitution and laws of the State of Arizona relative to the issuance
and sale of school district improvement bonds, and all amendments thereto, and an other laws
of the State of Arizona thereunto enabling.
For the punctual payment of this bond and the interest hereon and for the levy and
collection of ad valorem taxes sufficient for that purpose, the full faith and credit of the District
are hereby irrc;~vocably pledged.
Bonds of this series maturing on or prior to July 1, 2006, are not subject to call
for redemption prior to maturity. Bonds of this series maturing on or after July 1, 2007, are
subject to call for redemption prior to their stated maturity dates, at the option of the District,
in whole or in part on July 1, 2006, or on any interest payment date thereafter by the payment
of a redemption price equal to the principal amount of each bond called for redemption plus
accrued interest to the date fixed for redemption plus a premium (calculated as a percentage of
the principal amount of such bonds to be redeemed) to be computed as follows:
Redemption Dates
July 1, 2006 and January 1, 2007
July 1, 2007 and January 1, 2008
July 1, 2008 and thereafter without premium.
Premium
1.0%
0.5%
Bonds maturing on July 1, 2015, are subject to mandatory redemption prior to
their stated maturity, at random. as may be selected by the paying agent, at a redemption price
LPW:gmh 142839.1 6/26/96
A-3
.
.
.
of par plus interest accrued to the date of redemption, but without premium on the following
dates and in the following principal amounts:
Year
(Julv 1)
Principal
Amount
2012
2013
2014
2015 (maturity)
$ 710,000
3,010,000
3,185,000
3,360,000
Whenever bonds maturing on July 1, 2015 are purchased, redeemed (other than
pursuant to mandatory sinking fund redemption) or are delivered by the District to the registrar
for cancellation, the principal amount of the bonds so retired shall satisfy and be credited against
the sinking fund requirements for such Bonds for such years as the District may direct.
The registrar or paying agent may be changed by the District without notice to
the owner of this bond.
This bond is transferable by the registered owner in person or by attorney duly
authorized in writing at the designated office of the registrar upon surrender and cancellation of
this bond, but only in the manner and subject to the limitation and upon payment of the charges
provided in the authorizing resolution. Upon such transfer a new bond or bonds of the same
aggregate principal amount, maturity and inter,est rate will be issued to the transferee in
exchange. The registrar may require an owner, among other things, to furnish appropriate
endorsements and transfer documents and to pay any taxes required by law. The District has
chosen the fifteenth day of the month preceding an interest payment date as the record date for
this issue of bonds.
'The registrar may but need not register the transfer of a bond which has been
selected for redemption and need not register the transfer of any bond for a period of fifteen (15)
days before a selection of bonds to be redeemed; if the transfer of any bond which has been
called or selected for call for redemption in whole or in part is registered, any notice of
n~demption which has been given to the transferor will be binding upon the transferee and a copy
of the notice of redemption will be delivered to the transferee along with the bond or bonds.
Should this bond be submitted to the registrar for transfer during the period commencing after
the close of business on the record date and continuing to and including the next interest
payment date, ownership will be transferred at the option of the registrar in the normal manner
but the next interest payment will be made payable to and mailed to the owner shown on the
n~gistrar's books at the close of business on the record date.
Bonds of this series are issuable only in fully registered form in the denomination
of $5,000 each or integral multiples thereof.
U'W:gmh 14:2839.1 6/26/96
A-4
.
.
.
The District, the registrar and the paying agent may treat the registered owner of
this bond as the absolute owner for the purpose of receiving principal and interest and for all
other purposes and none of them shall be affected by any notice to the contrary.
The following abbreviations, when used in the inscription on the face of this bond,
shall be construed as though they were written out in full according to applicable laws or
regulations:
TEN COM-as tenants in common
TEN ENT -as tenants by the entireties
IT TEN-as joint tenants with right of survivorship
and not as tenants in common
UNIF GIFrITRANS MIN ACT- Custodian
(Cust) (Minor)
under Uniform Gifts/Transfers to Minors Act
(State)
Additional abbreviations may also be used though not in list above
ASSIGN1\iIENT
FOR V ALUE RECEIVED the undersigned hereby sells, assigns and transfers unto
(Name and Address of Transferee)
the within bond and all rights thereunder, and hereby irrevocably constitutes and appoints
_ _, attorney to transfer the within bond on the
books kept for registration thereof, with full power of substitution in the premises.
Dated
Note: The signature(s) on this assigrunent must
correspond with the name(s) as written on the face
of tht: within registered bond in every particular
without alteration or enlargement or any change
whatsoever.
Signature Guaranteed:
Signature guarantee should be made by
a guarantor institution participating in
the Securities Transfer Agents Medallion
Program or in such other program acceptable
to the Registrar
ALL FEES AND TRANSFER COSTS SHALL BE PAID BY THE TRANSFEROR
LFW:gmh 142839.1 6/26/96
A-5
.
.
.
EXHffiIT B
Certificate of Ownership of
Supplemental Interest Payment
Lake Havasu Unified School District
No.1 of Mohave County, Arizona
School Improvement Bonds
Project of 1996, Series A (1996)
Certificate Payment
Date
Original
Jssue Date
CUSIP
July 15, 1996
Registered Owner:
SUPPLEMENTAL INTEREST AMOUNT: $
Lake Havasu Unified School District No. 1 of Mohave County, Arizona (the
"District"), for value received, hereby promises to pay to the Registered Owner identified above,
or registered assigns as provided herein, on the Certificate Payment Date specified above, the
Supplemental Interest Amount specified above. Such amount represents a portion of the supple-
mental interest payments authorized by the resolution of the Board of Supervisors of Mohave
County, Arizona, authorizing the issuance of $16,000,000 aggregate principal amount of Lake
Havasu Unified School District No.1 of Mohave County, Arizona, School Improvement Bonds,
Project of 1996, Series A (1996) (the "Bonds"). The Supplemental Interest Amount represents
a portion of the interest at the supplemental inten~st rate on the outstanding principal amount of
the Bonds, for the period commencing on the January 1 or July 1, as applicable, immediately
preceding the Certificate Payment Date specified above and ending on the day immediately
preceding the Certificate Payment Date specified above. Interest will be paid when due to the
registered owner upon surrender of this Certificate for payment at the designated office of the
registrar and paying agent, which on the original issue date is the principal corporate trust office
of First Trust of Arizona, National Association, Phoenix, Arizona.
For the punctual payment of this Certificate and for the levy and colliection of ad
valorem taxes sufficient for that purpose, the full faith and credit of the District are hereby
irrevocably pledged.
The owner of this Certificate shall have no claim to the payment of principal or
non-supplemental interest on the Bonds unless such person shall also be the owner of such Bonds
at such Bonds' maturity. This Certificate is not subject to payment prior to its scheduled
Certificate Payment Date.
LFW:gmh 142841.1 6/26/96
B-1
:.
.
.
This Certificate is transferable by the: registered owner in person or by attorney duly
authorized in writing and at the designated office of the registrar upon surrender and cancellation
of this Certificate. Upon such transfer a new Certificate or Certificates of the same Certificate
Payment Date and aggregate Supplemental Interest Amount will be issued to the transferee in
e:xchange. The registrar and paying agent may be changed by the District without notice to the
owner of this Certificate.
The District, the registrar and the paying agent may treat the registered owner of
this Certificate: as the absolute owner for the purpose of receiving payment hereof and for all
other purposes and none of them shall be affected by any notice to the contrary.
The District has caused this Certifica.te to be executed by the President and attested
by the Clerk of its Governing Board. and countersigned by the Chairman of the Board of
Supervisors of Mohave County, Arizona, which signatures may be facsimile signatures.
This Certificate is not valid or binding upon the District without the manually
affixed signature of an authorized representative of the registrar.
This Certificate is prohibited from being issued in bearer form without the consent
of the Board of Supervisors of Mohave County, Arizona, and the occurrence of certain other
conditions .
LAKE HA V ASU UNIFIED SCHOOL
DISTRICT NO.1 OF MOHAVE COUNTY,
ARIZONA
(facsimile)
Pre:sident, Governing Board
ATTEST:
COUNTERSIGNED:
(facsimile)
Cle:rk, Governing Board
(facsimile)
Chairman, Board of Supervisors
L~N:gmh 142841.1 6/26/96
B-2
. DATE OF AUTHENTICATION AND REGISTRATION:
AUTHENTICATION CERTIFICATE
This Certificate of Ownership of Supplemental Interest Payment is one of the
certificates authorized to be issued in conjunction with the issuance of Lake Havasu Unified
School District No.1 of Mohave County, Arizona School Improvement Bonds, Project of 1996,
Series A (1996).
FIRST TRUST OF ARIZONA, NATIONAL ASSOCIATION,
as Registrar
Authorized Representative
[INSERT LEGAL OPINION]
.
The following abbreviations, when used in the inscription on the face of this
certificate shall be construed as though they wen~ written out in full according to applicable
laws or regulations:
TEN COM-as tenants in common
TEN ENT -as tenants by the entireties
JT TEN-as joint tenants with right of survivorship
and not as tlmants in common
UNIF GlFr/TRANS MIN ACT- Custodian
(Cust) (Minor)
under Uniform Gifts/Transfers to Minors Act__
(SI'<lte)
Additional abbreviations may also be used though not in list above
ASSIGN1\1ENT
FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto
(Name and Address of Transferee)
the within certificate and all rights thereunder, and hereby irrevocably constitutes and
appoints _ , attomey to transfer the within certificate on the
books kept for registration thereof, with full power of substitution in the premises.
.
LFW:gmh 142841.1 6/26/96
B-3
. Dated
Note: The signature(s) on this assignment must
correspond with the name(s) as written on the face
of the within registered certificate in every
particular without alteration or enlargement or any
chang'~ whatsoever.
Signature C1uaranteed:
Signature guarantee should be made by a
guarantor institution participating in the
Securities Transfer Agents Medallion Program
or in such othe:r program acceptable to the
Registrar
ALL FEES AND TRANSFER COSTS SHALL BE PAID BY THE TRANSFEROR
.
.
LFW:gmh 14:2841.1 6(26(96
B-4