HomeMy WebLinkAbout94-247
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Resolution No. 1994 - 247
RESOLUTION OF THE BOARD OF SUPERVISORS OF MORAVE COUNTY, ARIZONA
PROVIDING FOR THE ISSUANCE AND SALE OF $3,950,000 PRINCIPAL ~~OUNT
OF BULLHEAD CITY ELEMENTARY SCHOOL DISTRICT NO. 15 OF MORAVE
COUNTY, ARIZONA GENERAL Ol3LIGATION SCHOOL IMPROVEMENT BONDS, SERIES
1994; PROVIDING FOR THE ANNUAL LEVY OF A TAX FOR THE PAYMENT OF THE
BONDS; ACCEPTING A PROPOSAL FOR THE PURCHASE OF THE BONDS; AND
PRESCRIBING TERMS AND PROVISIONS AND APPOINTING A REGISTRAR AND
PAYING AGENT WITH RESPEC~r TO THE BONDS
WHEREAS, a special bond election was held in and for Bullhead
City Elementary School District No. 15 of Mohave County, Arizona
(the "District") on May 17, 1994, at which time a majority of the
qualified electors of the District voted in favor of authorizing
the District to issue general obligation school improvement bonds
in the principal amount of $3,950,000; and
WHEREAS, the Governing Board of the District now desires that
general obligation school improvement bonds in the principal amount
of $3,950,000 be issued and sold at this time;
NOW, THEREFORE, IT IS RESOLVED BY THE BOARD OF SUPERVISORS OF
MOHAVE COUNTY, ARIZONA, AS FOLLOWS:
section 1. Authorization. There is hereby authorized to be
issued and sold an issue of bonds of the District in an aggregate
principal amount of $3,950,000. The bonds so authorized shall be
designated Bullhead City Elementary School District No. 15 of
Mohave County, Arizona General Obligation School Improvement Bonds,
Series 1994 (the "Bonds"), and shall be issued and sold as directed
by the Board of supervisors of Mohave County, Arizona (the "Board
of Supervisors") in accordance with the provisions of applicable
laws.
Section 2. Terms. The Bonds will be dated July 1, 1994 and
will bear interest from their date to the maturity of each of the
Bonds at the rates set fClrth in the winning bid, the first interest
payment date to be January 1, 1994, interest payable semiannually
thereafter on January 1 and July 1 of each year, during the term of
the Bonds, the Bonds to be in the denomination of $5,000 each or
integral multiples thereof, and the Bonds are to be in fully
registered form. The Bonds will mature on July 1 in the years 2002
to 2006, inclusive, as follows:
Year AIDount
2002 $725,000
2003 750,000
2004 775,000
2005 825,000
. 2006 875,000
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The Bonds shall have such additional terms and provisions as
set forth in the Notice Inviting Proposals for the Purchase of
Bonds prepared by the District and the District's Financial
Advisor, Peacock, Hislop, Staley & Given, Inc., and the best
proposal received in re~sponse thereto and in the form of Bond
attached as Exhibit A, which is a part of this resolution.
Section 3. Prior Redemption.
A. optional Redemption. Bonds maturing on or before July 1,
2003, are not subject to call for redemption prior to maturity.
Bonds maturing on or after July 1, 2004, are subject to call for
redemption prior to maturity, in whole or in part, on July 1, 2001,
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 payable from any source lawfully
available therefor, the 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, 2001 and January 1, 2002
July 1, 2002 and January 1, 2003
July 1, 2003, and thereafter without premium
1.0%
0.5
B. Notice. Noticle of redemption of any Bond will be mailed
not more than 60 nor less than 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.
C. 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 providE:d for redemption of such Bonds on such
date, and, if moneys for payment of the redemption price are held
in separate accounts by t.he paying agent, interest on such Bonds or
portions of Bonds so called for redemption shall cease to accrue,
such Bonds shall cease t:o be entitled to any benefit or security
hereunder and the owner::; of such Bonds shall have no rights in
respect thereof except to receive payment of the redemption price
thereof and such Bonds: shall be deemed paid and no longer
outstanding.
D. 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 Bl::>nd for partial redemption and the paying
a<;Jent shall make such partial payment and the registrar shall cause
to be issued a new Bond in a principal amount which reflects the
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redemption so made to be authenticated and delivered to the
registered owner thereof.
Section 4. Securit'~. 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 there
shall be levied on all the taxable property in the District a
continuing, direct, annual, ad valorem tax sufficient to pay all
such principal, interest, premium and administration costs on the
Bonds as the same become 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) and administration costs as above-
stated.
section 5. Use of Proceeds. The net proceeds from the sale
of the Bonds, after payment of the expenses of issuance, shall be
set aside and deposite:d by the Mohave County Treasurer (the
"Treasurer") in a separate fund entitled "Bullhead City Elementary
School District No. 15 of Mohave County, Arizona Bond Fund" of the
District. Subject to the provisions of section 12 hereof, this
resolution shall be cons~trued as consent of Board of Supervisors to
invest such funds, pending use, in any of the securities allowed by
A.R.S. 9 15-1025. This resolution shall constitute a continuing
consent to such investm~=nt and no further annual consent need be
given; provided, however, that this Board may revoke such consent
for any fiscal year after fiscal year 1994-95. The proceeds of the
Bonds shall be expended only for the purposes set forth in the
ballot used at the special bond election wherein issuance of the
Bonds was approved.
section 6. Form of Bonds. Pursuant to A.R.S. ~ 35-491, a
fully registered bond form is hereby adopted. A registrar and
paying agent will be appointed for the administration of the Bonds.
The Bonds shall be in substantially the form of Exhibit "A",
attached hereto and incorporated by reference herein, with such
necessary and appropriat:e omissions, insertions and variations as
are permitted or required hereby or by the Notice Inviting
Proposals for the Purchase of Bonds and are approved by those
officers executing the Bonds. Execution thereof by such officers
shall constitute conclusive evidence of such approval.
The Bonds may 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 are prohibited from being converted to coupon or
bearer Bonds without t~he consent of Board of supervisors and
approval of bond counsel.
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section 7. Execution of Bonds. The Bonds shall be executed
for and on behalf of the District by the President and attested by
the Clerk of the Governing Board and countersigned by the Chairman
of the Board of supervisors of this County. Any or all of such
signatures may be manual or be facsimile or mechanical
reproduction; however, if such signatures are by facsimile, such
officers shall manually sign a certificate adopting as and for
t.heir signatures on 1:he Bonds the respective mechanically
reproduced signatures at:fixed to the Bonds. Notwithstanding any
provision of this section, no Bond shall ever bind the District
until it has been manually authenticated by the registrar. The
Chairman is authorized to execute and deliver a final official
statement to be used in connection with the sale of the Bonds.
If an officer whose signature is on a Bond no longer holds
that office at the time the Bond is authenticated and registered,
t:he Bond shall nevertheless be valid.
A Bond shall not 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 the Bond has been
authenticated and issued under this resolution.
section 8. Mutilat:ed, Lost or Destroved Bonds. In case any
Bond becomes mutilated or destroyed or lost, the District shall
cause to be executed and delivered a new Bond of like date and
tenor in exchange and substitution for and upon the cancellation of
such mutilated Bond or in lieu of and in substitution for such Bond
destroyed or lost, upon the registered owner's paying the
reasonable expenses and charges of the District in connection
therewith and, in the case of the Bond destroyed or lost, filing
with the Treasurer by th4:! registered owner evidence satisfactory to
the Treasurer that such Bond was destroyed or lost, and furnishing
the Treasurer with a su:Eficient indemnity bond pursuant to A.R.S.
!~ 47-8405.
section 9. Acceotance of Prooosal. The proposal of
_ MERRILL LYNCH for the purchase of the Bonds is
hereby accepted and the Bonds are hereby ordered sold to such
purchaser in accordance with the terms of such proposal and the
terms and conditions of the Notice Inviting Proposals for the
Purchase of Bonds. Such proposal shall be in accordance with the
~~inning bid, a copy of which is attached hereto and incorporated
herein.
The Treasurer is h4:!reby authorized and directed to cause the
Bonds to be delivered to the purchaser upon receipt of payment
therefor and satisfaction of the other conditions for delivery
thereof in accordance with the terms of the sale.
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section 10. Reaistrar. The District will maintain an office
or agency where Bonds may be presented for registration of 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 core~Jistrars or one or more additional paying
Agents. The Registrar and Paying Agent may make reasonable rules
and set reasonable requin~ments for their respective functions with
respect to the owners of the Bonds.
Ini tially , FIRST INTERSTATE BANK OF AZ is appointed to act
as Registrar and Paying Agent with respect to the Bonds. The
District may change the Rl:gistrar or Paying Agent without notice to
or consent of owners of i::he Bonds and the District may act in any
such capacity.
The Registrar's fee payment agreement between Mohave County
(the "County") and the District is hereby approved in substantially
the form on file with the: Clerk, to provide for the payment of the
costs of registration and printing of the Bonds. The contract for
Registrar's services is hereby approved in substantially the form
on file with the Clerk to provide for the payment of Registrar's
services. Upon full execution by the Registrar of the Registrar's
fee payment agreement, the Chairman of the Board of supervisors and
the Treasurer are hereby authorized and directed to execute and
deliver the contract and the Clerk of this Board may attest the
signatures of either or both of such officials.
Each Paying Agent shall be required to agree in writing that
the Paying Agent will hold in trust for the benefit of the owners
o:E the Bonds all money he!ld by the Paying Agent for the payment of
principal of and interes1: and any premium on the Bonds.
The Registrar may appoint an authenticating agent acceptable
to the District to authenticate Bonds. An authenticating agent may
authenticate Bonds 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
of and in the name of the: Registrar and subject to the Registrar's
direction.
The Registrar shall keep a register of the Bonds, the
rl:gistered owners of the Bonds and of transfer of the Bonds. When
Bonds are presented to the Registrar or a coregistrar with a
rl:quest to register transfer, the Registrar shall register the
transfer on the registration books if its requirements for transfer
are met and shall auth4:nticate and deliver one or more Bonds
rl:gistered in the name of the transferee of the same principal
alnount, maturity and rat:e of interest as the surrendered Bonds.
The "Record Date" for th4: Bonds shall be the close of business of
the Registrar on the 15th day of the month preceding an interest
payment date, or if su(::h date is a Saturday, Sunday or legal
holiday, the previous lousiness day. Bonds presented to the
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Registrar for transfer after the close of business on the Record
Date and before the close of business on the next subsequent
interest payment date will be registered in the name of the
transferee but the inte~rest payment will be made payable to and
mailed to the registered owners shown on the books of the Registrar
as of the close of business on the respective Record Date.
The Registrar shall authenticate Bonds for original issue up
to $3,950,000 in aggrE~gate principal amount upon the written
request of the 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.
section 11. Resolution a Contract. This resolution shall
consti tute a contract between the District and the registered
,owners of the Bonds and shall not be repealed or amended in any
manner which would impair, impede or lessen the rights of the
registered owners of th,e Bonds then outstanding. The performance
by the Board of supervisors of the obligations in this resolution
and in the Bond is hereby authorized and approved.
section 12. Tax Covenants. In consideration of the
purchase and acceptance of the Bonds by the owners thereof and, as
authorized by Arizona Revised Statutes, Title 35, Chapter 3,
.i\rticle 7, and in consideration of retaining the exclusion of
interest income on the Bonds from gross income for federal income
tax purposes, the Count:y covenants with the owners from time to
time 0 f the Bonds 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. on the Bonds becoming subj ect to inclusion
in gross income for fed,eral 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 Russo, Cox &
Russo, P.C. ("bond counsel") are necessary to prevent interest on
the Bonds becoming subjE!ct to inclusion in gross income for federal
income tax purposes. Such requirements may include but are not
limited to making fur1:her specific covenants; making truthful
certif ications and repre!sentations and giving necessary assurances;
complying with all rE~presentations, covenants and assurances
contained in certifica1:es or agreements to be prepared by bond
counsel; to pay to the Un'ited States of America any required
amounts representing rebates of arbitrage profits relating to the
Bonds; filing forms, sta.tements and supporting documents as may be
required under the federal tax laws; limiting the term of and yield
on investments made with moneys relating to the Bonds; and limiting
the use of the proceeds of the Bonds and property financed thereby.
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section 13. 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 elf 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 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.
Section 14. Ratification of Actions. All actions of
the officers and agents of the District, the county or Board of
supervisors which conform to the purposes and intent of this
resolution and which further the issuance and sale of the Bonds as
contemplated by this resolution whether heretofore or hereafter
taken are hereby ratified, confirmed and approved. Any changes
made in the Notice Inviting Proposals for the Purchase of Bonds
which do not conform to any prior order of this Board of
Supervisors are hereby ratified. 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.
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PASSED, ADOPTED AND APPROVED by the Board of Supervisors
of Mohave County, Arizona on July 5, 1994.
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