HomeMy WebLinkAboutTC Res 1972-11-13 (3)
T-ll
RESOLUTION NO. 486
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TIBURON PROVIDING FOR THE ISSUANCE OF $1,250,000
PRINCIPAL AMOUNT OF "CITY OF TIBURON 1972 OPEN
SPACE BONDS"; PRESCRIBING THE DATE AND FORM OF
THE BONDS AND OF THE COUPONS TO BE ATTACHED
THERETO; FIXING THE MAXIMUM RATE OF INTEREST
ON THE BONDS, AND PRESCRIBING THE MATURITIES
THEREOF AND REDEMPTION PROVISIONS THEREFOR;
AUTHORIZING THE EXECUTION OF THE BONDS AND
COUPONS; PROVIDING FOR THE LEVY OF A TAX TO
PAY THE PRINCIPAL AND INTEREST THEREOF; AND
DIRECTING NOTICE OF SALE OF THE BONDS TO BE
GIVEN.
WHEREAS, all the requirements of law have been com-
plied with in calling and holding the special municipal bond
election (the "election") held in the City of Tiburon (the
"City") on October 3, 1972, at which election a measure (the
measure") to issue bonds of the City in the principal amount
of $1,250,000 for the object and purpose hereinafter stated
was submitted to the voters of the City; and the City Council
of the City did duly and regularly canvass the returns of
the election and did by said canvass determine and declare,
and does hereby certify, that the measure received at the
election the affirmative vote of more than two-thirds of all
of the voters voting on the measure at the election and the
measure was thereby carried and adopted by the election, and
the issuance of such bonds by the City for the purpose set
forth in the measure was duly authorized:
NOW, THEREFORE, BE IT RESOLVED by the City Council
of the City of Tiburon, as follows:
Section 1.
(a) Unless the context otherwise requires, the
terms defined in this Section l(a) shall for all purposes
of this resolution have the meanings herein specified:
Bonds
The term "bonds" shall mean the "City of Tiburon
1972 Open Space Bonds."
City
The term "City" shall mean the City of Tiburon.
Clerk
The term "Clerk" shall mean the City Clerk of the
City.
Council
The term "Council" shall mean the City Council
of the City.
Mayor
The term "Mayor" shall mean the Mayor of the City.
Paying Agent
The term "Paying Agent" shall mean Bank of America
National Trust and Savings Association, as agent of the City
for the payment of the bonds, or any successor as Paying
Agent.
Treasurer
The term "Treasurer" shall mean the Treasurer of
the City.
(b) The Council has reviewed all proceedings
heretofore taken relative to the authorization of the bonds
and has found, as a result of such review, and hereby finds
2
and determines that all acts, conditions and things required
by law to exist, happen and be performed precedent to and
in the issuance of the bonds have existed, happened and been
performed in due time, form and manner as required by law,
and the City is now authorized pursuant to each and every
requirement of law to issue the bonds and incur indebtedness
in the manner and form as in this resolution provided.
Section 2. Bonds of the City shall issue to pay
the cost of the acquisition, construction and completion of
the municipal improvement of the City set forth in the fol-
lowing measure, to wit:
MEASURE A:
(Land
Acquisition)
Shall the City of Tiburon
incur a bonded indebtedness
in the principal amount of
$1,250,000 for the acquisi-
tion, construction and completion of the fol-
lowing municipal improvement, to wit: Real
property for open-space and recreation~l
purposes?
section 3. The bonds shall be issued as herein-
after set forth, and shall be sold in accordance with law
at not less than their par value and accrued interest. The
bonds ,shall be $1,250,000 in aggregate principal amount and
shall be known as "City of Tiburon 1972 Open Space Bonds."
The bonds shall be negotiable in form and of the character
known as serial; shall be numbered consecutively from 1 to
250, in order of maturity; and shall be of the denomination
of $5,000 each. The bonds shall be dated December 15, 1972
(which is hereby fixed and determined to be the date of the
issuance of the bonds). All of the bonds shall bear interest
from their date until paid at the rate or rates designated
by the Council at the time of the sale of the bonds, but not
to exceed seven percent (7%) per annum, payable annually
the first year and thereafter semiannually. Such interest
3
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 (except the first coupon,
which shall represent twelve months' interest). Said in-
terest coupons shall be payable on June 15 and December 15
in each year (except that the first coupon shall be payable
on December 15, 1973) until and at the respective dates of
maturity of the bonds. The bonds shall mature and be pay-
able in consecutive numerical order, from lower to higher,
as follows:
Principal
Amount
Maturity Date
(June 15)
(All years inclusive)
$15,000
20,000
25,000
45,000
50,000
75,000
1974
1975 - 1976
1977 - 1985
1986
1987 - 1997
1998 - 2002
Both the principal of and interest on the bonds
shall be payable in lawful money of the United States of
America at the principal office of Bank of America National
Trust 'and Savings Association in San Francisco, California.
Bonds maturing by their terms on or prior to
June 15, 1987 are not subject to call or redemption prior
to their fixed maturity dates. Bonds maturing by their
terms on and after June 15, 1988 are subject to call and
redemption, at the option of the City, as a whole, or in
part in inverse numerical order, on June 15, 1987 (but
not prior thereto) and on any interest payment date there-
after prior to their fixed maturity date or dates at the
principal amount thereof and accrued interest thereon to the
date of redemption, together with a premium of 1/4 of 1%
of such principal amount for each whole year and for any
4
fraction of a year remaining between the date of redemption
and the matu!ity date of the bonds so redeemed, provided that
such premium shall not exceed 3% of such principal amount.
Notice of such redemption shall be given by publi-
cation of such notice once a week for two (2) successive
calendar weeks in a newspaper of general circulation printed
and published in San Francisco, California, the first publi-
cation of which shall be at least thirty (30) days but not
more than sixty (60) days prior to the date fixed for such
redemption. After the date fixed for such redemption, if
the City shall have duly published notice of such redemption
and shall have provided funds for the payment of principal
of and interest on the bonds so called for redemption, in-
terest on such bonds shall thereafter cease.
The City covenants that it will, while any of the
bonds are outstanding and unpaid, keep at the office of the
Paying Agent books for the registration of the bonds as
herein provided, and the Paying Agent is hereby appointed
the registrar of the City for the purpose of registering
the bonds.
The bonds may be registered only as to both prin-
cipal and interest in the manner set forth in the registra-
tion certificate herein contained pertaining to such bonds.
Bonds registered as to both principal and interest may be
discharged from registration and converted into coupon bonds.
A person in whose name a bond shall be registered shall be
deemed the absolute owner and, so long as the same shall
be registered as to principal and interest, payments of or
on account of the principal and interest thereof shall be
made only to the registered owner, but the bearer of any
coupon appertaining to an unregistered bond or to a bond
5
registered to bearer shall be deemed the absolute owner
of such coupon, and the bearer of any unregistered bond
or a bond registered to bearer shall be deemed the absolute
owner of such bond, and the City and the Paying Agent shall
be fully protected in making payment of such unregistered
bond or coupon to the bearer thereof.
In all cases in which the privilege of transferring,
registering or reconverting a bond is exercised (except for
the first registration of any bond, which shall be free of
charge), the Paying Agent may make a charge sufficient to
reimburse it for any tax, fee or other governmental charge
required to be paid by the City or the Paying Agent in con-
nection therewith, and in addition may charge a reasonable
sum for its costs and expenses in the reconversion of any
such bond registered as to both principal and interest into
a bond the principal and interest of which are payable to
bearer, not exceeding $5 per $5,000 principal amount of bonds
so converted, which sum or sums shall be paid by the per-
son requesting such transfer, registration or reconversion.
Section 4. The bonds and the coupons attached
thereto and the registration endorsement to appear thereon
shall each be substantially in the following form, the blanks
in said forms to be filled with appropriate words or figures,
namely:
6
(Form of bond)
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
MARIN COUNTY
CITY OF TIBURON 1972 OPEN SPACE BOND
No.
$5,000
The City of Tiburon, a municipal corporation organ-
ized and existing under the Constitution and laws of the State
of California (the "City"), hereby acknowledges itself in-
debted and for value received promises to pay to the bearer
(or if this bond be registered, to the registered owner here-
of), on June 15, (subject to any right of prior redemp-
tion hereinafter reserved), the principal sum of
FIVE THOUSAND DOLLARS ($5,000)
together with interest thereon from the date hereof until pay-
ment of said principal sum in full, at the rate of
percent ( %) per annum, payable annually the first year
on December 15, 1973, and thereafter semiannually on June 15
and December 15 of each year. Unless this bond be registered,
such interest on or prior to maturity shall be payable only
on presentation 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 principal office
of Bank of America National Trust and Savings Association in
San Francisco, California.
This bond is one of a duly authorized issue of bonds of
the City aggregating One Million Two Hundred Fifty Thousand Dol-
lars ($1,250,000) in principal amount., all of like tenor (except
for such variations, if any, as may be required to designate vary-
ing numbers, maturities, interest rates or redemption provi-
sions) and is issued under and pursuant to the Constitution and
statutes of the State of California, and under and pursuant
to the ordinance and proceedings of the City duly adopted and
taken and a vote and assent of more than two-thirds of all
the qualified electors of the City voting at a special elec-
tion duly called and held for that purpose.
Bonds maturing by their terms on or prior to June
15, 1987 are not subject to redemption prior to their fixed
maturity dates. Bonds maturing by their terms on or after
June 15, 1988 are subject to redemption, at the option of
the City, as a whole, or in part in inverse numerical order,
on June 15, 1987 (but not prior thereto), and on any inter-
est payment date thereafter prior to their fixed maturity
date or dates, at the principal amount thereof and accrued
interest thereon to date of redemption, together with a
premium of 1/4 of 1% of such principal amount for each whole
year and for any fraction of a year remaining between the date
of redemption and the maturity date of the bonds so redeemed.
7
This bond may be registered as to principal and in-
terest in the name of the owner hereof in conformity with the
provisions endorsed hereon, and unless so registered shall be
transferable by delivery.
It is hereby certified, recited and declared that
all conditions, things and acts required by law to exist,
happen and 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 together with all other indebtedness of the 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 Constitution and statutes of said State for
the collection of an annual tax sufficient to pay the prin-
cip~l of and interest on this bond as the same become due.
The full faith and credit of the City are hereby pledged for
the punctual payment of the principal of and interest on this
bond.
IN WITNESS WHEREOF, the City of Tiburon has caused
this bond to be executed under its official seal, signed by
its Mayor and its Treasurer, and countersigned by its City
Clerk, and has caused the interest coupons attached hereto to
be signed by its Treasurer, and this bond to be dated De em-
ber 15, 1972.
[SEAL]
Countersigned:
~L
City Clerk of the City of Tiburon
(Form of interest coupon)
Coupon No.
The CITY OF TIBURON, on
will (unless the within-mentioned bond
be registered, and subject to any right
of prior redemption reserved in said
bond) pay to. the bearer at the princi-
pal office of Bank of America National
Trust and Savings Association in San
Francisco, California, the sum set $
forth hereon in lawful money of the
United States of America, being inter-
est then due on its 1972 Open Space Bond,
dated December 15, 1972 . . . . . .. No.
15, _,
Tfe~:~buron
8
(Form of registration endorsement)
This bond may be registered in the name of the owner
on books kept by the Paying Agent of the City, as to principal
and interest upon surrender of the unmatured coupons attached
hereto, such registration being noted hereon by said Paying
Agent in the registration blank below, after which no transfer
shall be valid unless made on said books by the registered
owner or attorney duly authorized and similarly noted in the
registration blank below. At the request of the registered
owner, this bond, if converted into a registered bond, may be
reconverted into a coupon bond at the expense of the owner and
such coupon bond may again be converted into a bond registered
as to both principal and interest as hereinabove provided at the
expense of the owner. Upon reconversion of this bond, if reg-
istered as to principal and interest, into a coupon bond,
coupons representing the interest to accrue hereon to date of
maturity shall be reattached hereto by said Paying Agent and
said Paying Agent shall note in the registration blank below
that the bond is payable to bearer.
NOTE: There must be no writing in the space below except by
the Paying Agent.
DATE OF
REGISTRATION
NAME OF
REGISTERED OWNER
ADDRESS OF
REGISTERED OWNER
SIGNATURE OF
AUTHORIZED
OFFICER OF
PAYING AGENT
9
Section 5. The Mayor and the Treasurer are hereby
authorized and directed, respectively, as such officers, to
execute each of the bonds on behalf of the City, and the Clerk,
or one or more of his deputies, is hereby authorized and di-
rected to countersign each of the bonds and to affix the of-
ficial seal of the City thereto. Such seal may be printed,
engraved, stamped, or otherwise placed by facsimile thereon.
The Mayor and Treasurer are hereby each authorized to cause
the bonds to be signed by printed, lithographed or engraved
facsimile signature. The 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 suf-
ficient and binding execution of the bonds and coupons by
the City, and all such signatures and countersignatures,
excepting that of the Clerk on the bonds, may be printed,
lithographed or engraved. In case any of such officers
whose signature or countersignature appears on the bonds or
coupons shall cease to be such officer before the delivery
of the bonds to the purchaser, such signature or counter-
signature shall nevertheless be valid and sufficient for all
purposes the same as though he had remained in office until
the delivery of the bonds.
Section 6. For the purpose of paying the principal
of and interest on the bonds, the Council shall, at the time
of making the general tax levy after incurring the bonded
indebtedness, and annually thereafter until the bonds are
paid or until there is a sum in the treasury set apart for
that purpose sufficient to meet all payments of principal
and interest on the bonds as they become due, levy and collect
a tax sufficient to pay the interest on the bonds and such
10
part of the principal as will become due before the proceeds
of a tax levied at the next general tax levy will be avail-
able. Such taxes shall be levied and collected as other
City taxes and shall be in addition to all other taxes and
shall be used only for payment of the bonds and interest
thereon. Said taxes as collected shall be forthwith paid
into the fund for which the same were levied and collected
and which shall be designated "City of Tiburon 1972 Open
Space Bond Interest and Redemption Fund," and all sums to
become due for the principal of and interest on the bonds
shall be paid from such fund. There shall likewise be de-
posited in said fund any moneys received on account of any
premium paid on the bonds and interest accrued on the bonds
from their date to the date of delivery and actual payment
of the purchase price thereof. When all of the principal
of and interest on all of the bonds have been paid, any
balance of money then remaining in said fund shall be trans-
ferred to the general fund of the City.
Section 7. There is hereby created and established
a fund to be known as the "City of Tiburon 1972 Open Space
Land Acquisition and Improvement Fund," which shall be kept
by the Treasurer, and all proceeds of the sale of the bonds
(except premium and accrued interest received on such sale)
shall be placed by the Treasurer to the credit of said fund
and shall be kept separate and distinct from all other muni-
cipal funds, and shall be applied exclusively to the purposes
and objects specified in the measure set forth in Section 2
of this resolution; provided, however, that when such pur-
poses and objects have been accomplished, any moneys remain-
ing in said fund shall be transferred to the City of Tiburon
1972 Open Space Bond Interest and Redemption Fund and be
11
used for the payment of the principal of and interest on
the bonds.
Section 8. The Clerk is directed to cause a suffi-
cient 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 pro-
visions hereof, and to procure their execution by the proper
officers, and to deliver them, when so executed, to the
Treasurer who shall safely keep the same until they shall
be sold by the Council, whereupon he shall deliver them to
the purchaser or purchasers thereof, on receipt of the pur-
chase price. The Mayor, Treasurer and Clerk are further
authorized and directed to make, execute and deliver to the
purchaser of the bonds a signature and no-litigation certi-
ficate in the form customarily required by purchasers of
municipal bonds, certifying to the genuineness and due execu-
tion of the bonds and further certifying to all facts with-
in their knowledge relative to any litigation which mayor
might affect the City, said officers or the bonds, and the
Treasurer is further authorized and directed to make, execute
and deliver to the purchaser of the bonds a receipt in the
form customarily required by purchasers of municipal bonds,
evidencing the payment of the purchase price of the bonds,
which receipt shall be conclusive evidence that said purchase
price has been paid and has been received by the City. Any
purchaser or subsequent taker or holder of the bonds is here-
by authorized to rely upon and shall be justified in relying
upon such signature and no-litigation certificate and such
receipt with respect to the bonds executed pursuant to the
authority of this resolution.
Section 9. All of the bonds shall be offered for
12
public sale by the Council on the date hereinafter speci-
fied and the Clerk is hereby authorized and directed to
cause a notice of the sale of the bonds to be published
once in THE EBB TIDE, a newspaper published in the City.
Such notice shall be substantially in the following form,
to wit:
13
OFFICIAL NOTICE OF SALE
$1,250,000 CITY OF TIBURON 1972 OPEN SPACE BONDS
NOTICE IS HEREBY GIVEN that sealed proposals will
be received and opened by the City Clerk of the City of Tiburon
(the "City") on behalf of the City Council (the "Council") of
the City, in the Council Chambers, City Hall, 80 Main Street,
Tiburon, Marin County, California, on
WEDNESDAY, NOVEMBER 29, 1972
at the hour of 11:00 A.M. for the purchase of $1,250,000 prin-
cipal amount of bonds of the City designated "City of Tiburon
1972 Open Space Bonds" (the "bonds"), more particularly de-
scribed below:
ISSUE AND
DENOMINATION:
$1,250,000, consisting of 250 bonds, num-
bered 1 to 250, both inclusive, of the de-
nomination of $5,000 each.
DATE:
The bonds are dated December 15, 1972.
The bonds mature serially in consecutive
numerical order, from lower to higher, as
follows:
MATURITIES:
Principal
Amount
Maturity Date
(June 15)
(All years inclusive)
$15,000
20,000
25,000
45,000
50,000
75,000
1974
1975 - 1976
1977 - 1985
1986
1987 - 1997
1998 - 2002
INTEREST RATE: Maximum seven percent (7%) per annum, pay-
able on December 15, 1973 and thereafter
semiannually on June 15 and December 15 in
each year. Bidders must specify the rate or rates of interest
which the bonds shall bear. Bidders may specify any number of
separate rates of interest, provided that: (i) the difference
between the lowest and highest coupon rates named in any bid
shall not exceed 2%; (ii) the difference between the lowest
and highest annual installments of principal and interest in
any year in which any principal shall mature shall not exceed
$62,500 (5% of the total principal amount of the bonds); (iii)
no bond shall bear more than one rate of interest, no inter-
est payment shall be evidenced by more than one coupon, and
supplemental coupons will not be permitted; (iv) each bond
shall bear interest from its date to its stated maturity at
the interest rate specified in the bid; (v) each interest
rate specified must be in a multiple of 1/20 of 1%, and a zero
rate of interest cannot be specified; (vi) all bonds maturing
in the same year shall bear the same rate of interest; and
(vii) any premium must be paid in bank funds as part of the
purchase price, and no bid will be accepted which provides for
the cancellation of any interest coupons or for the waiver of
14
any interest or other concession by the bidder as a substitute
for payment in full of the purchase price in bank funds. Bids
which do not conform to the terms of this paragraph will be
rejected.
REDEMPTION: Bonds maturing by their terms on or prior to
June 15, 1987, an aggregate principal amount
of $375,000, are not subject to call or re-
demption prior to their fixed maturity dates. Bonds maturing
by their terms on and after June 15, 1988, an aggregate princi-
pal amount of $875,000, are subject to call and redemption,
at the option of the City, as a whole, or in part in inverse
numerical order, on June 15, 1987 (but not prior thereto) alia
on any interest payment date thereafter prior to their fixed
maturity date or dates at the principal amount thereof and
accrued interest thereon to date of redemption, together with
a premium of 1/4 of 1% of such principal amount for each whole
year and for any remaining fraction of a year between the
date of redemption and the maturity date of the bonds so re-
deemed, provided that such premium shall not exceed 3% of such
principal amount.
PAYMENT: Both principal and interest are payable in
lawful money of the United States of America
at the principal office of Bank of America
National Trust and Savings Association in San Francisco,
California.
Coupon bonds will be issued by the City.
The bonds will be executed by the manual
signature of at least one official author-
ized to execute the bonds. The bonds are
registrable only as to both principal and interest. Registered
bonds are convertible into coupon bonds and are reregistrable
at the owner's expense.
EXECUTION AND
REGISTRATION:
tion of land for
City.
The bonds are authorized by vote of two-
thirds of the qualified voters voting at a
special municipal bond election for the pur-
pose of authorizing bonds for the acquisi-
open-space and recreational purposes for the
PURPOSE OF
ISSUE;
SECURITY: The bonds are general obligations of the
City and the City has power and is obligated
to levy ad valorem taxes for the payment of
the bonds and the interest thereon upon all property within
the City subject to taxation by the City (except certain per-
sonal property, which is taxable at limited rates) without
limitation of rate or amount.
In the event that prior to the delivery of
the bonds (a) the income received by any
private holder from bonds of the same type
and character shall be declared to be taxable
(either at the time of such declaration or at any future date)
under or by ruling of a federal income tax authority or official
which is followed by the Internal Revenue Service, or by deci-
sion of any federal court, or (b) any federal income tax law
is adopted which will have a substantial adverse tax effect on
holders of the bonds as such, the successful bidder may, at
TAX EXEMPT
STATUS:
15
his option, prior to the tender of the 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.
LEGAL OPINION: The legal op1n10n of Messrs. Orrick, Herrington,
Rowley & Sutcliffe, of San Francisco, Califor-
nia, approving the validity of the bonds, will
be furnished to the successful bidder without charge. A copy
of the legal opinion, certified by the official in whose office
the original is filed, will be printed on each bond without
charge to the successful bidder.
TERMS OF SALE
Highest Bid: The bonds will be awarded to the highest bid-
der, 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 the
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 lowest net interest cost to the City thus deter-
mined. The purchaser must pay accrued interest from the date
of the bonds to the date of delivery. All interest shall be
computed on a 360-day year basis. The cost of printing the
bonds will be borne by the City.
Right of
Rejection:
The Council reserves the right, in its dis-
cretion, to reject any and all bids and
to waive any irregularity or informality in
any bid.
Prompt Award: The Council 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, unless such
time of award is waived by the successful bidder. Prompt
notice of the award will be given to the successful bidder.
Delivery of the bonds will be made to the suc-
cessful bidder at the principal office of Bank
of America National Trust and Savings Association
in San Francisco, California, as soon as the
bonds can be prepared, which it is estimated will be within 30 days
from the date of sale thereof, but not prior to the date of the
bonds. Payment of the purchase price of the bonds (less the amount
of the bid check mentioned below) must be made in funds immedi-
ately available to the City in San Francisco, California.
Delivery
and Payment:
Right of
Cancellation:
The successful bidder shall have the right,
at his option, to cancel the contract of
purchase if the City shall fail to execute
the bonds and tender the same for delivery
within sixty.(60) days from the date of sale thereof, and
in such event the successful bidder shall be entitled to the
return of the deposit accompanying his bid.
Form of Bid:
All bids must be for not less than all of
the bonds, and for not less than the par
value thereof and accrued interest to date
16
of delivery. Each bid, toge~er with bidder's check, must
be enclosed in a sealed envelope addressed to the City Clerk
of the City; and endorsed "Proposal for City of Tiburon 1972
Open Space Bonds.1I All bids must either be mailed to the City
Clerk, City Hall, 80 Main Street, California, in time to be
received by 10:00 A.M. on November 29, 1972, or delivered
to the City Clerk at said place by 11:00 A.M. on such date.
Bid Check: With each bid must be submitted a certified
check or cashier's check for $35,000 drawn
on a bank or trust company transacting busi-
ness in the State of California, payable to the order of the
Treasurer of the City, to secure the City from any loss result-
ing from the failure of the bidder to comply with the terms
of his bid. Checks of the unsuccessful bidders will be re-
turned by the City Clerk by mail promptly upon the award of
the bonds. No interest will be paid upon the deposit made
by any bidder.
Estimate of Net
Interest Cost:
Bidders are requested, but not required,
to supply an est~mate of the total inter-
est cost to the City on the basis of their
respective bids, which shall be considered
only and not binding on either the bidder or
as informative
the City.
Official
statement:
The City has prepared an Official Statement,
a copy of which will be furnished upon re-
quest addressed to Dean Witter & Co. Incor-
porated, 45 Montgomery Street, San Francisco,
the City's financing consultants.
California 94106,
There is no litigation pending concerning the validity
of the bonds, the corporate existence of the City, or the title
of the officers thereof to their respective offices, and the
City will furnish to the successful bidder a no-litigation cer-
tificate certifying to the foregoing as of and at the time
of the delivery of the bonds.
DATED: November 13, 1972.
~
City Clerk of the City of Tiburon
17
Section 10. The City covenants with the holders of
all bonds at any time outstanding that it will make no use
of the proceeds of the bonds which will cause the bonds to
be "arbitrage bonds" subject to federal income taxation by
reason of Section 103(d) of the Internal Revenue Code of 1954.
To that end, so long as any of the bonds are outstanding, the
City and the Paying Agent, with respect to the proceeds of
the bonds, shall comply with all requirements of said Section
103(d) and of all regulations of the United States Department
of the Treasury issued thereunder, to the extent that such
requirements are, at the time, applicable and in effect.
Section 11. The form of Official Statement rela-
tive to the bonds, on file with the Clerk, prepared by Dean
Witter & Co. Incorporated, the City's financing consultants,
is hereby approved.
Section 12. This resolution shall take effect from
and after its passage and approval.
PASSED AND ADOPTED on November 13, 1972, by the
following vote:
AYES:
Councilmen Aramburu, Becker, Fanning, Littman
Sennett
NOES:
Councilmen: None
ABSENT:
Councilmen: None
APP
[ SEAL]
Attest:
~~
City Clerk
18
CITY CLERK'S CERTIFICATE
I, Bert Balmer, City Clerk of the City of Tiburon,
California, do hereby certify as follows:
The foregoing is a full, true and correct copy of
a resolution duly adopted by the City Council of said City,
at a regular meeting of said Council duly and regularly and
legally held at the regular meeting place thereof on Novem-
ber 13, 1972, of which meeting all of the members of said
Council had due notice and at which a majority thereof was
present.
At said meeting said resolution was introduced by
Councilman
Sennett
and was thereupon, upon motion of
Councilman
Becker , seconded by Councilman Littman
adopted by the following vote:
AYES: Councilmen: Aramburu, Becker, Fanning, Littman
Sennett
NOES: Councilmen: None
ABSENT: Councilmen: None
I have carefully compared the same with the original
minutes of said meeting on file and of record in my office and
the foregoing is a full, true and correct copy of the original
resolution adopted at said meeting and entered in said minutes.
The original 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.
Dated: November ~, 1972.
City
~
Clerk of the C~ty of
California
Tiburon,
[SEAL]