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Home My WebLink AboutRES 1980-57 - Board RESOLUTION NO, 8057 OF THE TRUCKEE DONNER PUBLIC UTILITY DISTRICT RESOLUTION DIRECTING PUBLICATION OF A NOTICE INVITING SEALED BIDS FOR SERIES 1980-1 WATER REVENUE, BONDS IN THE PRINCIPAL AMOUNT OF $321,500 The Board of Directors of the Truckee Donner Public Utility District resolves: A resolution providing for the issuance of Series 1980-1 water revenue bonds of the Truckee Donner Public Utility District in the principal amount of $321..,500 has been adopted by the Board, and it is desirable that said bonds be sold. This Board, therefore, determines and directs as follows: Section I - Said bonds be sold and sealed bids for the purchase of said bonds be received by 11:00 A.M. on September 8, 1980. Section 2 - The Deputy District Clerk is authorized and directed to publish a notice inviting sea-led bids once in the SIERRA SUN., a newspaper of general circulation published in this District. Section 3 - A copy of said notice inviting sealed bids, consisting of eight pages, is attached to this resolution and made a part hereof. PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District at a Regular Meeting thereof duly called and held within the District on August 18, 1980, by the following roll call vote - AYES: Duffy,, Huber, Maass,, Sutton and Kuttel NOES: None ABSENT.- None TRUCKEE DONNER PUBLIC UTILITY DISTRICT Kb(l Kuttela President ATTEST Susan M. Craig, Deputy Di lct Clerk NOTICE INVITING SEALED BIDS ON $321, 500 *00 REVENUE BONDS OF THE TRUCKEE-DONNER PUBLIC UTILITY DISTRICT NOTICE IS HEREBY GIVEN that sealed proposals for the pur- chase of $321 , 500 .00 par value water revenue bonds of the Truckee- Donner Public Utility District, County of Nevada, California, will be received by the Board of Directors of the District at the place and up to the time below specified: TIME : September 8, 1980 , at 11 :00 A.M* 'LACE: District Office 11570 Donner Pass Road Truckee, CA 95734 MAILED BIDS: Lyell Cash, Acting General Manager Truckee-Donner Public Utility District Po 0. Box 309 Truckee, CA 95734 OPENING OF BIDS: The bids will be received and publicly opened by the Acting General Manager at that time and place and will be considered at the regular meeting of the Board of Directors to be held on Sep tember 8, 19 80 , at 7 -0 00 P.M. in the Board meeting room at the District Office or such other location as may be here- after determined b,%,, the Board. ISSUE: $321 , 500 designated"SERIES 1980-1 WATER REVENUE BONDSTI consisting of 321 bonds, numbered 1 to 321, inclusive , of the denomination of $1 ,000 each, except Bond No . 1 and except as otherwise provided herein 'in the paragraph below headed "Registration" dated the date of delivery, which date is estimated to be Oc-tob-e-r 3, '1980 , MATURITIES : The bonds will mature in consecutive numerical order on October 1 in each year of maturity in the amounts for each of the several years a's follows : Principal Amount Years ends Maturi Maturing Annually 1981 1982 1 $ 1r500000 1983-2003 2 - 106 5,000 * 00 2004-2013 107 - 206 1.0, 000, 00 201.4-201.8 207 -- 28.1 15,000 . 00 2019-2020 282 - 321. 20 ,000 .00 INTEREST: The bonds shall bear interest at a rate or rates t0 be f ixed upon the sale thereof but not to exceed 10 o per a.nnum, payable October 1, 1981, and semi-annually thereafter . PAYMENT: said bonds and the interest thereon will be pay- able in lawful money of the United states of America at the office of the District. Treasurer, District Office, 11570 Donner Pass Road, Truckee, California 95734 . REGISTRATION: The bonds will be coupon bonds registrable e * ther as tO principal only or as to both principal and 'Interest, and the form of registration may be changed, or the bonds discharged from registration, all in accordance with the provisions in the resolution authorizing issuance of the bonds. If specified by the successful bidder, the total issue may be .represented by a single, fully registered bond, payable in installments , the installments of which shall mature at the times and in the amounts set forth above in the paragraph headed "Ma.tur'ties " . REDEMPTION: The bonds are subject to call and redemption p rior to maturity on any interest payment date prior to matur' ty 2- • at par. All or any of, the bonds sub3ect to call may be called for redemption at one time. If less than all of the bonds are redeemed at any one time, such bonds shall be redeemed only by lot. PURPOSE OF ISSUE: SaAd bonds were authorized for the following purposes The instaIlation and construction of it provemen.ts to the public water system of the District, including but not limited to water transmission and distribu- tion mains and lines, pumping facilities, pressure regulation facilities, and appurtenant facilities , and further including acquisition of any necessary lands, easements or rights-of -way o SECURITY : Said bonds are 'issued pursuant to the Revenue Bond Law of 1941 (Government Code Sections 54300 and following) as the first series of a total authorized revenue bond issue of $350 ,000 , which total bond issue was authorized by a special bond election in the District on June 31 1980 . Said bonds are equally secured by a p ledge , charge and lien upon the gross revenues of the water sy stem of the District (defi.ned as the "enterprise" in the resolution providing -for the issuance of the bonds) , together with all additions and improvements to said system hereafter made. The principal of and the 'Interest on the bonds are not a general obliga�tion debt of the Truckee-Donner Public Util_*Lty District nor a legal or equitable pledge, charge, lien or encumbrance upon any of its prop erty or upon any of its income, receipts or revenues , other than the g.,r-oss revenues of said water system of the District, which gross, revenues are pledged under the terms of the resolution authorizing issuance and said Revenue Bond Law of 1941, to the payment of the The general fund of principal of and the 'Interest on said bonds . the District is not liable for the payment of the bond principal or 3- interest, nor is the credit or the taxing power of the District or the forfeiture of any of its property,. PARITY BONDS : The bonds of this Series 1980-1 are parity bonds . Said bonds are issued on a. parity with that certain promis- sory note of the District designated "Emergency Drought Relief Promissory Note of 19 77" , in the principal face amount of $251 , 800 dated July 11, 1978 . Said note was issued and sold to Farmers Horne Administration, an agency of the United States Department of Agri- culture pursuant to Resolution No. 77-47 , adopted October 17 , 1977 , as amended. PURCIIASE BY FARMERS HOME ADMINISTRATION. The District has been advised by said Farmers Home Administration (FiTEA) that FmHA will submit an offer to p u:!.-chase the bonds at par, with the bonds bearing interest at the rate of five percent (5%) per annum. Iti the event that the bid of FmHA is the best bid for the bonds received 'in accordance with this Notice of Sale,, the bonds will be awarded to Frei A.. TERMS OF SALE INTEREST RATE: The maximurn rate bid may not exceed 1.0% per annum, payable October 1 , 1981, and semi-annually thereafterO Each rate bid must be a multiple of 1/20th of 1% . No bond shall bear more than one intere*st rate, and all bonds of the same maturity shall bear the same rate. Each bond must bear interest at the rate .sp ecif ied in the bid from its date to its fixed maturity date . Only one coup on will be attached to each bond issued in bearer form for each installment of interest thereon, and the bids providing for additional or supplemental coupons will be rejected. The rate of any 4- maturity or group of maturities shall not be more than 2% higher than the interest rate on any other maturity or. group of maturities AWARD: The bonds shall be sold for cash only W All bids must be for not less than all of the bonds hereby offered for sale and each bid shall state that the bidder offers par, the premium, if any, and the interest rate or rates not to exceed those specif ied herein, at which the bidder offers to buy said bonds . Due to the fact that the bonds will be dated the date of delivery, there will be no accrued interest payable at the time of delivery. Each bidder shall state in his bid the total net interest cost in dollars and the average net interest rate determined thereby, which shall be considered informative only and not a part of the bid. HIGHEST BIDDER.. The bonds will be awarded to the highest responsible bidder or bidders considering the 'Interest rate or rates sp ecified 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 District would be ive req uired to pay from the date of said bonds to the respect' matur- ity dates thereof at the 'Interest rate or rates specified in the bid, and the award will be made on the basis of the lowest net interest cost to the District. The cost of printing the bonds will be borne by the District. RIGHT OF REJECTION. The District reserves the right, in its discretion, to reject any and all bias and to the extent not prohibited by law to waive any irregularity or informality in any bid. PROMPT AWARD. The District will take action awarding the bonds or rejecting all bids not later than twenty-four (24) hours 5- • after the time herein prescribed for the receipt of proposals; provided that the award may be made of ter the expiration of the sp ecified time if the bidder shall not have given to the Board- of Directors notice in writing of the withdrawal of such proposal. PLACE OF DELIVERY . Delivery of said bonds will be made to the successful bidder at the District Office, or at any other place agreeable to both the District and the successful bidder. PROMPT DELIVERY; CANCELLATION FOR LATE DELIVERY: It is exp ected that said bonds will be del ivered to the successful bidder within 30 days .11'_rom the date of sale thereof. The successful bid- der shall have the right, a his option, to cancel the contract of purchase if the District shall fail to execute the bonds and tender them for delivery within 60 days from the date herein fixed for the receipt of bids , and in such event the successful bidder shall be entitled to the check accompanying his bid. FORM OF' BID Each bid, together with the bid check, must be in a sealed envelop e, addressed to the District with the envelope and bid clearly marked "Proposal for Truckee-Donner Public Utility District Series 1980-1 Water Revenue Boncis" . BID CHECK*- A certified or cashier ' s check on a responsible bank or trust company in the -mount of $3 , 000 . 00 payable to the order of the District must accompany each proposal submitted by a bidder other than any agency of the United States as a guaranty that the bidder, 'if successful, will accept and pa y for said bonds in accord- ance with the terms of his bid. The check accompanying any accepted proposal shall be applied on the purchase price or, if such proposal 6 wow is accepted but not performed unless such failure of performance shall be caused by any act or omission of the District, shall then be cashed and the proceeds retained by the District. The check accompanying each unaccepted proposal will be returned promptly . CHANGE IN TAX EXEMPT STATUS: At any time before the bonds are tendered for delivery , the successful bidder may dis- affirm and withdraw the proposal if the interest received by private holders from bonds of the same type and character shall be declared to be taxable income under present federal 'income tax laws , either by a ruling of the Internal Revenue Service or by a decision of any federal court, or shall be declared taxable by the terms of any federal income tax law enacted subsequent to the date of this notice. LEGAL OPINION: The unqualified opinion of Sturgis , Ness, Brunsell & Sperry a professional corporation, approving the validity of the bonds , will be furnished the successful bidder at or prior to the time of delivery of the bonds , at the expense of the Distl.--ict, NO LITIGATION CERTIFICATE: At the time of payment for and delivery of said bonds, the District will furnish the successful bidder a certificate that there is no litigation pending affecting the validity of the bonds,. NO ARBITRAGE COVENANT: The resolution authorizing issu- ance of said bonds contains a covenant that the District shall make no use of the bond proceeds whi-ch will cause them to be "arbitrage bonds" under the U, S . Internal Revenue Code of 1954 , as amended, and the applicable regulations promulgated thereunder by the Internal Revenue Service r 7- f INFORMATION AVAILABLE : Requests for information concerning the District should be addressed to: ` Stone & Youngberg Municipal Financing Consultants , Inc. Suite 2750 , one California Street San Francisco, Ca. 94111 Telephone (415) 9 8 9--2 3 0 0 Attention Victor S ubbo tin GIVEN by order of the Board of Directors of the Truckee- Donner Public Utility District.. SUSAN i. . CRAI G, e uty District Clerk, Truckee--Donner Public Utility District _g�