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HomeMy WebLinkAboutRES 1980-13 - Board rt_ TRUCKEE-DONNER PUBLIC UTILITY DISTRICT, COUNTY OF NEVADA, STAVE OF CALIFORNIA RESOLUTION NO- 8 013 RESOLUTION .APPOINTING FINANCIAL CONSULTANT AND AUTHORIZING EXECUTION OF AGREEMENT BE IT RESOLVED by the Board of Directors of the Truckee•= Donner, Public Utility ' s Dz tr�.ot r Nevada County, California,Cal that STONE & YOUNGBERG MUNICIPAL FINANCING CONSULTANTS be and they are hereby, appointed as Financial Consultant for the issuance of revenue bonds for said Truckee--Donner Public Utility zty District, and BE IT FURTHER RESOLVED that the employmentsaido f the STONE & YOUNGBERG MUNICIPAL, FINANCING CONSULTANTS shall be as ro-- vided in the attached agreement; and BE IT FURTHER RESOLVED that the Pre s i dent of the Board of • Directors be authorized to ' sign., and the District Secretary thereof be authorized to attest, that certain � e agreement em lovin the said � � � STONE & YOUNGBERG MUNICIPAL FINANCING CONSULTANTS to do and perform the services therein set forth and upon the compensation therein pro- vided vided for M f a • STATE, of CALIFORNIA. - } SS R COUNTY of N VADA } it A. Milton Seymour District Secretary of the .. Truckee-Donner Public Utility District,ter is t, DO HEREBY CERTIFY that. , the foregoing resolution was duly adopted by the Board of Dir actors of said District at a regular meeting of said . - Board of Directors held on. March 3 1980, and that said re o s lu- tion was so adopted by the following vote : AYES * Board Members Hatch, Maws, Sutton, Kuttel NOES : Board Members None.. • ABSENT OR y ABSTAIN- Huber I G: Board Members J w . r 4' District ec:�/etary (SEAL) STATE of CAI..:IFOPd�I.A � " SS COUNTY OF NEVAD.A. }. I , A. Milton Seymour District Secretary of � the Truckee-Donner Public Utility District,, DO 14EREBY CERTIFY RTIFY ghat the foregoing is a full , true and correct co o f Resolution . ^ • py No . 80�.3 o f said Board of Directors ,e c fors , and that the same has no . t been amended or repealed., DATED: __......._:. l 9 8 0 . (SEAL) District Secretary y • CONTRACT EMPLOYING FINANCING CONSULTANT THIS AGREEMENT, made this :��'� w- _ day of :,.:,js, f• 1980, by and be- tween the TRUCKEE-DONNER PUBLIC UTILITY DISTRICT, Nevada County, Califor- nia, a District duly organized under the Laws of the State of California hereinafter called "District") , party of the first part, and STONE & YOUNGBERG MUNICIPAL FINANCING CONSULTANTS, INC. , Suite 2750, one California Street, San Francisco, California, a corporation (hereinafter called "Consultant") , party of the second part: WITNESSETH: WHEREAS,, District is in the process of undertaking a water system capital im- provement program that may be financed through surplus operating revenues and long term debt instruments; and WHEREAS, District further desires to investigate financing opportunities and restraints and conduct a revenue bond authorization measure to provide such services; and WHEREAS, District further desires to investigate and utilize the municipal loan program administered by the Farmers Home Administration, U. S. Department of Agriculture; and WHEREAS, the preparation and execution of such an election and financing plan requires certain studies, analyses and recommendations to be made by persons qualified by training and experience to do so; and WHEREAS, District deems it to be in its best interests to employ the services of a financing consultant to advise on the planning of the election and to assist in the marketing of debt instruments that may be authorized at the lowest practicable inter- est cosh and moon r,. , Y _ • ;..: '... .:: vim' y WHEREAS, Consultant represents that it is skilled in making studies and analyses described in this contract and represents that it is qualified by training and experience to perform the work hereinbelow set forth; NOW, THEREFORE,, it is mutually agreed as follows, to wit.- District hereby employs Consultant and Consultant hereby accepts such employ- ment to perform the services, upon the terms, subject to the conditions and in con- sideration of payments as hereinafter set forth: 1 Assemble, review and analyze available legal, financial, engineering and other relevant data and information which may have a bearing on the proposed municipal program, 2. Based on the foregoing analysis, submit to District a letter rep ort which in addition to other information, discusses the following: A general review and description of the proposed improvement program, discussion of financing mechanisms and their oppor- tunities and restraints, the estimated capital and annual mainte- nance and operation costs, recommend principal amount of bonds to be authorized at an election and other pertinent information based primarily on data and information to be supplied by the District, engineering consultants and obtained by Stone & Young- berg Municipal Financing Consultants, Inc. 3, Recommendations as to tentative debt amortization schedules, estimated interest rates,, application of revenues and other pertinent details re- lating to the indebtedness that may be 'incurred to provide necessary physical facilities'. 4. During the entire course.of 'employment hereunder Consultant shall be available at reasonable times for consultation and advice relating to the financial aspects of the contemplated financing program, BOND ELECTION SERVICES 5. In the event a bond election is required in connection with the method of financing approved by District, Consultant shall assist in the prepara- tion of the ballot argument, tax rate statement and other information p rescribed by statute,, 'prepare the text of a condensed factual statement describing the project, explaining the need therefor, the benefits to be derived therefrom, the costs thereof, and the effect of such costs on typical users and taxpayers, or others who may be affected thereby, which statement may be reproduced and distributed to voters in advance of the election- Appear at a reasonable number of public meetings to explain the financial aspects of the program and provide factual information regarding the project and the financial program -2- .......... ........................... DEBT MARKETING SERVICES 6, In connection with the issuance of bonds or other evidences of indebted- ness authorized at an election or otherwise, to finance the project costs, Consultant shall recommend to District the exact terms and conditions under which debt is to be issued and sold, including timing and method of sale, final amortization or repayment schedules , call and redemption features, sinking fund requirements, application of revenues and other technical details. Assist the District in the preparation, submittal and processing of necessary applications for the purpose of obtaining United States Department of Agricul- ture, Farmers Home Administration loan participation at terms and conditions advantageous to the District. 7, Assist District's bond counsel in drafting the necessary resolution of issuance and notice of sale to insure inclusion of recommended debt re- payment terms and conditions in said legal documents . S. At the time of opening of bids for the bonds, Consultant shall verify for District the interest cost computation on all bids received, the conformity of each bid with the terms and conditions of sale of the bonds and such other facts as the District may request, 9. Consultant will coordinate action of the District, bond counsel, bond printer, and successful bidder in connection with the bond delivery and receipt of proceeds from the sale of the bonds. 10. During the entire course of employment hereunder, Consultant shall be available at reasonable times for consultation and advice relating to the financial aspects of the contemplated improvement program. PAYMENT FOR SERVICES 114, For the services to be rendered by Consultant, the following fee schedule shall apply: (a) For those services to be performed under Items 1 throug h 5, a sum equal to $50 per hour for staff financing consultant's time expended on consulting services provided to District, to become due and payable upon submission by Consultant of monthly invoices; pro- vided that the aggregate charges for such services under this Paragraph 11 (a) shall not exceed the total amount of $3,000 unless authorized in writing by District, (b) For those services to be performed under Items 6 through 10, a sum to become payable upon and subject to delivery of securi- ties and the receipt of proceeds to finance all or a part of the District's share of project costs in an amount equal to one and one-half percent (1-1/2 n) of the financing; provided, however, that the minimum fee due Consultant for each individual sale of securities shall be $7,500 -3- 77, AV vp COOPERATION OF DISTRICT 12, District agrees to cooperate with Consultant and assist representatives of Consultant in every reasonable way to the end that Consultant may obtain in a timely manner, all information and data required to diligently perform the services described above OTHER CONSIDERATIONS 13. Consultant is employed hereunder to render a professional service within the scope of its training. and experience as a municipal financing consultant and any payments made to it are compensation solely for such service and advice. Outside of its normal office overhead and traveling costs to and from its San Fran- cisco office and District to perform the services contracted for, Consultant is not responsible for and shall not be held liable for any other expense or expenditure of any kind, including the following: (a) Any and all legal, architectural or engineering expense of any kind whatever. (b) Any and all expense in connection with hearings, proceedings and due issuance of bonds. (c) Any printing, advertising, publicity and distribution of such material or data as District may wish to have prepared in connec- tion with Consultant's services except such written information concern- ing the proposed financing program as may be required to advise Dis- trict of Consultant's recommendations. 14. Consultant would be permitted to carry on its usual business activities including the performance of other additional services for District, should it so desire such additional services, and to perform similar services for other cities districts, or public entities. , 15 In the event no bonds are issued because the project is cancelled or post- poned indefinitely, either because of a negative bond election or otherwise, and the project is later reactivated in whole or in part, this agreement will con- tinue in effect for a period of five years from the date of the bond election or the official date of cancellation or postponement,, IN WITNESS WHEREOF, said DISTRICT, party of the first part, has caused these presents to be properly executed, and said CONSULTANT, party of the second part has caused these presents to be executed by one of its officers, as of the date herein- above set forth. TRUCKEE-DONNER PUBLIC UTILITY DISTRICT By V V STONE & YOUNGB ERG Municipal Financing Consultants, Inc. By Victor T. Subbotin, Vice President -4-