HomeMy WebLinkAboutCC RES 73-64 RESOLUTION NO. 73-64
RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF TUSTIN, CALIFORNIA, CALLING FOR SEALED
BIDS ON BONDS TO BE ISSUED TO REPRESENT
UNPAID ASSESSMENTS UPON LANDS IN ASSESSMENT
DISTRICT NO. 2, IN SAID CITY
WHEREAS, In accordance With the terms and provisions
of the "Municipal Improvement Act of 1913", Division 12 of
the Streets and. Highways Code of the. State of California, and
pursuant to Resolution of Intention No. 73-62 adopted the 17th
day of September, 1973~ proceedings were initiated for the con-
struction of certain public improvement work together with
appurtenances in what is known as ASSESSMENT DISTRICT NO. 2.
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WHEREAS, said City Council has determined that serial bonds
shall be issued pursuant to and as set forth in the "Improvement
Act of 1911" being Division 7 of the Streets and Highways Code of
the State of California.
NOW, THEREFORE, IT IS HEREBY RESOLVED BY THE CITY COUNCIL
OF THE CITY OF TUSTIN, CALIFOP~NIA AS FOLLOWS:
SECTION 1. The above recitals are all true and correct.
SECTION 2. This City Council does hereby call for sealed
,bids on the bonds proposed to be issued, to be received up to
the time specified in the not'ice hereinafter set forth.
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SECTION 3. This City Council hereby selects and specifies
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as the date of the bonds representing assessments against private
property, the date specified for that purpose in the Notice of
Sale, attached hereto, said' date to be the 31st day after the
recording of the assessment in the office of the Superintendent
of Streets of the City of Tustin, California.
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SECTION 3. The City Engineer is hereby directed to mail copies
'of the attached Notice of Sale to all persons determined by said
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· Engineer to be prospective purchasers and interested in bidding
on. the bonds to be issued for these proceedings, said bonds to
be issued pursUant to .the provisions of,the "Improvement Act of .
1911" being D_~vision 7 of the Streets and Highways Code of the
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State of California.
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APPROVED and ADOPTED this 17th day of September , 1973.
ATTEST:
CI'TY'~t~JRK O.F THE CITY OF ~--
· TUSTIN, ~A~LI F OPeN I A
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ASSESSME~,T DIC'r~ ~
~RICT NO. 2
CITY OF TUSTIN, CALIFOI%NIA
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NOTICE OF SALE
ON IMiPROVEMENT BONDS
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NOTICE IS ~{EREBY GIVEN that the City of Tustin
California, on behalf of and as~ authorized by the City Council
of said City, wil1 receive sealed bids at the city Clerks office
in the City Hall of said city, up to the hour of =~_10:30 .... o'clock
A.M. . on ___NOVEMBER_ ! .... ~_1_~73
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. Said bids will thereafter be
referred to the Council for consideration at the next regular
meeting of the City Council.
Mailed bids .should be addressed as follows:
City Council Re: Assessment District No. 2
c/o City Clerk
City Hall
135 West 3rd Street
Tustin, California 92680
BONDS. The bonds to be sold will be secured by unpaid
assessments levied.upon private property within said assessment
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district, and are authorized Ly proceedings taken pursuant to
the "Municipal Improvement Act of 1913" being Division 12 of tP~e
Streets and Highways Code of the State of California, and are to
be issued pursuant to the provisions of the "Improvement Act of
1911" being Division o7 of said Code. Proceeds from the sale
such bonds will be used to pay the costs of the improvement projec-
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as authorized by said proceedings.
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AMOUNT. The total number and aggregate of bonds to be sold
can only be determined upon the expiration of the thirty (30)
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day cash collection payment period following the confirmation and
recordation of the assessment and during said period, assessmenus
may be paid either in whole or in part. Total estimated aggregaue
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amount of assessments to be confirmed is $__~_l~~.flD___ .... ·
Said bonds shall be issued for all unpaid assessments or
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portions thereof which amount to Fifty ($50.00) Dollars or over
and shall be in the respective amounts as set forth in the confirmed
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.and recorded assessment for said district. Said bonds will be
dated the' 31st day a~fter the recording of the assessment and shall
bear interest at a rate to be determined at the salve thereof,
provided, however, that said rate shall be the sa~e for all bonds,
shall not exceed the maximum rate of seven (7%) percent per annum.
Said bonds and the coupons thereof shall be issued substantially
in the form authorized for the issuance of bonds under Divisi~on 7
of the Streets and Highways Code of the State of California, and
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shall extend over a period ending =_n_i_n~~_ .( 9 ) years from the
second day of January next succeeding the next September first
following their date, and an even annual proportion of the principal
sum thereof shall be 'payable, by coupon, on the second day of
January every year after the next September first followin~ thei~
date, until the whole is paid, and the interest shall be payable
semi-annually, by coupon, on the second days of January and July,
respectively, of each year following the date of the bonds.
BID. Said bonds will be sold for cash only to the bidder
whose bid in the opinion of the City Council will best serve the
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interest of owners of land included in the assessment district.
Bids will be accepted on a .flat___b~i~ S~, with no requirement
of payment of accrued interest and bidders shall state separately
the pr~mimn, if any, and the rate of interest offered for said
bonds. Any premium offered will not be taken into consideration
in determJ, ning the best bid except for the purpose of breaking
tie between two b'ids stating the same net interest cost.
bidder may offer a premium but such premium will be payable only
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if such premium is used to break a tie bc~tween that bid and
some' other bid or bids stating the same net interest cost. Each
bid shall be for the entire amount of the bonds to be issued at
a single rate of interest, and any bids for less than the entire
amount of said secur~t'~es or for varying rates of interest will
be rejec, ted. No bid 'will be considered for less than ~_ni. Det_v_ six
_~(_9_6~_%~)~ percent of par. Any discount will be based on and con-
sidered only as it relates to bonds actually issued.
PAYMENT. Said bonds, and the interest thereon are payable
in lawful money of the United States of America at the office of
the City Treasurer of said city.
LEGAL OPINION. The unqualified .opinion of F. Mackenzie
Brown, Attorney, approving the validity of said bonds will be
furnished to the successfuI bidder upon delivery of the securities
at the expense of the City. The cost of printing securities will
be borned by the ,City and will not be payable by the successful
bidder.
SECURITY DEPOSIT.. A certified or cashier's check for a
sum of $!~000.00 .... payable to the order of said city must
accompany every bid as a guaranty that the bidder., if successful,
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will accept and pay for 'the securities described in the accepted
bid in accordance with the terms of his bid, and said check shall
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remain in the possession of the City Council until payment for
said securities has been received. The City Council reserves
the right to reject any and all bids. The City Council also
reserves the right to disregard insubstantial irregularities and
technical defects in bids.
AWARD. The bonds will be. sold for cash only. Ail bids
must be for not l~ss than all. of the bonds hereby offered for,. sale.
Each bidder should state in his bid the total net interest cost in
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dollars and the average net interest rate determined t~ereby, whick
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shall be considered informative only and not a part of the~bid.
For purpose of this computation, bidders are to assume that the
maximum aggregate amount of bOnds shall be issued.
The City will consider making an action on award on the
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or rejecting all bids at the next regular, meeting of the City
Council .following. the opening of the bids; however,, the award
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may be made after the' expiration of the specified time if the
bidder shall not have given to said City Council, notice in writing
of the withdrawal of such proposal. '
DELIVERY OF SECURITIES. Delivery of said bonds shall be
made to the successful bidder at the City Hall, or at any other
place agreed upon by the City and the successful bidder..' Payment
shall be made in cash or Federal Reserve Bank funds.
TAX EXEMPT STATUS. At any time before 6he bonds are tendered
for delivery, the successful bidder may disaffirm and withdraw
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the proposal if the interest received by private holders from
bonds of the same type and character shall be declared to be taxs .e
income under present federal income tax laws, either by a ruling
of the Internal Revenue Service or by a decision o~. any federal
court, or shall be declared taxable by the terms of any federal
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income tax law enacted subsequent to the date of this notice.
NO LITIGATION CERTIFICATE. At the time of pa]anent for and
delivery of said bonds the City wil.1 furnish the successful bidder
a certificate that there is no '.litigation pending ~ffecting.the
validity of the bonds'°and certificates.
ASSESSMENT .DESCRIPTION 2kND AMOUNTS. For a description of
the respective lots, pieces and parcels of land upon which the
s'everal assessments and bonds are issued, and for other
reference .is hereby made to the assessment presently on file i.n
the office of the City Clerk and upon confirmation to be recorded
in the office of the Superintendent of Streets .of the City o..
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' , Tustin , California.
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APPROVED BY the City Council of the City of Tustin,
California the !7th ~ day of s__eptember
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, 1973.
~TY k~llR2~ OF THE CITY
TUSTIN, CALIFOP~NIA
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STATE OF CALIFORNIA
COUNTY OF ORANGE
CITY OF TUSTIN
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RUTH C.~?.OE ...... -. _ ........... ,
City Clerk of the City of T___u_s__ti_~n~ ..................... ,
California, DO HEREBY CERTIFY that the foregoing
Resolution, .being Resolution No.~__7_3_6~ ........ , was
duly p.assed, approved and adopted by said City Council,
approved and signed by the Mayor, and attested by the
City clerk, all at a ____P~.~l]~7 ................. _meeting of
said City Council held on the___]_-ath_day of_s~~~~r___-
19_7,3 ....... , and that.the same was passed, and. adopted by
the f. ollowing vote, to wit:
· , AYES:
COUNCILMEN SALTARELLI, LANGLEY
WELSH, WOODRUFF
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NOES:
COUNCILMEN NONE '
ABSENT:
COUNCILMEN NONE
DATED this ...... l~-_h ..... day of__~,~%~ ............ _19 7__3___
(SEAL)
CITI CLERKN~F THE CITY OF ~' ~.