HomeMy WebLinkAbout91-169 ` Res 91-169
The City Council of the City of Oshkosh, Winnebago County, Wisconsin,
met in regular, open, public session at its regular meeting place on April 18, 1991, at 7:00
o'clock P.M., with the following members present:
Floyd R. Chapin, Robert C. Jungwirth, Kathleen M. Propp, Karen W. Fonstad,
Melanie Bloechl , Donald Pressley and Thomas J.• Binner
and the ioilowing members absent: None
* * *
(Other Business)
The City Clerk stated that one purpose of the meeting was the considera-
tion of proposals received for the purchase of $5,500,000 aggregate principal amount of
Tax and Revenue Anticipation Notes, Series 1991, of the City of Oshkosh, Winnebago
County, Wisconsin, pursuant to sealed bids.
Thereupon the following resolution, was introduced by
Binner and read in full, and, pursuant to motion made by
Pressley and seconded by Propp , was
adopted by the following vote:
Aye: Chapin, Jungwirth, Propp, Fonstad, Bloechl , Pressley, Binner
Nay: None
Absent or Not Voting: None
- 19 -
' Res 91-169
RESOLUTION determining to borrow $5,500,000 and to issue
• Tax and Revenue Anticipation Notes, Series 1991, of the City
of Oshkosh, Winnebago County, Wisconsin, in such amount,
providing details, prescribing the form of note and awarding
said notes.
WHEREAS, the Director of Finance of the City of Oshkosh, Winnebago
County, Wisconsin (the "City") has determined that during the course of 1991 expendi-
tures for general municipal expenses of the City may exceed receipts from time to time
from property taxes levied and state and federal aids by as much as $5,500,000; and
WHEREAS, cities are authorized by the provisions of Section 67.12(1) of
the Wisconsin Statutes to borrow money and issue municipal obligations in anticipation of
the receipt of such levied taxes and state and federal aids; and
WHEREAS, it has been determined that the City is in temporary need of
money in the amount of $5,500,000 for the purpose of providing funds for the payment of
general municipal expenses during 1991; and
WHEREAS, it is considered necessary and desirable by this City Council
that the City borrow $5,500,000 for the purpose of providing funds for the purpose afore-
said, said amount being less than sixty per cent (60%) of the aggregate amount of taxes
levied and state and federal aids to which the City is entitled, and that the City issue its
Tax and Revenue Anticipation Notes, Series 1991 (the "Notes") to evidence the obligation
thereby incurred; and
WHEREAS, the officials of the City have received proposals for the
purchase of the Notes in the amount of $5,500,000 from:
Bidder Interest Rates
96
Banc One Capital Corgoration, Milwaukee, WI 228,356.94 5.1188
Robert W. Baird & Co. , Milwaukee, WI 231,531.35 5.19
Oppenheimer � Co. , Inc. 9 Chicago, IL 236,407.89 5.299
First Wisconsin National Bank of �il�aaukee,
Milwaukee9 WI 244,315.77 5.4765
-2-
- 19a -
' Res 91-169
WHEREAS the propossl of Banc One Capital Corporation
of Milwauke�� , Wisconsin , and associates, for the
purchase of the Notes in said aggregate principal amount at par, bearing interest at the
rate of5.11F38percent (5_ll�o)per annum is the best proposal received, which proposal is as
follows:
(Attach Bid Here)
-3-
- 19b -
� � Res 91-169
OFFICIAL BID FORM
TO: Mr. Edward A. Nokes, Finance Director SALE DATE: April 18, 1991
City of Oshkosh
215 Church Avenue
Oshkosh, WI 54902
(414) 236-5006
RE: $5,500,000 Tax and Revenue Anticipation Notes, Series 1991
For the TRANS of this Issue which shall mature and bear interest on March 1, 1992 at the annual rate
of S/�� %, we offer a p[ice of $ S �7S��i (Note: This amount may not be
less than $5,500,000) and accrued interest to e date of delivery.
In making this offer we accept all of the terms and conditions of the Official Notice of Sale published in
the Official Statement dated April 4, 1991. In the event of failure to deliver these TRANS in accordance
with the Official Notice of Sale as printed in the Official Statement and made a part hereof, we reserve
the right to withdraw our offer, whereupon the deposit accompanying it will be immediately returned.
All blank spaces of this offer are intentional and are not to be construed as an omission.
Not as a part of our offer, the above quoted prices being controlling, but only as an aid for the
verification of the offer, we have made the following computations:
NET INTEREST COST: $ ��� �� ��..'—�
NET EFFECTIVE RATE: ���� _°�
Account Members
BANC ONE CAPITAL CORP� Milwaukee
Bank One� Oshkosh� NA
Account Manager
BY:��� %�Q �
Vera Mc oberts
A°s.=stant,.Vi,ce„President,,,
The foregoing offer is hereby accepted by the Issuer on the date of the offer by its following officers
duly authorized and empowered to make such acceptance.
Finance Director/Treasurer City Manager
Received good faith check for return to bidder.
SPRINGSTED Incorporated by
- 19c -
� Res 91-169
NOW, THEREFORE, Be It Resolved by the City Council of the City of
Oshkosh, Winnebago County, Wisconsin, as follows:
Section 1. For the purpose of paying the cost of providing funds for the
payment of general municipal expenses and in anticipation of the receipt of levied taxes
and state and federal aids to be received during the current fiscal year there shall be
borrowed from Banc One Capital Corporation of Milwaukee ,
Wisconsin the sum of $5,500,000, and to evidence such indebtedness the
City shall issue its Notes in the aggregate prineipal amount of $5,500,000.
Section 2. The Notes shall be designated "Tax and Revenue Anticipation
Notes, Series 1991", shall be in negotiable bearer form, shall be dated the date of their
issuance, shall be in denominations of $100,000 each and integral multiples thereof, shall
be numbered from 1 upward, shall bear interest at the rate of5.1188 pereent(.�.11R�er
annum payable at maturity or upon prepayment, and shall mature as to principal on
March 1, 1992.
The Notes shall be subject to prepayment at the option of the City, as a
whole or in part by lot, on December 1, 1991, and on the first day of any month there-
after, at a prepayment price of par plus accrued interest to the date fixed for
prepayment.
Notice of any such prepayment shall be given by registered or certified
mail, postage prepaid, to the above named purchaser and shall be published once in The
Bond Buyer, published in New York, New York, not less than five (5) days prior to the
date fixed for prepayment, unless the holders of 10096 of the Notes then outstanding shall
have waived the requirement for such publication in writing.
The Notes shall be signed by the City Manager of the City by his manual or
facsimile signature and by the City Clerk of the City, and sealed with the official seal of
the City. Both principal of and interest upon each Note shall be paid directly to the
holder thereof by the First Wisconsin Trust Company, Milwaukee, Wisconsin, which is
hereby appointed paying agent and registrar for the Notes, in lawful money of the United
States of America, upon the presentation and surrender of said Note.
Section 3. The Notes shall be in substantially the following form, the
omissions to be appropriately completed when the Notes are prepared:
-4-
- 19d -
� REs 91-169
UNPTED STATES OF AMERICA
State of Wisconsin
County of Winnebago
City of Oshkosh
TAX AND REVENUE ANTICIPATION NOTE, SERIES 1991
NO. �
HNOW ALL MEN BY THESE PRESENTS: That the City of Oshkosh in the
County of Winnebago, State of Wisconsin (the "City"), hereby acknowledges itself to owe
and for value received promises to pay to bearer, solely from the source hereinafter
identified, the principal sum of ($ )�
payable on March 1, 1992, except as the provisions hereinafter set forth with respect to
prepayment may and become applicable hereto, and, from the same source, interest at
the rate of per cent ( %) per annum on the unpaid
principal amount hereof from the date hereof until the principal amount hereof shall
have been fully paid, such interest and principal being payable directly to the bearer by
the First Wisconsin Trust Company, Milwaukee, Wisconsin, as paying agent (the "Paying
Agent") for the City, at maturity or upon prepayment, only upon presentation and
surrender of this Note to the Paying Agent.
For the prompt payment of this Note with interest hereon as aforesaid the
City has pledged a sufficient amount of taxes levied and state and federal aids to be
received during the current fiscal year, which monies, as received, shall be deposited into
a separate fund to be used solely for such purpose.
This Note is one of an authorized issue of notes in the aggregate principal
amount of $5,500,000 (the "Notes"), all of like date, issued to evidence the obligation
incurred by the borrowing of money in such aggregate amount for the purpose of paying
the cost of providing funds for the payment of general municipal expenses, pursuant to
and in all respects in compliance with Section 67.12(1), Wisconsin Statutes, and a
resolution adopted by the City Council of the City on Apri118, 1991, and entitled,
"RESOLUTION determining to borrow $5,500,000 and to issue Tax and Revenue Antici-
pation Notes, Series 1991, of the City of Oshkosh, Winnebago County, Wisconsin, in such
amount, providing details, prescribing the form of note and awarding said notes."
Notes of the issue of which this Note is one are subject to prepayment at
the option of the City, as a whole or in part by lot, on December 1, 1991, and on the first
day of any month thereafter, at a prepayment price of par plus accrued interest to the
date fixed for prepayment.
Notice of any such prepayment shall be given by registered or certif ied
mail, postage prepaid, to � o f
, and shall be published in The Bond Buyer, published in New York,
New York, not less than five (5) days prior to the date fixed for prepayment, unless the
holders of one hundred per cent (100%) of the Notes then outstanding shall have waived
the requirement for such publication in writing. When so called for prepayment, this
Note, or the portion hereof being so called for prepayment, will cease to bear interest on
the specified prepayment date, provided funds for prepayment are on deposit with the
Paying Agent on that date.
-5-
- 19e -
� Res 91-169
It is hereby certified, recited and declared that all acts, conditions and
things required by law to be done, exist, happen and be performed precedent to and in the
issuance of this Note have been done, have existed, have happened and have been
performed in due time, form and manner as required by the Constitution and statutes of
the State of Wisconsin.
IN WITNESS WHEREOF, the City of Oshkosh, Winnebago County,
Wisconsin, by its City Council, has caused this Note to be executed by its City Manager
by his manual or facsimile signature and by its City Clerk, and its official seal to be
impressed hereon, all as of the 9th day of May, 1991.
City Clerk City Manager
(SEAL)
Seetion 4. The City has levied $11,544.769 for property taxes in the year
1990, collectible in 1991, of which $ 7,927,593 has been collected to the date hereof.
The City is entitled to revenue from the State of Wisconsin in the amount of $12,573,351
of state aids during 1991, of which $1,201,852 has been collected to the date hereof.
The City is entitled to $43G,481 of federal aids during 1991. In order to provide for
the funds to pay the interest on the Notes and to pay and discharge the principal thereof
at maturity, the City hereby pledges an amount sufficient for said purposes from the
aforesaid taxes levied and to be collected and state and federal aids to be received in the
fiscal year 1991, but subsequent to the dated date of the Notes, such amount being less
than sixty per cent (6096) of the total amount of taxes, state and federal aids aforesaid.
Monies received from said sources shall be kept in a separate and distinet fund to be used
solely for paying the principal of and interest on the Notes, so long as any of the Notes
remains outstanding. The Notes shall be payable solely from the aforesaid taxes and
state and federal aids, and shall not constitute an indebtedness for the purpose of
computing the constitutional debt limitation of the City.
Section 5. The Note Registrar shall keep, maintain and preserve an
adequate and correct register account of the Notes originally issued and prepaid, and all
payments and other transactions relating thereto.
If requested by the Registrar, the City Manager of the City is hereby
authorized to execute, and the City Clerk of the City is hereby authorized to attest, and
said City Manager and City Clerk are hereby authorized to deliver, the Registrar's
standard form of agreement between the City and the Registrar with respect to the
obligations and duties of the Registrar hereunder which shall include the following:
(a) to act as Registrar, paying agent and transfer agent as provided herein;
(b) to give notice of redemption of Notes as provided herein;
(c) to cancel and destroy Notes which have been paid at maturity or upon
earlier redemption or submitted for exchange or transfer;
-6-
- 19f -
� � REs 91-169
(d) to furnish the City at least annually a certificate of destruction with
respect to Notes cancelled and destroyed; and
(e) to furnish the City at least annually an audit confirmation of Notes
paid, Notes outstanding and payments made with respect to interest on the Notes.
Section 6. The sale of the Notes to Banc One Capital Corporation
and associates, at the price of $5,500,275.00 plus accrued interest to the date
of delivery, is hereby confirmed. When the Notes shall have been prepared and executed,
the same shall be dated and delivered by the City Treasurer of the City to the purchaser
upon receipt of $5,500,000.
Section 7. The principal proceeds from the sale of the Notes shall be used
only for the purpose of paying the cost of providing for the payment of general municipal
expenses.
The City recognizes that the purchasers and holders of the Notes will have
accepted them on, and paid therefor a price which reflects, the understanding that
interest thereon is exempt from federal income taxation under laws in force at the time
said notes shall have been delivered. In this conneetion the City agrees that it shall take
no action which may render the interest on any of the Notes subject to federal income
taxation and that the principal proceeds of the sale of the Notes shall be devoted to and
used with due diligence for the payment of the expenses for which the Notes are herein
authorized to be issued.
The City Manager, the City Clerk, the City Treasurer and the Director of
Finance of the City, or any of them, are hereby authorized to execute on behalf of the
City an Arbitrage Certificate and Agreement or a Certificate and Agreement With
Respect to Tax Exemption or a similar certificate and agreement to assure the
purchasers and holders of the Notes that the proceeds of the Notes are not expected to
be used in a manner which would or might result in said notes being "arbitrage bonds"
under Section 148 of the Internal Revenue Code of 1986 or the regulations of the United
States Treasury Department currently in effect or proposed. Such Arbitrage Certificate
and Agreement or Certificate and Agreement With Respect to Tax Exemption or similar
certificate and agreement shall constitute a representation, certification and covenant
of the City and is incorporated herein by reference, and no investment of Note proceeds
or of moneys accumulated to pay the Notes herein authorized shall be made in violation
of the expectations prescribed by said Arbitrage Certificate and Agreement or
Certificate and Agreement with Respect to Tax Exemption or similar certificate and
agreement.
The City hereby agrees to create a fund into which shall be deposited in
trust, any investment earnings on the proceeds of the Notes which must be rebated,
together with the earnings thereon, to the United States.
Section 8. If any section, paragraph or provision of this Resolution shall be
held to be invalid or unenforceable for any reason, the invalidity or unenforceability or
sueh section, paragraph or provision shall not affect any of the remaining sections,
paragraphs and provisions of this Resolution.
Section 9. The City Manager, the City Clerk, the City Treasurer, the City
Finance Director and all other officers of the City are hereby authorized to execute all
documents and certificates necessary in connection with the authorization and delivery
of the Notes.
-7-
- 19g -
' Res 91-169
Seetion 10. All ordinances, resolutions or orders, or parts thereof,
heretofore enacted, adopted or entered, in conflict with the provisions of this Resolution,
shall be and in the same are hereby superseded to the extent of such conflict, and this
Resolution shall be in effect from and after its passage.
Adopted April 18, 1991.
Approved April 18 , 1991.
Recorded April 18 , 1991.
(SEAL)
� � �
�2�J -��i-�-�
a� or
Attest:
� � �. �
City Clerk
-8-
- 19h -
" � � � Res 91-169
STATE OF WISCONSIN )
) SS.
COUNTY OF WINNEBAGO )
I, Donna C. Serwas, hereby certify that I am the duly qualified and acting
City Clerk of the City of Oshkosh, Winnebago County, Wisconsin, and as sueh official I
further certify that attached hereto is a copy of excerpts from the minutes of the
meeting of the City Council of said City held on April 18, 1991; that I have compared
said copy with the original minute record of said meeting in my official custody; and that
cogy is $ true, correct and complete transcrint from said original minute record insofar
as said original record relates to the $5,500,000 Tax and Revenue Anticipation Notes,
Series 1991, of said City.
WITNESS my official signature and the seal of said City this 18th day of
April, 1991.
/ /� / �, ��
City Clerk
(SEAL)
-9-
- 19i -
a�
� �
c rn
� rn
> �-
a�
� �
a�
�s .�
�
x a�
bN
�-
o � ►��
.��
oz �- aNN
p a� oww
rn �n c rn o >- o
� o �- ¢ ¢ z
� � •..
� �+�
� �
o� a� n. � .. o
.r, z w
� o v .-� o �--�
� .., •r, ,--� �
�n cL-N � F- �
L" d Q � � V