HomeMy WebLinkAbout34828 / 88-13 Res. N73
. The City Counci7 of the City of Oshkosh, Winnebago County, Wisconsin, -
met in regular, open, public session at its regular meeting place on Aprii 21, 1988, at 7:00
o'clock P.M., with the Yollowing members present:
� Floyd R. Chapin, Robert C. Jungwirth, Don H. Kutchera, Kathleen M. Propp,
Donald W. Pressley, Thomas J. Binner and James A. Mather
end the tollowing members absent: none
i ♦ i
� (Other Business)
The City Clerk stated that one purpoae oY the meeting was the considera-
tion of proposals received for the purchese ot ;7,500,000 eggregate principal amount of
Tex end Revenue Mticipation Notes, 3eries 1998, ot the City oY Oahkosh, Winnebago
County� Wisconsin� pursuant to sealed bids.
Thereupon the Yollowing resolution� was introduced by
Binner and read in full, and, pursuant to motion made by
Binner and seconded by Kutchara , was
adopted by the following vote: �
Aye: Chapin, Jungwirth, Kutchera, Propp, Pressley,
� Oinner, Mather
Nay` none
SUBM?TTED BI'
Absent or Not Voting: none
r,'��0�'/{�C'
ePpar,vEn
EESOLUTION determining to borrow $7,500,000 and to issue
Taa and Revenue Anticipation Notes� Series 1988, of the Ciry
of Oahkosh, Winnebago County, Wisconsin, in such amount,
� providing details� prescribing the Corm of note and awarding
seid notes.
WHEREA3, the Director oY Finance oY the City of Oshkosh, Winnebago
County, Wisconsin (the "City") hes determined that during the course of 1988 expendi-
tures for generel municipel e�cpenses of the City may exceed recetpts Yrom time to time
from property taxes levied and state and federal aids by as much as s7,500,000; and
PIHEREA3, cities are euthorized by the provisions of 3ection 67.12(1) oY
the Wisconsin Statutes to borrow money end issue municipel obllgations in anticipation of
the receipt of such levied taxes and state and federal aidaq and
WHEREA$ it hes been determined that the City is in temporary need oY
money in the amount of E7,500,000 for the purpose oY providing funds for the payment of
general municipal expenses during 1988; and
PTHEREA3� it is considered necessary end desirable by this City Council
that the City borrow 57,500,000 [or the purpose of providing funds Yor the purpose aYore-
said said amount being less than siaty per cent (60%) of the aggregate amount of teaes
levied and state and federel aids to which the City is entitled, and that the Clty issue its
Tsa and Revenue Anticipation Notes, 3erles 1988 (the "Notea'� to evidence the obligation
thereby incurred� and
WHEREAS, the oYticiels oY the City have received proposals Yor the
purchese of the Notes in the amount o[ E7,500,000 ftrom:
Bidder Interest Rates
See attached paoe (2a)
SYHEREAS the proposal of First [iank (iJ.A.)
OL Milmaukze 1Jisconsin i and 8990Ci8t23� foP the
purchase of the Notes in said aggregate principal amount at par, bearing interest at the
following rate or rates per annum: /plus a premium of $750.00
Principal Amount Interest Rate or Rates
S 7,500,000.00 5.2 %
is the best praposal received;
NOW, THEREPORE, Be It Resolved by the CiTy Council of the City of
Oshkosh, Winnebago County, Wisconsin, as follows:
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3ection 1. For the purpose of paying the�cost oY providing Yunds for the
payment oY general municipal expenses and in anticipation of the receipt o[ levied taees
and state and federal aids to be received during the current fiscal year there shall be
bOrrowed YrOm �zs[ Bank (N.A J oY Milwaukee �
Wisconsin the sum of 57,500�000� and to evidence such indebtedness the
City shall issue its Notes in the aggregate principal amount oY $7,500,000.
Sectlon Z. The Notes ahall be designeted '"fex and Revenue Anticipation .
Notes, 3eries 1988", shell be in negotiable bearer Porm, shall be dated the date of theIr
isauance, ahall be in denominations oY j100,000 each and integral multiples thereof, shall
be numbered from 1 upward, shell bear interest at the following rates per annum:
Principal Amount Interest Rate
$7�500�000 5.2 %
payable at maturity or upon prepayment, and shall mature as to principal on March 1,
1989.
The Notes shall be subject to prepayment at the option of the City, as a
whole or in part by lot, on December 1, 1988, and on the first day of arty month there-
e[ter� at a prepayment price of par plus accrued interest to the date fixed for
prepayment.
Notice oY any such prepayment shall be given by registered or certified
mail� poatage prepaid, to the above named purchaser and shall be published once in The
8ond Buyer, published In New York� New York� not less than YiYteen (SS) days prior to the
date Yixed Yor prepayment, unless the holders oY 100% of the Notes then outstanding shall
have waived the requirement for such publication In writing.
The Notes shell be signed by the Clty Manager ot the City by his manual or
facsimile signature and by the City Clerk of the City, and sealed with the official seal oY
the City. Hoth principal oY and Interest upon each Note shall be paid directly to the
holder thereoY by the First Wisconsin Trust Company� Milwaukee, Wisconsin, which is
hereby appointed paying agent and registrar Yor the Notes� in IawYul money of the United
3tates oP America, upon the presentation and surrender of said Note.
3ection 3. The Notes shall be in substantially the following form, the
omissions to be appropriately completed when the Notes are prepared:
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BID FOBN
MEPffiERS OF THE CITY COUNCIL April 21, 1988
CITY OF OSHKOSH, HISCOIPSIN
We offer to purchase the �7,500,000 Tas and &evenue An[Sclpation
Aotea� Series 1988, ("TBANS") of the City oF Oahkoah� WSaconain to be
dated April 28� 1988 and offered for sale on the above da[e, on the terma
and conditSons stated in the Official Notice of Sale and the Official
Statement therefor, for a price of �'1 �00� '7S� (not less than
r7,500,000), and eccrued Snterest to da—Fe of delivery. The TRAPS to bear
Snterest a[ the following annval rate:
.ZJ X For TRAIPS due March 1, 1989
Our computation of [he [otal emoimt of intereat fram date of iesue
to matvrity represented by [he interest rates specified above, and of the
net interest coat oF this bid, vhile not a part o£ this bid, are set
� forth Lelow.
ThSs bid is made for prompt acceptance and subject to the conditions
oF the OEficial Notice of Sale. We enclase� herewith, ovr certified
check or baxilc cashier's or treasurer's check, in the amount of �150,000,
vhich is to be held by the City pending compliance vith the coaditions of
this bid.
Respectfully submitted�
# 1 -227-5855 First Bank (N.A. ) — Milwaukee
Syndicate Manager
��, Q !,(kt.,,�f
sy
�James R. Wartinbee,
Senior Vice PresidenT.
Intereat Computation
, We compute the total amount of interest from date oF issue to -
betur__it_y, re qsented by the interest rates apecif3ed in the bid, to
��0 � for a Aet Rate of S.I�i X.
3 a�� Sck�f�
The foregoing bid is hereby accepted by and on behalf of [he Ci[y of
Oshkosh, Wisconsin this 21st day of April, 1988. �
City Manager
Director of Finance/Treasurer
Name of Bidder Net I�terest RaCe
FirsL 6enk (N.A. ) , Milwaukee, W1 � 327,500.00 5.188%
Shearson Lehman Brothers, Inc. ,
New York, NY 333,300.00 5.28
Morgan S[anley & Co. , Inc. ,
New York, NY 331 ,750.00 5.308
FirsC National Bank of Chicago,
Chicago, TL 338,546.00 5.3631
Clay[on Brown & Associates, Inc. ,
Chicago, IL "339,296.88 5.375
Marine Bank, h.A. , Milwaukee, WI 339,296.88 5.375
Firs[ Wisconsirt National Bank,
Milwaukee, WI 351,606.25 5.57
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� DNITED 3PATAS OP AMERICA
State of Wiaconsin
Comty of Plinaebago
City of Oahkaeh
TA% AND RHVSNDE ANTICIPATION NOTE, SSRIES 1988
NO. S
HNOW ALL MEN BY THE3B PRESBNTSe Thet 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 beerer, solely Yrom the source hereinaPter
Identifled, the principal sum oY (S )>
payable on March 1, 1989, except as the provisions hereinafter set forth with respect to
prepayment may and become applicable hereto, and, Prom the same source, interest at
the rate of per cent ( %) per annum on the unpaid
principal amount hereoY Yrom the date hereot until the principai amount hereoY shall
have been fully paid, such interest and principal being payable directly to the bearer by
the Ffrst Wisconsin Trust Company, Milwaukee, Wisconsin, es paying agent (the "Paying
Agent'� Yor the City, at matucity or upon prepeyment� only upon presentation and
surrender of this Note to the Paying Agent.
For the prompt payment oY this Note with lnterest heteon as aforesaid the
City hea pledged a suYflcient amount oY taces levied and state end federal aids to be
received during the current tiscal year, which monies, es received, shall be deposited into
a separate tund to be used solely Yor such purpose.
This Note is one of an authorized issue oY notes in the aggregate principal
amount of E7,500,000 (the "Notes'�, all of tike date, issued to evidence the obligation
incurred by the borrowing oY money in such eggregate amount for the purpose oY paying
the cost of providing funds for the payment of general municipal expenses, pursuant to
and in ell respeets in compliance with 3ection 67.12(1), Wisconsin Statutes, and a
resolutiort adopted by the Ctty Council ot the City on April 21, 1988, and entitled,
"RESOLUTION determining to borrow ET,500,000 end to issue Ta�c and Revenue Antici-
pation Notes, 3eries 1988, of the City of Oshkosh, Winnebago County� Wisconsin, in such
amount, providing details, prescribing the Yorm of note and awarding said notes."
Notes ot the issue oY 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, 1988, and on the first
day of any month thereaYter� at a prepayment price of par plus acerued interest to the
date fiaed tor prepayment.
Notice of any such prepayment shall be given by registered or certiPied
mail, postage prepaid, to , oY ,
, and shall be published in The Bond Buyer, published in New York,
New York, not less than fifteen (15) days prior to the date fixed for prepayment, unless
the holden oY one hundred per cent (100%) oY the Notes then outstanding shall have
waived the requirement for such publication in writing. When so called for prepayment,
this Note, or the portion hereot being so called for prepayment, will cease to bear
interest on the speciPied prepayment date, provided Yunds Yor prepayment ere on deposit
wtth the Paying Agent on that date.
'¢_
It ia hereby certiYied� recited and declared that all acts, conditions and
things required by law to be done, exist, happen and be perPormed precedent to and in the
issuance of this Note have been done, have existed, have happened and have been
performed in due time, Yorm and manner es required by the Constitution and statutes oP
the 3tate oY Wisconsin.
IN 1111'NS33 P/HEREOP� the City of Oshkosh, Winnebago County,
Wisconsin, by ita City Council, has caused this Note to be executed by its City Manager
by his manual or facsimile signature and by its C[ty Clerk, and iU official seal to be
impressed hereon� all es oY the 28th day of April, 1988.
City Clerk City Menager
(SEAL)
3ection 4. The City has levied = 8,171 .923 Yor property tases in the yeer
1987, collectible in 1988, of which 55,885,147 has been collected to the date hereoY.
1'he Ciry is entifled to revenue Yrom tIIe State oY Wisconsin in the amount of $ 11.135,701
of state eids during 1988, ot which ;1,306,527 has been collected to the date hereoY.
The City is entilled to S 432,681 of federal aids during 1988. In oMer to provide Yor .
the funds to pay the Interest on the Notes and to pay end discharge the princtpal thereof
at maturity� the City hereby pledges en amount suYficient for said purposes from the
aforesaid texes levied and to be collected and state and federal aids to be received in the
Yiscal year 1988� but subseqvent to the dated date oY the Notes, such amount being less
than sixty per cent (60%) oY the total amount of taees, state and Pederal aids aforesaid.
Monies received [rom said sources shall be kept in a separate and distinet fund to be used
solely tor paying the principel of and t¢terest on the Notes, so long as any oY the Notes
remains outstanding. The Notes shall be payable solely from the aPoresaid texes and
state end Yederal aids, and shall not constitute an indebtedness for the purpose oY
computing the constitutionel debt limitetion of the City.
SecUon 5. The City Clerk of the City, es Note Registrar, shall keep,
maintaln and preserve an adequate and correct register account of the Notes originally
issued and prepaid� and all payments and othec transactions relating thereto.
SecUon 6. The sale oY the Notes to First .Iiank (N.A. ) and
asaociates, at the price of 57,500,750.0u plus eccrued interest to the date of delivery,
is hereby conYirmed. When the Notes shall have been prepared and executed, the same
9hall be dated end delivered by the City TreasUrer of the City to First Bank (N.A.)
� of P1ilwaukee � [Jisconsin r upon receipt oY $7�500�000. �Plus a
3ection 7. The principal proceeds trom the sale of ther�o�tes �alI�tie u�seA
only for the purpose oY paying the cost oY providing Por the payment of general municipal
expenses.
The City recognizes that the purchasers and holders oY the Notes will have
eccepted them on, and paid therefor a price which retlects, the understanding that
interest thereon is exempt trom Yederal income tflsation under laws in 4orce at the time
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said notes shall have been delivered. In this connection the City agrees that it shall take
no action whtch may render the interest on any oY the Notes subject to (ederal income
texatlon and that the principal proceeds of the sale of the Notes shall be devoted to and
used with due diligence Por the payment oY the e�[penses for which the Notes ere herein
authorized to be issued.
The City Manager, the City Clerk, the City 'heasurer and the Director oY
Finance ot the City, or any ot them, are hereby authorized to execute on betialf of the
City an Arbitrage Certificate and Agreement or a CertiYicate and Agreement With
Respect to Tea Eaemption 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 uaed in a manner which would or might result in said notes being "srbitrage bonds"
under 3ection 148 ot the Intemel Revenue Code oY 1986 or the regulations of the United
States 1?easury Department currently in etYect or proposed. 3uch Arbitrage Certificate
and Agreement or CerttYtcate and Agreement With Respect to Tex Exemption or similar
certificate end agreement shall constitute a representation, certiflcation and covenant
ot the City and is incorporated herein by reference, and no investment oY Note proceeds
or oY moneys accumulated to pay the Notes herein authorized shall be made in violation
of the eapectetions prescribed by said Arbitrage CertiPlcate and Agreement or
CertiYicate and Agreement with Respect to Tax Esemption or similar certificate and
agreement. -
The Clty hereby agrees to create a fund lnto which shall be deposited in
trust, any tnvestment earnings on the proceeds oY the Notes which must be rebated,
together wtth the earnings thereon, to the United States.
3ectlon 8. If any section, paragraph or provision of this Resolution shall be
held to be invalid or unenPorceable for any reason, the invalidity or unenforceability or
such section, peregraph or provision shall not affect eny of the remaining sections,
paragrapha and provisiona oY this Resolution.
3ecHon 9. The City Manager, the City Clerk, the City 'heasurer, the City
Finance Dtrector artd all other officers of the Ciry are hereby authorized to execute all
documents and ceMificates necessary in connection with the authorization and delivery
oY the Notes.
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3ectlon 10. All ordinances, resolutions or orders, or parts thereof,
heretofore enacted, adopted or entered, in conflict with the provisions of this Resolutlon,
shall be and in the same are hereby superseded to the extent of such conflict, and this
Resolution shall be in efYeet from and after its passage.
Adopted April 21, 1988.
- Approved April 21 , 1988.
Recorded April 21 , 1988.
(SEAL)
�w. ..:�f��'� `---� „ rY�i.�!:�
ayor
Attest:
i
/�� ;.�u2 �l �;u�.Ylv
C�ty Clerk
_q'
9TATE OF WI3CONS[N )
� ss.
COUNTY OF WINNEBAGO )
I, Donna C. 3erwas, hereby eertiYy that I am the dWy quali[Ied and acting
City Clerk of the City of Oshkosh, Winnebago County, Wisconsin, end as such official I
Yurther certify that attached hereto is a copy of excerpts Prom the minutes oY the
meeting of the City Council of sald City held on April 31, 1988; thet I have compared
said copy wlth the originel minute record oY said meeting in my oYYiciel custody; and that
copy is a true, correct and complete transcript from said original minute record insofar
as said original record relates to the ;7,500,000 Tax and Revenue Anticipation Notes,
9eries 1988, of said City.
WTTNE33 my offlclal signature and the seal of said City this 79nA day of
Apri11988.
�lrfYN;;�;/�� ��. 2/�-Y/J
City Clerk
(9EAL)
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