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HomeMy WebLinkAbout32619 / 83-110 � October 20, 1983 (CARRIED LOST LAID OVER I/ 11 RESOLUTION WITHDRAWN ) There will be a resolution authorizing the issuance of Promissory Notes in the amount of $940,000.00 for purchase of land. This resolution was split in to two i2) separ�te resolutions. 11 - $700,000 11A- $240,000 -14- SUBNITTED BY APPROVED���1`�'''�r�/� �. ,. The City Council of the City of �shkosh, ��Tinnebago County, �•lisconsin, met in regular, open, public session at its regular meeting place on October 20, 1983, at 7:00 .o'clock P.M., with the following members present: Council Member Charles J. I�ulsebosch Council Member pon H. Kutchera Council Member James A. Mather ' Council hlember Kathleen M. Prcpp Council Member Bernice Teichmiller Council Member Floyd R. Chapin Council Member Robert E. Pung and the folloNing members absent: None * * • (Other business) The follot+ing resolution was introduced by Co,ncti M mb r H�lsebosch and toas reac3 in full, and pursuant to motion made hy _Hulsebosch and seconded by MathPr was adopted by the following vote: �Ye� Council Member Mather Council Member Propp Council Member Chapin Council Member Hulsebosch Council Member Pung Nay: Council Member Kutchera Council Member Teichmiller � i 0 RESOLUTION determining to borrow 5700,000 and to issue to the lender a Promissory Note, Series 1983-D, of the City of Oshkosh, 47isconsin, in such amount, providing details, prescribing the form of note and levying taxes. WHEREAS, the City of Oshkosh, j7innebago County, t•7isconsin, is in need of funds in the aggregate amount of 5700,0OO,.for the purpose of providing funds for the payment of the cost of acquiring land for public purposes; and t•THERF.AS, cities are authorized by the provisions of Section 67.12(12) of the Wisconsin Statutes to borrow money and issue pror�is- sory notes for the acquisition of land for public purposes; and F7HEREAS, it is considered necessary and desirable by the City Council of said city that said city borro�v S700,000 for the purpose of providing funds for the purpose aforesaid, and that said city issue to the lender its promissory.notes to evidence the indebtedness thereby incurred; and j7HEREAS, officials of said city have solicited proposals and based thereon, have negotiated with the M&I 47estern State Bank, of Oshkosh, Wisconsin for the borrowing of an aggregate sum of S700,000 and said lender has offered to purchase the promissory note of the city in such aggregate amount at the interest rate of six and five eighths per cent (6-5/8�) per annum; NO�I, THEREFORE, Re It Resolved by the City Council of the City of Oshkosh, 47isconsin, as follows: Section 1. For the purpose of providing funds for the payment of the cost of acquisition of land for public purposes, there shall be borrowed from the t1t�I F7estern State Rank. of Oshkosh, F7isconsin (the "Lender"), the sum of 5700,000, and 'co evidence such indebtedness the City of Oshkosh, 4Jinnebago County, t9isconsin (the "City") shall issue to such Lender its Promissozy Note, Series 1983-D (the "Note"), in the aggregate principal amount of $700,000. -2- � Section 2. The Note shall be designated "Promissoty Note, Series 1983-D", shall be payable to the order of the Lender, shall be dated the date of issuance, shall be of the denomination of $700,000, shall be numbered one, shall bear interest at the rate of six and five eighths per cent (6-5/88) per annum payable on May 1 and November 1 of each year until maturity, commencing hfay 1, 1984, and shall mature as to principal on November 1, 1985. The Note shall be subject to prenayment in whole, at the option of the City, on July 1, 1984 and on the first day of each month thereafter and prior to r�aturity, at a prepayr�ent Price of par plus accrued interest to the date fixed for prepayment. Notice of intended prepayment shall be given to the Lender by certified mail or personal service once, not less than ten days prior to the date of intended prepayment. The ?7ote shall be signed by the City Manager of the City of Oshkosh and by the City Clerk, and sealed with the corporate seal of the City, Both principal of and interest unon the Note shall be paid directly to the Lender by the Treasurer of the City, in lawful money of the United State of America. Principal and interest payable at maturity, shall be payable only upon presentation and surrender of the Note. Section 3. The Note shall be in substantially the following form, the omissions to be appropriately completed when the Note is p repa red : 0 -3- 0 (FOrm of Note) UNITED STATES OF AMERICA State of Wisconsin County of Winnebago City of Oshkosh PROMISSORY NOTE, SERIES 1983-D NO. $700,000 KNOW 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 the M&I Western State Bank, of Oshkosh, Wisconsin (the "Lender") or registered assigns, the principal sum of Seven Hundred Thousand Dollars (S700,000), payable upon surrender of this Note, on the first day of November, 1985, with interest at the rate of six and five eighths per cent (6-5/88) per annum on the unpaid principal from the date hereof until the principal amount shall have been fully paid, such interest being payable directly to the Lender by the Treasurer of the City of Oshkosh by check or draft on May 1 and November 1 of each year commencir.g May 1, 1984, interest at maturity being payable only upon presentation and surrender of this Note. The principal of this note is subject to prepayment in whole, at the option of the City, on July 1, 1984 and on the first day of each month thereafter and prior to maturity, at the prepayment price of par plus accrued interest to the date fixed for prepayment. Notice of intended prepayment shall be given to the registered holder hereinabove named once, not less than ten days prior to the date of intended prepayment, by certified mail or personal service. For the prompt payment of this note with interest hereon as aforesaid and for the levy and collection of taxes sufficient for that purpose, the full faith, credit and resources of the City are hereby irrevocably pledged. -4- This note is issued to evidence the indebtedness incurred by the borrowing of money in such amount for the p�rpose of providing funds for the payment of the cost of acquiring land for public purposes for the City, pursuant to and in all respects in compliance with Section 67.12(12) of the Wisconsin Statutes and a resolution adopted by the members of the City Council of said city on October 20, 1983, and entitled, "RESOLUTION determining to borrow S700,000 an� to issue to the lender a Promissory Note, Series 1983-D, of the City of Oshkosh, Flisconsin, in such amount, providing details, prescribing the form of note and levying taxes." It is hereby certified and recited that all conditions, things and acts required by law to exist, to be or to be done precedent to and in the issuance of this note have been, have existed and have been performed in due form and time; that the indebtedness of said city, including this note, does not exceed any limitation imposed by law; and that said city has levied a direct annual irrepealable tax sufficient to pay the interest hereon when it becomes due and also to pay the principal hereof at maturity. IN TESTIMONY WHEREOF, the City of Oshkosh, by its City Council, has caused this note to be signed by its City Manager and by its City Clerk, and its corporate seal to be impressed hereon, all as of the 7th day of November, 1983. (SEAL) — Cit�lerk City Manager -5- Section 4. In order to provide for the collection of a direct annual tax sufficient to pay the interest on the Notes and to pay and discharge the princigal thereof at maturity, there is hereby levied upon all the taxable property in the City for the year 1983 and including 1984, a direct annual tax in an amount sufficient for that purpose, to-wit: Year 19 83 1984 Tax Levy $ 46,375 5746,375 Section 5. Said tax shall be extended upon the tax rolls of the City and shall be collected by the officers of the City in the same manner and at the same time as taxes for general city purposes for such years are extended and collected, and when so collected, the proceeds of said taxes shall be kept in a separate and distinct fund to be used solely for gaying the principal of and interest on the Note. so lonq as the Note remains outstanding. Section 6. Interest on or principal of the Note herein authorized falling due at any time when there shall be on hand insufficient funds from the proceeds of the above tax levy for the payment of such interest or principal shall be paid promptly when due £rom other funds of the City, which funds shall be reimbursed therefor out of the proceeds of the taxes above levied when such taxes shall have been collected. � 0 Section 7. The City Clerk, as Note Registrar, shall keep, maintain and preserve an adequate and correct register account of the Note issued and all payments, transfers and other transactions relating thereto. Section 8. When the Note shall have been prepared and executed, the same shall be delivered by the City Treasurer to the lender upon receipt of the borrowed money. Section 9. The principal proceeds from the sale of the Note shall be used only for the payment of the cost of acquiring land for public purposes for the City. The City recognizes that the purchasers and holders of the Note 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 connection the City aqrees that it shall take no action which may render the interest on any of the Note subject to Federal income taxation and that the principal proceeds of the sale of the Note shall be devoted to and used with due diligence for the payment of the expenses for which the Note is herein authorized to be issued. The City Manager, the Clerk and the Treasurer of the City, or any of them, are hereby authorized to execute on behalf of the City an Arbitrage Certificate to assure the purchasers and holders of the Note that the proceeds of the Note are not expected to be used in a manner which would or miqht result in said note being an "arbitrage bonds" under Section 103(c) of the Internal Revenue Code of 1954, as amended, or the regulations of the United States Treasury Department currently in effect or proposed. Such Arbitrage Certificate shall constitute a representation and certification of the City and no investment of Note proceeds or of moneys accumulated to pay the Note herein -7- 0 authorized shall be made in violation of the expectations prescribec7 by said Arbitrage Certificate. Adopted October 20, 1983. Recorded Oct. 20 , 1983. �,\ 1I/� 1i11/i.� . ..�/'/. �/ i * �� � Mayor � * (Other business) + U pon motion of Council Member Chanin , seconded bv Council Member Pro� and unanimously adopted, the City Council adjourned. Attest: �. City Clerc �' � , Hayor STATE OF [7ISCONSIN ) ) BS. COUNTY OF {7INNEBAGO ) I, DONNA C. SERWAS, hereby certify that I am the duly qualified and acting City Clerk of the City of Oshkosh, Wisconsin, and as such official I further certify that attached hereto is a true, correct and compared copy of excerpts from the minutes of the meeting of the City Council of said city held on October 6, 19R3, insofar as same pertain to the szle of 5700,000 Pror�issory Note, Series 1983-D of said city. I further certify that a true and correct statement of every step or proceeding had or taken to date in the course of authorizing said notes has been recorded by me in a seParate record book pursuant to the provisions of the i7isconsin Statutes. �7ITNESS r�y official signature and the official seal of said city this 20th day of October, 1963. (AFFIX) (SF.AL ) (HERG ) ���� � . ������ City lerk e 0 �• ..,_r _ 0 m 'v a rt K n r� rt K n r N H x 0 0 rt 0 � m H N 0 F-� � � w � 0 rt r� O � �o 7J H (]. C7 'U .. ,� z �v o �c m m m cn N Ui rz� a o m � rt m ro m o • m t-� � 1 rF � o� J p 0 ort � O o� o� ro M �i O O nc m ro c ro n n n o � � a �• m �n m m 0 o n M'C . ti ,i r.� ..p z m m � F� �