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HomeMy WebLinkAbout31365 / 81-20;_ May zl, 79a1 # 2o i�soLVrlox There will be a Fesolution to born-ra $1,000,000.00 and to issue to the lender Pxnmissory Notes, Series 1981, of the City of Oshkosh, Wisconsin, in such amoimt, providing details, prescribing the £oan of note and coupon, �.rarding the notes to the hic�est bidder, ancl levying taxes. u S;:B3iITTED BY <9.P1'HCVLD �"� �� - 20 - �. � The City Council of the City of Oshkosh, 4linnebago County, Wisconsin, met in regular, open, public session at its regular meeting place on Nay 21, 1981, at with the follo�aing members present: and the following members absent: * * (Other business) o'clock .M., * The Clerk stated that one purpose of the meeting was the consideration of bids received for the purchase of $1,000,000 Promissory Notes, Series 1981-A of the City of Oshkosh pursuant to notice of sale duly published in The Bond Buyer, a financial newspaper published in the City of New York, New York. The following sealed bids for said notes were received in the Council Chambers in the City Hall until 10:30 A.M., C.D.T., on htay 21, 1981: LEX :.� . � ' ., r Name of Bidder Harris Trust & Savings Bank Chicago, I11. Continental Bank Chicago, I11. Northern Trust Co. Chicago, I11. Marine National Bank Milwaukee, WI. Clayton Brown & Assoc. Chicago, Ill. LaSalle Bank Chicago, I11. Piper, Jaffray & Hopwood Minneapolis, MN. First Wisconsin Bank Milwaukee, WI. Marshall & Ilsley Bank Nilwaukee, WI. Griffin, Kubik, Stephens & Thompson, Chicago, T11. Net Interest Cost $174,975.00 8.74875 � 176,970.00 177,800.00 177,820.00 179,670.00 181,870.00 184,000.00 186,979.00 192,500.00 193,160.00 8.8485 8.890 8.891 8.9935 9.0935 9.20 9.34895 9.625 9.658 After due deliberation, it was determined that the bid of Harris Trust & Savinqs Bank of Chicago , Illinois , and associates, at a price of par and accrued interest plus a premium of $ 25.00 was the highest and best bid submitted for the purchase of said notes, which bid is as follows: —Z— (Here insert or attach a true copy of the winning bid) [I��i�' � ;iy� $1,0�J0,000 PROMISSORY ��OTES, SERIES I9H1-A City of Oshkosh City Hall Osh:cosh, Wisconsin 54901 Gentlemen: Subject to all terms set forth in the Official Notice of Sale, which is hereby made a part of his propo� al, we offer to pay $1,000,000 plus a ptemium of ,, %�.��; �1t�`c �i'c�-��e.2n • C$ -�-S-OC� �r ) and accrued i terest to date of delivery, for $1,000,000 Promissory Notes, Series 1981-A of the City of Oshkosh, Wisconsin, dated June 1, 1981, naturing June 1, 1983, and bearing interest at the rate of 5J.%S ti per annum from the date thereof to maturity. Principal of said Notes will be subject to prepayment prior to maturity, at the option of the City, in whole or in part on June 1, 1982 or on the first day of any month thereafter. Any redemption will be upon terms of the principal amount being r.edeemed plus accrued interest to the date fixed for redemption. Notice of any intended redemption will be givea to the registered holder not less than 30 nor more than 60 days prior to the date fieed for redemption. Sa3d votes are to be execute3 an3 delive:ed to us ir. accordance with the terms of this bid accompanied by the approving legal opinion of Chapman and Cutler, Attorneys, Chicago, Illinois. You are to pay for said legal opinion and printing of the Notes. As evidence of good faith, we enclose herewith a check to the order of the Treasurer of the City of Oshkosh, Wisconsin, in the sum of $20,000 pursuant to the terms provided in your Official Notice of Sale. (Continued) 16 Description of Check: Amount: I Name of Bank HARRIS TRUST AND SAVINGS BANK city Chicago state Illinois Type Cashier's Check No. M 41116 Dated May 12, 1981 (For City Use Only) The above check was Returned and Received for the Above Name Account Respectfully submitted, � RRIS TRUST AND S VINGS BANK By Vice Presi ent Address 111 West Monroe Street City Chicago scace Illinois For Information of City Only. Our Calculation of Interest Cost from Above is: Total Interest.........$ / %SOO O!� Less Premium...........$ �J.� � Net Interest Cost. .. ... $ / 7� % %.� � Net Interest Rate.....-?$f �,lS�..> sj, 7s� �7 s The foregoing bid was accepted and the :Votes sold by resolution of the City Council of the City of Oshkosh, Wisconsin, on , 1981 and receipt is hereby acknowledged of the good faith check which is being held in accordance with the terms of the official Notice of Sale. CITY OF OSHKOSH sy Director of Administration 17 .. � . . . . ... .. ' . . . �h�J/ .••r 0 Thereupon the following resolution was introduced by and was read in full, and pursuant to motion made by and seconded by was adopted by the following vote: Aye: Nay: RESOLUTION determining to borrow 1,000,000 and to issue to the lender Promissory Notes, Series 1981-A, of the City of Oshkosh, Winnebago County, Wisconsin, in such amount, providing details, prescribing the form of note and coupon, awarding the notes to the highest bidder, and levying taxes. WHEREAS, it is necessary that funds be raised in the total amount of $1,000,000 for the purpose of providing financial assistance for a redevelopment and urban renewal project under Section 66.43, Wisconsin Statutes; and WHEREAS, cities are authorized by the provisions of Section 67.12(12), Wisconsin Statutes to borrow money and issue promissory notes for the purpose aforesaid; and -�- „�ys�r�,°J . WHEREAS, it is considered necessary and desirable by the City Council of the City of Oshkosh, Wisconsin (the "City"), that the City borrow $1,000,000 for the purpose of providing funds for the purpose aforesaid, and that the City issue to the lender its promissory notes to evidence the indebtedness thereby ineurred; and WHEREAS, it has been determined to borrow said money from Harris Trust & Savings Bank , of Chicago , Illinois , and associates, said lenders having submitted the best bid for said notes at the publie sale thereof; and WHEREAS, it has been determined that the issuance of said notes in form payable to the bearer will make such notes more readily marketable and will thereby be to the advantage of the City; NOW, THEREFORE, Be It Resolved by the City Council of the City of Oshkosh, Winnebago County, Wisconsln, as fol�ows: Section 1. For the purpose of financial assistance for a redevelopment and-urban renewal project as described in the preamble hereto, there shall be borrowed from & Savings Bank Chicaao Harris Trust of Illinois , and associates, the sum of $1,000,000, and to evidence such indebtedness the City shall issue to such lenders its Promissory Notes, Series 1981-A (the "Notes"), in the aggregate principal amount of $1,Q00,000. Section 2. Said notes shall be designated "Promissory Notes, Series 1981-A", shall be payable to bearer; shall be dated June 1, 1981; shall be of $5,000 denomination each; shall be num- bered 1 to 200, inclusive, shall mature as to principal on June 1, 1983, shall be pre-payable 3n whole or in part, at the option �� ��' ,.,;,wrs�: December l, 1982 of the City, on June 1, 1982 or on ���xf��s�xxl�yxxvfk�r�ioc�u�arnQ�C t�x8cme<acBtlzectic at a prepayment price of par plus accrued interest to the date fixed for prepayment and shall bear interest payable semiannually on the first day of June and December of each year, beginning December 1, 1981, at the rate of uarters per cent ($•�5�) per annum. eight and three Notice of any intended prepayment shall be given by pub— lication one time in a financial journal published in New York, Netiv York or Chicago, Illinois not less than thirty days prior to the date fixed for prepayment and by registered or certified mail to the holder of any note registered as to principal. The Notes shall be signed by the City P+Ianager of the City with his facsimile signature, and by the City Clerk, and sealed with the corporate seal of the City. Interest upon the Notes shall be evidenced by coupons thereto attached, such coupons to be signed by said City Manager and City Clerk with their respective facsimile signatures, and sai3 officers shall, by the execution of the Notes, adopt as and for their own proper signatures their respective facsimile signatures appearing on said coupons. Both princioal of and interest on the Notes shall be payable in lawful money of the United States of America at Harris Trust & Savings Bank , Chicago , Illinois , or at , at the option of the holder. Section 3. The Notes and coupons shall be in substantially the following form, the omissions to be appropriately completed when the notes are printed: �� :.:;:,.Y No. (Form of Note) UNITED STATES OF AMERICA STATE OF WISCONSIN COUNTY OF WINNEBAGO CITY OF OSHKOSH PROMISSORY NOTE, SERIES 1981-A $ 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 bearer, or to the registered holders hereof if this Note shall then be registered as to principal, the principal sum of ($ ) on the first day of June, 1983, with interest at the rate of per cent ( �) per ann�� from the date hereof until the principal amount shall have been fully paid, such interest being payable semiannually on the first days of June and December of each year, beginning December 1, 1981, interest to maturity being payable only upon presentation and surrender of the interest coupons attached hereto as they severally mature. Both principal hereof and interest hereon are hereby made payable in lawful money of the United States of America at , or at , , , at the option of the holder. or on This note is subject to pre-payment on June l, 1982 ��dxantx��� December 1, 1982, at the option of the City &����xd�$x��x��gx��xi��x���x'�x�C��>i�cat a prepayment price of par plus accrued interest to the date fixed for prepayment. Notice of any intended prepayment shall be given by publication one time in a financial journal published in New York, idew York or Chicago, Illinois not le'ss than thirty days prior to the date fixed for -7- prepayment and by registered or certified mail to the holder of any note registered as to principal. 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 pledg2d. This note is one of an issue of �1,000,000, all of like date, issued to evidence the indebtedness incurred by the borrowing of money in such amount for the purpose of providing financial assistance for a redevelopment and urban renewal project under Section 66.43 Wisconsin Statutes, pursuant to and in all respects in compliance with Section 67.12(12), Wisconsin Statutes and a resolution adopted by the City Council of the City on D4ay 21, 1981, and entitled, "RESOLUTION determining to borrow $1,000,000 and to issue to the lender Promissory Notes, Series 1981-A of the City of Oshkosh, Winnebago County, Wisconstn, in such amount, providing details, prescribing the form of note and coupons, awarding the notes to the highest bidder, and levying taxes". This note is registrable as to principal in accordance with the provisions endorsed on the reverse side hereof. 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 the City, including this note, does not exceed any limitation imposed by law; and that the 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. ZN TESTIMONY WHEREOF, the City of Oshkosh, by its City Council has caused this note to be signed by its City Manager : i 0 with his facsimile signature, and by its City Clerk, and its corporate seal to be impressed hereon, and the coupons hereto attached to be signed by said City Manager and City Clerk with their respective facsimile signatures; and said officers, by the execution of this note, do adopt as and for their own official signatures their respective facsimile signatures appearing on said coupons, all as of the first day of June, 1981. No. (facsimile signature) City Clerk City Tdanager (Form of Coupon) On the first day of $ 19_, unless this note to which this coupon is appurtenant shall have been properly called for prepayment and provision for prepayment duly made, �he City of Oshkosh, Wisconsin will pay to bearer the amount shown hereon in lawful money of the United States of Anerica at or at upon presentation and surrender of this coupon, for interest due that day on its Promissory Note, Series 1981-A, dated June 1, 1981, No. (facsimile signature) (facsimile si�nature) City Clerk City P4anager (Provision for Registration) The within Note may be registered in the name of the holder as to principal only on books to be kept by the City Clerk of the City of Oshkosh, as Note Registrar, such registration to be noted hereon in the registration blank below, after which no transfer shall be valid unless made on said books at t':e request of the registeNed holder or his attorney thereunto dul� authorized � ,� �r .� �.nd similarly noted in said registration blank below, but this Note may be discharged from registration by being transferred to bearer, after which it shall be transferable by delivery but may b�, again registered as before. Such registration shall not impair Liie riegotiability by delivery of the coupons attached to this Note. Date of . Name o£ . Address of . Signature Registration • Registered Holder : Re�istered Holder : of Registrar Section 4. e In order to provide for the collection of a direct annual tax sufficient to pay the interest on the Notes and ��, pay and discharge the principal thereof at maturity, there is hereby Zevied upon all the taxable property in the City a direct �nniial tax in an amount sufficient for that purpose, to-wit: Year of Amount for Principal Levy and Interest 1981 $ 137,250 1982 1,043,750 Section 5• Said tax shall be extended upon the tax rol"ls 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 used solely for paying the principal of and interest on the Notes so long as the Notes remain outstanding• For the purpose of paying interest on the Notes due on December 1, 1981, the sum of $43,750.00 shall be made available from other City funds on hand, said amount to be repaid from the first collection of taxes levied pursuant to �e�.tion 4 hereof. -10- Section 6. Interest on or principal of the Notes 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 from 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. Section 7. The City Cle^k shall keep, maintain and preserve an adequatn and correct regist2r account of all Notes issued and all payments and other transactions relating thereto. Section 8. When the Notes shall have been printed and executed, the same shall be del3vered by the City Treasurer to the lender upon receipt of the borrowed money. Section 9. The principal proceeds from the sale of the Notes shall be used only for the purpose of providing financial assistance for a redevelooment and urban renewal project under Section 66.43, Wisconsin Statutes as set out hereinabove. 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 the Notes shall have been delivered. In this connection 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 completion of the facilities for which the Notes are herein authorized to be issued. The Director of Administration, 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 1Jotes that the proceeds of the Notes are not —11— i . c expected to be used in a manner which would or might result in the Notes being "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 repre- sentation and certification of the City 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. A�^.iEST: Adopted May 21, 1981. Recorded _ , 1981. Approved , 1981. City Clerk Motion was made by � that said resolution be adopted, and said motion was seconded by After due consideration, the Mayor put the question, and upon roll being called, the following voted: Aye: Nay: The Alayor then declared said resolution adopted. -12- * * � (Other business) Upon motion of , the City Council adjourned. Approved: Iday 21, 1981. FTTEST: City Clerk -13- or t #..Y STATE OF WISCONSIN ) ) SS. COUNTY OF WINNEBAGO ) I, CONVERSE C. MARKS, hereby certify that 2 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 May 21, 1981, insofar as same pertain to the sale of $1,000,000 Promissory Notes, Series 1981-A 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 Wisconsin Statutes. WITNESS my official signature and the official seal of said city this (AFFIX) (SEAL ) (HERE ) day of May, 1981. -14- City Clerk 0 N � 0 O O O ' O N � � �N O � � � � O � . y� N � Q � O ""� !� F�+ �^ � w N �rl '� y N N ,�—i H o � � � a � A� � � D N d � O � H � 0 � � � � N .rl H A u � � �m �j '�'s. O� N � � U N � ya � � � U � � �