Loading...
23 of 1972 - A resolution authorizing the issuance of $6,000,000 Salt Lake City, Utah Tax Anticipation Bonds, Ser -I Resolution No. 2: By Jennings Phillips, Jr. COMMISSIONER Authorizing the issuance of$6,000,000. Salt Lake City, Utah Tax Anticipation Bonds, Series of July 1, 1972. Presented to the Board of Commissioners AND PASSED .;1JN2811972 CITY RECC' M 1� s. Y . ROLL CALL June 28 /VOTING Aye Nay Salt Lake City,Utah, Mr.Chairman.... I move esolution be adopt Barker Harmsen ���, teizt C. c RESOLUTION TRANSCRIPT OF PROCEEDINGS AUTHORIZING THE ISSUANCE OF $6,000,000.00 SALT LAKE CITY, UTAH TAX ANTICIPATION BONDS Series of July 1, 1972 The Board of Commissioners of Salt Lake City, Salt . Lake County, Utah, met in regular session on Thursday, the 15th day of June, A.D. , 1972, at the hour of 10:00 o'clock A.M. , at its regular meeting place in the City and County Building, Salt Lake City, Utah. The meeting was called to order and on roll call the following members were present: James L. Barker, Jr., Commissioner of Public Safety Conrad B. Harrison, Commissioner of Parks & .Public Property Stephen l Harmsen, Commissioner of Streets & Public Improvements Herman J. Hogensen, City Recorder Jack L. Crellin, City Attorney Joseph L. Fakler, City Treasurer Absent: E. J. Garn, Mayor and Commissioner of Water Supply and Waterworks Jennings Phillips, Jr. , Commissioner of Public Affairs and Finance After the conduct of other business not pertinent to the following, the Board of Commissioners opened bids for the purchase of $6,000,000.00 of Tax Anticipation Bonds of the City, Series of July 1, 1972. The bids were as follows: Name of Bidder Interest Rate Premium Walker Bank & Trust Co. 3.00% $616.00 Zions First National Bank 3.03% First Security Bank of Utah 3.21% Continental Illinois National Bank 3.09% & Trust Company of Chicago -1- 1 After reading and considering the above bids, it was determined that Walker Bank & Trust Company of Salt Lake City, Utah had submitted the best and most advantageous bid for the purchase of said bonds. Thereupon, the following resolution was introduced by Commissioner Barker , and was adopted by the following vote: Aye: James L. Barker Commissioner Stephen tn' Harmsen Commissioner Conrad B. Harrison Commissioner Nay: None The resolution is as follows: A RESOLUTION confirming the sale of $6,000,000 Salt Lake City Tax Anticipation Bonds and fixing the interest rate to be borne by said bonds. WHEREAS pursuant to notice of sale, the Board of City Commissioners of Salt Lake City received sealed bids for the purchase of $6,000,000.00 Tax Anticipation Bonds of Salt Lake City, Utah. WHEREAS the bid of Walker Bank & Trust Company of Salt Lake City, Utah, has been determined to be the highest and best bid for the purchase of said bonds, said bid being as follows: • -'2 Honorable Mayor and Board of City Commissioners 210 City & County Building Salt Lake City, Utah Gentlemen: In response to your invitation for us to bid for an aggregate of $6,000,000.00 Salt Lake City, Utah, Tax Anticipation Bonds, we submit the following: For $6,000,000.00 of your legally issued Tax Anticipation Bonds, to be dated July 1, 1972, and to be due June 30, 1973, bearing interest at the rate of 3% per annum, we will pay $6,000,616.00 plus accrued interest from date of issue to the date of delivery to us in federal funds. Both principal and interest are to be payable at maturity at a bank or trust company designated by us. Bonds are to be issued in convenient denominations as specified by us. You are to take such action and pass such resolutions and execute and certify all such documents as our attorneys may require to the end that, in their opinion, the bonds may be legally issued. The bonds shall contain a covenant by you that you will comply at all times during the period the bonds are outstanding with all requirements of the Internal Revenue Code of 1954 as amended and in particular Section 103 thereof, and all reg- ulations now or hereafter adopted pursuant to. We will provide the bond forms and furnish the approving legal opinion at our expense. This offer is for immediate acceptance only. The bonds are to be delivered as soon as conveniently possible. Attached is our Cashier's Check for $120,000.00 payable to Salt Lake City Corporation which is evidence of our "good faith" in this transaction. If this is the winning bid, this check should be applied to the purchase price of the bonds when they are delivered to us. If our bid is rejected, the check is to be returned to us promptly. Net Effective Rate: 2.989% Respectfully submitted, Walker Bank & Trust Company By: s/ Glen V. Margetts Assistant Cashier The above and foregoing offer is hereby accepted on behalf of Salt Lake City, Utah, this 15 day of June, 1972. ATTEST: s/ s/ C�L'�QCL1tM-iLt1 --'�ty R rah NTemporary Chairman -3- WHEREAS, in the opinion of the Board of City Commis- - sioners, it is to the best interests of Salt Lake City that such hid be accepted and the sale of said bonds be approved and confirmed; NOW, THEREFORE, Be It Resolved by the Board of Commissioners of Salt Lake City as follows: Section 1. The bid of Walker Bank & Trust Company of Salt Lake City, Utah, for the purchase of $6,000,000.00 Tax Anticipation Bonds described in the offer to purchase be and the same is hereby accepted. Section 2. Said bonds shall bear interest at the rate of 3.00% per annum interest payable at maturity. Section 3. Said bonds shall be delivered to the pur- chasers thereof as soon as may be after the adoption of this resolution pursuant to due payment therefore in accordance with the terms of the sale. Section 4. This resolution shall be in full force and effect immediately upon adoption. Adopted this 15th. day of June, 1972. Ambd:orgxffiesporTemporary Chairman [SEAL] ATTEST: Han , City Reco der -4- The Board of Commissioners of Salt Lake City, Sa].t . Lake County, Utah, met in regular session on the 28th. day of June, A.D. , 1972, at the hour of 10:00 o'clock, A.M., at its regular meeting place in the City and County Building, Salt Lake City, Utah. The meeting was called to order by Mayor E. J. Garn, and on roll call the following members were present: E. J. Garn, Mayor and Commissioner of Water Supply and Waterworks Jennings Phillips, Jr., Commissioner of Public Affairs and Finance Conrad B. Harrison, Commissioner of Parks and Public Property Stephen L. Harmsen, Commissioner of Streets and Public Improvements James L. Barker, Jr., Commissioner of Public Safety Also Present: Herman J. Hogensen, City Recorder Joseph L. Fakler, City Treasurer Absent: None The City Treasurer stated that the bid of Walker Bank & Trust Company for the purchase of $6,000,000.00 Tax Anticipation Bonds of Salt Lake City, Utah, dated July 1, 1972, had heretofore been approved and recommended adoption of a resolution to author- ize the issuance of such bonds. After full discussion, Commissioner Phillips introduced and moved the adoption of the following resolution, which resolution was adopted by the following vote: -5- Aye: Mayor E. J. Gam Stephen M. Harmsen Conrad B. Harrison Jennings Phillips, Jr. James L. Barker, Jr. (Absent) Nay: None The resolution is as follows: A RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF SIX MILLION DOLLARS ($6,000,000.00) TAX ANTICIPATION BONDS OF SALT LAKE CITY, UTAH, SERIES OF JULY 1, 1972. WHEREAS, there is an immediate and pressing need for the raising of funds in the amount of Six Million Dollars ($6,000,000.00) for the purpose of meeting the current expenses of Salt Lake City for the fiscal year ending June 30, 1973, until the payment of taxes and the receipt of other revenues for said fiscal year, and WHEREAS, said sum now to be raised, together with other indebtedness incurred for the purpose of meeting the current expenses of Salt Lake City for the fiscal year ending June 30, 1973, is not in excess of the revenues to be raised for such fiscal year. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF SALT LAKE CITY, UTAH: Section 1. The City of Salt Lake City, Salt Lake County, Utah, for the purpose of meeting expenses of said city for the fiscal year July 1, 1972 through June 30, 1973, until the pay- ment of taxes and other revenues for such fiscal year, shall borrow the sum of Six Million Dollars ($6,000,000.00) and for that purpose and as evidence of such indebtedness shall issue six -6- • bonds of the denomination of One Million Dollars ($1,000,000.00) each, numbered one (1) to six (6) , inclusive, dated July 1, 1972, due and payable June 29, 1973, bearing interest at the rate of three percent (3.00%) per annum, interest payable at maturity, both principal and interest being payable at the places designated in the form of bond set forth below. Said bonds shall be in substantially the following form: UNITED STATES OF AMERICA STATE OF UTAH SALT LANE CITY TAX ANTICIPATION BOND SERIES OF JULY 1, 1972 No. $1,000,000.00 KNOW ALL MEN BY THESE PRESENTS: That the above-named duly incorporated City in the State of Utah, hereby acknowledges itself to be indebted and for value received hereby promises to pay to the bearer hereof the sum of ONE MILLION DOLLARS ($1,000,000.00) in lawful money of the United States of America on the 29th day of June, 1973, at the Head Office of Walker Bank & Trust Company, with interest thereon at the rate of three per cent (3.00%) per annum from date until paid, interest payable at maturity. This bond is one of a series of similar bonds of like designation issued in the aggregate amount of Six Million Dollars ($6,000,000.00) issued pursuant to Section 10-8-6, Utah Code Annotated, 1953, as amended. . The governing body of the above-named City shall levy in the fiscal year ending June 30, 1973, a sufficient tax and shall provide for the collection of sufficient revenues other than taxes to pay the principal and interest on this bond as the same shall fall due and this bond, is issued in anticipation of the payment of such taxes and the collection. of such revenues for such fiscal year. It is hereby certified, recited and declared that the entire indebtedness of said City hereby incurred is not in excess of the taxes and other revenues of said City to be levied and collected -7- for such fiscal year and that said indebtedness was and is contracted for the purpose for which said taxes and revenues are levied and to be collected. The City covenants it will make no use of the proceeds of this bond and the issue of which it is a part which will cause the same to be arbitrage bonds within the meaning of Section 103(d) , Internal Revenue Code of 1954 as amended, and the City will comply with the requirements of said section and the lawful regulations adopted pursuant thereto throughout the term of the issue. It is further certified, recited and declared that all conditions, acts and things essential so the validity of this bond exist, have happened and have been done, and that every requirement of law affecting the issue hereof has been duly complied with, and that this bond is within every debt and other limit prescribed by the Constitution and Laws of said State, and that the full faith and credit of the above-named City are hereby irrevocably pledged to the punctual payment of the principal and interest of this bond according to its terms. IN WITNESS WHEREOF, the above-named City has caused this bond to be signed by its Mayor, its corporate seal to be hereunto affixed, and countersigned by its City Recorder, as of the 1st day of July, 1972. Countersigned: 'N Ci o grder Mayor.. , (SEAL) There shall be endorsed on each of said bonds the following certificate: "City Auditor's Certificate" I hereby certify that this bond is within the lawful debt limit of Salt Lake City, Utah, and is issued according to law. (do not sign) City Auaitor -8- Section 2. All the covenants, statements, represent- ations and agreements contained in said bonds are hereby adopted as covenants, statements, representations, agreements and promises of Salt Lake City, Utah. Section 3. The Mayor of Salt Lake City is hereby authorized and directed to sign and execute said bonds and the City Recorder is hereby authorized and directed to countersign the same and affix the seal of Salt Lake City to said bonds and the City Auditor is hereby authorized and directed to place upon said bonds the certificate in the manner and form set forth above and the act of the Mayor, City Recorder and City Auditor in so doing are and shall be the act and deed of Salt Lake City. Section 4. The Board of Commissioners shall levy in the fiscal year ending June 30, 1973, a sufficient tax or provide for the collection of sufficient revenues to pay the principal and interest on said bonds as the same shall fall due and for the payment of said bonds and the interest thereon the full faith, credit and taxing power of Salt Lake City are hereby irrevocably pledged and the Board of Commissioners hereby covenants with the holders of said bonds that it will levy in such fiscal year sufficient taxes and provide for the collection of sufficient revenues for the payment of the principal and interest of said bonds. Section 5. Walker Bank & Trust Company has offered' to purchase said bonds at a price of par plus accrued interest to the date of delivery of said bonds plus a premium of $616.00 -9- which price is satisfactory to the Board of Commissioners and which offer is the highest, best, and most advantageous received for the purchase of said bonds and will result in the lowest obtainable rate of interest on said bonds. Said offer is and the same is hereby accepted and the City Treasurer is hereby author- ized and directed to deliver said bonds to the purchaser thereof upon receipt of the purchase price therefor. Section 6. It is hereby resolved and certified that all or a major portion of the proceeds of said bonds will not be used directly or indirectly to acquire securities within the meaning of the Internal Revenue Code or obligations (other than obligations of a state, a territory, a possession of the United States or any political subdivision of the foregoing or of the District of Columbia) which may be reasonably expected at the time of issuance of such bonds to produce a yield over the term of the bonds which is materially higher (taking into account any discount or premium) than the yield on the bonds themselves or to replace funds which were used directly or indirectly to acquire such securities or obligations; provided, the foregoing certification shall not preclude said City through its proper officers, from investing all or a part of the proceeds of such bonds for a temporary period in securities or other obligations until such proceeds are needed for the purpose of paying the current expenses of said City. -10-- The City covenants it will make no use of the proceeds of said issue of bonds which will cause the same to be arbitrage bonds within the meaning of Section 103(d) , Internal Revenue Code of 1954 as amended, and the City will comply with the requirements of said section and the lawful regulations adopted.pursuant thereto throughout the term of the issue. Section 7. In the opinion of the Board of Commissioners because of the necessity for funds to meet the current expenses of Salt Lake City, an emergency is hereby declared it being necessary for the peace, health and safety of the inhabitants of Salt Lake City, that this resolution shall take effect at once. Section 8. This resolution shall take effect immediately. PASSED by the Board of Commissioners of Salt Lake City, Utah, and approved this 28thday of June , 1972. Mayor • ATTEST: � AjJ1,�l)I Ci y Recorder -11- STATE OF UTAH ss. COUNTY OF SALT LAKE ) I, HERMAN J. HOGENSEN, the duly chosen, qualified and acting City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify as follows: 1. The foregoing and attached pages are a full, true and correct copy of the minutes of a regular meeting of the Board of Commissioners of Salt Lake City, Utah, duly and lawfully called and held on the 28th. day of June, 1972 at the hour of 10:00 o'clock A.M. insofar as the minutes of such meeting refer to or concern the issuance of $6,000,000.00 Salt Lake City, Utah, Tax Anticipation Bonds, dated July 1, 1972; that said minutes and the resolution contained therein have been duly recorded in my office in a book kept for that purpose; that said meeting was duly called and lawfully held at the time and place specified by ordinance of said City for regular meetings of said Board of Commissioners establishing each Tuesday, Wednesday and Thursday at 10:00 o'clock A.M. as the time and the City Commission Chambers in the City and County Building, Salt Lake City, Utah, as the place for the holding of regular meetings of said Board of Commissioners; that the foregoing proceedings were in fact held as in said minutes specified. 2. Salt Lake City, Utah, is a city of the first class, was incorporated on January 6, 1851, and according to the United States census for the year 1970 had at that time a population of 176,793. 3. The names of the members of the Board of Commissioners and municipal officers of Salt Lake City are as follows: -12- Term Expires Mayor E. J. Corn January 5 , 1976 Commissioner Stephen 11:1' Harmsen January 5 , 1976 Commissioner Jennings Phillips, Jr. January 5 , 1976 Commissioner James L. Barker, Jr. January 7, 1974 Commissioner Conrad B. Harrison January 7, 1974 City Auditor Lawrence A. Jones January 7, 1974 City Treasurer Joseph L. Fakler Appointed January 1st., 1972, still in office City Recorder Herman J. Hogensen Appointed May 15, 1956, still in office 4. There is no litigation pending or threatened affecting in any way the legality of the $6,000,000.00 Salt Lake City, Utah Tax Anticipation Bonds, dated July 1, 1972 or any similar issue of bonds issued by Salt Lake City or the boundaries of the City or the title to office of any of the officers thereof. 5. No referendum petition has been filed affecting in any way the resolution passed by the Board of Commissioners of Salt Lake City, Utah authorizing the issuance of $6,000,000.00 Salt Lake City, Utah, Tax Anticipation Bonds, dated July 1, 1972. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal of Salt Lake City this 28th day of June , 1972. r P Recorder (SEAL) --J.3- STATE OF UTAH ss. COUNTY OF SALT LAKE ) The undersigned officers of Salt Lake City, Utah, indicated by the official title opposite our names, hereby certify that on or before July 1, 1972, we, and each of us, officially executed, each of the $6,000,000.00 Salt Lake City, Utah Tax Anticipation Bonds, dated July 1, 1972, each in the denomination of $1,000,000.00 each, numbered 1 to 6, inclusive, bearing interest at the rate of three percent (3.00%) per annum, both principal and interest being due and payable on June 29, 1973, by signing said bonds in the manner and capacity indicated by our signatures and titles subscribed hereto, being on the date this certificate bears and at the time said bonds were signed by us, the duly chosen, qualified and acting officers of said city, indicated by said titles and authorized in all respects to execute the same. We further certify that NO LITIGATION of any nature is NOW PENDING or THREATENED, RESTRAINING or ENJOINING the issuance of and delivery of said bonds or the levy and collection of taxes and other revenues to pay the principal and interest of the same nbr in any manner questioning the proceedings and authority under which the same are issued or the validity thereof; that neither the corporate existence or boundaries nor the title of the present officers to their respective offices is being contested; that no authority or proceedings for the issuance of said bonds has been repealed, revoked or rescinded. The corporate seal of Salt Lake City, Utah, is impressed on each of said bonds. --1,.-. The undersigned Auditor further certifies that he has executed on the back of said bonds a certificate reading sub- stantially as follows: City Auditor's Certificate I hereby certify that this bond is within the lawful debt limit of Salt Lake City, Utah, and is issued according to law. (do not sign) City Auditor IN WITNESS WHEREOF, we have hereto affixed our signatures arid impressed thereon the official seal of Salt Lake City, Utah, on this day of June, 1972. Signatures Official Title _ ._ / Mayor, Salt Lake City, Utah 4 /\ .9(tiat City Recorder, Salt Lake City, Utah City Auditor, Salt Lake City, Utah ereby certify that the signatures of the officers above subscribed are true and genuine. WALKER BANK & TRUST COMPANY Glen V. Margetts Assistant Cashier -15- STATE OF UTAH ss. AUDITOR'S CERTIFICATE COUNTY OF SALT LAKE ) I, LAWRENCE A. JONES, The duly chosen, qualified and acting City Auditor of Salt Lake City, Utah, do hereby certify as follows: 1. The total assessed valuation of all taxable property within the City, according to the assessment for the year 1971 as fully equalized was . . $ 341,494,508 and for the year 1972 will not be less than $ 342,009,230 2. The tax levy for the City for the year 1971 was 24.5 mills and produced the sum of $ 8,121,549 and license fees and other revenues received to date during the fiscal year ending June 30, 1972, exclusive of such taxes, is $ 8 318 881 3. The estimated expenses for the fiscal year ending June 30, 1973 will be $ 20 981,634 which sum it will be necessary to raise by taxes and other revenues during such fiscal year. 4. The estimated tax levy for the year 1972 is 24,5 mills, which is estimated to produce the amount of $ 8,044,057 and the license fees and revenues other than from general taxes of Salt Lake City for the fiscal year ending June 30, 1973 are estimated to produce $ 12 937,577 so that the total estimated taxes and other revenues of Salt Lake City levied and to be collected for the fis- cal year ending June 30, 1973, will be $ 20 981,634 of which there has been received to the date of this certificate bears the sum of NONE 5. The taxes heretofore levied for all previous years not yet collected or paid to said City which are outstanding and uncollected on the date this certificate bears are approximately $ 90 000 6. The total authorized issue of $6,000,000 Salt Lake City Tax Anticipation Bonds, dated July 1, 1972, may be legally issued and delivered within the debt limit of said City, is not in excess of the estimated taxes and other revenues of said City for the fiscal year ending June 30, 1973 and is made in antici- pation of the collection of such taxes and other revenues. 7. The total indebtedness of said City made in anticipation of the collection of taxes and other revenues -16- for the fiscal year ending June 30, 1973, including the present issue of $6,000,000 Salt Lake City, Utah Tax Anticipation Bonds, dated July 1, 1972, is $ 6,000,000 8. The aggregate amount of floating and other indebtedness of said City of every nature whatsoever, including all outstanding warrants in excess of the funds on hand and available for payment of such warrants, other than the indebtedness mentioned in paragraphs 7, 9 and 10 is $ None 9. The City has revenue bonds outstanding in the sum of $ 145,000 of which $ is required for principal and interest payments during the fiscal year ending June 30, 1973. 10. The total bonded general obligation in- debtedness of said City, exclusive of the present issue of $6,000,000 Salt Lake City, Utah, Tax Anticipation Bonds, dated July 1, 1972 is $ 20,910,000 and the total amount of cash in all sinking funds of the City set aside for payment of such indebtedness is not less than $ 3,479,958 11. The City has never, within the ten years last past, defaulted for fifteen days or more in the payment of principal or interest of any bonded debt authorized to be contracted by it. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal of Salt Lake City, Utah, as of this 1st day of July, 1972. i y AuditArl alt Lake Ci - , Utah (SEAL) -17- TREASURER'S CERTIFICATE STATE OF UTAH ss. COUNTY OF SALT LAKE ) I, Joseph L. Fakler, the duly chosen, qualified and acting Treasurer of Salt Lake City, Salt Lake County, Utah, do hereby certify with regard to the $6,000,000.00 Tax Anticipation Bonds of said City, dated July 1, 1972, due June 29, 1973, that all or a major portion of the proceeds of said bonds will not be used directly or indirectly to acquire securities within the meaning of the Internal Revenue Code or obligations (other than obligations of a state, a territory, a possession of the United States or any political subdivision of the foregoing or of the District of Columbia) which may be reasonably expected at the time of issuance of such bonds to produce a yield over the term of the bonds which is materially higher (taking into account any discount or premium) than the yield on the bonds themselves or to replace funds which were used directly or indirectly to acquire such securities or obligations; provided, the foregoing certification shall not preclude said City, through its proper officers, including the undersigned, from investing all or a part of the proceeds of such bonds for a temporary period in securities or other obligations until such proceeds are needed for the purpose of paying the current expenses of said City. The undersigned further certifies that in his opinion the sum of $6,000,000.00 will be required by said City during the year ending June 30, 1973, for the purpose of paying for the current expenses of said City until the collection of taxes and other revenues for such year. DATED this ) i day of 1 . , 1972. ' r eph.L.'.E'aklcr. ' • :aTt Lake City Treasurer' ' (SEAL) -18- • STATE OF UTAH ss. COUNTY OF SALT LAKE ) RECEIPT I, Joseph L. Fakler, the duly chosen, qualified and acting Treasurer of Salt Lake City, Utah, do hereby certify that I have on this 1st day of July, 1972, received from Walker Bank and Trust Company, the purchase price of $6,000,000.00 Salt Lake City, Utah, Tax Anticipation Bonds, dated July 1, 1972, bonds numbered 1 through 6 in the principal amount of $1,000,000.00 each, maturing June 29, 1973, and bearing interest at the rate of 3.00% per annum, said purchase price being as follows: Principal $6,000,000.00 Accrued Interest - 0 - Premium 616.00 TOTAL $6,000,616.00 I hereby certify that the officers who signed the bonds, viz: E. J. Garn, Mayor, Salt Lake City, Utah, Lawrence A. Jones, Auditor, Salt Lake City, Utah, and Herman J. Hogensen, Recorder, Salt Lake City, Utah, are still in office. DATED this 1st day of July , 1972. uA /1 Treasurer, 'Sa1t Lake City, Utah (SEAL) -19-