HomeMy WebLinkAbout36 of 1974 - A resolution authorizing the issuance of $3,000,000 Salt Lake City, Utah Tax Anticipation Bonds, Ser 36
Resolution No.
By Jennings Phillips, Jr.
_�, ♦, cOMN156IONER
Authorizing the issuance of.3,000,000.
Salt Lake City, Utah Tax Anticipation
Bonds, Series of July 2, 1974.
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•
ROLL CALL
VOTING • Aye
_Nay Salt Lake City,Utah, June 26 19 ,74
Mr.Chairman .... Y
I move that the Res ution be adopttaa.
Greener ✓/ �1
Harmsen � ,.r ! ; (-L f_..�.- -� 71/�
Harrison l� �
Phillips
RESOLUTION
Result
TRANSCRIPT OF PROCEEDINGS
AUTHORIZING THE ISSUANCE OF
$3,000,000,00
SALT LAKE CITY, UTAH
5.70%
TAX ANTICIPATION BONDS
Series of July 1, 1974
• The Board of Commissioners of Salt Lake City, Salt Lake County, Utah, •
met in regular session on Thursday, the 20th day of June, A.D., 1974, at the hour
of 10:30 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:
E.J. Garn Mayor
Jennings Phillips, Jr. Commissioner
Glen N. Greener Commissioner
Conrad B. Harrison Commissioner
Stephen L. Harmsen Commissioner
Herman J. Hogensen City Recorder
Joseph L. Fakier City Treasurer
After the conduct of other business not pertinent to the following, the
Board of Commissioners opened bids for the purchase of $3,000,000.00 of Tax
Anticipation Bonds of the City, Series of July 1, 1974. The bids were as follows:
Name of Bidder Interest Rate Premium
Walker Bank & Trust Company 5.70% None
First Security Bank of Utah 6.02% $147.00
Zions First National Bank 6.25% $ 50.00
First Security Bank of Utah Agent for 6.38% $ 3.00
First National City of New York
Commercial Security Bank 6.62% $ 15.00
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
Jennings Phillips, Jr., and was adopted by the following vote:
E.J. Garn "Aye"
Glen N. Greener "Aye"
Stephen L. Harmsen "Aye"
Conrad B. Harrison "Aye"
Jennings Phillips, Jr. "Aye"
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The resolution is as follows: •
A RESOLUTION confirming the sale of $3,000,000.00 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 $3,000,000,00 Tax
Anticipation Bonds of Salt Lake City, Utah.
WHEREAS the bid of Walker Bank & Trust Company of SaltLake City, Utah
has been determined to be the highest and best bid for the purchase of said bonds,
said bid being as follows:
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 $3,000,000.00
Salt Lake City, Utah Tax Anticipation Bonds, we submit the following:
For $3,000,000.00 of your legally issued Tax Anticipation Bonds
to be dated July 1, 1974 and to be due June 30, 1975, bearing
interest at the rate of 5.70% per annum, we will pay $3,000,000.00
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 regulations 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.
•
- 2 -
•
Attached is our Cashier's Check for $60,000.00 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: 5.70%
Respectfully submitted,
WALKER BANK & TRUST COMPANY
B,yi. �' ,, __
Glen V. Mar etts
Assistant ViceVicp Pref ident
The above and foregoing offer is hereby accepted on behalf of Salt Lake City, Utah,
this 20th day of June, 1974.
ATTEST:
* A
ty order Mayor
(SEAL)
WHEREAS, in the opinion of the Board of City Commissioners, it is to
the best interests of Salt Lake City that such bid 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$3,000,000.00 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 5.70%u per
annum interest payable at maturity.
Section 3. Said bonds shall be delivered to the purchasers thereof as
soon as may be after the adoption of this resolution pursuant to due payment
therefor in accordance with the terms of the sale.
- 3 -
Section 4. This resolution shall be in full force and effect immediately
upon adoption.
Adopted this 20th day of June, 1974.
Mayor
(SEAL)
ATTEST:
I li sty4 r� i� .r�
der
The Board of Commissioners of Salt Lake City, Salt Lake County, Utah,
26th
met in regular session on the attgh day of June, A.D. , 1974, at the hour of 10:30
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
Jennings Phillips, Jr. Commissioner
Conrad B. Harrison Commissioner
Stephen L. Harmsen Commissioner
Glen N. Greener Commissioner
Herman J. Hogensen City Recorder
Joseph L. Fakler City Treasurer
The City Treasurer stated that the bid of Walker Bank & Trust Company
for the purchase of$3,000,000.00 Tax Anticipation Bonds of Salt Lake City, Utah,
dated July 1, 1974, had heretofore been approved and recommended adoption of a
resolution to authorize the issuance of such bonds. After full discussion, Mayor
E.J. Garn introduced and moved the adoption of the following resolution, which
resolution was adopted by the following vote:
- 4
E.J. Garn "Aye"
Jennings Phillips, Jr. "Aye"
Glen N. Greener "Aye"
Stephen L. f-Iarrnsen "Aye"
Conrad B.Harrison "Aye"
The Resolution is as follows:
A RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF THREE MILLION
DOLLARS ($3,000,000.00) TAX ANTICIPATION BONDS OF SALT LAKE CITY,
UTAH, SERIES OF JULY 1, 1974.
WHEREAS, there is an immediate and pressing aeed for the raising of funds
in the amount of Three Million Dollars ($3,000,000.00) for the purpose of meeting
the current expenses of Salt Lake City for the fiscal year ending June 30, 1975,
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, 1975, 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 1,1974 through
June 30, 1975, until the payment of taxes and other revenues for such fiscal year,
shall borrow the sum of Three Million Dollars ($3,000,000.00) and for that purpose
and as evidence of such indebtedness shall issue three bonds of the denomination
of One Million Dollars ($1,000,000.00) each, numbered one (1) to three (3),
inclusive, dated July 1, 1974, due and payable June 30, 1975, bearing interest at
the rate of five and seventy hundredths percent (5.70%) 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:
- 5 -
•
UNITED STATES OF AMERICA
STATE OF UTAH
SALT LAKE CITY •
TAX ANTICIPATION BOND
SERIES OF JULY 1, 1974
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
30th day of June, 1975, at the Head Office of Walker Bank & Trust Company, with
interest thereon at the rate of Five & Seventy/100ths per cent(5.70%) 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 Three Million Dollars ($3,000,000.00) issued pursuant to
Section 10-8-6, Utah Code Annotated, 1953.
The governing body of the above-named City shall levy in the fiscal year ending
June 30, 1975, 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 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.
It is further certified, recited and declared that all conditions, acts and things
essential to 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, acid 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, 1974.
Countersigned:
(Do not sign) (Do not sign)
City Recorder Mayor
(SEAL)
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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 Auditor
Section Z. All the covenants, statements, representations 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, 1975, 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,
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 authorized
and directed to deliver said bonds to the purchaser thereof upon receipt of the
purchase price therefor.
- 7 -
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.
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
26th
approved this ketch day of June, 1974.
ATTEST:
City Re L d
- 8 -
•
STATE iF 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 aplled and held on the 20th day of June, 1974, at the
hour of 10:30 o'clock a.m. insofar as the minutes of such meeting refer to or
concern the issuance of$3,000,000.00 Salt Lake City, Utah Tax Anticipation
Bonds, dated July 1, 1974; 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 holding of regular meetings of said Board of Commissioners;
that the foregoing proceedings were in fact held as in said minutes specified.
2. SaltLake 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:
Term Expires
Mayor E.J. Garn January 5, 1976
Commissioner Stephen L. Harmsen January 5, 1976
.ommissioner Jennings Phillips, Jr. January 5, 1976
Commissioner Glen N. Greener January 2, 1978
Commissioner Conrad B. Harrison January 2, 1978
City Auditor Lawrence A. Jones January 2, 1978
City Treasurer Joseph L. Fakler Appointed January 1,
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 $3,000,000.00 Salt Lake City, Utah Tax Anticipation Bonds,
dated July 1, 1974, or any similar issue of bonds issued by Salt Lake City of
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 $3,000,000.00 Salt Lake City, Utah Tax Anticipation Bonds, dated
July 1, 1974.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate
seal of Salt Lake City this 26th day of June, 1974.
't' .gym/
ley,'_ or er
(SEAL)
- 10 -
•
•
STATE OF UTAH
ss
COUNTY OF SALT LAKE )
The undersigned office rs of Salt Lake City, Utah, indicated by the official
title opposite our names, hereby certify that on or before July 1, 1974, we, and
each of us, officially executed each of the $3,000,000.00 Salt Lake City, Utah
Tax Anticipation Bonds, dated July 1, 1974, each in the denomination of $1,000,000.00
each, numbered 1 to 3, inclusive, bearing interest at the rate of Five and Seventy
hundredths per cent (5.70%) per annum, both principal and interest deing due and
payable on June 30, 1975, 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, 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 nor 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.
The undersigned Auditor further certifies that he has executed on the
back of said bonds a certificate reading substantially 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
- 11 -
IN WITNESS WHEREOF, we have hereto affixed our signatures and impressed
thereon the official seal of Salt Lake City, Utah, on this 2Bt'h day of June, 1974.
SIGNATURE. IIFICIAL TITLE
`�M��1A • Mayor, Salt Lake City, Utah
NIS
41014: F ''.i City Recorder, Salt Lake City, Utah
F ,
--ene-- City Auditor, Salt Lake City, Utah
i, ,,,, x
I hereby c rtify that the signatures of the officers above subscribed are
true and genuine.
WALKER BANK & TRUST COMPANY
Glen V. Margett
Assistant Vice Pre ident
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STATE G 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
with the City, according to the assessment for the year 1973 as
fully equalized was $346,270,213
and for the year 1974 will not be less than $352,133,614
2. The tax levy for the City for the year 1973 was 24.50
mills and produced the sum of $8,483,620
and license fees and other revenues received to date during the
fiscal year ending June 30, 1975, exclusive of such taxes, is $17,210,165
3. The estimated expenses for the fiscal year ending
June 30, 1975, will be $28,210,165
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 1974 is 24.50 mills,
which'is estimated to produce the amount of $8,627,274
and the license fees and revenues other than from general taxes of
Sal t Lake City for the fiscal year ending June 30, 1975, are estimated
to produce $19,582,891
so that the total estimated taxes and other revenues of Salt Lake City
levied and to be collected for the fiscal year ending June 30, 1975,
will be $28,210,165
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 $ 160,000
6. The total authorized issue of$3,000,000.00 Salt Lake
City Tax Anticipation Bonds, dated July 1, 1974, 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, 1975, and is made in anticipation of the
collection of such taxes and other revenues.
7. The total indebtedness of sai d City made in anticipation
of the collection of taxes and other revenues for the fiscal year ending
June 30, 1975, including the present issue of $3,000,000.00 Salt Lake
City, Utah, Tax Anticipation Bonds, dated July 1, 1974, is $21,030,000
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...$ 140,000
for which $ 20,000
is required for principal and interest payments during the fiscal year
ending June 30, 1975.
- 13 -
10. The total bonded general o)lig.ztion indebtedness of said
City, exclusive of the present issue of $3,000,000.00 Salt Lake City,
Utah, Tax Anticipation Bonds, dated July 1, 1974, is $17,890,000
and the total amount of cash in all sinking funds of the City set aside
for the payment of such indebtedness is not less than $ 4,605,750
11. The City has never within the last ten years
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
26th
seal of Salt Lake City, Utah, as of this ifak day of June, 1974.
J
Ci' Audito ityy • ah
(SEAL)
- 14 -
ARBITRAGE CERTIFICATE
(Tax Anticipation Bonds)
STATE OF UTAH
ss
COUNTY OF SALT LAKE )
The undersigned Treasurer of Salt Lake City, Utah, "Issuer, " Certifies
and reasonably expects that the following will occur with respect to the tax
anticipation bonds of the Issuer in the aggregate principal amount of $3,000,000.00
dated July 1, 1974, (the "Bonds"):
1. The Bonds are to be issued in anticipation of the collection of
taxes and other revenues of the Issuer for the current year and are for the
purpose of financing all or a portion of the maximum anticipated cumulative
cash flow deficit of the Issuer computed pursuant to the regulations proposed
by the United States Treasury Department published in the Federal Register
on May 3, 1973.
2. The maximum anticipated cumulative cash flow deficit of the Issuer
from the date of issue of the Bonds to maturity is computed as follows:
Cumulative
Estimated Estimated Surplus (or
Expense (a) Receipt (b) Deficit) at
end of month (c)
Cash and other amounts (d)
available for payment of
expenditures as of the end 6-30-74
of the month of June, 1974 $ 822,800
(insert last month preceding
date of issue for which figures
are available).
Each succeeding month
from issue to maturity $ $ $
July 1,853,516 655,529 (375,187)
August 2,356,455 1,249,274 (1,482,368)
September 1,890,879 876,556 (2,496,691)
October 2,234,019 1,964,894 (2,765,816)
November 1,968,991 1,616,065 (3,118,742)
December 1,196,283 7,061,571 2,746,546
January, 1975 1,691,551 3,775,880 4,830,875
February 1,937,733 1,453,418 4,346,560
March 2,152,676 1,143,139 3,337,023
April 1,990,507 2,004,096 3,350,612
May 2,112,999 2,091,518 3,329,131
June 6,999,255 4,492,924 822,800
- 15 -
•
•
Footnote (a) "Estimated Receipts" does not include receipts which do not
become a part of the general funds of the Issuer because
they can only be used for specific purposes and "Estimated
Expenses" does not exclude expenses from receipts which
are so earmarked and limited. All other receipts, including
receipts from investments, property taxes, fees and other
revenue available for general purposes of the Issuers and all
expenditures from such funds for such purposes are included
in such estimates.
Footnote (b) For purposes of the foregoing computation, it has been
assumed that all receipts will be received on the first
day of each month.
Footnote (c) "Cumulative Surplus" does not include the amount of a
cash balance reasonably required by the Issuer as a
reserve for payment of expenditures.
Footnote (d) Amounts in accounts, including general fund accounts and
special accounts, have been considered to be available for
the payment of expenditures to the extent that such accounts
may be invaded to pay such expenditures without a legislative,
judicial or contractual requirement that such accounts be
reimbursed.
3. The maximum cumulative cash flow deficit according
to the foregoing computation is $ 3,118,742
and the amount reasonably required by the Issuer as a cash
balance on hand at all times is $ 1,196,283
so that the total maximum anticipated cumulative cash flow deficit
during the period prior to maturity of the bonds is $ 4,315,025
Ch the basis of the foregoing, it is not expected that the proceeds of
the Bonds will be used in a manner which cause the Bonds to be Arbitrage Bonds
under Section 103 (d) of the Internal Revenue Code and the regulations prescribed
under the Section. To the best of my knowledge and belief, there are no other
facts, estimates or circumstances that would materially change the foregoing
conclusion.
DATED thisr day of June, 1974.
T ea r
- 16 -
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 /. t`day of
July, 1974, received from Walker Bank & Trust Company, the purchase price
of$3,000,000.00 Salt Lake City, Utah Tax Anticipation Bonds, dated July 1, 1974,
bonds numbered 1 through 3 in the principal amount of $1,000,000.00 each, due
June 30, 1974, and bearing interest at the rate of 5.70% per annum, said purchase
price being as follows.:
Principal $3,000,000.00
Total yd 3 Goy oo -
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 / day of July,1974.
reas rer, t La -- Utah
(SEAL)