53 of 1975 - A resolution authorizing the advertisement for sale of $8,500,000 General Obligation Airport Bonds, 1
Resolution No. 5:3 i
t By Mayor Conrad B. Harrison
Co.....ONil1
Authorizing the advertisement for '
sale of $8,500,000 General Obligatioi i
Airport Bonds, Series 1975, of Salt Ili 1
Lake City, Salt Lake County, Utah. i, „•, '
(Bid opening October 7, 1975) 11 ::
AND PASSED j
AUG2 6
1975
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NOTICE OF BONDS TO BE ISSUED
NOTICE IS HEREBY GIVEN pursuant to the provisions of Section 11-1$21,
Utah Cade Annotated,1953,as amended,that on October 1,1975,the Board of
f Salt Lake City,Salt Lake County,Utah,accepted the bid of
First National City Bank,United California Bank,Merrill Lynch,Pierce,
Fenner S Smith Inc.,Bear,Stearns 8 Company lien manse.),First Pennco
Securities Ind.,Stevens Inc.,for the purWse of 14,500,000 General Obligation
Airport Bonds,Series 1975,of said city,dated November 1,1975,at the price of
S11,500A00 plus a premium of S None.Said PO/Ch.M.made a good faith deposit
of t110,000 in connection with its bid.
Said General Obligation Airport Bonds,Series 1915,arsuant to a resolution
of the Board of Commissioners of Salt Lake City duly adopted on October 7,
1975,are lode issued for the purpose of defraying the Cost of improving and
extending the municipal airport of said city by adding to and remodeling the
existing airline terminal building and facilities,constructing additional
auxiliary buildings and facilities to be used in connection with the operation and
mkg nce of the airport,ins and rehabilitating airport formers,
aking site relocation of airport utility facilities ma0e necessary by reason
such Improvements and extensions,together with the ecouisitIon of all land
necery therefor,and the acquisitionof all appurtenant facilities necessary
cionvenient in connection with suchch l improvements and extensions,for said
ty,and bear interest and mature on July 1 of each of the years and in the
amounts as follows:
Modrest
Plumbers Anon Are I Nate Year
1to4 s220,000 6.25% 1919
45fo90 239,000 6.50% 1979
91.140 250,000 6.50% 1900
141to193 265,000 6.50% 1991
194 t0269 290A00 6.50% 1902
250100119 020� 6.50% 1993
010to2n 6.50% 1914
216t0041 360,000 6.50% 19115
42r055r 365.000 6.50% 996
sea to091 3E5,000 6.50% 1991
59210612 410,000 6. 1901
616r0161 40000 6.1016 1999
762to955 610,000 6.10% 1990
956 to 955 500400 6.10% 1991
956 to 1061 530,0:0 6.25% 1992
1062 to 1116 565,000 6.25% 1993
1175101294 600,000 6.25% 1996
1295 to1672 M3,000 6.25% 1995
1423fo1559 6a0OA0 610% 1996
1559 to1100 110J010 5.00% 1997
A copy of the resolution adopted on October 7,1975,by tee Board of
Commissioners of Salt Lake City authorizing the Issuance and confirming the
sale of the above described y of the
Bonds,
000 General OMMaflan Airport Bas,series
195,is on file in the office City Recorder W Hid city,In Room p0 OW
and County Building,Sett Lake City,Utah,where ft may be examined during
regular business hours of the City Recorder froth 9:00 A.M.o'clock 5 of
o'clock P.M.Said resolution shall be so available for Irooacign for a period of
at least thirty(30)days from and after date of the publication of this notice.
NOTICE IS FURTHER GIVEN that pursuant 10 low fora period of thirty
inMesst shall h and am 'kW to contesate of the publication
Ns 1pellh of the any
�ibed
resolution of the Board of Commissioners ofgSett Lake City,Wall,adopted an
October 7,1975,
General off mid city au authorized thereby.or any Provisions nude for foe 1 Me security
moment of such bonds,and that offer such time,no one shall Mvaane came of
fieo to contest the regularity,formality or legality thereof for env cause
whatsoever.
DATED this 711.day of October,1975.
MILDRED V.HIGHAM
Con Record.,
( AL) Self Lake Fs a period of thirty(301 days after such puhllo floo,any person In intttern,
shall hew floe right to contest the legality of MN resolution or of fed bads
hereby Panda Afterauthorized
time,no oneons shall male
many calse the �of action t and o co such
ntest she
pac ausewaWl�of this revolution and WebI herein
authorised tor am Section 11.That all resolutions or Parts Merest In ceeflkf herewith Wand
the sense are,to the extent of such CwMict herNM repealed,and after sai0
bads are Issued,this resolution shall be and remain Irreeaslable until mid
boat and the interest thereon shall have been fully paid,satlsflea and
dlahaeed es herein provided.
Seetgn 12.That this resolution Yell become effective PMnW4tely ueon Its
a00elion.
PASSED AND APPROVED by rho Board of Can gsYalas of Salt Lake
City,Salt Lake Casty,Utah Mis 71116ay of Oc1Ygr,1915.
CONRAD HARRISON
Mayor
Attest:
MILDRED V.HIGHAM
City Recorder (0-23)
Published—October if.1975.
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ROLL CALL
. VOTING Aye Nay
A,9 6,V'Oi
Mr.Chairman ®r qs
Greener '- q e rO
Harmsen —°h
Harrison Salt Lake City, Utah
Phillips August 26 , i975
Result
The Board of Commissioners of Salt Lake City, Salt
Lake County, Utah, met in regular public session at its regular
meeting place in Room 301, in the City and County Building in
Salt Lake City, Utah, at10:00 o'clock A.M. , on August 26
1975, with the following members present:
Conrad B. Harrison, Mayor
Glen N. Greener, (Absent) Commissioner
Stephen M. Harmsen, Commissioner
Jennings Phillips, Jr., Commissioner
Herman J. Hogensen, Commissioner
There were absent: Commissioner Glen N. Greener
There were also present Mildred V. Higham, City Recorder,
and Paul G. Maughn, Assistant City Attorney.
After the meeting had been duly called to order and
the roll called with the above results, and after the conduct of
other business, the following resolution was introduced in written
form by Mayor Conrad B. Harriso,n was read in full, and pursuant to
motion made by Jennings Phillips, Jr. and seconded byHerman J._Hogensen-_,
was adopted by the following vote:
Aye: Mayor Conrad B. Harrison
Commissioner Stephen M. Harmsen
Commissioner Herman J. Hogensen
Commissioner Jennings Phillips, Jr.
Nay: None.
The resolution was then signed by the Mayor in open
meeting and recorded by the City Recorder. The resolution is
as follows:
A RESOLUTION authorizing the advertisement for sale
of $8,500,000 General Obligation Airport Bonds, Series
1975, of Salt Lake City, Salt Lake County, Utah.
Be It And It Is Hereby Resolved by the Board of
Commissioners of Salt Lake City, Salt Lake County, Utah, as
follows:
Section 1. That $8,500,000 of the remaining unsold
$16,500,000 of the $25,000,000 General Obligation Airport Bonds
of Salt Lake City, Salt Lake County, Utah, authorized at the
special bond election held in said city on December 1, 1970, such
bonds to be denominated $8,500,000 General Obligation Airport
Bonds, Series 1975, shall be sold as herein directed.
Section 2. That sealed bids shall be received for
the purchase of said bonds, and that said bids shall be opened
in regular public session of the Board of Commissioners on
October 7 , 1975, at 10:30 o'clock A .M., M.D.T., at the regular
meeting place of the board in Room 301 in the City and County
Building in Salt Lake City, Utah.
Section 3. That the City Recorder shall cause a
notice of sale in substantially the following form to be
published one time in The Daily Bond Buyer, a financial newspaper
published in New York, New York, said publication to be made not
less than seven (7) days prior to the date of sale:
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NOTICE OF BOND SALE
Sealed bids for the purchase of $8,500,000 General
Obligation Airport Bonds, Series 1975, of Salt Lake City, Salt
Lake County, Utah, will be received up to 10:30 o'clock A.M.,
M.D.T., on October 7 , 1975, at the regular meeting place of
the Board of Commissioners of said city in Room 301 in the City
and County Building, in Salt Lake City, Utah.
Copies of the OFFICIAL NOTICE OF BOND SALE, the
OFFICIAL PROSPECTUS and other related information with respect
to the bonds, being offered subject to the approval as to
legality of Chapman and Cutler, of Chicago, Illinois, may be
obtained from Murray Bywater, Manager, Salt Lake International
Airport, Salt Lake City, Utah, or Burrows, Smith and Company,
Suite 1003, Kearns Building, Salt Lake City, Utah 84101, the
Financial Consultant to the City.
Dated this 26th day of August , 1975.
City Recorder,
Salt Lake City, Utah
Section 4. That said sale shall be conducted in
accordance with the terms set out in the following Official Notice
of Bond Sale:
OFFICIAL NOTICE OF BOND SALE
$8,500,000
GENERAL OBLIGATION AIRPORT BONDS, SERIES 1975
SALT LAKE CITY, SALT LAKE COUNTY, UTAH
The City Recorder of Salt Lake City, Salt Lake County,
Utah, will receive sealed bids for the purchase of $8,500,000
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•
•
General Obligation Airport Bonds, Series 1975, of Salt Lake
City, Salt Lake County, Utah, up to10:30 o'clock, A.M., M.D.T.,
on October 7 , 1975, at the regular meeting place of the Board
of Commissioners of said city in Room 301 in the City and County
Building in Salt Lake City, Utah, at which hour and place said
bids will be opened. The bonds are the second series of a total
authorized issue of $25,000,000 General Obligation Airport
Bonds of the city authorized at a special bond election held on
December 1, 1970. The Board of Commissioners does not expect
to advertise for sale any of the remainder of the voted authoriza-
tion for over 90 days after the delivery of the bonds.
The bonds are dated November 1, 1975, denomination
$5,000, are not registrable as to principal and interest, or
either, and mature serially in numerical order on July 1 of each
of the years and in the amounts as follows:
YEAR AMOUNT
1978 $220,000
1979 230,000
1980 250,000
1981 265..000
1982 280,000
1983 300,000
1984 320,000
1985 340,000
1986 365,000
1987 385,000
1988 410,000
1989 440,000
1990 470,000
1991 500,000
1992 530,000
1993 565,000
1994 600,000
1995 640,000
1996 680,000
1997 710,000
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OPTION FOR REDEMPTION: The bonds maturing in the
years 1978 to 1985, inclusive, are not subject to prior
redemption. The bonds maturing in the years 1986 to 1997,
inclusive, are subject to the right of the city to redeem the
same in inverse numerical order on July 1, 1985, and on any
interest payment date thereafter at the price of par and accrued
interest to the date fixed for redemption plus a premium of 2`/,
of the principal amount of each bond so called for redemption
on or prior to January 1, 1986, which premium is to reduce by
1/4 of 1%, in each twelve month period thereafter until reduced
to 1/27, so that the premium payable on bonds redeemed on July 1,
1992, and thereafter prior to maturity is to be 1/2% of the
principal amount of each bond so called for redemption.
INTEREST RATES: The bonds will bear interest at any
number of different rates not exceeding five, expressed in
multiples of one-eighth or one-twentieth of one per cent (1/8th
of 1/20th of 1%) , but the highest rate bid for any of the bonds
shall not exceed the lowest rate by more than one and one-half
per cent (1-1/2%). All bonds of the same maturity must bear a
single rate of interest and only one coupon will be attached to
each bond for each installment of interest thereon. A zero rate
cannot be named for all or any part of the time from the date of
any bond to its stated maturity, and any premium must be paid in
the funds specified for the payment of the bonds as part of the
purchase price. Interest will be payable July 1, 1976, and
semiannually thereafter at a rate or rates not greater than eight
per cent (8%) per annum to be fixed at the time the bonds are
sold.
•
PLACE OF PAYMENT: Both principal of and interest on
the bonds will be payable in lawful money of the United States
of America at a bank or trust company named by the successful
bidder within three (3) days subsequent to the receipt of bids
as is acceptable to the Board of Commissioners of the city.
SECURITY: The bonds will be full general obligations
of the city payable from the proceeds of ad valorem taxes to be
levied without limitation as to rate or amount.
AWARD: Award or rejection of bids will be made on
the date above stated for receipt of bids, and the good faith
checks of the unsuccessful bidders will be returned immediately.
The bonds will be awarded to the responsible bidder offering to
pay par and accrued interest and specifying a rate or rates
which result in the lowest net interest cost to the city,
computed from the date of the bonds to maturity, after the deduc-
tion of premium, if any.
FORM OF BID: Each bidder is required to submit an
unconditional bid specifying: (a) the lowest rate or rates of
interest and premium, if any, above par at which the bidder will
purchase the bonds; (b) the lowest rate or rates of interest at
which the bidder will purchase the bonds at par. Each bid must
be on a bidding form which will be furnished by the city, and,
together with the bidder's check, must be enclosed in a sealed
envelope marked on the outside "Proposal for Airport Bonds" and
addressed to the City Recorder of Salt Lake City, Utah. For
informative purposes only, the bidders are requested to state in
their bids the net effective interest cost and the net effective
interest rate represented by the rates of interest specified in
each bid.
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BID CHECK: Each bid shall be accompanied by a
cashier's or certified check drawn upon an incorporated bank
or trust company in the amount of $170,000 payable to the City
Treasurer of Salt Lake City. The check of the successful
bidder will be held uncashed as evidence of good faith pending
the delivery of the bonds, but which check will be forfeited
as liquidated damages if such bid is accepted and the bidder
fails to take up and pay for the bonds when tendered. Such
check shall be promptly returned to any such bidder if his bid
be not accepted.
SALE RESERVATIONS: The Board of Commissioners
reserves the right to (1) waive any irregularity or informality
in any bid, (2) to reject any and all bids for the bonds, and
(3) to resell the bonds as provided by law.
MANNER AND TIME OF DELIVERY: The purchasers will be
given at least seven business days advance notice of the proposed
date of the delivery of the bonds when that date has been
tentatively determined. It is now estimated that the bonds will
be delivered on or about December 1, 1975. The city will supply
the printed bonds. Delivery of the bonds will be made in Salt
Lake City, Utah, except that the successful bidder may at his
option and expense designate some other place of delivery. The
successful bidder must also agree to pay for the bonds in Federal
funds which will be immediately available to the city in Salt
Lake City, Utah, on the day of delivery.
RIGHT OF CANCELLATION: The successful bidder shall
have the right, at his option, to cancel the contract of purchase
if the bonds are not tendered for delivery within sixty (60) days
from the date of sale thereof, and in such event the successful
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bidder shall be entitled to the return of the deposit
accompanying his bid. The city shall have the right, at its
option, to cancel the contract of purchase if within five (5)
days after the tender of the bonds for delivery, the purchasers
shall not have accepted delivery and paid for the bonds, in which
event the good faith deposit accompanying the bid shall be
forfeited to the city as liquidated damages for failure to
comply with the contract of purchase.
TAX EXEMPT STATUS: In the opinion of bond counsel,
interest on these bonds is exempt from Federal income taxes
under presently existing law, regulations, decisions and inter-
pretations, except to the extent otherwise provided by Section
103(c) of the Internal Revenue Code and any regulations adopted
thereunder, as to any of said bonds held by any substantial user
of the facilities to be acquired or constructed with the proceeds
of the sale of said bonds or held by any related person as
defined in the Internal Revenue Code. The purchaser will not be
required to take up and pay for the bonds if at the time of
delivery there has been any Federal legislation, decisions or
regulations which would affect the tax exemption on all or any
part of the interest on these bonds.
It is further the opinion of bond counsel that under
the Utah Municipal Bond Act interest on the bonds is exempt from
taxation in the State of Utah.
LEGAL OPINION: The unqualified approving opinion of
Chapman and Cutler covering the legality of the bonds will be
furnished to the purchasers and will be printed on the backs of
the bonds without charge. There will also be furnished the usual
closing certificates, dated as of the date of delivery of and
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payment for the bonds, including a statement that there is no
litigation pending or, to the knowledge of the signer thereof,
threatened, affecting the validity of the bonds.
CUSIP NUMBERS: It is anticipated that CUSIP identifi-
cation numbers will be printed on the bonds, but neither the
failure to print such numbers on any bond nor any error with
respect thereto shall constitute cause for a failure or refusal
by the purchaser thereof to accept delivery of and pay for said
bonds in accordance with terms of the purchase contract. All
expenses in relation to the printing of CUSIP numbers on said
bonds shall be paid for by the city; provided, however, that the
CUSIP Service Bureau charge for the assignment of said numbers
shall be the responsibility of and shall be paid for by the
purchaser.
ADDITIONAL INFORMATION: For further information
contact Murray Bywater, Manager, Salt Lake International Airport,
Salt Lake City, Utah, or Burrows, Smith and Company, Suite 1003,
Kearns Building, Salt Lake City, Utah 84101, the Financial
Consultant to the city.
Dated this 26th day of August , 1975. //
6-"etaL(j
Mayor
City Recorder
Section 5. That this resolution shall become effective
immediately upon its adoption.
PASSED AND APPROVED by the Board of Commissioners, of
Salt Lake City, Salt Lake County, Utah, this 26th day of August
1975.
Attest:
�> Mayor
City Recorder
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(Other business not pertinent to the above appears in
the minutes of the meeting. )
Upon motion duly made and carried, the meeting was
adjourned.
6.4)Y e . wtit1tS'
Attest: Mayor
City 4 ecorder
STATE OF UTAH
COUNTY OF SALT LAKE )
I, Mildred V. Higham, the duly qualified and acting
City Recorder of Salt Lake City, Utah, do hereby certify, according
to the records of said city in my official possession, that the
above and foregoing constitutes a true and correct copy of excerpts
from the minutes of the meeting of the Board of Commissioners of
Salt Lake City, Utah, held on August 26 , 1975, including a
resolution adopted at said meeting, as said minutes and resolution
are officially of record in my possession.
IN WITNESS WHEREOF, I have hereunto subscribed my
official signature and impressed hereon the corporate seal of
said city, this 26th day of August , 1975.
Ci y Recorder
(SEAL)
PHH:r
8/11/75 -10-