HomeMy WebLinkAbout62 of 1977 - A resolution authorizing the issue and providing or the sale of $7,000,000 Salt Lake City Tax Antici fc
Resolution No. 62
S
, By Jennings Phillips. Jr. s
J '} A _ COMMISSIONER
j) Authorizing the issuance and +
providing for the sale of $7,000,000
Salt Lake City Tax Anticipation Notes
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Presented t.the Surd of Cow
AND PASSED j
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i JUN 8 1977
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NOTICE
ULAR EMEETII GOOF RTHE
BNARO OF COMMISSIONERS
OF SALT LAKE CITY,UTAN,
T PUBLIC!NOTICE IS
HEREBY GIVEN of the follow.
Inc aaerda of a regular'resting
of the Board of Commissioners
Co Sa Lotid Ch lutotth,In be
oumy Building, Sett
City, Wan cummsnNne at
I9:e7OO o'Cloc�[a.m.an June e,
1977.
Roll Call.
TeX Anticipeflon Nola:
ase 147 Df W,W Salt Lake City
tea emklcatlon rotes. The
*arisingadoption of a resolutau
the Isle by Salt Lake
City of S7,000J00e tax amlcia-
non rota to the a ccossfui
bidder,nreecribiro the format
the nppoftes and Me provisions
ex-
ecutionthere and delivery M aid
rota and for the execution of
documethe nts necessaryt to
ato note
oic Me lassbsufficien�l seal
xas and ,re-
venues to pay said notes when
dad.,IMA N01of/M al:a0f
said notes will be wed by the
City. Late y
O 6)EMILORE�11V..H
RMtehsd June 6,1977 (C•791
NOTICE
NOTICE OF REGULAR
OFECOMMISSIONERRSAOF
SALT LAKE CITY,UTAH
PUBLIC NOTICE Is hereby
pssefltrI Ilos of Salt Board of
CH,
Utah,will hold a regular public
meeting In Room 301 COY and
County Building, Salt Lake
City, Utah, commencing of
1090 o'clock a.m.on June B,
1977.
The Agenda for the meeting
consists of the following:
ROLL CALL
TAX ANTICIPATION NOTE
SALE
Sewed bids will be received
nd considered by Me CityCommission w to l0:000'cIock
A.M.,
A,0 AW'TOO the
Anticipation
ma�turedJued ne Jul 1978.m,and to
OTHERCICITTYDBUSINESSS
Dated May 31 1917.
MILDRED Y.HIGHAM
City Recorder
PublloMd Amok.l977 ICd01
ROLL CALL
VOTING _---Aye Nay
W.Chairman
Agraz 1
Greener
Salt Lake City
Hogensen Salt Lake County
Phillips State of Utah
P ll June 8, 1977
Result
-The hoard of Commissioners of Salt Lake City, Salt
Lake County, Utah, met in regular session at the regular meet-
ing place of the Board in the City and County Building, Salt
Lake City, Utah, at 10:00 o'clock A.M. on June 8, 1977, with
the following members present:
Ted L. Wilson Mayor
Jess A. Agraz Commissioner
Glen N. Greener
Commissioner
Herman J. Hogensen Commissioner
Jennings Phillips, Jr. Commissioner
Also present:
Greg R. Hawkins Assistant City Attorney
Mildred Higham City Recorder
Lawrence A. Jones City Auditor
Absent:
The City Recorder submitted proofs of publication
of the Notice of Sale of Tax Anticipation Notes of Salt Lake
City, and bids were then opened for the purchase of such
Tax Anticipation Notes. Said bids were found to be as follows:
-2-
The bid of CHEMICAL BANK & TRUST COMPANY
was the best bid received for said notes and is, in full, as
follows:
June 8, 1977
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
$7,000,000.00 Salt Lake City, Utah Tax Anticipation Bonds, we
submit the following:
For $7,000,000.00 of your legally issued Tax Anticipation
Bonds to be dated July 1, 1977 and to be due June 30, 1978,
bearing interest at the rate of 3.30 % per annum, we will
pay $2,00_6,282.00 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 convenant 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.
Attached is our Cashier's Check for $140,000.00 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: 3.21 %
Respectfully submitted,
WALKER BANK & TRUST COMPANY,
AS AGENT, FOR CHEMICAL BANK &
TRUST COMP NY —
r ,: / t�
Glen V. plargietts
Vice Print
The above and foregoing offer is hereby accepted on behalf of Salt
Lake City, Utah, this 8th day of June, 1977.
ATTEST:
City Recorder . Mayor
-4-
Thereupon Commissioner Jennings Phillips, Jr.
introduced and moved the adoption of the following Resolution:
Resolution No. 62
A Resolution Authorizing the Issuance And
Providing for the Sale of $7,000,000
Salt Lake City Tax Anticipation Notes
WHEREAS, there is an immediate need for the City to
raise funds in the amount of $7,000,000 to be used in payment
of the current and necessary expenses and other purposes of
the City for which City funds may be expended until the receipt
of taxes and other revenues for the fiscal year commencing
July 1, 1977;
NOW, THEREFORE, BE IT RESOLVED by the Board of
Commissioners of Salt Lake City, Utah, as follows:
1. That Salt Lake City for the purpose of meeting
the current and necessary expenses of said City for the fiscal
year commencing July 1, 1977, and for any other purpose for
which funds of the City may be expended, shall borrow the sum
of Seven Million Dollars ($7,000,000) and for that purpose as
evidence of such indebtedness shall issue One Hundred Thirty
Three notes numbered 1 to 133 , both inclusive, said
notes to be in the following denominations:
FORTY NINE (49) IN ONE HUNDRED THOUSAND DOLLAR ($100,000) DHUCMINATIONS AND
EIGHTY FOUR (84) IN TWENTY FIVE THOUSAND DOLLAR ($25,000) DENOMENATIONS
each note bearing interest at the rate of Three and Thirty Hundredths
percent (3.300) per annum from date until paid. Said notes
shall be dated July 1, 1977, and may be designated as "Salt
Lake City Tax Anticipation Notes," and shall be due and pay-
able June 30, 1978, both principal and interest being payable
-5-
' at maturity in lawful money of the United States of America.
Said Notes shall be in substantially the following form:
UNITED STATES OF .AMERICA
STATE OF UTAH
COUNTY OF SALT LAKE
SALT LAKE CITY
No. $
SALT LAKE CITY TAX ANTICIPATION NOTES
KNOW ALL MEN BY THESE PRESENTS:
That Salt Lake City, Salt Lake County, State of
Utah, hereby acknowledges itself to be indebted and for value
received, hereby promises to pay to the bearer hereof the sum
of DOLLARS ($
in lawful money of the United States of America on the 30th
day of June, 1978, at Chemical Bank
New York, New York
with interest thereon at the rate of
Three and Thirty Hundredths percent(3.30'/)per annum, from
date until paid, interest payable at maturity.
This note is one of a series of notes of like date,
tenor and effect, except as to denomination, numbered from
one (1) to One Hundred Thirty Three (133 ) ,
both inclusive, and known as "Salt Lake City Tax Anticipation
Notes," for the aggregate sum of Seven Million Dollars
($7,000,000) issued pursuant to Section 10-8-6, Utah Code
Annotated, 1953.
The Board of City Commissioners shall levy in the
fiscal year beginning July 1, 1977, a sufficient tax and
shall provide for the imposition and collection of sufficient
revenues other than taxes, to pay the principal and interest on
this note as the same shall fall due, and this note is issued
in anticipation of the payment of such taxes and of the
collection of such revenues for the fiscal year beginning
July 1, 1977.
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 levied
or to be levied for the current fiscal year, and that said
indebtedness was and is contracted for the purpose for which
said taxes and other revenues are or are to be levied, imposed
and collected.
It is further certified, recited and declared that
all conditions, acts and things essential to the validity of
this note exist, have happened and have been done, and that
-6-
every requirement of law affecting the issue of this note has
been duly complied with, and that this note is within every
debt and other limit prescribed by the Constitution and laws
of the State of Utah, and that the full faith and credit of
Salt Lake City are hereby irrevocably pledged to the punctual
payment of the principal of and interest on this note accord-
ing to its terms.
IN WITNESS WHEREOF, Salt Lake City, by its Board
of Commissioners, has caused this note to be signed by its
Mayor, duly authorized, and by the City Treasurer, and
attested by its City Recorder and the seal of said City to
be affixed hereto as of this first day of July, 1977.
( S E A L )
MAYOR
CITY TREASURER
ATTEST:
CITY RECORDER
There shall be endorsed on each of said notes a cer-
tificate reading as follows:
The undersigned Auditor of Salt Lake City, State of Utah, hereby
certifies that this note is issued pursuant to law and is
within the lawful debt limit of said City.
CITY AUDITOR
2. That the sale of said notes to Chemical Bank &
Trust Company pursuant to bid heretofore received by the
City be and the same is in all respects confirmed, ratified
and approved, the said bid being determined to be the best
bid submitted for the purchase of said notes and offering the
lowest interest rate obtainable.
-7-
3. That said notes and each of them shall be signed
by the Mayor of Salt Lake City and by the City Treasurer and
attested by the City Recorder and sealed with the seal of said
City. The Mayor and the City Treasurer are hereby authorized,
empowered and directed to sign each of said notes and the
City Recorder is hereby authorized, empowered and directed to
sign and attest and affix the seal of said City to each of
said notes and the City Auditor to endorse each of said notes,
and each of the foregoing officials are further authorized
to execute such certificates and other documents as are
requireu in connection with the issuance of said notes, and
the acts of the Mayor, Treasurer, Recorder and Auditor in
so doing are and shall be the act and deed of Salt Lake City,
Utah.
4. That there shall be levied by the Board of
Commissioners in the fiscal year commencing July 1, 1977, a
sufficient tax, and there shall be imposed and collected
sufficient revenues other than taxes to pay the principal
and interest on said notes as the same fall due, and there
is hereby appropriated from the collection of taxes and other
revenues for the fiscal year commencing July 1, 1977, a sum
sufficient to pay both principal of and interest on these
notes as the same shall fall due and the full faith credit
of Salt Lake City is hereby irrevocably pledged to the punc-
tual payment of the principal of and interest on the said
notes according to their terms and the Board of Commissioners
hereby covenants and agrees with the holders of said notes
to levy in the fiscal year commencing July 1, 1977, sufficient
taxes and to collect sufficient revenues to provide for the
payment of principal and interest on said notes.
-8-
5. That the proceeds of said notes shall be used
for the purpose of payment of the current and necessary ex-
penses of the City for the fiscal year commencing July 1,
1977, and other purposes for which funds of the City may be
expended.
6. The Board of Commissioners hereby covenants
and agrees with the holders of said notes that so long as
any of the notes remain outstanding, all or a major por-
tion of the proceeds of said notes will not be used in a man-
ner which will cause such notes to be "arbitrage" notes
within the meaning of Section 103 of the Internal Revenue Code
of 1954, as amended, and any regulations promulgated or pro-
posed thereunder, as the same presently exist or may from
time to time hereafter be amended, supplemented or revised
(herein referred to as the "Code and Regulations") .
7. That said $7,000,000 of Salt Lake City Tax Anti-
cipation Notes so issued shall be delivered to the purchaser,
its agents or assigns, as per the terms of their agreement
to purchase, on July 1, 1977, or at such other time as and
when said notes may be and are legally issued, upon receipt of •
the purchase price therefor which said price and sale are
this day ratified and confirmed.
Passed and adopted this 8th day of June, 1977.
ATTEST: MAYOR
CITY RECORDER
(SEAL)
-9-
Thereupon Commissioner Herman J. Hogensen
seconded the adoption of the foregoing Resolution and the
same being put to a vote was carried by the unanimous vote
of the Commissioners present.
It appearing that a majority of the Commission has
voted in favor of the motion,the Mayor thereupon declared
the motion carried and the Resolution adopted.
MAYOR
ATTEST:
CITY RECORDER /'
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STATE OF UTAH
ss.
COUNTY OF SALT LAKE )
I, MILDRED HIGHAM, the duly appointed, qualified
and acting City Recorder of Salt Lake City, Utah, do hereby
certify that the above and foregoing is a full, true and
correct copy of the record of proceedings had by the Salt
Lake City Commission, at its meeting held on the 8th day of
June, 1977, insofar as the same relates to or concerns Salt
Lake City Tax Anticipation Notes for the fiscal year commenc-
ing July 1, 1977, as the same appears of record in my office.
I further certify that there is on file in my
office a permanent record of the foregoing proceedings.
IN WITNESS WHEREOF, I have hereunto subscribed
my official signature and affixed the official seal of said
City this V day of June, 1977.
City Record r
( S E A L )