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Home My WebLink About81-057RESOLUTTON N0. 8~-57 RESOLUTZON DIRECTSNG PUBLICA'~~ON OF A NQTICE TNVITING SEALED BIDS FOR IMPROVEMENT BONDS OF SOUTH OROVILLE ASSESSMENT DISTRICT, COUNTY OF BUTTE, STATE OF CALI- FORNZA, IN THE PRZNCZPAL AMOUNT OF $12,500.00 The Board of Supervisors of the County of Butte resolves: 1. This Board has adop~ed a resolutian au~.horizing iss~ance af irnprovefnent bonds under the provisions of the Imp~ovement Bond Act o~ ~.915, in, the pxincipaZ amount of $~2,500.00 with respec~ to South Orovill~ Assessment Dystrict, County o~ But~e, State of California. 2. Sealed bids for the purchase of said bonds shall be received by ].1.:00 A.M. on, Tuesday, March ~7, J-981, at the office ofi the Cou.nty Clerk, Caunty af Butte, 25 Caunty Cente~ Drive, Oroville, Ca~i~ox~nia 95965. 3. The C1erk of ~h~.s Board is author~zecl ancl directed to publish a notice inviting sealed bids once in the OROVILL~- MERCURY REGISTER, a newspaper o~ general circulation publzshed in Bu~te County, California. 9. A copy af said notice a.nvi~ing sealed bid~ is attached ~.o this zesolution and by re~erence made a paxt hereof. ~ * * I HEREBY CERTIFY that the foregoing resolution was duJ.y and regularl.y adopted by the B~axd of Supervisors of the County of Butte, State of Califarn~.a, at a regular meeting thereof, h~~.d on the 3rd day of March, Z981, by the fo~lowing vo~.e, to wit: ,~lYES : Superv~sors Do1an, Lemke, 5aracen~,, Wheeler and Cha~rman Mosele NDES : Supervisors None ABSENT: Supe~visors None CLARK A. NELS~N, County Clerk, County o~ Bu e, State of Califoznia Oo G°3~C~Q4~W~ By _ NQTICE INV7TING SEALED BIDS FOR BOND PURCHASE SOUTH OROVILLE ASSESSMENT DISTRICT, COUNTY OF BUTTE, STATE OF CAL~FORNTA NOTTCE IS HEREBY GTVEN ~ha~ sea~ed proposals ~or the pu~- chase o~ $I2,500.00 principa~ amount o£ ~mprovement bonds to be issued by the County of Butte, for South Orovi~~e Ass~ssment Dis- trict, wi~~ be ~eceived by said Board of Supervisors of the County at the place and up ~o the time below specified: TIME: March 17, 1981, at Z1:00 A.M. PLACE: Of~ice of the Coun~y C1e~k Butte County Administra~ion Center 25 County Center Drive Oroville, Ca. MATLED BZDS: Clark A. Nelson, County Clerk Co~nty of Butte Co~nty Administra~ion Center 25 County Center Drzve, Drawer 269 Oroville, Ca. 95965 Attn: Cathy Pit~s, Ass~. Cl~rk ~o the Board OPENING OF BIDS: ~he bids will be received and public~y opened at that time and place and will be considered at the regula~ ~eeting of the Board of Supervisors to be held on March ~7, 1981, xn the Board Chambers at 25 County Center Drive, Orovil~e, Cali~ fo~nia, or as soon therea~ter as ~he bid opening has been completed. THE BONDS 1. PURPOSE 4F ISSUE. The bonds are being issued ~or the purpose af ~i~ancing a portion of the estimated construction cos~ of sto~m dxain facilit~es and the filling in and obli~e~at~an af an existing open ditch cross~ng private and public property in the cornmunity of So~th Oroville. _~_ `2. " AUTH~RITY FOR ISSUANCE. These bonds ar~ authorized to be issued under the prov~szons of ~he Impravement Bond Act o~ 1915 of ~he State o~ California, afte~ special assessm~nt proceedings taken by the Board of Supervisors under the pravisions of the Municipal xmprovement Act of 1913 af the Sta~e of Califarnia. The proceedings we~e initiated by Resolution of ~ntent~on Na. 80-220, adopted by the Board o~ Supez- visors on October 14, 1980. 3. AMOUNT OF ISSUE. The total amaunt of bonds ta be issued ~or this assessment distr~ct is $12,500.00, which ~s the tatal amo~nt o~ assessmen~5 levied. 4e DATE OF BONDS. The bonds wi11 be dated for the date of deliv~ry, present~y expected to occur on Maxch 24, 1981. 5. DENOMINAT~ONS AND MATURXTY SCHEDULE. The bands will mat~re over a period of five (5) years. The following ~aturity sche~u~e is based an ~he amount of assessments ~evied: MATURITY SCHEDULE YEAR OF BOND YEARLY MATURTTY NUMBERS D~NOMXNATION AMOUNT ~ssa i s soo.oo z - 3 i,ooo.oo $ 2,5ao.oo 1983 4 500.00 5 - 6 ~,000.00 2,500.00 i~8~ ~ ~oa.oa s - 9 i,ooa.oo 2,5oa.oo i~s~ ~ ~0 500.00 ~1 -~z ~,o.oo.o0 2,500.00 1986 13 500.00 14 ~15 1,OOd.00 2,500.Od - TOTAL $12,50Q.00 Except as provided otherwise by paragraph 16 below respectzng issu- ance of a sing~e, fully registered bond in ~ieu of serial coupan bonds, the bands will be issued in denominations of $5Q0 and $1,OQD each. ~ . -2- , .. . ..... .._ __ _ . . _ _ . __. __... _.._.., ____ ___.. ...__. _ . _.. _ .. ....... :.;.... • . . . ~ ~ 6e '~~NTEREST. Each bond will bear inte~es~ ~rom it~ da.te a~ a ra~e not tn ~xceed ten percent (1.0~} per annum. Each band sha3.Z have coupons a~.tached ~epresenting serniannual interest. The fa.rst coupon on each bond will represen-~ in~erest from the date o~ the bond until January 2, 1982, a.nd each subsequent coup~n, will represen~ interest ta the next ~uly 2 or January 2, as the case may be, until the maturity date af the bond. 7o PAYMENT. Both px~incipal and interest on th~s issue are payable in 1aw~u~ money o~ the Uni~ed States at the affice o~ th~ Caunty Treasurer of the County o~ Butte, 25 County Center Drive, O~oville, Cae 95955. $. BEARER BONDS. Unl.ess the successful bidder exercises the option speci~'ied in pa~agraph 16 below for ~ssuance of a single, fully registered bond, the bonds will be issued as negotiable instruments payabZe to bearer. Unless therea~eter registered, title to each bonc3 may be passed by physical clelivery. 9. ADVANCE OF MATIIRTTY. The issue~ at i.ts aption may advance the ma~urity of any band to the next interest pay~-ent clate ~ol~.owing ~he publ~a~cation of a sixty-day notice o~ call. Upon call, the bondholder shall rec~ive in~erest to the date o~ cal~, the principal. o~ the band and a~ederrEption preraium in the amount of five percent o~ the principal. ~ .. . ~ 10. LIMSTED OBLIGAT~~N. Bonds .issued under the prova.sions of the Tmprovement Bond Act of 1915 of ~he State of Ca~ifornia are limited obiiga~ion, bonds. These bonds are not a general abli.gatian of ~he issuer, ar~d the full faith and credit o~ the issuer is n~~ p3.edged ~.o the payment of either p~a.ncipal or interest of ~he bonds. The obla.gata.on o~ the i.ssuer is s~rictly ~irnited by the specific pro- visions o~ the Improvement Band Ac~t of 19I5. Furthermore, pezform- -3-- _ _._ __,_ . . ........ ___........ . . . .._.... . _. _'____ . . . . .. ............. ...... . .... __....__..... . . . ....... .._,.._._ ................ ....., . ........... . ... . .. . F .. ......__~-_.._ • ~ ance by the County of thE ~imited obligat~on prescribed by said 191~ Act provisions has been af~ected by the adoption on June 6, 1978, of Proposition 13 (the Jarvis~Gann Znitiative), which added Article XIIIA to ~he Calzfarnia Constitution, and by subsequent enactmen~s of the Califoxnia Sta~e Legislature to implement Article XII~A. 11. SECURITY. These bonds are secured by assessments lev~ed against the severa~ parc~~s o~ property zn Sauth Oroville Assessment D~strict. Principal and in~e~est ~nsta~~men~s of th~ assessments are collected annually, as a separately stated itE~ an the tax roll on which general ta~es far real property are collected. Th~SE i~stallments are deposited in a bond redemption fund, which consti~utes a trust ~und for paymen~ of bond pr~ncipa~ and interest. Each unpaid special assessm~nt constztutes a lien on the speci~~c parce~ o~ p~operty against which the assessmen~ was levied. The lien is subordinate to a11 unpaid fixed special assessments previously levied, has priority over any fixed special assess~ent which may s~b- sequently be levied, and has parity with the ~ien ~ar praperty taxes. ~2. ADDZTI~NAL SECURITY. Tf any property owner ~ai~s to pay the annual installment of a special assessment when due, the p~operty is sold in the same manner as for delinqu~ncy on the payment o~ p~operty taxes. Under ~he provisions of the 1915 Act, the County ~s ob~igated ta purchase ~he property at the tax sa~e and, as an incident to such purchase, to transfer into the bond Xedemp~ian fund the amaunt of ~he delinquent ins~allments.. The Coun~y's abligation to make the ~ransfex continues for each year untz~ ~i~her the delinquencies are redeemed ar the property is sold for cash to ~a third party. -4- The 19~5 Act provides that ~n the event ~nsu~ficzent moneys are avai~able ~o make the required trans~er, ~he County is obliga~ed to i~clude in its next annual property ta~ levy an amount suff~c~en~ to make the transfErs, but not to exceed 10~ per $1Q0 assess~d valu- atian in any year. However, in the opinion of counseZ, the 1ega1 authority for such special tax levy has been abrogated by the ~ adoption of Artic~e X~IIA o~ the Califo~nia Constitut~on and the sub- sequent enactments of the Califo~nia State L~gislature ta implement Article XIITA, with the resu~t that, undez present California law, the Coun~y has no legal author~ty ~o levy such a special ad valorem property ta~. 13. LEGAL OPINZON. The legal apinion o~ Sturgis, Ness, Brunsell & Sperxy a pro~essionaL corporation, Suite ~150. ~~atergate Tower, 1900 Powe11 Street, Emexyville, Ca. 94608, approv~ng the validity of the bond issue wz~l be ~urnished without charge ~o the successfu~ bidder. This law £irm has been ~e~ained by the issuer as bond co~nse~ on a contingent ~ee payable so~e~y fram the proceeds af the bond issue. 14. TAX EXEMPTZON. In the opinion o~ bond counsel, interest on the bands is exEmp~ ~rom federal income taxes and from State o~ California persana~ income taxes under exis~ing statut~s, regulations, ru~ings and cour~ decisions. 15. ARB~TRAGE. The issuer wi~l furnish to ~he purchaser, at th~ time of bond delzvery, a certi~icate ~hat the bonds are nat arbitrage bonds within the meaning of Sec~ion ~03 (cl of ~he Internal Revenue Code. -5- 16. REGISTRATION. Any bond may be reg~stered as to both principal and interest. Any registered bond may be transferred, deregistered, or reregister~d at the expense of the bondholder. If specified by the successful bidder, the total issue may be represented by a single, fully.reg~stered bond, payab~e in instal~ments matur~ng at the t~mes and in the amounts set forth in th~ final maturity schedule. 17: RATING. The issuex has not sought to obta~n a rating of this issue from any bond rating agency. 18. LITIGATION. There is no pending ~itigation contesting the vali- di~y of the assessmen~s ar ~he bonds of this ~ssue. The thi~ty-day period prescribed by Sec~ian 10400 o~ the California S~reets and Highways Code for the ~~ling of any such litigation expired on December 18, 198Q. THE BIDDTNG ~9. PRICE. Bidders must speci~y the price at tahich they propose ~o purchase the issue. ~idcle~s a~e reques~ed to specify ~.he price as a percentage of the par value of the issu.e, but bias speci~ying a dol~.ar price wiil be accepted. 20. MINIMUM PRZCE. ~~ds must be for no~t ~.ess than the par value of the issue. A~y bid fo~ less than the par value wi11 bc~ rejected. 21. SPECI~'~CAT~~N OF RATES. Bid3e~s must specify the in~.erest rate whi.ch bonds of each maturity date sha11 bear. Al~. bonds matuzing on the sarne da~e rnust bear the saFne rate of interest, but di~ferent rates o~ interest may be bid for bonds maturing on differen'~ clates. The d~fferenc~ between. ~he highest and lowest ~ates bid may nat exceed two percent (2~). The interest payable on any bond on any in~Eerest payment da~e may be repx~esented by on~.y one coupon. Each i.nterest rate znust be specif~.ed as a mu~.tiple af ~./40 of one per- --6- ~ . ~ ---- _...... _. __ . . . . . . _. _ - _ _ ... ... . _ _ .. ..... . . . ~ ~ . ~ ~ ~ cent (.02~%) per annum. 22, BID CALCULATION. Each bid wi~l be ca~culated on the basis o£ its net inte~est cos~. Net ~nteres~ cos~ is the amount determined by subtractzng the amount of bond premium fram the to~al coupon interest payable on all bonds over the ~ife of the issue, without adjustment for the factox o~ time of paymen~ or accrua~. Tn calcu- la~ing xnterest, the calendar year will be treated as ha~ing 350 days and each calendar month, 30 days. Bidd~rs are r~guested, but not ~equired, to state in th~ir bids the net interes~ cast ar net interest ra~e, or both. This statement w~ll be treated as informational anly and will not a~£ect the calc~~atzon of bids or award of the bands. Award of the bonds, if made, will be ~ade td the bidder of~exing to purchase the bonds at the lowest net interest cost to the issuer. 23. FORM OF BzD. A1~ bids must be uncondit3ona~ and ~or no~ less than all of the bands in this issue. Bids must be enclosed in a sea~ed envelope, addres~ed ta the Caunty Clerk o~ the County of But~e, and marked "Bid for Bonds, Sou~h Oroville A5SES5~~ri~ District." 24. BID CHECK. No bid check is required for this issue. 25. R~GHT OF RE3ECTION. The Board of 5~per~isors of ~he County a~ Butte reserves ~he right at its discretion to reject any and all bids and ~o waive any irr~gularity or info~mality ~n any bid. 26. PROMPT AWARD. The Board of Supervisors of the County of Butte will award the bonds or reject a~l bids no~ late~ than forty-eight (48) hou~s after bids are opened, 27. BOND PR~NTING. The issuer wi~l pay the cost o~ pr~nting the bonds. -7- 28. DELTVERY. Bonds sha~l be delivered on their date or as saon thereaf~er as they are ready for delivery. The purchaser sha~l have the right to cancel tha purchase if the bonds are no~ tendered within sixty (60) days af~er the bid date. The bands wzll be delivered at the office of the County Treasuxer, County a~ Bu~te, 2~ Coun~y C~nter Dri~e, Orovil~e, Ca~~fornia, oz at any othex p~ace mutually agreed on be~ween the Caunty Treasurer and ~he purchaser. Payment fo~ the bonds must be made in funds immedi- a~ely available ta the issuer. Any expense in connection with prov~d- ing immediate~y available ~unds, whether by transfer of Federa~ Reserve Bank funds or othe~wise, shall be paid by the purchaser. 29o PURCHASE BY UNZTED STATES. The County has been advised by the Farmexs Hame Adminis~ration o£ the Uni~ed States Depar~ment of Agri- cu~ture (FmHA} that FmHA wil~ submit an of~e~ to purchase the bonds at par, with the bonds bearing intere5t a~ the ra~e af five pe~cent {5~) per annum. In the event tha~ the bid of ~mHA is tha best bid for the bonds received in accordance w~th ~his Notice o~ Sa~e, the bonds will be awarded ~o FmHA. DATED: Ma~ch 3, 19$1 CLARK A, NELSON, County C~erk, County of Butte, State of Cali~oxnia -8-