HomeMy WebLinkAboutResolution - 121373C - Proposition For Certificates Pf Obligation12/13/1973 - 12/13/1973December.13, 1973
/Z/575C
To the Honorable Mayor and City Council
City of Lubbock
Lubbock, Texas
Gentlemen:
We understand that you contemplate the authorization and issuance of
legally issued Certificates of Obligation in, payment of a portion of
the cost of constructing a civic center for the City of Lubbock. Such
Certificates of Obligation would be delivered to a Contractor based on
construction estimates authorized by your architect and approved by
you, and could be retained by him or assigned to others, such election
to be made by him at the time his proposal is made to the City.
In connection with these Certificates of Obligation, we propose as
follows:
1. We will assist you in the authorization and legal issuance of the
Certificates of Obligation with the legal proceedings throughout the
entire program to be prepared and directed by Dumas, Huguenin, Boothman and Morrow, Bond Attorneys, Dallas, Texas, whom the City will employ.
Dumas, Huguenin, Boothman and Morrow will be directed' to look to us
for payment of their fees and charges on this matter in every respect.
When the Certificates of Obligation have been issued and the project
has been fully completed with full payment to the Contractor having
been made by Certificates and cash, Dumas, Huguenin, Boothman and
Morrow will issue_ their final unqualified approving opinion on the
Certificates of Obligation for the benefit of the Contractor, or,
if the Contractor elected to assign the Certificates of Obligation,
the assignee referred to above..
2. We will attend to and pay for the printing of the Certificates of.
Obligation.
3.- We agree to direct and coordinate the entire program of financing,
contemplated through the issuance of Certificates of Obligation and
to assume and pay the expenses above enumerated. We will also pay
any travel and communication expenses incurred by us in connection
with this program. It is.specifically understood and agreed, however,
that this obligation on our part shall not cover the cost of publics
tion of notices in newspapers or other publications or the expenses
of any litigation
4. As consideration for the services rendered by us and as reim-
bursement for the expenses which we are to incur, it is understood and
-agreed that the City is to pay and we are to accept a cash fee to be
computed as follows
the recommended minimum fee of the Municipal
Advisory Council of Texas on general obliga-
tion bonds as of April 1, 1970, based on the
final"amount of Certificates of Obligation
issued plus an amount equal to additional
legal fees charged by Dumas, Huguenin, Boothman
and Morrow over and above their usual and regular
charge for general obligation bonds..
This fee will be due and payable when:
(1) Dumas, Huguenin, Boothman aid Morrow
issue their unqualific� approving opinion
on the Certificates of Obligation; or
- 2 -
(2) the Certificates of Obligation are
refunded into bonds,
whichever first occurs,
5. If for any reason the program contemplated under this plan of financing
should not materialize so that no Certificates of Obligation are issued
and delivered to a Contractor, the City would owe us nothing.
6. This agreement shall be terminated by the final issuance and delivery
of the Certificates of Obligation to.the Contractor, their assignment to
the purchaser, if the Contractor has elected to do so, and the issuance
by Dumas, Huguenin, Boothman and Morrow of their final unqualified
approving opinion upon final completion of the project; or by the refunding
of the Certificates into bonds in advance of project completion; or by the
lapse of 36 months from date of your acceptance hereof during which period
no delivery of Certificates of Obligation to a Contractor was made under
this agreement; however, if the Certificates of Obligation have not been
so delivered within the period specified, this agreement -may be extended
by mutual consent,
7. This proposal is submitted in duplicate originals. Your acceptance
will.be indicated by the signature of your Mayor, attested by your City
Secretary, on both copies and returning one executed copy to us.
Respectfully submitted,
First Southwest ompany
oe W. Smith T
ACCEPTANCE
ACCEPTED pursuant to a motion adopted by the City Council, City of
Lubbock, Texas, on this the 13th day of December ,
1973 _.
Mayor, City of Lubbock, Texas
ATTEST:
L1 ��
City Secretary, City of Lubbock, Texas