HomeMy WebLinkAboutResolution - 2386 - Award Tax And Sewer Subordinate Lien Revenue Certificates Of Obligation - 07_31_1986Resolution #2386
A RESOLUTION by the City Council of the City of
Lubbock, Texas, awarding the sale of
$4,200,000 "City of Lubbock, Texas,
Combination Tax and Sewer System Subordinate
Lien Revenue Certificates of Obligation,
Series 1986"; declaring the interest rates
to be borne by said Certificates.
WHEREAS, pursuant to an ordinance passed and adopted on
July 25, 1986, the City Council authorized the issuance of
$4,200,000 "City of Lubbock, Texas, Combination Tax and Sewer
System Subordinate Lien Revenue Certificates of Obligation,
Series 1986" dated July 15, 1986; and
WHEREAS, a proposal for the purchase of said certificates
has been submitted to the Council by Dean Witter Reynolds, Inc-.,' and
WHEREAS, the City Council hereby finds and determines that
such proposal for the purchase of the Certificates by such
purchaser(s) should be accepted; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF LUBBOCK, TEXAS:
Section 1: That the proposal of Dean Witten Reynolds, Inc.
for the purchase of $4,200,000 "City of Lubbock, Texas,
Combination Tax and Sewer System Subordinate Lien Revenue
Certificates of Obligation, Series 1986" is hereby accepted and
said Certificates are hereby sold to said purchaser(s) at the
price of 100.005 % of par plus accrued interest to the date of
delivery of such certificates. Delivery of said certificates
shall be made to said purchaser(s) as soon as may be after the
adoption of this resolution upon payment therefor in accordance
with the terms of sale.
Section 2: That the Certificates of said series shall
bear interest at the following rates per annum, to wit:
Year of
Principal
Interest
Maturity
Amount
Rate
1987
$725,000
4.75 as-
1988
$775, 000
7.75 %
1989
$850, 000
5.70 %
1990
$900, 000
6.00 %
1991
$950, 000
6.20 %
Section 3: This resolution shall be in force and
effect from and after its passage on the date shown below.
PASSED AND ADOPTED, this 31st day of July, 1986
CITY OF LUBBOCK, TEXAS
ATTEST:
City cretary
(City Seal)
Mayor
-2-
1 2 4 5 D
OFFICIAL BID FORM
Honorable Mayor and City Council
City of Lubbock
Lubbock, Texas
Mayor and Members of the City Council:
July 31, 1986
Reference is made to your Official Statement and Notice of Sale and Bidding Instructions, dated July 10,
1986, of $4,200,000 CITY OF LUBBOCK, TEXAS COMBINATION TAX AND SEWER SYSTEM SUB-
ORDINATE LIEN REVENUE CERTIFICATES OF OBLIGATION, SERIES 1986, both of which constitute a
part hereof.
For your legally issued Certificates as described in said Notice of Sale and Bidding Instructions and
Official Statement, we will�_,ppay, yyou feear and accrued interest from date of issue to date of delivery to us,
plus a cash premium of $ ZOW, bb for Certificates maturing and bearing interest as follows:
Interest
Maturity Rate
2-15-1987 �/%
2-15-1998 % 7y %
2-15-1989 1, %0 %
2-15-1990 �� %
2-15-1991 �jO�Q %
Our calculation (which is not a part of this bid) of the interest cost from the above is:
Total Interest Cost $ -%O✓? 000
Less Premium
NET INTEREST COST
EFFECTIVE INTEREST RATE �O. ��%%
We are having the Certificates insured by
The Initial Certificate shall be registered in the name of Dean Witter Reynolds, Inc.
(syndicate account manager). We will advise Mrs. Jeanelle Ward, Senior Vice President, Corporate Trust
Division, Texas Commerce Bank, N.A., P.O. Box 841, Lubbock, Texas 79408 (806 763-3471, ext. 210), the
Paying Agent/Registrar, our registration instructions at least five business days prior to the date set for
Initial Delivery.
Check of the First CityNatl Bank, Austin Texas , in the
amount of 84,000.00, which represents our Good Faith Deposit is attached hereto or has been made
available to you prior to the opening of this bid), and is submitted in accordance with the terms as set
forth in the Official Statement and Notice of Sale and Bidding Instructions.
We agree to accept delivery of and make payment for the Initial Certificates in immediately available
funds in the Corporate Trust Division, Texas Commerce Bank, N.A., Lubbock, Texas, not later than 10:00,
CDT, on August 19, 1986, or thereafter on the date the Initial Certificate is tendered for delivery.
Respectfully submitted,
Dean Witter Reynolds, Tne_
By Ste he J. YoUW Vice esident
Authorized RepIrtsentative
ACCEPTANCE CLAUSE
The above and foregoing bid is hereby in all things accepted by the City of Lubbock, Texas, this the 31st
day of July, 1986.
C'
ATTEST: Q n Mayor
City Secretary U*
Return of Good Faith Deposit is hereby acknowledged:
By