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HomeMy WebLinkAboutResolutions - 1984.03.08 - 16863RESOLUTION NO. o6.1 RE: APPROVAL OF NOTICE OF SALE BY: FINANCE COMMITTEE TO: THE OAKLAND COUNTY BOARD OF COMMISSIONERS MR. CHAIRMAN, LADIES AND GENTLEMEN: If a public sale is held, sealed proposals for the purchase of the Notes approved in the 1984 Borrowing Resolution (1983 Delinquent Taxes) shall be received up to such time as shall later be determined by the Treasurer, and notice thereof shall be published in accordance with law, once in at least one of, the Bond Buyer, Michigan Investor, or Detroit Legal News, each of which is a publication printed in the English language and circulated in this State, which carries as a part of its regular service, notices of sale of municipal bonds. The notice (the "Notice of Sale") shall be in substantially the form as that attached to this Resolution as Exhibit A. EXHIBIT A OFFICIAL NOTICE OF SALE COUNTY OF STATE OF MICHIGAN GENERAL OBLIGATION LIMITED TAX NOTES, SERIES 1984 SEALED BIDS: Sealed bids for the purchase of General Obligation Limited Tax Notes, Series 1984, of the County of (the "Countyll), Michigan, of the par value of will be received by the undersigned at the office of the County Treasurer, until Michigan Time, on , 1984, at which time they will be publicly opened and read. IN THE ALTERNATIVE: Sealed bids will also be received on the same date and until the same time by an agent of the undersigned at the office of the Municipal Advisory Council of Michigan, 1158 First National Building, Detroit, Michigan 48226, where they will be publicly opened simultaneously. Bids opened at Detroit, Michigan, will be read first, followed by the alternate location. Bidders may choose either location to present bids and good faith checks, but not both locations. AWARD: The notes will be awarded to the successful bidder at a proceeding conducted by the County Treasurer approximately thirty minutes after all bids have been opened on that date. NOTE DETAILS: The notes will be fully registered notes of the denomination of $5,000 each or any multiple of $1,000 over $5,000, as designated by the purchaser; will bear interest from their date payable on November 1. 1984, and semi-annually thereafter; will be dated March 1, 1984; will be numbered from 1 upward, and will mature serially on May 1 in years and amounts as follows: YEAR AMOUNT 1985 1986 1987 PRIOR REDEMPTION: Notes maturing in 1985 and 1986 shall not be subject to redemption prior to maturity. Notes maturing on May 1, 1987, may be redeemed in whole or in part on any date or dates on or after May 1, 1986, at the option of the County Treasurer at par plus accrued interest to the redemption date. With respect to partial redemptions, any portion of a note outstanding in a denomination larger that the minimum authorized denomination may be redeemed provided such portion as well as the amount not being redeemed constitute authorized denominations. In the event that less than the entire principal amount of a note is called for redemption, upon surrender of the note to the trustee or note registrar, the trustee or note registrar shall authenticate and deliver to the registered owner of the note a new note in the principal amount of the principal portion not redeemed. Notice of redemption shall be sent by first class mail to the registered holder of each note being redeemed at least thirty (30) days prior to the date fixed for redemption. Any defect in any notice shall not affect the validity of the redemption proceedings. Notes so called for redemption shall not bear interest after the date fixed for redemption provided funds are on hand with a paying agent to redeem the same. INTEREST RATE AND BIDDING DETAILS. The notes will bear interest from their date at a rate or rates specified by the successful bidder, not exceeding % per annum, expressed in multiples of 1/8 or 1/20 of 1%, or any combination thereof. Interest on the notes of any maturity shall be at one rate only, and the difference between the highest and lowest rate of interest bid shall not exceed four percent (4%). A discount of not to exceed % may be bid on the notes. NOTE REGISTRAR AND DATE OF RECORD. has been selected as Note Registrar for the notes. The Note Registrar will keep records of the registered holders of the notes, serve as transfer agents for the notes, authenticate the original and any re-issued notes and will pay principal and interest to the registered holders of the notes as shown on the records on the applicable date of record. The date of record shall be October _ with respect to payments made on November 1, and April _ with respect to payments made on May 1. PURPOSE: The notes are issued for the purpose of establishing the 100% Tax Payment Fund of the County for the 1983 tax year and for the purpose of establishing a $ 1984 Note Reserve Fund. PRIMARY SECURITY: The notes are primarily secured by: (1) all of the collections of the 1983 real property taxes due and payable to taxing units in the County, including the County, which were returned delinquent on March 1, 1984, together with all interest thereon; (2) all of the property tax administration fees on such delinquent taxes, once the expenses of borrowing have been paid; and (3) any amounts which are received by the County from the taxing units within the County because of the uncollectability of such delinquent taxes. NOTE RESERVE FUND: In the event the primary security is insufficient to meet the prompt payment of the principal of, premium, if any, and interest on these notes when due, for any reason, the moneys in the 1984 Note Reserve Fund shall be used to make such payment. All moneys in the 1984 Note Reserve Fund shall be used solely for payment of principal and interest on the notes or for the purchase of notes for which the fund was established. Moneys in the 1984 Note Reserve Fund shall be Withdrawn first for payment of principal and interest on notes before other County general funds are used to make the payments. When the 1984 Note Reserve Fund is sufficient to retire the notes and accrued interest thereon, it may be used for purchase of such notes on the market, or, if notes are not available, to retire notes when due. aFNRRAL ORLTGATIQNA1TUOUT UNLIMITED POWER TO TAX. In addition, this note issue is a general obligation of the County, secured by its full faith and credit, which shall include the limited tax obligation of the County, within applicable constitutional and statutory limits, and its general funds. THE COUNTY DOES NOT HAVE THE POWER TO LEVY ANY ADDITIONAL TAXES FOR THE PAYMENT OF THE NOTES IN EXCESS OF ITS CONSTITUTIONAL AND STATUTORY LIMITS. [The following paragraph is optional and will be inserted in the Notice of Sale if the note issue qualifies for insurance.] mnTR ThIgURAINWE: has issued a commitment for municipal bond insurance covering the notes. 701 bids shall be conditioned upon the iccumnr= affartiva AR nf the date on which the notes are issued, c c A nnlirv nf ingniancA by auaranteeina the payment of principal and interest on the notes. Each note will bear a legend referring to the insurance. The purchaser, holder or owner is not authorized to make any statement regarding the insurance beyond those set out here and in the note legend. AWARD OF THE NOTES: For the purpose of awarding the notes, the interest cost of each bid will be computed by determining, at the rate specified therein, the total dollar amount of all interest on the notes from , 1984, to their maturity and deducting therefrom any premium or adding thereto any discount. The notes will be awarded to the bidder whose bid on the above computation produces the lowest interest to the County. No proposal for less than % of par, nor less than all the notes, will be considered. Each bidder, for the convenience of the County, shall state in his bid the net interest cost to the County, computed in the manner above specified. GOOD FAITH: A certified check, cashier's check or bank money order in the amount of 2% of the par value of the notes drawn upon an incorporated bank or trust company and payable to the order of the County Treasurer must accompany each bid as a - 27 - guarantee of good faith on the part of the bidder, to be forfeited as liquidated damages it such bid is accepted and the bidder fails to take up and pay for the notes. No interest will be allowed on good faith deposits. The good faith check of the winning bidder will be promptly cashed, and the amount received therefor will be credited against the purchase price as of the date of delivery. Checks of unsuccessful bidders will be promptly returned to each bidder's representative or returned by registered mail. In the event the notes cannot be issued or delivered for any reason, the County will pay back to the successful bidder the principal amount of the good faith check without interest. LEGAL OPINION: Bids shall be conditioned upon the unqualified approving opinion of Axe & Schwartz, attorneys of Bloomfield Hills, Michigan, approving the legality of the notes, a copy of which will be printed on the reverse side of each note, and the original of the opinion will be delivered without expense to the purchaser of the notes at the delivery thereof. DELIVERY OF NOTES: The County will furnish notes ready for execution at its expense at Detroit, Michigan The usual documents, including a certificate that no litigation is pending, affecting the issuance of the notes, will be delivered at the time of delivery of the notes. If the notes are not tendered for delivery by twelve o'clock noon, Michigan Time, on the 45th day following the date of sale, or the first business day thereafter, if said 45th day is not a business day, the successful bidder may on that day, or any time thereafter until delivery of the notes, withdraw his proposal by serving notice of cancellation on the undersigned, in writing, in which event the County shall promptly return the good faith deposit. Payment for the notes shall be made in Federal Reserve funds. Accrued interest to the date of delivery of the notes shall be paid by the purchaser at the time of delivery. CUSIP NUMBERS: Cusip numbers have been applied for and will be printed on the notes at the expense of the County. The printing of incorrect Cusip numbers or the failure to print the Cusip numbers on the notes shall not constitute cause for the purchaser to refuse delivery of the notes. ADDITIONAL INFORMATION: Further information may be obtained from the County Treasurer at the address specified above or from John R. Axe, Brad S. Rutledge or Donald G. Folk at Municipal Financial Consultants Incorporated, 300 E. Long Lake Road, Suite 300, Bloomfield Hills, Michigan 48013, telephone number (313) 540-0567. THE RIGHT IS RESERVED TO REJECT ANY OR ALL BIDS. • - v ENVELOPES: Envelopes containing the bids should be plainly marked "Proposal for General Obligation Limited Tax Notes." County Treasurer APPROVED: STATE OF MICHIGAN MUNICIPAL FINANCE COMMISSION #84061 March 8, 1984 Moved by Caddell supported by Perinoff that Resolution #84061 be adopted. AYES: Pcrnick, Price, Wilcox, Aaron, Caddell, Calandro, Doyon, Foley, Fortino, Hobart, Jackson, R. Kuhn, S. Kuhn, Lanni, Law, McPherson, Moore, Nelson, Olsen, Perinoff. (20) NAYS: None. (0) A sufficient majority having voted therefor, Resolution #84061 was adopted. STATE OF MICHiGA) COUNTY OP OAKLAND) I, Lynn D. Allen, Clerk of the County of Oakland and having a seal, do hereby certify that 1 have compared the annexed copy of Miscellaneous Resolution adopted by the Oakland County Board of Commissioners at their meetinc.held on March 8, 1984 with the orinial record thereof how remaining in my office, and that it is a true and correct transcript therefrom, and of the whole thereof. Ii' Testimony Whereof, 1 have hereunto set my hand and a f fixed thc seal of said County at Pontiac, Michigan 8th day of / ) Marcb 19 84 LYJUL ALL!; County Clerk/Register of Deeds this AYES: Pernick, Price, Wilcox, Aaron, Caddell rO.iovon.Foie a Ian d 01:3 Ic P_he * 11* Thereafter it was moved by Dr. Caddell and seconded by Mr. Perinoff that all of the attached Miscellaneous Resolutions No. 84059 , 84060 and 34061 be adopted. Discussion followed. Fort ino, Hobart, Jackon, R. Kuhn S. Kuhn Nelson, Olsen, Perinoff. . (20) NAYS: None. (9) ABSENT:Reir,old, Geary, Gosl inch McConnell, McDonald, Moffitt. Page, (1) A sufficient majority having voted therefor, the three resolutions appearing above were adopted. STATE OF MICHIGAN ) 55. COUNTY OF OAKLAND 1, Lynn D. Allen, Clerk of the County of Oakland and having a seal, do hereby certify that I have compared the annexed copy of Miscellaneous Resolutions No. 84059 . 34060 and 34061 adopted by the Oakland County Board of Commissioners at their meeting held on March 8 . 1984, with the original record thereof now remaining in my office, and that it is a true and correct transcript therefrom, and of the whole thereof. In testimony whereof. I have hereunto set my hand and affixed the seal of said County at Pontiac. Michigan this 90 day of March , 1984. Lynn D. Allen. County Clerk