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HomeMy WebLinkAbout16-95 RESOLUTION NO. 16 -9 5 A RESOLUTION of the City Council of the City of Port Angeles, Washington, accepting a bid for the sale of its Electric Revenue Bonds, Series 1995; authorizing the interest rates and other terms of such bonds; and authorizing the provision of municipal bond insurance with respect to such bonds, all as provided by Ordinance No. 2877 of the City. WHEREAS, in accordance with Ordinance No. 2709, passed on September 1, 1992 (the "Ordinance"), the City of Port Angeles, Washington (the "City") has authorized issuance of a series of Additional Bonds (as such term is defined in the Ordinance) to be designated as the City of Port Angeles, Washington, Electric Revenue Bonds, Series 1995, in the principal amount of $2,760,000 (the "1995 Bonds"), all as provided in Ordinance No. 2877 of the City, passed on August 1, 1995 (the "Supplemental Ordinance"); and WHEREAS, the Supplemental Ordinance provides that the 1995 Bonds shall be sold by public sale and that the City Council of the City (the "Council") shall by resolution accept a bid and establish certain terms of the 1995 Bonds on the date of such public sale; and WHEREAS, the City has distributed a preliminary official statement and notice of sale with respect to the 1995 Bonds and has conducted the public sale in accordance therewith; and WHEREAS, the Council wishes to accept the bid for the 1995 Bonds that it has received from Piper Jaffray Inc. (the "Purchaser") and to establish certain terms of the 1995 Bonds consistent with such bid, as provided herein; and WHEREAS, as authorized by Section 15 of the Supplemental Ordinance, the City Council wishes to provide for the purchase of Qualified Insurance with respect to the 1995 Bonds (the "Bond Insurance Policy") from Financial Guaranty Insurance Company, a New York stock insurance company (the "Bond Insurer") under terms and conditions set forth herein and in the commitment of the Bond Insurer approved herein; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Port Angeles, Washington, as follows: Section 1. Acceptance of Bid and Approval of Bond Terms. The bid of the Purchaser for the 1995 Bonds, attached as Exhibit A hereto and incorporated herein by this reference, is hereby in all respects accepted and approved, and the 1995 Bonds shall be issued and sold to the Purchaser in accordance with the terms of such bid, the Bond Ordinance and this resolution. The 1995 Bonds shall mature on September 1 in the years and amounts and bear interest at the rates set forth below. Maturity Year Principal Interest (September 1) Amount Rate 1996 $ 35 000 5.40% 1997 35 000 5.40 1998 40 000 5.40 1999 40 000 5.40 2000 45 000 5.40 2001 45 000 5.40 2002 50 000 5.40 2003 50,000 5.40 2004 55,000 5.40 2005 60,000 5.40 2006 60,000 5.40 2007 65,000 5.50 2008 70,000 5.65 2009 75,000 5.70 2010 80,000 5.80 2011 85,000 5.90 2012 90,000 6.00 2017 530,000 6.10 2025 1,250,000 6.15 Section2. Mandatory_ Redemption Provisions. The 1995 Bonds maturing on September 1 in the years 2017 and 2025 are hereby designated as Term Bonds. If not redeemed pursuant to the optional redemption provisions set forth in Section 7(a) of the Supplemental Ordinance, the Term Bonds maturing in 2017 and 2025 shall be redeemed prior to maturity by lot (or paid at maturity), on September 1 of the years and in the principal amounts as set forth below, upon written notice as provided in Section 7(d) of the Supplemental Ordinance, by payment of the principal amount thereof, together with the interest accrued thereon to the date fixed for redemption. 2017 Term Bonds Year Amount 2013 $ 95,000 2014 100,000 2015 105,000 2016 110,000 2017' 120,000 Maturity* - 2 - DOTOD1 DOC 95/08/15 2025 Term Bonds -' Year Amount 2018 $125,000 2019 135,000 2020 140,000 2021 150,000 2022 160,000 2023 170,000 2024 180,000 2025* 190,000 * Maturity Section 3. Execution and Delivery of the 1995 Bonds. The proper officials of the City are hereby authorized and directed to do all things necessary or proper for the printing and execution of the 1995 Bonds and their delivery to the Purchaser in accordance with the terms of the Ordinance, the Supplemental Ordinance and this resolution. Section 4. Authorization of Bond Insurance. In accordance with Section 15 of the Supplemental Ordinance, the Finance Director of the City has obtained a written commitment from the Bond Insurer that when the 1995 Bonds are delivered to the Purchaser the Bond Insurer will deliver a municipal bond new issue insurance policy that guarantees payment of principal of and interest on the 1995 Bonds (the "Bond Insurance Policy"). Section 5. Bond Insurance Provisions. So long as the 1995 Bonds are outstanding and the Bond Insurance Policy is in full force and effect, the following provisions shall apply: A. The Bond Insurer shall be provided with the following information: i. Within 180 days after the end of each Fiscal Year, the budget for the new year, annual audited financial statements, a statement of the amount on deposit in the Reserve Account as of the last valuation, and, if not presented in the audited financial statements, a statement of the revenues pledged to payment of 1995 Bonds in each such Fiscal Year; ii. Official statement or other disclosure, if any, prepared in connection with the issuance of additional debt of the Electric System, whether or not it is on parity with the 1995 Bonds, within 30 days after the sale thereof, iii. Notice of any draw upon or deficiency due to market fluctuation in the amount, if any, on deposit in the Reserve Account; - 3 - DOTOD1.DOC 95/08/15 iv. Notice of the redemption, other than mandatory sinking fund redemption, of any of the 1995 Bonds, or of any advance refunding of the 1995 Bonds, including the principal amount, maturities and CUSIP numbers thereof; v. Simultaneously with the delivery of the annual audited financial statements: a. The number of Electric System users as of the end of the Fiscal Year; b. Notification of the withdrawal of any Electric System user comprising 5% or more of Electric System sales measured in terms of revenue dollars since the last reporting date; c. Current average price per kilowatt hour for residential, commercial and industrial users of the Electric System; d. Peak and average daily usage for the fiscal year; e. Updated capital plans for expansion and improvement projects; f. Results of annual engineering inspections of the Electric System, if any, occurring during the fiscal year; g. Any significant plant retirements or expansions of the Electric System planned or undertaken since the last reporting date; and vi. Such additional information as the Bond Insurer may reasonably request from time to time. B. Under the Ordinance, the City may satisfy the requirements set forth in Section 7.2.C of the Ordinance to deposit a specified amount in the Reserve Account (the "Reserve Requirement") by the deposit of Qualified Insurance or a Qualified Letter of Credit as set forth therein. In the event that the Reserve Requirement is fulfilled by a deposit of a credit instrument (other than a credit instrument issued by the Bond Insurer) in lieu of cash, the following requirements shall also apply: i. A surety bond or insurance policy issued to the entity serving as bond registrar or paying agent (the "Fiduciary"), as agent of the 1995 Bondholders, by a company licensed to issue an insurance policy guaranteeing the timely payment of debt service on the 1995 Bonds (a "municipal bond insurer") may be deposited in the Reserve Account to meet the Reserve Requirement if the claims paying ability of the issuer thereof shall be rated "AAA" or "Aaa" by S&P or Moody's, respectively. -4 - DOTOD 1. DOC 95108115 ii. A surety bond or insurance policy issued to the Fiduciary, as agent of the 1995 Bondholders, by an entity other than a municipal bond insurer may be deposited in the Reserve Account to meet the Reserve Requirement if the form and substance of such instrument and the issuer thereof shall be approved by the Bond Insurer. iii. An unconditional irrevocable letter of letter issued to the Fiduciary, as agent of the 1995 Bondholders, by a bank may be deposited in the Reserve Account to meet the Reserve Requirement if the issuer thereof is rated at least "AA" by S&P. The letter of credit shall be payable in one or more draws upon presentation by the beneficiary of a sight draft accompanied by its certificate that it then holds insufficient funds to make a required payment of principal or interest on the bonds. The draws shall be payable within two days of presentation of the sight dram. The letter of credit shall be for a term of not less than three years. The issuer of the letter of credit shall be required to noti~ the City and the Fiduciary, not later than 30 months prior to the stated expiration date of the letter of credit, as to whether such expiration date shall be extended, and if so, shall indicate the new expiration date. If such notice indicates that the expiration date shall not be extended, the City shall deposit in the Reserve Account an amount sufficient to cause the cash or permitted investments on deposit in the Reserve Account together with any other qualifying credit instruments, to equal the Reserve Requirement on all outstanding 1995 Bonds, such deposit to be paid in equal installments on at least a semi-annual basis over the remaining term of the letter of credit, unless the Reserve Account credit instrument is replaced by a Reserve Account credit instrument meeting the requirements in any of paragraphs i-iii above. The letter of credit shall permit a draw in full not less than two weeks prior to the expiration or termination of such letter of credit if the letter of credit has not been replaced or renewed. The Fiduciary shall draw upon the letter of credit prior to its expiration or termination unless an acceptable replacement is in place or the Reserve Account is fully funded in its required amount. iv. The use of any Reserve Account credit instrument pursuant to this paragraph shall be subject to receipt of an opinion of counsel acceptable to the Bond Insurer and in form and substance satisfactory to the Bond Insurer as to the due authorization, execution, delivery al~d enforceability of such instrument in accordance with its terms, subject to applicable laws affecting creditors' rights generally, and in the event the issuer of such credit instrument is not a domestic entity, an opinion of foreign counsel in form and substance satisfactory to the Bond Insurer. In addition, the use of an irrevocable letter of credit shall be subject to receipt of an opinion of counsel acceptable to the Bond Insurer and in form and substance - 5 - DOTOD1. DOC 95/08115 satisfactory to the Bond Insurer to the effect that payments under such letter of credit would not constitute avoidable preferences under Section 547 of the U.S. Bankruptcy Code or similar state laws with avoidable preference provisions in the event of the filing of a petition for relief under the U.S. Bankruptcy Code or similar state laws by or against the City (or any other account party under the letter of credit). v. The obligation to reimburse the issuer of a Reserve Account credit instrument for any fees, expenses, claims or draws upon such Reserve Account credit instrument shall be subordinate to the payment of debt service on the 1995 Bonds. The right of the issuer of a Reserve Account credit instrument to payment or reimbursement of its fees and expenses shall be subordinated to cash replenishment of the Reserve Account, and, subject to the second succeeding sentence, its right to reimbursement for claims or draws shall be on a parity with the cash replenishment of the Reserve Account. The Reserve Account credit instrument shall provide for a revolving feature under which the amount available thereunder will be replenished to the extent of any reimbursement of draws of claims paid. If the revolving feature is suspended or terminated for any reason, the right of the issuer of the Reserve Account credit instrument to reimbursement will be further subordinated to cash replenishment of the Reserve Account to an amount equal to the difference between the full original amount available under the Reserve Account credit instrument and the amount then available for further draws or claims. If (a) the issuer of a Reserve Account credit instrument becomes insolvent, or (b) the issuer of a Reserve Account credit instrument defaults in its payment obligations thereunder, or (c) the claims- paying ability of the issuer of the insurance policy or surety bond falls below a S&P "AAA" or a Moody's "Aaa," or (d) the rating of the issuer of the letter of credit falls below a S&P "AA", the obligation to reimburse the issuer of the Reserve Account credit instrument shall be subordinate to the cash replenishment of the Reserve Account. vi. If (a)the revolving reinstatement feature described in the preceding paragraph is suspended or terminated, or (b) the rating of the claims-paying ability of the issuer of the surety bond or insurance policy falls below a S&P "AAA or a Moody's "Aaa," or (c) the rating of the issue of the letter of credit falls below a S&P "AA," the City shall either (i)deposit in the Reserve Account an amount sufficient to cause the cash or permitted investments on deposit in the Reserve Account to equal the Reserve Requirement on all outstanding 1995 Bonds, such amount to be paid over the ensuing five years in equal installments deposited at least semi-annually or (ii) replace such instrument with a surety bond, insurance policy or letter of credit meeting the requirements in any of paragraphs i-iii above within six months of such occurrence. In the event (a)the rating of the claims- paying ability of the issuer of the surety bond or insurance policy falls -6- DOTOD1.DOC 95108/15 below "A," or (b)the rating of the issuer of the letter of credit falls below "A," or (c) the issuer of the Reserve Account credit instrument defaults in its payment obligations, or (d)the issuer of the Reserve Account credit instrument becomes insolvent, the City shall either (i)deposit into the Reserve Account an amount sufficient to cause the cash or permitted investments on deposit in the Reserve Account to equal the Reserve Requirement on all outstanding Bonds, such amount to be paid over the ensuing year in equal installments on at least a monthly basis or (ii) replace such instrument with a surety bond, insurance policy or letter of credit meeting the requirements in any of paragraphs i-iii above within six months of such occurrence. vii. Where applicable, the amount available for draws or claims under the Reserve Account credit instrument may be reduced by the amount of cash or permitted investments deposited in the Reserve Account pursuant to clause (i) of the preceding paragraph vi. viii. If the City chooses the above described alternatives to a cash-funded Reserve Account, any amounts owed by the City to the issuer of such credit instrument as a result of a draw thereon or a claim thereunder, as appropriate, shall be included in any calculation of debt service requirements required to be made pursuant to the Ordinance for any purpose, e.g., rate covenant or Additional Bonds test. ix. The Fiduciary shall ascertain the necessity for a claim or draw upon the Reserve Account credit instrument and provide notice to the issuer of the Reserve Account credit instrument in accordance with its terms not later than three days (or such longer period as may be necessary depending on the permitted time period for honoring a draw under the Reserve Account credit instrument) prior to each interest payment date. x. Cash on deposit in the Reserve Account shall be used (or investments purchased with such cash shall be liquidated and the proceeds applied as required) prior to any drawing on any Reserve Account credit instrument. If and to the extent that more than one Reserve Account credit instrument is deposited in the Reserve Account, drawings thereunder and repayments of costs associated therewith shall be made on a pro rata basis, calculated by reference to the maximum amounts available thereunder. C. Notice of any redemption of 1995 Bonds shall either (i) explicitly state that the proposed redemption is conditioned on there being on deposit in the applicable fund or account on the redemption date sufficient money to pay the full redemption price of the 1995 Bonds to be redeemed or (ii) be sent only if sufficient money to pay the full redemption price of the 1995 Bonds to be redeemed is on deposit in the applicable fund or account. -7- DOTOD1.DOC 95/08/15 - D. In determining whether an Event of Default under Section 11.1(2) with respect to the 1995 Bonds has occurred or whether a payment on the 1995 Bonds has been made, no effect shall given to payments made under the Bond Insurance Policy. E. The City shall give the Bond Insurer immediate notice of the occurrence of any Events of Default as described in Section 11.1(1)-(4) of the Ordinance and, within 30 days of the City's knowledge thereof, shall give the Bond Insurer notice of the occurrence of any Events of Default as described in Section 11.1(5)-(8) of the Ordinance. F. For all purposes of the Ordinance and the Supplemental Ordinance governing Events of Default and remedies, except the giving of notice of such Events of Default to 1995 Bondholders, the Bond Insurer shall be deemed to be the sole holder of the 1995 Bonds so long as it has not failed to comply with its payment obligations under the Bond Insurance Policy. G. The Bond Insurer shall be included as a party in interest and as a party entitled to (1) notify the City, the Bondowners' Trustee, if any, appointed in accordance with Section 11.3 of the Ordinance, or any applicable receiver of the occurrence of an Event of Default and (2)request any such Bondowners' Trustee or receiver to intervene in judicial proceedings that affect the 1995 Bonds or the security therefor. The Bondowners' Trustee or receiver shall be required to accept notice of default from the Bond Insurer. H. Any amendment or supplement to the Bond Ordinance and all other principal financing documents, with the exception of that relating to the issuance of Additional Bonds, shall be subject to the prior written consent of the Bond Insurer. Any rating agency rating the 1995 Bonds must receive notice of each amendment and a copy thereof at least 15 days in advance of its execution or adoption. The Bond Insurer shall be provided with a full transcript of all proceedings relating to the execution of any such amendment or supplement. I. Only cash, direct noncallable obligations of the United States of America and securities fully and unconditionally guaranteed as to the timely payment of principal and interest by the United States of America, to which direct obligation or guarantee the full faith and credit of the United States of America has been pledged, Refcorp interest strips, CATS, TIGRS, STP, PS, or defeased municipal bonds rated AAA by S&P or Aaa by Moody's (or any combination thereof) shall be used to effect defeasance of the 1995 Bonds unless the Bond Insurer otherwise approves. In the event of an advance refunding of the 1995 Bonds, the City shall cause to be delivered a verification report of an independent nationally recognized certified public accountant. If a forward supply contract is employed in connection with the refunding of the 1995 Bonds, (i) such verification report shall expressly state that the adequacy of the escrow to accomplish the refunding relies solely on - 8 - DOTOD 1. DOC 95/08115 the initial escrowed investments and the maturing principal thereof and interest income thereon and does not assume performance under or compliance with the forward supply contract, and (ii)the applicable escrow agreement shall provide that in the event of any discrepancy or difference between the terms of the forward supply contract and the escrow agreement and authorizing ordinance, the terms of the escrow agreement and authorizing ordinance shall be controlling. J. The following payment provisions shall apply: i. If, on the third day preceding any interest payment date for the 1995 Bonds, there is not on deposit with the Bond Registrar sufficient money available to pay all principal of and interest on the 1995 Bonds due on such date, the Bond Registrar shall immediately notify the Bond Insurer and State Street Bank and Trust Company, N.A., New York, New York or its successor as the Bond Insurer's Fiscal Agent (the "Fiscal Agent") of the amount of such deficiency. If, by said interest payment date, the City has not provided the amount of such deficiency, the Bond Registrar shall simultaneously make available to the Bond Insurer and to the Fiscal Agent the registration books for the 1995 Bonds maintained by the Bond Registrar. In addition: a. The Bond Registrar shall provide the Bond Insurer with a list of the 1995 Bondholders entitled to receive principal or interest payments from the Bond Insurer under the terms of the Bond Insurance Policy and shall make arrangements for the Bond Insurer and its Fiscal Agent (1)to mail checks or drafts to 1995 Bondholders entitled to receive full or partial interest payments from the Bond Insurer and (2) to pay principal of the 1995 Bonds surrendered to the Fiscal Agent by the 1995 Bondholders entitled to receive full or partial principal payments from the Bond Insurer; and b. The Bond Registrar shall, at the time it makes the registration books available to the Bond Insurer pursuant to subparagraph (a) above, notify 1995 Bondholders entitled to receive the payment of principal of or interest on the 1995 Bonds from the Bond Insurer (1) as to the fact of such entitlement, (2) that the Bond Insurer will remit to them all or part of the interest payments coming due subject to the terms of the Bond Insurance Policy, (3) that, except as provided in paragraph (ii) below, in the event that any 1995 Bondholder is entitled to receive full payment of principal from the Bond Insurer, such 1995 Bondholder must tender his 1995 Bond with the instrument of transfer in the form provided on the 1995 Bond executed in the name of the Bond Insurer, and (4) that, except as provided in paragraph (ii) below, in the event that such 1995 Bondholder is entitled to receive partial payment of principal - 9 - DOTOD 1. DOC 95/08/15 from the Bond Insurer, such 1995 Bondholder must tender his 1995 Bond for payment first to the Bond Registrar, which shall note on such 1995Bond the portion of principal paid by the Bond Registrar, and then, with an acceptable form of assignment executed in the name of the Bond Insurer, to the Fiscal Agent, which will then pay the unpaid portion of principal to the 1995 Bondholder subject to the terms of the Bond Insurance Policy. ii. In the event that the Bond Registrar has notice that any payment of principal of or interest on a 1995 Bond has been recovered from a 1995 Bondholder pursuant to the United States Bankruptcy Code by a trustee in bankruptcy in accordance with the final, nonappealable order of a court having competent jurisdiction, the Bond Registrar shall, at the time it provides notice to the Bond Insurer, noti~ all 1995 Bondholders that in the event that any 1995 Bondholder's payment is so recovered, such 1995 Bondholder will be entitled to payment from the Bond Insurer to the extent of such recovery, and the Bond Registrar shall furnish to the Bond Insurer its records evidencing the payments of principal of an interest on the 1995Bonds which have been made by the Bond Registrar and subsequently recovered from 1995 Bondholders, and the dates on which such payments were made. iii. The Bond Insurer shall, to the extent it makes payment of principal of or interest on the 1995 Bonds, become subrogated to the rights of the recipients of such payments in accordance with the terms of the Bond Insurance Policy and, to evidence such subrogation, (1)in the case of subrogation as to claims for past due interest, the Bond Registrar shall note the Bond Insurer's rights as subrogee on the registration books maintained by the Bond Registrar upon receipt from the Bond Insurer of proof of the payment of interest thereon to the 1995 Bondholders of such 1995 Bonds and (2) in the case of subrogation as to claims for past due principal, the Bond Registrar shall note the Bond Insurer's rights as subrogee on the registration books for the 1995 Bonds maintained by the Bond Registrar upon receipt of proof of the payment of principal thereof to the 1995 Bondholders of such 1995 Bonds. Notwithstanding anything in this resolution or the 1995 Bonds to the contrary, the Bond Registrar shall make payment of such past due interest and past due principal directly to the Bond Insurer to the extent that the Bond Insurer is a subrogee with respect thereto. K. Additional Bonds issued with variable interest rates in accordance with the Ordinance shall for all purposes be assumed to bear interest at the highest of: (i) the actual rate on the date of calculation, or if such Additional Bonds are not yet outstanding, the initial rate (if established and binding), (ii) if such Additional Bonds have been outstanding for at least twelve months, the average rate over the - 1 0 - DOTOD1. DOC 95/08/15 twelve months immediately preceding the date of calculation, and (iii)(1) if interest on such Additional Bonds is excludable from gross income under the applicable provisions of the Internal Revenue Code, the most recently published Bond Buyer 25 Bond Revenue Index (or comparable index if no longer published) plus fifty (50) basis points, or (2)if interest is not so excludable, the interest rate on direct U.S. Treasury Obligations with comparable maturities plus fifty (50) basis points; provided, however, that for purposes of any rate covenant measuring actual debt service coverage during a test period, variable rate indebtedness shall be deemed to bear interest at the actual rate per annum applicable during the test period. L. The notice addresses for the Bond Insurer and the Fiscal Agent shall be included: Financial Guaranty Insurance Company 115 Broadway New York, New York 10006 Attention: General Counsel State Street Bank and Trust Company, N.A. 61 Broadway New York, New York 10006 Attention: Corporate Trust Department Section 6. Ratification of Past Acts and Authorization of Future Acts. All actions and proceedings heretofore taken by the officers, agents, attorneys and employees of the City in connection with the issuance of the 1995 Bonds are hereby ratified, approved and confirmed. The Council further authorizes and directs all proper officers, agents, attorneys and employees of the City to carry out or cause to be carried out all 1995 Bonds of the City under the Bond Ordinance and this resolution and to perform such other acts as they shall consider necessary or advisable in connection with the printing, execution, and delivery of the 1995 Bonds. Section 7. Severability. If any one or more of the covenants and agreements provided in this resolution to be performed on the part of the City shall be declared by any court of competent jurisdiction to be contrary to law, then such covenant or covenants, agreement or agreements, shall be null and void and shall be deemed separable from the remaining covenants and agreements in this resolution and shall in no way affect the validity of the other provisions of this resolution or of any 1995 Bonds. - 1 1- DOTOD1.DOC 95/08/15 Section 8. Effective Date. This resolution shall take effect immediately upon its adoption. ADOPTED by the City Council of the City of Port Angeles, Washington, at a regular meeting thereof this 15th day of August, 1995. CITY OF PORT ANGELES, WASHINGTON Mayor ATTEST: - 1 2- DOTOD1.DOC 95/08/15 EXHIBIT A OFFICIAL BID FORM FOR THE PURCHASE OF $2,760,000 CHoY OF PORT ANGELES, WASHINGTON ELECTRIC REVENUE BONDS, SERIES 1995 Ms. Katherine Godbey Finance Director City of Port Angeles c/o Preston Gates & Ellis 701 Fifth Avenue (Floor 50) Seattle, Washington For Two Million Seven Hundred Sixty Thousand Dollars ($2,760,000) par value Electric Revenue Bonds, Series 1995 (the "1995 Bonds"), of thc City of Port Angeles, Washington, dated August 15, 1995, described in the attached Official Notice of Bond Sale, which is hereby made a part of this bid, and for all but not less than all of the 1995 Bonds, with interest rates per annum on the 1995 Bonds matmqmg on September 1 in the years and amounts set forth in this Official Bid Form as indicated below: Principal Interest Serial Mandatory Princilml Interest ~erlal Mandatory Year Amount Rate Matm'ity Redemption Year Amount Rat~ Maturity Redemption 1996 35,000 ..y?/-r.t / < 2011 85,000 1998 40,000 ~,~;_5 ~, 2013 95,000 1999 40,000 '~ 2014 100,000 2oo0 ,,ooo 2oi, 1o,,ooo 2OO ~ 45,OOO 2O 16 1 X 0,000 2002 50,000 -.~ '.' ~o · "~ 2017 120,000 .-~ 2003 50,000 ~.----~a/ ~% 201g 125,000 ' 2004 55.000 ~ "tx 2019 135,000 2005 60.000 , X 2o2o 140.000 2006 60.000 . ~. 202~ 1~0.000 2007 6~.000 _c~.~,~ ~, 2o22 160.000 2008 70.000 ~,0/ ~ 2023 170,000 2009 75,000 2024 180,000 2010 80,000 . . 2025 190,000 We ~er~t.~,P~Y the sgm °f Dollars ($ / / ~:~.~. Oz.> ) together with accrued interest, if any, to the date of delivery. The mandatory redemptions checked above, if any, shall be applied to Term Bonds maturing September 1, of the following ye (s) in the follo ng pdnci amora(s) interm as follows: $ ..~ 50 ~)OO Term Bonds maturing on September 1, ~O/~ at ·~. t'~_ o/o~>er annum. $ /,~""F-~O~JO TermBonds maturing on September 1, ~a~-~~ ~7,~:~ ,- $ Term Bonds maturing on September 1, at __ % per annum. In accordance with the terms of thc Official Notice of Bond Sale there is enclosed a Financial Surety Bond or a certified or bank cashier's or treasurer's check for $27,600 payable to the order of the City of Port Angeles. The proceeds of this check axe to be qpplied in accordance with the terms of the Official Notice of Bond Sale if the 1995 Bonds are awarded to us, or the check is to be ;turned to us if the 1995 Bonds axe not awarded to us. This bid is submitted in accordance with and subject to all provisions contained in the Official Notice of Bond Sale which is attached hereto and made a part of this bicL If our proposal to purchase the 1995 Bonds is ~ccessful, the person whom the City or its representati~v~es~_ s~ho_ul_d contact regarding closing arrangements is '~OH,%t ~4/~'/(- (---at the following telephone number: Estimated tree interest cost ~./C)aO~..5 % '/ Very truly yours, (Note: Not a part of the bid.) /~,~~ Return of the good faith deposit in the amount of $ Rep . f .. Representing: OFFICIAL STATEMENT AND OTHER INFORMATION The Preliminary Official Statement is in a form deemed final by the City for the purpose of SEC Rule 15c2-12(b)(1), but is subject to revision, amendment and completion in a final Official Statement, which the City will deliver, at the expense of the City, to the purchaser through its designated representative not later th_a_n seven business days after the City's acceptance of the purchaser's bid. The City will provide no more than 100 copies of the final Official Statement. Additional copies will be provided at the purchaser's expense. By submitting the successful bid, the purchaser's designated senior representative agrees to file, or cause to be filed, within one business day following the receipt from the City, the final Official Statement w~.'.h a nationally, recognized municipal securities information repository designated by the Securities and Exchange Commission. Further information regarding the I995 Bonds and copies of the preliminary official statement may be obtained upon request made to Joan Egan, Sound Finance Group, Financial Advisor to the City, 1212 E. Newton, Seattle, Washington 98102 (206) 328-9251. DATED at Port Angeles, Washington, this 1St day of August, 1995. /s/ Katherine Godbe¥ Finance Director, City of Port Angeles CERTIFICATE OF CITY CLERK I DO HEREBY CERTIFY that I am the duly chosen, qualified and acting Clerk of the City of Port Angeles, Washington (the "City"), and keeper of the records of the City Council~ and I HEREBY CERTIFY: 1. That the attached resolution is a true and correct copy of Resolution No. :~ 6-9 5 of the City Council (the "Resolution"), as adopted at a regular meeting of the City Council held on the 15th day of August, 1995 and duly recorded in my office. 2. That said meeting was duly convened and held in all respects in accordance with law, and to the extent required by law, due and proper notice of such meeting was given; that a quorum was present throughout the meeting and a legally sufficient number of members of the City Council voted in the proper manner for the passage of the Resolution; that all other requirements and proceedings incident to the proper passage of the Resolution have been duly fulfilled, carried out and otherwise observed, and that I am authorized to execute this certificate. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City this 15th day of August, 1995. Deputy City~.t~rk (SEAL) DOTOD1.DOC 9~0~15