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Home My WebLink AboutRESOLUTION NO. 2008-08 - GO SEWER AND REFUNDING NOTES Fa1¢1°ax/419915-]Wnd'/z Sale MINUTES 'TO SELL NOTES 419915-10 (2nd Yz Sale) Fairfax, Iowa February 12.,, 2008 The City Council of the City of Fairfax, Iowa, met on February 12, 2008, at o'clock ° .m., at the tj Tc�_. Fairfax, Iowa, The meeting was called to order by the Mayor, and the roll was called showing the following Council Members present and absent: Present: .,c 'sty '. ��.• , ' . Absent: This being the time and dace fixed by the Council for the consideration of bids for the purchase of the City's $560,000 General Obligation Sanitary 'Sewer and Refunding Notes, the Mayor announced that bids had been received and canvassed on behalf of the City at the time and place fixed therefor. Whereupon, such bids were placed on file, and the substance of such bids was noted in the minutes, as follows: Name and Address of Bidder Final Bid.. (interest cost) (ATTACH BID TABULATION) After due consideration and discussion, Council Member introduced the resolution,,next hereinafter set out and moved its adoption, seconded by Council Member �"(\C,cl L,,1,.A,j . The Mayor put the question upon the adoption of said resolution, and ther 1 being called,the following Council Members voted: Ayes: " 't1> m npQ �s �. U- �,tJ Nays: Whereupon,the Mayor declared the resolution duly adopted as hereinafter set out. -t- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA Fairfax/419915-10/2nd'/2 Sale q _- RESOLUTION NO.'�� (.� �- Awarding $560,000 General Obligation Sanitary Sewer and Refunding Notes, Series 2008A WHEREAS, pursuant to the provisions of Section 384.24A of the Code of Iowa, the City of Fairfax (the "City"), in the County of Linn, State of Iowa has heretofore proposed to contract indebtedness and enter into a loan agreement (the "Loan Agreement") in the principal amount.of $560,000, for the purpose of paying the cost, to that extent, of constructing sanitary sewer improvements and refunding the City's outstanding General. Obligation Water Notes, Series 2001A ,and has published notice of the proposed action and has held a hearing thereon; and WHEREAS, pursuant to advertisement of sale, bids for the purchase of$560,000 General Obligation Sanitary Sewer and Refunding Notes (the "Notes") to be issued in evidence of the City's obligation under the Loan Agreement were received and canvassed on behalf of the City and the substance of such bids noted in the minutes; and WHEREAS, upon final consideration of all bids, the bid of z "Purchaser"), A-/�� ,� ��?� �� t;� ,� ,,_... (the rs the best, such bid proposing the lowest interest cost to the City; NOW, THEREFORE, Be It Resolved by the City Council of the City of Fairfax, Iowa, as follows; Section 1. The City shall enter into the Loan Agreement with the Purchaser, in substantially the form as will be placed on file with the Council., providing for a loan to the City in the principal amount of$560,000 for the purpose or purposes set forth in the preamble hereof;. The Mayor and City Clerk are hereby authorized and directed to sign the Loan Agreement on behalf of the City, and the Loan Agreement is hereby approved. Section 2. The bid of the Purchaser referred to in the preamble is hereby accepted, and the Notes are hereby awarded to the Purchaser at the price specified in such bid, together with accrued interest. Section 3. The form of agreement of sale (the "Sale Agreement") of the Notes to the Purchaser is hereby approved, and the Mayor and City Clerk are hereby authorized to execute the Sale Agreement for and on behalf of the City. _2_ DORSEY &WIHTNEY LLP,ATTORNEYS,DES MOINES, IOWA Fair1'ax/419915-1012nd'/2 Sale i Section 4. All resolutions or parts thereof in conflict herewith are hereby repealed to the extent of such conflict. Passed and approved February 12, 2008. Mayor .Attest: r . City Clerk 44t -3- DORSEY &WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA Faidax/4194154012nd'/2 Sate Thereupon, it was moved by Council Members . . , and seconded by Council Member :'"} ; y P that further action with respect to the approval of the Loan Agreement and the issuance of the Notes be deferred until the next meeting in the City. The Mayor put the question on the motion and the roll being called, the following named Council Members voted: Ayes Nays: . Whereupon, the Mayor declared the motion adopted, Mayor Attest: City Clerk -4- DORSEY&WI-II'TNEY LLP,ATTORNEYS,DES MOINES,IOWA Fairfax/419915-10/2nd 1/2 Sale STATE OF IOWA COUNTY OF LINN SS:. CITY OF FAIRFAX I, the undersigned, City Clerk of the City of Fairfax, do hereby certify that as such City Clerk I have in my possession or have access to the complete corporate records of the City and of its Council and officers and that I have carefully compared the transcript hereto attached with the aforesaid corporate records and that the transcript hereto attached is a true, correct and complete copy of all the corporate records in relation to the sale of$560,000 General Obligation Sanitary Sewer and Refunding Notes of said City evidencing the City's obligation under a certain Loan Agreement and that the transcript hereto attached contains a true, correct and complete statement of all the measures adopted and proceedings, acts and things had, done and performed up to the present time with respect thereto. WITNESS MY HAND and the seal of the City hereto affixed this day of 2008. City Clerk (Seal) (Attach here a copy of the bid of the successful bidder.) -5- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA 02-x.2.'-' 08 21 43 FFOtl-Bankers Bank 5088295589 'T--034 P001x°001 F-763 OFFICUL 13UD FORM City of Fairfax, Febru-wy 12, 2008 525 vanderbilt Street Speer Financial. Inc. Fairfax, tA 52228 Facsimile (319) 291-8628 Mvwbct-s of the City Council= For the $560,000 Geavral Obligation unitary Sewer and Refunding Notes (Tax Exempt), Series 2008A (th6 "Notes"') of the City of Fairfax, Linn County, Iowa, (rhe "City") as described, in the annexed P-retitainary Terra Sheet, which is expressly made a part hereof, we will pay you $ S 5z y co o, ao (rata less than $554,400) plus accrued interest.from March 1.,2008 to the dace of delivery, Thae Notes are to bear interest at the following respectivz rates (each we a multiple of 118 or 1x"1.00 of 1%)for Notes of each desi;guated mataxity. ,'I'JR][T 8 -,1 U 4E lntisrest Interest Intcrtst Rate Rate Rate $ 30,000 ..,.,..,,,2009 2. 50 °/n ' $ 60,000 .........2012 2,&o Yo % $ 60,000 ._......2010 % $ 65,000..........2013 z, O % $ 35,000..........2117 % } '� n y y t1 m '' � % X0000 .--�--....�,al� Z.> a � 7ooDo..,...----iota �5z. �Q � aoo..�.----.-z1 $ 70,000..,,.....,2015 i0 %6 °Any consecutiveua s nwy be aggregated into no more than four tem notes ar the oprion ofthe bidder, ;n wbirh rave the man&dary redemption provWons shall be on thc same schC&de as ubovP- manaf ies` .2 b O c}- 2 0 41 rerm Maaatrity mruuriti es -'o?11 - 2,t S Term 1► to vhy z i A faturWC$_Z 0 Term Mwmrity__ °, ,I� MWurlaes t" Q a Team ld=o hy__� 1 T'he Notts arc to be executed and delivered to us in accordance with the T.ems of this bid aecompanied by the approving legal opinion of Dorsey & Whitney LLP, Des Moines, Iowa, The City is to pay for the legal opinion, The ''umha.s r agrees to apply for CUSIP numbers and pay the fc a charged by the 'PUJRCHASER INFORMATION Name an Kms, ^ � l IlarmtTOephoneNo, (a nY 2�j- SS3 By fax Number Address Min e,.{ t`U e1� � � SignanIM City Email Address Stateizip W l S P The, foregoing bid was accepted and the $560,000 Geaei-al Obligation Sanitaxy Sewed and RfAo°ndlirig Dotes (Tax Exempt), Series 2008A, sold by resolution of"the City ofFairfkx, Linz( County, on Febr"ryl2, 2008. CITY OF FAIRFAX AT ESTI P LINN COUNTY, IOWA .. f A 1A iry lerk mayor ---NOT PARI'OF THE BID—w tr'a CWGrion o tYUH frueresr ct,st. Gross lntcral $ 9 9 less prem(urnfPlus Discount $ 2 2.4 True Interesi Crust True 1nCereSK RaLe i 1 U Ll "K To[a1 k�o�d�l'e;ara 3.214-O avers e Lih 5.732 esss PUBLIC FINANCE CONSULTANTS SINCE 1954 SPEER F"INANI 9INC. KEVIN W.WCANNA DAVID F.PHILLIPS LARRY P.BURGER DANIEL D.FORBIES BARBARA L.CHEVALIER R'APHALIATA McKENZIE PRE5113EN7 SR.VICT PRPSIDENT VICE PRESIDENT VICE PREME,NT VICE PRESIDENT 'VICF_PRESIDENT i February 12, 2008 The Honorable William Voss, Mayor and Members of the City Council City of Fairfax 525 Vanderbilt St. Fairfax, IA 52228 i Dear Mayor Voss and City Council Members: Bids were received today for the $560,000 General Obligation Sanitary Sewer and Refunding Notes, Series 2008A. There were 4 bids received, which are listed at the bottom of this letter in accordance with the signed bids. Upon examination, it is our opinion that the bid of Bankers' Bank, Madison, Wisconsin, is the best bid received, and it is further our opinion that the bid is favorable to the City and should be accepted. We therefore recommend that the Notes be awarded to that bidder at a price of $557,760.00, plus accrued interest, being at a true interest rate of 3.1644%. True, Account Managers Interest Rate Bankers' Bank, Madison,Wisconsin ........................................................... 3.1641% UMB Bank, n.a., Kansas City, Missouri........................................................... 3.4035% Ruan Securities, Des Moines, Iowa................................. ............................... 3.5450% Northland Securities, Minneapolis, Minnesota................................................. 3.6345% Respectfully submitted, SPEER FINANCIAL, INC. arry P urger Vic esident LPBImb Enclosures SUITE 4100.ONE NORTH LA:SALLE STREET•CHICAGO,ILLINOIS 60602,(3I2)346-3700.FAX(312)346-8833 SUITE 608-531 COMMERCIAL STREET•WATERLOO,IOWA 50701 •(319)291-2077•FAX(319)291-8628