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HomeMy WebLinkAboutCOM 0278.000 2000-2002 tl os ~ 20 Harry Kim •~~~~~~q-- William Takaba Mayor ' Director .f = ~ Nancy E. Crawford err r°.~•'Yy'P`` Deputy Director Q Of •M~' County of ~-Iawaii Finance Department 25 Aupuni Street, Room 118 • Hilo, Hawaii 96720 July 25, 2001 (808) 961-8234 • Fax (808) 961-8248 The Honorable James Y. Arakaki and Members of the Council County of Hawaii 25 Aupini Street Hilo, HI 96720 Dear Chairman Arakaki and Members of the Council: COUNTY OF HAWAII, HAWAII, GENERAL OBLIGATION BONDS, 2001 SERIES A, $23,000,000 Pursuant to authority granted by County Council Ordinance Nos. 00-88, 01-33 and 01-60, I have proceeded with the sale and issuance of $23,000,000 County of Hawaii, Hawaii General Obligation Bonds, 2001 Series A, and wish to submit the following report on the sale and issuance of the Bonds. 1. After analysis of the relative merits of selling the Bonds at a competitive or a negotiated sale, a Bond Purchase Agreement was entered into on July 12, 2001 with A.G. Edward & Sons for the sale of the Bonds. The Bond Purchase Agreement obligated A.G. Edward & Sons to make a bonafide offering of the Bonds to the public. The Bonds were sold with the Bonds amortizing on a level annual debt service basis, with the first principal amount maturing in 2004 and the last principal amount maturing in 2021. The true interest rate on the Bonds was computed to be 4.9269%, which is the rate obtained by doubling the semiannual interest rate, compounded semiannually, necessary to discount the principal and interest rate on the Bonds from the respective dates of payment to the delivery date of the Bonds and the sale price of the Bonds. 2. Financial Guaranty Insurance Company has issued a policy insuring the scheduled payments of the principal of and interest on the Bonds. Based on such insurance, the Bonds have been rated "AAA" by Standard & Poors' Corporation and "Aaa" by Moody's Investors Services. 3. Bank of Hawaii acting through the Pacific Century Trust Division, in Honolulu, Hawaii, was appointed to serve as Registrar and Paying Agent for the Bonds. A full book-entry system was established for the Bonds. 4. The Bonds were delivered and the purchase price paid for on July 25, 2001. Respectfully yours, Comm. No. File No._ f` N D N D William T. Takaba F Director of Finance R,ef. dot _ County of Hawaii, Hawaii ~ ZQ lElef. 1Qa~t ~oo~~~•; 372316.1 023727 CLD