HomeMy WebLinkAboutBIL 153 Draft 01 2006-2008 COUNTY OF HAWAII STATE OF HAWAII
BILL NO. >ss
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS
OF THE COUNTY OF HAWAII IN A PRINCII'AL AMOUNT NOT TO EXCEED $147,000
FOR THE PURPOSE OF FUNDING A PORTION OF TIID COSTS OF A WATER
DEPARTMENT PROJECT REFERRED TO AS THE ANDRADE CAMP WATERLINE
IMPROVEMENTS; FA'ING THE FORM, DENOMINATIONS, AND CERTAIN OTHER
DETAILS OF SUCH BONDS AND PROVIDING FOR THE SALE THEREOF; AND
AUTHORIZING 'THE TAKING OF OTHER ACTIONS RELATING TO THE ISSUANCE
AND SALE OF THE BONDS.
BE TT ORDAINED BY 7'HE COUNCIL OF THE COUNTY OF HAWAI` I:
SECTION 1. Findings and Determinations. The County Council hereby determines
and finds that:
(a) The Department of Water Supply (the "Water Department") of the County of Hawaii
(the "County has determined to undertake the construct a waterline improvement project referred to
as the Andrade Camp Waterline Improvements in Pepe`ekeo, County of Hawaii (the "Project").
(b) The United States of America, acting by and through the Department of Agriculture
("USDA"), has offered to provide financing for the Project in the form of (i) a grant (the "Grant") in
an amount not to exceed Five Hundred Ten Thousand Five Hundred Dollazs ($510,500), and (ii) a
loan (the "Loan") at one time or from time to time in a total principal amount not to exceed One
Hundred Forty Seven Thousand Dollars ($147,000).
(c) The Water Department has determined to obtain the Grant and Loan and, in
connection therewith, has requested the County Council to authorize the issuance and sale of general
obligation bonds of the County to USDA to evidence and secure the Loan and thereby provide funding
for the Project.
(d) It is advisable, expedient and in the best interest of the County to authorize the
issuance and sale of general obligation bonds of the County, as requested by the Water Department, in
an aggregate principal amount not to exceed One Hundred Forty Seven Thousand Dollars ($147,000).
SECTION 2. Authorization of Bonds. There are hereby authorized for issuance and
sale, in one or more series, general obligation bonds of the County (the "Bonds") to evidence and
secure the Loan and thereby provide funding for the costs of the Project, including planning, design,
engineering, legal, consulting and other predevelopment costs of the Project, the cost of constmcting,
acquiring and installing public facilities and infrastructure included as components of the Project, and
costs of issuance associated with the Bonds.
SECTION 3. Details of Bonds. The Bonds authorized for issuance and sale
hereunder shall be issued and sold to USDA in their entirety, at one time as a single series or from
time to time as two or more sepazate series, all as shall be determined by the Director of Finance to be
in the best interest of the County. The Bonds of a series shall be issued in fully registered form
without coupons either as a single instrument or in such denominations as the Director of Finance shall
determine. The Bonds of a series shall be numbered from 1 upwards in chronological order of
delivery or shall be numbered in any other manner as the Director of Finance shall determine. The
Bonds of a series (if the term to maturity of such series exceeds two years) shall mature annually on
such day in each year in substantially equal installments of principal or in substantially equal
installments of principal and interest, the first of such maturities to be no later than five years from the
date of the Bonds of such series and the last of such maturities to be not later than thirty-five yeazs
from the date of the Bonds of such series. The Bonds of a series may be redeemable prior to the
stated maturity thereof at any time at prices not exceeding 105 % of the principal amount thereof, and
shall bear interest at such rate or rates per annum not exceeding five and one-half percent (5 1/2%)
per annum, as shall be agreed to with USDA. In accordance with and subject to the provisions of this
ordinance, the Director of Finance is hereby authorized to determine, with respect to the Bonds of a
series, the aggregate principal amount of such series of Bonds; the series designation of such series of
Bonds; the date of such series of Bonds; the interest payment dates and maturity dates of such series of
Bonds; the amount of principal of such series of Bonds maturing on each maturity date; the
registration privileges and place or places at which such series of Bonds may be paid or registered
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which may include the office of the Director of Finance; whether or not such series of Bonds shall be
subject to redemption prior to the stated maturity thereof and, if subject to such prior redemption, the
times, prices, methods and other provisions for such prior redemption; and all other details of such
series of Bonds.
SECTION 4. Redemption of Bonds. In the event any of the Bonds shall be subject to
prior redemption and if any Bond (or portion thereof in installments which aze integral multiples of the
smallest denomination thereof) is to be redeemed, notice of redemption shall be given in such manner
as the Director of Finance shall determine. If any Bond shall have been duly called for redemption and
notice of such redemption duly given in the manner determined by the Director of Finance, and if
moneys for the payment of such Bond at the then applicable redemption price and the interest accrued
on the principal amount thereof to the date of redemption are made or duly provided for by the
County, interest on such Bond shall cease to accrue and become payable from and after the date fixed
for redemption.
SECTION 5. Payment of Bonds. The principal of and interest and premium, if any,
on the Bonds shall be payable in any coin or currency of the United States of America which at the
time of payment is legal tender for public and private debts.
SECTION 6. Execution and Form of Fully Re¢istered Bonds. The Bonds of a
series shall be lithographed, steel engraved, typewritten, printed or in other reproduced form as
the Director of Finance may determine. The Bonds of a series shall bear the manual or facsimile
signatures of the Director of Finance and of the Mayor of the County, and shall also bear the bear
the seal of the County or a facsimile of such seal. The Director of Finance may provide for the
Bonds of a series to be issued in and effect abook-entry system for such Bonds. The Director of
Finance may prepare such number of blank Bonds of any series executed and sealed as aforesaid
as he shall determine and deliver such executed blank Bonds to the registrar for such series for
safekeeping prior to the time such Bonds are actually issued, exchanged or transferred. The
Director of Finance shall direct the registrar for the Bonds of a series to register and authenticate
such Bonds and no such Bond shall be valid or obligatory for any purpose unless and until the
certificate of authentication endorsed on such Bond shall have been manually executed by such
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registrar; provided that a certificate of authentication shall not be required for any Bond if the
Director of Finance is the registrar and if such Director has manually signed the Bond in
question. The Bonds, including the registrar's certificate of authentication (if required) and the
assigttment, shall be in substantially the form of general obligation bonds heretofore issued by
the County with such insertions, variations and omissions as are required with respect to a
particular series of the Bonds as the Director of Finance may determine.
SECTION 7. Sale of Bonds. Without any further authorization from or action by the
Council but subject to the provisions hereof and of applicable law, the Director of Finance is hereby
authorized to issue and sell the Bonds in their entirety at one time, or from time to time in two or
more separate series, at negotiated sale to USDA in accordance with Section 47-$, Hawai` i Revised
Statutes, as amended, in each case at such price or prices and upon such terms and conditions as he
shall approve and determine to be in the best interest of the County. Without limiting the generality of
the foregoing, with respect to the sale of the Bonds or of portions of the Bonds, the Director of
Finance is hereby authorized to retain bond counsel, paying agents, registrars and financial and
accounting consultants, upon such terms and conditions as he shall deem advisable, to select the date
for such sale, to enter into one or more agreements with USDA pursuant to which the Loan will be
made and the Bonds will be issued to evidence and secure the Loan, in each case in such form and
containing such terms and conditions as he shall approve and deem advisable, and to take such other
actions as he may deem advisable in connection with the issuance and sale of the Bonds to USDA.
Subject to the provisions of Section 3 hereof, without further action of the Council, the Bonds shall
beaz interest at the rates per annum as agreed to with USDA. The Director of Finance and all officials
of the County are hereby authorized to take such action and execute such orders, receipts and other
documents as may be necessary in order to effectuate the issuance and sale of the Bonds or any
portion thereof in accordance with the provisions hereof and applicable law.
SECTION Security for the Bonds. The full faith and credit of the County is
hereby pledged to the payment of the principal of and interest on the Bonds, and the principal and
interest payments shall be a firs[ charge on the General Fund of the County.
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SECTION 9. CUSIP Identification Numbers. The Director of Finance may authorize
the printing of CUSIP identification numbers upon the Bonds. Such number and the printing thereof
shall be subject in all respects to the provisions of Section 47-10, Hawaii Revised Statutes, as
amended.
SECTION 10. Repeal of Conflicts; Severability. All ordinances and resolutions, and
any portions of ordinances and resolutions, heretofore enacted or adopted by the Council which aze in
conflict or inconsistent with any provision of this ordinance shall be and aze hereby repealed to the
extent of such conflict or inconsistency. If any provision of this ordinance or application thereof to
any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications of this ordinance which can be given effect without the invalid provision or application,
and to this end, the provisions of this ordinance are declazed to be severable.
SECTION 11. Effective Date. This ordinance shall take effect upon its approval.
INTRODUCED BY:
C/W.~---
COUNCIL MEMBER, UN ~ AWAI` I
Hawaii
Date of Introduction
Date of 1st Reading
Date of 2nd Reading
Effective Date:
C~FE«~+`1C,<: Comm. 6~~
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