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HomeMy WebLinkAboutORD 2007-120 2006-2008 4~~y Y'~~ 4r3'yw. 4~: ~y.{. COUNTY OF HAWAII ~ STATE OF HAWAII ~ ~°Ya~~~~~°~ BILL NO. its ORDINANCE NO~~ 120 AN ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS OF THE COUNTY OF HAWAII FOR THE PURPOSE OF FUNDING COSTS OF THE WAIKOLOA WORKFORCE HOUSING PROJECT; FIXING 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 IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Findings and Determinations. The County Council hereby deternunes and finds that it is advisable, expedient and in the best interest of the County to authorize the issuance, sale and delivery of general obligation bonds of the County in an aggregate principal amount not to exceed $40,000,000 (the "Bonds") for the purpose of funding costs of the Project described in Section 2 hereof. SECTION 2. Authorization of Bonds. There are hereby authorized for issuance and sale, in one or more series, Bonds of the County for the purpose of funding costs of the Waikoloa Workforce Housing Project (the "Project") being undertaken as a cooperative effort by the County and Hawaii Island Housing Trust, a Hawaii nonprofit corporation, including planning, design, engineering, legal, consulfing and other predevelopment costs of the Project, the cost of constructing, 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 in one or more or as part of a series of other general obligation bonds of the County, 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 in the denomination of $5,000 or any integral multiple of $5,000, or in such other 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 twenty-five years 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 seven percent (7%) per annum, as shall be specified in the contract approved or the bid accepted for the purchase of the Bonds of such series if any conhact therefor be approved or any bid therefor be accepted. In accordance with and subject to the provisions of this ordinance, the Director of Finance is hereby authorized to detemvne, 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 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; whether such series of Bonds shall beaz interest at fixed rates or at a rate or rates which vary from time to time and the methodology for determining such variable rate or rates; the rights, if any, of the holders of such Bonds of a series to tender for purchase and the price or prices and time or times and terms and conditions upon which those rights may be exercised; the rights of the County to purchase the Bonds of a series and price or prices and the time or times and terms and conditions upon which those rights may be exercised and the purchase may be made; 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 accmed on the principal amount thereof to the date of redempfion are made or duly provided for by the County, 2 interest on such Bond shall cease to accrue and become payable from and after the date fixed for redemption. SECTION 5. Pavment 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 Registered Bonds. The Bonds of a series shall be lithographed, steel engraved, typewritten, printed or in other reproduced form as the Director of Finance may detemune. 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 prepaze 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 fime 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 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 form of the Bonds, including the registrar's certificate of authentication (if required) and the assignment, shall be in substantially form of general obligation bonds heretofore issued by the County with such insertions, variations and omissions as are required with respect to a particulaz series of the Bonds, book-entry provisions, variable rate provisions or other provisions 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, or as part of a series of other general obligation bonds of the County, at competitive sale or at negotiated sale to qualified purchasers in accordance with Section 47-8, Hawaii Revised Statutes, 3 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 pofions 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 publish and distribute a Notice of Sale or to enter into a negotiated contract for the sale of the Bonds or portions thereof, in each case in such form and containing such terms and conditions as he shall approve and deem advisable, to distribute an Official Statement and such other information relating to the County and the Bonds as he may deem advisable, to receive bids for the sale of the Bonds or the portion thereof being offered and to award the sale of the Bonds or the portion thereof being offered to the bidder offering the lowest interest cost therefor, in accordance with the applicable Notice of Sale, if any; provided that the Director of Finance may reserve the right to reject any and all bids. 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 specified in the contract or contracts approved or in the bid or bids accepted. The Director of Finance and all officials of the County aze hereby authorized to take such action and execute such orders, receipts and other documents as may be necessazy in order to effectuate the sale of the Bonds or any portion thereof, and, if any contract therefor be approved or any bid therefor be accepted, the preparation, execution and delivery thereof, in accordance with the provisions hereof and applicable law. Subsequent to the sale of any of the Bonds, the Director of Finance shall report the results of such sale to the Council by letter. From and after the date the Director of Finance shall have accepted a bid for a series of Bonds, or shall have entered into a negotiated contract for the sale and purchase of a series of Bonds, the Council will take no action to modify, supplement, amend or repeal the provisions of this ordinance in a manner which would have an adverse effect on the ability of the County to perform its obligations under such accepted bid or contract. SECTION 8. Authorization of Bond Anticipation Notes. General obligation bond anticipation notes are hereby authorized for issuance and sale by the Director of Finance in anticipation of the issuance and sale of the Bonds authorized herein and the receipt of the proceeds of the sale thereof, for the purposes for which the Bonds have been authorized herein. The issuance, sale and details of the Notes shall be governed by Section 47-16, Hawaii Revised Statutes, as amended. Bonds in 4 anticipation of which the Notes are authorized and issued hereunder may be issued and sold in accordance with the provisions of this Ordinance at any time within five years of the date of issuance of the first Notes issued in anticipation of such Bonds. SECTION 9. Security for the Bonds and the Notes. 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 Notes, and the principal and interest payments shall be a first charge on the General Fund of the County. SECTION 10. 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 11. Bond Insurance. The Director of Finance is hereby authorized to determine and provide for any insurance provisions respecting the Bonds of a series as he shall deem to be in the best interest of the County, including, without limitation, selection of the bond insurer, payment of the insurance premium and printing of any insurance statement on the Bonds. In the event that bond insurance is obtained by the purchaser of such Bonds, (a) such insurance shall not constitute a part of the contract by and with the County evidenced by a particular Bond or constitute a part of the proceedings providing for the issuance thereof, and (b) no liability or responsibility shall attach to the County or any officer or agent thereof in any way by reason of any such insurance, including, without limiting the foregoing, with respect to the procuring, maintenance, enforcement or collection thereof. The County shall be under no obligation to take or refrain from taking any action by reason of the existence of such insurance or any of the provisions thereof, even though the taking or refraining from taking of such action may result in or be cause for cancellation or cessation of such insurance. SECTION 12. Sunnort Facility for Variable Rate Bonds. If the Director of Finance shall determine to issue the Bonds of a series bearing interest at a rate or rates which vary from time to time or with a right of holders to tender such Bonds for purchase, or both, the Director of Finance may contract for such support facility or facilities and remarketing arrangements as are required to market such Bonds to the greatest advantage of the County upon such terms and conditions as the Director of Finance deems necessary and proper; provided, however, that all such contracts shall be approved by a resolution of the County Council and shall comply with the requirements of Section 47-11, Hawaii Revised Statutes. 5 SECTION 13. Reimbursement of Expenditures. The County expects to make certain capital expenditures for the Project prior to the issuance of the Bonds, and reasonably expects to reimburse such expenditures from the proceeds of the Bonds. The County hereby declares its official intent to use proceeds of the Bonds to reimburse itself for expenditures in connection with the Project. This ordinance is adopted in part for the purpose of establishing compliance with the requirements of Section 1.150-2 of the U.S. Treasury Regulations. This ordinance shall be reasonably available for inspection at the office of the County Clerk, located at 333 Kilauea Avenue, Ben Franklin Building, Second Floor, Hilo, Hawaii 96720, commencing within fifteen (15) days after its adoption by the Council. SECTION 14. Repeal of Conflicts. 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. SECTION 15. Severabilitv. 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 declared to be severable. SECTION 16. Effective Date. This ordinance shall take effect upon its approval. RODUCED Y: COUNCIL M ER, CO HA AI I Hilo, Hawaii Date oflntroduction July 25, 2007 Date oflstReading July 25, 2007 Date of 2nd Reading August 22, 2007 Effective Date: September 11, 2007 REFERENCE: Comm. 505 6 OFFICE OF THE COUNTY CLERK County of Hawaii Hilo, Hawaii Introduced By: Pete Hoffmann Rq],L, CRL VOTE; , ~ Date Introduced: July 25, 2007 AYES NOES ABS EX h'irst Reading: July 25, 2007 Ford X Published: August 4, 2007 Higa X Hoffmann X RF.h1~IRKS: Ikeda X Jacobson X Naeole X - Pilago X Yagong X Yoshimoto X B 0 1 0 Second Reading: August 22, 2007 I~o Mayor: August 30, 2007 ROLL CALL VOTE Returned: September 12, 2007 AYES NOES ABS EX Effective: September 11, 2007 Ford X Published: September 20, 2007 Higa X Hoffrnann X KEAL4RKS: Ikeda X Jacobson X Naeole X Pilago X Yagong X Yoshimoto X 9 0 0 0 / DO HEREBY CERTIFY that the.foregoing BILL was adopted by the County Council published as indica[ed above. ~ APPROVED AS TO FORM AN LEGALIT~ CC// COUNCIL N DEPUTY CORPOR TION COUNSEL ~ COUNTY OF HAWAII ~ ~ t~...(t,~-- 000NTY~CI?ERK? Date ~ d7 Bill No.: 12 3 Reference: C-505/FC-128 `-p~p-r-uwe~`Disapproved this ~ day oJ' PN , 20 ~1 Ord No.: 1.~r0 A YOR, C TY OF HAWAII