HomeMy WebLinkAboutRES 118 Draft 02 1972-1976
County of Hawaii-State of Hawaii
Resolution No. Its
AUTHORIZING THE ISSUANCE AND SALE OF $1,245,000.00
PAR VALUE IMPROVEMENT DISTRICT BONDS FOR "IMPROVE-
MENT DISTRICT NO. 15 - WILDER ROAD IMPROVEMENT,"
KAUMANA, COUNTY OF HAWAII, AND PROVIDING FOR RECEIPT
OF TENDERS FOR PURCHASE OF SAID BONDS UNTIL 10:00 A.M.,
OCTOBER 5, 1973.
WHEREAS, by Ordinance No. 606 of the County of Hawaii,
special assessments were fixed and levied against the several
properties situated in and comprising "Improvement District
No. 15 - Wilder Road Improvement," Kaumana, County of Hawaii;
WHEREAS, the total amount assessed was $1,245,000.00,
which amount is required to meet the cost of the proposed
improvements;
WHEREAS, said assessments may be paid on or before
October 2, 1973;
'NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE
COUNTY OF HAWAII, STATE OF HAWAII:
1. That Improvement District Bonds for "Improvement
District No. 15 - Wilder Road Improvement," Kaumana, County
of Hawaii, amounting to $1,245,000.00 (less the total amount
of assessments paid on or before October 2, 1973, if any)
be and the same are hereby authorized for issuance, and
that the officials designated by law including the Director
of Finance are hereby directed to execute and issue such
bonds, as provided by the Charter of the County of Hawaii
and Ordinance No. 350 of the County of Hawaii, as amended.
2. That the bonds of this issue shall be--dated October
15, 1973, shall be coupon bonds, shall"be`iaith'out privilege
of registration, shall be numbered:Ic'onsecut1vely., and shall
bear interest at the rate of not to exceed eight percent
(8%) per annum payable semiannually on April 15 and October
15; that the bonds will continue to bear interest after
maturity at the rate stated therein, provided that they
are presented at maturity and payment thereof is refused
upon the sole ground that there is not sufficient moneys in
the redemption fund with which to pay same, and if they
are not presented at maturity interest thereon will run
only until maturity; that the denominations of said bonds
with their respective numbers and dates of maturity shall
be as shown on Exhibit A hereto attached and made a part
hereof by reference (except that in the event any of said
assessments are paid on or before October 2, 1973, then
Bond No. 1 shall be, if necessary, of the denomination of
the number of dollars and cents by which the amount of the
assessments for the cost of the improvements less the amount
of assessments so paid is greater than an amount evenly divi-
sible by $1,000, and an amount equal to the amount of assess-
ments so paid less the amount of Bond No. l shall be deleted
from Exhibit A at the rate of $1,000 per year commencing
with the year 1974 and continuing so long as necessary
through the year 1988 and thereafter repeating 1974 through
1988, and with the bond numbers adjusted to reflect such
deletions); that on or after October 15, 1974, all of said
bonds except those maturing on October 15, 1974, shall be
subject to redemption before maturity at a premium of four
percent (4%) of the face amount of the bond, whenever suffi-
cient funds are available; that said bonds and interest
coupons thereof shall be printed or lithographed, and shall
contain the provisions substantially set forth herein, and
-2-
RESOLUTION NO. ,
~ Q
shall be issued in substantially the following form:
NO.
UNITED STATES OF AMERICA
STATE OF HAWAII
IMPROVEMENT DISTRICT BOND
OF THE
COUNTY OF HAWAII
$ IMPROVEMENT DISTRICT NO. 15 $
WILDER ROAD IMPROVEMENT
KAUMAA.NA, COUNTY OF HAWAII
TOTAL ISSUE $
KNOW ALL MEIN BY THESE PRESENTS: That, subject to the
provisions of Ordinance No. 350 of the County of Hawaii, as
amended, and pursuant to proceedings of the Council of the
County of Hawaii duly taken thereunder:
THE COUNTY OF HAWAII, State of Hawaii, for value received,
hereby promises to pay, the bearer hereof out of the funds
hereinafter specified, the sum of
DOLLARS ) on the 15th day of October, 19 ,
together with interest thereon from date hereof at the rate
of percent ( per annum, payable semiannually
on the 15th day of April and the 15th day of October, upon
presentation and surrender of the interest coupons attached
hereto as they severally become due, both principal and
interest of this bond being payable at the principal office
of the Bank of America National Trust and Savings Associa-
tion, San Francisco, California, Paying Agent for this bond.
The principal and interest of this bond are exempt from
all state, county and municipal taxation in the State of Hawaii,
except inheritance, transfer and estate taxes.
-3-
RESOLUTION NO. 11-8
THE COUNTY OF HAWAII reserves the right to redeem bonds
maturing on or after October 15, 1975, on or after the 15th
day of October, 1974, as provided in said Ordinance No. 350,
as amended; a premium of four percent (4%) of the face amount
of the bond shall be payable upon such redemption.
This bond is payable exclusively out of (1) the money
to be collected or paid on account of the assessments unpaid
as of the 2nd day of October, 1973, being a total sum of
$ bearing interest at percent ( per
annum as prescribed by Ordinance No. 606 of said County of
Hawaii, which assessments were levied against property within
"Improvement District No. 15 - Wilder Road Improvement,"
Kaumana, County of Hawaii, in said County of Hawaii, which
unpaid assessments are payable in fifteen annual install-
ments, the principal amounts of which correspond each year
with the principal amount of bonds of this issue which
mature in such year, together with interest at percent
( per annum from September 2, 1973, and which assessments
are severally a lien upon the several properties assessed to
the extent of the amount of the unpaid assessments thereon,
respectively, which lien has priority over all other liens
except the lien of property taxes, with which tax lien said
lien is on a parity; and (2) the money to be placed in a
reserve fund, in the initial sum of $74,700.00 pursuant to
Resolution No. (1973) of said Council and section
5.2.1 of said Ordinance No. 350, as amended.
THE COUNTY OF HAWAII hereby promises, for valuable con-
sideration, to cause said unpaid assessments to be collected
or paid and kept in the Improvement District Bond and Interest
-4-
RESOLUTION NO. -._a_~
Redemption Fund to be applied solely to the payment of interest
and principal on the bonds issued for said Improvement District
until fully paid, and will otherwise perform all its obligations
as required by law.
THE COUNTY OF HAWAII does not otherwise guarantee the
payment hereof. This bond is not a general debt of the County
of Hawaii, nor based upon the credit of the public domain, nor
chargeable against the general revenues of said County, nor
has it been specifically authorized by the voters of said
County as part of a general indebtedness.
It is hereby certified and recited that all acts, con-
ditions and proceedings essential to the validity of this bond
and required by said Ordinance No. 350, as amended, to be done
precedent thereto and in the issuing of this bond, exist, have
duly happened and have been performed in regular and due form
as required by law.
IN WITNESS WHEREOF, the said COUNTY OF HAWAII has caused
this bond to be executed by its Director of Finance, and to
bear the lithographed or engraved facsimile signatures of the
Chairman of this Council and its Clerk and sealed with the
Corporate Seal of the County of Hawaii, and the interest
coupons hereto attached to bear the lithographed or engraved
facsimile signature of its Director of Finance, as of the 15th
day of October, 1973.
COUNTY OF HAWAII
By
airman of -C ounce
ATTESTED: By
Its Director of Finance
Its Clerk SEAL
-5-A "A
RESOLUTION NO. 3
(FORM OF COUPON)
The County of Hawaii, State of Hawaii will On 1 19
pay the bearer hereof at the principal
office of Bank of America National Trust $
and Savings Association, San Francisco,
California, Paying Agent for this coupon,
the sum shown hereon, being semiannual
interest then due on its Improvement
District Bond issued for IMPROVEMENT
DISTRICT NO. 15 - WILDER ROAD IMPROVEMENT,
KAUMANA, COUNTY OF HAWAII, dated as of BOND NO.
October 15, 1973.
Coupon No.
STANLEY A. NAYA14AE
Director of Finance
3. That the principal and interest of said bonds shall
be payable at the principal office of Bank of America National
Trust and Savings Association, San Francisco, California,
Paying Agent for this issue of bonds, solely and exclusively
out of the Improvement District Bond and Interest Redemption
Fund from all moneys collected on account of assessments and
interest due for "Improvement District No. 15 - Wilder Road
Improvement," Kaumana, County of Hawaii, which shall be desig-
nated in the bonds issued hereunder, and the money to be
placed in a reserve fund, in the initial sum of $74,700.00,
pursuant to section 5.2.1 of said Ordinance No. 350, as amended;
and that moneys in said reserve fund shall be used to pay the
principal or interest or.both, in whole or in part, on the
last outstanding maturity or maturities of said bonds and
assessment installments or such portions thereof which would
-6-
RESOLUTION NO. 118
o
otherwise be collected to make such payment shall be cancelled,
provided that in making such use of the reserve fund the
Director of Finance shall (a) apportion to assessments paid
during the original thirty-day period or paid in advance,
pursuant to sections 4.3 and 4.7, respectively, of said Ord-
inance No. 350, as amended, if any, their respective propor-
tionate shares of said moneys, and (b) make provisions for
expected delinquencies in payment of any portions of assess-
ment installments which will not be cancelled by such use of
said reserve fund, and provided further that insofar as said
moneys are attributable to fully paid assessments rather than
to cancellation of installments or portions thereof, same
shall be paid to the respective parties who paid such assess-
ments or the last payment thereon, as the case may be.
4. That with respect to call and redemption before matur-
ity of any of said bonds moneys in said reserve fund shall not
be deemed available therefor (except for the sole purpose of
determining whether there are sufficient funds in the hands
of the Director of Finance to make the next interest payment
on the unpaid balance of said bonds), so that such call and
redemption shall be made only from funds in the hands of the
Director of Finance by reason of advance payment of assess-
ment installments pursuant to section 4.7 of said Ordinance
No. 350, as amended; and that in the event of such call and
redemption the Director of Finance shall promptly mail, air
mail postage prepaid to the original purchaser of said bonds,
at his last known address, a true copy of the notice published
pursuant to section 5.5 of said Ordinance No..350, as amended.
5. That the Director of Finance of the County of Hawaii
is hereby authorized and directed to procure the printing or
-7-
RESOLUTION NO. 11-8
lithographing of the necessary bonds authorized herein, sub-
stantially according to the foregoing form hereby approved by
the Council of the County of Hawaii; and that said Director
of Finance is hereby further authorized and directed on be-
half of the County of Hawaii to publish a notice of sale in
a newspaper of general circulation published in the County of
Hawaii, at least once a week for not less than two successive
weeks, that tenders will be received for the purchase of said
bonds at the Office of the Treasury Division, Department of
Finance, County of Hawaii, at Hilo, Hawaii, up to 10:00 a.m.,
on October 5, 1973.
6. That the legal opinion of Wilson, Jones, Morton &
Lynch, San Mateo, California, approving the validity of said
bonds will be furnished to the successful bidder without
charge.
7. That the conditions of sale of said bonds shall be
as follows:
(1) All bids shall state the price bid per $100.00 par
value and shall be for not less than all of the bonds offered;
(2) Bids for less than par will not be considered unless
a full interest rate of eight percent (8%) is quoted for all
of the bonds of each maturity;
(3) Bidders shall specify the rate of interest which
the bonds hereby offered for sale shall bear, and will be
permitted to bid different rates of interest for different
maturities of said bonds (the interest rates stated in the
bid may be in multiples of any fraction of 1% per annum);
(4) The bonds will be awarded to the highest and best
bidder considering the interest rate or rates specified and
the premium or discount offered, if any; the highest bid
-8-
RESOLUTION N0. 118
will be determined by deducting the amount of the premium
bid from, or adding the discount to, the total amount of
interest which the County would be required to pay from the
date of said bonds to the respective maturity dates at the
coupon rate or rates specified in the bid, and the award
will be made on the basis of the lowest net interest cost
to the County (the lowest net interest cost shall be com-
puted between the dates aforesaid according to 30-day month,
standard four-decimal bond interest tables);
(5) The Council reserves the right in its discretion,
to reject any or all bids and to waive any irregularity or
informality in any bid;
(6) Bids must be unconditional and shall be made ac-
cording to the form of proposal prepared by the Director of
Finance, County of Hawaii;
(7) All bids shall be accompanied by a deposit of
certified check or cashier's check drawn on a bank doing
business within the State of Hawaii, for or in a sum equal
to 5% of the par value of the bonds bid for, payable to the
Director of Finance, County of Hawaii, provided that when the
par value of the bonds bid for exceeds $1,000,000.00, the
certified check or cashier's check shall be for $50,000.00
plus 1% of the amount in excess thereof. Check of the suc-
cessful bidder will be applied toward payment for the purchase
price of the bonds and accrued interest; checks of all unsuc-
cessful bidders will be returned immediately after the bid
opening or as soon thereafter as the normal course of business
allows; and in the event that an award is made to any success-
ful bidder and said bidder fails to pay the balance due in
cash upon tender by said Director of Finance of the bonds
-9-
RESOLUTION NO.
awarded, the deposit shall be forfeited to the County of
Hawaii to be cashed by its Director of Finance and deposited
in the special fund for said improvement district.
(8) The Council will take action authorizing and di-
recting the Director of Finance to accept the highest and
best bid, or rejecting all bids, not later than at its next
regular meeting following receipt of the tenders, provided
that it may take such action thereafter if the successful
bidder shall not have given the Council notice in writing of
the withdrawal of such bid.
(9) The successful bidder to whom bonds are awarded
shall pay to the Director of Finance of the County of Hawaii,
in addition to the amount of his bid, a sum equal to the amount
of interest accrued on the bonds awarded from their date to
the date of payment for the bonds, provided that the bonds
are tendered for delivery on their date, and if not so ten-
dered then from the date of their tender to the date of pay-
ment; and payment for the bonds must be made by federal funds
or by other immediately available funds (any expense of making
funds immediately available must be borne by the purchaser);
(10) Delivery of the fully executed bonds will be made in
Hilo, Hawaii, at the expense of the County of Hawaii, as soon
as possible as the normal course of business allows, or else-
where at the expense of the purchaser; the successful bidder
shall have the right, at his option, to cancel the contract
of purchase if the County shall fail to execute the bonds and
tender them for delivery within 60 days from date of sale; and
in the event that prior to the delivery of the bonds the income
received by private holders from bonds of the same type and
-10-
RESOLUTION NO.
character shall be declared to be taxable under any Federal
Income Tax laws, either by the terms of such laws or by a
ruling of a Federal Income Tax authority or official which
is followed by the Internal Revenue Service, or by decision
of any federal court, the successful bidder may, at his option,
prior to the tender of the bonds by the County, be relieved
of his obligations under the contract to purchase the bonds.
8. The County hereby covenants to the purchasers of the
bonds, and their successors in interest, that it will make no
use of the proceeds of said bonds at any time during the term
thereof which, if such use had been reasonably expected at
the date the bonds were issued, would have caused them to be
arbitrage bonds within the meaning of section 103(d) of the
United States Internal Revenue Code of 1954 and the applicable
regulations of the United States Treasury Department.
Dated at Waimea,. Hawaii, this 12th day of September
1973.
INTRODUCED BY:
-11-
ROLL CALL VOTE
COUNTY COUNCIL
AYES NOES A/E
County of Hawaii VDe enter X
Hilo, Hawaii uz x
Ihereby certify that the foregoing RESOLUTION was by the vote indicated to Farias x
Fujii
the right hereof adopted by the COUNCIL of the County of Hawaii on. H
is x
Hisaoka X
September 12, 1973 Kawahara x
Matayoshi x
ATTEST: Yadao X
1,~, Chr. Yamada x
41 Ate" ~.T
eference: C'--4 . ry / /PvYCi-
Robert M. Yama
Tadashi Suzuki
COUNTY CLERK CHAIRMAN 8 PRESI e111GFICER
M.B. No-l•...
RESOLUTION NO. .........110
HP
COUNTY OF HAWAII - STATE OF HAWAII
Wilder Road Improvement, Kaumana, County of Hawaii
Improvement District No. 15
BOND MATURITY SCHEDULE
Annual
Principal Year of
Bond Nos. Denomination Amount Maturity
1 - 31 $1,000 $ 31,000 1974
32 - 62 1,000 31,000 1975
63 - 93 1,000 31,000 1976
94 - 189 1,000 96,000 1977
190 - 285 1,000 96,000 1978
286 - 381 1,000 96,000 1979
382 - 477 1,000 96,000 1980
478 - 573 1,000 96,000 1981
574 - 669 1,000 96,000 1982
670 - 765 1,000 96,000 1983
766 - 861 1,000 96,000 1984
862 - 957 1,000 96,000 1985
958 -1053 1,000 96,000 1986
1054 -1149 1,000 96,000 1987
1150 -1245 1,000 96,000 1988
Total $1,245,000
EXHIBIT A
RESOLUTION NO. .