HomeMy WebLinkAboutRES 565 Draft 01 1969-1972County of Hawaii—State of Hawaii
Resolution No. 565
RESOLUTION AUTHORIZING THE ISSUANCE AND SALE
OF $4,200,000 PAR VALUE IMPROVEMENT DISTRICT
BONDS FOR IMPROVEMENT DISTRICT NO. 10, KALOKO
MAUKA, NORTH KONA,_ HAWAII!.
WHEREAS, by Ordinance No. 524, as amended, of the
County of Hawaii, special assessments were fixed and levied
against the several properties situated in and comprising
Improvement District No. 10, KALOKO MAUKA, NORTH KONA, HAWAII;
WHEREAS, the total amount assessed was $4,200,0002
which amount is required to meet the cost of the proposed
improvements;
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. 10, Kaloko Mauka, North Kona, Hawaii, in an amount
not to exceed $4,200,000 be and the same are hereby authorized
for issuance. The exact amount shall be determined on or after
November 6, 1972, the date on which the cash collection period
provided in Ordinance No. 524, as amended, ends. 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
November 15, 1972, shall be coupon bonds, shall be without
privilege of registration, shall be numbered consecutively,
and shall bear interest at the rate of not to exceed eight per
cent (8%) per annum payable semi-annually on May 15 and
November 15 each year such bonds are outstanding, such interest
rate to be determined at the sale of the bonds; 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
are 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 shown on Exhibit "A" hereto attached and made a part
hereof by reference, subject to change in the event a portion
of the assessments are paid in the manner and period specified
in Ordinance No. 524, as amended; that bonds maturing on or
after November 15, 1974 shall be subject to call and redemption
prior to maturity at a premium of one half of one per cent Q%)
of the principal amount thereof plus one half of one per cent
(k%) of the principal amount thereof for each year from re-
demption date to date of maturity, but not to exceed five per
cent (5%), whenever sufficient funds are available; that said
bonds and interest coupons thereof shall be printed or litho-
graphed, and 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. 10 $
TOTAL ISSUE
KALOKO MAUKA, NORTH KONA
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KNOW ALL MEN 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 to the bearer hereof out of
the funds hereinafter specified, the sum of
DOLLARS ($ ) on the 15th day of November, 19�9
together with interest thereon from date hereof at the rate of
per cent ( %) per annum, payable semi-
annually on the 15th day of May and the 15th day of November,
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
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.
Bonds maturing on or after November 15, 1974, are
subject to call and redemption on the 15th day of November,
1973, and annually thereafter, as provided in said Ordinance
No. 350, as amended. A premium of one half of one percent
Q%) of the principal amount hereof plus one half of one percent
(k%) of the principal amount hereof for each year from re-
demption date to date of maturity, but not to exceed five per
cent (5%), 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
565
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RESOLUTION N0.
as of the 6th day of November 1972, being a total sum of
bearing interest at eight per cent (8%) per annum
as prescribed by Ordinance No. 524, as amended, of said
County of Hawaii, which assessments were levied against
property within Improvement District No. 10, Kaloko Mauka,
North Kona, Hawaii, in said County of Hawaii, which unpaid
assessments are payable in fifteen annual installments, 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 eight per cent (8%) per annum
from October 6, 1972, 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) a n amount equal to one quarter of maximum annual debt
service to be placed in a reserve fund from the bond proceeds,
said fund to be established pursuant to Section 5.2.1 of said
Ordinance No. 350, as amended.
THE COUNTY OF HAWAII hereby promises, for valuable
consideration, to cause said unpaid assessments to be collected
or paid and kept in the Improvement District Bond and Interest
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
'4' RESOLUTION NO. 5615
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,
conditions 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 laws.
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 its 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
November, 1972,
ATTESTED:
Clerk
(SEAL)
:A
By
COUNTY OF HAWAII
Chairman of Council
Director of Finance
005- RESOLUTION NO. 565
• r
(FORM OF COUPON)
The County of Hawaii, State of Hawaii will
pay the bearer hereof at the (
0
Paying Agent for this coupon, the sum shown
hereon, being semiannual interest then due
on its Improvement District Bond issued for
IMPROVEMENT DISTRICT NO. 10, KALOKO MAUKA,
NORTH KONA, HAWAII, dated as of November
On
159 19_______
BOND NO.
159 1972. COUPON NO.
STANLEY A. NAKAMAE
Director of Finance
3. That the principal and interest of said bonds
shall be payable at the office of the Director of Finance of
the County of Hawaii in Hilo, Hawaii or, at the option of the
bondholder, at the office of the Paying Agents of the County
in Hilo, Hawaii, Los Angeles or San Francisco, California, New
York, New York, or Chicago, Illinois, said Paying Agents to be
designated upon the sale of the 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. 10, Kaloko Mauka,
North Kona, Hawaii, which shall be designated in the bonds
issued hereunder, and an amount equal to one quarter maximum
annual debt service to be placed in a reserve fund from the
bond proceeds, said fund to be established pursuant to Section
5.2.1 of said Ordinance No. 350, as amended, and Article VII
of Resolution No. 424 of the County of Hawaii is hereby amended
accordingly; and that moneys in said reserve fund shall be used
to pay the principal or interest or both, in whole or in part,
-6- RESOLUTION NO. 565
on the last outstanding maturity or maturities of said bonds
and assessment installments or such portions thereof which
would 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 Section 4.3 and 4.7, respectively, of said Ordinance
No. 350, as amended, if any, their respective proportionate
shares of said moneys, and (b) make provision for expected
delinquencies in payment of any portions of assessment install-
ments 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 cancella-
tion of installments or portions thereof, the same shall be
paid to the respective parties who paid such assessments or
the last payment thereon, as the case may be.
4. That with respect to call and redemption before
maturity 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 redeption shall be made only from funds in the hands of the
Director of Finance by reason of advance payment of assessment
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, 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.
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RESOLUTION NO. 565
+ , 41.
5. The interest and income accruing on any money in
any fund, any profit realized from the liquidation of any
investment of any money in any fund and any surplus money in
any fund, shall be credited to the Improven ent District Bond
and Interest Redemption Fund,
6. That the Director of Finance of the County of
Hawaii is hereby authorized and directed to procure the printing
and lithographing of the necessary bonds authorized herein, sub-
stantially according to the foregoing form hereby approved by
the Council of the County of Hawaii.
7. The County hereby covenants that no use will be
made of the proceeds of the bonds which, if such use had been
reasonably expected on the date of issue of the bonds, would
have caused the bonds to be arbitrage bonds. The County
further covenants that it will comply with the requirements
of Section 103(d) of the Internal Revenue Code and the regula-
tions adopted thereunder throughout the term of the issue.
1972.
Dated at Hilo, Hawaii, this 11 th day of October ,
COUNTY COUNCIL
County of Hawaii
Hilo, Hawaii
INTRODUCED BY:
By.
C ci an, County of 62awaii
I hereby certify that the foregoing RESOLUTION was by the vote indicated to
the right hereof adopted by the COUNCIL of the County of Hawaii on.
ATTEST:
Tadashi Suzuki
COUNTY CLERK
................... ........................0
Herbert T. Matayoshi
CHAIRMAN & PRESID64G OFFICER
ROLL CALL VOTE
AYES I NCES
Carpenter Xi
De Luz X
Edwards X
Greenwell X
Hisaoka X
Souza X
Yadao X
Yamada X
Chr. Matayoshi X
Reference: ............................... PWC -89..............
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M.B. No...........�........¢........................................
RESOLUTION NO.
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