RESOLUTION NO. 7159
RESOLUTION AUTHORIZING THE OFFERING FOR SALE OF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2016-A, OF THE CITY OF LAWRENCE, KANSAS.
WHEREAS, the City of Lawrence, Kansas (the “Issuer”), has previously authorized certain internal improvements described as follows (the “Improvements”):
|
Project Description |
Resolution No. |
Authority |
Amount |
|
Res. 7157 |
Charter Ordinance No. 27 |
$44,773,720.20 |
; and
WHEREAS, the Issuer has arranged for financing of a portion of the Improvements by the execution of a certain loan agreement described as follows:
|
Lender |
Loan No. |
Dated Date |
Maturity Date |
Original Amount |
Outstanding Amount |
|
KDHE |
KWPCRF C20 1260 01 |
11-29-1999 |
09-01-2021 |
$44,773,720.20 |
$13,510,485.60 |
(the “Loan”); and
WHEREAS, the Issuer proposes to issue its general obligation bonds to permanently finance the costs of the Improvements and to retire the Loan; and
WHEREAS, the Issuer has selected the firm of Springsted, Incorporated (“Municipal Advisor”), as Municipal Advisor and Gilmore & Bell, P.C. (“Bond Counsel”) as Bond Counsel for a series of general obligation bonds of the Issuer to be issued in order to provide funds to permanently finance the Improvements and to retire the Loan; and
WHEREAS, the Issuer desires to authorize the Municipal Advisor to proceed with the offering for sale of said general obligation bonds and related activities; and
WHEREAS, one of the duties and responsibilities of the Issuer is to prepare and distribute a preliminary official statement relating to said general obligation bonds; and
WHEREAS, the Issuer desires to authorize the Municipal Advisor, in conjunction with the Clerk, to proceed with the preparation and distribution of a preliminary official statement and notice of bond sale and to authorize the distribution thereof and all other preliminary action necessary to sell said general obligation bonds.
BE IT RESOLVED BY THE GOVERNING BODY OF THE CITY OF LAWRENCE, KANSAS, AS FOLLOWS:
Section 1. The Issuer is hereby authorized to offer for sale the Issuer’s General Obligation Refunding Bonds, Series 2016-A (the “Bonds”) as described by the presentation of the Municipal Advisor on this date, but only if the sale of the Bonds will result in cost savings compared to the Loan. The Mayor, City Manager and Clerk, in conjunction with the Municipal Advisor and Bond Counsel, are hereby authorized and directed to cause to be prepared a Notice of Bond Sale describing the terms of the Bonds, and to use such document in connection with the sale of the Bonds.
Section 2. The Mayor, City Manager and Clerk, in conjunction with the Municipal Advisor and Bond Counsel, are hereby authorized and directed to cause to be prepared a Preliminary Official Statement and to use such document in connection with the sale of the Bonds.
Section 3. The Clerk, in conjunction with the Municipal Advisor and Bond Counsel, is hereby authorized and directed to give notice of said bond sale by publishing a summary of the Notice of Bond Sale not less than 6 days before the date of the bond sale in a newspaper of general circulation in Douglas County, Kansas, and the Kansas Register and by distributing copies of the Notice of Bond Sale and Preliminary Official Statement to prospective purchasers of the Bonds. Proposals for the purchase of the Bonds shall be submitted upon the terms and conditions set forth in said Notice of Bond Sale, and shall be delivered to the governing body at its meeting to be held on such date, at which meeting the governing body shall review such bids and shall award the sale of the Bonds or reject all proposals.
Section 4. For the purpose of enabling the purchaser of the Bonds (the “Purchaser”) to comply with the requirements of Rule 15c2-12 of the Securities and Exchange Commission (the “Rule”), the Mayor and Clerk or other appropriate officers of the Issuer are hereby authorized: (a) to approve the form of said Preliminary Official Statement and to execute the “Certificate Deeming Preliminary Official Statement Final” in substantially the form attached hereto as Exhibit A as approval of the Preliminary Official Statement, such official’s signature thereon being conclusive evidence of such official’s and the Issuer’s approval thereof; (b) covenant to provide continuous secondary market disclosure by annually transmitting certain financial information and operating data and other information necessary to comply with the Rule to the Municipal Securities Rulemaking Board; and (c) take such other actions or execute such other documents as such officers in their reasonable judgment deem necessary to enable the Purchaser to comply with the requirement of the Rule.
Section 5. The Issuer agrees to provide to the Purchaser within seven business days of the date of the sale of Bonds or within sufficient time to accompany any confirmation that requests payment from any customer of the Purchaser, whichever is earlier, sufficient copies of the final Official Statement to enable the Purchaser to comply with the requirements of the Rule and with the requirements of Rule G-32 of the Municipal Securities Rulemaking Board.
Section 6. The Mayor, Clerk and the other officers and representatives of the Issuer, the Municipal Advisor and Bond Counsel are hereby authorized and directed to take such other action as may be necessary to carry out the sale of the Bonds. Such officials are also directed and authorized to make provision for payment and/or redemption of the Loan from proceeds of the Bonds and other available funds.
Section 7. The Mayor, Clerk and the other officers and representatives of the Issuer, are hereby authorized and directed to take such action as may be necessary to provide conditional notice of prepayment of the Loan, subject to the availability of funds therefore from the proceeds of general obligation bonds to be issued by the City.
Section 8. This Resolution shall be in full force and effect from and after its adoption.
ADOPTED by the governing body on April 26, 2016.
(SEAL)
Mayor
ATTEST:
Clerk
EXHIBIT A
CERTIFICATE DEEMING
PRELIMINARY OFFICIAL STATEMENT FINAL
June 7, 2016
To: ________________
________________
Re: City of Lawrence, Kansas, General Obligation Refunding Bonds, Series 2016-A
The undersigneds are the duly acting Mayor and Clerk of the City of Lawrence, Kansas (the “Issuer”), and are authorized to deliver this Certificate to the addressee (the “Purchaser”) on behalf of the Issuer. The Issuer has previously caused to be delivered to the Purchaser copies of the Preliminary Official Statement (the “Preliminary Official Statement”) relating to the above-referenced bonds (the “Bonds”).
For the purpose of enabling the Purchaser to comply with the requirements of Rule 15c2-12(b)(1) of the Securities and Exchange Commission (the “Rule”), the Issuer hereby deems the information regarding the Issuer contained in the Preliminary Official Statement to be final as of its date, except for the omission of such information as is permitted by the Rule, such as offering prices, interest rates, selling compensation, aggregate principal amount, principal per maturity, delivery dates, ratings, identity of the underwriters and other terms of the Bonds depending on such matters.
CITY OF LAWRENCE, KANSAS
By:
Title: Mayor
By:
Title: Clerk