1984-90015-Resolution No. 84-048 Recorded 10/4/1984VOL 56 r tIO 1
REVIE
LEG . OUNSEL
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNtY, OREGON
A Resolution Adopting the
Official Statement Relating
to Deschutes County's General *
Obligation Improvement Bonds, *
Series 1984.
RESOLUTION NO. 84 -048
'g,, 4. 02
WHEREAS, the Board of County Commissioners authorized the
sale of General Obligation Improvement Bonds; and
WHEREAS, an Official Statement was prepared for this issue
by A. G. Edwards & Sons, Inc., the County's financial consultant;
and
WHEREAS, the Official Statement was available prior to the
first publication of the Official Notice of Bond Sale; and
WHEREAS, the Board of County Commissioners has reviewed the
Official Statement, and finds it accurate and truly representa-
tive of the financial condition of the County and the Bond Issue;
now, therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
DESCHUTES COUNTY, OREGON, as follows:
Section 1. That the Official Statement, marked Exhibit "A ",
attached hereto and by this reference incorporated herein, is
adopted as the County's Official Statement relating to the
General Obligation Improvement Bonds, Series 1984, to be issued
by Deschutes County, Oregon.
DATED this OW day of
1984.
BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY OREGON
ATTEST:, t '' L�I:R`1STOW PRANTE, Commissioner
Recording Secretary
1 - RESOLUTION NO. 84 -048
LAURE CE A. UTT/E, Commissioner
EXHIBIT "A" V�l� PA�:9�
PRELIMINARY OFFICIAL STATEMENT
DATED: OCTOBER 8, 1984
9
NEW ISSUE SALE DATE:
October 24, 1984
DESCHUTES COUNTY
o OREGON
V
$550,000
t
General Obligation Improvement Bonds, Series 1984
to Dated: November 1, 1984 Due: As noted below
To
Bond proceeds will be used to finance improvements to local improvement districts within Deschutes
o County. Initial security is provided by assessments against the improved properties. The Bonds are also
2 secured by the County's pledge to levy a tax without limitation as to rate or amount on all taxable property
within the County if necessary to pay principal and interest promptly when and as they become due.
5
a
in
L
1..
ai
c 1)uc Principal Due Principal
October 1 Amount October 1 Amount
1985 $35,000 1990 $55,000
O 1986 40,000 1991 60,000
1987 45,000 1992 65,000
w 1988 45,000 1993 75,000
c 1989 50,000 1994 80,000
T.!
.c
I
o
c
c
c
0
0
c
0
.1 The bonds are registered bonds in $5,000 denominations, or any integral multiple thereof. Interest is
E payable semiannually beginning April 1, 1985 at the office of the Oregon Bank, Portland, Oregon.
c
O The bonds are not subject to redemption prior to maturity.
32
R The County is offering these bonds for delivery subject to the legal opinion of Ragen, Roberts,
O'Scannlain, Robertson & Neill, Bond Counsel, approving issuance of the bonds and stating that interest
d on the bonds is exempt from taxation by the United States under present federal income tax laws and from
2. personal income taxation by the State of Oregon under present state law.
R
0
o ;
c S FINANCIAL ADVISOR
Ew
T2 O
o. c
o
o A.G. Edwards & Sons, Inc.
N C
L O
I-
VOL 56 FACE 903
BOND ISSUE SUMMARY
DESCHUTES COUNTY
$550,000
GENERAL OBLIGATION
BANCROFT IMPROVEMENT BONDS
SERIES 1984
SALE DATE: October 24, 1984, 9:00 a.m., Prevailing Pacific Time.
DATE OF ISSUE: November 1, 1984.
RATING: The County has applied to Moody's Investors Service for
a rating on this issue. The County's other general
obligation debt is currently rated single "A" by
Moody's.
PURPOSE:
To finance various projects within local improvement
districts. See section entitled The Projects" for
additional detail.
DENOMINATIONS: $5,000, or integral multiples thereof.
MATURITIES:
Principal is payable October 1, commencing October 1,
1985. Interest is payable April 1 and October 1,
commencing April 1, 1985.
Maturity Principal Maturity Principal
Date Amount Date Amount
10/1/85 $35,000 10/1/90 $55,000
10/1/86 40,000 10/1/91 60,000
10/1/87 45,000 10/1/92 65,000
10/1/88 45,000 10/1/93 75,000
10/1/89 50,000 10/1/94 80,000
AVERAGE LIFE: 6.14 years.
REDEMPTION: The Bonds are not subject to redemption prior to
maturity.
REGISTRATION: The Bonds are in registered form.
PLACE OF PAYMENT: The Bonds are payable at the office of the Oregon Bank,
Portland, Oregon.
AUTHORIZATION: The Couuty Commission approved issuance of the Bonds at
its regular September meeting.
SECURITY:
DISCOUNT:
BIDDING LIMITATIONS:
TAX LIMITATION:
TAX EXEMPT STATUS:
LEGAL OPINION:
PENDING LITIGATION:
DEFAULT:
REMEDIES IN THE
EVENT OF DEFAULT:
VOL 56 FACE 944
The Bonds are general obligations of the County. The
County has the power and is obligated to cause ad
valorem taxes, without limitation as to rate or amount,
to be levied annually upon all taxable property within
the boundaries of the County in an amount sufficient to
pay the principal of and interest upon the Bonds.
Bids must be for not less than 98 percent of the par
value of the Bonds.
The interest rate bid on any maturity of Bonds cannot be
less than the rate specified for any prior maturity.
Each interest rate must be in multiples of 1/20 or 1/8
of one percent. The County reserves the right to reject
all bids.
Increases in property tax levies for operating purposes
that exceed the "six- percent limitation" created by the
state's constitution must be voter approved. The state
constitution excludes special and serial levies and
levies for payment of debt service from this limitation.
See the "Tax Levy and Collection Procedures" section for
more detailed information. Also see "Initiative
Petitions" section for a discussion of the proposed
property tax measure that is on the November, 1984
ballot.
In the opinion of Bond Counsel, the interest on the
Bonds is exempt from all present federal income taxes
and State of Oregon personal income taxes.
The unqualified legal opinion of Ragen, Roberts,
O'Scannlain, Robertson & Neill, Attorneys, of Portland,
Oregon will be furnished free of charge to the original
purchaser of the Bonds. A copy of the legal opinion
will be printed on each Bond.
There is no litigation pending or threatened against the
County that would in any way relate to the Bonds.
The County has never defaulted on any debt obligation.
In the opinion of Bond Counsel, in the event of a
default on the Bonds, the County could be compelled by a
court of competent jurisdiction, in an appropriate
proceeding, to levy annually a tax, without limit as to
rate or amount, sufficient to pay principal and interest
on the Bonds and to order payment on the Bonds from
funds lawfully available therefor. In exercising its
discretion as to whether to enter such an order, the
court may take into account all relevant factors
including the current operating needs of the County and
the availability and adequacy of other remedies.
CUSIP NUMBERS:
LEGALITY OF
INVESTMENT:
FINANCIAL ADVISOR:
VOL 56 ?ACE 905
Enforcement of a claim for payment of principal of or
interest on Bonds may also be subject to the applicable
provisions of federal bankruptcy laws and to the
provisions of other statutes, if any, hereafter enacted
by the Congress or the legislature extending the time
for payment or imposing other constraints upon
enforcement insofar as the same may be constitutionally
applied.
CUSIP identification numbers will be printed on the
bonds. Failure to print, or improperly imprinted
numbers will not constitute basis for the purchaser to
refuse to accept delivery.
The Bonds are legal investments for all Oregon trust
funds, commercial and savings banks, trust companies and
funds of insurance companies.
A. G. Edwards & Sons, Inc. has acted as Financial
Advisor to the County in connection with preparation of
this statement and the issuance of the Bonds. The
County and the Advisor have agreed in writing that the
Advisor may submit a bid to purchase this issue at the
public sale.
APPROVAL OF COUNSEL: Legal matters incident to the authorization, issuance
and sale by the County of the Bonds are subject to the
unqualified approving opinion of Bond Counsel, Ragen,
Roberts, O'Scannlain, Robertson & Neill. Bond Counsel
has not independently verified the accuracy or
completeness of the representations in this Official
Statement except that information contained in the Bond
Issue Summary section.
EXPERTS: The financial statements of the County included in the
Appendix of this statement were prepared by Donaca,
Battleson, Ashford & Company, certified public
accountants. The summaries of financial results that
appear in the text of the Official Statement were
prepared by the Financial Advisor and were not reviewed
by the auditors. The auditors were not requested to
review the Official Statement and therefore offer no
opinion regarding the statement.
INFORMATION SOURCES: The information contained in this Official Statement has
been obtained from the County and State of Oregon public
records or from the sources indicated in the statement.
This Official Statement describes the affairs of the
County up to the date hereon; it does not purport to
describe the affairs of the County after this date.
DELIVERY:
ADDITIONAL
INFORMATION:
VOL 56 PAGE 996
Delivery of the Bonds will be made without undue delay
at the expense of the County at such place in the City
of Portland, Oregon as the successful bidder shall name
or elsewhere at the expense of the successful bidder.
A. G. Edwards & Sons, Inc., 0119 S.W. Bancroft Street,
Portland, Oregon 97201, (503) 248 -9544.
•
. VOL 56 PAv: 907
DESCHUTES COUNTY
State of Oregon
INTRODUCTION
Formed in 1916 from a portion of Crook County, Deschutes County contains an
area of approximately 3,041 square miles. The County took its name from one of
Oregon's most scenic rivers, originally called "Riviere des Chutes" (River of
the Falls) by the French- Canadian fur trappers of the old Hudson's Bay Company.
Population in the County is concentrated in three cities: Bend, the County Seat
(with an estimated 1983 population of 17,840); Redmond, (6,605); and Sisters
(730). Much of the recent population growth in the County has been the result
of development in unincorporated areas.
Deschutes County is located in central Oregon on the eastern slopes of the
Cascade Mountain Range. The City of Bend, located near, the center of the County
is 128 miles east of Eugene and 160 miles southeast of Portland. From the peak
of South Sister, elevation 10,358 feet, to its fertile valleys, Deschutes County
encompasses a varied topography. It has experienced the most rapid growth of
any county in the state over the past ten years.
Economic activity has been shifting from manufacturing to nonmanufacturing
in recent years as recreational activities have outpaced the forest products
sector. The County's natural beauty has contributed to considerable resort
development related to both summer and winter sports. In the summer, golf,
hiking, boating, fishing and tennis bring thousands of visitors to central
Oregon. In the winter, the skiing on Mt. Bachelor (elevation 9,060) is a
popular attraction that brings enthusiasts from all parts of the United States.
Three large developments, Sun River, Black Butte Ranch, and the
Inn of the Seventh Mountain serve as destination resorts and as
sites for retirement and vacation homes.
The forest products industry, previously the basis of the central Oregon
economy, continues to be the largest component of the manufacturing sector.
Plywood, particleboard, furniture components and mobile homes are the principal
products. During the 1970s, emphasis began to shift from lumber production to
the remanufacturing of wood products. In recent years this trend has included
the attraction of non - lumber manufacturers. Deschutes County now has Oregon's
most diverse economic base east of the Cascades.
GOVERNMENT AND ADMINISTRATION
Deschutes County is governed by a three - member Board of Commissioners. The
full -time Commissioners are elected at large to staggered four -year terms. The
Board is responsible for policy formation and general administration of County
affairs. Other elected County officials provide daily management of specific
departments. These include the District Attorney, Clerk, Sheriff, Treasurer,
Assessor, and Surveyor.
vet 56 FACE 908
BOARD OF COUNTY COMMISSIONERS
Albert Young, Chairman
Laurence A. Tuttle Lois Bristow Prante
OTHER ELECTED OFFICIALS
Office Name
County Treasurer: Helen Rastovich
County Assessor: Oscar Bratton
County Surveyor: David Hoerning
District Attorney: Tom Howes
County Clerk: Mary Sue Penhollow
County Sheriff: Jim France
APPOINTED OFFICIALS
Office
Administrative Services Director
County Counsel
Term Expires
Name
Michael A. Maier
Richard L. Isham
1986
1986
1984
1986
1986
1984
' VOL 56 PAGE 949
ADMINISTRATIVE PERSONNEL
Michael A. Maier, Administrative Services Director,
Mr. Maier has been Administrative Services Director for Deschutes County
since 1979. Prior to joining the County, Mr. Maier was Court Administrator of
Clackamas County for two and one -half years and served as Administrative
Assistant to the Court Administrator of Orange County, California. He has a
bachelor's degree in Criminology from California State University at Long Beach
and a Master's in Public Administration from the University of Southern
California.
Richard L. Isham, County Counsel
Mr. Isham is a graduate of Southern Oregon College and the Northwestern
School of Law at Lewis and Clark College. Mr. Isham has been County Counsel
for four years. His municipal law background includes three years as Assistant
County Counsel for Polk County, Oregon, legal counsel for the Housing Authority
and Urban Renewal Agency of Polk County, and contract work with the cities of
Monmouth and Independence, Oregon. Prior to joining government, Mr. Isham was
employed by Standard Insurance Company of Oregon.
Helen Rastovich. County Treasuer
A life -long resident of Central Oregon, Ms. Rastovich was appointed County
Treasurer of Deschutes County in 1965 and first elected to the position in 1966.
Her government activities include membership on the Oregon Municipal Debt
Advisory Commission, membership on the Board of the Oregon Tax Collectors
Association, and member and past president of the Oregon State Association of
County Treasurers and Finance Officers. In addition, Ms. Rastovich is a member
of the National Association of County Treasurers and Tax Collectors and has
served as a member of the board of that organization.
OTHER PERSONNEL
Deschutes County has a staff of approximatey 438 employees; 294 salaried
and 144 hourly. These figures include reserve deputies and on -call employees.
The actual payroll for August of 1984 was 388.
General Fund employees are not a part of any organized bargaining unit. Of
all County employees, only the Sheriff's Department has representation.
Approximately 40 members of this Department are represented by the Deschutes
County Sheriff's Association. This group is now in the second year of a
two -year agreement that expires on July 30, 1985. The Sheriff's Department
employees are prohibited by law from striking. All disputes between the County
and the Sheriff's Association must go to binding arbitration.
During the past five years there have been three votes by other County
employees on representation. In each case the employees voted down the
proposals. General relations with employees are characterized as "good" by
County officials.
VOL 56 rAGE 910
MUNICIPAL SERVICES
Until recently, counties in Oregon functioned almost exclusively as agents
of state government. However, in 1958 a constitutional amendment authorized
counties to adopt "home rule" charters and a 1973 state law granted counties
power to exercise broad "home rule" authority. According to the Oregon Blue
Book 1983 -1984, "the national Advisory Commission on Intergovernmental Relations
has identified county government in Oregon as having the highest degree of local
discretionary authority of any state in the nation." Services provided by
counties in Oregon now include: public health, mental health, community
corrections, juvenile services, criminal prosecution, parks, libraries, land use
planning, building regulations, elections, air pollution control, senior
services, and many others.
Water
In unincorporated areas of the County there are a number of independent
water districts. Incorporated cities and towns are responsible for their own
water supplies.
Sewer
Sewer services are provided primarily by incorporated cities within the
County. Unincorporated areas generally are served by septic tanks or
independent sanitary districts.
Sheriff
Deschutes County, along with the Oregon State Police, assumes considerable
responsibility for law enforcement within the County. These activities are
supported by the Sheriff's Law Enforcement Levy, which will be $2,491,203 in
fiscal year 1984 -85.
Fire
The County administers a number of rural fire protection districts to serve
unincorporated areas. Incorporated cities are responsible for their own fire
protection services.
Transportation
The maintenance and repair of county roads is one of Deschutes County's
primary responsibilities. Routine maintenance is provided on a regular basis,
with major repairs, extensions and replacements financed through the issuance of
assessment bonds. A number of county road districts have been formed to provide
for road maintenance and repair.
VOL 56 PAGE 911.
Health Care
Health care services in Deschutes County are provided by the Central Oregon
Hospital District and St. Charles Hospital. In addition, health care services
to the elderly are provided by four convalescent homes, three of which are
located in Bend, and one is located in Redmond.
Library
Deschutes County operates a library with its main branch in Bend and other
branch offices at 2 sites around the county. The library operations are
supported by a serial levy that will total $777,454 in fiscal year 1984 -85.
Parks
Major park facilities are provided by the Central Oregon Park and
Recreation District and the Bend Metropolitan Park and Recreation District.
Schools
The County has no direct responsiblity to provide school facilities and
services. This responsibility lies with independent school districts #1 (Bend),
#2J (Redmond), #6 (Sisters), and #I5 (Brothers).
' VOL 56 PAGE 912
PRIVATE SECTOR SERVICES
Utilities
Electric power is provided to residents of Deschutes County by
Pacific Power & Light, an investor -owned utility, Mid —State
Electric Co—op, and Central Electric Co—op. Natural gas is
supplied by Cascade Natural Gas and telephone service by Pacific
Northwest Bell and United Telephone.
Energy
In the past, Northwest energy generation was dominated by hydroelectric
facilities on the Columbia River. The considerable capacity of these dams was
more than adequate to meet demand, even during the dramatic growth periods of
the 1960s and 1970s. However, as energy use grew with greater population and
industrial expansion, there was concern that these traditional hydroelectric
sources would be unable to keep pace. Forecasts of use into the 1980s and
beyond began to show that demand would exceed supply.
In response to these forecasts, many utilities in the Northwest contracted
with the Washington Public Power Supply System (WPPSS) to purchase the
generating capacity of five nuclear power plants. The cost of constructing
these plants greatly exceeded original projections. At the same time, estimates
of future energy demand were revised to show that there would be no immediate
need for the output of all five plants. The revised estimates were due to the
current economic recession, lower demand as energy prices were increased, and
conservation.
Construction has been terminated on Plants 4 and 5, and work on Plant 3 has
been delayed until 1986. Pacifc Power & Light •(PP &L), an investor -owned utility
that provides some of the electric service to Deschutes County, owns 10%
interest in Plant 5.
WPPSS is now in default on its obligation to pay debt service on the bonds
issued to finance Plants 4 and 5. The Oregon Supreme Court has upheld the
legality of the contracts entered into between WPPSS and the various Oregon
municipalities and people's utility districts. The Oregon Supreme Court did
not, however, rule on the enforcability of the agreements. This leaves the
future liability of Oregon ratepayers in question. A number of legal challenges
remain unresolved and until these are clarified, the ultimate impact of the
projects on energy rates in the region will be uncertain.
In the last three years, the Bonneville Power Administration has raised its
wholesale rates 60%, 59% and 22%. Over the same period, rates for direct
service industry customers were raised 188 %, 50% and 9 %. rnitial projections
for 1984 show smaller rate increases.
J
VOL 56 fAcE 913
THE PROJECT
The $550,000 Series 1984, Bancroft Improvement Bonds are being issued
pursuant to applicable sections of Oregon Revised Statutes Chapters 371 and
223. These statutes govern the financing of projects within local
improvement districts. Initial security for bonds issued to finance such
projects is provided by the repayment of assessments against the improved
properties. Such assessments, until paid, represent a lien on the
property. Ultimate security is a pledge of the County's full faith and
credit, including the promise to levy a property tax on all taxable
property in the County without limitation as to rate or amount.
The Series 1984 bonds are being issued to finance road and street
improvements in the following local improvement districts:
District Amount of Assessment Date Assessed
Williams Loop $ 40,399.00 2/16/83
Breightenwood 86,000.00 2/16/83
Equestrian 98,370.18 2/22/84
35th Street 30,450.00 2/22/84
Klippel Acres 123,060.00 2/22/84
Preble Way 30,107.40 2/22/84
Cheyenne 122,107.70 8/29/84
McGill 62,450.00 8/29/84
Mathers 39,675.00 8/29/84
Glenwood 61,076.50 8/29/84
VOL 56 PACE 914
DEBT INFORMATION
DEBT LIMITATION
Oregon Revised Statutes 223.295 allows counties to issue general
obligation Bancroft Improvement Bonds in amounts not to exceed 9.0% of true
cash value. Bancroft Improvement Bonds may be issued without voter
approval, providing the required hearings and remonstrance proceedings are
held. Such bonds may be issued in amounts equal to the amount of unpaid
assessments for which installment contracts have been filed with the
county.
DEBT AUTHORIZATION
As noted above, Bancroft Improvement Bonds may be issued without voter
authorization. Oregon Revised Statutes provide that counties may secure
such bonds with a full faith and credit pledge, including a promise to levy
property taxes on all taxable property within the county without limitation
as to rate or amount if necessary to provide for the payment of principal
and interest on the bonds. The Deschutes County Board of Commissioners
authorized the issuance of $550,000 Series 1984 general obligation Bancroft
Improvement Bonds at their regular September meeting.
DEBT MANAGEMENT
Deschutes County has always met its obligation to make principal and
interest payments in a timely manner. The County has never defaulted on
any debt obligation. In the course of its management of assessment bond
issues, Deschutes County has never had to foreclose on property owners who
have failed to make their assessment payments.
Most County Bancroft issues have been sold to provide streets and
roads to newly developed residential areas. For this reason, Deschutes
County has made interfund loans from the County Road Fund to the Bancroft
Bond Redemption Fund to cover debt service payments prior to the receipt of
assessment payments from property owners. At this time the Bancroft Bond
Redemption Fund owes the County Road Fund approximately $60,000. These
funds have always been repaid without recourse to foreclosure proceedings
against property owners.
Deschutes County has never had to levy a property tax to provide for
principal and interest payments due on Bancroft bonds.
DEBT HISTORY
OUTSTANDING AND PROPOSED GENERAL OBLIGATION DEBT
(as of August 31, 1984)
Date
Issue Issued
Public Library 10/1/78
County Roads 10/1/81
Seventh Mountain
Service District 3/1/82
PROPOSED ISSUE
10/1/84
Maturity
Date
10/1/88
10/1/91
3/1/92
Amount
Issued
$ 383,097
1,635,000
779,246
10/1/94 $ 550,000
TOTAL OUTSTANDING (including new issue)
Overlapping District
City of Bend
City of Redmond
School District # 1
School District # 2J
School District # 2J
(1968 issue)
School District # 6
Cent. Oregon Hosp. Dist.
Cent. Oregon Commmun.Col.
City of Sisters
Black Butte Ranch R.F.P.D.
LaPine R.F.P.D.
Central Oregon Park
& Recreation District
Bend Metropolitan Park
Recreation District
Laidlaw Water District
Cloverdale R.F.P.D.
35 Others
TOTAL
OVERLAPPING DEBT
(as of August 31, 1984)
Overlap
100.00%
100.00
100.00
93.84
VOL 56 PACE 915
Amount
Outstanding.
$ 255,000
1,540,000
735,000
550.000
$ 3,080,000
Overlapping
Gross Net
$ 15,348,900 $ 8,790,000
6,551,000 6,551,000
25,145,000 22,005,000
3,870,900 3,870,900
94.27 1,258,505 1,258,505
100.00 2,005,000 2,005,000
100.00 4,219,000 4,219,000
73.08 1,035,544 876,960
100.00 476,000 476,000
100.00 430,000 430,000
100.00 210,000 210,000
100.00 670,000 670,000
100.00 600,000 600,000
100.00 96,043 96,043
100.00 16,000 16,000
various 0
$ 61,931,892 $ 52,074,408
SOURCE: Municipal Bond Division, Oregon State Treasury.
True Cash Value
Assessed Value
Gross Direct Debt
Net Direct Debt
Net Direct and
Overlapping Debt
DEBT RATIOS
Per Capita
$ 38,002
36,482
48.66
0.00
822.66
vo. 56 PAGE 916
As a % of As a % of
True Cash Value Assessed Value
104.17%
96.0% —
0.13 0.13
0.00 0.00
2.16 2.25
1 - Based on 1983 -84 True Cash Value of $2,405,524,266 and Assessed Value of
$2,309,303,295. Assumes Series 1984 bonds will be fully self- supporting.
FUTURE BORROWING PLANS
Deschutes County has no plans to issue debt to fund major capital
improvement projects at this time. The only borrowing anticipated is a Bancroft
issue of approximately $500,000 for road improvements that will be offered for
sale in early 1985.
FUTURE ANNUAL DEBT SERVICE REQUIREMENTS
Fiscal Outstanding Proposed
Year Prin Int Total Prin Int Total TOTAL
1984 -85 $ 170 $ 236 $ 406 $ - $ 19 $ 19 $ 425
1985 -86 195 213 408 35 46 81 489
1986 -87 215 189 404 40 43 83 487
1987 -88 245 164 409 45 39 84 493
1988 -89 275 136 411 45 36 81 492
1989 -90 300 105 405 50 32 82 487
1990 -91 340 70 410 55 28 83 493
1991 -92 380 29 409 60 23 83 492
1992 -93 - - - 65 17 82 82
1993 -94 - - - 75 11 86 86
1994 -95 - - - 80 4 84 84
1995 -96 - - - - - - -
TOTAL $2,120 $1,143 $3,263 $ 550 $ 298 $ 848 $ 4,110
1 - Assumes a net interest cost of approximately 8.8% on the Series 1984 Bonds.
PROJECTED TAX RATE FOR DEBT SERVICE VOL 56 ?ACE 9I7
Projected Tax Rate
Assessed Per $1,000
Fiscal Value Assessed
Year ($ in 000) Value
1985 -86 $ 2,419,438,038 0.12
1986 -87 2,479,923,989 0.11
1987 -88 2,541,922,089 0.10
1988 -89 2,605,470,141 0.08
1989 -90 2,670,606,895 0.07
1 - Assumes an annual growth rate in assessed value of 2.5 %. Based upon current
assessed value of $2,302,855,955 (base assessed value less real and personal
property exemptions or cancellations of $6,447,340). Based on estimate provided
by Financial Advisor.
2 - Assumes no property tax will be levied for existing or proposed Bancroft
bonds.
VOL 56 PAGE 918
PROPERTY ASSESSMENT AND EQUALIZATION
ASSESSMENT
Assessment of most property in Oregon for tax purposes is done by the
county assessor. An exception is public utility property, which is
assessed by the State of Oregon Department of Revenue. All property is
assessed on a six -year cycle with annual adjustments designed to maintain
assessments within a 5% deviation of county -wide market value. The
assessment roll, listing all taxable property, is prepared as of January 1
each year.
Both real and personal property is subject to taxation. Exemptions
include household furnishings, automobiles, crops, orchards, business
inventories, personal belongings and intangible property (bank accounts,
stocks, bonds, etc.). In addition, there is no tax on property used for
religious, fraternal and government purposes and reductions in assessments
are granted for certain farm lands and veterans' homesteads.
EQUALIZATION
Prior to 1980, there was no distinction made between assessed and true
cash or market value in Oregon. Beginning with the 1980-81 fiscal year,
taxable property was divided into two classes - - "Homestead" and "All
Other ". The "Homestead" class consists of owner- occupied, single- family
residences. Appraisal is still at true cash value, but assessment is
adjusted by a ratio designed to limit annual growth statewide to 5% in each
category. The distinction between classes of property was eliminated by
the 1983 Legislature, but assessed value growth will continue to be limited
to 5% annually statewide. These ratios are provided below:
Year Homestead All Other
1980 -81 84.2% 87.6%
1981 -82 81.6 84.4
1982 -83 83.8 85.1
1983 -84 90.3 90.9
L1
VOL 56 PAGE 9.19
TAR LEVY AND COLLECTION PROCEDURES
TAX LEVY
In Oregon there are three different types of levies: (1) the tax base
levy; (2) the voter - approved levy outside the annual growth limitation; and
(3) the levy not subject to the annual growth limitation. Each of these is
described below:
Tax Base Levv
At any general election, voters may approve a tax base. This base,
once approved, represents a permanent authority to levy a tax on property
in the jurisdiction. The dollar amount that may be levied is allowed to
increase up to 6% each year. If the levy does not increase by the maximum
each year, the limit is the highest amount levied in any of the past three
years, plus 6% thereof. The tax base levies may also be increased when
additional property is annexed into the jurisdiction.
Voter - Approved Levy Outside Limitation
Voter approval is required to levy a tax for operations that exceeds
the base (or largest of past three levies) by more than 6 %. The approved
levy may be either a special, one -year authority to exceed the 6% limit or
a serial levy that provides for collection of a set dollar amount over a
period of up to ten years. Serial levies may also specify a specific tax
rate to be applied each year, but such rates are subject to the tax rate
freeze described in the section below on "Legislative Actions Relating to
Property Taxes."
Levy Not Subiect to Limitation
In Oregon, voter - approved general obligation bond issues and Bancroft
improvement bond issues are ultimately secured by the issuers' pledge to
annually levy an amount sufficient to pay principal and interest costs when
due. The levy amounts necessary to meet these obligations are not limited
by Oregon law. Receipts from a levy for debt service may not be used for
any other municipal purpose.
VOL 56 PACE 920
COLLECTION PROCEDURES
Property tax rates are computed by the county treasurer who then bills
and collects all taxes and makes periodic distribution of revenues to the
various taxing entities. Tax rates are expressed as dollars per $1,000 of
assessed value. As taxes are collected they are placed in an unsegregated
pool and each taxing unit receives a pro rata share of the pooled funds,
regardless of the actual collection experience within its boundaries.
Therefore, if a county collected 95% of the various levies, each taxing
unit would receive 95% of its levy.
Taxes are levied on July 1 and are due November 15 of the same
calendar year. For real property the taxes become a lien on July 1 and for
personal property on January 1. Taxes may be paid in full on November 15
or in three equal installments on November 15, February 15, and May 15. A
3% discount is allowed if taxes are paid in full on November 15 and a 2%
discount is granted for two- thirds payment. For late payments, interest
accrues at the rate of 1% per month after each trimester. Foreclosure
proceedings are initiated four years after the tax due date.
LEGISLATIVE ACTIONS RELATING TO PROPERTY TAXES
Over the past several years, the Oregon Legislature has enacted a
number of laws and programs to provide property tax relief. One such
program calls for General Fund payments to off -set the property tax on
homesteads. In 1980 -81, this program provided for a maximum payment of
$800. In subsequent years reduced revenue collections by the State
resulted in reduced appropriations for this purpose and the maximum relief
amounts fell to $425 in 1981 -82, $192 in 1982 -83, and $170 in 1983 -84.
This decline in direct relief from the State has contributed to repeated
attempts by disaffected voters to approve an initiative that would
constitutionally Limit property taxes (see section entitled "Initiative
Petitions ").
The 1983 Legislature approved a property tax freeze that went into
effect January 1, 1984. This legislation specified a maximum net tax rate
that may be levied by a municipality. The maximum net tax rate is the tax
rate extended on the roll minus bond and serial levy rates. This is
limited to the higher of (1) the net tax rate in 1981, 1982 or 1983, or (2)
the rate necessary to raise the tax base or the first levy made by a unit,
or (3) a temporary rate limit approved by the voters for not more than
three years, or (4) a levy adjusted for an assessed value growth below 5%
or a major decrease in non -ad valorem tax revenue. Two elections are
allowed each year at which the electorate may vote to exceed the limit.
In a move designed to simplify levy approval procedures, the 1983
Legislature repealed the requirements for separate "A" and "B" ballots.
These had been used to distinguish between levy amounts that were eligible
for partial state assistance and those that were not.
vol. 56 PAGE 921.
INITIATIVE PETITIONS
An initiative petition which would establish a 1.5% limit on the
amount of ad valorem taxes levied by state and local governments in Oregon
was filed with the office of the Secretary of State on June 27, 1984 with
some 124,000 signatures. The Secretary of State's office determined that
the petition had the required 86,631 signatures necessary to place the
initiative on the November 6, 1984 ballot.
This initiative petition appears similar to ballot measures which were
rejected by Oregon voters in each of the past three General Elections. The
initiative would limit all ad valorem real property taxes to not more than
one and one -half percent (1 1/2 %) of the 1981 assessed value (adjusted for
the intervening period by not more than 2% per year) of property for the
tax year beginning July 1, 1985. The 1 1/2% limitation would not apply to
ad valorem taxes or special assessments levied to pay interest on an
principal of anv indebt ?dness authorized prior to or concurrent with the
passage of the initiative.
Sections 2 and 6 of the current tax limitation measure directly affect
the ability of the state and local governments to issue bonds. Section 2
of the measure states that the 1 1/2% limitation (or $15 per $1,000 of
assessed value) shall not affect taxes or special assessment levied to pay
interest and redemption charges on any bonded indebtedness authorized prior
to or concurrent with the date upon which this amendment becomes effective.
Section 6 provides that after the "effective date ", the state and local
governments may increase a tax rate or special assessment or may levy a new
tax or special assessment only by a majority vote of the legal voters of
the taxing unit voting on the question, provided that at least 50% of the
legal voters of the taxing unit vote on the question. The election dates
for these new or increased taxes or special assessments are to be held on
the third Tuesday in May or the first Tuesday after the first Monday in
November. This would be a major change from current election procedures,
where only a majority of those voting on a tax levy are required to approve
the levy at any one of six election dates.
It is difficult to determine definitively what the impact of the
measure is going to be on the state or on local governments. It is assumed
that for most general obligation bonds, "authorized" as used in Section 2
of the measure would mean approved by the registered voters of the issuer
at an election held to approve the issuance of general obligation bonds.
In addition, although the measure would have no impact on the collection of
ad valorem taxes or assessments for the payment of debt service on
previously authorized obligations, there may be a substantial impact on the
ability of local governments to collect ad valorem taxes and special
assessments for the purpose of funding operations or for other purposes.
This may result in reduction of services provided by local governments with
a consequent impact on local economies.
WI. 56 FACE 922
PROPERTY VALUATION HISTORY
Fiscal Assessed
Year Value Change
1978 -79 $ 1,140,201,271 35.7%
1979 -80 1,565,917,743 37.3
1980 -81 1,771,808,854 13.1
1981 -82 2,008,766,982 13.4
1982 -83 2,119,156,914 5.5
1983 -84 2,302,855,955 8.7
1 - Beginning with the 1980 -81 fiscal year, assessed value is derived by
applying a statewide ratio to true cash value. This ratio is applied to
limit valuation growth to no more than 5 %. Prior to 1980 -81, the assessed
value and true cash value were the same. (See section of Official
Statement entitled "Assessment and Equalization. ") Debt limitations
continue to be calculated based on true cash value.
SOURCE: Deschutes County Assessor's Office.
TAX COLLECTION RECORD
Fiscal Total % Collected % Collected
Year Levy Year of Levy as of 8/30/84
1978 -79 1,501,001 85.5% 99.9%
1979 -80 1,509,988 83.6 99.9
1980 -81 1,067,394 85.0 99.9
1981 -82 3,783,483 83.2 94.3
1982 -83 4,539,715 84.1 91.0
1983 -84 5,020,875 86.2 86.2
1984 -85 4,608,990
1 - Property taxes in Oregon are collected by the county and are
distributed to municipalities within the county on a pro rata basis, each
municipality receiving the same percentage of its levy.
SOURCE: Deschutes County Assessor's Office.
CONSOLIDATED TAX RATE
Tax Code Area 1 -1
District
DESCHUTES COUNTY
Education Service District
Central Oregon Community College
Deschutes County S.D. #1 (Bend)
Central Oregon PUD
City of Bend
Bend Metro Park & Rec. Dist.
Consolidated Tax Rate
VOL 56 PACE 923
1983 -84
Tax Rate Percent
Per $1.000 of Total
1.96 9.3
0.22 1.0
1.38 6.6
12.33 58.6
3.98 18.9
1.18 5.6
$ 21.05 100.0%
1 - Tax code area 1 -1 is located within the City of Bend.
SOURCE: Deschutes County Assessor's Office.
SUMMARY OF GENERAL FUND BUDGET
FISCAL YEAR 1984 -85
RESOURCES
Current Property Taxes
Estimated Property Taxes Not To Be Collected
Non - Property Tax Resources
vat 56 PACE 924
$ 1,294,535
(194,180)
4,618,084
TOTAL $ 5,718,439
REQUIREMENTS
Total Personal Services
Total Material and Services
Other Expenditures and Requirements
Total Capital Outlay
Unappropriated Balance
$ 3,219,141
1,079,564
1,011,234
8,500
400,000
TOTAL $ 5,718,439
SUMMARY OF SHERIFF'S LAW ENFORCEMENT FUND BUDGET
FISCAL YEAR 1984 -85
RESOURCES
Current Property Tax Levy
Estimated Property Taxes Not To Be Collected
Non - Property Tax Resources
$ 2,491,203
(373,681)
450,000
TOTAL $ 2,567,522
REQUIREMENTS
Total Personal Services
Total Materials and Services
Total Other Expenditures and Requirements
Total Capital Outlay
$ 1,837,101
337,560
144,361
248,500
TOTAL $ 2,567,522
SUMMARY OF COUNTY LIBRARY FUND BUDGET
FISCAL YEAR 1984 -85
RESOURCES
Current Property Taxes
Estimated Property Taxes Not To Be Collected
Non - Property Tax Resources
VOL 56 FACE 925
$ 777,454
(116,899)
340,700
TOTAL $ 1,001,255
REQUIREMENTS
Total Personal Services
Total Material and Services
Other Expenditures and Requirements
Total Capital Outlay
$ 460,148
328,740
138,336
74,031
TOTAL $ 1,001,255
SUMMARY OF LIBRARY DEBT SERVICE FUND BUDGET
FISCAL YEAR 1984 -85
RESOURCES
Current Property Taxes
Estimated Property Taxes Not To Be Collected
Non - Property Taxes Resources
TOTAL
REQUIREMENTS
$ 45,798
(6,798)
55,353
$ 94,353
Total Personal Services $ 0
Total Materials and Services 0
Total Other Expenditures and Requirements 94,353
Total Capital Outlay 0
TOTAL $ 94,353
DESCHUTES COUNTY
GENERAL FUND BALANCE SHEET HISTORY
FISCAL YEARS 1981, 1982 and 1983
Assets
Cash and Investments
Taxes Receivable
Accounts Receivable
Inventories
TOTAL ASSETS
Liabilities & Fund Equity
Liabilities
Deferred Income
Accounts Payable
Unmatured Bonds Payable
Pending Distributions
1981
VCL 56 PAt:926
1982 1983
$ 298,461 $ 484,855 $ 548,916
276,042 327,735 502,968
47,344 42,119 91,496
$ 621,847 $ 854,709
$ 112,670
TOTAL LIABILITIES $ 112,670
Fund Equity
$ 337,418
42,226
$ 1,143,380
$ 492,748
26.535
$ 379,644 $ 519,283
Investment in Fixed Assets $ - $ - $ -
Fund Balance
Reserved for Inventories
Unreserved
Designated for Debt Svc.
Undesignated 509,177 475,065 624.097
Total Fund Equity $ 509,177 $ 475,065 $ 624,097
TOTAL LIABILITIES & FUND EQUITY $ 621,847 $ 854,709 $ 1,143,380
1 - The summaries on this and the following page were prepared by the Financial
Advisor from audited financial records provided by Deschutes County.
DESCHUTES COUNTY
GENERAL FUND FINANCIAL HISTORY
FISCAL YEARS 1981, 1982 AND 1983
1981
Receipts
val 56 PAGE 927
1982 1983
Local
Taxes $ 986,591 $ 1,056,802 $ 1,896,610
Licenses and Permits 1,099,487 1,185,002 709,533
Fines and Forfeitures 291,176 200,944 157,846
Charges for Services 286,940 333,721 170,161
Interest 501,249 305,545 234,010
Other - 38,306 133,592
Total Current Receipts $ 4,138,699 $ 3,941,826 $ 3,994,225
Transfers In
Beginning Fund Balance
TOTAL RESOURCES
Requirements
494,000 530,495 564,197
764,632 509,177 475,065
$ 5,397,331 $ 4,981,498 $ 5,033,487
Current Expenses
General Government $ 584,441 $ 538,484 $ 712,277
General Services 2,249,604 2,350,514 2,508,131
Public Safety 1,024,013 - -
Health and Welfare 427,380 518,563 412,780
Sanitation 597,516 603,461 138,695
Capital Outlay - 120,382 276,598
Total Current Expenses $ 4,882,954 $ 4,131,404 $ 4,048,390
Transfers Out 5,200 375,029 360,909
TOTAL REQUIREMENTS $ 4,888,154 $ 4,506,433 $ 4,409,390
ENDING BALANCE $ 509,177 $ 475,065 $ 624,097
VOL 56 PAGU 928
DESCHUTES COUNTY
GENERAL FUND
COMPARISON OF BUDGETED V. ACTUAL RESULTS
FISCAL YEARS 1981, 1982 AND 1983
Receipts 1981 1982 1983
Local
Taxes 99.96% 84.32% 93.50%
Licenses and Permits 84.53 72.44 113.48
Fines and Forfeitures 95.78 73.74 97.53
Charges for Services 86.17 109.89 107.85
Interest 154.23 174.60 117.01
Other 100.19 50.40 88.81
Intergovermental
Federal 91.67 96.42 88.40
State 96.63 106.08 105.18
Counties 100.19 100.07 101.05
Total Current Receipts 96.53 86.95 98.98
Transfers In
Beginning Fund Balance
TOTAL RESOURCES
Requirements
Current Expenses
General Government
General Services
Public Safety
Health and Welfare
Sanitation
Capital Outlay
Total Current Expenses
Transfers Out
TOTAL REQUIREMENTS
ENDING FUND BALANCE
95.41 100.50 98.79
143.13 164.25 128.40
101.09 92.74 101.15
94.77
96.74
99.89
93.51
91.69
96.19
2.63
92.68
779.42
96.42 95.58
93.22 95.55
95.91 95.54
89.47 95.54
48.32 82.50
87.51 94.55
57.67 65.43
83.89
164.25
91.23
91.23
1 - Figures in table represent actual receipts and expenditures of the County
expressed as a percent of budgeted amounts for the year shown.
VOL 56 PACE 929
POPULATION DATA
% DESCHUTES % STATE OF %
YEAR BEND CHANGE COUNTY CHANGE OREGON CHANGE
1950 11,409 - 21,812 - 1,521,341 -
1960 11,936 4.6% 23,100 5.9 1,768,687 16.3
1970 13,710 14.9 30,442 31.8 2,091,533 18.3
1980 17,263 25.9 62,142 104.1 2,633,156 25.9
1981
1982
1983
17,425 0.9
17,800 2.2
17,840 0.2
63,650
64,350
63,300
2.4 2,660,735 1.0
1.1 2,656,185 -0.2
-1.6 2,635,000 -0.8
SOURCE: Population figures cited above for the years 1950, 1960, 1970, and 1980
are U.S. Census statistics. The other are estimates prepared by the Center for
Population Research and Census at Portland State University.
As can be seen from the population figures presented above, Deschutes
County and the State of Oregon experienced considerable growth during the 1960s
and 1970s. This growth in Deschutes County was most pronounced during the
period between 1970 and 1980. In recent years, as recession has slowed economic
growth in Oregon, there has been a slight decline in population, both in the
County and statewide.
VOL 56 PAGE 930
UNEMPLOYMENT RATES
Deschutes State of United
Year County Oregon States
1972 6.6% 6.8% 5.6%
1973 6.6 6.2 4.9
1974 9.1 7.5 5.6
1975 11.0 10.6 8.5
1976 9.6 9.6 7.7
1977 7.6 7.3 7.1
1978 6.8 6.0 6.1
1979 9.0 6.8 5.8
1980 11.9 8.3 7.1
1981 13.9 9.9 7.6
1982 16.0 11.5 9.7
1983 12.7 10.8 9.6
JAN - 1984 14.0 12.0 8.8
FEB 13.0 10.9 8.4
MAR 12.9 10.4 8.1
APR 12.9 9.9 7.6
MAY 11.5 9.3 7.2
JUN 10.4 9.2 7.4
JUL - Prelim. 10.7 8.9 7.5
1 - Monthly figures arc not seasonally adjusted.
2 - Military personnel are not included.
SOURCE: State of Oregon, Employment Division.
Year
1978
1979
1980
1981
1982
Deschutes
County
$ 393
465
510
549
566
INCOME STATISTICS
TOTAL PERSONAL INCOME
(in millions)
Oregon
$ 19,808
22,460
24,678
26,666
27,350
' VOL 56 PACE 911
United
States
$ 1,712,066
1,927,005
2,158,685
2,426,901
2,571,517
SOURCE: U.S. Department of Commerce, Bureau of Economic Analysis, Survey of
Current Business.
Year
1978
1979
1980
1981
1982
Deschutes
County
$ 7,478
8,402
8,079
8,644
8,86r
PER CAPITA INCOME
Oregon
$ 8,078
8,887
9,356
9,979
10,231
United
States
$ 7,846
8,757
9,503
10,582
11,100
SOURCE: U.S. Department of Commerce, Bureau of Economic Analysis, Survey of
Current Business.
Year
1980
1981
1982
1983
EFFECTIVE BUYING INCOME
Total Effective Buying
Income (in 000)
Deschutes County
$ 488,293
694,842
513,329
551,827
Oregon
$ 20,619,988
22,458,874
23,298,498
24,397,418
Median Effective
Buying Income
Deschutes County Oregon
$ 17,984
17,875
17,823
19,615
$ 17,953
19,036
19,571
20,825
SOURCE: Gales & Marketing Management, Survey of Buying Power, 1980 to 1983.
vol. 56 FAGS 932
BANKING STATISTICS
The statistics below were derived from the Annual Report of the
Superintendent of Banks, Banking Division, State of Oregon Department of
Commerce. These data were published with the following disclaimer:
"Individual office loan figures may not reflect actual loan activity in a
community, as many institutions are centralizing their accounting. In
addition, marketing of a significant portion of their loan portfolios on a
regular basis to institutional investors can mislead the reader in
assumptions as to loan -to- deposit ratios and market share concepts. The
loan figures, therefore, represent only those loans housed at the
respective offices. It does not take into account loans housed in regional
or head offices or loans made and sold and being serviced at the office
branch or regional."
Year
DEPOSIT AND LOAN TOTALS
(in 000)
City of Bend Deschutes
Deposits Loans _Deposi_ts
1979 $ 183,083 $ 155,583
1980 180,807 156,939
1981 165,983 160,199
1982 164,515 147,023
1983 189,310 146,356
$ 282,256
292,366
273,812
277,117
312,588
County__
Loans_
$ 208,568
219,093
215,505
200,978
192,586
SOURCE: Annual Report of the Superintendent of Banks, Banking Division,
State of Oregon Department of Commerce, (1979 to 1983 reports).
Year
1972
1977
1980
1981
1982
1983
City of
Bend
$ 68,082
146,415
380,296
n.a.
n.a.
n.a.
RETAIL TRADE
($ in 000)
Deschutes
County
$ 102,088
234,503
380,296
403,304
416,133
436,535
State of
Oregon
$ 5,190,581
9,347,998
13,186,279
13,861,576
14,487,767
14,879,990
SOURCE: U.S. Department of Commerce, Census of Retail Trade (for 1972 and
1977 figures). Sales & Marketing Management Survey of Buying Power (for
other years).
rya 56 FACE g33
OFFICIAL NOTICE OF BOND SALE
DESCHUTES COUNTY, OREGON
STATE OF OREGON
$550,000
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1984
Notice is hereby given that sealed bids will be received on behalf of
Deschutes County, Oregon until 10:00 o'clock a.m. (Prevailing Pacific Time) on
October 24, 1984 at the offices of Ragen, Roberts, O'Scannlain, Robertson &
Neill, 1600 Orbanco Building, 1001 S.W. Fifth Avenue, Portland, Oregon, 97204,
at which time they will be publicly opened and announced.
The bids shall be considered and acted upon by the Deschutes County Board
of Commissioners within four hours.
ISSUE: FIVE HUNDRED FIFTY THOUSAND DOLLARS ($550,000) consisting of
registered bonds in denominations of FIVE THOUSAND DOLLARS ($5,000) or integral
multiples thereof, all dated November 1, 1984.
INTEREST RATE: Maximum not to exceed a net effective rate of fourteen
percent (14 %) per annum. Interest is payable semiannually on April 1 and
October 1 of each year commencing April 1, 1985. Bidders must specify the
interest rate or rates which the bonds hereby offered for sale shall bear. The
bids shall comply with the following conditions: (1) Each interest rate
specified in any bid must be a multiple of 1 /8th or 1 /20th of one percent (1 %);
(2) No bond shall bear more than one rate of interest; (3) Each bond shall bear
interest from its date to its stated maturity date at the interest rate
specified in the bid; (4) All bonds maturing at any one time shall bear the same
rate of interest; (5) Each maturity rate of interest specified for a particular
maturity of bonds shall not be less than the maturity rate of interest specified
for any earlier bond maturities.
MATURITIES: The bonds shall mature serially on the first day of October
of each year as follows:
DATE
1985
1986
1987
1988
1989
AMOUNT
$35,000
40,000
45,000
45,000
50,000
DATE
1990
1991
1992
1993
1994
AMOUNT
$55,000
60,000
65,000
75,000
80,000
VOL 56 FAGS 934
•
REGISTRATION: The bonds will be issued in fully registered form, and may
be exchanged at the expense of issuer for similar bonds of different authorized
denominations. Bonds may not be converted to bearer form.
REDEMPTION: The bonds are not subject to redemption prior to maturity.
PAYMENT: Principal and interest are payable, either at maturity or upon
earlier redemption, by check or draft through the office of the registrar and
paying agent of the County, which is currently the Oregon Bank, in Portland,
Oregon.
PURPOSE: The bonds are being issued to finance various projects within
local improvement districts.
SECURITY: These bonds are general obligations of the County. The County
has the power and is obligated to cause ad valorem taxes, without limitation as
to rate or amount, to be levied annually upon all taxable property within the
boundaries of the County in an amount sufficient to pay the principal of and
interest upon the bonds.
LEGAL OPINION: The approving opinion of Ragen, Roberts, O'Scannlain.,
Robertson & Neill, Attorneys, of Portland, Oregon, will be provided at no cost
to the purchaser, and will le printed on the bonds at the expense of the County.
TAX EXEMPT STATUS: Interest on the bonds, in the opinion of bond
counsel, is exempt from taxation by the United States under present federal
income tax laws and from personal income taxation by the State of Oregon under
present state law.
BEST BID: The bonds will be awarded to the responsible bidder whose
proposal will result in the lowest net cost to the County. The successful bid
will be determined by computing the total amount of interest which the County
would be required to pay from the date of each bond to its respective maturity
date at the rate or rates specified in the bid, less premium offered, (and plus
discount), if any. Each bidder is requested to supply the total interest cost
and net effective interest rate that the County will pay upon the issue if the
bid is accepted. The purchaser must pay accrued interest, computed on a 360 -day
basis, from the date of the bonds to the date of delivery. The cost of printing
the bonds will be borne by the County.
DELIVERY: Delivery of the bonds will be made without cost to the
successful bidder at such bank in the City of Portland, Oregon, as the
successful bidder shall name. Payment for the bonds must be made in Federal
funds. The County may deliver a temporary bond, which may be a single
registered, typewritten bond, on or before November 6, 1984. The temporary bond
shall be exchangeable for definitive registered bonds not later than November
21, 1984.
vOL 56 PAGE 335
FORM OF BID: All bid; must be for not less than all the bonds hereby
offered for sale, and for not less than ninety -eight percent (98 %) of the par
value thereof and accrued interest to the date of delivery. Each bid together
with bidder's check as herein specified must be enclosed in a sealed envelope
addressed to the County and designated "Proposal for Bonds ".
BID CHECK: All bids must be unconditional and accompanied by a certified
or cashier's check on a bank doing business in the State of Oregon for Eleven
Thousand Dollars ($11,000) payable to the order of the County to secure the
County from any loss resulting from the failure of the bidder to comply with the
terms of its bid. Checks will be forfeited to the County as liquidated damages
in case the bidder to whom the bonds are awarded withdraws its bid or fails to
complete its purchase in accordance with the terms thereof. No interest shall be
allowed on the deposit but the check of the successful bidder will be retained
as part payment of the bonds or for liquidated damages as described above.
Checks of the unsuccessful bidders will be returned by the County promptly.
RIGHTS OF REJECTION: The County reserves the right to reject any or all
bids, and to waive any irregularities.
OFFICIAL STATEMENT: The County has prepared an Official Statement
relating to the bonds, a copy of which will be furnished upon request to its
Financial Advisor, A. G. Edwards & Sons, Inc., 0119 S.W. Bancroft Street,
Portland, Oregon, 97201, telephone 503 -248 -9544, or to the undersigned.
POTENTIAL BID: The Financial Advisor may submit a bid or participate in
a bidding syndicate.
CUSIP: CUSIP numbers will not be imprinted upon the bonds of this issue.
NO LITIGATION: At the time of payment for the delivery of said bonds,
the County will furnish the successful bidder a certificate that there is no
litigation pending affecting the validity of the bonds.
FURTHER INFORMATION: Additional information regarding the County and
this sale may be obtained from James C. Joseph, Public Finance Associate, A. G.
Edwards & Sons, Inc., 0119 S.W. Bancroft Street, Portland, Oregon, 97201,
telephone 503 - 248 -9544.
Helen Rastovich
County Treasurer
Deschutes County, Oregon