1992-37138-Resolution No. 92-084 Recorded 11/4/1992REVIEWED
92-37138 --------
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BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COrNTY—,C
A Resolution Authorizing the Issuance of Bonds to
acquire property, construct jail and related facilities, and
to pay all costs incidental thereto.
RESOLUTION NO. 92- 084
0119-1255
VaffiREAS, this Board of County Commissioners submitted to the legal voters of
Deschutes County, Oregon (the "County"), the question of contracting a general obligation
bonded indebtedness in the sum of $9,500,000 to acquire property, construct jail and related
facilities and to pay all costs incidental thereto; and
WHEREAS, the election was duly and legally held on November 5, 1991, and this
Council has canvassed the result thereof and has declared that issuance of bonds in such sum has
been approved by a majority of the qualified voters of the County voting at the election; now,
therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
DESCHUTES COUNTY, OREGON, as follows:
Section 1. Issue.
For the above purposes, the County shall issue its General Obligation Bonds,
Series 1992 (the "Bonds"), in the amount of Seven Million Dollars ($7,000,000), to be dated
December 1, 1992, to be in denominations of Five Thousand Dollars ($5,000) or integral
multiples thereof, to bear interest payable on December I and June I of each year until maturity
or prior redemption, commencing December 1, 1993, and to mature on December I of each year
as follows:
Date
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
Page I - Resolution
Amount
Date
Amount
$195,000
2004
$365,000
215,000
2005
390,000
240,000
2006
415,000
250,000
2007
440,000
265,000
2008
470,000
280,000
2009
500,000
295,000
2010
530,000
310,000
2011
565,000
325,000
2012
605,000
345,000
KEYP ChU)
[I i � I . ." � r-� � -,
IA- Z11y, pp, M:\RDR\DESCHUrE.CO\CORR-FAC.92\RS2.DOC
October 28,1992
0119-1256
Section 2. Optional Designation of Ter, Bonds and Mandatory
Redemption.
Bidders may designate one or more term bonds. Tenn bonds must consist of two
or more consecutive maturities, and must mature on the maturity date of the last of the
consecutive maturities in an amount equal to the sum of the consecutive maturities. Term bonds
shall be subject to mandatory redemption at par and by lot, in the amounts and on the dates of the
consecutive maturities shown in the preceding section. If no term bonds are designated in the
successful bid, the bonds will mature serially on the schedule indicated above.
Section 3. Optional Redemption.
The County reserves the right to redeem all or any portion of the Bonds then
outstanding, by lot, on the following dates at the following prices expressed as percentages of the
principal amount, plus accrued interest to the date fixed for redemption:
If Redeemed On Redemption Price
December 1, 2002 or June 1, 2003 101.0%
December 1, 2003 and thereafter 100.0
Section 4. Notice of Redemption of Bonds.
(a) Notice of Redemption (DTC). So long as the Refunding Bonds are in
book -entry -form, the Paying Agent shall notify DTC of any early redemption not less than 30
days prior to the date fixed for redemption, and shall provide such information in connection
therewith as required by a letter of representation submitted to DTC in connection with the
issuance of the Refunding Bonds.
(b) Notice of Redemption (No DTC). During any period in which the Refunding
Bonds are not in book -entry -form, unless waived by any Owner of the Refunding Bonds to be
redeemed, official notice of any redemption of Refunding Bonds shall be given by the Paying
Agent on behalf of the County by mailing a copy of an official redemption notice by first class
mail postage prepaid at least 30 days and not more than 60 days prior to the date fixed for
redemption to the Owner of the Refunding Bond or Bonds to be redeemed at the address shown
on the bond register or at such other address as is furnished in writing by such owner to the
Paying Agent. The County shall notify the Paying Agent of any intended redemption not less than
45 days prior to the redemption date. All such official notices of redemption shall be dated and
shall state:
(i) the redemption date,
(ii) the redemption price,
Page 2 - Resolution
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October 28, 1992
0119-1257
(iii) if less than all outstanding Refunding Bonds are to be redeemed, the
identification (and, in the case of partial redemption, the respective principal amounts) of
the Refunding Bonds to be redeemed,
(iv) that on the redemption date the redemption price will become due and
payable upon each such Refunding Bond or portion thereof called for redemption, and that
interest thereon shall cease to accrue from and after said date, and
(v) the place where such Refunding Bonds are to be surrendered for
payment of the redemption price, which place of payment shall be the principal office of
the Paying Agent.
Section 5. Security.
The full faith and credit of the County are pledged to the successive owners of
each of the Bonds for the punctual payment of such obligations, when due. The County shall levy
annually, as provided by law, a direct ad valorem tax upon all of the taxable property within the
County in sufficient amount, after taking into consideration discounts taken and delinquencies that
may occur in the payment of such taxes and other moneys available for the payment of debt
service on the Bonds, to pay the Bonds promptly as they mature, and the County covenants with
the owners of its Bonds to levy such a tax annually during each year that any of the Bonds, or
Bonds issued to refund them, are outstanding.
Section 6. Book -Entry Only System.
a. The Bonds shall be initially issued as a book -entry only security issue with
no Bonds being made available to the Bondowners upon the execution and delivery of the Letter
of Representations among the Bond Registrar, The Depository Trust Company and the County,
attached hereto as Exhibit C. Ownership of the Bonds shall be recorded through entries on the
books of banks and broker-dealer participants and correspondents that are related to entries on
The Depository Trust Company book -entry -only system. The Bonds shall be initially issued in the
form of separate single fully registered typewritten Bonds for each maturity of the Bonds
(the "Global Bonds") in substantially the form attached hereto as Exhibit B with such changes as
are required to conform with the Bond Purchase Contract. Each Global Bond shall be registered
in the name of CEDE & CO. as nominee (the "Nominee") of The Depository Trust Company
("DTC") (DTC and any other qualified securities depository designated by the County as a
successor to DTC, collectively the "Depository") as the "Registered Owner", and such Global
Bonds shall be lodged with the Depository until early redemption or maturity of the Bond issue.
The Bond Registrar shall remit payment for the maturing principal and interest on the Bonds to
the Bondowner for distribution by the Nominee for the benefit of the owners (the "Beneficial
Owner" or "Record Owner") by recorded entry on the books of the Depository participants and
correspondents. While the Bonds are in book -entry -only form, the Bonds will be available in
denominations of $5,000 or any integral multiple thereof
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Page 3 - Resolution October 28,1992
o119-1258
b. In the event the Depository determines not to continue to act as securities
depository for the Bonds, or the County determines that the Depository shall no longer so act,
then the County will discontinue the book -entry -only system with the Depository. If the County
fails to designate another qualified securities depository to replace the Depository or elects to
discontinue use of a book -entry -only system, the Bonds shall no longer be a book -entry -only issue
but shall be registered in the registration books maintained by the Bond Registrar in the name of
the Bondowner as appearing on the Bond register and thereafter in the name or names of the
Bondowners of the Bonds transferring or exchanging Bonds.
C. With respect to Bonds registered in the registration books maintained by
the Bond Registrar in the name of the Nominee of the Depository, the County and the Bond
Registrar shall have no responsibility or obligation to any participant or correspondent of the
Depository or to any Registered Owner on behalf of which such participants or correspondents
act as agent for the Bondowner with respect to:
i. the accuracy of the records of the Depository, the Nominee or any
participant or correspondent with respect to any ownership interest in the Bonds;
ii. the delivery to any participant or correspondent or any other person,
other than a Bondowner as shown in the registration books maintained by the Bond
Registrar, of any notice with respect to the Bonds, including any notice of prepayment;
iii. the selection by the Depository of the beneficial interest in Bonds to be
redeemed prior to maturity; or
iv. the payment to any participant, correspondent, or any other person
other than the Bondowner of the Bonds as shown in the registration books maintained by
the Bond Registrar, of any amount with respect to principal of or interest on the Bonds.
d. Notwithstanding the book -entry -only system, the County may treat and
consider the Beneficial Owner in whose name each Bond is registered in the registration books
maintained by the Bond Registrar as the Bondowner and absolute owner of such Bond for the
purpose of payment of principal and interest with respect to such Bond, or for the purpose of
giving notices of redemption and other matters with respect to such Bond, or for the purpose of
registering transfers with respect to such Bond, or for all other purposes whatsoever. The County
shall pay or cause to be paid all principal and interest on the Bonds only to or upon the order of
the Registered Owner, as shown in the registration books maintained by the Bond Registrar, or
their respective attorneys duly authorized in writing, and all such payments shall be valid and
effective to fully satisfy and discharge the County's obligation with respect to payment thereof to
the extent of the sum or sums so paid.
e. Upon delivery by the Depository to the County and to the Bondowner of
written notice to the effect that the Depository has determined to substitute a new nominee in
M:\RDR\DESCHUTE.CO\CORR-FAC.92\RS2.DOC
Page 4 - Resolution Octob� 28, 1992
0119-1259
place of the Nominee, then the word "Nominee" in this Master Resolution shall refer to such new
nominee of the Depository, and upon receipt of such notice, the County shall promptly deliver a
copy thereof to the Bond Registrar. The Depository shall tender the Bonds it holds to the Bond
Registrar for reregistration.
f The provisions of this paragraph apply only if the Bonds cease to be a
book -entry only issue. In addition to the foregoing notice, further notice shall be given by the
County as set out below, but no defect in said further notice nor any failure to give all or any
portion of such further notice shall in any manner defeat the effectiveness of a call for redemption
if notice thereof is given as above prescribed.
i. Each further notice of redemption given hereunder shall contain the
information required above for an official notice of redemption plus (1) the CUSIP
numbers of all Bonds being redeemed; (2) the date of issue of the Bonds as originally
issued; (3) the rate of interest borne by each bond being redeemed; (4) the maturity date of
each bond being redeemed; and (5) any other descriptive information needed to identify
accurately the Bonds being redeemed.
ii. Each such further notice shall be published one time in The Bond Buyer
of New York, New York or, if such publication is impractical or unlikely to reach a
substantial number of the Series 1992 Bondowners, in some other financial newspaper or
journal which regularly carries notices of redemption of other obligations similar to the
Bonds, such publication to be made at least 30 days prior to the date fixed for redemption.
iii. Upon the payment of the redemption price of Bonds being redeemed,
each check or other transfer of funds issued for such purpose shall bear the CUSIP
number identifying, by issue and maturity, the Bonds being redeemed with the proceeds of
such check or other transfer.
9. Parity or Subordinate Obligations shall be subject to redemption as
provided in the resolutions authorizing issuance of those obligations.
Section 6. Authentication, Registration and Transfer. (No Book -Entry).
a. No Bond shall be entitled to any right or benefit under this Resolution
unless it shall have been authenticated by an authorized officer of the Registrar. The Registrar
shall authenticate all Bonds to be delivered at closing, and shall additionally authenticate all Bonds
properly surrendered for exchange or transfer pursuant to this Resolution.
b. All Bonds shall be in registered form. The County hereby designates
United States National Bank of Oregon to serve as Registrar for the Bonds. A successor
Registrar may be appointed for the Bonds by ordinance or resolution of the County. The
Registrar shall provide notice to Bondowners of any change in the Registrar not later than the
Bond payment date following the change in Registrar.
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Page 5 - Resolution October 28,1992
0119�1260
C. The ownership of all Bonds shall be entered in the Bond register
maintained by the Registrar and the County and Registrar may treat the person listed as owner in
the Bond register as the owner of the Bond for all purposes.
d. The Registrar shall mail each interest payment on the interest payment date
(or the next business day if the payment date is not a Business Day) to the name and address of
the Bondowner, as that name and address appear on the Bond register as of the Record Date. If
payment is so mailed, neither the County nor the Registrar shall have any further liability to any
party for such payment.
e. Bonds may be exchanged for an equal principal amount of Bonds of the
same maturity which are in different authorized denominations, and Bonds may be transferred to
other owners if the Bondowner submits the following to the Registrar:
i. written instructions for exchange or transfer satisfactory to the Registrar,
signed by the Bondowner or his attorney in fact and guaranteed or witnessed in a manner
satisfactory to the Registrar; and
ii. the Bonds to be exchanged or transferred.
f The Registrar shall not be required to exchange or transfer any Bonds
submitted to it during any period beginning with a Record Date and ending on the next following
interest payment date; however, such Bonds shall be exchanged or transferred promptly following
the interest payment date.
9. The Registrar shall not be required to exchange or transfer any Bonds
which have been designated for redemption if such Bonds are submitted to it during the
fifteen -day period preceding the designated redemption date.
h. For purposes of this section, Bonds shall be considered submitted to the
Registrar on the date the Registrar actually receives the materials described in subsection E. of
this section.
i. The County may alter these provisions regarding registration and transfer
by mailing notification of the altered provisions to all Bondowners. The altered provisions shall
take effect on the date stated in the notice, which shall not be earlier than 45 days after notice is
mailed.
Section 7. Maintenance of Tax -Exempt Status.
The County covenants for the benefit of the owners of the Bonds to comply with
all provisions of the Internal Revenue Code of 1986, as amended (the "Code") which are required
for Bond interest to be excluded from gross income for federal income taxation purposes (except
M:\RDR\DESCHUFE.CO\CORR-FAC.92\RS2.DOC
Page 6 - Resolution October 28, 1992
0119�1261
for certain taxes on corporations), unless the County obtains an opinion of nationally recognized
Bond Counsel that such compliance is not required for the interest paid on the Bonds to be so
excluded. The County makes the following specific covenants with respect to the Code:
a. The County shall not take any action or omit any action, if it would
cause the Bonds to become "arbitrage bonds" under Section 148 of the Code and shall pay
any rebates to the United States which are required by Section 148(f) of the Code.
b. The County shall operate the facilities financed with the Bonds so
that the Bonds are not "private activity bonds" within the meaning of Section 141 of the
Code.
The covenants contained in this section and any covenants in the closing
documents for the Bonds shall constitute contracts with the owners of the Bonds, and
shall be enforceable by them.
Section 8. Designation of Bonds as Qualified Tax -Exempt Obligations.
The County designates the Bonds as qualified tax-exempt obligations pursuant to
Section 265(b)(3) of the Code. The County covenants not to so designate tax-exempt obligations
in the current calendar year in an aggregate amount of more than $10,000,000. The County (and
all subordinate entities thereof, if any) does not reasonably expect to issue more than $10,000,000
of tax-exempt obligations during the current calendar year.
Section 9. Rebate.
The County covenants that it will pay all rebates to the United States which may be due
in connection with the Bonds, as required by Section 148(o of the Code.
Section 10. Sale of Bonds.
The Administrative Director shall cause to be published in the BendBulletin,
Bend, Oregon, and in the Daily Journal of Commerce, Portland, Oregon, and Ae Bond Buyer,
New York, New York notices of sale of the Bonds in the form substantially as shown on Exhibit
A attached hereto and by this reference incorporated herein, or summaries, as provided by law.
The Bonds shall be sold upon the terms provided in the Notice of Bond Sale attached as
Exhibits A(l) and A(2). The Bonds shall be sold on the date and at the time and place stated in
Exhibit A, unless the Chairman or Administrative Director establishes a different date, time, or
place.
M:\RDR\DESCHM.CO\CORR-FAC.92\RS2.DOC
Page 7 - Resolution October 28, 1992
Dated this .4 th day of November 1992.
ATTEST:
Recording Secretary
0119-1262
BOARD OF COUNTY CONMUSSIONERS OF
DESCHUTES/COUNTY, OREGON
ANCY POP9 SCHUNGEN, Commissioner
4n'00-00-���
pe. or
p- Mx-- �--:-,'brairman
M:\RDR\DESCHUrE.CO\CORR-FAC.92%S2.DOC
Page 8 - Resolution October 28,1992
0119-1263
Exhibit A(1)
Official Notice of Bond Sale
$7,000,000
Deschutes County, Oregon
General Obligation Bonds
Series 1992
NOTICE IS BEREBY GIVEN that sealed bids will be received on behalf of
Deschutes County Oregon (the "County"), for the purchase of its General Obligation Bonds,
Series 1992 (the "Bonds"), until 10:00 o'clock a.m. (Pacific Time) on Wednesday,
December 2, 1992, at the offices of Preston Thorgrimson Shidler Gates & Ellis,
3200 U.S. Bancorp Tower, I I I 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 County within four hours.
ISSUE: The issue shall be in the aggregate principal amount of SEVEN
MILLION DOLLARS ($7,000,000), consisting of registered Bonds in denominations of Five
Thousand Dollars ($5,000) or integral multiples thereof, all dated December 1, 1992.
INTEREST RATE: The maximum interest rate shall not exceed a true interest
cost of nine percent (9%) per annum. Interest is payable semiannually on December I and June I
of each year until maturity or prior redemption, commencing December 1, 1993. 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; and, (5) interest rates specified for any maturity shall not be less than rates specified for
any earlier maturity.
MATURITIES: The Bonds shall mature on December I of each year as follows:
M:\RDR\DESCHUTE.CO\CORR-FAC.92\RS2.DOC
Page I - Exhibit A(1) October28,1992
0119-1264
Date
Amount
Date
Amount
1994
$195,000
2004
$365,000
1995
215,000
2005
390,000
1996
240,000
2006
415,000
1997
250,000
2007
440,000
1998
265,000
2008
470,000
1999
280,000
2009
500,000
2000
295,000
2010
530,000
2001
310,000
2011
565,000
2002
325,000
2012
605,000
2003
345,000
TERM BONDS AND MANDATORY SINKING FUND REDEMPTION:
Bidders have the option of specifying in their bid proposal that all of the principal amount of the
bonds scheduled in any two or more consecutive years may, in lieu of maturing in each such year,
be combined to comprise one or more maturities of the Bonds scheduled to mature in the latest
year of each such combination. The term bonds so specified by the bidder shall be subject to
mandatory sinking fund redemption at par in the principal amounts in each year during the
combined period of such Bonds which would otherwise have been scheduled to mature in such
years.
REGISTRATION: The Bonds will be issued in fully registered form, and may be
exchanged at the expense of the County for similar Bonds of different authorized denominations.
Bonds may not be converted to bearer form.
OPTIONAL REDEMPTION: The County reserves the right to redeem all or any
portion of the Bonds then outstanding, by lot, on the following dates at par and at the following
prices expressed as percentages of the principal amount, plus accrued interest to the date fixed for
redemption:
If Redeemed On Redemption Price
December 1, 2002 or June 1, 2003 101.0%
December 1, 2003 and thereafter 100.0
NOTICE OF REDEMPTION: Notice of any call for redemption, unless waived
by the holders of the Bonds to be redeemed, shall be mailed not less than thirty days and not more
than sixty days prior to such call to the registered owners of the Bonds, and otherwise given as
required by the authorizing Bond Resolution and by law or as required by The Depository Trust
Company; however, any failure to give notice shall not invalidate the redemption of the Bonds.
All Bonds called for redemption shall cease to bear interest from the date designated in the notice.
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Page 2 - Exhibit A(l) October 28, 1992
0119-1265
PAYMENT: Principal and interest are payable, either at maturity or upon earlier
redemption, through the registrar and paying agent of the County, which is currently United
States National Bank of Oregon, in Portland, Oregon. As book -entry bonds, the principal of and
interest on the bonds will be payable by the registrar and paying agent through The Depository
Trust Company. Interest is payable by check or draft which will be mailed on the interest
payment date (or the next business day if the interest payment date is not a business day) to the
registered owners at their addresses appearing in the Bond Register as of the fifteenth day of the
month preceding an interest payment date.
PURPOSE: The Bonds are being issued to finance, in part, to acquire property,
construct jail and related facilities and to pay all costs incidental thereto. The Bonds were
authorized at a special election held within the County on November 5, 199 1.
SECURITY: The Bonds are general obligations of the County. The County has
covenanted to levy an ad valorem tax annually which, with other available funds, will be sufficient
to pay Bond principal and interest as they come due.
BOND INSURANCE: Application will be made for qualification of the Bonds for
debt service insurance. If the Bonds qualify for municipal bond insurance, any purchase of such
policy shall be at the sole option and expense of the bidder. Failure of the Bonds to be so insured
or of any such policy to be issued shall not in any manner relieve the successful bidder of his
contractual obligations arising from the acceptance of his proposal for the purchase of the Bonds.
LEGAL OPINION: The approving opinion of Preston Thorgrimson Shidler
Gates & Ellis, Bond Counsel, of Portland, Oregon, will be provided at no cost to the purchaser,
and will be printed on the Bonds at the expense of the County.
TAX-EXEM[PT STATUS: In the opinion of Bond Counsel, under existing law
and conditioned on the County complying with certain covenants relating to the tax-exempt status
of the Bonds, interest on the Bonds is excluded from gross income for federal income tax
purposes (except for certain taxes on corporations). The Bonds are not "private activity bonds"
under Section 141 of the Internal Revenue Code of 1986, as amended (the "Code").
In the opinion of Bond Counsel, the interest on the Bonds is exempt from personal
income taxation by the State of Oregon under present state law.
Bond Counsel expresses no opinion regarding other federal or state tax
consequences arising with respect to the Bonds.
The County has the legal authority to comply with its covenants.
BEST BID: The Bonds will be awarded to the responsible bidder whose proposal
will result in the lowest true interest cost to the County. True interest cost will be determined by
doubling the semiannual interest rate necessary to discount the debt service to December 1, 1992,
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Page 3 - Exhibit A(l) October 28,1992
0119-1266
and the price bid for the Bonds. Each bidder is requested to supply the total interest cost and the
true interest cost 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 paid by the County.
CERTIFICATE REGARDING INITIAL OFFERING PRICE: To provide the
County with information required to enable it to comply with certain conditions of the Internal
Revenue Code of 1986, as amended, relating to the exclusion of the interest on the Bonds from
the gross income of their owners, the successful bidder will be required to complete, execute and
deliver to Bond Counsel (on or before three business days prior to the date of delivery of the
Bonds) a certification provided by Bond Counsel as to the "issue price" of each maturity of the
Bonds. In the event the successful bidder has (1) purchased the bonds for its own portfolio
without intention to resell the Bonds, or (2) made a bona fide private placement of the Bonds,
such certificate may be modified in a manner provided by Bond Counsel. Each bidder, by
submitting its bid, agrees to complete, execute and deliver such a certificate, if its bid is accepted
by the County. Failure to honor this agreement may result in the cancellation of the sale and the
forfeiture of the successful bidder's good faith deposit.
DELIVERY: Closing will occur in Portland, Oregon. Delivery of the Bonds will
be made without cost to the successful bidder at The Depository Trust Company, New York,
New York. Payment for the Bonds must be made in immediately available funds. Delivery of the
Bonds will be made within thirty days.
FORM OF BID: All bids must be for not less than all the Bonds hereby offered
for sale, and for not less than 98.75% 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 One Hundred Forty Thousand
Dollars ($140,000) 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.
RIGHT OF REJECTION: The County reserves the right to reject any or all bids,
and to waive any irregularities.
OFFICIAL STATEMENT AND FURTHER INFORMATION: Further
information and a preliminary official statement relating to the Bonds will be provided upon
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0119-1267
request to its financial advisor, Public Financial Management, Inc., Suite 2929, 1300 S.W. Fifth
Avenue, Portland, Oregon, 97201, telephone: (503) 223-3383.
COMPLIANCE WITH SEC RULES: The County agrees to provide the
successful bidder with up to 150 copies of the official statement in a form "deemed final" by the
County for the Bonds at the expense of the County, and such additional copies as the successful
bidder may request in its bid form at the expense of the bidder, not later than the seventh business
day following the date on which bids are due. Bidders should expect that the official statements
will not be available prior to the seventh business day following the date on which bids are due,
and should not issue confirmations which request payment prior to that date. The successful
bidder must provide the reoffering yields or prices which will be printed on the cover of the final
official statement to the County's financial advisor within twenty-four hours after bids are opened.
This provision will constitute a contract with the successful bidder upon acceptance of its bid by
the County, in compliance with Section 240.15c2 -12(b)(3) in Chapter 11 of Title 17 of the Code
of Federal Regulations.
CUSIP: CUSIP numbers will be imprinted upon all Bonds of this issue at the
County's expense. Failure to print, or improperly imprinted numbers will not constitute basis for
the purchaser to refuse to accept delivery.
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 Mike Maier, Administrative Director, Deschutes County,
1130 N.W. Harriman Street, Bend, Oregon, 97701, telephone: (503)
Administrative Director
Deschutes County, Oregon
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Page 5 - Exhibit A(l) October 28,1992
0119-1268
Exhibit A(2)
Summary Notice of Bond Sale
$7,000,000
Deschutes County, Oregon
General Obligation Bonds
Series 1992
NOTICE IS HEREBY GIVEN that sealed bids will be received on behalf of
Deschutes County, Oregon (the "County"), at the office of Preston Thorgrimson Shidler
Gates & Ellis, Lawyers, Suite 3200, 111 S.W. Fifth Avenue, Portland, Oregon, 97204, until
10:00 o'clock a.m. (Pacific Time) on Wednesday,
December 2, 1992.
The Bonds will be dated December 1, 1992, will be in denominations of $5,000
each or integral multiples thereof, and will mature in varying amounts from December 1, 1994, to
December 1, 2012, inclusive, and are callable on December 1,2002.
in the opinion of Preston Thorgrimson Shidler Gates & Ellis, Bond Counsel,
assuming compliance by the County with its covenants relating to the tax-exempt status of the
Bonds and except for certain taxes on the book income of corporations, interest on the Bonds is
excluded from gross income for federal income taxation and is exempt for Oregon personal
income taxation purposes. The Bonds are not private activity bonds.
The successful bidder must certify the reoffering price as provided in the complete
official notice of sale for the Bonds.
The County has designated the Bonds as "qualified tax-exempt obligations"
pursuant to Section 265(b)(3) of the Internal Revenue Code of 1986.
Complete copies of the Official Notice of Bond Sale will be published in the Daily
Journal of Commerce on approximately November 16, 1992, and in the Preliminary Official
Statement for the Bonds, which is available from the County's financial advisor, Public Financial
Management, Inc., Suite 2929, 1300 S.W. Fifth Avenue, Portland, Oregon, 97201, telephone:
(503) 223-3383.
Page I - Exhibit A(2)
Deschutes County, Oregon
M:\RDR\DESCHUrE.CO\CORR-FAC.92\RS2.DOC
October 28,1992
I
Exhibit B 01 1 19-1269
Form of Bond
No. R -
United States of America
Deschutes County, Oregon
General Obligation Bond
Series 1992
Interest Rate: %
Maturity Date: December 1,
Certificate Date: December 1, 1992
CUSIP Number:
Registered Owner: ----- CEDE & CO.
Principal Amount: ----
DOLLARS----
S�
Deschutes County, Oregon (the "County"), for value received, acknowledges itself
indebted and hereby promises to pay to the registered owner hereof, or registered assigns, the
principal amount indicated above on the above maturity date together with interest thereon from
the date hereof at the rate per annum indicated above. Interest is payable semiannually on the first
day of December and the first day of June in each year until maturity or prior redemption,
commencing December 1, 1994. Principal and interest payments shall be received by Cede & Co.,
as nominee of The Depository Trust Company, or its registered assigns, on each payment date.
Such payments shall be made payable to the order of "Cede & Co."
This Bond is one of a series of General Obligation Bonds, Series 1992 of the
County in the aggregate principal amount of $7,000,000, and is issued by the County for the
purpose of financing, in part, to acquire property, construct jail and related facilities, and to pay
all costs incidental thereto, in full and strict accordance and compliance with all of the provisions
of the Constitution and statutes of the State of Oregon [and the Charter of the County].
The County reserves the right to redeem all or any portion of the Bonds then
outstanding in inverse order of maturity and by lot within a maturity on the following dates at the
following prices expressed as percentages of the principal amount, plus accrued interest to the
date fixed for redemption:
M:\RDR\DESCHUrE.CO\CORR-FAC.92\RS2.DOC
Page I - Exhibit B October2g,1992
If Redeemed On Redemption Nice 0119-1270
December 1, 2002 or June 1, 2003 101.0%
December 1, 2003 and thereafter 100.0
[Note to printer: Insert if applicable:]
I The Bonds maturing December 1, , shall be subject to mandatory redemption,
by lot, at the principal amount thereof, without premium, plus accrued interest to the date fixed
for redemption, in the amounts and on the dates set forth below:
Redemption Date
(December 1)
Principal Amount
Notice of any call for redemption, unless waived by any holder of the Bonds to be
redeemed, shall be mailed not less than thirty days and not more than sixty days prior to such call
to the registered owners of the Bonds, and otherwise given as required by the authorizing Bond
Resolution (the "Resolution") and by law; however, any failure to give notice shall not invalidate
the redemption of the Bonds. All Bonds called for redemption shall cease to bear interest from
the date designated in the notice.
The Bonds are issuable in the form of registered Bonds without coupons in the
denominations of $5,000 or any integral multiple thereof Bonds may be exchanged for Bonds of
the same aggregate principal amount, but different authorized denominations.
Any transfer of this Bond must be registered, as provided in the Resolution upon
the Bond Register kept for that purpose at the principal corporate trust office of the Registrar.
The County and the Registrar may treat the person in whose name this Bond is registered as its
absolute owner for all purposes, as provided in the Resolution.
The Bondowner may exchange or transfer any Bond only by surrendering it,
together with a written instrument of exchange or transfer which is satisfactory to the Registrar
and duly executed by the registered owner or his duly authorized attorney, at the principal
corporate trust office of the Registrar in the manner and subject to the conditions set forth in the
Resolution.
Notice of any call for redemption shall be given as required by the Letter of
Representations to The Depository Trust Company, as referenced in the Bond Resolution.
Interest on any Bond or Bonds so called for redemption shall cease on the redemption date
designated in the notice. The Issuer's paying agent and registrar, which is currently United States
M:\RDR\DESCHLTrE.CO\CORR-FAC.92\RS2.DOC
Page 2 - Exhibit B October 28,1992
0119-1271
National Bank of Oregon, in Portland, Oregon (the "Registrar"), will notify The Depository Trust
Company promptly of any Bonds called for redemption.
The Bonds are initially issued as a book -entry -only security issue with no
certificates provided to the Bondowners. Records of Bond ownership will be maintained by the
Registrar and The Depository Trust Company and its participants.
Should the book -entry -only security system be discontinued, the Bonds shall be
issued in the form of registered Bonds without coupons in the denominations of $5,000 or any
integral multiple thereof Such Bonds may be exchanged for Bonds of the same aggregate
principal amount, but different authorized denominations, as provided in the Bond Resolution.
Any transfer of this Bond must be registered, as provided in the Bond Resolution,
upon the bond register kept for that purpose by the Registrar. Upon registration, a new registered
Bond or Bonds, of the same series and maturity and in the same aggregate principal amount, shall
be issued to the transferee as provided in the Bond Resolution. The Registrar and the Issuer may
treat the person in whose name this Bond is registered as its absolute owner for all purposes, as
provided in the Bond Resolution.
The Bondowner may exchange or transfer this Bond only by surrendering it,
together with a written instrument of exchange or transfer which is satisfactory to the Registrar
and duly executed by the registered owner or their duly authorized attorney, at the principal
corporate trust office of the Registrar in the manner and subject to the conditions set forth in the
Bond Resolution.
Unless this certificate is presented by an authorized representative of The
Depository Trust Company to the issuer or its agent for registration of transfer, exchange
or payment, and any certificate issued is registered in the name of Cede & Co. or such
other name as requested by an authorized representative of The Depository Trust
Company and any payment is made to Cede & Co., ANY TRANSFER, PLEDGE OR
OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS
WRONGFUL since the registered owner hereof, Cede & Co., has an interest herein.
IT IS BEREBY CERTIFIED, RECITED AND DECLARED that all conditions,
acts, and things required to exist, to happen, and to be performed precedent to and in the issuance
of this Bond have existed, have happened, and have been performed in due time, form, and
manner as required by the Constitution and statutes of the State of Oregon and the Charter of the
County; that the issue of which this Bond is a part, and all other obligations of such County, are
within every debt limitation and other limit prescribed by such Constitution, statutes and Charter;
and that the Board of County Commissioners has provided for the levying annually of a direct ad
valorem tax upon all the property within the County so taxable for its purposes in an amount
sufficient, with other available funds, to pay the interest on and the principal of the Bonds of such
issue as such obligations become due and payable.
M:\P,DR\DESCHUTE.CO\CORR-FAC.92\RS2.DOC
Page 3 - Exhibit B October 28, 1992
0119-1272
IN WITNESS VTHEREOF, the Board of County Commissioners of Deschutes
County, Oregon, has caused this Bond to be signed by facsimile signature of its Chairman and
attested by facsimile signature of its Treasurer as of the date indicated above.
Deschutes County
Chairman
Attest:
County Treasurer
THIS BOND SHALL NOT BE VALID UNLESS PROPERLY AUTHENTICATED BY THE
REGISTRAR IN THE SPACE INDICATED BELOW.
Dated:
Certificate of Authentication
This is one of the County's General Obligation Bonds, Series 1992, issued pursuant to the
bond Resolution described herein.
United States National Bank of Oregon, as Registrar
Authorized Officer
M:\RDR\DESCHLYTE.CO\CORR-FAC.92\RS2.DCC
Page 4 - Exhibit B Oc"a 28,1992
0119-1273
Assignment
FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto
Please insert social security or other identifying number of assignee
this Bond and does hereby irrevocably constitute and appoint
as attorney to transfer this Bond on the books kept for registration
thereof with the full power of substitution in the premises.
Dated:
NOTICE: The signature to this assignment must correspond with the name of the Registered
Owner as it appears upon the face of this Bond in every particular, without alteration or
enlargement or any change whatever.
Signature Guaranteed
(Bank, Trust Company or Brokerage Firm)
Authorized Officer
The following abbreviations, when used in the inscription on the face of this Bond,
shall be construed as though they were written out in full according to applicable laws or
regulations.
TEN COM -- tenants in common
TEN ENT -- as tenants by the entireties
JT TEN -- as joint tenants with right of survivorship and not as tenants in common
OREGON CUSTODIANS use the following
CUST UL OREG MIN
as custodian for (name of minor)
OR UNIF TRANS MIN ACT
under the Oregon Uniform Transfer to Minors Act
Additional abbreviations may also be used though not in the list above.
M:\RDR\DESCHUTE.CO\CORR-FAC.92\RS2.DOC
Page 5 - Exhibit B October 28, 1992