1993-02222-Resolution No. 93-001 Recorded 1/7/1993. 4
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C C IIJ N SE L
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY9 OREGON --
A Resolution Authorizing the Issuance
and Sale of Limited Tax Improvement
Bonds, Series 1993, in an Amount Not
to Exceed $490,000.00, for the Purpose
of Financing Local Improvements.
RESOLUTION NO. 93-001
WHEREAS, the Board of County Commissioners of Deschutes County, Oregon finds
that the County is authorized pursuant to the Constitution and laws of the State of Oregon
to issue limited tax bonds to finance local improvements pursuant to ORS 223.235 and ORS
288.155; and
WHEREAS, Board finds that it is desirable to issue limited tax bonds to finance
local improvements in the County, to refund its outstanding notes, and to pay costs of
issuance of issuing the limited tax bonds; now, therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
DESCHUTES COUNTY, OREGON, as follows:
Section 1. Authorization. The County shall issue its Limited Tax Improvement
Bonds, Series 1993 (the "Bonds") to finance local improvements in the County, to reimburse
the County for prior expenditures to finance local improvements to refund its outstanding
Limited Tax General Obligation Bond Anticipation Notes, 1992 Series B, and to pay costs
if issuance of issuing the Bonds. The Bonds shall be issued in a principal amount of not
more than $490,000.00, and shall be sold at a net true interest cost of not more than nine
percent per annum. The Administrative Services Director or the Director's designee (the
"Director") may, on behalf of the County:
(a) participate in the preparation of, authorize the distribution of, and deem final
the preliminary and final official statements and any other disclosure documents for
the Bonds;
(b) establish the final principal amount, maturity schedule, interest rates,
redemption terms, payment terms and dates, and other terms of the Bonds, and the
terms under which the Bonds are offered for sale;
(c) publish notices of sale, or summaries, for the Bonds as required by law, and
in substantially the form attached hereto as Exhibit "A," attached hereto and by this
reference incorporated herein, with such changes as the Director may approve;
1 - RESOLUTION NO. 93-001 (1/6/93)
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(d) issue, sell and deliver the Bonds to the successful bidder without further
action by the Board of County Commissioners;
(e) apply and purchase municipal bond insurance or other forms of credit
enhancement for the Bonds, and execute and deliver related documents; and
(f) take any other action in connection with the Bonds which the Director finds
will be advantageous to the County.
Section 2. Security. The County has assessed benefitted properties for the costs of
local improvements, and has received applications to pay assessments in installments. The
bonds shall be issued in an amount not greater than the unpaid balance of all such final
assessments, including the amounts necessary to pay financing costs associated with the
Bonds. Each assessment is exempt from the limitation provided in section 11b(1), Article
XI of the Oregon Constitution, because each assessment either: constitutes an assessment
for a "local improvement" within the meaning of section 11b(2)(d), Article XI of the Oregon
Constitution; or, was levied prior to July 1, 1991. All installment assessment payments,
delinquent payments and foreclosure proceeds shall be placed in the 1992 Series B Note
Fund of the Bancroft Bond Redemption Fund and applied to the payment of principal and
interest on the Bonds. In addition, 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. Pursuant to ORS 223.235(4), the County shall levy annually, a direct ad valorem
tax upon all of the taxable property within the County in an amount sufficient, with other
available funds, to pay all principal of and interest on the Bonds which is due and payable
in that year, provided that the amount of such tax shall not exceed the amount permitted
under section 11b(l), Article XI of the Oregon Constitution. 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. The County may also apply other
available funds to pay debt service on the Bonds.
Section 3. Bond Book -Entry Only Form. The Bonds shall be initially issued in book -
entry only form, with no physical Bonds being made available to Bondowners. The Director
shall execute and deliver a letter of representations to The Depository Trust Company, New
York, New York ("DTC") for the Bonds, in form and substance satisfactory to DTC. So
long as the Bonds are in book -entry only form:
(a) 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 DTC system. Each maturity of the Bonds shall be initially issued in the form
of a global Bond for each maturity. Each global Bond shall be registered in the
name of Cede & Co. as nominee of DTC as the owner of the Bond, and such global
Bonds shall be lodged with DTC until early redemption or maturity of the Bond
issue.
2 - RESOLUTION NO. 93-001 (1/6/93)
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(b) United states National Bank of Oregon or any successor paying agent
appointed by the County (the "Paying Agent") shall remit payment for the maturing
principal and interest on the Bonds to DTC as owner of the Bonds for distribution
by the nominee to the beneficial owners by recorded entry on the books of DTC
participants and correspondents. While the Bonds are in book -entry only form, the
Bonds will be available in denominations of $5,000-00 or any integral multiple
thereof.
(c) In the event:
(i) DTC determines not to continue to act as securities depository for the
Bonds, or
(ii) the County determines that DTC shall no longer so act;
then the County will discontinue maintaining the Bonds in the book -entry only form
with DTC.
(d) Notwithstanding the provisions regarding exchange and transfer of Bonds set
forth in this ordinance, while the Bonds are in book -entry only form they may not
be transferred or exchanged on the registration books maintained by the Paying
Agent except:
(i) to any successor depository designated by the County as provided
below;
(ii) to any successor nominee designated by a depository; or
(iii) if the County elects to discontinue maintaining the Bonds in book -entry
only form, the County shall cause the Paying Agent to authenticate and
deliver replacement physical Bonds in fully registered form in authorized
denominations in the names of the beneficial owners or their nominees;
thereafter the provisions set forth below, regarding registration, transfer and
exchange of Bonds shall apply.
(e) Upon the resignation of any institution acting as depository hereunder, or if
the County determines that continuation of any institution in the role of depository
is not in the best interests of the beneficial owners, the County shall attempt to
identify another institution qualified to act as depository hereunder or shall
discontinue maintaining the Bonds in book -entry only form by resolution or
ordinance. If the County is unable to identify such successor depository prior to the
effective date of the resignation, the County shall discontinue maintaining the Bonds
in the book -entry only form as provided above.
3 - RESOLUTION NO. 93-001 (1/6/93)
(f) With respect to Bonds registered in the registration books maintained by the
Paying Agent in the name of the nominee of DTC, the County and the Paying Agent
shall have no responsibility or obligation to any participant or correspondent of DTC
or to any beneficial owner on behalf of which such participants or correspondents act
as agent for the beneficial owner with respect to:
(i) the accuracy of the records of DTC, the nominee or any participant or
correspondent with respect to any beneficial owner's interest in the Bonds;
(ii) the delivery to any participant or correspondent or any other person
of any notice with respect to the Bonds, including any notice of prepayment;
(iii) the selection by DTC 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 registered owner of the Bonds as shown in the registration
books maintained by the Paying Agent, of any amount with respect to
principal or interest on the Bonds.
(g) So long as the Bonds are in book -entry only form, the Paying Agent will give
any notice of redemption or any other notices required to be given to registered
owners of Bonds only to DTC or its nominee registered as the registered owner
thereof. Any failure of DTC to advise any of its participants, or of any participant
to notify the beneficial owner, of any such notice and its content or effect will not
affect the validity of the redemption of the Bonds called for redemption or of any
other action premised on such notice.
(h) The County shall pay or cause to be paid all principal and interest on the
Bonds only to or upon the order of the owner, as shown in the registration books
maintained by the Paying Agent, 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.
(i) Upon delivery by DTC to the County and to the owner of written notice to
the effect that DTC has determined to substitute a new nominee in place of the
nominee, then the word "nominee" in this resolution shall refer to such new nominee
of DTC, and upon receipt of such notice, the County shall promptly deliver a copy
thereof to the Paying Agent. DTC shall tender the Bonds it holds to the Paying
Agent for reregistration.
4 - RESOLUTION NO. 93-001 (1/6/93)
0) The provisions of this Section 3 may be modified without the consent of the
beneficial owners to conform this Section to the standard practices of DTC for
Bonds issued in book -entry form.
Section 4. Notice of Redemption of Bonds.
(a) Notice of Redemption (DTC). So long as the Bonds are in book -entry only
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 representations submitted to DTC in
connection with the issuance of the Bonds.
(b) Notice of Redemption (No DTC). During any period in which the bonds are
not in book -entry only form, unless waived by any Owner of the Bonds to be
redeemed, official notice of any redemption of 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 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,
(iii) if less than all outstanding Bonds are to be redeemed, the
identification (and, in the case of partial redemption, the respective principal
amounts) of the Bonds to be redeemed,
(iv) that on the redemption date the redemption price will become due and
payable upon each such 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 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. Authentication, Registration, and Transfer.
(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 Paying Agent. The
Paying Agent shall authenticate all Bonds to be delivered at closing of the Bonds,
5 - RESOLUTION NO. 93-001 (1/6/93)
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and shall additionally authenticate all Bonds properly surrendered for exchange or
transfer pursuant to this resolution.
(b) The ownership of all Bonds shall be entered in the bond register maintained
by the Paying Agent, and the County and the Paying Agent may treat the person
listed as owner in the bond register as the owner of the Bond for all purposes.
(c) While the Bonds are in book -entry only form, the Paying Agent shall transfer
Bond principal and interest payments in the manner required by DTC.
(d) If the Bonds cease to be in book -entry only form, the Paying Agent 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 Bondowners as
they appear on the Bond register as of the fifteenth day of the month preceding an
interest payment date (the "Record Date"). If payment is so mailed, neither the
County nor the Paying Agent 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 denominations, and Bonds may be transferred to
other owners if the Bondowner submits the following to the Paying Agent and
(i) written instructions for exchange or transfer satisfactory to the Paying
Agent, signed by the Bondowner or attorney in fact and guaranteed or
witnessed in a manner satisfactory to the Paying Agent and
(ii) the Bonds to be exchanged or transferred.
(f) The Paying Agent 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 payment date; however, such Bonds shall be exchanged or transferred
promptly following that payment date.
(g) The Paying Agent shall note the date of authentication on each Bond. The
date of authentication shall be the date on which the Bondowner's name is listed on
the bond register.
(h) For purposes of this section, Bonds shall be considered submitted to the
Paying Agent on the date the Paying Agent actually receives the materials described
in subsection (e) of this section.
6 - RESOLUTION NO. 93-001 (1/6/93)
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(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 6. Form of Registered Bond. The County may issue the Bonds as one or
more typewritten, temporary Bonds which shall be exchangeable for definitive Bonds when
definitive Bonds are required. The Bond shall be in substantially the form attached hereto
as Exhibit "B."
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 tax purposes. 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 or penalties 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. Defeasance. The County may defease the Bonds by setting aside, with a
duly appointed escrow agent, in a special escrow account irrevocably pledged to the payment
of the Bonds to be defeased, cash or direct obligations of the United States in an amount
which, in the opinion of a certified public accountant satisfactory to the escrow agent,
without reinvestment, is at lease equal to the principal amount of the Bonds to be defeased,
plus interest which will accrue thereon until maturity or any earlier date for which the issuer
has given irrevocable instructions for redemption. Such Bonds shall be paid hereunder, and
shall cease to be entitled to any lien, benefit or security under this Bond Resolution except
the right to receive payment from such special escrow account; such Bonds shall not for any
purpose of this Bond Resolution be deemed outstanding.
Section 9. 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 $10,000,000.00. The County (and all
7 - RESOLUTION NO. 93-001 (1/6/93)
subordinate entities thereof, if any) does not reasonably expect to issue more than
$10,000,000.00 of tax-exempt obligations during the current calendar year.
DATED this 47-t- day of �L, � 1993.
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ATTEST:
)_ ha_voj"�t
Rec6rding Secretary
8 - RESOLUTION NO. 93-001 (1/6/93)
BOARD OF COUNTY COMMISSIONERS
OF DESCWJTES COUNTY, OREGON
TOJ(THROOP,
NANCY POPE SQ"LANGEN,
B. H. SLAUGHTER, Com'missioner
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Exhibit A(1)
Official Notice of Bond Sale
$490,000
Deschutes County
State of Oregon
Limited Tax: Improvement Bonds, Series 1993
P 0 0 2 / �-1 0 L,
NOTICE IS HFREBY GIVEN that sealed bids will be received on behalf of
Deschutes County, Oregon (the "County") for the purchase of its Limited Tax Improvement
Bonds, Series 1993 (the "Bonds"). until 10:00 o'clock a.m. (Pacific Time) on January 26, 1993, at
the offices of Preston Thorgrimson Shidler Gates & Ellis, I I I S.W. fifth Avenue, Suite 3200,
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.
i
ISSUE: The issue shall be in the aggregate principal amount of Four Hundred
Ninety Thousand Dollars ($490.000) consisting of registered Ronds in denominations of Five
Thousand Dollars ($5,000) or integral multiples thereof, all dated February 1, 1993,
BANK QUALIFIED: These Bonds are designated qualified tax-exempt
obligations pursuant to Section 265(b)(3) under the Internal Revenue Code of 1986, as amended
(the "Code").
BIDDING CONSTRArNTS- The maximum rate of interest shall not exceed a
true interest cost of nine percent (9%) per annum, Interest is payable semiannually on February I
and August I of each year until maturity or prior redemption, commencing August 1, 1993.
Bidders must specify the interest rate or rates which the Bonds hereby offered for sale shall bear.
The bids shall comply with the followi: g conditions: (1) each interest rate specified in any bid
must be a multiple of one eighth or one twentieth of one percent (.001%); (2) no Bond shall bear
more than one rate of interest; (3) each Bond shall bear interest from its date to its stated maturity
date sit the interest rate specified in tho'bid; (4) all Bonds matufing at uny one time shall bear the
same rate of interest; and (5) the maximum rate of interest on a single maturity shall not exceed
ten percent (10%) per annum.
Page I - Exhibit A(l) M:%RDR%D=HUrE.00\LTMAX.8N=$j.DX
alm"I
01/05/1993 17:40 PRESTON LAW FIRM
as follows:
5032489085 P.03
MATURITIES: The Bonds shall mature on the first day of February of eaeh year
Year
Amount
1993
1994
35,000.00
1995
35,000,00
1996
40,000.00
1997
40,000.00
1998
45,000.00
1999
45)000.00
2000
45,000.00
2001
50,000.00
2002
559000.00
2003
100,000.00
Page 2 - Exhibit A(1)
BOOK ENTRY ONLY: The Bonds are to be issued in registered,
book -entry -only form and all bidders for the Bonds must be participants of
The Depository Trust Company, New York, New York ("DTC"), or affiliated with its
participants. The Bond certificates will be on deposit with DTC. DTC will be responsible for
maintaining a book -entry system for recording the interests of its participants for the transfer of
the interests among its participants. The participants will be responsible for maintaining records
regarding the beneficial ownership interests in the Bonds on behalf of the individual purchasers
(the "Beneficial Owners"). Individual purchases may be made in the principal amount of $5,000,
or any multiple thereof through book entries made on the books and records of DTC and its
participants.
OPTIONAL REDEMPTION: The County reserves the right to redeem all or any
portion of the Bonds maturing after February 1, 2000, in integral multiples of $5,000, by lot, on
February 1, 2000, and on any interest payment date thereafter, at par plus accrued interest to the
redemption date.
EXTRAORDINARY REDENVTION: The County reserves the right to redeem all or
any portion of the bonds maturing on February 1, 2003, on February 1, 1994, and on any interest
payment date thereafter, at par plus accrued interest to the date fixed for redemption, from
assessment payments received by the County in excess of amounts required for current debt
service and a prudent reserve for the next payment date as determined by the County.
NOTICE OF REDENUTION: Notice of any call for redemption, unless waived
by the registered owners of the Bond or 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 Bond 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.
PAYN1ENT: Principal and interest are payable, either at maturity or upon earlier
redemption, by check or draft through the principal corporate trust office of the registrar and
paying agent of the County, which is currently United States National Bank of Oregon, in
Portland, Oregon. As book -entry bonds, principal of and interest on the Bonds will be payable by
the paying agenty through The Depository Trust Company. Interest will will be 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 fifteen th day of the month preceding an interest payment date.
PURPOSE: The Bonds are being issued to redeem short term notes which were
issued to finance local improvements, to reimburse the County for prior expenditures, and to
finance additional local improvements.
SECURITY: The Bonds are limited tax bonds of the County. The County has
assessed benefited properties for the costs of local improvements, and has received applications to
pay assessments in installments in an amount at least equal to the principal amount of the Bonds.
MARDR\DESCHUrE.CO\LTDTAX.BND/RSI DOC
Page 3 - Exhibit A(l) 1/5/93
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Each assessment is exempt from the limitation of section I lb(l), Article XI of the Oregon
Constitution. All installment assessment payments, delinquent payments and foreclosure proceeds
shall be placed in the Series 1993 Account of the Bancroft Bond Redemption Fund and applied to
the payment of principal and interest on the Bonds. In addition, 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 has covenanted to levy an annual, direct ad valorem tax
upon all of the taxable property within the County in an amount sufficient, with other available
funds, to pay all principal of and interest on the Bonds which is due and payable in that year,
provided that the amount of such tax shall not exceed the amount permitted under section I lb(l),
Article XI of the Oregon Constitution.
LEGAL OPINION: The approving opinion of Preston Thorgrimson Shidler
Gates & Ellis, Lawyers, 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 EXENVT 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 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 February 1, 1993,
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.
REOFFERING PRICE: The successful bidder must certify the initial reoffering
price for each maturity of the Bonds to the County's financial advisor and bond counsel, in a
manner satisfactory to bond counsel, not less than three business days prior to closing.
DELIVERY: Closing will occur in Portland, Oregon. Delivery of the Bonds, in
book -entry form, 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 to the County. Delivery of the Bonds will be made on or about February 1, 1993.
M:\RDR\DESCHUrE.CO\LTDTAX.BNDIRSI.DOC
Page 4 - Exhibit A(l) 1/5/93
FORM OF BID: All bids must be for not less than all the Bonds hereby offered
for sale, and for not less than ninety-nine percent (99%) 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
1993 Improvement Bonds." Bidders are requested to use the bid form provided by the County.
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 Nine Thousand Eight Hundred
Dollars ($9,800.00), 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.
RIGHT OF REJECTION: The County reserves the right to reject any or all bids,
and to waive any irregularities.
PRELIMINARY OFFICIAL STATEMENT: The County has prepared a "nearly
final" preliminary official statement relating to the Bonds, a copy of which will be furnished upon
request to Public Financial Management, Inc., 2929 First Interstate Center,
1300 S.W. Fifth Avenue, Portland, Oregon 97201, Telephone: (503) 223-3383,
Attention: Eric Johansen.
COMPLIANCE WITH SEC RULES: The County agrees to provide the
successful bidder with up to 250 copies of the final official statement 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 telecopy the reoffering yields or prices which will be
printed on the cover of the final official statement to the County Treasurer, telecopier number
(503) 389-6538 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 Regulation.
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.
M:\P,DR\I)ESCHUTE.CO\LTUrAX.BND/RSI.DOC
Page 5 - Exhibit A(l) 1/5/93
AAw
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 Michael Maier, Administrative Services Director, Deschutes
County, 1130 N.W. Harriman Street, Bend, Oregon 97701, telephone: (503) 388-6570.
By Order of
Deschutes County, Oregon
M:\RDR\DESCHUFE.CO\LTIYrAX.BND/RSI.DCC
Page 6 - Exhibit A(l) 1/-V93
EXHIBIT A(2)
Summary Notice of Bond Sale
$490,000
Deschutes County, Oregon
Limited Tax Improvement Bonds
Series 1993
si3
NOTICE IS HEREBY GIVEN that sealed bids will be received on behalf of
Deschutes County, in Deschutes County, Oregon (the "Issuer"), at the offices of Preston
Thorgrimson Shidler Gates & Ellis, I I I S.W. Fifth Avenue, Suite 3200, Portland, Oregon, 97204,
until 10:00 o'clock a.m. (Pacific Time) on Tuesday,
January 26, 1993
The bonds will be dated February 1, 1993, will be in denominations of $5,000 each
or integral multiples thereof, and will mature in varying amounts from February 1, 1994 to
February 1, 2003, inclusive, and are callable on February 1, 2000, at par.
In the opinion of Preston Thorgrimson Shidler Gates & Ellis, Bond Counsel,
assuming compliance by the Issuer with its covenants relating to the tax-exempt status of the
bonds, interest on the bonds is excluded from gross income for federal income taxation purposes
under Section 103(a) of the Internal Revenue Code of 1986, as amended (the "Code") and is
exempt from Oregon personal income taxation. 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 Issuer has designated the bonds as "qualified tax-exempt obligations pursuant
to Section 265(b)(3) of the Code.
A complete copy of the official notice of bond sale will be published in the Daily
Journal of Commerce on approximately January 11, 1993, and also in the Preliminary Official
Statement for the bonds, which is available from the Issuer's financial advisor: Public Financial
Management, Inc., 2929 First Interstate Center, 1300 S.W. Fifth Avenue, Portland, Oregon
97201, Telephone: (503) 223-3383, Attention: Eric Johansen.
Administrative Services Director
Deschutes County, Oregon
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R --
EXHIBIT B
Form of Bond
United States of America
State of Oregon
Deschutes County
Limited Tax Improvement Bond, Series 1993
Dated Date:
Interest Rate:
Maturity Date: February 1,
CUSIT Number:
Registered Owner: ----- -----
Principal Amount: ----- Dollars ----
DESCHUTES COUNTY, State of Oregon (the "County"), for value received,
acknowledges itself indebted and hereby promises to pay to the Registered Owner, or registered
assigns, the above Principal Amount 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 February and on the first day of August in each year until maturity or prior
redemption, commencing August 1, 1993. 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 an authorized issue of Bonds by the County entitled Limited
Tax Improvement Bonds, Series 1993, in the aggregate principal amount of $490,000
(the "Bonds"), and is issued by the County to finance local improvements pursuant to an
resolution of the County, dated January 6, 1993 (the "Bond Resolution") and Oregon Revised
Statutes Sections 223.205 to 223.295, in full and strict accordance and compliance with all of the
provisions of the Constitution and Statutes of the State of Oregon.
The County reserves the right to redeem all or any portion of the term Bonds
maturing after February 1, 2000, in integral multiples of $5,000, by lot, on February 1, 2000, and
on any interest payment date thereafter, at par plus accrued interest to the redemption date.
Bonds maturing on February 1, 2003, are subject to extraordinary redemption on any interest
payment date on and after February 1, 1994, from assessment payments received in excess of
those required for the current debt service and a prudent reserve for the next payment date as
required by the County.
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A 0 P AR P -
Notice of any call for redemption, unless waived by the registered owners of the
Bond or 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 record of the Bonds, and otherwise given as
required by the Bond 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 Bond Resolution,
upon the Bond Register kept for that purpose at the principal corporate trust office of the
Registrar.
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
Bond Resolution. 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 Bond 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
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
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Page 2 - Exhibit B 1/5/93
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 HEREBY 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; that the issue of
which this Bond is a part, and all other obligations of such County, are within every debt
limitation and other limits prescribed by such Constitution and Statutes; and that the Board of
County Commissioners has covenanted to levy annually a direct ad valorem tax upon all taxable
property within the County in an amount sufficient, with other available funds, to pay the interest
on and the principal of the Bonds of such issue as they become due and payable; provided that the
amount of such tax shall not exceed the amount permitted under section I I b(l), Article XI of the
Oregon Constitution.
IN WITNESS WHEREOF, the Board of County Commissioners of Deschutes
County, Oregon, has caused this Bond to be signed by facsimile signature of its Chair and attested
by facsimile signature of its Treasurer, as of the date indicated above.
Chair
ATTEST:
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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 Limited Tax Improvement Bonds, Series 1993, issued
pursuant to the Bond Resolution described herein.
United States National Bank of Oregon, as Registrar
Authorized Officer
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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 ffill 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.
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