2012-1 Bond Note ,,,,3
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I REGIST1ktED REGISTERED
NUMBEI1 $1,485,000
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Unless this certificate is presented by an authorized representative of The
Depository Trust Company, a New York Corporation ("DTC"), 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 in such other name as is requested by an
authorized representative of DTC (and any payment is made to Cede & Co. or to
such other entity as is requested by an authorized representative of DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the •
registered owner hereof,Cede & Co., has an interest herein.
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Z UNITED STATES OF AMERICA
STATE OF KANSAS
CO COUNTY OF SALINE
0 CITY OF SALINA,KANSAS .
0 GENERAL OBLIGATION TEMPORARY NOTE
X SERIES 2012-1
-1 M E . Interest Maturity ' Dated CUSIP: •
O Rate: 1.00% Date: August 1,2013 Date: July 15,2012 7947432•l•Z•.
• • • •
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—.1 .. ..
(p > REGISTERED OWNER: CEDE & CO. j` •y,••• • '•• •
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0 —I PRINCIPAL AMOUNT: ONE MILLION FOUR HUNDRED EIGHTY-FIVj',••
C THOUSAND DOLLARS '
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KNOW ALL PERSONS BY THESE PRESENTS: That the City of Salina, in the County of
'< , Saline, State of Kansas (the "Issuer"), for value received, hereby acknowledges itself to be inde6k,tui d
, promises to pay to the Registered Owner shown above, or registered assigns, but solely from the source
0 and in the manner herein specified, the Principal Amount shown above on the Maturity Date shown .
Z above, and to pay interest thereon at the Interest Rate per annum shown above(computed on the basis of a
O 360-day year of twelve 30-day months), from the Dated Date shown above, or from the most recent date
to which interest has been paid or duly provided for, payable at maturity until the Principal Amount has
been paid.
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Method and Place of Payment. The principal or redemption price and interest thereon of this I
Note shall be paid at maturity or upon earlier redemption to the person in whose name this Note is 1
• registered at the maturity or redemption date thereof, upon presentation and surrender of this Note at the
principal office of the Treasurer of the State of Kansas, Topeka, Kansas (the "Paying Agent" and "Note
Registrar"). Such amounts shall be payable (a) by check or draft mailed by the Paying Agent to the
address of such Registered Owner shown on the Note Register or at such other address as is furnished to
the Pam Agent in writing by such Registered Owner; or, (b) in the case of a payment to Cede & Co. by
Paying g g Y g ( ) P Y
electronic transfer to such Owner upon written notice given to the Note Registrar by such Registered
Owner, not less than 15 days prior to the Record Date for such interest, containing the electronic transfer
instructions including the bank, ABA routing number and account number to which such Registered
Owner wishes to have such transfer directed. The principal or redemption price of and interest on the
Notes shall be payable in any coin or currency that, on the respective dates of payment thereof, is legal
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tender fothe payment of public and private debts. Interest not punctually paid will be paid in the manner
establisheg in the within.defined Note Resolution.
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Definitions. Capitalized terms used herein and not otherwise defined herein shall have the
meanings assigned to such terms in the hereinafter defined Note Resolution.
Authorization of Notes. This Note is one of an authorized series of Notes of the Issuer
designated "General Obligation Temporary Notes, Series 2012-1," aggregating the principal amount of
$1,485,000 (the "Notes") issued for the purposes set forth in the Resolution of the Issuer authorizing the
issuance of the Notes (the "Note Resolution"). The Notes are issued by the authority of and in full
compliance with the provisions, restrictions and limitations of the Constitution and laws of the State of
Kansas, including K.S.A. 10-123, and K.S.A. 12-685 et seq., as amended, and all other provisions of the
laws of the State of Kansas applicable thereto.
General Obligations. The Notes constitute general obligations of the Issuer payable as to both
principal and interest from the proceeds of general obligation bonds of the Issuer and, if not so paid, from
ad valorem taxes which may be levied without limitation as to rate or amount upon all the taxable tangible
property, real and personal, within the territorial limits of the Issuer. The full faith, credit and resources
of the Issuer are hereby pledged for the payment of the principal of and interest on this Note and the issue
of which it is a part as the same respectively become due.
••••
•Redemption Prior to Maturity. The Notes are not subject to redemption prior to maturity•••
•• •••
• Book-Entry System. The Notes are being issued by means of a book-citrfsystem with no
physical distribution of note certificates to be made except as provided in the Note Resolution. O w.Note •'
certificate with respect to each date on which the Notes are stated to mature or with.respect to eat•fonn • •
. .
of Notes, registered in the nominee name of the Securities Depository, is being issued anckrequi wi jQpe
deposited with the Securities Depository and immobilized in its custody. The book,regtry syssem will
evidence positions held in the Notes by the Securities Depository's participants, be>ieficial ownershie of •••••
the Notes in Authorized Denominations being evidenced in the records of such participants. Tr�tsfcrs•of
ownership shall be effected on the records of the Securities Depository and its participants pursuant•to
rules and procedures established by the Securities Depository and its participants. The Issuer'eea•ttte
Note Registrar will recognize the Securities Depository nominee, while the Registered Owner of this
Note, as the owner of this Note for all purposes, including (i) payments of principal of, and redemption
premium, if any, and interest on, this Note, (ii) notices and (iii) voting. Transfer of principal, interest and
any redemption premium payments to participants of the Securities Depository, and transfer of principal,
interest and any redemption premium payments to beneficial owners of the Notes by participants of the
Securities Depository will be the responsibility of such participants and other nominees of such beneficial
owners. The Issuer and the Note Registrar will not be responsible or liable for such transfers of payments
or for maintaining, supervising or reviewing the records maintained by the Securities Depository, the
Securities Depository nominee, its participants or persons acting through such participants. While the
Securities Depository nominee is the owner of this Note, notwithstanding the provision hereinabove
contained, payments of principal of, redemption premium, if any, and interest on this Note shall be made
in accordance with existing arrangements among' the Issuer, the Note Registrar and the Securities
Depository.
Transfer and Exchange. EXCEPT AS OTHERWISE PROVIDED IN THE NOTE
RESOLUTION, THIS GLOBAL NOTE MAY BE TRANSFERRED, IN WHOLE BUT NOT IN
PART, ONLY TO ANOTHER NOMINEE OF THE SECURITIES DEPOSITORY OR TO A
SUCCESSOR SECURITIES DEPOSITORY OR TO A NOMINEE OF A SUCCESSOR
SECURITIES DEPOSITORY. This Note may he transferred or exchanged, as provided in the Note
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Resolution, only on the Note Register kept for that purpose at the principal office of the Note Registrar,
upon surrgider of this Note together with a written instrument of transfer or authorization for exchange
satisfactotg to the Note Registrar duly executed by the Registered Owner or the Registered Owner's duly
authorized agent, and thereupon a new Note or Notes in any Authorized Denomination of the same
maturity and in the same aggregate principal amount shall be issued to the transferee in exchange therefor .
as provided in the Note Resolution and upon payment of the charges therein prescribed. The Issuer shall
pay all costs incurred in connection with the issuance, payment and initial registration of the Notes and
the cost of a reasonable supply of note blanks. The Issuer and the Paying Agent may deem and treat the -
person in whose name this Note is registered on the Note Register as the absolute owner hereof for the
purpose of receiving payment of, or on account of, the principal or redemption price hereof and interest
due hereon and for all other purposes. The Notes are issued in fully registered form in Authorized
Denominations.
Authentication. This Note shall not be valid or become obligatory for any purpose or be entitled
to any security or benefit under the hereinafter defined Note Resolution until the Certificate of
Authentication and Registration hereon shall have been lawfully executed by the Note Registrar.
IT IS HEREBY DECLARED AND CERTIFIED that all acts, conditions, and things required
to be done and to exist precedent to and in the issuance of this Note have been properly done and
performed and do exist in due and regular form and manner as required by the Constitution and laws of
the State of Kansas, and that the total indebtedness of the Issuer, including this series of notes,.does•not
exceed any constitutional or statutory limitation. ••••
•• ••• •
IN WITNESS WHEREOF, the Issuer has caused this Note to be executed by the marl.a7 or
facsimile signature of its Mayor and attested by the manual or facsimile signature of its Clerk, and ij5 seal ••
to be affixed hereto or imprinted hereon. ; .!•••• • •
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CITY OF SALINA,KANSAS
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By: //A k .,— •
Mayor roar
ATTEST:
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By: 1
Clerk
This General Obligation Temporary Note shall not be negotiable unless and until countersigned
below following registration by the Treasurer of the State of Kansas.
-'pirtrt
Clerk
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A CERTIFICATE OF AUTHENTICATION AND REGISTRATION
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Tfus Note is one of a series of General Obligation Temporal Notes, Series 2012-1, of the City of
Salina, Kansas, described in the within-mentioned Note Resolution.
Registration Date JUL 2 6 2012
Office of the State Treasurer,
Topeka, Kansas,
as Note Registrar and Paying Agent
By .'••. t° ,/ - .r. Z
Registration Number: 0322-085-071512-427
CERTIFICATE OF CLERK
STATE OF KANSAS ) •••••
) SS.
COUNTY OF SALINE ) •
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The undersigned, Clerk of the City of Salina, Kansas, does hereby certify that the within N�o •hteas
been duly registered in my office according to law as of July 15, 2012. • ••,•••• • •
• • •
WITNESS my hand and official seal. ) '
At In
-- Clerk
CERTIFICATE OF STATE TREASURER
OFFICE OF THE TREASURER, STATE OF KANSAS
RON ESTES, Treasurer of.the State of Kansas, does hereby certify, that a transcript of the
proceedings leading up to the issuance of this-Note has been filed in the office of the State Treasurer, and
that this Note was registered in such office according to law on JUL.I 2 6 2012
WITNESS my hand and official seal.
'1 r gyp ;L ,Q•
(Seal) By:
Treasurer of the State of Kansas
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NOTE ASSIGNMENT
FOR VALUE RECEIVED,the undersigned do(es)hereby sell, assign and transfer to
(Name and Address)
(Social Security or Taxpayer Identification No.)
the Note to which this assignment is affixed in the outstanding principal amount of $
standing in the name of the undersigned on the books of the Note Registrar. The undersigned do(es)
hereby irrevocably constitute and appoint as agent to transfer said Note on the
books of said Note Registrar with full power of substitution in the premises.
Dated
Name
.•••
0••
.. •••Social Security or I • • •
• • •
Taxpayer Identification No. • • •• •• ••
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Signature (Sign here exactly •as name(s) •
appear on the face of Certificate) •.
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Signature guarantee:
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By
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a LEGAL OPINION
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The following is a true and correct copy of the approving Iggai opinion of Gilmore & Bell, P.C.,
Bond Counsel, which was dated and issued as of the date of original issuance and delivery of such Notes:
GILMORE & BELL,P.C.
Attorneys at Law
2405 Grand Boulevard
Suite 1100
Kansas City, Missouri 64108
Governing Body
City of Salina, Kansas
Country Club Bank
Prairie Village, Kansas
Re: $1,485,000 General Obligation Temporary Notes, Series 2012-I, of the City of•••••
Salina, Kansas, Dated July 15, 2012
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• • ••
We have acted as Bond Counsel in connection with the issuance by the CQy▪ df Salina, Kansas • •
(the `Issuer"), of the above-captioned notes (the "Notes"). In this capacity, we havrexamined Aslaw •'
and the certified proceedings, certifications and other documents that we deem ne ceass�ry to rentier•tiis • •
opinion. Capitalized terms not otherwise defined herein shall have the meanings ascribed ther49•i Ctthe
resolution adopted by the governing body of the Issuer authorizing the issuance of the:Nicetes. ' •
Regarding questions of fact material to our opinion, we have relied on the cer• tified prontelatgs
and other certifications of public officials and others furnished to us without undertaking to ve.i'y them
by independent investigation. •• ••
Based upon the foregoing, we are of the opinion, under existing law, as follows:
1. The Notes have been duly authorized, executed and delivered by the Issuer and are valid
and legally binding general obligations of the Issuer.
2. The Notes are payable as to both principal and interest from general obligation bonds of
the Issuer and, if not so paid, from ad valorem taxes which may be levied without limitation as to rate or
amount upon all the taxable tangible property, real and personal, within the territorial limits of the Issuer.
The Issuer is required by law to include in its annual tax levy the principal and interest coming due on the
Notes to the extent that necessary funds are,not provided from other sources.
3. The interest on the Notes (including any original issue discount properly allocable to an
owner of a Note) is: (a) excluded from gross income for federal income tax purposes; and(b) not an item
of tax preference for purposes of the federal alternative minimum tax imposed on individuals and
corporations, but is taken into account in determining adjusted current earnings for the purpose of
computing the alternative minimum tax imposed on certain corporations. The opinions set forth in this
paragraph are subject to the condition that the Issuer comply with all requirements of the Internal i
Revenue Code of 1986, as amended (the "Code"), that must be satisfied subsequent to the issuance of the
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Notes in gder to preserve the exclusion of the interest on the Notes from gross income for federal income
tax purposes. The Issuer has covenanted to comply with all of thesejrequirements. Failure to comply
with certd4b of these requirements may cause interest on the Notes Ito-5e included in gross income for
federal income tax purposes retroactive to the date of issuance of the Notes. The Notes are"qualified tax-
exempt obligations" within the meaning of Section 265(b)(3) of the:Code, and, in the case of certain
financial institutions (within the meaning of Section 265(6)(5) of the Code), a deduction is allowed for 80
percent of that portion of such financial institution's interest expense allocable to interest on the Notes.
We express no opinion regarding other federal tax consequences arising with respect to the Notes.
4. The interest on the Notes is exempt from income taxation by the State of Kansas.
We express no opinion regarding the accuracy, completeness or sufficiency of the Official
Statement or other offering material relating to the Notes (except to the:extent, if any, stated in the Official
Statement). Further, we express no opinion regarding tax consequences arising with respect to the Notes
other than as expressly set forth in this opinion.
The rights of the owners of the Notes and the enforceability thereof may be limited by
bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors' rights
generally and by equitable principles, whether considered at law or in equity.
This opinion is given as of its date, and we assume no obligation to revise or supplepterrthis
opinion to reflect any facts or circumstances that may come to our attention or any changes in l'irthat
may occur after the date of this opinion. • • •
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GILMORE & BELL,P.C. • •
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