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94-4803 Auth Note IssueRESOLUTION NUMBER 9 `i-4So3 RESOLUTION AUTHORIZING AND DIRECTING THE ISSUANCE OF TEMPORARY NOTES OF THE CITY OF SALINA, KANSAS, IN AN AGGREGATE PRINCIPAL AMOUNT OF $520,000 FOR THE PURPOSE OF PROVIDING FUNDS TO PAY THE COST OF VARIOUS STREET AND UTILITY IMPROVEMENTS IN THE CITY. WHEREAS, pursuant to K.S.A. 12-6a01 through 12-6a17, inclusive, and all other provisions the laws of the State of Kansas applicable thereto, by proceedings duly had and other actions duly and ;ally taken, the City of Salina, Kansas (the "City"), is proceeding with the construction of certain street I utility improvements in the City (the "Project"), and WHEREAS, the cost of the Project is to be paid in whole or in part by the issuance of general :)n bonds of the City in the manner provided by law, and WHEREAS, pursuant to engineering plans and estimates, construction contracts and actions duly in connection with the Project, it has been determined that the cost of the Project will be (mately $520,000, and WHEREAS, it is necessary for the City to provide cash funds to the obligations incurred in )wiring and constructing the Project prior to the completion of the Project and the issuance of the bonds the City, and it is desirable and to the interest of the City that such funds be raised by the issuance of nporary notes of the City, said temporary notes to be issued by the City under and pursuant to the visions of K.S.A. 10-123. NOW, THEREFORE, BE IT RESOLVED BY THE GOVERNING BODY OF THE CITY SALINA, KANSAS, AS FOLLOWS: Section 1. For the purpose of providing funds to pay the cost of the Project, there shall be issued hereby is authorized to be issued municipal temporary notes of the City in the principal amount of ),000 (the "Notes"). The Notes shall be issued as five Notes, numbered R-1 upward and being in principal amount of $100,000 each, except for one note in the amount of $120,000, shall be gnated Municipal Temporary Notes (Subdivision Projects), Series 1994-5, and shall be in the form inafter set forth. The Notes shall be dated November 1, 1994, shall become due June 30, 1996, shall interest from November 1, 1994, at the rate of 4.83 % per annum payable at maturity and shall be emable at the option of the City prior to maturity at any time at the principal amount thereof plus ued interest to the date of payment, without premium, on not less than forty-five days' notice to the Treasurer of Kansas and thirty days' written notice given by first class mail sent to the original :haser of the Notes. Section 2. Upon the execution and registration of the Notes, they shall be delivered and held in General Fund of the City upon payment by United Missouri Bank, N.A., of the purchase price th Section 3. The City Clerk shall keep the note registration books of the City on which it shall d the initial and all subsequent registered owners of the Notes and all transfers thereof. The Notes be transferred on such registration books as specified in the form of Note set forth in Section 4. Section 4. The Notes shall be issued in certificated form in substantially the form set forth in s Section subject to such changes and variations as may be required to comply with the Kansas Bond gistration Law, K.S.A. 10-620 to 10-632, inclusive, and the rules and regulations appertaining thereto blished in the Kansas Register by the Attorney General of the State of Kansas. The certificated Notes ty have endorsed thereon such legends or test as may be necessary or appropriate to conform to any plicable rules and regulations of any governmental authority or any custom, usage or requirement of v with respect thereto. UNITED STATES OF AMERICA STATE OF KANSAS, CITY OF SALINA MUNICIPAL TEMPORARY NOTE (SUBDIVISION PROJECTS), SERIES 1994-5 Interest Rate Maturity Date Note Date 4.83% June 30, 1996 November 1, 1994 HOLDER: AL AMOUNT: THE CITY OF SALINA, KANSAS (the "City"), for value received, hereby promises to pay to Registered Holder identified above or registered assigns, on the Maturity Date identified above, unless led for redemption prior to maturity, the Principal Amount identified above and to pay interest thereon the Maturity Date at the Interest Rate specified above from the Note Date identified above. Both ,icipal and interest are payable to the bearer hereof upon presentation and surrender hereof at the office he City Treasurer in the City of Salina, Kansas. THE CITY hereby reserves the right to redeem and pay this Note prior to its maturity at any time at he principal amount thereof plus accrued interest to date of payment, without premium, provided the Chy shall give not less than thirty days' written notice of its intent to pay this Note, such notice to be gii en by first class mail sent to the original purchaser of this Note. THIS TEMPORARY NOTE is one of a series of temporary notes of the City issued for the _ puipose of providing funds to pay the cost of street and utility improvements within the City (the "Project"), the Project having been duly and regularly authorized by the governing body of the City. The Project is to be paid for in whole or in part by the issuance of bonds of the City and is being made under, and this Note is being issued under, the authority of and in full compliance with the provisions, re rictions and limitations of the constitution and statutes of the State of Kansas, K.S.A. 12-6a01 et seq. ant. 10-123, and all other provisions of the laws of said State applicable thereto. This Note and all int rest thereon are to be paid by the City. 2 THIS NOTE is transferable only in the Note Register at the office of the City Clerk of the City :reinafter referenced as the Note Registrar when acting in that capacity) upon surrender of this Note the Note Registrar duly endorsed for transfer or accompanied by a written instrument of transfer isfactory to the Note Registrar duly executed by the registered owner hereof or his attorney or legal iresentative and thereupon a new Note in the same aggregate principal amount shall be issued to the nsferee in exchange therefor. THIS NOTE shall not be valid or become obligatory for any purpose or be entitled to any or benefit under the Resolution of the City authorizing the issuance of this Note until the ate of Registration hereon shall have been dated and executed by the City Clerk. IT IS HEREBY DECLARED AND CERTIFIED that all acts, conditions and things required to done and to exist precedent to and in the issuing of this Note have been properly done and performed I do exist in regular and due form as required by the constitution and laws of the State of Kansas, and t the total indebtedness of the City, including this Note, does not exceed any constitutional or statutory citation. IN WITNESS WHEREOF, the City of Salina, Kansas, has caused this Note to be signed by its officers and its corporate seal to be affixed, and the same to be dated as of November 1, 1994. City Clerk COUNTERSIGNATURE CERTIFICATE Mayor This Temporary Note shall not be negotiable unless and until countersigned below following :ion by the Treasurer of the State of Kansas. Countersignature Date: 3 City Clerk CITY CLERK'S CERTIFICATE ATE OF KANSAS ) SS. ►UNTY OF SALINE ) EAL) I, the undersigned, City Clerk of the City of Salina, Kansas, hereby certify that the within ary Note of the City of Salina, Kansas, has been duly registered in my office according to law. WITNESS my hand and official seal this November 1, 1994. STATE TREASURER'S CERTIFICATE City Clerk I, Sally Thompson, Treasurer of the State of Kansas, hereby certify that a full and complete ipt of the proceedings leading up to the issuance of this Temporary Note has been filed in my and that this Temporary Note was registered in my office according to law this WITNESS my hand and official seal. 4 Treasurer of the State of Kansas UZ Assistant State Treasurer ASSIGNMENT FOR VALUE RECEIVED the undersigned does (do) hereby sell, assign and transfer to (Name and Address) (Social Security or Taxpayer Identifying Number) note to which this assignment is affixed in the outstanding principal amount of $ , standing the name of the undersigned on the books of the City Clerk of Salina, Kansas. The undersigned does )) hereby revocably constitute and appoint attorney to transfer the said bond to the )stitution in the premises. Section 5. The Notes shall be executed by the Mayor and City Clerk and the Seal of the City SII be affixed thereto, and after such execution and the registration of the Notes by the City Clerk and the State Treasurer, shall be countersigned by the City Clerk and shall be delivered to and held in the ited Missouri Bank, N.A., the purchaser thereof, upon receipt of the purchase price therefor, said ce to be equal to the principal amount of the Notes plus accrued interest, if any, thereon. In the event r officer whose signature appears on the Notes shall cease to be such officer before the delivery of such tes, such signature shall nevertheless be valid and sufficient for all purposes, the same as if such -son had remained in office until delivery. The proceeds of the Notes will be deposited in a project id for the Notes and used to pay the cost of the Project. Section 6. The City expects to make capital expenditures on and after the date of adoption of th Resolution in connection with the Project, and the Issuer intends to reimburse itself for such e enditures with the proceeds of the Notes. In turn, the City expects to pay the Notes with the proceeds o a long-term general obligation bond issue. The maximum principal amount of obligations expected to a issued for the Project is not expected to exceed $550,000. Section 7. (a) The City covenants and agrees that (1) it will comply with all applicable irovisions of the Code, including Sections 103 and 141 through 150, necessary to maintain the exclusion rom federal gross income of the interest on the Notes, and (2) it will not use or permit the use of any �roceeds of Notes or any other funds of the City, nor take or permit any other action, or fail to take any ction, which would adversely affect the exclusion from federal gross income of the interest on the Notes. e City will also adopt such other ordinances or resolutions and take such other actions as may be ecessary to comply with the Code and with other applicable future law, in order to ensure that the terest on the Notes will remain excluded from federal gross income, to the extent any such actions can le taken by the City. (b) The City covenants and agrees that (1) it will use the proceeds of the Notes as soon as cticable and with all reasonable dispatch for the purposes for which the Notes are issued, and (2) it 1 not invest or directly or indirectly use or permit the use of any proceeds of the Notes or any other ds of the City in any manner, or take or omit to take any action, that would cause the Notes to be bitrage bonds" within the meaning of Section 148(a) of the Code. Ii (c) The City covenants and agrees that it will pay or provide for the payment from time to t me of all rebatable arbitrage to the United States pursuant to Section 148(f) of the Code and the Arbitrage Instructions prepared by bond counsel. This covenant shall survive payment in full or feasance of the Notes. The Arbitrage Instructions may be amended or replaced if, in the opinion of counsel nationally recognized on the subject of municipal bonds, such amendment or replacement will t adversely affect the exclusion from federal gross income of the interest on the Notes. (d) The City covenants and agrees that it will not use any portion of the proceeds of the otes, including any investment income earned on such proceeds, directly or indirectly, (1) in a manner at would cause any Note to be a "private activity bond" within the meaning of Section 141(a) of the ode, or (2) to make or finance a loan to any Person. (e) The City expects that more than 75% of the proceeds of the Notes will be expended for fiction" as that term is used in Section 148(f)(4)(C)(iv) of the Code. G7 Adopted by the Board of Commissioners and signed by the Mayor this 17th day of October, T: City 7 Mayor