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92-4504 Auth NotesKinn -Cox Priming— Salim. Kansas RESOLUTION NUMBER 92-4504 A RESOLUTION AUTHORIZING AND DIRECTING THE ISSUANCE OF MUNICIPAL TEMPORARY NOTE NUMBER 1, SERIES PT -111, OF THE CITY OF SALINA, KANSAS, IN THE AMOUNT OF $211,000 FOR THE PURPOSE OF PROVIDING FUNDS TO PAY THE CONSTRUCTION OF STREET AND UTILITY IMPROVEMENTS IN HOLMQUIST ESTATES AND AUSTIN ADDITIONS, ALL IN SAID CITY. WHEREAS, pursuant to K.S.A 12-6a01 through 12-6al7, inclusive, and all other provisions of the laws of the State of Kansas applicable thereto, by proceedings duly had and other WHEREAS, actions duly and legally taken, the City of Salina, Kansas (the "City"), is proceeding with the construction of street and utility improvements in the City (the "Project"), and WHEREAS, the current total estimated cost of the Project is $270,000.00; and WHEREAS, it is necessary for the City to WHEREAS, the cost of the Project is to be paid in whole or in part by the issuance of general obligation bonds of the City in the manner provided by law, and of the City, and it is desirable and to the interest of WHEREAS, pursuant to actions duly taken in connection with the Project, the City has entered into contracts and has incurred costs and expenses in the amount of $211,000.00 on account of the Project, and WHEREAS, it is necessary for the City to provide cash funds to meet its obligations incurred in constructing the Project prior to the completion of the Project and the issuance of the bonds of the City, and it is desirable and to the interest of the City that such funds be raised by the issuance of temporary notes of the City, said temporary notes to be issued by the City under and pursuant to the provisions of K.S.A. 10-123, SO NOW, THEREFORE BE IT RESOLVED by the Governing Body of the City of Salina, Kansas, as follows: Section I. For the purpose of providing funds to pay obligations incurred by the City in building and constructing the Project, there shall be issued and hereby is authorized to be issued a municipal temporary note of the City in the principal amount of $211,000.00 (the "Note") . The Note shall be numbered 1, shall be designated Municipal Temporary Note, Series PT -111, and shall be in the form hereinafter set forth. The Note shall be dated September 1, 1992 shall become due December 31, 1994, shall bear interest from September 1, 1992, at the rate of three and six tenths percent (3.6%) per annum payable at maturity and shall be redeemable at the option of the City and at any time prior to maturity at the principal amount thereof plus accrued interest to the date of payment, without premium, on not less than thirty days' written notice given by first class mail sent to the registered holder of the Note. Section 2. The City expects to incur capital expenditures on and after the date of adoption of this Resolution (the "Expenditures") in connection with the Project, and intends to reimburse itself for such Expenditures with the proceeds of said bonds or temporary notes in an amount which, depending on the date of issuance of said bonds or temporary notes, may aggregate a maximum of $270,000.00, the anticipated cost of such improvements. The Board of Commissioners has determined that the funds to be advanced to pay Expenditures are or will be available only for a temporary period and it is necessary to reimburse the City with the proceeds of a borrowing for Expenditures made on and after the date hereof. As of the date hereof, there are no funds from sources other than said bonds or temporary notes that are, or are reasonably expected to be, reserved, allocated on a long-term basis, or otherwise set aside by the City to pay Expenditures. This Resolution constitutes a declaration of official intent under Treasury Regulation Section 1.103-18 issued under the Internal Revenue Code of 1986, as amended, and the adoption of this Resolution is consistent with the budgetary and financial circumstances of the City. This Resolution shall be made available for public inspection during normal business hours at the main administrative office of the City or the customary location of the City's records that are available to the general public, beginning within ten (10) days after its adoption and continuing until the aforesaid debt is issued. ----------- — K—ClL Pn,,i —Salina Kansas Section 3. Upon the execution and registration of the Note, it shall be delivered to the purchaser thereof upon payment of the purchase price thereof, being not less than the principal amount thereof plus accrued interest. Section 4. The City Clerk shall keep the note registration books of the City on which it shall record the initial and all subsequent registered owners of the Note and all transfers thereof. The Note may be transferred on such registration books as specified in the form of Note set forth in Section 4. _ Section 5. The Note shall be issued in certificated form in substantially the form set forth in this Section subject to changes and variations as may be required to comply with the Kansas Bond Registration Law, K.S.A. 10-620 to 10-632, inclusive, and the rules and regulations appertaining thereto published in the Kansas Register by the Attorney General for the State of Kansas. The certificated Note may have endorsed thereon such legends or test as may be necessary or appropriate to conform to any applicable rules and regulations of any governmental authority or any custon, usage or requirement of law with respect thereto. K1M1nCnx Samna. Kan�e� REGISTERED NUMBER R-1 Interest Rate 3.60% UNITED STATES OF AMERICA STATE OF KANSAS COUNTY OF SALINE CITY OF SALINA MUNICIPAL TEMPORARY NOTE SERIES PT -111 Maturity Date December 31, 1994 REGISTERED $211,000 Note Date September 1, 1992 REGISTERED HOLDER: CITY OF SALINA WATER AND SEWERAGE UTILITY PRINCIPAL AMOUNT: TWO HUNDRED ELEVEN THOUSAND DOLLARS THE CITY OF SALINA, KANSAS (the "City"), for value received, hereby promises to pay to the Registered Holder identified above, or registered assigns, on the Maturity Date identified above, unless called for redemption prior to maturity, the Principal Amount identified above and to pay interest thereon on the Maturity Date at the Interest Rate specified above from the Note Date identified above. Both principal and interest are payable to the Registered Holder upon presentation and surrender hereof at the Office of the City Treasurer in the City of Salina, Kansas. The CITY hereby reserves the right to redeem and pay this Note at any time prior to its maturity at the principal amount thereof plus accrued interest to date of payment, without premium, provided the City shall give not less than thirty days' written notice of its intent to pay this Note, such notice to be given by first class mail sent to the Registered Holder of this Note. THIS TEMPORARY NOTE is issued for the purpose of providing funds to pay the cost of street and utility improvements in the Holmquist Estate and Austin Additions, in 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, restrictions and limitations of the Constitution and statutes of the State of Kansas, K.S.A. 12-6a01 through 12-6al7, inclusive, and all other provisions of the laws of said State applicable thereto. This Note and all interest thereon are to be paid by the City. THIS NOTE is transferable only in the Note Register at the office of the City Clerk of the City (hereinafter referenced as the Note Registrar when acting in that capacity) upon surrender of this Note to the Note Registrar duly endorsed for transfer or accompanied by a written instrument of transfer satisfactory to the Note Registrar duly executed by the registered owner hereof or his attorney or legal representative and thereupon a new Note in the same aggregate principal shall be issued to the transferee in exchange therefor. THIS NOTE shall not be valid or become obligatory for any purpose or be entitled to any security or benefit under the Resolution of the City authorizing the issuance of this Note until the Certificate of Registration hereon shall have been dated and 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 issuing of this Note have been properly done and performed and do exist in regular and due form as required by the constitution and laws of the State of Kansas, and that the total indebtedness of the City, including this Note, does not exceed any constitutional or statutory limitation. IN WITNESS WHEREOF, the City of Salina, Kansas, has caused this Note to be signed by its proper officers and its corporate seal to be affixed, and the same to be dated as of September 1, 1992. [ SEAL] ATTEST: Mayor City Clerk KuhlCoxP..nti•ig -- Sal a. Kansas COUNTERSIGNATURE CERTIFICATE This Temporary Note shall not be negotiable unless and until countersigned below following registration by the Treasurer of the State of Kansas. Countersignature Date: [SEAL] City Clerk ............................................................................... CITY CLERK'S CERTIFICATE STATE OF KANSAS ) ) SS COUNTY OF SALINE ) I, the undersigned, City Clerk of the City of Salina, Kansas, hereby certify that the within Temporary Note of the City of Salina, Kansas, has been duly registered in my office according to law. WITNESS my hand and official seal this day of , 1992. [SEAL] City Clerk ............................................................................... STATE TREASURER'S CERTIFICATE I, Sally Thompson, Treasurer of the State of Kansas, hereby certify that a full and complete transcript of the proceedings leading up to the issuance of this Temporary Note has been filed in my office, and that this Temporary Note was registered in my office according to law this WITNESS my hand and official seal. reasurer of the State of Kansas [SEAL] By Assistant State Treasurer ............................................................................... ASSIGNMENT FOR VALUE RECEIVED the undersigned does (do) hereby sell, assign and transfer to (Name and Address) Social Security or Taypayer Identifying Number) 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 City Clerk of Salina, Kansas. The undersigned does (do) hereby revocably constitute and appoint attorney to transfer the said bond to the substitution in the premises. Dated: Name Account No. Signature (Sign Here Exactly as on the Face of the Face of the Certificate) Signature Guaranteed by: Name of Eligible Guarantor Institution By: Title: .............................................................................. Section 6. The Note shall be executed by the Mayor and City Clerk and the Seal of the City shall be affixed thereto, and after such executeion of the registration of the Note by the City Clerk and by the State Treasurer, shall be countersigned by the City Clerk and shall be delivered to the purchaser thereof upon receipt of the purchase price thereof, said price to be not less than par. The proceeds of the Note shall be placed in the City Treasury and applied solely to pay the cost of the Project. Section 7. The City will comply with all applicable provisions of the Internal Revenue Code of 1986 (the "Code"), including Section 103 thereof, and the regulations of the Treasury Department thereunder, from time to time proposed or in effect, in order to maintain the exclusion from gross income for purposes of federal income taxation of the interest on the Note. The City covenants and agrees that it will use the proceeds of the Note as soon as practicable and with all reasonable dispatch for the purpose for which the Note is issued as hereinbefore set forth, and that no part of the proceeds of the Note shall be invested in any securities, obligations or other investments except for the temporary period pending such use nor used, at any time, directly or indirectly, in a manner which, if such use had been reasonable anticipated on the date of issuance of the Note, would have caused the Note to be or become "arbitrage bonds" within the meaning of Section 103(b)(2) or Section 148 of the Code and the regulations of the Treasury Department thereunder proposed or in effect at the time of such use and applicable to obligations issued on the date of issuance of the Note. The City anticipates that more than seventy-five percent of the proceeds of the Notes will be expended for "construction" as that term is used in Section 148(f)(4)(B)(iv) of the Internal Revenue Code of 1986, as amended. Section 8. Upon the execution and registration of the Note, it shall be delivered to the purchaser thereof upon payment of the purchase price thereof, being not less than the principal amount thereof plus accrued interest. Adopted by the Board of Commissioners and signed by the Mayor this 24th day of August, 1992. er Carol E. Beggs, Mayor [SEAL] ATTEST: Jacquel ne Shiever, City Clerk