90-9416 Issue BondsKuhn -Cox Printing — Salina. Kansas
ORDINANCE NO. 90- 9416
OF THE
CITY OF SALINA, KANSAS
$455,000
GENERAL OBLIGATION INTERNAL IMPROVEMENT BONDS
SERIES B-236
Klhl, 0. Printing — Sall- Kan$aa
INDEX
PAGE
Section
1.
Definitions -------------------------------
1
Section
2.
Authorization of and Security for the Bonds
3
Section
3.
Description of the Bonds, Designation of
Paying Agent and Bond Registrar ------
3
Section
4.
Redemption of Bonds Prior to Maturity -----
4
Section
5.
Method and Place of Payment of Principal of
and Interest on the Bonds ------------
5
Section
6.
Execution, Authentication and Delivery of
the Bonds ----------------------------
6
Section
7.
Registration, Transfer and Exchange of Bonds
7
Section
8.
Persons Deemed Owners of Bonds ------------
8
Section
9.
Mutilated, Lost, Stolen or Destroyed Bonds
9
Section
10.
Cancellation and Destruction of Bonds
Upon Payment -------------------------
9
Section
11.
Form of Bonds -----------------------------
9
Section
12.
Disposition of Bond Proceeds --------------
9
Section
13.
Levy and Collection of Annual Taxes -------
10
Section
14.
Transfer of Funds to Paying Agent and the
Bond Registrar -----------------------
10
Section
15.
Authorization of Agreement Between the
City and the Bond Registrar ----------
10
Section
16.
Federal Tax Matters -----------------------
10
Section
17.
Defeasance --------------------------------
11
Section
18.
Approval of Preliminary Official Statement
and Official Statement -----------------
11
Section
19.
Redemption of Temporary Note--------------
12
Section
20.
Severability ------------------------------
12
Section
21.
Effective Date ----------------------------
13
T" -.,.tea / eon -,4- -U
ORDINANCE NO. 190- 9416
AN ORDINANCE AUTHORIZING AND DIRECTI
DELIVERY OF $455,000 PRINCIPAL AMOU
INTERNAL IMPROVEMENT BONDS, SERIES
KANSAS, FOR THE PURPOSE OF PROVIDIN
CONSTRUCTION OF IMPROVEMENTS TO THE
OF SALINA, KANSAS; PRESCRIBING THE F
PROVIDING FOR THE LEVY AND COLLECTIO
THE PURPOSE OF PAYING THE PRINCIPAL
AS THEY BECOME DUE; AUTHORIZING AN A
THE BOND REGISTRAR; APPROVING THE PR
STATEMENTS AND REDEEMING OUTSTANDING
G THE ISSUANCE, SALE AND
OF GENERAL OBLIGATION
236, OF THE CITY OF SALINA,
FUNDS TO PAY THE COST OF THE
ROADWAY OVERPASS IN THE CITY
RM AND DETAILS OF SAID BONDS;
OF THE NECESSARY TAXES FOR
F AND INTEREST ON SAID BONDS
REEMENT BETWEEN THE CITY AND
LIMINARY AND FINAL OFFICIAL
TEMPORARY NOTES.
WHEREAS, pursuant to K.S.A. 12-585 et seg., and other
rovisions of the laws of the State f Kansas applicable thereto,
y proceedings duly had, the governi g body of the City of Salina,
ansas (the "City"), has proceeded w th construction of
mprovements to the Broadway overpasg in the City; and
WHEREAS, the City has previousl issued its temporary note to
inance the costs of said improvements on an interim basis; and
WHEREAS, all legal requirements pertaining to said
mprovements have been complied with and the governing body of
he City now finds and determines th t the total cost of the
foresaid improvements and related a penses (including interest on
he aforesaid temporary notes and is uance costs of the bonds
erein authorized) are $455,000; and
WHEREAS, the governing body of he City is authorized by law
o issue general obligation bonds of the City to pay the costs of
aid improvements; and
WHEREAS, the governing body of he City has heretofore
dvertised the sale of the general o ligation bonds referred to
bove in accordance with law and awa ded the sale of said bonds to
he lowest bidder; and
WHEREAS, the governing body of t e City now deems and finds
t necessary to authorize the issuance of said bonds for delivery
o the purchaser;
NOW, THEREFORE, BE IT ORDAINED BAY THE GOVERNING BODY OF THE
ITY OF SALINA, KANSAS, AS FOLLOWS:
Section 1. Definitions. In add
therwise defined herein, unless the
ndicate some other meaning, the word
ection shall for all purposes of thi
espective meanings specified in this
"Bondholder" and "Holder" mean a
registered in the Bond Register.
.tion to the words and terms
:ontext shall clearly
and terms defined in this
Ordinance have the
Section, to wit:
Person in whose name a Bond
KWn-Cax Printing — Saline, Kansas
"Bond Register" means the register and all accompanying
records kept by the Bond Registrar evidencing the registration,
transfer and exchange of Bonds.
"Bond Registrar" means the State Treasurer of Kansas when
acting in the capacity as registrar and transfer agent for the
registration, transfer and exchange of Bonds, and any successors
thereto.
"Bonds" and "Series B-236 Bonds" mean the General Obligation
Internal Improvement Bonds, Series B-236, of the City herein
authorized.
"City" means Salina, Kansas.
"Interest Payment Date" means the Stated Maturity of an
installment of interest on the Bonds.
"Maturity" with respect to any Bond means the date on which
the principal of such Bond becomes due and payable as therein or
herein provided.
"Ordinance", "this Ordinance", "hereof", "herein", "hereto"
and similar terms shall refer to this Ordinance of the City
authorizing the Bonds, as originally executed or as it may be
supplemented or amended from time to time.
"Outstanding" when used with respect to Bonds means, as of
the date of determination, all Bonds theretofore executed,
authenticated and delivered under this Ordinance, except:
(i) Bonds theretofore cancelled by the Bond
Registrar or delivered to the Bond Registrar for
cancellation; and
(ii) Bonds that have been defeased by the deposit
of funds or qualified securities with the Paying Agent
or other qualified party in compliance with this
Ordinance; and
(iii) Bonds in exchange for or in lieu of which
other Bonds have been authenticated and delivered
pursuant to this Ordinance.
"Paying Agent" means the State Treasurer of Kansas when
acting in the capacity as paying agent for the payment of the
principal of, premium, if any, and interest on the Bonds and any
successors thereto.
"Person" means any individual, corporation, partnership,
joint venture, association, joint-stock company, trust,
unincorporated organization or government or any agency or
political subdivision thereof.
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KuhrvCox Printing — Salina, Kansas _
"Project" means the construction of improvements to the
Broadway overpass in the City.
"Registration Date" means the effective date of registration
of a Bond as evidenced by the Bond Registrar in the Certificate of
Authentication appearing on the Bond.
"Regular Record Date" for the interest payable on any
Interest Payment Date means the 15th day (whether or not a
business day) of the calendar month next preceding such Interest
Payment Date.
"Special Record Date" for the payment of any Defaulted
Interest, as defined in Section 5, means a date fixed by the Bond
Registrar pursuant to Section 5.
"Stated Maturity" when used with respect to any Bond or any
installment of interest thereon means the date specified in
Section 3 of this Ordinance as the fixed date on which the
principal of such Bond or such installment of interest is due and
payable.
Section 2. Authorization of and Securitv for the Bonds. For
the purpose of providing funds for the Project, there shall be
issued and are hereby authorized and directed to be issued the
General Obligation Internal Improvement Bonds, Series B-236, of
the City in the principal amount of $455,000.
The Bonds shall be general obligations of the City, payable
as to both principal and interest from ad valorem taxes which may
be levied without limitation as to rate or amount upon all the
taxable tangible property within the territorial limits of the
City. The full faith, credit and resources of the City are hereby
irrevocably pledged for the payment of the Bonds and the interest
thereon as the same become due.
Section 3. Description of the Bonds, Designation of Paying
Agent and Bond Registrar. The Bonds shall consist of fully
registered Bonds, without coupons, transferable to subsequent
owners only in the Bond Register maintained by the Bond Registrar
as hereinafter provided. Each Bond shall be in the denomination
of $5,000 or any integral multiple thereof not exceeding the
principal amount of Bonds maturing in the year in which such Bond
becomes due, as specified by the Holder of such Bond. The Bonds
shall be numbered in a manner determined by the Bond Registrar.
The Bonds shall be dated as of December 1, 1990, shall mature
without option of prior payment, and shall bear interest at the
rates per annum, as follows:
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Kinn-Coz Printing — Sallna, Kansea
MATURITY
DECEMBER 1
PRINCIPAL
AMOUNT
INTEREST
RATE
1991
50,000
7.75%
1992
45,000
7.75%
1993
45,000
6.00%
1994
45,000
5.75%
1995
45,000
5.80%
1996
45,000
5.90%
1997
45,000
6.00%
1998
45,000
6.05%
1999
45,000
6.10%
2000
45,000
6.15%
The Bonds shall bear interest from the most recent Interest
Payment Date to which interest has been paid in full or, if no
interest has been paid, from December 1, 1990. Interest on the
Bonds at the rates aforesaid shall be payable semiannually on June
1 and December 1 in each year, beginning June 1, 1991. The State
Treasurer of Kansas, Topeka, Kansas, is hereby designated as the
Paying Agent and as the Bond Registrar for the Bonds.
Section 4. Redemption of Bonds Prior to Maturity. The Bonds
maturing on December 1, 1998, and thereafter shall be subject to
redemption and payment prior to their Stated Maturity at the
option of the City as a whole or in part on December 1, 1997, or
on any Interest Payment Date thereafter in inverse order of Stated
Maturity, at the Redemption Price of 100% of the principal amount
of Bonds redeemed and paid plus accrued interest to the Redemption
Date, without a premium.
The Bond Registrar shall call Bonds for redemption and
payment as herein provided upon receipt by the Bond Registrar at
least 45 days prior to the Redemption Date of a written request of
the City.
Bonds shall be redeemed in inverse order of Stated Maturity
in the principal amount of $5,000 or any integral multiple
thereof. In the case of a partial redemption of Bonds of the same
Stated Maturity the Bonds to be redeemed shall be selected by the
Bond Registrar from the Outstanding Bonds of that Stated Maturity
by such method as the Bond Registrar shall deem fair and
Ippropriate and which may provide for the selection for redemption
f portions of the principal of Outstanding.Bonds of that maturity
f a denomination larger than $5,000. The portions of the
rincipal of Outstanding Bonds so selected for partial redemption
hall be equal to $5,000 or integral multiples thereof. Any Bond
hich is to be redeemed only in part shall be submitted to the
aying Agent and delivered to the Bond Registrar, who shall
uthenticate and deliver to the Holder of such Bond, without
ervice charge, a new Bond or Bonds, of any authorized
enomination as requested by such Holder iri an aggregate principal
mount equal to and in exchange for the unredeemed portion of the
.rincipal of the Bond so surrendered. If the Holder of any such
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Bond of a denomination greater than $5,000 shall fail to present
such Bond to the Paying Agent for payment and exchange as
aforesaid, such Bond shall, nevertheless, become due and payable
on the Redemption Date to the extent of the principal amount of
such Bond called for redemption (and to that extent only).
If and when the City shall call any of the Bonds for
redemption and payment prior to the maturity thereof, the Bond
Registrar shall give written notice in the name of the City of its
intention to redeem and pay such Bonds at the office of the Paying
Agent. Notice of Redemption shall be given by first class mail,
postage prepaid, mailed not less than 30 days prior to the
Redemption Date, to each Holder of Bonds to be redeemed, at his
address appearing in the Bond Registrar. All notices of
redemption 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,
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 shall
be the office of the Paying Agent).
The failure of the Holder of any Bond to be redeemed to
eceive written notice mailed pursuant hereto shall not affect or
nvalidate the redemption of said Bond. If any Bond is called for
edemption and payment as aforesaid, all interest on such Bond
hall cease from and after such redemption date, provided funds
re deposited with the Paying Agent for its payment on the
edemption Date at the Redemption Price.
The Bond Registrar is also directed to comply with any
andatory or voluntary standards then in effect for processing
edemptions of municipal securities established by the Securities
nd Exchange Commission. Failure to comply with such standards
hall not affect or invalidate the redemption of any Bond to be
edeemed.
Section 5. Method and Place of Payment of Principal of and
nterest on the Bonds. The principal of and interest (computed on
he basis of a 360 -day year of twelve 30 -day months) on the Bonds
hall be payable in such coin or currency of the United States of
merica as at the time of payment is legal tender for the payment
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KUM1O-COR Printing — Salina. Kansas
of public and private debts. Payment of the interest on each Bond
shall be made by the Paying Agent on each Interest Payment Date to
the Person appearing as the Holder thereof in the Bond Register at
the close of business on the Regular Record Date next preceding
said Interest Payment Date, by check or draft mailed to such
Holder at the Holder's address as it appears in the Bond Register.
The principal of each Bond shall be payable to the Holder thereof
upon the presentation of such Bond for payment and cancellation at
its Maturity at the principal office of the Paying Agent.
Notwithstanding any of the foregoing provisions of this
Section to the contrary, any interest on the Bonds which is
payable, but is not punctually paid on any Interest Payment Date
(herein called "Defaulted Interest"), shall be payable to the
persons in whose names the Bonds are registered at the close of
business on a Special Record Date. The Special Record Date shall
be fixed in the following manner: (1) The City shall notify the
Bond Registrar in writing of the amount of Defaulted Interest
proposed to be paid on the Bonds and the date of the proposed
payment, which proposed payment date shall be at least 30 days
after receipt by the Bond Registrar of such notice from the City;
(2) at the same time the City shall deposit with the Paying Agent
an amount of money equal to the aggregate amount to be paid in
respect of such Defaulted Interest or shall make arrangements
satisfactory to the Paying Agent for such deposit prior to the
date of the proposed payment; and (3) thereupon, the Bond
Registrar shall fix a special Record Date for the payment of such
Defaulted Interest which shall not be more than 15 nor less than
10 days prior to the date of the proposed payment.
The Bond Registrar shall promptly notify the City of such
Special Record Date and, in the name and at the expense of the
City, shall cause notice of the proposed payment of such Defaulted
Interest and the Special Record Date therefor to be mailed, first
class postage prepaid, to the Holder of each Bond at the Holder's
address as it appears in the Bond Register, not less than 10 days
prior to such Special Record Date. Notice of the proposed
payment of such Defaulted Interest and the Special Record Date
therefor having been mailed as aforesaid, such Defaulted Interest
shall be paid to the Persons in whose names the Bonds are
registered at the close of business on such Special Record Date.
Subject to the foregoing provisions of this Section, each
Bond delivered under this Ordinance upon transfer of or in
exchange for or in lieu of any other Bond shall carry the rights
to interest accrued and unpaid, and to accrue, which were carried
by such other Bond.
Section 6. Execution, Authentication and Delivery of the
onds. The Bonds shall be executed on behalf of the City by the
facsimile signature of its Mayor and attested by the facsimile
ignature of its City Clerk, and shall have the seal of the City
ffixed thereto or imprinted thereon. In the event any officer
hose signature or facsimile thereof appears on any Bond shall
— Salina,
cease to be such officer before the delivery of such Bond, such
signature or facsimile thereof shall nevertheless be valid and
sufficient for all purposes, the same as if such person had
remained in office until delivery. Any Bond may be executed by
such persons as at the actual time of the execution of such Bond
shall be the proper officers to sign such Bond although at the
original date of such Bond such persons may not have been such
officers.
The Bonds shall have endorsed thereon a Certificate of
Authentication substantially in the form hereinafter set forth and
which shall have the date of registration inserted and shall be
manually executed by the Bond Registrar.
No Bond shall be entitled to any security or benefit under
this Ordinance or shall be valid or obligatory for any purpose
unless and until such Certificate of Authentication shall have
been duly executed by the Bond Registrar by manual signature.
Such executed Certificate of Authentication upon any Bond shall be
conclusive evidence that such Bond has been duly authenticated and
delivered under this Ordinance and that such registered owner has
been entered on record in the Bond Register kept by the Bond
Registrar. The Certificate of Authentication shall be deemed to
have been duly executed if the Registration Date has been inserted
and if it has been signed by any authorized officer or employee of
the Bond Registrar, but it shall not be necessary that the same
fficer or employee sign the Certificate of Authentication on all
f the Bonds that may be issued hereunder at any one time.
The Mayor and the City Clerk are hereby authorized and
irected to prepare and execute the Bonds in the manner
ereinbefore specified, the City Clerk is hereby authorized and
irected to register the Bonds, and the Mayor and the City Clerk
re hereby authorized and directed to cause the Bonds to be
egistered in the office of the State Treasurer of Kansas as
rovided by law, and when the Bonds have been duly registered with
he Bond Registrar, to deliver the Bonds to the original purchaser
hereof, upon the payment of the aggregate principal amount of the
onds plus accrued interest to the date of payment and delivery,
ogether with any premium.
Section 7. Registration, Transfer and Exchange of Bonds. So
ong as any of the Bonds remain outstanding, the City shall cause
he Bond Register to be kept at the principal office of the Bond
egistrar and all of the Bonds and transfers and or exchanges
hereof shall be fully registered as to both principal and
nterest in the names of the Holders in the Bond Register and
hall not be registered to bearer.
Bonds may be transferred in the Bond Register only upon
urrender thereof to the Bond Registrar duly endorsed for transfer
r accompanied by a written instrument of transfer duly executed
y the Holder thereof or his attorney or legal representative in
uch form as shall be satisfactory to the Bond Registrar. Upon
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Kuhn -Cox Griming —
any such transfer, the City shall execute and the Bond Registrar
shall authenticate and deliver in exchange for such Bond a new
Bond or Bonds, registered in the name of the transferee, of any
denomination or denominations authorized by this Ordinance in an
aggregate principal amount equal to the principal amount of such
Bond, of the same Maturity and bearing interest at the same rate.
Bonds, upon surrender thereof at the principal office of the
Bond Registrar, together with a written instrument of transfer
duly executed by the Holder thereof or his attorney or legal
representative in such form as shall be satisfactory to the Bond
Registrar, may, at the option of the Holder thereof, be exchanged
for an equal aggregate principal amount of Bonds of the same
Maturity, of any denomination or denominations authorized by this
Ordinance, and bearing interest at the same rate.
In all cases in which Bonds shall be exchanged or transferred
hereunder, the City shall execute and the Bond Registrar shall
authenticate and deliver at the earliest practicable time Bonds in
accordance with the provisions of this Ordinance. All Bonds
surrendered in any such exchange or transfer shall forthwith be
cancelled by the Bond Registrar. No service charge shall be made
to any Bondholder for registration, transfer or exchange of Bonds,
but the City or the Bond Registrar may make a charge for every
transfer or exchange of Bonds sufficient to reimburse it or them
for any tax or other governmental charge required to be paid with
respect to such transfer or exchange, and such charges shall be
paid before any such transfer or exchange shall be completed.
The City and the Bond Registrar shall not be required (i) to
issue, transfer or exchange any Bond during a period beginning at
the opening of business 15 days preceding the date of mailing of a
notice of redemption for Bonds selected for redemption under
Section 4 and ending at the close of business on the day of such
mailing; (ii) to transfer or exchange any Bond so selected for
redemption in whole or in part; or (iii) to issue, transfer or
exchange any Bond during a period beginning at the opening of
business on the day after receiving written notice from the City
of its intent to pay Defaulted Interest and ending at the close of
business on the date fixed for the payment of Defaulted Interest
pursuant to this Ordinance.
Section 8. Persons Deemed Owners of Bonds. The Person in
whose name any Bond shall be registered shall be deemed and
regarded by the City, the Bond Registrar and the Paying Agent as
the absolute owner thereof, whether such Bond shall be overdue or
not, for the purpose of receiving payment therefor or on account
thereof and for all purposes, and neither the City, the Bond
Registrar nor the Paying Agent shall be affected by notice to the
contrary. Payment of or on account of the principal of and
interest on any Bond shall be made only to or upon the order of
the Holder thereof or his legal representative. All such payments
shall be valid and effectual to satisfy and discharge the
WE
liability upon such Bond, including the interest thereon, to the
extent of the sum or sums so paid.
Section 9. Mutilated, Lost, Stolen or Destroyed Bonds. In
the event any Bond shall become mutilated, or be lost, stolen or
destroyed, the City shall, if necessary, execute and the Bond
Registrar shall authenticate and shall deliver a new Bond of like
date and tenor as the Bond mutilated, lost, stolen or destroyed;
provided that, in the case of any mutilated Bond, such mutilated
Bond shall first be surrendered to the Bond Registrar, and in the
case of any lost, stolen or destroyed Bond, if the requirements of
K.S.A. 84-8-405 are met and if an indemnity bond and affidavit of
loss are provided to the Bond Registrar and the City at the
expense of the Holder. Such indemnity bond and affidavit of loss
must be sufficient, in the judgment of the Bond Registrar and the
City, to protect the Bond Registrar and the City from any loss
which either of them might suffer if the Bond is replaced. In the
event any such Bond shall have matured, instead of issuing a
substitute Bond the City may pay or authorize the payment of the
same without surrender thereof. Upon the issuance of any
substitute Bond, the City and the Bond Registrar may require the
payment of an amount sufficient to reimburse the City and the Bond
Registrar for any tax or other governmental charge that may be
imposed in relation thereto and any other reasonable fees and
expenses incurred in connection therewith. The provisions of this
Section are exclusive and shall preclude (to the extent lawful)
all other rights and remedies with respect to the replacement or
payment of mutilated, lost, stolen or destroyed Bonds.
Section 10. Cancellation and Destruction of Bonds Upon
Payment. All Bonds surrendered for payment, transfer or exchange
shall be delivered to the Bond Registrar and, if not already
cancelled, the Bond Registrar shall cancel such Bonds and record
such cancellation in the Bond Register. Thereafter, such
cancelled Bonds shall be delivered to the City.
Section 11. Form of Bonds. The Bonds and the Bond
Registrar's Certificate of Authentication to be endorsed thereon
shall be in substantially the form attached hereto as Exhibit "A".
The Bonds may have endorsed thereon such legends or text as may be
necessary or appropriate to conform to any applicable rules and
regulations of any governmental authority or any custom, usage or
requirement of law with respect thereto.
Section 12. Disposition of Bond Proceeds. All accrued
interest and premium, if any, received from the sale of the Bonds
hall be deposited in the general. obligation bond fund held by the
ity Treasurer for the retirement of the Bonds.
The remaining balance of the proceeds derived from the sale
f the Bonds shall be deposited in a fund held by the City
reasurer and shall be used solely for the purpose of paying the
osts of the Project, including the retirement of any temporary
otes issued with respect to the Project.
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Kuhn.COX Priming — S.M.. Kansas
Section 13. Levy and Collection of Annual Taxes. The
governing body of the City shall annually make provision for the
payment of the principal of and interest on the Bonds as the same
become due by levying and collecting the necessary taxes and
assessments therefor in the manner provided by law.
Section 14. Transfer of Funds to Paving Accent and the Bond
Registrar. The City Treasurer is hereby authorized and directed to
withdraw from the funds received in payment of the taxes and
special assessments and from the debt service fund of the City and
forward to the Paying Agent sums sufficient to pay the principal
of and interest on the Bonds as and when the same become due and
to pay the charges of the Paying Agent for acting as paying agent
in the payment of principal and interest. In addition, the City
Treasurer is hereby authorized and directed to withdraw from the
debt service fund and forward to the Bond Registrar sums
sufficient to pay the charges of the Bond Registrar for acting as
bond registrar. Sums sufficient to pay said charges shall be
forwarded to the Paying Agent and Bond Registrar over and above
the amount of the principal of and interest on the Bonds.
Section 15. Authorization of Agreement Between the City and
the Bond Registrar. The Agreement between the City and the State
Treasurer of Kansas, in substantially the form attached hereto,
with respect to the duties of the State Treasurer as Bond
Registrar is in all respects hereby approved, authorized and
confirmed and the Mayor and City Clerk are hereby authorized and
directed to execute said Agreement for and on behalf of the City.
Section 16. Federal Tax Matters. 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
Bonds.
The City covenants and agrees that it will use the proceeds
of the Bonds as soon as practicable and with all reasonable
ispatch for the purpose for which the Bonds are issued as
ereinbefore set forth, and that no part of the proceeds of the
onds shall be invested in any securities, obligations or other
investments except for the temporary period pending such use nor
sed, at any time, directly or indirectly, in a manner which, if
uch use had been reasonably anticipated on the date of issuance
f the Bonds, would have caused any of the Bonds to be or become
"arbitrage bonds" within the meaning of Section 103(b)(2) or
action 148 of the Code and the regulations of the Treasury
apartment thereunder proposed or in effect at the time of such
se and applicable to obligations issued on the date of issuance
f the Bonds.
The City covenants and agrees that it will expend all of the
roceeds of the Bonds within six months of the date of issuance of
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Kua Co Printing — Salina. Kansas
the Bonds in accordance with the provisions of Section
148(f)(4)(B)(i) of the Code.
The City hereby designates the Bonds as "qualified tax-exempt
obligations" as defined in Section 265(b)(3)(B) of the Code. The
aggregate face amount of all tax-exempt obligations (excluding
private activity bonds other than qualified 501(c)(3) bonds)
issued or to be issued by the City (and all subordinate entities
thereof) during the calendar year 1990 is not reasonably expected
to exceed $10,000,000. The City hereby covenants that the City
and all its subordinate entities will not issue in excess of
$10,000,000 of qualified tax-exempt obligations (including the
Bonds but excluding private activity bonds other than qualified
501(c)(3) bonds) during the calendar year 1990 without first
obtaining an opinion of nationally recognized counsel in the area
of municipal finance that the designation of the Bonds as
"qualified tax-exempt obligations" will not be adversely affected.
Section 17. Defeasance. When all of the Bonds shall have
been paid and discharged, then the requirements contained in this
Ordinance and all other rights granted hereby shall terminate.
Bonds shall be deemed to have been paid and discharged within the
meaning of this Ordinance if there shall have been deposited with
the Paying Agent or with a bank located in the State of Kansas and
having full trust powers, at or prior to the Stated Maturity of
said Bonds, in trust for and irrevocably appropriated thereto,
moneys and/or direct obligations of, or obligations the principal
of and interest on which are guaranteed by, the United States of
America, or in evidences of ownership of such obligations, which,
together with the interest to be earned on any such obligations,
will be sufficient for the payment of the principal of said Bonds
jand interest accrued to the Stated Maturity, or if default in such
payment shall have occurred on such date, then to the date of the
tender of such payments. Any moneys and obligations which at any
time shall be deposited with said Paying Agent or bank or on
behalf of the City, for the purpose of paying and discharging any
f the Bonds, shall be and are hereby assigned, transferred and
et over to such Paying Agent or bank in trust for the respective
olders of the Bonds, and such moneys shall be and are hereby
irrevocably appropriated to the payment and discharge thereof.
11 moneys deposited with said Paying Agent or bank shall be
eemed to be deposited in accordance with and subject to all of
he provisions contained in this Ordinance.
Section 18. Approval of Preliminary Official Statement and
(ficial Statement. The Preliminary Official Statement dated
ovember 6, 1990, a copy of which has been submitted to and
eviewed by the Governing Body of the City, was final within the
eaning of Rule 15c2-12 under the Securities Exchange Act of 1934
xcept for the omission of information relating to offering
rices, interest rates, delivery dates, any other terms or
rovisions required to be specified in the bid for the Bonds,
ther terms of the Bonds depending on such matters and the
dentity of the successful bidder for the Bonds, and the
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Kuftn-Cor Printinq — Salina, Kansas
information therein was accurate and complete. Said Preliminary
Dfficial Statement and the final Official Statement, in
substantially the form of the Preliminary Official Statement, and
the public distribution of the same by the.underwriters of the
Bonds is hereby approved. The Mayor of the City is hereby
authorized and directed to execute and deliver said final Official
Statement on behalf of the City with such changes therein or
amendments or supplements thereto as shall be approved by the
+payor, the Mayor's execution thereof to be conclusive evidence of
said representative's approval thereof.
Section 19. Redemption of Temporary Note. The following
temporary note issued to finance the Project pending the issuance
of the Bonds is hereby called for redemption and payment on or
about December 18, 1990, which date is prior to its stated
maturity.
Maturity
Date
PT -101 $395,000 4/1/89 7.50% 12/31/90 First National
Bank
Salina, Kansas
In accordance with the resolution issuing such note, the City
lerk is hereby directed to cause notice of the call for
edemption and payment of such note to be given as provided in
aid resolution and in substantially the form attached hereto as
xhibit "B".
Section 20. Severability. If any one or more of the
ovenants or agreements provided in this Ordinance (including the
xhibits hereto) on the part of the City should be contrary to
aw, then such covenant or covenants or agreement or agreements
hall be deemed severable from the remaining covenants and
greements, and shall in no way affect the validity of the other
rovisions of this Ordinance or of said exhibits. It shall not
ecessary for said exhibits to be published in the official City
ewspaper, but all such exhibits shall be on file in the office
he City Clerk and shall be available for inspection by any
nterested party.
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be
of
Kuhn -Cox Printing — Saline, Kansas
Section 21. Effective Date. This ordinance shall take
effect and be in full force from and after its publication in the
official City newspaper.
PASSED.by the governing body of the City of Salina this
20"�_ day of November, 1990. /
(SEAL)
-ATTEST-,-
-City
TTEST-;C ity Clerk
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yor
K,jhn-C , Printing — Salina, Kansas
EXHIBIT A
REGISTERED
NUMBER
UNITED STATES OF AMERICA
STATE OF KANSAS
COUNTY OF SALINE
CITY OF SALINA
GENERAL OBLIGATION INTERNAL IMPROVEMENT BOND
SERIES B-236
Interest
Rate
% Per Annum
REGISTERED HOLDER:
PRINCIPAL AMOUNT:
Maturity Bond
Date Date
December 1, 1990
REGISTERED
CUSIP
DOLLARS
The City of Salina, in the County of Saline, State of Kansas
(herein called the "City"), for value received, hereby promises to
pay to the Registered Holder identified above, or registered
assigns, on the Maturity Date identified above, the Principal
Amount identified above and to pay interest thereon at the
Interest Rate specified above from the most recent Interest
Payment Date to which interest has been paid in full or, if no
interest has been paid, from December 1, 1990, semiannually on
June 1 and December 1 in each year, beginning June 1, 1991.
INTEREST on this Bond will be paid by check or draft mailed
to the person in whose name this Bond (or one or more predecessor
Bonds) is registered in the Bond Register maintained by the Bond
Registrar at the close of business on the fifteenth day of the
month next preceding each interest payment date (the Regular
Record Date). Interest not punctually paid will be paid as
otherwise provided in the ordinance authorizing this Bond (the
"Ordinance"). The Principal Amount of this Bond shall be payable
by check or draft to the Registered Holder upon presentation and
surrender hereof at the principal office of the State Treasurer of
Kansas, in the City of Topeka, Kansas. The full faith, credit and
resources of the City are hereby irrevocably pledged for the
prompt payment of the principal of and interest on this Bond as
the same become due. The principal of and interest (computed on
the basis of a 360 -day year of twelve 30 -day months) on this Bond
are payable in such coin or currency of the United States of
— Salina,
America as at the time of payment is legal tender for payment of
public and private debts.
REFERENCE IS MADE TO THE FURTHER PROVISIONS OF THIS BOND SET
FORTH ON THE REVERSE HEREOF. SUCH PROVISIONS SHALL FOR ALL
PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH HERE.
THIS BOND shall not be valid or become obligatory for any
purpose or be entitled to any security or benefit under the
Ordinance until the Certificate of Authentication hereon shall
have been dated and executed by the Bond 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 Bond have been 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 City, including this Bond and the series of
which it is one, does not exceed any constitutional or statutory
limitation.
IN WITNESS WHEREOF, the governing body of the City of Salina,
Kansas, has caused this Bond to be signed by facsimile signature
of its Mayor and attested by facsimile signature of its City
Clerk, the City's corporate seal to be printed hereon and this
Bond to be dated December 1, 1990.
TTEST:
City Clerk
CITY OF SALINA, KANSAS
By (facsimile)
Mayor
Registration No. 0322-085-120190-702
CERTIFICATE OF AUTHENTICATION
ISTRATION DATE:
This Bond is one of the Bonds described in the within
ntioned Ordinance.
OFFICE OF THE STATE TREASURER OF KANSAS
Bond Registrar
By
A-2
nd Registrar and Paying Agent:
ATE TREASURER OF KANSAS
[ON REVERSE SIDE]
THIS BOND is one of an authorized series of fully registered
onds of the City designated "General Obligation Internal
mprovement Bonds, Series B-236", aggregating the principal amount
f $455,000 (the "Bonds"), issued by the City for the purpose of
roviding funds to pay the cost of the construction of
mprovements to the Broadway overpass, under the authority of and
n full compliance with the constitution and laws of the State of
ansas, including K.S.A. 10-101 to 10-132, inclusive, and K.S.A.
2-685 to 12-689, inclusive, and all laws amendatory thereof and
upplemental thereto, and pursuant to ordinances duly passed and
roceedings duly and legally had by the governing body of the
ity.
THE BONDS are general obligations of the City, payable as to
rincipal and interest from ad valorem taxes which may be levied
ithout limitation as to rate or amount upon all taxable tangible
roperty within the territorial limits of the City.
THE BONDS maturing on December 1, 1998, and thereafter are
ubject to redemption and payment prior to maturity, at the option
,f the City, as a whole or in part on December 1, 1997, or on any
nterest payment date thereafter, at the redemption price of 100%
f the principal amount of Bonds redeemed and paid plus accrued
nterest to the redemption date, without a premium. Bonds to be
edeemed and paid pursuant to the provisions described above shall
ie redeemed in inverse order of maturity, Bonds of less than a
`ull maturity to be selected by the Bond Registrar in such manner
�s it shall deem fair and appropriate.
IN THE EVENT any of the Bonds are called for redemption as
[foresaid, written notice thereof will be given by first class
sail mailed not less than 30 days prior to the redemption date to
!ach Registered Holder of Bonds to be redeemed. All Bonds so
:alled for redemption will cease to bear interest on the specified
-edemption date provided funds or certain securities in which such
,unds are invested for their redemption are on deposit with the
>aying Agent on such redemption date, and will no longer be
kecured by the Ordinance and will not be deemed to be outstanding
finder the provisions of the Ordinance.
THIS BOND is transferable only in the Bond Register at the
ffice of the Bond Registrar upon surrender of this Bond to the
and Registrar duly endorsed for transfer or accompanied by a
ritten instrument of transfer satisfactory to the Bond Registrar
my executed by the Registered Holder hereof or his attorney or
egal representative, and thereupon a new Bond or Bonds in the
ame aggregate principal amount shall be issued to the transferee
n exchange therefor, subject to the conditions as provided in the
rdinance. The Bonds for each maturity are issuable only in the
A-3
Kuhn -Cow Printing — Salina. Kansas
form of fully registered Bonds without coupons in the denomination
of $5,000 or any integral multiple thereof. The Registered Holder
of any Bond or Bonds may surrender the same in exchange for an
equal aggregate principal amount of Bonds of any authorized
denomination in the manner and subject to the conditions as
provided in the Ordinance. No service charge shall be made for
any such transfer or exchange, but, prior to any transfer or
exchange, the Registered Holder hereof shall pay to the City or
the Bond Registrar an amount sufficient to reimburse it or them
for any tax or other governmental charge required to be paid with
respect to such transfer or exchange. The City, the Bond
Registrar and the Paying Agent may deem and treat the person in
whose name this Bond is registered as the absolute owner hereof
for the purpose of receiving payment of, or on account of, the
principal hereof and interest due hereon and for all other
purposes. If the date for making any payment of interest or
principal occurs on a Saturday or Sunday or a holiday in the City
of Topeka, Kansas, then such payment may be made on the next
succeeding business day with the same force and effect.
(FORM OF ASSIGNMENT)
FOR VALUE RECEIVED the undersigned does (do) hereby sell,
ssign and transfer to
(Name and Address)
(Social Security or Taxpayer Identifying No.)
he Bond to which this assignment is affixed in the outstanding
rincipal amount of $ , standing in the name of the
ndersigned on the books of the State Treasurer. The undersigned
oes (do) hereby revocably constitute and appoint
attorney to transfer the said Bond, on
he books of said State Treasurer, with full power of substitution
'n the premises.
ted
A-4
Name
Account No.
Signature
(Sign Here Exactly as Name or
Names Appear on the Face of the
Certificate)
(Signature Guarantee)
Kuh,G01 Printing — Salina, Kansas
— — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — ---- — — — — — — —
(FORM OF CLERK'S CERTIFICATE)
ATE OF KANSAS )
) SS.
UNTY OF SALINE )
I, Jacqueline Shiever, City Clerk of the City of Salina,
nsas, do hereby certify that this Bond has been duly registered
in my office according to law.
WITNESS my hand and official seal this December 3, 1990.
(16EALI
City Clerk
(FORM OF STATE TREASURER'S CERTIFICATE)
OFFICE OF THE STATE TREASURER OF KANSAS
I, JOAN FINNEY, Treasurer of the State of Kansas, do hereby
rtify that a transcript of the proceedings leading up to the
nuance of this Bond has been filed in my office and that this
nd was registered in my office according to law this
WITNESS my hand and official seal.
(facsimile)
State Treasurer of Kansas
A-5
— S.h- Kansas
EXHIBIT B
(Name and Address of Registered Owner)
As the owner of the Municipal Temporary Note, Series PT -101
the City of Salina, Kansas (the "City") maturing December 30,
90, and in the principal amount of $395,000 (the "Note"), you
e hereby notified that the Note has been called for redemption
d payment in full on (the "Redemption
tell), at a redemption price equal to the principal amount
ereof, plus accrued interest to the Redemption Date, without
emium.
On the Redemption Date, the Note will be due and payable at
office of the Treasurer of the City. From and after the
mption Date, all interest on the note will cease to accrue.
Dated November , 1990.
CITY OF SALINA, KANSAS
By
City Clerk