HomeMy WebLinkAboutMINUTES - 06041991 - 1.117 BOARD OF SUPERVISORS
COUNTY OF CONTRA COSTA, CALIFORNIA
RESOLUTION NO. GIS ,3,5
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE
COUNTY OF CONTRA COSTA PROVIDING FOR THE BORROWING OF
FUNDS FOR FISCAL YEAR 1991-1992 AND THE ISSUANCE AND
SALE OF 1991 TAX AND REVENUE ANTICIPATION NOTES FOR
THE CONTRA COSTA COMMUNITY COLLEGE DISTRICT
WHEREAS, pursuant to Sections 53850 to 53858, both
inclusive, of the Government Code of the State of California
(herein called the "Government Code") (being Article 7 . 6,
Chapter 4 , Part 1, Division 2 , Title 5 of said Code) , the
Governing Board of Contra Costa Community College District
(the "District") has filed with this Board of Supervisors (the
"Board") a resolution requesting that the Board borrow money
for the District by the authorization, issuance and sale of up
to Five Million Dollars ($5, 000, 000) principal amount of 1991
Tax and Revenue Anticipation Notes of the District in
anticipation of the receipt of taxes, income, revenue, cash
receipts and other moneys to be received by the District for
the General Fund of the District during or attributable to
Fiscal Year 1991-1992 ; and
WHEREAS, the Governing Board of the District has
found and determined that the sum of Five Million Dollars
($5 , 000, 000) , when added to the interest payable thereon, does
not exceed eighty-five per cent (85%) of the estimated amount
of the uncollected taxes , income, revenue, cash receipts and
other moneys to be received by the District for the General
Fund of the District during or attributable to Fiscal Year
1991-1992 and available for the payment of the principal of
and the interest on said notes ; and
WHEREAS, the County intends to borrow, for and in
the name of the District for the purposes set forth above, up
to Five Million Dollars ($5, 000, 000) by the issuance of said
notes; and
WHEREAS, pursuant to Section 53856 of the Government
Code, certain moneys which will be received by the District
for the General Fund of the District during or attributable to
Fiscal Year 1991-1992 can be pledged for the payment of the
principal of and the interest on said notes (as hereinafter
provided) ; and
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WHEREAS, Bank of America National Trust and Savings
Association (the "Underwriter" ) intends to submit an offer to
purchase said notes and has submitted a form of Note Purchase
Agreement (the "Purchase Agreement") to the Board, which form
has been approved by the District;
NOW, THEREFORE, the Board of Supervisors of the
County of Contra Costa hereby resolves as follows :
Section 1 . All the above recitals are true and
correct and this Board so finds, determines and represents .
Section 2 . Solely for the purpose of anticipating
taxes, income, revenue, cash receipts and other moneys to be
received by the District for the General Fund of the District
during or attributable to Fiscal Year 1991-1992 , and not
pursuant to any common plan of financing, the County hereby
determines to and shall issue (for and on behalf of the
District) up to Five Million Dollars ($5, 000, 000) principal
amount of temporary notes under Sections 53850 get sea. of the
Government Code, designated "Contra Costa Community College-
District County of Contra Costa, California 1991 Tax and
Revenue Anticipation Notes" (the "Notes" ) . The Notes shall be
issued in fully registered form in denominations of $5 , 000 or
any integral multiple of $5, 000, shall be dated July 1, 1991,
shall mature (without option of prior redemption) on June 30,
1992, and shall bear interest (computed on the basis of a
360-day year of twelve 30-day months) at a rate not to exceed
12% per annum, as determined by the Treasurer-Tax Collector of
the County (the "Treasurer" ) with the approval of . the
District, in accordance with the Purchase Agreement . Both the
principal of and interest on the Notes shall be payable to the
registered owners of the Notes, but only upon surrender
thereof, in lawful money of the United States of America at
the office of the Treasurer in Martinez, California .
Section 3 . (A) The Notes shall be initially issued
and registered in the name of "Cede & Co . , " as nominee of The
Depository Trust Company, New York, New York (hereinafter,
Cede & Co. and The Depository Trust Company are referred to
collectively as "The Depository Trust Company") and shall be
evidenced by a single Note. Registered ownership of the Note,
or any portion thereof, may not thereafter be transferred
except as set forth in Section 3(B) .
(B) The Notes shall be initially issued and
registered as provided in Section 3(A) hereof . Registered
ownership of such Notes, or any portions thereof, may not
thereafter be transferred except :
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(i) to any successor of The Depository Trust
Company, or its nominee, or of any substitute depository
designated pursuant to clause (ii) of this subsection (B) (a
"Substitute Depository" ) ; provided, that any successor of The
Depository Trust Company or Substitute Depository shall be
qualified under any applicable laws to provide the service
proposed to be provided by it;
(ii) to any Substitute Depository not objected
to by the Treasurer, upon (1) the resignation of The
Depository Trust Company or its successor (or any Substitute
Depository or its successor) from its functions as depository,
or (2) a determination by the Treasurer to substitute another
depository for The Depository Trust Company (or its successor)
because it is no longer able to carry out its functions as
depository; provided, that any such Substitute Depository
shall be qualified under any applicable laws to provide the
services proposed to be provided by it; or
(iii) to any person as provided below, upon
(1) the resignation of The Depository Trust Company or its
successor (or any Substitute Depository or its successor) from
its functions as depository, or (2) a determination by the
Treasurer to discontinue using a depository.
(C) In the case of any transfer pursuant to clause
(i) or clause (ii) of subsection (B) of this section, upon
receipt of all outstanding Notes by the Treasurer, a single
new Note, which the County shall prepare or cause to be
prepared, shall be executed and delivered and registered in
the name of such successor or such Substitute Depository, or
its nominee, as the case may be. In the case of any transfer
pursuant to clause (iii) of subsection (B) of this section,
upon receipt of all outstanding Notes by the Treasurer, new
Notes, which the County shall prepare or cause to be prepared,
shall be executed and delivered in such denominations and
registered in the names of such persons as are determined by
the Treasurer .
(D) The County and the Treasurer shall be entitled
to treat the person in whose name any Note is registered as
the owner thereof for all purposes of this resolution and for
purposes of payment of principal and interest on such Note,
notwithstanding any notice to the contrary received by the
Treasurer or the County; and the County and the Treasurer
shall not have responsibility for transmitting payments to,
communicating with, notifying, or otherwise dealing with any
beneficial owners of the Notes . Neither the County nor the
Treasurer shall have any responsibility or obligation, legal
or otherwise, to any such beneficial owners or to any other
party, including The Depository Trust Company or its
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successors (or any Substitute Depository or its successor) ,
except to the registered owner of any Notes, and the Treasurer
may rely conclusively on its records as to the identity of the
registered owners of the Notes .
(E) Notwithstanding any other provisions of this
resolution and so long as all outstanding Notes are registered
in the name of The Depository Trust Company or its registered
assigns , the County and the Treasurer shall cooperate with The
Depository Trust Company, as sole registered owner, and its
registered assigns in effecting payment of the principal of
and interest on the Notes by arranging for payment in such
manner that funds for such payments are properly identified
and are made available on the date they are due; all in
accordance with the letter of representations from the County
to The Depository Trust Company, the provisions of which the
Treasurer may rely upon to implement the foregoing procedures
notwithstanding any inconsistent provisions herein.
(F) In the case of any transfer pursuant to
clause (iii) of subsection (B) of this section, any Note may,
in accordance with its terms, be transferred or exchanged for
a like aggregate principal amount of Notes in authorized
denominations, upon the books required to be kept by the
Treasurer pursuant to the provisions hereof, by the person in
whose name it is registered, in person or by his duly
authorized attorney, upon surrender of such Note for
cancellation, and, in the case of a transfer, accompanied by
delivery of a written instrument of transfer, duly executed in
form approved by the Treasurer .
Whenever any Note shall be surrendered for transfer
or exchange, the County shall execute and the Treasurer shall
deliver a new Note or Notes of authorized denominations for a
like aggregate principal amount . The Treasurer shall require
the registered owner requesting such transfer or exchange to
pay any tax or other governmental charge required to be paid
with respect to such transfer or exchange.
(G) The Treasurer will keep or cause to be kept, at
its office in Martinez, California, sufficient books for the
registration and transfer of the Notes, which shall at all
times be open to inspection by the County. Upon presentation
for such purpose, the Treasurer shall, under such reasonable
regulations as it may prescribe, register or transfer or cause
to be registered or transferred, on such books, Notes as
hereinbefore provided.
(H) If any Note shall become mutilated, the County,
at the expense of the owner of such Note, shall execute, and
the Treasurer shall thereupon deliver a new Note of like tenor
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bearing a different number in exchange and substitution for
the Note so mutilated, but only upon surrender to the
Treasurer of the Note so mutilated. If any Note shall be
lost, destroyed or stolen, evidence of the ownership thereof,
and of such loss, destruction or theft may be submitted to the
County and the Treasurer and, if such evidence be satisfactory
to both and indemnity satisfactory to them shall be given, the
County, at the expense of the owner, shall execute, and the
Treasurer shall thereupon deliver a new Note of like tenor and
bearing a different number in lieu of and in substitution for
the Note so lost, destroyed or stolen (or if any such Note
shall have matured or shall be about to mature, instead of
. issuing a substitute Note, the Treasurer may pay the same
without surrender thereof) . The Treasurer may require payment
by the registered owner of a Note of a sum not exceeding the
actual cost of preparing each new Note issued pursuant to this
paragraph and of the expenses which may be incurred by the
County and the Treasurer . Any Note issued under these
provisions in lieu of any Note alleged to be lost, destroyed
or stolen shall constitute an original additional contractual
obligation on the part of the County whether or not the Note
so alleged to be lost, destroyed or stolen shall be at any
time enforceable by anyone, and shall be entitled to the
benefits of this Resolution with all other Notes secured by
this Resolution.
(I) All Notes surrendered for payment or
registration of transfer, if surrendered to any person other
than the Treasurer, shall be delivered to the Treasurer and
shall be promptly cancelled by it . The County may at any time
deliver to the Treasurer for cancellation any Notes previously
delivered hereunder which the County may have acquired in any
manner whatsoever, and all Notes so delivered shall promptly
_be cancelled by the Treasurer . No Note shall be delivered in
lieu of or in exchange for any Notes cancelled as provided
herein, except as expressly permitted hereunder. All
cancelled Notes held by the Treasurer shall be disposed of as
directed by the County.
Section 4 . The Notes shall be issued without
coupons and shall be substantially in the form and substance
set forth in Exhibit A attached hereto and by reference
incorporated herein, the blanks in said form to be filled in
with appropriate words or figures .
Section 5 . The moneys so borrowed shall be
deposited in the General Fund of the District .
Section 6 . (A) The principal amount of the Notes ,
together with the interest thereon, shall be payable from
taxes, income, revenue, cash receipts and other moneys which
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are received by. the District for the General Fund of the
District during or attributable to Fiscal Year 1991-1992 and
which are available for payment thereof . As security for the
payment of the principal of and interest on the Notes, the
County (for and on behalf of the District) hereby pledges
certain secured property taxes (as hereinafter provided) which
are received by the District for the General Fund of the
District during or attributable to Fiscal Year 1991-1992, and
the principal of the Notes and the interest thereon shall
constitute a first lien and charge thereon and shall be
payable from the first moneys received by the District from
such pledged secured property taxes, and, to the extent not so
paid, shall be paid from any other taxes, income, revenue,
cash receipts and other moneys of the District lawfully
available therefor (all as provided for in Sections 53856 and
53857 of the Government Code) . In order to effect this
pledge, the County agrees to cause to be created and
established a special fund, designated the "Contra Costa
Community College District 1991 Tax and Revenue Anticipation
Note Repayment Fund" (the "Repayment Fund" ) , which fund will
be held by the Treasurer, acting as the responsible agent to
maintain such fund until the payment of the principal of the
Notes and the interest thereon, and the County agrees to cause
to be deposited directly therein the first Two Million Dollars
($2, 000, 000) of the first installment of secured property
taxes to be received by the District which become due and
payable on November 1, 1991, and become delinquent after
December 10, 1991, and the first Three Million Dollars
($3, 000, 000) , together with an amount sufficient to pay the
interest on the Notes, of the second installment of secured
property taxes to be received by the District which become due
and payable on February 1, 1992 , and become delinquent after
April 10, 1992 (such pledged amounts being herein called the
"Pledged Revenues" ) . In the event that there are insufficient
secured property taxes received by the District to permit the
deposit into the Repayment Fund of the full amount of the
Pledged Revenues to be deposited, by January 31, 1992 , or by
May 31, 1992 , as the case may be, then the amount of any
deficiency shall be satisfied and made up on such dates or
thereafter on a daily basis from any other moneys of the
District lawfully available for the repayment of the Notes and
interest thereon.
(B) Any moneys placed in the Repayment Fund shall
be for the benefit of the registered owners of the Notes, and
until the principal of the Notes and all interest thereon are
paid or until provision has been made for the payment of the
principal of the Notes at maturity with interest to maturity,
the moneys in the Repayment Fund shall be applied only for the
purposes for which the Repayment Fund is created.
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(C) All Pledged Revenues, and any other deposits
required to be made into the Repayment Fund, shall, when
received, be deposited in the Repayment Fund. On June 30,
1992 , the moneys in the Repayment Fund shall be used, to the
extent necessary, to pay the principal of and interest on the
Notes . Any moneys remaining in or accruing to the Repayment
Fund after the principal of the Notes and the interest thereon
have been paid, or provision for such payment has been made,
shall be transferred to the General Fund of the District.
(D) Moneys in the Repayment Fund, to the greatest
extent possible, shall be invested by the Treasurer, as
permitted by applicable California law, as it is now in effect
and as it may be amended, modified or supplemented from time
to time; Provided, that no such investments shall have a
maturity date later than the maturity date of the Notes .
Section 7 . 'The Treasurer or one of his deputies is
hereby authorized to manually execute the Notes and the Clerk
of the Board and County Administrator or one of his deputies
is hereby authorized to manually countersign the Notes . The
Clerk of the Board and County Administrator or one of his
deputies is hereby authorized to affix the seal of the County
to the Notes by manual impression thereof . The County
Treasurer is hereby authorized to cause the blank spaces of
the Notes to be filled in as may be appropriate.
Section 8 . It is hereby covenanted that the County,
and its appropriate officials, have duly taken all proceedings
necessary to be taken by them, and will take any additional
proceedings necessary to be taken by them, for the levy,
collection and enforcement of the Pledged Revenues in
accordance with law for carrying out the provisions of this
resolution and the Notes .
Section 9 . All the Notes shall be sold to the
Underwriter in accordance with the terms of the Purchase
Agreement in substantially the form presented to this meeting
and by reference incorporated herein (as shall be finally
approved by the Treasurer as hereinbelow provided) .
Section 10 . The Purchase Agreement relating to the
Notes, in substantially the form attached hereto as Exhibit B,
is hereby approved with such additions, changes or corrections
as the Treasurer may approve upon consultation with the
District, and the Treasurer is hereby authorized to execute
the Purchase Agreement .
Section 11. The distribution of the Official
Statement in connection with the offering and sale of the
Notes, in substantially the form presented to this meeting
with such additions, changes or corrections as the Treasurer
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may approve upon consultation with the District is hereby
approved.
Section 12 . (A) The County will not make any use of
the proceeds of the Notes or any other funds of the District
which would cause the Notes to be "arbitrage bonds" subject to
federal income taxation by reason of Section 148 of the
Internal Revenue Code of 1986, as amended (the "Code") ,
"private activity bonds" subject to federal income taxation by
reason of Section 141(a) of the Code, or obligations subject
to federal income taxation because they are "federally
guaranteed" as provided in Section 149 (b) of the Code; and to
that end the County, with respect to the proceeds of the
Notes, will comply with all requirement of such sections of
the Code and all regulations of the United States Department
of the Treasury issued thereunder to the extent that such
requirements are, at the time, applicable and in effect .
(B) The County covenants that, in the event it is
subject to the rebate requirements of Section 148 of the Code,
it shall make all calculations in a reasonable and prudent
fashion relating to any rebate of excess investment earnings
on the proceeds of the Notes due to the United States
Treasury, shall segregate and set aside from lawfully
available sources the amount such calculations may indicate
may be required to be paid to the United States Treasury, and
shall otherwise at all times do and perform all acts and
things necessary and within its power and authority, including
complying with each applicable requirement of Section' 103 and
Sections 141 through 150 of the Code and complying with the
instructions of Orrick, Herrington & Sutcliffe, as bond
counsel for the Notes (the "Bond Counsel" ) , to assure that
interest paid on the Notes shall, for the purposes of federal
income taxes and California personal income taxation, be
excludable from the gross income of the recipients thereof and
exempt from such taxation. If such calculation is required,
the County will immediately set aside, from revenues
attributable to the 1991-1992 Fiscal Year or, to the extent
not available from such revenues, from any other moneys
lawfully available, the amount of any such rebate in a
separate fund which the County hereby agrees to establish and
maintain and designate as the "Contra Costa Community College
District 1991 Tax and Revenue Anticipation Note Rebate Fund. "
(C) Notwithstanding any other provision of this
resolution to the contrary, upon the County' s failure to
observe, or refusal to comply with, the covenants contained in
this section, no one other than the holders or former holders
of the Notes shall be entitled to exercise any right or remedy
under this resolution on the basis of the County' s failure to
observe, or refusal to comply with, such covenants .
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(D) The covenants contained in this section shall
survive the payment of the Notes .,
(E) Notwithstanding any provision of this section,
if the County shall provide to the Treasurer an opinion of
Bond Counsel that any specified action required under this
section is no longer required or that some further or
different action is required to maintain the exclusion from
gross income for federal income tax purposes of interest on
the Notes, the Treasurer and the County may conclusively rely.
on such opinion in complying with the requirements of this
section, and the covenants hereunder shall be deemed to be
modified to that extent .
Section 13 . The Treasurer and the Clerk of the
Board and County Administrator are hereby authorized and
directed to execute and deliver the Notes to the Underwriter,
pursuant to the terms and conditions of the Purchase
Agreement . All actions heretofore taken by the officers and
agents of the County or the Board with respect to the sale . and
issuance of the Notes are hereby approved, confirmed and
ratified and the officers and agents of the County and the
Board are hereby authorized and directed, for and in the name
and on behalf of the County, to- do any and all things and take
any and all actions and execute any and all certificates,
. agreements and other documents which they, or any of them, may
deem necessary or advisable in order to consummate the lawful
issuance and delivery of the Notes in accordance with this
resolution.
PASSED AND ADOPTED this 4th day of June, 1991, by
the following vote:
AYES• Supervisors Schroder, Torlakson, Powers
NOES: None
ABSENT• Supervisors Fanden, Peak
X
Chair an of the Board of Supervisors
Phil Batchelor,Clerk of the Board of
ATTEST: Supervisors and County Administrator
Deputy
Clerk of the Board
of Supervisors
and County. Administrator
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EXHIBIT A
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF CONTRA COSTA
CONTRA COSTA COMMUNITY COLLEGE DISTRICT
CONTRA COSTA COUNTY, CALIFORNIA
1991 TAX AND REVENUE ANTICIPATION NOTE
No. $
FOR VALUE RECEIVED, the Contra Costa Community
College District (the "District" ) , in the County of Contra
Costa, State of California, acknowledges itself indebted to
and promises to pay to at the office of the
Treasurer-Tax Collector of the County of Contra Costa (the
"County") in Martinez, California the principal sum of
DOLLARS ($ )
in lawful money of the United States of America, on
June 30, 1992
together with interest thereon at the rate of
PER CENT (_%)
per annum (computed on the basis of a 360-day year of twelve
30-day months) in like lawful money from the date hereof until
payment in full of said principal sum. Both the principal of
and interest on this Note shall be payable only upon surrender
of this Note as the same shall fall due at maturity; provided;
however, that no interest shall be payable for any period
after maturity during which the holder hereof fails to
properly present this Note for payment .
It is hereby certified, recited and declared that
this Note is one of an authorized issue of Notes entitled,
"Contra Costa Community College District Contra Costa County,
California 1991 Tax and Revenue Anticipation Notes" (the
"Notes") , in the aggregate principal amount of Five Million
Dollars ($5, 000, 000) , all of like date, tenor and effect,
made, executed and given pursuant to and by authority of a
resolution (the "Resolution" ) of the Board of Supervisors of
the County of Contra Costa duly passed and adopted on June 4 ,
1991 (at the request of the District pursuant to a resolution
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of the Governing Board of the District duly passed and adopted
on April 24 , 1991) under and by authority of Article 7 . 6
(commencing with Section 53850) of Chapter 4, Part 1,
Division 2, Title 5 of the California Government Code, and
that all acts, conditions and things required to exist, happen
and be performed precedent to and in the issuance of this Note
have existed, happened and been performed in regular and due
time, form and manner as required by law, and that this Note,
together with all other indebtedness and obligations of the
District, does not exceed any limit prescribed by the
Constitution or statutes of the State of California .
The principal amount of the Notes, together with the
interest thereon, shall be payable from taxes, income,
revenue, cash receipts and other moneys which are received by
the District for the Fiscal Year 1991-1992 . As security for
the payment of the principal of and interest on this Note and
all Notes of said authorized issue, the District has pledged
certain secured property taxes to be received by the District
for the General Fund of the District during or attributable to
Fiscal Year 1991-1992 (as provided in the Resolution) , and the
principal of and the interest on this Note and all Notes of
said authorized issue shall constitute a first lien and charge
thereon and shall be payable therefrom, and to the extent not
so paid shall be paid from any other moneys of the District
lawfully available therefor .
This Note is transferable by the registered owner
hereof in person or by such owner ' s attorney duly authorized
in writing at the office of the Treasurer-Tax Collector of the
County, but only in the manner, subject to the limitations and
upon payment of the charges provided in the Resolution, and
upon surrender and cancellation of this Note. Upon such
_transfer a new Note or Notes of authorized denominations and
for the same aggregate principal amount will be issued to the
transferees in exchange herefor . The County may deem and
treat the registered owner hereof as the absolute owner hereof
for the purpose of receiving payment of or on account of
principal hereof and interest due hereon and for all other
purposes , and the County shall be affected by any notice to
the contrary.
IN WITNESS WHEREOF, the County of Contra Costa has
caused this Note to be executed by its Treasurer-Tax Collector
by manual signature, and countersigned by the Clerk of its
Board of Supervisors and County Administrator by his manual
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signature and has caused its official seal to be impressed
hereon this 3rd day of July, 1991 .
COUNTY OF CONTRA COSTA
By
Treasurer-Tax Collector
(SEAL)
Countersigned:
Clerk of the Board of Supervisors
and County Administrator
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1-117
BOARD OF SUPERVISORS, COUNTY OF CONTRA COSTA,
STATE OF CALIFORNIA
RESOLUTION NO. �Il 3SI
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF .
CONTRA COSTA PROVIDING FOR THE ISSUANCE OF MARTINEZ UNIFIED
SCHOOL DISTRICT, COUNTY OF CONTRA COSTA, STATE OF
CALIFORNIA, 1991 TAX AND REVENUE ANTICIPATION NOTES
WHEREAS, pursuant to Sections 53850 et sere of the
Government Code of the State of California (the "Act" )
contained in Article 7 . 6 thereof, entitled "Temporary
Borrowing" , on or after the first day of any fiscal year (being
July 1) , a school district may borrow money by issuing notes
for any purpose for which the school district is authorized to
expend moneys, including but not limited to current expenses,
capital expenditures, and the discharge of any obligation or
indebtedness of the school district; and
WHEREAS, Section 53853 of the Act provides that such notes
must be issued in the name of the school district by the Board
of Supervisors of. the county (the "County Board" ) , the county
superintendent of which has jurisdiction over the school
district, as soon as possible following the receipt of a
resolution of the governing board of the school district
requesting the borrowing; and
WHEREAS, the County Superintendent of the County of Contra
Costa (the "County" ) has jurisdiction over Martinez Unified
School District (the "District" ) , and this Board of Supervisors
of the County (the "County Board") has received a resolution of
the Board of Education of the District (the "District Board" ) ,
being the governing board of the District, dated May 28, 1991,
entitled "RESOLUTION OF THE BOARD OF EDUCATION OF MARTINEZ
UNIFIED SCHOOL DISTRICT AUTHORIZING THE ISSUANCE OF 1991 TAX
AND REVENUE ANTICIPATION NOTES FOR SAID DISTRICT AND REQUESTING
THE BOARD OF SUPERVISORS OF COUNTY OF CONTRA COSTA TO ISSUE
SAID NOTES" (the "District Resolution" ) attached hereto as
Exhibit A, which District Resolution requests the borrowing of
not exceeding Two Million Dollars ($2 , 000, 000) at an interest
rate not exceeding eight percent (8%) per annum through the
issuance by the County Board of 1991 Tax and Revenue
Anticipation Notes (the "Notes" ) in the name of the District ;
and
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WHEREAS, such Notes are payable twelve months after their
date of delivery which is during the fiscal year succeeding the
fiscal year 1991-1992 in which such Notes were issued, but as
required by Section 53854 of the Act, such date is not later
than fifteen months after the date of issue, and such Notes
shall be payable only from revenue received or accrued during
the fiscal year 1991-1992 in which issued; and
WHEREAS, such Notes may not bear interest exceeding twelve
percent (12%) per annum, as permitted by Section 53531 of the
Act, notwithstanding Section 538.54 of the Act; and
WHEREAS, pursuant to Section 53856 of the Act, the District
may pledge any taxes, income, revenue, cash receipts or other
moneys deposited in inactive or term deposits (but excepting
certain moneys encumbered for a special purpose) ; and the
District Resolution specifies that certain unrestricted
revenues that will be received by the District for the General
Fund of the District during or allocable to fiscal year
1991-1992 are -pledged for the payment of the Notes; and
WHEREAS, the Notes shall be a general obligation of the
District, and to the extent not paid from the taxes, income,
revenue, cash receipts and other moneys of the District pledged
for the payment thereof shall be paid with interest thereon
from any. other moneys of the District lawfully available
therefor, as required by Section 53857 of the Act; and
WHEREAS, the Notes shall be in denominations of $5, 000 or
integral , multiples thereof, as permitted by Section 53854 of
the Act; shall be issued on a date to be designated and shall
be in the form and executed in the manner prescribed in this
Resolution, all as permitted and required by Section 53853 of
the Act; and
WHEREAS, the County Board, in reliance on a determination
by the District has found and determined that said $2 , 000, 000
maximum principal amount of Notes to be issued by the County
Board in fiscal year 1991-1992, when added to the interest
payable thereon, does not exceed eighty-five percent (85%) of
the estimated amount of the uncollected taxes, income,. revenue
(including but not limited to revenue from state and federal
governments) , cash receipts and other moneys of the District
which will be available for the payment of the Notes and
interest thereon, as required by Section 53858 of the Act; and
WHEREAS, the Notes will not be outstanding after a period
ending twelve months after the date on -which such Notes are
issued and will not be issued in an amount greater than the
maximum anticipated cumulative cash flow deficit to be financed
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by the anticipated tax or other revenue sources for the period
for which such taxes or other revenues are anticipated and
during which such Notes are outstanding, all as provided in
Section 1. 103-14 (c) of the Income Tax Regulations of the United
States Treasury;
WHEREAS, pursuant to Section 265(b) (3) of the Internal .
Revenue Code of 1986, as amended (the "Code" ) , under certain
circumstances, certain obligations the interest on which is
exempt from federal income tax under Section 103 of the Code
may be designated by the issuer thereof as "qualified
tax-exempt obligations, " thereby allowing certain. financial
institutions that are holders of such qualified tax-exempt
obligations to deduct for federal income tax purposes a portion
of such institution' s interest expense that is allocable to
such qualified tax=exempt obligations, all as determined in
accordance with Sections 265 and 291 of the Code;
WHEREAS, the District Board hereby represents that :
(1) the Notes authorized by this Resolution are not
private activity bonds within the meaning of Section 141 of the
Code;
(2) The District, together with all of its subordinate
entities, has heretofore issued no obligations (other than
those obligations described in Paragraph (4) below) in calendar
year 1991 the interest on which is exempt from federal income
tax under Section 103 of the Code;
(3) the District reasonably anticipates that it, together
with its subordinate entities, will issue during the remainder
of calendar year 1991 obligations (other than those obligations
described in Paragraph (4) below) the interest on which is
exempt from federal income tax under Section 103 of the Code
which, when aggregated with all obligations described in
Paragraph (2) above, will not exceed an aggregate principal
amount of $10,000, 000; and
(4) - notwithstanding Paragraphs (2) and (3) above, the
District and its subordinate entities may have issued in
calendar year 1991 and may continue to issue during the
remainder of calendar year 1991 private activity bonds other
than qualified 501(c) (3) bonds as defined in Section 145 of the
Code; and
WHEREAS, the District Board wishes to designate the Notes
as "qualified tax-exempt obligations" within the meaning of
Section 265(b) (3) of the Code;
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NOW, THEREFORE, the Board of Supervisors of the County of
Contra Costa hereby resolves as follows :
Section 1 . Authorization of Issuance of Notes • Terms
Thereof . The County Board hereby determines to and shall issue
in the name of the District, an amount not to exceed $2, 000, 000
principal amount of notes under Sections 53850 et sec . of the
Act, designated "Martinez Unified School District, County of
Contra Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" ; to be numbered 1 (and consecutively upward
in order of issuance if more than one Note is registered) ; to
be in the denominations of $5, 000, or integral multiples
thereof, as determined by the underwriter (as referred to
herein) ; to be dated the date of delivery thereof; to mature
(without option of prior redemption) 364 days from said date of
delivery (or 359 days computed on a 30-day month/360-day year '
basis) or, if such date is not a day on which banks in New York
or California are open for business, on the last day prior to
such date; and to bear interest, payable at maturity and
computed on a 30-day month/360-day year basis, at the rate or
rates determined at the time of sale thereof, but not in excess
of eight percent (8%) per annum. Both the principal of and
interest on the Notes shall be payable, only upon surrender
thereof, in lawful money of the United States of America at the
principal office of the Treasurer-Tax Collector of the County
(the "Treasurer" ) which is hereby designated to be the paying
agent on the Notes (in such capacity, the "Paying Agent") .
Section 2 . Form of Notes . The Notes shall be issued in
registered form and shall be substantially in the form and
substance set forth in Exhibit B attached hereto and by
reference incorporated herein, the blanks in said form to be
filled in with appropriate words and figures . The Notes shall
be initially registered in the name of "Cede & Co . " as nominee
of The Depository Trust Company, and shall be evidenced by one
note in the full principal amount of the Notes . The Depository
Trust Company, New York, New York is hereby appointed
depository for the Notes . Registered ownership may not
thereafter be transferred except as set forth in Section 4
hereof . There shall be simultaneously delivered with each Note
the legal opinion of Brown & Wood respecting the validity of
said Notes and, immediately following such legal opinion, a
certificate executed with the facsimile signature of the
Chairperson of the County Board (the "County Chairperson") ,
said certificate to be in substantially the following form:
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I HEREBY CERTIFY that the foregoing is a true and correct
copy of the legal opinion regarding the Notes therein
described that, was manually signed by Brown & Wood, and was
dated as of the date of delivery of and payment for said
Notes .
[Facsimile Signaturel
Chairperson, Board of Supervisors
Section 3 . Transfer and Exchange of Notes . Subject to the
provisions of Section 4 hereof, the registration of any Note
may, in accordance with its terms, be transferred, upon the
registration books kept by the Paying Agent for such purpose,
by the person in whose name it is registered, in person or by
his or her duly authorized attorney, upon surrender of such
Note for cancellation, accompanied by delivery of a written
instrument of transfer, duly executed in a form approved by the
Paying Agent .
Whenever any Note or Notes shall be surrendered for
registration or transfer, the Paying Agent shall execute and
deliver a new Note. or Notes, for a like aggregate principal
amount . The Paying Agent shall require the Note owner
requesting such registration of transfer to pay any tax or
other governmental charge required to be paid with respect to
such transfer . The County may require the owner requesting
such registration of transfer to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent with respect to such
registration of transfer . The Paying Agent may treat the
registered owner of any Note as the absolute owner thereof for
all purposes whatsoever in accordance with this resolution, and
the Paying Agent shall not be affected by any notice to the
contrary.
Subject to the provisions of Section 4 hereof, Notes may be
exchanged at the office of the Paying Agent in Martinez,
California for a like aggregate principal amount of Notes in
other authorized denominations . The Paying Agent shall require
the payment by the Note owner requesting such exchange of any
tax or other governmental charge required to be paid with
respect to such exchange. The District may require the owner
requesting such exchange to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent or the . District with
respect to such exchange.
Section 4 . Use of Depository. (1) The Notes shall be
initially registered as provided in Section 2 hereof .
Registered ownership of the Notes , or any portion thereof, may
not thereafter be transferred except :
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(i) To any successor of Cede & Co. , as nominee
of The Depository Trust Company, or its nominee, or to
any substitut.e depository designated pursuant to
clause (ii) of this Section 4 (a "substitute
depository") ; provided, that any successor of Cede &
Co . , as nominee of The Depository Trust Company or a
substitute depository, shall be qualified under any
applicable laws to provide the services proposed to be
provided by it;
(ii) To any substitute depository not objected to
by the Paying Agent, upon (1) the resignation of The
Depository Trust Company or its successor (or any
substitute depository or its successor) from its
functions as depository, or (2) a determination by the
District to substitute another depository for The
Depository Trust Company (or its successor) because
The Depository Trust Company or its successor (or any
substitute depository or its successor.) is no longer
able to carry out its functions as depository;
Provided, that any such substitute depository shall be
qualified under any applicable laws to provide the
services proposed to be provided by it; or
(iii). To any person as provided below, upon
(1) the resignation of The Depository Trust Company or
its successor (or substitute depository or its ,
successor) from its functions as depository, or (2) a
determination by the District to remove The Depository
Trust Company or its successor (or any substitute
depository or its successor) from its functions as
depository.
(2) In the case of any transfer pursuant to
clause (i) or clause (ii) of subsection (1) of this
Section 4, upon receipt of the outstanding Notes by the
Paying Agent, together with a request of the District to
the Paying Agent, a new Note shall be executed and
delivered in the aggregate principal amount of the Notes
registered in the name of such successor or such substitute
depository., or their nominees, as the case may be, all as
specified in such request of the District . In the case of
any transfer pursuant to clause (iii) of subsection (1) of
this subparagraph (d) , upon receipt of the outstanding
Notes by the Paying Agent together with a request of the
District to the Paying Agent, new Notes shall be executed
and delivered in such denominations numbered in the manner
determined by the Paying Agent and registered in the names
of such persons as ate requested in such a request of the
District; provided,, the Paying Agent shall not be required
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3035009/2
to deliver such new Notes within a period less than sixty
(60) days from the date of receipt of such a request of the
District . Thereafter, Notes shall be transferred pursuant
to Section 3 hereof .
(3) The District and the Paying Agent shall be
entitled to treat the person in whose name any Note is .
registered as the owner thereof for all purposes of this
resolution and any applicable laws, notwithstanding any
notice to the contrary received by the Paying Agent or the
District; and the District and the Paying Agent shall have
no responsibility for transmitting payments to,
communication with, notifying, or otherwise dealing with
any beneficial owners of the Notes and neither the District
nor the Paying Agent will have anyresponsibility or
obligations, legal or otherwise, to the beneficial owners
or to any other party, including The Depository Trust
Company or its successor (or substitute depository or its
successor) , except for the Owner of any Notes .
(4) So long as the outstanding Notes are registered
in the name of Cede & Co . or its registered assigns , the
District and the Paying Agent shall cooperate with Cede &
Co. , as. sole registered Owner, or its registered assigns in
effecting payment of the principal of and interest on the
Notes by arranging for payment, in such manner that funds
for such payments are properly identified and are made
immediately available on the date they are due.
Section 5 . Deposit of Note Proceeds . The moneys so
borrowed shall be deposited in the General Fund of the District .
Section 6 . Payment of Notes .
(A) Source of Payment . The principal amount of the Notes,
together with the interest thereon, shall be payable from
taxes, income, revenue, cash receipts and other moneys which
are received by the District during fiscal year 1991-1992 and
which are available therefor . The Notes shall be a general
obligation of the District, and to the extent the Notes are not
paid from the Pledged Revenues defined below, the Notes shall
be paid with interest thereon from any other moneys of the
District lawfully available therefor, as provided in the
District Resolution and by law.
(B) Pledged Revenues . As security for the payment of the
principal of and interest on the Notes, as provided in the
District Resolution, the District has pledged an amount equal
to fifty percent (500) of the principal amount of the Notes
from the unrestricted revenues received by the District in the
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3035009/2
month ending December 31, 1991; and an amount equal to fifty
percent (50%) of the principal amount of the Notes from the
unrestricted revenues received by the District in the month
ending April 30, 1992 ; plus an amount sufficient to pay
interest on the Notes, from unrestricted revenues received by
the District in the month ending May 31, 1992 (such pledged
amounts being hereinafter called the "Pledged Revenues" ) . The .
term "unrestricted revenues" shall mean taxes, income, revenue,
cash receipts, and other money of the District as provided in
Section 53856 of the Act, which are intended as receipts for
the general fund of the District and which are generally
available for the payment of current expenses and other
obligations of the District .
The principal of the Notes and the interest thereon shall
be a first lien and charge against and shall be payable from
the first moneys received by the District from such Pledged
Revenues as provided by law.
In the event that there are insufficient unrestricted
revenues received by the District to permit the deposit into
the County investment pool and credited to the Repayment Fund,
as hereinafter defined, of the full amount of Pledged Revenues
to be deposited from unrestricted revenues in any month, then
the amount of such deficiency shall be satisfied and made up
from any other moneys of the District lawfully available for
the repayment of the Notes and the interest thereon.
(C) Deposit of Pledged Revenues in Repayment Fund. The
Pledged Revenues shall be held by the Treasurer in a special
fund designated as the "Martinez Unified School District,
County of Contra Costa, State of California, 1991 Tax and
Revenue Anticipation Notes Repayment Fund" (herein called the
"Repayment Fund") and applied as directed in this Resolution.
Any moneys placed in the Repayment Fund shall be for the
benefit of the holders of the Notes, and until the Notes and
all interest thereon are paid or until provision has been made
for the payment of the Notes at maturity with interest to
maturity, the moneys in the Repayment Fund shall be applied
only for the purposes for which the Repayment Fundis created.
(D) Disbursement and Investment of Moneys in Repayment
Fund. From the date this Resolution takes effect, all Pledged
Revenues shall, when received, be deposited with the County and
accounted for in the Repayment Fund. After such date as the
amount of Pledged Revenues deposited in the Repayment Fund
shall be sufficient to pay in full the principal of and
interest on the Notes, when due, any moneys in excess of such
amount remaining in or accruing to the Repayment Fund shall be
transferred to the general fund of the District upon the
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3035009/2
request of the District . On the maturity date of the Notes,
the moneys in the Repayment Fund shall be used, to the extent
necessary, to pay the principal of and interest on the Notes .
Moneys in the Repayment Fund, to the greatest extent
possible, shall be invested at the request of the District in
investment securities by the Treasurer, as permitted by
applicable California law, as it is now in effect and as it may
be amended, modified or supplemented from time to time. To the
extent that moneys invested or held by the County are subject
to arbitrage rebate, neither the County nor any officer or
employee of the County shall assume hereunder or under the
provisions of any rebate certificate any duty or obligation to
. make the actual calculations of arbitrage rebate, liability of
the District, or to pay any such rebate or any penalties in
regard thereto if the District miscalculates or fails to pay or
cause such rebate or such penalties to be paid.
Section 7 . Execution of Notes . The Treasurer, or a
designated deputy thereof, is hereby authorized to sign the
Notes manually or by facsimile signature, and the County
Chairperson is hereby authorized to sign the Notes manually or
by facsimile signature and the Clerk of the County Board (the
"Clerk" ) is hereby authorized to countersign the Notes manually
or by facsimile signature, provided that at least one of the
foregoing shall sign manually, and said Clerk is hereby
authorized to affix the seal of the County Board thereto by
facsimile impression thereof, and said officers. are hereby
authorized to cause the blank spaces thereof to be filled in as
may be appropriate .
Section 8 . Sale of the Notes . The Notes may be sold on a
competitive or negotiated basis . If the Notes are sold at
public sale, such sale shall be at the time and place and upon
the terms provided in the Notice of Sale of the Notes, which
Notice is substantially in the form attached hereto as
Exhibit C. Sealed bids for the purchase of the Notes shall be
received by the County Board at the time and place set forth in
said Notice of Sale and the Treasurer is authorized to
distribute copies of said Notice. Further, the Treasurer is
authorized to accept the lowest bid so long as the aggregate
principal of Notes does not exceed $2, 000, 000 and the interest
rate does not exceed 8% per annum. If the Notes are sold on a
negotiated basis, the District shall request the Treasurer to
execute a Contract of Purchase substantially in the form on
file with the Clerk of this Board with an underwriter to be
designated by either the Superintendent or Director of Fiscal
Services of the District; provided that the aggregate principal
amount of the Notes does not exceed $2, 000, 000 and the interest
rate does not exceed 8% per annum.
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3035009/2
Section 9 . Authorization of Preliminary Official Statement
and Official Statement . Kelling, Northcross & Nobriga, Inc . ,
the financial advisor to the District, is hereby authorized to
prepare a Preliminary Official Statement and an Official
Statement relating to the Notes , to be used in connection with
the offering and sale of the Notes . The Superintendent or
Director of Fiscal Services of the District are each hereby .
authorized and requested to execute and deliver the Official
Statement.
Section 10 . Delivery of Notes . The proper officers of the
County Board are hereby authorized and directed to deliver the
Notes to the successful bidder . A1.1 actions heretofore taken
by the officers and agents of the County Board with respect to
the sale and issuance of the Notes are hereby approved,
confirmed and ratified, and the officers of the County Board
are hereby authorized and directed,. for and in the name and on
behalf of the County Board, to do any and all things and take
any. and all actions and execute and deliver any and all
certificates, agreements and other documents, which they, or
any of them, may deem necessary or advisable in order to
consummate the lawful issuance and delivery of the Notes in
accordance with this Resolution and resolutions heretofore
adopted by the County and District Boards .
Section 11. Further Actions Authorized. It is hereby
covenanted that the County, and its appropriate officials , have
duly taken all proceedings necessary to be taken by them, and
will take any additional proceedings necessary to be taken by
them, for the levy, collection and enforcement of the secured
property taxes pledged under the District Resolution in
accordance with the law and for carrying out the provisions of
the District Resolution and of this Resolution.
Section 12 . Recitals . All the recitals . in this Resolution
above are true and correct and this County Board so finds,
determines and represents .
Section 13 . Designation as Qualified Tax-Exempt
Obligation. The District Board hereby designates the Notes as
"qualified tax-exempt obligations" within the meaning of
Section 265(b) (3) of the Code.
Section 14 . Action Re Qualified Tax-Exempt' Obligation.
Appropriate officials of the District are hereby authorized and
directed to take such other actions as may be necessary to
designate such Notes as "qualified tax-exempt obligations , "
including, if either deemed necessary or appropriate, placing a
legend to such effect on the form of Note in such form as
either deemed necessary or appropriate.
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3035009/2
PASSED . AND ADOPTED by the Board of Supervisors of the
County of Contra Costa this 4th day of June, 1991, by the
following vote:
AYES: Supervisors Schroder , Torlakson, Powers
NOES: None
ABSENT• Supervisors Fanden, McPeak
By
Chairperson, _ Board of
Supervisors
Phi!Batchelor, Clerk of the Board of
Attest : Supervisors and County Administrator
liGC%�2� Deputy
Clerk, Board of Supervisors
11
3035009/2
EXHIBIT B
MARTINEZ UNIFIED SCHOOL DISTRICT
COUNTY OF CONTRA COSTA
STATE OF CALIFORNIA
1991 TAX AND REVENUE ANTICIPATION NOTE
Registered No .
Registered Owner :
FOR VALUE RECEIVED, Martinez Unified School District (the
"District" ) , County of Contra Costa, State of California,
acknowledges itself indebted to and promises to pay the
Registered Owner hereof, at the principal office
of the principal sum of
DOLLARS ($ )
in lawful money of the United States of America, on
1992 , .together"with interest thereon at the rate of
PERCENT (_%)
per annum in like lawful money of the United States of America
from the date hereof until payment in full of said principal
SUM. Both the principal of and interest on this Note shall be
payable only upon surrender of this Note as the same shall fall
due; provided, however, no interest shall be payable for any
period after maturity during which the holder hereof fails to
properly present this Note for payment`.
It is hereby certified, recited and declared that this Note
is one of an authorized issue of Notes in the aggregate
principal amount of Dollars
($ ) , all of like date, tenor and effect, made,
executed and given pursuant to and by authority of a resolution
of the Board of Supervisors of the County of Contra Costa duly
passed and adopted on —' 1991 and a Resolution of
the Board of Education of the District duly passed and adopted
on 1991 under and by authority of Article 7 . 6
(commencing with Section 53850) of Chapter 4 , Part 1,
Division 2 , Title 5 , California Government. Code, and that all
acts , conditions and things required to exist , happen and be
performed precedent to and in the issuance of this Note have
existed, happened and been performed in regular and due time,
B-1
3035009/2
form and manner as required by law, and that this Note,
together with all other indebtedness and obligations of the
District, does not exceed any limit prescribed by the
Constitution or statutes of the State of California .
The principal amount of the Notes, together with the
interest thereon, shall be payable from taxes, income, revenue,
cash receipts and other moneys that are received by the
District during fiscal year 1991-1992 . As security for the
payment of the principal of and interest on the Notes the
District has pledged an amount equal to fifty percent (50%) of
the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending
December 31, 1991; and an amount equal to fifty percent (50%)
of the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending April 30,
1992 ; plus an amount sufficient to pay interest on the Notes
from the unrestricted revenues of the District to be received
in the month ending May 31, 1992 (such pledged amounts being
hereinafter called the "Pledged Revenues" ) ; and the principal
of the Notes and the interest thereon shall constitute a first
lien and charge thereon and shall be payable from the Pledged
Revenues, and to the extent not so paid shall be paid from any
other moneys of the District lawfully available therefor .
IN WITNESS WHEREOF, the County of Contra Costa has caused
this Note to be executed by the Chairperson of its Board of
Supervisors and by the by facsimile
signature and countersigned by the by
manual signature and has caused a facsimile of its official
seal to be printed hereon this day of 1991 .
COUNTY OF CONTRA COSTA
By
Chairperson, Board of
Supervisors
By
Treasurer-Tax Collector
(SEAL)
Countersigned
By
Clerk of the Board
B-2
3035009/2
QUALIFIED TAX-EXEMPT OBLIGATIONS
This Note has been determined to be a "qualified tax-exempt
obligation" within the meaning of Section 265(b) (3) of the
Internal Revenue Code of 1986, as amended, by resolution of the.
District .
B-3
3035009/2
EXHIBIT C
COMPOSITE OFFICIAL NOTICE OF SALE
ACALANES UNION HIGH SCHOOL DISTRICT
$
ANTIOCH UNIFIED SCHOOL DISTRICT
MARTINEZ UNIFIED SCHOOL DISTRICT
$
PITTSBURG UNIFIED SCHOOL DISTRICT
1991 TAX .AND REVENUE ANTICIPATION NOTES
NOTICE IS HEREBY GIVEN that separate sealed proposals will
be received by the Treasurer-Tax Collector of the County of
Contra Costa, at the office of Kelling, Northcross & Nobriga,
Inc. , 595 Market Street, Suite 1350, San Francisco, California
94105 on
June 10, 1991
at the hour of 10 : 00 A.M. for the purchase of each issue of Tax
and Revenue Anticipation Notes (individually and collectively,
the "Notes" ) , more particularly described below. In the event
that the sale has not been awarded by the designated time, bids
will be received on each successive Tuesday or the same time
and location until such time as the sale awarded.
ISSUE AND DENOMINATION: The Notes are separate and
distinct issues, designated as follows :
"Acalanes Union High School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
"Antioch Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
"Martinez Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
C-1
3035009/2
"Pittsburg Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
Each issue of Notes will consist of non-registrable, negotiable
notes, without coupons .
FULL BOOK ENTRY: The Notes, when delivered, will be
registered in the name of Cede & Co . , as nominee of The
Depository Trust Company, New York, New York. The Depository
Trust Company ( "DTC") will act as securities depository of the
Notes . Individual purchases will be made in book-entry form
only, in the principal amount of $5 , 000 and integral multiples
thereof . Purchasers will not receive certificates representing
their interest in the Notes purchased.
DATE AND MATURITIES: Each issue of Notes will be dated the
date of delivery, and will all mature on July 1, 1992 .
INTEREST RATE: The maximum interest rate bid may not
exceed eight percent (80) per annum, payable upon maturity of
each issue of Notes . Bidders must specify the rate of interest
which each issue of Notes bid upon will bear, provided that
(i) each issue of Notes bid upon will bear the same interest
rate; (ii) no Note will bear more than one rate of interest;
(iii) each issue of Notes bid upon will bear interest from its
date to its stated maturity at the interest rate specified in
the bid; and (iv) the interest rate specified must be in a
multiple of 1/1000 of one percent (A) . Interest will be
computed on a 360-day year basis .
QUALIFIED OBLIGATION: The Notes of Antioch Unified School
District, Martinez Unified School District and Pittsburg
Unified School District, have been designated by the respective
Districts as "qualified tax-exempt obligations within the
meaning of Section 265(b) (3) (B) of the Internal Revenue Code of
1986, as amended.
The Notes of Acalanes Union High School District have not
been designated as "qualified tax-exempt obligations . "
REDEMPTION: The Notes are not subject to call and
redemption prior to maturity.
PAYMENT: Both principal and interest are payable in lawful
money of the United States of America at the office of the
Treasurer-Tax Collector of the County of Contra Costa in
Martinez , California, as Paying Agent , to DTC, which will in
turn remit such principal and interest to the beneficial owners
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3035009/2
' C
of the Notes through DTC' s Participants, as described in the
Preliminary Official Statement .
PURPOSE OF ISSUES: The Notes are separate and distinct
issues to be issued by the Board of Supervisors (the "Board")
of the County of Contra Costa, in the name and on behalf of the
Acalanes Union High School District, in the name of and on .
behalf of the Antioch Unified School District and in the name
of and on behalf of the Martinez Unified School District and in
the name of and on behalf of the Pittsburg Unified School
District, (each individually, a "District" ) and each issue of
Notes is authorized pursuant to the provisions of Section
53850-53858 of the Government Code of the State of California
and the provisions of a resolution of said Board, for any
purpose for which each District is authorized to expend moneys .
SECURITY: The Notes are obligations of the District on
whose behalf such Notes are issued and as security for the
payment of the principal of and interest on the Notes, such
District has pledged an amount equal to fifty percent (50%) of
the principal amount of such District ' s issue of Notes from the
unrestricted revenues received by such District in the month
ending December 31, 1991; and an amount equal to fifty percent
(50%) of the principal amount of such District ' s issue of Notes
from the unrestricted revenues received by such District in the
month ending April 30, 1992 ; and an amount equal to the
interest on the Notes from the unrestricted revenues received
by such District in the month ending May 31, 1992 . By statute,
the Notes of each issue are declared to be a general obligation
of the District on whose behalf such Notes are issued and to
the extent not paid from such pledged moneys will be paid with
the interest thereon from any other moneys of such District
lawfully available therefor . Under provisions of the
California Constitution, each District is generally prohibited
from incurring . any indebtedness or liability exceeding in any
year the income and revenue provided for such year, without the
assent of two-thirds of its qualified electors voting at an
election cal-led for such purpose.
No District has covenanted to pay any other District ' s
unpaid obligation on the Notes , or to make up any deficiency in
the payment to the holders of the Notes which occurs by reason
of another District ' s nonpayment of moneys required to be
deposited into the repayment fund.
TERMS OF SALE
HIGHEST BID: Each Districts issue of Notes will be
individually awarded on the basis of the lowest net interest
C-3
3035009/2
rate including premium offered in the proposals for such issue
of Notes . No bid for less than par and accrued interest (which
interest will be computed on a 360-day year basis) will be
accepted. In. the event two or more bids setting forth
identical interest rates and premium per dollar principal
amount, if any, the Board reserves the right to exercise its
own discretion and judgment in making the award and may award .
the Notes on a pro rata basis in such denominations as the
Board shall determine.
RIGHT OF REJECTION: The Board reserves the right, in its
discretion, to reject any and all bids and to waive any
irregularity or informality in any bid.
PROMPT AWARD: The County of Contra Costa Treasurer-Tax
Collector will take action awarding each issue of Notes or
rejecting all bids for each issue of Notes not later than
26 hours after the expiration of the time herein prescribed for
the receipt of proposals unless such time of award is waived by
the successful bidder .
DELIVERY AND PAYMENT: It is estimated that delivery of the
Notes will be made to the successful bidder at the office at
Brown & Wood, 555 California Street, San Francisco, California
94104 , on July 2 , 1991 or in New York City at the option of the
successful bidder . Payment of the purchase price (less the
amount of the bid check mentioned below) must be made in the
funds immediately available to the Treasurer-Tax Collector of
the County of Contra Costa . The cost of registering the Notes
in the name of Cede & Co . , as nominee of DTC will be borne by
the respective Districts .
RIGHT OF CANCELLATION: The successful bidder will have the.
right at its option to terminate its obligation to purchase
Notes if the Board fails to execute such Notes on behalf of the
District and tender the same for delivery within 30 days from
the date of sale thereof , and in such event, the successful
bidder will be entitled to the return of the deposit
accompanying its bid.
FORM OF BID: Bids for each issue of Notes must be for all
of the Notes of such issue, and must be for not less than the
par value thereof . Each bid, together with the bidder ' s check,
must be enclosed in a sealed envelope addressed to the Board of
Supervisors of the County of Contra Costa at the office of
Kelling, Northcross & Nobriga, Inc . , 595 Market Street, Suite
1350, San Francisco, California 94105 , not later than
10 : 00 A.M. on said date of sale, and endorsed "Proposal for
[Acalanes Union High] , [Antioch Unified] , [Martinez Unified] ,
or [Pittsburg Unified] School District 1991 Tax and Revenue
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Anticipation Notes . " Each bid must be in accordance with the
terms and conditions set forth herein, and must be submitted
on, or in substantial accordance with, proposal forms provided
by the Board.
ESTIMATE OF NET INTEREST COST: Bidders are requested (but
not required) to supply an estimate of the total net interest
cost to the District on the basis of their respective bids,
which shall be considered as informative only and not binding
on either the bidder or the Board.
CUSIP NUMBERS: CUSIP numbers will be applied for and will
be printed on the Notes and the cost of service bureau
assignment will be purchaser ' s responsibility. Any delay,
error or omission with respect thereto will not constitute
cause for the purchaser to refuse to accept delivery of and pay
for the Notes .
BID CHECK: A certified or cashier ' s check drawn on a
responsible bank or trust company in the amount of one percent
( lo) of the principal amount of the issue of Notes bid upon,
payable to the order of the Treasurer-Tax Collector of the
County of Contra Costa, must accompany each proposal as a
guaranty that the bidder, if successful, will accept and pay
for the Notes in accordance with the terms of its bid. The
check accompanying any accepted proposal shall be applied to
the purchase price or, if such proposal is accepted but not
performed, unless such failure of performance shall be caused
by any act or omission of the Board, it shall be cashed and the
proceeds retained by the Treasurer-Tax Collector of the County
of Contra Costa . The check accompanying each unaccepted
proposal will be returned promptly. A separate bid check is
required for each issue of Notes bid upon.
CHANGE IN TAX EXEMPT STATUS: At any time before the Notes
are tendered for delivery, any successful bidder may disaffirm
and withdraw its proposal if the interest received by private
holders form notes of the same type and character shall be
determined to be includable in gross income under present
federal income tax laws , either by a ruling of the Internal
Revenue Service or by a decision of any federal court, or shall
be determined to be includable in gross income by 'the terms of
any federal income tax law enacted subsequent to the date of
this notice.
CERTIFICATION OF REOFFERING PRICE: The successful bidder
shall be required, as a condition to the delivery of the Notes
by the Board, to certify to the Board and the District in
writing the price at which a substantial amount of the Notes
were sold to the public, in the form and substance . satisfactory
to the Board, the District and Bond Counsel .
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CLOSING PAPERS; LEGAL OPINION: Each proposal will be
conditioned upon the respective District furnishing to each
successful bidder, without charge, concurrently with payment
for delivery of each issue of Notes, the following closing
papers , each dated the date of such delivery:
(a) The opinion of Brown & Wood, San Francisco,
California, Bond Counsel, approving the validity of the
Notes and stating that under existing statutes, regulations
and court decisions, interest on the Notes is exempt from
all present State of California personal income taxes and,
assuming compliance with certain covenants and
requirements, is excludable from gross income for federal
income tax purposes (although such interest may be subject
to the corporate, alternative minimum and environmental
taxes) , a copy of which opinion (certified by the official
in whose office the original is filed) will be printed on
each Note without cost to the purchaser;
(b) A certificate of the District that on the basis
of the facts , estimates and circumstances in existence on
the date of issue, it is not expected that the proceeds of
the Notes will be used in a manner that would cause the
Notes to be arbitrage bonds;
(c) A certificate of the County of Contra Costa
County Counsel that there is no litigation threatened or
pending affecting the validity of the Notes;
(d) A certificate of an appropriate District
official, acting on behalf of the District solely in his
official, and not in his personal capacity, that at the
time of the sale of the Notes and at all times subsequent
thereto up to and including the time of the delivery of the
Notes to the initial purchasers thereof the Official
Statement of the District pertaining to said Notes did not,
and does not, contain any untrue statement of a material
fact or omit to state a material fact necessary to make the
statement therein, in light of the circumstances under
which they were made, not misleading;
(e) The signature certificate of the officials of the
County of Contra Costa, showing that they have signed the
Notes and impressed the seal of the Board thereon, and that
they were respectively duly authorized to execute the same;
and
(f) The receipt of the Treasurer-Tax Collector of the
County of Contra Costa that the purchase price of the
Notes , including interest accrued to the date of delivery
thereof has been received by him.
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INFORMATION AVAITiABLE: Requests for information concerning
the District should be addressed to:
Alfred P. Lomeli
Treasurer-Tax Collector
Contra Costa County
625 Court Street
Martinez, California 945.33
(415) 646-4080
Jon B. Armstrong
Kelling, Northcross & Nobriga, Inc.
5776 Stoneridge Mall Road, Suite 380
Pleasanton, California 94588
(415) 734-0755
The Preliminary Official Statement, together with any
supplements thereto; shall be in form "deemed final" by the
District for purposes of SEC Rule 15c2-12, but is subject to
revision, amendment and completion in a final official
statement. Up to 50 copies for each $1 million of Notes
purchased of the Official Statement will be furnished without
cost, and any additional copies will be furnished at the
expense of the bidder. The successful bidder or bidders shall
be responsible for the payment of any fees required to be paid
to the California Debt Advisory Commission, and to the
Depository Trust Company in connection with the Notes .
Dated: 1991
TREASURER-TAX COLLECTOR OF THE
COUNTY OF CONTRA COSTA
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1-117
BOARD OF SUPERVISORS, COUNTY OF CONTRA COSTA,
STATE OF CALIFORNIA
RESOLUTION NO. '50
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF
CONTRA COSTA PROVIDING FOR THE ISSUANCE OF ACALANES UNION
HIGH SCHOOL DISTRICT, COUNTY OF CONTRA COSTA, STATE OF
CALIFORNIA, 1991 TAX AND REVENUE ANTICIPATION NOTES
WHEREAS, pursuant to Sections 53850 et seg. of the
Government Code of the State of California (the "Act" )
contained in Article 7. 6 thereof, entitled "Temporary
Borrowing" , on or after the first day of any fiscal year (being
July 1) , a school district may borrow money by issuing notes
for any purpose for which the school district is authorized to
expend moneys, including but not limited to current expenses ,
capital expenditures, and the discharge of any obligation or
indebtedness of the school district; and
WHEREAS, Section 53853 of the Act provides that such notes
must be issued in the name of the school district by the Board
of Supervisors of the county (the ."County Board" ) , the county
superintendent of which has jurisdiction over the school
district, as soon as possible following the receipt of a
resolution of the governing board of the school district
requesting the borrowing; and
WHEREAS, the County Superintendent of the County of Contra
Costa (the "County" ) has jurisdiction over Acalanes Union High
School District (the "District") , and this Board of Supervisors
of the County (the "County Board" ) has received a resolution of
the Board of Education of the District (the "District Board" ) ,,
being the governing board of the District, dated May 15, 1991,
entitled "RESOLUTION OF THE GOVERNING BOARD OF ACALANES UNION
HIGH SCHOOL DISTRICT AUTHORIZING THE ISSUANCE OF 1991 TAX AND
REVENUE ANTICIPATION NOTES FOR SAID DISTRICT AND REQUESTING THE
BOARD OF SUPERVISORS OF COUNTY OF CONTRA COSTA TO ISSUE SAID
NOTES" (the "District Resolution") attached hereto as
Exhibit A, which District Resolution requests the borrowing of
not exceeding Three Million Dollars ($3 , 000 , 000) at an interest
rate not exceeding eight percent (8%) per annum through the
issuance by the County Board of 1991 Tax and Revenue
Anticipation Notes (the "Notes" ) in the name of the District ;
and
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WHEREAS, such Notes are payable twelve months after their
date of delivery which is during the fiscal year succeeding the
fiscal year 1991-1992 in which such Notes were issued, but as
required by Section 53854 of the Act, such date is not later
than fifteen months after the date of issue, and such Notes
shall be payable only from revenue received or accrued during
the fiscal year 1991-1992 in which issued; and
WHEREAS, such Notes may not bear interest exceeding twelve
percent (12%) per annum, as permitted by Section 53531 of the
Act, notwithstanding Section 53854 of the Act; and
WHEREAS, pursuant to Section 53856 of the Act, the District
may pledge any taxes, income, revenue, cash receipts or other
moneys deposited in inactive or term deposits (but excepting
certain moneys encumbered for a special purpose) ; and the
District Resolution specifies that certain unrestricted
revenues that will be received by the District for the General
Fund of the District during or allocable to fiscal year
1991-1992 are pledged for the payment of the Notes; and
WHEREAS, the Notes shall be a general obligation of the
District, and to the extent not paid from the taxes, income,
revenue, cash receipts and other moneys of the District pledged
for the payment thereof shall be paid with interest thereon
from any other moneys of the District lawfully available
therefor, as required by Section 53857 of the Act; and
WHEREAS, the Notes shall be in denominations of $5, 000 or
integral multiples thereof, as permitted by Section 53854 of
the Act; shall be issued on a date to be designated; and shall
be in the form and executed in the manner prescribed in this
Resolution all as permitted and required by Section 53853 of
the Act; and
WHEREAS, the County Board, in reliance on a determination
by the District, has found and determined that said $3 , 000, 000
maximum principal amount of Notes to be issued by the County
Board in fiscal year 1991-1992 , when added to the interest
payable thereon, does not exceed eighty-five percent (85%) of
the estimated amount of the uncollected taxes, income, revenue
(including but not limited to revenue from state and federal
governments) , cash receipts and other moneys of the District
which will be available for the payment of the Notes and
interest thereon, as required by Section 53858 of the Act; and
WHEREAS, the Notes will not be outstanding after a period
ending twelve months after the date on which such Notes are
issued and will not be issued in an amount greater than the
maximum anticipated cumulative cash flow deficit to be financed
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by the anticipated tax or other revenue sources for the period
for which such taxes or other revenues are anticipated and
during which such Notes are outstanding, all as provided in
Section 1. 103-14(c) of the Income Tax Regulations of the United
States Treasury;
NOW, THEREFORE, the Board of Supervisors of the County of
Contra Costa hereby resolves as follows :
Section 1. Authorization of Issuance of Notes ; Terms
Thereof . The County Board hereby determines to and shall issue
in the name of the District, an amount not to exceed $3 , 000, 000
principal amount of notes under Sections 53850 et seg. of the
Act, designated "Acalanes Union High School District, County of
Contra Costa, State of California, 1991 Tax and Revenue
Anticipation Notes to be numbered 1 (and consecutively upward
in order of issuance if more than one Note is registered) ; to
be in the denominations of $5, 000, or integral multiples
thereof, as determined by the underwriter (as referred to
herein) ; to be dated the date of delivery thereof; to mature
(without option of prior redemption) 364 days from said date of
delivery (or 359 days computed on a 30-day month/360-day year
basis) or, if such date is not a day on which banks in New York
or California are open for business, on the last day prior to
such date; and to bear interest, payable at maturity and
computed on a 30-day month/360-day year basis, at the rate or
rates determined at the time of sale thereof, but not in excess
of eight percent (8%) per annum. Both the principal of and
interest on the Notes shall be payable, only upon surrender
thereof, in lawful money of the United States of America at the
principal office of the Treasurer-Tax Collector of the County
(the "Treasurer" ) which is hereby designated to be the paying
agent on the Notes (in such capacity, the "Paying Agent" ) .
Section 2 . Form of Notes . The Notes shall be issued in
registered form and shall be substantially in the form and
substance set forth in Exhibit B attached hereto and by
reference incorporated herein, the blanks in said form to be
filled in with appropriate words and figures . The Notes shall
be initially registered in the name of "Cede & Co. " as nominee
of The Depository Trust Company, and shall be evidenced by one
note in the full principal amount of the Notes . The Depository
Trust Company, New York, New York is hereby appointed
depository for the Notes . Registered ownership may not
thereafter be transferred except as set forth in Section 4
hereof . There shall be simultaneously delivered with each Note
the legal opinion of Brown & Wood respecting the validity of
said Notes and, immediately following such legal opinion, a
certificate executed with the facsimile signature of the
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Chairperson of the County Board (the "County Chairperson" ) ,
said certificate to be in substantially the following form:
I HEREBY CERTIFY that the foregoing is a true and correct
copy of the legal opinion regarding the Notes therein
described that was manually signed by Brown & Wood, and was
dated as of the date of delivery of and payment for said
Notes .
rFacsimile Signaturel
Chairperson, Board of Supervisors
Section 3 . Transfer and Exchange of Notes . Subject to the
provisions of Section 4 hereof, the registration of any Note
may, in accordance with its terms , be transferred, upon the
registration books kept by the Paying Agent for such purpose,
by the person in whose name it is registered, in person or by
his or her duly authorized attorney, upon surrender of such
Note for cancellation, accompanied by delivery of a written
instrument of transfer, duly executed in a form approved by the
Paying Agent .
Whenever any Note or Notes shall be surrendered for
registration or transfer, the Paying Agent shall execute and
deliver a new Note or Notes, for a like aggregate principal
amount . The Paying Agent shall require the Note owner
requesting such registration of transfer to pay any tax or
other governmental charge required to be paid with respect to
such transfer . The County may require the owner requesting
such registration of transfer to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent with respect to such
registration of transfer . The Paying Agent may treat the
registered owner of any Note as the absolute owner thereof for
all purposes whatsoever in accordance with this resolution, and
the Paying Agent shall not be affected by any notice to the
contrary.
Subject to the provisions of Section 4 hereof, Notes may be
exchanged at the office of the Paying Agent in Martinez,
California for a like aggregate principal amount of Notes in
other authorized denominations . The Paying Agent shall require
the payment by the Note owner requesting such exchange of any
tax or other governmental charge required to be paid with
respect tosuch exchange. The District may require the owner
requesting such exchange to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent or the District with
respect to such exchange.
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Section 4 . Use of Depository. (1) The Notes shall be
initially registered as provided in Section 2 hereof .
Registered ownership of the Notes, or any portion thereof , may
not thereafter be transferred except :
(i) To any successor of Cede & Co. , as nominee
of The Depository Trust Company, or its nominee, or to
any substitute depository designated pursuant to
clause (ii) of this Section 4 (a "substitute
depository" ) ; provided, that any successor of Cede &
Co . , as nominee of The Depository Trust Company or a
substitute depository, shall be qualified under any
applicable laws to provide the services proposed to be
provided by it;
(ii) To any substitute depository not objected to
by the Paying Agent, upon (1) the resignation of The
Depository Trust Company or its successor (or any
substitute depository or its successor) from its
functions as depository, or (2) a determination by the
District to substitute another depository for The
Depository Trust Company (or its successor) because
The Depository Trust Company or its successor (or any
substitute depository or its successor) is no longer
able to carry out its functions as depository;
provided, that any such substitute depository shall be
qualified under any applicable laws to provide the
services proposed to be provided by it; or
(iii) To any person as provided below, upon
(1) the resignation of The Depository Trust Company or
its successor (or substitute depository or its
successor) from its functions as depository, or (2) a
determination by the District to remove The Depository
Trust Company or its successor (or any substitute
depository or its successor) from its functions as
depository.
(2) In the case of any transfer pursuant to
clause (i) or clause (ii) of subsection (1) of this
Section 4 , upon receipt of the outstanding Notes by the
Paying Agent, together with a request of the District to
the Paying Agent, a new Note shall be executed and
delivered in the aggregate principal amount of the Notes
registered in the name of such successor or such substitute
depository, or their nominees , as the case may be, all as
specified in such request of the District . In the case of
any transfer pursuant to clause (iii) of subsection ( 1) of
this subparagraph (d) , upon receipt of the outstanding
Notes by the Paying Agent together with a request of the
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District to the Paying Agent, new Notes shall be executed
and delivered in such denominations numbered in the manner
determined by the Paying Agent and registered in the names
of such persons as are requested in such a request of the
District; provided, the Paying Agent shall not be required
to deliver such new Notes within, a period less than sixty
(60) days from the date of receipt of such a request of the
District . Thereafter, Notes shall be transferred pursuant
to Section 3 hereof .
(3) The District and the Paying Agent shall be
entitled to treat the person in whose name any Note is
registered as the owner thereof for all purposes of this
resolution and any applicable laws, notwithstanding any
notice to the contrary received by the Paying Agent or the
District; and the District and the Paying Agent shall have
no responsibility for transmitting payments to,
communication with, notifying, or otherwise dealing with
any beneficial owners of the Notes and neither the District
nor the Paying Agent will have any responsibility or
obligations, legal or otherwise, to the beneficial owners
or to any other party, including The Depository Trust
Company or its successor (or substitute depository or its
successor) , except for the Owner of any Notes .
(4) So long as the outstanding Notes are registered
in the name of Cede & Co . or its registered assigns, the
District and the Paying Agent shall cooperate with Cede &
Co . , as sole registered Owner, or its registered assigns in
effecting payment of the principal of and interest on the
Notes by arranging for payment in such manner that funds
for such payments are properly identified and are made
immediately available on the date they are due.
Section 5 . Deposit of Note Proceeds . The moneys so
borrowed shall be deposited in the General Fund of the District .
Section 6 . Payment of Notes .
(A) Source of Payment . The principal amount of the Notes,
together with the interest thereon, shall be payable from
taxes, income, revenue, cash receipts and other moneys which
are received by the District during fiscal year 1991-1992 and
which are available therefor . The Notes shall be a general
obligation of the District, and to the extent the Notes are not
paid from the Pledged Revenues defined below, the Notes shall
be paid with interest thereon from any other moneys of the
District lawfully available therefor, as provided in the
District Resolution and by law.
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(B) Pledged Revenues . As security for the payment of the
principal of and interest on the Notes , as provided in the
District Resolution, the District has pledged an amount equal
to fifty percent (50%) of the principal amount of the Notes
from the unrestricted revenues received by the District in the
month ending December 31, 1991; and an amount equal to fifty
percent (50%) of the principal amount of the Notes from the
unrestricted revenues received by the District in the month
ending April 30, 1992; plus an amount sufficient to pay
interest on the Notes, from unrestricted revenues received by
the District in the month ending May 31, 1992 (such pledged
amounts being hereinafter called the "Pledged Revenues") . The
term "unrestricted revenues" shall mean taxes, income, revenue,
cash receipts, and other money of the District as provided in
Section 53856 of the Act, which are intended as receipts for
the general fund of the District and which are generally
available for the payment of current expenses and other
obligations of the District .
The principal of the Notes and the interest thereon shall
be a first lien and charge against and shall be payable from
the first moneys received by the District from such Pledged
Revenues as provided by law.
In the event that there are insufficient unrestricted
revenues received by the District to permit the deposit into
the County investment pool and credited to the Repayment Fund,
as hereinafter defined, of the full amount of Pledged Revenues
to be deposited from unrestricted revenues in any month, then
the amount of such deficiency shall be satisfied and made up
from any other moneys of the District lawfully available for
the repayment of the Notes and the interest thereon.
(C) Deposit of Pledged Revenues in Repayment Fund. The
Pledged Revenues shall be held by the Treasurer in a special
fund designated as the "Acalanes Union High School District,
County of Contra Costa, State of California, 1991 Tax and
Revenue Anticipation Notes Repayment Fund" (herein called the
"Repayment Fund" ) and applied as directed in this Resolution.
Any moneys placed in the Repayment Fund shall be for the
benefit of the holders of the Notes, and until the Notes and
all interest thereon are paid or until provision has been made
for the payment of the Notes at maturity with interest to
maturity, the moneys in the Repayment Fund shall be applied
only for the purposes for which the Repayment Fund is created.
(D) Disbursement and Investment of Moneys in Repayment
Fund. From the date this Resolution takes effect , all Pledged
Revenues shall, when received, be deposited with the County and
accounted for in the Repayment Fund. After such date as the
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3036009/2
amount of Pledged Revenues deposited in the Repayment Fund
shall be sufficient to pay in full the principal of and
interest on the Notes, when due, any moneys in excess of such
amount remaining in or accruing to the Repayment Fund shall be
transferred to the general fund of the District upon the
request of the District . On the maturity date of the Notes,
the moneys in the Repayment Fund shall be used, to the extent
necessary, to pay the principal of and interest on the Notes .
Moneys in the Repayment Fund, to the greatest extent
possible, shall be invested at the request of the District in
investment securities by the Treasurer, as permitted by
applicable California law, as it is now in effect and as it may
be amended, modified or supplemented from time to time to the
extent that moneys invested or held by the County are subject
to arbitrage rebate, neither the County nor any officer or
employee of the County shall assume hereunder or under the
provisions of any rebate certificate any duty or obligation to
make the actual calculations of arbitrage rebate liability of
the District, or to pay any such rebate or any penalties in
regard thereto if the District miscalculates or fails to pay or
cause such rebate or such penalties to be paid.
Section 7 . Execution of Notes . The Treasurer, or a
designated deputy thereof , is hereby authorized to sign the
Notes manually or by facsimile signature, and the County
Chairperson is hereby authorized to sign the Notes manually or
by facsimile signature and the Clerk of the County Board (the
"Clerk" ) is hereby authorized to countersign the Notes manually
or by facsimile signature, provided that at least one of the
foregoing shall sign manually, and said Clerk is hereby
authorized to affix the seal of the County Board thereto by
facsimile impression thereof, and said officers are hereby
authorized to cause the blank spaces thereof to be filled in as
may be appropriate.
Section 8 . Sale of the Notes . The Notes may be sold on a
competitive or negotiated basis . If the Notes are sold at
public sale, such sale shall be at the time and place and upon
the terms provided in the Notice of Sale of the Notes, which
Notice is substantially in the form attached hereto as
Exhibit C. Sealed bids for the purchase of the Notes shall be
received by the County Board at the time and place set forth in
said Notice of Sale and the Treasurer is authorized to
distribute copies of said Notice. Further, the Treasurer is
authorized to accept the lowest bid so long as the aggregate
principal of Notes does not exceed $3 , 000, 000 and the interest
rate does not exceed 8% per annum. If the Notes are sold on a
negotiated basis, the District shall request the Treasurer to
execute a Contract of Purchase substantially in the form on
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3036009/2
file with the Clerk of this Board with an underwriter to be
designated by either the Superintendent or the Business Manager
of the District; provided that the aggregate principal amount
of the Notes does not exceed $3 , 000, 000 and the interest rate
does not exceed 8% per annum.
Section 9 . Authorization of Preliminary Official Statement
and Official Statement . Kelling, Northcross & Nobriga, Inc . ,
the financial advisor to the District, is hereby authorized to
prepare a Preliminary Official Statement and an Official
Statement relating to the Notes, to be used in connection with
the offering and sale of the Notes . The Superintendent or the
Business Manager of the District, are each hereby authorized
and requested to execute and deliver the Official Statement .
Section 10 . Delivery of Notes . The proper officers of the
County Board are hereby authorized and directed to deliver the
Notes to the successful bidder . All actions heretofore taken
by the officers and agents of the County Board with respect to
the sale and issuance of the Notes are hereby approved,
confirmed and ratified, and the officers of the County Board
are hereby authorized and directed, for and in the name and on
behalf of the County Board, to do any and all things and take
any and all actions and execute and deliver any and all
certificates, agreements and other documents, which they, or
any of them, may deem necessary or advisable in order to
consummate the lawful issuance and delivery of the Notes in
accordance with this Resolution and resolutions heretofore
adopted by the County and District Boards .
Section 11 . Further Actions Authorized. It is hereby
covenanted that the County, and its appropriate officials, have
duly taken all proceedings necessary to be taken by them, and
will take any additional proceedings necessary to be taken by
them, for the levy, collection and enforcement of the secured
property taxes pledged under the District Resolution in
accordance with the law and for carrying out the provisions of
the District Resolution and of this Resolution.
Section 12 . Recitals . All the recitals in this Resolution
above are true and correct and this County Board so finds ,
determines and represents .
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PASSED AND ADOPTED by the Board of Supervisors of the
County of Contra Costa this 4th day of June, 1991, by the
following vote:
AYES: Supervisors Schroder, . Torlakson, Powers
NOES: None
ABSENT: Supervisors Fanden, McPe
By
Chairperson, Board of
Supervisors
-' PM Bsbc mW,Cbrk of the Board of
Attest : awash R MW cW*Adwwdrdw
��122 Deputy
Clerk, --Board of Supervisors
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EXHIBIT B
ACALANES UNION HIGH SCHOOL DISTRICT
COUNTY OF CONTRA COSTA
STATE OF CALIFORNIA
1991 TAX AND REVENUE ANTICIPATION NOTE
Registered No . $
Registered Owner:
FOR VALUE RECEIVED, Acalanes Union High School District
(the "District" ) , County of Contra Costa, State of California,
acknowledges itself indebted to and promises to pay the
Registered`Owner hereof, at the principal office
of the principal sum of
DOLLARS ($ )
in lawful money of the United States of America, on
1992 , together with interest thereon at the rate of
PERCENT ( %)
per annum in like lawful money of the United States of America
from the date hereof until payment in full of said principal
SUM. Both the principal of and interest on this Note shall be
payable only upon surrender of this Note as the same shall fall
due; provided, however, no interest shall be payable for any
period after maturity during which the holder hereof fails . to
properly present this Note for payment .
It is hereby certified, recited and declared that this Note
is one of an authorized issue of Notes in the aggregate
principal amount of Dollars
($ ) , all of like date, tenor and effect, made,
executed and given pursuant to and by authority of a resolution
of the Board of Supervisors of the County of Contra Costa duly
passed and adopted on , 1991 and a Resolution of
the Board of Education of the District duly passed and adopted
on , 1991 under and by authority of Article 7 . 6
(commencing with Section 53850) of Chapter 4 , Part 1,
Division 2 , Title 5, California Government Code, and that all
acts, conditions and things required to exist, happen and be
performed precedent to and in the issuance of this Note have
existed, happened and been performed in regular and due time,
form and manner as required by law, and that this Note,
together with all other indebtedness and obligations of the
B-1
District, does not exceed any limit prescribed by the
Constitution or statutes of the State of California .
The principal amount of the Notes, together with the
interest thereon, shall be payable from taxes, income, revenue,
cash receipts and other moneys that are received by the
District during fiscal year 1991-1992 . As security for the
payment of the principal of and interest on the Notes the
District has pledged an amount equal to fifty percent (50%) of
the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending
December 31, 1991; and an amount equal to fifty percent (50%)
of the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending April 30,
1992 ; plus an amount sufficient to pay interest on the Notes
from the unrestricted revenues of the District to be received
in the month ending May 31, 1992 (such pledged amounts being
hereinafter called the "Pledged Revenues" ) ; and the principal
of the Notes and the interest thereon shall constitute a first
lien and charge thereon and shall be payable from the Pledged
Revenues, and to the extent not so paid shall be paid from any
other moneys of the District lawfully available therefor .
IN WITNESS WHEREOF, the County of Contra Costa has caused
this Note to be executed by the Chairperson of its Board of
Supervisors and by the by facsimile
signature and countersigned by the by
manual signature and has caused a facsimile of its official
seal to be printed hereon this day of 1991 .
COUNTY OF CONTRA COSTA
By
Chairperson, Board of
Supervisors
By
Treasurer-Tax Collector
(SEAL)
Countersigned
By
Clerk of the Board
B-2
EXHIBIT C
COMPOSITE OFFICIAL NOTICE OF SALE
$
ACALANES UNION HIGH SCHOOL DISTRICT
$
ANTIOCH UNIFIED SCHOOL DISTRICT
MARTINEZ UNIFIED SCHOOL DISTRICT
$
PITTSBURG UNIFIED SCHOOL DISTRICT
1991 TAX AND REVENUE ANTICIPATION NOTES
NOTICE IS HEREBY GIVEN that separate sealed proposals will
be received by the Treasurer-Tax Collector of the County of
Contra Costa, at the office of Kelling, Northcross & Nobriga,
Inc . , 595 Market Street, Suite 1350, San Francisco, California
94105 on
June 10, 1991
at the hour of 10 : 00 A.M. for the purchase of each issue of Tax
and Revenue Anticipation Notes (individually and collectively,
the "Notes") , more particularly described below. In the event
that the sale has not been awarded by the designated time, bids
will be received on each successive Tuesday or the same time
and location until such time as the sale is awarded.
ISSUE AND DENOMINATION: The Notes are separate and
distinct issues, designated as follows :
"Acalanes Union High School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$ Y'
"Antioch Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
"Martinez Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
C-1
"Pittsburg Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
Each issue of Notes will consist of non-registrable, negotiable
notes , without coupons .
FULL BOOK ENTRY: The Notes, when delivered, will be
registered in the name of Cede & Co. , as nominee of The
Depository Trust Company, New York, New York. The Depository
Trust Company ( "DTC" ) will act as securities depository of the
Notes . Individual purchases will be made in book-entry form
only, in the principal amount of $5, 000 and integral multiples
thereof . Purchasers will not receive certificates representing
their interest in the Notes purchased.
DATE AND MATURITIES: Each issue of Notes will be dated the
date of delivery, and will all mature on July 1, 1992 .
INTEREST RATE: The maximum interest rate bid may not
exceed eight percent (8%) per annum, payable upon maturity of
each issue of Notes . Bidders must specify the rate of interest
which each issue of Notes bid upon will bear, provided that
(i) each issue of Notes bid upon will bear the same interest
rate; (ii) no Note will bear more than one rate of interest;
(iii) each issue of Notes bid upon will bear interest from its
date to its stated maturity at the interest rate specified in
the bid; and (iv) the interest rate specified must be in a
multiple of 1/1000 of one percent (A) . Interest will be
computed on a 360-day year basis .
QUALIFIED OBLIGATION: The Notes of Antioch Unified School
District, Martinez Unified School District and Pittsburg
Unified School District, have been designated by the respective
Districts as "qualified tax-exempt obligations" within the
meaning of Section 265(b) (3) (B) of the Internal Revenue Code of
1986, as amended.
The Notes of Acalanes Union High School District have not
been designated as "qualified tax-exempt obligations . "
REDEMPTION: The Notes are not subject to call and
redemption prior to maturity.
PAYMENT: Both principal and interest are payable in lawful
money of the United States of America at the office of the
Treasurer-Tax Collector of the County of Contra Costa in
Martinez, California, as Paying Agent, to DTC, which will in
turn remit such principal and interest to the beneficial owners
C-2
of the Notes through DTC' s Participants, as described in the
Preliminary Official Statement .
PURPOSE OF ISSUES: The Notes are separate and distinct
issues to be issued by the Board of Supervisors (the "Board" )
of the County of Contra Costa, in the name and on behalf of the
Acalanes Union High School District, in the name of and on
behalf of the Antioch Unified School District and in the name
of and on behalf of the Martinez Unified School District and in
the name of and on behalf of the Pittsburg Unified School
District, (each individually, a "District" ) and each issue of
Notes is authorized pursuant to the provisions of Section
53850-53858 of the Government Code of the State of California
and the provisions of a resolution of said Board, for any
purpose for which each District is authorized to expend moneys .
SECURITY: The Notes are obligations of the District on
whose behalf such Notes are issued and as security for the
payment of the principal of and interest on the Notes, such
District has pledged an amount equal to fifty percent (50%) of
the principal amount of such District ' s issue of Notes from the
unrestricted revenues received by such District in the month
ending December 31, 1991; and an amount equal to fifty percent
(50%) of the principal amount of such District ' s issue of Notes
from the unrestricted revenues received by such District in the
month ending April 30, 1992 ; and an amount equal to the
interest on the Notes from the unrestricted revenues received
by such District in the month ending May 31, 1992 . By statute,
the Notes of each issue are declared to be a general obligation
of the District on whose behalf such Notes are issued and to
the extent not paid from such pledged moneys will be paid with
the interest thereon from any other moneys of such District
lawfully available therefor. Under provisions of the
California Constitution, each District is generally prohibited
from incurring any indebtedness or liability exceeding in any
year the income and revenue provided for such year, without the
assent of two-thirds of its qualified electors voting at an
election called for such purpose.
No District has covenanted to pay any other District ' s
unpaid obligation on the Notes, or to make up any deficiency in
the payment to the holders of the Notes which occurs by reason
of another District ' s nonpayment of moneys required to be
deposited into the repayment fund.
TERMS OF SALE
HIGHEST BID: Each Districts issue of Notes will be
individually awarded on the basis of the lowest net interest
C-3
rate including premium offered in the proposals for such issue
of Notes . No bid for .less than par and accrued interest (which
interest will be computed on a 360-day year basis) will be
accepted. In the event two or more bids setting forth
identical interest rates and premium per dollar principal
amount, if any, the Board reserves the right to exercise its
own discretion and judgment in making the award and may award
the Notes on a pro rata basis in such denominations as the
Board shall determine.
RIGHT OF REJECTION: The Board reserves the right, in its
discretion, to reject any and all bids and to waive any
irregularity or informality in any bid.
PROMPT AWARD: The County of Contra Costa Treasurer-Tax
Collector will take action awarding each issue of Notes or
rejecting all bids for each issue of Notes not later than
26 hours after the expiration of the time herein prescribed for
the receipt of proposals unless such time of award is waived by
the successful bidder .
DELIVERY AND PAYMENT: It is estimated that delivery of the
Notes will be made to the successful bidder at the office at
Brown & Wood, 555 California Street, San Francisco, California
94104 , on July 2 , 1991 or in New York City at the option of the
successful bidder . Payment of the purchase price ( less the
amount of the bid check mentioned below) must be made in the
funds immediately available to the Treasurer-Tax Collector of
the County of Contra Costa . The cost of registering the Notes
in the name of Cede & Co . , as nominee of DTC will be borne by
the respective Districts .
RIGHT OF CANCELLATION: The successful bidder will have the
right at its option to terminate its obligation to purchase
Notes if the Board fails to execute such Notes on behalf of the
District and tender the same for delivery within 30 days from
the date of sale thereof, and in such event, the successful
bidder will be entitled to the return of the deposit
accompanying its bid.
FORM OF BID: Bids for each issue of Notes must be for all,
of the Notes of such issue, and must be for not less than the
par value thereof . Each bid, together with the bidder ' s check,
must be enclosed in a sealed envelope addressed to, the Board of
Supervisors of the County of Contra Costa at the office of
Kelling, Northcross & Nobriga, Inc. , 595 Market Street, Suite
1350 , San Francisco, California 94105 , not later than
10 : 00 A.M. on said date of sale, and endorsed "Proposal for
[Acalanes Union High] , [Antioch Unified] , [Martinez Unified] ,
or [Pittsburg Unified] School District 1991 Tax and Revenue
C-4
Anticipation Notes . " Each bid must be in accordance with the
terms and conditions set forth herein, and must be submitted
on, or in substantial accordance with, proposal forms provided
by the Board.
ESTIMATE OF NET INTEREST COST: Bidders are requested (but
not required) to supply an estimate of the total net interest
cost to the District on the basis of their respective bids,
which .shall be considered as informative only and not binding
on either the bidder or the Board.
CUSIP NUMBERS: CUSIP numbers will be applied for and will
be printed on the Notes and the cost of service bureau
assignment will be purchaser ' s responsibility. - Any delay,
error or omission with respect thereto will not constitute
cause for the purchaser to refuse to accept delivery of and pay
for the Notes .
BID CHECK: A certified or cashier ' s check drawn on a
responsible bank or trust company in the amount of one percent
(A) of the principal amount of the issue of Notes bid upon,
payable to the order of the Treasurer-Tax Collector of the
County of Contra Costa, must accompany each proposal as a
guaranty that the bidder, if successful, will accept and pay
for the Notes in accordance with the terms of its bid. The
check accompanying any accepted proposal shall be applied to
the purchase price or, if such proposal is accepted but not
performed, unless such failure of performance shall be caused
by any act or omission of the Board, it shall be cashed and the
proceeds retained by the Treasurer-Tax Collector of the County
of Contra Costa . The check accompanying each unaccepted
proposal will be returned promptly. A separate bid check is
required for each issue of Notes bid upon.
CHANGE IN TAX EXEMPT STATUS: At any time before the Notes
are tendered for delivery, any successful bidder may disaffirm
and withdraw its proposal if the interest received by private
holders form notes of the same type and character shall be
determined to be includable in gross income under present
federal income tax laws, either by a ruling of the Internal
. Revenue Service or by a decision of any federal court, or shall
be determined to be includable in gross income by the terms of
any federal income tax law enacted subsequent to the date of
this notice.
CERTIFICATION OF REOFFERING PRICE: The successful bidder
shall be required, as a condition to the delivery of the Notes
by the Board, to certify to the Board and the District in
writing ' the 'price at which a substantial amount of the Notes
were sold to the public, in the form and substance satisfactory
to the Board, the District and Bond Counsel .
C-5
CLOSING PAPERS: LEGAL OPINION: Each proposal will be
conditioned upon the respective District furnishing to each
successful bidder, without charge, concurrently with payment
for delivery of each issue of Notes, the following closing
papers , each dated the date of such delivery:
(a) The opinion of Brown & Wood, San Francisco,
California, Bond Counsel, approving the validity of the
Notes and stating that under existing statutes, regulations
and court decisions, interest on the Notes is exempt from
all present State of California personal income taxes and,
assuming compliance with certain covenants and
requirements, is excludable from gross income for federal
income tax purposes (although such interest may be subject
to the corporate, alternative minimum and environmental
taxes) , a copy of which opinion (certified. by the official
in whose office the original is filed) will be printed on
each Note without cost to the purchaser;
(b) A certificate of the District that on the basis
of the facts, estimates and circumstances in existence on
the date of issue, it is not expected that the proceeds of
the Notes will be used in a manner that would cause the
Notes to be arbitrage bonds;
(c) A certificate of the County of Contra Costa
County Counsel that there is no litigation threatened or
pending affecting the validity of the Notes;
(d) A certificate of an appropriate District
official, acting on behalf of the District solely in his
official, and not in his personal capacity, that at the
time of the sale of the Notes and at all times subsequent
thereto up to and including the time of the delivery of the
Notes to the initial purchasers thereof the Official
Statement of the District pertaining to said Notes did not,
and does not, contain any untrue statement of a material
fact or omit to state a material fact necessary to make the
statement therein, in light of the circumstances under
which they were made, not misleading;
(e) The signature certificate of the officials of the
County of Contra Costa, showing that they have signed the
Notes and impressed the seal of the Board thereon, and that
they were respectively duly authorized to execute the same;
and
(f) The receipt of the Treasurer-Tax Collector of the
County of Contra Costa that the purchase price of the
Notes, including interest accrued to the date of delivery
thereof has been received by him.
C-6
INFORMATION AVAILABLE: Requests for information concerning
the District should be addressed to :
Alfred. P. Lomeli
Treasurer-Tax Collector
Contra Costa County
625 Court Street
Martinez, California 94533
(415) 646-4080
Jon B. Armstrong
Kelling, Northcross & Nobriga, Inc .
5776 Stoneridge Mall Road, Suite 380
Pleasanton, California 94588
(415) 734-0755
The Preliminary Official Statement, together with any
supplements thereto, shall be in form "deemed final" by the
District for purposes of SEC Rule 15c2-12, but is subject to
revision, amendment and completion in a final official
statement . Up to 50 copies for each $1 million of Notes
purchased of the Official Statement will be furnished without
cost, and any additional copies will be furnished at the
expense of the bidder . The successful bidder or bidders shall
be responsible for the payment of any fees required to be paid
to the California Debt Advisory Commission and to the
Depository Trust Company in connection with the Notes .
Dated: 1991
TREASURER-TAX COLLECTOR OF THE
COUNTY OF CONTRA COSTA
C-7
1-117
BOARD OF SUPERVISORS, COUNTY OF CONTRA COSTA,
STATE OF CALIFORNIA
RESOLUTION NO. 7I 3i-7
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF
CONTRA COSTA PROVIDING FOR THE ISSUANCE OF PITTSBURG
UNIFIED SCHOOL DISTRICT, COUNTY OF CONTRA COSTA, STATE OF
CALIFORNIA, 1991 TAX AND REVENUE ANTICIPATION NOTES
WHEREAS, pursuant to Sections 53850 et seq. of the
Government Code of the State of California (the "Act" )
contained in Article 7 . 6 thereof, entitled "Temporary
Borrowing" , on or after the first day of any fiscal year (being
July 1) , a school district may borrow money by issuing notes
for any purpose for which the school district is authorized to
expend moneys, including but not limited to current expenses,
capital expenditures, and the discharge of any obligation or
indebtedness of the school district; and
a
WHEREAS, Section 53853 of the Act provides that such notes
must be issued in the name of the school district by the Board
of Supervisors of the county, the county superintendent of
which has jurisdiction over the school district, as soon as
possible following the receipt of a resolution of the governing
board of the school district requesting the borrowing; and
WHEREAS, the County Superintendent of the County of Contra
Costa (the "County") has jurisdiction over Pittsburg Unified
School Districto (the "District" ) , and this Board of Supervisors
of the County (the "County Board" ) has received a resolution of
the Board of Education of the District (the "District Board" ) ,
being the governing board of the District, dated May 16, 1991,
entitled "RESOLUTION OF THE GOVERNING BOARD OF PITTSBURG
UNIFIED SCHOOL DISTRICT AUTHORIZING THE ISSUANCE OF 1991 TAX
AND REVENUE ANTICIPATION NOTES FOR SAID DISTRICT AND REQUESTING
THE BOARD OF SUPERVISORS OF COUNTY OF CONTRA COSTA TO ISSUE
SAID NOTES" (the "District Resolution" ) attached hereto as
Exhibit C, which District Resolution requests the borrowing of
not exceeding Five Million Dollars ($5 , 000,000) at . an interest
rate not exceeding eight percent (8%) per annum through the
issuance by the County Board of 1991 Tax and Revenue
Anticipation Notes (the "Notes" ) in the name of the District ;
and
WHEREAS, such Notes are payable twelve months after their
date of delivery which is during the fiscal year succeeding the
1
3011005/2
fiscal year 1.991-1992 in which such Notes were issued, but as
required by Section 53854 of the Act, such date is not later
than fifteen months after the date of issue, and such Notes
shall be payable only from revenue received or accrued during
the fiscal year 1991-1992 in which issued; and
WHEREAS, such Notes may not bear interest exceeding twelve
percent (12%) per annum, as permitted by Section 53531 of the
Act, notwithstanding Section 53854 of the Act; and
WHEREAS, pursuant to Section 53856 of the Act, the District
may pledge any taxes, income, revenue, cash receipts or other
moneys deposited in inactive or term deposits (but excepting
certain moneys encumbered for a special purpose) ; and the
District Resolution specifies that certain unrestricted
revenues that will be received by the District for the General
Fund of the District during or allocable to fiscal year
1991-1.992 are pledged for the payment of the Notes; and
WHEREAS, the Notes shall be a general obligation of the
District, and to the extent not paid from the taxes, income,
revenue, cash receipts and other moneys of the District pledged
for the payment thereof shall be paid with interest thereon
from any other moneys of the District lawfully available
therefor, as required by Section 53857 of the Act; and
WHEREAS, the Notes shall be in denominations of $5, 000 or
integral multiples thereof, as permitted by Section 53854 of
the Act; shall be issued on a date to be designated and shall
be in the form and executed in the manner prescribed in this
Resolution relating all as permitted and as required by
Section 53853 of the Act; and
WHEREAS, the County Board has, in reliance on a
determination by the District, found and determined that said
$5 , 000, 000 maximum principal amount of Notes to be issued by
the County Board in fiscal year 1991-1992, when added to the
interest payable thereon, does not exceed eighty-five percent
(85%) of the estimated amount of the uncollected taxes, income,
revenue (including but not limited to revenue from state and
federal governments) , cash receipts and other moneys of the
District which will be available for the payment of the Notes
and interest thereon, as required by Section 53858 of the Act;
and
WHEREAS, the Notes will not be outstanding after a period
ending twelve months after the date on which such Notes are
issued and will not be issued in an amount greater than the
maximum anticipated cumulative cash flow deficit to be financed
by the anticipated tax or other revenue sources for the period
2
3011005/2
for which such taxes or, other revenues are anticipated and
during which such Notes are outstanding, all as provided in
Section 1 . 103-14(c) of the Income Tax Regulations of the United
States Treasury;
WHEREAS, pursuant to Section 265(b) (3) of the Internal
Revenue Code of 1986, as amended (the "Code" ) , under certain
circumstances , certain obligations the interest on which is
exempt from federal income tax under Section 103 of the Code
may be designated by the issuer thereof as "qualified
tax-exempt obligations, " thereby allowing certain financial
institutions that are holders of such qualified tax-exempt
obligations to deduct for federal income tax purposes a portion
of such institution' s interest expense that is allocable to
such qualified tax-exempt obligations, all as determined in
accordance with Sections 265 and 291 of the Code;
WHEREAS, the District Board hereby represents that :
(1) the Notes authorized by this Resolution are not
private activity bonds within the meaning of Section 141 of the
Code;
(2) the District, together with all of its subordinate
entities, has heretofore issued no obligations (other than
those obligations described in Paragraph (4) below) in calendar
year 1991 the interest on which is exempt from federal income
tax under Section 103 of the Code;
(3) the District reasonably anticipates that it, together
with its subordinate entities, will issue during the remainder
of calendar year 1991 obligations (other than those obligations
described in Paragraph (4) below) the interest on which is
exempt from federal income tax under Section 103 of the Code
which, when aggregated with all obligations described in
Paragraph (2) above, will not exceed an aggregate principal
amount of $10, 000, 000; and
(4) notwithstanding Paragraphs (2) and (3) above, the
District and its subordinate entities may have issued in
calendar year 1991 and may continue to issue during the
remainder of calendar year 1991 private activity bonds other
than qualified 501(c) (3) bonds as defined in Section 145 of the
Code; and
WHEREAS, the District Board wishes to designate the Notes
as "qualified tax-exempt obligations" within the meaning of
Section 265(b) (3) of the Code;
3
3011005/2
NOW, THEREFORE, the Board of Supervisors of the County of
Contra Costa hereby resolves as follows :
Section 1 . Authorization of Issuance of Notes ; Terms
Thereof . The County Board hereby determines to and shall issue
in the name of the District, an amount not to exceed $5, 000, 000
principal amount of notes under Sections 53850 et sem. of the
Act, designated "Pittsburg Unified School District, County of
Contra Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" ; to be numbered 1 (and consecutively upward
in order of issuance if more than one Note is registered) ; to
be in the denominations of $5, 000, or integral multiples
thereof, as determined by the underwriter (as referred to
herein) ; to be dated the date of delivery thereof; to mature
(without option of prior redemption) 364 days from said date of
delivery (or 359 days computed on a 30-day month/360-day year
basis) or, if such date is not a day on which banks in New York
or California are open for business, on the last day prior to
such date; and to bear interest, payable at maturity and
computed on a 30-day month/360-day year basis, at the rate or
rates determined at the time of sale thereof., but not in excess
of eight percent (8%) per annum. Both the principal of and
interest on the Notes shall be payable, only upon surrender
thereof, in lawful money of the United States of America at the
principal office of the Treasurer-Tax Collector of the County
(the "Treasurer" ) which is hereby designated to be the paying
agent on the Notes (in such capacity, the "Paying Agent" ) .
Section 2 . Form of Notes . The Notes shall be issued in
registered form and shall be substantially in the form and
substance set forth in Exhibit B attached hereto and by
reference incorporated herein, the blanks in said form to be
filled in with appropriate words and figures . The Notes shall
be initially registered in the name of "Cede & Co . " as nominee
of The Depository Trust Company, and shall be evidenced by one
note in the full principal amount of the Notes . The Depository
Trust Company, New York, New York is hereby appointed
depository for the Notes . Registered ownership may not
thereafter be transferred except as set forth in Section 4
hereof . There shall be simultaneously delivered with each Note
the legal opinion of Brown & Wood respecting the validity of
said Notes and, immediately following such legal opinion, a
certificate executed with the facsimile signature of the
Chairperson of the County Board (the "County Chairperson") ,
said certificate to be in substantially the following form:
4
3011005/2.
I HEREBY CERTIFY that the foregoing is a true and correct
copy of the legal opinion regarding the Notes therein
described that was manually signed by Brown & Wood, and was
dated as of the date of delivery of and payment for said
Notes .
rFacsimile Signaturel
Chairperson, Board of Supervisors
Section 3 . Transfer and Exchange of Notes . Subject to the
provisions of Section 4 hereof, the registration of any Note
may, in accordance with its terms, be transferred, upon the
registration books kept by the Paying Agent for such purpose,
by the person in whose name it is registered, in person or by
his or her duly authorized attorney, upon surrender of such
Note for cancellation, accompanied by delivery of a written
instrument of transfer, duly executed in a form approved by the
Paying Agent .
Whenever any Note or Notes shall be surrendered for
registration or transfer, the Paying Agent shall execute and
deliver a new Note or Notes , for a like aggregate principal
amount . The Paying Agent shall require the Note owner
requesting such registration of transfer to pay any tax or
other governmental charge required to be paid with respect to
such transfer . The County may require the owner requesting
such registration of transfer to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent with respect to such
registration of transfer . The Paying Agent may treat the
registered owner of any Note as the absolute owner thereof for
all purposes whatsoever in accordance with this resolution, and
the Paying Agent shall not be affected by any notice to the
contrary.
Subject to the provisions of Section 4 hereof, Notes may be
exchanged at the office of the Paying Agent in Martinez,
California for a like aggregate principal amount of Notes in
other authorized denominations . The Paying Agent shall require
the payment by the Note owner requesting such exchange of any
tax or other governmental charge required to be paid with
respect to such exchange. The District may require .the owner
requesting such exchange to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent or the District with
respect to such exchange.
Section 4 . Use of Depository. ( 1) The Notes shall be
init.ially registered as provided in Section2 hereof .
5
3011005/2
Registered ownership of the Notes, or any portion thereof, may
not thereafter be transferred except :
(i) To any successor of Cede & Co . , as nominee
of The Depository Trust Company, or its nominee, or to
any substitute depository designated pursuant to
clause (ii) of this Section 4 (a "substitute
depository" ) ; provided, that any successor of Cede &
Co . , as nominee of The Depository Trust Company or a
substitute depository, shall be qualified under any
applicable laws to provide the services proposed to be
provided by it;
(ii) To any substitute depository not objected to
by the Paying Agent, upon ( 1) the resignation of The
Depository Trust Company or its successor (or any
substitute depository or its successor) from its
functions as depository, or (2) a determination by the
District to substitute another depository for The
Depository Trust Company (or its successor) because
The Depository Trust Company or its successor (or any
substitute depository or its successor) is no longer
able to carry out its functions as depository;
provided, that any such substitute depository shall be
qualified under any applicable laws to provide the
services proposed to be provided by it; or
(iii) To any person as provided below, upon
(1) the resignation of The Depository Trust Company or
its successor (or substitute depository or its
successor) from its functions as depository, or (2) a
determination by the District to remove The Depository
Trust Company or its successor (or any substitute
depository or its successor) from its functions as
depository.
(2) In the case of any transfer pursuant to
clause (i) or clause (ii) of subsection (1) of this
Section 4 , upon receipt of the outstanding Notes by the
Paying Agent, together with a request of the District to
the Paying Agent, a new Note shall be executed and
delivered in the aggregate principal amount of the Notes
registered in the name of such successor or such substitute
depository, or their nominees, as the case may be, all as
specified in such request of the District . In the case of
any transfer pursuant to clause (iii) of subsection (1) of
this subparagraph (d) , upon receipt of the outstanding
Notes by the Paying Agent together with a request of the
District to the Paying Agent , new Notes shall be executed
and delivered in such denominations numbered -in the manner
6
3011005/2
determined by the Paying Agent and registered in the names
of such persons as are requested in such a request of the
District; provided, the Paying Agent shall not be required
to deliver such new Notes within a period less than sixty
( 60) days from the date of receipt of such a request of the
District . Thereafter, Notes shall be transferred pursuant
to Section 3 hereof .
(3) The District and the Paying Agent shall be
entitled to treat the person in whose name any Note is
registered as the owner thereof for all purposes of this
resolution and any applicable laws, notwithstanding any
notice to the contrary received by the Paying Agent or the
District; and the District and the Paying Agent shall have
no responsibility for transmitting payments to,
communication with, notifying, or otherwise dealing with
any beneficial owners of the Notes and neither the District
nor the Paying Agent will have any responsibility or
obligations legal or otherwise, to the beneficial owners
or to any other party, including The Depository Trust
Company or its successor (or substitute depository or its
successor) , except for the Owner of any Notes .
(.4) So long as the outstanding Notes are registered
in the name of Cede & Co . or its registered assigns, the
District and the Paying Agent shall cooperate with Cede &
Co . , as sole registered Owner, or its registered assigns in
effecting payment of the principal of and interest on the
Notes by arranging for payment in such manner that funds
for such payments are properly identified and are made
immediately available on the date they are due.
Section 5 . Deposit of Note Proceeds . The moneys so
borrowed shall be deposited in the General Fund of the District .
Section 6 . Payment of Notes .
(A) Source of Payment . The principal amount of the Notes,
together with the interest thereon, shall be payable from
taxes, income, revenue, cash receipts and other moneys which
are received by the District during fiscal year 1991-1992 and
which are available therefor. The Notes shall be a general
obligation of the District, and to the extent the Notes are not
paid from the Pledged Revenues defined below, the Notes shall
be paid with interest thereon from any other moneys of the
District lawfully available therefor, as provided in the
District Resolution and by law.
(B) Pledged Revenues . As security for the payment of the
principal of and interest on the Notes, as provided in the
7
3011005/2
District Resolution, the District has pledged an amount equal
to fifty percent (50%) of the principal amount of the Notes
from the unrestricted revenues received by the District in the
month ending December 31, 1991; and an amount equal to fifty
percent (50%) of the principal amount of the Notes from the
unrestricted revenues received by the District in the month
ending April 30 1992 ; plus an amount sufficient to pay
interest on the Notes, from unrestricted revenues received by
the District in the month ending May 31, 1992 (such pledged
amounts being hereinafter called the "Pledged Revenues") . The
term "unrestricted revenues" shall mean taxes, income, revenue,
cash receipts, and other money of the District as provided in
Section 53856 of the Act, which are intended as receipts for
the general fund of the District and which are generally
available for the payment of current expenses and other
obligations of the District .
The principal of the Notes and the interest thereon shall
be a first lien and charge against and shall be payable from
the first moneys received by the District from such Pledged
Revenues as provided by law.
In the event that there are insufficient unrestricted
revenues received by the District to permit the deposit into
the County investment pool and credited to the Repayment Fund,
as hereinafter defined, of the full amount of Pledged Revenues
to be deposited from unrestricted revenues in any month, then
the amount of such deficiency shall be satisfied and made up
from any other moneys of the District lawfully available for
the repayment of the Notes and the interest thereon.
(C) Deposit of Pledged Revenues in Repayment Fund. The
Pledged Revenues shall . be held by the Treasurer in a special
fund designated as the "Pittsburg Unified School District,
County of Contra Costa, State of California, 1991 Tax and
Revenue Anticipation Notes Repayment Fund" (herein called the
"Repayment Fund" ) and applied as directed in this Resolution.
Any moneys placed in the Repayment Fund shall be for the
benefit of the holders of the Notes, and until the Notes and
all interest thereon are paid or until provision has been made
for the payment of the Notes at maturity with interest to
maturity, the moneys in the Repayment Fund shall be applied
only for the purposes for which the Repayment Fund is created.
(D) Disbursement and Investment of Moneys in Repayment
Fund. From the date this Resolution takes effect, all Pledged
Revenues shall, when received, be deposited with the County and
accounted for in the Repayment Fund. After such date as the
amount of Pledged Revenues deposited in the Repayment Fund
shall be sufficient to pay in ,full the principal of and
8
3011005/2
interest on the Notes, when due, any moneys in excess of such
amount remaining in or accruing to the Repayment Fund shall be
transferred to the general fund of the District upon the
request of the District . On the maturity date of the Notes ,
the moneys in the Repayment Fund shall be used, to the extent
necessary, to pay the principal of and interest on the Notes .
Moneys in the Repayment Fund, to the greatest extent
possible, shall be invested at the request of the District in
investment securities by the Treasurer, as permitted by
applicable California law, as it is now in effect and as it may
be amended, modified or supplemented from time to time. To the
extent that moneys invested or held by the County are subject
to arbitrage rebate, neither the County nor any officer or
employee of the County shall assume hereunder or under the
provisions of any rebate certificate any duty or obligation to
make the actual calculations of arbitrage rebate liability of
the District, or to pay any such rebate or any penalties in
regard thereto if the District miscalculates or fails to pay or
cause such rebate or such penalties to be paid.
Section 7 . Execution of Notes . The Treasurer, or a
designated deputy thereof, is hereby authorized to sign the
Notes manually or by facsimile signature, and the County
Chairperson is hereby authorized to sign the Notes manually or
by facsimile signature and the Clerk of the County Board (the
"Clerk" ) is hereby authorized to countersign the Notes manually
or by facsimile signature, provided that at least one of the
foregoing shall sign manually, and said Clerk is hereby
authorized to affix the seal of the County Board thereto by
facsimile impression thereof, and said officers are hereby
authorized to cause the blank spaces thereof to be filled in as
may be appropriate.
Section 8 . Sale of the Notes . The Notes may be sold on a
competitive or. negotiated basis . If the Notes are sold at
public sale, such sale shall be at the time and place and upon
the terms provided in the Notice of Sale of the Notes, which
Notice is substantially in the form attached hereto as
Exhibit C. Sealed bids for the purchase of the Notes shall be
received by the County Board at the time and place set forth in
said Notice of Sale and the Treasurer is authorized to
distribute copies of said Notice. Further, the Treasurer is
authorized to accept the lowest bid so long as the aggregate
principal of Notes does not exceed $5, 000, 000 and the interest
rate does not exceed 8% per annum. If the Notes are sold on a
negotiated basis, the District. shall request the Treasurer to
execute a Contract of Purchase substantially in the form on
file with the Clerk of this Board with an underwriter to be
designated by either the Superintendent or Business Manager of
9
3011005/2
the District; provided that the aggregate principal amount of
the Notes does not exceed $5, 000, 000 and the interest rate does
not exceed 8% per annum.
Section. 9 . Authorization of Preliminary Official Statement
and Official Statement . Kelling, Northcross & Nobriga, Inc. ,
the financial advisor to the District, is hereby authorized to
prepare a Preliminary Official Statement and an Official
Statement relating to the Notes, to be used in connection with
the offering and sale of the Notes . The Superintendent or
Business Manager of the District, are each hereby authorized
and requested to execute and deliver the Official Statement .
Section 10 . Delivery of Notes . The proper officers of the
County Board are hereby authorized and directed to deliver the
Notes to the successful bidder . All actions heretofore taken
by the officers and agents of the County Board with respect to
the sale and issuance of the Notes are hereby approved,
confirmed and ratified, and the officers of the County Board
are hereby authorized and directed, for and in the name and on
behalf of the County Board, to do any and all things and take
any and all actions and execute and deliver any and all
certificates, agreements and other documents, which they, or
any of them, may deem necessary or advisable in order to
consummate the lawful issuance and delivery of the Notes in
accordance with this Resolution and resolutions heretofore
adopted by the County and District Boards .
Section 11. Further Actions Authorized. It is hereby
covenanted that the County, and its appropriate officials, have
duly taken all proceedings necessary to be taken by them, and
will take any additional proceedings necessary to be taken by
them, for the levy, collection and enforcement of the secured .
property taxes pledged under the District Resolution in
accordance with the law and for carrying out the provisions of
the District Resolution and of this Resolution.
Section 12 . Recitals . All the recitals in this Resolution
above are true and correct and this County Board so finds,
determines and represents .
Section 13 . Designation as Qualified Tax-Exempt
Obligation. As provided in the District Resolution, the Notes
have been designated as "qualified tax-exempt obligations"
within the meaning of Section 265(b) (3) of the Code.
Section 14 . Action Re Qualified Tax-Exempt Obligation.
Officials of the County Board and the Treasurer are hereby
authorized and directed to take such other actions as may be
necessary to assist the District in designating such Notes as
10
301.1005/2
"qualified tax-exempt obligations, " including, if either deemed
necessary or appropriate, placing a legend to such effect on
the form of Note in such form as either deemed necessary or
appropriate.
11
3011005/2
PASSED AND ADOPTED by the Board of Supervisors of the
County of Contra Costa this 4th day of June, 1991, by the
following vote:
AYES: Supervisors Schroder jorlakson, Powers
NOES: None
ABSENT: Supervisors Fanden, McPeak
"Cc By . ard of
Supervisors
Phil Batchelor,Clerk of the Board of
Attest : Supervisors and County Administrator
n
)e uta
Clerk, Board of Supervisors
12
3011005/2
EXHIBIT B
PITTSBURG UNIFIED SCHOOL DISTRICT
COUNTY OF CONTRA COSTA
STATE OF CALIFORNIA
1991 TAX AND REVENUE ANTICIPATION NOTE
Registered No . $
Registered Owner :
FOR VALUE RECEIVED, Pittsburg Unified School District (the
"District" ) , County of Contra Costa, State of California,
acknowledges itself indebted to and promises to pay the
Registered Owner hereof, at the principal office
of the principal sum of
DOLLARS ($ )
in lawful money of the United States of America, on
1992, together with interest thereon at the rate of
PERCENT ( %)
per annum in like lawful money of the United States of America
from the date hereof until payment in full of said principal
SUM. Both the principal of and interest on this Note shall be
payable only upon surrender of this Note as the same shall fall
due; provided, however, no interest shall be payable for any
period after maturity during which the holder hereof fails to
properly present this Note for payment .
It is hereby certified, recited and declared that this Note
is one of an authorized issue of Notes in the aggregate
principal amount of Dollars
($ ) , all of like date, tenor and effect, made,
executed and given pursuant to and by authority of a resolution
of the Board of Supervisors of the County of Contra Costa duly
passed and adopted on , 1991 and a Resolution of
the Board of Education of the District duly passed and adopted
on , 1991 under and by authority of Article 7 . 6
(commencing with Section 53850) of Chapter 4 , Part 1,
Division 2 , Title 5, California Government Code, and that all
acts, conditions and things required to exist, happen and be
performed precedent to and in the issuance of this Note have
existed, happened and been performed in regular and due time,
form and manner as required by law, and that this Note,
B-1
together with all other indebtedness and obligations of the
District, does not exceed any limit prescribed by the
Constitution or statutes of the State of California.
The principal amount of the Notes, together with the
interest thereon, shall be payable from taxes, income, revenue,
cash receipts and other moneys that are received by the
District during fiscal year 1991-1992 . As security for the
payment of the principal of and interest on the Notes the
District has pledged an amount equal to fifty percent (50%) of
the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending December
31, 1991; and an amount equal to fifty percent (50%) of the
principal amount of the Notes from the unrestricted revenues
received by the District in the month ending April 30, 1992 ;
plus an amount sufficient to pay interest on the Notes from the
unrestricted revenues of the District to be received in the
month ending May 31, 1992 (such pledged amounts being
hereinafter called the "Pledged Revenues" ) ; and the principal
of the Notes and the interest thereon shall constitute a first
lien and charge thereon and shall be payable from the Pledged
Revenues, and to the extent not so paid shall be paid from any
other moneys of the District lawfully available therefor .
IN WITNESS WHEREOF, the County of Contra Costa has caused
this Note to be executed by the Chairperson of its Board of
Supervisors and by the by facsimile
signature and countersigned by the by
manual signature and has caused a facsimile of its official
seal to be printed hereon this day of 1991 .
COUNTY OF CONTRA COSTA
By
Chairperson, Board of
Supervisors
By
Treasurer-Tax Collector
(SEAL)
Countersigned
By
Clerk of the Board
B-2
QUALIFIED TAX-EXEMPT OBLIGATION
This Note has been determined to be a "qualified tax-exempt
obligation" within the meaning of Section 265(b) (3) of the
Internal Revenue Code of 1986, as amended, by resolution of the
District .
B-3
EXHIBIT C
COMPOSITE OFFICIAL NOTICE OF SALE
$
ACALANES UNION HIGH SCHOOL DISTRICT
$
ANTIOCH UNIFIED SCHOOL DISTRICT
$
MARTINEZ UNIFIED SCHOOL DISTRICT
$
PITTSBURG UNIFIED SCHOOL DISTRICT
1991 TAX AND REVENUE ANTICIPATION NOTES
NOTICE IS HEREBY GIVEN that separate sealed proposals will
be received by the Treasurer-Tax Collector of the County of
Contra Costa, at the office of Kelling, Northcross & Nobriga,
Inc. , 595 Market Street, Suite 1350, San Francisco, California
94105 on
June 10, 1991
at the hour of 10 : 00 A.M. for the purchase of each issue of Tax
and Revenue Anticipation Notes (individually and collectively,
the "Notes" ) , more particularly described below. In the event
that the sale has not been awarded by the designated time, bids
will be received on each successive Tuesday or the same time
and location until such time as the sale is awarded.
ISSUE AND DENOMINATION: The Notes are separate and
distinct issues, designated as follows :
"Acalanes Union High School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
"Antioch Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
"Martinez Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
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"Pittsburg Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
Each issue of Notes will consist of non-registrable, negotiable
notes, without coupons .
FULL BOOK ENTRY: The Notes , when delivered, will be
registered in the name of Cede & Co . , as nominee of The
Depository Trust Company, New York, New York. The Depository
Trust Company ( "DTC") will act as securities depository of the
Notes . Individual purchases will be made in book-entry form
only, in the principal amount of $5, 000 and integral multiples
thereof . Purchasers will not receive certificates representing
their interest in the Notes purchased.
DATE AND MATURITIES: Each issue of Notes will be dated the
date of delivery, and will all mature on July 1, 1992 .
INTEREST RATE: The maximum interest rate bid may not
exceed eight percent (80) per annum, payable upon maturity of
each issue of Notes . Bidders must specify the rate of interest
which each issue of Notes bid upon will bear, provided that
(i) each issue of Notes bid upon will bear the same interest
rate; (ii) no Note will bear more than one rate of interest;
(iii) each issue of Notes bid upon will bear interest from its
date to its stated maturity at the interest rate specified in
the bid; and (iv) the interest rate specified must be in a
multiple of 1/1000 of one percent (A) . Interest will be
computed on a 3.60-day year basis .
QUALIFIED OBLIGATION: The Notes of Antioch Unified School
District, Martinez Unified School District and Pittsburg
Unified School District, have been designated by the respective
Districts as "qualified tax-exempt obligations" within the
meaning of Section 265 (b) (3) (B) of the Internal Revenue Code
of 1986, as amended.
The Notes of Acalanes Union High School District have not
been designated as "qualified tax-exempt obligations . "
REDEMPTION: The Notes are not subject to call and
redemption prior to maturity.
AYMENT: Both principal and interest are payable in lawful
money of the United States of America at the office of the
Treasurer-Tax Collector of the County of Contra Costa in
Martinez, California, as Paying Agent, to DTC, which will in
turn remit such principal and interest to the beneficial owners
C-2
of the Notes through DTC' s Participants , as described in the
Preliminary Official Statement .
PURPOSE OF ISSUES: The Notes are separate and distinct
issues to be issued by the Board of Supervisors (the "Board" )
of the County of Contra Costa, in the name and on behalf of the
Acalanes Union High School District, in the name of and on
behalf of the Antioch Unified School District and in the name
of and on behalf of the Martinez Unified School District and in
. the name of and on behalf of the Pittsburg Unified School
District, (each individually, a "District") and each issue of
Notes is authorized pursuant to the provisions of Section
53850-53858 of the Government Code of the State of California
and the provisions of a resolution of said Board, for any
purpose for which each District is authorized to expend moneys .
SECURITY: The Notes are obligations of the District on
whose behalf such Notes are issued and as security for the
payment of the principal of and interest on the Notes, such
District has pledged an amount equal to fifty percent (50%) of
the principal amount of such District' s issue of Notes from the
unrestricted revenues received by such District in the month
ending December 31, 1991; and an amount equal to fifty percent
(50%) of. the principal amount of such District ' s issue of Notes
from the unrestricted revenues received by such District in the
month ending April 30, 1992 ; and an amount equal to the
interest on the Notes from the unrestricted revenues received
by such District in the month ending May 31, 1992 . By .statute,
the Notes of each issue are declared to be a general obligation
of the District on whose behalf such Notes are issued and to
the extent not paid from such pledged moneys will be paid with
the interest thereon from any other moneys of such District
lawfully available therefor . Under provisions of the
California Constitution, each District is generally prohibited
from incurring any indebtedness or liability exceeding in any
year the income and revenue provided for such year, without the
assent of two-thirds of its qualified electors voting at an
election called for such purpose .
No District has covenanted to pay any other District ' s
unpaid obligation on the Notes, or to make up any deficiency in
the payment to the holders of the Notes which occurs by reason
of another District ' s nonpayment of moneys required to be
deposited into the repayment fund.
TERMS OF SALE
HIGHEST BID: Each Districts issue of Notes will be
individually awarded on the basis of the lowest net interest
C-3
rate including premium offered in the proposals for such issue
of Notes . No bid for less than par and accrued interest (which
interest will be computed on a 360-day year basis) will be
accepted. In the event two or more bids setting forth
identical interest rates and premium per dollar principal
amount, if any, the Board reserves the right to exercise its
own discretion and judgment in making the award and may award
the Notes on a pro rata. basis in such denominations . as the
Board shall determine.
RIGHT OF REJECTION: The Board reserves the right, in its_
discretion, to reject any and all bids and to waive any
irregularity or informality in any bid.
PROMPT AWARD: The County of Contra Costa Treasurer-Tax
Collector will take action awarding each issue of Notes or
rejecting all bids for each issue of Notes not later than
26 hours after the expiration of the time herein prescribed for
the receipt of proposals unless such time of award is waived by
the successful bidder .
DELIVERY AND PAYMENT: It is estimated that delivery of the
Notes will be made to the successful bidder at the office at
Brown & Wood, 555 California Street, San Francisco, California
94104, on July 2, 1991 or in New York City at the option of the
successful bidder . Payment of the purchase price ( less the
amount of the bid check mentioned below) must be made in the
funds immediately available to the Treasurer-Tax Collector of
the County of Contra Costa . The cost of registering the Notes
in the name of Cede & Co. , as nominee of DTC will be borne by
the respective Districts .
RIGHT OF CANCELLATION: The successful bidder will have the
right at its option to terminate its obligation to purchase
Notes if the Board fails to execute such Notes on behalf of the
District and tender the same for delivery within 30 : days from
the date of sale thereof, and in such event, the successful
bidder will be entitled to the return of the deposit
accompanying its bid.
FORM OF BID: Bids for each issue of Notes must be for all
of the Notes of such issue, and must be for not less than the
par value thereof . Each bid, together with the bidder ' s check,
must be enclosed in a sealed envelope addressed to the Board of
Supervisors of, the County of Contra Costa at the office of
Kelling, 'Northcross & Nobriga, Inc . , 595 Market Street, Suite
1350, San Francisco, California 94105 , not later than
10 : 00 A.M. on said date of sale, and endorsed "Proposal for
[Acalanes Union High] , [Antioch Unified] , [MartinezUnified] ,
or [Pittsburg Unified] School District 1991 Tax and Revenue
C-4
Anticipation Notes . " Each bid must be in accordance with the
terms and conditions set forth herein, and must be submitted
on, or in substantial accordance with, proposal forms provided
by the Board.
ESTIMATE OF NET INTEREST COST: Bidders are requested (but
not required) to supply an estimate of the total net interest
cost to the District on the basis of their respective bids,
which shall be considered as informative only and not binding
on either 'the bidder or the Board.
CUSIP NUMBERS: CUSIP numbers will be applied for and will
be printed on the Notes and the cost of service bureau
assignment will be purchaser ' s responsibility. Any delay,
error or omission with respect thereto will not constitute
cause for the purchaser to refuse to accept delivery of and pay
for the Notes .
BID CHECK: A certified or cashier ' s check drawn on a
responsible bank or trust company in the amount of one percent
(A) of the principal amount of the issue of Notes bid upon,
payable to the order of the Treasurer-Tax Collector of the
County of Contra Costa, must accompany each proposal as a
guaranty that the bidder, if successful, will accept and pay
for the Notes in accordance with the terms of its bid. The
check accompanying any accepted proposal shall be applied to
the purchase price or, if such proposal is accepted but not
performed, unless such failure of performance shall be caused
by any act or omission of the Board, it shall be cashed and the
proceeds retained by the Treasurer-Tax Collector of the County
of Contra Costa . The check accompanying each unaccepted
proposal will be returned promptly. A separate bid check is
required for each issue of Notes bid upon.
CHANGE IN TAX EXEMPT STATUS: At any time before the Notes
are tendered for delivery, any successful bidder may disaffirm
and withdraw its proposal if the interest received by private
holders form notes of the same type and character shall be
determined to be includable in gross income under present
federal income tax laws, either by a ruling of the Internal
Revenue Service _or by a decision of any federal court, or shall
be determined to be includable in gross income by the terms of
any federal income tax law enacted subsequent to the date of
this notice.
CERTIFICATION OF REOFFERING PRICE: The successful bidder
shall be required, as a condition to the delivery of the Notes
by the Board, to certify to the Board and the District in
writing the price at which a substantial amount of the Notes .
were sold to the public, in the form and substance satisfactory
to the. Board, the District and Bond Counsel .
C-5
CLOSING PAPERS • LEGAL OPINION: Each proposal will be
conditioned upon the respective District furnishing to each
successful bidder, without charge, concurrently with payment
for delivery of each issue of Notes, the following closing
papers, each dated the date of such delivery:
(a) The opinion of Brown & Wood, San Francisco,
California, Bond Counsel, approving the validity of the
Notes and stating that under existing statutes, regulations
and court decisions, interest on the Notes is exempt from
all present State of California personal income taxes and,
assuming compliance with certain covenants and
requirements , is excludable from .gross income for federal
income tax purposes (although such interest may be subject
to the corporate, alternative minimum and environmental
taxes) , a copy of which opinion (certified by the official
in whose office the original is filed) will be printed on
each Note without cost to the purchaser;
(b) A certificate of the District that on the basis
of the facts, estimates and circumstances in existence on
the date of issue, it not expected that the proceeds of
the Notes will be used in a manner that would cause the
Notes to be arbitrage bonds;
(c) A certificate of the County of Contra Costa
County Counsel that there is no litigation threatened or
pending affecting the validity of the Notes;
(d) A certificate of an appropriate District
official, acting on behalf of the District solely in his
official, and not in his personal capacity, that at the
time of the sale of the Notes and at all times subsequent
thereto up to and including. the time of the delivery of the
Notes to the initial purchasers thereof the Official
Statement of the District pertaining to said Notes did not,
and does not, contain any untrue statement of a. material
fact or omit to state a material fact necessary to make the
statement therein, in light of the circumstances under
which they were made, not misleading;
(e) The signature certificate of the officials of the
County of Contra Costa, showing that they have signed the
Notes and impressed the seal of the Board thereon, and that
they were respectively duly authorized to execute the same;
and
(f) The receipt of the Treasurer-Tax Collector of the
County of Contra Costa that the purchase price of the
Note's, including interest accrued to the date of delivery
thereof has been received by him.
C-6
INFORMATION AVAILABLE: Requests for information concerning
the District should be addressed to:
Alfred P. Lomeli
Treasurer-Tax Collector
Contra Costa County
625 Court Street
Martinez, California 94533
(415) 646-4080
Jon B. Armstrong
Kelling, Northcross & Nobriga, Inc
5776 Stoneridge Mall Road, Suite 380
Pleasanton, California 94588
(415) 734-0755
The Preliminary Official Statement, together with any
supplements thereto, shall be in form "deemed final" by the
District for purposes of SEC Rule 15c2-12 , but is subject to
revision, amendment and completion in a final official
statement . Up to 50 copies for each $1 million of Notes
purchased of the Official Statement will be furnished without
cost, and any additional copies will be furnished at the
expense of the bidder . The successful bidder or bidders shall
be responsible for the payment of any fees required to be paid
to the California Debt Advisory Commission, and to the
Depository Trust Company in connection with the Notes .
Dated: 1991
TREASURER-TAX COLLECTOR OF THE
COUNTY OF CONTRA COSTA
C-7
11
1-117
BOARD OF SUPERVISORS, COUNTY OF CONTRA COSTA,
STATE OF CALIFORNIA
RESOLUTION NO.
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF
CONTRA COSTA PROVIDING FOR THE ISSUANCE OF ANTIOCH UNIFIED
SCHOOL DISTRICT, COUNTY OF CONTRA COSTA, STATE OF
CALIFORNIA, 1991 TAX AND REVENUE ANTICIPATION NOTES
WHEREAS, pursuant to Sections 53850 et seg. of the
Government Code of the State of California (the "Act")
contained in Article 7 . 6 thereof, entitled "Temporary
Borrowing" , on or after the first day of any fiscal year (being
July 1) , a school district may borrow money by issuing notes
for any purpose for which the school district is authorized to
expend moneys, including but not limited to current expenses,
capital expenditures, and the discharge of any obligation or
indebtedness of the school district; and
WHEREAS, Section 53853 of the Act provides that such notes
must be issued in the name of the school district by the Board
of Supervisors of the county (the "County Board") , the county
superintendent of which has jurisdiction over the school
district, as soon as possible following the receipt of a
resolution of the governing board of the school district
requesting the borrowing; and
WHEREAS, the County Superintendent of the County of Contra
Costa (the "County" ) has jurisdiction over Antioch Unified
School District (the "District") , and this Board of Supervisors
of the County (the "County Board" ) has received a resolution of
the Board of Education of the District (the "District Board" ) ,
being the governing board of the District, dated May 22, 1991,
entitled "RESOLUTION OF THE BOARD OF EDUCATION OF ANTIOCH
UNIFIED SCHOOL DISTRICT AUTHORIZING THE ISSUANCE OF 1991 TAX
AND REVENUE ANTICIPATION NOTES FOR SAID DISTRICT AND REQUESTING
THE BOARD OF SUPERVISORS OF COUNTY OF CONTRA COSTA TO ISSUE
SAID NOTES" (the "District Resolution" ) attached hereto as
Exhibit A, which District Resolution requests the borrowing of
not exceeding Four Million Five Hundred Thousand Dollars
($4 , 500, 000) at an interest rate not exceeding eight percent
(80) per annum through the issuance by the County Board of 1991
Tax and Revenue Anticipation Notes (the "Notes" ) in the name of
the District; and
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905-3
WHEREAS, such Notes are payable twelve months after their
date of delivery which is during the fiscal year succeeding the
fiscal year 1991-1992 in which such Notes were issued, but as
required by Section 53854 of the Act, such date is not later
than fifteen months after the date of issue, and such Notes
shall be payable only from revenue received or accrued during
the fiscal year 1991-1992 in which issued; and
WHEREAS, such Notes may not bear interest exceeding twelve
percent (120) per annum, as permitted by Section 53531 of the
Act, notwithstanding Section 53854 of the Act; and
WHEREAS, pursuant to Section 53856 of the Act, the District
may pledge any taxes, income, revenue, cash receipts or other
moneys deposited in inactive or term deposits (but excepting
certain moneys encumbered for a special purpose) ; and the
District Resolution specifies that certain unrestricted
revenues that will be received by the District for the. General
Fund of the District during or allocable to fiscal year
1991-1992 are pledged for the payment of the Notes; and
WHEREAS, the Notes shall be a general obligation .of the
District, and to the extent not paid from the taxes, income,
revenue, cash receipts and other moneys of the District pledged
for the payment thereof shall be paid with interest thereon
from any other moneys of the District lawfully available
therefor, as required by Section 53857 of the Act; and
WHEREAS, the Notes shall be in denominations of $5, 000 or
integral multiples thereof, as permitted by Section 53854 of
the Act; shall be issued on a date to be designated;, and shall
be in the form and executed in the manner prescribed in this
Resolution; all as permitted and required by Section 53853 of
the Act; and
WHEREAS, the County Board, in reliance on a determination
by the District, has found and determined that said , $4 , 500, 000
maximum principal amount of Notes to be issued by the County
Board in fiscal year 1991-1992 , when added to the interest
payable thereon, does not exceed eighty-five percent (85%) of
the estimated amount of the uncollected taxes, income, revenue
(including but not limited to revenue from state and federal
governments) , cash receipts and other moneys of the 'District
which will be available for the payment of the Notes and
interest thereon, as required by Section 53858 of the Act; and
WHEREAS, the Notes will not be outstanding after a period
ending twelve months after the date on which such Notes are
issued and will not be issued in an amount greater than the
maximum anticipated cumulative cash flow deficit to be financed
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by the anticipated tax or other revenue sources for the period
for which such taxes or other revenues are anticipated and
during which such Notes are outstanding, all as provided in
Section 1 . 103-14(c) of the Income Tax Regulations of the United
States Treasury;
WHEREAS, pursuant to Section 265(b) (3) of the Internal
Revenue Code of 1986, as amended (the "Code" ) , under certain
circumstances, certain obligations the interest on which is
exempt from federal income tax under Section 103 of the Code
may be designated by the issuer thereof as "qualified
tax-exempt obligations, " thereby allowing certain financial
institutions that are holders of such qualified tax-exempt
obligations to deduct for federal income tax purposes a portion
of such institution' s interest expense that is allocable to
such qualified tax-exempt obligations, all as determined in
accordance with Sections 265 and 291 of the Code;
WHEREAS, the District Board hereby represents that :
(1) the Notes authorized by this Resolution are not
private activity bonds within the meaning of Section 141 of the
Code;
(2) the District, together with all of its subordinate
entities, has heretofore issued no obligations (other than
those obligations .described in Paragraph (4) below) in calendar
year 1991 the interest on which is exempt from federal income
tax under Section 103 of the Code;
(3) the District reasonably anticipates that it, together
with its subordinate entities, will issue during the remainder
of calendar year 1991 obligations (other than those obligations
described in Paragraph (4) below) the interest on which is
exempt from federal income tax under Section 103 of the Code
which, when aggregated with all obligations described in
Paragraph (2) above, will not exceed an aggregate .principal
amount of $10,.000, 000; and
(4) notwithstanding Paragraphs (2) and (3) above, the
District and its subordinate entities may have issued in
calendar year 1991 and may continue to issue during ,the
remainder of calendar year 1991 private activity bonds other
than qualified 501(c) (3) bonds as defined in. Section 145 of the
Code; and
WHEREAS, the District Board wishes to designate the Notes
as "qualified tax-exempt obligations" within the meaning of
Section 265(b) (3) of the Code;
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NOW, THEREFORE, the Board of Supervisors of the County of
Contra Costa hereby resolves as follows :
Section 1. Authorization of Issuance of Notes • Terms
Thereof . The County Board hereby determines to and shall issue
in the name of the District, an amount not to exceed $4 , 500,000
principal amount of notes under Sections 53850 et seq. of the
Act, designated "Antioch Unified School District, County of
Contra Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" ; to be numbered 1 (and consecutively upward
in order of issuance if more than one Note is registered) ; to
be in the denominations of $5, 000, or integral multiples
thereof, as determined by the underwriter (as referred to
herein) ; to be dated the date of delivery thereof; to mature
(without option of prior redemption) 364 days from said date of
delivery (or 359 days computed on a 30-day month/360-day year
basis) or, if such date is . not a day on which banks in New York
or California are open for business, on the last day prior to
such date; and to bear interest, payable at maturity and
computed on a 30-day month/360-day year basis, at the rate or
rates determined at the time of sale thereof, but not in excess
of eight percent (8%) per annum. Both the principal of and
interest on the Notes shall be payable, only upon surrender
thereof, in lawful money of the United States of America at the
principal office of the Treasurer-Tax Collector of the County
(the "Treasurer") which is hereby designated to be the paying
agent on the Notes (in such capacity, the "Paying Agent" ) .
Section 2 . Form of Notes . The Notes shall be issued in
registered form and shall be substantially in. the form and
substance set forth in Exhibit B attached hereto and by
reference incorporated herein, the blanks in said form to be
filled in with appropriate words and figures . The Notes shall
be initially registered in the name of "Cede & Co . " as nominee
of The Depository Trust Company, and shall be evidenced by one
note in the full principal amount of the Notes . The Depository
Trust Company, New York, New York is hereby appointed
depository for the Notes . Registered ownership may not
thereafter be transferred except as set forth in Section 4
hereof . There shall be simultaneously delivered with each Note
the legal opinion of Brown & Wood respecting the validity of
said Notes and, immediately following such legal opinion, a
certificate executed with the facsimile signature of the
Chairperson of the County Board (the "County Chairperson" ) ,
said certificate to be in substantially the following form:
I HEREBY CERTIFY that the foregoing is a true and correct
copy of the legal opinion regarding the Notes therein
described that was manually signed by Brown & Wood, and was
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dated as of the date of delivery of and payment for said
Notes .
[Facsimile Signaturel
Chairperson, Board of Supervisors
Section 3 . Transfer and Exchange of Notes . Subject to the
provisions of Section 4 hereof, the registration of any Note
may, in accordance with its terms, be transferred, upon the
registration books kept by the Paying Agent for such purpose,
by the person in whose name it is registered, in person or by
his or her duly authorized attorney, upon surrender of such
Note for cancellation, accompanied by delivery of a written
instrument of transfer, duly executed in a form approved by the
Paying Agent .
Whenever any Note or Notes shall be surrendered for
registration or transfer, the Paying Agent shall execute and
deliver a new Note or Notes , for a like aggregate principal
amount . The Paying Agent shall require the Note owner
requesting such registration of transfer to pay any tax or
other governmental charge required to be paid with respect to
such transfer . The County may require the owner requesting
such registration of transfer to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent with respect to such
registration of transfer . The Paying Agent may treat the
registered owner of any Note as the absolute owner thereof for
all purposes whatsoever in accordance with this resolution, and
the Paying Agent shall not be affected by any notice to the
contrary.
Subject to the provisions of Section 4 hereof, Notes may be
exchanged at the office of the Paying Agent in Martinez,
California for a like aggregate principal amount of Notes in
other authorized denominations . The Paying Agent shall require
the payment by the Note owner requesting such exchange of any
tax or other governmental charge required to be paid with
respect to such exchange. The District may require the owner
requesting such exchange to pay such additional reasonable
charge as may be necessary to cover customary expenses incurred
and fees charged by the Paying Agent or the District with
respect to such exchange.
Section 4 . Use of Depository. (1) The Notes shall be
initially registered as provided in Section 2 hereof .
Registered ownership of the Notes , or any portion thereof , may
not thereafter be transferred except :
(i) To any successor of Cede & Co . , as nominee
of The Depository Trust Company, or its nominee, or to
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3012005/2
any substitute depository designated pursuant to
clause (ii) of this Section 4 (a "substitute
depository") ; provided, that any successor of Cede &
Co. , as nominee of The Depository Trust Company or a
substitute depository, shall be qualified under any
applicable laws to provide the services proposed to be
provided by it;
(ii) To any substitute depository not objected to
by the Paying Agent, upon (1) the resignation of The
Depository Trust Company or its successor (or any
substitute depository or its successor) from its
functions as depository, or (2) a determination by the
District to substitute another depository for The
Depository Trust Company (or its successor) because
The Depository Trust Company or its successor (or any
substitute depository or its successor) is no longer
able to carry out its functions ,as depository;
Provided, that any such substitute depository shall be
qualified under any applicable laws to provide the
services proposed to be provided by it; or
(iii) To any person as provided below, upon
(1) the resignation of The Depository Trust Company or
its successor (or substitute depository or
successor) from its functions as depository, or (2) a
determination by the District to remove The Depository
Trust Company or its successor (or any substitute
depository or its successor) from its functions as
depository.
(2) In the case of any transfer pursuant to
clause (i) or clause (ii) of subsection (1) of this
Section 4 , upon receipt of the outstanding Notes by the
Paying Agent, together with a request of the District to
the Paying Agent, a new Note shall be executed and
delivered in the aggregate principal amount of the Notes
registered in the name of such successor or such substitute
depository, or their nominees; as the case may be, all as
specified in such request of the District . In the case of
any transfer pursuant to clause (iii) of subsection ( 1) of
this subparagraph (d) , upon receipt of the outstanding
Notes by the Paying Agent together with a request of the
District to the Paying Agent, new Notes shall be executed
and delivered in such denominations numbered in the manner
determined by the Paying Agent and registered in the names
of such persons as are requested in such a request of the
District; provided, the Paying Agent shall not be required
to deliver such new Notes within a period less than sixty
(60) days from the date of receipt of such a request of the
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3012005/2
District . Thereafter, Notes shall be transferred pursuant
to Section 3 hereof .
(3) The District and the Paying Agent shall be
entitled to treat the person in whose name any Note is
registered as the owner thereof for all purposes of this
resolution and any applicable laws, notwithstanding any
notice to the contrary received by the Paying Agent or the
District; and the District and the Paying Agent shall have
no responsibility for transmitting payments to,
communication with, notifying, or otherwise dealing with
any beneficial owners of the Notes and neither the District
nor the Paying Agent will have any responsibility or
obligations, legal or otherwise, to the beneficial owners
or to any other party, including The Depository Trust
Company or its successor (or substitute depository or its
successor) , except for the Owner of any Notes .
(4) So long as the outstanding Notes are registered
in the name of Cede & Co . or its registered assigns, the
District and the Paying Agent shall cooperate with Cede- &
Co . , as sole registered Owner, or its registered assigns in
effecting payment of the principal of and interest on the
Notes by arranging for payment in such manner that funds
for such payments are properly identified and are made
immediately available on the date they are due.
Section 5 . Deposit of Note Proceeds . The moneys so
borrowed shall be deposited in the General Fund of the District .
Section 6 . Payment of Notes .
(A) Source of Payment . The principal amount of the Notes,
together with the interest thereon, shall be payable from
taxes, income, revenue, cash receipts and other moneys which
are received by the District during fiscal year 1991-1992 and
which are available therefor . The Notes shall be a general
obligation of the District, and to the extent the Notes are not
paid from the Pledged Revenues defined below, the Notes shall
be paid with interest thereon from any other moneys of the
District lawfully available therefor, as provided in the
District Resolution and by law.
(B) Pledged Revenues . As security for the payment of the
principal of and interest on the Notes , as provided in the
District Resolution, the District has pledged an amount equal
to fifty percent (500) of the principal amount of the Notes
from the unrestricted revenues .received by the District in the
month ending December 31, 1991; and an amount equal to fifty
percent (50%) of the principal amount, of the Notes from the
7
3012005/2
unrestricted revenues received by the District in the month
ending April 30, 1992 ; plus an amount sufficient to pay
interest on the Notes, from unrestricted revenues received by
the- District in the month ending May 31, 1992 (such pledged
amounts being hereinafter called the "Pledged Revenues" ) . The
term "unrestricted revenues" shall mean taxes, income, revenue,
cash receipts, and other money of the District as provided in
Section 53856 of the Act, which are intended as receipts for
the general fund of the District and which are generally
available for the payment of current expenses and other
obligations of the District .
The principal of the Notes and the interest thereon shall
be a first lien and charge against and shall be payable from
the first moneys received by the District from such Pledged
Revenues as provided by law.
In the event that there are insufficient unrestricted
revenues received by the District to permit the deposit into
the County investment pool and credited to the Repayment Fund,
as hereinafter defined, of the full amount of Pledged Revenues
, to be deposited from unrestricted revenues in any month, then
the amount of such deficiency shall be satisfied and made up
from any other moneys of the District lawfully available for
the repayment of the Notes and the interest thereon.
(C) Deposit of Pledged Revenues in Repayment Fund. The
Pledged Revenues shall be held by the Treasurer in a special
fund designated as the "Antioch Unified School District, County
of Contra Costa, State of California, 1991 Tax and Revenue
Anticipation Notes Repayment Fund" (herein called the
"Repayment Fund") and applied as directed in this Resolution.
Any moneys placed in the Repayment Fund shall be for the
benefit of the holders of the Notes; and until the Notes and
all interest thereon are paid or until provision has been made
for the payment of the Notes at maturity with interest to
maturity, the ,moneys in the Repayment Fund shall be applied
only for the purposes for which the Repayment Fund is created.
(D) Disbursement and Investment of Moneys in Repayment
Fund. From the date this Resolution takes effect, all Pledged
Revenues shall, when received, be deposited with the County and
accounted for in the Repayment Fund. After such date as the
amount of Pledged Revenues deposited in the Repayment Fund
shall be sufficient to pay in full the principal of and
interest. on the Notes, when due, any moneys in excess of such
amount remaining in or accruing to the Repayment Fund shall be
transferred to the general fund of the District upon the
request of the District . On the maturity date of the Notes ,
the moneys in the Repayment Fund shall be used, to the extent
necessary, to pay the principal of and interest on the Notes .
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3012005/2
Moneys in the Repayment Fund, to the greatest extent
possible, shall be invested at the request of the District in
investment securities by the Treasurer, as permitted by
applicable California law, as it is now in effect and as it may
be amended, modified or supplemented from time to time. To the
extent that moneys invested or held by the County are subject
to arbitrage rebate, neither the County nor any officer or
employee of the County shall assume hereunder or under the
provisions of any rebate certificate any duty or obligation to
make the actual calculations of arbitrage rebate liability of
the District, or to pay any such rebate or any penalties in
regard thereto if the District miscalculates or fails to pay or
cause such rebate or such penalties to be paid.
Section 7. Execution of Notes . The Treasurer, or a
designated deputy thereof, is hereby authorized to sign the
Notes manually or by facsimile signature, and the County
Chairperson is hereby authorized to sign the Notes manually or
by facsimile signature and the Clerk of the County Board (the
"Clerk" ) is hereby authorized to countersign the Notes manually
or by facsimile signature, provided that at least one of the
foregoing shall sign manually, and said Clerk is hereby
authorized to affix the seal of the County Board thereto by
facsimile impression thereof, and said officers are hereby
authorized to cause the blank spaces thereof to be filled in as
may be appropriate.
Section 8 . Sale of the Notes . The Notes may be sold on a
competitive or negotiated basis . If the Notes are sold at
public sale, such sale shall be at the time and place and upon
the terms provided in the Notice of Sale of the Notes, which
Notice is substantially in the form attached hereto as
Exhibit C. Sealed bids for the purchase of the Notes shall be
received by the County Board at the time and place set forth in
said Notice of Sale and the Treasurer is authorized to
distribute copies of said Notice. Further, the Treasurer is
authorized to accept the lowest bid so long as the aggregate
principal of Notes does not exceed $4, 500, 000 and the interest
rate does not exceed 8% per annum. If. the Notes are sold on a
negotiated basis, the District shall request the Treasurer to
execute a Contract of Purchase substantially in the form on
file with the Clerk of this Board with an underwriter to be
designated by either the Superintendent or Assistant
Superintendent, Business Services of the District; provided
that the aggregate principal amount of the Notes does not
exceed $4 , 500, 000 and the interest rate does not exceed 8% ' per
annum.
Section 9 . Authorization of Preliminary Official Statement
and Official Statement . Kelling, Northcross & Nobriga, Inc . ,
9
3012005/2
the financial advisor to the District is hereby authorized to
prepare a Preliminary Official Statement and an Official
Statement relating to the Notes; to be used in connection with
the offering and sale of the Notes . The Superintendent or the
Assistant Superintendent, Business Services of the District,
are each hereby authorized and requested to execute and deliver
the Official Statement .
Section 10 . Delivery of Notes . The proper officers of the
County Board are hereby authorized and directed to deliver the
Notes to the successful bidder . All actions heretofore taken
by the officers and agents of the County Board with respect to
the sale and issuance of the Notes are hereby approved,
confirmed and ratified, and the officers of the County Board
are hereby authorized and directed, for and in the name and on
behalf of the County Board, to do any and all things and take
any and all actions and execute and deliver any and all
certificates, agreements and other documents, which they, or
any of them, may deem necessary or advisable in order to
consummate the lawful issuance and delivery of the Notes in
accordance with this Resolution and resolutions heretofore
adopted by the County and District Boards .
Section 11 . Further Actions Authorized. It is hereby
covenanted that the County, 'and its appropriate officials, have
duly taken all proceedings necessary to be taken by them, and
will take any additional proceedings necessary to be taken by
them, for the levy, collection and enforcement of the secured
property taxes pledged under the District Resolution in
accordance with the law and for carrying out the provisions of
the District Resolution and of this Resolution.
Section 12 . Recitals . All the recitals in this Resolution
above are true and correct and this County Board so finds,
determines and represents .
Section 13 . Designation as Oualified Tax-Exempt
Obligation. As provided in the District Resolution, the Notes
have been designated as "qualified tax-exempt obligations"
within the meaning of Section 265(b) (3) of the Code.
Section 14 . Action Re Qualified Tax-Exempt Obligation.
Appropriate officials of the County Board and the Finance
Director are hereby authorized and directed to take such other
actions as may be necessary to assist the District in
designating such Notes as "qualified tax-exempt obligations, "
including, if either deemed necessary or appropriate, placing a
legend to such effect on the form of Note in such form as
either deemed necessary or appropriate .
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3012005/2
PASSED AND ADOPTED by the Board of Supervisors of the
County of Contra Costa this 4th day of June, 1991, by the
following vote:
AYES: Supervisors . Schroder, Torlakson, Powers
NOES: Mone
ABSENT• Supervisors Fanden, McPeak
By
Chairperson, Board of
Supervisors
phB Batchdw,CIst of the Board of
Attest : SuprAmn aW County Administrator
Deputy
Clerk, Board of Supervisors
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EXHIBIT B
ANTIOCH UNIFIED SCHOOL DISTRICT
COUNTY OF CONTRA COSTA
STATE OF CALIFORNIA
1991 TAX AND REVENUE ANTICIPATION NOTE
Registered No . $
Registered Owner :
FOR VALUE RECEIVED, Antioch Unified School District (the
"District") , County of Contra Costa, State of California,
acknowledges itself indebted to and promises to pay the
Registered Owner hereof, at the principal office
of the principal sum of
DOLLARS ($ )
in lawful money of the United States of America, on
1992 , together with interest thereon at the rate of
PERCENT ( %)
per annum in like lawful money of the United States of America
from the date hereof until payment in full of said principal
SUM. Both the principal of and interest on this Note shall be
payable only upon surrender of this Note as the same shall fall
due; provided, however, no interest shall be payable for any
period after maturity during which the holder hereof fails to
properly present this Note for payment .
It is hereby certified, recited and declared that this Note
is one of an authorized issue of Notes in the aggregate
principal amount of Dollars
($ ) , all of like date, tenor and effect, made,
executed and given pursuant to and by authority of a resolution
of the Board of Supervisors of the County of Contra Costa duly
passed and adopted on , 1991 and a Resolution of
the Board of Education of the District duly passed and adopted
on , 1991 under and by authority of Article 7 . 6
(commencing with Section 53850) of Chapter 4 , Part 1,
Division 2 , Title 5, California Government Code, and that all
acts, conditions and things required to exist, happen and be
performed precedent to and in the issuance of this Note have
existed, happened and been performed in regular and due time,
form and manner as required by law, and that this Note,
together with all other indebtedness and obligations of the
B-1
r
District, does not exceed any limit prescribed by the
Constitution or statutes of the State of California .
The principal amount of the Notes , together with the
interest thereon, shall be payable from taxes, income, revenue,
cash receipts and other moneys that are received by the
District during fiscal year 1991-1992 . As security for the
payment of the principal of and interest on the Notes the
District has pledged an amount equal to fifty percent (500) of
the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending
December 31, 1991; and an amount equal to fifty percent (50%)
of the principal amount of the Notes from the unrestricted
revenues received by the District in the month ending April 30,
1992 ; plus an amount sufficient to pay interest on the Notes
from the unrestricted revenues of the District to be received
in the month ending May 31, 1992 (such pledged amounts being
hereinafter called the "Pledged Revenues" ) ; and the principal
of the Notes and the interest thereon shall constitute a first
lien and charge thereon and shall be payable from the Pledged
Revenues, and to the extent not so paid shall be paid from any
other moneys of the District lawfully available therefor .
IN WITNESS WHEREOF, the County of Contra Costa has caused
this Note to be executed by the Chairperson of its Board of
Supervisors and by the by facsimile
signature and countersigned by the by
manual signature and has caused a facsimile of its official
seal to be printed hereon this day of 1991.
COUNTY OF CONTRA COSTA
By
Chairperson, Board of
Supervisors
By
Treasurer-Tax Collector
(SEAL)
Countersigned
By
Clerk of the Board
B-2
QUALIFIED TAX-EXEMPT OBLIGATION
This Note has been determined to be a "qualified tax-exempt
obligation" within the meaning of Section 265(b) (3) of the
Internal Revenue Code of 1986, as amended, by resolution of the
District .
B-3
EXHIBIT C
COMPOSITE OFFICIAL NOTICE OF SALE
$
ACALANES UNION HIGH SCHOOL DISTRICT
$
ANTIOCH UNIFIED SCHOOL DISTRICT
$
MARTINEZ UNIFIED SCHOOL DISTRICT
$
PITTSBURG UNIFIED SCHOOL DISTRICT
1991 TAX AND REVENUE ANTICIPATION NOTES
NOTICE IS HEREBY GIVEN that separate sealed proposals will
be received by the Treasurer-Tax Collector of the County of
Contra Costa, at the office of Kelling, Northcross & Nobriga,
Inc. , 595 Market Street, Suite 1350, San Francisco, California
94105 on
June 10, 1991
at the hour of 10 : 00 A.M. for the purchase of each issue of Tax
and Revenue Anticipation Notes (individually and collectively,
the "Notes" ) , more particularly described below. In the event
that the sale has not been awarded by the designated time, bids
will be received on each successive Tuesday or the same time
and location until such time as the sale is awarded.
ISSUE AND DENOMINATION: The Notes are separate and
distinct issues, designated as follows :
"Acalanes Union High School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
"Antioch Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
$
C-1
"Martinez Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
"Pittsburg Unified School District, County of Contra
Costa, State of California, 1991 Tax and Revenue
Anticipation Notes" in the principal amount of
Each issue of Notes will consist of non-registrable, negotiable
notes, without coupons .
FULL BOOK ENTRY: The Notes, when delivered, will be
registered in the name of Cede & Co . , as nominee of. The
Depository Trust Company, New York, New York. The Depository
Trust Company ( "DTC") will act as securities depository of the
Notes . Individual purchases will be made in book-entry form
only, in the principal amount of $5, 000 and integral multiples
thereof . Purchasers will not receive certificates representing
their interest in the Notes purchased.
DATE AND MATURITIES: Each issue of Notes will be dated the
date of delivery, and will all mature on July 1, 1992 .
INTEREST RATE: The maximum interest rate bid may not
exceed eight percent (8%) per annum, payable upon. maturity of
each issue of Notes . Bidders must specify the rate of interest
which each issue of Notes bid upon will bear, provided that
(i) each issue of Notes bid upon will bear the same interest
rate; (ii) no Note will bear more than one rate of interest;
(iii) each issue of Notes bid upon will bear interest from its
date to its stated maturity at the interest rate specified in
the bid; and (iv) the interest rate specified must be in a
multiple of 1/1000 of one percent (1%) . Interest will be
computed on a 360-day year basis .
QUALIFIED OBLIGATION: The Notes of Antioch Unified School
District, Martinez Unified School District and Pittsburg
Unified School District, have been designated by the respective
Districts as "qualified tax-exempt obligations" within the
meaning of Section 265(b) (3) (B) of the Internal Revenue Code of
1986 , as amended.
The Notes of Acalanes Union High School District have not
been designated as "qualified tax-exempt obligations . "
REDEMPTION: The Notes are not subject to call and
redemption prior to maturity.
C-2
PAYMENT: Both principal and interest are payable in lawful
money of the United States of America at the office of the
Treasurer-Tax Collector of the County of Contra Costa in
Martinez, California, as Paying Agent, to DTC, which will in
turn remit such principal and interest to the beneficial owners
of the Notes through DTC' s Participants, as described in the
Preliminary Official Statement .
PURPOSE OF ISSUES: The Notes are separate and distinct
issues to be issued by the Board of Supervisors (the "Board")
of the County of Contra Costa, in the name and on behalf of the
Acalanes Union High School District, in the name of and on
behalf of the Antioch Unified School District and in the name
of and on behalf of the Martinez Unified School District and in
the name of and on behalf of the Pittsburg Unified School
District, (each individually, a "District") and each issue of
Notes is authorized pursuant to the provisions of Section
53850-53858 of the Government Code of the State of California
and the provisions of a resolution of said Board, for any
purpose for which each District is authorized to expend moneys .
SECURITY: The Notes are obligations of the District on
whose behalf such Notes are issued and as security for the
payment of the principal of and interest on the Notes, such
District has pledged an amount equal to fifty percent (50%) of
the principal amount of such District ' s issue of Notes from the
unrestricted revenues received by such District in the month
ending December 31, 1991; and an amount equal to fifty percent
(50%) of the principal amount of such District ' s issue of Notes
from the unrestricted revenues received by such District in the
month ending April 30, 1992; and an amount equal to the
interest on the Notes from the unrestricted revenues received
by such District in the month ending May 31, 1992 . By statute,
the Notes of each issue are declared to be a general obligation
of the District on whose behalf such Notes are issued and to
the extent not paid from such pledged moneys will be paid with
the interest thereon from any other moneys of such District
lawfully available therefor . Under provisions of the
California Constitution, each District is generally prohibited
from incurring any indebtedness or liability exceeding in any
year the income and revenue provided for such year, without the
assent of two-thirds of its qualified electors voting at an
election called for such purpose.
No District has covenanted to pay any other District ' s
unpaid obligation on the Notes, or to make up any deficiency in
the payment to the holders of the Notes which occurs by reason
of another District ' s nonpayment of moneys required to be
deposited into the repayment fund.
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TERMS OF SALE
HIGHEST BID: Each Districts issue of Notes will be
individually awarded on the basis of the lowest net interest
rate including premium offered in the proposals for such issue
of Notes . No bid for less than par and accrued interest (which
interest will be computed on a 360-day year basis) will be
accepted. In the event two or more bids setting forth
identical interest rates and premium per dollar principal
amount, if any, the Board reserves the right to exercise its
own discretion and judgment in making the award and may award
the Notes on a pro rata basis in such denominations as the
Board shall determine.
RIGHT OF REJECTION: The Board reserves the •right, in its
discretion, to reject any and all bids and to waive any
irregularity or informality in any bid.
PROMPT AWARD: The County of Contra Costa Treasurer-Tax
Collector will take action awarding each issue of Notes or
rejecting all bids for each issue of Notes not later than
26 hours after the expiration of the time herein prescribed for
the receipt of proposals unless such time of award is waived by
the successful bidder.
DELIVERY AND PAYMENT: It is estimated that delivery of the
Notes will' be made to the successful bidder at the office at
Brown & Wood, 555 California Street, San Francisco, California
94104 , on July 2 , 1991 or in New York City at the option of the
successful bidder . Payment of the purchase price ( less the
amount of the bid check mentioned below) must be made in the
funds immediately available to the Treasurer-Tax Collector of
the County of Contra Costa . The- cost of registering the Notes
in the name of Cede & Co . , as nominee of DTC will be borne by
the respective Districts .
RIGHT OF CANCELLATION: The successful bidder will have the
right at its option to terminate its obligation to purchase
Notes if the Board fails to execute such Notes on behalf of the
District and tender the same for delivery within 30 days from
the date of sale thereof, and in such event, the successful
bidder will be entitled to the return of the deposit
accompanying its bid.
FORM OF BID: Bids for each issue of Notes must be for all
of the Notes of such issue, and must be for not less than the
par value thereof . Each bid, together with the bidder ' s check,
must be enclosed in a sealed envelope addressed to the Board of
Supervisors of the County of Contra Costa at the office of
Kelling, Northcross & Nobriga, Inc . , 595 Market Street, Suite
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1350, San Francisco, California 94105, not later than
10 : 00 A.M. on said date of sale, and endorsed "Proposal for
[Acalanes Union High] , [Antioch Unified] , [Martinez Unified] ,
or [Pittsburg Unified] School District 1991 Tax and Revenue
Anticipation Notes . " Each bid must be in accordance with the
terms and conditions set forth herein, and must be submitted
on, or in substantial accordance with, proposal forms provided ,
by the Board.
ESTIMATE OF NET INTEREST COST: Bidders are requested (but
not required) to supply an estimate of the total net interest
cost to the District on the basis of their respective bids,
which shall be considered as informative only and not binding
on either the bidder or the Board.
CUSIP NUMBERS: CUSIP numbers will be applied for and will
be printed on the Notes and the cost of service bureau
assignment will be purchaser ' s responsibility. Any delay,
error or omission with respect thereto will not constitute
cause for the purchaser to refuse to accept delivery of and pay
for the Notes .
BID CHECK: A certified or cashier' s check drawn on a
responsible bank or trust company in the amount of one percent
( A) of the principal amount of the issue of Notes bid upon,
payable to the order of the Treasurer-Tax Collector of the
County of Contra Costa, must accompany each proposal as a
guaranty that the bidder, if successful , will accept and pay
for the Notes in accordance with the terms of its bid. The
check accompanying any accepted proposal shall be applied to
the purchase price or, if such proposal is accepted but not
performed, unless such failure of performance shall be caused
by any act or omission of the Board, it shall be cashed and the
proceeds retained by the Treasurer-Tax Collector of the County
of Contra Costa. The check accompanying each unaccepted
proposal will be returned promptly. A separate bid check is
required for each issue of Notes bid upon.
CHANGE IN TAX EXEMPT STATUS At any time before the Notes
are tendered for delivery, any successful bidder may disaffirm
and withdraw its proposal if the interest received by private
holders form notes of the same type and character shall be
determined to be includable in gross income under present
federal income tax laws , either by a ruling of the Internal
Revenue Service or by a decision of any federal court, or shall
be determined to be includable in gross income by the terms of
any federal income tax law enacted subsequent to the date of
this notice.
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CERTIFICATION OF REOFFERING PRICE: The successful bidder
shall be required, as a condition to the delivery of the Notes
by the Board, to certify to the Board and the District in
writing the price at which a substantial amount of the Notes
were sold to the public, in the form and substance satisfactory
to the Board, the District and Bond Counsel .
CLOSING PAPERS; LEGAL OPINION: Each proposal will be
conditioned upon the respective District furnishing to each
successful bidder, without charge, concurrently with payment
for delivery of each issue of Notes, the following closing
papers, each dated the date of such delivery:
(a) The opinion ' of Brown & Wood, San Francisco,
California, Bond Counsel, approving the validity of the
Notes and stating that under existing statutes, regulations
and court decisions, interest on the Notes is exempt from
all present State of California personal income taxes and,
assuming compliance with certain covenants and
requirements, is excludable from gross income for federal
income tax purposes (although such interest may be subject
to the corporate, alternative minimum and environmental
taxes) , a copy of which opinion (certified by the official
in whose office the original is filed) will be printed on
each Note without cost to the purchaser;
(b) A certificate of the District that on the basis
of the facts, estimates and circumstances in existence on
the date of issue, it is not expected that the proceeds of
the Notes will be used in a manner that would cause the
Notes to be arbitrage bonds;
(c) A certificate of the County of Contra Costa
County Counsel that there is no litigation threatened or
pending affecting the validity of the Notes;
(d) A certificate of an appropriate District
official, acting on behalf of the District solely in his
official , and not in his personal capacity, that at the
time of the sale of the Notes and at all times subsequent
thereto up to and including the time of the delivery of the
Notes to the initial purchasers thereof the Official
Statement of the District pertaining to said Notes did not,
and does not, contain any untrue statement of a material
fact or omit to state a material fact necessary to make the
statement therein, in light of the circumstances under
which they were made, not misleading;
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(e) The signature certificate of the officials of the
County of Contra Costa, showing that they have signed the
Notes and impressed the seal of the Board thereon, and that
they were respectively duly authorized to execute the same;
and
(f) The receipt of the Treasurer-Tax Collector of the
County of Contra Costa that the purchase price of the
Notes, including interest accrued to the date of delivery
thereof has been received by him.
INFORMATION AVAILABLE: Requests for information concerning
the District should be addressed to:
Alfred P. Lomeli
Treasurer-Tax Collector
Contra Costa County
625 Court Street
Martinez, California 94533
(415) 646-4080
Jon B. Armstrong
Kelling, Northcross & Nobriga, Inc.
5776 Stoneridge Mall Road, Suite 380
Pleasanton, California 94588
(415) 734-0755
The Preliminary Official Statement, together with any
supplements thereto, shall be in form "deemed final" by the
District for purposes of SEC Rule 15c2-12, but is subject to
revision, amendment and completion in a . final official
statement. Up to 50 copies for each $1 million of Notes
purchased of the Official Statement will be furnished without
cost, and any additional copies will be furnished at the
expense of the bidder. The successful bidder or bidders shall
be responsible for the payment of any fees required to be paid
to the California Debt Advisory Commission and to the
Depository Trust Company in connection with the Notes .
Dated: 1991
TREASURER-TAX COLLECTOR OF THE
COUNTY OF CONTRA COSTA
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