HomeMy WebLinkAboutMINUTES - 06271995 - C87 RESOLUTION NO.9 5/2 9 2
Dated.-June 273% 1995
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF CONTRA
COSTA, STATE OF CALIFORNIA, AUTHORIZING THE ISSUANCE AND SALE OF
BONDS OF THE MARTINEZ UNIFIED SCHOOL DISTRICT, PRESCRIBING THE TERMS
OF SALE OF SAID BONDS, APPROVING FORMS OF OFFICIAL NOTICE OF SALE AND
OF NOTICE OF INTENTION TO SELL BONDS, DELEGATING TO THE COUNTY
TREASURER AUTHORIZATION TO AWARD BID FOR SAID BONDS, AND
AUTHORIZING EXECUTION OF NECESSARY CERTIFICATES.
WHEREAS, the Board of Trustees of Martinez Unified School District of Contra
Costa County, California (herein called the "District"), duly called and an election was regularly
held in the District on June 6, 1995, at which the following proposition was submitted to the
electors of the district:
"Shall the Martinez Unified School District issue
bonds in the amount of $23,000,000 to renovate
Martinez Junior High School, modernize, construct,
acquire or replace school facilities, improve school
grounds, finance sewer and drainage projects for
school property, and provide for long term capital
improvements district-wide, which bonds shall bear
interest at a rate not to exceed the legal limit, and
shall mature no later than August 2014, the final
maturity of the District's currently outstanding
bonds?";
and
WHEREAS, more than two-thirds of the votes cast on said proposition were in
favor of issuing said bonds; and
WHEREAS, the Board of Trustees of the District has requested this Board of
Supervisors to offer for sale on July 26, 1995, a series of general obligation bonds of said issue
and to designate such bonds the "Martinez Unified School District General Obligation Bonds,
Election of 1995, Series 1995" in an aggregate principal amount not to exceed $12,000,000,
according to the terms and in the manner set forth in a resolution duly adopted by the Board of
Trustees of the District on June 22, 1995, a certified copy of which has been filed with the Clerk
of this Board of Supervisors; and
SF2-45348.1 41876-1-JMH-06/13/95
WHEREAS, this Board of Supervisors has determined that it is necessary and
desirable that bonds of said authorized issue be issued and sold for the purposes for which
authorized and on the terms and conditions set forth in said resolution of the Board of Trustees
of the District; and
WHEREAS, there have been submitted and are on file with the Clerk of this
Board of Supervisors proposed forms of an Official Notice of Sale of Bonds and a Notice of
Intention to Sell Bonds, with respect to not to exceed $12,000,000 aggregate principal amount
of Martinez Unified School District General Obligation Bonds, Election of 1995, Series 1995,
proposed to be sold;
NOW,THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS
OF CONTRA COSTA COUNTY THAT:
Section 1. All of the above recitals are true and correct.
Section 2. The resolution of the Board of Trustees of the District adopted on June
22, 1995, is incorporated herein by reference and all of the provisions thereof are made a part
hereof and shall be applicable to the bonds herein provided for, except as only herein otherwise
expressly provided.
Section 3. This Board of Supervisors hereby authorizes, on behalf of the Martinez
Unified School District, the sale on July 26, 1995 (or on such other date as shall be determined
by the Treasurer-Tax Collector of the County (the "County Treasurer") upon consultation with
the Superintendent of the District and the financial advisor to the District, so long as such date
is not later than August 10, 1995), of not to exceed $12,000,000 aggregate principal amount of
general obligation bonds of the District, and designates said bonds to be sold as the "Martinez
Unified School District General Obligation Bonds, Election of 1995, Series 1995" (the "Series
1995 Bonds" or the "Bonds"). The Bonds shall be issued in the principal amounts and maturing
in the years as further described herein.
Section 4. The Bonds shall be issued in fully registered form without coupons,
in the denomination of$5,000 or any integral multiple thereof(provided that no Bond shall have
principal maturing on more than one principal maturity date). The Bonds shall be dated
August 1, 1995, shall bear interest at a rate not to exceed twelve per cent (12%)per annum (the
exact rate or rates to be determined upon sale of the Series 1995 Bonds), such interest to be
payable commencing on February 1, 1996, and semiannually thereafter on February 1 and
August 1 of each year.
The Series 1995 Bonds shall be initially registered in the name of"Cede & Co.,"
as nominee of The Depository Trust Company, New York, New York, and shall be initially
issued in the principal amounts set forth in the Official Notice of Sale. The Depository Trust
Company is hereby appointed depository for the Series 1995 Bonds and registered ownership of
the Series 1995 :Bonds may not thereafter be transferred except as provided in Section 8 hereof.
SF2-45348.1 2 41876-1-JMH-06/13/95'
The Bonds shall mature, or shall be subject to mandatory sinking fund
redemption, as described in Section 5(b) hereof, on August 1 of each of the years from and
including 1996 to and including 2014, in principal amounts to be determined by the County
Treasurer upon receipt of a recommendation of the District as to such amounts, prior to
distribution of the Official Notice of Sale. The maturity dates and principal amounts of each
maturity of the Bonds, and the aggregate principal amount of the Bonds, shall be designated by
the County Treasurer in a Certificate of Award to be completed upon the sale of the Bonds.
The principal of the Bonds shall be payable in lawful money of the United States
of America to the owner thereof, upon the surrender thereof at the principal corporate trust
office of Bank of America National Trust and Savings Association (herein called the "Paying
Agent"), in Los Angeles, California, or at such other place or places as the Paying Agent shall
designate. The interest on the Bonds shall be payable in like lawful money to the person whose
name appears on the bond registration books of the Paying Agent as the owner thereof as of the
close of business on the fifteenth day of the month immediately preceding an interest payment
date, whether or not such day is a business day.
Each Bond shall bear interest from the interest payment date next preceding the
date of authentication thereof unless it is authenticated as of a date during the period from the
sixteenth day of the month next preceding any interest payment date to the interest payment date,
inclusive, in which event it shall bear interest from such interest payment date; or, unless it is
authenticated on or before the fifteenth day of the month preceding the first interest payment
date, in which event such Bond shall bear interest from the date thereof; provided, however, that
if, at the time of authentication of any Bond, interest is in default on outstanding Bonds of said
series, such Bond shall bear interest from the interest payment date to which interest has
previously been paid or made available for payment on the outstanding Bonds. Payment of the
interest on any Bond shall be made to the person appearing on the bond registration books of
the Paying Agent as the owner thereof, such interest to be paid by check or draft mailed to such
owner at such owner's address as it appears on such registration books or at such address as the
owner may have filed with the. Paying Agent for that purpose, or upon written request of the
owner of Bonds aggregating not less than $1,000,000 in principal amount, given no later than
the fifteenth day of the month immediately preceding the applicable interest payment date, by
wire transfer in immediately available funds at an account maintained in the United States at
such wire address as such owner shall specify in its written request. So long as Cede & Co. or
its registered assigns shall be the registered owner of the Series 1995 Bonds, payment shall be
made by wire transfer as provided in Section 8(d) hereof.
Only such of the Series 1995 Bonds as shall bear a certificate of authentication
and registration in the form hereinafter recited, executed by the Paying Agent, shall be valid or
obligatory for any purpose or entitled to the benefits of this Resolution, and such certificate of
the Paying Agent shall be conclusive evidence that the Series 1995 Bonds so authenticated have
been duly authenticated and delivered hereunder and are entitled to the benefits of this
Resolution.
The Paying Agent shall assign each Bond authenticated and registered by it a
distinctive letter, or number, or letter and number, and shall maintain a record thereof which
SF245348.2 3 41876-1-JMH-06/15/95
shall be available to the District and the County of Contra Costa (herein called the "County")
for inspection.
Section 5. (a) Optional Redemption: Bonds maturing on or before August 1,
2003, are not subject to optional redemption prior to their respective stated maturity dates.
Bonds maturing on and after August 1, 2004, are subject to redemption prior to their respective
stated maturity dates, at the option of the District, from any source of available funds, as a
whole on any date, or in part on any interest payment date, on or after August 1, 2003. If less
than all of the Bonds are called for redemption, such Bonds shall be redeemed in inverse order
of maturities, and if less than all of the Bonds of any given maturity are called for redemption,
the portions of such Bonds of a given maturity to be redeemed shall be determined by lot.
Bonds shall be redeemed at the following redemption prices (expressed as a
percentage of the principal amount of the Bonds called for redemption), together with interest
accrued thereon to the date of redemption:
Redemption Date Redemption Price
August 1, 20C13 through July 31, 2004 102%
August 1, 2004 through July 31, 2005 101
August 1, 2005 and thereafter 100
The "redemption date" is that date on which the Bonds which are called are to be presented for
redemption.
(b) Mandatory Sinking Fund Redemption: The Bonds shall also be subject to
mandatory sinking fund redemption (in accordance with specifications to be contained the
Official Notice of- Sale, described in Section 13 hereof) as shall be determined by the County
Treasurer upon consultation with the Superintendent of the District and the financial advisor to
the District, and the terms of such redemption shall be designated in the Certificate of Award
to be completed upon the sale of the Bonds.
The Auditor-Controller of the County is hereby authorized to create such sinking
funds or accounts for the Bonds as shall be necessary to accomplish the purposes of this section.
(c) Notice of any redemption of Bonds shall be mailed, postage prepaid, not less
than thirty (30) nor more than sixty (60) days prior to the redemption date (i) to the respective
registered owners thereof at the addresses appearing on the bond registration books, (ii) to the
Securities Depositories specified below, and (iii) to one or more of the Information Services
specified below. Notice of redemption to the Securities Depositories and the Information
Services shall be given by registered mail. Each notice of redemption shall (a) state the date of
such notice; (b) state the name of the Bonds and the date of issue of the Bonds; (c) state the
redemption date; (d) state the redemption price; (e) state the dates of maturity of the Bonds to
be redeemed, and, if less than all of the Bonds of any such maturity are to be redeemed, the
distinctive numbers of the Bonds of such maturity to be redeemed, and in the case of Bonds
SF2-45348.1 4 41876-1-IMH-06/13/95
redeemed in part only, the respective portions of the principal amount thereof to be redeemed;
(f) state the CUSIP number, if any, of each maturity of Bonds to be redeemed; (g) require that
such Bonds be surrendered by the owners at the principal corporate trust office of the Paying
Agent in Los Angeles, California, or at any other place or places designated by the Paying
Agent; and (h) give notice that further interest on such Bonds will not accrue after the designated
redemption date.
For the purposes of this Section 5, Information Services shall mean:
Financial Information, Inc.'s
"Daily Called Bond Service,"
30 Montgomery Street, 10th Floor
Jersey City, New Jersey 07302
Attention: Editor
Kenny Information Services'
"Called Bond Service"
55 Broad Street, 28th Floor
New York, New York 10004
Moody's "Municipal and Government"
99 Church Street, 8th Floor
New York, New York 10007-2796
Attention: Municipal News Reports
Standard and Poor's "Called Bond Record"
25 :Broadway, 3rd Floor
New York, New York 10004
Securities Depositories shall mean:
The Depository Trust Company
711 Stewart Avenue
Garden City, New York 11530
Fax: (516) 227-4039 or 4190
Midwest Securities Trust Company
Capital Structures - Call Notification
440 South LaSalle Street
Chicago, Illinois 60605
Fax: (312) 663-2343
Philadelphia Depository Trust Company
Reorganization Division
1900 Market Street
Philadelphia, Pennsylvania 19103
SF2A5348.1 5 41876-1-JMH-06/13/95
Attention: Bond Department
Fax: (215) 496-5058
or, in accordance with then-current guidelines of the Securities and Exchange Commission, such
other addresses and/or such other services providing information with respect to called bonds
and/or such other securities depositories, or no such services or depositories, as the District may
designate in a certificate delivered to the County Treasurer.
The actual receipt by the owner of any Bond (hereinafter referred to as
"Bondowner") or by any Information Service or Securities Depository of notice of such
redemption shall not be a condition precedent to redemption, and failure to receive such notice,
or any defect in the notice mailed, shall not affect the validity of the proceedings for the
redemption of such Bonds or the cessation of interest on the date fixed for redemption.
The notice or notices required for redemption shall be given by the Paying Agent,
upon the written request of the District or the County. A certificate of the Paying Agent, the
District or the County Treasurer that notice of call and redemption has been given to
Bondowners and to the appropriate Securities Depositories and Information Services as herein
provided shall be conclusive as against all parties, and no Bondowner whose Bond is called for
redemption may object thereto or object to the cessation of interest on the fixed redemption date
by any claim or showing that said Bondowner failed to actually receive such notice of call and
redemption.
(d) The Series 1995 Bonds shall be paid from the Interest and Sinking Fund of
the District as provided for in Section 15146 of the Education Code.
Prior to the time the Board of Trustees of the District determines to call and
redeem any of the Series 1995 Bonds there shall be established in the accounting records of the
District a Redemption Fund to be described or known as the "Martinez Unified School District
General Obligation Bonds, Election of 1995, Series 1995, Redemption Fund," and prior to or
on the redemption date there shall be set aside in said Redemption Fund monies available for
the purpose and sufficient to redeem, at the premiums payable as in this resolution provided, the
Bonds designated in said notice of redemption. Monies set aside in said Redemption Fund shall
be applied on or after the redemption date solely for payment of principal of and premium, if
any, on the Bonds to be redeemed upon presentation and surrender of such Bonds. Any interest
due on or prior to the redemption date shall be paid from the Interest and Sinking Fund provided
for herein. If, after all of the Series 1995 Bonds have been redeemed and cancelled or paid and
cancelled, there are; monies remaining in said Redemption Fund or held by the Paying Agent in
trust for the payment of redemption price of the Series 1995 Bonds, said monies shall be
transferred to the Interest and Sinking Fund of the District for payment of any outstanding
general obligation bonds of the District; provided, however, that if said monies are part of the
proceeds of bonds of the District, said monies shall be transferred to the fund created for the
payment of principal of and interest on such bonds. If no general obligation bonds of the
District are at such time outstanding, said monies shall be transferred to the general fund of the
District in the manner provided by law.
SF2.45348.1 6 41876-1-JMH-06/13/95
When notice of redemption has been given, substantially as provided for herein,
and when the amount necessary for the payment of the principal of and premium, if any, on the
Series 1995 Bonds to be redeemed is set aside for such purposes in the Redemption Fund, as
provided for herein, the Series 1995 Bonds designated for redemption shall become due and
payable on the date fixed for redemption thereof, and upon presentation and surrender of said
Bonds at the place specified in the notice of redemption, such Bonds shall be redeemed and paid
at said redemption price out of the Redemption Fund, and no interest will accrue on such Bonds
called for redemption after the redemption date specified in such notice, and the owners of said
Bonds so called for redemption after such redemption date shall look for the payment of such
Bonds and the premium thereon only to said Redemption Fund. All Bonds redeemed shall be
cancelled forthwith by the Paying Agent or the County Treasurer and shall not be reissued.
(e) If at any time the District shall pay or cause to be paid or there shall
otherwise be paid to the Bondowners of all outstanding Bonds all of the principal, interest and
premium, if any, represented by Series 1995 Bonds at the times and in the manner provided
herein and in the Series 1995 Bonds, or as otherwise provided by law, then such Bondowners
shall cease to be entitled to the obligation of the District as provided in Section 12 hereof, and
such obligation and all agreements and covenants of the District and of the County Treasurer to
such Bondowners hereunder and under the Series 1995 Bonds shall thereupon be satisfied and
discharged and shall terminate, except only that the District shall remain liable for payment of
all principal, interest and premium, if any, represented by the Series 1995 Bonds, but only out
of monies on deposit in the Interest and Sinking Fund or otherwise held in trust for such
payment; and provided further, however, that the provisions of Section 6 hereof shall apply in
all events.
Section 6. Any money held in any fund created pursuant to this Resolution, or
by the Paying Agent in trust, for the payment of the principal of, redemption premium, if any,
or interest on the Series 1995 Bonds and remaining unclaimed for two years after the principal
of all of the Series :1995 Bonds has become due and payable (whether by maturity or upon prior
redemption) shall be transferred to the Interest and Sinking Fund of the District for payment of
any outstanding general obligation bonds of the District; or, if no general obligation bonds of
the District are at such time outstanding, said monies shall be transferred to the general fund of
the District in the manner provided by law.
Section 7. The Series 1995 Bonds shall be signed by the manual or facsimile
signatures of the Chair of this Board of Supervisors and of the County Treasurer, and
countersigned by the manual or facsimile signature of the Clerk of this Board of Supervisors or
by a deputy of said Clerk or of the County Treasurer, and the official seal of this Board of
Supervisors shall be printed or impressed upon each of the Bonds. The Bonds shall be
authenticated by a manual signature of a duly authorized officer of the Paying Agent.
Section 8. (a) The Series 1995 Bonds shall be initially issued and registered as
provided in Section 4. Registered ownership of the Series 1995 Bonds, or any portion thereof,
may not thereafter be transferred except:
SF245348.1 7 41876-1-JMH-06/13/95
(i) To any successor of Cede & Co., as nominee of The Depository Tnist
Company, or its nominee, or to any substitute depository designated pursuant to clause
(ii) of this section (a "substitute depository"); provided, that any successor of Cede &
Co., as nominee of The Depository Trust Company or substitute depository, shall be
qualified under any applicable laws to provide the services proposed to be provided by
i
O t;
(ii) To any substitute depository not objected to by the County, 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 County 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 County to remove The Depository
Trust Company or its successor (or any substitute depository or its successor) from its
functions as depository.
(b) In the case of any transfer pursuant to clause (i) or clause (ii) of
subsection (a) hereof, upon receipt of the outstanding Bonds by the Paying Agent, together with
a written request of the County, a new Bond for each maturity shall be executed and delivered
in the aggregate principal amount of the Series 1995 Bonds then outstanding, and registered in
the name of such successor or such substitute depository, or their nominees, as the case may be,
all as specified in such written request of the County. In the case of any transfer pursuant to
clause (iii) of subsection (a) hereof, upon receipt of the outstanding Bonds by the Paying Agent
together with a written request of the County, new Bonds 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 written request of the County, subject to the
limitations of Section 4 and the receipt of such a written request of the County, and thereafter,
the Series 1995 Bonds shall be transferred pursuant to the provisions set forth in this resolution;
provided, that the Paying Agent shall not be required to deliver such new Bonds within fewer
than sixty (60) days.
(c) The County and the Paying Agent shall be entitled to treat the person in
whose name any Bond is registered as the owner thereof, notwithstanding any notice to the
contrary received by the Paying Agent or the County; and the County and the Paying Agent shall
have no responsibility for transmitting payments to, communicating with, notifying, or otherwise
dealing with, any beneficial owners of the Series 1995 Bonds. Neither the County nor the
Paying Agent shall have any responsibility or obligation, 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 as the holder of any Bonds.
SF2-45348.1 8 41876-1-JMH-06/13/95
(d) So long as the outstanding Bonds are registered in the name of Cede&Co.
or its registered assigns, the County and the Paying Agent shall cooperate with Cede & Co. or
its registered assigns, as sole holder, in effecting payment of the principal and interest on the
Series 1995 Bonds 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.
(e) Any Bond may, in accordance with its terms, be transferred upon the
books required to be kept pursuant to the provisions of Section 10 hereof, by the person in
whose name it is registered, in person or by the duly authorized attorney of such person, upon
surrender of such]Bond to the Paying Agent for cancellation, accompanied by delivery of a duly
executed written instrument of transfer in a form approved by the Paying Agent.
Whenever any Bond or Bonds shall be surrendered for transfer, the designated
County officials shall execute (as provided in Section 7) and the Paying Agent shall authenticate
and deliver a new Bond or Bonds of the same series and maturity, for a like aggregate principal
amount. The Paying Agent shall require the payment by the Bondowner requesting any such
transfer of any tax or other governmental charge required to be paid with respect to such
transfer.
No transfer of a Series 1995 Bond shall be required to be made by the Paying
Agent during the period from the sixteenth day of the month next preceding any interest payment
date, or date for which such Series 1995 Bond has been selected for redemption in whole or in
part, to and including such interest payment date or redemption date.
Section 9. Series 1995 Bonds may be exchanged at the office of the Paying Agent
for a like aggregate: principal amount of Bonds of other authorized denominations of the same
series and maturity. The Paying Agent shall require the payment by the Bondowner requesting
such exchange of any tax or other governmental charge required to be paid with respect to such
exchange.
No exchange.of Bonds shall be required to be made by the Paying Agent during
the period from the sixteenth day of the month next preceding any interest payment date, or date
for which such Bond has been selected for redemption in whole or in part, to and including such
interest payment date or redemption date.
Section 10. The Paying Agent will keep or cause to be kept, at its principal
corporate trust office sufficient books for the registration and transfer of the Series 1995 Bonds,
which shall at all gimes be open to inspection by the District and the County, and, upon
presentation for such purpose, the Paying Agent shall, under such reasonable regulations as it
may prescribe, register or transfer or cause to be registered or transferred on said books, Bonds
as hereinbefore provided.
Section 11. The Series 1995 Bonds, including the Paying Agent's certificate of
authentication and registration and the form of assignment to appear thereon, shall be in
substantially the fonn attached hereto as Exhibit A, with necessary or appropriate variations,
omissions and insertions as permitted or required by this Resolution; provided, that if a portion
SF2.45348.1 9 41876-1-JMH-06/13/95
of the text of any Bond is printed on the reverse of the Bond, the following legend shall be
printed on the Bond: "THE PROVISIONS OF THIS BOND ARE CONTINUED ON THE
REVERSE HEREOF AND SUCH CONTINUED PROVISIONS SHALL FOR ALL PURPOSES
HAVE THE SATAE EFFECT AS THOUGH FULLY SET FORTH AT THIS PLACE."
Section 12. The Series 1995 Bonds represent the general obligation solely of the
District. The money for the redemption of the Series 1995 Bonds and payment of principal of
and interest on the: Series 1995 Bonds shall be raised by taxation upon all taxable property in the
District and provision shall be made for the levy and collection of such taxes in the manner
provided by law and for such redemption and payment out of the Interest and Sinking Fund of
the District.
Section 13. The form of proposed Official Notice of Sale inviting bids for the
Series 1995 Bonds, in substantially the form on file with the Clerk of this Board of Supervisors,
is hereby approved and adopted as the Official Notice of Sale inviting bids for the Series 1995
Bonds. The County Treasurer is hereby authorized to complete the Official Notice of Sale by
inserting therein the maturity schedules for the Series 1995 Bonds before the distribution of the
Official Notice of Sale, and proposals shall be received on behalf of the Clerk of this Board of
Supervisors on July 26, 1995 (or on such other date as shall be determined by the County
Treasurer, so long as such date is not later than August 10, 1995), at the hour and place
designated in said Official Notice of Sale by the County Treasurer upon consultation with the
Superintendent of the District and the financial advisor to the District, for the purchase of the
Series 1995 Bonds for cash at not less than their principal amount plus accrued interest thereon
to the date of their delivery, and at the interest rate or rates to be designated in the bid. Kelling,
Northcross & Nobriga, 1333 Broadway, Suite 1000, Oakland, financial advisor to the District,
is hereby authorized and directed to cause to be mailed to prospective bidders for the Series
1995 Bonds copies of said Official Notice of Sale, subject to such corrections, revisions or
additions hereafter deemed necessary by the Superintendent of the District and as may be
acceptable to the County Counsel of the County.
Section 14. (a) The form of proposed Notice of Intention to Sell Bonds in
substantially the form on file with the Clerk of this Board of Supervisors is hereby approved and
adopted as the Notice of Intention to Sell Bonds, and the Clerk of this Board of Supervisors is
hereby authorized and directed to cause said Notice of Intention to Sell Bonds, subject to such
corrections, revisions or additions as may be deemed necessary by the Superintendent of the
District and as may be acceptable to the County Counsel of the County, to be published once
at least fifteen days before the date of sale in THE BOND BUYER and to be published,
beginning on a date: no later than the date fourteen days prior to the date of sale, once a week,
on the same day of each week, for at least two weeks in the Contra Costa Times, a newspaper
of general circulation published in the County.
(b) The County Treasurer or his designee, as delegate of this Board of
Supervisors, is hereby authorized to accept the best responsive bid for the Series 1995 Bonds,
so long as such bid shall provide a true interest cost (as described in the Official Notice of Sale)
to the District of not to exceed ten percent (10%) per annum and the price to be paid for the
Bonds shall not be less than the par value thereof, or to reject all bids; and if such true interest
SF2-45348.1 10 41876-1-JMH-06/13/95
cost and price are acceptable to the County Treasurer, the County Treasurer or his designee is
hereby authorized and directed, on behalf of the District and the County, to award the sale of
the Series 1995 Bonds to the maker of the best responsive bid, all as provided in the Official
Notice of Sale.
Section 15. The District has represented that it shall not take any action, or fail
to take any action, if such action or failure to take such action would adversely affect the
exclusion from gross income of the interest payable on the.Series 1995 Bonds under Section 103
of the Internal Revenue Code of 1986, as amended (the "Code"). Without limiting the generality
of the foregoing, the District has covenanted that it will comply with the requirements of the Tax
Certificate of the: District with respect to the Series 1995 Bonds, to be entered into by the
District as of the date of issuance of the Series 1995 Bonds, and further stipulates that such
representation and covenant shall survive payment in full or defeasance of the Series 1995
Bonds.
Section 16. The Chair of this Board of Supervisors, the Clerk of this Board of
Supervisors, the County Auditor/Controller and the,County Treasurer and the designees of any
of them, shall be and they are hereby authorized and directed to execute and deliver any and all
certificates and representations, approved as to form by County Counsel, including signature
certificates, no-litigation certificates, and other certificates proposed to be distributed in
connection with the sale of the Series 1995 Bonds, necessary and desirable to accomplish the
transactions set forth above.
SF2.45348.1 1 1 41876-1-JMx-06/13/95
Section 17. This resolution shall take effect from and after its adoption.
PASSED AND ADOPTED this _27th day of June 1995, by the
following vote:
AYES: Supervisors Rogers , Smith, DeSaulnier , Torlakson, Bishop
NOES: None
ABSENT: None
Chair of the Board of Supervisors
ATTE.M., Df%iX Batchelor, Clerk of the
' Boar'd' of Supervisors and
:iCatin tT_Admini s trator
Deputy
,0 the Boa;-d.of.S ervisors
and-County Administrator
SF2-45348.1 12 41876-1-JMH-06/13/95
EXHIBIT A
[Form of Series.1995 Bond]
Number Amount
R $
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF CONTRA COSTA
MARTINEZ UNIFIED SCHOOL DISTRICT
GENERAL OBLIGATION BONDS, ELECTION OF 1995, SERIES 1995
Interest Rate Maturity Date Dated as of CUSIP NO.
% August 1, August 1, 1995
Registered Owner: CEDE & CO.
Principal Sum: _ DOLLARS
Martinez Unified School District of Contra Costa County, State of California
(herein called the "District"), acknowledges itself indebted to and promises to pay to the
registered owner identified above or registered assigns, on the maturity date set forth above,
the principal sum specified above in lawful money of the United States of America, and to pay
interest thereon in like lawful money from the interest payment date next preceding the date
of authentication of this bond (unless this bond is authenticated as of a date during the period
from the sixteenth day of the month next preceding any interest payment date to such interest
payment date, inclusive, in which event it shall bear interest from such interest payment date,
or unless this bond is authenticated on or before January 15, 1996, in which event it shall bear
interest from the date hereof) at the interest rate per annum stated above, payable on
February 1, 1996, and semiannually thereafter on February 1 and August 1 in each year, until
payment of said principal sum. The principal hereof is payable to the registered owner hereof
upon the surrender hereof at the principal corporate trust office of Bank of America National
Trust and Savings Association (herein called the "Paying Agent"), the paying agent/registrar
and transfer agent of the District. The interest hereon is payable to the person whose name
SF2-35643.2
appears on the bond registration books of the Paying Agent as the registered owner hereof as
of the close of business on the fifteenth day of the month immediately preceding an interest
payment date, whether or not such day is a business day, such interest to be paid by check or
draft mailed to such registered owner at the owner's address as it appears on such registration
books, or at such other address filed with the Paying Agent for that purpose. Upon written
request, given no later than the fifteenth day of the month immediately preceding an interest
payment date, of the owner of Bonds (hereinafter defined) aggregating at least $1,000,000 in
principal amount, interest will be paid by wire transfer to an account maintained in the United
States as specified by the owner in such request. So long as Cede & Co. or its registered
assigns shall be the registered owner of this bond, payment shall be made by wire transfer as
provided in the Resolution hereinafter described.
This bond is one of a duly authorized issue of bonds of like tenor (except for
such variations, if any, as may be required to designate varying series, numbers,
denominations, interest rates, maturities and redemption provisions), amounting in the
aggregate to $ , and designated as "Martinez Unified School District General
Obligation Bonds, ]Election of 1995, Series 1995" (the "Bonds"). The Bonds were authorized
by a vote of more than two-thirds of the voters voting at an election duly and legally called,
held and conducted in the District on June 6, 1995. The Bonds are issued and sold by the
Board of Supervisors of Contra Costa County, State of California, pursuant to and in strict
conformity with the provisions of the Constitution and laws of said State, and of a resolution
(herein called the "Resolution") adopted by said Board of Supervisors on June 27, 1995.
The Bonds are issuable as fully registered bonds without coupons in the
denomination of $5,000 or any integral multiple thereof, provided that no Bond shall have
principal maturing on more than one principal maturity date. Subject to the limitations and
conditions and upon payment of the charges, if any, as provided in the Resolution, Bonds may
be exchanged for a like aggregate principal amount of Bonds of the same series and maturity
of other authorized denominations.
This bond is transferable by the registered owner hereof, in person or by
attorney duly authorized in writing, at said office of the Paying Agent, 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 bond. Upon such transfer, a new Bond or Bonds of
authorized denomination or denominations for the same series and same aggregate principal
amount will be issued to the transferee in exchange herefor.
The District and the Paying Agent may treat the registered owner hereof as the
absolute owner hereof for all purposes, and the District and the Paying Agent shall not be
affected by any notice to the contrary.
Bonds maturing on or before August 1, 2003, are not subject to optional
redemption prior to their respective stated maturity dates. Bonds maturing on and after August
1, 2004, are subject to redemption prior to their respective stated maturity dates, at the option
of the District, from any source of available funds, as a whole on any date, or in part on any
SF2-35643.2 A-2
interest payment date, on or after August 1, 2003. If less than all of the Bonds are called for
redemption, such Bonds shall be redeemed in inverse order of maturities, and if less than all
of the Bonds of any given maturity are called for redemption, the portions of such Bonds of
a given maturity to be redeemed shall be determined by lot.
Bonds redeemed at the option of the District shall be redeemed at the following
redemption prices (expressed as a percentage of the principal amount of the Bonds called for
redemption), together with interest accrued thereon to the date of redemption:
Redemption Date Redemption Price
August 1, 2003 through July 31, 2004 102%
August 1, 2004 through July 31, 2005 101
August 1, 200:5 and thereafter 100
Notice of redemption shall be given by mail not less than thirty (30) nor more
than sixty (60) days prior to the redemption date to the registered owner hereof, but neither
failure to receive such notice or any defect in the notice mailed shall affect the sufficiency of
the proceedings for redemption or the cessation of interest on the date fixed for redemption.
If this bond is called for redemption and payment is duly provided therefor,
interest shall cease to accrue hereon from and after the date fixed for redemption.
[Bonds maturing on August 1, , are subject to redemption prior to maturity
in part, by lot, at the principal amount thereof plus accrued interest to the date of redemption,
without premium, from mandatory sinking account payments on August 1, , and on each
August 1 thereafter to and including August 1, , in the amounts and subject to the terms
and conditions set: forth in the Resolution.]
In reliance upon the representations, certifications and declarations of the
District, the Board of Supervisors hereby certifies and declares that the total amount of
indebtedness of the District, including the amount of this bond, is within the limit provided by
law, that all acts, conditions and things required by law to be done or performed precedent to
and in the issuance of this bond have been done and performed in strict conformity with the
laws authorizing the issuance of this bond, that this bond is in substantially the form prescribed
by order of the Board of Supervisors duly made and entered on its minutes and shall represent
an obligation solely of the District payable out of the interest and sinking fund of the District,
and the money for the redemption of this bond, and the payment of principal of and interest
thereon, shall be raised by taxation upon the taxable property of the District.
This bond shall not be,entitled to any benefit under the Resolution, or become
valid or obligatory for any purpose, until the certificate of authentication and registration
hereon endorsed shall have been signed by the Paying Agent.
SF2-35643.2 A-3
IN WITNESS WHHREOF the Board of Supervisors of Contra Costa County has
caused this bond to be signed by its Chair and by the Treasurer-Tax Collector of the County,
to be countersigned by the Clerk of said Board or the deputy of the Clerk or the deputy of the
Treasurer-Tax Collector, and the seal of said Board to be placed hereon, as of the date set
forth above.
Chair of the Board of
Supervisors of Contra Costa County
[SEAL]
Treasurer-Tax Collector of
Contra Costa County
Countersigned:
[Title]
Sn-35643.2 A-4
• [FORM OF PAYING AGENT'S CERTIFICATE OF AUTHENTICATION
AND REGISTRATION TO APPEAR ON BONDS]
This is one of the Bonds described in the within-mentioned Resolution and
authenticated and registered on , 1995.
Bank of America National Trust and Savings
Association, Los Angeles, California, as Paying
Agent/Registrar and Transfer Agent
By
Authorized Officer
Unless this certificate is presented by an authorized representative of The
Depository Trust Company, a New York corporation ("DTC"), to Issuer or its agent for
registration of transfer, exchange, or payment, and any certificate issued is registered in the
name of Cede & Co. or in such other name as is requested by an authorized representative of
DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an
authorized representative of DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as
the registered owner hereof, Cede & Co., has an interest herein.
[STATEMENT OF INSURANCE]
SF2-35643.2 A-5
[FORM OF ASSIGNMENT]
For value received the undersigned do(es) hereby sell, assign and transfer unto
the within-mentioned registered bond and hereby irrevocably
constitute(s)and appoint(s) attorney, to transfer the same on the books
of the Paying Agent/Registrar and Transfer Agent with full power of substitution in the
premises.
Dated:
Signature Guarantee:
NOTE: The signature(s) on this Assignment must
correspond with the name(s) as written on the face
of the within registered bond in every particular, y
without alteration or enlargement or any change
whatsoever.
SF2-35643.2 A-6
OFFICIAL NOTICE OF SALE
$12,000,000*
MARTINEZ UNIFIED SCHOOL DISTRICT
GENERAL OBLIGATION BONDS
(County of Contra Costa, State of California)
ELECTION OF 1995, SERIES 1995
NOTICE IS HEREBY GIVEN that telecommunicated proposals as well as sealed
proposals will be received on behalf of the Board of Supervisors of Contra Costa County, State
of California, at the offices of Orrick, Herrington & Sutcliffe, 400 Sansome Street, San
Francisco, CA 94111, Second Floor Conference Room (telephone (415) _ ; facsimile
telephone (415) 773-5759) on
Wednesday, July 26, 1995
at 10:00 A.M. California time for the purchase of $12,000,000* principal amount of bonds of
Martinez Unified School District of Contra Costa County (herein called the "District"),
designated "Martinez Unified School District General Obligation Bonds, Election of 1995, Series
1995" (herein called.the "Bonds") more particularly described below. If no legal bid is received
for the Bonds on July 26, 1995, at the time and place specified, bids will be received for the
Bonds at the same place and time on succeeding Wednesdays until the Bonds are awarded. The
Bonds are part of an issue of$23,000,000 authorized at an election held in the District on June
6, 1995, and are issued under and pursuant to the provisions of Sections 15000 and following
of the Education Code of the State of California and all laws amendatory thereof or supplemental
thereto, and pursuant to the provisions of a resolution of the Board of Trustees of the District,
adopted on June 22, 1995 and a resolution of the Board of Supervisors of Contra Costa County,
adopted on June 27, 1995 (collectively, the "Resolution"), copies of which will be furnished to
any interested bidder upon request.
ISSUE: The bonds shall be designated the "Martinez Unified School District
General Obligation Bonds, Election of 1995, Series 1995" (the "Bonds"). The Bonds will be
issued in the principal amount of$12,000,000*, as fully registered Bonds, all dated August 1,
1995, first interest payable on February 1, 1996, and maturing on August 1 in each of the years,
and in the amounts,, as shown below, in the denomination of $5,000 or any integral multiple
thereof; provided, that no Bond shall have principal maturing on more than one principal
payment date.
* Approximate; subject to adjustment.
SF2-35643.2
Maturity Date Principal Maturity Date Principal
(August 1) Amount (August t 1) Amount
Serial Bonds and/or Term Bonds: Bidders shall designate which maturities of
Bonds shown in the table above shall be issued as serial Bonds and which as term Bonds. No
serial Bonds may mature following the commencement of the first mandatory sinking fund
redemption. The principal amount of the mandatory sinking fund redemption in each year shall
be equal to the principal amount shown in the table above to mature in such year.
BOOK-ENTRY ONLY: The Bonds shall be initially issued and registered in the
name of "Cede & Co.," as nominee of The Depository Trust Company ("DTC"), New York,
New York, and shall be evidenced by a Bond or Bonds for each series, if more than one series
are issued, pursuant to requirements of DTC. DTC will act as securities depository for the
Bonds. Individual purchases will be made in book-entry form only, and individual purchasers
will not receive certificates representing their interests in the Bonds purchased. As of the date
of award of the Bonds, the successful bidder must either participate in DTC or must clear
through or maintain a custodial relationship with an entity that participates in DTC.
INTEREST RATE: The maximum interest rate coupon bid for the Bonds may
not exceed ten percent (10%). Interest is payable on February 1, 1996, and semiannually
thereafter on February 1 and August 1 of each year. Interest is calculated on the basis of a 30-
day month, 360-day year from the date of the Bonds. Bidders must specify the rate or rates of
interest which the Bonds hereby offered for sale shall bear. Bidders will be permitted to bid a
rate or rates of interest according to the following:
(i) no Bond shall bear an annual rate of interest more than 3% greater than
the rate borne by any other Bond;
(ii) the interest rate specified in any bid must be in a multiple of one-eighth
or one-twentieth of one per cent per annum and a zero rate of interest
cannot be specified;
SF2-35643.2 2
no Bond shall bear more than one rate of interest;
(iv) each Bond shall bear interest from its date to its stated maturity date at the
interest rate specified in the bid;
(v) all Bonds maturing at any one time shall bear the same rate of interest;
and
REDEMPTION: Optional Redemption: Bonds maturing on or before August 1,
2003, are not subject to redemption prior to their respective stated maturity dates. Bonds
maturing on and after August 1, 2004, are subject to redemption prior to their respective stated
maturity dates, at the option of the District, from any source of available funds, as a whole on
any date, or in part on any interest payment date on or after August 1, 2003. If less than all of
the Bonds are called for redemption, Bonds shall be redeemed in inverse order of maturities, and
if less than all of the Bonds of any given maturity are called for redemption, the portions of
Bonds of a given maturity to be redeemed shall be determined by lot. The Bonds shall be
redeemed at the following redemption prices (expressed as a percentage of the principal amount
of the Bonds called for redemption), together with interest accrued, if any, thereon to the date
of redemption:
Redemption Date Redemption Price
August 1, 2003 through July 31, 2004 102%
August 1, 2004 through July 31, 2005 101
August 1, 2005 and thereafter 100
Mandatory Sinking Fund Redemption: Term Bonds, if any, are further subject
to redemption prior to their respective stated maturity dates, from monies in the "Martinez
Unified School District General Obligation Bonds, Election of 1995, Series 1995 Mandatory
Sinking Fund", on August 1 of each year for which a mandatory sinking fund redemption is
specified by the successful bidder, by lot within any maturity if less than all of the Bonds of
such maturity are to be redeemed, upon payment of the principal amount thereof plus accrued
interest thereon to the date fixed for redemption, without premium, but only in amounts equal
to, and in accordance with, the schedule of the principal amounts of Bonds to be redeemed in
each such year from said Mandatory Sinking Fund.
PAYMENT: Principal is payable to the registered owners of the Bonds in lawful
money of the United States of America at the maturity or prior redemption of the Bonds upon
surrender of the Bonds at the principal corporate trust office of Bank of America National Trust
and Savings Association, the paying agent/registrar and transfer agent for the Bonds (the "Paying
Agent"), in Los Angeles, California, or at such other place as the Paying Agent shall specify.
Interest is payable in like lawful money to the person whose name appears on the bond
registration books of the Paying Agent as the registered owner hereof as of the close of business
SF2-35643.2 3
on the fifteenth day of the month immediately preceding an interest payment date, whether or
not such day is a business day, such interest to be paid by check or draft mailed to such
registered owner at the owner's address as it appears on such registration books; or upon written
request of the owner of Bonds aggregating not less than $1,000,000 in principal amount, given
no later than the fifteenth day of the month immediately preceding the applicable interest
payment date, interest shall be paid by wire transfer.
PURPOSE OF ISSUE: The Bonds are authorized by a vote of two-thirds of the
qualified voters of the District voting at a special bond election for the purpose of raising money
for authorized school purposes.
SECURITY: The Bonds represent the general obligation solely of the District,
and the Board of Supervisors of Contra Costa County has the power and is obligated to levy ad
valorem taxes for the payment of the Bonds and the interest thereon upon all property within the
District, subject to taxation by the District (except certain personal property, which is taxable
at limited rates), without limitation of rate or amount.
TAX EXEMPT STATUS: In the opinion of Orrick, Herrington & Sutcliffe, San
Francisco, California, based on existing statutes, regulations, rulings and court decisions, and
assuming, among other matters, compliance with certain covenants contained in the resolutions
providing for the issuance of the Bonds, the interest received by the owners.of the Bonds is
excluded from gross, income for federal income tax purposes under Section 103 of the Internal
Revenue Code of 1986 and is exempt from State of California personal income taxes. See the
discussion of Tax-Exempt Status in the Official Statement hereinafter referred to. In the event
that prior to the delivery of the Bonds (a) the income received by private holders from bonds
of the same type and character shall be declared to be includable in gross income (either at the
time of such declaration or at any future date) for purposes of federal income tax laws, either
by the terms of such laws or by ruling of a federal income tax authority or official which is
followed by the Internal Revenue Service, or by decision of any federal court, or (b) any federal
income tax law is adopted which will have a substantial adverse tax effect on holders of the
Bonds as such, the successful bidder may, at its option, prior to the tender of the Bonds by the
District, be relieved of its obligation to purchase the Bonds, and in such case the deposit
accompanying its bid will be returned. For purposes of the preceding sentence, interest will be
treated as excludable from gross income for federal income tax purposes whether or not it is
includable as an iter of tax preference for calculating alternative minimum taxes or otherwise
includable for purposes of calculating certain other tax liabilities.
LEGAL, OPINION: The legal opinion of Orrick, Herrington & Sutcliffe, San
Francisco, California, approving the validity of the Bonds, will be furnished to the successful
bidder upon delivery of the Bonds. Copies of said opinion will be filed with DTC and with the
Paying Agent.
SF2-35643.2 4
TERMS OF SALE
Highest Bid: The Bonds will be awarded to the responsible bidder submitting the
highest responsive bid, considering the interest rate or rates specified and the premium offered,
if any. The highest bid will be determined by deducting the amount of the premium bid (if any)
from the total amount of interest which the District would be required to pay from the date of
the Bonds to their :respective maturity dates (or mandatory term bond redemption dates) at the
interest rate or rates specified in the bid, and the award will be made on the basis of the lowest
net interest cost to the District. In the event that two or more bidders offer bids at the same
lowest net interest cost, the District will determine by lot which bidder will be awarded the
Bonds.
Ri&ht of Rejection: The Board of Supervisors of Contra Costa County 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 Treasurer or his designee will take action awarding the
Bonds or rejecting all bids not later than twenty-six (26) hours after the expiration of the time
herein prescribed for the receipt of the bids, unless such time of award is waived by the
successful bidder. Notice of the award will be given promptly to the successful bidder.
Delivery and Payment: Delivery of the Bonds through the facilities of DTC will
be made to the successful bidder in New York, New York, as soon as the Bonds can be
prepared, which it is estimated will be on or about August 8, 1995. Payment for the Bonds
must be made in funds immediately available in San Francisco, California, on the date of
delivery. Any expense of providing immediately available funds, whether by transfer of Federal
Reserve Bank funds or otherwise, shall be borne by the successful bidder. The cost of printing
the Bonds will be borne by the District.
Right of Cancellation: The successful bidder shall have the right, at its option,
to cancel its obligation to purchase the Bonds if the Bonds are not executed and tendered for
delivery within 60 days from the date of sale thereof, and in such event the successful bidder
shall be entitled to the return of its good faith deposit.
Form of Bid: Each bid must be for not less than all of the Bonds hereby offered
for sale and must be; for not less than the par value thereof, plus accrued interest, if any, to the
date of delivery, plus such premium as is specified in the bid, and no bid will be accepted which
contemplates the waiver of any interest or other concession by the bidder as a substitute for
payment in full of the purchase price. Each bid must be delivered by facsimile transmission,
as described below, or enclosed in a sealed envelope addressed to the Clerk of the Board of
Supervisors, County of Contra Costa, and received by 10:00 A.M. California time, Wednesday,
July 26, 1995, at the offices of Orrick, Herrington & Sutcliffe, 400 Sansome Street, San
Francisco, CA 9411.1, Second Floor Conference Room(telephone= ; facsimile telephone
(415) 773-5759). Each bid must be clearly marked "Proposal for Purchase of Martinez Unified
School District General Obligation Bonds, Election of 1995, Series 1995." Each bid must be
SF2-35643.2 5
in accordance with the terms and conditions set forth in this notice, and may (but need not) be
submitted on the bid form provided.
Neither the District, nor Contra Costa County, nor the District's financial advisor
will accept responsibility for inaccurate, illegible or delayed proposals submitted by facsimile
transmission, including illegibility due to garbled transmissions, delay due to engaged telephone
or telecommunication lines at the place of bid opening, and delay arising out of any bidder's
election to deliver its bid by means other than hand delivery.
Good Faith Deposit: A good faith deposit (the "Deposit") in the form of a
cashier's check in immediately available funds drawn on a bank or trust company transacting
business in the State of California, or a financial surety bond, in each case in the amount of 1%
of the principal amount of Bonds offered for sale, payable to the order of the Treasurer-Tax
Collector of the County of Contra Costa, is required with each bid to secure the District from
any loss resulting from the failure of the bidder to comply with the terms of its bid. If a check
is used, it must accompany the bid. If a financial surety bond is used, it must be issued by an
insurance company licensed to issue such a bond in the State of California, and such bond must
be submitted to the District's financial advisor, Kelling, Northcross & Nobriga, Attn:
, 1333 Broadway, Suite 1000, Oakland, Fax (415) 208-8282, prior to
opening of the bid.s. The financial surety bond must identify the bidder whose Deposit is
guaranteed by such financial surety bond, and the District assumes no responsibility for any
failure of a financial surety bond to list any bidder or to be received on a timely basis as
described in the preceding sentence. If the Bonds are awarded to a bidder submitting a financial
surety bond, then said successful bidder is required to submit its Deposit to the Treasurer in the
form of a cashier's check (meeting the requirements set forth above) or by wire transfer not later
than 3:00 p.m. on the next business day following the award. If such Deposit is not received
by that time, the financial surety bond shall be drawn by the Treasurer to satisfy the Deposit
requirement. Wiring instructions will be provided to the successful bidder.
The Treasurer does not endorse the use of a financial surety bond or any
particular financial surety provider. The Treasurer will accept a financial surety bond in lieu
of a cashier's check under the terms described herein solely as an accommodation to bidders,
and it is understood and agreed by each bidder using such a bond that the bidder must make its
own arrangements with the provider of the bond, including ensuring that evidence of the
financial surety bond is provided to the District's financial advisor.
No :interest will be paid upon the Deposit made by any bidder. Deposit checks
of all bidders (except the successful bidder) will be returned by the County promptly following
the award of the Bonds to the successful bidder. The Deposit of the successful bidder will,
immediately upon acceptance of its bid, become the property of the District to be held and
invested for the exclusive benefit of the District. The principal amount of such Deposit shall
be applied to the purchase price of the Bonds at the time of delivery thereof. If the sale of the
Bonds is cancelled or postponed, all sealed bids shall be returned unopened.
SF2-35643.2 6
If the:purchase price is not paid in full upon tender of the Bonds, the successful
bidder shall have no right in or to the Bonds or to the recovery of its Deposit, or to any
allowance or credit by reason of such Deposit, unless it shall appear that the Bonds would not
be validly issued if delivered to the successful bidder in the form and manner proposed. In the
event of nonpayment by the successful bidder, the amount of the Deposit shall be retained by
the District as and :for liquidated damages for such failure by the successful bidder, and such
retention shall constitute a full release and discharge of all claims by the District against the
successful bidder arising from such failure. The District's actual damages in such event may
be greater or may be less than the amount of the Deposit. Each bidder waives any right to claim
that the District's actual damages are less than such amount.
Statement of True Interest Cost(TIC): Each bidder is requested, but not required,
to state in its bid the total percentage True Interest Cost (TIC), which shall be considered as
informative only and not binding on either the bidder or the District.
Liti ition: There is no litigation pending concerning the validity of the Bonds,
the corporate existence of the District or the entitlement of the officers of Contra Costa County
to their respective offices, and the District will furnish to the successful bidder a no-litigation
certificate or certificates certifying the foregoing as of and at the time of the delivery of the
Bonds.
CUSIP Numbers and Other Fees: It is anticipated that CUSIP identification
numbers will be printed on the Bonds being delivered to DTC, but neither the failure to print
such number on any Bond nor any error with respect thereto shall constitute cause for a failure
or refusal by the successful bidder to accept delivery of and pay for the Bonds in accordance
with the terms and conditions of its bid. All expenses in relation to the printing of CUSIP
numbers on the Bonds shall be paid by the District, but the CUSIP Service Bureau charge for
the assignment of such numbers shall be paid by the successful bidder. The successful bidder
shall also be required to pay all fees required by The Depository Trust Company, New York,
New York, the Public Securities Association, the Municipal Securities Rulemaking Board and
any other similar entity imposing a fee in connection with the issuance of the Bonds.
California Debt Advisory Commission Fee: Attention of bidders is directed to
California Government Code Section 8856, which provides that the lead underwriter or the
purchaser of the Bonds shall be charged the California Debt Advisory Commission fee.
Certification of Reoffering_Prices: The successful bidder shall be required, as a
condition to delivery of the Bonds, to certify to the District in writing, in form and substance
satisfactory to the District and to Bond Counsel, that as of the date of award (i) the Bonds were
expected to be reoffered in a bona fide public offering and (ii) that a substantial amount of each
maturity of the Bonds was expected to be sold to the public.
Bond Insurance: The District intends to apply to for
a rating'on the Bonds. The Treasurer will accept bids which are based upon the issuance of a
municipal bond insurance policy for some or all of the Bonds by an insurer whose claims-paying
SF2-35643.2 7
ability is rated in the highest ratings category by Moody's Investors Service and Standard &
Poor's Ratings Group. However, bids shall not be conditioned upon the issuance of any such
policy. The District and the County will cooperate in any effort to qualify the Bonds for such
bond insurance. Neither the District nor the County makes any representation as to whether the
Bonds will qualify :for municipal bond insurance. Payment of any insurance premium and any
additional fees charged by any rating agency for rating insured Bonds, and satisfaction of any
conditions to the issuance of a municipal bond insurance policy, shall be the sole responsibility
of the bidder. In particular, the County will neither amend nor supplement the Resolution in
any way nor will it agree in advance of the sale of the Bonds to enter into any additional
agreements with respect to the provision of any such policy. FAILURE OF THE
INSURANCE PROVIDER TO ISSUE ITS POLICY SHALL NOT CONSTITUTE CAUSE
FOR A FAILURE OR REFUSAL BY THE SUCCESSFUL BIDDER TO ACCEPT
DELIVERY OF OR PAY FOR THE BONDS. The successful bidder must provide the District
with the municipal bond insurance commitment and information with respect to the municipal
bond insurance policy and the insurance provider for inclusion in the final Official Statement
within.two (2) business days following the award of the bid by the Treasurer. The District will
require a certificate; from the insurance provider substantially in the form attached hereto as
Exhibit A on or prior to the date of delivery of the Bonds, as well as an opinion of counsel to
the insurance provider regarding the enforceability of the-municipal bond insurance policy, in
form reasonably satisfactory to the District and the successful bidder.
Official Statement: The District has authorized the adoption of an official
statement relating to the Bonds. A copy of the Preliminary Official Statement will be furnished
upon request to Kelling, Northcross &Nobriga, 1333 Broadway, Suite 1000, Oakland, telephone
(415) 839-8200. The Preliminary Official Statement is in form "deemed final" by the issuer for
purposes of Securities and Exchange Commission Rule 15c2-12(b)(1), but is subject to revision,
amendment and completion in a final Official Statement. The District will furnish to the
successful bidder, at no expense to the successful bidder, up to copies of the final Official
Statement within seven (7) business days of the award date.
Certificate: The District will provide to the successful bidder for the Bonds a
certificate, signed by an official of the District, confirming to the successful bidder that, at the
time of the acceptance of the bid for the Bonds and at the time of delivery thereof, to the best
of the knowledge of said official, the Official Statement (except for information regarding DTC
and its book-entry only system, and except for information respecting a municipal bond
insurance policy with respect to the Bonds and the provider thereof, as to which no view shall
be expressed) does not contain any untrue statement of a material fact or omit to state any
material fact necessary in order to make the statements made therein, in the light of the
SF2-35643.2 8
circumstances under which they were made, not misleading, and that there has been no material
adverse change in the financial condition or affairs of the District which would make it
unreasonable for the purchaser of the Bonds to rely upon the Official Statement in connection
with the resale of the Bonds.
Dated: June 27, 1995.
/s/ Jeanne Maalio
Clerk of the Board of Supervisors of Contra Costa
County, California
V2-35643.2 9
EDIT A
CERTIFICATE OF BOND INSURER
The undersigned,the duly authorized and acting
of (the 'Bond Insurer"), hereby certifies on behalf of the Bond
Insurer as follows:
1. The statements contained in the Official Statement dated July 26, 1995 (the
"Official Statement"), relating to the Martinez Unified School District General Obligation Bonds,
Election of 1995, Series 1995 (the 'Bonds") under the captions , and
in Appendices and thereto, and on the cover page
thereof, insofar as such statements constitute descriptions or summaries of the Bond Insurer or
municipal bond insurance policy (the "Policy") of the Bond Insurer covering the Bonds, accurately
reflect and fairly present the information set forth therein, and do not contain any untrue statement
of a material fact or omit to state a material fact necessary to make the statements therein, in light
of the circumstances under which they are made, not misleading; and
2. The form of Policy set forth in Appendix of the Official Statement is
a true and complete copy of the form of Policy.
[NAME OF BOND INSURER]
By:
Title:
M-35643.2