Resolution Number OCWD NO. 4 72-6-26-20
I
RESOLUTION N0. 72-6-26-2
RESOLUTION OF THE BOARD OF DIRECTORS
OF ORANGE COUNTY WATERWORKS DISTRICT
N0. 4 PROVIDING FOR THE ISSUANCE AND
SALE OF GENERAL OBLIGATION BONDS OF
SAID DISTRICT IN THE AMOUNT OF $700,000
WHEREAS, pursuant to Resolution No. 72-3-13-4, adopted
by the Board of Directors of Orange County Waterworks District
No. 4 on the 13th day of March, 1972, a special election was
duly and legally held and conducted in said District on the
6th day of June, 1972, at which election there was submitted
to the qualified voters of said District the forlowing bond
proposition, to -wit:
BOND PROPOSITION: Shall the Orange County
Waterworks District No. 4 incur a bonded
indebtedness in the principal amount of $700,000
for the purpose of the acquisition and construc-
tion of additions to the waterworks system of the
District, including a reservoir, with appurte-
nances and appurtenant works, pipelines, equipment
and other property useful and necessary to supply
the inhabitants of the District with water and
including all costs incidental to or connected
with the acquisition, construction, improving and
financing of the improvements and all engineering,
inspection, legal and fiscal agent's fees, costs
of the bond election and of the issuance of the
bonds?
WHEREAS, more than a majority of the votes cast at said
election were cast in favor of -incurring said indebtedness and
issuing said general obligation bonds and said District is now
authorized to issue and sell bonds in the amount and for the
purposes set forth in said proposition;
NOW, THEREFORE, the Board of Directors of Orange County
Waterworks District No. 4 DOES HEREBY RESOLVE, DETERMINE AND
ORDER as follows:
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SECTION L. That bonds of Orange County Waterworks
District No. 4 in the principal sum of $700,000 be issued and
sold for the respective purposes set forth in the proposition
in the recitals hereof. Said bonds shall be designated "1972
Water Bonds", shall be 140 in number, numbered 1 to 140, both
inclusive, and shall be of the denomination of $5,000 each.
Said bonds shall be dated August 1, 1972, shall be payable in
consecutive numerical order, and shall mature -on August 1 in
the amounts for each of the several years as follows:
.Years
Amount Maturing
Inclusive
In Each Year
1973-1975
$ 5,000
1976-1979
10,000
1980-1983
15,000
1984-1987
20,000
1988-1991
25,000
1992-1994
30,000
1995-1997
35,000
1998-2000
40,000
2001-2002
45,000
Said bonds shall bear interest at a rate or rates to
be hereafter fixed by resolution, but not to exceed eight
percent (8%) per annum, payable semiannually. Said bonds
and the interest thereon shall be payable in lawful money of
the United States'of America at the Corporate Agency Division
of the Bank of America National Trust and Savings Association
in the Cities of Los Angeles and San Francisco, California,
at the option.of the holder thereof.
This Board of Directors hereby determines that the
public economy requires that less than one -fortieth of the
whole amount of the indebtedness shall be payable annually.
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SECTION 2. That the Chairman of the Board of Directors
of said District is hereby authorized and directed to sign all
of said bonds by his printed, lithographed or engraved facsim-
ile signature and the Auditor of said District is hereby
authorized and directed to attest said bonds and to affix
thereto the seal of said District, and said Auditor is further
authorized and directed to sign the interest coupons of said
bonds by his printed, lithographed or engraved facsimile
signature.
SECTION 3. Any of said bonds may be registered either
as to principal only or as to both principal and interest,
and the form of registration of any registered bond -may be
changed or any registered bond may be discharged from registra-
tion, in the manner and with the effect set forth in the pro-
visions for registration contained in the form of bonds set
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.forth herein.
OR
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SECTION 4. That said bonds and'the interest coupons
attached thereto shall be issued in substantially the follow-
ing form:
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UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF ORANGE
ORANGE COUNTY WATERWORKS DISTRICT N0. 4
1972 WATER BONDS
No. $
ORANGE COUNTY WATERWORK?DISTRICT NO. 4, County of
Orange, State of California, duly organized and existing under
and by virtue of the County Waterworks District Law, Division
16 of the Water Code of the State of California, hereby acknowl-
edges its indebtedness and promises to pay to the bearer hereof
the sum of
FIVE THOUSAND DOLLARS ($5,000)
on the first day of August, , with interest thereon at the
rate of percent ( %) per
annum, payable semiannually on the first days of February and
August of each and every year until this bond is paid, on pre-
sentation and surrender of the respective interest coupons
hereto attached. Both principal and interest are payable in
lawful money of the United States of America at the Corporate
Agency Division of the Bank of America National Trust and
Savings Association in the Cities of Los Angeles and San
Francisco, California, at the option of the holder thereof.
Unless this bond matures on or prior to August 1, 1986,
it is redeemable prior to maturity in accordance with the pro-
visions for redemption endorsed hereon.
IT IS HEREBY CERTIFIED, RECITED AND DECLARED that all
.acts, conditions and things required by law to exist, happen
and be performed precedent to and in the issuance of this
bond have existed, happened and been performed in due time,
form and manner as required by law, and that the amount of
this bond, together with all other indebtedness of said Dis-
trict, does not exceed any debt limit prescribed by the laws
or Consitition of the State of California.
IN WITNESS WHEREOF, said Orange County Waterworks Dis-
trict No. 4 has caused this bond to be dated this first day
of August, 1972, to be signed by the Chairman of the Board of
Directors of said'District by his facsimile signature and
attested by the Auditor of said District and has caused the
interest coupons hereto attached to be signed by the Auditor
by his facsimile signature.
ORANGE COUNTY WATERWORKS DISTRCT NO. 4
By rel rJ"
(SEAL) U C ai man
ATTEST:
Auditor of said ]District
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LIE
(COUPON FORM)
Coupon No.
On the first day of
ORANGE COUNTY WATERWORKS DISTRICT
N0. 4, Orange County, California,
unless the bond herein mentioned
is duly called for redemption prior
to the maturity date of this coupon
will pay to the bearer hereof at the
Corporate Agency Division of the
Bank of America National Trust and
Savings Association in the Cities of
Los Angeles and San Francisco, Cali-
fornia, at the option of the holder
hereof, the sum of
in lawful money of the United States
of America, being the semiannual
interest then due on Bond No.
"1972 Water Bonds". dated August 1,
1972.
Facsimile Si*gnature)
Auditor of Orange County
Waterworks District No. 4
Substantially the following provisions for redemption
shall be printed on the reverse side of the bond: .rt
PROVISIONS FOR REDEMPTION
Unless this bond matures on or prior to August
1, 1986, it is redeemable in the manner and subject
to the terms and provisions, and with the effect, set
forth in Resolution No. of Orange
County Waterworks District No. 4 at the option of the
Board of Directors on August 1, 1986, or on any
interest payment date thereafter prior to maturity,
upon at least 30 days' prior notice published in a
financial newspaper or journal of national circula-
tion published in the City of New York, New York, at
a redemption price equal to the principal amount
thereof, plus a premium of 1/2 of 1% for each 12
months' period or portion thereof from the date of
redemption to the maturity date hereof, said premium
not to exceed 5%.
Substantially the following provisions for registration
shall be printed on the reverse side of each bond:
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PROVISIONS FOR REGISTRATION
This bond may be registered in the name of any
person as the registered owner hereof, either as to
principal only or as to both principal and interest,
and, if registered in either of said forms may be
changed to registration in the other of said forms
or discharged from registration.
Each registration, transfer after registration,
change of form of registration, or discharge from
registration of this bond shall be entered by an
authorized officer of the Bank of America National
Trust and Savings Association in books kept by it
for the purpose in its Corporage Agency Division in
Los Angeles, California, and noted by him in the
registration blank below. Registration as to
principal only shall not affect the negotiability -by
delivery of the coupons pertaining hereto. Upon
registration as to both principal and interest, all
unmatured coupons pertaining hereto shall be sur-
rendered to said officer and may be preserved.
So long as this bond is registered, no transfer
hereof shall be valid for any purpose unless made
by the registered owner and entered and noted as
herein provided, and the principal hereof and any
redemption premium shall be payable only to the
registered owner, or to his order. Interest on
this bond, if registered as to both principal and
interest, shall be payable to the person whose name
appears upon the registry books as the registered
owner hereof at the close of business on the tenth
day preceding the interest payment date, or to his
order. If this bond is registered as to both prin-
cipal and interest and its registration is changed
to registration as to principal only, or if it is
discharged from registration, there shall be attached
hereto coupons representing interest hereon to be-
come due thereafter to the date of maturity hereof.
In lieu thereof, and upon surrender and.cancellation
hereof, the Treasurer in his discretion may issue
in exchange therefor a new bond, with such coupons
attached, identical with this bond, except for the
previous notations on the registration blank hereon,
and except that the signatures on the new bond shall
be those of the persons holding the office at the
time of affixing such signatures. The issuance of
any such new bond, or new coupons, shall be at the
expense of the registered owner.
Each discharge hereof from registration shall
be effected by an entry on the registry books, and
a notation in the blank below, that this bond is
payable to bearer, whereupon this bond shall become
an unregistered bearer instrument, negotiable by
delivery as if it had never been registered. Each
request for registration, transfer, change or dis-
charge must be in form satisfactory to the Bank of
America National Trust and Savings Association and
must be made in writing, signed by the registered
owner, or by his agent duly authorized in w iting,
or by the bearer, as the case may be.
Signature of
Authorized Officer
of Bank of America
Date of In Whose Name Manner of National Trust and
Registration Registered Registration Savings Association
SECTION 5. That the proceeds of the sale and issuance
of said bonds (except premium, if any, and accrued interest)
shall be forthwith turned over to and placed in the treasury
of Orange County Waterworks District No. 4 to the credit of a
fund hereby created and known as "WATER BOND CONSTRUCTION FUND",
and the moneys in said fund shall be used for any of the pur-
poses described in the bond proposition for the election of
June 6, 1972.
SECTION 6. That any premium or'accrued interest from
the sale and issuance of said bonds shall forthwith be turned
over to and placed in said treasury to the credit of a fund
hereby created and designated "1972 WATER BONDS GENERAL OBLI-
GATION BOND FUND" (hereinafter sometimes called "General Obli-
gation Bond Fund"). The Board of.Directors shall levy a tax,
each year, upon the taxable property in the District, sufficient
to pay the interest on the bonds for that year, and that por-
tion of the principal which is to become due before the time
for making the next general tax levy.
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SECTION 7. The bonds maturing on or prior to August 1,
1986, shall be not subject to call or redemption prior to
maturity. All bonds maturing on or after August 1, 1987, or
any of them, may be called before maturity and redeemed, at
the option of the Board of Directors, on August 1, 1986, or
on any interest payment date thereafter prior to maturity
,(hereinafter sometimes called "redemption date"). Bonds called
prior to maturity shall be redeemed at the principal amount
thereof, plus a premium equal to 1/2 of 1% for each 12 months'
period or portion thereof from the date of redemption to the
maturity date hereof, said premium not to exceed 5%. All or
any of the bonds subject to call may be called for redemption
at any one time. If less than all of the bonds are redeemed
at one time, such bonds shall be redeemed only in inverse
order of maturity years and by lot within each maturity.
SECTION 8. Notices of the intended redemption shall be
published by one insertion in a financial newspaper or journal
of national circulation published in the City of New York, New
York, said publication to be at least 30 days but not more than
60 days prior to the redemption date. The notice of
redemption shall (a) state the redemption date; (b) state the
redemption price; (c) state the numbers and dates of maturity
of the bonds to be redeemed; provided, however, that whenever
any call includes all of the bonds of a maturity, the numbers
of such maturity need not be stated.; (d) require that such
bonds be surrendered with all interest coupons maturing subse-
quent to the redemption date (except that no coupons need be
-surrendered on bonds registered as to both principal and
go
interest) at the Corporation Agency -Division of the Bank of
America National Trust and Savings Association in the Cities
of Los Angeles and San Francisco, California, at the option
of the holder thereof; (e) require that bonds which at the
time of call are registered so as to be payable other than to
bearer shall be accompanied by appropriate instruments of
assignment duly executed in blank; and (f) give notice. that
'further interest on such bonds will not accrue after the
designated redemption date.
If any of the bonds designated for redemption shall be
registered so as to be payable otherwise than to bearer, the
Treasurer of the District shall, on or before the date of the
first publication of said notices of redemption, mail a
similar notice, postage prepaid, to the respective registered
owners thereof at the addresses appearing on the bond registry
books.
The actual receipt by the holder of any bond (herein-
after referred to as "bondholder") of notice of such redemption
shall not be a condition precedent to redemption, and failure
to receive such notice 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 by this section shall be
given by the Treasurer of the District. A certificate by said
Treasurer that notice of call and redemption has been given to
holders of registered bonds as herein provided shall be con-
clusive as against all parties, and no bondholder whose
registered bond is called for redemption may object thereto
or object to the cessation of interest on the redemption date
fixed by any claim or showing that he failed to actually
receive such notice of call and redemption.
SECTION 9. Prior to the time the District Board deter-
mines to call and redeem any of said bonds there shall be
established in the treasury of the District a redemption fund
to be described or known as "1972 WATER BONDS REDEMPTION FUND",
(hereinafter sometimes called "Redemption Fund"), and prior
to the redemption date there must be set aside in the Redemp-
tion Fund moneys available for the purpose and sufficient to
redeem at the premiums payable as in this resolution provided,
the bonds designated in such notice of redemption. Said
moneys must be set aside in said fund solely for that purpose
and shall be applied on•or after the redemption date to payment
(principal and premium) for the bonds to be redeemed upon
presentation and surrender of such bonds and (except as to
bonds registered as to both principal••and interest) all
coupons maturing after the redemption date, and shall be used
only for that purpose. Any interest coupons due on or prior
to the redemption date shall be paid from the General Obli-
gation Bond Fund provided for herein upon presentation and
surrender thereof. Any interest due on or prior to the redemp-
tion date upon bonds registered as to both principal and
interest shall be paid from said Bond .Fund. Each bond pre-
sented (if unregistered or registered as to principal only)
must have attached thereto or presented therewith all interest
coupons maturing after the redemption date. If after all of
the bonds have been redeemed and cancelled or paid and can-
celled there are moneys remaining in said Redemption Fund,
said moneys shall be transferred to the general fund of said
District; provided, however, that if said moneys are part of
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the proceeds of refunding bonds said moneys shall be trans-
ferred to the fund created for the payment of principal of
and interest on such refunding bonds.
SECTION 10. When notice of redemption has been given,•'
substantially as provided for herein, and when the amount
necessary for the redemption of.the bonds called for redemp-
tion (principal and premium) is set aside for that purpose in
- the Redemption Fund, as provided for herein, the bonds desig-
nated for redemption shall become due and payable on the date
fixed for redemption thereof, and upon presentation and
surrender of said bonds and (except as to bonds registered as
to both principal and interest) all interest coupons maturing
after the redemption date, at the place specified in the
notice of redemption, and if any of said bonds be registered,
upon the appropriate assignment thereof in blank, 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 or on any interest coupons thereof after
the redemption date specified in such notice, and the holders
of said bonds so called for redemption after such redemption
date shall look for the payment of such bonds and the premiums
thereon only to said Redemption Fund. All bonds redeemed and
all interest coupons thereof shall be cancelled forthwith and
shall not be reissued.
All interest coupons pertaining to any redeemed bonds,
which coupons have matured on or prior to the time fixed for
redemption, shall continue to be payable to the respective
holders thereof but without interest thereon. All unpaid
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interest payable at or prior to the date fixed for redemption'
upon bonds registered in such manner that the interest is pay-
able only to the registered owners shall continue to be payable
to the respective registered owners of such bonds, or their
order, but without interest thereon.
SECTION 11. The Board of Directors covenants that it
is not reasonably expected that the proceeds of the bond issue
will be invested in such a way as to violate Section 103(d)
of the Internal Revenue Code of 1954 or any rules and regula-
tions promulgated by the Internal Revenue Service thereunder.
ADOPTED, SIGNED AND APPROVED this 26th day of June, 1972.
rGhpirman of the Board of I
ectors of Orange County
Waterworks District No. 4
(SEAL)
ATTEST:
VIRGINIA MEADOWS
Clerk of the Board of Directors of
Orangge County Waterworks District
No. 4
By
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STATE OF CALIFORNIA
� ss.
COUNTY OF ORANGE
I, VIRGINIA MEADOWS, Clerk of the Board of Directors
of Orange County Waterworks District No. 4, hereby certify
that the above and foregoing resolution was duly and regularly
adopted by said Board at a regular meeting thereof held on
the 26th day of June, 1972, and that it was so adopted by the
following vote:
AYES: DIRECTORS BYRNES, CHERMAK, GAMMELL 4 WEATHERS.
NOES: DIRECTORS NONE
ABSENT: DIRECTORS THORPE
(SEAL)
VIRGINIA MEADOWS
Clerk of the Board of Directors
of Orange County Waterworks Dis-
trict No. 4
By
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STATE OF CALIFORNIA )
ss.
COUNTY OF ORANGE )
I, VIRGINIA MEADOWS, Clerk of the Board of Directors
of Orange County Waterworks District No. 4, hereby certify
•,that the above and foregoing is a full,'true and correct
copy of RESOLUTION NO. 72-6-26-2 and that the same
has not been amended or repealed.
DATED: JUNE 26 1972.
VIRGINIA MEADOWS
Clerk of the Board of Directors
of Orange County Waterworks
District No. 4
By
ell
(SEAL)