Resolution Number OCWD NO. 4 72-6-26-3RESOLUTION NO. 1,2-6-26-3
RESOLUTION OF THE BOARD OF DIRECTORS
OF ORANGE COUNTY WATERWORKS DISTRICT
NO. 4 DECLARING ITS INTENTION TO SELL
BONDS OF SAID DISTRICT IN THE AMOUNT
L.J OF $700,000 AND FIXING TINE AND PLACE
FOR TAKING BIDS AND DIRECTING PUBLICA-
TION OF NOTICE INVITING BIDS
WHEREAS, this Board of Directors deems it proper and the
necessity therefor appears that bids be invited for bonds of
ORANGE COUNTY WATERWORKS DISTRICT N0. 4 in the amount of
$700,000 and that if bids are satisfactory said bonds be sold
in the manner and at the time and place hereinafter set forth;
NOW, THEREFORE, the Board of Directors of Orange County
Waterworks District No. 4 DOES HEREBY RESOLVE, DETERMINE AND
ORDER as follows:
SECTION 1. That sealed proposals for the purchase of
bonds of said District in the amount of $700,000 be received
by the Clerk of this Board at the place and up to the time
specified in the notice hereinafter set forth.
SECTION 2, That the Clerk of this Board is hereby
authorized and directed to publish notice inviting such sealed
proposals by one insertion in the COASTLINE DISPATCH, a news-
paper of general circulation in Orange County, said publica-
tion to be at least ten (10) days prior to the date of opening
bids stated in said notice.
SECTION 3. That the Clerk of this Board is hereby
authorized and directed to furnish to prospective bidders
copies of the notice inviting proposals and of the official
T statement relating to the properties, operations and finances
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of said District; but failure, in whole or in part, to comply
with this section shall not in any manner affect the validity
of the sale of said bonds.
SECTION 4. That said notice shall be substantially as
follows:
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NOTICE INVITING BIDS ON $700,000
GENERAL OBLIGATION BONDS OF ORANGE
COUNTY WATERWORKS DISTRICT NO. 4
NOTICE IS HEREBY GIVEN that sealed proposals for the
purchase of $700,000 par value general obligation bonds of
Orange County Waterworks District No. 4, Orange County, Cali-
fornia, will be received and opened by the Clerk of the Board
of Directors of said District at the place and up to the time
below specified:
TIME: 6:00 o'clockp.m.
July 24, 1972
PLACE: Orange County Waterworks
District No. 4
32400 Paseo Adelanto
San Juan Capistrano, CA. 92675
MAILED BIDS: Addressed to:
Clerk, Orange County Water-
works District No. 4
32400 Paseo Adelanto
San Juan Capistrano, CA. 92675
OPENING OF BIDS AND AWARD OF BONDS: The bids will be
opened by the Clerk at 6:00 o'clock p.m. at 32400 Paseo Adelanto,
San Juan Capistrano, California.
ISSUE: $700,000 bonds, all dated August 1, 1972, desig-
nated "ORANGE COUNTY WATERWORKS DISTRICT 1972 WATER BONDS".
DENOMINATIONS AND NUMBERS: The bonds will be in the
denomination of $5,000 each. The bonds will be 140 in number,
numbered 1 to 140, inclusive.
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MATURITIES: The bonds will mature in consecutive
numerical order 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
INTEREST: The bonds shall bear interest at a rate or
rates to be fixed upon the sale thereof but not to exceed
eight percent (8%) per annum, payable semiannually.
PAYMENT: Said bonds and the interest thereon are pay-
able 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.
REGISTRATION: The bonds will be coupon bonds regis-
trable either as to principal only or as to both principal and
interest, and the form of registration may be changed, or the
bond discharged from registration, all in accordance with pro-
visions in the resolution providing for the issuance of said
bonds.
CALLABLE: The bonds maturing on or prior to August 1,
1986, shall not be 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
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the option of the Board of Directors, on August 1, 1986, or on
any interest payment date thereafter prior to maturity (herein-
after sometimes called the "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 thereof, said premium not to exceed five percent
(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.
PURPOSE OF ISSUE: Said bonds were authorized at an
election held on June 6, 1972 for the purpose of the acquisi-
tion and construction of water improvements.
SECURITY: Said bonds are issued pursuant to the
County Waterworks District Law (Division 16 of the Water
Code) and shall be paid from unlimited ad valorem taxes levied
upon all taxable property in the District.
TERMS OF SALE
Interest Rate: The maximum rate bid may not exceed
eight percent (8%) per annum, payable semiannually. Each
rate bid must be a multiple of 1/20th or 1/8th of 11%. No
bond shall bear more than one interest rate, and all bonds
of the same maturity shall bear the same rate. Only one
coupon will be attached to each bond for each installment of
interest thereon, and bids providing for additional or supple-
mental coupons will be rejected. The rate on any maturity or
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group of maturities shall not be more than 2% higher than the
interest rate on any other maturity or group of maturities.
Award: The bonds will be sold for cash only. All
�.J bids must be for not less than all of the bonds hereby offered
for sale and each bid shall state that the bidder offers par
and accrued interest to the date of delivery, the premium, if
any, and the interest rate or rates not to exceed those speci-
fied herein, at which the bidder offers to buy said bonds.
Each bidder shall state in his bid the total net interest
cost in dollars and the average net interest rate determined
thereby, which shall be considered informative only and not a
part of the bid.
Highest Bidder: The bonds will be awarded to the highest
responsible bidder or bidders 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 Dis-
tract would be required to pay from the date of said bonds to
the respective maturity dates thereof at the coupon 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. The
purchaser must pay accrued interest from the date of the bonds
to the date of delivery, computed on a 360 -day year basis.
The cost of printing the bonds will be borne by the District.
Right of Rejection: The District reserves the right,
in its discretion, to reject any and all bids and, to the
extent not prohibited by law, to waive any irregularity or
informality in any bid.
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Prompt Award: The District 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 proposals; provided that the award may be
made after the expiration of the specified time if the bidder
shall not have given to said Board notice in writing of the
withdrawal of such proposal.
Place of Delivery: Delivery of said bonds will be
made to the successful bidder at Jeffries Banknote Company,
1330 West Pico Boulevard, Los Angeles, California, or at any
other place agreeable to both the Treasurer of the District
and the successful bidder.
Prompt Delivery, Cancellation for Late Delivery: It
is expected that said bonds will be delivered to the successful
bidder within thirty (30) days from the date of sale thereof.
The successful bidder shall have the right, at his option to
cancel the contract of purchase if the District shall fail to
execute the bonds and tender them for delivery within sixty (60)
days from the date of sale thereof, and in such event the
successful bidder shall be entitled to the return of the check
accompanying his bid.
Form of Bid: Each bid, together with the bid check,
must be in a sealed envelope, addressed to the District, with
the envelope and bid clearly marked:
"PROPOSAL FOR ORANGE COUNTY WATERWORKS
DISTRICT NO. 43 1972 WATER BONDS".
Bid Check: A certified or cashier's check drawn on
a responsible bank or trust company in the amount of $10,000
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payable to the order of the District must accompany each pro-
posal as a guaranty that the bidder, if successful, will accept
and pay for said bonds in accordance with the terms of his bid.
The check accompanying any accepted proposal shall be applied
on 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 District, shall then be cashed
and the proceeds retained by the District and be applied by the
District in partial satisfaction of whatever actual damages the
District -may suffer by reason of the successful bidder's failure
to perform hereunder in accordance with the terms of sale. In
such instance, should the District's actual damages be deter-
mined to be less than said amount, thirty (30)days after any
such determination by a court having jurisdiction thereof,
becomes final, the balance of said amount shall be returned to
the successful bidder. Should the successful bidder fail to
perform hereunder, the District may also recover all costs
relating thereto, including a reasonable amount for attorneys'
fees. The check accompanying each unaccepted proposal will be
returned promptly.
Change in Tax Exempt Status: At any time before the
bonds are tendered for delivery, the successful bidder may
disaffirm and withdraw the proposal if the interest received
by private holders from bonds of the same type and character
shall be declared to be taxable 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
delcared taxable or shall be required to be taken into account
in computing federal income taxes by the terms of any federal
income tax law enacted subsequent to the date of this notice.
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Legal Opinion: The unqualified opinion of Rutan &
Tucker, Bond Counsel, approving the validity of said bonds
will be furnished the successful bidder at or prior to the
time of delivery of the bonds, at the expense of the District.
A copy of the opinion of Rutan & Tucker, certified by an
officer of the District by his facsimile signature, will be
printed on the back of each bond. No charge will be made to
the purchaser for such printing or certification.
No Litigation Certificate: At the time of payment for
and delivery of said bonds the District will furnish the
successful bidder a certificate that there is no litigation
pending affecting the validity of the bonds.
INFORMATION AVAILABLE: Requests for information con-
cerning the District should be addressed to:
Clerk, Orange County Waterworks
District No. 4
32400 Paseo Adelanto
San Juan Capistrano, CA. 92675
GIVEN by order of the Board of Directors of ORANGE
COUNTY WATERWORKS DISTRICT NO. 4, adopted June 26, 1972.
V IRGINA MEADOWS
Clerk of the Board of Directors
Orange County Water District No. 4
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ADOPTED, SIGNED AND APPROVED this 26th day of June,
1972.
(SEAL)
ATTEST:
VIRGINIA MEADOWS
Clerk of the Board of Directors
of Orange County Waterworks
District No. 4
is ffl�Z-
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firman of t-h—e-Yoard o
actors of Orange County
Waterworks District No. 4
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
I. VIRGINA 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 CHERMAK, BYRNES, GAMMELL & WEATHERS.
NOES: DIRECTORS NONE
ABSENT: DIRECTORS THORPE
VIRGINIA MEADOWS
Clerk of the Board of Directors
of Orange County Waterworks
District No. 4
1
By
(SEAL)
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STATE OF CALIFORNIA )
as.
COUNTY OF ORANGE )
IN
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. 72-6-26-3 and that the same
has not been amended or repealed.
(SEAL)
IN
DATED: JUNE 26 , 1972.
VIRGINIA MEADOWS
Clerk of the Board of Directors
of Orange County Waterworks
District No. 4