Bond Sale, Refund 3,100,000MEMORANDUM
October 1, 2002
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Bond Sale to Refund $3,100,000 General Obligation Bonds, Series 1994
dated May 1, 1994
Finance Director Ken TeKippe is recommending the sale of General Obligation Bonds
not to exceed $650,000 to refund the outstanding balance on the $3,100,000 general
obligation bonds, series 1994, dated May 1, 1994, which are currently callable at any
time. The refunded par amount of bonds equals $595,000. The interest rate will be
more favorable than the 5.125% rate for the $315,000 due May 1, 2003, and the
$280,000 due May 1, 2004. It is further requested that a public hearing be set for
October 21, 2002.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
TO:Michael C. Van Milligen, City Manager
FROM:Kenneth J TeKippe, Finance Director
SUBJECT:Bond Sale to Refund $3,100,000 General Obligation Bonds, Series 1994
dated May 1, 1994
DATE:October 2, 2002
The purpose of this memorandum is to recommend the sale of General Obligation
Bonds to refund the outstanding balance on the $3,100,000 general obligation bonds,
series 1994, dated May 1, 1994 ("the 1994 bonds"). The 1994 bonds are currently
callable at any time. The refunded par amount of bonds equals $595,000. Payment
dates for bond principal will not change due to the refunding. The interest rate will be
more favorable than the 5.125% rate for the $315,000 due May 1, 2003 and $280,000
due May 1, 2004. The opportunity and timing to refund exists since the City is currently
in the process of issuing $3,300,000 bonds for water projects. Minimal additional costs
will be incurred with projected net savings to the City of $8,500. The date of publication
is to be not less than four clear days nor more than twenty days before the date of said
public meeting on the issuance of said Bonds.
The requested action steps for City Council is to adopt the attached resolution fixing the
date of October 21, 2002 for a public hearing on the proposition of selling not to exceed
$650,000 in General Obligation Bonds (for an essential corporate purpose) of Dubuque,
Iowa and providing for publication of notice thereof.
KJT/jmg
Attachments
cc: Barry Lindahl
Pauline Joyce
Jeanne Schneider
(This Notice to be posted)
NOTICE AND CALL OF PUBLIC MEETING
Governmental Body:The City Council of Dubuque, Iowa.
Date of Meeting: _______,2002.
Time of Meeting:_______o'clock__ .M.
Place of Meeting:Auditorium, Carnegie-Stout Public Library, Dubuque, Iowa.
PUBLIC NOTICE IS HEREBY GIVEN that the above mentioned governmental
body will meet at the date, time and place above set out. The tentative agenda for said
meeting is as follows:
Not to exceed $650,000 General Obligation Bonds.
Resolution fixing date for a meeting on the proposition to issue.
Such additional matters as are set forth on the additional_________page(s) attached hereto.
(number)
This notice is given at the direction of the Mayor pursuant to Chaptex 21, Code of
Iowa, and the local rules of said governmental body.
______________________
City Clerk, Dubuque, Iowa
October 8 ,2002
The City Council of Dubuque, Iowa, met in Regular session, in the
Auditorium, Carnegie-Stout Public Library, Dubuque, Iowa, at 6:30 o'clock P.M.,
on the above date. There were present Mayor Terrance M. Duggan , in the
chair, and the following named Council Members:
Roy Buol, Patricia Cline, Joyce Connors
John Markham, Ann Michalski, Dan Nicholson
Absent: None
Council Member Michalski introduced the following Resolution
entitled "RESOLUTION FIXING DATE FOR A MEETING ON THE PROPOSITION
OF THE ISSUANCE OF NOT TO EXCEED $650,000 GENERAL OBLIGATION
BONDS (FOR AN ESSENTIAL CORPORATE PURPOSE) OF DUBUQUE, IOWA,
AND PROVIDING FOR PUBLICATION OF NOTICE THEREOF", and moved that the
same be adopted. Council Member________seconded the motion to
adopt. The roll was called and the vote was,
AYES: Buol, Cline, Connors, Duggan, Markham,
Michalski, Nicholson
NAYS: None
Whereupon, the Mayor declared the resolution duly adopted as follows:
RESOLUTION NO. 535-02
RESOLUTION FIXING DATE FOR A MEETING ON THE
PROPOSITION OF THE ISSUANCE OF NOT TO
EXCEED $650,000 GENERAL OBLIGATION BONDS
(FOR AN ESSENTIAL CORPORATE PURPOSE) OF
DUBUQUE, IOWA, AND PROVIDING FOR
PUBLICATION OF NOTICE THEREOF
WHEREAS, it is deemed necessary and advisable that the City of Dubuque, Iowa,
should issue General Obligation Bonds to the amount of not to exceed $650,000, as
authorized by Section 384.25 of the City Code of Iowa, for the purpose of providing
funds to pay costs of carrying out an essential corporate purpose project as hereinafter
described; and
WHEREAS, before said Bonds may be issued, it is necessary to comply with the
provisions of said Code, and to publish a notice of the proposal to issue such Bonds and
of the t/me and place of the meet'mg at which the Council proposes to take action for the
issuance of the Bonds and to receive oral and/or written objections from any resident or
property owner of said City to such action.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF DUBUQUE, IOWA:
Section 1. That this Council meet in the Council Chambers, City Hall, Dubuque,
Iowa, at 6:30 o'clock P. M.,on the 21st day of October ,2002,
for the purpose of taking action on the matter of the issuance of not to exceed $650,000
General Obligation Bonds for an essential corporate purpose of said City, the proceeds of
which Bonds will be used to provide funds to pay costs of refunding and refinancing
certain outstanding indebtedness of the City, consisting of the General Obligation Bonds,
Series 1994, dated May 1, 1994.
Section 2. That the Clerk is hereby directed to cause at least one publication to be
made of a notice of said meeting, in a legal newspaper, printed wholly in the English
language, published at least once weekly, and having general circulation in said City, said
publication to be not less than four clear days nor more than twenty days before the date
of said public meeting on the issuance of said Bonds.
Section 3. The notice of the proposed action to issue said Bonds shall be in
substantially the following form:
3
NOTICE OF MEETING OF THE COUNCIL OF THE CITY OF
DUBUQUE, IOWA, ON THE MATTER OF THE PROPOSED
ISSUANCE OF NOT TO EXCEED $650,000 GENERAL OBLIGATION
BONDS (FOR AN ESSENTIAL CORPORATE PURPOSE) OF SAID
CITY, AND THE HEARING ON THE ISSUANCE THEREOF
PUBLIC NOTICE is hereby given that the Council of the City of Dubuque, Iowa,
will hold a public hearing on the 21st day of October, 2002, at
6:30 o'clock P.M., in the Auditorium, Carnegie-Stout Public Library, Dubuque,
Iowa, at which meeting the Council proposes to take additional action for the issuance of
not to exceed $650,000 General Obligation Bonds for an essential corporate purpose of
said City, in order to provide funds to pay costs of refunding and refinancing certain
outstanding indebtedness of the City, consisting of the General Obligation Bonds, Series
1994, dated May 1, 1994.
At the above meeting the Council shall receive oral or written objections from any
resident or property owner of said City, to the above action. After all objections have
been received and considered, the Council will at this meet'rog or at any adjournment
thereof, take additional action for the issuance of said Bonds or will abandon the proposal
to issue said Bonds.
This notice is given by order of the Council of Dubuque, Iowa, as provided by
Section 384.25 of the City Code of Iowa.
Dated this 8th day of
October ., 2002.
/s/ Jeanne F. Schneider
City Clerk of Dubuque, Iowa
(End of Notice)
PASSED AND APPROVED this 7th day of October
2002.
_________________________
Terrance M. Duggan, Mayor
ATTEST:
____________________________
Jeanne F. Schneider, City Clerk
CIG-3
9/91
CERTIFICATE
STATE OF IOWA
COUNTY OF DUBUQUE
)
) SS
I, the undersigned City Clerk of Dubuque, Iowa, do hereby certify that attached is
a mae and complete copy of the portion of the corporate records of said Municipality
showing proceedings of the Council, and the same is a true and complete copy of the
action taken by said Council with respect to said matter at the meeting held on the date
indicated in the attachment, which proceedings remain in full force and effect, and have
not been amended or rescinded in any way; that meeting and all action thereat was duly
and publicly held in accordance with a notice of meeting and tentative agenda, a copy of
which was timely served on each member of the Council and posted on a bullet'm board
or other prominent place easily accessible to the public and clearly designated for that
purpose at the principal office of the Council (a copy of the face sheet of said agenda
being attached hereto) pursuant to the local roles of the Council and the provisions of
Chapter 21, Code of Iowa, upon reasonable advance notice to the public and media at
least twenty-four hours prior to the commencement of the meeting as required by said
law and with members of the public present in attendance; I further certify that the
individuals named therein were on the date thereof duly and lawfully possessed of their
respective city offices as indicated therein, that no Council vacancy existed except as may
be stated in said proceedings, and that no controversy or litigation is pending, prayed or
threatened involving the incorporation, organization, existence or boundaries of the City
or the right of the individuals named therein as officers to their respective positions.
WITNESS my hand and the seal of said Municipality hereto affixed this 8th
day of 0ctober, 2002.
/s/ Jeanne F. Schneider, City Clerk
Dubuque, Iowa
SEAL
DCORNELL~340924\ I \10422038
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AHLERS, COONEY, DORWEILER, HAYNIE, SMITH & ALLBEE, P.C.
ATTORNEYS AT LAW KENNETH H. HAYN[E DAVID SWINTON
JOHN F. MCKINNEY, JR. LINDA L. KNIEP
RICHARD G. SANTI JOHN D. HINTZE
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SUITE 600 RONALD L. SUTPBIN IVAN T. WEBBER
DES MOINES, iOWA LANCE A. COPPOCK JANE B. MCALLISTER
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MARK W. BEERMAN R. MARK CORY
http://www,ahierslaw.co EDWARD W. REMSBURG SERGE H. GARRISON
PJ~.N DALL H. STEFANI RONALD L. PEELER
m ELIZABETH GREGG KENNEDY ANDREW J. BRACKEN
WADE R. HAUSER ~11 STEVEN L. SERCK
TELEPHONE 515-243- WILLIAM J. NOTH STEVEN M. NADEL
7611
TELECOPIER 515-243-
2149
ELIZABETH A. GROB
JENNIFER A. CLENDENIN
PATRICIA A. WESTEMETER
NATHAN J. OVERBERG
DAN]ELLE J. JESS
JAMES R. WAINWRIGHT
J. ERIC BOEHLERT
ANDREW T. TICE
COLIN J. WITi-
GORDON D. GRETA
MARK W. JOHNSON
OF COUNSEL
H. RICHARD SMITH
ROBERT G. ALLBEE
DOUGLAS R. SMITH
PHiLiP J. DORWEILER,
Retired
PAUL F. AHLERS
(1913.2002)
JAMES EVANS COONEY
(1917-1998)
October 2, 2002
BY FEDERAL EXPRESS
Mr. Ken TeKippe
Finance Officer
City of Dubuque
50 West 13th Street
Dubuque, Iowa 52001-4864
RE: Not to exceed $650,000 General Obligation Bonds
Dear Mr. TeKippe:
We have now prepared and are enclosing herewith suggested proceedings to be
acted upon by the Council in fixing the date ora meeting on the proposition to issue the
above mentioned Bonds and ordering publication of a notice of hearing consistent with
the provisions of Code Section 384.25.
Notice of this meeting must be published at least once in a legal newspaper,
printed wholly in the English language, published at least once weekly, and having
general circulation in the City. The date of publication is to be not less than four clear
days nor more than twenty days before the date of said public meeting on the issuance of
said Bonds. In computing time, the date of publication should be excluded. If the last
day falls on Sunday, the whole of the following Monday should be excluded.
Also enclosed is an extra copy of the proceedings to be filled in as the original and
certified back to this office, together with publisher's affidavit of publication of notice of
hearing. We are also enclosing an extra copy of the notice of hearing to be delivered to
the newspaper for publication purposes. A certificate to attest the proceedings is also
enclosed.
At the time of hearing the Council shall receive oral or written objections from any
resident or property owner to the proposed action to issue said Bonds. After alt
objections have been received and considered, the Council is required, at that meeting or
at any adjournment thereof, to take additional action for the issuance of said Bonds or to
abandon the proposal to issue said Bonds.
The Council is required by statute to adopt the resolution instituting proceedings to
issue the Bonds at the hearing--or an adjournment thereof.
If you have any questions pertaining to the proceedings enclosed or this letter,
please do not hesitate to either write or call.
Yours very truly,
WJN:dc
encl.
cc: Pauline Joyce
Dave Dirks
William J. Noth
FOR THE FIRM
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