City Council Proceedings_11.01.1976_Resolution No. 393-76 Issuance of Bondsi
Regular Session
rovement be and the same is hereby
accepted.
BE IT FURTHER RESOLVED, That
the City Treasurer be and he is hereby
directed to pay to the contractor from
the sanitation sewage rental fund and
Federal -State Grant. In amount equal to
the amount of his contract, less any
retained percentage provided for
therein.
Passed, adopted and approved this 1st
day of November, 1976.
Emil Stackis
Mayor Pro Tent
Thomas A. Tully Jr.
Richard Wertzberger
Councilmen
ATTEST:
Leo F. Frommelt
City Clerk
Councilman Wertzberger moved
adoption of the resolution. Seconded by
Mayor Pro Tern Stackis. Carried by the
following vote:
Yeas — Mayor Pro Tern Stackis,
Councilmen Tully, Wertzberger.
Nays — Councilman Brady.
Absent — Mayor Lundh.
RESOLUTION NO. 393-76
A Resolution providing for the is-
suance of $3,700,000 Civic Center
Bonds and providing for the levy of
taxes to pay the same.
WHEREAS pursuant to Chapters 47,
49, 376 and 384 of the Code of Iowa,
1975, as amended, this City Council did,
by resolution duly adopted on July 19,
1976, order that at a special municipal
election to be held in the City of
Dubuque, Iowa, on August 17, 1976,
there be submitted to the voters of said
City the proposition of issuing bonds of
said City in an amount not exceeding
$3,700,000 for the purpose of construct-
ing and equipping a Civic Center and
acquiring a site therefor in said City;
and
WHEREAS the County Commis-
sioner of Elections issued an Election
Order on July 29, 1976, concurring in
the action taken by the City Council
and ordering said election to be held on
August 17, 1976; and
WHEREAS notice of said election
and of the submission of said proposi-
tion thereat was duly given in manner
and form required by law and said
election on said bond proposition was
legally held and conducted on August
17, 1976, and at said election 11,115
ballots were cast on said proposition, of
which 7680 voters were cast "Yes" on
said proposition and 3293 votes were
cast "No" on said proposition and 142
ballots were cast blank or were defec-
tively marked, and it has heretofore
November 1, 1976 543
been and is hereby found and declared
that the vote cast in favor of said
proposition was equal to at least sixty
percent (60°6) of the total votes cast for
and against said proposition at said
election and said proposition has here-
tofore been and is hereby declared to
have been duly carried and adopted;
and
WHEREAS none of the bonds ap.
proved at said election has been issued
and it is necessary and advisable at this
time to provide for the issuance of all of
said bonds and to provide for the
payment of the principal and interest as
the same will become due;
NOW, THEREFORE, BE IT RE-
SOLVED by the City Council of the City
of Dubuque, Iowa, as follows:
Section 1. That pursuant to authority
granted at the special election held in
the City of Dubuque, Iowa, on August
17, 1976, as referred to in the preamble
hereof, and as authorized by Sections.
384.23, at seq. of the Code of Iowa, 1975,
as amended, there shall be and there is
hereby ordered issued the negotiable
Civic Center Bonds of said City of
Dubuque in the principal amount of
Three Million Seven Hundred Thousand
Dollars ($3,700,000), said bonds to be
seven hundred forty (740) in number, be
numbered consecutively from 1 to 740,
both numbers included, of the den-
omination of $5,000 each, and to be
dated November 1, 1976. That the bonds
of said issue shall bear interest from the -
date thereof at the rates hereinafter
specified, such interest being payable
May 1, 1977, and semiannually ther-
eafter on the first days of November and
May in each year until the principal
thereof is paid. Said bonds shall be
signed by the Mayor and attested by the
City Clerk and the seal of the City af-
fixed, and be registered as to issuance
by the City Treasurer and a certificate of
such registration endorsed thereon. In-
terest on said bonds shall be evidenced
by coupons thereto attached and ma-
turing on the several days when such
interest matures, which coupons shall
be executed with the facsimile signature
of the City Clerk and said City Clerk, by
the execution of said bonds, shall adopt
as and for his proper signature his fac-
simile signature appearing on said
coupons. Both principal and interest of
said bonds shall be payable in lawful
money of the United States of America
at the office of the City Treasurer in and
of the City of Dubuque, Iowa. Said
bonds shall become due and payable in
their numerical order on May 1 of each
of the respective years and shall bear
interest at the rates as follows:
Session, November 1, 1976
Bond Rate of
Year Amount Numbers Interest
1978 $ 50,000 I- 10 4VI,%
1979 150,000 11- 40 4'A
1980 175,000 41- 75 414%
1981 200,000 76-115 4'A%
1982 200,000 116-155 41A%
1983 225,000 156-200 4'h%
1994 250,000 201-250 41h%
1985 250,000 251-300 41A%
1996 275,000 301-355 4h%
1987 275,000 356-410 4.80%
1988 300,000 411-470 4.80%
1989 325,000 471-535 4.80%
1990 325,000 536-600 5%
1991 350,000 601-670 5%
1992 350,000 671-740 5%
Section 2. That each of said bonds be
subject to registration as to principal in
the name of the holder on the books of
the City Treasurer, such registration
being noted upon each bond so regis-
tered, and after such registration
payment of the principal thereof shall be
made only to the registered holder. Any
bond so registered, upon the request in
writing of such holder personally or by
attorney -in -fact, may be transferred
either to a designated transferee or to
bearer, and the principal of any bond so
transferred and registered to bearer
shall thereupon be and become payable
to bearer in like manner as if such bond
had never been registered. Registration
of any bonds as to principal shall not
restrain the negotiability of the coupons
thereto attached by delivery merely.
Section 3. That said bonds, coupons
and provisions for registration be in
substantially the following form:
(Form of Bond)
UNITED STATES OF AMERICA
STATE OF IOWA
COUNTY OF DUSUOUE
CITY OF DUBUOUE
CIVIC CENTER BOND
No. $5000
KNOW ALL MEN BY THESE PRE-
SENTS: That the City of Dubuque, in
the County of Dubuque and State of
Iowa, for value received, promises to
pay to bearer, or if this bond be regis-
tered as to principal -to the registered
holder hereof, the sum of Five Thousand
Dollars ($5000) on the first day of May,
19 —, with interest on said sum from the
date hereof at the rate of — — — — per
cent (---%) per annum, payable May
1, 1977, and semiannually thereafter on
the first days of November and May in
each year until said principal sum is
paid, all such interest as may accrue on
and prior to the maturity of this bond to
be paid on presentation and surrender of
the interest coupons hereto attached as
they severally mature. Both principal
and interest of this bond are payable in
lawful money of the United States of
America at the office of the City Trea-
surer in and of the City of Dubuque,
Iowa.
This bond is one of a series of bonds
issued by the City of Dubuque to pay the
cost of constructing and equipping a
Civic Center and acquiring a site ther-
efor in said City, pursuant to and in
strict compliance with the provisions of
Sections 384.23, et seq. and Chapter 76
of the Code of Iowa, 1975, and all laws
amendatory thereof and supppemen-
tary thereto, in conformity with a re-
solution of the City Council of said City
duly passed, approved and recorded,
and pursuant to an election duly called,
noticed and held for that purpose.
And it is hereby certified and recited
that all acts, conditions and things
required by the laws and Constitution of
the State of Iowa to exist, to be had, to
be done, or to be performed precedent to
and in the issue of this bond, were and
have been properly existent, had, done
and performed in regular and due form
and time; that provision has been made
for the levy of a sufficient continuing
annual tax on all the taxable property
within said City for the payment of the
principal and interest of this bond as the
same will respectively become due; that
the faith. credit, revenues and resources
and all the real and personal property of
said City are irrevocably pledged for the
prompt payment hereof, both principal
and interest; and that the total indebt-
edness of said City, including this bond,
does not exceed any constitutional or
statutory limitations.
This bond is subject to registration as
to principal in the name of the holder on
the books of the City Treasurer of said
City, such registration to be evidenced
by notation of said Treasurer on the
back hereof, and after such registration
no transfer hereof, except upon such
books and similarly noted hereon, shall
be valid unless the last registration shall
have been to bearer. Registration hereof
shall not affect the negotiability of the
coupons hereto attached, which shall
continue negotiable by delivery merely.
IN TESTIMONY WHEREOF, said Ci-
ty, by its City Council, has caused this
bond to be signed by its Mayor and
attested by its City Clerk, with the seal
of said City affixed, and the coupons
hereto attached to be executed with the
facsimile signature of said City Clerk,
which official by the execution of this
bond does adopt as and for his proper
signature his facsimile signature ap-
Session, November 1, 1976 545
peering on said coupons, all the first day
of November, 1976.
Mayor of the City
of Dubuque, Iowa
ATTEST:
City Clerk of the
City of Dubuque, Iowa
(Form of Coupon)
No. $
On----,19--, the Treasurer of the
Date of
Registration
Name of
Registered Owner
On the back of each bond there shall
be endorsed a certificate of the City
Treasurer in the following form:
City Treasurer's Certificate
The issue of this bond has been duly
and properly recorded in my office as of
the first day of November, 1976.
Treasurer of the City of
Dubuque, Iowa.
Section 4. That said bonds be ex-
ecuted as herein provided as soon after
the adoption of this resolution as maybe
and thereupon they shall be delivered to
the Treasurer of said City, who shall
register the fact of the issuance of same
in a book provided for that purpose and
shall deliver said bonds to the pur-
chaser, as determined by this Council,
upon receipt of the purchase price, the
same to be not less than the par value of
Said bonds with accrued interest ther-
eon, all action heretofore taken in con-
nection with the sale and award of said
bonds being hereby ratified and con-
firmed in all respects.
Section 5. That the principal Droceeds
City of Dubuque, in Dubuque County,
Iowa, will pay to bearer---- dollars
($ — — — — ) at the office of the City
Treasurer, Dubuque, Iowa, for interest
due that date on the Civic Center Bond
of Said City, dated November 1, 1976,
No. --.
City Clerk
Signature of
City Treasurer
three years following the date of issue of
said bonds'
(3) work on the said facilities has
proceeded and is expected to proceed
with due diligence to completion;
(4) said facilities have not been and
are not expected to be sold or otherwise
disposed of in whole or in par prior to
the last maturity of said bonds;
(5) all of the principal proceeds of the
bonds are needed for the purpose stated
in the form of bond above set out, in-
cluding expenses incidental to such
purpose and to the issuance of the
bonds; and
(6) to the best of the knowledge and
belief of the Council there are no facts,
estimates or circumstances that would
materially change the conslusions and
representations set out in this section.
Said Council also certifies and further
covenants with the purchasers and
holders of said bonds from time to time
outstanding that so long as any of said
bonds remain outstanding, moneys on
deposit in any fund or account in con-
nection with said bonds, whether or not
such moneys were derived from the
proceeds of the sale of said bonds or
from any other sources will not be used
in a manner which will cause such
bonds to be "arbitrage bonds" within
the meaning of Section 103(d) of the
Internal Revenue Code of 1954, as
amended, and any lawful regulations
promulgated or proposed thereunder,
including Sections 1.103-13 and 1.103-14
of the Income Tax Regulations (26 CFR
Part 1), as the same presently exist, or
may from time to time hereafter be
amended, supplemented or revised. The
Council reserves the right however, to
make any investment of such moneys
permitted by state law if, when and to
the extent that said Section 103(d) or
regulations promulgated thereunder
shall be repealed or relaxed or shall be
546
held void by final decision of a court of
competent jurisdictions, but only if any
investment made by virtue of such
repeal, relaxation or decision would not,
in the opinion of counsel of recognized
competence in such matters, result in
making the interest on said bonds sub-
ject to federal income taxation.
Section 6. That as required by
Chapter 76 of the Code of Iowa and for
the purpose of providing for the levy
and collection of a direct annual tax
sufficient to pay the interest on said
bonds as it falls due, and also to pay and
discharge the principal thereof at ma-
turity, there be and there is hereby
ordered levied on all the taxable
property within said City a direct an-
nual tax for each of the years while said
bonds or any of them are outstanding, in
amounts sufficient for that purpose, and
that there be and there is hereby levied
upon all the taxable property in said
City the following iirect annual tax
to -wit:
In the year 1977 for collection in the
fiscal year ending June 30, 1978, a
tax sufficient to produce the sum of
$311,488 for principal and interest;
In the year 1978 for collection in the
fiscal year ending June 30, 1979, a
tax sufficient to produce the sum of
$322,075 for principal and interest;
In the year 1979 for collection in the
fiscal year ending June 30, 1980, a
tax sufficient to produce the sum of
$340,325 for principal and interest;
In the year 1980 for collection in the
fiscal year ending June 30, 1981, a
tax sufficient to produce the sum of
$357,450 for principal and interest;
In the yew 1981 for collection in the
fiscal year ending June 30, 1982, a
tax sufficient to produce the sum of
$348,450 for principal and interest;
In the year 1982 for collection in the
fiscal year ending June 30, 1983, a
tax sufficient to produce the sum of
$364,450 for principal and interest;
In the year 1983 for collection in the
fiscal year ending June 30, 1984, a
tax sufficient to produce the sum of
$379,325 for principal and interest;
In the year 1994 for collection in the
fiscal year ending June 30, 1985, a
tax sufficient to produce the sum of
$368,075 for principal and interest;
In the year 1985 for collection in the
fiscal year ending June 30, 1986, a
tax sufficient to produce the sum of
$381,825 for principal and interest;
In the year 1986 for collection in the
fiscal year ending June 30, 1987, a
tax sufficient to produce the sum of
$369,450 for principal and interest;
In the year 1987 for collection in the
November 1, 1976
fiscal year ending June 30, 1988, a
tax sufficient to produce the sum Of
$381,250 for principal and interest;
In the year 1988 for collection in the
fiscal year ending June 30, 1989, a
tax sufficient to produce the sum of
$391,850 for principal and interest;
In the year 1989 for collection in the
fiscal year ending June 30, 1990, a
tax sufficient to produce the sum of
$376,250 for principal and interest;
In the year 1990 for collection in the
fiscal year ending June 30, 1991, a
tax sufficient to produce the sum of
$385,000 for principal and interest;
In the year 1991 for collection in the
fiscal year ending June 30, 1992, a
tax sufficient to produce the sum of
$367,500 for principal and interest.
A certified copy of this resolution
shall be filed with the County Auditor of
Dubuque County and said Auditor
shall be and he is hereby instructed in
and for each of the years 1977 to 1991,
inclusive, to enter for collection and
assess the tax hereby authorized. When
annually entering said taxes for collec-
tion, the County Auditor shall include
the same as a part of the tax levy for
debt service fund purposes of said City,
and when collected, the proceeds of said
taxes shall be converted into the debt
service fund of said City and set aside
therein as a special account to be used
solely and only for the payment of prin-
cipal and interest of the bonds hereby
authorized and for no other purposes
whatsoever.
That the principal or interest coming
due at any time when there are insuf-
ficient funds on hand to pay the same be
promptly paid when due from current
funds on hand, and reimbursement be
made to such correct funds in the sums
thus advanced when the taxes herein
provided shall have been collected.
Section 7. That this resolution
become effective immediately upon its
passage and approval and that all re-
solutions or parts thereof in conflict
herewith be and the same are hereby
repealed to the extend of such conflict.
Passed and approved November 1,
1976.
Emil Stackis
Mayor Pro Tern
ATTEST:
Leo F. Frommelt
City Clerk
Recorded November 1, 1976
Leo F. Frommelt
City Clerk
Councilman Tully moved adoption of
the resolution. Seconded by Council-
man Wertzberger. Carried by the fol-
lowing vote: