GO Refunding Bonds Sanitary Sewer ProjectTHE CITY OF
DUB E
Masterpiece on the Mississippi
MEMORANDUM
September 25, 2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Proceedings to set date of hearing on not to exceed $3,585,000 General
Obligation Refunding Bonds
Finance Director Ken TeKippe recommends that a public hearing be set for October 15,
2007 on the proposition of selling not to exceed $3,585,000 in General Obligation
Refunding Bonds. The opportunity and timing to refund exists since the City is currently
in the process of issuing not to exceed $1,200,000 General Obligation Bonds for a
sanitary sewer project. Minimal additional costs will be incurred with projected net
present value savings to the City of $68,843.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
G' ~~
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
THE CITY OF
Dus E MEMORANDUM
~,-~-~
TO: Michael C. Van Milligen, City Manager ~ ,
FROM: Kenneth J. TeKippe, Finance Director ~ ''v e ~~
SUBJECT: Proceedings to set date of hearing on not to exceed $3,585,000 General
Obligation Refunding Bonds
DATE: September 24, 2007
The purpose of this memorandum is to recommend the setting of a public hearing on
the proposal to issue General Obligation Refunding Bonds to partially refund the
outstanding balance on the General Obligation Bonds, Series 2000C. The Series
2000C bonds are callable June 1, 2009. The refunded par amount of bonds equals
$2,985,000 (maturities 2010-2017). The hearing amount is larger than that due to the
need to include issuance costs and to preserve the ability to adjust the principal amount
of the refunding bonds at the time of sale. Payment dates for bond principal will not
change due to the refunding. The interest rates will be more favorable than the average
rate being paid (5.125%) on the Series 2000C bonds. The opportunity and timing to
refund exists since the City is currently in the process of issuing not to exceed
$1,200,000 General Obligation Bonds for a sanitary sewer project. Minimal additional
costs will be incurred with projected net present value savings to the City of $68,843.
The entire Series 2000C bonds will not be refinanced since bonds due through and
including June 1, 2009 are not callable. The City can issue up to $10 million in bonds
in a given calendar year and enjoy the pricing advantage of bank qualified bonds.
The requested action step for City Council is to adopt the attached resolution fixing the
date of October 15, 2007 for a public hearing on the proposition of selling not to exceed
$3,585,000 in General Obligation Refunding Bonds (for an essential corporate purpose)
of Dubuque, Iowa and providing for publication of notice thereof. A letter from attorney
William Noth detailing information on the bond hearing is enclosed.
KJT/jmg
Enclosures
cc: Barry Lindahl, City Attorney
Jenny Larson, Budget Director
Jeanne Schneider, City Clerk
AHLERS ~COONEY, P.C.
100 COURT AVENUE, SUITE 600
DES MOINES. IOWA 50309-2231
PHONE: 515-243-7611
FAX: 515-243-2149
WWW.AHLERSLAW.COM
WILLIAM J. NOTH
wnoth~ahlerslaw.com
September 21, 2007
Mr. Ken TeKippe
Finance Officer
City of Dubuque
50 West 13th Street
Dubuque, Iowa 52001-4864
RE: Not to exceed $3,585,000 General Obligation Refunding Bonds
Dear Mr. TeKippe:
Direct Dial:
(5151246-0332
We have now prepared and are enclosing suggested proceedings to be acted upon
by the Council in fixing the date of a 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 nor
more than twenty dam 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.
WISHARD Br GAILY - 1588; GUERNSEY 8~ GAILY - 1893: GAILY & STIPP - 1901; STIPP, PERRY. BANNISTER 8c STARZINGER - 1914; BANNISTER, CARPENTER,
AHLERS & GOONEY - 1950: AHLERS. GOONEY, DORWEILER, ALLBEE, HAVNIE & SMITH - 1974: AHLERS, GOONEY, DORWEILER. HAYNIE. SMITH 8+ ALLBEE. P.C. - 1990
September 21, 2007
Page 2
s
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 the Bonds. After all 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 the Bonds or to abandon
the proposal to issue the Bonds.
The Council is required by statute to adopt the resolution instituting proceedings to
issue the Bonds at the hearing--or an adjournment thereof.
We will prepare and forward to you in the near future, suggested procedure to be
acted upon on the date of hearing. If you have any questions pertaining to the
proceedings enclosed or the above instructions, please do not hesitate to either write or
call.
Yours very truly,
William J. Noth
WJN:dc
encl.
cc: Barry Lindahl (w/encl.)
Jeanne Schneider (w/originals)
DCORNELL/ 554343.1 /MSWord\10242080
(This Notice to be posted)
NOTICE AND CALL OF PUBLIC MEETING
Governmental Body: The City Council of Dubuque, Iowa.
Date of Meeting: , 2007.
Time of Meeting: o'clock .M.
Place of Meeting: Historic Federal Building, 350 West 6th Street, 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 $3,585,000 General Obligation Refunding 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 Chapter 21, Code of
Iowa, and the local rules of said governmental body.
City Clerk, Dubuque, Iowa
2007
The City Council of Dubuque, Iowa, met in
Federal Building, 350 West 6th Street, Dubuque, Iowa, at
above date. There were present Mayor
the following named Council Members:
session, in the Historic
_ o'clock _.M., on the
in the chair, and
Absent:
******~
Council Member Kevin Lynch introduced the following Resolution
entitled "RESOLUTION FIXING DATE FOR A MEETING ON THE PROPOSITION
OF THE ISSUANCE OF NOT TO EXCEED $3,585,000 GENERAL OBLIGATION
REFUNDING 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
Karla Braig seconded the motion to adopt. The roll was called and the
vote was,
AYES: Braig, Buol, Cline, Connors, Jones,
Lynch, Michalski
NAYS: None
Whereupon, the Mayor declared the resolution duly adopted as follows:
RESOLUTION NO. 499-07
RESOLUTION FIXING DATE FOR A MEETING ON THE
PROPOSITION OF THE ISSUANCE OF NOT TO EXCEED
$3,585,000 GENERAL OBLIGATION REFUNDING
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 Refunding Bonds to the amount of not to exceed
$3,585,000, 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 time and place of the meeting at which the Council proposes to take action for the
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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 Historic Federal Building, 350 West 6th
Street, Dubuque, Iowa, at 5 = 3 0 o'clock P .M., on the 15th day of
October , 2007, for the purpose of taking action on the matter of the
issuance of not to exceed $3,585,000 General Obligation Refunding 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 of certain outstanding City
indebtedness, consisting of the General Obligation Bonds, Series 2000C, dated November
1, 2000.
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:
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NOTICE OF MEETING OF THE COUNCIL OF THE CITY OF
DUBUQUE, IOWA, ON THE MATTER OF THE PROPOSED
ISSUANCE OF NOT TO EXCEED $3,585,000 GENERAL
OBLIGATION REFUNDING 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 15th day of o c t ob e r , 2007, at
5:30 o'clock P .M., in the Historic Federal Building, 350 West 6th Street, Dubuque,
Iowa, at which meeting the Council proposes to take additional action for the issuance of
not to exceed $3,585,000 General Obligation Refunding Bonds for an essential corporate
purpose of said City, in order to provide funds to pay costs of refunding and refinancing
of certain outstanding City indebtedness, consisting of the General Obligation Bonds,
Series 2000C, dated November 1, 2000.
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 meeting 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 3rd day of October , 2007.
~f
ity Clerk of Dubuque, Iowa
(End of Notice)
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PASSED AND APPROVED this
1st
day of
October ,2007•
ATTEST:
Mayor
.(/ ,~
ity Clerk
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CIG-3
CERTIFICATE
STATE OF IOWA )
SS
COUNTY OF DUBUQUE )
I, the undersigned City Clerk of Dubuque, Iowa, do hereby certify that attached is
a true and complete copy of the portion of the corporate records of the Municipality
showing proceedings of the Council, and the same is a true and complete copy of the
action taken by the Council with respect to the 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 bulletin 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 the agenda being
attached hereto) pursuant to the local rules 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 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
the 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 the Municipality hereto affixed this
day of , 2007.
City Clerk, Dubuque, Iowa
SEAL
DCORNELL\554344.11 WP110422080
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