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HomeMy WebLinkAboutCOUNCIL MINUTES 1992-10-19 SPECIAL 27261 MINUTES OF THE TWO HUNDRED TWENTY-SIXTH SPECIAL MEETING Iwo OF THE COUNCIL OF THE CITY OF LIVONIA Pursuant to the provisions of Section 8, Chapter 14 of the City Charter, the above meeting was held October 19, 1992 at the City Hall, 33000 Civic Center Drive, Livonia, Michigan, and was called to order by the President of the Council at approximately 8:02 p m. Roll was called with the following result: Present Dale A Jurcisin, Gerald Taylor, Ron Ochala, Sean P. Kavanagh, and Laura M Toy. Absent: Fernon P. Feenstra and Michael P. McGee. Elected and appointed officials present: David N. Preston, Finance Director; John Nagy, City Planner; Raul Galindo; City Engineer; and Ann W. Tavolacci, Deputy City Clerk No one spoke during the audience communication portion at the beginning of the meeting. On a motion by Ochala, seconded by Kavanagh, and unanimously adopted, it was: #784-92 WHEREAS, by resolution adopted on August 31, 1992 (the "Bond Resolution") the City authorized not to exceed $1,000,000 1993 Michigan Transportation Fund Refunding Bonds (the "Bonds" ) for the purpose of refunding in 1993 the City' s 1984 Michigan Transportation Fund Bonds dated February 1, 1984 maturing in the years 1994 through 1998, inclusive (the "Prior Bonds"); and WHEREAS, the Michigan Department of Treasury (the "Department") approved issuance of the Bonds; and WHEREAS, the City has received an offer to purchase the Bonds on or after January 1, 1993 from Hutchinson, Shockey, Erley & Co. (hereinafter the "Underwriter"), and has determined that it is in the best interests of the City to accept the offer. NOW, THEREFORE, BE IT RESOLVED THAT: 1. The offer of the Underwriter as set forth in the proposed bond purchase agreement (the "Bond Purchase Agreement") presented to this Council to purchase the Bonds in the principal amount and at a purchase price as shown on Exhibit A attached hereto and made part hereof plus accrued interest, if any, is hereby 27262 accepted and the Mayor and City Clerk are each authorized and directed to execute and deliver the Bond Purchase Agreement on behalf of the City The Bonds shall be sold and delivered to the Underwriter on a date on or after January 1, 1993 to be agreed upon by the City and Underwriter upon receipt of the purchase price therefor on such date 2 The Bonds shall be dated as of January 1, 1993, shall be designated 1993 Michigan Transportation Fund Refunding Bonds and shall mature on July 1st of each year and bear interest as shown on Exhibit A The Bonds shall not be subject to redemption prior to maturity. 3. First of America Bank - Southeast Michigan, N.A. , Bloomfield Hills, Michigan is hereby approved as Transfer Agent for the Bonds and is further approved as Trustee under the proposed escrow agreement (the "Escrow Agreement") presented to this Council. 4. The Escrow Agreement providing for payment and redemption of the Prior Bonds is hereby approved. The Trustee is directed and authorized to implement and discharge its responsibilities thereunder. The Mayor and City Clerk shall execute and deliver the Escrow Agreement substantially in the form presented to this Council with such changes and completions as shall be necessary in order to accomplish refunding the Prior Bonds in accordance with law, the Bond Resolution and the order of the Department. 5. Upon delivery of the Bonds the accrued interest, if any, shall be deposited in the Debt Retirement Fund for the Bonds and the balance shall be used as follows A sum presently estimated to be $20,905.88 shall be used to pay the costs of issuance of the Bonds including fees and contingency, and any balance remaining from that sum after paying the costs of issuance shall be deposited in the Debt Retirement Fund for the Bonds. The sum of $882,656.62 from the bond proceeds shall be paid to the Trustee and invested by it as provided in the Escrow Agreement for payment of principal, interest and redemption premium on the Prior Bonds. 6. The Preliminary Official Statement relating to the Bonds dated October 9, 1992, and its use by the Underwriter are hereby authorized, approved and confirmed. 7. The Official Statement dated October 14, 1992, relating to the Bonds, which Official Statement has been presented to and is on file with this Council is hereby authorized and approved. The Finance Director is authorized and directed to execute and deliver the Official Statement on behalf of the City. The Finance Director is further authorized to approve, execute and deliver any amendments and supplements to the Official Statement necessary to assure that the statements therein are, and as of 27263 the time the Bonds are delivered to the Underwriter will be true, and that it does not contain any untrue statement of a material fact and does not omit to state a material fact necessary in order to make the statements, in light of the circumstances under which they were made, not misleading. 8. The Officers, agents and employees of the City are authorized to take all other actions necessary and convenient to facilitate sale of the Bonds. 9. All resolutions and parts of resolutions insofar as they conflict with the provisions of this resolution be and the same hereby are rescinded. EXHIBIT A to RESOLUTION AUTHORIZING SALE OF CITY OF LIVONIA 1993 MICHIGAN TRANSPORTATION FUND ihmo REFUNDING BONDS Principal Amount: $915,000 00 Purchase Price: $903,562.50 Maturities and Interest Rates: Year Principal Amount Interest Rate 1994 $230,000 3.30% 1995 250,000 3.70 1996 105,000 4.00 1997 105,000 4.30 1998 225,000 4.60 27264 No one from the audience wished to speak during the audience 1. communication portion at the end of the meeting On a motion by Ochala, seconded by Jurcisin, and unanimously adopted, this 226th Special Meeting of the Council of the City of Livonia was duly adjourned at 8:05 p.m. , October 19, 1992. -7/61'6 Joad McCotter, City Clerk L [..