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HomeMy WebLinkAboutCity Council resolution 793CITY OF SARATOGA RESOLUTION NO. 793 RESOLUTION PROVIDING FOR THE ISSUANCE OF $1,200,000 PRINCIPAL AMOUNT OF "CITY OF SARATOGA 1976 LIBRARY BONDS"; PRESCRIBING THE DATE AND FORM OF SAID BONDS AND OF THE COUPONS TO BE ATTACHED THERETO AND PRE- SCRIBING THE MATURITIES THEREOF AND THE REDEMPTION PROVISIONS THEREFOR; FIXING THE MAXIMUM RATE OF INTEREST ON SAID BONDS; AUTHORIZING THE EXECUTION OF SAID BONDS AND COUPONS; PROVIDING FOR THE LEVY OF A TAX TO PAY THE PRINCIPAL OF AND INTEREST THEREON; AND DIRECTING NOTICE OF SALE OF SAID BONDS TO BE GIVEN. WHEREAS, all the requirements of law have been com- plied with in calling and holding the special municipal bond election held in the City of Saratoga on March 4, 1975, at which election a measure to issue bonds of said City in the aggregate principal sum of $1,200,000 for the object and purpose hereinafter stated was submitted to the voters of said City; and the City Council of said City did duly and regularly confirm the canvass of the returns of said special municipal bond election and did by said confirmation deter- mine and declare, and does hereby certify, that said measure received at said special municipal bond election the affirm- ative vote of more than two-thirds of all of the voters voting on said measure at said special municipal bond election, and was thereby carried and adopted by said election, and the issuance of said bonds by said City was duly authorized; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Saratoga, as follows: Section 1. The City Council of the City of Saratoga has reviewed all proceedings heretofore taken and has found as a result of such review, and does hereby find and determine, that all acts, conditions and things required by law to exist, happen and be performed precedent to and in the issuance of said bonds have existed, happened and been performed in due time, form and manner as required by law, and the City of Saratoga is now authorized pursuant to each and every requirement of law to incur indebtedness in the manner and form as in this resolution provided. Section 2. Bonds of the City of Saratoga in the aggregate principal amount of $1,200,000 shall issue to pay the cost of the acquisition, construction and completion of the municipal improvement of said City set forth in the following measure, to wit: MEASURE: Shall the City of Saratoga (Library) incur a bonded indebtedness in the principal amount of $1,200,000 for the acquisition, construction and completion of the following municipal improvement, to wit: A new public library, including land, building, landscaping, site development and parking facilities, together with furniture, fixtures, books and equip- ment therefor; and other works, property or structures necessary or convenient for a new public library for the City of Saratoga? Section 3. Said $1,200,000 principal amount of bonds shall be issued as hereinafter set forth, and shall ha sold in accordance with law at not less than their par value and accrued interest. Said bonds shall be known as 2 the "City of Saratoga 1976 Library Bonds." Said bonds shall be negotiable in form, and of the character known as serial, and shall be numbered 1 to 240, both inclusive, consecutively upwards in order of maturity and shall each be of the denomi- nation of $5,000. Said bonds shall be dated December 15, 1976 (which is hereby fixed and determined to be the date of issue of said bonds). All of said bonds shall bear interest from their date until paid at the rate or rates designated by the City Council of the City of Saratoga at the time of the sale of said bonds, but not to exceed eight per cent (8%) per annum, payable annually the first year on December 15, 1977 and semiannually thereafter on June 15 and December 15 of each year. Such interest shall be evidenced by coupons attached to each bond, and each of said coupons shall represent six months' interest on the bond to which it is attached, except the first coupon which shall represent one year's interest on the bond to which it is attached. The interest courpons on said bonds shall be payable annually on December 15, 1977 and semiannually thereafter on June 15 and December 15 in each year until and at the respective dates of maturity of said bonds. Said bonds shall mature serially in consecutive numerical order, from lower to higher, as set forth in the following schedule: Maturity Date (December 15) Annual Principal (Both years inclusive) Amount 1978 - 1983 1984 - 1985 1986 1987 1988 1989 - 1992 $25,000 30,000 35,000 40,000 45,000 50,000 e'' e Maturity Date (December 15) Annual Principal (Both years inclusive) Amount 1993 1994 1995 1996 - 1998 1999 2000 2001 $ 55,000 60,000 65,000 75,000 80,000 85,000 100,000 Both the principal of and interest on said bonds shall be payable in lawful money of the United States of America at the principal office of Bank of America National Trust and Savings Association, in San Francisco, California, the Paying Agent of said City for said bonds. Bonds maturing by their terms on or prior to December 15, 1986 are not subject to call and redemption prior to their fixed maturity dates. Bonds maturing by their terms on or after December 15, 1987 are subject to call and redemption prior to their fixed maturity dates, at the option of said City, on December 15, 1986, but not prior thereto, and on any interest payment date thereafter prior to maturity, as a whole or in part in inverse order of maturities (and by lot within any one maturity), at the prin- cipal amount thereof and accrued interest to the date of re- demption, plus a redemption premium equal to the sum of: (a) one-half of one per cent (1/2 of 1%) of the principal amount of each bond so redeemed, plus (b) one-quarter of one per cent (1/4 of 1%) of the principal amount of each bond so redeemed for each whole year and for any remaining fraction of a year between the date of redemption and the date of maturity of such bonds. Wherever funds are available for the call and redemption of any of the bonds then subject to call and redemption, said City shall determine the numbers of the 4 • i bonds to be called and redeemed, and the date of redemption thereof. Notice of any such redemption shall be published by said City once a week for two successive weeks in a financial newspaper of general circulation in San Francisco, California. The notice of redemption shall set forth the bond numbers and principal amount of the bonds so to be called and redeemed and the amount of the premium payable thereon at the date of redemption. Similar notices shall be mailed at the same time by said City to the respective registered owners of any bonds called for redemption at their addresses appearing on the registration book in the office of the Paying Agent of said City for said bonds; provided that such mailing shall not be a condition precedent to such redemption and failure to mail or receive any such notice shall not affect the validity of the proceedings for the redemption of such bonds. The first publication of such notice of redemption shall be not less than 30 days nor more than 60 days prior to the date fixed for such redemption. After the date fixed for such redemption, if said City shall have duly published notice of such redemption and shall have provided funds available for payment of the principal, premium and accrued interest on the bonds so called, interest on such bonds shall cease. All bonds and coupons surrendered upon call for redemption shall be cancelled by said City and shall not be reissued. Section 4. Said bonds and the coupons attached thereto shall each be in substantially the following form, the blanks in said forms to be filled with appropriate words es, 5 r • (Form of Bond) UNITED STATES OF AMERICA STATE OF CALIFORNIA COUNTY OF SANTA CLARA CITY OF SARATOGA 1976 LIBRARY BOND No. $5,000 The CITY OF SARATOGA, a municipal corporation organized and existing under the Constitution and laws of the State of California, hereby acknowledges itself in- debted and for value received promises to pay to the bearer hereof (or if this bond be registered, to the registered owner hereof) on December 15, (subject to any right of prior redemption hereinafter in this bond expressly provided for) the principal sum of FIVE THOUSAND DOLLARS ($5,000) together with interest thereon at the rate of per cent ( %) per annum until payment of said principal sum in full, payable annually the first year on December 15, 1977 and semiannually thereafter on June 15 and December 15 in each year. Unless this bond be registered as to principal and interest, such interest, on or prior to maturity, shall be payable only on presentation and surrender of the proper interest coupons hereto attached as they respectively become due. Both the principal of and interest on this bond are payable in lawful money of the United States of America at the principal office of Bank of America National Trust and Savings Association, in San Francisco, California. Bonds maturing by their terms on or prior to December 15, 1986 are not subject to call and redemption prior to their fixed maturity dates. Bonds maturing by their terms on or after December 15, 1987 are subject to call and re- demption prior to their fixed maturity dates, at the option of said City, on December 15, 1986,but not prior thereto, and on any interest payment date thereafter prior to maturity, as a whole or in part in inverse order of maturities (and by lot within any one maturity), at the principal amount thereof and accrued interest to the date of redemption, plus a redemp- tion premium equal to the sum of: (a) one-half of one per cent (1/2 of 1%) of the principal amount of each bond so redeemed, plus (b) one quarter of one per cent (1/4 of 1%) of the principal amount of each bond so redeemed for each whole year and fnr any remaining fraction of a year between the date of redemption and the date of maturity of such bond. 6 i This bond is one of a duly authorized issue of bonds of said City aggregating One Million Two Hundred Thousand Dollars ($1,200,000) in principal amount, all of like tenor and date (except for such variations, if any, as may be required to designate varying numbers, maturitites, interest rates or redemption provisions) and is issued under and pursuant to the Constitution and statutes of the State of California, and under and pursuant to the ordinances and proceedings of said City duly adopted and taken and a vote and assent of more than two-thirds of all the qualified electors of said City voting at a special election duly called and held for that purpose. This bond may be registered in the name of the owner hereof in conformity with the provisions endorsed hereon, and unless so registered shall be transferable by delivery. It is hereby certified, recited and declared that all acts, conditions and things required by law to exist, happen and to be performed precedent to and in the issuance of this bond have existed, happened and been performed in due time, form and manner as required by law, and that the amount of this bond, together with all other indebtedness of said City, does not exceed any limit pre- scribed by the Constitution or statutes of said State, and that provision has been made as required by the Constitution and statutes of said State for the collection of an annual tax sufficient to pay the principal of, and interest on, this bond as the same become due. The full faith and credit of said City are hereby pledged for the punctual payment of the principal of and interest on this bond. IN WITNESS WHEREOF, the City of Saratoga has caused this bond to be executed under its official seal, signed by its Mayor and its Treasurer, and countersigned by its Clerk, and has caused the interest coupons attached hereto to be signed by its Treasurer and this bond to be dated December 15, 1976. ]SEAL] Mayor of the City of Saratoga Treasurer of the City of Saratoga Countersigned: CityCietk of"the City pf^Saiataga 7 0 • [Form of Coupon] Coupon No. The CITY OF SARATOGA on 15, will (unless the within mentioned bond be registered, and subject to any right of prior redemption therein reserved) pay to the bearer at the principal office of Bank of America National Trust and Savings Association, in San Francisco, $ California, the sum shown hereon in lawful money of the United States of America, being the interest then due on its 1976 Library Bond, dated December 15, 1976, No. Treasurer of the City of Saratoga [Form of Registration Certificate] This bond may be registered in the name of the owner on books kept by the Paying Agent of the City as to principal only, such registration being noted hereon by said Paying Agent in the registration blank below, after which no transfer shall be valid unless made on said books by the registered owner or attorney duly authorized and similarly noted in the registration blank below, but it may be discharged from registration by being transferred to bearer, after which it shall be transferable by delivery, but it may be again registered as before. The registration of this bond as to principal shall not restrain the negotiability of the coupons by delivery, but the coupons may be surrendered and the interest made payable only to the registered owner, in which event said Paying Agent shall note in the registration blank below that the bond is registered as to interest as well as principal. At the request of the registered owner, this bond, if converted into a bond registered as to both principal and interest, may be reconverted into a coupon bond at the expense of the owner and such coupon bond may again be converted into a bond registered as to both principal and interest as hereinabove provided. Upon recondersion of this bond, if registered as to principal and interest, into a coupon bond, coupons representing the interest to accrue hereon to date of maturity shall be attached hereto by said Paying Agent and said Paying Agent shall note in the registration blank below whether the bond is registered as to principal only or payable tc, bearer. NOTE: The must be no writing in the space below except by the Paying Agent. DATE OF IN WHOSE NAME MANNER OF SIGNATURE OF REGISTRATION: REGISTERED: REGISTRATION: PAYING AGENT: Section 6. The City Council of the City of Saratoga covenants that it will, while any of said bonds are outstanding and unpaid, keep at the office of the Paying Agent in San Francisco, California, books for the registration of said bonds as herein provided, and said Paying Agent is hereby appointed the registrar of said City for the purpose of registering said bonds. The bonds may be registered as to principal only or as to both principal and interest in the manner set forth in the registration certificate herein contained pertaining to said bonds. Bonds registered as to both principal and interest may be discharged from registration and converted into coupon bonds A person in whose name a bond shall be registered shall be deemed the absolute owner and, so long as the same shall be registered as to principal and interest, payments of or on account of the principal and interest thereof shall be made only to the registered owner. Payment of the 9 t • principal of a bond registered as to principal only shall be made only to the registered owner of such bond, but the bearer of any coupon appertaining to an unregistered bond or to a bond registered as to principal only or registered to bearer shall be deemed the absolute owner of such coupon, and the bearer of any unregistered bond or a bond registered to bearer shall be deemed the absolute owner of such bond, and the Paying Agent shall be fully protected in making payment of such unregistered bond or coupon to the bearer thereof. In all cases in which the privilege of transfer- ring, registering or reconverting a bond is exercised, the Paying Agent may make a charge sufficient to reimburse it for any tax, fee or other governmental charge required to be paid by said City or the Paying Agent in connection therewith, and in addition may charge a reasonable sum for its costs and expenses in the reconversion of any such bond registered as to both principal and interest into a bond registered as to principal only, or into a bond the principal and interest of which is payable to bearer, not exceeding $1 per $1,000 principal amount of bonds so con- verted or such larger amount as may be permitted by law, which sum or sums shall be paid by the person requesting such transfer, registration or reconversion. Section 7. For the purpose of paying the principal of and interest on said bonds, the City Council of the City of Saratoga shall, at the time of making the next general tax levy after incurring the bonded indebtedness, and annually thereafter until the bonds are paid or until there is a sum in the treasury set apart for that purpose 10 sufficient to meet all payments of principal and interest on the bonds as they become due, levy and collect a tax sufficient to pay the interest on the bonds and such part of the principal as will become due before the proceeds of a tax levied at the next general tax levy will be available, and also sufficient to constitute a sinking fund for the payment of such principal on or before maturity. Such taxes shall be levied and collected as other City taxes and shall be in addition to all other taxes and shall be used only for payment of the bonds and interest thereon. Said taxes as collected shall be forthwith paid into the fund for which the same were levied and collected and which shall be designated "City of Saratoga 1976 Library Bond Interest and Redemption Fund," and all sums to become due for the principal of and interest on said bonds shall be paid from such fund. There shall likewise be deposited in said fund any moneys received on account of any premium paid on said bonds and interest accrued on said bonds from their date to the date of delivery and actual payment of the purchase price thereof. Section 8. There is hereby created and established a fund to be known as the "City of Saratoga 1976 Library Bond Fund," which shall be kept by the Treasurer of said City, and all proceeds of the sale of said City of Saratoga 1976 Library Bonds (except premium and accrued interest received on such sale), shall be placed by the Treasurer to the credit of said fund and shall be kept separate and distinct from all other 11 municipal funds. The moneys in said fund shall be applied exclusively to the purpose and object specified in said measure set forth in Section 2 of this resolution, including payment of all costs and expenses incidental to or connected with the authorization, issuance and sale of the bonds and all legal and other fees incidental to or connected with the authorization, issuance and sale of the bonds and the costs of printing said bonds' provided, however, that when said purpose and object have been accomplished, any moneys remaining in said fund shall be transferred to said City of Saratoga 1976 Library Bond Interest and Redemption Fund and be used for the payment of principal of and interest on the bonds of said authorized issue; and provided, further, that when such purpose and object have been accomplished and all principal and interest on the bonds have been paid, any balance of money then remaining shall be transferred to the general fund of said City. Section 9. The City Clerk of the City of Saratoga is directed to cause a sufficient number of blank bonds and coupons of suitable quality to be lithographed, printed or engraved, and to cause the blank spaces thereof to be filled in to comply with the provisions hereof, and to procure their execution by the proper officers, and to deliver them, when so executed, to the Treasurer of said City who shall safely keep the same until they shall be sold by said City Council, whereupon he shall deliver them to the purchaser or purchasers thereof, on receipt of the purchase price. The Mayor, Treasurer and City Clerk of the City of Saratoga are further authorized and directed to make, execute and deliver to each purchaser of said bonds a signature and no -litigation certificate 12 • in the form customarily required by purchasers of municipal bonds, certifying to the genuineness and due execution of said bonds and further certifying to all facts within their knowledge relative to any litigation which may or might affect said City, said officers or said bonds, and said Treasurer is further authorized and directed to make, execute and deliver to each purchaser of said bonds a receipt in the form customarily required by purchasers of municipal bonds, evidencing the payment of the purchase price of the bonds so purchased, which receipt shall be conclusive evidence that said purchase price has been paid and has been received by said City. Any purchaser or subsequent taker or holder of said bonds is hereby authorized to rely upon and shall be justified in relying upon such signature and no -litigation certificate and upon such Treasurer's receipt with respect to said bonds executed pursuant to the authority of this resolution. Section 10. All of said bonds shall be offered for public sale by the City Council of the City of Saratoga on Wednesday, November 17, 1976, and the City Clerk is hereby authorized and directed to cause a notice of the sale of said bonds to be published once in the Saratoga News, such notice to be substantially in the following form, to wit: 13 • OFFICIAL NOTICE OF SALE $1,200,000 CITY OF SARATOGA 1976 LIBRARY BONDS NOTICE IS HEREBY GIVEN that sealed proposals will be received and opened by a representative of the City Council of the City of Saratoga, Santa Clara County, State of California, at the office of Bartle Wells Associates, 28th Floor, 100 Bush Street, San Francisco, California 94104, on WEDNESDAY, NOVEMBER 17, 1976 at the hour of 11:00 o'clock A.M. for the purchase of $1,200,000 principal amount of bonds of said City designated "City of Saratoga 1976 Library Bonds," more particularly described below. ISSUE AND DENOMINATION: $1,200,000 principal amount of coupon bonds numbered consecutively from 1 to 240. The bonds shall all be of the denomination of $5,000 each. DATE: The bonds are dated December 15, 1976. MATURITIES: The bonds mature serially in consecu- tive numerical order, from lower to higher, as follows: Maturity Date Annual (December 15) Principal (Both years inclusive) Amount 1978 - 1983 1984 - 1985 1986 1987 1988 1989 - 1992 1993 1994 1995 1996 - 1998 1999 2000 2001 $ 25,000 30,000 35,000 40,000 45,000 50,000 55,000 60,000 65,000 75,000 80,000 85,000 100,000 REDEMPTION: Bonds maturing by their terms on or prior to December 15, 1986 are not sub- ject to call and redemption prior to their fixed maturity dates. Bonds maturing by their terms on or after December 15, 1987 are subject to call and re- demption prior to their fixed maturity dates, at the option of the City, on December 15, 1966, but not arior thereto, and on any interest payment date thereafter prior to maturity, as a whole or in part in inverse order of maturities (and 14 by lot within any one maturity), at the principal amount thereof and accrued interest to the date of redemption, plus a redemption premium equal to the sum of: (a) one-half of one per cent (1/2 of 1%) of the principal amount of each bond so redeemed, plus (b) one-quarter of one per cent (1/4 of 1%) of the principal amount of each bond so redeemed for each whole year and for any remaining fraction of a year between the date of redemption and the date of maturity of such bond._ INTEREST RATE: Maximum eight per cent (8%) per annum, payable annually the first year on December 15, 1977 and semiannually there- after on June 15 and December 15 in each year. Bidders must specify the rate or rates of interest which the bonds hereby offered for sale shall bear. Bidders may specify any number of separate interest rates irrespective of the maturities of the bonds, and the same rate or rates may be repeated as often as desired; provided, however, that (i) the difference between the highest and lowest coupon rates specified in any bid shall not exceed two per cent (2%); (ii) each interest rate specified must be in a mul- tiple of 1/20 of one per cent and a zero rate of interest cannot be specified; (iii) no bond shall bear more than one rate of interest, no interest payment shall be evi- denced by more than one coupon and supplemental coupons will not be permitted; (iv) each bond shall bear interest from its date to its stated maturity date at the interest rate specified in the bid; (v) all bonds of the same maturity shall bear the same rate of interest; (vi) for the period be- ginning on December 15, 1989 and terminating on December 15, 2001, the interest rate specified for the bonds maturing in each year in such period shall not be less than the interest rate or rates specified for the bonds maturing in any prior year in such period; and (vii) any premium must be paid in bank funds as part of the purchase price, and no bid will be accepted which provides for the cancellation and surrender of any interest coupon or for the waiver of interest or other concession by the bidder as a substitute for bank funds. Bids which do not con- form to the terms of this paragraph will be rejected. PAYMENT: Both principal and interest are pay- able in lawful money of the United States of America at the principal office of Bank of America National Trust and Savings Association in San Francisco, California. EXECUTION AND Coupon bonds will be issued by the REGISTRATION: City The bonds will be executed by the manual signature of at least one official authorized to execute the bonds. The bonds are registrable as to principal only or as to both principal and interest. Registered bonds are subject to de -registration and re -registration as pro- vided in the resolution authorizing the issaance of the bonds. 15 • PURPOSE OF ISSUE: The bonds are authorized by vote of two-thirds of the qualified voters voting at a special bond election for the purpose of authorizing bonds for the acquisition, construction and completion of a new public library for the City of Saratoga. SECURITY: The bonds are general obligations of the City of Saratoga and said City has power and is obligated to levy ad valorem taxes for the payment of the bonds and the inter- est thereon upon all property within the City of Saratoga subject to taxation by said City (except certain personal property, which is taxable at limited rates), without limitation of rate or amount. TAX EXEMPT STATUS: In the event that prior to the delivery of the bonds (i) the income received by any private holder from bonds of the same type and character shall be declared to be taxable (either at the time of such declaration or at any future date) under any federal income tax laws, either by the terms of such laws or by ruling of a federal income tax authority or official which is followed by the Internal Revenue Service, or by decision of any federal court, or (ii) any federal income tax law is adopted which will have a substantial adverse tax effect on holders of the bonds as such, the successful bidder may, at his option, prior to the tender of the bonds by the City, be relieved of his obligation under the contract to purchase the bonds and in such case the deposit accompanying his bid will be returned. LEGAL OPINION: The legal opinion of Messrs. Orrick, Herrington, Rowley & Sutcliffe of San Francisco, California, approving the validity of said bonds will be furnished to the success- ful bidder without charge. A copy cf the legal opinion, certified by the officer in whose office the original is filed, will be printed on each bond without charge to the successful bidder. TERMS OF SALE Highest Bid: The bonds Will be awarded to the highest bidder, considering the inter- est rate or rates specified and the premium offered, if any. The highest bid will be deter- mined by deducting_the amount of the premium bid (if any) from the total amount of interest which the City would be required to pay from the date of the bonds to their respective maturity dates 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 City. The purchaser must pay accrued interest computed on a 360 -day year basis from the date of the bonds to the date of delivery. The cost of printing the bonds will be borne by the City. 16 Right of Rejection: • The City Council reserves the right, in its discretion, to reject any and all bids and to waive any irregularity or informality in any bid. Prompt Award: The City Council will take action awarding the bonds or rejecting all bids not later than 24 hours after the expiration of the time herein prescribed for the receipt of proposals, unless such time of award is waived by the successful bidder. Prompt Delivery: Delivery of the bonds will be made to the successful bidder at the principal office of Bank of America National Trust and Savings Association in San Francisco, California, as soon as the bonds can be prepared, which it is estimated will be within thirty (30) days from the date of sale, but not prior to the date of the bonds. Payment for the bonds must be made in bank funds immediately available to the City in San Francisco, California. Right of The successful bidder shall have the Cancellation: right at his option, to cancel the contract of purchase if the City shall fail to execute the bonds and tender the same for delivery within sixty (60) days from the date of sale thereof, and in such event the success- ful bidder shall be entitled to the return of the deposit accompanying his bid. Form of Bid: All bids must be for not less than all of the bonds hereby offered for sale and for not less than the par value thereof and accrued interest to date of delivery. Each bid, together with bidder's check, must be enclosed in a sealed envelope addressed to the City Council of the City of Saratoga and endorsed "Proposal for City of Saratoga 1976 Library Bonds." All bids must be delivered to the representative of the City Council of the City of Saratoga at the above address by 11:00 o'clock A.M. on November 17, 1976. Bid Check: With each bid must be submitted a certified check or cashier's check for $10,000 drawn on a bank or trust company transacting business in the State of California, payable to the order of the Treasurer of the City of Saratoga to secure the City from any loss resulting from the failure of the bidder to comply with the terms of his bid. Checks of all bidders (except the successful bidder) will be returned by the City by mail promptly following the sale date above specified. No interest will be paid upon the deposit made by the successful bidder. Estimate of Net Bidders are requested, but not Interest Cost: required to supply an estimate of the total net interest cost to the City on the basis of their respective bids, which shall be considered as informative only and not binding on either the bidder or the City. 17 CUSIP Numbers: It is anticipated that CUSIP numbers will be printed an the bonds, but neither failure to print such numbers on any bond nor any error with respect thereto shall constitute cause for a failure or refusal by the purchaser thereof to accept delivery of and pay for the bonds in accordance with the terms of the purchase contract. All expenses in relation to the printing of CUSIP numbers on the bonds shall be paid by the City; pro- vided, however, that the fee of the CUSIP Service Bureau for the assignment of said numbers shall be the responsibility of and shall be paid for by said purchaser. Official The City has caused an official Statement: statement to be prepared, a copy of which will be furnished upon request addressed to Bartle Wells Associates, 28th Floor, 100 Bush Street, San Francisco, California 94104, the City's financing consultant. The City will provide 200 copies of the official statement to the successful bidder without charge. There is no controversy or litigation pending concerning the validity of the above issue, the corporate existence of the City, or the title of the officers thereof to the respective offices, and the City will furnish to the successful bidder a no -litigation certifi- cate certifying to the foregoing as of and at the time of the delivery of the bonds. Dated: October 20, 1976. 18 1 Section 11. This resolution shall take effect from and after its passage and approval. PASSED AND ADOPTED October 20, 1976, by the following vote: AYES: Councilmen Kraus, Matteoni, Corr, Bridges NOES: None ABSENT:Councilman Brigham APPROVED: [SEAL[