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MUNICIPAL ORDER NO. 1743
MUNICIPAL ORDER APPROVING THE ADVERTISEMENT FOR BID AND
DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT FOR THE
PURCHASE OF CITY OF PADUCAH, KENTUCKY GENERAL OBLIGATION
BONDS, SERIES 2013A AND CITY OF PADUCAH, KENTUCKY TAXABLE
GENERAL OBLIGATION BONDS, SERIES 2013B IN AGGREGATE PRINCIPAL
AMOUNTS OF APPROXIMATELY $1,115,000 AND $2,485,000,
RESPECTIVELY.
WHEREAS, the City of Paducah, Kentucky (the "City") has determined the necessity of
financing a portion of the costs of the renovation and improvement of a municipal pool (the "2013A
Project"); and
WHEREAS, the City has further determined the necessity of financing a portion of the costs
of (i) the construction of improvements to an industrial/distribution facility located within the City to
be leased to a Kentucky subsidiary of Macco Organiques Incorporated, a Canadian corporation, for
use in furtherance of economic development within the City, and (ii) the acquisition, construction,
installation and equipping of an approximately 30,000 square foot building to be located on property
being leased jointly by the City and the County of McCracken, Kentucky (the "County") and to be
subleased to TeleTech Services Corporation, a Colorado corporation, for use in furtherance of
economic development within the City (collectively, the "2013B Project," and together with the
2013A Project, the "Projects"; and
WHEREAS, the City has further determined that it is in the best interests of the City that the
City proceed at this time with the financing of the Projects through the issuance of the City's (i)
General Obligation Bonds, Series 2013A in the aggregate principal amount of $1,115,000 (the
"Series 2013A Bonds"), subject to a permitted adjustment increasing or decreasing the principal
amount of Series 2013A Bonds by up to $110,000 (the "Series 2013A Permitted Adjustment") and
(ii) Taxable General Obligation Bonds, Series 2013B in the aggregate principal amount of
$2,485,000 (the "Series 2013B Bonds," and together with the Series 2013A Bonds, the 'Bonds"),
subject to a permitted adjustment increasing or decreasing the principal amount of Series 2013B
Bonds by up to $245,000 (the "Series 2013B Permitted Adjustment," and together with the Series
2013A Permitted Adjustment, the "Permitted Adjustments"); and
WHEREAS, on the 3rd day of September, 2013 the City gave first reading to, and on the
17th day of September, 2013 proposes to give second reading to and adopt, an ordinance providing
for the issuance of the Bonds in order to provide funds to pay the costs, not otherwise provided for,
of the financing of the Projects, which ordinance is titled as follows:
AN ORDINANCE OF THE CITY OF PADUCAH, KENTUCKY AUTHORIZING
THE ISSUANCE OF (I) CITY OF PADUCAH, KENTUCKY GENERAL
OBLIGATION BONDS, SERIES 2013A IN THE APPROXIMATE AGGREGATE
PRINCIPAL AMOUNT OF $1,115,000 (SUBJECT TO A PERMITTED
ADJUSTMENT INCREASING OR DECREASING THE PRINCIPAL AMOUNT
OF SERIES 2013A BONDS BY UP TO $110,000) FOR THE PURPOSE OF
FINANCING A PORTION OF THE COSTS OF RENOVATIONS AND
IMPROVEMENTS TO A MUNICIAL POOL IN THE CITY OF PADUCAH,
KENTUCKY, AND (II) CITY OF PADUCAH, KENTUCKY TAXABLE
GENERAL OBLIGATION BONDS, SERIES 2013B IN THE APPROXIMATE
AGGREGATE PRINCIPAL AMOUNT OF $2,485,000 (SUBJECT TO A
PERMITTED ADJUSTMENT INCREASING OR DECREASING THE
PRINCIPAL AMOUNT OF SERIES 2013A BONDS BY UP TO $635,000) FOR
THE PURPOSE OF FINANCING A PORTION OF THE COSTS OF THE
ACQUISITION, CONSTRUCTION, INSTALLATION AND EQUIPPING OF
VARIOUS ECONOMIC DEVELOPMENT PROJECTS IN THE CITY OF
PADUCAH, KENTUCKY; APPROVING THE FORMS OF BONDS;
AUTHORIZING DESIGNATED OFFICERS TO EXECUTE AND DELIVER THE
BONDS; AUTHORIZING AND DIRECTING THE FILING OF NOTICE WITH
THE STATE LOCAL DEBT OFFICER; PROVIDING FOR THE PAYMENT AND
SECURITY OF THE BONDS; CREATING BOND PAYMENT FUNDS;
MAINTAINING THE HERETOFORE ESTABLISHED SINKING FUND;
AUTHORIZING ACCEPTANCE OF THE BIDS OF THE BOND PURCHASERS
FOR THE PURCHASE OF THE BONDS; AND REPEALING INCONSISTENT
ORDINANCES.
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WHEREAS, it is appropriate at this time that the City authorize the advertisement for bid for the
purchase of the Bonds.
NOW, THEREFORE, BE IT ORDERED BY THE CITY OF PADUCAH, KENTUCKY, AS
FOLLOWS:
SECTION 1. The City of Paducah, a municipal corporation and political subdivision of the
Commonwealth of Kentucky, shall issue its "General Obligation Bonds, Series 2013A (the "Series
2013A Bonds") in the aggregate principal amount of approximately $1,115,000 and its "Taxable
General Obligation Bonds, Series 2013B (the "Series 2013B Bonds," and together with the Series
2013A Bonds, the 'Bonds") in the aggregate principal amount of approximately $2,485,000.
SECTION 2. The City shall comply with the requirements of KRS Chapters 66 and 424 by
advertising for bids for the purchase of the Bonds. Actions heretofore taken by the City in
connection with the preparation of such instruments and the distribution of such information by the
City as shall be necessary to accomplish the foregoing, including the preparation of a Preliminary
Official Statement (the "Preliminary Official Statement") which Preliminary Official Statement shall
be deemed final by the Mayor of the City in accordance with Rule 15c2-12 of the Securities and
Exchange Commission (the "Rule"), are hereby ratified and approved. In order to enable prospective
purchasers to submit a bid for the purchase of the Bonds, the City hereby covenants and agrees that it
will execute, comply with and carry out all of the provisions of a continuing disclosure undertaking
(the "Continuing Disclosure Undertaking") in connection with the issuance of the Bonds. Failure to
comply with any such provisions of the Continuing Disclosure Undertaking shall not constitute a
default on the Bonds; however, any holder of the Bonds, including the beneficial owners of the
Bonds, may take such action as may be necessary and appropriate, including seeking specific
performance, to cause the City to comply with its obligations under the Continuing Disclosure
Undertaking.
SECTION 3. Proposals for the purchase of the Bonds shall be opened and reviewed by the
Finance Director of the City, and shall be acted upon by the City Manager or Finance Director on that
same day, based upon the advice of the City's financial advisor, J.J.B. Hilliard, W.L. Lyons, LLC,
without the need for further action by this City Commission. The City hereby ratifies and approves the
use of the "Notice of Bond Sale," substantially in the form attached hereto, which shall be published as
required by law.
SECTION 4. The City Manager or Finance Director of the City shall, in a certificate of award
accepting the successful bid or bids for the Bonds (the "Certificate of Award"), determine the exact
principal amount of Bonds to be awarded and the exact rate or rates of interest which said Bonds shall
bear, and the interest rate or rates on said Bonds shall be automatically fixed at the rate or rates set out in
the successful bid accepted by said Certificate of Award. The proceeds of the sale of said Bonds shall be
applied to the costs of the Projects and the costs of issuing the Bonds and shall be expended as provided
in the Ordinance authorizing the Bonds.
SECTION 5. In the event that no bid shall be accepted for the purchase of the Bonds, bids may
again be solicited for the purchase of the Bonds at a future date and hour at the discretion of the Mayor,
without the necessity of further authorization by the City.
SECTION 6. All motions, orders, resolutions and parts thereof in conflict herewith, are hereby
repealed to the extent of such conflict, and this Municipal Order shall be effective immediately.
SECTION 7. This Municipal Order shall be in full force and effect immediately upon its
adoption.
INTRODUCED, PUBLICLY READ, AND FINALLY APPROVED on one reading, this
3rd day of September, 2013. /'P / / ,' .
ttest:
Tammy Sanderson, City Clerk
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CERTIFICATE
I, Tammy Sanderson, hereby certify that I am the duly qualified and acting City Clerk of the
City of Paducah, Kentucky, that the foregoing is a full, true, and correct copy of a Municipal Order
adopted by the City Commission of the City, at a meeting duly held on September 3, 2013, that said
Municipal Order (together with the Notice of Bond Sale approved therein) appears as a matter of
public record in the official records of the City, that said meeting was duly held in accordance with
all applicable requirements of Kentucky law, including KRS 61.810, 61.815, 61.820, and 61.823,
that a quorum was present at said meeting, that said Municipal Order has not been modified,
amended, revoked, or repealed; and that same is now in full force and effect.
2013
IN TESTIMONY WHEREOF, witness my signature on this day of ,
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City Clerk
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EXHIBIT A
NOTICE OF BOND SALE
Notice is hereby given that electronic bids will be received by the City of Paducah, Kentucky (the
"City"), until 10:00 a.m., C.T. on September 19, 2013 (or at such later time and date announced at least
forty-eight hours in advance via the BiDCOMPTM/PARITYTM system) for the purchase of approximately
$1,115,000 of the City's General Obligation Bonds, Series 2013A (the "Series A Bonds") and $2,485,000
of the City's Taxable General Obligation Bonds, Series 2013B (the "Series:B Bonds," and collectively
with the Series A, the "Bonds"). Alternatively, written sealed or facsimile bids for one or more series of
the Bonds by the designated time will be received by the Finance Director, 300 South Fifth Street,
Paducah, Kentucky 42002 (FAX: (270) 440-8589).
The Bonds will each be dated their date of initial delivery, will be issued as fully registered bonds
in denominations in multiples of $5,000 (within the same maturity), will mature on September 1 of the
years 2014 through 2028. Electronic bids may be submitted via BiDCOMPTM/PARITYTM, in the manner
described below.
Additional information, including the Preliminary Official Statement, the Official Terms and
Conditions of Bond Sale and the Official Bid Form, may be obtained from the City's Financial Advisor,
J.J.B. Hilliard, W.L. Lyons, LLC; 500 West Jefferson Street, Louisville, Kentucky 40202; Telephone:
(502) 588-8639 or at http://pos.hilliard.com. Further information regarding BiDCOMPTM/PARITYTM may
be obtained from BiDCOMPTM/PARITYTM, 1359 Broadway - 2 n Floor, New York, NY 10018, Telephone:
(800)850-7422.
Sale of Series A Bonds on tax-exempt basis. Issuance of Bonds subject to approving legal
opinion of Peck, Shaffer & Williams LLP, Bond Counsel, Covington, Kentucky. The City has designated
the Series A Bonds as "qualified tax-exempt obligations" pursuant to Section 265 of the Internal Revenue
Code of 1986, as amended. Right to reject bids or waive informality reserved.
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