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Home My WebLink AboutMO # 1062318 MUNICIPAL ORDER NO. 1062 MUNICIPAL ORDER APPROVING THE ADVERTISEMENT FOR BIDS AND DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT FOR THE PURCHASE OF CITY OF PADUCAH, KENTUCKY GENERAL OBLIGATION TAXABLE PUBLIC PROJECT BONDS, SERIES 2004 IN THE APPROXIMATE AGGREGATE PRINCIPAL AMOUNT OF $5,055,000. WHEREAS, the City of Paducah, Kentucky (the "City") has previously determined the necessity of financing the acquisition, construction and installation of an approximately 100,000 square foot facility (the 'Project") to be leased by the City and the County of McCracken, Kentucky (the "County") jointly to the Paducah McCracken County Industrial Development Authority (the "Authority"); and WHEREAS, on the 11th day of May, 2004, the City gave first reading to, and on the 25th day of May, 2004 proposes to give second reading to and adopt, an ordinance providing for the issuance of its General Obligation Taxable Public Project Bonds, Series 2004 (the 'Bonds") in order to provide funds to pay the costs, not otherwise provided for, of the Project, which ordinance is titled as follows: AN ORDINANCE OF THE CITY OF PADUCAH, KENTUCKY AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION TAXABLE PUBLIC PROJECT BONDS, SERIES 2004 IN THE AGGREGATE PRINCIPAL AMOUNT OF $5,055,000 (SUBJECT TO A PERMITTED ADJUSTMENT INCREASING OR DECREASING THE SIZE OF SAID BONDS BY UP TO $505,000) AND THE ISSUANCE OF A GENERAL OBLIGATION PUBLIC PROJECT NOTE, SERIES 2004B IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $275,000, FOR THE PURPOSE OF FINANCING THE COSTS OF THE ACQUISITION, CONSTRUCTION AND INSTALLATION OF PUBLIC PROJECTS IN THE CITY OF PADUCAH, KENTUCKY; APPROVING THE FORMS OF THE NOTE AND BONDS; AUTHORIZING DESIGNATED OFFICERS TO EXECUTE AND DELIVER THE NOTE AND BONDS; AUTHORIZING AND DIRECTING THE FILING OF NOTICE WITH THE STATE LOCAL DEBT OFFICER; PROVIDING FOR THE PAYMENT AND SECURITY OF THE NOTE AND BONDS; CREATING A BOND PAYMENT FUND; MAINTAINING THE HERETOFORE ESTABLISHED S1NIONG FUND; AUTHORIZING ACCEPTANCE OF THE BID OF THE BOND PURCHASER FOR THE PURCHASE OF THE BONDS; AND REPEALING INCONSISTENT ORDINANCES. WHEREAS, it is appropriate at this time that the City authorize the advertisement for bids 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 Taxable Public Project Bonds, Series 2004 (the 'Bonds") in the aggregate principal of $5,055,000 (subject to a permitted adjustment increasing or decreasing the principal mount of said Bonds by up to $505,000). 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 bids 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 agreement (the "Continuing Disclosure Agreement") in connection with the issuance of the Bonds. nJ,, ,.i ___ Lu�1 _,�,� ai �.. .a-vd�. ..miel�i�' d:.lne1�,:•: 319 Failure to comply with any such provisions of the Continuing Disclosure Agreement 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 Agreement. SECTION 3. Proposals for the purchase of the Bonds shall be opened and reviewed by the Mayor, and shall be acted upon by the Mayor on that same day 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 Mayor 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 Project 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 this 11th day of May, 2004. A�est: J Tammy Brock, City Clerk -2- William F. reading, N 320 CERTIFICATE I, Tammy Brock, 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 May 11, 2004, that said Municipal Order (together with the Notice of Note 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 61.825, 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. IN TESTIMONY WHEREOF, witness my signature on this day of , 2004. -3- City Clerk NOTICE OF BOND SALE The City Manager of the City of Paducah, Kentucky (the "City"), will until 10:00 A.M., C.D.S.T., on May 25, 2004, receive at the Office of the City Manager, 300 South Fifth Street, Paducah, Kentucky 42002, sealed competitive bids for approximately $5,055,000 of the City's General Obligation Taxable Public Project Bonds, Series 2004, dated June 1, 2004 (the "Bonds"), being fully registered bonds in denominations in multiples of $5,000 (within the same maturity) and maturing as to principal in varying amounts on June 1 of the years 2005 through 2024. Bonds maturing on or after June 1, 2012, are subject to redemption prior to their stated maturities on or after June 1, 2011. Electronic bids may be submitted via PARITY, in the manner described below. The City reserves the right to increase or decrease the amount of Bonds to be purchased by the successful bidder by an amount not to exceed $505,000, in increments of $5,000 at the sale price per $1,000 of Bonds; such increase or decrease to be made in any maturity. Official Bid Forms are contained in the Preliminary Official Statement, available from the City Manager or from J.J.B. Hilliard, W.L. Lyons, Inc., Hilliard Lyons Center, 501 South Fourth Avenue, Louisville, Kentucky 40232-2760, Attention Mr. Greg Phillips (502) 588-8639 or at http://pos.hilliard.com, which has been deemed "final" by the City within the meaning of Securities and Exchange Commission Rule 15c2-12 (the "Rule"). For further information about PARITY, potential bidders may contact the Financial Advisor or Dalcomp at 40 West 23rd Street, 5t' Floor, New York, NY 10010, tel: (212) 404-8102. In order to assist bidders in complying with the continuing disclosure requirements of the Rule, the City will undertake in a Continuing Disclosure Agreement to be delivered at closing, to provide to the applicable repositories annual reports and notices of certain material events with respect to the Bonds. Reference is made to the Official Terms and Conditions of Bond Sale contained in the Preliminary Official Statement for further details and bidding conditions. Sale of Bonds on taxable basis, subject to approving legal opinion of Peck, Shaffer & Williams LLP, Bond Counsel, Covington, Kentucky 27832\1 Right to reject bids or waive informality reserved. CITY OF PADUCAH, KENTUCKY By /c/ William F. Paxton Mayor -4- 10