|
<br /> '-I:)~
<br /> B. Sl,loo,OOO principal amount of Bonds shall be serial andLm term bonds, at the option of the bidder, and shall mature
<br /> or be subject to manrJRtory redemption in the amounts as follows:
<br /> Principal Principal
<br /> Year Amount Year Amount
<br /> 2007 S 100,000 2010 S 300,000
<br /> 2008 100,000 2011 300 , 000
<br /> 2009 100,000 2012 200,000
<br /> Bidden have the ri2ht to desi2nate one or more maturitY dates for the bonds referred to in Darag:raDh B above as serial
<br /> or term bonds: however, no more than two dates an be desÏ1mated as maturitY dates for term bonds. No maturity of any
<br /> serial bond shall be scheduled to occur on or after the date of the first sinking fund installment on any term bond. No sinking
<br /> fund installment with respect to any term bond shall be due on or prior to the date of the final maturity of any earlier maturity
<br /> term bond. The amount of term bonds, if any, maturing on each maturity date shall equal the sum of (i) the installment
<br /> specified above far such maturity date and (ii) the inst:al1ments specified above preceding such date (and subsequent to any
<br /> earlier final maturity date specified), and the term bonds of such maturity shall be retired utilizing such inst:al1ments and
<br /> sinking fund installments at par plus accrued interest If and to the extent the successful bidder specifies for the bonds referred
<br /> to in paragraph B a maturity date or dates of January 1, 2007 and consecutive subsequent years, the City will issue such bonds
<br /> as serial bonds maturing on such date or dates in amounts in accordanœ with the foregoing respective schedules. The balance
<br /> of such bonds, ifany, shall be issued as term bonds.
<br /> . ~ . ~
<br /> Boo:r.::-E.."iTRY-ONLY SYSTEM. . . The City intends to utilize the Book-Entry-Only System of The Depository Trust Company
<br /> ("DTC"). See "THE BONDS - Book-Entry-Only System" in the Official StRtt"mi><1t
<br /> RxDEMl'TION . . . The City reserves the right, at its option, to redeem Bonds having stated maturities on and after January 1,
<br /> 2007, in "thole or in part in principal amounts of S5,000 or any integ:ral multiple thereof, on January 1, 2006, or any date
<br /> thereafter, at the par value thereof plus accrued interest to the date fixed for redemption.
<br /> PAYING ÁGE."'ITIREGISI'RAR. . . The initial Paying AgentJRegistrar shall be Texas Commer~ Bank National Association,
<br /> Austin, Texas (see "THE BONDS - Paying AgentJRegistrar" in the Official Statement).
<br /> SoURCE OF P AYME."'IT . . . The Bonds are payable, both as to principal and interest, together with certain outstanding
<br /> obligations of the City, from and secured by a first lien on and a pledge of the Net Revenues of the System on a parity with the
<br /> City's outstBnding Waterworks and Sewer System Revenue Bonds. The City has not covenanted or obligated itseIfto pay the
<br /> Bonds from money raised or to be raised from taxation (see 'BOND INFORMATION - Security for Bonds" in the Official
<br /> Statement).
<br /> Further details regarding the Bonds are set forth in the Official Statement
<br /> CONDITIONS OF THE SALE
<br /> TYP:ø: OF BIDs AM) I.Nn:In:sr RATES . . . The Bonds will be sold in one block on an ']ill or None" basis, and at a price of not
<br /> less than their par value plus accrued interest from the date of the Bonds to the date of delivery of the Bonds. Bidders are
<br /> invited to name the rate(s) of interest to be borne by the Bonds, provided that each rate bid must be in a multiple of 1/8 of 1%
<br /> or 1/20 of 1% and the net effective interest rate must not exceed 15%. The highest rate bid may not exceed the lowest rate bid
<br /> by more than 2% in rate. No limitation is imposed upon bidders as to the number of rates or changes which may be used. All
<br /> Bonds ofone maturity must bear one and the same rate. No bids involving supplt"mi><1t..1 interest rates will be considered..
<br /> BASIS FOil AwARD. . . The sale of the Bonds will be awarded to the bidder making a bid that confonns to the specifications
<br /> herein and which produces the lower True Interest Cost rate to the City. The True Interest Cost rate is that rate which, when
<br /> used to compute the total present value as of the Dated Date of all debt service payments on the Bonds on tlÌe basis of semi-
<br /> annual compounding, produces an amount equal to the sum of the par value of the Bonds plus any premium bid (but not
<br /> interest accrued from the Dated Date to the date of their delivery). In the event of a bidder's error in interest cost rate
<br /> calculations, the interest rates, and premium, if any, set forth in the Official Bid Form will be considered as the intended bid.
<br /> GooD FAlTHDXPOSIT . . . A Good Faith Deposit, payable to the "City of San :Marcos, Texas", in the amount of S30,000, is
<br /> required.. Such Good Faith Deposit sh.a.ll be a bank cashier's check or certified check, which is to be retained uncashed by the
<br /> City pending the Purchaser's compliance with the terms of the bid and the Notice of Sale and Bidding Instructions. The Good
<br /> Faith Deposit may accompany the Official Bid Form or it may be submitted separately. If submitted separately, it shall be
<br /> made available to the City prior to the opening of the bids, and shall be accompanied by instructions from the bank on which
<br /> drawn which authorize its use as a Good Faith Deposit by the Purchaser who shall be named in such instructions. The Good
<br /> Faith Deposit of the Purchaser will be returned to the Purchaser upoa payment for the Bonds. No interest will be
<br /> ii
<br />
|