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HomeMy Public PortalAboutr 15-010No. 15 -10 II Date of Adnmin., JANUARY 4,2015 RESOLUTION AMENDING RESOLUTION NO. 14.251 ADOPTED DECEMBER 18, 2014. ',. BE IT RESOLVED BY THE BOROUGH COUNCIL OF THE BOROUGH OF CARTERET, IN THE COUNTY OF MIDDLESEX, NEW JERSEY AS FOLLOWS: Section 1. Exhibit B attached to Resolution No. 14 -251, adopted by the Borough Council on December 18, 2014 is hereby deleted in its entirety and replaced with the Exhibit B attached to this Resolution. Section 2. This resolution shall take effect immediately. Adopted this 4th day of January, 2015 and certified as a true copy of the original on January 5, 2015. KATHLEEN N. BARNEY, PNC Plunicipal Clerk RECORD Or ennlvnrt Vn•, -r COUNCILMAN BELLING YLS R NO NV A.B. COUNCILMAN KRUPI YLS X NO NV AA. DZAZ NAPLES _ DIMASCIO SITARZ X - Indicate Vote AB-Absent NV - Not Voting XOR - Indicates Vole to O""h, Veto Adopted at a meeting of the Municipal Council µ JANUARY 4, 2015 //f JJ/ y'J �II - 1 } / Y C -�',' Lb Exhibit B (Notice of Sale to be Published in Local Newspaper) NOTICE OF SALE $12,928,000 GENERAL IMPROVEMENT BONDS, SERIES 2015 OF THE BOROUGH OF CARTERET, IN THE COUNTY OF MIDDLESEX, NEW JERSEY (Book -Entry Only Bonds) /(Callable) /(Not Bank Qualified) NOTICE IS HEREBY GIVEN that bids will be received by the Borough of Carteret, in the County of Middlesex, New Jersey (the "Borough ") for the purchase of $12,928,000 original principal amount of the Borough's General Improvement Bonds, Series 2015 (the "Bonds "). All Bids (as defined below) must be submitted in their entirety via "PARITY Electronic Bid System" (PARITY) prior to 11:00 a.m., New Jersey time on January 21, 2015 (the "Sale Date "). Preliminary and Final Official Statement The Borough's Preliminary Official Statement (the "POS ") is available for viewing in electronic format on PARITY. The PARITY address is www.i- dealprospectus.com All Bidders must review the POS and certify that they have done so prior to participating in the bidding. Types of Bids Allowed Subject to the Bid requirements described below, Bids for the Bonds must be submitted on an "All-or-None" ( "AON ") basis for the entire amount of $12,928,000. Interest Payment Dates; Description of the Bonds The Bonds will be dated the date of delivery and will bear interest from such date payable semiannually on each February 1 and August 1, commencing on August 1, 2015. Interest shall be computed on the basis of a 30 -day month /360 -day year. Principal Amortization The Bonds shall mature on February 1 as set forth in the following table: Year Principal Amount Year Principal Amount 2016 $378,000 2026 $675,000 2017 380,000 2027 690,000 2018 560,000 2028 715,000 2019 575,000 2029 730,000 2020 585,000 2030 740,000 2021 600,000 2031 750,000 2022 615,000 2032 750,000 2023 630,000 2033 750,000 2024 645,000 2034 750,000 2025 660,000 2035 750,000 The actual principal amounts may be adjusted by the Borough, at its option, in accordance with U.S.A. 40A:2- 26(g). Any such adjustment shall not exceed 10% of the principal for any maturity with the aggregate adjustment to maturity not to exceed 10% of the principal for the overall issues. Redemption Provisions The bonds of this issue maturing prior to February 1, 2026, are not subject to redemption prior to their stated maturities. The bonds of this issue maturing on or after February 1, 2026 are redeemable at the option of the Borough in whole or in part on any date on or after February 1, 2025 at 100% of the principal amount outstanding (the "Redemption Price ") plus interest accrued to the date of redemption upon notice as required herein. Notice of Redemption shall be given by mailing by first class mail in a sealed envelope with postage prepaid to the registered owners of the bonds not less than thirty (30) days, nor more than sixty (60) days prior to the date fixed for redemption. Such mailing shall be to the owners of such bonds at their respective addresses as they last appear on the registration books kept for that purpose by the Borough or a duly appointed Bond Registrar. Any failure of the depository to advise any of its participants or any failure of any participant to notify any beneficial owner of any Notice of Redemption shall not affect the validity of the redemption proceedings. If the Borough determines to redeem a portion of the bonds prior to maturity, the bonds to be redeemed shall be selected by the Borough; the bonds to be redeemed having the same maturity shall be selected by the Securities Depository in accordance with its regulations. If Notice of Redemption has been given as provided herein, the bonds or the portion thereof called for redemption shall be due and payable on the date fixed for redemption at the Redemption Price, together with accrued interest to the date fixed for redemption. Interest shall cease to accrue on the bonds after the date fixed for redemption and no further interest shall accrue beyond the redemption date. Payment shall be made upon surrender of the bonds redeemed. Terms of PARITY Each electronic proposal must be submitted via PARITY. No bidder will see any other bidder's bid, nor will any bidder see the status of its bid relative to other bids (e.g_, whether its bid is a leading bid). To the extent any instructions or directions set forth on PARITY conflict with this Notice of Sale, the terms of this Notice of Sale shall control. In the event that a bid for the Bonds is submitted via PARITY, the bidder further agrees that: The Borough may regard the electronic transmission of the bid via PARITY (including information about the purchase price of the Bonds, the interest rate or rates to be borne by the various maturities of the Bonds specified, the initial public offering price of each maturity of the Bonds and any other information included in such transmission) as though the same information were submitted on the official "Proposal for Bonds" provided by the Borough and executed by a duly authorized signatory of the bidder. If a bid submitted electronically via PARITY is accepted by the Borough, the terms of the official "Proposal for Bonds" and this Notice of Sale and the information that is electronically transmitted via PARITY shall form a contract, and the successful bidder shall be bound by the terms of such contract. Once the bids are communicated electronically via PARITY to the Borough, each bid will constitute an official "Proposal for Bonds" and shall be deemed to be an irrevocable offer to purchase the Bonds on the terms provided in this Notice of Sale. For purposes of submitting all "Proposals for Bonds," whether electronically or sealed, the time as maintained on PARITY shall constitute the official time. Bidding Details MIT, MO Bidders should be aware of the following bidding details associated with the sale of the (1) All Bids must be submitted on the PARITY. No telephone, telefax, telegraph or personal delivery Bids will be accepted. (2) Bidders may change and submit Bids as provided for herein, but a submitted Bid may not be withdrawn. (3) Bidders may bid to purchase Bonds from the Borough with a bid premium not exceeding $646,400. No Bid will be considered if the Bid is to purchase Bonds at a price less than 100% of the principal amount thereof. (4) Each proposal submitted must name the rate or rates of interest per annum to be borne by the Bonds and the rate or rates named must be multiples of 118 or 1/20 of 1 %. The difference between the highest and lowest interest rates named in the Bid shall not exceed four percent (4 %) per annum. Not more than one rate may be named for Bonds of the same maturity. There is no limitation on the number of rates that may be named. Each proposal submitted must state the purchase price, which must be not less than par. The Bonds will be awarded to the bidder on whose bid the total loan may be made at the lowest true interest cost ( "TIC "). Such TIC shall be calculated as described below. No proposal shall be considered that offers to pay an amount less than the principal amount of Bonds offered for sale or under which the total loan is made at a TIC higher than the lowest TIC to the Borough under any legally acceptable proposal. (5) Bidders are only permitted to submit Bids for the Bonds during the bidding period. Definitions "True Interest Cost (TIC)" true interest cost shall be computed in each instance by determining the interest rate, compounded semi - annually, necessary to discount the debt service payments to the date of the bonds and to the price bid, excluding interest accrued to the delivery date. Bid Procedure and Basis of Award Subject to the right reserved by the Borough to reject any or all Bids, the Bonds will be sold to the Bidder whose Bid produces the lowest TIC for the Borough and otherwise complies with the Notice of Sale. Bids must remain valid until at least 2:00 p.m., prevailing time, on the Sale Date, and if accepted by the Borough, prior to such time, shall be irrevocable except as otherwise provided in the Notice of Sale. Upon selection of the winning Bidder, the Borough will execute an award certificate to award the Bonds and will promptly communicate with the winning Bidder by telephone, e-mail or fax. Bid Security and Method of Payment for Bonds A Good Faith Deposit ( "Deposit ") in the form of a certified or cashier's check, wire transfer (wiring instructions can be obtained from the Borough's Bond Counsel or Financial Advisor) or a Financial Surety Bond in the amount of $258,560, payable to the order of the Borough, is required for each bid to be considered. If a check is used, it must be a certified treasurer's or cashier's check and must be provided to the Borough prior to 10:30 a.m. on the Sale Date for bids to be submitted. If a wire transfer is used, such wire must be received by the Borough prior to 10:30 a.m. on the Sale Date. Each bidder accepts responsibility for delivering such check or wire on time and the Borough is not responsible for any check or wire that is not received on time. If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of New Jersey and approved by the Director of the Division of Local Government Services of New Jersey (the "Director ") and such bond must be submitted to the Borough prior to 10:30 a.m. on the Sale Date at the address referred to above. The Financial Surety Bond must identify the bidder whose Deposit is guaranteed by such Financial Surety Bond. If the Bonds are awarded to a bidder utilizing a Financial Surety Bond, then that purchaser (the "Purchaser ") is required to submit its Deposit to the Borough by wire transfer as instructed by the Borough not later than 3:30 p.m. on the next business day following the Sale Date. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the Borough to satisfy the Deposit requirement. No interest on the Deposit will accrue to the Purchaser. The Deposit will be applied to the purchase price of the Bonds. In the event the Purchaser fails to honor its accepted bid, the Deposit will be retained by the Borough. Award of the Bonds to the successful Bidder or rejection of all Bids is expected to be made within two hours after opening of the bids, but such successful Bidder may not withdraw its proposal until after 3:00 p.m. on the Sale Date and then only if such award has not been made prior to the withdrawal. The balance of the purchase price shall be paid in Federal Funds by wire transfer to the Borough on or about the delivery date. Unsuccessful Bidders submitting the Deposit by wire transfer shall, no later than the close of business on the Sale Date, provide the Chief Financial Officer in writing with wiring instructions for the return of such unsuccessful Bidder's Deposit. In the event the Borough fails to return any such wires in a timely fashion, the Borough shall not be liable for monetary damages, remedy being hereby specifically limited to specific performance. Right to Reject Bids; Waive Irregularities The Borough reserves the right to reject any and all Bids and to the extent permitted by law to waive any irregularity or informality in any Bid. Information Required from the Winning Bidder By making a bid for the Bonds, the winning bidder(s) agrees: (a) to provide to the Borough, in writing, immediately upon being unofficially awarded the Bonds, a written confirmation of the bid, which shall include the purchase price, reoffering yield(s), and other related information necessary for completion of the final Official Statement, the Financial Advisor and by Bond Counsel; (b) to disseminate to all members of the underwriting syndicate copies of the Official Statement; (c) to promptly file a copy of the final Official Statement with the Municipal Securities Rulemaking Board; and (d) to take any and all other actions necessary to comply with applicable Securities and Exchange Commission and Municipal Securities Rulemaking Board rules governing the offering, sale and delivery of the Bonds to alternate purchasers. Delivery of the Bonds The Bonds will be delivered on or about the delivery date (UNLESS A NOTICE OF A CHANGE IN THE DELIVERY DATE IS PUBLISHED ON MUNIAUCTION NOT LATER THAN 2 HOURS PRIOR TO ANY ANNOUNCED DATE FOR RECEIPT OF BIDS) in New York City at DTC against payment of the purchase price therefor (less the amount of the good faith deposit) in Federal funds. CUSIP Numbers CUSIP numbers will be applied for with respect to the Bonds, but the Borough will assume no obligation for the assignment or printing of such numbers on the Bonds or for the correctness of such numbers, and neither the failure to print such numbers on any bond nor any error with respect thereto shall constitute cause for a failure or refusal by the purchasers thereof to accept delivery of and make payment for the Bonds. The CUSIP Service Bureau charge for the assignment of the numbers shall be the responsibility of and shall be paid for by the winning Bidder. Postponement The Borough reserves the right to postpone, from time to time, the date and time established for receipt of Bids. ANY SUCH POSTPONEMENT WILL BE PUBLISHED OR POSTED, BEFORE 9:00 A.M. ON THE SALE DATE. If any date fixed for the receipt of Bids and the sale of the Bonds is postponed, an alternative sale date will be announced via PARITY at least forty -eight (48) hours prior to such alternative sale date. On any such alternative sale date, any Bidder may submit a Bid for the purchase of the Bonds in conformity in all respects with the provisions of the Notice of Sale, except for the date of sale and except for the changes announced on PARITY at the time the sale date and time are announced. Additional Information For further information relating to the Bonds, reference is made to the POS prepared for and authorized by the Borough. The Notice of Sale and the POS may be viewed on PARITY. Printed copies of the POS and the Notice of Sale may be obtained from the Financial Advisor or Bond Counsel at the address and the phone numbers stated above. For additional information relating to the sale please contact PARITY at (212) 404 -8102. Additional information relating to the financing of the Borough, including the POS and full Notice of Sale can be obtained by contacting the undersigned Chief Financial Officer at (732) 541 -3800 or email at deblasiop cDcarteret.net or the Borough's Financial Advisor. BOROUGH OF CARTERET By: Patrick J. DeBlasio, Chief Financial Officer Dated: January _, 2015