HomeMy Public PortalAbout1972_12_07 WAIVER OF NOTICE
OF •
SPECIAL MEETING
December 7 , 1972 •
We, the undersigned, being members of the Town Council
of the Town of Leesburg , in Virginia , do severally waive all
statutory and Charter requirements as to notice of time ,
place and purpose of a Special Meeting of the Town Council,
and consent that the meeting shall be held in the Council
Chambers of the Town Council at 11 :00 A.M. , Thursday, De-
cember 7 , 1972 , for the purpose of considering bids on a
$1 ,500,000 General Obligation Bond Issue , said bids to be
opened in the Office of the State Treasurer in Richmond,
Virginia at 11:00 A .M. , and any such other business as may
come before said Council.
/ e-(7,,„:„/// ''
Pia
U
-nneth B . Rollins , Mayor
G. Dewey ' ' i' / Joh W. Pumpt+frey
(3. .
W_ er F. Murray C. Terr v " itus
Robert A. Orr John A. Wallace , Jr.
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233
MINUTES OF SPECIAL- MEETING OF LEESBURG TOWN COUNCIL, DECEMBER 7 , 1972 .
A Special Meeting of the Leesburg Town Council was held in the--
Council Chambers, 10 West Loudoun . Street, Leesburg , Virginia , on De-
cember 7, 1972 at 11:00 A.M. , pursuant to Waiver of Notice of said
meeting, attached hereto. Present were : Mayor Kenneth B. Rollins,
Councilmen G. Dewey Hill, John W. Pumphrey, C. Terry Titus and John A.
Wallace, Jr. Absent from the meeting were Councilmen Walter F. Murray
and Robert A. Orr.
A telephone call from the Town Attorney, George M. Martin, who was `'
in the Office of the Commissioner on Local Debt in Richmond, Virginia,
revealed the bids received for the sale of $1,500,000 in Water and Sewer' ;
I
System Bonds .
On motion of Councilman G. Dewey Hill, seconded by Councilman John A.
Wallace, Jr. , the following resolution was unanimously adopted:
-RESOLUTION AWARDING $1,500,000 WATER AND SEWER SYSTEM BONDS
OF THE TOWN OF LEESBURG
•
WHEREAS, the Town Council received sealed proposals for the
cP • purchase of $1,500,000 Water and .Sewer System Bonds of the
0 Town of Leesburg, dated December 15 , 1972 , until 11 :00 o 'clock
A.M. , Eastern Standard Time , on December 7 , 1972 at the office
C . of the State Commission on Local Debt of the Commonwealth of
C Virginia, Room 101 Finance Building, Capitol Square, Richmond,
pursuant to the notice of sale of said bonds published in ac-
cordance with the resolution adopted by the Town Council on
November 13 , 1972 , and
WHEREAS, the following list shows the name of each bidder who
submitted a proposal and the price offered-by said bidder and
the net interest cost to the Town resulting from the proposal
submitted :
NAME OF BIDDER - PRICE OFFERED NET INTEREST COST
Craigie, Mason-Hagan, Inc . ;
Wachovia Bank & Trust Com-
pany , N.A. ; Scott & String-
fellow $1,502 .307 .00 4.6802
First National Exchange Bank 1,500,000.00 4.68159
Anderson & Strudwick & Associ-
ates 1,500,013 .00 ' 4 .6884
duPont Glore Forgan, Inc. ; '
Bank• of North Carolina , N.A. 1,500,000.00 4 .6912
The Northern Trust Company ;
United Virginia Bank;
Davenport & Co. 1,507 ,798 .25 4. 71516
Alex. Brown & Sons ; Merrill
Lynch, Pierce, Fenner & Smith
Incorporated ; Wheat , First Se-
curities, Inc . 1,500,615 .00 4. 74674
Bank of Virginia Central 1,500,000.00 4. 74945
Hayden-Stone , Inc. , New York, -N. Y. 1,500,000.00 4.749451;
Shearson, Hammill & Co. , Inc . 1,503,990.00 4 . 7615
Fidelity National Bank, Lynch-
burg, Virginia 1,500,077 .50 4. 7666
Virginia National Bank ; Horner,
Barksdale & Co. , Inc . 1,504, 953 . 25 4.76847
First & Merchants National Bank 1,524,000.00 4.845879
234
MINUTES OF SPECIAL MEETING, DECEMBER 7 , 1972 .
and
WHEREAS, the Town Council, acting . by its : representatives, has
accepted the proposal: to purchase said bonds hereinafter re-
. ferred. to : NOW, THEREFORE, .
BE IT RESOLVED by the Town Council of the Town of Leesburg,
Virginia , as follows :
(1) The Town Council hereby approves and ratifies- the ac-
tion taken to accept the proposal to purchase said bonds for
the price of $1,502 ,307 .00 and accrued interest submitted by
Craigie, Mason-Hagan, Inc. ; Wachovia Bank & Trust Company, N.A. ;
Scott& Stringfellow.
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(2) The $1,300,000 bonds payable in the years 1975 to 1994, in-
clusive, shall bear interest at the rate of 4. 90% per annum.
The $200,000 bonds payable in the years 1995 to 2002 , inclusive,
shall bear interest at the rate of 4.00% per annum. The bonds
shall be of the denomination of $5,000 each, and, shall consist
of three hundred bonds numbered from 1 to.300, inclusive, in
the order of their maturity.
(3) The Mayor and the Clerk of Council of the Town of Leesburg
are hereby authorized and directed to deliver said bonds to said
purchaser upon payment of the purchase price thereof.
(4) The Town Council on behalf of the Town of Leesburg hereby
covenants to the purchaser of the bonds that it will make no
use of the proceeds of the bonds at any time during the term
thereof which, if such use had been reasonably expected at the
date the bonds are issued, would have caused such bonds to be
arbitrage bonds within the meaning of Section 103 of the United
States Internal Revenue Code of 1954, as amended, and any of-
ficial regulations promulgated therefor. The officers of the
Town of Leesburg are hereby directed to comply with such covenant
(5) The Town Council on behalf of the Town of Leesburg hereby
further covenants to the purchaser of the bonds, that, until all
of the bonds have been. fully paid and discharged in accordance
with their terms, (a) the Town shall operate its water supply
system and sewage disposal system as a single combined system
and will charge rates or fees for water furnished by such sys-
tem and for the disposal of sewage by such system ; and (b) such
rates or fees shall' be, fixed and maintained at a level which will
produce sufficient revenues to pay for the cost of operation and
administration of said combined, system (including interest on
bonds issued therefor) .and the cost' of insurance against loss by
injury to persons and property, and an annual amount to be covered
into a sinking fund sufficient to pay, at or before maturity, all
bonds issued to finance said combined system; and (c) the reve-
nues which the. Town .derives from said combined system in each
fiscal year shall, to the extent necessary, be first applied to
the payment of such cost of operation and administration during
the fiscal year and to the payment of such annual amount payable
in such fiscal year; and (d) the Town shall segregate and keep
segregated, from all other funds all revenues derived by the
Town from its operation and ownership of said combined system.
There being no further business , the meeting adjourned at 11:25
A.M.
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Mayor
A
Clerk ofJ/the Council