HomeMy Public PortalAbout1979_10_10_R141RESOLUTION NO.
A RESOLUTION:
TOWN OF LEESBURG
IN
LOUDOUN COUNTY, VIRGINIA
PRESENTED October 10~ 1979
79-141
ADOPTED October 10, 1979
AUTHORIZING THE ISSUANCE AND SALE OF $1,500,000
WATER BONDS, SERIES OF 1979B, OF THE TOWN OF LEES-
BURG, VIRGINIA, HERETOFORE AUTHORIZE~ AND PROVIDING
FOR THE FORM, DETAILS AND PAYMENT THEREOF
WHEREAS, the issuance of general obligation bonds of the
Town of Leesburg, Virginia, in an amount not to exceed $1,500,000
was authorized by an ordinance adopted by the Council of the Town
of Leesburg on September 1~, 1979, to provide funds, together with
other funds that may be available, to improve and enlarge the Town's
water system, including construction of a water intake structure,
filtration and treatment plant, storage facility, pumping station
and transmission mains; and
WHEREAS, none of such bonds have been issued and sold:
BE IT RESOLVED BY THE COUNCIL OF THE TOWN OF LEESBURG,
VIRGINIA:
1. There are hereby authorized to be issued and sold
$1,500,000 general obligation water bonds of the Town of Leesburg,
Virginia.
2. The bonds shall be coupon bonds without privilege of
registration, shall be designated "Water Bonds, Series of 1979B,"
shall be dated November 1, 1979, shall be of the denomination of
$5,000 each, shall be numbered from 1 to 300, inclusive, and shall
mature in installments of $300,000 on May 1 in each of the years
2005 to 2009, inclusive. The bonds shall bear interest at such
rate or rates as determined at the time of sale, payable semi-
annually on May 1 and November 1. Both principal and interest
shall be payable in lawful money of the United States of America
at the principal office of First & Merchants National Bank, Rich-
mond, Virginia, or Chase Manhattan Bank, N.A., New York, New
York, at the option of bearer.
3. The bonds are subject to redemption prior to maturity
at the option of the Town on or after May 1, 1989, in whole at any
time or in part on any interest payment date, upon payment of the
principal amount of the bonds to be redeemed plus interest accrued
and unpaid to the redemption date and a redemption premium of one-
quarter of one percent (1/4 of 1%) of such principal amount for
each six month period, or part thereof, between the redemption date
and the stated maturity date of the bonds to be redeemed, provided
that the redemption premium shall not exceed 3% of such principal
amount. If less than all of the bonds are called for redemption,
the bonds to be redeemed shall be selected by the Director of
Finance in such manner as he may determine to be in the best in-
terest of the Town. The Town Council shall cause notice of the
call for redemption identifying the bonds to be redeemed to be
published twice in both a financial journal published in the City
of New York, New York, and in a newspaper of general circulation
published in the City of Richmond, Virginia, the first publications
of which shall appear not less than 30 nor more than 60 days prior
to the redemption date.
4. The bonds shall be signed by the facsimile signature
of the Mayor of the Town of Leesburg, shall be countersigned by
its Clerk and a facsimile of its seal shall be printed on the
bonds. The coupons attached to the bonds shall be authenticated by
the facsimile signatures of the Mayor and the Clerk.
5. The bonds and coupons shall be in substantially the
following form:
(FORM OF BOND)
No.__ $5,000
UNITED STATES OF AMERICA
CO~-~ONWEALTH OF VIRGINIA
TOWN OF LEESBURG
Water Bond, Series of 1979B
The Town of Leesburg, Virginia, for value received, hereby
acknowledges itself indebted and promises to pay to bearer upon
presentation and surrender hereof the principal sum of
FIVE THOUSAND DOLLARS ($5,000)
on May 1, 200 , and to pay interest thereon from the date hereof
until payment at the rate of percent ( %) per year, payable
semiannually on May 1 and November 1 upon presentation and surrender
of the attached coupons as they become due. Both principal of amd
interest on this bond are payable in lawful money of the United
States of America at the principal office of First & Merchants
National Bank, Richmond, Virginia, or Chase Manhattan Bank, N.A.,
New York, New York, at the option of bearer.
This bond is one of an issue of $1,500,000 water bonds of
like date and tenor, except as to number, rate of interest and
maturit~ authorized by ordinance duly adopted by the Council of
the Town of Leesburg on September 12, 1979, and is issued pursuant
to the Constitution and states of the Commonwealth of Virginia,
including the Town Charter (Chapter 433, Acts of Assembly of 1962,
as amended) and the Public Finance Act as amended, to provide
funds, together with other available funds, to finance improvements
and enlargements to the Town's water system.
The bonds are subject to redemption prior to maturity at
the option of the Town on or after May 1, 1989, in whole at any
time or in part on any interest payment date, upon payment of the
principal amount of the bonds to be redeemed plus interest accrued
and unpaid to the redemption date and a redemption premium of one-
quarter of one percent (1/4 of 1~ of such principal amount for each
six month period, or part thereof, between the redemption date and
the stated maturity date of the bonds to be redeemed, provided
that the redemption premium shall not exceed 3% of such principal
amount. If less than all of the bonds are called for redemption,
the bonds to be redeemed shall be selected by the Director of
Finance in such manner as he may determine to be in the best in-
terest of the Town. The Town Council shall cause notice of the
call for redemption identifying the bonds to be redeemed to be pub-
lished twice in both a financial journal published in the City of
New York, New York, and in a newspaper of general circulation pub-
lished in the City of Richmond, Virginia, the first publications of
which shall appear not less than 30 nor more than 60 days prior to
the redemption date.
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The full faith and credit of the Town of Leesburg are hereby
irrevocably pledged for the payment of principal of and interest
on this bond.
All acts, conditions and things required by the Constitution
and statutes of the Commonwealth of Virginia to happen, exist or
be performed precedent to and in the issuance of this bond have
happened, exist and have been performed, and the issue of bonds
of which this bond is one, together with all other indebtedness
of the Town of Leesburg, is within every debt and other limit
prescribed by the Constitution and statutes of the Commonwealth
of Virginia.
IN WITNESS WHEREOF, the Town of Leesburg, Virginia, has
caused this bond to be signed by the facsimile signature of its
Mayor, to be countersigned by its Clerk, a facsimile of its seal
to be printed hereon, the attached coupons to be authenticated by
the facsimile signatures of its Mayor and Clerk, and this bond to
be dated November 1, 1979.
COUNTERSIGNED:
Clerk, Town of Leesburg,
Virginia
(SEAL)
(FORM OF COUPON)
Mayor, Town of Leesburg,
Virginia
May
On November 1,
, unless the bond to which this coupon
is attached has been duly called for prior redemption and provision
made for payment thereof, the Town of Leesburg, Virginia, will pay
to bearer the sum of Dollars ($ )
No. $
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in lawful money of the United States of America at the principal
office of First & Merchants National Bank, Richmond, Virginia, or
Chase Manhattan Bank, N.A., New York, New York, at the option of
bearer, being the semiannual interest then due on its Water Bond,
Series of 1979B, dated November 1, 1979, and numbered
(SEAL)
Clerks Town of Leesburg, Mayor, Town of Leesburg,
Virginia Virginia
6. The full faith and credit of the Town of Leesburg are
hereby irrevocably pledged for the payment of principal of and
interest on the bonds. There shall be levied and collected annually
on all locally taxable property in the Town an ad valorem tax over
and above all other taxes authorized or limited by law sufficient
to pay such principal and interest as the same respectively become
due and payable.
7. ~he Town Manager, in collaboration with Municipal Advisors
Incorporated, the Town's financial advisor, is hereby authorized
and directed to take all proper steps to sell the bonds.
8. The printer's proof of a Prospectus describing the
bonds, copies of which have been provided each member of the Town
Council, is hereby approved as the Prospectus of the Town. The
Town Manager may make such changes in the proof of the Prospectus
not inconsistent with this resolution as he may consider in the
best interest of the Town. The Prospectus shall then be printed
and copies provided to prospective purchasers of the bonds. Follow-
ing the award of the bonds, the Town Manager shall arrange for the
delivery to the purchasers of the bonds of up to 100 copies of
the Prospectus to be delivered to the persons to whom such
purchasers and members of their underwriting group, if any, initi-
ally sell the bonds.
9. After the bonds have been awarded the Town Manager, the
Mayor and the Clerk are hereby authorized and directed to take
all proper steps to have the bonds prepared and executed in
accordance with their terms and to deliver the bonds to the pur-
chasers thereof upon payment therefor.
10. Such officers of the Town of Leesburg as may be re-
quested are hereby authorized to execute an appropriate certificate
setting forth the expected use and investment of the proceeds of
the bonds issued pursuant hereto in order to show that such expected
use and investment will not violate the provisions of §103(c) of
the Internal Revenue Code of 1954, as amended, and regulations
issued pursuant thereto, applicable to "arbitrage bonds." Such
certificate shall be in such form as may be requested by bond
counsel for the Town.
11. The Clerk is hereby authorized and directed to see to
the immediate filing of a certified copy of this resolution with
the Circuit Court of Loudoun County and within ten days thereafter
to cause to be published once in a newspaper of general circulation
in the Town of Leesburg a notice setting forth (1) in brief and
general terms the purpose for which the bonds are to be issued
and (2) the amount of such bonds.
12. The Town Council agrees not to sell any general obligation
bonds of the Town during the next six months following the sale of
the bonds without the consent of the managing underwriter of the bonds.
13. All resolutions or parts of resolutions in conflict
herewith are hereby repealed.
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14. This resolution shall take effect immediately.
PASSED this 10th day of October , 1979.
ATTEST:
Town of Leesburg
Mayor
Clerk of ~ncil