2011-843 RESOLUTION NO. 2011-843
RESOLUTION AWARDING $13,920,000 GENERAL OBLIGATION
PROMISSORY NOTES, SERIES 2011, OF THE CITY
OF JANESVILLE, WISCONSIN, ESTABLISHING INTEREST RATES
THEREON AND LEVYING TAXES THEREFOR
WHEREAS, this City Council has heretofore authorized the issuance and sale of
$13,920,000 General Obligation Promissory Notes, Series 2011 (the "Notes "), in a resolution
adopted on October 26, 2011 and entitled "Resolution Authorizing the Issuance of $13,920,000
General Obligation Promissory Notes, Series 2011, of the City of Janesville, Wisconsin, and
Providing the Details Thereof'; and
WHEREAS, pursuant to advertised public sale the following sealed bids were received
for the Notes on November 14, 2010, by 10:30 a.m., local time:
Names of Bidders
(Account Manager) Net Interest Rates
Robert W. Baird & Co., Red Bank, NJ 2.425764
Citigroup Global Markets Inc., Chicago, IL 2.779630
Hutchinson, Shockey, Erley & Co., Chicago, IL 2.796843
US Bancorp Investments, Inc., New York, NY 3.049023
; and
WHEREAS, it has been determined that the highest and best bid for the Notes was that
of Robert W. Baird & Co., Red Bank New Jersey, which bid is as follows:
WHEREAS, it is now necessary to award the Notes to the successful bidder and to
establish the interest rates thereon;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Janesville,
Wisconsin, as follows:
Section 1. Sale of Notes. The sale of $13,920,000 General Obligation Promissory
Notes, Series 2011, to Robert W. Baird & Co., at a price of $13,920,000 and accrued interest to
the date of delivery is hereby ratified and confirmed.
Section 2. Interest Rates. The Notes shall mature on February 1 of the following
years, and bear interest at the following rates, payable on February 1, 2012 and each August 1
and February 1 thereafter:
Maturities Amounts ($) Interest Rates ( %)
2012 1,200,000 2.00%
2013 1,375,000 2.00
2014 1,100,000 2.00
2015 1,420,000 2.00
2016 1,475,000 2.00
2017 1,525,000 2.00
2018 1,475,000 2.00
2019 1,300,000 2.25
2020 1,525,000 3.00
2021 1,525,000 3.00
Section 3. Redemption Provisions. The Notes maturing on or after February 1, 2020
shall be subject to redemption prior to maturity as a whole or in part at the option of the City
upon notice as therein provide, in any order of maturity and by lot within a single maturity, on
February 1, 2019, and on any date thereafter, at a redemption price equal to 100% of the
principal amount thereof to be redeemed plus accrued interest to the redemption date and
without premium.
Section 4. Execution and Delivery; Borrowed Money Fund. The Notes shall be
executed by the City Manager and the City Clerk in the manner heretofore provided, and upon
authentication by Wells Fargo Bank, N.A., Chicago, Illinois, as note registrar, shall thereupon be
delivered by the City Clerk to the purchaser upon payment of the purchase price. The principal
proceeds from the sale of the Notes shall be paid into the City treasury and entered in a fund
separate and distinct from all other funds, which fund shall be designated "General Obligation
Promissory Notes, Series 2011, Borrowed Money Fund." Money in said funds shall be used
solely for the purposes for which the Notes were issued, including repayment of any temporary
loan or reimbursement of any temporary advance made in anticipation of the issuance of said
Notes.
Section 5. Tax Levy. For the purpose of paying the principal amounts of the Notes as
the same shall mature, and to pay the interest thereon as the same shall come due, there is
hereby levied, for each year in which any of the Notes shall be outstanding, direct, annual,
irrepealable taxes in amounts fully sufficient to pay such principal and interest, and the specific
amounts levied for each year are as follows:
Amount of Principal
Year of Levy and Interest
2011 $1,396,100.00
2012 1,649,400.00
2013 1,349,650.00
2014 1,644,450.00
2015 1,670,500.00
2016 1,690,500.00
2017 1,610,500.00
2018 1,406,125.00
2019 1,593,625.00
2020 1,547,875.00
Section 6. Extension of Taxes. The amounts of taxes levied pursuant to Section 4
hereof shall be carried onto the tax roll by the City from year to year and collected as other
taxes are collected, and such amounts may be reduced in any year only by any amount of
surplus money in the Debt Service Fund created pursuant to Section 67.11, Wisconsin Statutes.
Section 7. Debt Service Fund. There is hereby created a fund to be known as
"General Obligation Promissory Notes, Series 2011, Debt Service Fund" to be established and
maintained in accordance with generally accepted accounting principles.
Into the Debt Service Fund there shall be deposited the following: (a) all premium and
accrued interest from the sale of the respective Notes; (b) all allocable money raised by taxation
pursuant to Section 4 hereof; (c) any surplus in the Borrowed Money Fund created in Section 3
hereof; and (d) such additional amounts as may at any time be necessary to pay the principal of
and interest on the respective Notes as the same shall become due.
Section 8. Dated Date. The Notes shall be initially dated the date of their delivery.
Section 9. Continued Validity. If any section, paragraph, clause or provision of this
resolution shall be invalid or ineffective for any reason, the remainder of this resolution shall
remain in full force and effect, it being expressly hereby found and declared that the remainder
of this resolution would have been adopted by the City Council despite the invalidity of such
section, paragraph, clause or provision.
Section 10. Effective Date. All orders or resolutions in conflict herewith are hereby
repealed insofar as such conflict exists, and this resolution shall take effect immediately upon its
passage, the public welfare requiring it.
ADOPTED: November 14, 2011 Motion by: Liebert
Second by: Voskuil
APPROVED: /. Councilmember Aye Nay Pass Absent
Dongarra -Adams X
Liebert X
Eri ..Levitt, f'Manager McDonald X
Rashkin X
ATTEST Steeber X
4110 Voskuil X
. t L OLL/
Jea £ nn Wulf, City Clerk- Treasurer
1
APPROVED AS TO FORM:
&I41
Wald Klimczyk, City Attorney
Proposed by Administrative Services Department
Prepared by Director of Administrative Services ,. =