2002-296EXHIBIT II
RESOLUTION NO. 2002-296
RESOLUTION A WARDING $6,180,000 GENERAL OBLIGATION REFUNDING
PROMISSORY NOTES, SERIES 2002, 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 $6,180,000
General Obligation Refunding Promissory Notes, Series 2002 in a resolution adopted on
November 11, 2002 and entitled "Resolution Authorizing the Issuance of $6,180,000 General
Obligation Refunding Promissory Notes, Series 2002, 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 25, 2002, by 1:00 p.m., local time:
Names of Bidders
(Account Manager) Net Interest Rates
Zions First National Bank, Salt Lake City .......................................... 2.307737%
Harris Trust & Savings Bank, Chicago .............................................. 2.396332%
Legg Mason Wood Walker, Inc., Chicago ......................................... 2.419067%
RBC Dain Raushcer, Inc., Denver ...................................................... 2.433588%
Hutchinson, Shockcy, Erlcy & Co., Chicago ..................................... 2.443911%
Commerce Capital Markets, Philadelphia .......................................... 2.451544%
US Bancorp--Piper Jaffray, Inc., Minneapolis .................................. 2.492077%
Robert W. Baird & Co., Inc., Milwaukee ........................................... 2.494700%
; and
WHEREAS, it has been determined that the highest and best bid for the notes was that of
Zions First National Bank, SaR Lake City, Utah, which bid is as follows:
WHEREAS, it is now necessary to award thc notes to thc 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 l. Sale of Notes. The sale of $6,180,000 General Obligation Refunding
Promissory Notes, Series 2002, to Zions First National Bank, Salt Lake City, Utah, at a price of
$6,197,504.50 and accrued interest to the date of delivery is hereby ratified and confirmed.
Section 2. Interest Rates. The notes shall mature on June 1 of the following years, and
bear interest at the following rates, payable on June 1, 2003 and each December 1 and June 1
thereafter:
Maturities Amounts
Interest Rates
2003 $1,900,000 2.00%
2004 $1,540,000 2.50%
2005 $1,275,000 2.50%
2006 $1,465,000 2.50%
Section 3. Redemption Provisions. The notes shall not be subject to redemption prior to
maturity.
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 American National Bank and Trust Company of Chicago, 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
Refunding Promissory Notes, Series 2002, Borrowed Money Fund." Money in said fund 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:
Year of Levy
Amount of Principal
and Interest
2002 $2,026,000.00
2003 $1,627,750.00
2004 $1,327,562.50
2005 $1,483,312.50
2
Section 6. Extension of Taxes. The amounts of taxes levied pursuant to Section 4 hereof
shall be carded 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 Refunding Promissory Notes, Series 2002, 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 notes; (b) all 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 notes
as the same shall become due.
Section 8. 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 9. 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 25~ 2002
APPROVED:
St~ven E. Sheiffer, City z
Manager
ATTEST:
J~n Ann W[fif~ ~ity Clerk-T~'easure~
APPROVED AS TO FORM:
City Attorney
Proposed by: City Administration
Prepared by: Finance Administration
MOTION BY: O' Leary
SECOND BY: Brien
COUNCILMEMBER AYE NAY PASS ABSENT
STEEBER X
MURPHY X
DAMRON X
WILLIAMS X
DEGARMO x
BRIEN x
O'LEARY x