HomeMy WebLinkAboutO-2000-2389
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ORDINANCE NO. ~OOD- ~3~q
ORDINANCE AUTHORIZING THE ISSUANCE OF $3,250,000 CITY OF LA PORTE, TEXAS
GENERAL OBLIGA nON BONDS, SERIES 2000, AND ALL OTHER MA TIERS RELATED
THERETO
WHEREAS, at an election duly called and held for and within the City of La Porte, Texas (the "City") on
January 16, 1999, the duly qualified resident electors of the City authorized the City Council of the City (the
"Council") to issue bonds of the maximum amount of $3,925,000 (the "1999 Authorization");
WHEREAS, the Council now deems it to be in the best interest of the City to issue $1,500,000 from
Proposition 1 of the 1999 Authorization for additions to the City Hall (leaving $-0- in bonds from Proposition 1 to
be issued in the future); $750,000 from Proposition 2 of the 1999 Authorization for replacement of Fire Station No.
4 (South La Porte area) (leaving $-0- in bonds to be issued in the future); to issue $750,000 from Proposition 3 of the
1999 Authorization for the replacement of Fire Station No.3 (Lomax area) (leaving $-0- in bonds to be issued in the
future); and to issue $250,000 from the 1999 Authorization for the replacement of the San Jacinto Swimming Pool
(leaving $-0- in bonds to be issued from Proposition 5 in the future); and
WHEREAS, the bonds hereinafter authorized are to be issued and delivered pursuant to Chapter 1251,
Texas Government Code, as amended; Chapter 1331, Texas Government Code; as amended, and the Charter of the
City;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE,
TEXAS, THAT:
Section 1. AMOUNT AND PURPOSE OF THE BONDS. The bonds of City of La Porte are hereby
authorized to be issued and delivered in the aggregate principal amount of $3,250,000, for the purpose of
constructing additions to City Hall, replacement of Fire Station No.3 and Fire Station No.4, and replacement of the
San Jacinto Swimming Pool.
Section 2. DESIGNA nON. DATE. DENOMINATIONS. NUMBERS. MATURITIES. AND INTEREST
RATES OF BONDS. Each bond issued pursuant to this Ordinance shall be designated: "CITY OF LA PORTE,
TEXAS GENERAL OBLIGATION BOND, SERIES 2000", and initially there shall be issued, sold, and delivered
hereunder fully registered bonds, without interest coupons, dated March 15, 2000, in the respective denominations
and principal amounts hereinafter stated, payable to the respective initial registered owners thereof (as designated in
Section 14 hereof), or to the registered assignee or assignees of said bonds or any portion or portions thereof (in each
case, the "Registered Owner", "Owner", or "owner").
The term "Bonds" as used in this Ordinance shall mean and include collectively the bonds initially issued
and delivered pursuant to this Ordinance and all substitute bonds exchanged therefor, as well as all other substitute
bonds and replacement bonds issued pursuant hereto, and the term "Bond" shall mean any of the Bonds. The Initial
Bond shall be numbered 1-1 and the defmitive Bonds shall be numbered R-l upward and shall be in the
denomination of$5,OOO each or any integral multiple thereof, shall mature and be payable serially on March 15 in
each of the years and in the principal amounts, respectively as set forth in the following schedule, and shall bear
interest from the date specified in the FORM OF BOND set forth in this Ordinance to their respective dates of
maturity or redemption prior to maturity at the following rates per annum:
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INTEREST INTEREST
YEARS AMOUNTS RATES YEARS AMOUNTS RATES
2001 $150,000 2011 $175,000
2002 150,000 2012 175,000
2003 150,000 2013 175,000
2004 150,000 2014 175,000
2005 150,000 2015 175,000
2006 150,000 2016 175,000
2007 150,000 2017 175,000
2008 150,000 2018 175,000
2009 150,000 2019 175,000
2010 150,000 2020 175,000
Said interest shall be payable in the manner provided and on the dates stated in the FORM OF BOND set forth in
this Ordinance.
Section 3. CHARACTERISTICS OF THE BONDS. (a) Ree:istration. Transfer. and Exchane:e:
Authentication. The City shall keep or cause to be kept at the principal corporate trust office of Chase Bank of
Texas, National Association, Houston, Texas (the "Paying Agent/Registrar") books or records for the registration of
the transfer and exchange of the Bonds (the "Registration Books"), and the City hereby appoints the Paying
Agent/Registrar as its registrar and transfer agent to keep such books or records and make such registrations of
transfers and exchanges under such reasonable regulations as the City and Paying Agent/Registrar may prescribe;
and the Paying Agent/Registrar shall make such registrations, transfers, and exchanges as herein provided. The
Mayor and the City Secretary are authorized to enter into a Paying Agent/Registrar Agreement substantially in the
form of Exhibit "A", attached hereto. The Paying Agent/Registrar shall obtain and record in the Registration Books
the address of the registered owner of each Bond to which payments with respect to the Bonds shall bemailed.as
herein provided; but it shall be the duty of each registered owner to notify the Paying Agent/Registrar in writing of
the address to which payments shall be mailed, and such interest payments shall not be mailed unless such notice
has been given. To the extent possible and under reasonable circumstances, all transfers of Bonds shall be made
within three business days after request and presentation thereof. The City shall have the right to inspect the
Registration Books during regular business hours of the Paying Agent/Registrar, but otherwise the Paying
Agent/Registrar shall keep the Registration Books confidential and, unless otherwise required by law, shall not
permit their inspection by any other entity. The Paying Agent/Registrar's standard or customary fees and charges
for making such registration, transfer, exchange and delivery of a substitute Bond or Bonds shall be paid as provided
in the FORM OF BOND set forth in this Ordinance. Registration of assignments, transfers, and exchanges of Bonds
shall be made in the manner provided and with the effect stated in the FORM OF BOND set forth in this Ordinance.
Each substitute Bond shall bear a letter and/or number to distinguish it from each other Bond.
Except as provided in (c) below, an authorized representative of the Paying Agent/Registrar shall, before
the delivery of any such Bond, date and manually sign the Paying Agent/Registrar's Authentication Certificate, and
no such Bond shall be deemed to be issued or outstanding unless such Certificate is so executed. The Paying
Agent/Registrar promptly shall cancel all paid Bonds and Bonds surrendered for transfer and exchange. No
additional ordinances, orders, or resolutions need be passed or adopted by the governing body of the City or any
other body or person so as to accomplish the foregoing transfer and exchange of any Bond or portion thereof, and
the Paying Agent/ Registrar shall provide for the printing, execution, and delivery of the substitute Bonds in the
manner prescribed herein, and said Bonds shall be of type composition printed on. paper of customary weight and
strength. Pursuant to Chapter 1201, Texas Government Code, as amended, the duty of transfer and exchange of
Bonds as aforesaid is hereby imposed upon the Paying AgentlRegistrar, and, upon the execution of said certificate,
the transferred and exchanged Bond shall be valid, incontestable, and enforceable in the same manner and with the
same effect as the Bonds which initially were issued and delivered pursuant to this Ordinance, approved by the
Attorney General, and registered by the Comptroller of Public Accounts.
(b) Payment of Bonds and Interest. The City hereby further appoints the Paying Agent/Registrar to act as
the paying agent for paying the principal of and interest on the Bonds, all as provided in this Ordinance. The Paying
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Agent/ Registrar shall keep proper records of all payments made by the City and the Paying Agent/Registrar with
respect to the Bonds.
(c) In General. The Bonds (i) shall be issued in fully registered form, without interest coupons, with the
principal of and interest on such Bonds to be payable only to the registered owners thereof, (ii) may be redeemed
prior to their scheduled maturities, (iii) may be transferred and assigned, (iv) may be exchanged for other Bonds, (v)
shall have the characteristics, (vi) shall be signed, sealed, executed, and authenticated, (vii) shall have the principal
of and interest on the Bonds be payable, and (viii) shall be administered and the Paying AgentlRegistrar and the City
shall have certain duties and responsibilities with respect to the Bonds, all as provided, and in the manner and to the
effect as required or indicated, in the FORM OF BOND set forth in this Ordinance. The Initial Bond shall be
delivered to the initial purchaser and are not required to be, and shall not be, authenticated by the Paying
AgentlRegistrar, but on each substitute Bond issued in exchange for the Initial Bonds or any Bond or Bonds issued
under this Ordinance the Paying AgentlRegistrar shall execute the PA YING AGENT/REGISTRAR'S
AUTHENTICATION CERTIFICATE, in the form set forth in the FORM OF BOND.
(d) Substitute Paving AgentlRegistrar. The City covenants with the registered owners of the Bonds that at
all times while the Bonds are outstanding the City will provide a competent and legally qualified bank, trust
company, financial institution, or other agency to act as and perform the services of Paying AgentlRegistrar for the
Bonds under this Ordinance, and that the Paying AgentlRegistrar will be one entity. The City reserves the right to,
and may, at its option, change the Paying Agent/Registrar upon not less than 120 days written notice to the Paying
AgentlRegistrar, to be effective not later than 60 days prior to the next principal or interest payment date after such
notice. In the event that the entity at any time acting as Paying Agent/Registrar (or its successor by merger,
acquisition, or other method) should resign or otherwise cease to act as such, the City covenants that promptly it will
appoint a competent and legally qualified bank, trust company, financial institution, or other agency to act as Paying
AgentlRegistrar under this Ordinance. Upon any change in the Paying AgentlRegistrar, the previous Paying
AgentlRegistrar promptly shall transfer and deliver the Registration Books (or a copy thereof), along with all other
pertinent books and records relating to the Bonds, to the new Paying Agent/Registrar designated and appointed by
the City. Upon any change in the Paying Agent/Registrar, the City promptly will cause a written notice thereof to be
sent by the new Paying AgentlRegistrar to each registered owner of the Bonds, by United States mail, first-class
postage prepaid, which notice also shall give the address of the new Paying Agent/ Registrar. By accepting the
position and performing as such, each Paying Agent/Registrar shall be deemed to have agreed to the provisions of
this Ordinance, and a certified copy of this Ordinance shall be delivered to each Paying Agent/Registrar.
Section 4. FORM OF BONDS. The form of the Bonds, including the Form of Paying AgentlRegistrar's
Authentication Certificate, the Form of Assignment, [the Form of Statement of Insurance,] and the Form of
Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be attached to the Bonds
initially issued and delivered pursuant to this Ordinance, shall be, respectively, substantially as follows, with such
appropriate variations, omissions, or insertions as are permitted or required by this Ordinance.
FORM OF BOND
[Form of Front Panel of Definitive Bond]
NO.R-
United States of America
State of Texas
CITY OF LA PORTE, TEXAS
GENERAL OBLIGATION BOND,
SERIES 2000
PRINCIPAL
AMOUNT
$
INTEREST RATE
MA ruRITY DATE
ISSUE DATE
March 15, 2000
CUSIP NO.
REGISTERED OWNER:
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PRINCIPAL AMOUNT:
DOLLARS
ON THE MATURITY DATE, specified above, THE CITY OF LA PORTE, a home rule city and
municipal corporation of the State of Texas (the "City"), hereby promises to pay to the Registered Owner, specified
above, or registered assigns (hereinafter called the "registered owner") the Principal Amount, specified above, and
to pay interest thereon from the Issue Date, specified above, on September 15, 2000, and semiannually on each
March 15 and September 15 thereafter to the Maturity Date, specified above, or the date of redemption prior to
maturity, at the Interest Rate per annum, specified above; except that if this Bond is required to be authenticated and
the date of its authentication is later than the first Record Date (hereinafter defined), such principal amount shall
bear interest from the interest payment date next preceding the date of authentication, unless such date of
authentication is after any Record Date but on or before the next following interest payment date, in which case such
principal amount shall bear interest from such next following interest payment date; provided, however, that if on
the date of authentication hereof the interest on the Bond or Bonds, if any, for which this Bond is being exchanged is
due but has not been paid, then this Bond shall bear interest from the date to which such interest has been paid in
full.
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in lawful money of the United States of
America, without exchange or collection charges. The principal of this Bond shall be paid to the registered owner
hereof upon presentation and surrender of this Bond at maturity or upon the date fixed for its redemption prior to
maturity, at the designated payment office of CHASE BANK OF TEXAS, NATIONAL ASSOCIATION, Houston,
Texas, or its successor, which is the "Paying Agent/Registrar" for this Bond. The payment of interest on this Bond
shall be made by the Paying Agent/Registrar to the registered owner hereof on each interest payment date by check,
dated as of such interest payment date, drawn by the Paying Agent/Registrar on, and payable solely from, funds of
the City required by the ordinance authorizing the issuance of this Bond adopted on March 27, 2000 (the "Bond
Ordinance") to be on deposit with the Paying Agent/Registrar for such purpose as hereinafter provided; and such
check shall be sent by the Paying Agent/Registrar by United States mail, first-class postage prepaid, on each such
interest payment date, to the registered owner hereof, at its address as it appeared on the last business day of the
month next preceding each such date (the "Record Date") on the Registration Books kept by the Paying
Agent/Registrar, as hereinafter described. In addition, interest may be paid by such other method, acceptable to the
Paying Agent/Registrar, requested by, and at the risk and expense of, the registered owner.
THIS BOND is one of a series of Bonds dated as of March 15, 2000, authorized in accordance with the
Constitution and laws of the State of Texas in the original principal amount of $3,250,000 for the purpose of
providing funds for additions to City Hall, replacement of Fire Station No.3 and Fire Station No.4, and replacement
of the San Jacinto Swimming Pool.
REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THE BOND SET FORTH ON
THE REVERSE HEREOF, WHICH PROVISIONS SHALL HAVE THE SAME FORCE AND EFFECT AS IF
SET FORTH IN THIS SPACE.
IN WITNESS WHEREOF, the City has caused this Bond to be signed with the manual or facsimile
signature of the Mayor of the City and countersigned with the manual or facsimile signature of the City Secretary of
the City, and has caused the official seal of the City to be duly impressed, or placed in facsimile, on this Bond.
CITY OF LA PORTE, TEXAS
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
City Secretary
City of La Porte, Texas
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
Mayor
City of La Porte, Texas
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[Form of Back Panel of Bond]
THE BONDS are issued pursuarit to the Bond Ordinance whereunder the City covenants to levy a
continuing direct annual ad valorem tax on taxable property within the City, not to exceed $2.50 per assessed $100
valuation, as provided in Article XI, Section 5 of the Texas Constitution, for each year while any part of the Bonds
are considered outstanding under the provisions of the Bond Ordinance, in sufficient amount to pay interest on each
Bond as it becomes due, to provide a sinking fund for the payment of the principal of the Bonds when due, and to
pay the expenses of assessing and collecting such tax, all as more specifically provided in the Bond Ordinance.
Reference is hereby made to the Bond Ordinance for provisions with respect to the custody and application of the
City's funds, remedies in the event of a default hereunder or thereunder, and the other rights of the registered owner.
THIS BOND IS TRANSFERABLE OR EXCHANGEABLE only upon presentation and surrender at the
principal corporate office of the Paying Agent/Registrar. If this Bond is being transferred, it shall be duly endorsed
for transfer or accompanied by an assignment duly executed by the registered owner, or his authorized
representative, subject to the terms and conditions of the Bond Ordinance.
IF THE DATE for the payment of the principal of or interest on this Bond shall be a Saturday, a Sunday, a
legal holiday, or a day on which banking institutions in the city where the designated payment office of the Paying
AgentlRegistrar is located are authorized by law or executive order to close, or the United States Postal Service is
not open for business, then the date for such payment shall be the next succeeding day which is not such a Saturday,
Sunday, legal holiday, or day on which banking institutions are authorized to close, or the United States Postal
Service is not open for business; and payment on such date shall have the same force and effect as if made on the
original date payment was due.
ON MARCH 15,2010, or on any date thereafter, the Bonds of this series may be redeemed prior to their
scheduled maturities, at the option of the City, with funds derived from any available and lawful source, as a whole,
or in part (provided that a portion of a Bond may be redeemed only in an integral multiple of $5,000) at the
redemption price of the principal amount of Bonds called for redemption, plus accrued interest thereon to the date
fixed for redemption. If less than all of the Bonds are to be redeemed, the City shall determine the maturity or
maturities and the amounts thereof to be redeemed and shall direct the Paying Agent/Registrar to call by lot Bonds,
or portions thereof, within such maturity or maturities and in such principal amounts, for redemption.
AT LEAST 30 days prior to the date for any such redemption, a notice of such redemption shall be sent by
the Paying Agent/Registrar by United States mail, first class, postage prepaid, to the registered owner of each Bond,
or portion thereof to be redeemed, at its address as it appeared on the Registration Books on the 45th day prior to
such redemption date and to major securities depositories, national bond rating agencies, and bond information
services; provided, however, that the failure to send, mail, or receive such notice, or any defect therein or in the
sending or mailing thereof, shall not affect the validity or effectiveness of the proceedings for the redemption of any
Bond. By the date fixed for any such redemption, due provision shall be made by the City with the Paying
Agent/Registrar for the payment of the required redemption price for this Bond or the portion hereof which is to be
so redeemed, plus accrued interest thereon to the date fixed for redemption. If such notice of redemption is given,
and if due provision for such payment is made, all as provided above, this Bond, or the portion thereof which is to be
so redeemed, thereby automatically shall be redeemed prior to its scheduled maturity, and shall not bear interest
after the date fIXed for its redemption, and shall not be regarded as being outstanding except for the right of the
registered owner to receive the redemption price plus accrued interest to the date fixed for redemption from the
Paying Agent/Registrar out of the funds provided for such payment. The Paying AgentlRegistrar shall record in the
Registration Books all such redemptions of principal of this Bond or any portion hereof. If a portion of any Bond
shall be redeemed, a substitute Bond or Bonds having the same maturity date, bearing interest at the same rate, in
any denomination or denominations in any integral multiple of $5,000, at the written request of the registered owner,
and in an aggregate principal amount equal to the unredeemed portion thereof, will be issued to the registered owner
upon the surrender thereof for cancellation, at the expense of the City, all as provided in the Bond Ordinance.
ALL BONDS OF THIS SERIES are issuable solely as fully registered Bonds, without interest coupons, in
the denomination of any integral multiple of $5,000. As provided in the Bond Ordinance, this Bond, or any
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unredeemed portion hereof, may, at the request of the registered owner or the assignee or assignees hereof, be
assigned, transferred, and exchanged for a like aggregate principal amount of fully registered Bonds, without interest
coupons, payable to the appropriate registered owner, assignee, or assignees, as the case may be, having the same
denomination or denominations in any integral multiple of $5,000 as requested in writing by the appropriate
registered owner, assignee, or assignees, as the case may be, upon surrender of this Bond to the Paying
Agent/Registrar for cancellation, all in accordance with the form and procedures set forth in the Bond Ordinance.
Among other requirements for such assignment and transfer, this Bond must be presented and surrendered to the
Paying Agent/Registrar, together with proper instruments of assignment, in form and with guarantee of signatures
satisfactory to the Paying AgentlRegistrar, evidencing assignment of this Bond or any portion or portions hereof in
any integral multiple of $5,000 to the assignee or assignees in whose name or names this Bond or any such portion
or portions hereof is or are to be registered. The Form of Assignment printed or endorsed on this Bond may be
executed by the registered owner to evidence the assignment hereof, but such method is not exclusive, and other
instruments of assignment satisfactory to the Paying Agent/Registrar may be used to evidence the assignment of this
Bond or any portion or portions hereof from time to time by the registered owner. The person requesting such
transfer and exchange shall pay the Paying Agent/Registrar's reasonable standard or customary fees and charges for
transferring and exchanging any Bond or portion thereof. In any circumstance, any taxes or governmental charges
required to be paid with respect thereto shall be paid by the person requesting such assignment, transfer, or
exchange, as a condition precedent to the exercise of such privilege. The foregoing notwithstanding, in the case of
the exchange of a portion of a Bond which has been redeemed prior to maturity, as provided herein, and in the case
of the exchange of an assigned and transferred Bond or Bonds or any portion or portions thereof, such fees and
charges of the Paying Agent/Registrar will be paid by the City. The Paying Agent/Registrar shall not be required to
make any such transfer or exchange (i) during the period commencing with the close of business on any Record
Date and ending with the opening of business on the next following principal or interest payment date or (ii) with
respect to any Bond or any portion thereof called for redemption prior to maturity, within 45 days prior to its
redemption date.
IN THE EVENT any Paying Agent/Registrar for the Bonds is changed by the City, resigns, or otherwise
ceases to act as such, the City has covenanted in the Bond Ordinance that it promptly will appoint a competent and
legally qualified substitute therefor, and cause written notice thereof to be mailed to the registered owners of the
Bonds.
BY BECOMING the registered owner of this Bond, the registered owner thereby acknowledges all of the
terms and provisions of the Bond Ordinance, agrees to be bound by such terms and provisions, acknowledges that
the Bond Ordinance is duly recorded and available for inspection in the official minutes and records of the
governing body of the City, and agrees that the terms and provisions of this Bond and the Bond Ordinance constitute
a contract between each registered owner hereof and the City.
IT IS HEREBY CERTIFIED, RECITED, AND COVENANTED THAT this Bond has been duly and
validly authorized, issued, and delivered; all acts, conditions, and things required or proper to be performed, exist,
and be done precedent to or in the authorization, issuance, and delivery of this Bond have been performed, existed,
and been done in accordance with law; and ad valorem taxes sufficient to provide for the payment of the interest on
and principal of~is Bond, as such interest comes due, and as such principal matures, have been levied and ordered
to be levied against all taxable property in the City, and have been pledged for such payment, within the limit
prescribed by law.
FORM OF INITIAL BOND
The Initial Bond shall be in the form set forth above for the Definitive Bonds. except the followinl! shall
replace the headinl! and the first paral!l'aph and the Bond will be a continuous document:
NO. 1-1c
$3,250,000
United States of America
State of Texas
CITY OF LA PORTE, TEXAS
GENERAL OBUGA TION BOND, SERIES 2000
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Issue Date:
March 15, 2000
Registered Owner:
Principal Amount:
THREE MILLION TWO HUNDRED FIFTY THOUSAND DOLLARS ($3,250,000)
THE CITY OF LA PORTE, TEXAS (the "City"), for value received, acknowledges itself indebted to and
hereby promises to pay to the order of the Registered Owner, specified above, or the registered assigns thereof (the
"Registered Owner"), the Principal Amount, specified above, with principal installments payable on March 15 in
each of the years, and bearing interest at per annum rates in accordance with the following schedule:
YEARS OF
STATED MATURITIES
PRINCIPAL
INSTALLMENTS
$
INTEREST
RATE
%
(Information to be inserted from schedule in Section 2 hereof.)
INTEREST on the unpaid Principal Amount hereof from the Issue Date, specified above, or from the most
recent interest payment date to which interest has been paid or duly provided for until the Principal Amount has
become due and payment thereof has been made or duly provided for shall be paid computed on the basis of a 360-
day year of twelve 30-day months; such interest being payable on March 15 and September 15 of each year,
commencing September 15,2000.
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in lawful money of the United States of
America, without exchange or collection charges. The final payment of principal of this Bond shall be paid to the
Registered Owner hereof upon presentation and surrender of this Bond at fmal maturity, at the designated payment
office of CHASE BANK OF TEXAS, NATIONAL ASSOCIATION, Houston, Texas, which is the "Paying
AgentlRegistrar" for this Bond. The payment of principal installments and interest on this Bond shall be made by
the Paying AgentlRegistrar to the Registered Owner hereof as shown by the Registration Books kept by the Paying
Agent/Registrar at the close of business on the Record Date by check drawn by the Paying Agent/Registrar on, and
payable solely from, funds of the City required to be on deposit with the Paying Agent/Registrar for such purpose as
required by the ordinance authorizing the issuance of this Bond adopted on March 27,2000 (the "Bond Ordinance");
and such check shall be sent by the Paying Agent/Registrar by United States mail, postage prepaid, on each such
payment date, to the registered owner hereof at its address as it appears on the Registration Books kept by the
Paying Agent/Registrar, as hereinafter described. The record date ("Record Date") for payments hereon means the
last business day of the month preceding a scheduled payment. In addition, interest may be paid by such other
method, acceptable to the Paying AgentlRegistrar, requested by, and at the risk and expense, of the registered owner.
In the event ofa non-payment of interest on a scheduled payment date, and for 30 days thereafter, a new record date
for such payment (a "Special Record Date") will be established by the Paying Agent/Registrar, if and when funds
for the payment thereof have been received from the City. Notice of the Special Record Date and of the scheduled
payment date of the past due payment (the "Special Payment Date", which shall be 15 calendar days after the
Special Record Date) shall be sent at least five business days prior to the Special Record Date by United States mail,
first class, postage prepaid, to the address of the Registered Owner appearing on the books of the Paying
AgentlRegistrar at the close of business on the last business day next preceding the date of mailing of such notice.
The City covenants with the Registered Owner that no later than each principal installment payment date and
interest payment date for this Bond it will make available to the Paying Agent/Registrar the amounts required to
provide for the payment, in immediately available funds, of all principal of and interest on the Bond, when due, in
the manner set forth in the Ordinance defined below.
FORM OF PAYING AGENTIREGISTRAR'S AUTHENTICATION CERTIFICATE.
· Not required on Initial Bond
PAYING AGENTIREGISTRAR'S AUTHENTICATION CERTIFICATE
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It is hereby certified that this Bond has been issued under the provisions of the Bond Ordinance described
in the text of this Bond; and that this Bond has been issued in exchange for, a bond, bonds, or a portion of a bond or
bonds ofa Series which originally was approved by the Attorney General of the State of Texas and registered by the
Comptroller of Public Accounts of the State of Texas.
Dated:
CHASE BANK OF TEXAS, NATIONAL ASSOCIATION,
Paying Agent/Registrar
By
Authorized Signature
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rFORM OF STATEMENT OF INSURANCE
STATEMENT OF INSURANCE]
FORM OF ASSIGNMENT
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned registered owner of this Bond, or duly authorized
representative or attorney thereof, hereby assigns this Bond to
I I
(Assignee's Social Security or Tax Payer
Identification number)
(Print or type Assignee's name and address, including zip code)
and
hereby irrevocably constitutes and appoints
attorney to transfer the registration of this Bond on the Paying AgentlRegistrar's Registration Books with full power
of substitution in the premises.
Dated
Signature Guaranteed:
NOTICE: Signature(s) must be guaranteed by a
member firm of the New York Stock Exchange or a
commercial bank or trust company.
NOTICE: The signature above must correspond with
the name of the Registered Owner as it appears upon
the front of this Bond in every particular, without
alteration or enlargement or any change whatsoever.
The following abbreviations, when used in the assignment above or on the face of the within Bond, shall be
construed as though they were written out in full according to applicable laws or regulations:
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenant with right of survivorship and not as tenants in common
UNIF GIFT MIN ACT - Custodian
under Uniform Gifts to Minor Act
(Cust)
(State)
(Minor)
Additional abbreviations may also be used though not in the list above.
FORM OF REGISTRATION CERTIFICATE OF THE COMPTROLLER OF PUBLIC ACCOUNTS'
'To be printed or attached to Initial Bond only
COMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER NO.
I hereby certify that this Bond has been examined, certified as to validity, and approved by the Attorney
General of the State of Texas, and that this Bond has been registered by the Comptroller of Public Accounts of the
State of Texas.
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Witness my signature and seal this
COMPTROLLER'S SEAL
Comptroller of Public Accounts of the State of Texas
[END OF FORMS]
Section 5. TAX LEVY. A special Interest and Sinking Fund (the "Interest and Sinking Fund") is hereby
created solely for the benefit of the Bonds, and the Interest and Sinking Fund shall be established and maintained by
the City at an official depository bank of the City. The Interest and Sinking Fund shall be kept separate and apart
from all other funds and accounts of the City, and shall be used only for paying the interest on and principal of the
Bonds. All ad valorem taxes levied and collected for and on account of the Bonds shall be deposited, as collected,
to the credit of the Interest and Sinking Fund. During each year while any of the Bonds or interest thereon are
outstanding and unpaid, the Council shall compute and ascertain a rate and amount of ad valorem tax which will be
sufficient to raise and produce the money required to pay the interest on the Bonds as such interest comes due, and
to provide and maintain a sinking fund adequate to pay the principal of its Bonds as such principal matures (but
never less than 2% of the original principal amount of said Bonds as a sinking fund each year); and said tax shall be
based on the latest approved tax rolls of the City, with full allowance being made for tax delinquencies and the cost
of tax collection. Said rate and amount of ad valorem tax is hereby levied, and is hereby ordered to be levied,
against all taxable property in the City for each year while any of the Bonds or interest thereon are outstanding and
unpaid; and said tax shall be assessed and collected each such year and deposited to the credit of the aforesaid
Interest and Sinking Fund. Said ad valorem taxes sufficient to provide for the payment of the interest on and
principal of the Bonds, as such interest comes due and such principal matures, are hereby pledged for such payment,
within the limit prescribed by law.
Section 6. DISPOSITION OF BOND PROCEEDS. The proceeds of the Bonds shall be placed into the
Interest and Sinking Fund and the Construction Fund of the City as follows:
(a) Interest and Sinking Fund. An amount equal to the accrued interest on the Bonds from the date of the
Bonds to the date of delivery to the Initial Purchaser shall be deposited in the Interest and Sinking Fund.
(b) Construction Fund. The proceeds of the Bonds remaining after the above described deposit into the
Interest and Sinking Fund shall be placed in the Construction Fund (hereby created) to be used by the City for the
purposes described in this Ordinance.
Section 7. REMEDIES OF OWNERS. In addition to all rights and remedies of any Owner of the Bonds
provided by the laws of the State of Texas, the City and the Council covenant and agree that in the event the City
defaults in the payment of the principal of or interest on any of the Bonds when due, fails to make the payments
required by this Ordinance to be made into the Interest and Sinking Fund, or defaults in the observance or
performance of any of the covenants, conditions, or obligations set forth in this Ordinance, the owner of any of the
Bonds shall be entitled to a writ of mandamus issued by a court of proper jurisdiction compelling and requiring the
Council and other officers of the City to observe and perform any covenant, obligation, or condition prescribed in
this Ordinance. No delay or omission by any owner to exercise any right or power accruing to such owner upon
default shall impair any such right or power, or shall be construed to be a waiver of any such default or acquiescence
therein, and every such right or power may be exercised from time to time and as often as may be deemed expedient.
The specific remedies mentioned in this Ordinance shall be available to any owner of any of the Bonds and shall be
cumulative of all other existing remedies.
Section 8. DEFEASANCE OF BONDS. (a) Any Bond and the interest thereon shall be deemed to be paid,
retired, and no longer outstanding (a "Defeased Bond") within the meaning of this Ordinance, except to the extent
provided in subsection (e) of this Section, when payment of the principal of such Bond, plus interest thereon to the
due date (whether such due date be by reason of maturity, upon redemption, or otherwise) either (i) shall have been
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made or caused to be made in accordance with the terms thereof (including the giving of any required notice of
redemption) or (ii) shall have been provided for on or before such due date by irrevocably depositing with or making
available to the Paying Agent/Registrar for such payment (A) lawful money of the United States of America
sufficient to make such payment or (B) Government Obligations (hereinafter defined) which mature as to principal
and interest in such amounts and at such times as will insure the availability, without reinvestment, of sufficient
money to provide for such payment, and when proper arrangements have been made by the City with the Paying
Agent/Registrar for the payment of its services until all Defeased Bonds shall have become due and payable. At
such time as a Bond shall be deemed to be a Defeased Bond hereunder, as aforesaid, such Bond and the interest
thereon shall no longer be secured by, payable from, or entitled to the benefits of, the ad valorem taxes herein levied
and pledged as provided in this Ordinance, and such principal and interest shall be payable solely from such money
or Government Obligations.
(b) Any money so deposited with the Paying Agent/Registrar may at the written direction of the City also
be invested in Government Obligations, maturing in the amounts and times as hereinbefore set forth, and all income
from such Government Obligations received by the Paying Agent/Registrar which is not required for the payment of
the Bonds and interest thereon, with respect to which such money has been so deposited, shall be turned over to the
City, or deposited as directed in writing by the City.
(c) The term "Government Obligations" as used in this Section, shall mean direct obligations of the United
States of America, including obligations the principal of and interest on which are unconditionally guaranteed by the
United States of America, which may be United States Treasury obligations such as its State and Local Government
Series, which may be in book-entry form.
(d) Until all Defeased Bonds shall have become due and payable, the Paying Agent/Registrar shall perform
the services of Paying Agent/Registrar for such Defeased Bonds the same as if they had not been defeased, and the
City shall make proper arrangements to provide and pay for such services as required by this Ordinance.
Section 9. BOOK-ENTRY ONLY SYSTEM. It is intended that the Bonds initially be registered so as to
participate in a securities depository system (the "DTC System") with The Depository Trust Company, New York,
New York, or any successor entity thereto ("DTC"), as set forth herein. The definitive Bonds shall be issued in the
form of a separate single definitive Bond for each maturity. Upon issuance, the ownership of each such Bond shall
be registered in the name of Cede & Co., as the nominee of DTC, and all of the outstanding Bonds shall be
registered in the name of Cede & Co., as the nominee of DTC. The City and the Paying Agent/Registrar are
authorized to execute, deliver, and take the actions set forth in such letters to or agreements with DTC as shall be
necessary to effectuate the DTC System, including a "Letter of Representation" (the "Representation Letter").
With respect to the Bonds registered in the name of Cede & Co., as nominee of DTC, the City and the
Paying Agent/Registrar shall have no responsibility or obligation to any broker-dealer, bank, or other fmancial
institution for which DTC holds the Bonds from time to time as securities depository (a "Depository Participant") or
to any person on behalf of whom such a Depository Participant holds an interest in the Bonds (an "Indirect
Participant"). Without limiting the immediately preceding sentence, the City and the Paying Agent/Registrar shall
have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co., or any
Depository Participant with respect to any ownership interest in the Bonds, or (ii) the delivery to any Depository
Participant or any Indirect Participant or any other Person, other than a registered owner of a Bond, of any amount
with respect to principal of, premium, if any, or interest on the Bonds. While in the DTC System, no person other
than Cede & Co., or any successor thereto, as nominee for DTC, shall receive a Bond evidencing the obligation of
the City to make payments of principal, premium, if any, and interest pursuant to this Ordinance. Upon delivery by
DTC to the Paying Agent/Registrar of written notice to the effect that DTC has determined to substitute a new
nominee in place of Cede & Co., and subject to the provisions in this Ordinance with respect to interest checks or
drafts being mailed to the holder, the word "Cede & Co." in this Ordinance shall refer to such new nominee ofDTC.
In the event that (a) the City determines that DTC is incapable of discharging its responsibilities described
herein and in the Representation Letter, (b) the Representation Letter shall be terminated for any reason, or (c) DTC
or the City determines that it is in the best interest of the beneficial owners of the Bonds that they be able to obtain
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certificated Bonds, the City shall notify the Paying Agent/Registrar, DTC, and Depository Participants of the
availability within a reasonable period of time through DTC of certificated certificates, and the Bonds shall no
longer be restricted to being registered in the name of Cede & Co., as nominee of DTC. At that time, the City may
determine that the Bonds shall be registered in the name of and deposited with a successor depository operating a
securities depository system, as may be acceptable to the City, or such depository's agent or designee, and if the
City and the Paying AgentlRegistrar do not select such alternate securities depository system then the Bonds may be
registered in whatever names the registered owners of Bonds transferring or exchanging the Bonds shall designate,
in accordance with the provisions hereof.
Notwithstanding any other provision of this Ordinance to the contrary, so long as any Bond is registered in
the name of Cede & Co., as nominee ofDTC, all payments with respect to principal of, premium, if any, and interest
on such Bond and all notices with respect to such Bond shall be made and given, respectively, in the manner
provided in the Representation Letter.
Section 10. DAMAGED. MUTILATED. LOST. STOLEN. OR DESTROYED BONDS. (a) Replacement
Bonds. In the event any outstanding Bond is damaged, mutilated, lost, stolen, or destroyed, the Paying
Agent/Registrar shall cause to be printed, executed, and delivered, a new bond of the same principal amount,
maturity, and interest rate, as the damaged, mutilated, lost, stolen, or destroyed Bond, in replacement for such Bond
in the manner hereinafter provided.
(b) Application for Replacement Bonds. Application for replacement of damaged, mutilated, lost, stolen,
or destroyed Bonds shall be made by the registered owner thereof to the Paying Agent/Registrar. In every case of
loss, theft, or destruction of a Bond, the registered owner applying for a replacement bond shall furnish to the City
and to the Paying Agent/Registrar such security or indemnity as may be required by them to save each of them
harmless from any loss or damage with respect thereto. Also, in every case of loss, theft, or destruction of a Bond,
the registered owner shall furnish to the City and to the Paying AgentlRegistrar evidence to their satisfaction of the
loss, theft, or destruction of such Bond, as the case may be. In every case of damage or mutilation of a Bond, the
registered owner shall surrender to the Paying Agent/Registrar for cancellation the Bond so damaged or mutilated.
(c) No Default Occurred. Notwithstanding the foregoing provisions of this Section, in the event any such
Bond sha1l have matured, and no default has occurred which is then continuing in the payment of the principal of,
redemption premium, if any, or interest on the Bond, the City may authorize the payment of the same (without
surrender thereof except in the case of a damaged or mutilated Bond) instead of issuing a replacement Bond,
provided security or indemnity is furnished as above provided in this Section.
(d) Charl!e for Issuinl! Replacement Bonds. Prior to the issuance of any replacement bond, the Paying
Agent/Registrar shall charge the registered owner of such Bond with a1l legal, printing, and other expenses in
connection therewith. Every replacement bond issued pursuant to the provisions of this Section by virtue of the fact
that any Bond is lost, stolen, or destroyed shall constitute a contractual obligation of the City whether or not the lost,
stolen, or destroyed Bond shall be found at any time, or be enforceable by anyone, and shall be entitled to all the
benefits of this Ordinance equally and proportionately with any and all other Bonds duly issued under this
Ordinance.
(e) Authority for Issuinl! Replacement Bonds. In accordance with Chapter 1201, Texas Government Code,
as amended, this Section of this Ordinance shall constitute authority for the issuance of any such replacement bond
without necessity of further action by the governing body of the City or any other body or person, and the duty of
the replacement of such bonds is hereby authorized and imposed upon the Paying Agent/ Registrar, and the Paying
AgentlRegistrar shall authenticate and deliver such Bonds in the form and manner and with the effect, as provided in
Section 4 of this Ordinance for Bonds issued in exchange for other Bonds.
Section 11. CUSTODY. APPROVAL. AND REGISTRATION OF BONDS: BOND COUNSEL'S
OPINION. AND CUSIP NUMBERS. The Mayor of the City is hereby authorized to have control of the Bonds
initially issued and delivered hereunder and all necessary records and proceedings pertaining to the Bonds pending
their delivery and their investigation, examination, and approval by the Attorney General of the State of Texas, and
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their registration by the ComptrolIer of Public Accounts of the State of Texas. Upon registration of the Bonds said
ComptrolIer of Public Accounts (or a deputy designated in writing to act for said Comptroller) shalI manually sign
the ComptrolIer's Registration Certificate attached to such Bonds, and the seal of said Comptroller shall be
impressed, or placed in facsimile, on such Certificate. The approving legal opinion of Akin, Gump, Strauss, Hauer
& Feld, L.L.P., Bond Counsel and the assigned CUSIP numbers may, at the option of the City, be printed on the
Bonds issued and delivered under this Ordinance, but neither shall have any legal effect, and shall be solely for the
convenience and information of the registered owners of the Bonds.
Section 12. COVENANTS OF THE CITY. (a) General Covenants. The City covenants and represents that:
(i) The City is a duly incorporated Home Rule City, having more than 5000 inhabitants, operating and
existing under the Constitution and laws of the State of Texas, and is duly authorized under the laws of the
State of Texas to create and issue the Bonds; all action on its part for the creation and issuance of the Bonds
has been duly and effectively taken; and the Bonds in the hands of the Owners thereof are and will be valid
and enforceable obligations of the City in accordance with their terms; and
(ii) The Bonds shall be ratably secured in such manner that no one Bond shall have preference over
other Bonds.
(b) Snecific Covenants. The City covenants and represents that, while the Bonds are outstanding and
unpaid, it will:
(i) Levy an ad valorem tax that will be sufficient to provide funds to pay the current interest on the
Bonds and to provide the necessary sinking fund, all as described in this Ordinance; and
(ii) Keep proper books of record and account in which full, true, and correct entries will be made of all
dealings, activities, and transactions relating to the Funds created pursuant to this Ordinance, and all books,
documents, and vouchers relating thereto shall at all reasonable times be made available for inspection upon
request from any Owner.
(c) Covenants Regarding Tax Matters. The City covenants to take any action to maintain, or refrain
from any action which would adversely affect, the treatment of the Bonds as obligations described in section 103 of
the Internal Revenue Code of 1986, as amended (the "Code"), the interest on which is not includable in "gross
income" for federal income tax purposes. In furtherance thereof, the City specifically covenants as follows:
(i) To refrain from taking any action which would result in the Bonds being treated as "private activity
bonds" within the meaning of section 14l(a) of the Code;
(ii) To take any action to assure that no more than 10% of the proceeds of the Bonds or the projects
financed therewith are used for any "private business use," as defined in section 14l(b)(6) of the Code or, if
more than ] 0% of the proceeds or the projects financed therewith are so used, that amounts, whether or not
received by the City with respect to such private business use, do not under the terms of this Resolution or
any underlying arrangement, directly or indirectly, secure or provide for the payment of more than 10% of
the debt service on the Bonds, in contravention of section 141 (b )(2) of the Code;
(Hi) To take any action to assure that in the event that the "private business use" described in paragraph
(ii) hereof exceeds 5% of the proceeds of the Bonds or the projects financed therewith, then the amount in
excess of 5% is used for a "private business use" which is "related" and not "disproportionate," within the
meaning of section 141(b)(3) of the Code, to the governmental use;
(iv) To take any action to assure that no amount which is greater than the lesser of $5,000,000 or 5% of
the proceeds of the Bonds is directly or indirectly used to finance loans to persons, other than state or local
governmental units, in contravention of section l4l(c) of the Code;
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(v) To refrain from taking any action which would result in the Bonds being "federally guaranteed"
within the meaning of section 149(b) of the Code;
(vi) Except to the extent permitted by section 148 of the Code and the regulations and rulings
thereunder, to refrain from using any portion of the proceeds of the Bonds, directly or indirectly, to acquire
or to replace funds which were used, directly or indirectly, to acquire investment property (as defined in
section l48(b)(2) of the Code) which produces a materialIy higher yield over the term of the Bonds.
(vii) To otherwise restrict the use of the proceeds of the Bonds or amounts treated as proceeds of the
Bonds, as may be necessary, so that the Bonds do not otherwise contravene the requirements of section 148
of the Code (relating to arbitrage) and, to the extent applicable, section 149(d) of the Code (relating to
advance refundings);
(viii) Except to the extent otherwise provided in section 148(f) of the Code and the regulations and
rulings thereunder, to pay to the United States of America at least once during each five year period
(beginning on the date of delivery of the Bonds) an amount that is at least equal to 90% of the "Excess
Earnings," within the meaning of section 148(f) of the Code, and to pay to the United States of America, not
later than 60 days after the Bonds have been paid in fulI, 100% of the amount then required to be paid as a
result of Excess Earnings under section 148(f) of the Code;
(ix) To maintain such records as will enable the City to fulfill its responsibilities under this subsection
and sections 141 and 148 of the Code and to retain such records for at least six years following the final
payment of principal and interest on the Bonds; and
(x) To comply with the information reporting requirements of section I 49(e) of the Code.
For the purposes of the foregoing, in the case of a refunding bond, the term proceeds includes transferred proceeds
and, for purposes of paragraphs (ii) and (iii), proceeds of the refunded bonds.
The covenants contained herein are intended to assure compliance with the Code and any regulations or
rulings promulgated by the U.S. Department of Treasury pursuant thereto. In the event that regulations or rulings
are hereafter promulgated which modify or expand provisions of the Code, as applicable to the Bonds, the City will
not be required to comply with any covenant contained herein to the extent that such modification or expansion, in
the opinion of nationally-recognized bond counsel, will not adversely affect the exclusion from gross income of
interest on the Bonds under section 103 of the Code. In the event that regulations or rulings are hereafter
promulgated which impose additional requirements which are applicable to the Bonds, the City agrees to comply
with the additional requirements to the extent necessary, in the opinion of nationally-recognized bond counsel, to
preserve the exclusion from gross income of interest on the Bonds under section 103 of the Code.
Proper officers of the City charged with the responsibility of issuing the Bonds are hereby authorized and
directed to execute any documents, certificates, or reports required by the Code and to make such elections, on
behalf of the City, which may be pennitted by the Code as are consistent with the purpose for the issuance of the
Bonds.
Notwithstanding any other provision in this Resolution, to the extent necessary to preserve the exclusion
from gross income of interest on the Bonds under section 103 of the Code the covenants contained in this subsection
shall survive the later of the defeasance or discharge of the Bonds.
(d) Covenants Re2ardin2 Sale. Lease. or Disposition of Financed Prooertv. The City covenants that the
City will regulate the use of the property financed, directly or indirectly, with the proceeds of the Bonds and will not
sell, lease, or otherwise dispose of such property unless (i) the City takes the remedial measures as may be required
by the Code and the regulations and rulings thereunder in order to preserve the exclusion from gross income of
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interest on the Bonds under section 103 of the Code or (ii) the City seeks the advice of nationally-recognized bond
counsel with respect to such sale, lease, or other disposition.
Section 13. DESIGNATION AS OUALIFIED TAX-EXEMPT OBLIGATIONS. The City hereby
designates the Bonds as "qualified tax-exempt obligations" as defined in section 265(b)(3) of the Code. In
furtherance of such designation, the City represents, covenants, and warrants the following: (a) during the calendar
year in which the Bonds are issued, the City (including any subordinate entities) has not designated nor will
designate obligations, which when aggregated with the Bonds, will result in more than $10,000,000 of "qualified
tax-exempt obligations" being issued; (b) the City reasonably anticipates that the amount of tax-exempt obligations
issued during 2000 by the City (including any subordinate entities) will not exceed $10,000,000; and (c) the City
will take such action which would assure, or to refrain from such action which would adversely affect, the treatment
of the Bonds as "qualified tax-exempt obligations."
Section 14. SALE OF BONDS. The sale of the Bonds to the Initial Purchasers pursuant to the taking of
competitive bids at a price of par, plus accrued interest to the date of delivery and a premium of $ is
hereby confirmed. It is hereby officially found, determined, and declared that the Initial Purchasers submitted the
bid which results in the lowest true interest cost to the City and delivery of the Bonds to the Initial Purchasers shall
be made as soon as practicable after the adoption of this Ordinance, upon payment therefor, in accordance with the
terms of sale. The Initial Bond shall be registered in the name of the Initial Purchasers. The officers of the City are
hereby authorized and directed to execute and deliver such certificates, instructions, or other instruments as are
required or necessary to accomplish the purposes of this Ordinance.
Section 15. APPROVAL OF OFFICIAL STATEMENT. The City hereby approves the form and content of
the Official Statement relating to the Bonds, and any addenda, supplement, or amendment thereto and approves the
distribution of such Official Statement in the reoffering of the Bonds by the Initial Purchasers in fmal form, with
such changes therein or additions thereto as the officer executing the same may deem advisable, such determination
to be conclusively evidenced by his execution thereof. It is further officially found determined and declared that the
statements and representations contained in said Official Statement are true and correct in all material respects to the
best knowledge and belief of the Council.
Section 16. CONTINUING DISCLOSURE UNDERTAKING. (a) Annual ReDorts. The City shall provide
annually to each nationally-recognized municipal securities information repository ("NRMSIR") and to any state
information depository ("SID"), within six months after the end of each fiscal year ending in or after 2000, financial
information and operating data with respect to the City of the general type included in the final Official Statement
authorized by Section 15 of this Ordinance, being the information described in Exhibit B hereto. Any financial
statements so to be provided shall be (l) prepared in accordance with the accounting principles described in Exhibit
B hereto and (2) audited, if the City commissions an audit of such statements and the audit is completed within the
period during which they must be provided. If the audit of such fmancial statements is not complete within such
period, the City shall provide audited financial statements for the applicable fiscal year to each NRMSIR and any
SID when and if the audit report on such statements becomes available.
If the City changes its fiscal year, it will notify each NRMSIR and any SID of the change (and of the date
of the new fiscal year end) prior to the next date by which the City otherwise would be required to provide financial
information and operating data pursuant to this Section.
The financial information and operating data to be provided pursuant to this Section may be set forth in full
in one or more documents or may be included by specific reference to any document (including an official statement
or other offering document) if it is available from the Municipal Securities Rulemaking Board (the "MSRB") that
theretofore has been provided to each NRMSIR and any SID or filed with the Securities and Exchange Commission
("SEC").
(b) Material Event Notices. The City shall notify any SID and either each NRMSIR or the Municipal
Securities Rulemaking Board ("MSRB"), in a timely manner, of any of the following events with respect to the
Bonds, if such event is material within the meaning of the federal securities laws: (i) principal and interest payment
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delinquencies; (ii) non-payment related defaults; (Hi) unscheduled draws on debt service reserves reflecting fmancial
difficulties; (iv) unscheduled draws on credit enhancements reflecting financial difficulties; (v) substitution of credit
or liquidity providers, or their failure to perform; (vi) adverse tax opinions or events affecting the tax-exempt status
of the Bonds; (vii) modifications to rights of holders of the Bonds; (viii) calls; (ix) defeasances; (x) release,
substitution, or sale of properly securing repayment of the Bonds; and (xi) rating changes.
The City shall notify any SID and either each NRMSIR or the MSRB, in a timely manner, of any failure by
the City to provide financial information or operating data in accordance with this Section by the time required by
this Section.
(c) Limitations. Disclaimers. and Amendments. The City shall be obligated to observe and perform the
covenants specified in this Section for so long as, but only for so long as, the City remains an "obligated person"
with respect to the Bonds within the meaning of SEC Rule 15c2-l2 (the "Rule"), except that the City in any event
will give notice of any deposit made in accordance with Section 17 above that causes the Bonds no longer to be
outstanding and any call of Bonds made in connection therewith.
The provisions of this Section are for the sole benefit of the Owners and beneficial owners of the Bonds,
and nothing in this Section, express or implied, shall give any benefit or any legal or equitable right, remedy, or
claim hereunder to any other person. The City undertakes to provide only the financial information, operating data,
fmancial statements, and notices which it has expressly agreed to provide pursuant to this Section and does not
hereby undertake to provide any other information that may be relevant or material to a complete presentation of the
City's fmancial results, condition, or prospects or hereby undertake to update any information provided in
accordance with this Section or otherwise, except as expressly provided herein. The City does not make any
representation or warranty concerning such information or its usefulness to a decision to invest in or sell Bonds at
any future date.
UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE OWNER OR BENEFICIAL
OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES
RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR
WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY
RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF
ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC
PERFORMANCE.
No default by the City in observing or performing its obligations under this Section shall comprise a breach
of or default under this Ordinance for purposes of any other provisions of this Ordinance.
Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties of the City
under federal and state securities laws.
The provisions of this Section may be amended, supplemented, or repealed by the City from time to time
under the following circumstances, but not otherwise: (1) to adapt to changed circumstances that arise from a change
in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, if
the provisions of this Section, as so supplemented or amended, would have permitted an underwriter to purchase or
sell Bonds in the present offering in compliance with the Rule and either the Owners of a majority in aggregate
principal amount of the outstanding Bonds consent to such amendment, supplement, or repeal, or any State agency
or official determines that such amendment, supplement, or repeal will not materially impair the interests of the
beneficial owners of the Bonds, (2) upon repeal of the applicable provisions of the Rule, or any judgment by a court
of final jurisdiction that such provisions are invalid, or (3) in any other circumstance or manner permitted by the
Rule.
Section 17. FURTHER PROCEDURES. The Mayor, the City Secretary, the City Manager, the Finance
Director, the City's Financial Advisor, and all other officers, employees, attorneys, and agents of the City, and each
of them, shall be and they are hereby expressly authorized, empowered, and directed from time to time and at any
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time to do and perform all such acts and things and to execute, acknowledge, and deliver in the name and under the
seal and on behalf of the City, all such instruments, whether or not herein mentioned, as may be necessary or
desirable in order to carry out the terms and provisions of this Ordinance, the Bonds, and the Official Statement.
Prior to the initial delivery of the Bonds, the Mayor and Bond Counsel to the City are hereby authorized and directed
to approve any technical changes or corrections to this Ordinance or to any of the instruments authorized by this
Ordinance necessary in order to (i) correct any ambiguity or mistake or properly or more completely document the
transactions contemplated and approved by this Ordinance, (ii) obtain a rating from any of the national bond rating
agencies, or (iii) obtain the approval of the Bonds by the Texas Attorney General's office.
Section 18. ORDINANCE A CONTRACT: AMENDMENTS. This Ordinance shall constitute a contract
with the Owners, from time to time, of the Bonds, binding on the City and its successors and assigns, and shall not
be amended or repealed by the City as long as any Bond remains outstanding except as permitted in this Section.
The City may, without the consent of or notice to any owners, amend, change, or modify this Ordinance as may be
required (i) by the provisions hereof, (ii) in connection with the issuance of any additional bonds, (iii) for the
purpose of curing any ambiguity, inconsistency, or formal defect or omission herein, or (iv) in connection with any
other change which is not to the prejudice of the Owners. The City may, with the written consent of the Owners ofa
majority in aggregate principal amount of Bonds then outstanding affected thereby, and the insurer of any Bonds
amend, change, modify, or rescind any provisions of this Ordinance; provided that without the consent of all of the
Owners affected, no such amendment, change, modification, or rescission shall (i) extend the time or times of
payment of the principal of and interest on the Bonds, reduce the principal amount thereof to the rate of interest
thereon, or in any other way modify the terms of payment of the principal of or interest on additional bonds on a
parity with the lien of the Bonds, (ii) give any preference of any Bond over any other Bond, (iii) extend any waiver
of default to subsequent defaults, or (iv) reduce the aggregate principal amount of Bonds required for consent to any
such amendment, change, modification, or rescission. Whenever the City shall desire to make any amendment or
addition to or rescission of this Ordinance requiring consent of the Owners, the City shall cause notice of the
amendment, addition, or rescission to be given as described above for a notice of redemption. Whenever at any time
within one year after the date of the giving of such notice, the City shall receive an instrument or instruments in
writing executed by the Owners of a majority in aggregate principal amount of the Bonds then outstanding affected
by any such amendment, addition, or rescission requiring the consent of Owners of Bonds, which instrument or
instruments shall refer to the proposed amendment, addition, or rescission described in such notice and shall
specifically consent to and approve the adoption thereof in substantially the form of the copy thereof referred to in
such notice, thereupon, but not otherwise, the City may adopt such amendment, addition, or rescission in
substantially such form, except as herein provided. No Owner may thereafter object to the adoption of such
amendment, addition, or rescission, or to any of the provisions thereof, and such amendment, addition, or rescission
shall be fully effective for all purposes.
Section 19. MISCELLANEOUS. (a) Titles Not Restrictive. The titles assigned to the various sections of
this Ordinance are for convenience only and shall not be considered restrictive of the subject matter of any section or
of any part of this Ordinance.
(b) Inconsistent Provisions. All ordinances, orders, and resolutions, or parts thereof, which are in conflict or
inconsistent with any provision of this Ordinance are hereby repealed and declared to be inapplicable, and the
provisions of this Ordinance shall be and remain controlling as to the matters prescribed herein.
(c) Severability. [f any word, phrase, clause, paragraph, sentence, part, portion, or provision of this
Ordinance or the application thereof to any person or circumstances shall be held to be invalid, the remainder of this
Ordinance shall nevertheless be valid and the Council hereby declares that this Ordinance would have been enacted
without such invalid word, phrase, clause, paragraph, sentence, part, portion, or provisions.
(d) Governine. Law. This Ordinance shall be construed and enforced in accordance with the laws of the
State of Texas.
17
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(e) Effective Date. This Ordinance shall take effect and be in full force and effect from and after the date of
its passage, and it is so ordained.
PASSED AND APPROVED this March 27, 2000.
ATTEST:
~/1,a ,J!1IJJ1
City Secre ry, CIty of La Porte, Texas
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EXHIBIT A
PAYING AGENT/REGISTRAR AGREEMENT
THIS PAYING AGENT/REGISTRAR AGREEMENT entered into as of March 15, 2000 (the
"Agreement"), by and between the CITY OF LA PORTE, TEXAS (the "Issuer"), and CHASE BANK OF TEXAS,
NATIONAL ASSOCIATION, a banking association duly organized and existing under the laws of the United States
of America (the "Bank").
RECITALS
WHEREAS, the Issuer has duly authorized and provided for the issuance of its "City of La Porte, Texas
General Obligation Bonds, Series 2000" (the "Securities"), such Securities to be issued in fully registered form only
as to the payment of principal and interest thereon;
WHEREAS, the Securities are scheduled to be delivered to the initial purchaser thereof as provided in the
"Ordinance" (hereinafter defined);
WHEREAS, the Issuer has selected the Bank to serve as Paying AgentlRegistrar in connection with the
payment of the principal of, premium, if any, and interest on the Securities and with respect to the registration,
transfer, and exchange thereof by the registered owners thereof;
WHEREAS, the Bank has agreed to serve in such capacities for and on behalf of the Issuer and has full
power and authority to perform and serve as Paying AgentlRegistrar for the Securities;
NOW, THEREFORE, it is mutually agreed as follows:
ARTICLE I. APPOINTMENT OF BANK AS PAYING AGENT AND REGISTRAR
Section 1.01. Appointment. The Issuer hereby appoints the Bank to serve as Paying Agent with respect to
the Securities. As Paying Agent for the Securities, the Bank shall be responsible for paying on behalf of the Issuer
the principal, premium (if any), and interest on the Securities as the same become due and payable to the registered
owners thereof, all in accordance with this Agreement and the Ordinance.
The Issuer hereby appoints the Bank as Registrar with respect to the Securities. As Registrar for the
Securities, the Bank shall keep and maintain for and on behalf of the Issuer books and records as to the ownership of
said Securities and with respect to the transfer and exchange thereof as provided herein and in the Ordinance.
The Bank hereby accepts its appointment, and agrees to serve as the Paying Agent and Registrar for the
Securities.
Section 1.02. Compensation. As compensation for the Bank's services as Paying AgentlRegistrar, the
Issuer hereby agrees to pay the Bank the fees and amounts set forth in Schedule A attached hereto for the first year
of this Agreement and thereafter the fees and amounts set forth in the Bank's current fee schedule then in effect for
services as Paying AgentlRegistrar for municipalities, which shall be supplied to the Issuer on or before 90 days
prior to the close of the Fiscal Year of the Issuer, and shall be effective upon the first day of the following Fiscal
Year.
In addition, the Issuer agrees to reimburse the Bank upon its request for all reasonable expenses,
disbursements and advances incurred or made by the Bank in accordance with any of the provisions hereof
(including the reasonable compensation and the expenses and disbursements of its agents and counsel).
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ARTICLE II. DEFINITIONS
Section 2.01. Definitions. For all purposes of this Agreement, except as otherwise expressly provided or
unless the context otherwise requires:
"Bank Office" means the designated principal corporate trust office of the Bank as indicated on the
signature page hereof. The Bank will notify the Issuer in writing of any change in location of the Bank Office.
"Bank Principal Payment Office" means Dallas, Texas.
"Fiscal Year" means the fiscal year of the Issuer, ending September 30.
"Holder" and "Security Holder" each means the Person in whose name a Security is registered in the
Security Register.
"Issuer Request" and "Issuer Ordinance" means a written request or order signed in the name of the Issuer
by the Mayor of the Issuer, the Director of Finance of the Issuer, the City Manager, or the City Secretary of the
Issuer, anyone or more of said officials, delivered to the Bank.
"Legal Holiday" means a day on which the Bank is required or authorized to be closed.
"Ordinance" mean the ordinance of the governing body of the Issuer pursuant to which the Securities are
issued, certified by the City Secretary or any other officer of the Issuer and delivered to the Bank.
"Person" means any individual, corporation, partnership, joint venture, association, joint stock company,
trust, unincorporated organization or government or any agency or political subdivision of a government.
"Predecessor Securities" of any particular Security means every previous Security evidencing all or a
portion of the same obligation as that evidenced by such particular Security (and, for the purposes of this definition,
any mutilated, lost, destroyed, or stolen Security for which a replacement Security has been registered and delivered
in lieu thereof pursuant to Section 4.06 hereof and the Ordinance).
"Redemption Date" when used with respect to any Security to be redeemed means the date fixed for such
redemption pursuant to the terms of the Ordinance.
"Responsible Officer" when used with respect to the Bank means the Chairman or Vice-Chairman of the
Board of Directors, the Chairman or Vice-chairman of the Executive Committee of the Board of Directors, the
President, any Vice President, the Secretary, any Assistant Secretary, the Treasurer, any Assistant Treasurer, the
Cashier, any Assistant Cashier, any Trust Officer or Assistant Trust Officer, or any other officer of the Bank
customarily performing functions similar to those performed by any of the above designated officers and also
means, with respect to a particular corporate trust matter, any other officer to whom such matter is referred because
of his knowledge of and familiarity with the particular subject.
"Security Register" means a register maintained by the Bank on behalf of the Issuer providing for the
registration and transfer of the Securities.
"Stated Maturity" means the date specified in the Ordinance the principal of a Security is scheduled to be
due and payable.
Section 2.02. Other Definitions. The terms "Bank," Issuer," and "Securities (Security)" have the
meanings assigned to them in the recital paragraphs of this Agreement.
A-2
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The term "Paying Agent/Registrar" refers to the Bank in the performance of the duties and functions of this
Agreement.
ARTICLE III. PAYING AGENT
Section 3.01. Duties of Pavinl! Al!ent. As Paying Agent, the Bank shall, provided adequate collected
funds have been provided to it for such purpose by or on behalf of the Issuer, pay on behalf of the Issuer the
principal of each Security at its Stated Maturity, Redemption Date, or Acceleration Date, to the Holder upon
surrender of the Security to the Bank at the Bank Principal Payment Office.
As Paying Agent, the Bank shall, provided adequate collected funds have been provided to it for such
purpose by or on behalf of the Issuer, pay on behalf of the Issuer the interest on each Security when due, by
computing the amount of interest to be paid each Holder and preparing and sending checks by United States Mail,
first class postage prepaid, on each payment date, to the Holders of the Securities (or their Predecessor Securities) on
the respective Record Date, to the address appearing on the Security Register or by such other method, acceptable to
the Bank, requested in writing by the Holder at the Holder's risk and expense.
Section 3.02. Payment Dates. The Issuer hereby instructs the Bank to pay the principal of and interest on
the Securities on the dates specified in the Ordinance.
ARTICLE IV. REGISTRAR
Section 4.01. Security Rel!ister - Transfers and Exchanl!es. The Bank agrees to keep and maintain for
and on behalf of the Issuer at the Bank Principal Payment Office books and records (herein sometimes referred to as
the "Security Register") for recording the names and addresses of the Holders of the Securities, the transfer,
exchange, and replacement of the Securities, and the payment of the principal of and interest on the Securities to the
Holders and containing such other infonnation as may be reasonably required by the Issuer and subject to such
reasonable regulations as the Issuer and the Bank may prescribe. All transfers, exchanges, and replacement of
Securities shall be noted in the Security Register. A copy of the Security Register will be maintained at the offices
of the Bank's agent in Houston, Texas.
Every Security surrendered for transfer or exchange shall be duly endorsed or be accompanied by a written
instrument of transfer, the signature on which has been guaranteed by an officer of a federal or state bank or a
member of the National Association of Securities Dealers, in fonn satisfactory to the Bank, duly executed by the
Holder thereof or his agent duly authorized in writing.
The Bank may request any supporting documentation it feels necessary to effect a re-registration, transfer,
or exchange of the Securities.
To the extent possible and under reasonable circumstances, the Bank agrees that, in relation to an exchange
or transfer of Securities, the exchange or transfer by the Holders thereof will be completed and new Securities
delivered to the Holder or the assignee of the Holder in not more than three business days after the receipt of the
Securities to be cancelled in an exchange or transfer and the written instrument of transfer or request for exchange
duly executed by the Holder, or his duly authorized agent, in form and manner satisfactory to the Paying
Agent/Registrar.
Section 4.02. Certificates. The Issuer shall provide an adequate inventory of printed Securities to facilitate
transfers or exchanges thereof. The Bank covenants that the inventory of printed Securities will be kept in
safekeeping pending their use, and reasonable care will be exercised by the Bank in maintaining such Securities in
safekeeping, which shall be not less than the care maintained by the Bank for debt securities of other political
subdivisions or corporations for which it serves as registrar, or that is maintained for its own securities.
A-3
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Section 4.03. Form of Securitv Ree:ister. The Bank, as Registrar, will maintain the Security Register
relating to the registration, payment, transfer, and exchange of the Securities in accordance with the Bank's general
practices and procedures in effect from time to time. The Bank shall not be obligated to maintain such Security
Register in any form other than those which the Bank has currently available and currently utilizes at the time.
The Security Register may be maintained in written form or in any other form capable of being converted
into written form within a reasonable time.
Section 4.04. List of Security Holders. The Bank will provide the Issuer at any time requested by the
Issuer, upon payment of the required fee, a copy of the information contained in the Security Register. The Issuer
may also inspect the information contained in the Security Register at any time the Bank is customarily open for
business, provided that reasonable time is allowed the Bank to provide an up-to-date listing or to convert the
information into written form.
Unless required by law, the Bank will not release or disclose the contents of the Security Register to any
person other than to, or at the written request of, an authorized officer or employee of the Issuer, except upon receipt
ofa court order or as otherwise required by law. Upon receipt ofa court order and prior to the release or disclosure
of the contents of the Security Register, the Bank will notifY the Issuer so that the Issuer may contest the court order
or such release or disclosure of the contents of the Security Register.
Section 4.05. Return of Cancelled Certificates. All Securities surrendered for payment, redemption,
transfer, exchange, or replacement, if surrendered to the Bank, shall be promptly cancelled by it and, if surrendered
to the Issuer, shall be delivered to the Bank and, if not already cancelled, shall be promptly cancelled by the Bank.
The Issuer may at any time deliver to the Bank for cancellation any Securities previously authenticated and
delivered which the Issuer may have acquired in any manner whatsoever, and all Securities so delivered shall be
promptly cancelled by the Bank. All cancelled Securities held by the Bank shall be destroyed, and evidence of such
destruction furnished to the Issuer at such reasonable intervals as it determines subject to applicable rules and
regulations of the Securities and Exchange Commission.
Section 4.06. Mutilated. Destroved. Lost. or Stolen Securities. The Issuer hereby instructs the Bank,
subject to the applicable provisions of the Ordinance, to deliver and issue Securities in exchange for or in lieu of
mutilated, destroyed, lost, or stolen Securities as long as the same does not result in an over issuance.
In case any Security shall be mutilated, or destroyed, lost, or stolen, the Bank, in its discretion, may execute
and deliver a replacement Security of like form and tenor, and in the same denomination and bearing a number not
contemporaneously outstanding, in exchange and substitution for such mutilated Security, or in lieu of and in
substitution for such destroyed lost or stolen Security, only after (i) the filing by the Holder thereof with the Bank of
evidence satisfactory to the Bank of the destruction, loss, or theft of such Security, and of the authenticity of the
ownership thereof and (ii) the furnishing to the Bank of indemnification in an amount satisfactory to hold the Issuer
and the Bank harmless. All expenses and charges associated with such indemnity and with the preparation,
execution, and delivery of a replacement Security shall be borne by the Holder of the Security mutilated, or
destroyed, lost, or stolen.
Section 4.07. Transaction Information to Issuer. The Bank will, within a reasonable time after receipt of
written request from the Issuer, furnish the Issuer information as to the Securities it has paid pursuant to Section
3.01, Securities it has delivered upon the transfer or exchange of any Securities pursuant to Section 4.01, and
Securities it has delivered in exchange for or in lieu of mutilated, destroyed, lost, or stolen Securities pursuant to
Section 4.06.
Section 4.08. Redemption of Securities. Securities which are redeemable before their stated maturity shall
be redeemable in accordance with Section 3 of the Ordinance and terms in accordance with this Article IV.
A-4
AKIN. GUMP. STRAUSS. HAUER & FELD. L.L.P.
ATTORNEYS AT LAW
.. =~~I~ .::;)t~. _ :."";:0' I:..B LI:" ~4~T~ .t.QS;.lI~
....j.";.. .j-rJ\: .:cr",H.SS. '::'.a.L r;c::rF'C:r';:tor'IS
1500 N~' ."I!,B.." P'.4l~
300 C.:','..": S:p.e:
S.,.II.r,r')rJl'.'. Te.4s 78205
CITY OF LA PORTE, TEXAS
53,250,000
GENERAL OBLIGATION BONDS, SERIES 2000
and
53,000,000
CERTIFICATES OF OBLIGATION, SERIES 2000
TRANSCRIPT OF PROCEEDINGS
Honorable Mayor and City Council
City of La Porte
604 W. Fainnont Parkway
La Porte, TX 7757]
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OFFICIAL BID FORM
GENERAL OBLIGATION BONDS
Mayor and Members of the City Council:
This bid is submitted under the bidding conditions of your Official Notice of Sale dated March 13, 2000, of $3,250,000
City oCLa Porte, Texas, General Obligation Bonds, Series 2000, the tenns lUld conditions of which Official Notice of Sale are
made a part hereof.
For your legally issued $3,250,000 of Bonds, as described in said Official Notice of Sale, we will pay you par and accrued
interest, plus a cash premium of $ - 0 - for Bonds maturing and bearing interest as follows:
Maturitv
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Interest Rate
7.~
%
I %
%
%
%
%
%
%
7t-c
::.:-: ;LC
%
%
GROSS INTEREST COST
Less Premium
NET INTEREST COST
EFFECTIVE INTEREST RATE
The Initial Bonds shall be registered in the name of (syndicate manager).
The delinitive Bonds will be registered to Cede & Co., the nominee of The Depository Trust Company.
The undersigned agrees to complete, execute, and deliver to the City, on the next business day after award of the Bonds, the
Initial Offering Price Certificate, in the fonn enclosed as Exhibit A to the Official Notice of Sale.
Attached hereto or submitted separately is a Bank Certified or Bank Cashier's Check of the
in the amount of$65,000 which represents our Good Faith Deposit and which is submitted in accordance with the tenns as set
forth in the Official Notice of Sale.
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We have read in detail the Official Notice of Sale and the Official Statement relating to the Bonds, and we have made such
investigations as we deem necessary relating to the City and the investment quality of the Bonds.
Respectfully submitted,
or' C.
/'b A ~ I'/~
/
ACCEPTANCE CLAUSE
TIle foregoing bid is hereby in all things accepted by the City of La Porte, Texas this the.:27tl1....- day of March, 2000.
;
A TrEST:
--atUtfltvCl. ,){~1.M
Secr ry
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May~
ACCUMULA TED BOND YEARS
$3,250,000
City of La Porte, Texas
General Obligation Bonds, Series 2000
Dated March 15,2000
Maturity: March 15
Year of
Maturitv
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Amount
of Bonds
$150,000
150,000
150,000
150,000
150,000
150,000
150,000
150,000
150,000
150,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
Accumulated
Bond Years
150.0000
450.0000
900.0000
1,500.0000
2,250.0000
3,150.0000
4,200.0000
5,400.0000
6,750.0000
8,250.0000
10,175.0000
12,275.0000
14,550.0000
17,000.0000
19,625.0000
22,425.0000
25,400.0000
28,550.0000
31,875.0000
35,375.0000
Average Maturity......... 10.885 Years
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OFFICIAL BID FORM
G"ENERAL OBLIGATION BONDS
Honorable Mayor amI City Council
City of La Porte
604 W. Fainnont Parkway
La Porte, TX 77571
Mayor and Membt:rs of the City Council:
This bid is submitted under the bidding conditions of your Ol1icial Notice of Sale dated March 13, 2000, of $3,250,000
City of La Porte, Texas, General Obligation Bonds, Series 2000, the terms and conditions of which Ollicial Notice of Sale arc
made a part hereof.
For your legally issued $3,250,000 of Bonds, as described in snid Ollicial Notice of Sale, we will pay you par and nccmed
interest, plus a cash premium of $ ';:' for Bonds maturing and hearing interest as follows:
Maturitv Interest Rate Maturitv Interest Rate
2001 7n:. % 2011 .6-; I c. 'Y..
2002 % 2012 5' . c-D 'X,
2003 % 2013 %
2004 % 2014 %
2005 % 2015 'Yo
2006 % 2016 %
2007 % 2017 %.
2008 % 2018 %
2009 7. C-Cr 'Yc, 2019 I 'Y.,
2010 (, . Cj c.' % 2020 !-::. t (,1 %
GROSS INTEREST COST $ I, Ci.~ 'f I'~ c! /;
,
Less Premium $
NET INTEREST COST $ /, q.V-/. I '7S. (.~o
EFFECTIVE INTEREST RATE -~.:{''7,,?? %
The Initial Bonds shall be reg.istered in the name of CAIN RAUSCHER INC. (syndicate manager).
The delinitive Bonds will ht: registered to Cede &. Co., the nominee of The Depository Tmst Company.
TIle undersigned agrees to complete, execute, and deliver to the City. on the next bnsiness day aner award of thc Bonus, the
Initial Ollering Price Certificate, in the tonn enclosed as Exhibit A to the Oflicial Notice of Sale.
Attached hereto or submitted separatdy is a l3ank Certilied or Bank Cashier's Check or the FR.o~,.. AA 10K.
in the amount of $65,000 which represents our Good Faith Deposit and which is submitted in accordance with the tenns as set
forth in the Official Notice or Sale.
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We have read in detail the Otlicial Notice of Sule and the Ollicial Statement relating to the Bonds, und we huve made such
investigations as we deem necessary relating to the City und the investment quality of the Bonds.
Respecllillly submitted,
S~lldicate:
fJA ".)E We, AI6e:/l., X N c.. .
~,Al..OmQ.) .srnrrn gAe.t-JE'/
'bu.u:.AI0- WH...LI AIhS INC.
DAIN RAUSCHER INC
By: ~~I~
P;\one: ~/4 -Cfgq -11'00
ACCEPTANCE CLAUSE
on\e foregoing bid is hereby in all things accepled by the City or La Porte, Texas this the
day of Murch, 2000.
Secretary
& ~. /1'
/ .;,:,~1f4 .~(d"-1%: ;.(
Mayor
An'EST:
ACCUMULATED BOND YEARS
$3,250,000
City of Lu Porte, Texus
General Obligation Bonds, Series 2000
Dated March IS, 2000
Maturity: March IS
Year of
Maturitv
2001
2002
20t)3
2004
200S
2006
2007
2008 .
1009 '
2010
2011
2012
2013
2014
20lS
2016
2017
2018
2019
2020
Amount
of Bonds
$ISO,OOO
IS0,OOO
ISO,OOO
ISO,OOO
ISO,OOO
ISO.nOIl
ISO ,UOll
LSO,OOQ
Is'O.lioo
ISO,OOO
17S,UOO
17S,000
17S,000
17S.000
17S,OOO
17S,OOO
17S,OOO
175,000
17S,OOO
17S,OOO
Accm\1ulated
Bond Years
150.0000
450.0000
900.0000
I,SOO.OOOO
2,250.0000
3,150.0000
4,200.0000
5,400.0000
6,750.0000
8,250.0000
1O,17S.0000
12,275.000U
14,5S0.0000
17.0nO.0000
19,62S.0000
22,.n5.0000
25,400.0000
28,5S0.0000
31,87S.0000
35,37S.0000
Average Muturity ......... 10.885 Years
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GENERAL CERTIFICATE
We, the undersigned Mayor and City Secretary, respectively, of the City of La Porte, Texas (the "City"),
hereby certify as follows:
1. This certificate is executed for and on behalf of the City for the benefit of the Attorney General of the
State of Texas and the owners of the "City of La Porte, Texas General Obligation Bonds, Series 2000 (the "Bonds"),
dated March 15,2000, in the principal amount 0[$3,250,000, authorized by an ordinance passed by the City Council
of the City on March 27, 2000 (the "Ordinance").
2. The City is a duly incorporated Home Rule City, having more than 5,000 inhabitants, operating and
existing under the laws of the State of Texas and the duly adopted Home Rule Charter of the City, which Charter has
not been changed or amended since the issuance of the most recent obligations by the City entitled "City of La
Porte, Texas General Obligation Bonds, Series 1998".
3. No litigation of any nature has ever been filed pertaining to, affecting, questioning, or contesting: (a) the
Ordinance; (b) the issuance, execution, delivery, payment, security, or validity of the Bonds; (c) the authority of the
governing body and the officers of the City to issue, execute, and deliver the Bonds; or (d) the validity of the
corporate existence, the current tax rolls, or the Charter of the City; and no litigation is pending pertaining to,
affecting or contesting the boundaries of the City.
4. The currently effective ad valorem tax appraisal rolls of the City are those for the year 1999, being the
most recently approved tax rolIs of the City; the City Council of the City has caused the taxable property in the City
to be assessed as required by law; and the net valuation of taxable property in the City according to the aforesaid tax
rolIs for said year, as delivered to the City Secretary of the City, and fmally approved and recorded by the City
Council of the City, is $1,465,045,690.
5. A true, correct, and complete statement of all outstanding indebtedness of the City including the Bonds
payable from taxes is attached hereto as Exhibit A.
6. Exhibit B, which is attached hereto and made a part hereof, contains a true and correct schedule showing
the annual requirements of all of the outstanding indebtedness of the City payable from taxes, together with the
Bonds, as it appears in the official records of the City. .
7. (a) The City is not in default as to any covenant, condition, or obligation contained in any ordinance
authorizing obligations payable in whole or in part from ad valorem taxes, and each of the special funds and
accounts, if any, established by such ordinances contain the amounts now required to be on deposit in such fund or
account.
(b) There has been appropriated from funds lawfully made available to the City sufficient money to make
the interest payment on the Bonds for September 15,2000.
e
8. No proceeding or authority fOJ
rescinded, amended, or revoked.
SIGNED AND SEALED this
Ci cretary
City of La Porte, Texas
(SEAL)
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y of the Certificates has been repealed,
~~--
~ or -
City of La Porte, Texas
2
. . . . . . . . . . .
. . . .. .. .. .. .. .. ..
.. .. .. .. .. .. .. .. .. ..
.. .. .. .. .. .. .. .. .. ..
.. .. .. .. .. .. .. .. .. .. .
.:~:::.:.:.:~:.
. . ,
.... .. .. .. .. .. .. .
.. .... ............
.. .. .... ...........
.. .. .. .. .. .. .. .. .. ..
.. .. .. .. .. .. .. .. .. .. .
.. .. .. .. .. .. .. .. .. ..
.. .. .. .. .. .. .. .. .. .. .
.. .. .. .. .. .. .. .. .. ..
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SIGNA TORE IDENTIFICATION AND NO-LITIGA nON CERTIFICATE
We, the undersigned Mayor and City Secretary, respectively, of the City of La Porte, Texas (the "Issuer"),
hereby certify as follows:
(a) This certificate is executed and delivered with reference to "City of La Porte, Texas General Obligation
Bonds, Series 2000 dated March 15,2000, in the principal amount 0[$3,250,000 authorized by an ordinance passed
by the City Council of the Issuer on March 27, 2000 (the "Bonds").
(b) Each of us signed the Bonds by causing a facsimile of our manual signatures to be printed or
lithographed on each of the Bonds, and we hereby adopt said facsimile signatures as our own, respectively, and
declare that said facsimile signatures constitute our signatures the same as if we had manually signed each of the
Bonds.
(c) The Bonds are substantially in the form, and each of them has been duly executed and signed in the
manner, prescribed in the ordinance authorizing the issuance thereof.
(d) At the time we so executed and signed the Bonds we were, and at the time of executing this certificate
we are, the duly chosen, qualified, and acting officers indicated therein, and authorized to execute and sign the same.
(e) No litigation of any nature has been filed or is now pending to restrain or enjoin the issuance or delivery
of any of the Bonds, or which would affect the provision made for their payment or security, or in any manner
questioning the proceedings or authority concerning the issuance of the Bonds, and that so far as we know and
believe no such litigation is threatened.
(f) Neither the corporate existence nor boundaries of the Issuer is being contested; no litigation has been
filed or is now pending or threatened which w .. - . . .. ~ers of the Issuer to issue, execute,
sign, and deliver any of the Bonds; and no au! ~~ Ice of any of the Bonds have been
repealed, revoked, or rescinded. ~ \ ~
(g) We have caused the official seal 0 th~O'\ \)' . ted, Dr lithographed on each olth.
Bonds; and said seal on each of the Bonds has "'" ~ . declared to be, the official seal of
the Issuer. lJIV
EXECUTED and delivered t
:-:-:-:-:-~.:-:
. -~..
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MANUAL SIGNATURES
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~JJia..l{~jlIJ
a Gillett
OFFICIAL TITLES
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Mayor
City Secretary
(Remainder of page intentionally left blank)
e e
OK TO DATE
STATE OF TEXAS ~
~
COUNTY OF HARRIS ~
The undersigned, a Notary Public, certifies and represents Norman L, Malone and Martha Gillett are
known to me to be the Mayor and the City Secretary, respectively, of the City of La Porte, Texas, and in my
presence each executed this instrument before me in the capacity represented and each of said person's signature
appearing above is genuine.
Given under my hand and seal of office this
day of March, 2000.
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JANIS H. GOULDER
MY COMMISSION EXPIRES
December 27. 2003
~m0 ~.~
N Public
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(NOTARY SE e:""
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March 27, 2000
The Attorney General of Texas
Public Finance Section
300 West 15th, 9th Floor
Austin, Texas 78701
The ComptrolIer of Public Accounts
Attention: Melissa Mora
208 East 10th, Room 448
Austin, Texas 78701-2407
Re: City of La Porte, Texas General Obligation Bonds, Series 2000
TO THE A ITORNEY GENERAL
The captioned issue of bonds (the "Bonds") is being sent to you for your examination and approval and we
enclose one executed but undated Signature Identification and No-Litigation Certificate and one executed but
undated General Certificate. Upon approval of the Bonds, you are authorized to insert the date of the approval in
such certificates. If any litigation should develop, or if any other event should occur which would make any
certificate inaccurate, before you approve the Bonds, we will notify you at once by both telephone and facsimile.
With this assurance, you can rely on the accuracy of such certificates at the time you approve the Bonds, unless we
advise you otherwise.
After you have approved the Bonds, please deliver them to the ComptrolIer of Public Accounts of the State
of Texas for registration.
TO THE COMPTROLLER
The Bonds will be sent to you for registration: After the Comptroller's Registration Certificate on the
Bonds is duly signed and sealed, you are hereby authorized and directed to send the Certificates by overnight
delivery to Akin, Gump, Strauss, Hauer & Feld, L.L.P., Attorneys at Law, 300 Convent, Suite 1500, San Antonio,
Texas, 78205, attention of M. Paul Martin (or otherwise as directed by Mr. Martin), together with four copies of
each of the folIowing:
(1) Attorney General's Approving Opinion.
(2) Comptroller's Signature Certificate.
Very truly yours,
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I . . . . . . . . .
I . . . . . . . . .
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CITY OF LA PORTE, TEXAS
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~4~
Ma or
e
.
OFFICIAL STATEMENT CERTIFICATE
On behalf of the City of La Porte, Texas (the "City"), I, the duly acting City Manager of the City,
acting in my official capacity, do hereby certify with respect to "City of La Porte, Texas General
Obligation Bonds, Series 2000" (the "Bonds"), that:
(a) the Official Statement has been authorized and approved by the City Council;
(b) to the best of my knowledge and belief after reasonable investigation, neither the Official
Statement nor any amendment or supplement thereto contains any untrue statement of a material fact or
omits to state any material fact necessary to make the statements therein, in light of circumstances in
which they were made, not misleading;
(c) since the date
forth in an amendment or
amendment or supplement;
4..1... ent has occurred which should have been set
~\\~ '- '-tement which has not been set forth in such
" ~~~ .
in the operation or financial affairs of the City
(d) there has not bf
since the date of such Offic
. . I . . . _
~~ ,. H.~
City Manager
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EXECUTED this
__,J
(Rev. May 1999)
Deparlment or lhe Treasury
Inlernal RlIYenue Service
Re ortin
, Issuer's name
City of La Porte
3 Number and street (or P.O. box if mail is not delivered to street address)
604 West Fairmont
5 City. town, or post office. state. and ZIP code
La Porte, TX 77571
7 Name of issue
General Obligation .Bonds, Series 2000
9 Name and title of officer or legal representative whom the IRS may call for more information 10
M. Paul Martin, Es .
T' e of Issue (check a
11 0 Education
12 0 Health and hospital
13 0 Transportation . .
14 0 Public safety. . .
15 0 Environment Oncluding sewage bonds) .
16 0 Housing . . . .
17 o Utilities ...........
18 0 Other. Describe ~
19 If obligations are TANs or RANs. check box ~ 0 If obligations are BANs. check box ~ 0
20 If obli ations are in the form of a lease or installment sale. check box . . . . . . ~ 0 " .
Descri tion of ObJi ations. Com lete for the entire issue for which this form is bein
Informae Return for Tax-Exempt Governm&1 Obligations
~ Under Internal Revenue Code section 149(e)
~ See separate Instructions.
Caution: Use Form B038-GC if the issue price is under $100.000.
Authorit If Amended Return, check here ~ 0
2 Issuer's employer identification number
74 1 6001552
Room/suite 4 Report number
G 2000- 1
6 Date of issue
. OMB No. 1545-0720
Form 8038-G
8 CUSIP number
Telephone number of officer or legal representative
(210 ) 281-7084
and enter the issue rice) See instructions and attach schedule
11
12
13
14
15
16
17
18
(b) Issue price
(c) Stated redemption
price at maturity
(eI) Weighted
average maturity
(e) Yield
$
Uses of Proceeds of Bond Issue Includin underwriters' discount
Proceeds used for accrued interest . . . . . . . . . . . .
Issue price of entire issue (enter amount from line 21. column (b)). .
Proceeds used for bond issuance costs Oncluding underwriters" discount) 24
Proceeds used for credit enhancement. . . . . . . . " 25
Proceeds allocated to reasonably required reserve or replacement fund 26
Proceeds used to currently refund prior issues 27
Proceeds used to advance refund prior issues . . . . . .. 28
Total (add lines 24 through 28). .'. . . . . . . . . . . .. ......
Nonrefundin roceeds of the issue subtract line 29 from line 23 and enter amount here. . .
Descri tion of Refunded Bonds Com lete this art onl for refundin bonds.
Enter the remaining weighted average maturity of the bonds to be currently refunded . ~
Enter the remaining weighted average maturity of the bonds to be advance refunded . ~
Enter the last date on which the refunded bonds will be called. . . . . . .. . ~
Enter the date(s) the refunded bonds were issued ~
Miscellaneous
35 Enter the amount of the state volume cap allocated to the issue under section 141 (b)(5) 35
36a Enter the amount of gross proceeds invested or to be Invested in a guaranteed investment contract (see instructions) 36a
b Enter the final maturity date of the guaranteed investment contract ~ ~th. ':
37 Pooled financings: a Proceeds of this issue that are to be used to make loans to other governmental units 37a
b If this 'issue is a loan made from the proceeds of another tax-exempt issue, check box ~ 0 and enter the name of the
issuer ~ ---' ....- -'-.- -~ ....- '-,ue ~
38 If the issuer has designated the issue under sectlor !ption), check box ~ 0
. . , .39, .If. the issuer has elected to pay a penalty in lieu of i c:;.1,.) . . . . . , . ~ 0
' . . . . . . ~ . .. ~, ~. ..,!#. ~ 0
...... 'lffi'. 'If' me Issuer has Identified a hed e, check box . tt:P ~\ ~l:\ ~ ~.. .......
-: -: -: -:~, ' .' . -: " :.. Under penalties of perjury. I declare that I have examine. . f.! /1'\ .~ \\~ ir~ Id statements, and to the best of my knowledge
,~ and belief. they are true, correct, and complete. t-":;l;. ';'\":" :1i~::1 ~ .......
...... ':"",-;q~e "t~~;' \"-P 7.V
:,r-: . t-~o!.
:.:.:.:Sigh:.:
-: -: -: . Here :--
ears
%
22
23
24
25
26
27
28
29
30
22
23
29
30
31
32
33
34
years
years
~orman L. Malone, Mayor
e or print name and tiUe
.....u. I'U. u.>7735
Form 8038-G (Rev. 5-99)
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AKIN, GUMP, STRAUSS, HAUER & FELD. L.L.P.
ATTORNEYS AT LAW
AUSTIN
BRUSSELS
DALLAS
HOUSTON
LONDON
LOS ANGELES
MOSCOW
NEW YORK
PHILADELPHIA
SAN ANTONIO
WASHINGTON, D.C.
A REGISTERED LIMITED LIABILITY PARTNERSHIP
INCLUDING PROFESSIONAL CORPORATIONS
300 CONVENT STREET
SUITE 1500
SAN ANTONIO, TEXAS 78205
(210) 281-7000
FAX (210) 224-2035
www.akingump.com
WRITt:R'S DIRECT DIAL NUMBER 2 10-281-7084
WRITt:R'S E-MAIL ADDRESSpmartin@akingump.com
RIYADH - IN AFFILIATION WITH
LAW OFFICE OF ABDULAZIZ H. FAHAO
May 18, 2000
Ms. Martha Gillett
City of La Porte
604 West Fairmont
La Porte, Texas 77571
Re: City of La Porte, Texas, $3,250,000 General Obligation Bonds, Series 2000
and $3,000,000 Certificates of Obligation, Series 2000
Dear Martha:
Enclosed is a Transcript of Proceedings for the captioned issues. It was a pleasure
working with you to bring this transaction to a successful close, and we sincerely appreciate the
opportunity to be of service to the City.
Very truly yours,
\.
M. Paul Martin
MPM/sj
Enclosure
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Section 4.09. Notice of Redemption. Notice of redemption shall be given by the Bank in the name at the
expense of the Issuer not less than 30 or more than 45 days prior to the date of redemption, to each Registered
Owner of Securities to be redeemed and otherwise required by the Ordinance.
All notices of redemption shall include the CUSIP number and statement as to:
(a) the date of redemption;
(b) the price of the Securities expressed as a percentage of par amount of the Securities;
(c) the principal amount of Securities to be redeemed, and, if less than all outstanding Securities are to be
redeemed, the identification (and, in case of partial redemption, the principal amounts) of the Securities to be
redeemed;
(d) that on the date of redemption the principal of each of the Securities to be redeemed wilI become due
and payable and that the interest thereon shall cease to accrue from and after said date; and
(e) that the Securities to be redeemed are to be surrendered for payment of the price stated in the notice of
redemption at the designated principal payment office of the Bank, and the address of such office.
The Bank shall, at the expense of the Issuer, provide notice to designated securities depositories and
information services based upon the then current guidelines of the Securities and Exchange Commission relating to
redemptions and refundings of municipal bonds, including the Securities. The Bank, at the expense of the Issuer,
shall also provide notice to any other addressees as the Issuer shall designate in writing.
ARTICLE V. THE BANK
Section 5.01. Duties of Bank. The Bank undertakes to perform the duties set forth herein and agrees to
use reasonable care in the performance thereof.
Section 5.02. Reliance on Documents. Etc. (a) The Bank may conclusively rely, as to the truth of the
statements and correctness of the opinions expressed therein, on certificates or opinions furnished to the Bank.
(b) The Bank shall not be liable for any error of judgment made in good faith by a Responsible Officer,
unless it shall be proved that the Bank was negligent in ascertaining the pertinent facts.
(c) No provisions of this Agreement shall require the Bank to expend or risk its own funds or otherwise
incur any financial liability for performance of any of its duties hereunder, or in the exercise of any of its rights or
powers, if it shall have reasonable grounds for believing that repayment of such funds or adequate indemnity
satisfactory to it against such risks or liability is not assured to it.
(d) The Bank may rely and shall be protected in acting or refraining from acting upon any resolution,
certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, note, security, or
other paper or document believed by it to be genuine and to have been signed or presented by the proper party or
parties. Without limiting the generality of the foregoing statement, the Bank need not examine the ownership of any
Securities, but is protected in acting upon receipt of Securities containing an endorsement or instruction of transfer
or power of transfer which appears on its face to be signed by the Holder or an agent of the Holder. The Bank shall
not be bound to make any investigation into the facts or matters stated in a resolution, certificate, statement,
instrument, opinion, report, notice, request, direction, consent, order, bond, note, security, or other paper or
document supplied by Issuer.
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(e) The Bank may consult with counsel, and the written advice of such counselor any opinion of counsel
shall be full and complete authorization and protection with respect to any action taken, suffered, or omitted by it
hereunder in good faith and in reliance thereon.
(f) The Bank may exercise any of the powers hereunder and perform any duties hereunder either directly or
by or through agents or attorneys of the Bank.
Section 5.03. Recitals of Issuer. The recitals contained herein with respect to the Issuer and in the
Securities shall be taken as the statements of the Issuer, and the Bank assumes no responsibility for their correctness.
The Bank shall in no event be liable to the Issuer, any Holder or Holders of any Security, or any other
Person for any amount due on any Security from its own funds.
Section 5.04. Mav Hold Securities. The Bank, in its individual or any other capacity, may become the
owner or pledgee of Securities and may otherwise deal with the Issuer with the same rights it would have if it were
not the Paying Agent/Registrar, or any other agent.
Section 5.05. Monev Held bv Bank. (a) Money held by the Bank hereunder shall be held for the benefit
of the Registered Owners of the Securities.
(b) The Bank shan be under no obligation to pay interest on any money received by it hereunder.
(c) Except to the extent provided otherwise in the Ordinance, any money deposited with the Bank for the
payment of the principal on, redemption premium, if any, or interest on any security and remaining unclaimed for
three years after the dates such amounts have become due and payable shall be reported and disposed of by the Bank
in accordance with the provisions of Title 6 of the Texas Properly Code, as amended, to the extent that such
provisions are applicable to such amounts.
The Issuer and the Bank agree that the Bank may seek adjudication of any adverse claim, demands, or
controversy over its person as well as funds on deposit, in either the District Court of Harris County, Texas, or the
United States Federal District Court for the Southern District of Texas, waive personal service of any process, and
agree that service of process by certified or registered mail, return receipt requested, to the address set forth in
Section 6.03 hereof shall constitute adequate service. The Issuer and the Bank further agree that the Bank has the
right to file a Bill ofInterpleader in any court of competent jurisdiction, at the expense of the Issuer, to determine the
rights of any persons claiming any interest herein.
Section 5.06. Indemnification. To the extent permitted by law, the Issuer agrees to indemnify the Bank
for, and hold it harmless against, any loss, liability, or expense incurred without negligence or bad faith on its part,
arising out of or in connection with its acceptance or administration of its duties hereunder, including the cost and
.expense against any claim or liability in connection with the exercise or performance of any of its powers or duties
under this Agreement.
Section 5.07. Interpleader. The Issuer and the Bank agree that the Bank may seek adjudication of any
adverse claim, demand, or controversy over its person as wen as funds on deposit, in either a Federal or State
District Court located in the State and County where either the Bank Office or the administrative offices of the
Issuer is located, and agree that service of process by certified or registered mail, return receipt requested, to the
address referred to in Section 6.03 of this Agreement shan constitute adequate service. The Issuer and the Bank
further agree that the Bank has the right to file a Bill of Interpleader in any court of competent jurisdiction to
determine the rights of any Person claiming any interest herein.
Section 5.08. Depositorv Trust Company Services. It is hereby represented and warranted that, in the
event the Securities are otherwise qualified and accepted for "Depository Trust Company" services or equivalent
depository trust services by other organizations, the Bank has the capability and, to the extent within its control, will
A-6
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comply with the "Operational Arrangements," effective August I, 1987, which establishes requirements for
securities to be eligible for such type depository trust services, including, but not limited to, reijuirements for the
timeliness of payments and funds availability, transfer turnaround time, and notification of redemptions and calls.
ARTICLE VI. MISCELLANEOUS PROVISIONS
Section 6.01. Amendment. This Agreement may be amended only by an agreement in writing signed by
both of the parties hereto.
Section 6.02. Assil!nment. This Agreement may not be assigned by either party without the prior written
consent of the other.
Section 6.03. Notices. Any request, demand, authorization, direction, notice, consent, waiver, or other
document provided or permitted hereby to be given or furnished to the Issuer or the Bank shall be mailed or
delivered to the Issuer or the Bank, respectively, at the addresses shown on the signature page of this Agreement.
Section 6.04. Effect of Headinl!s. The Article and Section headings herein are for convenience only and
shall not affect the construction hereof.
Section 6.05. Successors and Assil!ns. All covenants and agreements herein by the Issuer shall bind its
successors and assigns, whether so expressed or not.
Section 6.06. Severability. In case any provision herein shall be invalid, illegal, or unenforceable, the
validity, legality, and enforceability of the remaining provisions shall not in any way be affected or impaired
thereby.
Section 6.07. Benefits of Al!reement. Nothing herein, express or implied, shall give to any Person, other
than the parties hereto and their successors hereunder, any benefit or any legal or equitable right, remedy, or claim
hereunder.
Section 6.08. Entire Al!reement. This Agreement and the Ordinance constitute the entire agreement
between the parties hereto relative to the Bank acting as Paying Agent/Registrar and if any conflict exists between
this Agreement and the Ordinance, the Ordinance shall govern.
Section 6.09. Counterparts. This Agreement may be executed in any number of counterparts, each of
which shall be deemed an original and all of which shall constitute one and the same Agreement.
Section 6.10. Termination. This Agreement will terminate (i) on the date of final payment of the principal
of and interest on the Securities to the Holders thereof or (ii) may be earlier terminated by either party upon 60 days
written notice; provided, however, an early termination of this Agreement by either party shall not be effective until
(a) a successor Paying Agent/Registrar has been appointed by the Issuer and such appointment accepted and (b)
notice has been given to the Holders of the Securities of the appointment of a successor Paying Agent/Registrar.
Furthermore, the Bank and Issuer mutually agree that the effective date of an early termination of this Agreement
shall not occur at any time which would disrupt, delay, or otherwise adversely affect the payment of the Securities.
Upon an early termination of this Agreement, the Bank agrees to promptly transfer and deliver the Security
Register (or a copy thereof), together with other pertinent books and records relating to the Securities, to the
successor Paying Agent/Registrar designated and appointed by the Issuer.
The provisions of Section 1.02 and of Article Five shall survive and remain in full force and effect
following the termination of this Agreement.
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Section 6.11. Governine: Law. This Agreement shall be construed in accordance with and governed by the
laws of the State of Texas.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first
above written.
CHASE BANK OF TEXAS,
NATIONAL ASSOCIA nON
Attest:
By
By
Title
Title
Address: 600 Travis, Suite 1150
Houston, Texas 77002
(BANK SEAL)
Attest:
CITY OF LA PORTE, TEXAS
By
By
City Secretary
Mayor
Address 604 West Fairmont
La Porte, Texas 77571
(ISSUER SEAL)
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SCHEDULE A
Paying Agent/Registrar Fee Schedule
(To be furnished by the Bank)
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EXHIBIT B
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 16 of this ordinance.
Annual Financial Statements and Operating Data
The financial information and operating data with respect to the City to be provided annually in accordance
with such Section are as specified and included in the Appendix or under the headings of the Official Statement
referred to below:
1. The audited financial statements of the City for the most recently concluded fiscal year.
2. The information included in the Official Statement under the headings "FINANCIAL
INFORMATION", "TAX COLLECTION PERIOD", "TAX COLLECTION RECORD", "TAX RATE
LIMITATIONS", "TAX RATE DISTRIBUTION", "TAX ADEQUACY", "CITY SALES TAX", "GENERAL
OBLIGATION BONDS AUTHORIZED BUT UNISSUED", "RATINGS ON OUTSTANDING GENERAL
OBLIGATIONS BONDS", "FLOATING DEBT OUTSTANDING", "PRINCIPAL TAXPAYERS",
"OVERLAPPING TAX RATE STATEMENT', "ESTIMATED DIRECT & OVERLAPPING DEBT
STATEMENT", "HISTORY OF GENERAL FUND REVENUE AND EXPENDITURES", and "REVENUE
BONDS AUTHORIZED BUT UNISSUED".
Accounting Principles
The accounting principles referred to in such Section are the accounting principles described in the notes to
the fmancial statements referred to in paragraph 1 above, as such principles may be changed from time to time to
comply with state law or regulation.
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CERT~ICATEFORORDINANCE
We, the undersigned Mayor and City Secretary ofthe City of La Porte, Texas (the "City"), hereby
certify as follows:
1. The City Council of the City (the "Council") convened in regular session, open to the public,
on March 27, 2000, at the meeting place designated in the notice (the "Meeting"), and the roll was called
of the members, to wit: Norman Malone, Mayor, and the following City Councilmembers: Chuck
- Engelken, Alton Porter, Guy Sutherland, Edward Clarke, Howard Ebow, Charlie Young, Deotis Gay, and
Peter Griffiths. All members of the Council were present, except ,
constituting a quorum. Whereupon among other business, the following was transacted at the Meeting: a
. written ordinance entitled
ORDINANCE AUTHORIZING THE ISSUANCE OF $3,250,000 CITY OF LA PORTE,
TEXAS GENERAL OBLIGATION, SERIES 2000 AND ALL OTHER MA TIERS
RELATED THERETO
(the "Ordinance") was duly introduced for the consideration of the Council and read in full. It was then
duly moved and seconded that the Ordinance be finally passed and adopted; and after due discussion,
such motion, carrying with it the adoption of the Ordinance prevailed and carried by the following vote:
YES:-3- NOES:-1L ABSTENTIONS:~.
2. A true, full, and correct copy of the Ordinance adopted at the Meeting is attached to and
follows this Certificate; the Ordinance has been duly recorded in the Council's minutes of the Meeting;
the above and foregoing paragraph is a true, full, and correct excerpt from the Council's minutes of the
Meeting pertaining to the adoption of the Ordinance; the persons named in the above and foregoing
paragraph are duly chosen, qualified, and acting officers and members of the Council as indicated therein;
each of the officers and members of the Council was duly and sufficiently notified officially and
personally, in advance, of the time, place, and purpose of the Meeting, and that the Ordinance would be
introduced and considered for adoption at the Meeting and each of such officers and members consented,
in advance, to the holding of the Meeting for such purpose; and the Meeting was open to the public, and
public notice of the time, place, and purpose of the Meeting was given, all as required by Chapter 551,
Texas Government Code, as amended.
3. Martha Gillett is the duly appointed and acting City Secretary of the City.
SIGNED AND SEALED THIS March 27, 2000.
~""~l-~Jl.~ J4.J1J!/
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City of La Porte',:,~exas
., #'
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;.
(CITY SEAJ,:r .
.~H~
City of La Porte, Texas
,
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PAYING AGENTIREGlSTRAR AGREEMENT
THIS PAYING AGENTIREGISTRAR AGREEMENT entered into as of March 15, 2000 (the
"Agreement"), by and between the CITY OF LA PORTE, TEXAS (the "Issuer"), and CHASE BANK OF TEXAS,
NATIONAL ASSOCIATION, a banking association duly organized and existing under the laws of the United States
of America (the "Bank").
RECITALS
WHEREAS, the Issuer has duly authorized and provided for the issuance of its "City of La Porte, Texas
General Obligation Bonds, Series 2000" (the "Securities"), such Securities to be issued in fully registered form only
as to the payment of principal and interest thereon;
WHEREAS, the Securities are scheduled to be delivered to the initial purchaser thereof as provided in the
"Ordinance" (hereinafter defined);
WHEREAS, the Issuer has selected the Bank to serve as Paying Agent/Registrar in connection with the
payment of the principal of, premium, if any, and interest on the Securities and with respect to the registration,
transfer, and exchange thereof by the registered owners thereof;
WHEREAS, the Bank has agreed to serve in such capacities for and on behalf of the Issuer and has full
power and authority to perform and serve as Paying Agent/Registrar for the Securities;
NOW, THEREFORE, it is mutually agreed as follows:
ARTICLE I. APPOINTMENT OF BANK AS PAYING AGENT AND REGISTRAR
Section 1.01. Appointment. The Issuer hereby appoints the Bank to serve as Paying Agent with respect to
the Securities. As Paying Agent for the Securities, the Bank shall be responsible for paying on behalf of the Issuer
the principal, premium (if any), and interest on the Securities as the same become due and payable to the registered
owners thereof, all in accordance with this Agreement and the Ordinance.
The Issuer hereby appoints the Bank as Registrar with respect to the Securities. As Registrar for the
Securities, the Bank shall keep and maintain for and on behalf of the Issuer books and rec9rds as to the ownership of
said Securities and with respect to the transfer and exchange thereof as provided herein and in the Ordinance.
The Bank hereby accepts its appointment, and agrees to serve as the Paying Agent and Registrar for the
Securities.
Section 1.02. Compensation. As compensation for the Bank's services as Paying Agent/Registrar, the
Issuer hereby agrees to pay the Bank the fees and amounts set forth in Schedule A attached hereto for the first year
of this Agreement and thereafter the fees and amounts set forth in the Bank's current fee schedule then in effect for
services as Paying Agent/Registrar for municipalities, which shall be supplied to the Issuer on or before 90 days
prior to the close of the Fiscal Year of the Issuer, and shall be effective upon the fIrst day of the following Fiscal
Year.
In addition, the Issuer agrees to reimburse the Bank upon its request for all reasonable expenses,
disbursements and advances incurred or made by the Bank in accordance with any of the provisions hereof
(including the reasonable compensation and the expenses and disbursements of its agents and counsel).
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ARTICLE II. DEFINITIONS
Section 2.01. Definitions. For all purposes of this Agreement, except as otherwise expressly provided or
unless the context otherwise requires:
"Bank Office" means the designated principal corporate trust office of the Bank as indicated on the
signature page hereof. The Bank will notify the Issuer in ~riting of any change in location of the Bank Office.
"Bank Principal Payment Office" means Dallas, Texas.
"Fiscal Year" means the fiscal year of the Issuer, ending September 30.
"Holder" and "Security Holder" each means the Person in whose name a Security is registered in the
Security Register. .
"Issuer Request" and "Issuer Ordinance" means a written request or order signed in the name of the Issuer
by the Mayor of the Issuer, the Director of Finance of the Issuer, the City Manager, or the City Secretary of the
Issuer, anyone or more of said officials, delivered to the Bank.
"Legal Holiday" means a day on which the Bank is required or authorized to be closed.
"Ordinance" mean the ordinance of the governing body of the Issuer pursuant to which the Securities are
issued, certified by the City Secretary or any other officer of the Issuer and delivered to the Bank.
"Person" means any individual, corporation, partnership, joint venture, association, joint stock company,
trust, unincorporated organization or government or any agency or political subdivision of a government.
"Predecessor Securities" of any particular Security means every previous Security evidencing all or a
portion of the same obligation as that evidenced by such particular Security (and, for the purposes of this defmition,
any mutilated, lost, destroyed, or stolen Security for which a replacement Security has been registered and delivered
in lieu thereof pursuant to Section 4.06 hereof and the Ordinance).
"Redemption Date" when used with respect to any Security to be redeemed means the date fixed for such
redemption pursuant to the terms of the Ordinance.
"Responsible Officer" when used with respect to the Bank means the Chairman or Vice-Chairman of the
Board of Directors, the Chairman or Vice-chairman of the Executive Committee of the Board of Directors, the
President, any Vice President, the Secretary, any Assistant Secretary, the Treasurer, any Assistant Treasurer, the
Cashier, any Assistant Cashier, any Trust Officer or Assistant Trust Officer, or any other officer of the Bank
customarily performing functions similar to those performed by any of the above designated officers and also
means, with respect to a particular corporate trust matter, any other officer to whom such matter is referred because
of his knowledge of and familiarity with the particular subject.
"Security Register" means a register maintained by the Bank on behalf of the Issuer providing for the
registration and transfer of the Securities.
"Stated Maturity" means the date specified in the Ordinance the principal of a Security is scheduled to be
due and payable.
Section 2.02. Other Definitions. The terms "Bank," Issuer," and "Securities (Security)" have the
meanings assigned to them in the recital paragraphs of this Agreement.
The term "Paying AgentlRegistrar" refers to the Bank in the performance of the duties and functions of this
Agreement.
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ARTICLE III. PAYING AGENT
Section 3.01. Duties of Payine: Ae:ent. As Paying Agent, the Bank shall, provided adequate collected
funds have been provided to it for such purpose by or on behalf of the Issuer, pay on behalf of the Issuer the
principal of each Security at its Stated Maturity, Redemption Date, or Acceleration Date, to the Holder upon
surrender of the Security to the Bank at the Bank Principal Payment Office.
As Paying Agent, the Bank shall, provided adequate collected funds have been provided to it for such
purpose by or on behalf of the Issuer, pay on behalf of the Issuer the interest on each Security when due, by
computing the amount of interest to be paid each Holder and preparing and sending checks by United States Mail,
fIrSt class postage prepaid, on each payment date, to the Holders of the Securities (or their Predecessor Securities) on
the respective Record Date, to the address appearing on the Security Register or by such other method, acceptable to
the Bank, requested in writing by the Holder at the Holder's risk and expense.
Section 3.02. Payment Dates. The Issuer hereby instructs the Bank to pay the principal of and interest on
the Securities on the dates specified in the Ordinance.
ARTICLE IV. REGISTRAR
Section 4.01. Security Ree:ister - Transfers and Exchane:es. The Bank agrees to keep and maintain for
and on behalf of the Issuer at the Bank Principal Payment Office books and records (herein sometimes referred to as
the "Security Register") for recording the names and addresses of the Holders of the Securities, the transfer,
exchange, and replacement of the Securities, and the payment of the principal of and interest on the Securities to the
Holders and containing such other information as may be reasonably required by the Issuer and subject to such
reasonable regulations as the Issuer and the Bank may prescribe. AIl transfers, exchanges, and replacement of
Securities shall be noted in the Security Register. A copy of the Security Register will be maintained at the offices
of the Bank's agent in Houston, Texas.
Every Security surrendered for transfer or exchange shall be duly endorsed or be accompanied by a written
instrument of transfer, the signature on which has been guaranteed by an officer of a federal or state bank or a
member of the National Association of Securities Dealers, in form satisfactory to the Bank, duly executed by the
Holder thereof or his agent duly authorized in writing.
The Bank may request any supporting documentation it feels necessary to effect a re-registration, transfer,
or exchange of the Securities.
To the extent possible and under reasonable circumstances, the Bank agrees that, in relation to an exchange
or transfer of Securities, the exchange or transfer by the Holders thereof will be completed and new Securities
delivered to the Holder or the assignee of the Holder in not more than three business days after the receipt of the
Securities to be cancelled in an exchange or transfer and the written instrument of transfer or request for exchange
duly executed by the Holder, or his duly authorized agent, in fonn and manner satisfactory to the Paying
AgentlRegistrar.
Section 4.02. Certificates. The Issuer shall provide an adequate inventory of printed Securities to facilitate
transfers or exchanges thereof. The Bank covenants that the inventory of printed Securities will be kept in
safekeeping pending their use, and reasonable care will be exercised by the Bank in maintaining such Securities in
safekeeping, which shall be not less than the care maintained by the Bank for debt securities of other political
subdivisions or corporations for which it serves as registrar, or that is maintained for its own securities.
Section 4.03. Form of Security Ree:ister. The Bank, as Registrar, will maintain the Security Register
relating to the registration, payment, transfer, and exchange of the Securities in accordance with the Bank's general
practices and procedures in effect from time to time. The Bank shall not be obligated to maintain such Security
Register in any form other than those which the Bank has currently available and currently utilizes at the time.
3
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The Security Register may be maintained in written form or in any other form capable of being converted
into written form within a reasonable time.
Section 4.04. List of Security Holders. The Bank will provide the Issuer at any time requested by the
Issuer, upon payment of the required fee, a copy of the information contained in the Security Register. The Issuer
may also inspect the information contained in the Security Register at any time the Bank is customarily open for
business, provided that reasonable time is allowed the Bank to provide an up-to-date listing or to convert the
information into written form.
Unless required by law, the Bank will not release or disclose the contents of the Security Register to any
person other than to, or at the written request of, an authorized officer or employee of the Issuer, except upon receipt
of a court order or as otherwise required by law. Upon receipt of a court order and prior to the release or disclosure
of the contents of the Security Register, the Bank will notify the Issuer so that the Issuer may contest the court order
or such release or disclosure of the contents of the Security Register.
Section 4.05. Return of Cancelled Certificates. All Securities surrendered for payment, redemption,
transfer, exchange, or replacement, if surrendered to the Bank, shall be promptly cancelled by it and, if surrendered
to the Issuer, shall be delivered to the Bank and, if not already cancelled, shall be promptly cancelled by the Bank.
The Issuer may at any time deliver to the Bank for cancellation any Securities previously authenticated and
delivered which the Issuer may have acquired in any manner whatsoever, and all Securities so delivered shall be
promptly cancelled by the Bank. All cancelled Securities held by the Bank shall be destroyed, and evidence of such
destruction furnished to the Issuer at such reasonable intervals as it determines subject to applicable rules and
regulations of the Securities and Exchange Commission.
Section 4.06. Mutilated. Destroved. Lost. or Stolen Securities. The Issuer hereby instructs the Bank,
subject to the applicable provisions of the Ordinance, to deliver and issue Securities in exchange for or in lieu of
mutilated, destroyed, lost, or stolen Securities as long as the same does not result in an over issuance.
In case any Security shall be mutilated, or destroyed, lost, or stolen, the Bank, in its discretion, may execute
and deliver a replacement Security of like form and tenor, and in the same denomination and bearing a number not
contemporaneously outstanding, in exchange and substitution for such mutilated Security, or in lieu of and in
substitution for such destroyed lost or stolen Security, only after (i) the filing by the Holder thereof with the Bank of
evidence satisfactory to the Bank of the destruction, loss, or theft of such Security, and of the authenticity of the
ownership thereof and (ii) the furnishing to the Bank of indemnification in an amount satisfactory to hold the Issuer
and the Bank harmless. All expenses and charges associated with such indemnity and with the preparation,
execution, and delivery of a replacement Security shall be borne by the Holder of the Security mutilated, or
destroyed, lost, or stolen.
Section 4.07. Transaction Information to Issuer. The Bank will, within a reasonable time after receipt of
written request from the Issuer, furnish the Issuer information as to the Securities it has paid pursuant to Section
3.01, Securities it has delivered upon the transfer or exchange of any Securities pursuant to Section 4.01, and
Securities it has delivered in exchange for or in lieu of mutilated, destroyed, lost, or stolen Securities pursuant to
Section 4.06.
Section 4.08. Redemotion of Securities. Securities which are redeemable before their stated maturity shall
be redeemable in accordance with Section 3 of the Ordinance and terms in accordance with this Article IV.
Section 4.09. Notice of Redemotion. Notice of redemption shall be given by the Bank in the name at the
expense of the Issuer not less than 30 or more than 45 days prior to the date of redemption, to each Registered
Owner of Securities to be redeemed and otherwise required by the Ordinance.
All notices of redemption shall include the CUSIP number and statement as to:
(a) the date of redemption;
4
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(b) the price of the Securities expressed as a percentage of par amount of the Securities;
(c) the principal amount of Securities to be redeemed, and, if less than all outstanding Securities are to be
redeemed, the identification (and, in case of partial redemption, the principal amounts) of the Securities to be
redeemed;
(d) that on the date of redemption the principal of each of the Securities to be redeemed will become due
and payable and that the interest thereon shall cease to accrue from and after said date; and
(e) that the Securities to be redeemed are to be surrendered for payment of the price stated in the notice of
redemption at the designated principal payment office of the Bank, and the address of such office.
The Bank shall, at the expense of the Issuer, provide notice to designated securities depositories and
information services based upon the then current guidelines of the Securities and Exchange Commission relating to
redemptions and refundings of municipal bonds, including the Securities. The Bank, at the expense of the Issuer,
shall also provide notice to any other addressees as the Issuer shall designate in writing.
ARTICLE V. THE BANK
Section 5.01. Duties of Bank. The Bank undertakes to perfonn the duties set forth herein and agrees to
use reasonable care in the performance thereof.
Section 5.02. Reliance on Documents. Etc. (a) The Bank may conclusively rely, as to the truth of the
statements and correctness of the opinions expressed therein, on certificates or opinions furnished to the Bank.
(b) The Bank shall not be liable for any error of judgment made in good faith by a Responsible Officer,
unless it shall be proved that the Bank was negligent in ascertaining the pertinent facts.
(c) No provisions of this Agreement shall require the Bank to expend or risk its own funds or otherwise
incur any financial liability for performance of any of its duties hereunder, or in the exercise of any of its rights or
powers, if it shall have reasonable grounds for believing that repayment of such funds or adequate indemnity
satisfactory to it against such risks or liability is not assured to it.
(d) The Bank may rely and shall be protected in acting or refraining from acting upon any resolution,
certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, note, security, or
other paper or document believed by it to be genuine and to have been signed or presented by the proper party or
parties. Without limiting the generality of the foregoing statement, the Bank need not examine the ownership of any
Securities, but is protected in acting upon receipt of Securities containing an endorsement or instruction of transfer
or power of transfer which appears on its face to be signed by the Holder or an agent of the Holder. The Bank shall
not be bound to make any investigation into the facts or matters stated in a resolution, certificate, statement,
instrument, opinion, report, notice, request, direction, consent, order, bond, note, security, or other paper or
document supplied by Issuer.
(e) The Bank may consult with counsel, and the written advice of such counselor any opinion of counsel
shall be full and complete authorization and protection with respect to any action taken, suffered, or omitted by it
hereunder in good faith and in reliance thereon.
(f) The Bank may exercise any of the powers hereunder and perfonn any duties hereunder either directly or
by or through agents or attorneys of the Bank.
Section 5.03. Recitals of Issuer. The recitals contained herein with respect to the Issuer and in the
Securities shall be taken as the statements of the Issuer, and the Bank assumes no responsibility for their correctness.
5
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The Bank shall in no event be liable to the Issuer, any Holder or Holders of any Security, or any other
Person for any amount due on any Security from its own funds.
Section 5.04. May Hold Securities. The Bank, in its individual or any other capacity, may become the
owner or pledgee of Securities and may otherwise deal with the Issuer with the same rights it would have if it were
not the P!lying AgentlRegistrar, or any other agent.
Section 5.05. Money Held by Bank. (a) Money held by the Bank hereunder shall be held for the benefit
of the Registered Owners of the Securities.
(b) The Bank shall be under no obligation to pay interest on any money received by it hereunder.
(c) Except to the extent provided otherwise in the Ordinance, any money deposited with the Bank for the
payment of. the principal on, redemption premium, if any, or interest on any security and remaining unclaimed for
three years after the dates such amounts have become due and payable shall be reported and disposed of by the Bank
in accordance with the provisions of Title 6 of the Texas Property Code, as amended, to the extent that such
provisions are applicable to such amounts.
The Issuer and the Bank agree that the Bank may seek adjudication of any adverse claim, demands, or
controversy over its person as well as funds on deposit, in either the District Court of Harris County, Texas, or the
United States Federal District Court for the Southern District of Texas, waive personal service of any process, and
agree that service of process by certified or registered mail, return receipt requested, to the address set forth in
Section 6.03 hereof shall constitute adequate service. The Issuer and the Bank further agree that the Bank has the
right to file a Bill of Interpleader in any court of competent jurisdiction, at the expense of the Issuer, to determine the
rights of any persons claiming any interest herein.
Section 5.06. Indemnification. To the extent permitted by law, the Issuer agrees to indemnify the Bank
for, and hold it harmless against, any loss, liability, or expense incurred without negligence or bad faith on its part,
arising out of or in connection with its acceptance or administration of its duties hereunder, including the cost and
expense against any claim or liability in connection with the exercise or performance of any of its powers or duties
under this Agreement.
Section 5.07. Interpleader. The Issuer and the Bank agree that the Bank may seek adjudication of any
adverse claim, demand, or controversy over its person as. well as funds on deposit, in either a Federal or State
District Court located in the State and County where either the Bank Office or the administrative offices of the
Issuer is located, and agree that service of process by certified or registered mail, return receipt requested, to the
address referred to in Section 6.03 of this Agreement shall constitute adequate service. The Issuer and the Bank
further agree that the Bank has the right to file a Bill of Interpleader in any court of competent jurisdiction to
determine the rights of any Person claiming any interest herein.
Section 5.08. Depository Trust Company Services. It is hereby represented and warranted that, in the
event the Securities are otherwise qualified and accepted for "Depository Trust Company" services or equivalent
depository trust services by other organizations, the Bank has the capability and, to the extent within its control, will
comply with the "Operational Arrangements," effective August 1, 1987, which establishes requirements for
securities to be eligible for such type depository trust services, including, but not limited to, requirements for the
timeliness of payments and funds availability, transfer turnaround time, and notification of redemptions and calls.
ARTICLE VI. MISCELLANEOUS PROVISIONS
Section 6.01. Amendment. This Agreement may be amended only by an agreement in writing signed by
both of the parties hereto.
Section 6.02. Assie:nment. This Agreement may not be assigned by either party without the prior written
consent of the other.
. 6
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Section 6.03. Notices. Any request, demand, authorization, direction, notice, consent, waiver, or other
document provided or permitted hereby to be given or furnished to the Issuer or the Bank shall be mailed or
delivered to the Issuer or the Bank, respectively, at the addresses shown on the signature page of this Agreement.
Section 6.04. Effect of Headinl!s. The Article and Section headings herein are for convenience only and
shall not affect the construction hereof.
Section 6.05. Successors and Assil!ns. All covenants and agreements herein by the Issuer shall bind its
successors and assigns, whether so expressed or not.
Section 6.06. Severabilitv. In case any provision herein shall be invalid, illegal, or unenforceable, the
validity, legality, and enforceability of the remaining provisions shall not in any way be affected or impaired
thereby.
Section 6.07. Benefits of Al!reement. Nothing herein, express or implied, shall give to any Person, other
than the parties hereto and their successors hereunder, any benefit or any legal or equitable right, remedy, or claim
hereunder.
Section 6.08. Entire Al!reement. This Agreement and the Ordinance constitute the entire agreement
between the parties hereto relative to the Bank acting as Paying Agent/Registrar and if any conflict exists between
this Agreement and the Ordinance, the Ordinance shaH govern.
Section 6.09. Counterparts. This Agreement may be executed in any number of counterparts, each of
which shall be deemed an original and all of which shaH constitute one and the same Agreement.
Section 6.10. Termination. This Agreement will terminate (i) on the date of final payment of the principal
of and interest on the Securities to the Holders thereof or (ii) may be earlier terminated by either party upon 60 days
written notice; provided, however, an early termination of this Agreement by either party shaH not be effective until
(a) a successor Paying Agent/Registrar has been appointed by the Issuer and such appointment accepted and (b)
notice has been given to the Holders of the Securities of the appointment of a successor Paying Agent/Registrar.
Furthermore, the Bank and Issuer mutually agree that the effective date of an early termination of this Agreement
shaH not occur at any time which would disrupt, delay, or otherwise adversely affect the payment of the Securities.
Upon an early termination of this Agreement, the Bank agrees to promptly transfer and deliver the Security
Register (or a copy thereof), together with other pertinent books and records relating to the Securities, to the
successor Paying AgentlRegistrar designated and appointed by the Issuer.
The provisions of Section 1.02 and of Article Five shall survive and remain in full force and effect
following the termination of this Agreement.
Section 6.11. Governinl! Law. This Agreement shall be construed in accordance with and governed by the
laws of the State of Texas.
(Remainder of this page intentionally left blank.)
7
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year fIrst
above written.
CHASE BANK OF TEXAS,
NATIONAL ASSOCIATION
Attest:
By
By
Title
Title
Address: 600 Travis, Suite 1150
Houston, Texas 77002
(BANK SEAL)
Attest:
CITY OF LA PORTE, TEXAS
BY~~I1, }{~J1il
C ty Secretary
By 4~/ftt~
l Mayor .
Address 604 West Fairmont
La Porte, Texas 77571
(ISSUER SEAL)
EXECUTION PAGE OF PAYING AGENTIREGlSTRAR AGREEMENT
-
e-
OFFICIAL BIOFORM
GENERAL OBLIGATION BON OS
Honorable Mayor and City Council
City of La Porte
604 W. Fainnont Parkway
La Porte, TX 77571
Mayor and Members of the City Council: (V\ ~ l '11~ l (,SCO . 00
This bid is submitted under the bidding conditions of your Ollicial Notice of Sale dated March 13, 2000, of $3,250,000
City of La Porte, Tcxas, General Obligation Bonds, Series 2000, thc tcons and conditions of which Official Notice of Sale arc
made a part hereof.
For your legally issucd $3,250,000 of Bonds, us described in suid Ollicial Noticc of Sale, we will puy you pur and accrued
interest, plus a cash premium of $ -0- for Bonds maturing and hearing interest us follows:
Maturit\.
2001
2002
2003
2004
200S
2006
2007
2008
2009
2010
Interest Rute
Mmuritv Interest Rate
2011 - 1 J --- ~{}
=::>, ~
2012 :~ . Dr-,. 'X,
2013 'X,
20]4 'Yc,
2015 %,
2016 %
2017 'X,
201~ 'X,
2019 %
2020 \Y 'Yu
t.br;
%
o/l
0
%
%
%
%
%
%
%
\Y
%
GROSS INTEREST COST
$ ; q 3& 'S G .-::l5
I C
Less Premium
NET INTEREST COST
$ -.0-
$ I C13l:. t~"'1-~ ~
6 (
~
EFFECTIVE LNTEREST RATE
The lllitiul Bonds shull be registered in the JUlllle of (syndicate manag.er).
The definitive Bonds will be registered to Cede &. Co., the nominee of'llle Dep()sito~' Trust Compuny.
The undersigned ugrees to complete, execute, (Ind ddiver to the City, on the next husiness duy uller awurd ot'the Bunds. the
Initial Ollcring Price Certificate, in the 10nn enclosed as Exhibit A to the Ollicial Notice of Sale.
Attached hereto or suhmitted separately is a Bunk Certilied or Bank Cashier's Check of the
in the amount of $65,000 whidl represents our Good Faith Deposit und which is suhmitted in uccordunce \\ ilh the tenns as set
forth in the Ollicial Notice of Sale.
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e
We have read in detail the Ol1icial Notice of Sale and the Ol1icial Statement relating to the Bonds, and we have made such
investigations as we deem necessary relating to the City and the investment quality of the Bonds.
Respectlillly submitted,
S~'ldicate:
WILLIAM R HOUGH & CO
By:
L;.~.~il; .n
(7.:2'" ~ 7'5 - J:-~ 26
Phone:
ACCEPTANCE CLAUSE
The foregoing bid is hereby in all things acccpted by the City of La Porte, Texas this the
day of March, 2000.
Secretary
~. ~~
If('/):):.Yt, /1 . ,~.
Mayor
ATTEST:
ACCUMULATED BOND YEARS
$3,250,000
City of La Porte, Texas
Gcneral Obligation Bonds, Series 2000
Dated March 15, 2000
Maturity: March 15
Year of
Maturity
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
20 I7
2018
2019
2020
Amount
of Bonds
$150,000
150,000
150,000
150,000
150,000
150,OO()
150,000
150,000
150.000
I SO ,000
175.000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
Accumulated
Bond Years
150.0000
450.0000
900.0000
1,500.0000
2,250.0000
3, I 50.0000
4,200.0000
5,400.0000
6,750.0000
8,250.0000
10, 1 75.00UO
12,275.0000
14,550.0000
17,000.0000
19,625.0000
22,425.0000
25,400.0000
28,550.0UOO
31,875.0000
35,375.0000
Average Maturity......... 10.885 Years
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OFFICIAL BIDFORM
GENERAL OBLIGATION BONDS
Honorable Mayor and City Council
City of La Porte
604 W. Fairmont Parkway
La Porte, TX 7757]
Mayor and Members of the City Council:
. ,
I ,.
'. "......
This bid is submitted under the bidding conditions of your Official Notice of Sale dated March 13, 2000, of $3,250,000
City of La Porte, Texas, General Obligation Bonds, Series 2000, the terms and conditions of which Official Notice of Sale are
made a part hereof.
For your legally issued $3,250,000 of Bonds, as described in said Ollicial Notice of Sale, we will pay you par and accrued
interest, plus a cash premium of $ - 6...- for Bonds maturing and bcaring interest as follows:
Maturitv
Interest Rate
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
c . J.~-
%
%
%
%
%
%
%
%
%
%
\y
S i.2~
GROSS INTEREST COST
Less Premium
NET INTEREST COST
EFFECTIVE INTEREST RATE
Maturitv
Interest Rate
%
%
%
%
%
%
%
%
%
%
The Initial Bonds shall bc rcgistered in the name of First Southwest Company (syndicate manager).
TIle detinitive Bonds will bt: rcgistcred to Cede & Co., the nominee or The Depository Trust Company.
~'S.l:S
.5. ::2t :.
4:;;, .<') 0
- 5:'"
.~. "\
-- ~n
"'::.. L.
.- ~-
.~. ~
..- ~1:1
. ~. ...;)
.5. 5<:"
~-. /;,(:>
5" ')
.Oc
.!J C1sl1-31So
I I
2011
2012
2013
20]4
20]5
2016
2017
2018
2019
2020
$
fl).-
"'(......
TIle undersigned agrees to complete, execute, and deliver to the City, on the next business day after award of the Bonds, tht:
Initial OtTering Price Certificate, in the loml cnclosed as Exhibit A to the Official Notice of Sale.
Attached hereto or submitted st:paralely is a Bank Certilicd or Bank Cashier's Check of the Frost National B~nk Austin
in the amount of $65,000 which represents our Good Faith Deposit and which is submitted in accordance with the tenus as set
forth in the Official Notice of Sale.
$ I 9:::.-.;,]'+ ~'+, 5" c;
I I
S-.S.~ol Ole %
e
It
We have read in detail the Official Notice of Sale and the Official Statement relating to the Bonds, and we have made such
investigations as we deem necessary relating to the City and the investment quality of the Bonds.
Syndicate:
Respectfully submitted,
First Southwest Com?anv
~~
By: Peter B. Stare - Sr VP
Phone:
? 14-953-1,0'.0
ACCEPTANCE CLAUSE
TIle foregoing bid is hereby in all things accepted by the City of La Porte, Texas this the
day of March, 2000.
Secretary
!iCJmiJA h{~~
Ma or
ATIEST:
ACCUMULATED BOND YEARS
$3,250,000
c;ity of La Porte, Texas
General Obligation Bonds, Series 2000
Dated March 15,2000
Maturity: March IS
Year of
Maturitv
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Amount
of Bonds
$150,000
150,000
150,000
150,000
150,000
150,000
150,000
150,000
150,000
150,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
175,000
Accumulated
Bond Years
150.0000
450.0000
900.0000
1,500.0000
2,250.0000
3,150.0000
4,200.0000
5,400.0000
6,750.0000
8,250.0000
10,175.0000
12,275.0000
14,550.0000
17,000.0000
19,625.0000
22,425.0000
25,400.0000
28,550.0000
31,875.0000
35,375.0000
Average Maturity......... 10.885 Years
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OFFICIAL BID FORM
GENERAL OBLIGATION BONDS
Honorable Mayor and City Council
City of La Porte
604 W. Fairmont Parkway
La Porte, TX 77571
Mayor and Members ofthc City Council:
This bid is submitted under the bidding conditions of your Ollicial Notice of Sale dated March 13, 2000, of $3,250,000
City of La Portc, Texas, General Obligation Bonds. Scries 2000, thc terms and conditions of which Ollicial Notice of Sale are
made a part hereof
For your legally issued $3,250,000 of Bonds, as described in said Otlkial Notice or Sale, we will pay you par and accmed
interest, plus a cash premium 01'$ .,... ~ - lor l30nds maturing and hearing int.::rest as tallows:
Maturitv
Interest Rate
Maturitv
Interest Rate
2001
2002
2003
2004
2005
200G
20D7
20118
21109
2010
"1 .Otl
'Yo 2011 .~. i $"
% 2012 "f".:2.b
% 2013 ,;'" 2..~
% 201-1 5".3<;.-
% 2015 ~ . ~ ()
% 2016 <.,--: '4~
% 2017 .S".5"t;
% 20lX S,_:;:~
% 20 I Y _<::. s:...:.;.-
% 2020 S So
$ I '1$'4 s.si So
I I
'uv
.so ~_~
_"S.IO
~iS
.-=S-_l~
GROSS INTEREST COST
Less Premium
$
~~-
NET INTEREST COST
$1,q:S+iS-~f.,"'{"G
-c- c:---, ~ 0/.
_.~ .->.~- "
EFFECTIVE lNTEREST RATE
%
'Yo
%
')I"
'X,
%
%
%
%
%
The Initial Bonds shall be registered in the name of A. G. EDW.'\RDS (~ SONS, tNC. (syndicate manager).
The detinitive l30nds will be registered to Cede &. Co.. the nominee or The Depository Tmst Company.
'TIle undersigned agrees to complete, execute, and deliver to the City, on the next husiness day aller award or the Bonds, the
Initial Ollcring Price Certificate, in th..: tann enclosed as Exhibit A to the Ol1icial Notice of Sale.
Attached hereto or submitted separately is a l3ank Certilicd or Bank Cashier's Check of the
in the amount of $65,000 which represents our Good Faith Deposit and which is submitted in accordance with the tenns as set
forth in the Official Notice of Sale.
e
e
We haye read in detail th~ Ollicial Notice of Sale and th~ Ollicial Statement relating to the I3onds, and we have made such
investigations as we deem necessary relating to the City and the investment ljuality of the Bonds.
Syndicate:
RespectfuIly submitted,
..~.~ ~j)W AF.DS .~ r;:ONS. I~~
I3y: t2<!A'J-l nl .(.~t'('/i1UI.k..
Phone:
ACCEPTANCE CLAUSE
The foregoing hid is hereby in all things accepted by the City of La Porte, Texas this the
day of March, 2000.
St.'Cretary
Jt~~4(YI/.'? ..~~hA.
Mayor
AnEST:
ACCUMULATED BOND YEARS
$3,2511,OIl0
City of La Porte. Texas
General Obligation Bonds, Series 2000
Dated March 15, 2000
Maturity: March 15
Year of
Maturitv
2ot))
2002
2003
21104
2005
2006
2111J7
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
202l)
Amount
of Bonds
$150,000
150,000
150,000
150,000
ISO,OOU
150.000
ISO,OOO
150,000
150,UOO
150,000
I 75,OOtl
I 75,O()O
175,000
1 75,O()O
175,000
175,000
175,UOO
175,000
175,000
175,000
Accumulated
Bond Years
150.0000
450.0000
l)OO.OOOO
1,5011.0000
2,250.0000
3,150.0000
.:/,2 00.0000
5,4011.0000
6,750.0000
8,250.0000
10,175.0000
12,275.0000
14,550.0000
I 7,000.0000
19,625.0000
22,425.0000
25,400.0000
28,550.0000
31,875.0000
35,375.0000
Average Maturity .._...... 10.885 Years
Honorable Mayor and City COUIl\;il
City of La Porte
604 W. Faionont Parkway
La Porte, TX 77571
e
e
OFFICIAL BID FORM
GENERAL OBLlGA TION BONDS
Mayor and Mcmbers of the City Council:
TIlis bid is submitted undcr the bidding conditions of your Ollicial Notice of Salc dated March 13, 2000, of $3,250,000
City of La Porte, Texas, General Obligation Bonds, Series 2000, the tcons and conditions of which Ollicinl Notice of Sale arc
made a part hereof
For your legally issued $3,250,000 of Bonds, as described in said Ollicial Notice of Salc, wc will pay you par and accmed
intercst, plus a cash premium of $ - G - lor Bonds maturing and beuring interest as follows:
Maturitv
2001
2002
2003
200-t
2005
2006
2007
200R
2009
2010
Interest Rate
Maturitv
Interest Rale
t. (u
%
0/.
20 II - ," -)" 'X,
.;::. .'-
2012 ~ ;c' 'X,
2013 S' '?C CYc,
2014 S- il ;; t~J
2015 .::;. t(.J %
2016 ~. .>C: %
2017 _~.5(", 'X,
20lS S.~O %
2019 ~ :;;-0 'Yo
2020 ~: ".i"(.. %
$ j (} {;; ~ '7 ~;7 ~._()
.~ 'I -, r .I"..... _=>> 't
$ -{J-
$ i, l-11(;~( ]1 'l ~'U
s: .-, .:-c %
..::> w.o' f
0
%
%
%
%
%
%
%
(,.trC
%
GROSS INTEREST COST
Lcss Premium
NET INTEREST COST
EFFECTIVE LNTEREST RATE
TIle Initial Bonds shall be regish;:red in the nume of (s)'ndicute manager).
The delinitivc Bonds will be registered to Cede & Co., the nominee of "111e Depository Tmst Company.
The undersigned agrees to complete, execute, and deliver to the City, on the next busincss day alter award of the Bonus, the
1J1itial Offering Price Certiticate, in the laon enclosed as Exhibit A to the Ollicial Notice of Sale.
Attached hereto or submitted separately is a Bunk Certitied or Bank Cashids Check of the
in the amount of $65,000 which represents our Good Faith Deposit and which is submittcd in accordance with the teons as set
forth in the Ollicial Notice of Sale.
e
It
We have read in detail the Ollicial Notice of Sale and the Ollicial Statement relating to the Bonds, and we have made such
investigations as we deem necessary relating to the City and the investment quality Ofth7/ ~
ReSp~CtlillIYSUbmi(te~u~L ~
S~lldicate: DaVld S. Fas t, Vice pre~r
First Tennessee Capital Markets
By: (800) 307-5405
Phone:
ACCEPTANCE CLAUSE
The foregoing hid is herehy in ullthings accepted by the City of La Porte, Texas this the
day of March, 2000.
Secretary
!1r'1~tft'- ~I''''''/~
f\f I I ,- " --
ayor
ATrEST:
ACCUMULATED BOND YEARS
$3,250,000
City of La Porte, Texas
General Obligation Bonds, Series 2000
Dated March IS, 2000
Maturity: March IS
Year of
Maturitv
2001
2002
200J
2004
2005
20116
20117
2ll0g
2009
21110
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Amount
of Bonds
$150,000
150,000
150,OOIl
150,000
150,000
150,000
150,000
150,000
ISO ,000
150,000
I 75,OOll
175,000
175,000
175,000
175,000
I 75,O1l0
175,000
175,000
175,000
175,000
Accumulated
Baud Years
150.0000
450.0000
900.0000
1,500.0000
2,250.0000
3,150.0000
4,200.0000
5,400.0000
6,750.0000
8,250.00011
10.175.0000
12,275.0000
14,550.0000
17,000.0000
19,625.0000
22,425.0000
25,400.0000
28,550.0000
31,875.0000
35,375.0000
Average Maturity......... 1O.11115 Years
e
e
OFFICIAL BID FORM
GENERAL OBLIGATION BONDS
Honorable Mayor and City Council
City of La Portc
604 W. Fairmont Parkway
La Porte, TX 77571
..II l\ C/
D f"'\"' (l SC(1. ~
fYl ~ l ,..., I
This bid is submitted under the bidding conditions of your Ollicial Notice of Sale dated March 13, 2000, of $3,250,000
City of La Porte, Texas, General Obligation Bonds, Series 2000, the terols and conditions of which Official Notice of Sale arc
made a part hcreo[
Mayor and Members of the City Council:
For your legally issued $3,250,000 of Bonds, as descrihed in said Ollicial Notice of Sale, wc will pay you par and accmed
interest, plus a cash prcmium or $ - O~ tor Bonds maturing and hearing inten:st as lollows:
Maturitv
IIIten:st Rate
Maturitv Interest Rate
% 2011 L. .- ':') - . %
_ "') . .;>:. (...,
% 2012 S', :;)() %,
% 2013 .~ .l.tO %
% 2014 ~ .1.{ V %,
% 2015 5.;,,- . ~'b %,
% 2016 ~. .5rJ %
% 2017 S . tr () 'Yr,
% 2018 'S.(j,~15 %
% 2019 l~ %
% 2020 'Yr,
2001
2002
200)
2004
2005
2006
2007
2008
2009
2010
.:) ..sa
(,. , ~:JO
lY
.s .S 6
GROSS INTEREST COST
$ I, ~ qO( i4l/b.7s
Less Premium
$
-~-
NET INTEREST COST
$ I. q 1[;, l./ bB r +s;.
s.~'J~~
EFFECTIVE INTEREST RATE
The Initial Bonds shall be registered in the name of C c..O~ -r ( .,;) (syndicate mmmger).
The delinitive Bonds will he regish.:red to Cede &. Co., the nominee orThe Depository Tmsl Compml~..
The undersigned ogre..:s to complete, execute, und deliver to the Cit)", on the next husiness day aller u\\urd or the Bonds, the
Initial Ollering Pricc Certiticate, in the timn enclosed as Exhibit A to the Onicial Notice or Sale.
Attached hereto or submitted sepunltcly is a Bank Certilied or Bunk Cash ids Check of the
in the amount of $65,000 which represents our Good Fuith Deposit and which is submitted in accordance with the tenns liS set
forth in the Ollicial Notice of Sale.
fr ,)~\
e
It
We have read in detail the Ollicial Notice of Sale and the Ollicial Statcment relating to the Bonds, and we have made such
investigations as we deem neccssary relating to the City and the investment quality ofthe Bonds.
Respcctfull y submi tted,
Syndicate:
~c.~
.-.r"'I:..,....M vUBIK ""TCPHENS"l1'HOM"'SQr' 1MI'
!..ii ~t:"Il; r.' I,)' &.. 't1o' OJ, I"~,J.
l3y:
Phone:
~~ l. *~( '&570
ACCEPTANCE CLAUSE
'111e foregoing bid is hercby in all things acccpted by the City of La Porte, Texas this the _
day of March, 2000.
Secretary
(b.'i'df;"~~--(
Mayor
ATrEST:
ACCUMULATED BOND YEARS
$3,2S0,llllO
City of La Porte, Texas
General Obligation Bonds, Series 2000
Dated March IS, 2000
Maturity: March IS
Year of
Maturitv
211111
20112
2003
2004
200S
2006
20117
200S
2U09
2010
2011
21112
2013
2014
2UI5
2016
2017
2018
2019
2020
Amount
of Bonds
$150,(IOll
ISO.OOl)
150,000
150,000
ISO,OOll
ISO.OOll
ISO,OOO
ISO,OOO
150.000
ISO,OOO
17S,OllO
17S,Ol)0
17S,000
I 75,OllO
175,000
17S,OOO
17S,OOll
17S,OOO
175,000
175,000
Accumulated
Bond Years
150.nOUO
4S0.0000
9llU .llOllO
1,5ll0.0000
2,250.0000
3,150.0000
4,20ll.00ll0
5,400.000ll
6,75ll.0000
8,250.0000
I U, 17S.llUOO
12,275.00ll0
14,550.0000
17,000.0000
19,625.0000
22,425.0000
25,400.00ll0
28,550.0000
31,875.0000
35,375.0000
Avcrage Maturity......... 10.R85 Years
e
e
TABULATION OF BIDS
Received
March 27,2000
on
CITYOF LA PORTE
(Harris County, Texas)
$3,250,000 General Obligation Bonds, Series 2000
Ratings: (Insured by M.B.I.A.)
Moody's - "Aa3" Insured - "Aaa"
S&P's - "A+" Insured - "AAA"
Bond Buver Index: 5.76%
Bidder
First Union Securities, Manager
Morgan Keegan'"
SAMCO Capital Markets*
Dain Rauscher, Inc., Manager
Paine Webber, Inc. *
Salomon Smith Barney*
Duncan-Williams, Inc. *
William R. Hough & Co.
First Southwest Company
* Co-Manager
Maturities
2001-2009
2010-2011
2012
2013
2014
2015-2020
2001-2009
2010
2011
2012-2020
2001-2010
2011
2012-2020
2001-2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
PAGE 1 OF2
Rate
7.00%
5.20%
5.30%
5.40%
5.125%
5.00%
7.00%
6.90%
5.10%
5.00%
7.00%
5.125%
5.00%
6.25%
5.125%
5.15%
5.20%
5.30%
5.35%
5.40%
5.45%
5.50%
5.55%
5.60%
5.00%
Interest Cost
GIC:$I,929,062.50
Prem: 0.00
NIC:$1,929,062.50
GIC: $1,934,175.00
Prem: 0.00
NIC: $1,934,175.00
GIC:$1,936,156.?5
Prem: 0.00
NIC:$1,936,156.25
GIC:$1,952, 737 .50
Prem: 0.00
NIC:$1,952,737.50
Effective
Interest Rate
5.4531 %
5.4676%
5.4 732%
5.5201%
e TABULATION OF BIDS CONT...e
Received
March 27, 2000
on
CITYOF LA PORTE
(Harris County, Texas)
$3,250,000 General Obligation Bonds, Series 2000
Ratings: (Insured by M.B.LA.)
Moody's - "Aa3" Insured - "Aaa"
S&p's - "A+" Insured - "AAA"
Bidder
A.G. Edwards & Sons, Inc.
Maturities
2001-2006
2007
2008
2009-2011
2012
2013
2014
2015
2016
2017
2018-2019
2020
Rate
7.00%
5.75%
5.10%
5.15%
5.20%
5.25%
5.35%
5.40%
5.45%
5.50%
5.55%
5.50%
Bond Buver Index: 5.76%
Interest Cost
GIC:$1,957,537.50
Prem: 0.00
NIC:$1,957,537.50
Effective
Interest Rate
5.5336%
First Tennessee Capital Markets
------------------------------------------------------------------------------------------------------------------
5.5639%
2001-2010
2011
2012-2013
2014-2015
2016-2020
6.00%
5.25%
5.30%
5.40%
5.50%
GIC: $1,968,237.50
Prem: 0.00
NIC: $1,968,237.50
Griffin, Kubik, Stephens & Thompson, Inc.
------------------------------------------------------------------------------------------------------------------
5.6267%
2001
2002-2009
2010
2011-2012
2013-2014
2015-2016
2017
2018-2020
5.50%
6.20%
5.50%
5.20%
5.40%
5.50%
5.60%
5.625%
GIC: $1,990,468.75
Prem: 0.00
NIC: $1,990,468.75
------------------------------------------------------------------------------------------------------------------
PAGE 2 OF 2
ACCOUNT MANAGER
AND MEMBERS
,.- I 1'\
..,- . I
l, \' ....:...,/
,.
, ~I
.r ,1 y,.t.
(J ~
J
TluLATION OF BIDS RECEIVED e
March 27, 2000
on
CITY OF LA PORTE, TEXAS
$3,250,000 General Obligation Bonds, Series 2000
INTEREST INTEREST INTEREST
MATURITY RATE MATURITY RATE ~
2001 1.00 % 2011 5:\0 % GIC$ I t:1'3 'f, I '7~
2002 % 2012 5, ~) ;J % Prem .
2003 % 2013 I % NIC$ I q 'jc..:: 11\
2004 % 2014 ! % EIR I --r l..{. /..., 71,.. '3 3
2005 % 2015 I %
2006 % 2016 I %
2007 % 2017 I %
2008 % 2018 %
2009 "} 0..) % 2019 %
2010 ,..- ..:.:. ') % 2020 s.;,)) %
-----.....--------------------------..----------------------------
2001 / 00 % 2011 ~ ~ :"" % GJC$ ! -1..........; ....... '50
.' ) _: . ,..- - ,., .-
2002 ~% 2012 ; :'1,) % Prem -
I -- 2003 % 2013 ..~ ~I ) % NIC$ r .' . .-, . , ~- (")
- . . .-*,.... . .-
j " .
l.....~ 2004 % 2014 "l./:'-S-% Em. ..:s-....: --:-3l ~~
2005 % 2015 , . ., %
"
- '. 1. 2006 % 2016 %
. 2007 I % 2017 %
., , /
2008 I % 2018 %
I 2009 I -, % 2019 %
I,J:.; j
2010 .::; :. " ) % 2020 -: ~.J %
2001 % 2011 % GJC$
2002 % 2012 % Prem
2003 % 2013 % NIC$
2004 % 2014 % EIR
2005 % 2015 %
2006 % 2016 %
2007 % 2017 %
2008 % 2018 %
2009 % 2019 %
2010 % 2020 %
------ -------------------------------------
2001 % 2011 % GIC$
2002 % 2012 % PreIn
2003 % 2013 % NIC$
2004 % 2014 % Em.
2005 % 2015 %
2006 % 2016 %
2007 % 2017 %
2008 % 2018 %
2009 % 2019 %
2010 % 2020 %
-------------------------------------..----------
2001 % 2011 % GlC$
2002 % 2012 % Prem
2003 % 2013 % NIC$
2004 % 2014 % EIR
2005 % 2015 %
2006 % 2016 %
2007 % 2017 %
2008 % 2018 %
2009 % 2019 %
2010 % 2020 %
e e
TABULATION OF BIDS RECEIVED
March 27, 2000
on
CITY OF LA PORTE, TEXAS
$3,250,000 General Obligation Bonds, Series 2000
INTEREST
RAIli
INTEREST
RATE
INTEREST
COST
ACCOUNT MANAGER
AND MEMBERS MATURITY
I 'h'7. '5 3 'i '5 D
2001 -, % 2011 <', .- %
2002 I % 2012 -:;'. -;) '0 %
2003 -J % 2013 ..::~ :: ,~ %
2004 f % 2014 ~. ;~ %
2005 =J % 2015 :5 : ~? %
2006 % 2016 5. y.:) %
2007 . ~ '1 S- % 2017 ~. .5"'0 %
2008 .... '0 % 2018 "'. S.'S'"'" %
2009 ~, '; S- % 2019 "\ , '-,-$"' %
2010 -.::.,,- % 2020 S" S tJ %
------- 2001 -- G % 2011 ----~ITG------~i~--I--:;-:-~i~-fj-T 5" 0
2002 ~ % 2012 ~. 3 D % Prem' - .
2003 , % 2013 C::;-. 2 D % NIC $ ! ..; .." 'i .- ::', )0
2004 ! .., % 2014 <;" l..{- D % EIR ~ ..." ci
2005 ~ % 2015 '" . ~ i) %
2006 (n % 2016 :.... ~ C %
2007 'r, % 2017 :;: , :; ::> %
2008 /; % 2018 -:.. ~., J %
2009 ~ % 2019 .:;-. S'. .:.;.%
20] 0 t. % 2020 , .;;.: v %
-----------------;~~~-------~-s=3-~~-----;~~-1-------~~-~~---~~C-$-r-=-~~~-~.-.--~L -, S-
. 2002 ~ . ;~ D % 2012 <" ~: n % Prem -
'I, " 2003 c: '-::i 0 % 2013 '~ ' ..of, '"' % NlC $ ,,'." .... .. ')
2004 ~ .J. ..; % 2014 ". ../ t) % EIR '5, ~ ~ L ')
2005 w -:l. <..: % 2015 S'. '5' I~ %
2006 (,; :J v % 2016 <('. "5' C %
2007 ., ::. ,:; % 2017 5"". II";; %
2008 "'.::' '~ 'J % 2018 0(' :.a:':'.~1o
,- DrY' Ie (, . ~...IS 2009 (". .~ 0 % 2019 ::- .-~~:"'~ %
2010 ...~ ..,-.) % 2020 "-. . :,:::'.;.~ %
-----;00;------ 0 ;:,. ~ %------;~~-;-----~ I:S- --- % ----~IC-$i 0, 5"" -737-~SU
___ I' .--,..
2002 i,~ ,=-: ') % 2012 :.< ;:) 0 % Prem
2003 ,--. } ~ % 2013 i~-. ~ ,....., % NIC$ I <::75 J,731" 5D
2004 ;-_ :..) ~% 2014 -- (<' % EIR I '1:" :, -2 l' ('.{,
2005 / , 1 <% 2015 ..,- ~ 0 %
2006 7'" ~I , % 2016 .' ~: " %
2007 " ~ <" % 2017 -'.. .~ %
2008 :':7 . ~ ~- % 2018 ':..;::'; %
~ -;...
2009 l., d--., % 2019 ~ . ("" %
2010 ,~ ) ~ < % 2020 ..,. l)O %
(\/' C; J .
1"'1 <0 cd :..v~! ( I)'?
._ . c..
~~- -::. t,; t,),..;
l~<<
"
J .,
.......... '
r
,-":',-..~~tL..
., -
.-L '(1-1-'_
,...., !. I
/ I f ",,1..
J .:' r...
-,
,;.
~
\ ~\
__,. J, ,- 'i,
...-J'.../ ~
:/... ~:! -:1"
. .'. i
. I, " ,~,., i\..' ')
- ~ 1'- I .
I
MATURITY
GIC $
Prem
NlC$
EIR
\ 9" r') S"";;" 5"'D
, ~ - '"
_"i 5" _'$, (.:11
------------------------------ ------
2001 " DU % 2011 "). ):l-~ % GIC$ I 4':lG:. ' -b "1 -
IV , ;'0 ....)
2002 r. UG % 2012 S- I 0 (,;) % Prem .
-
. L ' ..\ 1 2003 ., O~ % 2013 -' ,)0 % NlC$ I ," -~ ' . :"--i ;J 5
" .\ .k =-f ...~. ..; .&'
..I , . 2004 ...., .j .) % 2014 0...) % EIR . ':;-- <.: 7 3 ;....
(~ 2005 4 . j :) % 2015 "'5 ~....) %
2006 '7 . '-' I,) % 2016 .:~ ..J %
2007 ). , % 2017 %
~. - '-"
2008 -- ) . . % 2018 %
," ..-
2009 ""1 n...J % 2019 ..., , \ %
..... )) ,(' -, .' -
" \ 2010 .,) U % 2020 s- O\.) %
--------':::::.....----------------------------------------------------------
MORONEY, BEISSNER & CO., INC.
Municpal Financial Advisors
MAR 0 7 7000
CITY SECRETARY'S
OFFICE
RECEIVED i
I
I
;
.e e
Two Post Oak Central Bldg.
1980 Post Oak Blvd., Suite 2100
Houston, Texas 77056
713-960-8900
713/960-8904 Facsimilie
March 6, 2000
Ms. Laura Barrientos
Moody.s Investors Service, Inc.
600 N. Pearl St., Suite 2165
Dallas, TX 75201
Re: City of La Porte. Texas (Harris County)
$3,250,000 General Obligation Bonds.. Series 2000 and
$3,000,000 Certificates of Obligation, Series 2000
"Qualified Tax-Exempt Obligations"
Proposed sale date is March 2 7. 2000
Dear Laura:
Enclosed please find our draft of the Official Notice of Sale, Official Statement and supporting
statistical data describing the City of La Porte, Texas, and the offering of the above captioned
obligations. Also enclosed are the City's Audit Reports for fiscal years ending September 30,
1998 and 1999, and the 1999-2000 Budget along with completed ratings applications. Please
review this material with an eye towards assignments of ratings.
In the meantime if you have any questions regarding the City's credit position or we can
furnish additional information, please let us know.
Yours Veryrq I
rM 6~~ ~~
-kKs\ K. Fetzer
Vice President .
MKF:smt
Enclosures
cc: City of La Porte
Established in 1919
e
e
MORONEY, BEISSNER & CO., INC.
Municpal Financial Advisors
Two Post Oak Central Bldg.
1980 Post Oak Blvd., Suite 2100
Houston, Texas 77056
713-960-8900
713/960-8904 Facsimilie
March 6, 2000
Mr. Alex Fraser
Standard & Poorls
500 N. Akard St., Suite 3200
Dallas, TX 75201
Re: City of La Porte, Texas (Harris County)
$3,250,000 General Obligation Bonds, Series 2000 and
$3,000,000 Certificates of Obligation, Series 2000
"Qualified Tax-Exempt Obligations"
Proposed sale date is March 2 7, 2000
Dear Alex:
Enclosed please find our draft of the Official Notice of Sale, Official Statement and supporting
statistical data describing the City of La Porte, Texas, and the offering of the above captioned
obligations. Also enclosed are the City's Audit Reports for fiscal years ending September 30,
1998 and 1999, and the 1999-2000 Budget along with completed ratings applications. Please
review this material with an eye towards assignments of ratings.
In the meantime if you have any questions regarding the City's credit position or we can
furnish additional information, please let us know.
i~~7~'
Moss K. Fetzer
Vice President
~:smt
Enclosures
cc: City of La Porte
Established in 1919
e.
e
MORONEY, BEISSNER & CO., INe.
Municpal Financial.4dvisors
Two Post Oak Central Bldg.
1980 Post Oak Blvd., Suite 2100
Houston, Texas 77056
713-960-8900
713/960-8904 Facsimilie
March 6, 2000
Mr. Mark Spinelli
First Vice President
A..MBAC
One State Street Plaza, 16th Floor
New York, NY 10004
Re: City of La Porte, Texas (Harris County)
$3,250,000 General Obligation Bonds. Series 2000 and
$3,000,000 Certificates of Obligation. Series 2000
"Qualified Tax-Exempt Obligations"
Proposed sale date is March 2 7, 2000
Dear Mark:
Enclosed please find our draft of the Official Notice of Sale, Official Statement and supporting
statistical data describing the City of La Porte, Texas, and the offering of the above captioned
obligations which have a sale date of March 27, 2000. Also enclosed are the City's Audit
Reports for fiscal years ending September 30, 1998 and 1999, and the Budget for 1999-2000.
Please review this information YJ'ith a .eye towards qualifying these issues for insurance. We
would appreciate hearing from you by Friday, March 24th. In the meantime if you have any
questions or require additional information, please let us know.
~:rif6 ~-
U;si K. Fetzer
Vice President
:MKF:smt
enclosures
cc: City of La Porte
Established in 1919
e
e
MORONEY, BEISSNER & CO., INC.
Municpal Financial Advisors
Two Post Oak Central Bldg.
1980 Post Oak Blvd., Suite 2100
Houston, Texas 77056
713-960-8900
713/960-8904 Facsimilie
March 6, 2000
Ms. Lisa MacKay
MBIA
113 King St.
Armonk, NY 10504
Re: City of La Porte, Texas (Harris County)
$3,250,000 General Obligation B~nds, Series 2000 and
$3,000,000 Certificates of Obligation, Series 2000
"Qualified Tax-Exempt Obligations"
Proposed sale date is March 27, 2000
Deaf Lisa:
Enclosed please find our draft of the Official Notice of Sale, Official Statement and supporting
statistical data describing the City of La Porte, Texas, and the offering of the above captioned
obligations which have a sale date of March 27, 2000. Also enclosed are the City's Audit
Reports for fiscal years ending September 30, 1998 and 1999, and the Budget for 1999-2000.
Please review this information with a eye towards qualifying these issues for insurance. We
would appreciate hearing from you by Friday, March 24th. In the meantime if you have any
questions or require additional information, please let us know.
Yours very truly,
--
7ft,
Moss K. Fetzer
Vice President
MKF:smt
enclosures
cc: City of La Porte
Established in 1919
e
e
MORONEY, BEISSNER & CO., INC.
Municpal Financial Advisors
Two Post Oak Central Bldg.
1980 Post Oak Blvd., Suite 2100
Houston, Texas 77056
713-960-8900
713/960-8904 Facsimilie
March 6, 2000
Mr. Jim Doyle
Financial Security Assurance, Inc.
350 Park Ave., 13th FI.
New York, NY 10022
Re: City of La Porte, Texas (Harris County)
$3,250,000 General Obligation Bonds, Series 2000 and
$3,000,000 Certificates of Obligation, Series 2000
"Qualified Tax-Exempt Obligations"
Proposed sale date is March 27, 2000
Dear Jim:
Enclosed please find our draft of the Official Notice of Sale, Official Statement and supporting
statistical data describing the City of La Porte, Texas, and the offering of the above captioned
obligations which have a sale date of March 27, 2000. Also enclosed are the City's Audit
Reports for fiscal years ending September 30, 1998 and 1999, and the Budget for 1999-2000.
Please review this information with a eye towards qualifying these issues for insurance. We
would appreciate hearing from you by Friday, March 24th. In the meantime if you have any
questions or require additional information, please let us know.
Yours very truly,
. -......
7f/e.. rc
Moss K. Fetzer
Vice President
MKF: smt
enclosures
cc: City of La Porte
Established in 1919
e
e
MORONEY, BEISSNER & CO., INe.
Municpal Financial Advisors
Two Post Oak Central Bldg.
1980 Post Oak Blvd., Suite 2100
Houston, Texas 77056
713-960-8900
713/960-8904 facsimiUe
March 6, 2000
Ms. Debbie Delianites
FGIC
115 Broadway
New York, NY 10006
Re: City of La Porte, Texas (Harris County)
$3,250,000 General Obligation Bonds, Series 2000 and
$3,000,000 Certificates of Obligation, Series 2000
"Qualified Tax-Exempt Obligations"
Proposed sale date is March 2 7, 2000
Dear Debbie:
Enclosed please find our draft of the Official Notice of Sale, Official Statement and supporting
statistical data describing the City of La Porte, Texas, and the offering of the above captioned
obligations which have a sale date of March 27, 2000. Also enclosed are the City's Audit
Reports for fiscal years ending September 30, 1998 and 1999, and the Budget for 1999-2000.
Please review this information with a eye towards qualifying these issues for insurance. We
would appreciate hearing from you by Friday, March 24th. In the meantime if you have any
questions or require additional information, please let us know.
711:~A'
Moss K. Fetzer
Vice President
~
MKF:smt
enclosures
cc: City of La Porte
Established in 1919