HomeMy WebLinkAboutresolution.council.022-72RESOLUTION NO. ~_~ SERIES OF 1972
WHEREAS, the City of Aspen~ Colorado, has previously
authorized and issued its Sales Tax Revenue Bonds, dated April
1, 1971 (hereinafter referred to as "Bonds 1971") in the total
amount of $3,700,000, of which there now remains outstanding the
principal amount of $3,660~000, consisting of 732 bonds in the
denomination of $5,000 each, numbered 9 to 740, inclusive, bearing
interest payable semi-annually on April 1' and October 1 each year,
and maturing serially in varying amounts on October 1 each year
from 1973 to 1989, inclusive. Those bonds maturing on or after
October 1, 1978, being redeemable at the option of the City on
April 1, 1978, and on any interest payment date thereafter, in
inverse n~u~erical order, upon payment of par, accrued interest
and a premium of 3% of principal; and
WHEREAS, pursuant to its home rule Charter the City has
authority to issue additional sales tax revenue bonds, to refund
outstanding such bonds in advance of maturity by means of an escrow
or otherwise, and to issue refunding bonds for such purpose; and
WHEREAS, pursuant to the provisions of Chapter 125,
~ticle 8, Colorado Revised Statutes 1963, as amended, is further
authorized to issue its refunding revenue securities for such
purpose, and is further authorized to issue such securities in
a principal amount exceeding the principal amount of the securities
to be refunded if the aggregate principal and interest costs cf
the refunding securities do not exceed such unaccrued costs of
the securities to be refunded, which refunding securities may
be combined with securities issued for other authorized purposes~
WHEREAS, the outstanding Bonds 1971, in the principal
amount of $3,660,000, may be refunded by the issuance of $3,760,000
of refunding bonds to bear a lower net interest cost, with a
].o~er net effective interest rate, and a lower aggregate principal
and interest cost, thereby effecting a substantial savings in
costs to the City and the inhabitants thereof; and
WHEREAS, said refunding process shall also permit the
modification or elimination of restrictive contractual limitations
appertaining to the issuance of additional such bonds; and
WHEREAS, the City has heretofore determined to acquire
additional open space lands, and to issue additional sales tax
revenue bonds in the principal amount of $900,000 for the purpose
of paying a portion of the costs and exp~nses of said acquisition;
and
WHEREAS,
Acquisition Sales
the City proposes to issue its Refunding and
Tax Revenue Bonds, Series A and B in the total
principal amount of $4,660,000, to provide funds with which to
accomplish said refunding and acquisition purposes;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN,
COLORADO:
1.
cause to be
That the City of Aspen, Colorado, shall issue and
sold at not less than their par value, $3,760,000
of bonds (Series A) to provide funds with which to refund and pay
$3,660,000 of the outstanding Sales Tax Revenue Bonds of the City
referred to above, and $900,000 of bonds (Series B) to provide funds
for acquisition purposes in accordance with the Charter of the City
and the provisions of Chapter 125, Article 8, C.R.S. 1963, as amended.
Said bonds shall each be designated "Refunding and Acquisition
Sales Tax Revenue Bond", shall be in the total aggregate principal
amount of $4,660,000, dated December 1, 1972, bearing interest
from and after date, payable on April 1, 1973, and semi-annually
thereafter on the 1st day of April and the 1st day of October
each year, and shall mature in varying amounts serially and semi-
annually on April 1 and October 1 in each of the years 197,? to 19~ >~
inclusive.
Bonds of this issue maturing on and after October
1, 1979, shall be redeemable prior to their respective maturity
dates at the option of the City of April 1, 197~, and on any
interest payment date thereafter prior to maturity, in inverse
numerical order within each series, upon payment of par and accrued
interest, plus a premium of 3% of principal.
2. The proceeds of the sale of said'Bonds shall
immediately be applied to the purposes for which the same are
issued, respectively, and the costs and expenses incident thereto,
in the manner provided by Law and the Ordinance authorizing said
refunding and acquisition bonds.
3. That the net effective interest rate of the refunding
portion of said issue (Series A) shall not exceed ~ ,? .~ % per
annum, and the aggregate principal and interest costs of said re-
funding portion (Series A) shall not exceed $ ~! ~?,~'~.~-~
4. That the net effective interest rate of the ac-
quisition portion of said issue (Series B) shall not exceed
~.~.i~ % per annum.
RESOLUTION ADOPTED AND APPROVED This _~_~__ day of
November, 1972.
(SEAL)
ATTEST:
City Clerk