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HomeMy WebLinkAboutLeedy Corporation, The January 1979 -1979 01 23 .---- ( .a THE LEEDY CORPORATION CNA BUILDING. SUITE 1150 255 SOUTH ORANGE AVENUE ORLAN DO, FLORIDA 32801 MUNICIPAL FINANCIERS January 23, 1979 TELEPHONE 305/423-3464 Honorable Mayor and Councilmen City of Winter Springs Winter Springs, Florida Gentlemen: For $500,000 principal amount of Winter Springs Excise Tax Revenue Bonds, more fully described in Exhibit A attached hereto and made a part of this proposal, bearing interest at the rates per annum as follows: Year 1992 2009 Amount $100,000 400,000 Interest Rates 6.75% 7.20% we offer to pay four hundred seventy-five thousand, five hundred dollars ($475,SOO) and accrued interest to the date of delivery. Within 24 hours of your acceptance of this proposal we will provide you with a cashiers check in the amount of $5,000, payable to Winter Springs. The proceeds of said check are to be applied to the purchase price of the bonds or to be retained by the City as full liquidated damages in the event of non-performance of the terms of this contract by us. The check is to be returned to us forthwith in the event of non-performance on the part of the City. Very truly yours, THE LEEDY CORPORATION By ~C.I.o {Jo"... Loomis C. Leedy, I~ Vice President Ci ty of Winter SpriV J, Florida 2. 1/23/79 " This proposal accepted this 23rd day of January, 1979, by the City Council of Winter Springs, Florida. CITY OF WINTER SPRINGS ,,-,~y~ 1t.A .-~or Approved as to form and correctness: / ,/ :hart -;- ti.f~ City Cl rk . ...-:.-.-.--_-.. City ,Attorney ( , , ~ EXHIBIT A This proposal made by The Leedy Corporation (the "Underwriter") is for the purchase of $500,000 Bonds, with $100,000 maturing in 1992 and $400,000 maturing in 2009. The bonds shall be dated April 1, 1979 and mature on April 1 in the years indicated and shall be in the denomination of $5,000. The Bonds shall be manda- torily called at par in the amounts and years shown on Schedule I. The Bonds shall be callable from any source of funds for any purpose on April 1, 1989 or on any interest payment date thereafter at par plus a premium of 3%, said premium to reduce 1/4 of 1% on each April 1. The Bonds shall be payable as to principal and semiannual interest at such bank as shall be mutually agreeable to the City and the Underwriter. The Bonds are being issued to pay the cost of paving and drainage to certain areas of the City and shall be secured by the proceeds of the City's Utilities Taxes and Electric Franchise Tax. It is understood that the City intends to assess benefitted properties and that the proceeds of such assessments may be used to pay debt service, at the option of the City, or may be placed in a revolving fund to assist in additional projects of a similar nature. All Utilities Taxes and Electric Franchise Taxes funds not needed to pay debt service will be returned to the general fund of the City on a monthly basis. Delivery of the bonds will occur on or about April 16, 1979 or thereafter at the option of the Underwriter. The Bonds will be delivered against payment accompanied by the unqualified approving opinion of Freeman, Richardson, Watson, Slade, McCarthy & Kelly, P.A., Jacksonville, or other mutually agreeable nationally recognized bond counsel. The Underwriter recommends that a bond issue in the amount of $600,000 be authorized for the purpose of protecting against possible cost over-runs, land, property, and easement acquisitions and/or for the purpose of funding interest on the Bonds during construction, which is not contemplated in the project costs below. In the event the City chooses to issue any or all of the additional authorization the Underwriter agrees to purchase such additional bonds under the same terms and conditions as the original $500,000, it being understood that the amortization schedule would be changed proportionately and that the decision on the issuance of such additional bonds be made in a time frame which would permit the delivery of bonds on or about April 16, 1979 as stated above. This proposal contemplates that a reserve account equal to the largest annual debt service ($~~400) be established from the proceeds of the Bonds. The reserve account could be invested in certificates of deposit or in government bonds, the income from which could be deposited in the sinking fund or the revolving fund. This proposal contemplates that the Underwriter will pay all costs of issuance of the Bonds, including fees of bond counsel and City Attorney, printing Bonds, rating if indicated, preparation of official statement and any other costs directly related to the issuance of the Bonds. ( 2. This proposal contemplates that the Bonds will have a parity formula under which proceeds of the Utilities Taxes and Electric Franchise Taxes will exceed maximum debt service of outstanding and proposed bonds by 30%. PROPOSED PROJECT COSTS Construction Design engineering Resident inspection Contingency Capitalized reserve account Financial, legal, bond costs Total $356,915.74 27,000.00 7,900.00 39,284.26 44,400.00 24,500.00 $500,000.00 ( ( SCHEDULE 1 4-1 Total Year Principal Interest Debt Service 1980 $ 5,000 $35,550 $40,550 1981 5,000 35,212 40,212 1982 5,000 34,875 39,875 1983 5,000 34,537 39,537 1984 5,000 34,200 39,200 1985 5,000 33,862 38,862 1986 10,000 33,525 43,525 1987 10,000 32,850 42,850 1988 10,000 32,175 42,175 1989 10,000 31,500 41,500 1990 10,000 30,825 40,825 1991 10,000 30,150 40,150 1992 10,000 29,475 39,475 1993 10,000 28,800 38,800 1994 15,000 28,080 43,080 1995 15,000 27 , 000 42,000 1996 15,000 25,920 40,920 1997 15,000 24,840 39,840 1998 20,000 23,760 43,760 1999 20,000 22,320 42,320 2000 20,000 20,880 40,880 2001 20,000 19,440 39,440 2002 25,000 18,000 43,000 2003 25,000 16,200 41,200 2004 30,000 14,400 44,400 2005 30,000 12,240 42,240 2006 30,000 10,080 40,080 2007 35,000 7,920 42,920 2008 35,000 5,400 40,400 2009 40,000 2,880 42,880 ( ( r , . THE LEEDY CORPORATION CNA BUILDING, SUITE 1150 255 SOUTH ORANGE AVENUE ORLANDO, FLORIDA 32801 MUNICIPAL FINANCIERS January 19, 1979 TELEPHONE 305/423-3464 Honorable Mayor and Councilmen City of Winter Springs Winter Springs, Florida Gentlemen: In our proposal, we have estimated financial, legal and bond costs to be $24,500. For your information, said costs are broken down as follows: Bond Counsel City Attorney Official Statement Bond Discount Rating Printing of Bonds Miscellaneous Total $ 2,500 7,500 1,000 11 ,000 1,250 500 750 $24,500 It is a pleasure to submit our proposal for your consideration, and we look forward to having the opportunity of working with you in the future. Very truly yours, Loomis C. Leedy, III LCL/pl