Res65 4809 - Laserfiche WebLink

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SECURITY: The bonds of each issue are general obligations of the district issuing them,and the Council has power and is obligated to levy ad valorem taxes for the payment of the bonds and the interest thereon upon all taxable property (including real property and personal property) within the district of issue subject to taxation by the City for district purposes (except certain intangible personal property, which is taxable at limited rates) without limitation of rate or amount. TAX EXEMPT In the event that prior to the delivery STATUS: of the bonds of any issue the income received by private holders from bonds of the same type and character shall be declared to be taxable under any Federal income tax laws, either by the terms of such laws or by ruling of a Federal income tax authority or official which is followed by the Internal Revenue Service, or by deci- sion of any Federal court, the successful bidder may, at his option, prior to the tender of the bonds of such issue by the City, be relieved of his obligation under the contract to pur- chase the bonds of such issue, and in such case the deposit accompanying his bid will be returned. LEGAL OPINION: The legal opinion of Messrs. Orrick, Dahl - quist, Herrington & Sutcliffe, of San Fran- cisco, California, approving the validity of the bonds of each issue, will be furnished to the respective successful bidders without charge. A copy of the appropriate legal opinion, certified by the official in whose office the original is filed, will be printed on each bond without charge to the successful bidder. TERMS OF SALE HIGHEST BIDS: The Drainage Bonds, Water Bonds, and Sewer Bonds will each be awarded separately to the highest bidder for each issue, consider- ing the interest rate or rates specified and the premium offered, if any. The highest bid for each issue will be deter- mined by deducting the amount of the premium bid (if any) from the total amount of interest which the district issuing them would be required to pay from the date of the bonds to their respective maturity dates at the coupon rate or rates speci- fied in the bid, and the award will be made on the basis of the lowest net interest cost to such district. The purchaser of each issue must pay accrued interest from the date of the bonds to the date of delivery. All interest shall be com- puted on a 360 -day year basis. The costs of printing the bonds will be borne by the respective districts. RIGHT OF The Council reserves the right, in its dis- REJECTION: cretion, to reject any and all bids and to waive any irregularity or informality in any bid. -18-