FY2008-12 School Bonds ObligationKODIAK ISLAND BOROUGH
RESOLUTION NO. FY2008 -12
Introduced by: Manager Gifford
Requested by: Karl Short, Finance Director
Drafted by: Bond Counsel
Introduced: 12/06/2007
Adopted: 12/06/2007
A RESOLUTION OF THE KODIAK ISLAND BOROUGH ASSEMBLY
AUTHORIZING THE BOROUGH TO ISSUE GENERAL OBLIGATION SCHOOL
BONDS, 2008 SERIES A IN THE PRINCIPAL AMOUNT OF NOT TO EXCEED
$8,000,000 TO PROVIDE FUNDS FOR SCHOOL AND RELATED CAPITAL
IMPROVEMENTS IN THE BOROUGH AND TO PAY COSTS OF ISSUING THE
BONDS, FIXING CERTAIN DETAILS OF SUCH BONDS, AUTHORIZING
THEIR SALE, AND PROVIDING FOR RELATED MATTERS
WHEREAS, pursuant to Ordinance No. FY 2007 -05 of the Kodiak Island Borough, Alaska (the
"Borough "), adopted on August 17, 2006, a question whether the Borough should issue not to
exceed $8,000,000 in general obligation bonds for the purpose of financing the planning, design
and construction of school and related capital improvements in the Borough, referred to at the
regular Borough election held on October 3, 2006 as Proposition No. 1 ( "Proposition 1 "), was
passed and approved; and
WHEREAS, said election has been duly canvassed and the results thereof certified and
confirmed in accordance with law, and $8,000,000 principal amount of general obligation bonds
remains unissued under Proposition 1; and
WHEREAS, the Assembly finds that it is in the best interest of the Borough to plan, design and
construct the school capital improvements described in Proposition 1 as the New School Pool,
6 -Lane, 1 Diving Board (the "Project "), and to issue not to exceed $8,000,000 principal amount
of general obligation bonds referred to in Proposition 1, to pay costs of the Project and costs of
issuing the bonds; and
WHEREAS, Section 29.47.410 of the Alaska Statutes provides that the Assembly by resolution
may provide for the form and manner of sale of bonds and notes; and
WHEREAS, the Assembly finds that it is necessary and appropriate to delegate to each of the
Borough Manager and Borough Finance Director authority to determine the maturity amounts,
interest rates and other details of the bonds, and to determine other matters that are not
provided for in this resolution; and
WHEREAS, there has been presented to the Borough the form of a Loan Agreement between
the Alaska Municipal Bond Bank and the Borough, which provides for the Alaska Municipal
Bond Bank to purchase the bonds on the terms and conditions set forth therein and in this
resolution, and it is in the best interest of the Borough that the Borough sell the bonds to the
Alaska Municipal Bond Bank under such terms and conditions.
NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH THAT:
Section 1: Definitions. In addition to terms which are defined in the recitals above, the
following terms shall have the following meanings in this resolution:
Kodiak Island Borough, Alaska Resolution No. FY2008 -12
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(a) "Assembly" means the Assembly of the Kodiak Island Borough, as the
general legislative authority of the Kodiak Island Borough, as the same shall be
duly and regularly constituted from time to time.
(b) "Bond" or "Bonds" means any of the "General Obligation School Bonds,
2008 Series A" of the Kodiak Island Borough, the issuance and sale of which are
authorized herein.
(c) "Bond Bank" means the Alaska Municipal Bond Bank, a public
corporation of the State of Alaska.
(d) "Bond Bank Bonds" means general obligation bonds issued by the Bond
Bank after the date of this Resolution, all or part of the proceeds of which are
used to purchase all of the Bonds.
(e) "Bond Register" means the registration books maintained by the
Registrar, which include the names and addresses of the Registered Owners of
the Bonds or their nominees.
(f) "Borough" means the Kodiak Island Borough, a municipal corporation of
the State of Alaska, organized as a second class Borough under Title 29 of the
Alaska Statutes.
(g) "Code" means the Internal Revenue Code of 1986, as amended from
time to time, together with all regulations applicable thereto.
(h) "Cost" or "Costs" means the cost of planning, designing, acquiring
property for, acquiring, constructing, installing and equipping the Project,
including interest on the Bonds during the period of planning, designing,
acquiring property for, acquiring, constructing, installing and equipping the
Project, the cost whether incurred by the Borough or by another of field surveys
and advance planning undertaken in connection with the Project properly
allocable to the Project, the cost of acquisition of any land or interest therein
required as the site or sites of the Project or for use in connection therewith, the
cost of any indemnity and surety bonds and premiums on insurance incurred in
connection with the Project prior to or during construction thereof, all related
direct administrative and inspection expenses whether incurred by the Borough
or by another in connection with the Project prior to or during construction thereof
and allocable portions of direct costs of the Borough, legal fees, costs of
issuance of the Bonds by the Borough, including financing charges and fees and
expenses of bond counsel, financial advisors and consultants in connection
therewith, the cost of any bond insurance premium and bond ratings, the cost of
audits, the cost of all machinery, apparatus and equipment, cost of engineering,
architectural services, designs, plans, specifications and surveys, estimates of
cost, the reimbursement of all moneys advanced from whatever source for the
payment of any item or items of cost of the Project, and all other expenses
necessary or incidental to the acquisition and development of the Project, the
financing thereof and the putting of the same in use and operation.
Kodiak Island Borough, Alaska Resolution No. FY2008 -12
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(i) "Government Obligations" means obligations that are either (i) direct
obligations of the United States of America or (ii) obligations of an agency or
instrumentality of the United States of America the timely payment of the
principal of and interest on which are unconditionally guaranteed by the United
States of America
(j) "Loan Agreement" means the Loan Agreement between the Borough and
the Bond Bank concerning the Bonds.
(k) "Registered Owner" means the person named as the registered owner of
a Bond in the Bond Register.
(I) "Registrar" means the Borough Treasurer.
(m) "Resolution" means this Resolution No. FY2008 -_ of the Borough.
Section 2: Authorization of Bonds and Purpose of Issuance. For the purpose of providing
part of the funds required to pay the Costs of the Project, to provide for original
issue discount, if any, and to pay all costs incidental thereto and to the issuance
of the Bonds, the Borough hereby authorizes and determines to issue and sell
the Bonds in the aggregate principal amount of not to exceed $8,000,000.
Section 3: Obligation of Bonds. The Bonds shall be direct and general obligations of the
Borough and the full faith and credit of the Borough are hereby pledged to the
payment of the principal of and interest on the Bonds. The Borough hereby
irrevocably pledges and covenants that it will levy and collect taxes upon all
taxable property within the Borough without limitation as to rate or amount, in
amounts sufficient, together with other funds legally available therefor, to pay the
principal of and interest on the Bonds as the same become due and payable.
Section 4: Designation, Maturities, Interest Rates, and Other Details of Bonds. The Bonds
shall be designated "Kodiak Island Borough, Alaska, General Obligation School
Bonds, 2008 Series A." The Bonds shall be in the denomination of $5,000 or any
integral multiple thereof, shall be numbered separately in the manner and with
such additional designation as the Registrar deems necessary for purposes of
identification, and may have endorsed thereon such legends or text as may be
necessary or appropriate to conform to the rules and regulations of any
governmental authority or any usage or requirement of law with respect thereto.
The Bonds shall mature in one or more years commencing no earlier than 2008
and ending no later than 2030, with the principal amount of each maturity not
exceeding $1,000,000. The Bonds shall bear interest from their date, payable
commencing on a date on or after July 1, 2008, and semi - annually thereafter in
each year. Interest will be computed on the basis of a 360 -day year consisting of
twelve 30 -day months.
Subject to Section 2 and the remainder of this section, the dated date, the
principal and interest payment dates, the record dates for interest payments, the
aggregate principal amount, the principal amount of each maturity, and the
interest rates on the Bonds shall be determined at the time of execution of the
Loan Agreement under Section 17.
Kodiak Island Borough, Alaska Resolution No. FY2008 -12
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Section 5: Optional Redemption. The Bonds, if any, subject to optional redemption by the
Borough, the time or times when such Bonds are subject to optional redemption,
the terms upon which such Bonds may be redeemed, and the redemption price
or redemption prices for such Bonds, shall be determined at the time of execution
of the Loan Agreement under Section 17.
Section 6: Selection of Bonds for Redemption; Notice of Redemption.
(a) Selection of Bonds for Redemption. When the Bond Bank is the
Registered Owner of the Bonds, the selection of Bonds to be redeemed shall be
made as provided in the Loan Agreement. When the Bond Bank is not the
Registered Owner of the Bonds, the selection of Bonds to be redeemed shall be
made as provided in this subsection (a). If the Borough redeems at any one time
fewer than all of the Bonds having the same maturity date, the particular Bonds
or portions of Bonds of such maturity to be redeemed shall be selected by lot (or
in such other manner determined by the Registrar) in increments of $5,000. In
the case of a Bond of a denomination greater than $5,000, the Borough shall
treat such Bond as representing such number of separate Bonds each of the
denomination of $5,000 as is obtained by dividing the actual principal amount of
such Bond by $5,000. In the event that only a portion of the principal amount of
a Bond is redeemed, upon surrender of such Bond at the office of the Registrar
there shall be issued to the Registered Owner, without charge therefor, for the
then unredeemed balance of the principal sum thereof, at the option of the
Registered Owner, a Bond or Bonds of like maturity and interest rate in any of
the denominations authorized herein.
(b) Notice of Redemption. When the Bond Bank is the Registered Owner of
the Bonds, notice of any intended redemption of Bonds shall be given as
provided in the Loan Agreement. When the Bond Bank is not the Registered
Owner of the Bonds, notice of any intended redemption of Bonds shall be made
as provided in this subsection (b). Notice of redemption shall be mailed not less
than 30 nor more than 45 days prior to the date fixed for redemption by first class
mail to Registered Owners of the Bonds to be redeemed at their addresses as
they appear on the Bond Register on the day the notice is mailed. Notice of
redemption shall be deemed to have been given when the notice is mailed as
herein provided, whether or not it is actually received by the Registered Owners.
All notices of redemption shall be dated and shall state: (1) the redemption date;
(2) the redemption price; (3) if fewer than all outstanding Bonds are to be
redeemed, the identification (and, in the case of partial redemption, the
respective principal amounts) of the Bonds to be redeemed; (4) that on the
redemption date the redemption price will become due and payable upon each
such Bond or portion thereof called for redemption, and that interest thereon shall
cease to accrue from and after said date; and (5) the place where such Bonds
are to be surrendered for payment of the redemption price, which place of
payment shall be the office of the Registrar.
Official notice of redemption having been given as aforesaid, Bonds or portions
of Bonds to be redeemed shall, on the redemption date, become due and
payable at the redemption price therein specified, and from and after such date,
such Bonds or portions of Bonds shall cease to bear interest. Upon surrender of
such Bonds for redemption in accordance with said notice, such Bonds shall be
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Section 7:
paid at the redemption price. Installments of interest due on or prior to the
redemption date shall be payable as herein provided for payment of interest.
Upon surrender of any Bond for partial redemption, there shall be prepared for
the Registered Owner a new Bond or Bonds of the same maturity in the amount
of the unpaid principal. All Bonds which have been redeemed shall be canceled
and destroyed by the Registrar and shall not be reissued.
Each check or other transfer of funds issued to pay the redemption price of
Bonds shall bear the CUSIP number, if any, identifying, by maturity, the Bonds
being redeemed with the proceeds of such check or other transfer.
Form of Bond. Each Bond shall be in substantially the following form, with such
variations, omissions and insertions as may be required or permitted by this
Resolution:
UNITED STATES OF AMERICA
STATE OF ALASKA
KODIAK ISLAND BOROUGH
(A Municipal Corporation of the State of Alaska)
NO. $
GENERAL OBLIGATION SCHOOL BOND, 2008 SERIES A
REGISTERED OWNER:
PRINCIPAL AMOUNT:
The Kodiak Island Borough (the "Borough "), a municipal corporation of
the state of Alaska, hereby acknowledges itself to owe and for value received
promises to pay to the Registered Owner identified above, or its registered
assigns, the principal amount shown above in the following installments on
of each of the following years, and to pay interest on such
installments from the date hereof, payable on , 200_ and
semiannually thereafter on the days of and of
each year, at the rates per annum as follows:
Principal Interest
Year Amount Rate
When this Bond is owned by the Alaska Municipal Bond Bank (the "Bond Bank "),
payment of principal and interest shall be made as provided in the Loan
Agreement between the Bond Bank and the Borough (the "Loan Agreement ").
When this Bond is not owned by the Bond Bank, installments of principal and
interest on this Bond shall be paid by check or draft mailed by first class mail to
the Registered Owner as of the close of business on the day of the
Kodiak Island Borough, Alaska Resolution No. FY2008 -12
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month each installment payment date; provided that the final
installment of principal and interest on this Bond shall be payable upon
presentation and surrender of this Bond by the Registered Owner at the office of
the Registrar. Interest will be computed on the basis of a 360 -day year
consisting of twelve 30 -day months. Both principal of and interest on this Bond
are payable in lawful money of the United States of America which, on the
respective dates of payment thereof, shall be legal tender for the payment of
public and private debts.
This Bond is one of the General Obligation School Bonds, 2008 Series A
of the Kodiak Island Borough, Alaska, of like tenor and effect except as to
interest rate, serial number and maturity, aggregating $ in
principal amount, and constituting Bonds authorized for the purpose of paying the
cost of school and related capital improvements in the Borough, and is issued
under Resolution No. FY2008 -_ of the Borough entitled:
A RESOLUTION OF THE KODIAK ISLAND BOROUGH
ASSEMBLY AUTHORIZING THE BOROUGH TO ISSUE
GENERAL OBLIGATION SCHOOL BONDS, 2008 SERIES A IN
THE PRINCIPAL AMOUNT OF NOT TO EXCEED $8,000,000 TO
PROVIDE FUNDS FOR SCHOOL AND RELATED CAPITAL
IMPROVEMENTS IN THE BOROUGH AND TO PAY COSTS OF
ISSUING THE BONDS, FIXING CERTAIN DETAILS OF SUCH
BONDS, AUTHORIZING THEIR SALE, AND PROVIDING FOR
RELATED MATTERS
(the "Resolution ").
Installments of principal of this Bond due on and after , 20_,
shall be subject to prepayment on and after , 20_, at the option of
the Borough (subject to any applicable provisions of the Loan Agreement), in
such principal amounts and from such maturities as the Borough may determine,
and by lot within a maturity, at a redemption price equal to the principal amount
to be prepaid, plus accrued interest to the date of prepayment.
This Bond is transferable as provided in the Resolution, (i) only upon the
bond register of the Borough, and (ii) upon surrender of this Bond together with a
written instrument of transfer duly executed by the registered owner or the duly
authorized attorney of the registered owner, and thereupon a new fully registered
Bond or Bonds in the same aggregate principal amount and maturity shall be
issued to the transferee in exchange therefor as provided in the Resolution and
upon the payment of charges, if any, as therein prescribed. The Borough may
treat and consider the person in whose name this Bond is registered as the
absolute owner hereof for the purpose of receiving payment of, or on account of,
the principal or redemption price, if any, hereof and interest due hereon and for
all other purposes whatsoever.
This Bond is a general obligation of the Kodiak Island Borough, and the
full faith and credit of the Borough are pledged for the payment of the principal of
and interest on the Bond as the same shall become due.
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Section 9:
IT IS HEREBY CERTIFIED AND RECITED that all conditions, acts or
things required by the constitution or statutes of the State of Alaska to exist, to
have happened or to have been performed precedent to or in the issuance of this
Bond exist, have happened and have been performed, and that the series of
Bonds of which this is one, together with all other indebtedness of the Borough,
is within every debt and other limit prescribed by said constitution or statutes.
IN WITNESS WHEREOF, THE KODIAK ISLAND BOROUGH, ALASKA,
has caused this Bond to be signed in its name and on its behalf by the manual or
facsimile signature of its Mayor and its corporate seal (or a facsimile thereof) to
be impressed or otherwise reproduced hereon and attested by the manual or
facsimile signature of its Clerk, all as of the day of
2008.
ATTEST:
Clerk
[SEAL]
Mayor
Section 8: Execution. The Bonds shall be executed in the name of the Borough by the
manual or facsimile signature of the Mayor, and its corporate seal (or a facsimile
thereof) shall be impressed or otherwise reproduced thereon and attested by the
manual or facsimile signature of the Borough Clerk. The execution of a Bond on
behalf of the Borough by persons who at the time of the execution are duly
authorized to hold the proper offices shall be valid and sufficient for all purposes,
although any such person shall have ceased to hold office at the time of delivery
of the Bond or shall not have held office on the date of the Bond.
Payment of Principal and Interest. The Bonds shall be payable in lawful money
of the United States of America which at the time of payment is legal tender for
the payment of public and private debts. When the Bond Bank is the Registered
Owner of the Bonds, payment of principal and interest on the Bonds shall be
made as provided in the Loan Agreement. When the Bond Bank is not the
Registered Owner of the Bonds, installments of principal and interest on the
Bonds shall be paid by check mailed by first class mail to the Registered Owner
as of the record date for the installment payment at the address appearing on the
Bond Register; provided that the final installment of principal and interest on a
Bond shall be payable upon presentation and surrender of the Bond by the
Registered Owner at the office of the Registrar.
Section 10: Registration. The Bonds shall be issued only in registered form as to both
principal and interest. The Borough designates the Borough Treasurer as
Registrar for the Bonds. The Registrar shall keep, or cause to be kept, the Bond
Register at the principal office of the Borough. The Borough covenants that, until
all Bonds have been surrendered and canceled, it will maintain a system for
Kodiak Island Borough, Alaska Resolution No. FY2008 -12
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recording the ownership of each Bond that complies with the provisions of
Section 149 of the Code. The Borough and the Registrar may treat the person in
whose name any Bond shall be registered as the absolute owner of such Bond
for all purposes, whether or not the Bond shall be overdue, and all payments of
principal of and interest on a Bond made to the Registered Owner thereof or
upon its order shall be valid and effectual to satisfy and discharge the liability
upon such Bond to the extent of the sum or sums so paid, and neither the
Borough nor the Registrar shall be affected by any notice to the contrary.
Section 11: Transfer and Exchange. Bonds shall be transferred only upon the books for the
registration and transfer of Bonds kept at the office of the Registrar. Upon
surrender for transfer or exchange of any Bond at such office, with a written
instrument of transfer or authorization for exchange in form and with guaranty of
signature satisfactory to the Registrar, duly executed by the Registered Owner or
the duly authorized attorney of the Registered Owner, the Borough shall execute
and deliver an equal aggregate principal amount of Bonds of the same maturity
of any authorized denominations, subject to such reasonable regulations as the
Borough may prescribe and upon payment sufficient to reimburse it for any tax,
fee or other governmental charge required to be paid in connection with such
transfer or exchange. All Bonds surrendered for transfer or exchange shall be
canceled by the Registrar.
Section 12: Bonds Mutilated, Destroyed, Stolen or Lost. Upon surrender to the Registrar of a
mutilated Bond, the Borough shall execute and deliver a new Bond of like
maturity and principal amount. Upon filing with the Registrar of evidence
satisfactory to the Borough that a Bond has been destroyed, stolen or lost and of
the ownership thereof, and upon furnishing the Borough with indemnity
satisfactory to it, the Borough shall execute and deliver a new Bond of like
maturity and principal amount. The person requesting the execution and delivery
of a new Bond under this section shall comply with such other reasonable
regulations as the Borough may prescribe and pay such expenses as the
Borough may incur in connection therewith.
Section 13: Disposition of the Sale Proceeds of the Bonds. The sale proceeds of the Bonds
representing accrued interest on the Bonds shall be applied to pay a portion of
the interest due on the Bonds on the first interest payment date for the Bonds.
The sale proceeds of the Bonds representing original issue premium on the
Bonds shall be applied to pay issuance costs of the Bonds, a portion of the
interest due on the Bonds on the first interest payment date for the Bonds, or
Costs of the Project, and shall be deposited in such manner, as the Borough
Manager or the Borough Finance Director may determine. The remaining sale
proceeds of the Bonds shall be applied to pay Costs of the Project and issuance
costs of the Bonds, and shall be deposited in the appropriate funds or accounts
of the Borough for such purposes.
Section 14: Tax Covenants. The Borough covenants to comply with any and all applicable
requirements set forth in the Code in effect from time to time to the extent that
such compliance shall be necessary for the exclusion of the interest on the
Bonds from gross income for federal income tax purposes. The Borough
covenants that it will make no use of the proceeds of the Bonds which will cause
the Bonds to be "arbitrage bonds" subject to federal income taxation by reason of
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Section 148 of the Code. The Borough covenants that it will not take or permit
any action that would cause the Bonds to be "private activity bonds" as defined in
Section 141 of the Code.
Section 15: Amendatory and Supplemental Resolutions.
(a) The Assembly from time to time and at any time may adopt a resolution
or resolutions supplemental hereto, which resolution or resolutions thereafter
shall become a part of this Resolution, for any one or more of the following
purposes:
(1) To add to the covenants and agreements of the Borough in this
Resolution, other covenants and agreements thereafter to be observed,
or to surrender any right or power herein reserved to or conferred upon
the Borough.
(2) To make such provisions for the purpose of curing any ambiguities
or of curing, correcting or supplementing any defective provision
contained in this Resolution or in regard to matters or questions arising
under this Resolution as the Assembly may deem necessary or desirable
and not inconsistent with this Resolution and which shall not adversely
affect the interests of the Registered Owners of the Bonds.
Any such supplemental resolution may be adopted without the consent of the
Registered Owners of any of the Bonds at any time outstanding, notwithstanding
any of the provisions of subsection (b) of this section.
(b) With the consent of the Registered Owners of not less than 60 percent in
aggregate principal amount of the Bonds at the time outstanding, the Assembly
may adopt a resolution or resolutions supplemental hereto for the purpose of
adding any provisions to or changing in any manner or eliminating any of the
provisions of this Resolution or of any supplemental resolution; provided,
however, that no such supplemental resolution shall:
(1) Extend the fixed maturity of any of the Bonds, or reduce the rate
of interest thereon, or extend the time of payments of interest from their
due date, or reduce the amount of the principal thereof, or reduce any
premium payable on the redemption thereof, without the consent of the
Registered Owners of each Bond so affected; or
(2) Reduce the aforesaid percentage of Registered Owners of Bonds
required to approve any such supplemental resolution without the consent
of the Registered Owners of all of the Bonds then outstanding.
It shall not be necessary for the consent of the Registered Owners of the Bonds
under this subsection to approve the particular form of any proposed
supplemental resolution, but it shall be sufficient if such consent approves the
substance thereof.
(c) Upon the adoption of any supplemental resolution under this section, this
Resolution shall be deemed to be modified and amended in accordance
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therewith, and the respective rights, duties and obligations under this Resolution
of the Borough and all Registered Owners of outstanding Bonds shall thereafter
be subject in all respects to such modification and amendment, and all the terms
and conditions of the supplemental resolution shall be deemed to be part of the
terms and conditions of this Resolution for any and all purposes.
(d) Bonds executed and delivered after the execution of any supplemental
resolution adopted under this section may bear a notation as to any matter
provided for in such supplemental resolution, and if such supplemental resolution
shall so provide, new Bonds modified so as to conform, in the opinion of the
Borough, to any modification of this Resolution contained in any such
supplemental resolution may be prepared by the Borough and delivered without
cost to the Registered Owners of the Bonds then outstanding, upon surrender for
cancellation of such Bonds in equal aggregate principal amounts.
Section 16: Defeasance. In the event money and /or non - callable Government Obligations
maturing at such times and bearing interest to be earned thereon in amounts
sufficient to redeem and retire any or all of the Bonds in accordance with their
terms are set aside in a special trust account to effect such redemption or
retirement and such moneys and the principal of and interest on such
Government Obligations are irrevocably set aside and pledged for such purpose,
then no further payments need be made to pay or secure the payment of the
principal of and interest on such Bonds and such Bonds shall be deemed not to
be outstanding.
Section 17: Sale of Bonds. The Bonds shall be sold at negotiated sale to the Bond Bank as
provided in the Loan Agreement. Subject to the limitations provided in Sections
2 and 4, each of the Borough Manager and the Borough Finance Director is
hereby authorized to determine the aggregate principal amount, maturity
amounts, interest rates, yields, dated date, principal and interest payment dates,
redemption terms, if any, for the Bonds, and other details of the Bonds; provided
that the true interest cost of the Bonds, expressed as an annual rate, does not
exceed 6.5 percent. In determining the maturity amounts, sinking fund
installments, if any, interest rates, yields, and redemption terms, if any, for the
Bonds, the Borough Manager or Borough Finance Director shall take into
account those factors which, in his judgment, will result in the lowest true interest
cost on the Bonds to their maturity, including without limitation current financial
market conditions and current interest rates for obligations comparable in tenor
and quality to the Bonds. Based upon the foregoing determinations, the Borough
Manager and the Borough Finance Director each is authorized to execute the
Loan Agreement, in substantially the form presented at this meeting.
Section 18: Official Statement. The distribution of the preliminary Official Statement for the
Bond Bank Bonds in substantially the form presented at this meeting is approved
as it pertains to the Borough and the Bonds. The information in the preliminary
Official Statement relating to the Borough and the Bonds may be modified as the
Borough Manager or Borough Finance Director may determine. The Borough
Manager and Borough Finance Director each is hereby authorized to approve the
form of the final Official Statement for the Bond Bank Bonds as it pertains to the
Borough and the Bonds.
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Section 19: Authority of Officers. The Mayor, the acting Mayor, the Borough Manager, the
acting Borough Manager, the Borough Finance Director, the acting Borough
Finance Director, the Borough Clerk, and the acting Borough Clerk each is
authorized and directed to do and perform all things and determine all matters
not determined by this Resolution, to the end that the Borough may carry out its
obligations under the Bonds and this Resolution.
Section 20: Miscellaneous.
Kodiak Island Borough, Alaska
(a) All payments made by the Borough of, or on account of, the principal of or
interest on the Bonds shall be made on the several Bonds ratably and in
proportion to the amount due thereon, respectively, for principal or interest as the
case may be.
(b) No recourse shall be had for the payment of the principal of or the interest
on the Bonds or for any claim based thereon or on this Resolution against any
member of the Assembly or officer of the Borough or any person executing the
Bonds. The Bonds are not and shall not be in any way a debt or liability of the
State of Alaska or of any political subdivision thereof, except the Borough, and do
not and shall not create or constitute an indebtedness or obligation, either legal,
moral or otherwise, of said state or of any political subdivision thereof, except the
Borough.
Section 21: Severability. If any one or more of the provisions of this Resolution shall be
declared by any court of competent jurisdiction to be contrary to law, then such
provision shall be null and void and shall be deemed separable from the
remaining provisions of this Resolution and shall in no way affect the validity of
the other provisions of this Resolution or of the Bonds.
Section 22: Effective Date. This Resolution shall become effective upon passage and
approval.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS SIXTH DAY OF DECEMBER, 2007
KODIAK ISLAND BOROUGH
ATTEST: Jeltdme M. Selby, Bor
ihrli
Nov M. Javier, CMC orough Clerk
Resolution No. FY2008 -12
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