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Resolution - Bonds RESOLUTION Mr. Clarence Nicoli stated that it is necessary to authorize the issuance and sale of $500,000.00 general obligation bonds of the District to provide funds to: 1. Construct two storage reservoirs; 2. Acquire one parcel of land for a future reservoir site; 3. Construct major transmission lines and two pump stations for distribution; and 4. Increase pumping capacity and transmission main to Bull Mountain. Mr. Nicoli stated that 420 votes were cast at the special election held August 24, 1971, and the results were as follows: 312 votes for the proposed bond issue 108 votes against the proposed bond issue. The Certificate of Election stating that a majority of the votes cast were in favor of the issuance and sale of said bonds was filed with the District's records. Mr. Nicoli declared that the electors of the Tigard Water District had, by their vote at said specia:. election, authorized the District to issue, offer for sale, and sell $980,000.00 general obligation bonds. The balance of the general obligations ($480,000.00) will be used to provide funds to: 1. Install a telemetering system; 2. #squire another reservoir site; 3. Develop an alternate source of water; 4. Construct additional major transmission lines. Itis anticipated that the balance of the general obligation bonds will be offered for sale during the fall of 1972. Tie following resolution was then made by Lester L. Rawls, seconded by R. Verne Wheelwright, and unanimously adopted: 1. The Tigard Water District does hereby direct the issuance of 10f general obligation bonds, each serially numbered F-i to and incluting F-100, each of said bonds to be in the principal amount of $5000.00. Each of said bonds and their respective maturity dates shall be as follows: Serial Number Maturity Date P-i through F-4 January 1, 1973 F-5 through F-9 January 1, 1974 F-10 through F-14 January 1, 1975 Page 1 - RESOLUTION 6. Said general obligation bonds shall be advertised for sale by publication of notice of sale in the Tigard Times, a newspaper of general circulation published in Tigard, Oregon, within the cor- porate limits of the TIGARD WATER DISTRICT in the issues of said newspaper dated September 16, 1971, and September 23, 1971. 7. Upon the sale of said bonds, the Secretary shall have bond forms prepared and printed in the form hereinabove set forth. There shall be affixed to said bonds the official seal of the TIGARD WATER DISTRICT, and such bonds shall be signed by the President of this Board, attested by the Secretary of this Board, and countersigned by the Treasurer of this Board. The Secretary shall also have prepared and printed in the form hereinabove set forth interest coupons which shall bear the facsimilie signatures of said officers. Kenneth W. Baines, of the attorneys for the District, pre- sented to the Board of Commissioners a form of Notice of Sale; whereupon, it was moved, seconded, and unanimously: RESOLVED: That the form of Notice of Sale for the gen- eral obligation bond issue is adopted; and FURTHER RESOLVED: That sealed bids will be received by the Tigard Water District at 5: 30 p.m. , Pacific Stan- dard Time as established by Section 187.110 Oregon Re- vised Statutes, on October 1, 1971, and immediately thereafter publicly opened by the Board of Commissioners of the Tigard Water District at its office at 8841 S. W. Commercial, Tigard, Oregon. Mr. Baines stated that it is necessary that the Board of Com- missioners authorize the employment of attorneys Shuler, Rankin, Myers, Walsh and Ragen to provide an approving opinion as to the validity of the bonds; whereupon, it was moved, seconded, and unanimously RESOLVED: That Kenneth W. Baines is authorized to em- ploy Shuler, Rankin, Myers, Walsh and Ragen to provide an approving opinion as to the validity of the bonds. It was pointed out that it will be necessary that the bonds and coupons be printed; whereupon, it was moved, seconded, and unanimously: RESOLVED: That the District employ Irwin-Hodson Company to print the bonds and coupons. It was pointed out that it will be advisable to furnish to possible qualified bidders copies of the Notice of Sale of the District's bonds; whereupon, it was moved, seconded, and unani- mously: RESOLVED: That the District furnish tear sheets of the Notice of Sale of the District bonds to investment houses, banks, and the State of Oregon who may be inter- ested in submitting a bid or bids for the purchase of these bonds. Page 4 - RESOLUTION It is hereby certified that every requirement of law relat- ing to the issue hereof has been duly complied with, and this bond is within every debt and other limit prescribed by the Constitu- tion and the laws of the State of Oregon. For the prompt and punctual payment of principal and interest hereon, the full faith and credit of the TIGARD WATER DISTRICT are hereby irrevocably pledged, together with all of the net income or revenue of the District. IN WITNESS WHEREOF, TIGARD WATER DISTRICT has caused these presents to be signed by its President, its seal hereunto affixed, attested to by its Secretary, and countersigned by its Treasurer October 1, 1971. Is/ C. Nicoli resident ATTESTED BY: [s/ John M. Wied Secretary COUNTERSIGNED BY: (s/ Roger W. Cowell Treasurer 5. The coupons affixed to the bonds shall be in the follow- ing form: Bond No. F- Coupon No. On the lst day of (January or July) , 19 , TIGARD WATER DISTRICT, Washington County, Oregon, will pay to bearer, in lawful money of the United States of America, at the office of the Depart- ment of Finance and Administration, Washington County, Oregon, Dollars ) for six months ' interest then due upon its general ob- ligation bond numbered F- TIGARD WATER DISTRICT By /8/ C. Nicoli President ATTESTED BY: /s/ John M. Wied Secretary COUNTERSIGNED BY: /8/ Roger W. Cowell Treasurer Page 3 - RESOLUTION Serial Number Maturity Date F-15 through F-19 January 1, 1976 F-20 through F-25 January 1, 1977 F-26 through P-31 January 1, 1978 F-32 through F-37 January 1, 1979 F-38 through F-43 January 1, 1980 F-44 through F-50 January 1, 1981 F-51 through F-57 January 1, 1982 F-58 through F-65 January 1, 1983 F-66 through F-73 January 1, 1984 F-74 through F-82 January 1, 1985 F-83 through F-91 January 1, 1986 F-92 through F-100 January 1, 1987 2. The general obligation bonds shall bear interest from and after October 1, 1971, until maturity, at a rate not exceeding eight per cent per annum. Interest shall be paid semi-annually on the 1st day of January and the 1st day of July of each year be- ginning January 1, 1972, on each bond until the same has been matured and paid. Interest coupons shall be affixed to each bond, which coupons shall be payable to the bearer for the amount of in- terest on each of such bonds for each payment date. 3. For the purpose of additionally securing payment of the principal and interest on the general obligation bonds, the Com- missioners pledge all of the net income or revenue of the Tigard Water District. 4. Each of said bonds shall be in the following form: F- F- STATE OF OREGON COUNTY OF WASHINGTON TIGARD WATER DISTRICT $5,000.00 $5,000.00 BOND TIGARD WATER DISTRICT, County of Washington, State of Oregon, for value received, promises to pay to bearer Five Thousand Dollars ($5,000.00) on the 1st day of January, 19 , with interest thereon at the rate of per cent ( + ') per annum, payable semi-annually on the 1st days of January and July to the bearer of the coupons attached hereto upon presentation as they mature, both principal and interest payable in lawful money of the United States of America at the office of the Department of Finance and Administration, Washington County, Oregon. This bond is one of a series of like date and tenor, except as to maturities, aggregating $500,000.00 par value in amount, num- bered serially F-1 through F-100, authorized by the electors of the TIGARD WATER DISTRICT at a special election held August 24, 1971. Page 2 - RESOLUTION