KOSCIUSKO COUNTY - INTENT OT SELL BONDS
July 28, 2016 at 4:25 p.m.
By -
Upon not less than twentyfour (24) hours' notice given by telephone or otherwise as provided below, the undersigned Auditor of Kosciusko County, Indiana ("County") will receive and consider bids for the purchase of the following described bonds. Any person interested in submitting a bid for the bonds must furnish in writing to the undersigned Auditor of the County, c/o H.J. Umbaugh & Associates, Certified Public Accountants, LLP, 8365 Keystone Crossing, Suite 300, Indianapolis, Indiana 46240, (317) 465-1500, (317) 465-1550 (facsimile) or via e-mail to [email protected] and [email protected], on or before 11:00 a.m. (Indianapolis time) on September 14, 2015, the person's name, address, and telephone number. The persons may also furnish a telecopy number or an e-mail address. The undersigned Auditor will notify (or cause to be notified) each person so registered of the date and time bids will be received not less than twentyfour (24) hours before the date and time of sale. The notification shall be made by telephone at the number furnished by such person and also by telecopy or e-mail if a telecopy number or e-mail address has been received. The sale is expected to take place on September 15, 2015.
At the time designated for the sale, the Auditor will receive and consider bids for the purchase of the bonds of the County Redevelopment Commission ("Commission"), acting in the name of the County, designated "Redevelopment District Bonds of 2015" in the aggregate amount of $810,000. Bidders may bid a discount not to exceed 1.0% of the par value of the bonds. The bonds will bear interest at a rate or rates not to exceed 6% per annum (the exact interest rate or rates will be determined by bidding). Interest will be payable semiannually on February 1 and August 1 of each year, beginning on February 1, 2016. Interest will be calculated on a 360day year consisting of twelve 30day months. Said bonds will be dated as of the date of delivery of the bonds, will be in the denominations of $5,000 and integral multiples thereof and will mature semiannually on February 1 and August 1 on the dates and in the amounts as provided by the County at least 24 hours prior to the time of the sale.
All or a portion of the bonds may be issued as one or more term bonds, upon election of the successful bidder. Such term bonds shall have a stated maturity or maturities of February 1 or August 1, on the dates as determined by the successful bidder through the final maturity for the bonds. The term bonds shall be subject to mandatory sinking fund redemption and final payment(s) at maturity at 100% of the principal amount thereof, plus accrued interest to the redemption date, on dates consistent with the schedule provided.
The bonds of this issue are redeemable at the option of the Commission on February 1, 2023, or any date thereafter, on thirty (30) days' notice, in whole or in part, in the order of maturity determined by the Commission and by lot within a maturity, at face value, with no premium, plus in each case accrued interest to the date fixed for redemption.
Principal is payable at the office of a registrar and paying agent to be designated by the Commission. Interest shall be paid by check mailed to the registered owners or by wire transfer to depositories. The bonds will be issued in fully registered form.
Each bid must be for all of the bonds and must state the rate or rates of interest in multiples of 1/8 or 1/100 of 1%. Any bids specifying two or more interest rates shall also specify the amount and maturities of the bonds bearing each rate, but all bonds maturing on the same date shall bear the same single interest rate. The rate on any maturity shall be equal to or greater than the rate on the immediately preceding maturity. The award will be made to the best bidder complying with the terms of sale and offering the lowest net interest cost to the County, to be determined by computing the total interest on all of the bonds to their maturities, plus any discount, and deducting therefrom the premium bid, if any. Although not a term of sale, it is requested that each bid show the net dollar interest cost to final maturity and the net effective average interest rate on the entire issue. No conditional bid or bids for less than 99% of the par value of the bonds will be considered. The right is reserved to reject any and all bids. In the event no satisfactory bids are received at the time of the sale, the sale will be continued from day to day thereafter, without further advertisement for a period of thirty (30) days during which time no bid which provides a higher net interest cost to the County than the best bid received at the time of the advertised sale will be considered.
Each bid must be on a customary bid form which shall be enclosed in a sealed envelope addressed to the undersigned Auditor and marked "Bid for Kosciusko County Redevelopment District Bonds of 2015." The successful bidder will be required to submit a certified or cashier’s check or a wire transfer in the amount of $8,100 ("Deposit"). If a check is submitted, it shall be drawn on a bank or trust company which is insured by the Federal Deposit Insurance Corporation. In either case, the Deposit shall be payable to "Kosciusko County, Indiana," and shall be held as a guaranty of the performance of the bid. The successful bidder will be required to submit its Deposit to the County in the form of a certified or cashier’s check (or wire transfer such amount as instructed by the County) not later than 3:30 p.m. (Eastern time) on the next business day following the award. No interest on the Deposit will accrue to the successful bidder. If the successful bidder fails to honor its accepted bid, the Deposit will be retained by the County. The successful bidder will be required to make payment for such bonds in Federal Reserve funds or other immediately available funds and accept delivery of the bonds within five days after being notified that the bonds are ready for delivery, at such bank in the City of Indianapolis, Indiana, or at such other location which may be mutually agreed to by the County and such bidder. It is anticipated that the bonds will be ready for delivery within thirty days after the date of the sale and if not ready for delivery within fortyfive days after the sale date, the purchaser shall be entitled to rescind the sale and obtain the return of the Deposit. The opinion of Ice Miller LLP, bond counsel of Indianapolis, Indiana, approving the legality of the bonds, together with a transcript of the bond proceedings, and closing certificates in the usual form showing no litigation, will be furnished to the successful bidder at the expense of the County.
The bonds may be issued, at the option of the successful bidder, by means of a book-entry-only system with no physical distribution of bond certificates made to the public. In this case, one bond certificate for each maturity will be issued to and registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), and immobilized in its custody. In this case, the successful bidder, as a condition of delivery of the bonds, would be required to deposit the bond certificates with DTC, registered in the name of Cede & Co., nominee of DTC.
It is anticipated that CUSIP identification numbers will be printed on the bonds, but neither the failure to print such numbers on any bond nor any error with respect thereto shall constitute cause for failure or refusal by the successful bidder therefor to accept delivery of and pay for the bonds in accordance with the terms of its bid. No CUSIP identification number shall be deemed to be a part of any bond or a part of the contract evidenced thereby and no liability shall hereafter attach to the Commission or any of its officers or agents because of or on account of such numbers. All expenses in relation to the printing of CUSIP identification numbers on the bonds shall be paid for by the Commission; provided, however, that the CUSIP Service Bureau charge for the assignment of said numbers shall be the responsibility of and shall be paid for by the successful bidder. The successful bidder will also be responsible for any other fees or expenses it incurs in connection with the resale of the bonds.
The bonds are being issued under the provisions of Indiana Code 36-7-14 and 36-7-25 for the purpose of providing funds to be applied on the costs of economic development in the Co-Op Development Area ("Area"), including the cost of incidental expenses, funding a debt service reserve and capitalized interest, if any, and costs associated with the issuance of the bonds. The bonds will be payable from a special benefits tax levied on all taxable property within the redevelopment district of the County, the boundaries of which are coterminous with the County. In the opinion of bond counsel, under the federal statutes, decisions, regulations and rulings existing on this date, the interest on the bonds is excludable from gross income for purposes of federal income taxation.
The bonds are subject to the Internal Revenue Code of 1986 as in effect on the date of their issuance ("Code") which imposes limitations on the issuance of obligations like the bonds under federal tax law. The County and the Commission have covenanted to comply with those limitations to the extent required to preserve the exclusion of interest on the bonds from gross income for federal income tax purposes. The Commission has designated the bonds for purposes of Section 265(b) of the Code to qualify for the $10,000,000 annual exception from the 100% disallowance, in the case of banks and other financial institutions, of the deduction for interest expense allocable to tax-exempt obligations.
The Commission has prepared an Offering Circular relating to the bonds. A copy of the Offering Circular may be obtained from the Commission’s Financial Advisor, H.J. Umbaugh & Associates, 8365 Keystone Crossing, Suite 300, Indianapolis, Indiana 46240, (317) 465-1500, (317) 465-1550 (facsimile); e-mail: [email protected].
Dated this 26th day of August, 2015.
Michelle Puckett
Kosciusko County, Auditor
8-26, 9-2 hspaxlp
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Upon not less than twentyfour (24) hours' notice given by telephone or otherwise as provided below, the undersigned Auditor of Kosciusko County, Indiana ("County") will receive and consider bids for the purchase of the following described bonds. Any person interested in submitting a bid for the bonds must furnish in writing to the undersigned Auditor of the County, c/o H.J. Umbaugh & Associates, Certified Public Accountants, LLP, 8365 Keystone Crossing, Suite 300, Indianapolis, Indiana 46240, (317) 465-1500, (317) 465-1550 (facsimile) or via e-mail to [email protected] and [email protected], on or before 11:00 a.m. (Indianapolis time) on September 14, 2015, the person's name, address, and telephone number. The persons may also furnish a telecopy number or an e-mail address. The undersigned Auditor will notify (or cause to be notified) each person so registered of the date and time bids will be received not less than twentyfour (24) hours before the date and time of sale. The notification shall be made by telephone at the number furnished by such person and also by telecopy or e-mail if a telecopy number or e-mail address has been received. The sale is expected to take place on September 15, 2015.
At the time designated for the sale, the Auditor will receive and consider bids for the purchase of the bonds of the County Redevelopment Commission ("Commission"), acting in the name of the County, designated "Redevelopment District Bonds of 2015" in the aggregate amount of $810,000. Bidders may bid a discount not to exceed 1.0% of the par value of the bonds. The bonds will bear interest at a rate or rates not to exceed 6% per annum (the exact interest rate or rates will be determined by bidding). Interest will be payable semiannually on February 1 and August 1 of each year, beginning on February 1, 2016. Interest will be calculated on a 360day year consisting of twelve 30day months. Said bonds will be dated as of the date of delivery of the bonds, will be in the denominations of $5,000 and integral multiples thereof and will mature semiannually on February 1 and August 1 on the dates and in the amounts as provided by the County at least 24 hours prior to the time of the sale.
All or a portion of the bonds may be issued as one or more term bonds, upon election of the successful bidder. Such term bonds shall have a stated maturity or maturities of February 1 or August 1, on the dates as determined by the successful bidder through the final maturity for the bonds. The term bonds shall be subject to mandatory sinking fund redemption and final payment(s) at maturity at 100% of the principal amount thereof, plus accrued interest to the redemption date, on dates consistent with the schedule provided.
The bonds of this issue are redeemable at the option of the Commission on February 1, 2023, or any date thereafter, on thirty (30) days' notice, in whole or in part, in the order of maturity determined by the Commission and by lot within a maturity, at face value, with no premium, plus in each case accrued interest to the date fixed for redemption.
Principal is payable at the office of a registrar and paying agent to be designated by the Commission. Interest shall be paid by check mailed to the registered owners or by wire transfer to depositories. The bonds will be issued in fully registered form.
Each bid must be for all of the bonds and must state the rate or rates of interest in multiples of 1/8 or 1/100 of 1%. Any bids specifying two or more interest rates shall also specify the amount and maturities of the bonds bearing each rate, but all bonds maturing on the same date shall bear the same single interest rate. The rate on any maturity shall be equal to or greater than the rate on the immediately preceding maturity. The award will be made to the best bidder complying with the terms of sale and offering the lowest net interest cost to the County, to be determined by computing the total interest on all of the bonds to their maturities, plus any discount, and deducting therefrom the premium bid, if any. Although not a term of sale, it is requested that each bid show the net dollar interest cost to final maturity and the net effective average interest rate on the entire issue. No conditional bid or bids for less than 99% of the par value of the bonds will be considered. The right is reserved to reject any and all bids. In the event no satisfactory bids are received at the time of the sale, the sale will be continued from day to day thereafter, without further advertisement for a period of thirty (30) days during which time no bid which provides a higher net interest cost to the County than the best bid received at the time of the advertised sale will be considered.
Each bid must be on a customary bid form which shall be enclosed in a sealed envelope addressed to the undersigned Auditor and marked "Bid for Kosciusko County Redevelopment District Bonds of 2015." The successful bidder will be required to submit a certified or cashier’s check or a wire transfer in the amount of $8,100 ("Deposit"). If a check is submitted, it shall be drawn on a bank or trust company which is insured by the Federal Deposit Insurance Corporation. In either case, the Deposit shall be payable to "Kosciusko County, Indiana," and shall be held as a guaranty of the performance of the bid. The successful bidder will be required to submit its Deposit to the County in the form of a certified or cashier’s check (or wire transfer such amount as instructed by the County) not later than 3:30 p.m. (Eastern time) on the next business day following the award. No interest on the Deposit will accrue to the successful bidder. If the successful bidder fails to honor its accepted bid, the Deposit will be retained by the County. The successful bidder will be required to make payment for such bonds in Federal Reserve funds or other immediately available funds and accept delivery of the bonds within five days after being notified that the bonds are ready for delivery, at such bank in the City of Indianapolis, Indiana, or at such other location which may be mutually agreed to by the County and such bidder. It is anticipated that the bonds will be ready for delivery within thirty days after the date of the sale and if not ready for delivery within fortyfive days after the sale date, the purchaser shall be entitled to rescind the sale and obtain the return of the Deposit. The opinion of Ice Miller LLP, bond counsel of Indianapolis, Indiana, approving the legality of the bonds, together with a transcript of the bond proceedings, and closing certificates in the usual form showing no litigation, will be furnished to the successful bidder at the expense of the County.
The bonds may be issued, at the option of the successful bidder, by means of a book-entry-only system with no physical distribution of bond certificates made to the public. In this case, one bond certificate for each maturity will be issued to and registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), and immobilized in its custody. In this case, the successful bidder, as a condition of delivery of the bonds, would be required to deposit the bond certificates with DTC, registered in the name of Cede & Co., nominee of DTC.
It is anticipated that CUSIP identification numbers will be printed on the bonds, but neither the failure to print such numbers on any bond nor any error with respect thereto shall constitute cause for failure or refusal by the successful bidder therefor to accept delivery of and pay for the bonds in accordance with the terms of its bid. No CUSIP identification number shall be deemed to be a part of any bond or a part of the contract evidenced thereby and no liability shall hereafter attach to the Commission or any of its officers or agents because of or on account of such numbers. All expenses in relation to the printing of CUSIP identification numbers on the bonds shall be paid for by the Commission; provided, however, that the CUSIP Service Bureau charge for the assignment of said numbers shall be the responsibility of and shall be paid for by the successful bidder. The successful bidder will also be responsible for any other fees or expenses it incurs in connection with the resale of the bonds.
The bonds are being issued under the provisions of Indiana Code 36-7-14 and 36-7-25 for the purpose of providing funds to be applied on the costs of economic development in the Co-Op Development Area ("Area"), including the cost of incidental expenses, funding a debt service reserve and capitalized interest, if any, and costs associated with the issuance of the bonds. The bonds will be payable from a special benefits tax levied on all taxable property within the redevelopment district of the County, the boundaries of which are coterminous with the County. In the opinion of bond counsel, under the federal statutes, decisions, regulations and rulings existing on this date, the interest on the bonds is excludable from gross income for purposes of federal income taxation.
The bonds are subject to the Internal Revenue Code of 1986 as in effect on the date of their issuance ("Code") which imposes limitations on the issuance of obligations like the bonds under federal tax law. The County and the Commission have covenanted to comply with those limitations to the extent required to preserve the exclusion of interest on the bonds from gross income for federal income tax purposes. The Commission has designated the bonds for purposes of Section 265(b) of the Code to qualify for the $10,000,000 annual exception from the 100% disallowance, in the case of banks and other financial institutions, of the deduction for interest expense allocable to tax-exempt obligations.
The Commission has prepared an Offering Circular relating to the bonds. A copy of the Offering Circular may be obtained from the Commission’s Financial Advisor, H.J. Umbaugh & Associates, 8365 Keystone Crossing, Suite 300, Indianapolis, Indiana 46240, (317) 465-1500, (317) 465-1550 (facsimile); e-mail: [email protected].
Dated this 26th day of August, 2015.
Michelle Puckett
Kosciusko County, Auditor
8-26, 9-2 hspaxlp
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