HomeMy WebLinkAbout10/07/1981 Meeting
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M I NUT E S
e. Eugene City Council
City Ceuncil Chamber
Octeber 7, 1981
11 :45 a.m.
COUNCILORS PRESENT: Gretchen Miller, Brian Obie, Mark Lindberg, D.W. Hamel,
Eric Haws, Cynthia Wceten, and Emily Schue.
COUNCILOR ABSENT: Betty Smith
Special meeting of the City Council of the City .of Eugene, Oregen, was called
to .order by Ceuncil President, Gretchen Miller.
1. RESOLUTION AWARDING BIDS FOR GENERAL OBLIGATION BANCROFT IMPROVEMENT BOND
SALE (infermation distributed)
Dave Whitlow, Assistant City Manager, apelegized te the ceuncil for the staff
oversight which necessitated calling this special meeting. The preposed resolutien
officially adopts this morning's bid opening and allows the bid to be awarded.
Councilers Lindberg and Hamel, and Mayor Keller arrived at the meeting.
Res. Ne. 3591--WHEREAS, the City .of Eugene, a municipal corperation .of the
It State of Oregen, by Ordinance Ne. 18855, duly enacted en
September 9, 1981, has ordered the sale of General Obligation
Bancreft Imprevement Bonds, Series "W, .of the City .of Eugene
in the sum .of feur millien, nine hundred ten thousand dellars
($4,910,000), dated Octeber 1, 1981; and,
WHEREAS, said Ordinance has called fer said sale to be made
Wednesday, Octeber 7, 1981, and bids te be received in the
office .of the City Recerder in the City Hall in said City at
11:00 a.m., Pacific Time, and said ordinance and notice .of
sale provided that said bends were to be seld te the highest
qualified bidder whe offers the lowest':true.interest':cest tb
the City; and
WHEREAS, the attached bids have been. received by the City of
Eugene, Oregen, pursuant te the Netice .of Sale .of said bonds;
and
WHEREAS, it appears frcm the attached and the Eugene City
Ceuncil hereby finds, determines, and declares. that the
First Interstate Bank .of California is the highest and best
qualified bidder and has .offered the lewest true interest
cest te the City .of Eugene, Oregen, fer the purchase .of
$4,910,000 issue .of General Obligatien Bancreft Improvement
Bonds, Series "H", .of the City .of Eugene, Oregon, te be dated
-~ Octeber 1, 1981, cemputing the total interest en all .of the
bonds fremOcteber 1, 1981, to the respective maturities
thereof;
MINUTES--Eugene City Council Octeber 7, 1981 Page 1
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NOW THEREFORE
e BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, as fellews:
Section 1. That the sale .of $4,910,000 principal ameunt of General Obligatien
Bancroft Improvement Bends, Series "W, of the City .of ,Eugene, Oregen, is hereby
awarded te First Interstate Bank .of Califernia fer the sum .of $4,910,000 principal,
said bonds te be in the denominatien of $5,000 each and to bear interest at the
rate of $10.0761% fer a tetal interest cest .of $2,709,930. Said First Interstate
Bank .of California agrees -te pay the City of Eugene, Oregon, the value .of bends bid
fer, plus accrued interest frem Octeber 1, 1981, te the date of delivery of the
bonds.
Mr. Obie moved, secended by Mr. Haws, to adept the reselution.
Ms. Weeten asked what the current level .of interest is. David Coombs, Management
Services, stated that this sale was advertised with a 13% interest limit.
Mr. Gleason arrived at the meeting.
Mr. Ceombs stated that the interest rates on the bids came in low and that the City
is fortunate to have received the number .of bids that they did. There were nine
bidders. This shews interest in the cemmunity, and shews that the City has a geed
credit rating. Last week, Salem seld bends at 11%.
Ms. Weoten asked if there is a fixed interest rate charged on assessments. Mr. Coembs
responded that there is; the rate is 10%. Mr. Whitlow asked if this will cause the
e City to pay a subsidy. Mr. Ceembs respcnded that it sheuld net. There is sufficient
money in the Bancrcfting prcgram, and with pre-payment and cash flew. the City sheuld
be able tc cover the investments.
Rell call vote; motien carried unanimeusly.
Mayor Keller ncted that October is Citizen Participatien Menth and these whe are
interested in beinginvelved with City beards and cemmissions can pick up applica-
tions at City Hall and return them by the end. of Octeber.
The meeting was adjourned te Octeber 12, 1981.
Micheal D. Gleas n
City Manager
(Recorded by Lynda Nelson)
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MINUTES--Eugene City Council Octeber 7, 1981 Page 2