007-97
At a regular meeting of the Board of Supervisors of the
County of Frederick, Virginia, held on the 10th day of September,
1997, the following Board of Supervisors members were recorded as
present:
PRESENT:
James L. Longerbeam, Chairman
Richard C. Shickle, Vice Chairman
w. Harrington Smith, Jr.
Charles W. Orndoff, Sr.
Robert M. Sager
Margaret B. Douglas
On motion by W. Harrington Smith, Jr. , seconded by
Richard C. Shick1e, the attached Resolution was adopted by a
majority of the members of the Board of Supervisors by a roll
call vote, the votes being recorded as follows:
MEMBER
YQIE
James L. Longerbeam
Richard C. Shickle
W. Harrington Smith, Jr.
Charles W. Orndoff, Sr.
Robert M. Sager
Margaret B. Douglas
Yea
Yea
Yea
Yea
Yea
Yea
A RESOLUTION OF THE BOARD OF SUPERVISORS
OF THE COUNTY OF FREDERICK, VIRGINIA
AUTHORIZING THE ISSUANCE AND SALE
OF GENERAL OBLIGATION REFUNDING BONDS
The County of Frederick, Virginia (the "County"), is
obligated to make certain annual payments (the "VRS Obligation")
to or on behalf of the Frederick County School Division to pay to
the Virginia Retirement System (the "VRSH) the Frederick County
School Division's early retirement program costs as set forth in
the Memorandum, dated May 15, 1992 from the Director of the
Virginia Retirement System to Division Superintendents and
Financial Officers of Public School Boards. The Board of
Supervisors proposes to issue general obligation refunding bonds
of the County to refinance the VRS Obligation.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS
OF THE COUNTY OF FREDERICK, VIRGINIA:
1. Authorization of Bonds and Use of Proceeds. The Board
of Supervisors hereby determines that it is advisable to contract
a debt and to issue and sell the County's general obligation
refunding bonds (the "Bonds") in the maximum principal amount of
$1,535,000 pursuant to Article 5 of the Public Finance Act of
1991, Chapter 5.1, Title 15.1, Code of Virginia of 1950, as
amended (the "ActH). The issuance and sale of the Bonds are
hereby authorized. The proceeds from the issuance and sale of
the Bonds shall be used to refund the VRS Obligation and to pay
the costs of issuing the Bonds.
2. Pledge of Full Faith and Credit. The full faith and
credit of the County are hereby irrevocably pledged for the
payment of the principal of, premium, if any, and interest on the
Bonds as the same become due and payable. The Board of
Supervisors shall levy an annual ad valorem tax upon all property
in the County, subject to local taxation, sufficient to pay the
principal of, premium, if any, and interest on the Bonds as the
same shall become due for payment unless other funds are lawfully
available and appropriated for the timely payment thereof.
3. Details and Sale of Bonds. The Bonds shall be issued
and sold in such manner (including competitive or negotiated
sale) as the County Administrator may determine and upon the
terms established pursuant to this Resolution and upon such other
terms as may be determined by subsequent resolution of the Board
of Supervisors.
4. Form of Bonds. The Bonds shall be in substantially the
form attached to this Resolution as Exhibit A, with such
appropriate variations, omissions and insertions as are permitted
or required by this Resolution. There may be endorsed on the
Bonds such legend or text as may be necessary or appropriate to
conform to any applicable rules and regulations of any
governmental authority or any usage or requirement of law with
respect thereto.
5. Execution of Bonds. The Chairman and the Clerk of the
Board of Supervisors of the County are authorized and directed to
execute appropriate negotiable Bonds and to affix the seal of the
County thereto and to deliver the Bonds to the purchaser thereof
upon payment of the purchase price. The manner of execution and
affixation of the seal may be by facsimile, provided, however,
that if the signatures of the Chairman and the Clerk are both by
facsimile, the Bonds shall not be valid until signed at the foot
thereof by the manual signature of the Bond Registrar.
6. Disclosure Documents. The County Administrator and the
Chairman of the Board of Supervisors, or either of them, and such
officers and agents of the County as either of them may designate
are hereby authorized and directed to prepare, execute, if
required, and distribute an appropriate preliminary official
statement, official statement or such other offering or
disclosure documents as may be necessary to expedite the sale of
the Bonds. The preliminary official statement, official
statement or other documents shall be published in such
publications and distributed in such manner and at such times as
the County Administrator, or such officer of the County as he may
designate, shall determine.
7. Judicial Validation. The County Attorney and such
officers and agents of the County as he may designate are
authorized and directed to bring a proceeding to establish the
validity of the Bonds pursuant to Article 6 of the Act.
8. Further Actions. The County Administrator, the County
Attorney and the Chairman of the Board of Supervisors and such
officers and agents of the County as any of them may designate
are authorized and directed to take such further action as they
deem necessary regarding the issuance and sale of the Bonds and
the matters set forth in this Resolution and all actions taken by
such officers and agents in connection with the issuance and sale
of the Bonds are ratified and confirmed.
9. Effective Date. This Resolution shall take effect
immediately.
-2-
The undersigned Clerk of the Board of Supervisors of the
County of Frederick, Virginia, certifies that the foregoing
constitutes a true, complete and correct copy of the Resolution
adopted at a regular meeting of the Board of Supervisors of the
County of Frederick, Virginia, held on September 10, 1997.
W,\FRRD\PRNSION\FRRD017.RSO
RESOLUTION NO.: 007-97
-3-
County
Exhibit A
FORM OF BOND
UNITED STATES OF AMERICA
COMMONWEALTH OF VIRGINIA
No. R-
COUNTY OF FREDERICK
GENERAL OBLIGATION REFUNDING BOND,
SERIES 1997
MATURITY DATE
INTEREST RATE
CUSIP
REGISTERED OWNER:
PRINCIPAL AMOUNT:
COUNTY OF FREDERICK, VIRGINIA ("County"), for value
received, acknowledges itself indebted and promises to pay to the
registered owner of this Bond or legal representative, the
principal amount stated above on the maturity date set forth
above and to pay interest on the principal amount of this Bond at
the rate specified above per annum, payable semiannually on
1 and 1, beginning on 1, ____ This
Bond shall bear interest (a) from " if this Bond
is authenticated before , -Or ~otherwise from
the or tha~is~ immediately precedes,
the date on which this Bond-rs authenticated; provided that, if
at the time of authentication of this Bond, interest on this Bond
is in default, this Bond shall bear interest from the date to
which interest has been paid. Both principal of and interest on
this Bond are payable in lawful money of the United States of
America. The principal of this Bond is payable upon presentation
and surrender hereof at the office of , as
Bond Registrar and Paying Agent ("Bond Registrar"). Interest on
this Bond is payable by check or draft mailed to the registered
owner hereof at its address as it appears on the registration
books maintained by the Bond Registrar without presentation of
this Bond; provided that as long as Cede & Co. is the registered
owner of this Bond, interest shall be paid by wire transfer. All
interest payments shall be made to the registered owner as it
appears on the registration books kept by the Bond Registrar on
the fifteenth day of the month preceding each interest payment
date.
[The interest on this Bond is includable in the income of
the owner of this Bond for federal income tax purposes and is
therefore subject to federal income taxation.]
This Bond has been duly authorized by the Board of
Supervisors and is issued for the purpose of refunding the
obligation of the County's School Division to make certain
payments to the virginia Retirement System. The full faith and
credit of the County are irrevocably pledged for the payment of
the principal of and premium, if any, and interest on this Bond
in accordance with its terms.
This Bond is one of a series of $ General
Obligation Refunding Bonds, Series _ of the County, ("Bonds")
of like date and tenor, except as to number, denomination, rate
of interest and maturity, issued under the authority of and in
full compliance with the Constitution and statutes of the
Commonwealth of Virginia, and, more particularly, issued pursuant
to the Public Finance Act of 1991, Chapter 5.1 of Title 15.1 of
the Code of Virginia of 1950, as amended, and resolutions adopted
by the Board of Supervisors on , 1997 and
("Resolutions") .
Bonds maturing on or before __, _ are not subject
to redemption before maturity. Bonds at the time outstanding
which are stated to mature on or after __, ____ may be
redeemed before their maturities on or after __, ____, at
the option of the County in whole or in part (in installments of
$5,000) at any time or from time to time during the following
redemption periods upon payment of the following redemption
prices (expressed as a percentage of the principal amount to be
redeemed) together with the interest accrued thereon to the date
fixed for redemption:
Redemption Period
(both datp.R inclusive)
RedelllPtion Price
through
through
and thereafter
%
_%
_%
If less than all of the Bonds are called for redemption, the
maturities of the Bonds to be redeemed shall be selected by the
County Administrator of the County in such officer's discretion.
If less than all of the Bonds of any maturity are called for
redemption, the Bonds or portions thereof to be redeemed within a
maturity shall be selected by lot by the Bond Registrar, each
portion of $5,000 principal amount being counted as one Bond for
such purpose.
If any of the Bonds or portions thereof are called for
redemption, the Bond Registrar shall send notice of the call for
redemption identifying the Bonds by serial or CUSIP numbers, and
in the case of partial redemption, identifying the principal
amount to be redeemed, and identifying the redemption date and
price and the place where Bonds are to be surrendered for
payment, by first class mail not less than 30 nor more than 60
days before the redemption date to the registered owner of each
-2-
Bond to be redeemed at such owner's address as it appears on the
registration books maintained by the Bond Registrar, but failure
to mail such notice shall not affect the validity of the
proceedings for redemption. Provided funds for their redemption
are on deposit at the place of payment on the redemption date,
all Bonds or portions thereof so called for redemption shall
cease to bear interest on such date, shall no longer be secured
by the Resolution and shall not be deemed to be outstanding. If
a portion of this Bond shall be called for redemption, a new Bond
in principal amount equal to the unredeemed portion hereof will
be issued to the registered owner upon the surrender of this
Bond.
The Bonds are issuable as fully registered bonds in
denominations of $5,000 and integral multiples thereof. Any Bond
may be exchanged for a like aggregate principal amount of Bonds
of the same maturity of other authorized denominations at the
principal office of the Bond Registrar.
This Bond may be transferred only by an assignment duly
executed by the registered owner hereof or such owner's attorney
or legal representative in a form satisfactory to the Bond
Registrar. Such transfer shall be made in the registration books
kept by the Bond Registrar upon presentation and surrender hereof
and the County shall execute, and the Bond Registrar shall
authenticate and deliver in exchange, a new Bond or Bonds having
an equal aggregate principal amount, in authorized denominations,
of the same form and maturity, bearing interest at the same rate,
and registered in names as requested by the then registered owner
hereof or such owner's attorney or legal representative. Any
such exchange shall be at the expense of the County, except that
the Bond Registrar may charge the person requesting such exchange
the amount of any tax or other governmental charge required to be
paid with respect thereto.
The County may designate a successor Bond Registrar and/or
paying agent, provided that written notice specifying the name
and location of the principal office of any such successor shall
be given to the registered owner of the Bonds. Upon registration
of transfer of this Bond, the Bond Registrar shall furnish
written notice to the transferee of the name and location of the
principal office of the Bond Registrar and/or the paying agent.
The Bond Registrar shall treat the registered owner as the
person exclusively entitled to payment of principal and interest
and the exercise of all other rights and powers of the owner,
except that interest payments shall be made to the person shown
as the owner on the registration books on the 15th day of the
month preceding each interest payment date.
-3-
This Bond shall not be valid or obligatory for any purpose
unless and until authenticated at the foot hereof by the Bond
Registrar.
It is hereby certified and recited that all acts, conditions
and things required by the Constitution and statutes of the
Commonwealth of Virginia to happen, exist or be performed
precedent to the issuance of this Bond have happened, exist or
been performed in due time, form and manner as so required and
that the indebtedness evidenced by this Bond is within every debt
and other limit prescribed by the Constitution and statutes of
the Commonwealth of virginia.
IN WITNESS WHEREOF, the Board of Supervisors of the County
of Frederick, Virginia, has caused this Bond to be signed by the
facsimile signature of the Chairman of the Board of Supervisors,
a facsimile of its seal to be affixed and attested by the
facsimile signature of its Clerk and this Bond to be dated
COUNTY OF FREDERICK, VIRGINIA
By
Chairman, Board of Supervisors,
County of Frederick, Virginia
[SEAL]
ATTEST;
Clerk, Board of Supervisors,
County of Frederick, Virginia
-4-
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned sells, assigns and
transfers unto
(PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING ZIP CODE.
OF ASSIGNEE)
PLEASE INSERT SOCIAL SECURITY OR OTHER
IDENTIFYING NUMBER OF ASSIGNEE;
the within Bond and does hereby irrevocably constitute and
appoint
, attorney, to
transfer said Bond on the books kept for registration of said
Bond, with full power of substitution in the premises.
Dated
Registered Owner
(NOTICE; The signature above
must correspond with the name
of the Registered Owner as it
appears on the books kept for
registration of this Bond
in every particular, without
alteration or change.)
Signature Guaranteed;
(NOTICE; Signature(s) must be
guaranteed by a member firm of
the New York Stock Exchange or
a commercial bank or trust
company. )
-5-
CERTIFICATE OF AUTHENTICATION
The undersigned Bond Registrar hereby certifies that this is
one of a series of Bonds of the County of Frederick, Virginia
described in the within-mentioned Resolutions.
Authentication Date:
By:
-6-
W:\FRED\PENSION\FRED017.RSO
-7-