REGULAR COUNCIL MEETING
The Regular Council Meeting was held on August 9, 1993 at 7:30 p.m. with Council President Christiansen presiding. Council members present were Mr. Lambert, Mr. Tudor, Mr. Leary, Mr. Pitts, Mrs. Malone, Mr. Hutchison, Mr. Salters and Mr. Hare.
Council staff members present were Chief Smith, Mr. Lucas, Mr. O'Connor, Mr. DePrima, Fire Chief Baker, Mrs. Boaman and Mr. Rodriguez.
The invocation was given by Reverend Komstedt, followed by the Pledge of Allegiance.
AGENDA ADDITIONS/DELETIONS
Mr. Lambert moved for approval of the agenda, seconded by Mr. Hutchison and unanimously carried.
ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF JULY 26, 1993
The Minutes of the Regular Council Meeting of July 26, 1993 were unanimously approved by motion of Mr. Salters, seconded by Mr. Hutchison and bore the written approval of Mayor Knopf.
ADOPTION OF MINUTES - QUARTERLY OPEN TOWN MEETING OF AUGUST 2, 1993
The Minutes of the Quarterly Open Town Meeting of August 2, 1993 were unanimously approved by motion of Mr. Salters, seconded by Mr. Hutchison and bore the written approval of Mayor Knopf.
AUTHORIZING RESOLUTION - WATER AND SEWER REVENUE 1993 (SERIES A) BONDS
During their meeting of July 12, 1993, City Council approved the concept of the Water and Sewer Revenue 1993 (Series A) Bonds. Official authorization is now required in the form of adoption of the authorizing resolution.
Mr. Leary moved for acknowledgment of the Resolution, by title only, seconded by Mr. Hare and unanimously carried.
By motion of Mr. Hare, seconded by Mr. Leary, Council adopted the following Resolution by a unanimous roll call vote:
RESOLUTION AUTHORIZING THE ISSUANCE AND
SALE BY THE CITY OF DOVER OF WATER AND
SEWER REVENUE BONDS IN AN AGGREGATE
PRINCIPAL AMOUNT OF UP TO $4,596,000 FOR
IMPROVEMENTS TO ITS WATER AND WASTE WATER SYSTEMS
Whereas, The City of Dover (the "City") is authorized pursuant to Chapter 111, Volume 52, Laws of Delaware, as amended, and the City Charter, Chapter 158, Volume 36, Laws of Delaware, as amended (the "Enabling Acts") to issue revenue bonds for the purpose of financing improvements to its water and waste water systems; and
Whereas, pursuant to the Enabling Acts, the City Council (the "Council") adopted a Water and Sewer Revenue Bond Resolution on February 27, 1989 (as amended to date, the "Bond Resolution") providing for the issuance of Water and Sewer Revenue Bonds and pursuant thereto Council desires to authorize the issuance and sale of certain bonds to finance certain water and waste water capital projects.
Now Therefore, the Council hereby resolves as follows:
Section 1. Defined Terms All defined terms used herein identified by initial capital letters and not otherwise defined herein shall have the meanings assigned to them in the Bond Resolution.
Section 2. The 1993 Projects. The Council approves the following capital projects for the City's Water and Waste Water Facilities (the "1993 Projects"):
Project Name Estimated Cost
1) Water Well Field Development. . . $4,530,000*
and Water Treatment Plant
2) North loop water main . . . . . . 715,000
3) U.S. 13 water main. . . . . . . . 31,000
4) U.S. 13 sewer main. . . . . . . . 42,000
5) Meter change out program. . . . . 325,000
6) U.S. 113 sewer main . . . . . . . 63,000
7) Spruance Road water main . . . . 14,000
8) Spruance Road sewer main. . . . . 10,000
9) Westover sewer - City portion . . 108,000
TOTAL ESTIMATED COST $5,838,000
*Less prior bond funds available 1,300,000
Net Total Estimated Cost $4,538,000
Section 3. The 1993 (Series A) Bonds. Pursuant to the Enabling Acts and the Bond Resolution the Council hereby authorizes and directs the issuance of The City of Dover, Water and Sewer Revenue Bonds, 1993 (Series A), in the aggregate principal amount of up to $4,596,000 (the "1993 (Series A) Bonds"), for the purpose of financing a portion of the costs of the 1993 Projects, funding a deposit to the Reserve Account and paying the costs of issuance. For purposes of this Resolution, "aggregate principal amount" means total principal amount less original discount, if any. The 1993 (Series A) Bonds shall be dated, shall bear interest, shall mature, shall be payable, shall be subject to redemption, shall be in such denominations, shall be numbered, shall have such series designation and shall be in substantially the form set out in Exhibit A with modifications consistent with the terms of the Bond Resolution as the Mayor and the Treasurer shall determine to be in the best interest of the City.
The 1993 (Series A) Bonds shall be special obligations of The City of Dover, and shall be payable solely from the Net Operating Revenue. The full faith and credit of the City shall not be pledged to pay principal of and interest on the 1993 (Series A) Bonds.
Payment of the principal of and interest on the 1993 (Series A) Bonds shall be made in accordance with the provisions set forth in the Bond Resolution and as shall otherwise be determined by the Mayor and Treasurer.
In the event that there are any proceeds of the 1993 (Series A) Bonds remaining after completion of the 1993 Projects, said funds shall be applied to other water and wastewater projects or as shall otherwise be determined by Council.
Section 4. Pledge of Net Operating Revenue. The City hereby pledges the Net Operating Revenue to the payment of principal of and interest on all Bonds in accordance with the provisions set forth in the Bond Resolution.
Section 5. Parity Bonds. The 1993 (Series A) Bonds will be secured on a parity with the other Bonds issued under the Bond Resolution. In addition to the requirements provided herein, the 1993 (Series A) Bonds may only be issued and sold if the following conditions are met at closing:
(1) No Default has occurred and is continuing;
(2) There is no deficiency in the Redemption Fund or the Reserve Account;
(3) The City has on file in the Treasurer's office a report of an independent, consulting engineer that the schedule of rates and charges which have been previously authorized by the City are sufficient to produce, on a pro forma basis, Net Operating Revenue in the fiscal year immediately following the fiscal year in which the 1993 (Series A) Bonds are to be issued at least equal to 1.20 times the Maximum Annual Debt Service on all outstanding Bonds, including the proposed 1993 (Series A) Bonds; and
(4) There shall be deposited in the Reserve Account an amount sufficient to bring the amount on deposit therein up to the Maximum Annual Debt Service on all Bonds.
Section 6. Rate Covenant. The City covenants that it will charge fees in connection with the operation of the Water and Sewer Facilities which are projected to generate Net Operating Revenue at least equal to 1.20 times the Maximum Annual Debt Service on all outstanding Bonds.
Section 7. Sale of 1993 (Series A) Bonds. The 1993 (Series A) Bonds shall be sold by the City for not less than ninety-eight percent (98%) of par plus accrued interest, and pursuant to such other terms and conditions and at a competitive public sale to be held at such time as the Mayor and the Treasurer shall determine to be in the best interest of the City.
In connection with such sale the Treasurer is hereby authorized and directed to cause a Notice of Sale in substantially the form of Exhibit B attached hereto (or a summary thereof), to be published once in a financial newspaper published in New York City, New York and in a newspaper of general circulation in the City of Wilmington and The City of Dover, Delaware at least seven days prior to the sale date.
Section 8. The Preliminary Official Statement and Official Statement. The Preliminary Official Statement with respect to the sale and issuance of the 1993 (Series A) Bonds as presented to Council at this meeting is hereby approved in substantially the form presented, and its distribution to prospective purchasers of the 1993 (Series A) Bonds is hereby authorized. The Mayor and the City Treasurer are hereby authorized to execute the Preliminary Official Statement in the name of the City, to supervise its distribution to prospective purchasers of the 1993 (Series A) Bonds prior to the availability of the final Official Statement (the "Official Statement") and to make changes thereto to the date of delivery of said 1993 (Series A) Bonds to make the information therein not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements therein, in light of the circumstances under which they are made, not misleading.
The Official Statement, to be in substantially the form of the Preliminary Official Statement presented to this meeting with appropriate modifications for interest rates, maturities and the like, is hereby approved and its distribution to prospective purchasers is hereby authorized. The Mayor and City Treasurer are hereby authorized to execute the Official Statement in the name of the City, to supervise its distribution to prospective purchasers of the 1993 (Series A) Bonds and to make any changes thereto to the date of delivery as aforesaid with respect to the Preliminary Official Statement.
Section 9. Notice of Bond Resolution. The City Clerk is directed to publish once in a newspaper published in the City a notice in substantially the following form:
"Notice is hereby given that a resolution entitled as follows:
"Resolution Authorizing the Issuance and Sale By The City of Dover of Water and Sewer Revenue Bonds in an Aggregate Principal Amount of up to $4,596,000 for improvements to its Water and Waste Water Systems" was duly adopted by the City Council of The City of Dover, Delaware on August 9, 1993. The purpose of the issuance of said bonds is to provide funds for certain improvements to its water and waste water systems in The City of Dover. Any action or proceeding to contest the validity of said resolution or any of its provisions must be commenced within thirty (30) days after publication of this notice. After expiration of such period of limitation, no right of action or defense founded upon the invalidity of said resolution or any of its provisions shall be asserted, nor shall the validity of said resolution or any of its provisions be open to question in any court upon any ground whatsoever, except in an action or proceeding commenced within such period.
By order of the City Council of The City of Dover.
______________________________
City Clerk"
Section 10. Changes and Modifications. The Council hereby authorizes the Mayor and the City Treasurer to make such changes and modifications to the terms and conditions outlined herein in connection with the issuance and sale of Water and Sewer Revenue Bonds, 1993 (Series A), including, without limitation, the establishment of maturities and payment terms, the date of sale and the redemption features, as they determine to be in the best interests of the City. The Mayor is further authorized to take all appropriate action to carry out the intent of this Resolution.
Section 11. Tax Covenants. The City covenants for the benefit of the owners of the 1993 (Series A) Bonds (I) that no use of the proceeds of the 1993 (Series A) Bonds or the earnings thereon will be made, and no other action will be taken, which would cause said Bonds to be "arbitrage bonds" within the meaning of Section 148(a) of the Internal Revenue Code of 1986, as amended (the "Code"), (ii) that all action with respect to said Bonds required to be taken to avoid characterization of said bonds as "arbitrage bonds" under Section 148 of the Code shall be taken, (iii) that the City will take all reasonable steps to ensure that interest on said Bonds is not included in gross income of the owner of any such Bond for purposes of federal income taxation and (iv) that the City will take no action to cause said Bonds to become "private activity bonds" as that term is used in Section 141(a) of the Code.
APPROVED by the Council of The City of Dover, the day of , 1993.
______________________________
City Clerk
The City of Dover
APPROVED by the Mayor of The City of Dover, the __________ day of , 1993.
______________________________
Mayor, The City of Dover
No. R_______ $_____________
EXHIBIT A
STATE OF DELAWARE
KENT COUNTY
THE CITY OF DOVER
WATER AND SEWER REVENUE BOND, 1993 (SERIES A)
INTEREST RATE MATURITY DATE DATED DATE CUSIP
REGISTERED OWNER:
PRINCIPAL AMOUNT: DOLLARS
THE CITY OF DOVER, in the County of Kent, State of Delaware, for value received, hereby promises to pay, solely from the sources hereinafter described, to the registered owner named above, or registered assigns or legal representative, the Principal Amount identified above on the Maturity Date stated above unless this Bond shall have been previously called for redemption and payment of the redemption price shall have been duly made or provided for, and solely from the same sources, to pay interest on such Principal Amount from the interest payment date next preceding the date of registration and authentication of this Bond, unless this Bond is registered and authenticated as of an interest payment date, in which event this Bond shall bear interest from such interest payment date or unless this Bond is registered and authenticated prior to July 1, 1994, in which event this Bond shall bear interest from the Dated Date indicated above, or unless interest on the hereinafter referred to Bonds shall be in default in which event this Bond shall bear interest from the last date to which interest has been paid, at the rate specified above payable semiannually on January 1 and July 1 of each year, commencing July 1, 1994, until payment of such Principal Amount shall have been made.
Principal, and any premium, and interest with respect to this Bond shall be payable in lawful money of the United States of America. Interest shall be paid by check or draft mailed to the registered Owner as shown on the bond register on the fifteenth day of the month prior to the payment date. The Principal Amount shall be payable when due upon presentation and surrender of this Bond by the Registered Owner at the offices of the Registrar and Paying Agent.
In the event that this Bond is held by or registered in the name of a securities depository or other agent or nominee of a beneficial owner, by purchase of a Bond the Bondholder agrees that the City will have no responsibility or liability for any action or inaction by the depository or other agent or nominee in connection with the Bond.
The 1993 (Series A) Bonds maturing on or after July 1, _____ are subject to redemption, at the option of the City, prior to maturity, in whole or in part at any time on or after July 1, in any order of maturity selected by the City at the following prices (expressed as a percentage of the principal amount redeemed) plus interest accrued to the redemption date:
Redemption Date
(Dates inclusive) Redemption Price
, ____ through , ____ %
, ____ through , ____
, ____ through , ____
, ____ through , ____
, ____ and thereafter
Notice of redemption shall be mailed by certified mail, postage prepaid, to the registered owner (as shown on the books of the Registrar on the Record Date selected by the City) of the Bonds to be redeemed not less than thirty days prior to the intended redemption date; however, any failure to give notice shall not invalidate the redemption of the 1993 (Series A) Bonds for which proper notice has been given. All Bonds called for redemption shall cease to bear interest from the date designated in the redemption notice and shall cease to be entitled to the lien and benefits of the hereinafter described Resolution provided that funds sufficient for their redemption are on deposit on the redemption date.
This Bond is one of the Water and Sewer Revenue Bonds, 1993 (Series A) of The City of Dover (the "Bonds"), and is issued by The City of Dover for the purpose of providing funds for improvements to its water and waste water systems, and is issued in full and strict accordance and compliance with all of the provisions of the Charter of The City of Dover, the Constitution and statutes of the State of Delaware (the "Enabling Acts"), and a Resolution of City Council adopted February 27, 1989, as amended, including by a Resolution adopted August 9, 1993 (the "Resolution").
The City may issue Parity Bonds to finance the construction, completion, repair and improvement of water and waste water facilities or the refunding of outstanding Bonds upon meeting certain conditions set forth in the Resolution which Parity Bonds shall rank on a parity with the 1993 Series A Bonds and other Bonds issued under the Resolution in the lien and benefits of the Resolution.
This Bond is not a general obligation or debt of The City of Dover but is payable solely from the Net Operating Revenue of the Water and Sewer Facilities as provided in the Resolution and the owner hereof has no right to compel the levy of any tax for the payment of this Bond or the interest to accrue hereon. The City of Dover covenants and agrees with the holder of this Bond that it will keep and perform all of the covenants of this Bond and the Enabling Acts. The City of Dover has pledged the Net Operating Revenue of the Water and Sewer Facilities to the payment of principal and interest on this Bond.
The 1993 (Series A) Bonds are issuable in the form of registered bonds without coupons in the denominations of $5,000 or any integral multiple thereof. The owner of any registered Bond or Bonds may surrender the same (together with a written instrument of transfer satisfactory to the City duly executed by the registered owner or his duly authorized attorney) at the office of the Paying Agent and Registrar of the City, in exchange for an equal aggregate principal amount of registered Bonds, of the same maturity and of any other authorized denominations in the manner, subject to the conditions and upon the payment of the charges provided in the Enabling Acts.
Any transfer of this Bond must be registered, upon the Bond Register kept for that purpose at the office of the Paying Agent and Registrar of the City by the registered owner hereof in person, or by his attorney duly authorized in writing, upon surrender of this Bond together with a written instrument of transfer satisfactory to the City duly executed by the registered owner or his attorney duly authorized in writing, and thereupon a new registered bond or bonds, of the same series and maturity and in the same aggregate principal amounts, shall be issued to the transferee in exchange herefore as provided in the Resolution free of charge except for any applicable transfer tax or other governmental charge. The City may deem and treat 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 hereof and interest due hereon and for all other purposes, as provided in the Resolution.
IN TESTIMONY WHEREOF, the Council of The City of Dover has caused this Bond to be executed with the manual signatures of its Mayor and Treasurer, and has caused the City's corporate seal to be printed or affixed hereto, all as of the _____ day of _____________, 1993.
Mayor, The City of Dover
(SEAL)
Treasurer, The City of Dover
ASSIGNMENT
For the value received, the undersigned sells, assigns and transfers unto _______________ the within Bond and does hereby irrevocably constitute _____________________ attorney to transfer the said Bond on the books kept for registration of said Bonds, with full power of substitution in the premises.
DATED: Signature of Registered Owner
NOTICE: The signature(s) to this assignment must correspond with the name as it appears on the face of the within Bond in every particular, without alteration or enlargement or any change whatsoever.
Signature Guaranteed:
NOTICE: Signature(s) must be guaranteed by a member of firm of the New York Stock Exchange or a commercial bank or trust company.
Debrah J. Boaman
City Clerk
Exhibit B
NOTICE OF SALE
$4,596,000
THE CITY OF DOVER, DELAWARE
Water and Sewer Revenue Bonds, 1993 (Series A)
Notice is hereby given that The City of Dover will receive sealed proposals for the purchase of all, but not less than all, of the Bonds referred above (the "Bonds") of THE CITY OF DOVER (the "City"), at the offices of Potter Anderson & Corroon, 350 Delaware Trust Building, 902 Market Street, Wilmington, Delaware 19801, until 11:00 o'clock A.M., Eastern Standard time on __________ (or on such later date as the City shall announce to interested bidders) at which time and place all proposals will be publicly opened. Bids may be telecopied to (302) 658-1192. The bidder bears the risk of any delay of any telecopied bid.
Description of Bonds: The Bonds will be dated ________, 1993. Interest on the Bonds will be payable semiannually on each January 1 and July 1, commencing July 1, 1994. Interest and principal on the Bonds shall be forwarded to The Depository Trust Company ("DTC") as the record owner of the Bonds. The Bonds will mature on July 1 in amounts, and in the years as follows:
Maturity
Date Amount Date Amount
1995 2005
1996 2006
1997 2007
1998 2008
1999 2009
2000 2010
2001 2011
2002 2012
2003 2013
2004 2014
Interest Rates and Award of Bonds: Bids must be submitted on Official Bid Forms, without modification or change. Bidders are invited to name the rate or rates of interest which the Bonds are to bear. Each rate named must be a multiple of one-eighth or one-twentieth of one per centum per annum. Each proposal should be enclosed in a sealed envelope marked "Proposal for Bonds" and should be addressed to the undersigned as Treasurer, The City of Dover. The Bonds will bear interest at the rate or rates per annum named in the proposal accepted. No proposal for less than all of the Bonds and no proposal offering to pay less than 98% of par, plus accrued interest on the Bonds will be considered. The proposal may name one rate for part of the Bonds and another rate or rates for the balance of the Bonds. The difference between the lowest and highest rates named in the proposal shall not exceed four per centrum, such rates to be in ascending order. Any rate must be for an entire maturity in any one year.
The Bonds will be awarded to the bidder who offers to buy the Bonds at the lowest true interest cost, expressed in dollars, to the City. The lowest true interest cost will be determined by doubling the semiannual interest rate necessary to discount the semiannual debt service payments from the payment dates to the date of the Bonds (September 1, 1993) and to the price bid, excluding interest accrued to the date of delivery. The City reserves the right to waive any irregularity or informality in any proposal and to reject any and all proposals. All proposals shall remain firm for four (4) hours after the time specified for the opening of the proposals, and an award of the Bonds or rejection of the proposals will be made by the City within such period of time.
Good Faith Check: Each Bid must be accompanied by a certified or bank treasurer's or cashier's check for $45,960, payable to the order of The City of Dover, Delaware, to secure the City against any loss resulting from a failure of the bidder to comply with the terms of its bid. The check of the bidder whose proposal is accepted will be deposited by the City and credited to the purchase price and the purchaser will be allowed no interest with respect thereto. Checks of unsuccessful bidders will be returned upon the award of the Bonds.
Book Entry Form of Issue: The Bonds will be issued in book-entry form with no physical distribution of Bond certificates made to the public. One Bond certificate for each maturity will be issued in the name of The Depository Trust Company ("DTC") or its nominee and immobilized in its custody. A book-entry system will be employed showing ownership of the Bonds in principal amounts of $5,000 or integral multiples thereof, with transfers of beneficial ownership effected on the records of DTC (and its participants) pursuant to rules and procedures established by DTC. The winning bidder, as a condition to delivery of the Bonds, shall be required to deposit the Bond Certificates with DTC registered in the name of Cede & Co. a nominee of DTC. The City does not presently intend to apply for listing of the Bonds on the New York Stock Exchange. By purchase and acceptance of a Bond, a Bondholder agrees that the City shall have no responsibility or liability for any action or inaction by DTC or any of its participants or nominees in connection with the Bonds.
It is anticipated that CUSIP identification numbers will be assigned to each maturity of the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto shall constitute cause for a failure or refusal by the purchaser thereof to accept delivery of or pay for the Bonds in accordance with the terms of the purchase contract.
Interest on Bonds: Interest on the Bonds is payable by wire transfer to DTC or its nominee. Principal on the Bonds will be payable to DTC in exchange for the applicable Bonds. Principal and interest are payable in any coin or currency of the United States of America, which at the time of payment is legal tender for the payment of public and private debts.
Optional Redemption: Bonds maturing on or after __________ are subject to redemption in any order selected by the City on or after ____________, in whole at any time, or in part on any interest payment date, at a redemption price equal to the percentage of the principal amount set forth below plus accrued interest to the redemption date:
Redemption Dates Redemption Prices
through %
through
and thereafter
Notice of Redemption: Notice of any redemption will be mailed to DTC, New York, New York as registered owner of the Bonds thirty (30) days prior to the redemption date. If less than all of the Bonds of any maturity shall be called for redemption, the particular Bonds to be redeemed shall be selected by lot.
Security: The Bonds will be payable solely from and are secured by a pledge of the Net Operating Revenue of the City's Water and Sewer System. An amount equal to the maximum annual debt service on the Bonds will be held in a Reserve Account as additional security for the Bonds. The Bonds will not constitute a general obligation of the City and will not be payable from City taxes.
Bond Delivery, Legal Opinion and Closing Certificates: The Bonds are expected to be delivered on or about ___________, 1993 through the facilities of DTC, in New York, New York. The City will make available to the purchaser, without costs to the purchaser, at the time the Bonds are paid for, the opinions and certificates referred to under the caption "Opinions and Certificates Available on Delivery of Bonds" in the Preliminary Official Statement dated ____________, 1993 prepared and distributed by the City in connection with the offering for sale of the Bonds.
Certification of Issue Price: In order to provide the City with information required to enable it to comply with certain requirements of the Internal Revenue Code of 1986 relating to the exclusion of interest on the Bonds from gross income for federal income tax purposes, the successful bidder will be required to execute and deliver to the City at the time of delivery of the Bonds a certificate as to the "issue price" in substantially the form available from the City. In the event a successful bidder will not offer the Bonds for sale or is unable to sell a substantial amount of the Bonds by the date of delivery, such certificate may be modified in a manner approved by the City. Each bidder, by submitting its bid, agrees to execute and deliver such a certificate, if its bid is accepted by the City. It will be the responsibility of the successful bidder to institute such syndicate reporting requirements, to make such investigation, or otherwise to ascertain the facts necessary to enable it to make such certification with reasonable certainty.
Copies of the Preliminary Official Statement and additional information relative to the City, the Notice of Sale and the Bid Form may be obtained from Mr. Mike C. Karia, Treasurer/Finance Director, City Hall, Dover, Delaware 19901 (telephone 302-736-7019). At the request of the successful bidder, the City will furnish, without cost, at the time the Bonds are delivered, up to 100 copies of the Official Statement. It is expected that the Bonds will be rated by Moody's Investors Service, Inc.
MIKE C.KARIA
City Treasurer
The City of Dover, Delaware
Dated: ___________, 1993
BID FORM
Mr. Mike C. Karia
City Treasurer, The City of Dover
c/o Potter Anderson & Corroon
350 Delaware Trust Bldg.
902 Market Street Mall
Wilmington, DE 19801
Dear Sir:
Subject to the provisions and in accordance with the terms of the City's Notice of Sale dated ______________, 1993 which is hereby made a part of this bid, we make the following bid for the $_____________ Water and Sewer Revenue Bonds, 1993 (Series A), of The City of Dover, Delaware, described in said Notice of Sale (the "Bonds") this bid being for not less than all of the Bonds.
For all of the Bonds maturing and bearing interest as described below we will pay the par value thereof less a discount of $_____________ (or plus a premium of $_____________), plus accrued interest from the date of the Bonds to the date of payment of the purchase price, at the rates borne by the Bonds, provided the Bonds mature on July 1, in the aggregate principal amounts, in the years, and bear interest at the rate or rates per annum as follows:
PrincipalInterest PrincipalInterest