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HomeMy WebLinkAboutDECEMBER 9, 1976 SPECIAL SESSIO MEETING OF TIIE SPI,]CIAL T,,IEETITIG OF THE HONORABLE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA December 9, 1976 A Special Meeting of the Council of the City of Virginia Beach, Virginia, was held in the Council Cha,,nbers, Administration Building, Princess Anne Borough, on Thursday, December 9, 1976, at 11:30 a.m. Council Members present: John A. Baum, Robert B. Crordwell, Jr., George R. Ferrell Meyera E. Oberndorf, J. Curtis Payne, Vice Mayor Patrick L. Standing, and Floyd E. Ivaterfield, Jr. Council Members absent: John R. Griffin, Mayor Clarence A. lIolland, J. Henry McCoy, Jr., and Roger L. Riggs ITEM #10274 The City Clerk read the following Public Notice: On the 29th day of November, 1976, the Council of the City of Virginia Beach, Virginia, adopted a resolution entitled "Resolution Authorizing the Issuance and Sale of $16,000,000 Public Improvement Bonds, Series of 1976, of the City of Virginia Beach, Virginia, Heretofore Authorized, and Providing for the Form, Details and Payment Thereof." The purposes for which the bonds are to be issued and the amount for each purpose are as follows: Improve and extend streets & highways $ 2,748,000 Site improvernents for Community College 250,000 Construction and improvements of surface drainage systems 466,000 Planning, construction, site acquisition and improvements, enlargements and equipping of school facilities and school administration building 5,000,000 Planning, purchase or construction, site improvements, enlarge-ments and equipping of municipal buildings, including branch libraries, fire station, ground maintenance headquarters and storage building, operations building, social services building, arts and conference center and Rose Hall 4,666,000 Planning, purchase or construction, site improvements and equipping of parks and recreation facilities, including construction or renovation and equipping of recreation center, tennis complex and community center and purchase of and site improvements to park land - 2,870,000 Total s 6,00(J,000 Any amounts not needed for any such purposes may be used for any other of such purposes. By Order of the Council of the City Gf)Virginia, Beach, Virginia. Rici@h' P. n Clerk, C Vi rginia Beach, Virginia The City Clerk further stated that on December 6, 1976, at a regularly scheduled meeting of the Council, a motion was voted on and adopted authorizing the City Council to meet on Thursday, December 9, 1976, at 11:30 a.m., for the purpose of receiving bids in accordance with the Public Nbtice prbviously read. ITEM #10275 The City Clerk read the following letter from the City 14anager: December 9, 1976 The Honorable Mayor Members of the Council Dear Council Members: At 11:00 a.m. today sealed bids were opened in my office for the receipt of City Council's proposed sale of $16 million Public Iniprovement Bonds. The average net interest costs were as follows: Northern Trust Co. & Associates 4.803472% Morgan Guarnty Trust Co. 4.8159 % Harris Trust & Savings Bank 4.8223 % First National Exchange Bank of Virginia 4.901622% Northern Trust Co. & Associates was the apparent low bidder. All calculations have been reviewed by Mr. Giles G. Dodd, Assistant to the City Manager for Finance and Research, and officials of the firm of Wainwright and Ramsey. Certificate of calculations is, therefore, confirmed and it is recommended that City Council award the sale of the bonds to Northern Trust C,. & Associates. As a matter of interest, I feel City Council should be informed that, because of our excellent borid rating and because of the confidence investors have in the sound financial policies of the City Council of virginia Beach, we were able to receive this exceptionally low rate. The Daily Bond Buyer publishes each week an index of selected 20-year general obligation bonds such as we are selling. The most recent index is 6.03%. Comparing this interest rate with the one received, City Council has been able to "beat the market" by a savings of approximately $2,173,000.00. Ver@ruly yours, Hanbury er GLFI: gs On motion by Councilman Payne, seconded by Councilman Cromwell, and by recorded vote as follows: Ayes: Council Members John A. Baum, Robert B. Cromwell, Jr., George R. Ferrell, Meyera E. Oberndorf, J. Curtis Payne, Vice Mayor Patrick L. Standing, and Floyd E. Waterfield, Jr. Nays: None Absent: Councilmen John R. Griffin, Mayor Clarence A. IIolland, J. Henry McCoy, Jr., and Roger L. Riggs City Council voted to accept the bid of Northern Trust Company and Associates for $16 Million in Public Improvement Bonds, Series of 1976, at an interest rate of 4.80347-0. ITEIA @410276 On motion by Councilman Payne, seconded by Councilman Waterfield, and by acclamation, the meeting adjourned. R, a d bbon, City Clerk Clarence A. Holland, Mayor City of Virginia Beach, Virginia December 9, 1976 Special Meeting