Resolution 2344
r .
JHHW:RJH:cp 05/04/84 0173R
RESOLUTION NO. 2344
A RESOLUTION DETERMINING UNPAID ASSESSMENTS
AND PROVIDING FOR ISSUANCE OF BONDS
SUPPLEMENTAL ASSESSMENT DISTRICT 1971-1A
RESOLVED, by the Board of Directors of the South Tahoe Public Utility
District, County of El Dorado, California, that
WHEREAS, on April 5, 1984, this Board passed and adopted Resolution of
Intention No. 2329 relating to the acquisition and/or construction of public
improvements under and pursuant to the provisions of the Municipal Improvement
Act of 1913, and therein provided that serial bonds would be issued thereunder
pursuant to the provisions of the Improvement Bond Act of 1915, reference to
said Resolution of Intention hereby being expressly made for further
particulars;
WHEREAS, notice of the recordation of the assessment and of the time
within which assessments were to be paid in cash was duly published and mailed
in the manner provided by law, and the time so provided for receiving payment
of assessments in cash expired, and the official who has been designated as
Collection Officer for cash payments of said assessments has filed with the
District, a list of all assessments which remained unpaid; and
WHEREAS, this Board duly considered said list and determined that the
same was an accurate statement thereof;
NOW, THEREFORE, IT IS HEREBY DETERMINED AND ORDERED, as follows:
1. List of Unpaid Assessments. The assessments now remaining unpaid
are as shown on said list and on Exhibit "A" attached hereto and by this
reference made a part hereof; the aggregate amount thereof is $166,114.15;
and for a particular description of the lots or parcels of land bearing the
respective assessment numbers set forth in said list, reference is hereby made
to the assessment and to the diagram recorded in the office of the District
Engineer of this District after confirmation thereof by this Board.
2. Issuance of Bonds. Bonds in the aggregate principal amount of
$166,114.15 shall be issued as hereinafter provided upon the security of
said unpaid assessments in accordance with the provisions of the Improvement
Bond Act of 1915 (Division 10 of the California Streets and Highways Code) and
under and pursuant to the provisions of said Resolution of Intention and the
proceedings thereunder duly had and taken. The bonds herein provided to be
issued shall be known as "Improvement Bonds, South Tahoe Public Utility
District, Supplemental Assessment District 1971-A, Series 1984-1", and shall
be dated July 1 , 1984. Said bonds shall be issued only in fully registered
form in denominations of $1,000 or any integral multiple thereof, except that
one bond may include the amount of $1,114.15and shall mature in the amounts
and on the dates and at the rates of interest set forth in Exhibit "B"
attached hereto and by this reference made a part hereof. Said bonds shall be
assigned a separate letter prefix for each maturity, and within each maturity
shall be numbered consecutively from 1 upwards.
3. Payment of Bonds and Designation of Agent. Said bonds shall bear
interest at the rate or rates determined by this Board at the time of sale of
said bonds (not to exceed twelve percent (12%) per annum, payable commencing
on January 2, 1985, and semiannually thereafter on July 2 and January 2 of
each year to maturity.
Each bond shall bear interest from the interest payment date next
preceding the date on which it is authenticated and registered, unless
2
authenticated and registered (i) prior to an interest payment date and after
the close of business of the fifteenth day preceding such interest payment
date, in which event it shall bear interest from such interest payment date,
or (ii) prior to the close of business on the fifteenth day of the month
preceding January 2, 1985, in which event it shall bear interest from its
date; provided, however, that if at the time of authentication interest is in
default, each bond shall bear interest from the date to which interest has
been paid. Each bond will continue to bear interest after maturity at the
rate stated therein, provided it is presented at maturity and payment thereof
is refused on the sole ground that there is not sufficient money in the
redemption fund with which to pay same; if it is not presented at maturity,
interest thereon will run only until maturity.
Bank of America National Trust and Savings Association is hereby
designated as the Transfer Agent, Registrar and Paying Agent (hereinafter the
"Agent"). The principal and redemption premium of said bonds shall be payable
in lawful money of the United States of America at the Securities Services
Division of the Agent in San Francisco, California upon the presentation and
surrender of said bonds as the same become due and payable. Interest on said
bonds shall be paid to the registered owner by check or draft mailed to the
address entered in the registry book provided for herein as of the fifteenth
(15th) day immediately preceding each interest payment date.
4. Form. The bonds shall be substantially in the form set forth in
Exhibit "C" hereto.
5. Execution. Said bonds shall be executed on behalf of the District
and under its official seal by its Treasurer and by its Clerk and ex-officio
Secretary, whose signatures shall be reproduced on the bonds by engraved,
3
printed or lithographed facsimile thereof, and the official seal may be placed
on the bonds in like manner; such signing and sealing shall constitute and be
a sufficient and binding execution of each and every one of said bonds. The
bonds shall then be delivered to the Agent for authentication by it.
If any officer whose signature appears on said bonds ceases to be such
officer before the authentication and delivery of said bonds to the purchaser
thereof, such signature shall be as valid as if such officer had remained in
office until the authentication and delivery of said bonds.
6. Authentication. Only such of the bonds as shall bear thereon a
certificate of authentication substantially in the form below, manually
executed by the Agent, shall be valid or obligatory for any purpose or
entitled to the benefits of this Resolution, and such certificate of the Agent
shall be conclusive evidence that the bonds so authenticated have been duly
executed, authenticated and delivered hereunder and are entitled to the
benefits of this resolution. The Agent's certificate of authentication on any
bond shall be deemed to be executed by it if signed by an authorized officer
or signatory of the Agent, but it shall not be necessary that the same officer
or signatory sign the certificate of authentication on all of the bonds issued
hereunder.
[FORM OF CERTIFICATE OF AUTHENTICATION AND REGISTRATION]
This is one of the bonds described in the Resolution Determining Unpaid
Assessments and Providing for Issuance of Bonds, which has been registered
on ,
BY
Authorized Officer
4
7. Preparation and Delivery of Bonds. The Treasurer of the South
Tahoe Public Utility District is hereby directed to cause said bonds to be
prepared in accordance with this resolution and to deliver same upon their
completion and execution to the Agent who shall authenticate and deliver said
bonds to the purchaser thereof, upon receipt of the purchase price therefor,
and upon the performance of the conditions contained in the accepted bid for
the bonds.
8. Improvement Fund. Said Treasurer shall keep an improvement fund
designated by the name and/or number of the improvement or assessment
district, into which shall be placed the proceeds received from the sale of
said bonds, including any premium (except that any interest accrued from the
date of the bonds to the date of delivery thereof shall be placed in the
redemption fund provided for herein). All monies in said fund shall be
withdrawn only upon checks or warrants of the South Tahoe Public Utility
District and shall be applied exclusively to the payment of the cost of the
acquisitions and/or construction of the improvements described in the
proceedings under and pursuant to said Resolution of Intention, as now or
hereafter changed or modified by appropriate legal proceedings, and all
expenses incidental thereto. Any surplus remaining after payment of all costs
and all legal charges, claims and expenses shall be used as set forth in said
proceedings.
9. Redemption Fund. Said Treasurer shall keep a redemption fund
designated by the name of the bonds, into which shall be placed any accrued
interest for the period from the date of said bonds to the date of delivery
thereof and all sums received from the collection of unpaid assessments
provided for in Section 10 hereof, and of the interest and penalties thereon,
5
and from which fund disbursement shall be made to pay the principal or advance
redemption price of the bonds and the interest due thereon.
10. Collection of Unpaid Assessments. The unpaid assessments shown on
said list, together with the interest thereon, shall be payable in annual
series corresponding in number to the number of serial maturities of the bonds
issued. An annual proportion of each unpaid assessment shall be payable in
each year preceding the date of maturity of each of the several series of
bonds issued, sufficient to pay the bonds when due, and such proportion of
each unpaid assessment coming due in any year, together with the annual
interest thereon, shall be payable in the same manner and at the same time and
in the same installments as the general taxes on real property are payable,
and become delinquent at the same times and in the same proportionate amounts
and bear the same proportionate penalties and interest after delinquency as do
the general taxes on real property. All sums received from the collection of
said unpaid assessments and of the interest and penalties thereon shall be
placed in the redemption fund provided for herein.
11. Redemption Prior to Maturity. Each bond outstanding may be
redeemed and paid in advance of maturity upon the second day of January or
July in any year by giving at least 60 days notice and by paying the principal
amount thereof together with a premium equal to 5% of the principal plus
interest to the date of advanced maturity, unless sooner surrendered, in which
event said interest will be paid to the date of payment, all in the manner and
as provided in the Improvement Bond Act of 1915.
The provisions of Part 11.1 of the Improvement Bond Act of 1915 are
applicable to the advance payment of assessments and to the calling of said
bonds.
6
The Treasurer shall call for redemption and retire bonds upon prepayment
of assessments in amounts sufficient therefor, or whenever sufficient surplus
funds are available therefor in the redemption fund. In selecting bonds for
retirement, the lowest numbered bonds of the various annual maturities shall
be chosen pro rata in a manner intended to disturb as little as possible the
relationship of unpaid assessments to bonds outstanding.
12. Exchange of Bonds. Any bond, upon surrender thereof at the office
of the Agent, together with an assignment duly executed by the registered
owner thereof or his attorney or legal representative in such form as shall be
satisfactory to the Agent, may, at the option of such owner, be exchanged for
an aggregate principal amount of bonds equal to the principal amount of the
bond so surrendered, and of any authorized denomination or denominations.
The District shall make provision for the exchange of bonds at the
office of the Agent.
13. Negotiability, Registration and Transfer of Bonds. The Agent shall
keep books for the registration, and for the registration of transfers, of
bonds as provided in this resolution which shall at all times be open to
inspection by the District. The transfer of any bond may be registered only
upon such books upon surrender thereof to the Agent together with an
assignment duly executed by the owner or his attorney or legal representative
in such form as shall be satisfactory to the Agent. Upon any such
registration of transfer the District shall execute and the Agent shall
authenticate and deliver in exchange for such bond a new bond or bonds
registered in the name of the transferee, of any denomination or denominations
authorized by this resolution, and in an aggregate principal amount equal to
the principal amount of such bond or bonds so surrendered.
7
,r In all cases in which bonds shall be exchanged the District shall
execute and the Agent shall authenticate and deliver at the earliest
practicable time bonds in accordance with the provisions of this resolution.
All bonds surrendered in any such exchange or registration of transfer shall
forthwith be cancelled by the Agent. The District or the Agent may make a
charge for every such exchange or registration of transfer of bonds sufficient
to reimburse it for any tax or other governmental charge required to be paid
with respect to such exchange or registration of transfer, but no other charge
shall be made to any owner for the privilege of exchanging or registering the
transfer of bonds under the provisions of this resolution. Neither the
District nor the Agent shall be required to make such exchange or registration
of transfer of bonds during the fifteen (15) days immediately preceding any
January 2 or July 2.
14. Ownership of Bonds. The person in whose name any bond shall be
registered shall be deemed and regarded as the absolute owner thereof for all
purposes and payment of or on account of the principal, and redemption
premium, if any, of any such bond, and the interest on any such bond, shall be
made only to or upon the order of the registered owner thereof or his legal
representative. All such payments shall be valid and effectual to satisfy and
discharge the liability upon such bond, including the redemption premium, if
any, and interest thereon to the extent of the sum or sums so paid.
15. Advances from Available Surplus Funds. The District shall be the
purchaser of property upon which payment of an annual installment of principal
and interest due upon any of said unpaid assessments is delinquent, in like
manner in which it becomes or may become the purchaser of property sold for
the nonpayment of general taxes, and shall transfer from available surplus
8
rr► funds into the redemption fund for said bonds, as an advance recoverable upon
sale or redemption of the property, the amount of the delinquent unpaid
assessment installment upon which said sale is made. The District shall also
pay and transfer from available surplus funds into said redemption fund, as an
advance recoverable upon sale or redemption of the property, the amount of any
future delinquent unpaid assessment installments on _such property pending
redemption.
16. Reserve Fund. Upon placement of the proceeds from the sale of said
bonds in the improvement fund, the Treasurer shall forthwith transfer the sum
of $ 16,611.42 from said fund into a special reserve fund, which shall be
designated by the name and/or number of the improvement or assessment
district. The money in said special fund shall be administered by the
District in accordance with and pursuant to the provisions of Part 16 of the
Improvement Bond Act of 1915; provided, that proceeds from redemption or sale
of the properties with respect to which payment of delinquent assessments and
interest thereon was paid from the reserve fund, shall be credited to the
reserve fund; and provided, further, that for the purposes of (1) assuring
that the bonds to be issued will not become arbitrage bonds as defined in the
Internal Revenue Code of 1954, as amended (Title 26 of the United States Code)
and regulations promulgated thereunder by the Department of Treasury, and (2)
providing for reduction of the amount of money in the reserve fund during the
term of the bonds pursuant to Section 8887 of the California Streets and
Highways Code, all proceeds from investment of monies in the reserve fund
shall be credited upon the assessments. In the event that the crediting of
any portion of such proceeds upon assessments not theretofore paid in full in
cash would result in monies in the bond redemption fund remaining therein for
9
r a period of more than twelve (12) months, then any portion of such proceeds
which would otherwise remain in the bond redemption fund for a period of more
than twelve (12) months shall be used to call bonds prior to their maturity
date on the earliest call date next succeeding the deposit thereof in the
redemption fund.
17. Investment of Funds. Monies in the Redemption Fund, the Reserve
Fund and the improvement fund shall, whenever practicable, be invested in
legal investments for the South Tahoe Public Utility District under applicable
law for the monies held pursuant to this resolution at the time when any of
such monies are to be invested therein. Any income therefrom or interest
thereon shall accrue to and be deposited in the fund from which said monies
were invested, except as otherwise provided in Section 16.
18. Covenant to Foreclose. The District hereby covenants with and for
the benefit of the holders of the bonds that it will order, and cause to be
commenced within 150 days following the date of delinquency, and thereafter
diligently prosecuted, an action in the superior court to foreclose the lien
of any assessment or installment thereof not paid when due, pursuant to and as
provided in Sections 8830 through 8835, inclusive, of the Streets and Highways
Code of the State of California.
19. Non-Arbitrage Covenant. The District hereby covenants with the
owners of the bonds that it will make no use of the proceeds of said bonds at
any time during the term thereof which, if such use had been reasonably
expected on the date said bonds were issued, would have caused said bonds to
be arbitrage bonds within the meaning of Section 103(c) of the Internal
Revenue Code of 1954, as amended, and the Treasury Regulations promulgated
thereunder.
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20. Certificate as to Non-Arbitrage. On the basis of the facts,
estimates and circumstances now in existence and in existence on the date of
issue of said bonds, as determined by the Treasurer, said Treasurer is
authorized and directed to certify that it is not expected that the proceeds
of said issue will be used in a manner that would cause such obligations to be
arbitrage bonds. Such certification shall be delivered to the purchaser of
said bonds at the time of delivery of and payment for said bonds.
21. Certified Copies. The Clerk and ex-officio Secretary shall furnish
a certified copy of this resolution to the Treasurer, to the Agent and to the
Auditor of the County of El Dorado.
M
OPresident
ATTEST:
Clerk and ex of 'cio Secretary
I hereby certify that the foregoing is a full, true and correct copy of
Resolution No. 2344 duly and regularly adopted by the Board of Directors of
the South Tahoe Public Utility District, E1 Dorado County, California, at a
meeting thereof duly held on the 21st day of June 1984, by the
following vote:
AYES, and in favor thereof, Directors: Madden, Wynn, Olson, Jones and
Mason
NOES, Directors: None
ABSENT, Directors: None
Clerk and ex of icio Secretary
South Tahoe Public Utility District
11
LIST OF UNPAID ASSESSMENTS
-SOUTH TAHOE•PUBLIC UTILITY DISTRICT
SUPPLEMENTAL ASSESSMENT DISTRICT 1971-A, SERIES 1984-1
Assessment Assessor's Amount of
Number Parcel No. Assessment Unpaid
50 21-190-031 3,030.41
52-- 2i ±98 86i ,
53 21-190-131 3,062.78
60 21-201-041 3,626.22
61 21-201-031 3,564.54
62 21-210-021 614.65
65 21-210-011 3,330.84
67 21-210-081 3,338.64
74 21-401-051 3,320.43
75 21-401-041 3,320.43
76 21-401-091 405.10
7- -fir- 48± 83± -8:-5 . ±12-
80 21-391-071 3,347.99
82 21-391-051 1,448.24
83 21-391-041 3,328.91
86 21-391-091 2,999.84-
---8~- 21: 39± - - -
88 21-381-041 817.11
89 21-381-031 1,041.08
91 21-381-051 1,050.10
93 21-371-051 3,478.00
95 21-371-031 3,398.46
97 21-371-011 1,007.15
103 21-331-111 2,960.63
104 21-331-101 3,050.44
2±8 --8 m-2-}
219 21-331-151 3,354.12
114 21-321-101 1,009.08
±±5
116 21-321-031 3,563.50
117 21-321-121 605.13
118 21-321-191 646.26
119 21-321-171 646.26-
±28 2 32i i 3 52-3.6 2
- :2± 2± 32i 62t t,t46.88
122 21-321-231 1,201.48
125 21-321-151 605.13
126 21-311-251 3,005.83
127 21-311-241 558.60
128 21-311-231 557.64
132 21-311-141 3,000.06
133 21-311-121 3,000.06
134 21-301-141 2,995.26
135 21-301-131 2,993.33
EXHIBIT A
1
137 21-301-151 2,989.00
141 21-281-171 3,004.28
143 21-261-1.21 562.99
153 21-261-341 2,935.26
156 21-261-271 2,961.60
160 21-261-231 2,962.19
161 21-261-151 2,994.82
163 21-261-221 556.51
165 21-261-161 3,051.77
166 21-261-171 3,021.59
±68 2i 28i 63i 666.83
169 21-281-111 3,022.56
170 21-281-041 646.26
171 21-301-101 872.42
172 21-301-051 3,004.88
173 21-301-061 547.07
174 21-301-111 3,091.56
175 21-301-091 2,991.41
176 2i 3±± 36± 6is. aer-
181 21-311-101 646.26
183 21-311-201 3,911.62
187 21-311-011 871.27
188 21-301-231 3,106.50
189 21-301-211 3,749.60
190 21-301-221 661.19
191 21-301-201 - 547.43
194 21-281-151 4,049.83
195 21-261-321 1,444.13
196 21-261-301 4,066.28
197 21-261-021 1,427.68
220 21-251-201 3,637.43
221 21-251-211 1,192.12
201 21-251-141 9,740.72
202 21-251-131 707.95
214 21-261-361 2,945.84
215 21-251-181 908.40
6 R1 251 ti 71 968.46
EXHIBIT A
2
$ 166,114. 15 IMPROVEMENT BONDS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
SUPPLEMENTAL ASSESSMENT DISTRICT 1971-1A
Bond Maturity Date Interest Principal
Number (July 2) Rate Amount
1 - 11 Inclusive 1985 8.0% 11,114.15
12 - 23 Inclusive 1986 8.5% 12,000.00
24 - 36 Inclusive 1987 _ 9.0% 13,000.00
37 - 50 Inclusive 1988 9.25% 14,000.00
51 - 65. Inclusive 1989 9.50% 15,000.00
66 - 82 Inclusive 1990 9.75% 17,000.00
83 - 100 Inclusive 1991 10.00% 18,000.00
101 - 120 Inclusive 1992 10.25% 20,000.00
121 - 142 Inclusive 1993 10.50% 22,000.00
143 - 166 Inclusive 1994 10.50% 24,000.00
EXHIBIT B
UNITED STATES OF AMERICA
STATE OF CALIFORNIA
COUNTY OF EL DORADO
NUMBER $
A-
IMPROVEMENT BOND
SOUTH TAHOE PUBLIC UTILITY DISTRICT
SUPPLEMENTAL ASSESSMENT DISTRICT 1971-1A, SERIES 1984-1
INTEREST RATE MATURITY DATE BOND DATE CUSIP
JULY 2,
Under and by virtue of the Improvement Bond Act of 1915, Division 10 of
the California Streets and Highways Code (the "Act"), the South Tahoe Public
Utility District, California (the "District") will, out of the redemption fund
for the payment of the bonds issued upon the unpaid portion of assessments
made for the acquisition, work and improvements more fully described in
proceedings taken pursuant to Resolution of Intention No. 2329, adopted by the
Board of Directors of the District on the 5th day of April, 1984, pay to
or registered assigns
on the maturity date stated above, the principal sum of
Dollars
in lawful money of the United States and in like manner to pay interest at the
rate per annum stated above, payable semiannually on January 2 and July 2 in
each year commencing January 2, 1985. This Bond bears interest from the
interest payment date next preceding its date of authentication and
registration unless it is authenticated and registered (i) prior to an
interest payment date and after the close of business of the fifteenth day
preceding such interest payment date, in which event it shall bear interest
from such interest payment date, or (ii) prior to the close of business on the
fifteenth day of the month preceding January 2, 1985, in which event it shall
bear interest from its date, until payment of such principal sum shall have
been discharged. Both the principal hereof and redemption premium hereon are
payable upon presentation and surrender hereof at the principal securities
services division of Bank of America National Trust and Savings Association as
Transfer Agent, Registrar and Paying Agent (the "Agent") in San Francisco,
California, and the interest hereon is payable by check or draft mailed to the
owner hereof at such owner's address as it appears on the registration books
of the Agent, or at such address as may have been filed with the Agent for
that purpose, as of fifteenth day immediately preceding each interest payment
date.
EXHIBIT C
1
REFERENCE IS MADE TO THE FURTHER PROVISIONS OF THIS BOND SET FORTH IN
THE REVERSE SIDE HEREOF WHICH SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS
THOUGH FULLY SET FORTH HEREIN.
This Bond will continue to bear interest after maturity at the rate
above stated, provided, it is presented at maturity and payment thereof is
refused upon the sole ground that there are not sufficient moneys in said
redemption fund with which to pay same. If it is not presented at maturity
interest thereon will run until maturity.
This Bond shall not be entitled to any benefit under the Act or the
Resolution Determining Unpaid Assessments and Providing for the Issuance of
Bonds (the "Resolution of Issuance"), or become valid or obligatory for any
purpose, until the certificate of authentication and registration hereon
endorsed shall have been dated and signed by the Agent.
IN WITNESS WHEREOF, the South Tahoe Public Utility District has caused
this Bond to be signed in facsimile by the Treasurer of said District and by
its Clerk and Ex-Officio Secretary and has caused its corporate seal to be
reproduced in facsimile hereon all as of July 1 , 1984.
SOUTH TAHOE PUBLIC UTILITY DISTRICT,
CALIFORNIA
[SEAL]
Clerk and Treasurer
ex-officio Secretary
CERTIFICATE OF AUTHENTICATION AND REGISTRATION
This is one of the Bonds described in the within mentioned Resolution of
Issuance, which has been registered on
Bank of America National Trust and Savings Association
as Transfer Agent, Registrar and Paying Agent
By
Authorized Officer
EXHIBIT C
2
IMPROVEMENT BOND
SOUTH TAHOE PUBLIC UTILITY DISTRICT
SUPPLEMENTAL ASSESSMENT DISTRICT 1971-1A, SERIES 1984-1
This Bond is one of several annual series of bonds of like date, tenor
and effect, but differing in amounts, maturities and interest rates, issued by
said District under the Act and the Resolution of Issuance in the aggregate
principal amount of One Hundred sixty-six thousand, One Hundred fourteen Dollars
and fifteen cents for the purpose o providing means or paying or
improvements and acquisitions described in said proceedings, and is secured by
the moneys in said redemption fund and by the unpaid portion of said
assessments made for the payment of said improvements and acquisitions, and,
including principal and interest, is payable exclusively out of said fund.
This Bond is transferable by the registered owner hereof, in person or
by the owner's attorney duly authorized in writing, at said office of the
Agent, subject to the terms and conditions provided in the Resolution of
Issuance, including the payment of certain charges, if any, upon surrender and
cancellation of this Bond. Upon such transfer, a new registered Bond or
Bonds, of any authorized denomination or denominations, of the same maturity,
for the same aggregate principal amount, will be issued to the transferee in
exchange therefor.
Bonds shall be registered only in the name of an individual (including
joint owners), a corporation, a partnership or a trust.
Neither the District nor the Agent shall be required to make such
exchange or registration of transfer of Bonds during the fifteen (15) days
immediately preceding any January 2 or July 2.
The District and the Agent may treat the owner hereof as the absolute
owner for all purposes, and the District and the Agent shall not be affected
by any notice to the contrary.
This Bond may be redeemed and paid in advance of maturity upon the 2nd
day of January or July in any year by giving at least 60 days' notice by
registered mail to the registered owner hereof at such owner's address as it
appears on the registration books of the Agent and by paying principal and
accrued interest together with a premium equal to 5 percentum of the principal.
LEGAL OPINION
I hereby certify that the following is a correct copy of the signed
legal opinion of Jones Hall Hill & White, A Professional Law Corporation, San
Francisco, California, addressed to the South Tahoe Public Utility District
and on file in my office, dated the date of delivery of and payment for the
Bonds therein described.
Clerk and ex-officio Secretary
EXHIBIT C
3
A
OPINION: $ 166,114.15 Improvement Bonds, South Tahoe Public
Utility District, Supplemental Assessment District 1971-1A
Members of the Board:
We have acted as bond counsel in connection with the issuance by the
South Tahoe Public Utility District (the "Issuer") of $166,114.15
Improvement Bonds, Supplemental Assessment District 1971-1A, Series 1984-1,
dated July 1 , 1984, (the "Bonds") pursuant to Division 10 of the California
Streets and Highways Code (the "Act") and Resolution No. 2329 (the
"Resolution") of the Issuer adopted April 5, 1984. We have examined the law
and such certified proceedings and other papers as we deem necessary to render
this opinion.
As to questions of fact material to our opinion, we have relied upon
representations of the Issuer contained in the Resolution and in the certified
proceedings and other certifications of public officials furnished to us,
without undertaking to verify such facts by independent investigation.
Based upon our examination, we are of the opinion, as of the date
hereof, that:
1. The Issuer is a body corporate and politic duly organized and
validly existing under the Constitution and the laws of the State of
California.
2. The Bonds constitute valid and binding special obligations of
the Issuer enforceable in accordance with their terms.
3. The Bonds are secured by the unpaid portion of special
assessments levied upon the lands benefited by the improvements to be acquired
and/or constructed with the proceeds of the Bonds and by the moneys in the
redemption fund established pursuant to the Resolution. Principal of and
interest on the Bonds are payable exclusively out of said fund. Installments
of principal and interest of the assessments levied for the payments of the
Bonds are collected on the tax roll on which general taxes on real property
are collected.
4. Under existing laws, regulations, rulings and judicial
decisions, interest on the Bonds is exempt from income taxation by the United
States of America and from personal income taxation imposed by the State of
California.
The rights of the holders of the Bonds and the enforceability thereof
may be subject to bankruptcy, insolvency, moratorium and other similar laws
EXHIBIT C
4
affecting creditors' rights heretofore or hereafter enacted and their
enforcement may be subject to the exercise of judicial discretion in
accordance with general principles of equity.
Respectfully submitted,
A Professional Law Corporation
ABBREVIATIONS
The following abbreviations, when used in the inscription on the face of
this Bond, shall be construed as though they were written out in full
according to applicable laws or regulations:
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JF TEN - as joint tenants with right of
survivorship and not as tenants
in common
UNIF GIFT MIN ACT - Custodian
(Cust) (Minor)
under Uniform Gifts to Minors
Act
(State)
Additional abbreviations may also be used though not in the above list.
EXHIBIT C
5
ASSIGNMENT
For value received the undersigned do(es) hereby sell, assign and transfer unto
the within-mentioned Bond and hereby irrevocably constitute(s) and appoint(s)
attorney, to transfer the same on the books of the Bank of America National
Trust and Savings Association as Transfer Agent, Registrar and Paying Agent
with full power of substitution in the premises.
Dated:
Signature(s) must correspond exactly
to name(s) on face hereof
Signature Guaranteed
EXHIBIT C
6