St. George


NOTICE OF PUBLIC HEARING AND BONDS TO BE ISSUED

Tuesday, October 22,2013
Public Hearing



NOTICE OF PUBLIC HEARING AND BONDS TO BE ISSUED

NOTICE IS HEREBY GIVEN pursuant to the provisions of the Local Government Bonding Act, Title 11, Chapter 14, Utah Code Annotated 1953, as amended, that on September 19, 2013, the City Council (the “Council”) of the City of St. George, Utah (the “Issuer”), adopted a resolution (the “Resolution”) in which it authorized the issuance of the Issuer’s Franchise Tax Revenue Bonds, Series 2013 (with any other series or title designation determined by the Issuer, the “Series 2013 Bonds”) and called a public hearing to receive input from the public with respect to (a) the issuance of the Series 2013 Bonds and (b) any potential economic impact that the Project described herein to be financed with the proceeds of the Series 2013 Bonds may have on the private sector.

TIME, PLACE AND LOCATION OF PUBLIC HEARING

In order to correct a technicality and to comply with the requirements to post on the Utah Public Notice Website at least 14 days prior to the public hearing, the Issuer shall hold an additional public hearing on November 7, 2013, at the hour of 5:00 p.m. at 175 East 200 North, St. George, Utah. The purpose of the hearing is to receive input from the public with respect to (a) the issuance of the Series 2013 Bonds and (b) any potential economic impact that the Project to be financed with the proceeds of the Series 2013 Bonds may have on the private sector. All members of the public are invited to attend and participate.

PURPOSE FOR ISSUING THE SERIES 2013 BONDS

The Series 2013 Bonds will be issued for the purpose of (a) financing the costs of construction of roadway improvements, including, but not limited to the Mall Drive Bridge, and related improvements (collectively, the “2013 Project”), (b) funding any debt service reserve funds, as necessary, and (c) paying costs of issuance of the Series 2013 Bonds.

PARAMETERS OF THE SERIES 2013 BONDS

The Issuer intends to issue the Series 2013 Bonds in the aggregate principal amount of not more than Ten Million Dollars ($10,000,000), to mature in not more than twenty (20) years from their date or dates, to be sold at a price not less than ninety-eight percent (98%) of the total principal amount thereof, and bearing interest at a rate or rates not to exceed 5.50% per annum. The Series 2013 Bonds are to be issued and sold by the Issuer pursuant to the Resolution, including as part of said Resolution, a Supplemental Indenture of Trust (the “Indenture”) which was before the Council and attached to the Resolution in substantially final form at the time of the adoption of the Resolution and said Indenture is to be executed by the Issuer in such form and with such changes thereto as shall be approved by the Issuer; provided that the principal amount, interest rate or rates, maturity, and discount of the Series 2013 Bonds will not exceed the maximums set forth above.

FRANCHISE TAXES PROPOSED TO BE PLEDGED

The Issuer proposes to pledge 100% of all the revenues produced by municipal energy sales and use taxes levied by the City under the Municipal Energy Sales and Use Tax Act, Title 10, Chapter 1, Part 3, Utah Code (the “Pledged Taxes”).

OUTSTANDING BONDS SECURED BY PLEDGED TAXES

Other than the proposed Series 2013 Bonds, the Issuer currently has $0 of bonds outstanding (the “Series 2013 Bonds”) secured by the Pledged Taxes (as more fully described in the Indenture).

OTHER OUTSTANDING BONDS OF THE ISSUER

Additional information regarding the Issuer’s outstanding bonds may be found in the Issuer’s financial report (the “Financial Report”) at: http://auditor.utah.gov/lgReports.html. For additional information, including any information more recent than as of the date of the Financial Report, please contact Philip R. Peterson, Finance Director at (435) 6627-4701.

TOTAL ESTIMATED COST

Based on the Issuer’s current plan of finance and a current estimate of interest rates, the total principal and interest cost of the Series 2013 Bonds if held until maturity is $11,449,753.

A copy of the Resolution and the Indenture are on file in the office of the City Recorder, 175 East 200 North, St. George, Utah, where they may be examined during regular business hours of the City Recorder from 8:00 a.m. to 5:00 p.m., Monday through Friday, for a period of at least thirty (30) days from and after the date of publication of this notice.

NOTICE IS FURTHER GIVEN that a period of thirty (30) days from and after the date of the publication of this notice is provided by law during which (i) any person in interest shall have the right to contest the legality of the Resolution, the Indenture (as it pertains to the Series 2013 Bonds), or the Series 2013 Bonds, or any provision made for the security and payment of the Series 2013 Bonds, and that after such time, no one shall have any cause of action to contest the regularity, formality, or legality thereof for any cause whatsoever and (ii) registered voters within the City of St. George, Utah may sign a written petition requesting an election to authorize the issuance of the Series 2013 Bonds. If written petitions which have been signed by at least 20% of the registered voters of the City of St. George, Utah are filed with the Issuer during said 30-day period, the Issuer shall be required to hold an election to obtain voter authorization prior to the issuance of the Series 2013 Bonds. If fewer than 20% of the registered voters of the City of St. George, Utah file a written petition during said 30-day period, the Issuer may proceed to issue the Series 2013 Bonds without an election.

DATED this September 19, 2013.

/s/ Christina Fernandez
City Recorder