April 29, 1999
The Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, CA 90012
Dear Supervisors:
Adopt the Resolution of the Board of Supervisors of the County of Los Angeles providing for authorization of issuance and sale of the Lennox School District General Obligation Bonds (1998 Election Series B) in the aggregate principal amount not to exceed $2,000,000.
On April 27, 1999, the Governing Board of the Lennox School District adopted a Resolution determining that the District needs to borrow funds in an aggregate principal amount not to exceed $2,000,000 to be used for authorized purposes.
On June 2, 1998 an election was held whereby qualified voters of the District approved the proposition authorizing the District to issue $10 million in general obligation bonds in order to acquire, construct and improve school facilities throughout the District. On October 27, 1998 the District issued the first series of bonds in the amount of $5,503,266.20. This is the second issuance of bonds authorized under this bond measure.
Pursuant to Section 15140 of the Education Code, the Board of Supervisors is responsible for offering the District's bonds for sale. Such bonds shall be issued in the name and on behalf of such school district by the Board of Supervisors of the County following receipt of the District resolution requesting such borrowing.
None to the County. All debt indebtedness will be borne by the District.
Not applicable
The Resolution provides for issuance of Current Interest and Capital Appreciation Bonds not to exceed the maximum interest rate permitted by law. The final structure will be determined at the time of pricing to achieve the lowest cost of financing within the limits of the proposition's tax levy. Final maturity of the bonds shall not exceed twenty-five years. Provisions for optional redemption of the Current Interest Bonds will be described in the Contract of Purchase.
The Resolution provides for the negotiated sale of the bonds, with participation by the Treasurer and Tax Collector in pricing of the bonds, to the Underwriter. The District has selected Banc of America Securities LLC as Underwriter, Caldwell Flores Winters, Inc. as Financial Advisor and the firm of O'Melveny & Myers LLP as Bond Counsel. The County will annually levy and collect ad valorem taxes for the repayment of the bonds on behalf of the District.
Upon approval of this Resolution, the Department will need two (2) originally executed copies of the adopted Resolution.
Respectfully submitted,
MARK J. SALADINO
Treasurer and Tax Collector
MJS:MS
IT:pab
Board:Lennox98bgo_BOS_letter
Attachments (2)
c: Executive Officer, Board of Supervisors
Chief Administrative Officer
Auditor-Controller
County Counsel
Lennox School District
Los Angeles County Office of Education
O'Melveny & Myers
U. S. Bank Trust, National Association