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HomeMy WebLinkAboutRES 13-269RESOLUTION NO.13 -269 WHEREAS, the City of Beaumont, Texas, (the "City ") proposes to issue General Obligation Refunding Bonds, Series 2013, in the approximate amount of $5,010,000 (the "Bonds "); and, WHEREAS, in order to proceed with the issuance of the Bonds, the City desires to authorize the employment of bond counsel; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT, TEXAS: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, 1. That the City is authorized to and hereby employs Orgain, Bell & Tucker, LLP, Beaumont, Texas, as bond counsel for the issuance of the Bonds, pursuant to the terms of the engagement letter dated November 11, 2013, presented by Orgain, Bell & Tucker, LLP, to the City, attached hereto as Exhibit "A;" and, 2. That the City and its bond counsel are authorized to proceed with taking all action appropriate for the issuance of the Bonds; provided, however, that the Bonds shall be issued only if the final terms and provisions thereof are hereinafter approved by the City Council. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 26th day of November, 2013. I N� U >� n i - yor ecky A s - ( )i ,,i;1.'ti�ii.tLi i11' +_ii'Et,li.i' ATTORNEYS AT LAW Beaumont I Houston I The Woodlands I Silsbee ( Austin November 11, 2013 City of Beaumont Attention: Kyle Hayes, City Manager 801 Main Street Beaumont, Texas 77701 Re: General Obligation Refunding Bonds, Series 2013 Dear Mr. Hayes: Benny H. Hughes 470 Orleans Street I P.O. Box 1751 Beaumont, Texas 77704 -1751 409 8386412, ext, 365 1 Direct 409951 7465 Fax 409951 7365 Email: bhh @obt.com or BennyHughes@rnsn.com online at wrvw. obt. com This letter will confirm the terms of our engagement as bond counsel to the City of Beaumont, Texas (the "City ") relating to the City's proposed issuance of its General Obligation Refunding Bonds, Series 2013, in the principal amount of approximately $4,835,000 (herein referred to as the "Bonds "). As bond counsel, the services to be provided by our firm will include (1) preparation and drafting of all documents customarily prepared by bond counsel in order to issue the Bonds, (2) preparation and delivery of our firm's opinions relative to the tax - exempt status of the Bonds and the absence of registration requirements, (3) preparation and filing of documents necessary to obtain approval of the Attorney General of the State of Texas and registration of the Bonds with the Comptroller of Public Accounts, and (4) review of any private letter purchase agreement proposed by the underwriters for the Bonds. We will provide these services to the City for a fee equal to 15 basis points (i.e, 0.15 %) of the face amount of the Bonds issued, but subject to a minimum fee of $17,500.00 per series. The fee will be payable only at the time of delivery of the Bonds. This fee does not include any fee for co -bond counsel, should the City elect to employ one. In addition to payment of the fees set forth above, the City will reimburse our firm for the reasonable and actual out -of- pocket expenses incurred in each financing transaction. Such expenses typically average approximately $2 -3,000 per transaction. These expenses are in addition to the expenses the City will incur for publication costs and the fee payable to the Texas Attorney General's Office for its examination and approval of the Bonds. EXHIBIT "A" City of Beaumont. November 11, 2013 Page 2 of 2 We very much appreciate the opportunity to serve the City in this matter. Sincerely yours, ORGAIN BELT,r& TUCKER, LLP ,Benny H. Hugfies BHH /lr cc: Ms. Laura Clark Chief Financial Officer City of Beaumont 801 Main Street Beaumont, Texas 77701 ACCEPTED ANDAGREED TO this day of THE CITY OF BEAUMONT, TEXAS By: Its: 2012.