R2004-062 05-03-04
RESOLUTION NO. R2004-62
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND,
TEXAS, APPROVING A BOND ORDER OF BRAZORIA COUNTY
MUNICIPAL UTILITY DISTRICT NO.6 AUTHORIZING THE ISSUANCE OF
$8,120,000 UNLIMITED TAX BONDS, SERIES 2004.
WHEREAS, the Brazoria County Municipal Utility District No.6 (the "District") is
located within the extraterritorial jurisdiction of the City of Pearland, Texas
(the "City"); and
WHEREAS, by Resolution No. R 86-7, dated February 10, 1986, the City
consented to the creation of the District, and placed certain conditions on the issuance
of bonds by the District, including the approval by the City Council of the District's
resolution authorizing the issuance of such bonds; and
WHEREAS, the City Council has considered such a bond resolution in connection
with the issuance of the District's proposed $8,120,000 Unlimited Tax Bonds,
Series 2004, and has found it to be acceptable; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. All of the matters and facts set forth in the preamble hereof are
true and correct.
Section 2. The bond order of the board of directors of Brazoria County
Municipal Utility District No.6, authorizing the issuance of its $8,120,000 Unlimited
Tax Bonds, Series 2004, is hereby approved.
Section 3. The Mayor of the City of Pearland is hereby authorized to execute
such letters or other documents required to be provided to the Attorney General of
Texas in connection with the issuance of such bonds by the District.
1
RESOLUTION NO. R2004-62
Section 4. This Resolution shall take effect immediately from and after its
passage in accordance with the provisions of the Charter of the City of Pearland and it
is accordingly so resolved.
PASSED, APPROVED and ADOPTED this the 3rd day of May
A. D., 2004.
=-)~ J)~
TOM REID
MAYOR
('
APPROVED AS TO FORM:
o~ ~ ~H,~
DARRIN M. COKER
CITY ATTORNEY
2
DRAFT
Li - 2 2 -C\ If
BRAZORIA COUNTY MUNICIPAL
UTILITY DISTRICT NO.6
(Brazoria County, Texas)
PRELIMINARY OFFICIAL STATEMENT
DATED: _,2004
$8,120,000
UNLIMITED TAX BONDS
SERIES 2004
BIDS TO BE SUBMITTED: 11:00 A.M., Houston, Texas Time
Thursday, May 13,2004
SEALED BIDS TO BE OPENED: 12:00 Noon, Houston, Texas Time
Thursday, May 13,2004
Prepared under the supervision of
IRBC
. ~~ Dain Rauscher
MEMBER NYSE/SfPC
Financial Advisor
~
'-
a
?:'
a
~ u
3.0
~ u
o ...
'g. .s
-0==
u "
~.<=
e-~
u ~
u 0
:::: c
v ^ .
.D ~ c
~.r:, .g
oJ :::; u
~:::o
~:~ .~
S5~
~ ..: 5
~. (; r.r.
"
E
>,
c
'"'
:::i__
.~ './'.
o 3
-.r. ;r; o:j
~5~
'0 1-
e G -
>-.= ~
;3 ~ :J.
~ 2 ~
o ~ -
'''::; .CJ [i
-g
~-;J
;.n =
":-!. :'j C
.I. .=-:
~ ~
b= ,~
3
or.
~g]
-J :.J .::r
~ ~ E
~._ E c
;_ ~ 0
:; ~j .~
::: ~ '::fJ
.g :~ r::
~ ==
-0.0 ::
~ cS:
~ - '-
:.J ;..: c...
g .~ :=;
u~~
'-' '- '"'
~~]
;:;5.E
'" - "0
.~ ~ g
() Vl :::
- OJ
- t..I ....)
c~
~ ~
-a r- -'
C :J
o U ....
t..I .::
c ~ 5-
.g g .~
~ t J.
~ -g . ~
~ ::J ;~
. v
~E.l::
- ~ '-'
g;. ~
;;~ u
~~~
3 -::J C
2 15
cr. '-'
;.-
:::; u
":::; OJ
-::J 7
or,
e ::;
;--. E 2
~ OJ '"'
E .-
'l) ~
'.J
c~ ." :::
~ '-'
'-'
r= 0 ~
PRELIlVIINARY OFFICIAL ST A TEMENT DATED April 26, 2004
NEW ISSUE--Book-Entry-Only
This Preliminary Official Statement is subject to completion and amendment by adding information specifying the interest rate and certain
other information relating to the Bonds. Upon sale of the Bonds, the Preliminary Official Statement will be completed and delivered to the
Initial Purchaser.
IN TIlE OPINION OF BOND COUNSEL, INTEREST ON TIlE BONDS IS EXCLUDABLE FROM GROSS INCOME FOR PURPOSES
OF FEDERAL INCOME TAXATION UNDER STATUTES, REGULATIONS, PUBLISHED RULINGS AND COURT DECISIONS
EXISTING ON THE DATE OF SUCH OPINION, AND TIlE BONDS ARE NOT SPECIFIED PRIVATE ACTIVITY BONDS. SEE
''LEGAL MATTERS " HEREIN FOR A DISCUSSION OF TIlE OPINION OF BOND COUNSEL, INCLUDING A DESCRIPTION OF
ALTERNATIVE MINIMUM TAX CONSEQUENCES FOR CORPORATIONS.
THE BONDS WILL NOT BE DESIGNATED AS "QUALIFIED TAX-EXEMPT OBLIGATIONS" FOR FINANCIAL
INSTITIITIONS. SEE ''LEGAL MA TfERS - Qualified Tax Exempt Obligations."
$8,120,000
BRAWRIA COUNTY MUNICIPAL UTILITY DISTRICT NO.6,
of Brazoria County, Texas
(A political subdivision of the State of Texas
located within Brazoria County)
UNLIMITED TAX BONDS, SERIES 2004
Dated: June 1, 2004 Due: September 1 as shown below
The $8,120,000 Brazoria County Municipal Utility District No.6, of Brazoria County, Texas Unlimited Tax Bonds, Series 2004 (the
"Bonds") constitute direct obligations of the District and are payable as to principal and interest from an annual ad valorem tax levied,
without legal limitation as to rate or amount, against all taxable property within the District.
The Bonds will be registered and delivered only in the name of Cede & Co., as nominee for The Depository Trust Company, New York,
New York ("DTC"), which will act as securities depository for the Bonds. Beneficial owners of the Bonds will not rcceiw p!1ysical
certificates representing the Bonds, but will receive a credit balance on the books of the nominees (If such beneficial owners. So
long as Cede & Co. is the registered owner of the Bonds, the principal of and interest on the Bonds will be paid by tb. flaying
agent/registrar, initially The Bank of New York Trust Company of Florida, N.A., (the "Paying AgenllRegistrar") directly to DTC, which
will, in turn, remit such principal and interest to its participants for subsequent disbursement to the beneficial owners of the Bonds. (See
"THE BONDS - Book-Entry-Only System.")
Interest on Bonds will acerue from June I, 2004, and will be payable on September 1,2004, and on each March I and September I until
maturity 0, earlier redemption.
The Bonds maturing on or after September 1,2015, are subject to redemption prior to maturity at the option of the District, in whole or in
part, on September I, 2014, or any Interest Payment Date thereafter at 2. price of par plus accrued interest to the date fixed for rC'('crnp:ion.
If less than all of the Bonds are to be redeemed, the maturities and amounts of the Bonds to be redeemed shall be determined by the
District. If less than all of the Bonds of the same maturity are redeemed at any time, the particular Bonds or portion thereof to be
redeemed shall be selected by DTC in accordance with its procedures.
MATURITIES
(Due September i)
Initial
Offering
y;PItl, ()l)
_%
_%
_%
_%
_%
%
_%
_%
_%
_%
Ma.I.w:i4.
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Principal
A monnt
initial
Offering
Yie!rl, (h\
_%
%
-_%
_%
%
interest
..Ra1.cLal.
_%
_%
_%
_%
_%
._%
Principal
Amonnt
Interest
Ma.I.w:i4.
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
.Ra1clal.
_%
_%
_%
_%
%
$250,000
260,000
275,000
300,000
300,000
300.000
325,000
325,000
325,000
325,000
$300,000
300,000
300,000
260,000
250,000
400,000
550.000
875,000
925,000
975,000
Sb
('::1'
;0
_%
_%
_%
_%
_%
%
_%
~.__ €X;
_%
_%
_%
_%
(a) After requesting CO~tili,,-e bHls for purchase: of lhe Bonds. me Dislricl has. accepted the: lowest imerest rate bid to purchase the: Bonds, l:earing imere.st as shov."1l., at a price of 'X of par
plus accrued interest to the date of delivery. resulting in a Det effective Interest rale to lhe District of %.
(b) TIle initial reoffc:ring yiekls indicated represent UIe lower of Lite yields resulting W~D priced to maturity or Lil(; f1f"S( call date. lbe initial yields at which thc: Bonds will be priced will be established by and
will be the sole responsibility of UIe Initial Purchaser. TIle yields may be changed al any linte at lhe discretion of the Initial Purchaser. Accrut:d inlen:st frum June 1, 2()()4. to the dale of ddi\'c~ry of the
Bonds to the Initial Purchaser is to be addcx1l0 the price.
The Bonds, when issued, will constitute valid and legally binding obligations of Brazoria County Municipal Utility District No.6, of Brazoria County.
Texas (the "District"), and will be payable solely from the proceeds of an annual ad valorem tax, without legal limitation as to rate or amount, levied
against all taxable property within the District, as further described herein. The Bonds are obtigations solcly of the Di-,trict and al'C not obligatioll.~ of
the State of Texas, Brazoria County, Texas, the City of Pcarland, Texas, the City of Manvcl, Texas, or any entity other than the District. The
Bonds are subject to special investment considerations described herein. See "INVESTMENT CONSIDERATIONS."
The Bonds are offered when, as and if issued by the District, subject, among other things. to the approval of the Bonds bv the Attorney Genera! of Tcxas and
the approval of certain legal maUers by Schwartz, Page & Harding. LL.P., Houston, Texas. Bond Counsel for the Distri:t. Certain Ie:'al Jn~tters will be
passed upon for the District by Coats, Rose, Yale, Ryman & Lee, P.c., Houston, Texas, as Disclosure Counsel. Deliverv of the Bond~ is exnec;ed to occur
on or about June 10.2004, in Houston, Texas. - ,
PROJECTED DEBT SERVICE REQUIREMENTS
Brazoria County Municipal Utility District No.6
$8,120,000 Unlimited Tax Bonds, Series 2004
First Interest Payment Date: September 1, 2004
Year Outstanding Series 2004 Total
Ended Debt Service Principal Interest (a) D.:bt Service
30-Dee Requirements Due 9/1 Due 3/1 Due 9/1 Total Requirements
2004 $ 1,774,161.26 $ 10 1,500.00 $ 101,500.00 $ 1,875,661.26
2005 1,763,186.26 $ 250,000.00 $ 203,000.00 203,000.00 656,000.00 2,419,186.26
2006 1,785,748.76 260,000.00 196,750.00 196,750.00 653,500.00 2,439,248.76
2007 1,771,261.26 275,000.00 190,250.00 190,250.00 655,500.00 2,426,761.26
2008 1,796,423.76 300,000.00 183,375.00 183,375.00 666,750.00 2,463,173.76
2009 1,818,378.76 300,000.00 175,875.00 175,875.00 651,750.00 2,470,128.76
2010 1,837,178.76 300,000.00 168,375.00 168,375.00 636,750.00 2,473,928.76
2011 1,827,628.76 325,000.00 160,875.00 160,875.00 646,750.00 2,474,378.76
2012 1,846,163.76 325,000.00 152,750.00 152,750.00 630,500.00 2,476,663.76
2013 1,860,230.00 325,00000 144,625.00 144,625.00 614,250.00 2,47'~,480.00
2014 1,891,650.00 325,00000 136,500.00 136500.00 598,000.00 :2 ,4 89 ,cSO.O:t
2015 1,908,080.00 300,000.00 128,375.00 128,375.00 556,750.00 2,464,830.00
2016 1,925,127.50 300,000.00 120,875.00 120,875.0Cl 541,750.()() :2 ,466,877 .50
2017 1,936,902.50 300,000.00 113,375.00 113,375.00 526,750.00 2,463,652.50
2018 1,989,272.50 260,000.00 105,875.00 105,875.00 471,750.00 2,461,022.50
2019 2,000,480.00 250,000.00 99,375.00 99,375.00 448,750.00 2,449,230.00
2020 1,576,500.00 400,000.00 93,125.00 93,125.00 586,250.00 2,162,750.00
2021 1,250,575.00 550,000.00 83,125.00 83,125.00 716,250.00 1,966,825.00
2022 728,875.00 875,000.00 69,375.00 69,375.00 1,013,750.00 1,742,625.00
2023 925,000.00 47,500.00 47,500.00 1,020,000.00 1,020,000.00
2024 975,000.00 24,375.00 24,375.00 1.023,750.00 1,023.750.00
$33,287,823.84 $8,120,000.00 $2,597,750.00 $2,699,250.00 $13,417,000.00 $46,704,823.84
28