HomeMy WebLinkAbout1992-04-27 92-236 ORDERCOUNCIL ACTION
Date 4-27-92 Item N0.92-236
Item/Subiect:Order, Appointment of Bond Counsel for 1992 and 1992 Bond
Orders/!%sues.
Responsible Department: Finance
Commentary:
Attached is a proposal from Christopher E. Howard, ESO., of Pierce,
Atwood, Scribner to continue as the City's bond counsel.
sel. Payment is
proposed o a percentage basis against the value of the bonds:
general obligation bons .07S%; revenue bonds .5%, plus out of pocket
disbursements. These figures are firm through December 31, 1993.
Assuming that the city bonds the majority of the approved but not
issued debt in August, 1992, plus $l million for the 1992 CSO
construction program, his cost would be approximately 88,900 for an
811,810,000 issue. overall, this i reasonable cost, especially
given the .quality of the work we have received from this firm and its
involvement last fall in preparing the BANS and establishing the
financial plan included in our lost official statement.
I would recommend that we continue this relationship for 1992
�\;a- tZ -----
Olpar tment Nead
_____________________________________________________________________
Manager's Comments:
I concur and also recommend
end approval. The Finance Committee approved
this action at its last meeting on a 2-1 vote.
City Manager
Associatetl Information: Order, Proposal
Budget
Approval:
--------------------
City
Solicitor
Introducetl
F names
Director
--------------------
City
Solicitor
Introducetl
For;
_____________________________________________
PRSSROE
92-236
Aeeigned to CouncOor Soucy April 27, 1992
CITY OF BANGOR
Appoi tment of Bond Code el for 199 11 2 d 1992 Bond 6rdera/Issues
11
11
By we 04 coumen of the My afBR .
ORDERED,
THAT
Christopher E. Howard. Esq., of Pierce. Atwood, Scribner, Allen, Smith
6 Lancaster of Portland, Maine is hereby appointed as the city's bond counsel for
the review and preparation on bond orders and issues for 1992 and 1993 per the letter
of proposal dated April 13. 1992 which shall be attached and become a part of this order.
In City Council April 27,1992
Passed
Ci[y Clerk �
92-236
O RRER
Appointment of Bond c eel.
for 1992 and 1992 Bond Orders Issues
Aenpied ro
�unci.....
......•COW
lµ
92-236
PIERCE, ATWOOD, SCRIBNER,
ALLEN, SMITH & LANCASTER
A�O
AT LAW
ux[wox SQUARE Smanu w,e.,,,o
wmem>usxe.eow•ao April 13, 1992
John quartararo
city of Bangor
73 Harlow Street
Bangor, Maine 04401
I Dear John:
I am writing to set forth in writing our proposal for bond
counsel services for 1992. This proposal is the same basic
structure as is nowinplace. with the City of Portland.
We propose that we be compensated on the following basis:
1. We would be paid on annual retainer of $2,000 which would
cover general advice on bonding and financial matters such as the
advice we gave last year structuring the City's financing plan. As
an alternative, we can bill this time on
an hourly basis. Because
we have already performed and billed much of the planning for your
1992 issues on an hourly basis during the fall of 1991, we propose
to forego this payment for 1992.
2. We would be paid 0.075 percent of the face amount of any
general obligation bonds and 0.5 percent of any revenue or other -
special or limited obligation bonds issued by the City.
3. If any extraordinary services are
required in connection
with any bond i such as the seeking of a private letter ruling
or other services notnormally performed i connection with the
rendering of abond opinion, these srwould be compensated at
normal hourly rates. If any proposed bond issue is abandoned by the
City we
would also be compensated at this rate for time actually
expended on that proposed bond issue.
4. In addition to the fees set forth above, we would also be
reimbursed for all of our out-of-pocket disbursements.
I believe this is a fair and reasonable fee schedule, and hope
that you will find it to be satisfactory. I will be happy to
discuss it with you at your convenIs
ver Leto ly ours,
r
Ch' p E. Howard
CEH/jsg