Notice is hereby given that at 7:00 P.M. on Monday, March 23, 2020 in the Township Building, 688 Sugartown Road, Malvern, Pennsylvania 19355, the Board of Supervisors of Willistown Township (the “Township”), Chester County, Pennsylvania, will hold a public meeting at which it will consider, and may enact, an ordinance (the “Ordinance”) to provide funds for the purpose of financing (a) the current refunding of all or a portion of its General Obligation Bonds, Series of 2012 (the “2012 Bonds) and its General Obligation Bonds, Series of 2013 (the “2013 Bonds” and collectively with the 2012 Bonds, the “Prior Bonds”); and (b) the costs of issuing the Bonds (collectively the “Project”). The Ordinance is summarized as follows:
An authorization for the Township to incur nonelectoral debt pursuant to the Local Government Unit Debt Act of the Commonwealth of Pennsylvania (the "Act") through the issuance of its General Obligation Bonds, Series of 2020, in an aggregate principal amount currently estimated not to exceed Ten Million Eight Hundred Ninety-Five Dollars ($10,895,000) (the "Bonds") to finance the Project.
2. Statements that the debt to be evidenced by the General Obligation Bonds is nonelectoral debt, and that the Bonds, when issued, will be general obligations of the Township.
3. An authorization for the Chair or Vice Chair of the Governing Body and the Secretary of the Governing Body to prepare and file the debt statement required by Section 8110 of the Act, the Borrowing Base Certificate, exclusion proceedings, and authorization for the appropriate officers to execute the Bonds and to take all other actions as may be required by the Act or Ordinance in connection with the execution, issuance and delivery of the Bonds.
4. Covenants by the Township as required by the Act that the Township shall include in its budget for each fiscal year the amount of the debt service on the Bonds for each fiscal year; that it shall appropriate sufficient amounts from its general revenues for payment of the debt service; that it shall duly and punctually pay or cause to be paid the principal of and interest on the Bonds as and when due; and that it shall pledge the full faith, credit and taxing power of the Township for such budgeting, appropriation and payment. However, the Township intends to pay all the debt service from its earned income tax receipts dedicated for the purpose.
5. The substantial form of the Bonds to be issued, the schedule of principal maturity amounts and dates, rates of interest and interest payment dates and place of payment.
6. A covenant that the principal and interest on the Bonds are payable without deduction for certain taxes.
7. A determination that after due consideration and investigation a private sale by negotiation is in the best financial interest of the Township.
8. An award and sale of the Bonds to the Underwriter as set forth in a bond purchase agreement to be presented at the meeting and an Addendum thereto providing for final maturity amounts and interest rates within the parameters specified in the Ordinance.
9. A statement that a separate Sinking Fund to be known as "Sinking Fund – Township of Willistown, 2020 General Obligation Bonds" shall be established.
10. An authorization for the proper officers of the Township to contract with a bank or bank and trust company for services as sinking fund depositary and paying agent.
11. An authorization for the Secretary of the Township to certify and to file with the Pennsylvania Department of Community and Economic Development certified copies of all necessary proceedings.
12. A covenant that the proceeds of the Bonds shall not be used in a manner that would cause the Bonds to be arbitrage Bonds under the United States Internal Revenue Code, as amended and representations with respect to certain other tax matters.
13. Approval of the Preliminary Official Statement and authorization for the preparation, execution and delivery of an Official Statement.
14. Approving other matters relating to the current refunding of the Prior Bonds.
15. Authorizing continuing disclosure to financial markets of certain financial information concerning the Township.
16. Various other matters relating to the Bonds and the execution and delivery thereof.
Omissions from the Ordinance, as proposed, including price paid and range of interest rates, as well as any amendments thereto, will be supplied at the time of enactment of the Ordinance if the Township shall determine to proceed.
The full text of the proposed Ordinance may be examined by any citizen in the Office of the Secretary of the Township, located at 688 Sugartown Road, Malvern, Pennsylvania, Monday through Friday from 9:00 a.m. to 5:00 p.m.
TOWNSHIP OF WILLISTOWN
By: Sally Slook
Lamb McErlane PC, Bond Counsel