2003-18RESOLUTION 2003-18
`BE IT RESOLVED by the Members of the Airport Authority of the City of Blair, Nebraska (the
"Authority") as follows:
Section 1. The Authority finds and determines that:
(a) the Authority has been established by the Mayor and Council of the City of Blair, Nebraska
(the "City"), and remains in existence under the terms of Section 3-502, R.R.S. Neb. 1997, as amended;
and
(b) the Authority has issued and outstanding its Airport Authority. Refunding Bonds, Series 2003,
date of original issue --April 23, 2003 (the "2003 Refunding Bonds"), presently outstanding in the principal
amount of $445,000; and
(c) the Authority has issued and outstanding its Airport Authority Bond Anticipation Note, Series
2003, dated July 7, 2003 (the "Series 2003 Note"), presently outstanding in the principal amount of
$1,332,837; and
(d) the Authority has issued and outstanding its Airport Authority Bond Anticipation Note (Draw -
Down Grant Anticipation Loan), Series 2003B, dated September 30, 2003 (the "Series 2003B Note"'),
presently outstanding in the principal amount (maximum amount drawable) of $3,500,000; and
(e) the 2003 Refunding Bonds, the Series 2003 Note and the Series 2003B Note constitute the
only outstanding indebtedness of the'Authority for which the Revenues (as defined below) of the existing
airport and related facilities owned and operated by the Authority (as now existing or hereafter acquired,
improved and/or extended, the "Airport") have been pledged; and
(f) by action of the Members of the Authority, the Series 2003 Note has been called for
redemption on November 25, 2003 (the "Redemption Date"), and that it is necessary and advisable for the
Authority to borrow funds in the amount of $1,332,837 for the purpose of paying and redeeming the Series
2003 Note on the Redemption Date; and
(g) the taxable valuation of all taxable property in the City (excluding intangible property) as of
the most recent valuation is not less than $337,219;639; and
(h) that all conditions, acts and things required to exist or to be done precedent to the issuance by
the Authority of its Airport Authority Bond Anticipation Note, Series 2003C, in the principal amount of
$1,332,837 pursuant to Section 3-507, Revised Reissue Statues of Nebraska, 1997, as amended, in the form
of a single note as provided herein, do exist and have been done as required by law.
Section 2. To provide funds for the purposes as set out in Section 1(f) hereof, there shall be and there is
hereby ordered issued the Authority's Airport Authority Bond Anticipation Note, Series 2003C, in the principal
amount of One Million Three Hundred Thirty-two Thousand Eight Hundred Thirty-seven and 00/100 Dollars
($1,332,837.00) (the "Series 2003C Note"), with said Series 2003C Note bearing interest at the rate of 4.00% per
annum from the date hereof until paid. The Series 2003C Note shall be issued in fully registered form, and the date of
original issue for the Series 2003C Note shall be the date of delivery thereof, The Series 203C Note shall mature, and
the entire unpaid principal amount of the Series 2003C Note, together with all unpaid accrued interest thereon, shall be
due and payable on July 7, 2004 (such date being referred to as the "Maturity Date"). Interest shall be computed based
upon a 360 day year consisting of twelve 30 day months. Payments shall be applied first to accrued interest and then to
principal, and shall be payable to the registered owner of record as of the fifteenth day immediately preceding the
Maturity Date or other date of prepayment, if applicable (the "Record Date"), subject to the provisions of Section 4
hereof. Payments of principal and interest due at final maturity or upon redemption in whole or in part prior to maturity
shall be made by said Paying Agent and Registrar to the registered owner upon presentation and surrender of the Series
2003C Note (or presentation for notation of partial prepayment, if applicable) to said Paying Agent and Registrar. The
Authority and said Paying Agent and Registrar may treat the registered owner of the Series 2003C Note as the absolute
owner thereof for the purpose of making payments thereon and for all other purposes and neither the Authoritynor the
Paying Agent and Registrar shall be affected by any notice or knowledge to the contrary, whether the Series 2003C Note
or any payment of principal or interest due thereon shall be overdue or not. All payments on account of interest or
principal made to the registered owner of the Series 2003C Note in accordance with the terms of this Resolution shall be
valid and effectual and shall be a discharge of the Authority and said Paying Agent and Registrar; in respect of the
liability upon the Series 2003C Note or claims for interest to the extent of the sum or sums so paid.
Section 3. The Authority's Treasurer is hereby designated to serve as Paying Agent and Registrar for the Series
2003C Note. The Paying Agent and Registrar shall keep and maintain for the Authority books for the registration and
transfer of the Series 2003C Note at the Authority's offices in Blair, Nebraska, being the office of such Paying Agent and
Registrar for purposes of this Resolution. The name and registered address of the registered owner of the Series 2003C
Note shall at all times be recorded in such books. The Series 2003C Note may be transferred pursuant to its provisions at
the office of said of said Paying Agent and Registrar by surrender of such Series 2003C Note for notation of transfer,
accompanied by a written instrument of transfer, in form satisfactory to said Paying Agent and Registrar, duly executed
by the registered owner in person or by such owner's duly authorized agent, and thereupon the Paying Agent and
Registrar on behalf of the Authority will register such transfer upon its books and make notation thereof on said Series
2003C Note and deliver said Series 2003C Note at its office to the transferee owner (or send it by registered mail to the
transferee owner thereof at such transferee owner's risk and expense). The Authority and said Paying Agent and
Registrar shall not be required to transfer the Series 2003C Note during any period from any Record Date until the
Maturity Date or to transfer the Series 2003C Note, when called for redemption, for a period of 30 days next preceding
the date fixed for redemption.
Section 4. If the date for payment of the principal of or interest on the Series 2003C Note shall be a Saturday,
Sunday, legal holiday or a day on which banking institutions in the State of Nebraska are authorized by law or executive
order to close, then the date for such payment shall be the next succeeding day which is not a Saturday, Sunday, legal
holiday or a day on which such banking institutions are authorized to close, and payment on such day shall have the
same force and effect as if made on the nominal date of payment.
Section 5. The Series 2003C Note shall be subject to redemption in whole or in part prior to maturity on any
business day upon written notice to the registered owner of the Series 2003C Note at par plus accrued interest on the
principal amount redeemed to the date fixed for redemption. Redemption in part shall be made only in whole principal
increments of $1,000 and shall include all accrued but unpaid interest on the principal amount being prepaid in part to the
date fixed for partial redemption. Such notice of redemption shall designate the principal amount of the Series 2003C
Note to be redeemed and the date fixed for redemption and state that the Series 2003C Note is to be presented for
prepayment in whole or for notation of prepayment in part at the office of the Paying Agent and Registrar. No defect in
the mailing of notice for any such redemption of the Series 2003C Note shall affect the sufficiency of the proceedings of
the Authority designating the call and the Authority shall have the right to direct further notice of redemption for the
Series 2003C Note for any redemption for which defective notice has been given. The registered owner of the Series
2003C Note shall have the right to waive notice with respect to any redemption as described in this Section 5.
Section 6. The Series 2003C Note shall be in substantially the following form:
UNITED STATES OF AMERICA
STATE OF NEBRASKA.
COUNTY OF WASHINGTON
AIRPORT AUTHORITY BOND ANTICIPATION NOTE, SERIES 2003C
OF
THE AIRPORT AUTHORITY OF THE CITY OF BLAIR, NEBRASKA
No. 1 $1,332,837.00
Interest Rate Maturity Date Date of Original Issue
4.00% July 7, 2004 November 25, 2003
KNOW ALL PERSONS BY THESE PRESENTS: That the Airport Authority of the City of Blair, Nebraska,
(the "Authority") hereby acknowledges itself to owe and for value received promises to pay to the registered owner
specified on the Provision for Registration (set forth below and forming a part hereof), or registered assigns, the sum of
One Million Three Hundred Thirty-two Thousand Eight Hundred Thirty-seven and 00/100 Dollars ($1,332,837) in
lawful money of the United States of America, with interest on the unpaid principal balance thereof from the date hereof
until paid at 4.00% per annum. The principal of this Note together with all accrued and unpaid interest thereon shall
become due on July 7, 2004 (the "Maturity Date"). Principal and interest due upon the Maturity Date (or earlier
redemption) shall be made upon presentation and surrender of this Note (or presentation for notation of partial
prepayment, if applicable) to the Authority's Treasurer at the Authority's office in Blair, Nebraska -
The Authority, however, reserves the right and option of making prepayment on this Note in whole or in part
prior to maturity on any business day upon' written notice to the registered owner of the Note at par plus accrued interest
on the principal amount redeemed to the date fixed for redemption. Prepayments in part shall be made only in whole
principal increments of $1,000 and shall include all accrued but unpaid interest on the principal amount being prepaid in
part to the date fixed for partial ,redemption. Such notice of redemption may be waived by the registered owner in
writing. Partial prepayments shall be noted by the Authority's Treasurer on the form set forth below.
This Note is the single Note of its issue in the principal amount of $1,332,837.00 issued by the Authority for the
purpose of paying the costs of acquiring land to be used by the Authority for runway expansion, required rights-of-
way, and constructing public improvements to the existing airport and related facilities operated by the Authority (as
now existing or hereafter improved and extended, the "Airport"), including refunding temporary indebtedness
incurred for such purposes. The issuance of said Note has been authorized by proceedings duly had and a resolution
legally adopted by the Board of the Authority under and pursuant to the provisions of Article 5, Chapter 3, R.R.S. Neb.
1997, as amended.
This Note is transferable, with the prior written consent of the Authority, by the registered owner or such
owner's attorney duly authorized in writing at the office of the Authority's Treasurer upon surrender of this Note for
notation of transfer as provided in the Provision for Registration forming a part hereof. The Authority; the Authority's
Treasurer and any other person may treat the person whose name this Note is registered as the absolute owner hereof for
the purpose of receiving payment due hereunder and for all purposes and shall not be affected by any notice to the
contrary, whether this Note be overdue or not.
If the day for payment of the principal of or interest on this Note shall be a Saturday, Sunday, legal holiday or a
day on which banking institutions in the State of Nebraska are authorized by law or executive order to close, then the
date for such payment shall be the next succeeding day which is not a Saturday, Sunday, legal holiday or a day on which
such banking institutions are authorized to close, and payment on such date shall have the same force and effect as if
made on the nominal date of payment.
The resolution under which this Note has been issued constitutes a contract between the Authority and the
holder of said Note which cannot be altered or changed without the written consent of such holder. This Note shall
not be a debt of the State of Nebraska or the City of Blair, Nebraska (the "City"), and neither the State of Nebraska
nor the City shall be liable thereon.
This Note shall be payable from the proceeds of the Authority's airport authority bonds or other bonds, to
the extent not paid from other sources. In addition, the revenues, income, receipts, profits and other monies derived
and to be derived from the operation of the Authority's airport facility, including monies derived from the
authorized levy of taxes (the "Revenues") have been pledged for the payment of this Note as well as certain other
notes of equal standing; provided, however, that such pledge is and shall be junior and subordinate to the previous
pledge of the Revenues for the payment of the Authority's outstanding Airport Authority Refunding Bonds, Series
2003, date of original issue --April 23, 2003.
IT IS HEREBY CERTIFIED AND WARRANTED that all conditions, acts and things required by law to exist
or to be done precedent to and in the issuance of this Note did exist, did happen and were done and performed in regular
and due form and time as required by law and that the indebtedness of said Authority, including this Note, does not
exceed any limitation imposed by law.
IN WITNESS WHEREOF, the members of the Board of the Authority have caused this Note to be executed on
behalf of the Authority by being signed by its Chairperson and Secretary and by causing the official seal of the Authority
to be impressed or imprinted hereon, all as of the date of original issue specified above.
This Note shall not be valid and binding on the Authority until authenticated by .the Paying Agent and
Registrar.
THE AIRPORT AUTHORITY OF THE
CITY OF BLAIR, NEBRASKA
(SEAL)
By: (SAMPLE --DO NOT SIGN)
Chairperson
ATTEST:
(SAMPLE --DO NOT SIGN)
Secretary
PROVISION FOR REGISTRATION
The ownership of this Note shall be registered as to both principal and interest on the books and records of the
Airport Authority of the City of Blair, Nebraska, kept by the Authority's Treasurer, who shall make notation of such
registration in the registration blank below, and the transfer of this Note may thereafter be registered only upon an
assignment duly executed by the registered owner or such owner's attorney or legal representative, in such form as shall
be satisfactory to said Authority's Treasurer, such registration of transfer to be made on such books and endorsed hereon
by said Treasurer.
Date of Registration I Name of Registered Owner I Signature of Authority Treasurer
I November 25, 2003 1 Washington County Bank I (SAMPLE --DO NOT SIGN) 11
NOTATION OF PARTIAL PREPAYMENTS
Date of Prepayment Amount of Prepayment
Section 7. The Series 2003C Note shall be executed on behalf of the Authority with the manual signatures of
the Chairperson and the Secretary and shall have impressed or imprinted thereon the Authority's seal. Thereafter the
Series 2003C Note shall be delivered to the Paying Agent and Registrar for registration. Upon execution and registration
of the Series 2003C Note, it shall be delivered to the Authority's Treasurer, who is authorized to deliver it to Washington
County Bank, as purchaser thereof, upon receipt of the principal amount of the Series 2003C Note plus accrued interest
(if any) thereon from the date of delivery to date of payment for the Series 2003C Note. The proceeds of the Series
2003C Note shall be applied to the payment and redemption of the Series 2003 Note as called for redemption on the
Redemption Date.
Section 8. The Authority covenants and agrees that it will take all steps required to acquire the Project
described in Section 1 hereof in a manner to allow it to issue and sell its airport authority bonds or other bonds. The
Authority further covenants and agrees to issue Ind sell its airport authority bonds or other bonds in a sufficient amount
and at such time as will enable it to take up and pay off the Series 2003C Notes herein ordered issued, both principal and
interest, at or prior to maturity, to the extent not paid from other sources. The Series 2003C Note shall be payable from
the proceeds of the Authority's airport authority bonds or other bonds, to the extent not paid from other sources. In
addition, the Authority hereby pledges and hypothecates the revenues, income, receipts, profits and other monies
derived from and to be derived from the operation of its airport facility and the income from any additions and
improvements to said airport facility (collectively, With the proceeds of the tax levy described below, the
"Revenues") for the payment of principal of and interest on the Series 2003C Note; provided, however, that such
pledge is and shall be junior and subordinate in priority to the pledge of such Revenues for payment of the 2003
Refunding Bonds.
Section 9. The Authority hereby fmds and determines that it is now duly authorized by law to annually certify
to the governing body of the City a tax to be levied by the City for airport purposes on all the taxable property within the
City of not to exceed three and one-half (3.5) cents per $100 of taxable valuation of all of the taxable property within the
City. The Authority hereby covenants and agrees that while the Series 2003C Note remains outstanding, it will
certify annually to the governing body of the City a tax to be levied for airport purposes, in such amount, but not to
exceed three and one-half (3.5) cents per $100 of taxable valuation on all taxable property in the City, which tax
together with all other Revenues, shall be sufficient to operate the airport and to pay the principal of and interest on
the Series 2003C Note, the 2003 Refunding Bonds and any additional bonds or notes issued on a parity with the
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Series 2003C Note or the 2003 Refunding Bonds, as such principal and interest become due (taking into account the
issuance of bonds to pay the Series 2003C Note at maturity as provided in Section 8 hereof). The Authority further
covenants and agrees that it will, from time to time, establish, maintain and collect fees, rents, tolls and other
charges for the use and occupancy of the Airport and for all services, facilities and commodities, sold, furnished or
supplied therefrom which will, together with the proceeds of the tax levy referred to above, in the aggregate provide
funds sufficient at all times to pay all operating costs of the Authority and to provide net revenues sufficient to pay
all principal and interest requirements on the Series 2003C Note, the 2003 Refunding Bonds, and any additional
bonds or notes now or hereafter issued on a parity with the Series 2003C Note or the 2003 Refunding Bonds as the
same become due (taking into account the issuance of bonds to pay the Series 2003C Note at maturity as provided in
Section 8 hereof).
Section 10. The Authority shall transfer to the account of the Paying Agent and Registrar, at least five (5)
days before any payment of principal and interest on the Series 2003C Note becomes due a sufficient amount to pay
said principal and interest as the same becomes due.
Section 11. Nothing herein shall prevent the Authority from issuing refunding notes which will take up
and pay off in full the Series 2003C Note at any time, subject to the applicable limit upon early redemption (if any)
set forth in Section 5 of this Resolution. The Authority may issue additional notes of equal standing with the Series
2003C Note with the consent of the registered owner of the Series 2003C Note. The Authority may issue bonds,
notes or other evidences of indebtedness junior in lien and standing with respect to the Series 2003C Note without
limitation.
Section 12. No amendments shall be made to this Resolution or to any rights of the holder of the Series
2003C Note which would in any way be prejudicial to the rights of the holder of the Series 2003C Note without first
obtaining the written consent of the registered owner of the Series 2003C Note.
Section 13. The Authority further covenants and agrees with each of the purchaser and registered owner of
the Series 2003C Note that so long as said Series 2003C Note remains outstanding and unpaid the Authority will
operate and maintain the airport facility operated by it in an efficient manner and at a reasonable cost and in good
repair; that the Authority will carry the customary usual insurance on airport facilities of the kind maintained and in
the amounts normally carried by other similar airports, such insurance to include but not be limited to worker's
compensation, public liability, tornado and fire insurance and flood insurance, if available at reasonable rates, and in
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the event of loss, the proceeds of such insurance shall be used in reconstructing or replacing the property damaged
or destroyed with any surplus remaining available for general corporate purposes of the Authority so long as
payment of the Series 2003C Note, the 2003 Refunding Bonds and any additional bonds has been fully provided for
as to payments falling due within the year in which such surplus monies become available.
Section 14. The Treasurer of the Airport Authority and the Secretary of the Authority and any other
official or employee of the Authority having custody of the funds described and referred to in this Resolution shall
be bonded, in addition to their regular official bonds, in amounts sufficient to cover at all times the amount of funds
of the Authority held by them and the cost of premiums for obtaining such bonds may be paid as an ordinary
operating expense of the Authority.
Section 15. The Authority is hereby authorized and directed to keep proper books, records and accounts in
which complete correct entries shall be made of all transactions relating to the tax levy funds described herein and
the funds of the airport facility. The Authority further agrees that it will within 90 days following the close of each
fiscal year cause an audit of its books and records to be made by a certified public accountant showing receipts and
disbursements for all accounts of the. Authority and such audit will be furnished to the purchaser and registered
owner of the Series 2003C Note. The registered owner of the Series 2003C Note shall have the right at all
reasonable times to inspect the airport facility and all records, accounts and data of the Airport Authority relating
thereto.
Section 16. The Authority hereby covenants and agrees that, while the Series 2003C Note is outstanding,
the Airport Authority will not grant any franchise or right to any person, firm or corporation to own or operate an
airport facility in competition with that owned by the Authority.
Section 17. The Authority hereby covenants to the purchaser and registered owner of the Series 2003C
Note that it will make no use of the proceeds of the Series 2003C Note, including monies held in any sinking fund
for the Series 2003C Note, which would cause the Series 2003C Note to be an arbitrage bond within the meaning of
Sections 103(b) and 148 of the Internal Revenue Code of 1986, as amended (the "Code"), and further covenants to
comply with said Sections 103(b) and 148 and all applicable regulations thereunder throughout the term of the
Series 2003C Note. The Authority hereby covenants and agrees to take all action necessary under the Code to
maintain the tax-exempt status (as to taxpayers generally) of interest payable on the Series 2003C Note. The
Authority hereby designates the Series 2003C Note as one of its "qualified tax-exempt obligations" pursuant to
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Section 265(b)(3)(B)(i)(III) of the Code, and covenants and warrants that it does not reasonably expect to issue tax-
exempt bonds or other tax-exempt interest bearing obligations aggregating in principal: amount more than
$10,000,000 during calendar 2003.
Section 18. This Resolution shall be considered as a covenant with the registered owner of the Series
2003C Note and such owner may enforce the provisions hereof in any manner provided by law or in equity.
Section 19. If any section, paragraph, clause or provision of this Resolution shall be held invalid for any
reason, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of
this Resolution.
Section 21. This Resolution shall be in force and take effect from and after its adoption as provided by law.
ADOPTED this 18th day of November, 2003.
Chairperson
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The motion for adoption was seconded by Board Member Johns on . Upon roll call, the following voted
YEA:. Combs, Havekost, Johnson, Mever and Van Slvke
The following Board Members voted NAY:
None . Absent: None
The Chairperson declared said resolution adopted.
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•otidp�cir adjournment was duly made, seconded and on roll call vote was declared duly adopted by the
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I, the undersigned Secretary for the AirportAuthority of the City of Blair, Nebraska, hereby certify that the
foregoing is a true and correct copy of the proceedings had and done by the Members of the Authority on
November 18, 2003; that all of the subjects included in the foregoing proceedings were contained in the agenda for
the meeting, kept continually current and readily available for public inspection at the office of the Authority; that
such subjects were contained in said agenda for at least twenty-four hours prior to said meeting; that at least one
copy of all reproducible material discussed at the meeting was available at the meeting for examination and copying
by members of the public; that the said minutes from which the foregoing proceedings have been extracted were in
written form and available for public inspection within ten working days and prior to the next convened meeting of
said body; that all news media requesting notification concerning meetings of said body were provided advance
notification of the time and place of said meeting and the subjects to bq discussed at said meeting.
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