NOTICE OF BONDS TO BE ISSUED
NOTICE IS HEREBY GIVEN
pursuant to the provisions of Section 11-14-316, Utah Code Annotated 1953, as amended, that on January 9, 2018, the Board of Education of Morgan County School District, Morgan County, Utah (the “Board”), adopted a resolution (the “Resolution”) in which it authorized and approved the issuance of its general obligation bonds (the “Bonds”), in the aggregate principal amount of not to exceed Forty-Nine Million Dollars, to bear interest at a rate or rates of not to exceed five and one half percent per annum, to mature over a period not to exceed twenty-one years from their date or dates and to be sold at a discount from par, expressed as a percentage of the principal amount, of not to exceed two percent. Under current market conditions, the lowest cost of capital for the debt represented by the Bonds may be achieved by selling the Bonds at a significant premium. Any such premium will be applied by the Board for the purposes for which the Bonds are being issued but will not be treated as principal for the purpose of determining the amount of voter authorization used in connection with the issuance of the Bonds.
Pursuant to the Resolution, the Bonds are to be issued for the purpose of raising money for purchasing one or more school sites, buildings and furnishings and improving existing school property under the charge of the Board (collectively, the “Projects”).
The Board currently has $14,440,000 par amount of bonds currently outstanding that are secured by the full faith and credit of the Board. More detailed information relating to the Board’s outstanding bonds can be found in the Board’s most recent Basic Financial Statements that are available on the Office of the Utah State Auditor’s website (www.auditor.utah.gov). The estimated total cost to the Board for the proposed Bonds that will be used to finance the costs of the Projects, if the Bonds are held until maturity and based on estimated interest rates currently in effect, is $71,263,287.
The Bonds are to be issued and sold by the Board pursuant to the Resolution. A copy of the Resolution is on file in the office of the Business Administrator of Morgan County School District at 240 East Young Street, Morgan, Utah 84050, where the Resolution may be examined during regular business hours of the Business Administrator from 8:00 a.m. to 5:00 p.m. The Resolution shall be so available for inspection for a period of at least thirty days from and after the date of the publication of this notice.
NOTICE IS FURTHER GIVEN that pursuant to law for a period of thirty days from and after the date of the publication of this notice, any person in interest shall have the right to contest the legality of the above-described Resolution of the Board or the Bonds authorized thereby or any provisions made for the security and payment of the Bonds. After such time, no one shall have any cause of action to contest the regularity, formality or legality of the Resolution, the Bonds or the provisions for their security or payment for any cause.