R-83-534 - 8/11/1983RESOLUTION S3 t�CR
WHEREAS, the City Council of the City of Round Rock, Texas desires to
receive bids for the purchase of its $2,800,000 General Obligation Bonds, Series
1983; and
WHEREAS, First Southwest Company, Dallas, Texas, has been authorized and
requested to prepare a Notice of Sale and Bidding Instructions, Official Bid Form
and Official Statement containing financial, economic and other data necessary
and desirable to attract bids for said bonds;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF ROUND ROCK, TEXAS:
That the attached Notice of Sale and Bidding Instructions, Official Bid Form
and Official Statement relative to $2,800,000 City of Round Rock, Texas General
Obligation Bonds, Series 1983, are hereby approved, both as to form and content,
and said First Southwest Company is authorized to distribute said Notice of Sale
and Bidding Instructions, Official Bid Form and Official Statement to prospective
bidders for, and purchasers of, the bonds.
PASSED AND APPROVED this the 1 lth day of August, 1983, by the City Council
of the City of Round Rock, Texas, convened in 4/64,11/.4, session with a lawful
quorum present.
ATTEST:
ayor
First City National Bank of Austin
Registrar and Paying Agencies
Annual Minimum Charge
Bond /Debenture Registrar
Trust Division
FIRS CITY
EXHIBIT A
FULLY REGISTERED
BOND SERVICES
SCHEDULE OF CHARGES
EFFECTIVE JULY 1, 1983
First 100 registrations (minimum per year)
Each registration in excess of 100
Registrations requiring special attention
Reviewing legal transfers (each transaction)
Replacement of lost, stolen or destroyed
securities (each transaction)
Bondholder /Debentureholder Account Maintenance
First 100 accounts (minimum per year)
Each account in excess of 100
Conversion of Bonds /Debentures
1/10 of 1% of principal amount converted
Retirement of Bonds /Debentures
For retirement at maturity, or by call as a whole:
First 100 Bonds /Debentures (each) 1.50
Next 400 Bonds /Debentures (each) 1.00
Excess over 500 Bonds /Debentures (each) .50
For retirement by partial call, tender offer or by purchase:
First 100 Bonds /Debentures (each)
Next 400 Bonds /Debentures (each)
Excess over 500 Bonds /Debentures (each)
823 Congress Avenue, P.O. Box 2127
Austin, TX 78768
(512) 473-4800
$ 500.00
150.00
1.00
10.00
25.00
150.00
.85
2.00
1.50
1.00
TD /D/ 1 Member First City Bancorporation of Texas, Inc.
Trustee
TD / D /2
Registered Interest Disbursement
Each check
Minimum charge (per interest payment)
Destruction of Bonds
Sorting, listing and destroying (per
registered bond)
Minimum charge (per destruction)
Miscellaneous Services
Bondholder /Debentureholder list preparation
(per account)
Bondholder /Debentureholder mailing
(per account)
I.R.S. Form 1099 preparation and filing
(per account)
Minimum fee
Authentication and Delivery of Bonds /Debentures
First $5,000,000.00 principal amount, per million
Next $20,000,000.00 principal amount, per million
Excess over $25,000,000.00 principal amount,
per million
Annual Administration
First $5,000,000.00 principal amount, per million
Next $5,000,000.00 principal amount, per million
Next $10,000,000.00 principal amount, per million
Excess over $20,000,000.00 principal amount,
per million
Minimum annual administration charge
Extraordinary Services
.30
100.00
.15
50.00
.04
.05
.1
50.00
600.00
500.00
400.00
Minimum Charge 1,500.00
These rates include complete study and consideration of all the
usual documents authorizing and support the issuance of
bonds /debentures.
400.00
350.00
250.00
150.00
1,500.00
Charges for performing any Corporate Trust Services not specifically
covered in this schedule will be determined by an appraisal of the
services rendered.
Additional Charges
TD /D /3
The fees shown in this schedule are intended to minimum fees, and
accordingly, are subject to increase if the circumstances attending a
particular issue or account so warrant. Furthermore, they do not
include counsel fees or any other travel expenses or disbursements.
All out -of- pocket expenses such as stationery, binders, check forms,
printing, and envelopes will be added, at cost, to the regular fee for
services. Postage, registered mail and insurance charges will be
billed in addition to all other fees and charges.
AGREEMENT entered into as of August 11 , 19 83 (this
"Agreement "), by and between City of Round Rock, -,
Texas, a (the "Issuer "), and First City National Bank , a
Bank duly organized and existing under the laws of
the United States of America (the "Bank ").
The Issuer has duly authorized and provided for the issuance of
its General Obligation Tax Bonds, Series 1983
(the "Securities ") in an aggregate principal amount of
$ 2,800,000.00 to be issued as registered securities without
coupons;
The Issuer has duly authorized the execution and delivery of
this Agreement; and all things necessary to make this Agreement the
valid agreement of the Issuer, in accordance with its terms, have
been done.
TO /J1
PAYING AGENT /REGISTRAR
RECITALS OF THE ISSUER
All things necessary to make the Securities the valid
obligations of the Issuer, in accordance with their terms, will be
taken upon the issuance and delivery thereof;
The Issuer is desirous that the Bank act as the Paying Agent of
the Issuer in paying the principal, premium (if any) and interest on
the Securities, in accordance with the terms thereof, and that the
Bank act as Registrar for the Securities;
NOW, THEREFORE, it is mutually agreed as follows:
Section 1.01. Appointment.
ARTICLE ONE
APPOINTMENT OF BANK AS
PAYING AGENT AND REGISTRAR
The Issuer hereby appoints the Bank to act as Paying Agent with
respect to the Securities, in paying to the holders of the Securities
the principal, premium (if any) and interest on all or any of the
Securities.
The Issuer hereby appoints the Bank as Registrar with respect to
the Securities.
The Bank hereby accepts its appointment, and agrees to act as,
the Paying Agent and Registrar.
TO /J2
Section 1.02. Compensation.
As compensation for the Bank's services as Paying
Agent /Registrar, the Issuer hereby agrees to pay the Bank the fees
and amounts set forth in Annex A hereto for the First year of this
Agreement and thereafter the fees and amounts set forth in the Bank's
current fee schedule then in effect for services as Paying
Agent /Registrar for municipalities, which shall be supplied to the
Issuer on or before 90 days prior to the close of the Fiscal Year of
the Issuer, and shall be effective upon the first day of the
following Fiscal Year.
In addition, the Issuer agrees to reimburse the Bank upon its
request for all reasonable expenses, disbursements and advances
incurred or made by the Bank in accordance with any of the provisions
hereof (including the reasonable compensation and the expenses and
disbursements of its agents and counsel).
ARTICLE TWO
DEFINITIONS
Sections 2.01. Definitions.
For all purposes of this Agreement, except as otherwise
expressly provided or unless the context otherwise requires:
"Acceleration Date" on any Security means the date on and
after which the principal or any or all installments of
interest, or both, are due and payable on any Security which has
become accelerated pursuant to the terms of the Security.
"Bank Office" means the principal corporate trust office of
the Bank as indicated on page 10. The Bank will notify the
Issuer in writing of any change in location of the Bank Office.
"Bond Resolution" means the resolution, order or ordinance
of the governing body of the Issuer pursuant to which the
Securities are issued certified by the Secretary or any officer
of the Issuer and delivered to the Bank.
"Fiscal Year" means 10 /1 through 9/30
"Holder" and "Security Holder" each means a Person in whose
name a Security is registered in the Security Register.
"Issuer Request" and "Issuer Order" means a written request
or order signed in the name of the Issuer by the Mayor, the City
Manager, the City Secretary, or nirector of Finance
and delivered to the Bank.
TO /J3
"Legal Holiday" means a day on which the Bank is required
or authorized to be closed.
"Person" means any individual, corporation, partnership,
joint venture, association, joint stock company, trust,
unincorporated organization or government or any agency or
political subdivision of a government.
"Predecessor Securities" of any particular Security means
every previous Security evidencing all or a portion of the same
obligation as that evidenced by such particular Security (and,
for the purposes of this definition, any Security registered and
delivered under Section 4.06 in lieu of a mutilated lost,
destroyed or stolen Security shall be deemed to evidence the
same obligation as the mutilated lost, destroyed or stolen
Security).
"Redemption Date" when used with respect to any Bond to be
redeemed means the date fixed for such redemption pursuant to
the terms of the Bond Resolution.
"Responsible Officer" when used with respect to the Bank
means the Chairman or Vice- Chairman of the Board of Directors,
the Chairman or Vice- Chairman of the Executive Committee of the
Board of Directors, the President, any Vice President, the
Secretary, any Assistant Secretary, the Treasurer, any Assistant
Treasurer, the Cashier, any Assistant Cashier, any Trust Officer
or Assistant Trust Officer, or any other officer of the Bank
customarily performing functions similar to those performed by
any of the above designated officers and also means, with
respect to a particular corporate trust matter, any other
officer to whom such matter is referred because of his knowledge
of and familiarity with the particular subject.
"Security Register" means a register in which the issuer
shall provide for the registration of Securities and of
transfers of Securities.
"Stated Maturity" means the date specified in the Bond
Resolution as the fixed date on which the principal of the
Security is due and payable.
Section 2.02. Other Definitions.
The terms "Bank," "Issuer" and "Security" have the meanings
assigned to them in the opening paragraph of this Agreement or in the
Recitals of the Issuer.
The term "Paying Agent /Registrar" refers to the Bank when it is
performing the functions associated with such terms in this
Agreement.
ARTICLE THREE
PAYING AGENT
Section 3.01. Duties of Paying Agent.
As Paying Agent, the Bank shall, provided adequate collected
funds have been provided to it for such purpose by or on behalf of
the issuer, pay on behalf of the Issuer the principal of the Security
at its Stated Maturity, Redemption Date or Acceleration Date, to the
Holder upon surrender of the Security to the Bank at the Bank Office.
As Paying Agent, the Bank shall, provided adequate collected
funds have been provided to it for such purpose by or on behalf of
the Issuer, pay on behalf of the Issuer the interest on the Security
when due, by computing the amount of interest to be paid each Holder,
preparing the checks and mailing the checks on the payment date, to
the Holders of the Securities (or their Predecessor Securities) on
the Record Date, addressed to their address appearing on the Security
Register.
Section 3.02. Payment Dates.
The Issuer hereby instructs the Bank to pay the principal of and
interest on the Securities at the dates specified in the Bond
Resolution.
ARTICLE FOUR
REGISTRAR
Section 4.01. Transfer and Exchange.
The Issuer shall keep at the Bank Office a register (herein
sometimes referred to as the "Security Register ") in which, subject
to such reasonable written regulations as the Issuer may prescribe
(which regulations shall be furnished the Bank herewith or subsequent
hereto by Issuer Order), the Issuer shall provide for the
registration of Securities and of transfers of Securities. The Bank
is hereby appointed "Registrar" for the purpose of registering
Securities and transfers of Securities as herein provided. The Bank
agrees to maintain the Security Register while it is Registrar.
Every Security surrendered for transfer or exchange shall be duly
endorsed or be accompanied by a written instrument of transfer, the
signature on which has been guaranteed by an officer of a federal or
state bank or a member of the National Association of Securities
Dealers, in form satisfactory to the Bank, duly executed by the
Holder thereof or his attorney duly authorized in writing.
Registrar may request any supporting documentation it feels
necessary to effect a re- registration.
TO /S4
Section 4.02. Certificates.
The Issuer shall provide an adequate inventory of Securities
certificates to facilitate transfers. The Bank covenants that it
will maintain Securities certificates in safekeeping and will use
reasonable care in maintaining such Securities in safekeeping, which
shall be not less than the care it maintains for debt securities of
other governments or corporations for which it serves as registrar,
or which it maintains for its own Securities.
Section 4.03. Form of Security Register.
The Bank as Registrar will maintain the records of the Security
Register in accordance with the Bank's general practices and
procedures in effect from time to time. The Bank shall not be
obligated to maintain such Register in any form other than those
which the Bank has currently available and currently utilizes at the
time.
The Securities Register may be maintained in written form or in
any other form capable of being converted into written form within a
reasonable time.
Section 4.04. List of Security Holders.
The Bank will provide the Issuer at any time requested by the
Issuer, upon payment of the required fee, a copy of the information
contained in the Security Register. The Issuer may also inspect the
information in the Security Register at any time the Bank is
customarily open for business, provided that reasonable time is
allowed the Bank to provide an up -to -date listing or to convert the
information into written form.
The Bank will not release or disclose the content of the
Security Register to any person other than to, or at the written
request of, an authorized officer or employee of the Issuer, except
upon receipt of a subpoena or court order. Upon receipt of a
subpoena or court order the Bank will notify the Issuer so that the
Issuer may contest the subpoena or court order.
Section 4.05. Return of Cancelled Certificates.
The Bank will, at such reasonable intervals as it determines,
surrender to the Issuer, Securities certificates in lieu of which or
in exchange for which other Securities have been issued, or which
have been paid.
Section 4.06. Mutilated, Destroyed, Lost, or Stolen Securities.
The Issuer hereby instructs the Bank to deliver and issue
Securities in exchange for or in lieu of mutilated, destroyed, lost
or stolen Securities as long as the same does not result in an
overissuance.
TO /J5
The Bank will issue and deliver a new Security in exchange for a
mutilated Security surrendered to it. The Bank will issue a new
Security in lieu of a Security for which it received written
representation from the Holder that the Certificate representing such
Security is destroyed, lost, or stolen, without the surrender or
production of the original Certificate. The Bank will pay on behalf
of the Issuer the principal and premium, if any, of a Security for
which it receives written representation such Security is destroyed,
lost or stolen following the Stated Maturity or Redemption of the
Security, without the surrender or production of the original
Certificate.
The Bank will not issue a replacement Security or pay such
replacement Security unless there is delivered to the Bank such
security or indemnity as it may require (which may be by the Bank's
blanket bond) to save both the Bank and the Issuer harmless.
On satisfaction of the Bank and the Issuer, the Certificate
number on the Security registered will be cancelled with a notation
that it has been mutilated, destroyed, lost or stolen and a new
Security will be issued of the same series and of like tenor and
principal amount bearing a number (according to the Security
Register) not contemporaneously outstanding.
The Bank may charge the Holder the Bank's fee and expense in
connection with issuing a new Security in lieu of or exchange for a
mutilated, destroyed, lost or stolen Security.
The Issuer hereby accepts the Bank's current blanket bond for
lost, stolen, or destroyed Certificates and any future substitute
blanket bond for lost, stolen, or destroyed Certificates that the
Bank may arrange, and agrees that the coverage under any such blanket
bond is acceptable to it and meets the Issuer's requirements as to
security or indemnity. The Bank need not notify the Issuer of any
changes in the security or other company giving such bond or the
terms of any such bond. The blanket bond then utilized for the
purpose of lost, stolen or destroyed Certificates by the Bank is
available for inspection by the Issuer on request.
Section 4.07. Transaction Information to Issuer.
The Bank will, within a reasonable time after receipt of written
request from the Issuer, furnish the Issuer information as to the
Securities it has paid pursuant to 3.01, Securities it has delivered
upon the transfer or exchange of any Securities pursuant to Section
4.01 and Securities it has delivered in exchange for or in lieu of
mutilated, destroyed, lost or stolen Securities pursuant to Section
4.06.
TO /J6
ARTICLE FIVE
THE BANK
Section 5.01. Duties of Bank
The Bank undertakes to perform the duties set forth herein and agrees
to use reasonable care in the performance thereof.
Section 5.02. Reliance on Documents, Etc.
(a) The Bank may conclusively rely, as to the truth of the
statements and correctness of the opinions expressed therein, on
certificates or opinions furnished to the Bank.
(b) The Bank shall not be liable for any error of judgment made
in good faith by a Responsible Officer, unless it shall be proved
that the Bank was negligent in ascertaining the pertinent facts.
(c) No provisions of this Agreement shall require the Bank to
expend or risk its own funds or otherwise incur any financial
liability for performance of any of its duties hereunder, or in the
exercise of any of its rights or powers, if it shall have reasonable
grounds for believing that repayment of such funds or adequate
indemnity satisfactory to it against such risks or liability is not
assured to it.
(d) The Bank may rely and shall be protected in acting or
refraining from acting upon any resolution, certificate, statement,
instrument, opinion, report, notice, request, direction, consent,
order, bond, note, security, or other paper or document believed by
it to be genuine and to have been signed or presented by the proper
party or parties. Without limiting ,the generality of the foregoing
statement, the Bank need not examine, the ownership of any Securities,
but is protected in acting upon receipt of Securities containing an
endorsement or instruction of transfer or power of transfer which
appears on its face to be signed by the Holder or an attorney -in -fact
of the Holder. The Bank shall not be bound to make any investigation
into the facts or matters stated in a resolution, certificate,
statement, instrument, opinion, report, notice, request, direction,
consent, order, bond, note, security or other paper or document
supplied by Issuer.
(e) The Bank may consult with counsel, and the written advice
of such counsel or any opinion of counsel shall be full and complete
authorization and protection with respect to any action taken,
suffered or omitted by it hereunder in good faith and in reliance
thereon.
(f) The Bank may exercise any of the powers hereunder and
perform any duties hereunder either directly or by or through agents
or attorneys and the Bank. -
TO /J7
Section 5.03. Recitals of Issuer.
The recitals contained herein and in the Securities shall be
taken as the statements of the Issuer, and the Bank assumes no
responsibility for their correctness.
The Bank shall in no event be liable to the Issuer, any Holder
or Holders of any Security or any other Person for any amount due on
any Security from its own funds.
Section 5.04. May Hold Securities.
The Bank, in its individual or any other capacity, may become
the owner or pledgee of Securities and may otherwise deal with the
Issuer with the same rights it would have if it were not the Paying
Agent /Registrar, or any other agent.
Section 5.05. Moneys Held by Bank.
Money held by the Bank hereunder need not be segregated from any
other funds provided appropriate accounts are maintained.
The Bank shall be under no liability for interest on any money
received by it hereunder.
Any money deposited with the Bank for the payment of the
principal, premium (if any) or interest on any Security and remaining
unclaimed for four years after final maturity of the Security has
become due and payable will be paid by the Bank to the Issuer, and
the Holder of such Security shall thereafter look only to the Issuer
for payment thereof, and all liability of the Bank with respect to
such monies shall thereupon cease.
Section 5.06. Indemnification.
The Issuer agrees to indemnify the Bank for, and hold it
harmless against, any loss, liability or expense incurred without
negligence or bad faith on its part, arising out of or in connection
with its acceptance or administration of its duties hereunder,
including the cost and expense (including its counsel fees) of
defending itself against any claim or liability in connection with
the exercise or performance of any of its powers or duties under this
Agreement.
Section 5.07. Interpleader.
The Issuer and the Bank agree that the Bank may seek
adjudication of any adverse claim, demands or controversy over its
persons as well as funds on deposit, in either the District Court of
Williamson County, Texas, or the United States Federal District
Court for the Western District of Texas, waive personal
service of any process, and agree that service of process by
TO /J8
certified or registered mail, return receipt requested, to the
address set forth in Section 6.03 of this Agreement shall constitute
adequate service. The Issuer and the Bank further agree that the
Bank has the right to file a Bill of Interpleader in any court of
competent jurisdiction to determine the rights of any Person claiming
any interest herein.
ARTICLE SIX
MISCELLANEOUS PROVISIONS
Section 6.01. Amendment.
This Agreement may be amended only by an agreement in writing
signed by both of the parties hereof.
Section 6.02. Assignment.
This Agreement may not be assigned by either party without the
prior written consent of the other.
Section 6.03. Notices.
Any request, demand, authorization, direction, notice, consent,
waiver or other document provided or permitted hereby to be given or
furnished to the Issuer or the Bank shall be mailed or delivered to
the Issuer or the Bank, respectively, at the addresses shown on page
10.
Section 6.04. Effect of Headings.
The Article and Section headings herein are for convenience only
and shall not affect the construction hereof.
Section 6.05. Successors and Assigns.
All covenants and agreements herein by the Issuer shall bind its
successors and assigns, whether so expressed or not.
In case any provision herein shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the
remaining provisions shall not in any way be affected or impaired
thereby.
Nothing herein, express or implied, shall give to any Person,
other than the parties hereto and their successors hereunder, any
benefit or any legal or equitable right, remedy or claim hereunder.
TO /J9
Section 6.06. Separability.
Section 6.07. Benefits of Agreement.
Section 6.08. Entire Agreement.
This Agreement and the Bond Resolution constitute the entire
agreement between the parties hereto relative to the Bank acting as
Paying Agent /Registrar and if any conflict exists between this
Agreement and the Bond Resolution, the Bond Resolution shall govern.
Section 6.09. Counterparts.
This Agreement may be executed in any number
each which shall be deemed an original and all
constitute one and the same Agreement.
Section 6.10. Termination.
This Agreement will terminate on the date of
the Bank issuing its checks for the final payment
interest of the Securities.
This Agreement may be earlier terminated upon 60 days written
notice by either party.
Section 6.11. Governing Law.
This Agreement shall be construed in accordance with and
governed by the laws of the State of Texas.
This proposal is submitted in duplicate originals. When
accepted by the issuer it will constitute the entire agreement
between issuer and the undersigned for the purpose and considerations
herein specified. Your acceptance will be indicated by proper
signatures of your authorized officers or representatives on both
copies and the returning of our executed copy to us.
Respectfully submitted by:
First City National Bank of Austin, Texas
By: .
Title•f��jiC,F j�Si�l vTh'/!S/�rC'r./�
Atte
Titl 1/lCP
Accepted:
By:
Title:
TO /J10
`. `h
Tarry. Tann, Mayor
of counterparts,
of which shall
final payment by
of principal and
Successor Paying Agent /Registrar ... Provision is made in the Ordinance for replacement of the Paying
Agent /Registrar. If the Paying Agent /Registrar is replaced by the City, the new Paying Agent /Registrar
shall accept the previous Paying Agent /Registrar's records and act in the same capacity as the previous
Paying Agent /Registrar. Any Paying Agent /Registrar selected by the City shall be either a national or
state banking institution and shall be a corporation organized and doing business under the laws of the
United States of America or of any State, authorized under such laws to exercise trust powers, and
subject to supervision or examination by Federal or State authority. Successor Paying Agent /Registrar, if
any, shall be determined by the City.
Source of Payment ... The Bonds are direct and voted general obligations payable out of the receipts
from an ad valorem tax levied, within the limits prescribed by law, on taxable property located within the
City.
CONDITIONS OF THE SALE
Types of Bids and Interest Rates ... The Bonds will be sold in one block on an "All or None" basis, and at
a price of not less than their par value plus accrued interest to the date of delivery of the Bonds. Bidders
are invited to name the rate(s) of interest to be borne by the Bonds, provided that each rate bid must be in
a multiple of 1/8 of 1% or 1/20 of 1% and the effective interest rate must not exceed 15 %. The highest
rate bid may not exceed the lowest rate bid by more than 3% in rate. No limitation is imposed upon
bidders as to the number of rates or changes which may be used. All Bonds of one maturity must bear one
and the same rate. No bids involving supplemental interest rates will be considered. Each bidder shall
state in his bid the total interest cost in dollars and the net effective interest rate determined thereby,
which shall be considered informative only and not as a part of the bid.
Basis for Award ... For the purpose of awarding the sale of the Bonds, the interest cost of each bid will
be computed by determining, at the rate or rates specified therein, the total dollar cost of all interest on
the Bonds from the date thereof to their respective maturities, using the table of Bond Years herein, and
deducting therefrom the premium bid, if any. Subject to the City's right to reject any or all bids and to
waive any irregularities except time of filing, the Bonds will be awarded to the bidder (the "Initial
' Purchaser" "Purchaser ") whose bid based on the above computation produces the lowest net effective
interest cost to the City.
Good Faith Deposit ... A Good Faith Deposit, payable to the "City of Round Rock, Texas ", in the amount
of $56,000.00, is required. Such Good Faith Deposit shall be in the form of a Cashier's Check, or its
equivalent, which is to be retained uncashed by the City pending the Purchaser's compliance with the
terms of his bid and the Notice of Sale and Bidding Instructions. The Good Faith Deposit may accompany
the Official Bid Form or it may be submitted separately. If submitted separately, it shall be made
available to the City prior to the opening of the bids, and shall be accompanied by instructions from the
bank on which drawn which authorize its use as a Good Faith Deposit by the Purchaser who shall be named
in such instructions. The Good Faith Deposit of the Purchaser will be applied on the purchase price on the
date of delivery of the Bonds. No interest will be allowed on the Good Faith Deposit. In the event the
Purchaser should fail or refuse to take up and pay for the Bonds in accordance with his bid, then said
check shall be cashed and accepted by the City as full and complete liquidated damages. The checks
accompanying bids other than the winning bid will be returned immediately after the bids are opened, and
an award of the Bonds has been made.
DELIVERY OF THE BONDS AND ACCOMPANYING DOCUMENTS
CUSIP Numbers ... It is anticipated that CUSIP identification numbers will be printed on the Bonds, but
neither the failure to print such number on any Bond nor any error with respect thereto shall constitute
cause for a failure or refusal by the Purchaser to accept delivery of and pay for the Bonds in accordance
with the terms of this Notice of Sale and the terms of the Official Bid Form. All expenses in relation to
the printing of CUSIP numbers on the Bonds shall be paid by the City; provided, however, that the CUSIP
Service Bureau charge for the assignment of the numbers shall be the responsibility of and shall be paid
for by the Purchaser.
Initial Delivery of Initial Bond ... Initial Delivery will be accomplished by the issuance of one Initial Bond
(also called the "Bonds "), either in typed or printed form, in the aggregate principal amount of $2,800,000,
payable in stated installments to the Purchaser, signed by the Mayor and City Secretary, either manual or
facsimile, approved by. the Attorney General, and registered and manually signed by the Comptroller of
Public Accounts, initial Delivery will be at the corporate trust office of the Paying Agent /Registrar.
Payment for the Bonds must be made in immediately available funds for unconditional credit to the City,
or as otherwise directed by the City. The Purchaser will be given six business days' notice of the time
fixed for delivery of the Bonds. It is anticipated that Initial Delivery can be made on or about October
11, 1983, and it is understood and agreed that the Purchaser will accept delivery and make payment for
the Initial Bond by 10 ;00 AM, CDT, on October 11, 1983, or thereafter on the date the Bond is tendered
NOTICE OF SALE
AND
BIDDING INSTRUCTIONS
ON
$2,800,000
CITY OF ROUND ROCK, TEXAS
(Williamson County)
GENERAL OBLIGATION BONDS, SERIES 1983
Selling Tuesday, September 6, 1983, at 7:00 PM, CDT
THE SALE
Bonds Offered for Sale at Competitive Bidding ... The City of Round Rock, Texas (the "City "), is offering
for sale its $2,800,000 General Obligation Bonds, Series 1983 (the "Bonds" or "Bond ").
Address of Bids ... Sealed bids, plainly marked "Bid for Bonds ", should be addressed and delivered to
"Mayor and City Council, City of Round Rock, Texas ", prior to 7:00 PM, CDT, on the date of the bid
opening. All bids must be submitted on the Official Bid Form, without alteration or interlineation.
Place and Time of Bid Opening ... The City Council will open and publicly read the bids for the purchase
of the Bonds at the City Hall Chambers, 214 East Main, Round Rock, Texas, at 7:00 PM, CDT, Tuesday,
September 6, 1983.
Award of the Bonds ... The City Council will take action to award the Bonds (or reject all bids) promptly
after the opening of bids, and adopt an Ordinance authorizing the Bonds and approving the Official
Statement (the "Ordinance ").
THE BONDS
Description ... The Bonds will be dated October 1, 1983, and interest will be due on August 1, 1984, and
each February 1 and August 1 thereafter until the earlier of maturity or prior redemption. The Bonds will
be issued in fully registered form in multiples of $5,000 for any one maturity, and principal and
semi - annual interest will be paid by First City National Bank of Austin, Austin, Texas, the paying
agent /registrar (the "Paying Agent /Registrar "). Principal of the Bonds will be payable to the registered
holder at maturity or redemption upon presentation to the Paying Agent /Registrar. Interest on the Bonds
will be payable by check, dated as of the interest payment date, and mailed by the Paying Agent/
Registrar to registered holders as shown on the records of the Paying Agent /Registrar on the Record Date
(see "Record Date" herein). The Bonds will mature on August 1 in each year as follows:
Principal Principal Principal
Year Amount Year Amount Year Amount
1986 $ 50,000 1991 $100,000 1996 $200,000
1987 75,000 1992 100,000 1997 225,000
1988 100,000 1993 150,000 1998 350,000
1989 100,000 1994 175,000 1999 725,000
1990 100,000 1995 175,000 2000 175,000
The City reserves the right, at its option, to redeem Bonds maturing August 1, 1994, through August 1,
2000, both inclusive, in whole or any part thereof by lot, on August 1, 1993, or any interest payment date
thereafter, at the par value thereof plus accrued interest to the date fixed for redemption. The election
of the City to redeem Bonds shall be supplied to the Paying Agent /Registrar. If less than all of the Bonds
are to be redeemed by the City, the City shall determine the maturity or maturities and the amounts
thereof to be redeemed and shall direct the Paying Agent /Registrar to call by lot Bonds, or portions
thereof, for redemption.
Tax Equity and Fiscal Responsibility Act of 1982 ( "TEFRA ") ... TEFRA, as amended, mandates, among
other things, that all municipal bonds (excepting those with a one year maturity or less) must be
registered in the owner's name, beginning with ally 1, 1983. If this act should be modified so as to
eliminate registration for a period of time, the City will, upon request of the Initial Purchaser, deliver
coupon bonds at the time of the Initial Delivery.
for delivery, up to and including October 25, 1983. If for any reason the City is unable to make delivery
on or before October 25, 1983, then the City shall immediately contact the Purchaser and offer to allow
the Purchaser to extend his offer for an additional thirty days. If the Purchaser does not elect to extend
his offer within six days thereafter, then his Good Faith Deposit will be returned, and both the City and
the Purchaser shall be relieved of any further obligation. In no event shall the City be liable for any
damages by reason of its failure to deliver the Bonds, provided such failure is due to circumstances beyond
the City's reasonable control.
Delivery of Definitive Bonds ... Upon payment for the Initial Bond at the time of the Initial Delivery, the
Registrar shall cancel the Initial Bond and deliver the registered definitive bonds, in multiples of $5,000
for any one maturity, in accordance with instructions received from the Purchaser and /or members of the
Purchaser's syndicate account. Such bonds shall be registered by the Paying Agent /Registrar. It shall be
the duty of the Purchaser to furnish to the Paying Agent /Registrar, at least five days prior to the Initial
Delivery, written instructions on forms to be provided by the Paying Agent /Registrar designating the
names in which the Bonds are to be registered, the addresses of the registered holders or owners, the
maturities, interest rates, par value and denominations. The Paying Agent /Registrar will not be required
to accept registration instructions after the fifth day prior to Initial Delivery.
Conditions to Delivery ... The obligation of the Purchaser to take up and pay for the Bonds is subject to
the Purchaser's receipt of (a) the legal opinion of Messrs. McCall, Parkhurst & Horton, Dallas, Texas,
Bond Counsel for the City ( "Bond Counsel "), (b) the no- litigation certificate, and (c) the certification as
to the Official Statement, all as further described in the Official Statement.
Legal Opinions ... The Bonds are offered when, as and if issued, subject to the unqualified legal opinion
of the Attorney General of the State of Texas, and Messrs. McCall, Parkhurst & Horton (see Legal
Opinions in Official Statement); the opinion of said firm will be printed on the Bonds.
Certification of Official Statement ... At the time of payment for, and Initial Delivery of, the Initial
Bonds, the City will execute and deliver to the Purchaser a certificate in the form set forth in the
Official Statement. -
Change in Tax Exempt Status ... At any time before the Bonds are tendered for delivery, the Purchaser
may withdraw his bid if the interest received by private holders from bonds of the same type and
character shall be declared to be taxable income under present Federal income tax laws, either by ruling
of the Internal Revenue Service or by a decision of any Federal court, or shall be declared taxable or be
required to be taken into account in computing any Federal income taxes, by the terms of any Federal
income tax law enacted subsequent to the date of this Notice of Sale and Bidding Instructions.
GENERAL
Future Registration ... The Bonds may be transferred, registered and assigned only on the registration
books of the Paying Agent /Registrar, and such registration shall be at the expense of the City. A Bond
may be assigned by execution of an assignment form on the Bonds or by other instruments of transfer and
assignment acceptable to the Paying Agent /Registrar. A new Bond or Bonds will be delivered by the
Paying Agent /Registrar to the last assignee (the new registered owner) in exchange for such transferred
and assigned Bonds in not more than three days after receipt of the Bonds to be transferred in proper
form. Such new Bond or Bonds must be in the denomination of $5,000 for any one maturity or any integral
multiple thereof. The last assignee's claim of title to the Bond must be proved to the satisfaction of the
Paying Agent /Registrar.
Record Date ... The record date ( "Record Date ") for the interest payable on any interest payment date
means the 15th day of the preceding month.
Record Date for Redemption of Bonds ... Neither the City nor the Paying Agent /Registrar shall issue,
transfer or exchange any Bond, or portion thereof, called for redemption prior to maturity, within 45 days
prior to the date fixed for redemption.
Financial Advisor's Right to Bid ... First Southwest Company, the City's Financial Advisor, reserves the
right to bid on the Bonds.
Blue Sky Laws ... By submission of his bid, the Purchaser represents that the sale of the Bonds in states
other than Texas will be made only pursuant to exemptions from registration or, where necessary, the
Purchaser will register the Bonds in accordance with the securities law of the states in which the Bonds
are offered or sold. The City agrees to cooperate with the Purchaser, at the Purchaser's written request
and expense, in registering the Bonds or obtaining an exemption from registration in any state where such
action is necessary.
Not an Offer to Sell ... This Notice of Sale does not alone constitute an offer to sell the Bonds, but is
merely notice of the sale of the Bonds. The offer to sell the Bonds is being made by means of the Notice
of Sale and Bidding Instructions, the Official Bid Form and the Official Statement. Prospective
purchasers are urged to carefully examine the Official Statement to determine the investment quality of
the Bonds.
Issuance of Additional Bonds ... The City does not at this time anticipate the sale of additional General
Obligation Bonds within the next twelve months.
Ratings ... The outstanding General Obligation Bonds of the City are rated "A" by Moody's Investors
Service, Inc. and are rated "BBB*" by Standard & Poor's Corporation. Applications for contract ratings on
this issue have been made to both Moody's and Standard & Poor's. The results of their determinations will
be provided as soon as possible.
Municipal Bond Insurance ... In the event these Bonds are qualified for municipal bond insurance, and the
Purchaser desires to purchase such insurance, the cost therefor will be paid by the Purchaser.
The Official Statement ... The City will furnish to the Purchaser, without cost, 50 copies of the Official
Statement and 50 copies of any addenda, supplement or amendment thereto), complete except as to
interest rates and other terms relating to the reoffering of the Bonds. The Purchaser may arrange at his
own expense to have the Official Statement reproduced and printed if he requires more than 50 copies,
and may also arrange, at his total expense and responsibility, for completion and perfection of the first or
cover page of the Official Statement so as to reflect interest rates and other terms and information
related to the reoffering of the Bonds. The City assumes no responsibility or obligation for the
distribution or delivery of any of these copies to any one other than the Purchaser.
Additional Copies of Notice, Bid Form and Statement ... A limited number of additional copies of this
Notice of Sale and Bidding Instructions, the Official Bid Form and the Official Statement, as available
over and above the normal mailing, may be obtained at the offices of First Southwest Company,
Investment Bankers, 800 Mercantile Dallas Building, Dallas, Texas 75201, Financial Advisor to the City.
The City reserves the right to reject any and all bids and to waive irregularities, except time of filing.
The City Council, by resolution adopted this 11th day of August, 1983, approved the form and content of
the Notice of Sale and Bidding Instructions, the Official Bid Form and Official Statement, and has
authorized the use thereof in its initial offering of the Bonds. On the date of the sale, the City Council
will, in the Ordinance authorizing the issuance of the Bonds, reconfirm its approval of the form and
content of the Official Statement, and any addenda, supplement or amendment thereto, and authorize its
further use in the reoffering of the Bonds by the Purchaser.
ATTEST:
JOANNE LAND
City Secretary
August 11, 1983
- iv -
LARRY L. TONN
Mayor
BOND YEARS
Accumulated
Year Amount Bond Years Bond Years Year
1986 $ 50,000 141.666 141.666 1986
1987 75,000 287.500 429.166 1987
1988 100,000 483.333 912.499 1988
1989 100,000 583.333 1,495.832 1989
1990 100,000 683.333 2,179.165 1990
1991 100,000 783.333 2,962.498 1991
1992 100,000 883.333 3,845.831 1992
1993 150,000 1,475.000 5,320.831 1993
1994 175,000 1,895.833 7,216.664 1994
1995 175,000 2,070.833 9,287.497 1995
1996 200,000 2,566.666 11,854.163 1996
1997 225,000 3,112.500 14,966.663 1997
1998 350,000 5,191.666 20,158.329 1998
1999 725,000 11,479.166 31,637.495 1999
2000 175,000 2,945.833 34,583.328 2000
Average Maturity 12.351 Years
Honorable Mayor and City Council
City of Round Rock
Round Rock, Texas
Members of the Council:
Reference is made to your Official Statement and Notice of Sale and Bidding Instructions, dated
August 11, 1983, of $2,800,000 CITY OF ROUND ROCK, TEXAS GENERAL OBLIGATION BONDS,
SERIES 1983, both of which constitute a part hereof.
For your legally issued Bonds, as described in said Notice of Sale and Bidding Instructions and Official
Statement, we will pay you par and accrued interest from date of issue to date of delivery to us, plus a
cash premium of $ for Bonds maturing and bearing interest as follows:
Interest Interest Interest
Maturity Rate Maturity Rate Maturity Rate
8 -1 -1986 % 8 -1 -1991 % 8 -1 -1996 96
8 -1 -1987 % 8 -1 -1992 % 8 -1 -1997 %
8 -1 -1988 % 8 -1 -1993 % 8 -1 -1998 %
8 -1 -1989 % 8 -1 -1994 % 8 -1 -1999 96
8 -1 -1990 % 8 -1 -1995 % 8 -1 -2000 96
Our calculation (which is not a part of this bid) of the interest cost from the above is:
Total Interest Cost $
Less Premium
NET INTEREST COST $
EFFECTIVE INTEREST RATE %
We are having the Bonds insured by
The Initial Bond shall be registered in the name of (syndicate manager). We
will advise Mr. Hugh Clarke, Corporate Trust Division, First City National Bank of Austin, P.O. Box 2127,
Austin, Texas 78768 (512 473 - 4823), the Paying Agent /Registrar, on forms to be provided by the Paying
Agent /Registrar, our registration instructions at least five business days prior to the date set for Initial
Delivery. We will not ask the Paying Agent /Registrar to accept any registration instructions after the
five day period.
Check of the Bank, , in
the amount of $56,000.00, which represents our Good Faith Deposit (is attached hereto or (has been made
available to you prior to the opening of this bid), and is submitted in accordance with the terms as set
forth in the Official Statement and Notice of Sale and Bidding Instructions.
We agree to accept delivery of and make payment for the Bonds in immediately available funds at the
Corporate Trust Office, First City National Bank of Austin, Austin, Texas, not later than 10:00 AM, CDT,
on October 11, 1983, or thereafter on the date the Bonds are tendered for delivery, pursuant to the terms
set forth in the Notice of Sale and Bidding Instructions.
Respectfully submitted,
ACCEPTANCE CLAUSE
The above and foregoing bid is hereby in all things accepted by the City of Round Rock, Texas this the 6th
day of September, 1983.
ATTEST:
City Secretary
OFFICIAL BID FORM
September 6, 1983
By
Authorized Representative
Mayor
Return of Good Faith Deposit is hereby acknowledged:
By
Honorable Mayor and City Council
City of Round Rock
Round Rock, Texas
Members of the Council:
Respectfully submitted,
OFFICIAL BID FORM
September 6, 1983
Reference is made to your Official Statement and Notice of Sale and Bidding Instructions, dated
August 11, 1983, of $2,800,000 CITY OF ROUND ROCK, TEXAS GENERAL OBLIGATION BONDS,
SERIES 1983, both of which constitute a part hereof.
For your legally issued Bonds, as described in said Notice of Sale and Bidding Instructions and Official
Statement, we will pay you par and accrued interest from date of issue to date of delivery to us, plus a
cash premium of $ for Bonds maturing and bearing interest as follows:
Interest Interest Interest
Maturity Rate Maturity Rate Maturity Rate
8 -1 -1986 % 8 -1 -1991 96 8 -1 -1996 96
8 -1 -1987 % 8 -1 -1992 % 8 -1 -1997 %
8 -1 -1988 96 8 -1 -1993 96 8 -1 -1998 %
8 -1 -1989 % 8 -1 -1994 % 8 -1 -1999 96
8 -1 -1990 % 8 -1 -1995 % 8 -1 -2000 %
Our calculation (which is not a part of this bid) of the interest cost from the above is:
Total Interest Cost $
Less Premium
NET INTEREST COST $
EFFECTIVE INTEREST RATE 96
We are having the Bonds insured by
The Initial Bond shall be registered in the name of (syndicate manager). We
will advise Mr. Hugh Clarke, Corporate Trust Division, First City National Bank of Austin, P.O. Box 2127,
Austin, Texas 78768 (512 473 - 4823), the Paying Agent /Registrar, on forms to be provided by the Paying
Agent /Registrar, our registration instructions at least five business days prior to the date set for Initial
Delivery. We will not ask the Paying Agent /Registrar to accept any registration instructions after the
five day period.
Check of the Bank, , in
the amount of $56,000.00, which represents our Good Faith Deposit (is attached hereto) or (has been made
available to you prior to the opening of this bid), and is submitted in accordance with the terms as set
forth in the Official Statement and Notice of Sale and Bidding Instructions.
We agree to accept delivery of and make payment for the Bonds in immediately available funds at the
Corporate Trust Office, First City National Bank of Austin, Austin, Texas, not later than 10:00 AM, CDT,
on October 11, 1983, or thereafter on the date the Bonds are tendered for delivery, pursuant to the terms
set forth in the Notice of Sale and Bidding Instructions.
By
Authorized Representative
ACCEPTANCE CLAUSE
The above and foregoing bid is hereby in all things accepted by the City of Round Rock, Texas this the 6th
day of September, 1983.
ATTEST:
City Secretary
Mayor
Return of Good Faith Deposit is hereby acknowledged:
By
U I ± : r l'11111, J :� i_i r . �. _I I :'1 r 1 iJ I.1 :Ia :� it :(I fJ:
'it o/ Round 3oe4, Jexad
(William•on County)
12, 800, 000
Wene4al Ciliya4ion Rondo,
9'e4ie6 1983
92elliny Xao6day, Ye /uemle4 6, 1983,
at 7:00 Ail, WW1
I rITIIIIIIIIrIIlr11[ 111, 11( 1W111IIIIIII IUIII111 ,f1 I 1II1I1111111(Tf � I " i �l.
This Official Statement does not constitute an offer to sell Bonds in any jurisdiction to any person to whom it is unlawful to
make such offer in such jurisdiction. No dealer, salesman, or any other person has been authorized to give any information or
make any representation, other than those contained herein, in connection with the offering of these Bonds, and if given or
made, such information or representation must not be relied upon. The information and expressions of opinion herein are subject
to change without notice and neither the delivery of this Official Statement nor any sale made hereunder shall, under any
circumstances, create any implication that there has been no change in the affairs of the City since the date hereof.
OFFICIAL STATEMENT
Dated August 11, 1983
INTEREST EXEMPT, IN THE OPINION OF BOND COUNSEL,
FROM PRESENT FEDERAL INCOME TAXES UNDER LAW
$2,800,000
CITY OF ROUND ROCK, TEXAS
(Williamson County)
GENERAL OBLIGATION BONDS, SERIES 1983
Dated: October 1, 1983 Due: August 1, as shown below
Interest on the Bonds will be payable February 1 and August 1 of each year commencing August 1, 1984.
The Bonds will be issued only as fully registered bonds in the denomination of $5,000 or any integral
multiple thereof. Principal of the Bonds will be payable at the principal corporate trust office of First
City National Bank of Austin, Austin Texas, the paying agent /registrar (the "Paying Agent /Registrar ").
Interest on the Bonds will be payable by check, dated as of the interest payment date, and mailed by the
Paying Agent /Registrar to registered holders as shown on the records of the Paying Agent /Registrar on
the Record Date (see "Record Date" herein).
These bonds (the "Bonds ") are the total amount authorized at an election held June 28, 1983, and
constitute direct and voted general obligations of the City, payable from an ad valorem tax levied , within
the limits prescribed by law, on taxable property located within the City.
MATURITY SCHEDULE
Amount Maturity Rate Yield Amount Maturity Rate Yield
$ 50,000 8 -1 -1986 $175,000 8 -1 -1994*
75,000 8 -1 -1987 175,000 8 -1 -1995*
100,000 8 -1 -1988 200,000 8 -1 -1996*
100,000 8 -1 -1989 225,000 8 -1 -1997*
100,000 8 -1 -1990 350,000 8 -1 -1998*
100,000 8 -1 -1991 725,000 8 -1 -1999*
100,000 8 -1 -1992 175,000 8 -1 -2000*
150,000 8 -1 -1993
* The City reserves the right, at its option, to redeem Bonds maturing August 1, 1994, through August 1,
2000, both inclusive, in whole or any part thereof by lot, on August 1, 1993, or any interest payment date
thereafter, at the par value thereof plus accrued interest to the date fixed for redemption. The election
of the City to redeem Bonds shall be supplied to the Paying Agent /Registrar. If less than all of the Bonds
are to be redeemed by the City, the City shall determine the maturity or maturities and the amounts
thereof to be redeemed and shall direct the Paying Agent /Registrar to call by lot Bonds, or portions
thereof, for redemption.
Payment Record: The City has never defaulted.
Legality: Attorney General of the State of Texas, and
Messrs. McCall, Parkhurst do Horton, Attorneys, Dallas Texas.
(Opinion Printed on the Bonds; See Legal Opinions.)
Delivery: Anticipated on or about October 11, 1983.
TABLE OF CONTENTS
Page
Official Statement:
Description of the Bonds - 1
Elected Officials 3
Appointed Officials 3
Consultants and Advisors 3
Registration 4
Introductory Statement 5
Valuation and Debt Information 6
Ad Valorem Taxation 6/8
Non - Funded Debt - 8
Funded Debt Limitation - - 8
Valuation and Funded Debt History 8
Taxable Assessed Valuations by Category 9
Estimated Future Assessed Valuations - 10
Estimated Overlapping Funded Debt Payable From Ad Valorem Taxes 10
Tax Rate Limitation 10
Tax Data - 10 /11
Municipal Sales Tax 11
Assessed Valuations and Tax Rates of Overlapping Taxing Jurisdictions - 11
Top Ten Taxpayers 12
Tax Adequacy - - - - 12
Interest and Sinking Fund Management Index t2
Authorized General Obligation Bonds 12
Debt Service Requirements 13
Anticipated Issuance of Voted General Obligation Bonds - 14
Computation of Self - Supporting Debt - 14
Proceeds 14
Pension Fund 14
General Fund Revenues and Expenditures - - 15
Condensed Statement of Operations - Waterworks and Sewer System 16
Coverage and Fund Balances 16
Authorized Revenue Bonds 17
Anticipated Issuance of Voted Revenue Bonds 17
Waterworks System 17/18
Top Ten Water Customers 18
Wastewater System 18/19
General Information Regarding City and Its Economy 20/21
Ratings - 22
Tax Exemption - 42
Registration and Qualification of Bonds for Sale - 22
Legal Investments and Eligibility to Secure Public Funds in Texas 22
Legal Opinions and No- Litigation Certificate 22
Authenticity of Financial information 23
Financial Advisor 23
Certification of the Official Statement 23
Audited Financial Statements, September 30, 1982, examined
by Hood, Woolf do Company, Certified Public Accountants Appendix
The cover page hereof, this page, the appendix included herein and any addenda, supplement or
amendment hereto, are part of the Official Statement.
Mike Robinson
Mayor Pro -Tem
Graham Howell
Councilmember
Pete Correa
Councilmember
April 1978
April 1980
April 1978
Trudy L. Lee September
Councilmember 1979
Joe Baker April 1980
Councilmember
Mike Heiligenstein April 1981
Councilmember
Auditors
Name
Robert L. 'Bob" Bennett, Jr.
Joanne Land
Sam Huey
Stephan L. Sheets
Jack Harzke
Dusty Thames
Norma Flynn
Consulting Engineers
Bond Counsel
Financial Advisor
ELECTED OFFICIALS
Elected
or Term
City Council Appointed Expires
Larry L. Tonn April 1977 April 1984
Mayor
April 1984
April 1986
April 1985
April 1986
April 1985
April 1984
APPOINTED OFFICIALS
Position and Length of Time in Position
City Manager for 4 1/2 Years
City Secretary for 7 Years
Director of Finance for 5 1/2 Years
City Attorney for 6 Years
Director of Public Works for 3 Years
Tax Collector for 2 1/2 Years
Chief Appraisor - Williamson County
Appraisal District for 2 Years
CONSULTANTS AND ADVISORS
Occupation
Health Facilities Development
Self - employed, Plant Nursery
Mortgage Banker
Self - employed - Automotive Repairs
School Teacher
Civil Engineer
Residential Developer
Length of
Employment
with City
7 Years
12 1/2 Years
5 1/2 Years
6 Years
3 Years
2 1/2 Years
2 Years
Hood, Woolf & Company
Round Rock, Texas
Haynie & Kallman, Inc.
Round Rock, Texas
McCall, Parkhurst & Horton
Dallas, Texas
First Southwest Company
Dallas, Texas
REGISTRATION
Tax Equity and Fiscal Responsibility Act of 1982 ( "TEFRA ") ... TEFRA, as amended, mandates, among
other things, that all municipal bonds (excepting those with a one year maturity or less) must be
registered in the owner's name, beginning with July 1, 1983. If this act should be modified so as to
eliminate registration for a period of time, the City will, upon request of the Initial Purchaser, deliver
coupon bonds.
Paying Agent /Registrar ... The Bonds will be issued in fully registered form in multiples of $5,000 for
any one maturity, and principal and semi - annual interest will be paid by First City National Bank of
Austin, Austin, Texas, the paying agent /registrar (the "Paying Agent /Registrar "). Principal of the Bonds
will be payable to the registered holder at maturity or redemption upon presentation to the Paying
Agent /Registrar. Interest on the Bonds will be payable by check, dated as of the interest payment date,
and mailed by the Paying Agent /Registrar to registered holders as shown on the records of the Paying
Agent /Registrar on the Record Date (see "Record Date" herein).
Successor Paying Agent /Registrar... Provision is made in the Ordinance for replacement of the Paying
Agent /Registrar. If the Paying Agent /Registrar is replaced by the City, the new Paying Agent /Registrar
shall accept the previous Paying Agent /Registrar's records and act in the same capacity as the previous
Paying Agent /Registrar. Any Paying Agent /Registrar selected by the City shall be either a national or
state banking institution and shall be a corporation organized and doing business under the laws of the
United States of America or of any State, authorized under such laws to exercise trust powers, and
subject to supervision or examination by Federal or State authority. Successor Paying Agent /Registrar, if
any, shall be determined by the City.
Future Registration ... The Bonds may be transferred, registered and assigned only on the registration
books of the Paying Agent /Registrar, and such registration shall be at the expense of the City. A Bond
may be assigned by execution of an assignment form on the Bonds or by other instruments of transfer and
assignment acceptable to the Paying Agent /Registrar. A new Bond or Bonds will be delivered by the
Paying Agent /Registrar to the last assignee (the new registered owner) in exchange for such transferred
and assigned Bonds in not more than three days after receipt of the Bonds to be transferred in proper
form. Such new Bond or Bonds must be in the denomination of $5,000 for any one maturity or any integral
multiple thereof. The last assignee's claim of title to the Bond must be proved to the satisfaction of the
Paying Agent /Registrar.
Record Date ... The record date ( "Record Date ") for the interest payable on any interest payment date
means the 15th day of the preceding month.
Record Date for Redemption of Bonds ... Neither the City nor the Paying Agent /Registrar shall issue,
transfer or exchange any Bond, or portion thereof, called for redemption prior to maturity, within 45 days
prior to the date fixed for redemption.
1
INTRODUCTORY STATEMENT
This Official Statement of the City of Round Rock, Texas, a political subdivision located in Williamson
County (the "City "), is provided to furnish information in connection with the sale of the City's $2,800,000
General Obligation Bonds, Series 1983 (the "Bonds ").
The Official Statement was prepared to present for the purchasers information concerning the Bonds, the
revenues (ad valorem taxes) pledged to the Bonds, the description of the revenue base, factors that may
affect pledged revenues, and other pertinent data, all as more fully described herein. See "Table of
Contents ".
Source of Payment... The Bonds are direct and voted general obligations payable out of the receipts
from an ad valorem tax levied, within the limits prescribed by law, on taxable property located within the
City.
In each year, the City shall determine the specific amount of, and assess, a tax sufficient to (1) pay
current interest on the Bonds, and (2) create and provide a sinking fund of not less than 2% of the
principal amount of the Bonds or not less than the principal payable out of such tax, whichever is greater,
with full allowance being made for tax delinquencies and the cost of the collections.
Purpose ... The proceeds from the sale of the $2,800,000 General Obligation Bonds, Series 1983 will be
used to fund street improvements, an equipment yard, parks, police station and drainage improvements.
(See "Proceeds ").
Future Bond Issues ... After the issuance of the Bonds, the City will have $2,530,000 authorized general
obligation bonds to be issued. The City does not have any plans to issue the remaining authorized general
obligation bonds at this time.
Administration of the City ... The City operates under a Horne Rule Charter which was approved by the
electorate on August, 1977. The Charter provides for a Mayor - Council form of government in which all
powers of the City and determination of policy is vested. The Mayor - Council shall appoint a City
Manager who shall be responsible for the administration of the affairs of the City.
VALUATION AND DEBT INFORMATION
1982 Full Market Valuation (100% of Actual)
Less Exemptions:
Over 65 years of age (1)
Disabled and Deceased Veterans (2)
Agricultural Productivity Exemption
1982 Net Taxable Assessed Valuation (100% of Actual)
City Funded Debt Payable From Ad Valorem Taxes:
General Purpose Bonds (as of 7- 15 -83)
Waterworks and Sewer System Bonds (as of 7- 15 -83)
Combination Tax and Revenue Certificates
of Obligation (as of 7- 15 -83)
The Bonds Series 1983
Total General Obligation Debt
Less Self - Supporting Debt:
Combination Tax and Revenue Certificates of Obligation
Waterworks and Sewer System General Obligation Bonds
Net Funded Debt Payable From Ad Valorem Taxes (3)
Interest and Sinking Fund (as of 7- 15 -83)
Ratio Net Funded Debt Payable From Ad Valorem Taxes to 1982
Net Taxable Assessed Valuation
$3,209,964
180,500
4,704,150
$ 900,000
3,051,837
1980 U.S. Census Population - 12,764
1983 Estimated Population - 18,000*
Per Capita Net Taxable Assessed Valuation - $19,601.40
Per Capita Net Funded Debt Payable From Ad Valorem Taxes - $742.47
Area - 10.247 Square Miles
* Source: Chamber of Commerce.
$360,919,894
8,094,614
$352,825,280
$ 4,811,500
8,923,500
900,000
2,800,000
$ 17,435,000
3,951,837
$ 13,483,163
$ 842,028
3.82%
(1) Pursuant to authority permitted by Section 1 -b, Article VIII of the State Constitution, which became
effective January 1, 1973, the City, beginning in 1975, has granted an exemption of not less than
$3,000 of Assessed Valuation to the residence homestead of property owners over 65 years of age.
(2) The Legislature, pursuant to a constitutional amendment and Article 7150h, VATCS, mandated an
additional property tax exemption, beginning in 1976, for disabled veterans or the surviving spouse or
children of a deceased veteran who died while on active duty in the armed forces. The exemption from
taxation applies to either real or personal property with the amount of Assessed Valuation exempted
ranging from $1,500 to $3,000, dependent upon the amount of disability or whether the exemption is
applicable to a surviving spouse or children.
(3) The above statement of indebtedness does not include $6,225,000 Waterworks and Sewer System
Revenue Bonds presently outstanding, as these bonds are payable solely from and secured by a pledge of
the net revenues of the System.
AD VALOREM TAXATION
The City's Funded Debt listed under "Valuation and Debt Information" is wholly or in combination payable
from ad valorem taxes levied upon all taxable property within the City. The "Property Tax Code"
(V.T.C.A., Tax Code), adopted in 1979, is a codification of Texas law as to ad valorem taxation and
reference is hereby made thereto for identification of property subject to taxation; property exempt from
taxation and other exemptions granted and allowed, if claimed; the appraisal of property for purposes of
taxation and the procedures to be followed and limitations applicable to the levy and collection of ad
valorem taxes. Among other features, the Property Tax Code provides for:
1. A single Appraisal District in each County of the State to appraise property for purposes of
taxation for all taxing units located wholly or partly within the County beginning January 1,
1982.
1
2. All property to be assessed at 100% of its appraised value and prohibits the assessment of
property for taxation on the basis of a percentage of its appraised value.
3. An increase in the effective tax rate of a taxing unit to be limited to not more than 3% unless
a public hearing is held. In calculating the effective tax rate, taxes for bonds or other
contractual obligations are excluded.
Recent amendments (Chapter 13, Acts of the 67th Legislature, First Called Session, 1981) to the Property
Tax Code (designed to clarify and remedy technical flaws experienced in implementing various provisions
thereof) provide for:
1. Postponement of full implementation of an Appraisal District's operations, on a local option
basis, until 1983 or 1984.
2. Mandatory county participation in the Appraisal District.
3. Changes the provisions relating to an effective annual tax increase being subject to a
referendum election by:
a. Raising the amount of the annual tax increase necessary to trigger a referendum election
to 8 %;
b. Reducing the number of qualified voters necessary to petition for a referendum election to
10 %;
c. Extending the period available to collect signatures on a petition for a referendum election
to 90 days;
d. Eliminating the requirement that a minimum of 25% of the qualified voters must vote in a
referendum election to be valid.
4. The State Property Tax Board to conduct an annual ratio study in each Appraisal District to
determine the degree of uniformity of appraisals and the weighted average level of appraisals
within each major kind of property (effective 1- 1 -84).
5. An increase in penalties for delinquent taxes. The new penalties are:
a. 6% - First month
1% - Additional penalty each month through June
12% - All delinquencies on July 1 regardless of delinquency period;
b. A taxing unit may add an additional penalty to a maximum of 15% of taxes, penalty and
interest due in order to defray costs of tax attorneys.
6. An increase in interest charged on delinquent taxes. The new interest charges are:
a. 1% - First month; and
b. An additional 1% increase each month thereafter.
7. Property within the Appraisal District to be reappraised at least once every 4 years (effective
1- 1 -84).
8. The establishment and application of uniform discovery and appraisal procedures on all types of
business inventories without regard to the nature of the property comprising the inventory.
9. The statute purports to provide an increase for the first time in the appraised value of property
above its 1981 assessed value in any year from 1982 through 1985, which may be, at the option
of the local taxing unit, limited to 1 1/2 times the percentage of increase in the value of all
other property on the unit's tax rolls.
10. Changes in the composition and selection of board members, the allocation of Appraisal District
costs, the size of the Appraisal Review Board and the financial accountability of Appraisal
District.
11. Local taxing units to challenge the Appraisal Review Board's appraisals and judicial review of
challenges, and authorizes local taxing units of an Appraisal District to overturn and veto
actions of the Board of Directors of the Appraisal District.
- 7 -
12. Changes in the procedures and requirements pertaining to tax increases by local taxing units.
The Property Tax Code as Applied to the City of Round Rock
1. The Williamson County Appraisal District is governed by a Board of 5 directors appointed by the
governing bodies of Williamson County and the cities and school districts in the Appraisal
District, with votes allocated as provided by statutes. Costs are allocated among the taxing
entities pro -rated by tax levy.
2. For 1981, the City of Round Rock assesses property an the basis of 10096 of appraised values
using City Tax Office appraisals. The Williamson County Appraisal District assumed appraisal
responsibility in January, 1983
A constitutional amendment concerning homestead property exemptions was submitted to, and adopted
by, the voters of the State of Texas on November 3, 1981. Such amendment provides local governments
the option of granting homestead exemptions of up to 4096 of market value for the 1982 through 1984 tax
years, up to 30% of market value for the 1985 through 1987 tax years, and up to 20% of market value
thereafter. Minimum exemption is $5,000. The amendment further provides that taxes may continue to
be levied against the value of the homestead exempted where ad valorem taxes have been previously
pledged for the payment of debt, if cessation of the levy would impair the obligation of the contract by
which the debt was created. The City Council of the City of Round Rock has not acted to grant this
exemption.
NON - FUNDED DEBT
(As of 7- 15 -83)
Interest Monthly Outstanding
Note Payable To For Rate Payment Balance
Capital City Leasing Computer System 11.5096 $1,708.77 $ 55,386
Capital City Leasing Dump Truck 10.7596 796.75 30,434
Capital City Leasing 2 John Deer Tractors 11.00% 886.33 33,687
John Deer Company Wheel Loader 8.0096 576.92 21,468
TOTAL $140 , 975
FUNDED DEBT LIMITATION
There is no direct debt limitation in the City Charter or under State Law. The City operates under a
Home Rule Charter (Article XI, Section 5, Texas Constitution), approved by voters in August, 1977, that
limits the maximum tax rate, for all City purposes, to $2.50 per $100 Assessed Valuation. Administra-
tively, the Attorney General of the State of Texas will permit allocation of $1.50 of the $2.50 maximum
tax rate for general obligation service. See "Tax Adequacy ".
VALUATION AND FUNDED DEBT HISTORY
Ratio Funded
Funded Debt Debt to
Taxable Outstanding Taxable
Fiscal Assessed at End Assessed
Period Valuation of Year Valuation
1969 -70 $ 1,793,304 $ -0- -0-
1970-71 3,172,251* 50,000 1.58%
1971 -72 3,351,067 50,000 1.49%
1972 -73 3,866,766 47,000 1.22%
1973 -74 4,702,701 44,000 .94%
1974 -75 8,164,643 ** 494,000 6.0596
1975 -76 13,688,321* 486,000 3.5596
1976 -77 - 26,499,472* 473,000 1.7896
1977 -78 40,025,430 459,000 1.1596
1978 -79 56,876,557 2,395,000 4.2196
1979 -80 127,212,478* 5,025,000 - 3.95%
1980 -81 173,893,546 13,689,000 7.8796
1981 -82 - 336,194,863 ** 14,518,000 4.3296
1982 -83 352,825,280 17,150,000 4.86%
* Increased basis of assessment as follows: 1970 -71 from 2096 to 30 %; 1975 -76 from 30% to 4096;
1976 -77 from 4096 to 6096; 1979 -80 from 6096 to 10096.
** Revaluation program.
TAXABLE ASSESSED VALUATIONS BY CATEGORY
1982 % of 1981■ % of 1980 % of 1979•• % of 1978 % of
Taxable Taxable Taxable Taxable Taxable Taxable Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed Assessed Assessed Assessed Assessed Assessed Assessed
Classification Valuation Valuation Valuation Valuation Valuation Valuation Valuation Valuation Valuation Valuation
Real Estate:
Land $ 91,987,589 25.49% $ 80,174,157 23.62% $ 31,497,936 18.00% $ 25,212,180 19.60% $ 11,346,559 19.73%
Improvements 220,675,110 61.14% 205,470,523 60.53% 111,849,332 63.91% 88,583,241 68.87% 36,807,005 64.01%
5312,662,699 86.63% 5285,644,680 84.15% $143,347,268 81.91% 5113,795,421 88.47% $ 48,153,564 83.74%
Personal Property 48,257,195 13.37% 53,822,941 15.85% 31,666,427 18.09% 14,826,547 11.53% 9,352,373 16.26%
Total Assessed
Valuation $360,919,894 100.00% 5339,467,621 100.00% $175,013,695 100.00% 5128,621,968 100.00% $ 57,505,937 100.00%
Less:
Over -65
Exemptions 3,209,964
Disabled and
Deceased Veterans
Exemptions 180,500
Agricultural
Exemptions 4,704,150
Total Net
Taxable Assessed
Valuation
$352,825,280
t Revaluation program.
"" Increase in basis of assessment from 60% to 100 %.
2,850,581 868,641 1,312,490 556,880
204,552
217.625
5336,194,863 $173,893,546
94,000 -0-
157,508 97,000
72.500
$127,212,478 $ 56,876,557
* Revaluation.
Source: City Tax Collector.
Total Overlapping Funded Debt
ESTIMATED FUTURE ASSESSED VALUATIONS
1983 $380,000,000
1984 $410,000,000
1985 $450,000,000
1986 $600,000,000*
1987 $660,000,000
ESTIMATED OVERLAPPING FUNDED DEBT PAYABLE FROM AD VALOREM TAXES
(As of 7- 15 -83)
Estimated
Total 96 Overlapping
Taxing Jurisdiction - Funded Debt Applicable Funded Debt
City of Round Rock $17,.435,000 100.0096 $17,435,000
Round Rock Independent School District 48,590,000* 27.0796 13,153,313
Williamson County -0- - 18.16% -0-
Brushy Creek Water Control and
Improvement District No. 1 6.4896
Ratio Overlapping Funded Debt to Net Taxable Assessed Valuation
$30,588,313
8.6796
Per Capita Overlapping Funded Debt - $1,699.35
* Includes $4,500,000 Bonds which sold August 24, 1983.
TAX RATE LIMITATION
All taxable property within the City is subject to the assessment, levy and collection by the City of a
continuing, direct annual ad valorem tax sufficient to provide for the payment of principal of and interest
on the bonds within the limits prescribed by law. Article XI, Section 5, of the Texas Constitution is
applicable to the City, and by Home Rule Charter its maximum ad valorem tax rate is limited to $2.50 per
$100 Assessed Valuation (for all City purposes).
TAX DATA
(Year Ending 9 -30)
Distribution
Tax Tax General Interest and 96 Current 96 Total
Year Rate Fund Sinking Fund Tax Levy Collections Collections
1970 -71 $1.2500 $1.2500 $ -0 -* $ 39,653 80.9196 100.9496
1971 -72 1.2500 1.2500 -0- 41,888 83.15% 96.5996
1972 -73 1.2500 1.2500 -0- 48,335 82.3296 94.1096
1973 -74 1.2500 1.2500 -0- 58,784 84.3696 98.9596
1974 -75 1.2500 1.2500 -0- 102,058 79.3396 93.97%
1975 -76 1.2500 1.2500 -0- 171,104 81.54% 93.22%
1976 -77 0.8500 0.8500 -0- 225,246 94.0196 98.99%
1977 -78 0.8500 0.8500 -0- 334,775 90.4696 92.4096
1978 -79 0.8500 0.7700 0.0800 480,013 - 93.2796 97.73%
1979 -80 0.7000 0.5555 0.1445 871,347 94.9096 99.05%
1980 -81 0.7700 0.6100 0.1600 1,243,550 96.77% 98.8896
1981 -82 0.4880 0.0237 0.4643 1,616,218 94.8596 96.45%
1982 -83 0.5706 0.3103 0.2603 2,008,583 95.38 % ** 98.80 % **
* All taxes, prior to the 1978 Tax Year were deposited to the General Fund and transfers were made to
the Interest and Sinking Fund, as needed.
** Collections for part year only, through 6-30-83.
- 10 -
Current collections represent collections to delinquent
Low collections for 1977 through 1980 are a result of
homes, until the home is sold.
Property within the City is assessed as of January 1
same year, and become delinquent on February 1 of the
Discounts are not allowed.
Penalty and interest charges for late payment are as follows:
Month
Paid Penalty Interest Total
February 6% 196 796
March 796 296 9%
April 8% 3% 11%
May 996 496 1396
June 1096 596 1596
July 12% 696 18%
After July, penalty remains at 1296, interest increases 1% each month.
MUNICIPAL SALES TAX
(Effective 4 -1 -68)
date only, except for the 1976 and 1977 Tax Year.
the many home builders not paying taxes on new
of each year; taxes become due October 1 of the
following year. Split payments are not permitted.
The City has adopted the provisions of Article 1066c, Vernon's Texas Civil Statutes, as amended, which
grants the City the power to impose and levy a 196 Local Sales and Use Tax within the City, the proceeds
being credited to the General Fund. Collections and enforcements are effected through the offices of the
Comptroller of Public Accounts, State of Texas, who remits the proceeds of the tax, after deduction of a
296 service fee, to the City monthly. Revenue from this source has been:
% Equivalent of
Calendar Total Ad Valorem Ad Valorem
Year Collected Tax Levy Tax Rate
1971 $ 17,721 42.33% $0.5292
1972 24,744 50.4796 .6308
1973 30,249 51.4696 .6430
1974 36,859 36.12% .4514
1975 47,912 28.80% .3500
1976 68,580 30.45% .2588
1977 105,635 31.05% .2639
1978 220,115 45.86% .3870
1979 359,758 41.2996 .2828
1980 444,733 35.76% .2558
1981 532,104 32.92% .1583
1982 728,628 36.19% .2065
1983 482,491* N.A. N.A.
* Represents collections through 6- 30 -83. Estimated 1983 year end collections are $860,000.
ASSESSED VALUATIONS AND TAX RATES OF OVERLAPPING TAXING JURISDICTIONS
Taxing Jurisdiction
Williamson County
Round Rock Independent School District
Brushy Creek Water Control and Improvement District No. 1
* The County has yet to receive their 1982 valuation due primarly from problems incurred in
implementing the Williamson County Appraisal District.
* The District has not levied a tax since the 1972 Tax Year. The Assessed Valuation shown represents
the District's 1972 valuation.
1982
Assessed
Valuation
$1,303,119,446
34,178,725
% of
Actual
100.00 %*
100.0096
25.0096
1982
Tax
Rate
$0.195
1.020
**
Name of Taxpayer
B -J Hughes, Incorporated
McNeil Consumer Products Company
Southwestern Bell Telephone Company
Allied Development Company
Farmers State Bank
Tellabs
Texas Power & Light Company
Sweet Publishing Company
Bennett Barnes Developers
Glenn Neans
1982 Net Taxable Assessed Valuation
All General Obligation Debt (Including these Bonds)
1983 Principal and Interest Requirements
$0.437 Tax Rate @ 95% Collection Produces
General Purpose Debt (Including these Bonds)
1983 Principal and Interest Requirements
$0.144 Tax Rate @ 95% Collection Produces
TOP TEN TAXPAYERS
Nature of Property
Oil Field Tools
Pharmaceutical Manufacturer
Telephone Utility
Shopping Centers
Bank
Electronic Equipment
Electric Utility
Publishing Company
Shopping Center
Commercial Developments
TAX ADEQUACY
Average Annual Principal and Interest Requirements, 1983 -2007
$0.396 Tax Rate @ 95% Collection Produces
Average Annual Principal and Interest Requirements, 1983 -2007
$0.186 Tax Rate @ 95% Collection Produces
Maximum Principal and Interest Requirements, 1999
$0.377 Tax Rate @ 95% Collection Produces
INTEREST AND SINKING FUND MANAGEMENT INDEX
General Obligation Debt Service Requirements, Fiscal Year Ending 9 -30 -83
Estimated Surplus
Purpose
Streets and Right -of -Way
Park
Fire Station
North Fork Project
City Streets (Chisholm Trail,
Main and Blair)
Permanent Public Improvements
Park Improvements
Police Station
City Equipment Yard
Drainage Improvements
AUTHORIZED GENERAL OBLIGATION BONDS
Date
Authorized
12 -2 -78
12 -2 -78
12 -2 -78
9 -6 -80
6 -28 -83
6 -28 -83
6 -28 -83
6 -28 -83
6 -28 -83
6 -28-83
- 12 -
1982
Net Taxable
Assessed
Valuation
$11,827,020
10,255,100
4,664,360
4,662,674
4,168,700
3,880,195
2,977,500
2,735,400
2,720,487
1,785,110
$49,676,546
Interest and Sinking Fund, All General Obligation Issues, 9 -30 -82 $346,115
1982 Interest and Sinking Fund Tax Levy @ 95% Collection 872,484
Interest Earned on Bond Proceeds and Surplus Revenue of Utility Fund 750,000
% of 1982
Net Taxable
Assessed
Valuation
3.35%
2.91%
1.32%
1.32%
1.18%
1.10%
0.84%
0.78%
0.77%
0.51%
14.08%
$352,825,280
$ 1,462,203
$ 1,464,754
$ 1,326,173
$ 1,327,329
$ 482,400
$ 482,665
$ 621,651
$ 623,442
$ 1,261,206
$ 1,263,644
$1,462,203
1,968,599
$ 506,396
Amount Amount
Amount Heretofore Being
Authorized Issued Issued
$ 2,775,000 $ 2,205,000 $ -0-
240,000 175,000 - -0-
1,265,000 955,000 -0-
10,000,000 8,415,000 -0-
1,000,000 -0- 1,000,000
200,000 - -0- 200,000
425,000 -0- 425,000.
450,000 -0- 450,000
225,000 -0- 225,000
500,000 -0- 500,000
$17,080,000 $11,750,000 $2,800,000 $2,530,000
Unissued
Balance
$ 570,000
65,000
310,000
1,585,000
-0-
-0-
-o-
- o-
- 0-
DEBT SERVICE REQUIREMENTS
Grand Total Less: Combi- Less: Water
Fiscal General nation Tax and Sewer Grand Total
Year Obligation and Revenue System General General Pur- 96 of
Ending Outstanding Debt $2,800,000 Issue Debt Certificates Obligation pose Debt Principal
9 -30 Principal Interest Total Principal Interest Total Requirements of Obligation Bonds Requirements Retired
1983 $ 345,000 $ 1,117,203 1,462,203 $ $ $ $ 1,462,203 $ 128,504 $ 851,299 $ 482,400
1984 456,000 1,059,674 1,515,674 233,333 233,333 1,749,007 122,299 867,821 758,887
1985 494,000 1,023,012 1,517,012 280,000 280,000 1,797,012 128,851 874,142 794,019
1986 538,000 983,244 1,521,244 50,000 280,000 330,000 1,851,244 130,121 882,962 838,161
1987 582,000 940,392 1,522,392 75,000 275,000 350,000 1,872,392 125,741 900,178 846,473 14.5196
1988 592,000 894,713 1,486,713 100,000 267,500 367,500 1,854,213 131,220 919,682 803,311
1989 662,000 850,684 1,512,684 100,000 257,500 357,500 1,870,184 135,766 923,077 811,341
1990 727,000 802,387 1,529,387 100,000 247,500 347,500 1,876,887 134,870 942,319 799,698
1991 787,000 748,982 1,535,982 100,000 237,500 337,500 1,873,482 133,774 877,655 862,053
1992 872,000 690,922 1,562,922 100,000 227,500 327,500 1,890,422 132,015 896,534 861,873 38.1696
1993 877,000 625,457 1,502,457 150,000 217,500 367,500 1,869,957 129,569 888,684 851,704
1994 947,000 562,937 1,509,937 175,000 202,500 377,500 1,887,437 126,273 912,125 849,039
1995 1,012,000 496,054 1,508,054 175,000 185,000 360,000 1,868,054 98,075 911,752 858,227
1996 1,087,000 421,164 1,508,164 200,000 167,500 367,500 1,875,664 89,325 943,465 842,874
1997 1,172,000 341,789 1,513,789 225,000 147,500 372,500 1,886,289 90,400 946,359 849,530 72.5596
1998 1,142,000 255,197 1,397,197 350,000 125,000 475,000 1,872,197 923,270 948,927
1999 887,000 175,324 1,062,324 725,000 90,000 815,000 1,877,324 616,118 1,261,206
2000 672,000 108,300 780,300 175,000 17,500 192,500 972,800 332,154 640,646
2001 472,000 55,825 527,825 527,825 338,033 189,792
2002 172,000 22,850 194,850 194,850 14,715 180,135 98.8096
2003 178,000 12,375 190,375 190,375 13,898 176,477
2004 23,000 1,600 24,600 24,600 24,600
2005 3,000 450 3,450 3,450 3,450
2006 3,000 300 3,300 3,300 3,300
2007 3,000 150 3 150 3,150 3,150 100.0096
514,705,000 $12,190,985 $26,895,985 $2,800,000 $3,458,333 $6,258,333 $33,154,318 $1,836,803 $15,776,242 $15,541,273
Note: Interest on the Bonds has been calculated at the rate of 10.0096 for purposes of illustration.
ANTICIPATED ISSUANCE OF VOTED GENERAL OBLIGATION BONDS
The City does not have any plans to issue the remaining $2,530,000 authorized general obligation bonds
at this time.
COMPUTATION OF SELF - SUPPORTING DEBT
Net Revenue from the Waterworks and Sewer System, Fiscal Year Ended 9 -30 -82 $860,083
Less: Average Annual Revenue Bond Requirements, 1983 -2009 480,726
Balance Available for Other Purposes $379 ,357
Less: Average Annual Requirements for Combination Tax and Junior Lien
Revenue Certificates of Obligation, 1983 -1997 122,453
Balance Available for Other Purposes $256,904
Average Annual Requirements for System General Obligation Tax Bonds, 1983 -2003 $751,250
Percentage of Combination Tax and Junior Lien Revenue Certificates
of Obligation, Self- Supporting 100.00%
Percentage of System General Obligation Tax Bonds Self- Supporting 34.20%
PROCEEDS
Proceeds from the sale of these Bonds will fund the following improvements:
(1) Construct improvements to City streets, to wit: Chisholm Trail, Main Street and
Blair.
(2) Construct permanent public improvements to the downtown area, to wit: side-
walks, parking lots, crossways and landscaping.
(3) Acquire and construct public park improvements.
(4) Construct and acquire a site for a police station.
(5) Purchase of a site for a City yard and certain capital equipment.
(6) Drainage improvements and aerial mapping.
Total Bond Proceeds
PENSION FUND
The City has one pension plan covering all of its employees with the Texas Municipal Retirement System.
On November 1, 1973, the City passed an ordinance which allowed employees to contribute to the System
5.5% of their gross salary. The City contributed $8,700 as its share of the costs for this 1982 fiscal
period. The amount of the actual computed value of vested benefits over the total of the pension fund at
9 -30 -82 for the System is not available.
- 14 -
Estimated
Costs
$1,000,000
200,000
425,000
450,000
225,000
500,000
$2,800,000
Fiscal Year Ended
GENERAL FUND REVENUES AND EXPENDITURES
9 -30 -82 9 -30 -81 9 -30 -80
Revenues
Ad Valorem Taxes $1,615,795 $1,290,623 $ 863,951)
Penalty and Interest 28,119 24,525 7,199)
Sales Tax 651,872 498,651 434,464) $ 814,682
Franchise Tax 209,538 164,565 115,652)
Motel Tax 6,319 7,585 3,799)
Licenses and Permits 62,807 83,970 88,463 110,307
Service Fees(Garbage) 408,926 339,586 272,074 159,443
Fines 98,088 100,655 84,651 61,681
Intergovernmental 59,737 10,518 12,222) 98,772
Interest 31,980 34,078 23,923)
Miscellaneous 60,308 47,039 77,797 53,779
Total Revenues $3,233,489 $2,601,795 $1,984,195 $1,298,664
Expenditures
General Government $ 754,704 $ 676,558 $ 544,977
Fire 244,618 204,777 175,491)
Police 454,831 372,156 321,817)
Public Works 814,462 692,997 699,244
Culture and Recreation 325,445 238,977 196,847
Total Expenditures $2,594,060 $2,185,465 $1,938,376
Excess (deficiency) of Revenues
Over Expenditures $ 639,429 $ 416,330 $ 45,819 $ (105,481)
Other Financing Sources
Transfer from Enterprise Fund $ 909,000 $ 86,100 $ 233,400 $ 255,000
Transfer to Debt Service Fund (1,646,546) (416,493) (225,206) (97,906)
Transfer - Other -0- -0- 23,113 (210)
Total Other Financing Sources $ (737,546) $ (330,393) $ 31,307 $ 156,884
Excess of Revenues Over Expenditures
and Other Uses $ (98,117) $ 85,937 $ 77,126 $ 51,403
Fund Balance at Beginning
of Year $ 336,508 $ 250,571 $ 173,445 $ 146,271
Fund Balance at
End of Year $ 238,391 $ 336,508 $ 250,571 $ 197,674
-15-
9 -30 -79
$ 484,514
543,180
229,839
146,612
$1,404,145
Fiscal Year Ended
INCOME
Water System
Water Collections
Water Taps
Miscellaneous
Total Water Income
Sewer System
Sewer Collections
Sewer Taps
Miscellaneous
Total Sewer Income
Total System Income
EXPENSES
Water System
Administrative
Water Department
Miscellaneous
Total Water Expenses
Sewer System
Administrative
Sewer Department
Miscellaneous
Total Sewer Expenses
Total System Expenses
NET INCOME AVAILABLE
FOR DEBT SERVICE
Water Customers
Sewer Customers
CONDENSED STATEMENT OF OPERATIONS
WATERWORKS AND SEWER SYSTEM
(Extracted from City's Audited Financial Statements)
$
9 -30 -82 9-30-81 9 -30 -80 9 -30 -79 9 -30 -78
907,064(1) $ 700,389(2) $
56,144 49,863
4,105 3,105
967,313 $ 753,357
$ 562,088
66,335
1,394
$ 629,817
$1,597,130 $1,183,420 $1,168,161
$ 121,163
291,027
8,901
$ 421,091
$ 737,047
96,825
207,121
12,010
$ 860,083
4,829
4,791
315,956 $
- 16 -
370,335
57,337
2,391
430,063
71,253
282,253
12,985
366,491
69,105
166,451
17,046
252,602
$ 619,093
$ 564,327
4,589
4,557
755,700
73,263
11,402
$ 840,365
$ 238,027
84,243
5,526
$ 327,796
5514,604(3)" 5315,958
96,529 71,228
650 -0-
$611,783 "$387,186
$135,517
94,789
216
$230,522
$ 67,777 $ 50,748
214,021 174,861
-0- 5,231
$ 281,798 $230,840
$ 85,812
46,699
-
$132,511
$842,305 $519,697
$ 38,076
130,032
-0-
$168,108
53,801 $ 25,381 $ 20,243
140,427 87,456 69,129
-0- 2,616 - -0-
194,228 $115,453 $ 89,372
476,026 $346,293 $257,480
$ 692,135 $496.012 $262,217
3,974 _ 3,695 3,005
3,935 3,552 2,859
(1) Increased water and sewer rates, effective 3- 26 -81.
(2) Decreased in water sales as a result of a very wet summer.
(3) Increased water and sewer rates, effective 12- 20 -78.
Note: Water collections for fiscal year 9 -30 -78 are inclusive of Brushy Bend collections and represents
the first year of a modified accrual statement. The water and sewer collections entry is inclusive of all
additional revenues received by that system. The water collections are inclusive of reconnect charges,
sale of material, and Brushy Bend collections.
COVERAGE AND FUND BALANCES
Average Annual Principal and Interest Requirements, 1983 -2009 $ 480,726
Coverage of Average Annual Requirements by the 9 -30 -82 Net Income 1.79 Times
Waterworks and Sewer System Revenue Bonds Outstanding, 7 -15 -83 $6,225,000
Interest and Sinking Fund, 7 -15 -83 $ 179,781
Reserve Fund, 7 -15 -83 - $ 310,163
Note: Requirements for issuance of additional bonds, as set forth in the outstanding Bond Ordinances,
state that average annual principal and interest requirements on the outstanding bonds and the additional
bonds must be covered 1.50 times by the system's net income, based on the preceding fiscal year ended
9 -30.
Purpose
Waterworks and Sewer System
AUTHORIZED REVENUE BONDS
Amount
Date Amount Heretofore Unissued
Authorized Authorized Issued Balance
11 -6 -79 $4,400,000 $2,890,000 $1,510,000
ANTICIPATED ISSUANCE OF VOTED REVENUE BONDS
The City has plans to issue $800,000 of the remaining authorized bonds during the City's 1983 -84 fiscal
period.
WATERWORKS SYSTEM
The Round Rock water system is divided into five (5) service levels. Level 1 -A serves customers in the
central portion of the City. Intermediate Level 1 -B was created to meet increasing residential and
industrial demands in the northern portion. Level 2 was established to provide for service extension to the
West and Southwest. Level 3 was developed to serve industrial facilities to the far North, primarily the
Westinghouse plant. Level 4 is located to the Southeast to serve current and future expansion in that
direction. Besides providing service to these areas, the City also sells water by contract to Williamson
County Municipal Utility District No. 2 and Brushy Bend Park. MUD /12 will serve approximately 750
acres and 800 homes when fully developed.
Anticipated water supply requirements for the City are presented in Table 1:
Table 1
Water Supply Requirements (1983 -1987)
Peak Daily Usage
Population (3 Times Average Daily Usage)
Year Projection (MGD) (GPM)
1983 17,935 8.07 5,600
1984 20,981 9.44 6,560
1985 24,547 11.05 7,670
1986 28,720 12.92 8,975
1987 33,602 15.12 10,500
Source: City of Round Rock Planning Department.
Water wells pumping from the Edwards Aquifer continue to provide the primary water supply for the City.
Gas chlorination prior to storage is the only required treatment. Current pumping capability of the City's
wells is listed in Table No. 11:
Table 11
Existing Water Wells
Pump Capacity
Well Location GPM MGD
Lake Creek 250 0.360
Lake Creek 1,250 1.800
Lake Creek 1,200 1.728
Lake Creek 3,000 0.432
Tower Drive 300 0.432
Westinghouse 300 0.432
Westinghouse 100 0.144
Brushy Creek 1,400 1.106
Spring Street 1,400 2.016
Burnette 750 1.080
Austin Industries 300 0.432
These wells have a combined safe water pumping capability of 10,250 GPM, or 9.962 MGD.
To meet increasing system demands, the City contracted with Brazos River Authority of Texas for a
surface water supply starting at 6.0 MGD (18.42 acre -feet) average use and increasing over time to 18.0
MGD. The source is Lake Georgetown, located on the North Fork of the San Gabriel River seven (7) miles
northwest of Round Rock. Conveyance and 6.0 MGD capacity treatment facilities were completed in
1982.
- 17 -
The City has five ground storage tanks with a combined capacity of 3,012,000 gallons plus five standpipes
and an elevated tank with combined storage capacity of 2,648,000 gallons.
Current monthly water rates for residential and commercial use (effective 10- 28 -82) are as follows:
Minimum Service Fee
First 20,000 gallons
Next 55,000 gallons
Over 75,000 gallons_
First 3,000 gallons
Next 17,000 gallons
Next 55,000 gallons -
. Over.75,000 gallons
Inside City
$5.00
1.00 /M gallons
1.25/M gallons
1.50 /M gallons
Old Monthly Water Rates
(Effective 3- 26 -81)
Inside City
$4.00 (Minimum)
1.00 /M gallons
1.25/M gallons
1.50 /M gallons
The City has a multi -year contract with Westinghouse to furnish treated water and sanitary sewer service.
The Westinghouse's water rate is $1.43/M gallons. Sewer rates are the same as for an inside city - limits
commercial user.
All bills for water, sewer, and garbage collection are dated and mailed at such time as may be directed by
the City Manager, and payment for such bills is due on or before the 15th of each month. Any bill not
paid by the 15th of the month is considered past due and a penalty of $2.50 or 5 percent of the total
amount due, whichever is more is assessed. If a bill continues to be past due for a period of 30 days, the
water is cut off and the meter removed.
The City's top ten water customers are as follows:
TOP TEN WATER CUSTOMERS
(Fiscal Period Ended 9- 30 -82)
Total Gallons %'of
Customer Sold Per Year Water Sold
Round Rock Independent - - -
School District 31,190,400 4.21%
Westinghouse 24,296,400 .3.28%
Country Place Apartments - - 11,543,600. 1.56%
B -3 Hughes, Tool Company 7,759,200 1.05% - -
Texas Baptist Childrens Home 5,868,200 0.79%
McNeil Consumer Products Company 5,578,600 0.75%
Chateau Square Apartments. 5,352,800 0.72%
Trinity Horne 5,288,100 0.71%
R. R. Housing Authority. - 5,167,300 0.70%
Chisholm Trail Apartments 4,936,600 0.67%
106,981,200 14.44%
Note: Total water billed was 740,656,000 gallons for the fiscal period ended 9- 30 -82.
WASTEWATER SYSTEM -
Additional wastewater treatment. facilities were completed in 1981, giving the City a treatment
capability of approximately 3.0 MGD. Current average daily flow is about 1.4 MGD. Effluent quality is
within acceptable limits of a 10 -15 ppm Texas Water Quality Board Discharge Permit. An additional 2.5
MGD treatment facility is scheduled for completion in 1986.
Collection mains range in size from 6 to 27 inches in diameter. The system contains eight (8) lift stations.
- 18 -
Outside City
$10.00
2.00 /M gallons
2.50/M gallons
3.00 /M gallons
Outside City
$8.00 (Minimum)
2.00 /M gallons
2.50/M gallons
3.00/41 gallons
Average system flows are depicted in Table 111:
Table III
Average Daily Wastewater Flow
1969 177,000 gallons 1976 580,000 gallons
1970 186,000 gallons 1977 700,000 gallons
1971 210,000 gallons 1978 1,200,000 gallons
1972 220,000 gallons 1979 1,300,000 gallons
1973 250,000 gallons 1980 1,400,000 gallons
1974 295,000 gallons 1981 1,450,000 gallons
1975 410,000 gallons 1982 1,510,000 gallons
Current monthly wastewater rates for residential and commercial use (effective 10- 28 -82) are as follows:
Inside City Outside City
Minimum Service Fee $5.00 /per month $10.00 /per month
Per 1000 gallons 1.00 /M gallons* 2.00/M gallons*
Inside City Limits Outside City Limits
Residential and Commercial Residential and Commercial
First 3,000 gallons $8.00 (Minimum)
Over 3,000 gallons 0.20/M gallons*
First 3,000 gallons $4.00 (Minimum)
Over 3,000 gallons 0.20/M gallons*
Old Monthly Sewer Rates
(Effective 4 -9 -81)
* Monthly sewer use is based upon the average monthly water consumption for the months of November,
December, January, February and March of each year.
Table IV
Waterworks and Sewer System Statistical Data
Fiscal Year Ended 9 -30 -82 9 -30 -81 9 -30 -80 9 -30 -79 9 -30 -78 9 -30 -77
Thousand Gallons
of Water Billed 740,656 545,968 619,915* 648,561 541,021 497,910
Total Water Billings $935,932 $615,958 $722,636 $456,797 $304,359 $214,364
Number of Water Billings 55,545 51,230 45,322 39,631 32,363 25,067
Average Monthly Water Bill $ 16.85 $ 12.02 $ 15.94 $ 11.53 $ 9.40 $ 8.55
Total Sewer Billings $562,561 $482,695 $227,689 $145,862 $ 85,812 $ 70,625
Number of Sewer Billings 55,102 51,304 45,024 38,909 30,647 23,865
Average Monthly Sewer Bill $ 10.21 $ 9.41 $ 5.06 $ 3.75 $ 2.80 $ 2.96
* Decrease in water billed due to mandatory water conservation program implemented by the City
Council to curb water usage during the summer months.
- 19 -
GENERAL INFORMATION REGARDING CITY AND ITS ECONOMY
Location ... The City of Round Rock is located in Williamson County, 15 miles north of Austin and 85
miles south of Waco on Interstate Highway 35. The City is also situated on U. S. Highway 79 which runs
east and west. Both U. S. Highway 79 and Interstate Highway 35 are main arteries of traffic in the State.
Economy ... Due to its enviable location and proximity to Austin, the City of Round Rock is diversified
with industry, business, professional, farming and ranching economy. The City is being marked as one of
the fastest growing cities in the State and can only prosper from this tremendous economic growth.
The economy remained brisk and healthy in the Round Rock and Central Texas area. Round Rock became
the first Williamson County city to collect over half a million dollars in city sales tax in a single year, and
also widened its lead as the county's largest trade center.
A wide variety of stores opened their doors in Round Rock in 1981, including the Factory Outlet Mall at
IH -35 and FM 1325, which offers a variety of merchandise at markdowns ranging from 25 to 70 per cent.
This is the first "discount mall" in Texas. Also opening in 1981 was Round Rock West Center which
offered shoppers a large Safeway Store and a variety of other retail stores. Wal -Mart has announced plans
to build a large discount department store on IH -35.
There were three relatively new industries added to the manufacturing community, including B -3 Hughes,
Inc., Tellabs and Weed Instruments. B -7 Hughes manufactures oil field equipment and its plant is located
on North IH -35, employing approximately 400 people. The total plant size is 169,000 square feet and
there are plans for expansions. TelJabs, a telecommunications equipment plant, opened in May 1981,
employing 135 persons. The plant currently has 21,000 square feet and there are plans for three more
expansions in the near future which would bring the plant size to 105,000 square feet. Weed Instruments,
a manufacturer of temperature - sensing instruments for a variety of industrial uses, opened its new plant
m December of 1981. It currently occupies 18,500 square feet at its plant and employs 77. There are
future expansions planned.
City Government and Community Services ... The City is a Council- Manager form of government with a
Mayor and six councilmembers. A fire department consisting of 14 full -time and 30 volunteer part -time
members and 12 vehicles, a police staff of 23 and 8 vehicles, eight parks and swimming pools are available
to the community. The Round Rock Leader, a weekly paper, two Austin daily papers and a public library
with 11,000 volumes are just a few of the many community services offered to the citizens of Round
Rock.
Planned for completion m late 1983 is the Round Rock Community Hospital to be located on a 100 -acre
site near Brushy Creek between Round Rock and the U. 5. 183 area. Other hospital services are easily
accessible in nearby Austin and Georgetown.
Financial Institutions ... The City has access to three banks and two major savings and loan associations
which have at this time total deposits of approximately $67 and $25 million, respectively. A fourth bank
charter is pending at this time.
Utilities ... The City is served by Southwestern Bell Telephone Company, Texas Power & Light Company
and Lone Star Gas Company. Water and sewer facilities are furnished by the City.
Transportation ... The City is within easy access to the Austin Municipal Airport and also Tim's Airpark,
a private airport located near the City. Two major railroads, two motor freight Lines and three bus lines
serve the City on routinely scheduled intervals.
Educational Facilities ... The City of Round Rock is located entirely within one of the fastest growing
school districts in the State, Round Rock Independent School District. The District is comprised of 110
square miles with a current 1982 Assessed Valuation of $1,303,119,446. The District maintains eleven
elementary, three middle and two senior high schools. School administrators are hoping to start
construction on a fourth middle school sometime this year, pending selection of a site. Budget for the
current year is more than $38,000,000 with a scholastic enrollment of 12,022. Average Daily Attendance
(ADA) in the school district has grown by almost 9,000 since 1971 when ADA stood at 1,751. In the 1981-
82 school year ADA passed the 10,000 mark and is continuing a steady growth pattern.
- 20 -
Assessed Value
Total Real Property
Year Enrollment (000's Omitted)
1970 1,817 $ 27,717
1971 2,200 27,922
1972 2,646 34,749
1973 3,400 53,000
1974 4,500 111,000
1975 5,483 125,000
1976 7,000 154,407
1977 7,500 202,544
1978 8,300 274,482
1979 9,100 582,049*
1980 9,558 611,654
1981 10,480 1,227,357
1982 12,022 1,303,119
• Begin 100% basis of assessment.
The City is within 90 miles of six of the major universities in the State, including the University of Texas
at Austin, just 15 miles away. Southwestern University is located eight miles north in the City of
Georgetown.
City Growth Statistics
Building Bank
Calendar Electric Permits Sales Tax Deposits
Year Population Meters (000's Omitted) Receipts (000's Omitted)
1971 3,060 985 $ 1,447 $ 16,788 $ 8,189
1972 3,310 1,110 2,570 23,248 12,168
1973 3,560 1,251 3,597 27,916 16,736
1974 3,860 1,284 4,290 35,438 20,588
1975 5,000 1,693 6,113 47,911 22,838
1976 6,176 2,088 16,955 68,580 29,857
1977 8,181 4,548 29,461 105,635 35,568
1978 10,500 4,928 43,121 220,114 41,450
1979 11,100 5,343 23,154 359,757 52,863
1980 13,500 5,761 35,757 444,733 59,922
1981 14,900 7,915 26,639 532,104 67,675
1982 17,900" 8,016 31,921 728,628 85,501
* City Planning Department Projection.
Area Employers ... Westinghouse Electric Corporation's Heavy Industry Motor Division is one of the
oldest of the new industries in Round Rock and is the City's largest manufacturer, and now employs over
700 area residents in production, engineeering, marketing and management. They are located on a 250
acre site on IH -35 just north of the city limits and are housed in a 350,000 -plus square foot facility.
Other major employers in the area include the following: Austin White Lime; Eagle Signal Corporation;
IBM Corporation; Motorola Corporation; Preferred Stamping Company; Sweet Publishing Company; Texas
Crushed Stone; Texas Instruments; B -J Hughes, Incorporated; McNeil Consumer Products Company;
Kenrod Steel; Tellabs, Inc.; Weed Instruments Company; Featherlite Block; and MKM Corporation.
Burroughs and Abbott Laboratories, two major corporations, have acquired plant sites in and around the
City and will begin construction m the very near future.
Recreation ... Lake Travis, together with a number of other major lakes and parks, is in the near vicinity
to add recreational dimension to the area. The hunting of deer, quail and mourning doves can also be
enjoyed throughout this area. Each year, the weekend after the Fourth of July, Round Rock holds
Frontier Days, an 18 year tradition which attracts many people. The streets are lined with entertainment,
arts and crafts, food booths and many events are scheduled all over town. The event has become an
annual affair and draws crowds of several thousand. Also, starting in 1980 the Chamber of Commerce
sponsored a Merchants Fair with over 60 booths, giving information about Round Rock businesses and
services.
Source: All of the information contained in this General Information Regarding the City and Its Economy
has been compiled from material supplied by the Round Rock Chamber of Commerce.
- 21 -
RATINGS
Applications for contract ratings on this issue have been made to Moody's Investors Service, Inc. and
Standard & Poor's Corporation. An explanation of the significance of such ratings may be obtained from
the company furnishing the rating. The ratings reflect only the respective views of such organizations and
the City makes no representation as to the appropriateness of the ratings. There is no assurance that such
ratings will continue for any given period of time or that they will not be revised downward or withdrawn
entirely by either or both of such rating companies, if in the judgment of either or both companies,
circumstances so warrant. Any such downward revision or withdrawal of such ratings, or either of them,
may have an adverse effect on the market price of the Bonds.
TAX EXEMPTION
The delivery of the Bonds is subject to an opinion of Messrs. McCall, Parkhurst & Horton, Bond Counsel to
the City ("Bond Counsel "), to the effect that interest on the Bonds is exempt from all present Federal
income taxes under existing statutes, rulings, regulations and court decisions. The laws, regulations, court
decisions and administrative regulations and rulings upon which the conclusion stated in Bond Counsel's
opinion will be based are subject to change by the Congress, the Treasury Department and later judicial
and administrative decisions.
REGISTRATION AND QUALIFICATION OF BONDS FOR SALE
The sale of the Bonds has not been registered under the Federal Securities Act of 1933, as amended, in
reliance upon the exemption provided thereunder by Section 3(a) (2); and the Bonds have not been qualified
under the Securities At of Texas in reliance upon various exemptions contained therein; nor have the
Bonds been qualified under the securities acts of any jurisdiction. The City assumes no responsibility for
qualification of the Bonds under the securities laws of any jurisdiction in which the Bonds may be sold,
assigned, pledged, hypothecated or otherwise transferred. This disclaimer of responsibility for qualifica-
tion for sale or other disposition of the Bonds shall not be construed as an interpretation of any kind with
regard to the availability of any exemption from securities registration provisions.
LEGAL INVESTMENTS AND ELIGIBILITY TO SECURE PUBLIC FUNDS IN TEXAS
All bonds issued by an issuer shall constitute negotiable instruments, and are investment securities
governed by Chapter 8, Texas Uniform Commercial Code, notwithstanding any provisions of law or court
decision to the contrary, and are legal and authorized investments for banks, savings banks, trust
companies, building and loan associations, savings and loan associations, insurance companies, fiduciaries,
and trustees, and for the sinking fund of cities, towns, villages, school districts, and other political
subdivisions or public agencies of the State of Texas. Said bonds also are eligible to secure deposits of any
public funds of the state or any political subdivision or public agency of the state, and are lawful and
sufficient security for the deposits to the extent of their market value, when accompanied by any
unmatured coupons attached to the bonds. No review by the City has been made of the laws in other
states to determine whether the bonds are legal investments for various institutions in those states.
LEGAL OPINIONS AND NO- LITIGATION CERTIFICATE
The City will furnish a complete transcript of proceedings had incident to the authorization and issuance
of the Bonds, including the unqualified approving legal opinion of the Attorney General of the State of
Texas as to the Initial Bond and any changes in denominations or form authorized in said proceedings, to
the effect that the Bonds are valid and legally binding obligations of the City, and based upon examination
of such transcript of proceedings, the unqualified approving legal opinion of Bond Counsel, to like effect
and to the effect that the interest on the Bonds is exempt from Federal income taxation under existing
statutes, regulations, rulings and court decisions. The customary closing papers, including a certificate to
the effect that no litigation of any nature has been filed or is then pending to restrain the issuance and
delivery of the Bonds, or which would affect the provision made for their payment or security, or in any
manner questioning the validity of said Bonds or the coupons appertaining thereto, will also be furnished.
Bond Counsel was not requested to participate, and did not take part, in the preparation of the Notice of
Sale and Bidding Instructions, the Official Bid Form and the Official Statement, and such firm has not
assumed any responsibility with respect thereto or undertaken independently to verify any of the
information contained therein, except that, in its capacity as Bond Counsel, such firm has reviewed the
information describing the Bonds in the Official Statement to verify that such description conforms to the
provisions of the bond ordinance. The legal fees to be paid Bond Counsel for services rendered in
connection with the issuance of the Bonds are contingent on the sale and delivery of the Bonds. The legal
opinion will be printed on the Bonds.
- 22 -
AUTHENTICITY OF FINANCIAL INFORMATION
The financial data and other information contained herein have been obtained from the City's records,
audited financial statements and other sources which are believed to be reliable. There is no guarantee
that any of the assumptions or estimates contained herein will be realized. All of the summaries of the
statutes, documents and resolutions contained in this Official Statement are made subject to all of the
provisions of such statutes, documents and resolutions. These summaries do not purport to be complete
statements of such provisions and reference is made to such documents for further information.
Reference is made to original documents in all respects.
FINANCIAL ADVISOR
First Southwest Company is employed as Financial Advisor to the City in connection with the issuance of
the Bonds. The Financial Advisor's fee for services rendered with respect to the sale of the Bonds is
contingent upon the issuance and delivery of the Bonds. First Southwest Company may submit a bid for
the Bonds, either independently or as a member of a syndicate organized to submit a bid for the Bonds.
CERTIFICATION OF THE OFFICIAL STATEMENT
At the time of payment for and delivery of the Bonds, the Purchaser will be furnished a certificate,
executed by proper officers, acting in their official capacity, to the effect that to the best of their
knowledge and belief: (a) the descriptions and statements of or pertaining to the City contained in its
Official Statement, and any addenda, supplement or amendment thereto, on the date of such Official
Statement, on the date of sale of said Bonds and the acceptance of the best bid therefor, and on the date
of the delivery, were and are true and correct in all material respects; (b) insofar as the City and its
affairs, including its financial affairs, are concerned, such Official Statement did not and does not contain
an untrue statement of a material fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein, in the light of the circumstances under which they were made,
not misleading; (c) insofar as the descriptions and statements, including financial data, of or pertaining to
entities, other than the City, and their activities contained in such Official Statement are concerned, such
statements and data have been obtained from sources which the City believes to be reliable and that the
City has no reason to believe that they are untrue in any material respect; and (d) there has been no
material adverse change in the financial condition of the City since the date of the last audited financial
statements of the City.
The Ordinance authorizing the issuance of the Bonds will also approve the form and content of this
Official Statement, and any addenda, supplement or amendment thereto, and authorize its further use in
the reoffering of the Bonds by the Purchaser.
ATTEST:
JOANNE LAND
City Secretary
- 23 -
LARRY L. TONN
Mayor
APPENDIX
The information contained in this Appendix has been reproduced from
the City of Round Rock, Texas Annual Audit Report for the Fiscal
Year Ended September 30, 1982. The information presented repre-
sents only a part of the Annual Audit Report and does not purport to
be a complete statement of the City's financial condition. Reference
is made to the complete Annual Audit Report for further informa-
tion.
1 JOHN W. HOOD. CPA
H. G. "CHIP" WOOLF, JR., CPA
Honorable Mayor, Members of the
City Council, and City Manager
City of Round Rock, Texas
HOOD. WOOLF & COMPANY
CERTIFIED PUBLIC ACCOUNTANTS
2003 NORTH MAYS, SUITE 101
ROUND ROCK, TEXAS 75664
TELEPHONE
(512) 255 -1227
We have examined the general purpose financial statements of the City
of Round Rock for the years ended September 30, 1982 and 1981, as listed
in the table of contents. Our examination was made in accordance with
generally accepted auditing standards and, accordingly, included such tests
of the accounting records and such other auditing procedures as we considered
necessary in the circumstances.
As more fully described in note (1) B paragraph three of the notes to
financial statements, the City's general fixed assets and utility plant in service
which were acquired prior to October 1, 1977 are valued at estimated cost
rather than historical cost as is required by generally accepted accounting
principles. It is not possible to determine the effect, if any, that this matter
has on financial position or results of operations.
In our opinion, except as noted in the preceding paragraph, the general
purpose financial statements referred to above present fairly the financial
position of the City of Round Rock at September 30, 1982 and 1981, the results
of its operations and the changes in financial position for the years then
ended, in conformity with generally accepted accounting principles applied en
a consistent basis.
Our examination was made for the purpose of forming an opinion on the
general purpose financial statements taken as a whole. The accompanying
financial information included in the supplementary financial statements listed
in the table of contents is presented for purposes of additional analysis and
is not a required part of the general purpose financial statements, and in
our opinion, except as noted in the second preceding paragraph. is fairly
stated in all material respects in relation to the general purpose financial
statements taken as a whole.
December 30, 1982
Ne, CJ /
Hood, Woolf & Co pany
ASSETS
CITY OF ROUND ROCK
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30, 1982
GOVERNMENTAL FUND TYPES
Special Debt Capital Special
General Revenue Service Projects Assessment
Cash $ 94,001 $48,007 $ 2,215 $ 71,999 $3,845
Certificates of deposit 249,653 -0- 10,000 3,339,896 -0-
Receivables
Taxes 93,601 -0- -0- -0- -0-
Accounts 7,969 -0- -0- -0- -0-
Loans -0- -0- -0- -0-- -0-
Accrued interest 1,071 -0- -0- 15,346 -0-
Due from other funds 192,358 1,669 333,900 13,404 -0-
Due from other govern-
ments 27,833 31,381 -0- -0- -0-
Inventories -0- -0- -0- -0- -0-
Other assets 5,290 -0- -0- -0- -0-
Restricted assets - cash
and certificates of
deposit
Fixed assets, net of
accumulated depreciation -0-
Amounts available in debt
service funds -0-
Amount to be provided for
retirement of general
long -term debt
Total Assets
The accompanying notes to financial statements
are an integral part of these financial statements.
$671,776 $81,057 $346,115 $3,440,645 $3,845
2
1
1
Water And
Wastewater Fidu-
ACCOUNT GROUPS TOTALS
General General Memorandum Only
Enterprise ciary Fixed Long -Term
Fund Funds Assets Debt 1982 1981
$ 65,505 $12,180 $ -0- $ -0- $ 297,752 $ 431,124
195,403 3,764 -0- -0- 3,798,716 8,132,276
-0- -0- -0- -0- 93,601 118,354
23,663 6,500 -0- -0- 38,132 53,711
- 0- 129,080 -0- -0- 129,080 69,018
484 -0- -0- -0- 16,901 331,685
10,121 -0- -0- -0- 551,452 331,558
280 -0- -0- -0- 59,494 35,565
21,487 -0- -0- -0- 21,487 18,987
- 0- -0- -0- -0- 5,290 1,045
417,618
6,139,672
- 0-
$6,874,233 $151,524
22,496,422
3
346,115
(Continued)
417,618 453,840
28,636,094 21,880,718
346,115 137,119
14,073,304 14,073,304 13,320,753
$22,496,422 $14,419,419 $48,485,036 $45,315,753
LIABILITIES
Accounts payable and
accrued expenses $ 84,908 $ 1,387 $ -0- $ 963,019 $ -0-
Customer deposits -0- -0- -0- -0- -0-
Accounts held for
others
Payable from restricted
assets
Construction contracts -0- -0- -0- -0- -0-
Long -term debt -0- -0- -0- -0- -0-
Accrued interest -0- -0- -0- -0- -0-
Due to other funds
Due to other funds 348,477 5,691 12,687 1,789
Long -term debt
General obligation
bonds -0- -0- -0- -0- -0-
Revenue bonds -0- -0- -0- -0- -0-
Certificates of deposit -0- -0- -0- -0- 182,000
Other -0- -0- -0- _ -0- -0-
Less current portion -0- -0- -0- -0- -0-
Total Liabilities
CITY OF ROUND ROCK
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30, 1982
(Continuation)
GOVERNMENTAL FUND TYPES
Special Debt Capital Special
General Revenue Service Pro'ects Assessment
433,385 7,078 975,706
183,789
FUND EQUITY
Investment in general
fixed assets -0- -0-
Fund balances and retained
earnings
Reserved for debt service -0- -0- -0- -0- -0-
Reserved for loans -0- -0- -0- -0- -0-
Unreserved 238,391 73,979 346,115 2,464,939 (179,944)
Total Fund Equity 238,391 73,979 346,115 2,464,939 (179,944)
Total Liabilities and
Fund Equity $671,776 $81,057 $346,115 $3,440,645 $ 3,845
The accompanying notes to financial statements
are an integral part of these financial statements.
4
1
Water And
Wastewater Fidu-
ACCOUNT GROUPS TOTALS
General General Memorandum Only
Enterprise ciary Fixed Long -Term
Fund Funds Assets Debt 1982 1981
$ 44,798 $ -0- $ -0- $ -0- $ 1,094,112 $ 792,283
86,126 -0- -0- -0- 86,126 73,182
-0- 12,908 12,908 5,113
10,140 -0- -0- -0- 10,140 75,204
103,000 -0- -0- -0- 103,000 55,128
63,801 -0- -0- -0- 63,801 61,573
7,196 -0- -0- -0- 7,196 22,452
175,113 499 -0- -0- 544,256 309,107
0 -0- -0- 13,278,000 13,278,000 13,042,000
4,818,000 -0- -0- -0- 4,818,000 4,896,000
285,000 -0- -0- 960,000 1,427,000 647,000
0 -0- -0- 181,419 181,419 61,000
(103,000) -0- -0- -0- (103,000) (55,128)
5,490,174 13,407 14,419,419 21,522,958 19,984,914
-0- 22,496,422
22,496,422 15,681,276
246,800 -0- -0- -0- 246,800 362,517
-0- 129,080 -0- -0- 129,080 69,018
1,137,259 9,037 -0- -0- 4,089,776 9,218,028
1,384,059 138,117 22,496,422 26,962,078 25,330,839
$6,874,233 $151,524 $22,496,422 $14,419,419 $48,485,036 $45,315,753
5
CITY OF ROUND ROCK
COMBINED STATEMENT OF REVENUE, EXPENDITURES, AND
CHANGES IN FUND BALANCES - ALL GOVERNMENTAL
FUND TYPES AND EXPENDABLE TRUST FUND
YEAR ENDED SEPTEMBER 30, 1982
Revenues
Taxes $ 2,511,643 $ -0-
Licenses and permits 62,807 -0-
Charges for services 408,926 -0-
Fines and forfeitures 98,088 -0-
Intergovernmental 59,737 311,521
Miscellaneous, including interest 92.288 20,650
Total Revenues 3,233,489 332,171
Expenditures
General government 754,704 101,866
Public safety 699,449 0-
Public works 814,462 8,593
Culture and recreation 325,445 -0-
Capital improvements -0- 235,890
Debt service
Principal retirement -0- -0-
Interest -0- -0-•
Total Expenditures 2,594,060 346,349
Excess (Deficiency) of Revenues
over Expenditures 639,429 (14,178)
Other Financing Sources (Uses)
Proceeds from general obligation bonds -0- -0-
Interfund transfers, net ( 737,546) -0-
Total Other Sources (Uses) ( 737,546) -0-
Excess (Deficiency) of Revenues
and Other Financing Sources
over Expenditures and Other
Uses ( 98.117) (14,178)
Fund Balance at Beginning of Year 336,508 88,157
Fund Balance at End of Year $ 238,391 $ 73,979
The accompanying notes to financial statements
are an integral part of these financial statements.
6
GOVERNMENTAL
FUND TYPES
Special
General Revenue
1
GOVERNMENTAL
FUND TYPES Expendable TOTALS
Debt Capital Sepcial Loan Memorandum Only
Service Projects Assessments Fund 1982 1981
$ -0- $ -0- $ -0- $ -0- $ 2,511,643 $ 1,985,949
- 0- -0- -0- -0- 62,807 83,970
-0- -0- -0- -0- 408,926 339,586
- 0- -0- -0- -0- 98,088 100,655
- 0- -0- -0- -0- 371,258 485,254
13,696 684,020 2,120 727 813,501 876,393
13,696 684,020 2,120 727 4,266,223 3,871,807
- 0- -0- -0- -0- 856,570 799,187
- 0- -0- -0- -0- 699,449 610,898
- 0- -0- -0- -0- 823,055 711,337
- 0- -0- -0- -0- 325,445 238,977
-0- 6,288,369 182,064 -0- 6,706,323 3,943,621
91,000 -0- -0- -0- 91,000 41,000
1,360,246 -0- -0- -0- 1,360,246 217,215
1,451,246 6,288,369 182,064 10,862,088 6,562,235
(1,437,550) (5,604,349) (179,944) 727 (6,595,865) (2,690,428)
- 0- 925,000 -0- -0- 925,000 10,415,000
1,646,546 ( 550,000) -0- 67,100 426,100 129,171
1,646,546 375,000 -0- 67,100 1,351,100 10,544,171
208,996 (5,229,349) (179,944) 67,827 (5,244,765) 7,853,743
137,119 7,694,288 -0- 70,290 8,326,362 472,619
$ 346,115 $2,464,939 $(179,944) $138,117 $ 3,081,597 $ 8,326,362
7
THIS PAGE LEFT BLANK INTENTIONALLY
i
CITY OF ROUND ROCK
GENERAL FUND
STATEMENT OF' REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCE - BUDGET AND ACTUAL
YEAR ENDED SEPTEMBER 30, 1982
WITH COMPARATIVE ACTUAL AMOUNTS FOR 1981
Total Revenues
Expenditures
General government
Public safety
Public works
Culture and recreation
Total Expenditures
Excess of Revenues
Over Expenditures
Other Financing Sources
(Uses)
Transfers from other funds
Transfers to debt service
fund
Fund Balance at Beginning
of Year
1981 1982
Actual
Revenues
Taxes $1,985,949 $2,511,643 $2,493,969 $ 17,674
Licenses and permits 83,970 62,807 53,400 9,407
Charges for services 339,586 408,926 358,362 50,564
Fines and forfeitures 100,655 98,088 92,500 5,588
Intergovernmental 10,518 59,737 6,700 53,037
Miscellaneous 81,117 92,288 84,000 8,288
2,601,795 3,233,489 3,088,931 144,558
676,558
576,933
692,997
238,977
2,185,465 2,594,060 2,588,406 ( 5,654)
416,330 639,429
86,100
(416,493)
Other Financing Sources
(Uses), Net (330,393) (737,546) (540,546) (197,000)
Excess of Revenues Over
Expenditures and Other
Uses 85,937 (98,117) ( 40,021) ( 58,096)
250,571
Fund Balance at End of - Year $ 336,508 $ 238,391 $ 296,487 $(58,096)
The accompanying notes to financial statements
are an integral part of these financial statements.
Actual Budget Variance
754,704
699,449
814,462
325,445
688,236
684,232
927,553
288,385
909,000 909,000
(1,646,546) (1,449,546)
336,508 336,508
(66,468)
(15,217)
113,091
(37,060)
500,525 138.904
-0-
(197,000)
CITY OF ROUND ROCK
WATER AND WASTEWATER ENTEPRISE FUND
STATEMENT OF REVENUE, EXPENSES
AND CHANGES IN FUND EQUITY
YEAR ENDED SEPTEMBER 30, 1982 WITH
COMPARATIVE ACTUAL AMOUNTS FOR 1981
Operating Revenues
Water sales $ 700,389 $ 907,064 $ 831,813 $ 75,251
Wastewater service charges 370,335 562,088 541,624 20,464
Tap fees 107,200 122,479 107,400 15,079
Other income 5,496 5,499 2,800 2,699
1981 1982
Total Operating Revenues 1,183,420 1,597,130 1,483,637 113,493
Operating Expenses Before
Depreciation
Personal services 282,570 330,823 326,526 ( 4,297)
Contracted services 197,257 271,377 222,071 (49,306)
Materials and supplies 109,929 105,500 135,030 29,530
Other 29,337 29,347 56,600 27,253
Operating Expenses
Before Depreciation 619,093 737,047 740,227 3,180
Operating Income
Before Depreciation 564,327
Less Depreciation (175,000)
Operating Income 389,327
Non - Operating Income
(Expense)
Wastewater study grant 62,190 31,699
Interest income 110,041 44,871
Interest expense (421,023) (369,276)
Non - Operating Income
(Expenses), Net (248,792) (292,706)
Net Income 140,535 336,146
Fund Equity - Beginning of
Year 726,805 1,323,201
Interfund transfers ( 86,100) (359,000)
Additions to utility plant
from other funds 541,961 78,712
Debt retired by other
funds -0- 5,000
Fund Equity - End of Year $1,323,201 $1,384,059
The accompanying notes to financial statements
are an integral part of these financial statements.
Actual Actual Budget Variance
9
860,083 $ 743,410 $116,673
(231,231)
628,852 •
1
1
CITY OF ROUND ROCK
WATER AND WASTEWATER ENTERPRISE FUND
STATEMENT OF CHANGES IN FINANCIAL POSITION
YEAR ENDED SEPTEMBER 30, 1982 WITH
COMPARATIVE AMOUNTS FOR 1981
Sources of Funds:
Operations:
Net income
Add depreciation not requiring funds
Funds from Operations
Additions to utility plant from other funds
Decrease in restricted assets
Increase in customer deposits
Debt retired by other funds
Total Sources of Funds
Uses of Funds
Additions to utility plant
Retirement of long -term debt
Decrease in current liabilities -
payable from restricted assets
Interfund transfers
Total Uses of Funds
Net Increase (Decrease) in
Working Capital
Net Increase (Decrease)
The accompanying notes to financial statements
are an 'integral part of these financial statements.
10
1982 1981
$ 336,146
231,231
567,377
78,712
36,222
12,944
5,000
700,255
171,461 2,056,816
133,000 53,000
30,220
359,000
693,681 2,320,052
6,574
$ 140,535
175,000
315,535
541,961
1,335,163
4,468
-0-
2,197,127
124,136
86,100
$ (122,925)
Elements of Net Increase (Decrease):
Cash $ (78,109) $ 60,885
Certificates of deposit 195,403 ( 50,000)
Time deposits (42,805) ( 9,207)
Accounts receivable (21,498) ( 45,842)
Accrued interest receivable 484 ( 8,071)
Inventories 2,500 13,000
Due from other funds (10,056) 10,178
Accounts payable (21,437) 8,098
Accrued expenses -0- 4,587
Due to general fund (17,908) (106,553)
$ 6,574 $ (122,925)
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(1) Summary of Significant Accounting Policies
The City of Round Rock was incorporated January 20, 1913 and oper-
ates under a Council- Manager form of government.
The accounting policies of the City of Round Rock conform to generally
accepted accounting principles as applicable to governments. The follow-
ing is a summary of the more significant policies:
A. Fund Accounting
The accounts of the City are organized on the basis of funds and
account groups, each of which is considered a separate accounting
entity. The operations of each fund are accounted for with a
separate set of self - balancing accoutns that comprise its assets,
liabilities, fund equity, revenues, and expenditures, or expenses,
as appropriate. Government resources are allocated to and accounted
for in individual funds based upon the purposes for which they
are to be spent and the means by which spending activities are
controlled. The various funds are grouped, in the financial state-
ments in this report into six generic fund types and three broad
fund categories as follows:
GOVERNMENTAL FUNDS
General Fund - The General Fund is the general operating fund
of the City. It is used to account for all financial resources
except those required to be accounted for in another fund.
Special Revenue Funds - Special Revenue Funds are used to account
for the proceeds fo specific revenue sources that are legally restricted
to expenditures for specified purposes, other than major capital
projects.
Debt Service Funds - Debt Service Funds are used to account for
the accumulation of resources for, and the payment of, general
long -term debt principal, interest, and related costs.
Capital Projects Funds - Capital Projects Funds are used to account
for financial resources to be used for the acquisition or construction
of major capital facilities other than those financed by proprietary
funds.
Special Assessment Funds - Special Assessment Funds are used to
account for the financing of public improvements deemed to benefit
the properties against which special assessments are levied.
11
1
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
PROPRIETARY FUNDS
Enterprises Funds - Enterprise Funds are used to account for oper-
ations that are financed and operated in manner similar to private
business enterprises - where the intent of the governing body is
that the costs of providing goods or services to the general public
on a continuing basis be financed or recovered primarily through
user charges.
FIDUCIARY FUNDS
Trust and Agency Funds - Trust and Agency Funds are used to
account for assets held by the City in a trustee capacity or as an
agent for individuals, private organizations, other governments,
and /or other funds. These include Expendable Trust and Agency
Funds. Expendable Trust Funds are accounted for in essentially
the same manner as governmental funds. Agency Funds are custo-
dial in nature and do not involve measurement of results of oper-
ations, but do reflect assets equal to laibilities.
B. Fixed Assets and Long -Term Liabilities
The accounting and reporting treatment applied to the fixed assets
and long -term liabilities associated with a fund are determined by its
measurement focus. All governmental funds and Expendable Trust
funds are accounted for on a spending or "financial flow" measure-
ment focus. This means that only current assets and current liabil-
ities are generally included on their balance sheets. Their reported
fund balance (net current assets) is considered a measure of
"available spendable resources." Governmental fund operating state-
ments present increases (revenue and other financing resoruces)
and decreases (expenditures and other financing uses) in net
current assets. Accordingly, they are said to present a summary of
sources and uses of "available spendable resources" during a period.
Fixed assets used in governmental fund type operations (general
fixed assets) are accounted for in the General Fixed Assets Account
Group, rather than in governmental funds. Public domain ( "infra-
structure") general fixed assets, consisting of certain improvements
including roads, bridges, curbs and gutters, streets, and side-
walks, drainage systems, and lighting systems, are capitalized
along with other general fixed assets. No depreciation has been
provided on general fixed assets.
12
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
All fixed assets are valued at historical cost or estimated historical
cost if actual historical cost is not available. Donated fixed assets
are valued at their estimated fair value on the date donated. Prior
to October 1, 1977, the records of the City were maintained on the
cash receipts and disbursements basis of accounting. At October 1,
1977, the City adopted the double -entry system of accounting as
required by its home rule charter. The entry to record fixed assets
in the general fixed asset group of accounts and utility plant in
service in the utility fund was based on an estimate of fair market
value of these assets at date of acquisition and does not necessarily
reflect the total actual cost of those assets. Similarly, the fund
balances of the related funds do not necessarily reflect the cumulative
activity of these funds from the beginning of their operations.
Long -term liabilities expected to be financed from governmental funds
are accounted for in the General Long -Term Debt Account Group,
not in the governmental funds.
The two account groups are not "funds." They are concerned only
with the measurement of financial position. They are not involved
with measurement of results of operations.
Noncurrent portions of long -term receivables due to governmental
funds are reported on their balance sheets, in spite of their spending
measurement focus. Special reporting treatments are used to indicate,
however, that they should not be considered "available spendable
resources," since they do not represent net current assets. Non-
current portions of long -term loans receivable are offset by fund
balance reserve accounts.
Because of their spending measurement focus, expenditure recognition
for governmental fund types is limited to exclude amounts represented
by noncurrent liabilities. Since they do not affect net current assets,
such long -term amounts are not recognized as governmental fund type
expenditures or fund liabilities. They are instead reported as liabil-
ities in the General Long -Term Debt Account Group.
Proprietary funds are accounted for on a cost of services or "capital
maintenance" measurement focus. This means that all assets and all
liabilities (whether current or noncurrent) associated with their
activity are included on their balance sheets. The reported fund
equity (net total assets) includes both contributed captial and
retained earnings. Proprietary fund type operating statements
present increases (revenues) and decreases (expenses) in net total
assets.
13
1
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1482
(Continuation)
Depreciation of exhaustible fixed assets used by proprietary funds
is charged as an expense against operations. Accumulated depre-
ciation is reported on the proprietary fund balance sheet. Depre-
ciation has been provided over the estimated useful lives using the
straight -line method. The estimated useful lives are as follows:
Buildings 30 years
Improvements 30 -40 years
Equipment 5 years
C. Basis of Accounting
Basis of accounting refers. to when revenues and expenditures or
expenses are recognized in the accounts and reported in the fin-
ancial statements. Basis of accounting relates to the timing of the
measurement made, regardless of the measurement focus applied.
All governmental funds and Expendable Trust Funds are accounted
for using the modified accrual basis of accounting. Their revenues
are recognized when they become measurable and available as net
current assets. Taxpayer- assessed income, gross receipts, and
sales taxes are considered "measurable" when in the hands of inter-
mediary collecting governments and are recognized as revenue at
the time they are reported as available by those governments.
Expenditures are generally recognized under the modified accrual
basis of accounting when the related fund liability is incurred.
Exceptions to this general rule include: (1) accumulated unpaid
vacation, sick pay, and other employee amounts which are not accrued;
and (2) principal and interest on general long -term debt which is recog-
nized when due.
The proprietary fund is acounted for using the accrual basis of
accounting. Revenues are recognized when they are earned, and
expenses are recognized when they are incurred.
D. Budgets and Budgetary Accounting
The City follows these procedures in establishing the budgetary data
reflected in the financial statements:
1. Prior to August 1, the City Manager submits to the City Council
a proposed operating budget for the fiscal year commencing the
following October 1. The operating budget includes proposed
expenditures and the means of financing them.
2. Public hearings are conducted to obtain taxpayer comments.
14
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
3. Prior to September 27, the budget is legally enacted through
passage of an ordinance.
4. Formal budgetary integration is employed as a management control
device during the year for the General Fund, Special Reevnue
Funds, Capital Projects Funds, and Enterprise Fund. Formal
budgetary integration is not employed for Debt Service Funds
because effective budgetary control is alternatively achieved
through general obligation bond indenture provisions.
5. Budgets for the General, Special Revenue, Capital Projects, and
Enterprise Funds are adopted on a basis consistent with generally
accepted accounting principles (GA AP) in all material respects.
6. Budgeted amounts are as originally adopted, or as amended by
the City Council on June 10, 1982. Individual amendments were
not material in relation to original appropriations.
E. Encumbrances
Encumbrance accounting, under which purchase orders, contracts,
and other commitments for the expenditure of monies are recorded
in order to reserve that portion of the applicable appropriation, is
employed as an extension of formal budgetary integration in the
General Fund, Special Revenue Funds, and Enterprise Funds.
F. Total Columns on Combined Statements
Total columns on the Combined Statements are captioned Memorandum
Only to indicate that they are presented only to facilitate financial
analysis. Data in these columns does not present financial position,
results of operations, or changes in financial position in conformity
with generally accepted accounting principles. Neither is such data
comparable to a consolidation. Interfund eliminations have not been
made in the aggregation of this data.
(2) Property Taxes
On January 1 of each year all real and personal property subject to tax
is assessed. Prior to September 30 each year taxes are levied upon the
properties assessed on January 1 and the property taxes levied are due
and payable on or before January 31 of the following year.
The City contracts for and uses the services of the Round Rock Indepen-
dent School District for the purposes of assessing properties and collect-
ing taxes levied.
15
1
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
The City is permitted by state law to levy taxes up to $2.50 per $100
of assessed valuation. General property tax revenues for the years ended
September 30, 1982 and 1981 resulted from levying a tax of 48.8 and
77 cents per $100 of the January 1, 1982 and 1981 assessed valuation,
respectively.
(3) Changes in General Fixed Assets
A summary of changes in general fixed assets follows:
Balance Balance
Sept, 30, 1981 Additions Deductions Sept. 30, 1982
Land $ 1,021,227 $ -0- $ -0- $ 1,021,227
Buildings 1,030,761 741 -0- 1,031,502
Improvements other
than buildings 9,623,366 650,240 -0- 10,273,606
Equipment 875,336 216,880 -0- 1,092,216
Construction in
progress 3,130,586 6,332,539 385,254 9,077,871
$15,681,276 $7,200,400 8385,254 $22,496,422
Additions to general fixed assets include expenditures of the General
Fund, Special Revenue Funds, andCapital Projects Funds, and the estimated
fair value of streets and other improvements constructed by developers
and dedicated to the City. Deductions from construction in progress
include amounts expended by Capital Projects Funds for assets
reflected as additions to the Water and Wastewater Enterprise Fund
utility plant and transfers to specific general fixed asset accounts.
Construction in progress at September 30, 1982 is composed of the
following:
Lake Georgetown Water Project $8,137,645
North Fire Station 480,409
Other Projects 459,817
$9,077,871
The City believes that the net assets of the related Capital Projects
Funds at September 30, 1982 will be sufficient to complete the projects
in progress.
16
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
A summary of changes in Water and Wastewater Enterprise Fund utility
plant in service follows:
Balance Balance
Sept. 30, 1981 Additions Deductions Sept. 30, 1982
Land $ 445,692 $ -0- $ -0- $ 445,692
Buildings 356,441 5,886 -0- 362,327
Improvements other
than buildings 4,100,021 1,696,233 5,796,254
Machinery and
equipment 355,720 53,294 -0- 409,014
Construction in
progress
.End of year
5,257,874 1,755,413
1,681,719 79,699 1,663,651
17
-0- 7,013,287
Less allowance for
depreciation (740,151) (231,231) -0- (971,382)
4,517,723 1,524,182 -0- 6,041,905
97,767
$6,199,442 $1,603,881 $1,663,651 $6,139,672
The construction in progress at September 30, 1982 is substantially all
related to engineering for a future regional wastewater treatment plant.
(4) Long -Term Debt
The following is a summary of long -term debt transactions of the City for
the year ended September 30, 1982 (in thousands of dollars):
General Certifi-
Obligation Revenue cates of
Bonds Bonds Obligation Other Total
Beginning of year $13,042 $4,896 $ 647 $ 61 $18,646
Additions 300 -0- 807 197 1,304
Repayments (64) (78) (27) (77) (246)
$13,278 $4,818 $1,427 $181 $19,704
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
Long -term debt is comprised of the following at September 30, 1982 and
1981:
General Obligation Bonds:
$50,000 Series 1970 serial bondsdue in annual
installments of $1,000 to $6,000 through Decem-
ber 15, 1982; interest at 5% and 6 %. $ 5 $ 11
$330,000 Series 1975 serial bonds due in annual
installments of $2,000 to $20,000 through
August 1, 2004; interest at 5% and 6.5 %. 313 316
$1,950,000 Series 1979 serial bonds due in annual
installments of $25,000 to $150,000 through
July 1, 2003; interestrangingfrom 5.4% to 7.9 %. 1,900 1,925
$375,000 Series 1980 serial bonds due in annual
installments of $30,000 to $55,000 through
August 1, 1990; interest ranging from 9%
to 10.5 %. 345 375
$2,000,000 Series 1980A serial bonds due in annual
installments of $25,000 to $250,000 through
August 1, 2000; interest ranging from 8% to
9.2 %.
$5,545,000 Series 1981A serial bonds due in annual
installments of $175,000 to $550,000 through
August 1, 2000; interest at 5.62 %.
$2,870,000 Series 1981B serial bonds due in annual
installments of $25,000 to $300,000 through
August - 1, 2001; interest ranging from 7.5% to 10 %.
$300,000 Series 1982 serialbonds due in annual
installments of $25,000 to $50,000 through
August 1, 1992; interest ranging from 10.5%
to 12 %.
Total General Obligation Bonds
18
(000 omitted)
1982 1981
2,000 2,000
5,545 5,545
2,870 2,870
300 -0-
13,278 13.042
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
Revenue Bonds:
$160,000 Series 1964 serial bonds due in annual
installmentsof $1,000 to $10,000 through
February 1, 1994; interest ranging from 4.0%
to 4.25 %. 92 98
$200,000 Series 1971 serial bonds due in annual
installments of $5,000 to $10,000 through
February 1, 2001; interest ranging from 6.4%
to 7.2%. 145 150
$150,000 Series 1973 serial bonds due in annual
installments of $5,000 to $10,000 through
February 1, 1992; interest ranging from 5.2%
to 7.5 %. 100 110
$50,000 Series 1975serial bonds due in annual
installments of $1,000 to $8,000 through
February 1, 1993; interest at 7.5 %. 41 43
$1,150,000 Series 1978 serial bonds due in annual
installments of $15,000 to $110,000 through
February 1, 2003; interest ranging from 5.25%
to 7.25 %. 1,100 1,110
$900,000 Series 1978A serialbonds due in annual
installments of $10,000 to $75,000 through
February 1, 2009; interest ranging from 5%
to 7.5$. 870 880
$585,000 Series 1979 serial bonds duein annual
installments of $5,000 to $50,000 through
February 1, 1994; interest ranging from 5.5%
to 8 %. 570 580
$1,925,000 Series 1980 serial bonds due in annual
installments of $25,000 to $200,000 through
February 1, 2005; interest ranging from 9.7%
to 10$. 1,900 1,925
Total Revenue Bonds 4,818 4,896
19
(000 omitted)
1982 1981
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
Certificates of Obligation:
(000 omitted)
1982 1981
$69,000 Series 1975 serial bondsdue in annual
installments of $2,000 to $3,000 through
August 1, 2007; interest at 5 %. 55 57
$55,000 Series 1976 serial bondsdue in annual
installments of $5,000 through July 15, 1987;
interest at 5 %. 25 30
$300,000 Combination Tax and Revenue Certificates,
Se ries1978 due in annual installments of $5,000
to $30,000 through February 1, 1994; interest
at 5.65 %. 285 290
$270,000 Series 1979 serial bonds due in annual
installments of $15,000 to $30,000 through
July 1, 1994; interest ranging from 6.75%
to 81. 255 270
$182,000 Series 1982A serial bonds due in annual
installments of $25,000 to $45,000 through
August 1, 1987; interest at 10.75%. 182 -0-
$625,000 Combination Tax and Revenue Certificates,
Series 1982 due in annual installments of $20,000
to $80,000 through August 1, 1997; interest
ranging from 11$ to 13$. 625 -0-
Total Certificates of Obligation 1,427 647
Other Long -Term Debt:
Various installment and lease purchase obligations
due in installments through 1986; interest
ranging from 6% to 13$, 181 61
Total Long -Term Debt $19,704 $18,646
20
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
The requirements to amortize all debts outstanding as of September 30,
1982, including interest payments are as follows (in thousands of dollars):
Years Ending General Certificates
September Obligation Revenue of
30th Bonds Bonds Obligation Other Total
1983 $ 1,246 $ 453 $ 216 $ 65 $ 1,980
1984 1,309 455 216 54 2,034
1985 1,296 457 221 45 2,019
1986 1,296 450 225 20 1,991
1987 1,304 451 219 - 1,974
1988 -1992 6,781 2,229 847 - 9,857
1993 -1997 6,930 2,232 612 - 9,774
1998 -2002 3,947 2,175 15 - 6,137
Thereafter 208 995 17 - 1,220
$24,317
(5) Contingencies and Commitments
21
$9,897 $2,588 $184 $36,986
There are certain pending lawsuits in which the City is involved. The
City Attorney estimates that the potential claims against the City not
covered by insurance resulting from such litigation would not materially
affect the financial statements of the City.
The City has a contract to purchase raw water from the Brazos River
Authority. The contract has provisions which require payment for water
actually used or reserved on a take or pay basis. Pursuant to the terms
of the contract, the City is not required to and does not expect to
reserve amounts in excess of actual anticipated needs.
The City participates in a number of federally assisted grant programs,
principal of which are the General Revenue Sharing and Community Deve-
lopment Block Grant. These programs are subject to program com-
pliance audits by the grantors or their representatives. The audits
of these programs for or including the year ended September 30,
1982 have not yet been conducted. Accordingly, the City's compliance
with applicable grant requirements will be determined at some future date.
The amount, if any, of expenditures which may be disallowed by the
granting agencies cannot be determined atthis time although the City
expects such amounts, if any, to be immaterial.
CITY OF ROUND ROCK
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1982
(Continuation)
(6) Retirement Plan
The City provides retirement plan benefits to its employees through the
Texas Municipal Retirement System. The City contributed $8,700 and
$7,250 in 1982 and 1981, respectively, as its share of the cost of pro-
viding benefits through the system. The City has no further liability
to the system with respect to the current year or prior years.
(7) Interfund Receivables /Payables
Individual fund interfund receivable and payable balances at September 30,
1982 were:
Interfund Interfund
Fund Receivables Payable
General Fund $192,358 $348,477
Special Revenue Funds:
Federal Revenue Sharing 1,170 5,691
Community Development Block
Grant Fund 499 -0-
Debt Service Funds 333,900 -0-
Capital Projects Funds:
General Obligation Bond Fund -
Series 1980A 450 4,500
General Obligation Bond Fund -
Series 1981 A &B 4,500 10,017
Certificates of Obligation Bond
Fund - Seires 1982 12,954 2,670
Special Assessment Fund -0- 1,789
Water and Wastewater Enterprise
Fund 10,121 182,309
Fiduciary Funds:
Expendable Loan Fund 499
$555,952 $555,952
(8) Special Assessment Fund Deficit
The deficit of the Special Assessment Fund arises because of the appli-
cation of generally accepted accounting principles to the financial reporting
for such fund. Bond proceeds used to finance construction of special
assessment projects are not recognized as an "other financing source."
Liabilities for special assessment bonds payable are accounted for in the
Special Assessment Fund. Special assessments are recognized as revenue
only to the extent that individual installments are considered current
assets. The deficit will be reduced and eliminated as deferred
special assessment installments become current assets.
22