R-88-1200 - 11/22/1988WHEREAS, the City Council desires to retain legal counsel to
render advice on the sale and issuance of bonds, and
WHEREAS, the law firm of McCall, Parkhurst and Horton has
submitted a proposal to provide the needed legal services, Now
Therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF ROUND ROCK, TEXAS,
That the Mayor is hereby authorized and directed to execute on
behalf of the City a contract with McCall, Parkhurst and Horton for
the provision of legal services regarding the sale and issuance of
bonds, said contract is attached hereto and incorporated herein for
all purposes.
RESOLVED this
ATTEST:
/
NE LAND, City Secretary
C34RESBONDS
RESOLUTION NO. /,9L-
day of November, 1988.
MIKE ROBINSON, Mayor
City of Round Rock, Texas
HOBBY H, MCCALL
PAUL B. H RTON
PETER M. TART
RICHARD C. PORTER
G. CHARLES KOSOISH
THOMAS L POSCHARSKY
KENNETH E , ILTI
M. PAUL MARTIN
JOHN W. FAINTER, JR.
AN H.
JOHN W RUBOTTOM
JEFFREY A. CHEL
THOMAS K. SPURGEON
81220,14W II
HAROLD Y FLANAGAN
DANNY S. CULVER
ALFRED D. JOHNSON
• LIcENSE0 IN Now YORK ON,
Dear Sam:
wk
enclosure
LAW OFFICES
MCCALL, PARKHURST & HORTON
717 NORTH HARWOOD
NINTH FLOOR
DALLAS, TEXAS 75201-6587
November 8, 1988
Mr. Sam Huey, Assistant City Manager
City of Round Rock
221 East Main Street
Round Rock, Texas 78664
B851 f`i !' 03AI3M: .1
JOHN D MCCALL
MILLARO AiRK URST
e05
CLARENC WE
sail
O ONE AMERICAN CENTER
AUSTIN. TEAS 79701-3234
TELEPHONE: SIR 439-3903
402 ONE RIVERWALK LACE
SAN B ANTONIO. TEXAS TB20S -3503
TENEPHONE. 512 225 -2800
I am enclosing three copies of a fee agreement letter in reference
to our serving as bond counsel to the City. The enclosed fee
schedule is on a sliding scale and will only be paid when and if
the bonds or certificates of obligation are actually delivered.
I look forward to working with you on the City's projects.
Sincere y,
Peter M. Tart
HOBBY H MCCALL
PAUL B. NORTON
RICHARD PETER M. TART
C. PORTER
G CHARLES HOBDISH
THOMAS L. HARSITY
KENNET. E. 1L
M. U MARTIN
JOHN W. FAINTER JR.
ALAN H. RAYNOR
JOHN W. RUBOTTOM
JEFFREY A LEUSCHEL
THOMAS R SPURGEON
L.E. BR1220LARA, II
HAROLD T FLANAGAN
DANNY S. CULVER
ALFRED D. JOHNSON
',CENSER IN New YORK oN,
Mayor Mike Robinson
City of Round Rock
221 East Main Street
Round Rock, Texas 78664
Law OFFICES
McCALL, PARKHURST & HORTON
717 NORTH HARWOOD
NINTH FLOOR
DALLAS, TEXAS 75201 -6587
TELEPHONE 2A4 220-2800
November 8, 1988
JOHIe mCCALL
MILLA G PARKHURST
D
CLARENCE E. CROWE
2860 ONE AMERICAN CENTER
AUSTIN. TEXAS
TELEPHONE: 2,2 4,8-280S
402 ONE RIVERWALH PLACE
SAN ANTONIO, TEXAS .8208-2S02
TeLEPIIONE: 512 225-2.00
Dear Mayor Robinson:
This letter is submitted to state our fees and describe the legal
services of the undersigned law firm in performing the duties of
bond counsel for the City of Round Rock with reference to the
issuance of the City's proposed bonds and certificates of obliga-
tion.
Generally, we will perform all usual and necessary legal services
as bond counsel in connection with the authorization, issuance,
and delivery of each installment or series of bonds and certif-
icates of obligation. Specifically, we will prepare and direct
the legal proceedings and perform the other necessary legal serv-
ices with reference to the authorization, issuance, and delivery
of each installment or series of bonds and certificates of obliga-
tions, including the following:
1. Prepare all resolutions, ordinances, and other
instruments pursuant to which the bonds and certificates of
obligations will be authorized, issued, delivered and se-
cured, including election proceedings, in cooperation and
upon consultation with the City Council, their consultants,
and other legal and financial advisors and consultants of the
City.
2. Attend meetings of the City Council with reference
to the authorization and issuance of the bonds and certifi-
cates of obligation to the extent required or requested.
3. Cooperate with the City Council and all other inter-
ested parties in the sale of the bonds and certificates of
obligation to the purchasers.
4. Supervise the execution of the bonds and certifi-
cates of obligation and the delivery thereof to the pur-
chasers.
5. When so delivered, give our approving opinion cover-
ing the validity of the bonds and certificates of obligation
and the exemption of interest thereon from federal income
taxes, it being understood that the approving opinion will be
fully acceptable nationally in regular commercial investment
banking bond marketing channels.
The fee covering the legal services of this firm as bond counsel
would be as follows:
$ 500,000
$ 750,000
$1,000,000
$2,000
$3,500
$5,000
$1.00 per $1,000 thereafter
Also, we would expect to be reimbursed for our actual out -of
pocket expenses reasonably and necessarily incurred in connection
with the authorization, issuance, and delivery of such bonds and
certificates of obligation, i.e. phone calls, travel, xeroxing,
courier, and filing fee with the Attorney General's office and
Form 8038 filing with the Internal Revenue Service.
The foregoing legal services as bond counsel do not include any
direct responsibility for the "disclosure obligations" owed to the
investing public under the federal securities laws and the various
state securities laws and this is to state that our engagement is
not that broad. We will not be responsible for the preparation of
any Official Statement and will not assume any responsibility with
respect thereto nor undertake independently to verify any of the
information therein, except that, in our capacity as bond counsel,
we will review various statements in any Official Statement to
verify that such statements conform to the provisions of the legal
instruments and documents therein described.
Our fees and expenses will be payable at the time of the delivery
of and payment for each installment or series of such bonds and
certificates of obligation, but our fees are wholly contingent
upon actual delivery of each installment or series of such bonds
and certificates of obligation.
If the arrangement proposed herein is satisfactory, please in-
dicate acceptance hereof by signing the acceptance clause below
and return one copy of this letter to the undersigned.
Respectfully submitted,
MC CALL, PARKHURST & HORTON
Peter M. Tart
ACCEPTED THIS THE gc DAY OF )1211,1,a_, 1988.
CITY OF ROUND ROCK
By
Mayor
DATE: November 21, 1988
SUBJECT: Council Agenda, November 22, 1988
ITEM: 8E. Consider a resolution retaining McCall, Parkhurst
and Horton as legal counsel for bonding purposes.
STAFF RESOURCE PERSON: Sam Huey
STAFF RECOMMENDATION: Staff recommends retaining McCall, Parkhurst
and Horton as bond counsel. Pete Tart of this firm has done
all ubt one of the past bond issues for Round Rock. Mr.
Tart's partner, John Reubottom will be at the meeting to
answer any questions the Council may have.
ECONOMIC IMPACT: