Legal Notice – USD #404 SUMMARY NOTICE OF BOND SALE

SUMMARY NOTICE OF BOND SALE

$9,700,000*
UNIFIED SCHOOL DISTRICT NO. 404,
CHEROKEE COUNTY, KANSAS (RIVERTON)
GENERAL OBLIGATION BONDS
SERIES 2015-A

$2,650,000*
UNIFIED SCHOOL DISTRICT NO. 404,
CHEROKEE COUNTY, KANSAS (RIVERTON)
TAXABLE GENERAL OBLIGATION BONDS
SERIES 2015-B

(GENERAL OBLIGATION BONDS PAYABLE FROM UNLIMITED AD VALOREM TAXES)

Bids. SUBJECT to the Notice of Bond Sale dated May 14, 2015, written and electronic bids will be received on behalf of the Clerk of Unified School District No. 404, Cherokee County, Kansas (Riverton) (the “Issuer”) in the case of written bids, at the address set forth below, and in the case of electronic bids, through PARITY® until 10:00 A.M., Central Daylight Time, on JUNE 11, 2015 for the purchase of the above-referenced bonds (jointly, the “Bonds”). No bid of less than 102% for the Series 2015-A Bonds and no bid of less than 99% for the Series 2015-B Bonds of the principal amount of the Bonds and accrued interest thereon to the date of delivery will be considered.
Bond Details. The General Obligation Bonds, Series 2015-A (the “Series 2015-A Bonds”) will consist of fully registered bonds in the denomination of $5,000 or any integral multiple thereof (the “Authorized Denomination”). The Series 2015-A Bonds will be dated June 25, 2015 (the “Dated Date”), and will become due on September 1 in the years as follows:

Year       Principal Amount               Year        Principal Amount

2021       $60,000                               2029       $690,000
2022         560,000                             2030          710,000
2023          575,000                             2031           735,000
2024          595,000                             2032          765,000
2025          610,000                             2033          790,000
2026          630,000                            2034          815,000
2027          650,000                            2035           845,000
2028          670,000

The Taxable General Obligation Bonds, Series 2015-B (the “Series 2015-B Bonds”) will consist of fully registered bonds in an Authorized Denomination. The Series 2015-B Bonds will be dated as of the Dated Date, and will become due in principal installments on September 1 in the years as follows:

Year       Principal Amount
2016       $315,000
2017         450,000
2018         460,000
2019          465,000
2020         475,000
2021          485,000

The Bonds will bear interest from the Dated Date at rates to be determined when the Bonds are sold as hereinafter provided, which interest will be payable semiannually on March 1 and September 1 in each year, beginning on March 1, 2016 (the “Interest Payment Dates”).
Adjustment of Issue Size. The Issuer reserves the right to decrease the total principal amount of the Bonds, depending on the purchase price and interest rates bid and the offering prices specified by the Successful Bidder. The total principal amount of the Bonds will be established at an amount that ensures that the total of the reoffering prices of the Series 2015-A Bonds will not exceed $10,000,000 and that the total principal amount of both series of Bonds will not exceed $12,350,000. The principal amount of any maturity may be adjusted by the Issuer in order to properly size the Bond issue. The Successful Bidder may not withdraw its bid or change the interest rates bid as a result of any changes made to the principal amount of the Bonds or principal of any maturity as described herein. If there is an increase or decrease in the final aggregate principal amount of the Bonds or the schedule of principal payments as described above, the Issuer will notify the Successful Bidder by means of telephone or facsimile transmission, subsequently confirmed in writing, no later than 2:00 p.m., Central Daylight Time, on the Sale Date. The actual purchase price for the Bonds shall be calculated by applying the percentage of par value bid by the Successful Bidder against the final aggregate principal amount of the Bonds, as adjusted, plus accrued interest from the date of the Bonds to the date of delivery.
Book-Entry-Only System. The Bonds shall be registered under a book-entry-only system administered through DTC.
Paying Agent and Bond Registrar. Treasurer of the State of Kansas, Topeka, Kansas.
Good Faith Deposit. Each bid shall be accompanied by a good faith deposit in the form of a cashier’s or certified check drawn on a bank located in the United States of America, a qualified financial surety bond or a wire transfer in Federal Reserve funds immediately available for use by the Issuer in the amount of $194,000, for the General Obligation Bonds, Series 2015-A, and $53,000, for the Taxable General Obligation Bonds, Series 2015-B.
Delivery. The Issuer will pay for preparation of the Bonds and will deliver the same properly prepared, executed and registered without cost to the successful bidder on or about June 25, 2015, to DTC for the account of the successful bidder.
Assessed Valuation and Indebtedness. The Equalized Assessed Tangible Valuation for Computation of Bonded Debt Limitations for the year 2014 is $36,566,721. The total general obligation indebtedness of the Issuer as of the Dated Date, including the Bonds being sold, is $12,350,000.
Approval of Bonds. The Bonds will be sold subject to the legal opinion of GILMORE & BELL, P.C., WICHITA, Bond Counsel, whose approving legal opinion as to the validity of the Bonds will be furnished and paid for by the Issuer, printed on the Bonds and delivered to the successful bidder as and when the Bonds are delivered.
Additional Information. Additional information regarding the Bonds may be obtained from the undersigned, or from the Financial Advisor at the addresses set forth below:
DATED: May 14, 2015.

Written Bid and Good Faith Deposit Delivery Address:

Susie Nowlin, Clerk
Unified School District No. 404
6860 SE Hwy 66, P.O. Box 290
Riverton, Kansas 66770
Phone No.: (620) 848-3386
Fax No.: (620) 848-9853
Email: snowlin@usd404.org

Financial Advisor – Facsimile Bid Delivery Address:

Piper Jaffray & Co.
11635 Rosewood Street
Leawood, Kansas 66211
Attn: Dustin Avey
Phone No.: (913) 345-3374
Fax No.: (913) 345-3393
Email: dustin.j.avey@pjc.com

*Subject to change, and adjustment of issue size

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