Evening star. [volume] (Washington, D.C.) 1854-1972, 1959-05-12
PROPOSALS

NOTICE OF SALE Of Preliminary
Loan Notes Of District Of Co:
lumbia Redevelopment Land
Agency. Washington 8, D. c.
MAY IL, 1859 Sealed proposals
will be received BY the above
Identified local public agency
hereinafter called the Loca
Public Agency at 9l9 18th st
n w., in the City Of washington
d. c., until, and publicly Opened
at / o'clock p.m. tEDSIl. oA MAJ
sS o 1872 naa ior tns P ~ fhs foc g
aPreiiminsry Loan Notes eseeonc
Series. -C")''. being issued to ait
in financing Its urban renewa
project, DESIGNATED Project No
b. c. R-5, for which the United
States Of America. actine BY ans
through the Housing and Hom'
Finance Administrafor. has aareeC
to make a loan under Title ! O
the Housing Act Of 1919 tPublii
Law l5i-Sist Congress, ap
proved July Is. 1919, as amended
and supplementary to the L'oca
Public Agency to assist in tn
latter's undertaking and carryinl
out thereof. The notes viii b
dated June 10. 1859, will be pay
akle TO bearer on December "a
1853, will bear interest at tn
the proposal or proposals accepted
for the purchase Of such notes
will be issued In such denomina
lions, and both principal and in
terest thereof will be payable a
such incorporated bank havinI
trust powers or incorporated trus
company, as the purchaser desig
mates in mis- proposal. Such hanl
or trust company must be mem
Der Of the Federal Reserve Sys
TEN, or OF the Federal DEPOSIT
Insurance Corporation, and mus
have an unimpaired capital ant
surplus Of not less than the. aagre
crate principal amount OF note
DESIGNATED In the proposal or pro
posals submitted by the. purchaser
impaired capital and surplus neeC
not exceed One Million Dollars
The notes will provide that the.
are not valid until after such banl
or trust company has siGned tn
Agreement, appearing on eacl
note. to act as paying agent. Tn
notes will be transmitted to sucl
bank or trust company for deiiy
cry to the purchaser upon receip
and disbursement BY such bank o
trust company OF the purchasl
price thereof in accordance Will
Instructions from the Local Pub
lie Agency. After taking deliver,
Of the notes the purchaser shal
obtain the signature OF such banl
or trust company upon the note
II any, OF such bank or trus
purchaser. Said notes will b
special obIigations of the Loca
Public Agency secured by q Tedui
sition agreement between the Loca
Public Agency and the Unite
States of America under the term
OF which agreement the Unite
States Of America agrees to lent
the Local Public AGENCY prior l.
the maturity OF said notes 81
amount sufficient to pay the prin
cipal and interest OF all SAT
notes and agrees 20 cause 50 mucl
OF the proceeds Of such loan q
shall be suf1eient to pay the prin
cipal Of and interest upon any o
said notes to be deposited at tn
respective bank or trust compan,
for the benefit OF the holder o
holders Of said notes. Under tn
proceedings authorizing said notes
the proceeds Of such loan pay
ment will be irrevocably pledge
first, to the payment, at maturity
Of the principal Of and interest o.
said note The validity Of tn
Preliminary Loan Notes and o
said reqlIisition agreement will b
approved BY Caldwell, Marshall
Trimble & Mitchell, lis Broad
way. New York 8. N. Y, an
such attorneys opinion will b
furnished to the successful pur
chaser without charge Al pro
posals for the purchase Of sal
notes shall be submitted IN q forI
Agency Copies Of such form 0
proposal may be obtained from tn
Local Public Agency at the ad
dress indicated above. Proposal
may be for all or any part OF tn
notes and separate proposals wi
be required for each part Of sal
notes for which q separate inter
est rate "a bid. Said notes wi
be awarded at the lowest interes
rate or rates offered in the pro
posals. without reference to pre-
MUM: provided, however. that a
among proposals specifying tn
same lowest interest rate, awar
will be made on the basis Of IN
highest premium per dollar prin
cipal amount OF notes specified 4
than $50, 600 principal amount o
said notes or for less than pa
and accrued interest (which In
terest shall be computed on $50
day basisl will be entertained ant
the Local Public Agency reserve
the right TO award 10 anv bidde
all OF. any part of the notes whiel
such bidder offers to purchase Il
his proposal, upon the basis o
-uch proposal. If only q part o
the notes bid for in propose
are awarded By the Local Publ
Agency. the premium. II any
offered in such proposal shall b
prorated, and said notes viii b
issued in denomina tons in tn
order Of the lowest denomination
Specified in such proposal: pro
vided, that one note may be issue
IN q smaller denomination than
otherwise specified. The furthe
risht is reserved to reject any o
all proposals. Title / OF SAT-
Housing Act of 1919 provides a.
follows: "Obiisations. includinl
interest thereon. issued by loca
public agencies for projects as
sisted pursuant TO this title. anC
income derived by such agencies
from such project. shall be ex'
ernpt from all taxation now Of
hereafter imposed by the Unitet
states . In the event that prio.
20 the delivery Of anv of the note
TO the successful bidder therefor
the income received by private
holders from oblieations OF thu
same type and character snan p
eral income tax law hereafter
enacted. the successful bidder may
at his election. be relieved Of hi
OBLIGATIONS under the CONTRACT Q
purchase said notes. DISTRICT
OF COLUMBIA REDEVELOPMEN1
LAND AGENCY BY. JOHN r
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