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EXHIBIT 1
<br />
<br />INVITATION FOR PROPOSALS
<br />$3,000,000 CITY OF LAKEWOOD, OHIO
<br />VARIOUS PURPOSE GENERAL OBLIGATION BOND
<br />ANTICIPATION NOTES, SERIES 1991B
<br />
<br />DATED: June 26, 1991
<br />DUE: June 26, 1992
<br />
<br />The City of Lakewood, Ohio (the "City") contemplates the issuance of $3,000,000
<br />Various Purpose General Obligation Bond Anticipation Notes, Series 1991B (the
<br />"Notes"), as more fully described in the enclosed Preliminary Official Statement.
<br />The City is inviting written proposals, or oral proposals, communicated by
<br />telephone, for the purchase, at not less than par and accrued interest, of the
<br />Notes. Proposals will be received by the Director of Finance of the City until
<br />11:00 a.m. Eastern Daylight Saving Time, on June 12, 1991, at the office of the
<br />Director of Finance of the City at the address stated below. Split rate propo-
<br />sals or proposals for less than all of the Notes will not be considered. The
<br />proposal shall specify the rate of interest which the Notes are to bear and may
<br />specify a rate of interest after maturity different than the rate prior to
<br />maturity, but no rate specified shall exceed the maximum interest rate per annum
<br />of 10% determined by Council. Oral proposals should be promptly confirmed in
<br />writing to the undersigned by the bidders. THE NOTES ARE NOT "QUALIFIED TAX-
<br />EXEMPT OBLIGATIONS" FOR PURPOSES OF SECTION 265(b)(3) OF THE INTERNAL REVENUE
<br />CODE OF 1986.
<br />
<br />The Notes will be dated June 26, 1991 and will mature on June 26, 1992, with no
<br />option in the City to redeem the Notes prior to maturity. The Notes will bear
<br />interest (computed on a 360-day per year basis) from their date payable at matur-
<br />ity; will be issued in such denominations as requested by the original purchaser;
<br />and will be payable at banks or trust companies, as determined by the Director
<br />of Finance, without deduction for exchange, collection or service charges. On
<br />June 12, 1991, the Director of Finance will consider the proposals submitted and
<br />will award the Notes on the basis of the proposal resulting in the sale of the
<br />Notes at the lowest net interest cost to the stated maturity. The lowest net
<br />interest cost will be determined by taking the amount of interest from the date
<br />of the Notes to the stated maturity date and deducting therefrom the amount of
<br />any premium. In the event of tie proposals based on the lowest net interest cost
<br />to the stated maturity, the Director of Finance will award the Notes to the
<br />bidder submitting the tie proposal who bids the lowest interest rate after
<br />maturity, and if such an award would result in tie proposals, the successful
<br />proposal will be selected by lot in a manner determined by the Director of
<br />Finance. Any informality or failure to conform to the instructions herein
<br />contained may be waived by the Director of Finance, and the Director of Finance
<br />may reject any or all of the proposals presented.
<br />
<br />Legal matters incident to the issuance of the Notes and with regard to the tax-
<br />exempt status of the interest thereon are subject to the approving legal opinion
<br />of Calfee, Halter & Griswold, Bond Counsel, which will be furnished without cost
<br />to the original purchaser at the time the Notes are delivered to it. That
<br />opinion will include an opinion, based upon and assuming compliance with
<br />covenants and the accuracy of representations and certifications of the City,
<br />that under the existing law (a) the interest on the Notes (i) is excluded from
<br />gross income for federal income tax purposes under the Internal Revenue Code of
<br />1986, as amended (the "Code"), (ii) is not treated as an item of tax preference
<br />for purposes of the alternative minimum tax imposed on individuals and
<br />corporations by the Code, and (iii) is exempt from the Ohio personal income tax
<br />and excluded from the net income base of the Ohio corporate franchise tax, and
<br />(b) the Notes are not "private activity bonds" as defined in the Code. Under the
<br />Code, the interest may be subject to alternative minimum, environmental, and
<br />branch profits taxes imposed on certain corporations, and to a tax imposed on
<br />excess net passive income of certain S corporations. For a more complete
<br />discussion of tax aspects, see the enclosed Preliminary Official Statement.
<br />
<br />The Notes are to be issued in anticipation of bonds for the purpose of acquiring
<br />motorized equipment, replacing curbing, improving fire stations and parks and
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