City of Danbury, Connecticut $18,000,000 General Obligation Bonds, Issue of 2017
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Final Official Statement Dated July 11, 2017 New Issue: Book-Entry Only RATING: Moody’s Investors Service, Inc.: Aa1 / MIG 1 S&P Global Ratings: AA+ / SP-1+ Fitch Ratings: AAA / F1+ In the opinion of Bond Counsel, based on existing statutes and court decisions and assuming continuing compliance with certain covenants and procedures relating to requirements of the Internal Revenue Code of 1986, as amended (the “Code”), interest on the Bonds and the Notes is excluded from gross income for federal income tax purposes and is not treated as an item of tax preference for purposes of computing the federal alternative minimum tax. Interest on the Bonds and the Notes may be includable in the calculation of certain taxes under the Code, including the federal alternative minimum tax imposed on certain corporations. In the opinion of Bond Counsel, based on existing statutes, interest on the Bonds and the Notes is excluded from Connecticut taxable income for purposes of the Connecticut income tax on individuals, trusts and estates, and is excluded from amounts on which the net Connecticut minimum tax is based in the case of individuals, trusts and estates required to pay the federal alternative minimum tax. See “Tax Matters” herein. City of Danbury, Connecticut $18,000,000 General Obligation Bonds, Issue of 2017 Dated: Date of Delivery Due: Serially on July 15, 2018-2037, as detailed inside this front cover. The Bonds will bear interest payable January 15, 2018 and semiannually thereafter on July 15 and January 15 in each year until maturity. The Bonds are issuable only as fully registered bonds, without coupons, and, when issued, will be registered in the name of Cede & Co., as bondowner and nominee for The Depository Trust Company (''DTC''), New York, New York. DTC will act as securities depository for the Bonds. Purchases of the Bonds will be made in book-entry form, in the denomination of $5,000 or any integral multiple thereof. Purchasers will not receive certificates representing their ownership interest in the Bonds. So long as Cede & Co. is the Bondowner, as nominee of DTC, reference herein to the Bondowner or owners shall mean Cede & Co., as aforesaid, and shall not mean the Beneficial Owners (as defined herein) of the Bonds. See ''Book-Entry-Only Transfer System'' herein. The Bonds are subject to redemption prior to maturity. (See “Redemption Provisions”). $39,000,000 General Obligation Bond Anticipation Notes Dated: July 20, 2017 Due: July 19, 2018 The Notes will be issued in book-entry-only form and will bear interest at such rate or rates per annum as are specified by the successful bidder or bidders as set forth on the inside front cover, in accordance with the Notice of Sale dated July 3, 2017. The Notes, when issued, will be registered in the name of Cede & Co., as Noteowner and nominee for DTC, New York, New York. See "Book-Entry-Only Transfer System" herein. The Notes are NOT subject to redemption. The Bonds and the Notes will be general obligations of the City of Danbury, Connecticut (the “City”) and the City will pledge its full faith and credit to pay the principal of and the interest on the Bonds and the Notes when due. See “Security and Remedies” herein. The Registrar, Transfer Agent, Paying Agent, Certifying Agent, and Escrow Agent will be U.S. Bank National Association, Goodwin Square, 225 Asylum Street, 23rd Floor, Hartford, Connecticut 06103. The Bonds and the Notes are offered for delivery when, as and if issued, subject to the approving opinion of Robinson & Cole LLP, Bond Counsel, of Hartford, Connecticut and certain other conditions. It is expected that delivery of the Bonds and the Notes in book-entry-only form will be made to DTC on or about July 20, 2017. City of Danbury, Connecticut $18,000,000 General Obligation Bonds, Issue of 2017 Dated: Date of Delivery Due: Serially on July 15, 2018-2037, as detailed below: Maturity Schedule Year Principal Coupon Yield CUSIP Year Principal Coupon Yield CUSIP 2018 $ 900,000 5.000% 0.910% 235866AA8 2028 $ 900,000 2.125% 2.350% 235866AL4 2019 900,000 5.000% 1.070% 235866AB6 2029 900,000 2.375% 2.600% 235866AM2 2020 900,000 5.000% 1.160% 235866AC4 2030* 900,000 3.000% 2.800% 235866AN0 2021 900,000 5.000% 1.260% 235866AD2 2031* 900,000 3.000% 2.900% 235866AP5 2022 900,000 5.000% 1.370% 235866AE0 2032 900,000 3.000% 3.000% 235866AQ3 2023 900,000 5.000% 1.520% 235866AF7 2033 900,000 3.000% 3.080% 235866AR1 2024 900,000 5.000% 1.620% 235866AG5 2034 900,000 3.000% 3.150% 235866AS9 2025 900,000 5.000% 1.760% 235866AH3 2035 900,000 3.000% 3.200% 235866AT7 2026* 900,000 5.000% 1.910% 235866AJ9 2036 900,000 3.000% 3.250% 235866AU4 2027 900,000 2.000% 2.200% 235866AK6 2037 900,000 3.125% 3.270% 235866AV2 * Priced assuming redemption on July 15, 2025;however any such redemption is at the option ofthe City. CITIGROUP $39,000,000 General Obligation Bond Anticipation Notes Dated: July 20, 2017 Due: July 19, 2018 Rate: 2.00% CUSIP: 235865AW0 Yield: 0.92% This Official Statement has been prepared only in connection with the initial offering and sale of the Bonds and may not be reproduced or used in whole or in part for any other purpose. The information, estimates and expressions of opinion in this Official Statement are subject to change without notice. Neither the delivery of this Official Statement nor any sale of the Bonds shall, under any circumstances, create any implication that there has been no material change in the affairs of the City since the date of this Official Statement. The information set forth herein has been obtained by the City from sources which are believed to be reliable but it is not guaranteed as to accuracy or completeness. Certain information in this Official Statement has been obtained by the City from other sources. Neither the City, the Underwriter, nor the Financial Advisor guaranty the accuracy or completeness of such information, however, and such information is not to be construed as a representation of any of the foregoing. The independent auditors for the City are not passing upon and do not assume responsibility for the accuracy or completeness of the financial information presented in this Official Statement (other than matters expressly set forth in their opinion in Appendix A), and they make no representation that they have independently verified the same. Other than as to matters expressly set forth in Appendix B, Bond Counsel is not passing on and does not assume any responsibility for the accuracy or adequacy of the statements made in this Official Statement and makes no representation that it has independently verified the same. The City deems this Official Statement to be "final" for purposes of Securities and Exchange Commission Rule 15c2-12(b)(1), but it is subject to revision or amendment. The City currently files its official statements for primary offerings with the Municipal Securities Rulemaking Board's Electronic Municipal Market Access ("EMMA") system. In accordance with the requirements of Rule 15c2- 12(b)(5) promulgated by the Securities and Exchange Commission, the City will agree to provide or cause to be provided (i) annual financial information and operating data, (ii) notice of the occurrence of certain events within 10 business days of the occurrence of such events, and (iii) timely notice of a failure by the City to provide the required annual financial information on or before the date specified in the Continuing Disclosure Agreement. The Continuing Disclosure Agreement shall be executed in substantially the form attached as Appendix C to this Official Statement. Morgan Stanley & Co. LLC., an underwriter of the Notes, has entered into a distribution agreement with its affiliate, Morgan Stanley Smith Barney LLC. As part of the distribution arrangement, Morgan Stanley & Co. LLC may distribute municipal securities to retail investors through the financial advisor network of Morgan Stanley Smith Barney LLC. As part of this arrangement, Morgan Stanley & Co. LLC may compensate Morgan Stanley Smith Barney LLC for its selling efforts with respect to the Notes. (The remainder of this page intentionally left blank) Table of Contents Page Page Bond Issue Summary ....................................... 1 V Debt Summary.................................................. 26 Note Issue Information..................................... 2 Principal Amount of Bonded Indebtedness ....... 26 I Bond and Note Information............................. 3 Short Term Debt................................................. 27 Introduction........................................................ 3 Other Obligations............................................... 27 Financial Advisor............................................... 3 General Fund - Annual BondedDebt Description ofthe Bonds.................................... 3 MaturitySchedule............................................. 27 Redemption Provisions....................................... 3 Self Supporting Debt - Annual Bonded Description of the Notes..................................... 4 Maturity Schedule............................................. 28 Authorization and Purpose ................................. 4 Total General Obligation Annual Bonded Debt Proceeds of the Issue.......................................... 4 Maturity Schedule............................................. 29 Book-Entry-Only Transfer System..................... 5 Overlapping/Underlying Debt ............................ 29 Security and Remedies ....................................... 6 Debt Statement ..................................................