$8,740,000 PALOS VERDES PENINSULA UNIFIED SCHOOL DISTRICT (County of Los Angeles, California) General Obligation Refunding Bonds, Series 2016A
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NEW ISSUES — BOOK-ENTRY ONLY 2016-0693 and 2016-0694 Rating: Moody’s: “Aa1” (See “MISCELLANEOUS – Rating” herein) In the opinion of Orrick, Herrington & Sutcliffe LLP, Bond Counsel to the District, based upon an analysis of existing laws, regulations, rulings and court decisions, and assuming, among other matters, the accuracy of certain representations and compliance with certain covenants, interest on the Series 2016 Bonds is excluded from gross income for federal income tax purposes under Section 103 of the Internal Revenue Code of 1986 and is exempt from State of California personal income taxes. In the further opinion of Bond Counsel, interest on the Series 2016 Bonds is not a specific preference item for purposes of the federal individual or corporate alternative minimum taxes, although Bond Counsel observes that such interest is included in adjusted current earnings when calculating corporate alternative minimum taxable income. Bond Counsel expresses no opinion regarding any other tax consequences related to the ownership or disposition of, or the amount, accrual or receipt of interest on, the Series 2016 Bonds. See “TAX MATTERS” herein. $8,740,000 2016-0693 $5,905,000 2016-0694 PALOS VERDES PENINSULA PALOS VERDES PENINSULA UNIFIED SCHOOL DISTRICT UNIFIED SCHOOL DISTRICT (County of Los Angeles, California) (County of Los Angeles, California) General Obligation Refunding Bonds, Series 2016A General Obligation Refunding Bonds, Series 2016B (Forward Delivery) Dated: Date of Delivery Due: As shown on the inside cover page This cover page is not a summary of this issue; it is only a reference to the information contained in this Official Statement. Investors must read the entire Official Statement to obtain information essential to the making of an informed investment decision. The Palos Verdes Peninsula Unified School District (County of Los Angeles, California) General Obligation Refunding Bonds, Series 2016A (the “Series 2016A Bonds”) are being issued by the Palos Verdes Peninsula Unified School District (the “District”), located in the County of Los Angeles (the “County”), California, (i) to refund, on a current basis, a portion of the District’s outstanding Palos Verdes Peninsula Unified School District (County of Los Angeles, California) General Obligation Bonds, Election of 2005 (Measure R), Series 2006, (ii) to refund, on a current basis, a portion of the District’s outstanding Palos Verdes Peninsula Unified School District (County of Los Angeles, California) General Obligation Bonds, Election of 2005 (Measure S), Series 2006, (iii) to refund, on an advance basis, a portion of the District’s outstanding Palos Verdes Peninsula Unified School District (County of Los Angeles, California) General Obligation Bonds, Election of 2005 (Measure S), Series 2009, and (iv) to pay costs of issuance of the Series 2016A Bonds. See “THE SERIES 2016 BONDS – Outstanding Bonds; Plan of Finance” herein. The Palos Verdes Peninsula Unified School District (County of Los Angeles, California) General Obligation Refunding Bonds, Series 2016B (the “Series 2016B Bonds”) are being issued by the District (i) to refund, on a current basis, a portion of the District’s outstanding Palos Verdes Peninsula Unified School District (Los Angeles County, California) General Obligation Refunding Bonds, Series 2006, and (ii) to pay costs of issuance of the Series 2016 Bonds. See “THE SERIES 2016 BONDS –Outstanding Bonds; Plan of Finance” herein. The Series 2016A Bonds and the Series 2016B Bonds are collectively referred to herein as the “Series 2016 Bonds.” The Series 2016 Bonds are being issued pursuant to the laws of the State of California (the “State”) and a resolution of the Board of Education of the District, adopted on February 24, 2016. See “THE SERIES 2016 BONDS – Authority for Issuance” herein. Each series of the Series 2016 Bonds is payable from ad valorem taxes to be levied within the District pursuant to the California Constitution and other State law. The Board of Supervisors of the County is empowered and obligated to levy ad valorem taxes upon all property subject to taxation by the District, without limitation as to rate or amount (except as to certain personal property which is taxable at limited rates), for the payment of principal of and interest on the Series 2016 Bonds, all as more fully described herein. See “SECURITY AND SOURCE OF PAYMENT FOR THE SERIES 2016 BONDS” herein. The Series 2016 Bonds will be issued as current interest bonds in denominations of $5,000 principal amount and integral multiples thereof as shown on the inside cover page of this Official Statement. Interest on the Series 2016A Bonds shall be payable on February 1 and August 1 of each year, commencing on August 1, 2016. Interest on the Series 2016B Bonds shall be payable on May 1 and November 1 of each year, commencing on November 1, 2016. Each series of the Series 2016 Bonds will be issued in book-entry form only and will be initially issued and registered in the name of Cede & Co., as nominee for The Depository Trust Company, New York, New York (“DTC”). DTC will act as securities depository for the Series 2016 Bonds. Individual purchases of Series 2016 Bonds will be made in book-entry form only. Purchasers will not receive physical delivery of the Series 2016 Bonds purchased by them. Payments of the principal of and interest on the Series 2016 Bonds will be made by U.S. Bank National Association, as agent for the County of Los Angeles Treasurer and Tax Collector, the paying agent for each series of the Series 2016 Bonds, to DTC for subsequent disbursement through DTC Participants to the beneficial owners of the Series 2016 Bonds. The Series 2016A Bonds are subject to redemption prior to maturity as described herein. The Series 2016B Bonds are not subject to redemption prior to maturity. See “THE SERIES 2016 BONDS – Redemption/No Early Redemption” herein. Each series of the Series 2016 Bonds will be offered when, as and if issued by the District and received by the Underwriter, subject to the approval of legality by Orrick, Herrington & Sutcliffe LLP, Bond Counsel to the District, and certain other conditions. Certain legal matters will be passed upon for the District by Orrick, Herrington & Sutcliffe LLP, as Disclosure Counsel to the District; and for the Underwriter by Kutak Rock LLP, Denver, Colorado, as Underwriter’s Counsel. It is anticipated that the Series 2016A Bonds, in definitive form, will be available for delivery through the facilities of DTC, on or about June 3, 2016. It is anticipated that the Series 2016B Bonds, in definitive form, will be available for delivery through the facilities of DTC, on or about August 4, 2016 in accordance with the Forward Delivery Purchase Contract. See “THE SERIES 2016 BONDS - Forward Delivery of Series 2016B Bonds” herein. The date of this Official Statement is April 6, 2016. MATURITY SCHEDULE BASE CUSIP1: 697634 $8,740,000 PALOS VERDES PENINSULA UNIFIED SCHOOL DISTRICT (County of Los Angeles, California) General Obligation Refunding Bonds, Series 2016A Maturity Principal Interest CUSIP (August 1) Amount Rate Yield Number1 2016 $125,000 2.000% 0.350% G49 2017 45,000 2.000 0.630 D42 2018 550,000 4.000 0.740 D59 2019 740,000 5.000 0.810 D67 2020 245,000 5.000 0.940 D75 2021 305,000 5.000 1.070 D83 2022 365,000 5.000 1.240 D91 2023 375,000 5.000 1.360 E25 2024 315,000 5.000 1.510 E33 2025 120,000 5.000 1.620 E41 2026 150,000 5.000 1.760 E58 2027 180,000 5.000 1.870C E66 2028 455,000 5.000 1.950C E74 2029 520,000 5.000 2.030C E82 2030 600,000 5.000 2.090C E90 2031 670,000 5.000 2.170C F24 2032 900,000 4.000 2.530C F32 2033 990,000 4.000 2.590C F40 2034 1,090,000 3.000 3.000 F57 $5,905,000 PALOS VERDES PENINSULA UNIFIED SCHOOL DISTRICT (County of Los Angeles, California) General Obligation Refunding Bonds, Series 2016B (Forward Delivery) Maturity Principal Interest CUSIP (November 1) Amount Rate Yield Number1 2017 $900,000 5.000% 0.930% F65 2018 475,000 5.000 1.030 F73 2020 1,000,000 4.000 1.260 F81 2021 1,120,000 5.000 1.380 F99 2022 1,245,000 5.000 1.530 G23 2023 1,165,000 5.000 1.660 G31 1 CUSIP® is a registered trademark of the American Bankers Association. CUSIP Global Services (CGS) is managed on behalf of the American Bankers Association by S&P Capital IQ. Copyright© 2016 CUSIP Global Services. All rights reserved. CUSIP® data herein is provided by CUSIP Global Services. This data is not intended to create a database and does not serve in any way as a substitute for the CGS database. CUSIP® numbers are provided for convenience of reference only. None of the District, the Underwriter or their agents or counsel assumes responsibility for the accuracy of such numbers. C Yield to call at par on August 1, 2026. PALOS VERDES PENINSULA UNIFIED SCHOOL DISTRICT (County of Los Angeles, California) BOARD OF EDUCATION Malcolm S. Sharp, President Anthony Collatos, Vice President Linda Reid, Clerk Barbara Lucky, Member Suzanne Seymour, Member DISTRICT ADMINISTRATORS Donald B. Austin, Ed.D., Superintendent Lydia Cano, Deputy Superintendent Trent Bahadursingh, Assistant Superintendent, Technology John Bowes, Ed.D., Assistant Superintendent, Human Resources Joanne Culverhouse, Ed.D., Assistant Superintendent, Educational Services Kathy Ueunten, Director, Fiscal Services PROFESSIONAL SERVICES Financial Advisor Piper Jaffray & Co. El Segundo, California Bond Counsel and Disclosure Counsel Orrick, Herrington & Sutcliffe LLP Irvine, California Paying Agent, Authentication Agent, Transfer Agent and Bond Registrar U.S. Bank National Association, as agent for the County of Los Angeles Treasurer and Tax Collector Los Angeles, California Escrow Bank U.S.