CINCO SOUTHWEST MUNICIPAL UTILITY DISTRICT NO. 3 (A Political Subdivision of the State of Texas Located Within Fort Bend County)
OFFICIAL STATEMENT DATED NOVEMBER 5, 2012 IN THE OPINION OF BOND COUNSEL, INTEREST ON THE BONDS IS EXCLUDABLE FROM GROSS INCOME FOR FEDERAL INCOME TAX PURPOSES UNDER EXISTING LAW, AND THE BONDS ARE NOT SUBJECT TO THE ALTERNATIVE MINIMUM TAX ON INDIVIDUALS AND CORPORATIONS, EXCEPT FOR CERTAIN ALTERNATIVE MINIMUM TAX CONSEQUENCES FOR CORPORATIONS. SEE "TAX MATTERS" FOR A DISCUSSION OF THE OPINION OF BOND COUNSEL. THE BONDS ARE NOT DESIGNATED "QUALIFIED TAX-EXEMPT OBLIGATIONS" FOR FINANCIAL INSTITUTIONS. SEE "TAX MATTERS—Not Qualified Tax-Exempt Obligations.” NEW ISSUE-Book-Entry-Only CINCO SOUTHWEST MUNICIPAL UTILITY DISTRICT NO. 3 (A political subdivision of the State of Texas located within Fort Bend County) $1,715,000 $2,005,000 UNLIMITED TAX BONDS UNLIMITED TAX PARK BONDS SERIES 2012A SERIES 2012B The $1,715,000 Unlimited Tax Bonds, Series 2012A (the “Series 2012A Bonds”) and the $2,005,000 Unlimited Tax Park Bonds, Series 2012B (the “Series 2012B Bonds”) (collectively referred to herein as the “Bonds”), are obligations solely of Cinco Southwest Municipal Utility District No. 3 (the “District”) and are not obligations of the State of Texas, Fort Bend County, the City of Houston or any entity other than the District. The Bonds, when issued, will constitute valid and legally binding obligations of the District and will be payable from the proceeds of an annual ad valorem tax, without legal limitation as to rate or amount, levied against taxable property within the District. THE BONDS ARE SUBJECT TO SPECIAL RISK FACTORS DESCRIBED HEREIN. See “RISK FACTORS.” Interest accrues from: December 1, 2012 Due: September 1, as shown below Principal of the Bonds is payable at maturity or earlier redemption at the principal payment office of the paying agent/registrar, initially The Bank of New York Mellon Trust Company, N.A., Dallas, Texas (the “Paying Agent/Registrar”) upon surrender of the Bonds for payment.
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