Okaloosa County BOCC — November 4, 2014 — Preliminary Official Statement — reading text

PRELIMINARY OFFICIAL STATEMENT DATED NOVEMBER 6, 2014 NEW ISSUE – BOOK-ENTRY ONLY RATINGS: See "Ratings" herein In the opinion of Nabors, Giblin & Nickerson, P.A., Tampa, Florida, Bond Counsel, under existing statutes, regulations, rulings and court decisions, interest on the Series 2014 Bonds is (a) excluded from gross income of the owners of the Series 2014 Bonds for federal income tax purposes (except as described under the caption "TAX EXEMPTION" herein) and (b) not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations. See "TAX EXEMPTION" herein. $_________* OKALOOSA COUNTY, FLORIDA SALES TAX REVENUE BONDS, SERIES 2014 Dated: Date of Delivery Due: October 1, as shown on the inside cover The $________* Sales Tax Revenue Bonds, Series 2014 (the "Series 2014 Bonds") are being issued by Okaloosa County, Florida (the "County") to finance the acquisition and construction of improvements to County facilities. The Series 2014 Bonds are being issued as fully registered Bonds in denominations of $5,000 or any integral multiple thereof. Interest on the Series 2014 Bonds is payable on April 1 and October 1 of each year, commencing April 1, 2015 (each, an "Interest Payment Date") to the Registered Owners of the Series 2014 Bonds shown on the registration books of the County held by Hancock Bank, Orlando, Florida, as Registrar and Paying Agent (the "Registrar and Paying Agent") on the fifteenth day (whether or not a business day) of the calendar month next preceding an Interest Payment Date, by check or draft mailed to such Registered Owners by the Registrar and Paying Agent. The principal of the Series 2014 Bonds will be payable upon presentation and surrender of the Series 2014 Bonds at the corporate trust office of the Registrar and Paying Agent in Orlando, Florida. The Series 2014 Bonds will initially be registered in the name of Cede & Co. as Registered Owner and nominee for The Depository Trust Company, New York, New York ("DTC"), an automated depository for securities and clearing house for securities transactions. Purchasers of the Series 2014 Bonds (the "Beneficial Owners") will not receive physical delivery of the Series 2014 Bonds. So long as DTC, or its nominee, is the Registered Owner of the Series 2014 Bonds, payment of the principal of and interest on the Series 2014 Bonds will be provided directly to the DTC Participants which in turn remit such payments to the Beneficial Owners (as defined herein) of the Series 2014 Bonds. See "DESCRIPTION OF THE SERIES 2014 BONDS -- Book-Entry Only" herein.  The Series 2014 Bonds are subject to redemption prior to maturity, as more fully described herein. The Series 2014 Bonds are being issued to (1) finance the development and construction of improvements to County facilities, including the Crestview courthouse, (2) refund the County's Sales Tax Revenue Bond Anticipation Note, Series 2014, and (3) pay the costs of issuance of the Series 2014 Bonds. For additional information, see "THE PROJECT" herein. The Series 2014 Bonds are being issued under the authority of Chapter 125, Part I, Florida Statutes, and other applicable provisions of law (the "Act") and pursuant to the provisions of Resolution No. 09-190, duly adopted by the Board of County Commissioners of the County on November 17, 2009, as amended and supplemented, and particularly as amended and supplemented by Resolution No. 14- ____, duly adopted on November 4, 2014 (collectively, the "Resolution"). The Series 2014 Bonds are payable from and secured by a lien upon and pledge of the Pledged Funds which includes the Sales Tax Revenues, and, until applied in accordance with the provisions of the Resolution, all moneys, including investments thereof, in the funds and accounts established by the Resolution, other than the Rebate Fund. The Series 2014 Bonds are secured on a parity as to the Pledged Funds with the County's Sales Tax Revenue Bonds, Series 2009A and Taxable Sales Tax Revenue Bonds, Series 2009B (Direct Payment Build America Bonds). THE SERIES 2014 BONDS AND THE INTEREST THEREON DO NOT CONSTITUTE A DEBT. LIABILITY OR OBLIGATION OF THE STATE OF FLORIDA, THE COUNTY, OR ANY OTHER POLITICAL SUBDIVISION THEREOF (OTHER THAN A SPECIAL OBLIGATION OF THE COUNTY) AND NEITHER THE FAITH AND CREDIT NOR THE TAXING POWER OF THE STATE OR THE COUNTY OR ANY OTHER POLITICAL SUBDIVISION THEREOF IS PLEDGED TO THE PAYMENT OF THE SERIES 2014 BONDS OR THE INTEREST THEREON. The County has received a commitment from Build America Mutual Assurance Company to guarantee the scheduled payment of principal of and interest on the Series 2014 Bonds when due under a financial guaranty insurance policy to be issued concurrently with the issuance of the Series 2014 Bonds. The decision as to which of the Series 2014 Bonds, if any, such policy shall apply to will be made by the County at the time of pricing the Series 2014 Bonds. SEE THE INSIDE COVER PAGE FOR MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, PRICES OR YIELDS AND CUSIP NUMBERS.  This cover page is not intended to be a summary of the terms or security provisions of the Series 2014 Bonds. Investors are advised to read the entire Official Statement to obtain information essential to the making of an informed investment decision. The Series 2014 Bonds are offered for delivery when, as and if issued and received by the Underwriters, subject to the approval of legality by Nabors, Giblin & Nickerson, P.A., Tampa, Florida, Bond Counsel and Disclosure Counsel. First Southwest Company, Orlando, Florida, is serving as Financial Advisor to the County. Certain legal matters will be passed upon for the County by its County Attorney, Nabors, Giblin & Nickerson, P.A. Anchors Smith Grimsley, Fort Walton Beach, Florida is acting as Counsel to the Underwriters. It is expected that the Series 2014 Bonds will be available for delivery through DTC in New York, New York on or about November 25, 2014. RBC CAPITAL MARKETS CREWS & ASSOCIATES Dated: November ___, 2014  $_________* OKALOOSA COUNTY, FLORIDA SALES TAX REVENUE BONDS, SERIES 2014 MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES YIELDS AND INITIAL CUSIP NUMBERS Maturity Principal Interest Yield Initial CUSIP (October 1) Amounts Rates or Price Number† 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 *Preliminary, subject to change. † The County shall not be responsible for the use of CUSIP numbers, nor is any representation made as to their correctness. They are included solely for the convenience of the readers of this Official Statement.  OKALOOSA COUNTY, FLORIDA 1804 Lewis Turner Boulevard, Suite 100 Ft. Walton Beach, Florida 32547 (850) 651-7105 THE BOARD OF COUNTY COMMISSIONERS Kelly Windes, Chairman Nathan Boyles, Vice Chairman Wayne Harris, Commissioner Dave Parisot, Commissioner Don Amunds, Commissioner CLERK OF THE CIRCUIT COURT Don W. Howard INTERIM COUNTY ADMINISTRATOR John Hofstad FINANCE OFFICER Gary J. Stanford COUNTY ATTORNEY Nabors, Giblin & Nickerson, P.A. Tallahassee, Florida FINANCIAL ADVISOR First Southwest Company Orlando, Florida BOND COUNSEL AND DISCLOSURE COUNSEL Nabors, Giblin & Nickerson, P.A. Tampa, Florida  No dealer, broker, salesman or other person has been authorized by the County to give any information or to make any representation with respect to the Series 2014 Bonds other than those contained in this Official Statement, and if given or made, such information or representations must not be relied upon as having been authorized by any of the foregoing. This Official Statement does not constitute an offer to sell nor the solicitation of an offer to buy, nor will there be any sale of the Series 2014 Bonds by any person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. THE INFORMATION SET FORTH HEREIN HAS BEEN OBTAINED FROM THE COUNTY AND OTHER SOURCES WHICH ARE BELIEVED TO BE RELIABLE, AND WHILE NOT GUARANTEED AS TO COMPLETENESS OR ACCURACY, IS BELIEVED TO BE CORRECT. THE UNDERWRITERS HAVE REVIEWED THE INFORMATION IN THIS OFFICIAL STATEMENT IN ACCORDANCE WITH AND AS A PART OF THEIR RESPONSIBILITIES TO INVESTORS UNDER FEDERAL SECURITIES LAWS AS APPLIED TO THE FACTS AND CIRCUMSTANCES OF THIS TRANSACTION, BUT THE UNDERWRITERS DO NOT GUARANTEE THE ACCURACY OR COMPLETENESS OF SUCH INFORMATION. THE INFORMATION AND EXPRESSIONS OF OPINION STATED HEREIN ARE SUBJECT TO CHANGE WITHOUT NOTICE. THE DELIVERY OF THIS OFFICIAL STATEMENT WILL NOT, UNDER ANY CIRCUMSTANCES, CREATE ANY IMPLICATION THAT THERE HAS BEEN NO CHANGE IN THE AFFAIRS OF THE COUNTY SINCE THE DATE HEREOF. THIS OFFICIAL STATEMENT CONTAINS CERTAIN PROJECTIONS AND ESTIMATES, AS WELL AS ASSUMPTIONS MADE BY THE COUNTY BASED UPON INFORMATION CURRENTLY AVAILABLE TO THE COUNTY. WHEN USED IN THIS OFFICIAL STATEMENT, THE WORDS "ANTICIPATE," "ESTIMATE," "EXPECT" AND SIMILAR EXPRESSIONS ARE INTENDED TO IDENTIFY PROJECTIONS AND ESTIMATES. SUCH STATEMENTS ARE SUBJECT TO CERTAIN RISKS, UNCERTAINTIES AND ASSUMPTIONS. SHOULD ONE OR MORE OF THESE RISKS OR UNCERTAINTIES MATERIALIZE, OR SHOULD UNDERLYING ASSUMPTIONS PROVE INCORRECT, ACTUAL RESULTS MAY VARY MATERIALLY FROM THOSE ANTICIPATED, ESTIMATED OR EXPECTED. THE ASSUMPTIONS AND EXPECTATIONS CONCERNING THE RECEIPT IN FUTURE YEARS OF THE SALES TAX REVENUES THAT SECURE THE SERIES 2014 BONDS ARE SUBJECT TO VARIOUS UNCERTAINTIES THAT MAY ADVERSELY AFFECT THE AMOUNT OF PLEDGED FUNDS COLLECTED BY THE COUNTY. THE SERIES 2014 BONDS HAVE NOT BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, NOR HAS THE RESOLUTION BEEN QUALIFIED UNDER THE TRUST INDENTURE ACT OF 1939, AS AMENDED, IN RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACTS. THE REGISTRATION OR QUALIFICATION OF THE SERIES 2014 BONDS IN ACCORDANCE WITH APPLICABLE PROVISIONS OF THE SECURITIES LAWS OF THE STATES, IF ANY, IN WHICH THE SERIES 2014 BONDS HAVE BEEN REGISTERED OR QUALIFIED AND THE EXEMPTION FROM REGISTRATION OR QUALIFICATION IN CERTAIN OTHER STATES CANNOT BE REGARDED AS A RECOMMENDATION THEREOF. NEITHER THESE STATES NOR ANY OF THEIR AGENCIES HAVE PASSED UPON THE MERITS OF THE SERIES 2014 BONDS OR THE ACCURACY OR COMPLETENESS OF THIS OFFICIAL STATEMENT. ANY REPRESENTATION TO THE CONTRARY MAY BE A CRIMINAL OFFENSE. References herein to laws, rules, regulations, resolutions, agreements, reports and other documents do not purport to be comprehensive or definitive. All references to such documents are qualified in their entirety by reference to the particular document, the full text of which may contain qualifications of and exceptions to statements made herein. Where full texts have not been included as appendices to this Official Statement they will be furnished on request from John Hofstad, Interim County Administrator, 1804 Lewis Turner Boulevard, Suite 400, Fort Walton Beach, Florida 32547, Telephone No. (850) 651-7515.  TABLE OF CONTENTS Page INTRODUCTION