13209RESOLUTION NO. 13,209
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3 A RESOLUTION TO SUPPORT AMENDMENTS TO THE CONSTITUTION
4 OF THE STATE OF ARKANSAS: (1) TO ELIMINATE CONSTITUTIONAL
5 LIMITS ON INTEREST RATES FOR GOVERNMENT BONDS AND LOANS;
6 REVISE INTEREST RATE LIMITS ON OTHER LOANS; AND, AUTHORIZE
7 THE FINANCING OF ENERGY SAVINGS PROJECTS (ISSUE 92 AT NO-
8 VEMBER 2010 GENERAL ELECTION); AND (2) TO MODIFY AND IMPROVE
9 THE FINANCING ALTERNATIVES AVAILABLE TO THE STATE IN SUP -
10 PORT OF MAJOR ECONOMIC DEVELOPMENT PROJECTS IN ARKANSAS
11 (ISSUE #3 AT NOVEMBER 2010 GENERAL ELECTION); AND FOR OTHER
12 PURPOSES.
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14 WHEREAS, provisions of the Arkansas Constitution that authorize bond financing by Arkansas mu-
15 nicipal governments, such as Amendment 62 for tax secured bonds and Amendment 65 for revenue
16 bonds, have interest rate limits substantially below market requirements that severely restrict and in many
17 cases have halted the financing of essential projects to support the public welfare of citizens of Arkansas
1S cities and towns; and,
19 WHEREAS, the interest rate limits in Amendment 60 of the Arkansas Constitution currently restrict
20 options for consumer financing that may be offered by businesses operating solely or primarily within the
21 State of Arkansas, and that such limits have been preempted by Federal legislation for businesses con -
22 ducting interstate operations, and that such circumstances produce a significant disadvantage for Arkansas
23 businesses and limit the availability of affordable financing for their consumer customers, which has a
24 significant negative impact on the economic vitality on Arkansas cities and towns where they operate;
25 and,
26 WHEREAS, expanded financing options should be available for projects that can provide savings in
27 energy costs for Arkansas municipal governments; and,
28 WHEREAS, the financing authority for State support provided by Amendment 82 of the Arkansas
29 Constitution for major economic development projects should be more flexible, while maintaining exist -
30 ing restrictions on the total State support that may be committed, in order to facilitate the financing of
31 more projects over a wider area of the State, thus enhancing the economic benefit for the State and its
32 citizens; and,
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Resolution to support two proposed amendments to the
A,ka ®as Constitution
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WHEREAS, the effectiveness of current state law on municipal and economic development financ-
ing is unduly restrictive and in need of updating in order to promulgate economic growth and to allow
municipalities and the State to be better stewards of taxpayer dollars.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY
OF LITTLE ROCK, ARKANSAS:
Section 1. The Board of Directors of the City of Little Rock, Arkansas does hereby express its sup-
port and endorsement for Issues #2 and #3, which were referred by the 2009 Arkansas General Assembly
as amendments to the Arkansas Constitution, and strongly encourages voters to approve these proposals
at the November 2010 General Election because these amendments will help city and town governments
in Arkansas secure timely financing for important public improvements in a cost effective manner, im-
prove stewardship and save taxpayer dollars, and stimulate and promote economic development.
Section 2. Additionally, following approval at the November 2010 General Election, the Board of Di-
rectors also supports expeditious adoption by the Arkansas General Assembly in 2011 of Arkansas statu-
tory revisions required to implement the amendments.
Section 3. Severability. In the event any title, section, paragraph, item, sentence, clause, phrase, or
word of this resolution is declared or adjudged to be invalid or unconstitutional, such declaration or
adjudication shall not affect the remaining portions of the resolution which shall remain in full force and
effect as if the portion so declared or adjudged invalid or unconstitutional were not originally a part of the
ordinance.
Section 4. Repealer. All laws, ordinances, resolutions, or parts of the same, that are inconsistent
with the provisions of this ordinance are hereby repealed to the extent of such inconsistency.
ADOPTED: October 5, 2010
ATTEST:
, City Clerk
TO LEGAL FORM:
Thomas M.
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Resolution to support two proposed amendments to the
Arkansas Constitution
APPROVED:
Mark Stodola, Mayor
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