3405 RESOLUTION NO. 3,405
A RESOLUTION AUTHORIZING THE PUBLICATION OF NOTICE
OF SALE OF GENERAL OBLIGATION REFUNDING AND CAPITAL
IMPROVEMENT BONDS IN CONNECTION WITH THE REFUNDING
OF OUTSTANDING BONDS OF THE CITY DATED DECEMBER 1,
1958 AND CERTAIN MUNICIPAL IMPROVEMENTS; AND FOR OTHER
PURPOSES .
WHEREAS the electors of the City of Little Rock, voting
at a special election held on September 14, 1965, voted by a
majority in favor of a bond issue under the provisions of Amend-
ment No. 13 to the Constitution of the State of Arkansas for the
purpose of refunding the outstanding bonds of the City of Little
Rock, Arkansas General Obligation Bonds, dated December 1, 1958,
and for the purposes of the purchase, development and improvement
of Public Parks , purchasing sites for and constructing and equip-
ping buildings for the housing of fire fighting apparatus and
purchasing fire fighting apparatus, purchasing rights of way for
and constructing streets and boulevards, and the result of said
election has been duly certified to the City Clerk by the Pulaski
County Board of Election Commissioners ; and
WHEREAS under the terms of Ordinance No. 11,621
submitting the question and the ballot which was voted upon, the
City proposed the issuance of the bonds in the sum of Eight Million
Dollars ($8,000,000) ; and
WHEREAS the Board of Directors of the City of Little
Rock desires to secure the funds necessary for the purposes herein-
above set forth at the earliest practicable time and desires that
Notice of Sale of the bonds be published;
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors
of the City of Little Rock, Arkansas:
Section 1. The Mayor and City Clerk are hereby authorized
and directed to publish, as required by law, the terms of said
Notice of Bond Sale for the bonds to be issued, in substantially
the following form:
NOTICE OF BOND SALE
$8,000,000
CITY OF LITTLE ROCK, ARKANSAS GENERAL OBLIGATION
REFUNDING AND CAPITAL IMPROVEMENT BONDS
DATED AUGUST 1, 1965
The City of Little Rock, Arkansas (called "City") hereby
gives notice that there will be sold on sealed bids at the time
and place specified below $8,000,000 in principal amount of General
Obligation Refunding and Capital Improvement Bonds dated August 1,
1965 and being issued under the provisions of Amendment No. 13 to
the Constitution of the State of Arkansas (called "bonds") . The
bonds were approved by the electors of the City at a duly called and
held special election on the 14th day of September, 1965. They are
being issued for the purpose of accomplishing the refunding of all
of the outstanding General Obligation Bonds of the City dated Decem-
ber 1, 1958 under Amendment No. 13 ($3,075,000) and for accomplishing
the following improvements :
(a) The purchase, development and improvement
of public parks ;
(b) The purchase of sites for and constructing
and equipping buildings for the housing of
fire fighting apparatus and the purchase of
fire fighting apparatus ; and
(c) The purchase of rights of way for and con-
structing streets and boulevards, including,
without limitation, widening, straightening,
surfacing and drainage.
The bonds will bear interest at the rate or rates accepted
by the City, which interest will be payable semiannually on February 1
and August 1 of each year, commencing February 1, 1966, and the bonds
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will mature annually on February 1 of each year as follows , but shall
be subject to redemption prior to maturity as hereafter set forth:
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YEAR AMOUNT
1967 $156, 000
1968 162,000
1969 365, 000
1970 235,000
1971 245,000
1972 255,000
1973 260,000
1974 270,000
1975 280,000
1976 290,000
1977 300,000
1978 310,000
1979 320,000
1980 330, 000
1981 340,000
1982 355,000
1983 365, 000
1984 380,000
1985 395 , 000
1986 405 , 000
1987 420,000
1988 435, 000
1989 450,000
1990 465, 000
1991 212,000
The bonds will be general obligations of the City, to
the payment of which the City will pledge its full faith, credit
and taxing power. In this regard, the Board of Directors of the
City will levy a continuing annual tax of 3 . 75 mills on the dollar
of the assessed valuation of the taxable real and personal property
in the City, which will be specifically pledged to the payment of
the principal of and interest on the bonds and which will be
collected annually until the principal of and interest on the bonds
are paid or provision made therefor. The City will covenant that
the entire proceeds derived from the said special tax will be applied
to the payment of the principal of and interest on the bonds and
that the entire amount of tax collections over and above the amount
necessary to insure the prompt payment of the principal of and interest
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on the bonds as the same become due will be applied as and when
available on each interest payment date to the redemption of the
bonds prior to maturity. The assessed valuation of the taxable real
and personal property in the City for the year 1964 (1965 collections)
is $164,518,495. 00. Preliminary figures for the 1965 assessments
(1966 collections) reflect an assessed valuation of $173,428,524.00.
The bonds will be subject to redemption prior to maturity
in inverse numerical order as follows : from surplus tax collections
on any interest payment date at a price of the principal amount of
the bonds being redeemed plus accrued interest to the date of re-
demption; from funds from any source on any interest payment date
on and after February 1, 1972 at a price of the principal amount of
the bonds being redeemed plus accrued interest to the date of re-
demption and plus a premium as follows :
31% if redeemed on February 1, 1972 or August 1, 1972, inclusive.
3% if redeemed on February 1, 1973 or August 1, 1973, inclusive.
22% if redeemed on February 1, 1974 or August 1, 1974, inclusive.
2% if redeemed on February 1, 1975 or August 1, 1975, inclusive.
11/2% if redeemed on February 1, 1976 or August 1, 1976, inclusive.
1% if redeemed on February 1, 1977 or August 1, 1977, inclusive.
2% if redeemed on February 1, 1978 or August 1, 1978, inclusive.
No premium if redeemed after August 1, 1978.
The purchaser may name the institution to be paying agent
and to authenticate the bonds . The City will pay all expenses of
the issue and will furnish to the purchaser the unqualified legal
approving opinions of Rose, Meek, House, Barron, Nash & Williamson;
Smith, Williams , Friday & Bowen; and Townsend & Townsend, all of
Little Rock; Arkansas , which will be printed on the bonds.
The bonds will not be subject to conversion and supplemental
coupons will not be permitted. Up to four interest rates may be
specified (not including repeated bids) but all rates with the
maturities to which applicable must be set forth in the bid. The
bonds of each maturity must bear interest from date to maturity and
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at the same rate. The difference between the highest and lowest
rate must not exceed 27,. The low bid will be the bid that results
in the lowest net interest cost to the City to be determined by
computing the aggregate interest cost at the rates bid from the date
of the bonds to maturity and deducting therefrom any premium specified
in the bid. No contingent provisions may be included in any bid and
no bid of less than par and accrued interest will be entertained.
Sealed bids will be received until 1:30 o'clock P. M.
C. S. T. , on
OCTOBER 14, 1965
and each bid shall be enclosed in a sealed envelope marked on the
outside "Proposal for City of Little Rock, Arkansas General Obli-
gation Refunding and Capital Improvement Bonds , dated August 1,
1965" and addressed to Mr. Ancil Douthit, City Manager, City Hall,
Little Rock, Arkansas . The bids will be opened at said time on
said date at the regular meeting place of the Board of Directors in
the City Hall, Little Rock, Arkansas.
All bidders must file with their bid a certified or cashiers ' .
check in the amount of $80,000 payable to the City, which will be
retained as liquidated damages if a bidder is awarded the sale of
the bonds and fails to complete the purchase, otherwise to be applied
to the purchase price of the bonds at the delivery thereof. Checks
of unsuccessful bidders will be promptly returned. Interest will not
be paid on good faith checks . The bonds will be delivered to the
purchaser within forty-five (45) days after the award is made to the
purchaser. The City reserves the right to reject any or all bids .
Additional information may be obtained from Mr. E. Jack Murphy,
Director of Finance, City Hall, Little Rock, Arkansas or from
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Smith, Williams , Friday & Bowen, 11th Floor, Boyle Building,
Little Rock, Arkansas .
CITY OF LITTLE ROCK, ARKANSAS
By: Harold Henson
Mayor
a
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Section 2 . It is hereby determined and declared that
there is immediate need for the public purposes for which the bonds
herein referred to were authorized; and this Resolution, therefore,
shall be in full force and effect from and after its adoption and
approval.
ADOPTED: September 20 , 1965 .
APPROVED:
Ii
Mayor ,
ATTEST:
City Clerk
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