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ORDINANCE NO. 14,765
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AN ORDINANCE AUTHORIZING THE ISSUANCE OF
INDUSTRIAL DEVELOPMENT REVENUE BONDS FOR THE
PURPOSE OF PROVIDING PERMANENT FINANCING FOR
INDUSTRIAL FACILITIES; AUTHORIZING A TRUST
INDENTURE SECURING THE BONDS; AUTHORIZING A
LEASE AGREEMENT BETWEEN THE CITY OF LITTLE
ROCK, ARKANSAS, AS LESSOR, AND MACMILLAN
BLOEDEL INC., AS LESSEE; AUTHORIZING THE
SALE OF THE BONDS; AUTHORIZING AND
PRESCRIBING OTHER MATTERS PERTAINING
THERETO; AND DECLARING AN EMERGENCY.
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WHEREAS, the City of Little Rock, Arkansas (the "City "), is
authorized and empowered under the provisions of Act No. 9 of
the First Extraordinary Session of the Sixty- Second General
Assembly of the State of Arkansas, approved January 21, 1960, as
amended (the "Act "), to issue revenue bonds and to expend the
proceeds thereof to finance the acquisition, construction and
equipment of lands, buildings or facilities which can be used in
securing or developing industry; and
WHEREAS, it is proposed that the City provide permanent
financing, through the issuance of revenue bonds under the Act,
for the costs of acquiring, constructing and equipping certain
industrial facilities consisting of machinery and equipment (the
"Project "), and that the City lease the Project to MacMillan
Bloedel Inc., an Alabama corporation (the "Company "), as part of
an industrial plant to be operated by the Company (or its
successors or assigns) in the City; and
WHEREAS, pursuant to and in accordance with the provisions
of the Act, the City is now prepared to proceed with financing
the Project and to issue and sell up to $1,850,000 in principal
amount of its Industrial Development Revenue Bonds - MacMillan
Bloedel Inc. Project (the "Bonds "), to provide such financing;
and
WHEREAS, copies of the hereinafter described Trust
Indenture and Lease Agreement have been presented to and are
before this meeting;
WHEREAS, the Bonds are to be sold and delivered in one
series, Series 1984 Bonds in the principal amount of up to
$1,850,000, dated, bearing interest, maturing and subject to
redemption as hereinafter set forth in the form of Indenture
authorized by the Ordinance; and
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WHEREAS, pursuant
Fiscal Responsibility
issuance of the Bonds
City; and
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to the provisions of the Tax Equity and
Act of 1982 it is necessary that the
be approved by Board of Directors of the
WHEREAS, the Board of Directors has determined that the
public purposes for which the Bonds are to be issued serve a
proper need;
NOW, THEREFORE, BE IT ORDAINED by the Board of Directors of
the City of Little Rock, Arkansas:
Section 1. That the issuance of the Bonds is hereby
authorized. The Bonds shall be issued in the forms and
denominations, shall be dated, shall be numbered, shall mature
(over a period not to exceed thirty [30] years), shall bear
interest (at a rate or rates not to exceed the maximum amount
allowed by law), and shall be subject to redemption prior to
maturity, all upon the terms and conditions recommended by the
Company and to be set forth in the Trust Indenture (hereinafter
authorized) securing the Bonds.
Section 2. That the Bonds be sold to the Purchaser (the
"Purchaser ") for the purchase price recommended by the Company
and upon the terms and conditions set forth in the Indenture
(identified hereinbelow).
Section 3. To prescribe the terms and conditions upon which
the Bonds are to be executed, authenticated, issued, accepted,
held and secured, the Mayor is hereby authorized and directed to
execute and acknowledge a Trust Indenture by and between the
City and a bank or trust company which will act as Trustee
thereunder, dated as of the date of the Bonds (the "Indenture "),
and the City Clerk is hereby authorized and directed to execute
and acknowledge the Indenture and to affix the seal of the City
thereto, and the Mayor and City Clerk are hereby authorized and
directed to cause the Indenture to be accepted, executed and
acknowledged by the Trustee. The Indenture is hereby approved
in substantially the form submitted to this meeting, and the
Mayor is hereby authorized to confer with the Trustee, the
Company and the Purchaser in order to complete the Indenture in
substantially the form submitted to this meeting with such
changes as shall be approved by such persons executing the
document, their execution to constitute conclusive evidence of
such approval.
Section 4. That there be, and there is hereby authorized
the execution and delivery of a Lease Agreement by and between
the City as Lessor, and the Company as Lessee (the "Lease
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Agreement ") , and the Mayor and City Clerk be, and they are
hereby, authorized to execute, acknowledge and deliver the Lease
Agreement for and on behalf of the City. The Lease Agreement is
hereby approved substantially in the form submitted to this
meeting, and the Mayor is hereby authorized to confer with the
Company, the Trustee and the Purchaser in order to complete the
Lease Agreement in substantially the form submitted to this
meeting with such changes as shall be approved by such persons
executing the document, their execution to constitute conclusive
evidence of such approval.
Section 5. That the Mayor and the City Clerk, for and on
behalf of the City, be, and they are hereby, authorized and
directed to do any and all things necessary to effect the
execution and delivery of the Lease Agreement, the performance
of all obligations of the City under the Lease Agreement, the
execution and delivery of the Indenture, the performance of all
obligations of the City under and pursuant to the Indenture, the
issuance, execution, sale and delivery of the Bonds, and the
performance of all acts of whatever nature necessary to effect
and carry out the authority conferred by this Ordinance. That
the Mayor and the City Clerk be, and they are hereby, further
authorized and directed, for and on behalf of the City, to
execute all papers, documents, certificates and other
instruments that may be required for the carrying out of such
authority or to evidence the exercise thereof.
Section 6. That the City is hereby involved with the
acquiring, constructing and equipping of industrial facilities,
and pursuant to applicable laws of the State of Arkansas,
including particularly the Act, competitive bidding is waived.
Section 7. That the City Clerk is hereby authorized and
directed to file in the office of the City Clerk, as a part of
the minutes of the meeting at which this Ordinance is adopted,
for inspection by any interested person, a copy of the Indenture
and Lease Agreement, and such documents shall be on file for
inspection by any interested person.
Section 8. That the law firm of Wright, Lindsey & Jennings,
Little Rock, Arkansas, be appointed to act as Bond Counsel on
behalf of the City in connection with the issuance and sale of
the Bonds.
Section 9. That the provisions of this Ordinance are hereby
declared to be separable, and if any section, phrase or
provision shall for any reason be declared to be invalid, such
declaration shall not affect the validity of the remainder of
the sections, phrases and provisions.
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Section 10. That all ordinances, resolutions and parts
thereof in conflict herewith are hereby repealed to the extent
of such conflict.
Section 11. That there is hereby found and declared to be
an immediate need for the securing and developing of industry in
order to provide employment and payrolls, alleviate unemployment
and otherwise benefit the public health, safety and welfare of
the City and the inhabitants thereof, and the issuance of the
Bonds authorized hereby and the taking of the other action
authorized hereby are immediately necessary for the
accomplishing of these public benefits and purposes. It is,
therefore, declared that an emergency exists and this Ordinance
being necessary for the immediate preservation of the public
peace, health and safety shall be in force and effect
immediately upon and after its passage.
PASSED: November 6, 1984.
ATTEST:
(SEAL)
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APPROVED:
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