16070ORDINANCE NO. 16,070
AN ORDINANCE APPROVING THE ISSUANCE BY THE CITY OF
LITTLE ROCK, ARKANSAS RESIDENTIAL HOUSING AND PUBLIC
FACILITIES BOARD OF NOT TO EXCEED $6,500,000 PRINCIPAL
AMOUNT OF ITS MULTIFAMILY HOUSING REFUNDING REVENUE
BONDS (PLEASANT WOODS PROJECT), SERIES 1991
WHEREAS, the City of Little Rock, Arkansas Residential
Housing and Public Facilities Board (formerly the City of Little
Rock, Arkansas Residential Housing Facilities Board) (the
"Board ") has adopted a resolution indicating its intent to issue
Multifamily Housing Refunding Revenue Bonds (Pleasant Woods
Project), Series 1991 (the "Series 1991 Bonds "), for the purpose
of refunding its outstanding Multifamily Housing Revenue Bonds
(Pleasant Woods Project), Series 1985 (the "Series 1985 Bonds ");
and
WHEREAS, the Board loaned the proceeds of the Series 1985
Bonds to Pleasant Woods Associates Limited Partnership (the
"Borrower ") for the purpose of acquiring lands and constructing
and equipping a 220 -unit apartment project located at 11800
Pleasant Ridge Road, in the City of Little Rock, Arkansas; and
WHEREAS, the City has been informed that the Borrower is the
debtor -in- possession of the facilities constructed with the
proceeds of the Series 1985 Bonds pursuant to a Chapter 11 action
in bankruptcy pending in the United States Bankruptcy Court for
the Eastern District of Arkansas, Western Division, and that the
Series 1985 Bonds are in default; and
WHEREAS, the City has been informed that the Bankruptcy
Court may approve a Plan of Reorganization filed by the Borrower
pursuant to which it is contemplated that the Board will issue
the Series 1991 Bonds, in a principal amount equal to the
outstanding principal amount and accreted amount of the Series
1985 Bonds, and that the Series 1991 Bonds will be delivered to
and accepted by the holders of the outstanding Series 1985 Bonds
in exchange for the outstanding Series 1985 Bonds; and
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WHEREAS, a public hearing has been held before the Board of
Directors of the City of Little Rock, Arkansas on this date
regarding the issuance of the Series 1991 Bonds following
publication of notice of the public hearing in the Arkansas
Democrat on June 26, 1991; and
WHEREAS, pursuant to the provisions of the Revenue Bond Act
of 1987, Arkansas Code Annotated Sections 19 -9 -601 to -607,
inclusive (Supp. 1989) (the "Arkansas Code "), and Section 147(f)
of the Internal Revenue Code of 1986, as amended (the "1986
Code "), it is necessary that the issuance of the Series 1991
Bonds be approved by the Board of Directors of the City of Little
Rock, Arkansas; and
WHEREAS, the Board of Directors of the City of Little Rock,
Arkansas, has determined that the public purposes for which the
Series 1991 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 by the Board of not to exceed
$6,500,000 principal amount of its Multifamily Housing Refunding
Revenue Bonds (Pleasant Woods Project), Series 1991, be and the
same is hereby approved within the meaning of the Arkansas Code
and the 1986 Code. The Board may proceed in the manner deemed
proper by it to accomplish the refinancing of the Series 1985
Bonds on such terms and conditions as the Board shall determine
consistent with any Plan of Reorganization as shall be approved
by the United States Bankruptcy Court.
Section 2. That this Ordinance is adopted solely for the
purpose of complying with the provisions of the Arkansas Code and
the 1986 Code, and by the adoption of this Ordinance the City of
Little Rock, Arkansas has not assumed any direct or indirect
financial responsibility for the payment of the Series 1991
Bonds.
Section 3. The provisions of this Ordinance are hereby
declared to be separable, and if any provisions shall for any
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reason be held illegal or invalid, such holding shall not affect
the validity of the remainder of this Ordinance.
Section 4. It is hereby ascertained and declared that the
refinancing of the Series 1985 Bonds identified above must be
accomplished as soon as possible in order to alleviate immediate
hazards to the health, safety, and welfare of the City of Little
Rock, Arkansas, its inhabitants, and their property, and that
this can be accomplished only by the issuance of the Series 1991
Bonds. 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 take effect and be in
force from and after its passage.
PASSED AND APPROVED THIS 16TH DAY OF JULY, 1991.
ATTEST:
Robbie Hancock, City Clerk
(S E A L)
APPROVED AS TO FORM:
Thomas M. Carpenter, ity Attorney
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APPROVED:
Slfaron Priest, Mayor
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