Loading...
9113ORDINANCE NO. 9113 AN ORDINANCE PROVIDING FOR.THE ISSUANCE OF BONDS FOR THE PURPOSE OF PURCHASING AND HOUSING FIRE- FIGHTING APPARATUS AND FIRE ALARM SYSTEMS FOR THE CITY OF LITTLE ROCK, ARKANSAS; LEVYING A TAX SUFFICIENT TO PAY THE PRINCIPAL AND INTEREST OF SAID BONDS; DECLARING AN EMERGENCY; AND FOR OTHER PURPOSES. WHEREAS, by ordinance duly passed on September 30, 19522 there was submitted to the qualified electors of the City of Little Rock, Arkansas, at the General Election held on November 4, 1952, the question of whether it should issue bonds to the amount of $590,000 for the purpose of purchasing and housing fire - fighting apparatus and fire alarm systems for the City, said bonds to bear interest at a rate not to exceed 3% per annum; and WHEREAS, due notice of the election was given and the election was held according to law, and at said election 22,082 votes were cast for the issue of bonds and 5,483 votes were cast against the issue of bonds; and WHEREAS, the result of the election was announced by the Mayer by a proclamation issued on November 15, 1952, and duly published in the ARKANSAS DEMOCRAT, a newspaper having a bona fide circulation in said City, and more than 30 days have elapsed since the date of said proclamation and since it has not been attacked in the courts it is now conclusive; and WHEREAS, the City of Little Rock, at a public sale held at 8:00 P.M. January 26, 1953, in the Council Chamber, after more than 20 days'. advertisement in the ARKANSAS GAZETTE, a newspaper having a bona fide circulation in said City, and also advertisement in THE DAILY AND WEEKLY BOND BUYER, a financial journal published in New York City, contracted to sell the bonds to Hill, Crawford & Lanford, Inc., Southern Securities Corporation, Womeldorff & Lindsey, and Walter R. Bass Company, all of Little Rock, Arkansas, who submitted the best and highest bid for said bonds, being a price of 100 cents on the dollar face value plus accrued interest plus a premium of $2324 for bonds at a net average interest cost to the City of 2.33% per annum; and WHEREAS, the buyers of said bonds have elected to name the Union National Bank of Little Rock, Arkansas, as paying agent; now, therefore, BE IT ORDAINED by the City Council of the City of Little Rock, Arkansas: SECTION 1. That the sale of the bonds to Hill, Crawford & Lanford, Inc., Southern Securitfes Corporation, Womeldorff & Lindsey, and Walter R. Bass Company, all of Little Rock, Arkansas, is approved and confirmed. SECTION 2. That the Mayor and City Clerk are hereby authorized and directed to execute the Fire Apparatus and Fire Station Bonds of 1953 of this City, dated as of February 1, 1953, and maturing on February 1 of each year as follows: YEAR BOND NOS. AMOUNT (both inclusive) 1956 1 to 38 $38,000 1957 39 to 77 39,000 1958 78 to 118 41,000 1959 119 to 160 42,000 1960 161 to 203 43,000 1961 2o4 to 247 44,000 1962 248 to 293 46,000 1963 294 to 34o 47,000 1964 341 to 388 48,000 1965 389 to 437 49,000 1966 438 to 487 50,000 1967 488 to 538 51,000 1968 539 to 590 52,000 The bonds..shall be in the denomination of $1000 each, and shall bear interest from date until paid at the following rates per annum: Nos. 1 to 388, inclusive, at 2 3/4 %, and Nos. 389 to 590, inclusive, at 2%; and the bonds shall be callable as hereinafter set out. SECTION 3. Said bonds shall be in substantially the following form: UNITED STATES OF AMERICA STATE OF ARKANSAS COUNTY OF PULASKI CITY OF LITTLE ROCK Fire Apparatus and Fire Station Bond of 1953 No. KNOW ALL MEN BY THESE PRESENTS: $1000 That the City of Little Rock, in the County of Pulaski and State of Arkansas, acknowledges itself to owe and, for value received, promises to pay to bearer the sum of ONE THOUSAND DOLLARS in lawful money of the United States of America, on the first day of February, 19 , with interest thereon from date hereof at the rate of per centum (----%) per annum until paid, interest payable semi - annually on the first day of February and August of each year, commencing August 1, 1953, on presentation and surrender of the annexed coupons as they severally mature. Both the principal and interest of this bond are hereby made payable at the office of the Union National Bank of Little Rock, Arkansas. This is one of a series of bonds aggregating Five Hundred Ninety Thousand Dollars ($590,000), all of like tenor and effect except as to number, interest rate, and maturity, numbered from One (1) to Five Hundred Ninety (590), inclusive, issued for the purpose of purchasing and housing fire - fighting apparatus and fire alarm systems for the City of Little Rock, and the City hereby warrants and covenants that in the issuing of this bond it has proceeded in accordance with the provisions of Amendment No. 13 to the Constitution of the State of Arkansas and in accordance with the laws of said State, under ordinances of the City Council of said City and in pursuance of an election duly held at which the majority of the legal voters of said City voting on the question voted in favor of the issue of said bonds; that all conditions, acts and things required to exist, to be performed, and to happen precedent to and in the issuance of this bond have existed, have been performed and have happened in due time, form and manner as required by law and particularly by said Amendment No. 13; and that a tax sufficient to pay the bonds aforesaid has been duly levied in accordance with said constitutional amendment and made payable annually until all of said bonds and interest thereon have been fully paid and discharged; and that the indebtedness represented by this bond and the issue of which it forms a part does not exceed any constitutional or statutory limitation. For the prompt payment of this bond and the interest thereon, the said City of Little Rock hereby pledges its full faith, credit and taxing power, including the special tax authorized to be levied by said Amendment to the Constitution for the payment of this bond and other bonds of this series. The City has agreed that out of the revenues derived from the special tax which it has levied and which is authatzed by Amend- ment No. 13 to the Constitution of the State of Arkansas, any surplus over the amount necessary to pay principal and interest maturing that year must be used, not earlier than August 1, 1956, to call the bonds of this issue for payment prior to maturity in inverse numerical order at par and accrued interest on any interest paying date, except that the City will not be required nor permitted to call any bonds for partial payment. The bonds of this issue are subject to redemption prior to their respective maturity dates in inverse numerical order at par and accrued interest, as follows: If called for payment with funds derived from the special tax levy, on any interest paying date on and after August 1, 1956; if called for payment with funds from any source, on any interest paying date on and after August 1, 1958• In the event the City shall call bonds for payment prior to maturity, it shall publish notice of such call once a week for two weeks in some newspaper of general circulation throughout the State of Arkansas, the first publication to be not less than fifteen days prior to the date fixed for redemption, and the notice shall give the number and maturity of each bond being called. All bonds so called shall cease to bear interest after the date fixed for their redemption, provided the funds for their payment are on deposit with the paying agent at that time. This bond shall not be valid until authenticated by the certificate hereon of the Union National Bank of Little Rock, Arkansas. IN WITNESS WHEREOF, the City of Little Rock, Arkansas, has executed tht bond by the hands of its Mayor and City Clerk and attested it with its corporate seal, and has caused the coupons hereto attached to be authenticated by the facsimile signature of its Mayor, as of the first day of February, 1953. (Seal) Attest: CITY OF LITTLE ROCK, ARKANSAS By Mayor City Clerk To each of said bonds shall be attached coupons for the semi- annual interest in the following form: No. COUPON On the first day of FAugus i 19 unless the bond to which this coupon is attached is paid prior thereto, the City of Little Rock, Arkansas, promises to pay to bearer DOLLARS in lawful money of the United States of America, at the office of the Union National Bank of Little Rock, Arkansas, betg six months' interest then due on its Fire Apparatus and Fire Station Bond of 1953 dated February 1, 1953, and numbered CITY OF LITTLE ROCK, ARKANSAS By Mayor (All coupons shall be for six months' interest. The signature of the Mayor on the coupons may be lithographed or engraved.) Each bond shall be authenticated by the Union National Bank of Little Rock, Arkansas, as follows: CERTIFICATE The Union National Bank of Little Rock, Arkansas, hereby certifies that this is one of the series of 590 Fire Apparatus and Fire Station Bonds of 1953 issued by the City of Little Rock, Arkansas, aggregating $590,000, described herein. UNION NATIONAL BANK OF LITTLE ROCK, ARKANSAS By Little Rock, Arkansas SECTION 4. The Mayor and City Clerk are hereby authorized and directed, when they have executed said bonds and have had them duly certified, to deliver them to the purchasers upon receipt of the full purchase price, and the proceeds of saH bonds shall be used for no purpose except the purposes for which voted. SECTION 5. In order to pay the said bonds as they mature, with interest thereon, the City has levied a tax of one -half mill on the dollar of assessed valuation of all taxable real and personal property within the City of Little Rock, Arkansas, to be collected in the year 1953, and that levy is hereby confirmed and the City does annual now by this ordinance levy as/tax of one mill on each dollar of assessed valuation of all taxable real and personal property within the City of Little Rock, beginning with the taxes collected in the year 1954 and continuing through the year 1967 and as long thereafter a Ebay be necessary in order to pay the bonds and interest authorized by this ordinance, being a sum sufficient to meet said bonds and interest as they mature, with five per cent added for unforeseen contingencies; and the City Clerk is directed to transmit a copy of this ordinance to the County Clerk of Pulaski County, Arkansas, to the end that said tax may be extended on the tax books of said county and collected annually along with the other taxes until the said bonds and interest thereon are paid in full. The City agrees that all of the revenues derived from the special tax levied for this bond issue shall be put in a separate fund known as the "Bond and Interest Fund" and shall be used solely for the payment of the bonds and interest of this issue, as set out in this ordinance. Any surplus from year to year shall be kept and accumulated, and on and after August 1, 1956, any surplus in said Bond and Interest Fund must be used to call the bonds of this issue for payment prior to maturity in inverse numerical order, except that the City will not be required to call bonds for partial payment. SECTION 6. In order to pay said bonds, with interest thereon, as they mature, there are hereby appropriated out of the proceeds of the tax hereby levied, and if such proceeds be not sufficient, then out of the general revenues of the City, the following sums, to -wit: YEAR PRINCIPAL INTEREST TOTAL Feb. 1 of Feb. 1 and Aug. 1 each year of each year 1953 $ $ $7,355.00 $ 7,355.00 1954 7,355.00 7,355.00 14,710.00 1955 7,355.00 7,355.00 14,710.00 1956 38,004.00 7,355.00 6,832.50 52,187.50 1957 39'000.00 6,832.50 61296.25 52,128.75 1958 41,000.00 6,296.25 5,732.50 53,028.75. 1959 42,000.00 5,732.50 5,155400 52,887.50 1960 43,000.00 5,155.00 4 :563.75 52,718.75 1961 44,000.00 4,563.75 3,95b-75 52622.50 1962 46,000.00 3,958.75 3,326.25 53,285.00 1963 47,000.00 3,326.25 2,680.00 53,006.25 1964 48,000.00 2,680.00 2,020.00 52,700.00 1965 49,000.00 2,020.00 1,530.00 52,550.00 1966 50,000.00 1,530.00 1,030.00 52,56o.00 1967 51,000.00 1,030.00 520.00 52,550.00 1968 52,000.00 520.00 - - - - -- . 52,5RO.00 SECTION 7. The Treasurer of the City of Little Rock is hereby MA ordered and directed to remit to the paying agent, not later than five days before the date of each interest payment, the amount of interest or interest and principal due on said date, together with the paying charges, which shall be 1/8 of 1% on principal and 1/4 of 1% on interest, with the provision that the minimum paying charge shall be one dollar. This instruction to the Treasurer is irrevocable and may be enforced by mandamus. The City agrees to pay the bonds and interest of this issue only through the designated paying agent or its duly appointed successor. SECTION 8. The City agrees to deposit the proceeds of the sale as follows: The accrued interest shall be paid into the Bond and Interest Fund, as hereinabove defined, and the balance received from the sale of the bonds shall be deposited in a separate fund to be known as the "Construction Fund," to be used solely for the payment of the cost of the purposes for which the bonds are issued plus the expenses of the bond issue. The City agrees to require from the depository bank in which the Construction Fund is placed, security for all of the deposit over the $10,000 insured by the Federal Deposit Insurance Corporation, and such security shall be either in the form of a corporate surety bond or in the form of government bonds escrowed with some other bank, with the right in the depository to withdraw bonds from the escrow as the Construction Fund is withdrawn by the City. SECTION 9. Both the Bond and Interest Fund and the Con- struction Fund shall be deposited in a bank or banks holding membership in the Federal Deposit Insurance Corporation. SECTION 10. If default is made and continues for thirty days in the payment of any interest coupon, the holder of the bond to which it is attached may declare the same immediately due and payable, and the failure of the holder to exercise this option upon any default shall not be a waiver of his right to exercise the option upon any subsequent default. SECTION 11. The bonds of this issue shall be callable for payment prior to maturity according to the terms set out in the face of the bond form in Section 3 of this ordinance. SECTION 12. The Union National Bank of Little Rock, Arkansas, is designated as paying agent. The holders of a majority in value of the outstanding bonds at any time may, by an instrument duly executed and recorded in the office of the City Clerk, appoint a new paying agent, who shall have all of the powers of the paying agent originally named, and the paying agent herein named may resign at any time upon ten days' notice in writing mailed to the City Clerk. SECTION 13. The terms of this ordinance shall constitute a contract between the City of Little Rock and the holders of the bonds herein authorized, and no variation or change in the undertakings herein set out shall be made while any of these bonds are outstanding except by the written consent of the holders of all bonds then out- standing. The holder of any bond may at any time, for and on leis own behalf or for and on behalf of all the bondholders, enforce the obligations of the City by a proper suit for that purpose. SECTION 14. The provisions of this ordinance are separable, and in the event that any section or part of section shall be held to be invalid, such invalidity shall not affect the remainder of the ordinance. SECTION 15. It is hereby ascertained and declared that there is an immediate and urgent need for improvement of the municipal fire department, in order to protect the health, life and property of the inhabitants of the City of Little Rock; therefore, an emergency exists and this ordinance is necessary for the preservation of the public peace, health and safety, and shall be in force and take effect im- mediately upon and after its passage. Passed: February 2 , 1953. APPROVED: Mayor Attest: ity Clerk CERTIFICATE I, a undersigned, City Clerk of the City of Litt Rock, Arkansas, c rtify the foregoing to be a true copy of dinance No. ,\passed by the City Council of day of tuted meeting at members -elect of the Counc than City on the 1953, as duly called and consti- ds of the total number of present and voted for said ordinance, which is now of record in Ordinance Book No. , page , of the records of said;,.City. CERTIFIED under my hand and the seal of said City, this day of;. , 1953. Ci yC erk (Seal)