1380RESOLUTION NO. 1380.
A RESOLUTION ACCEPTING THE OFFER OF THE UNITED STATES
TO THE CITY OF LITTLE ROCK, ARKANSAS, TO AID BY WAY OF
LOAN AND GRANT IN FINANCING THE CONSTRUCTION OF A
COINIPLETE WATER SUPPLY AND NECESSARY INCIDENTAL IMPROVEMENTS.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LITTLE ROOT',
ARKANSAS:
Section 1. That the offer of the United States of America to
the City of Little Rock, Arkansas, to aid by way of loan and grant
in financing the construction of a com-olete water supply and
necessary incidental improvements, a copy of which offer reads as
follows:
FEDERAL E1IERGENCY ADMINISTRATION
OF P'.1BLIC WORKS
City of Little Rock,
Little Rock, Arkansas.
Washington, D.C.
June 20, 1936.
State File No. Ark. 1106.
1. Subject to the Rules and Regulations (PWA Form No.
188, August 12, 1935, as amended to date) which are made a
part hereof, the United States of America hereby offers to aid
in financing the construction of a complete water supply sys-
tem and necessary incidental improvements in connection there-
with (herein called the "Project ", the Project together with
the existing waterworks system now owned by the City of Little
Rock herein called the "System "), by making a grant to the City
of Little Rock (herein called the "Api-)licant ") in the amount of
30 percent of the cost of the labor and materials employed upon
the Project, as determined by the Federal Emergency Adminis-
trator of Public Works (herein called the "Administrator "), but
not to exceed, in any event, the sum of ,$1,000,000, and by pur-
chasing, at the principal amount thereof plus accrued interest
thereon, from the Applicant, obligations of the description set
forth below (or such other description as shall be mutually
satisfactory) in the a gregate principal amount of .$1,210,000
(herein called "Bonds" less such amount of such obligations,
if any, as the Applicant may, with the consent of the Adminis-
trator, sell to purchasers other than the United States of
America:
(a) Obligor: City of Little Rock;
(b) Type: Negotiable, special obligation, waterworks
revenue coupon bond;
(c) Denomination: $1,000; (d) Date: February 1,1936;
(e) Interest rate and interest payment dates: 40,,10 per
annum, payable semi - annually on February 1 and
August 1 in each year;
(f) Place of payment: At the office of a bank or trust
co,,' in the Borough of Manhattan, City and State of
New York;
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(g) Registration privileges: At the option of the holder,
as to princip, -i1 only;
(h) Maturities: February 1, in years and amounts as follows:
1939
$14,000
1958
$31,000
1940
15,000
1959
31,000
1941
16,000
1960
333,000
1942
162000
1961
3� ,000
1943
17,000
1962
35,000
19 2
17,000
1963
37,000
19 4
191000
1964
38,000
1946
18,000
1965
40,000
1947
20,000
1966
41,000
1948
21,000
1967
43,000
1949
21,000
1968
46,000
1950
22,000
1969
47,000
1951
2 ,000
2,000
1970
49,000
1952
1971
51,000
25,000
1972
53,000
195
25,000
197
55,000
1955
27,000
1974
7,000
1956
28,000
1975
O,o00
1957
29,000
1976
622000;
(i) Source of payment: Payable, as to both principal and
interest, from and secured by a first lien upon and
pledge of a fixed amoun-t' of the gross revenues of the
System, which fixed amount shall be sufficient to
maintain an interest and bond redemption fund to insure
the payment of the interest on and principal of the
bonds, as and when the same become due and payable, and
additionally secured by statutory mortgage lien on the
System; all as more particularly set forth in the
Indenture, dated as of February 1, 1936.
2. Upon the acceptance of this offer by the Applicant, the contract
created by the acceptance of the offer made by the United States of
Americo to the Applicant dated December 21, 1935 shall be cancelled.
The cancellation of such contract shall not impair or vitiate any act
performed or proceedings taken thereunder prior to such cancellation.
Such acts or proceedings may be continued under the contract created
by the acceptance of this offer. All proceedings with reference to
construction contracts on the Project shall be taken and all work un-
der such contracts shall be done in accordance with the Rules and Regu-
lations (PTA Form 188, August 12, 1935, as amended to date).
3. This offer is conditioned upon the Applicant's depositing in the
Construction Account described in Part One, Paragraph 12, of the Rules
and Regulations, prior to the payment by the United States of America
for n„ny obligations which it herein offers to purchase, the sure
of $1,260,000 or such other amount as may be necessary to complete
the Project, in addition to the funds to be furnished by the United
States of America.
UNITED STATES OF A2v7ERICA
Federal Emergency Administrator
of Public '+forks
(Sgd, ) E. IV. Clark
By
For the Assistant Administrator.
be and the same is hereby in all respects accepted.
Section 2. That said City agrees to abide by all the rules
and regulations relating to such loan and grant a copy of which rules
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and regulations were annexed_ to the Government's offer and made
a part hereof.
Section 3. That the mayor be and he is hereby authorized and
directed forthwith to send to the Federal Emergency Administration of
Public storks three certified copies of this Resolution and three
certified copies of the proceedings of this Council in connection
with the adoption of this Resolution, and such further documents
or proofs in connection with the acceptance of said offer as may
be requested by the Feder�il Emergency Administration of Public Works.
Section 4. It is ascertained and declared that the lack of an
adequate and potable water supply endangers the health of the in-
habitants of said City and is destructive to machinery and equipment
in industrial plants of said City, which endangers the safety of the
lives of the inhabitants and of their property; that by reason of
the present economic conditions many citizens of the City are out of
work and the improvements herein provided for would furnish work for
a number of men in both Pulaski and Saline Counties, Arkansas, and
thereby add to the peace and happiness of the City. It is, therefore,
declared that an emergency exists; that this resolution is necessary
for the immediate preservation of the pul-alic peace, health and safety
and that this resolution shall take effect and be in force from and
after its passage, approval and adoption.
Adopted: June 29, 1936.
Atte
'ty Clerk.
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