2335 RESOLUTION NO. 2335
RESOLUTION AUTHORIZING THE REPUBLICATION OF THE NOTICE OF SALE OF
$1, 650,000 OF GENERAL OBLIGATION VARIOUS PURPOSE BONDS BY THE CITY
OF LITTLE ROCK, ARKANSAS.
WHEREAS, by Resolution No. 2317 adopted on. April 6, 1959, the
Board of Directors authorized the publication of a notice of sale of
$1,650,000 of general obligation various purpose bonds to be issued
by the City, and set out the form of the notice, and in compliance
with said resolution the City Clerk began the publication of the
notice in the Arkansas Gazette, a newspaper having a bona fide circu-
lation in the City of Little Rock, Arkansas, and said notice was
correctly published by the said Arkansas Gazette on April 9 and
April 16, 1959, but through some error or oversight it was not pub-
lished on April 23, 1959, with the result that the publication did
not comply with the resolution and it is now necessary to fix a new
date for the proposed sale and to republish the notice of the sale ;
now, therefore,
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF LITTLE
ROCK, ARKANSAS:
SECTION 1. That the City Clerk of this City be required to
publish in some newspaper published in the City of Little Rock,
Arkansas, and having a bona fide circulation therein and, at her
election, in such financial journal or journals as she may select,
the following notice, which shall be published once a week for three
weeks, the first publication to be at least twenty (20) days before
said date:
1,4 iq Tit 4
. • :Y bib
NOTICE OF SALE BY THE CITY OF
LITTLE ROCK, ARKANSAS, OF
$1, 650,000 OF GENERAL OBLIGATION
VARIOUS PURPOSE BONDS
1 . Notice is hereby given that on the 18th day of May, 1959,
the City of Little Rock, Arkansas, will sell for cash, on sealed
bids, at 11:00 o ' clock A.M. , Central Standard Time, in the Board of
Directors Chamber at the City Hall in the City of Little Rock,
Arkansas, One Million Six Hundred Fifty Thousand Dollars ($1, 650,000)
principal amount of General Obligation Negotiable Coupon Bonds (being
the balance of an authorized issue of $4, 950,000 of bonds) , being
issued under authority of Amendment 13 to the Constitution of the
State of Arkansas, for the following purposes:
$300,000 for the acquisition of right—of—way for construction
of public streets, alleys, and boulevards;
$500,000 for the construction of, widening, or straightening
of streets, alleys and boulevards;
$200, 000 for the purchase, development and improvement of
public parks and flying fields;
$600,000 for the purchase of sites for, construction of,
and equipment of City Hall, Auditorium and Prison;
$ 50, 000 for buildings for the housing of fire—fighting
apparatus.
The bonds were approved by the electors of the City at the
general election held November 4, 1958, by a majority of more than
five for to one against the issues.
2 . The bonds will be dated December 1, 1958, and the interest
will be payable semiannually on January 1 and July 1 of each year.
The bonds will mature on. January 1 of each year as follows, but
shall be callable for payment prior to maturity in accordance with
provisions pertaining thereto hereinafter set forth:
Year Amount Year Amount Year Amount
1962 $46,000 1970 $57,000 1978 $73,000
1963 46,000 1971 59,000 1979 75,000
1964 48,000 1972 61,000 1980 77,000
1965 49,000 1973 63,000 1981 79,000
1966 51,000 1974 64,000 1982 82,000
1967 52,000 1975 67,000 1983 84,000
1968 54, 000 1976 69, 000 1984 87,000
1969 56,000 1977 70,000 1985 90,000
1986 91,000
3 . The bonds will be sold upon sealed bids. Award, if made,
will be to the bidder offering the lowest interest cost to the City,
the interest cost to be determined by computing the aggregate amount
of interest at the rate bid and deducting therefrom the amount of
any premium offered . The successful bidder will be permitted to
designate not more than three interest rates, provided that the total
interest cost of the interest rate or rates so designated does not
exceed the interest cost upon which the sale was awarded to it, and
all rates shall be in multiples of one—fourth (1/4) of one per cent
(1/) and not exceeding five per cent (5%) , and not more than one
interest rate may be specified in any one year. The purchaser will
have the option of naming the paying agent and another bank to
authenticate the bonds, or may name one bank for both, but a Little
Rock bank must either be the one named or one of the two named. The
City will make delivery of the bonds within sixty days after the
successful bidder designates the name of the paying agent and the
bank to authenticate the bonds, and specifies the interest rates, if
more than one .
4. The bonds shall not be subject to conversion.
5 . The bonds shall be callable at the option of the City in
inverse numerical order on any interest paying date from surplus tax
collections at par and accrued interest, and after January 1, 1965,
with funds from any source at the following prices plus accrued
interest: July 1, 1965, to and including January 1, 1966, at 104 cents
on the dollar, and reducing 1/2 of 1% each year thereafter to a par
call after January 1, 1974. Notice of call shall be published by the
City Clerk by one insertion not less than fifteen. (15) days before the
date of such redemption in a daily newspaper published in the City of
Little Rock, Arkansas , and having a general circulation throughout
the State of Arkansas. The City agrees that any call for payment of
any bonds of the $4, 950,000 total authorized issue will be proportionately
divided (to the nearest whole bond) between the $3, 300,000 bonds already
issued and this balance of $1, 650,000.
6. The authorized issue of bonds in the amount of $4,950, 000
is secured by a pledge of 1 .55 mills on the dollar of the assessed
valuation of all taxable real and personal property in the City of
Little Rock collected with the taxes payable in 1959, and by a pledge
of 3 .25 mills on the dollar collected with taxes payable in 1960 and
continuing annually thereafter until all of the said bonds and interest
thereon have been paid in full. All tax collections in excess of the
amount required to service the $4,950,000 in bonds dated December 1,
1958, and provide a reserve of $87, 500 for them will be used to call
the bonds of both issues ratably for prior payment. The assessed
valuation of all taxable real and personal property in Little Rock,
Arkansas, for the year 1958, the latest assessment of record, is
$112,802,121 .
7 . These bonds will be designated " General Obligation
Improvement bond, Series B, " to distinguish them from the bonds in
the amount of $3,300,000 (of the total authorized issue of $4,950,000)
which have been issued and sold, but all bonds are on a parity as
to security for their payment from the revenues derived from the
special tax pledged therefor and all remedies for the enforcement
of payment of both principal and interest.
8. The City will pay the cost of printing and authenticating
the bonds and will furnish without cost to the buyer the unqualified
approving opinion of Mehaffy, Smith & Williams; Rose, Meek, House,
Barron & Nash; and Townsend & Townsend, bond counsel, all of
Little Rock, Arkansas.
9 . Each bidder must file a certified or cashier ' s check in
the amount of $33, 000 on a bank tM is a member of the Federal
Deposit Insurance Corporation, payable to the City, to be kept as
liquidated damages if the bidder is awarded the sale of the bonds
and fails to complete the purchase . Checks of unsuccessful bidders
will be returned promptly. The City will pay no interest on good
faith checks .
10. Sealed bids in envelopes addressed to the City of Little
Rock and marked "Proposal for General Obligation Various Purpose
Bonds" will be received at the office of W. C. Knoop, Mayor, City
Hall, Little Rock, Arkansas, up to 11:00 o' clock A.M. CST, May 18,
1959 .
11. The City reserves the right to reject any and all bids.
No contingent provisions may be included in a bid .
For further information address the undersigned.
GIVEN this day of April, 1959 .
CITY OF LITTLE ROCK, ARKANSAS
By
Attest: W. C. Knoop
Mayor
Pauline G. Beeson
City Clerk
SECTION 2 . It is hereby ascertained and declared that
there is an immediate and urgent need for the construction or
acquisition of the various municipal projects to be financed by
the sale of the bonds, notice of sale of which is herein provided,
in order to protect the health, lives and property of the inhabi-
tants of the City of Little Rock, Arkansas. It is, therefore,
declared that an emergency exists and this resolution, being
necessary for the preservation of public peace, health and safety,
shall take effect and be in force immediately upon and after its
adoption.
ADOPTED: April , 1959.
APPROVED:
Ma or
Attest:
l aj t7-&
City Clerk