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ORDINANCE NO. 15,3G1
AN ORDINANCE AUTHORIZING THE ISSUANCE OF
REVENUE BONDS FOR THE PURPOSE OF PROVIDING
FINANCING FOR THE EXPANSION AND RENOVATION
OF FACILITIES OF THE PULASKI COUNTY CHAPTER
OF THE AMERICAN NATIONAL RED CROSS;
AUTHORIZING A LOAN AGREEMENT BETWEEN THE
CITY OF LITTLE ROCK, ARKANSAS AND THE
PULASKI COUNTY CHAPTER OF THE AMERICAN
NATIONAL RED CROSS; AUTHORIZING THE SALE OF
THE BONDS; AUTHORIZING AND PRESCRIBING OTHER
MATTERS PERTAINING THERETO; AND DECLARING AN
EMERGENCY.
WHEREAS, the City of Little Rock, Arkansas (the
"City "), is authorized and empowered under the the Constitution
and laws of the State of Arkansas, including Act No. 974 of
1985, as amended (the "Act "), to issue revenue bonds and to
expend the proceeds thereof to finance the acquisition,
construction and installation of facilities which constitute
"capital improvements" as defined in the Act; and
WHEREAS, the Pulaski County Chapter of The American
National Red Cross (the "Chapter ") has requested that the City
issue its revenue bonds and make the proceeds thereof available
to defray the cost of the Project described below, and the
Project constitutes "capital improvements" within the meaning of
the Act ( the "Project ") ; and
WHEREAS, the Project consists of the construction and
equipping of an expansion, of approximately 30,000 square feet,
of the existing facilities of the Chapter and the renovation of
the existing facilities of the Chapter, including blood service
facilities (which include blood center, laboratory, distribution
and warehousing facilities) and Chapter headquarters facilities
(which include facilities for disaster relief, safety and
nursing and health services, and services to military families
and veterans) and related administrative and support facilities,
all of which are located in the City at 402 South Monroe Street;
and
WHEREAS, the aggregate principal amount of bonds to be
issued with respect to the project will be $2,500,000; and
WHEREAS, pursuant to and in accordance with the
provisions of the Act, the City is now prepared to proceed with
the issuance and sale of $2,500,000 in principal amount of its
Variable Rate Convertible Revenue Bonds (American National Red
Cross Project) (the "Bonds "), to provide such financing; and
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WHEREAS, copies of the hereinafter described Loan
Agreement have been presented to and are before the meeting at
which this Ordinance is considered;
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, and shall be
subject to redemption prior to maturity all upon the terms and
conditions to be set forth in the Loan Agreement (hereinafter
authorized) securing the Bonds. The Bonds shall bear interest
at the rates per annum and shall mature as set forth in the Loan
Agreement.
Section 2. That the Bonds be sold to a purchaser
recommended by Cain Brothers, Shattuck & Company, New York, New
York, which is the placement agent selected by The American
National Red Cross, for the purchase price of 100% of par.
Section 3. That to prescribe the terms and conditions
upon which the Bonds are to be executed, issued, accepted, held
and secured, the Mayor is hereby authorized and directed to
execute a Loan Agreement between the City and the Chapter,
acting on behalf of The American National Red Cross (the
"Agreement "), and the City Clerk is hereby authorized and
directed to execute the Agreement and to affix the seal of the
City thereto, and the Mayor and City Clerk are hereby authorized
and directed to cause the Agreement to be accepted and executed.
The Agreement is hereby approved in substantially the form
submitted to this meeting, and the Mayor is hereby authorized to
complete the Agreement in substantially the form submitted to
this meeting with such changes as shall be approved by the
persons executing the document, their execution to constitute
conclusive evidence of such approval.
Section 4. That the rights and interests of the City
under the Agreement_ are conveyed to the holders of the Bonds,
and the holders of the Bonds are the beneficiaries thereof and
are entitled to exercise and enjoy such rights and interests as
set forth in the Agreement. The provisions of this Section
constitute a contract with the holders of the Bonds.
Section 5. That the Mayor and 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 Agreement, the performance of any
obligations of the City under the Agreement, the issuance,
execution, sale and delivery of the Bonds, and _the performance
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of all acts of whatever nature necessary to effect and carry out
the authority conferred by this Ordinance. That the Mayor and
City Clerk be, and they are hereby, further authorized and
directed, for and on behalf of the City, to execute all
agreements, 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 Project and the Bonds are an
exceptional situation, in which the City has no responsibility
for the construction and equipping of the Project or the costs
of issuance of the Bonds, and, therefore, pursuant to applicable
laws of the State of Arkansas, including Act No. 99 of 1921, as
amended, competitive bidding is hereby 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
Agreement and such document shall be on file for inspection by
any interested person.
Section 8. That the law firm of Friday, Eldredge &
Clark, Little Rock, Arkansas, is 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.
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 Project, in order that the
Chapter may perform needed services to the public, which
services 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.
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PASSED: October 6 , 1987.
APPROVED:
ATTEST:
L / Assistant avor F. G. Villines
City lerk Ja( Czech
(SEAL)