HomeMy WebLinkAbout18085E
ORDINANCE NO. 18,085
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AN ORDINANCE PROVIDING FOR THE ISSUANCE AND SALE OF A SERIES OF
LIBRARY REFUNDING BONDS AND A SERIES OF LIBRARY IMPROVEMENT
AND REFUNDING BONDS FOR THE PURPOSE OF REFUNDING OUTSTANDING
LIBRARY CONSTRUCTION AND IMPROVEMENT BONDS AND FUNDING
CONSTRUCTION AND CAPITAL IMPROVEMENT PROJECTS; PLEDGING TAX
REVENUES SUFFICIENT TO PAY THE PRINCIPAL OF AND INTEREST ON THE
BONDS; AUTHORIZING THE EXECUTION AND DELIVERY OF A MASTER
TRUST INDENTURE AND SUPPLEMENTAL TRUST INDENTURES;
AUTHORIZING THE ACCOMPLISHMENT OF THE PROJECTS; APPROVING AN
OFFICIAL STATEMENT; PRESCRIBING OTHER MATTERS RELATING THERETO;
AND DECLARING AN EMERGENCY.
WHEREAS, at the general election held November 3, 1998, there was submitted to the voters of the
City of Little Rock (the "City ") the question of issuing bonds of the City (the `Bonds ") in the maximum
principal amount of $19,500,000 to refund an outstanding issue of capital improvement bonds and to
finance the cost of acquiring, constructing and equipping additional capital improvements to the public
libraries operated by the City and the Central Arkansas Library System ( "CALS ") to be payable from a
continuing annual ad valorem property tax to be levied at a new rate of 1.0 mill on the dollar of the assessed
valuation of taxable real and personal property in the City; and
WHEREAS, the voters approved the issuance of the Bonds by a vote of 26,914 votes FOR and
15,844 votes AGAINST; and
WHEREAS, the City intends to advance refund the City of Little Rock, Arkansas Library
Construction and Improvement Bonds, Series 1994 which were issued in the original principal amount of
$17,000,000 (the "Series 1994 Bonds') from proceeds of the Series 1999A Bonds; and
WHEREAS, the City and CALS intend to fund the following projects with the proceeds of the
Series 1999B Bonds:
(1) Renovation of the Main Library and Terry Library;
(2) Restoration of the Cox Building;
(3) Construction of a new library in southwest Little Rock;
(4) Prepayment of a lease with the Arkansas Aviation Historical Society;
(5) Landscaping improvements at three branches;
(6) Purchase of land in west Little Rock for future construction;
(7) Enhancing CALS collection of books, videos, etc.;
(8) Upgrading the computer system;
(9) Purchase of a new delivery van; and
(10) Accomplishing other projects which CALS' Board of Directors deems appropriate;
(collectively, the "Project" or "Projects ") and to currently refund the City of Little Rock, Arkansas
Residential Housing and Public Facilities Board Capital Improvement Revenue Bonds (Central Arkansas
Library System Project), Series 1997 which was in the original principal amount of $800,000 (the "Series
1997 Bonds ") (collectively with the refunding of the Series 1994 Bonds, the "Refunding "); and
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WHEREAS, the estimated costs of the Projects and Refunding, including costs of issuing the Series
1999A Bonds and Series 1999B Bonds will not exceed $10,000,000; and
WHEREAS, the Board of Directors has covenanted to levy in 1999 for collection in 2000, and
covenants to levy in subsequent years, an ad valorem property tax at the rate of 1.0 mill on the dollar of the
assessed valuation of taxable real and personal property in the City (the "Library Tax ") to be used to pay
debt service on the Bonds; and
WHEREAS, in order to serve and fulfill the purposes for which it has been created and to provide
funds for the financing of the Refunding and the Projects, the City desires to adopt this Ordinance
authorizing the issuance and sale of the Series 1999A and Series 1999B Bonds and other matters pertaining
thereto.
NOW, THEREFORE, BE IT ORDAINED by the Board of Directors of the City of Little Rock,
Arkansas:
Section 1. The Projects and Refunding shall be accomplished. The Mayor, City Clerk, and
Director of Finance and Treasurer are hereby authorized to take or cause to be taken all action necessary to
accomplish the Refunding and the acquisition, construction and equipping of the Projects and to execute all
required documents.
Section Z Under the authority of the Constitution and laws of the State of Arkansas, including
particularly Amendment No. 30 to the Constitution of the State of Arkansas, as amended by Amendment
No. 72 to the Arkansas Constitution, and Arkansas Code Annotated §§ 14- 142 -201 through 222 (Act 920 of
the Acts of Arkansas of 1993), the City of Little Rock, Arkansas Library Refunding Bonds, Series 1999A
and the City of Little Rock, Arkansas Library Improvement and Refunding Bonds, Series 1999B, are hereby
authorized and ordered issued in the total aggregate principal amount of not to exceed $10,000,000, for a
term not to exceed 30 years and at an average interest rate of all bonds issued of not to exceed six percent
(6.0 %). The Series 1999A and Series 1999B Bonds shall not be general obligations of the City, but shall be
special obligations payable solely from the proceeds of the Library Tax, more specifically identified in the
Master Trust Indenture, as supplemented and amended, and the Supplemental Indentures (identified
hereinafter).
Section 3. The proceeds of the Series 1999A Bonds, together with investment earnings thereon,
shall be used (i) to advance refund the Series 1994 Bonds; and (ii) to pay the costs of issuance of the Series
1999A Bonds. The proceeds of the Series 1999B Bonds, together with investment earnings thereon, shall
be used (i) to finance the Projects; (ii) to currently refund the Series 1997 Bonds; and (iii) to pay the costs of
issuance of the Series 1999B Bonds.. The Series 1999A Bonds and the Series 1999B Bonds, respectively,
will mature, bear interest and be subject to redemption in accordance with the provisions of the
Supplemental Indentures (identified hereinafter). The Series 1999A Bonds and the Series 1999B Bonds will
be issued on a panty of security with one another, and with such additional bonds, if any, to be issued under
the Master Trust Indenture (identified hereinafter).
Section 4. All actions heretofore taken by the Mayor, City Clerk, and Director of Finance and
Treasurer in connection with the offering of the Series 1999A and Series 1999B Bonds, including the
preparation and distribution of the Preliminary Official Statement, preparation of the Official Statement, and
preparation of this Ordinance (the "Authorizing Ordinance ") are hereby in all respects ratified and approved.
The Official Statement is deemed a final Official Statement for purposes of the Securities and Exchange
Commission Rule 15(c) 2 -12. The Official Statement of the City in the form presented at this meeting with
such changes, omissions, insertions and revisions as the Mayor, City Clerk, and Director of Finance and
Treasurer shall deem advisable is hereby authorized and approved, and the Director of Finance and
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Treasurer shall sign and deliver such final Official Statement to the Underwriters for distribution tbt the '
owners of the bonds and other interested persons.
Section 5. The appointment of BNY Trust of Missouri ("Escrow Trustee ") as Escrow Trustee for
the Series 1994 Bonds is hereby approved.
Section 6. To prescribe the terms and conditions upon which the Bonds authorized by the voters at
the November 3, 1998 general election are to be executed, issued, accepted, held and secured, the Mayor is
hereby authorized and directed to execute and acknowledge a Master Trust Indenture between the City and
the Trustee, and the City Clerk is hereby authorized and directed to execute and acknowledge the Master
Trust Indenture and to affix the seal of the City thereto, and the Mayor and City Clerk are hereby authorized
and directed to cause the Master Trust Indenture to be accepted, executed and acknowledged by the Trustee.
The Master Trust Indenture is hereby approved in substantially the form submitted to this meeting.
Section 7. To prescribe the terms and conditions upon which the Series 1999A Bonds are to be
executed, issued, accepted, held and secured, the Mayor is hereby authorized and directed to execute and
acknowledge a Supplemental Trust Indenture (the "1999A Supplemental Trust Indenture ") between the City
and the Trustee, and the City Clerk is hereby authorized and directed to execute and acknowledge the
1999A Supplemental Trust Indenture and to affix the seal of the City thereto, and the Mayor and City Clerk
are hereby authorized and directed to cause the 1999A Supplemental Trust Indenture to be accepted,
executed and acknowledged by the Trustee. The 1999A Supplemental Trust Indenture is hereby approved
in substantially the form submitted to this meeting with such changes as shall be approved by such persons
executing the document, their execution to constitute conclusive evidence of such approval.
Section 8. To prescribe the terms and conditions upon which the Series 1999B Bonds are to be
executed, issued, accepted, held and secured, the Mayor is hereby authorized and directed to execute and
acknowledge a Supplemental Trust Indenture (the "1999B Supplemental Trust Indenture ") between the City
and the Trustee, and the City Clerk is hereby authorized and directed to execute and acknowledge the 1999B
Supplemental Trust Indenture and to affix the seal of the City thereto, and the Mayor and City Clerk are
hereby authorized and directed to cause the 1999B Supplemental Trust Indenture to be accepted, executed
and acknowledged by the Trustee. The 1999B Supplemental Trust Indenture is hereby approved in
substantially the form submitted to this meeting with such changes as shall be approved by such persons
executing the document, their execution to constitute conclusive evidence of such approval.
Section 9. The Mayor, the City Clerk, the City Director of Finance and Treasurer, and CALS, for
and on behalf of the City, are authorized and directed to do any and all things necessary to effect the
execution and delivery of the Master Trust Indenture, the 1999A Supplement Trust Indenture, and the
1999B Supplemental Trust Indenture, the performance of all obligations of the City under the Master Trust
Indenture, the 1999A Supplemental Trust Indenture and the 1999B Supplemental Trust Indenture, the
issuance, execution, sale and delivery of the Bonds, including the execution of a Bond Purchase Agreement
between the City and the Underwriters, and the performance of all acts of whatever nature necessary to
effect and carry out the authority conferred by this Ordinance. The Mayor, City Clerk, the City Director of
Finance and Treasurer, and CALS are further authorized and directed, for and on behalf of the City, to
execute all papers, documents, certificates and other instruments that may be required for the carrying out of
such authority or to evidence the exercise thereof.
Section 10. The appointments of Wright, Lindsey & Jennings LLP as Bond Counsel and of
Stephens Inc. as Underwriters representatives, respectively, are hereby approved and ratified.
Section 11. It is hereby found and declared that an immediate need exists for the Refunding and the
accomplishment of the Projects in order to achieve the most cost effective financing for the City's public
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libraries. It is, therefore, declared that an emergency exists. 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: August 3, 1999
ATTEST:
ROBBIE HANCOCK, CITY CLERK
APPROVED AS TO FORM:
THOMAS M. CARPENTER
CITY ATTORNEY
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APPROVED:
40
JIM EY, MAYOR