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HomeMy WebLinkAbout18085E ORDINANCE NO. 18,085 0 S7 i 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 82007 -vi 0 0 578 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 82007 -v1 2 • 0 ,"I �1. 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 82007 -v) 3 0 0 580 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 azoo7-vi APPROVED: 40 JIM EY, MAYOR