Loading...
HomeMy WebLinkAbout14127ORDINANCE NO. 14,127 AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS UNDER ACT NO. 9 OF 1960, AS AMENDED, FOR THE PURPOSE OF PROVIDING PERMANENT FINANCING FOR THE COST OF SECURING AND DEVELOPING INDUSTRY (THE PARTICULAR INDUSTRIAL PROJECT IS DESCRIBED IN THE ORDINANCE); AUTHORIZING THE EXECUTION AND DELIVERY OF A TRUST INDENTURE SECURING THE BONDS; AUTHORIZING AND PRESCRIBING CERTAIN OTHER MATTERS PERTAINING TO THE INDUSTRIAL PROJECT, THE CONSTRUCTING THEREOF AND THE FINANCING THEREOF; AUTHORIZING A LEASE AGREEMENT BETWEEN THE CITY OF LITTLE ROCK, AS LESSOR AND WESTPARK DEVELOPMENT COMPANY, AS LESSEE, IN SUBSTANTIALLY THE FORM AND WITH SUBSTANTIALLY THE CONTEN'T'S SET FORTH IN AND MADE A PART OF THIS ORDINANCE; AUTHORIZING THE EXECUTION AND DELIVERY OF THE LEASE AGREEMENT; PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN EMERGENCY. WHEREAS, the City of Little Rock, Arkansas (the "City ") is authorized by Act No. 9 of the First Extraordinary Session of the Sixty- Second General Assembly of the State of Arkansas, approved January 21, 1960, as amended ( "Act No. 9 "), to acquire lands, construct and equip industrial buildings, improvements, and facilities and to incur other costs and expenses and make other expenditures incidental to and for the implementing and accomplisning of the conduct of industrial operations; and WHEREAS, the City is authorized by Act No. 9 to issue industrial development revenue bonds payable from revenues derived from the industrial project so acquired and constructed and secured by a lien thereon and security interest therein; and WHEREAS, the necessary arrangements nave been made with WestparK Development Company, an Arkansas general partnership ( "Westpark Development Company "), for a substantial industrial project consisting of the acquisition, construction and equipping of facilities which will be utilized as a warenouse, and such other operations as Westpark Development Company shall elect (the "Project "), and to lease the Project to WestparK Development Company pursuant to the terms of a Lease Agreement (the "Lease Agreement "); and WHEREAS, permanent financing of the Project costs, necessary costs and expenditures incidental thereto and the cost of the issuance of bonds is being furnished by the City issuing Industrial Development Revenue Bonds under the provisions of Act No. 9 of the principal amount of not to exceed One Million Three Hundred Eiqhty -Five Thousand Dollars ($1,385,000) (the "Bonds ") ; and WHEREAS, the completion of the Project will furnish additional employment and other benefits, and be in the best interests of the City and its residents; and WHEREAS, the Bonds are to be sold and delivered in the principal amount of $1,385,000, and are dated, bear interest, mature and are subject to redemption as hereinafter set forth in the form of Indenture authorized by this Ordinance; and WHEREAS, the City proposes to enter into a Bond Purchase Contract with Bank of Ozark, of Ozark, Arkansas for the sale to it of said Bonds; NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY OF LITTLE ROCK, ARKANSAS: Section 1. That there be, and there is hereby authorized and directed the following: (a) The sale of the Bonds for the price of par plus accrued interest to date of delivery, according to the terms of said Bond Purchase Contract which Contract is hereby approved and authorized to be executed by the Mayor and City Clerk on behalf of the City at the request of Westpark Development Company; (b) The acquisition and construction of the Project, and in connection therewith, the execution of any necessary architectural, engineerinq or construction contracts or the acceptance of an assignment of any such contracts previously executed by Westoark Development Company for the construction and equippinq of the Pro iect ; and (c) The performance of all obliqations of the City under the Lease Agreement pertaining to the constructing and equipping of the Project and the performance of all obligations of the City under the contracts referred to above. Section 2. The Bonds shall bear interest at a rate determined in accordance with the terms of the Indenture identified below, subject to adjustment semi - annually, shall mature serially on November 1 in the years 1983 to 2012, inclusive, and shall be in the oriqinal principal amount of $1,385,000. To provide the terms and conditions upon -2- i which the Bonds are to be secured, executed, authenticated, issued, accepted and held, the Mayor is hereby authorized and directed to execute and acknowledge a Trust Indenture, by and between the City and a bank or trust company which will act as trustee thereunder, dated as of November 1, 1981 (the "Indenture "), and the City Clerk is hereby authorized and directed to execute and acknowledge the Indenture and to affix the seal of the City thereto, and the Mayor and City Clerk are hereby authorized and directed to cause the Indenture to be accepted, executed and acknowledged by the Trustee. The Indenture is hereby approved in substantially the form submitted to this meeting, and the Mayor is hereby authorized to confer with the Trustee, the Company and the Purchaser in order to complete the Indenture 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. (Advice is given that, pursuant to Act No. 9, a copy of the Indenture in substantially the form authorized to be executed is on file with the City Clerk of the City of Little Rock, and is available for inspection by any interested person.) Section 3. That there be, and there is hereby authorized the execution and delivery of a Lease Agreement, dated as of November 1, 1981, by and between the City as Lessor and Westpark Development Company as Lessee (the "Lease Agreement "), and the Mayor and City Clerk be, and they are hereby authorized to execute, acknowledge and deliver the Lease Agreement for and on behalf of the City. The Lease Agreement is hereby approved substantially in the form submitted to this meeting, and the Mayor is hereby authorized to confer with Westpark Development Company, the Trustee and the Purchaser in order to complete the Lease Agreement 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. (Advice is given that, pursuant to Act No. 9, a copy of the Lease Agreement in substantially the form authorized to be executed is on file with the City C1erK of the City of Little Rock, and is available for inspection by any interested person.) Section 4. 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 of the Lease Agreement, the performance of the City's obligations under the Lease Agreement, the execution and delivery of the Indenture, its execution and acceptance by the Trustee, the -3- ti G performance of all obligations of the City under and pursuant to the Indenture, the execution and delivery of the Bond Purchase Agreement, the execution and delivery of the Bonds, the execution and delivery of an official statement in form and substance satisfactory to said officers and the purchaser of the Bonds, and the performance of all other acts of whatever nature necessary to effect and carry out the authority conferred by this Ordinance. That the Mayor and the City Clerk be, and they are hereby, 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 5. That since the City is here involved with the constructing and equipping of a complex industrial project, requiring highly specialized work and specialized types of machinery and equipment, it nas been and is hereby determined by the Board of Directors that competitive bidding be, and the same is hereby, waived as to this particular industrial project. This action is taken by the Board of Directors pursuant to applicable laws of the State of Arkansas, including particularly Act No. 9. Section 6. Rose Law Firm, a Professional Association, of Little Rock, Arkansas, is hereby appointed as Bond Counsel with respect to the issuance of said bonds, the fees and expenses of which firm shall be costs of the Project. Section 7. That the provisions of this Ordinance are hereby declared to be severable, and if any section, phrase or provision shall for any reason be declared to oe invalid, such declaration shall not affect the validity of the remainder of the sections, phrases or provisions. Section 8. That all ordinances, resolutions and parts thereof in conflict herewith are hereby repealed to the extent of such conflict. Section 9. That there is hereby found and declared to be an immediate need for the securing and developing of substantial industrial operations in order to provide additional employment, alleviate unemployment and otherwise 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 herein are immediately necessary in connection witn the securing and developing of substantial industrial operations and deriving the public benefits referred to above. It is, therefore, declared that an emergency exists and this Ordinance -4- being necessary for the immediate preservation of the public health, safety and welfare shall be in force and take effect immediately upon and after its passage. DATED: October 6 , 1981. ATTEST: rW*Ij 5r 22, , olow"K, (S E A L) -5- MAYOR