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ORDINANCE NO. 129116
AN ORDINANCE AUTHORIZING THE ISSUANCE OF
GENERAL OBLIGATION BONDS FOR THE PURPOSE
OF DEVELOPING AND IMPROVING THE MUNICIPAL
AIRPORT BY THE CONSTRUCTION OF AN AIRPORT
TERMINAL AND AN AIR FREIGHT BUILDING AND
RELATED FACILITIES; LEVYING A TAX SUFFIC-
IENT TO PAY THE PRINCIPAL OF AND INTEREST
ON THE BONDS; PRESCRIBING OTHER MATTERS
RELATING THERETO; AND DECLARING AN EMER-
GENCY.
WHEREAS, the City of Little Rock, Arkansas is a City
of the First Class; and
WHEREAS, by Ordinance No. 12,007 duly passed by the
Board of Directors and approved on the 2nd day of January,
19682 there was submitted to the qualif ied. a lectors of the City
of Little Rock, Arkansas the question of the issuance of general
obligation bonds in the amount of Three Million Dollars
($3,000,000.00) for the purpose of developing and improving
the Municipal Airport by the construction of an airport terminal
and an air freight building and related facilities; and
WHEREAS, due notice of the election was given as required
by law and the election was duly held on the 14th day of February,
1968, at which election the electors approved the issuance of
bonds for said purpose; and
WHEREAS, the results of the election were announced by
the Mayor by a Proclamation duly published as required by law
in a newspaper of bona fide circulation in the City of Little
Rock, Arkansas; and
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WHEREAS, the said bonds were duly advertised for sale
for the time and in the manner required by law and as directed
by the Board of Directors of the City of Little Rock; and
WHEREAS, the said sale was duly held pursuant to the
said Notice of Sale on the 13th day of August, 1968, and at said
sale First National Bank of Memphis, Memphis, Tennessee; T. J.
Raney & Sons, Stephens, Inc., Hill, Crawford & Lanford, Inc.,
all of Little Rock, Arkansas; Equitable Securities, Morton & Co.,
Incorporated, of Nashville, Tennessee; Mercantile National Bank
at Dallas, Dallas, Texas; and Mercantile Trust Company N.A.,
St. Louis, Missouri, bid and offered the price of par and accrued
interest for bonds bearing interest at the rates as follows:
Bonds maturing in the years 1971 through 1982,
Inclusive,, at the rate of 5% per annum;
Bonds maturing in the years 1983 through 1991,
inclusive, at the rate of 4.40% per annum;
Bonds maturing in the year 1992, at the rate of
4% per annum; and
Bonds maturing in the years 1993 through 1995,
inclusive, at the rate of 3% per annum;
or at an average interest rate of 4.0611981% per annum, and
this bid conforming to the terms of the Notice of Sale and
being the best bid for said bonds, the bonds were sold to the
said bidders for said price;
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NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS
OF THE CITY OF LITTLE ROCK, ARKANSAS:
Section 1. That the sale to First National Bank of
Memphis, Memphis, Tennessee; T. J. Raney & Sons, Stephens, Inc.,
Hill, Crawford & Lanford, Inc., all of Little Rock, Arkansas;
Equitable Securities, Morton & Co., Incorporated, of Nashville,
Tennessee; Mercantile National Bank of Dallas, Dallas, Texas;
and Mercantile Trust Company N.A., St. Louis, Missouri,bid and
offered the price of par and accrued interest of General Obliga-
tion Airport Improvement Bonds of the City of Little Rock,
Arkansas in the principal amount of Three Million Dollars
($3,000,000.00) bearing interest for the maturities set forth
above be, and are hereby, approved and confirmed.
Section 2. That under the authority of the Constitution
and laws of the State of Arkansas, including particularly Amend-
ment No. 13 to the Constitution of the State of Arkansas, City
of Little Rock General Obligation Airport Improvement Bonds are
hereby authorized and ordered issued in the total principal
amount of $3,000,000.00 for the purpose of developing and improv-
ing the Municipal Airport by the construction of an airport
terminal and an air freight building and related facilities,
which principal amount of bonds includes necessary expenses
incidental to the completion of the authorized purpose and to the
issuance of bonds and includes an amount sufficient to pay inter-
est on the bonds until tax collections are available. The
bonds shall be dated February 1, 1968, and the interest thereon
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shall be payable semiannually on August 1 and February 1 of
each year commencing February 1,1969 (the first interest cou-
pon to be printed on each bond to,be coupon No. 2 payable
February 1, 1969). The bonds shall be in the denomination of
$5,000 each, shall bear interest at the rates, shall mature
serially, unless sooner redeemed in themanner hereinafter set
forth, on the first day of February in each of the years and in
the amounts set forth each year, in the following schedule:
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INTEREST
BOND NUMBERS
RATE
AMOUNT
MATURITY
(All Inclusive)
%
February 1,
1 - 20
5%
$100,000
1971
21 - 33
if
652000
1972
34 - 47
at
702000
1973
48 - 61
if
703,000
1974
62 - 76
'°
752000
1975
77 - 92
°'
802000
1976
93 - 109
"
852000
1977
110 - 127
°'
903000
1978
128 - 145
90,000
1979
146 - 164
'°
953,000
1980
165 - 184
if
1002000
1981
185 - 205
it
1052000
1982
206 - 227
4.40%
1103000
1983
228 - 250
it
1153000
1984
251 - 275
Y°
125,000
1985
276 - 301
1t
1302000
1986
302 - 328
if
1352000
1987
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Section 3. That the principal of and interest on the
bonds shall be payable in lawful money of the United States of
America upon presentation of the bond or proper coupon at the
principal office of Worthen Bank & Trust Company, Little Rock,
Arkansas.
Section 4. That the bonds shall be executed on behalf
of the City by the facsimile signature of the Mayor and by the
manual signature of the City Clerk and shall have impressed
thereon the seal of the City. Interest coupons attached to each
of the bonds may have the facsimile signature of the Mayor
of the City lithographed or printed thereon, which signature
shall have the same force and effect as if he had personally
signed each of:said coupons.
Section 5. That the bonds and coupons shall be in sub-
stantially the following form:
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MATURITY
BOND
NUMBERS
INTEREST
AMOUNT
February 1,
(All
Inclusive)
RATE
329
- 356
4.40%
$140,000
1988
357
- 386
°°
150,000
1989
387
- 417
"
1552000
1990
418
- 450
'°
165,000
1991
451
- 485
4%
1752000
1992
486
- 521
3%
1802000
1993
522
- 559
"
190,000
1994
560
- 600
"
205,000
1995
Section 3. That the principal of and interest on the
bonds shall be payable in lawful money of the United States of
America upon presentation of the bond or proper coupon at the
principal office of Worthen Bank & Trust Company, Little Rock,
Arkansas.
Section 4. That the bonds shall be executed on behalf
of the City by the facsimile signature of the Mayor and by the
manual signature of the City Clerk and shall have impressed
thereon the seal of the City. Interest coupons attached to each
of the bonds may have the facsimile signature of the Mayor
of the City lithographed or printed thereon, which signature
shall have the same force and effect as if he had personally
signed each of:said coupons.
Section 5. That the bonds and coupons shall be in sub-
stantially the following form:
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UNITED STATES OF AMERICA
STATE OF ARKANSAS
COUNTY OF PULASKI
CITY OF LITTLE ROCK
GENERAL OBLIGATION AIRPORT IMPROVEMENT BOND
No. $5,000.00
KNOW ALL MEN BY THESE PRESENTS:
That the City of Little Rock, in the County of Pulaski,
and State of Arkansas, acknowledges itself to owe and for value
received hereby promises to pay to bearer the sum of
FIVE THOUSAND DOLLARS
in lawful money of the United States of America on the first
day of February, 19 , and to pay interest thereon at the rate
of
per cent ( %) per annum from date,
semiannually on August 1 and February 1 of each year, upon pre-
sentation and surrender of the annexed coupons as they severally
become due.
Both principal of and interest on this bond are hereby
made payable at the principal office of Worthen Bank & Trust
Company, Little Rock, Arkansas.
This is oen of a series of six hundred (600) bonds,
aggregating Three Million Dollars ($3,000,000.00), dated
February 1, 1968, and numbered from one (1) to six hundred
(600), inclusive, all of like tenor and effect except as to
number, rate of interest, right of prior redemption, and
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maturity, and issued for the purpose of developing and improv-
ing the I:unicipal Airport of the City of Little Rock by the con-
struction of an airport terminal and an air freight building and
related facilities.
This bond and the series of which it forms a part are
issued pursuant to and in full compliance with the Constitution
and laws of the State of Arkansas, particularly Amendment No. 13
to the Constitution of the State of Arkansas, and pursuant to
ordinances and resolutions of the Board of Directors of the City
of Little Rock and an election duly held, at which a majority
of the legal voters "of said City voting on the question voted
in favor of the issuance of the bonds. This bond and the series
of which it forms a part are general obligations of the City of
Little Rock, Arkansas, payable from the proceeds of a special
tax levied by the Board of Directors under the authority of
Amendment No. 13 to the Constitution of the State of Arkansas,
and the City of Little Rock, Arkansas hereby pledges its full
faith, credit and taxing power, including the said special tax,
for the payment of this bond and the series of which it forms
a part. The special tax pledged to these bonds is as follows:
1.25 mills on the dollar of the assessed valuation of all tax-
able real and personal property in the City collected with the
taxes payable in 1969 and continuing annually thereafter until
all of the bonds and interest thereon have been paid in full.
The City has covenanted and agreed that all revenues
derived from said special tax in excess of the amount necessary
to insure the prompt payment of the principal of and interest on
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the bonds as they mature, and the Paying Agent's fees in connec-
tion therewith, must be used to call the bonds for payment prior
to maturity at the times and in the manner provided herein for
call and payment prior to maturity.
The bonds will be callable for payment prior to maturity
in inverse numerical order on any interest payment date from
surplus tax collections at par and accrued interest. They will
be callable on any interest payment date on and after February 1,
1977, from funds from any other source, at a price of the prin-
cipal amount of the bonds being redeemed plus accrued interest
to the date of redemption and plus a premium (expresed in
terms of a percentage of the principal amount being redeemed)
for the years hereinafter set forth, as follows:
3k% if redeemed February 1,
3% if redeemed February 1,
22% if redeemed February 1,
2% if redeemed February 1,
lk% if redeemed February 1,
1% if redeemed February 1,
1/2% if redeemed February 1
No premium thereafter.
1977 or August
1978 or August
1979 or August
1980 or August
1981 or August
1982 or August
1983 or Augus
1,
1,
1,
1,
1,
1,
t 1
1977;
1978;
1979;
1980;
1981;
1982;
1983;
Notice of the call for redemption shall be published by
the City Clerk or Finance Officer 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,
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which notice shall give the number and maturity of each bond
being called, and after the date fixed for redemption each bond
so called shall cease to bear interest provided funds for its
payment are on deposit with the Paying Agent at that time.
IT IS HEREBY CERTIFIED, RECITED AND DECLARED that all
acts, conditions and things required to exist, happen and be
performed, under the Constitution and laws of the State of
Arkansas, particularly Amendment No. 13 to the Constitution of
the State of Arkansas, precedent to and in the issuance of
this bond have existed, have happened and have been performed
in due time, form and manner as required by law; that the in-
debtedness represented by this bond and the issue of which it
forms a part, does not exceed any constitutional or statutory
limitation; and that a tax sufficient to pay the bond has been
duly levied in accordance with said Amendment No. 13 to the
Constitution of the State of Arkansas and made payable annually
until all of the bonds and interest thereon have been fully paid
and discharged.
This bond shall not be valid until it shall have been
authenticated by the certificate hereon duly signed by Worthen
Bank & Trust Company, Little Rock, Arkansas.
IN WITNESS WHEREOF, the City of Little Rock, Arkansas,
by its Board of Directors, has caused this bond to be executed
by its Mayor by his facsimile signature and signed by its City
Clerk and sealed with the corporate seal of the said City, and
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has caused the coupons hereto attached to be authenticated by
the facsimile signature of its Mayor, all as of the first day
of February, 1968.
ATTEST:
City Clerk
(S EA L)
CITY OF LITTLE ROCK, ARKANSAS
FORM OF COUPON
Mayor
No. $
August,
On the first day of 19 , the City o f Little
February,
Rock, Pulaski County, Arkansas, unless the bond to which this
coupon is attached is paid prior thereto, hereby promises to pay
to bearer
Dollars ($ ) in lawful
money of the United States of America at the principal office of
Worthen Bank & Trust Company, Little Rock, Arkansas, being six
(6) months' interest then due on its General Obligation Airport
Improvement Bond, dated February 1, 1968, and numbered.
CITY OF LITTLE ROCK, ARKANSAS
By:
Mayor
On each bond shall appear the following:
C E R T I F I C A T E
This is to certify that this is one of the six hundred
(600) bonds of the issue mentioned and described within.
Little Rock, Arkansas
WORTHEN BANK & TRUST COMPANY
Little Rock, Arkansas
By:
Authorized Signature
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Section 6. That in order to pay the bonds as they
mature with interest thereon, there is hereby levied on all tax-
able personal and real property within the City of Little Rock,
Arkansas a tax of 1.25 mills on each dollar of assessed valua-
tion to be collected with the taxes collected in the year 1969,
which tax of 1.25 mills on each dollar of assessed valuation
shall continue annually thereafter until all of the bonds
authorized hereby and interest thereon have been paid in full,
which will be sufficient to pay the principal of and interest
on said bonds as they mature, with five per cent (5 %) added
for unforeseen contingencies; and the City Clerk is directed to
transmit a certified copy of this Section of this Ordinance to
the County Clerk of Pulaski County, to the end that said tax
may be extended on the tax books of said County and collected
along with other taxes collectible in the year 1969 and annually
thereafter until the said bonds and the interest thereon have
been paid in full. The City covenants and agrees that all
revenues from said special tax shall be deposited when received
in a special fund ;which is hereby created and designated "1968
General Obligation Bond Sinking Fund" (hereinafter called
"Sinking Fund ") to be carried in such depository or depositories
as may be designated from time to time by the Board of Directors,
and shall be used solely for the payment of the principal of and
interest on the bonds, the Paying Agent's fees, and cost of
redemption either at maturity or at redemption prior to maturity,
and that all revenues dervied from said special tax in excess of
that amount necessary to insure the prompt payment of the
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principal of and interest on the bonds as they mature and the
Paying Agent's fees in connection therewith must be used to call
the bonds for payment prior to maturity at the times and in t he
manner provided herein for call and payment prior to maturity.
Section 7. That for the prompt payment of the bonds
of this issue with interest, the City of Little Rock, Arkansas
hereby pledges it full faith, credit and taxing power, includ-
ing the tax levied in Section 6.
Section 8. That in order to pay the principal of and
interest on the bonds as they mature, there are hereby appro-
priated out of the proceeds of the above referred to special tax,
and if said proceeds be not sufficient, then out of the general
revenues of the City, the sums necessary to pay promptly the
principal of and interest on the bonds as they mature according
to the following schedule;
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YEAR
PRINCIPAL
AMOUNT.
INTEREST
TOTAL
February 1,
August 1,
1969
$64,700.00
$64,700.00
$129,400.00
1970
64,700.00
64,700.00
129,400.00
1971
$100,000
643700.00
62,200.00
2263900.00
1972
65,000
623200.00
602575.00
187,775.00
1973
70,000
60,575.00
589825.00
189,400.00
1974
703,000
58,825.00
57,075.00
185,900.00
1975
75,000
572075.00
55,200.00
187,275.00
1976
80,000
553,200.00
53,200.00
1883,400.00
1977
85,000
53,200.00
512075.00
189,275.00
1978
90,000
512075.00
485825.00
189,900.00
1979
90,000
48,825.00
46,575.00
1852400.00
1980
952000
462575.00
442200.00
185,775.00
1981
100,000
44,200.00
41,700.00
185,900.00
1982
105,000
41,700.00
392075.00
185,775.00
1983
1102000
395,075.00
363,655.00
185,730.00
1984
1152000
36,655.00
342125.00
1852780.00
1985
1252000
34,125.00
31,375.00
190,500.00
1986
130,000
31,375.00
28,515.00
1891890.00
1987
1352000
282515.00
253,545.00
1891060.00
1988
1402000
252545.00
22,465.00
188,010.00
1989
1505000
22,465.00
192165.00
1912630.00
1990
155,000
19,165.00
15,755.00
189,920.00
1991
165,000
152755.00
12,125.00
192,880.00
1992
175,000
12,125.00
82625.00
1952750.00
1993
1802000
83625.00
5,925.00
1942550.00
1994
190,000
59925.00
3,075.00
1995,000.00
1995
205,000
3,075.00
- - -
208,075.00
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Section 9. That the bonds of this issue shall be call-
able for payment prior to maturity in accordance with the terms
set out in the face of the bond form in Section 5 of this ordin-
ance.
Section 10. That the Treasurer or Finance Officer
of the City of Little Rock, Arkansas is hereby ordered and
directed to place on deposit with Worthen Bank & Trust Comprany,
Little Rock, Arkansas, the Paying Agent, at leastfive (5) days
before the maturity date of any bond or interest coupon issued
hereunder, an amount from the funds herein appropriated equal
to the amount of such bonds or coupons, for the sole purpose of
paying the same, together with the customary Paying Agent's fee.
This instruction to the Treasurer and Finance Officer is irrevocable
and may be enforced by mandamus.
Section 11. That Worthen Bank & Trust Company, Little
Rock, Arkansas, is designated as Paying Agent. The holders of
a majority in value of the outstanding bonds at any time may
by an instrument duly executed and recorded inthe office of
the City Clerk appoint a new paying agent, who shall have all of
the powers of the paying agent originally named, and the Paying
Agent herein named may resign at any time upon ten (10) days'
notice in writing mailed to the City Clerk. In the eventof a
vacancy in the office of paying agent and the failure of the holders
of a majority in value of the outstanding bonds to take the
necessary action to appoint a new paying agent within thirty
(30) days after such vacancy occurs, the City shall forthwith
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designate a new paying agent.
Section 12. That if default is made and continues
for thirty (30) days in the payment of any interest coupon,
the holder of the bond to which it is attached may declare the
same immediately due and payable, and the failure of the holder
to exercise this option upon any default shall not be a waiver
of his right to exercise the option upon any subsequent de-
fault.
Section 13. That When the bonds herein authorized
have been executed by the Mayor and City Clerk and the seal of
the City impressed as herein provided, they shall be delivered
to Worthen B.�.nk & Trust Company, Little Rock, Arkansas, which
shall authenticate and deliver them to the said purchasers,
or order, upon payment in cash of the purchase price of
$3,000,000 plus accrued interest from August 1, 1968, to date
of delivery. From the proceeds of the sale of the bonds, there
shall be deposited in the Sinking Fund the accrued interest.
The balance of the proceeds shall be deposited in an account
designated '1968 General Obligation Airport Improvement Con-
struction Fund" (hereinafter called "Construction Fund ") and
shall be used solely for the purposes hereinabove specified,
for necessary expenses incidental thereto, and for the expenses
of the issuance of the bonds. The City may invest and reinvest
the moneys on deposit in the Construction Fund in any securities
constituting authorized investments for municipal funds under
the laws of the State of Arkansas having maturity dates, or subject
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to redemption by the holder, on or before the dates the moneys
so invested will be needed for the purposes for which the said
moneys may be expended. Interest earned by investments of the
Construction Fund may be used by the City for any municipal purpose.
Section 14. That the terms of this ordinance shall
constitute a contract between the City of Little Rock, Arkansas
and the holder or holders of the bonds and no variation or change
in the undertakings heroin set forth shall be made while any of
these bonds are outstanding and the holder of any bonds may at
any time for and on his own behalf or for and on behalf of all
bondholders en:orce the obligations of the City by a proper suit
for that purpose.
Section 15. That the provisions of this ordinance
are separable and in the event that any section or part hereof
shall be held to be in, -alid, such invalidity shall not affect
the remainder of this ordinance.
Section 16. That all ordinances and resolutions and
parts thereof in conflict herewith are hereby repealed to the
extent of such conflict.
Section 17. That this ordinance shall not create any
right of any character and no right of any character shall
arise under or pursuant to it until the bonds authorized by
this ordinance shall be issued and delivered.
Section 18. It is ascertained and declared that the
municipal airport of the City of Little Rock is presently inade-
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quate to meet the air service needs of the inhabitants of the
City, that in particular the airport lacks an adequate terminal
building and air freight building and related facilities, that
on account thereof the safety and health of the inhabitants of
the City of Little Rock are jeopardized and that only by action
made possible by this Ordinance can the City undertake to con-
struct and develop additional airport facilities and to promote
the safety, health, and welfare of its citizens. IT IS, THERE
FORE, declared that an emergency exists, that this Ordinance
is necessary for the immediate preservation of the public peace,
health and safety, and that this Ordinance shall take effect
and be in force from and after its adoption.
PASSED
ATTEST
August 19 , 1968.
♦TTT V1TiT
L'LGi.7 V i
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City Clerk
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