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HomeMy WebLinkAbout2178 e RESOLUTION NO. 2178 A RESOLUTION AUTHORIZING THE PUBLICATION OF THE NOTICE OF SALE OF THE LIBRARY IMPROVEMENT BOND ISSUE. WHEREAS , the electors of the City of Little Rock, Arkansas, at the general election held on November 5, 1957, approved an issue of 51, 29 ,000 in general obligation library improvement bonds to be issued under the authority of Amendment No. 13 to the Constitution of the State of Arkansas , and said Amendment requires that the bonds be sold at public sale after twenty days' advertisement in some newspaper having a bona fide circulation in the municipality issuing the bonds; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF CITY DIRECTORS OF THE CITY OF LITTLE ROCK, ARKANSAS: SECTION 1. That the date for receiving bids for the library improvement bond issue be and the same is hereby set for the 6th day of January, 1958, and that the Mayor and the City Clerk are hereby authorized and directed to publish in the Arkansas Democrat, a newspaper published in and having a bona fide circulation in the City of Little Rock, Arkansas, a notice of sale of said bonds, and that in addition to the local publication they are hereby instructed to publish the notice one time in The Weekly Bond Buyer, a financial journal with national circulation; and that said notice shall be in substantially the following form: NOTICE OF BOND SALE OF THE CITY OF LITTLE ROCK, ARKANSAS $1,295,000 GENERAL OBLIGATION LIBRARY IMPROVEMENT BONDS Notice is hereby given that the City of Little Rock, Arkansas, will offer for sale at a public sale for cash to the highest bidder a proposed issue of S1, 295,000 General Obligation Library Improvement Bonds to be dated as of January 1, 1958, interest payable semi-annually on February 1 and August 1, and to mature serially on February 1 of each year as follows: $42, 000 in 1961 $65,000 in 1971 Y1 ,000 in 1962 67,000 in 1972 46,000 in 1963 70,000 in 1973 48 ,000 in 1964 73,000 in 1974 50,000 in 1965 77,000 in 1975 52,000 in 1966 80,000 in 1976 54, 000 in 1967 83,000 in 1977 56, 000 in 1968 86, 000 in 1978 59,000 in 1969 89,000 in 1979 62, 000 in 1970 92, 000 in 1980 These bonds were overwhelmingly approved by the electors of the City at the General Election held on November 5, 1957, and under the authority of Amendment No . 13 to the Constitution of the State of Arkansas the City will pledge for their payment a levy of Three-fourths (3/4) of one mill upon all taxable property in the City to be collected in the year 1958, and a levy of One and One-fourth ( 1 1/4) mills to be collected beginning with the year 1959, annually until all of the bonds and interest of the proposed issue are paid in full. The assessed valuation of the taxable property in the City during 1956 was $86, 261,497.00. A recent reassessment of all real property in Little Rock has been completed, however the final figure will not be available until January 1958 . It is expected that the assessed valuation of taxable property in Little Rock will be increased by Twenty-five per cent ( 25%) thereby increasing the total for 1957 to $107,826,867.00. Each bidder may use not more than three interest rates in his bid and he is requested to state the average interest rate upon which his bid is based, and to state the interest rates used in determining the average and the maturities in which the interest rates are fixed, provided that not more than one interest rate shall be used in any one maturity. By the terms of the ordinance and the ballot, the interest rate must be acceptable to the Board of Directors of the City and may be subject to conversion at the option of the City, upon such terms as the City may specify. Bidders who so desire may submit bids in alternate terms, namely, with or without the privilege of conversion. If the right of conversion is exercised, the average maturity of • the issue must not be shortened more than Nine ( 9) months and the average interest rate of the conversion must not be over Three-fourths of One per cent (3/4 of 1%) less than the average interest rate of the bid before con- version. The sale of the bonds will be to the bidder whose bid results in the lowest net interest cost to the City after deducting the premium, if any, included in the bid. The bonds will be callable for payment prior to maturity in inverse numerical order at par and accrued interest from surplus tax collections on any interest paying date on and after February 1, 1961. Each bidder shall also state the conditions under which prepayment of the bonds with funds from other sources will be allowed, such prepayment to be not prior to February 1, 1961. No bid will be considered for less than par and accrued interest upon the average rate submitted. The successful bidder may name the trustee and the place of payment for the bond issue . The City will furnish the printed bonds and a complete transcript of the proceedings authorizing the issue, and will pay the cost of printing the bonds and the trustee' s fee, and will furnish the unqualified approving opinion of Townsend & Townsend, bond counsel, of Little Rock, Arkansas . The sale will be held upon sealed bids at 7:30 o' clock P .M. , Central Standard Time, on the 6th day of January, 1958, in the Council Chamber in the City Hall in Little Rock, Arkansas . Each bid shall be enclosed in a sealed envelope marked on the outside "Proposal for City of Little Rock, Arkansas, General Obligation Library Improvement Bonds" addressed to the City Clerk and Finance Officer, City Hall, Little Rock, Arkansas . At the hour set for the sale all bids will be publicly opened and read, and the City reserves the right to reject any and all bids . A good faith check in the amount of $26,000, either in favor of or endorsed to the order of the City of Little Rock, certified by a bank that is a member of the Federal Reserve System, shall be filed by each bidder with his bid. No interest will be paid upon good faith checks but the checks of unsuccessful bidders will be returned promptly. For further information, address the City Clerk of the City of Little Rock. GIVEN by order of the Board of City Directors this 2nd day of December, 1957. Mayor City Clerk Of the City of Little Rock, Arkansas SECTION 2. That this resolution shall take effect and be in force from and after its adoption. ADOPTED: December 2, 1957 ATTEST: APPROVED: pAll City Clerk Mayor