HomeMy WebLinkAbout4026 RESOLUTION NO. 4, 026
RESOLUTION AUTHORIZING SALE OF CITY OF LITTLE
ROCK GENERAL OBLIGATION AIRPORT IMPROVEMENT
BONDS, DATED FEBRUARY 1, 1968
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF LITTLE
ROCK, ARKANSAS :
Section 1. That the City Clerk of this City be required
to publish in some newspaper published in the City of Little
Rock, Pulaski County, Arkansas, and having a bona fide circula-
tion therein, the following notice, which shall be published
once a week until the day fixed for sale, the first publication
to be at least twenty (20) days before the date of said sale :
NOTICE OF SALE
$3 ,000,000
CITY OF LITTLE ROCK, ARKANSAS GENERAL OBLIGATION
AIRPORT IMPROVEMENT BONDS , DATED FEBRUARY 1 , 1968
Notice is hereby given that the City of Little Rock, Arkansas ("City")
will sell for cash on sealed bids at the time and place specified below
$3, 000,000 in principal amount of General Obligation Airport Improvement ,
Bonds, dated February 1, 1968 ("bonds") , which are being issued for the purpose
of developing and improving the municipal airport by the construction of an air-
port terminal building and an air freight building and related facilities
("improvements") .
The bonds are being issued under the provisions of and pursuant to,
the authority contained in Amendment No. 13 to the Constitution of the State of
Arkansas . The bonds will be general obligations of the City secured by the full
faith, credit and taxing power of the City under Amendment No. 13, including a
continuing annual tax of 1-1/4 mills on the dollar of the assessed valuation of
the taxable real and personal property in the City. In this regard, the assessed
valuation of the taxable real and personal property in the City for the year 1967,
the latest assessment of record, is $196,517, 786, and the City will covenant to
levy and collect each year the 1-1/4 mill continuing tax on the entire assessed
valuation of the taxable real and personal property in the City until the principal
of and interest on the bonds has been paid in full.
The issuance of the bonds has been approved by the electors of the
City at a special election called for the purpose and held on the 14th day of
February, 1968 ,
The bonds will be dated February 1 , 1968, interest thereon will
be payable semiannually on February 1 and August 1 of each year, commencing
August 1 , 1968 (the first interest coupon to be printed is Coupon No. 2 payable
on February 1 , 1969, therefore, the purchaser will pay accrued interest from
August 1 , 1968) , and the bonds will mature annually on February 1 of each
year as follows;
Page 2
YEAR AMOUNT
1971 $ 100, 000
1972 65 , 000
1973 70, 000
1974 70, 000
1975 75 , 000
1976 80, 000
1977 85 , 000
1978 90, 000
1979 90, 000
1980 95 , 000
1981 100 , 000
1982 105 , 000
1983 110, 000
1984 115 , 000
1985 125 , 000
1986 130, 000
1987 135 , 000
1988 140, 000
1989 150, 000
1990 155 ,000
1991 165 ,000
1992 175 , 000
1993 180,000
1994 190,000
1995 205 , 000
The bonds will not be subject to conversion and neither supplemental
nor dual coupons will be permitted. Up to four interest rates may be specified
(not including repeated rates) , but all rates with the maturities to which
applicable must be set forth in the bid. The bonds of each maturity must
bear interest from date to maturity and at the same rate . The difference
between the highest and lowest rate must not exceed 2% . The award, if
made , will be to the bidder whose bid results in the lowest net interest
cost, with the net interest cost to be determined by computing the total
amount of interest , at the rates bid, from date to maturity and deducting
therefrom the amount of any premium bid. No bid of less than par and
accrued interest will be entertained.
Page 3
The bonds will be subject to redemption prior to maturity in whole
or in part, in inverse numerical order, as follows:
1 . From surplus tax collections on any interest payment date
at a price of the principal amount of the bonds being redeemed plus
accrued interest to the date of redemption; and
2 . From funds from any other source on any interest payment
date on and after February 1 , 1977, at a price of the principal amount of
the bonds being redeemed plus accrued interest to the date of redemption
and plus a premium (expressed in terms of a percentage of the principal
amount being redeemed) for the years hereinafter set forth, as follows:
103-1/2% if redeemed on February 1 , 1977 or August 1 , 1977;
103% if redeemed February 1 , 1978 or August 1 , 1978;
102-1/2% if redeemed February 1 , 1979 or August 1 , 1979;
102% if redeemed February 1, 1980 or August 1 , 1980;
101-1/2% if redeemed February 1 , 1981 or August 1 , 1981;
101% if redeemed February 1 , 1982 or August 1, 1982;
100-1/2% if redeemed February 1 , 1983 or August 1 , 1983;
No premium thereafter.
The City will covenant that surplus tax collections, being collections
from the 1-1/4 mill continuing annual tax in excess of the amount necessary
for the prompt payment of the principal of, interest on and paying agent's
fees in connection with the bonds as the same become due, must be used
from time to-time on each interest payment date as and to the extent available
to redeem the bonds prior to maturity.
The expenses of the authorization and issuance of the bonds , in-
cluding the cost of printing the bonds , the bank's fee for authenticating
the bonds and the fee of Rose, Meek, House, Barron, Nash & Williamson;
Townsend & Townsend; and Smith, Williams, Friday & Bowen, Bond Counsel,
Little Rock, Arkansas, upon whose approving opinion the bonds will be
issued, will be paid by the City.
The purchaser may name the bank to authenticate the bonds and
the Paying Agent. The Paying Agent must be a Little Rock Bank, but the
purchaser will have the privilege of naming an Alternate Paying Agent located
in Little Rock or elsewhere.
• •
Page 4
The bonds will be sold on sealed bids which will be received
until o'clock .m. , local time on
, 1968
and each bid shall be enclosed in a sealed envelope marked on the outside
"Proposal for City of Little Rock, Arkansas General Obligation Airport
Improvement Bonds, dated February 1, 1968" and addressed to Mayor
Martin Borchert, City Hall, Little Rock, Arkansas . The bids will be opened
at that time and on that date in the chambers of the Board of Directors, City
Hall, Little Rock, Arkansas . Each bid must be accompanied by a certified
or cashier's check in the amount of $30, 000, payable to the order of the City
to be kept as liquidated damages in the event a bidder is awarded the sale
of the bonds and fails to complete the purchase . Checks of unsuccessful
bidders will be promptly returned and the City will not pay interest on good
faith checks. The City reserves the right to reject any and all bids.
Delivery will be made to the successful bidder within a period of not to
exceed 45 days after the date of acceptance of the bid. Delivery will be
at Little Rock, Arkansas , or at any other place requested by the purchaser,
but if any place other than Little Rock, Arkansas , expenses incurred by the
City in delivering the bonds must be paid by the purchaser,. -
Additional information may be obtained from Mr. E . Jack Murphy,
Director of Finance, City Hall, Little Rock, Arkansas.
CITY OF LITTLE ROCK, ARKANSAS
By
Section 2. That the Director of Finance of the City
of Little Rock, make such other publication and distribution of
the Notice of Sale as he deems desirable .
Section 3 . It is ascertained and declared that the
municipal airport of the City of Little Rock is presently inade-
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 Resolution 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 Resolution
1 is necessary for the immediate preservation of the public peace,
health and safety, and that this Resolution shall take effect
and be in force from and after its adoption.
ADOPTED: July 15 , 1968 .
APPROVED :
,L
Al
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ayor
1
ATTEST:
City Clerk
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