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HomeMy WebLinkAbout4767 RESOLUTION NO. 4'767 A RESOLUTION REQUESTING AND RECOMMENDING THAT THE DEPARTMENT OF POLLUTION CONTROL AND ECOLOGY OF THE STATE OF ARKANSAS SELL AND ISSUE POLLUTION CONTROL REVENUE BONDS OF THE DEPARTMENT; PRE- SCRIBING OTHER MATTERS PERTAINING THERETO; AND DECLARING AN EMERGENCY. WHEREAS, the City of Little Rock, Arkansas (the "City") , has undertaken the construction of extensions, betterments and improvements (the "improvements") to the sewer facilities of the City (the "System"); and WHEREAS, the improvements include facilities for the purpose of water pollution control; and WHEREAS, the City has had prepared an engineering report and estimate of costs for the improvements by a qualified consulting engineer; and WHEREAS, the improvements include a water pollution control project a portion of which is eligible for federal assistance under the provisions of the Federal Water Pollution Control Act, 33 U.S. C.A. § 1151_et seq. (the eligible portion being herein called the "Project"); and WHEREAS, the City does not have sufficient funds to pay the costs of the Project but can obtain such funds by the use of available funds, by obtaining federal grant funds available for the purpose ("federal assistance") and by obtaining a State Grant (hereinafter described); and WHEREAS, it is necessary to the obtaining of maximum federal assistance that the City receive from the Department of Pollution Control and Ecology of the State of Arkansas (the "Department") a State Grant for a portion of the costs of the Project, as authorized by Act No. 108 of 1971 , as amended ("Act No. 108"); and WHEREAS, the City has applied to the Department for a State Grant is an amount not to exceed $1 ,500 ,000; and • I • Page 2 WHEREAS, the Department can obtain sufficient funds for the purpose of making the State Grant by the sale and issuance of Pollution Control Revenue Bonds, as authorized by Act No. 108 (the "Department Bonds"); and WHEREAS, the Department Bonds, as provided in Act No. 108, will not constitute an indebtedness of the State of Arkansas or of the Department within any constitutional or statutory limitation but, as provided by Act No. 108, will be secured by a pledge of and payable solely from revenues derived by the City from the operation of the System; and WHEREAS, the Board of Directors has determined, upon due investigation, that the most feasible means for the financing of the Project would include the sale and issuance of the Department Bonds; and WHEREAS, the City has outstanding an issue of Sewer Revenue Bonds, - dated February 1 , 1966 (the "City Bonds"); and WHEREAS, the Department Bonds shall be issued on a parity of pledge and security with the City Bonds if the parity requirements of the ordinance authorizing the City Bonds are met at the time of issuance of the Department Bonds; however, if such parity requirements are not met, the Department Bonds shall be subordinate to the lien, pledge and security of the City Bonds; and WHEREAS, the Department will offer the Department Bonds at a public sale upon terms acceptable to the City and in the best interests of the City; NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the City of Little Rock, Arkansas: Section 1 . It is hereby requested of and recommended to the Department of Pollution Control and Ecology of the State of Arkansas (the "Department") that the Department offer the Department Bonds at public sale upon terms acceptable to the City. • • • Page 3 Section 2 . The Mayor is hereby authorized and directed to transmit a copy of this Resolution to the Department. Section 3 . It is hereby found and declared that the completion of the Project is essential to the health and safety of the inhabitants of the City and it should be completed without delay. The only means by which the Project can be financed (and thereby completed) without delay is by the sale and issuance of bonds as set forth in this Resolution. Therefore, an emergency is declared to exist and this Resolution being necessary for the public peace, health and safety shall be in full force and effect from and after its passage and approval. PASSED AND APPROVED this 4th day of April , 1972. 41410 v / Mayor ATTEST: c4111--tyC rk -