Loading...
HomeMy WebLinkAbout1979-016ORDINANCE NO 79-l6 ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS THE STATE OF TEXAS COUNTY OF DENTON CITY OF DENTON WHEREAS, the bonds hereinafter authorized were lawfully and favorably voted at elections duly held in said City on DECEMBER 18, 1973, and FEBRUARY 28, 1978, and WHEREAS, out of the bonds voted at the election held on DECEMBER 18, 1973, for such purpose, the following previously have been issued and delivered $5,500,000 out of a voted total of $6,000,000 for the purpose of constructing and improving streets in said City, and providing drainage and flood control facilities in connection there- with, represented by the Bonds of Series 1974, part of the Bonds of Series 1976, and part of the Bonds of Series 1977, and WHEREAS, none of the bonds voted at the election held on FEBRUARY 28, 1978, has been authorized, issued, or delivered, and WHEREAS, it is necessary and advisable to authorize, issue, and deliver another installment or series of said bonds, and WHEREAS, the bonds hereinafter authorized and designated were voted and are to be issued and delivered pursuant to Vernon's Articles 823 and 1175 THE COUNCIL OF THE CITY OP DENTON HEREBY ORDAINS Section 1 That the said City's bonds are hereby author- ized to be issued in the aggregate principal amount of $4,500,000, FOR THE PURPOSE OF PROVIDING $500,000 FOR CON- STRUCTING AND IMPROVING STREETS IN SAID CITY, AND PROVIDING DRAINAGE AND FLOOD CONTROL FACILITIES IN CONNECTION THEREWITH, $1„815,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IMPROVE- MENTS FOR PUBLIC PURPOSES, TO -WIT CONSTRUCTING AND IMPROVING STREETS IN SAID CITY AND PROVIDING DRAINAGE FACILITIES IN CON- NECTION THEREWITH, $775,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IMPROVEMENTS FOR PUBLIC PURPOSES, TO -WIT PROVIDING ADDITIONAL CITY PUBLIC LIBRARY FACILITIES, $880,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IMPROVEMENTS FOR PUBLIC PURPOSES, TO -WIT PROVIDING ADDITIONAL CITY POLICE FACILITIES, AND $530,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IM- PROIVEMENTS FOR PUBLIC PURPOSES, TO -WIT PROVIDING ADDITIONAL CITY FIRE FIGHTING FACILITIES Section 2 That said bonds shall be designated as the "CITY OF DENTON GENERAL OBLIGATION BONDS, SERIES 1979" Section 3 That said bonds shall be dated MARCH 15, 1979, shall be in the denomination of $5,000 each, shall be numbered consecutively from one upward, and shall mature serially on the maturity date, in each of the years, and in the amounts, re- spectively, as set forth in the following schedule -1- MATURITY DATE MARCH 15 YEARS AMOUNTS YEARS AMOUNTS 1981 $225,000 1991 $225,000 1982 225,000 1992 225,000 1983 225,000 1993 225,000 1984 225,000 1994 225,000 1985 225,000 1995 225,000 1986 225,000 1996 225,000 1987 225,000 1997 225,000 1988 225,000 1998 225,000 1989 225,000 1999 225,000 1990 225,000 2000 225,000 Section 4 That the bonds scheduled to mature during the years, respectively, set forth below shall bear interest at the following rates per annum maturities 1981, 7, ov % maturities 1991, S'2o% maturities 1982, 7-0, 8 maturities 1992, S .2p 8 maturities 1983, 7.00 % maturities 1993, % maturities 1984, `_2S % maturities 1994, s o8 maturities 1985, _5.20% maturities 1995, 7 Vol maturities 1986, s is % maturities 1996, S.yS% maturities 1987, 5./S % maturities 1997, . So% maturities 1988, S /5 % maturities 1998, sy% maturities 1989, S•208 maturities 1999, 1r So8 maturities 1990, S 208 maturities 2000, r % Said interest shall be evidenced by interest coupons which shall appertain to said bonds, and which shall be payable in the manner provided and on the dates stated in the FORM OF BOND set forth in this Ordinance Section 5 That said bonds and interest coupons shall be issued, shall be payable, may be redeemed prior to their schedul- ed maturities, shall have the characteristics, and shall be sign- ed and executed (and said bonds shall be sealed), all as provided, and in the manner indicated, in the FORM OF BOND set forth in this Ordinance Section 6 That the form of said bonds, including the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be printed and endorsed on each of said bonds, and the form of the aforesaid interest coupons which shall appertain and be attached initially to each of said bonds, shall be, respectively, substantially as follows NO FORM OF BOND UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF DENTON CITY OF DENTON GENERAL OBLIGATION BOND SERIES 1979 $5,000 ON MARCH 15, , THE CITY OF DENTON, Denton County, Texas, hereby promises to pay to bearer hereof the principal amount of FIVE THOUSAND DOLLARS -2- .1 9 1 to and to pay interest thereon, from date hereof, at the rate of % per annum, evidenced by interest coupons payable MARCH 15, 1987 and semiannually thereafter while this bond is outstanding THE PRINCIPAL of this bond and the interest coupons apper- taining hereto shall be payable to bearer, in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrender of this bond or proper interest coupon, at the following, which shall constitute and be defined as the "Paying Agent" for this Series of Bonds CITIBANK, N A , NEW YORK, NEW YORK, OR, AT THE OPTION OF THE BEARER, AT FIRST NATIONAL BANK IN DALLAS, DALLAS, TEXAS THIS BOND is one of a Series dated as of MARCH 15, 1979, authorized, issued, and delivered in the principal amount of $4,500,000 FOR THE PURPOSE OF PROVIDING $500,000 FOR CON- STRUCTING AND IMPROVING STREETS IN SAID CITY, AND PROVIDING DRAINAGE AND FLOOD CONTROL FACILITIES IN CONNECTIO14 THEREWITH, $1,815,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IMPROVE- MENTS FOR PUBLIC PURPOSES, TO -WIT CONSTRUCTING AND IMPROVING STREETS IN SAID CITY AND PROVIDING DRAINAGE FACILITIES IN CON- NECTION THEREWITH, $775,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IMPROVEMENTS FOR PUBLIC PURPOSES, TO -WIT PROVIDING ADDITIONAL CITY PUBLIC LIBRARY FACILITIES, $880,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IMPROVEMENTS FOR PUBLIC PURPOSES, TO -WIT PROVIDING ADDITIONAL CITY POLICE FACILITIES, AND $530,000 FOR THE ACQUISITION OF PROPERTY AND MAKING IM- PROVEMENTS FOR PUBLIC PURPOSES, TO -WIT PROVIDING ADDITIONAL CITY FIRE FIGHTING FACILITIES ON MARCH 15, 1992, or on any interest payment date thereafter, any outstanding bonds of this Series may be redeemed prior to their scheduled maturi- ties, at the option of said City, in whole, or in part, for the principal amount thereof and accrued interest thereon to the date fixed for redemption At least thirty days prior to the date fixed for any such redemption said City shall cause a written notice of such redemption to be published at least once in a fi- nancial publication published in the City of New York, New York By the date fixed for any such redemption due provision shall be made with the "Paying Agent" for the payment of the principal amount of the bonds which are to be so redeemed and accrued in- terest thereon to the date fixed for redemption If such writ- ten notice of redemption is published and if due provision for such payment is made, all as provided above, the bonds which are to be so redeemed thereby automatically shall be redeemed prior to their scheduled maturities, and they shall not bear interest after the date fixed for redemption, and they shall not be re- garded as being outstanding except for the right of the bearer to receive the redemption price from the "Paying Agent" out of the funds provided for such payment IT IS HEREBY certified, recited, and covenanted that this bond has been duly and validly voted, authorized, issued, and de- livered, that all acts, conditions, and things required or proper to be performed, exist, and be done precedent to or in the voting, authorization, issuance, and delivery of this bond have been per- formed, existed, and been done in accordance with law, that this bond is a general obligation of said City, issued on the full faith and credit thereof, and that annual ad valorem taxes suffi- cient to provide for the payment of the interest on and principal -3- of this bond, as such interest comes due and such principal ma- tures, have been levied and ordered to be levied against all tax- able property in said City, and have been pledged irrevocably for such payment, within the limit prescribed by law IN WITNESS WHEREOF, this bond and the interest coupons apper- taining hereto have been signed with the facsimile signature of the Mayor of said City and countersigned with the facsimile signa- ture of the City Secretary of said City, and the official seal of said City has been duly impressed, or placed in facsimile, on this bond xxxxxxxx xxxxxxxx City Secretary Mayor FORM OF REGISTRATION CERTIFICATE COMPTROLLER'S REGISTRATION CERTIFICATE REGISTER NO I hereby certify that this bond has been examined, certi- fied as to validity, and approved by the Attorney General of the State of Texas, and that this bond has been registered by the Comptroller of Public Accounts of the State of Texas NO Witness my signature and seal this xxxxxxxx Comptroller or FuDlic Accounts o the State of Texas FORM OF INTEREST COUPON ON 15, , THE CITY OF DENTON, in Denton County, State of Texas, promises to pay to bearer the amount shown on this interest coupon, in lawful money of the United States of America, with- out exchange or collection charges to the bearer, unless due provision has been made for the redemption prior to scheduled maturity of the bond to which this interest coupon appertains, upon presentation and surrender of this interest coupon, at CITIBANK, N A , NEW YORK, NEW YORK, OR, AT THE OPTION OF THE BEARER, AT FIRST NATIONAL BANK IN DALLAS, DALLAS, TEXAS, said amount being interest coming due that day on the bond, bearing the number hereinafter designated, of that issue of CITY OF DENTON GENERAL OBLIGATION BONDS, SERIES 1979, DATED MARCH 15, 1979 Bond No xxxxxxxx xxxxxxxx City Secretary Mayor Section 7 That a special "Interest and Sinking Fund" is hereby created solely for the benefit of said bonds, and said Interest and Sinking Fund shall be established and maintained by said City at an official depository bank of said City Said Interest and Sinking Fund shall be kept separate and apart from all other funds and accounts of said City, and shall be used only for paying the interest on and principal of said bonds All ad valorem taxes levied and collected for and on account of said bonds shall be deposited, as collected, to the credit of said -4- 7�1-I(, Interest and Sinking Fund During each year while any of said bonds or interest coupons appertaining thereto are outstanding and unpaid, the governing body of said City shall compute and ascertain a rate and amount of ad valorem tax which will be suffi- cient to raise and produce the money required to pay th interest on said bonds as such interest comes due, and to provide and maintain a sinking fund adequate to pay the principal of such bonds as such principal matures (but never less than 2% of the original principal amount of said bonds as a sinking fund each year), and said tax shall be based on the latest approved tax rolls of said City, with full allowance being made for tax de- linquencies and the cost of tax collection Said rate and amount of ad valorem tax is hereby levied, and is hereby ordered to be levied, against all taxable property in said City for each year while any of said bonds or interest coupons appertaining thereto are outstanding and unpaid, and said tax shall be assessed and collected each such year and deposited to the credit of the afore- said Interest and Sinking Fund Said ad valorem taxes sufficient to provide for the payment of the interest on and principal of said bonds, as such interest comes due and such principal matures, are hereby pledged irrevocably for such payment, within the limit prescribed by law Section 8 That the Mayor of said City is hereby authorized to have control of said bonds and all necessary records and pro- ceedings pertaining to said bonds pending their delivery and their investigation, examination, and approval by the Attorney General of the State of Texas, and their registration by the Comptroller of Public Accounts of the State of Texas Upon registration of said bonds, said Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller) shall manually sign the Comptroller's Registration Certificate printed and endorsed on each of said bonds, and the seal of said Comptroller shall be impressed, or placed in facsimile, on each of said bonds Section 9 That the City covenants to and with the pur- chaser of the bonds that it will make no use of the proceeds of the bonds at any time throughout the term of this issue of bonds which, if such use had been reasonably expected on the date of delivery of the bonds to and payment for the bonds by the purchasers, would have caused the bonds to be arbitrage bonds within the meaning of Section 103(c) of the Internal Revenue Code of 1954, as amended, or any regulations or rulings pertaining thereto, and by this covenant the City is obligated to comply with the requirements of the aforesaid Section 103(c) and all applicable and pertinent Department of the Treasury regulations relating to arbitrage bonds The City further covenants that the proceeds of the bonds will not otherwise be used directly or in- directly so as to cause all or any part of the bonds to be or be- come arbitrage bonds within the meaning of the aforesaid Section 103(c), or any regulations or rulings pertaining thereto Section 10 That the City Council officially finds, de- termines, and declares that said bonds have been duly advertis- ed for sale as required by the Home Rule Charter of said City, that sealed bids have been received at a public sale of said bonds held on March 6, 1979, that all of said bonds are hereby sold and shall be deliver d to syndicate m naged or headed by aka C Q r4 4 6o ! /off. , being the t bidder at said public gale, or t e principal amount of said bonds, and accrued interest thereon to the date of delivery, plus a premium of $ — Q — -5- '79 IL Section 11 It is further found and determined that a notice of sale for said bonds as required by the Home Rule Charter of said City was duly published on February 1, 1979, in The Bond Buyer, New York, New York, which is a national publication regularly and primarily carrying financial news and municipal bond sale notices, and on January 31, 1979, in the Denton Record-Chrinicle, which has been designated as the offi- cial newspaper of the City of Denton The form and substance of said Official Notice of Sale, and the aforesaid publications thereof, are hereby approved and ratified in all respects by the City Council Section 12 That it is hereby officially found, determin- ed, and declared that said bonds have been sold at public sale to the bidder offering the lowest interest cost, after receiv- ing sealed bids pursuant to an Official Notice of Sale and Official Statement dated February 15, 1979, prepared and dis- tributed in connection with the sale of said bonds Said Offi- cial Notice of Sale and Official Statement have been and are hereby approved by the City Council It is further officially found, determined, and declared that the statements and repre- sentations contained in said Official Notice of Sale and offi- cial Statement are true and correct in all material respects, to the best knowledge and belief of the City Council -6- ' 9-1(0 CERTIFICATE FOR ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS THE STATE OF TEXAS COUNTY OF DENTON CITY OF DENTON We, the undersigned officers of said City, hereby certify as follows 1 The City Council of said City convened in REGULAR MEETING ON THE 6TH DAY OF MARCH, 1979, at the Municipal Building (City Hall), ana the roll was called of the duly constituted officers and members of said City Council, to -wit Brooks Holt, City Secretary Joe Mitchell, Mayor Bill Nash Mary Claude Gay, Mayor Pro Tem Elinor Hughes Dick Stewart and all of said a sons were present, except the following absentees _..,, r thus constituting a quorum Whereupon, among other business, the following was transacted at said Meeting a written ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS was duly introduced for the consideration of said City Council and read in full It was then duly moved and seconded that said Ordinance be passed, and, after due discussion, said mo- tion, carrying with it the passage of said Ordinance, prevail- ed and carried by the following vote AYES All members of said City Council shown present above voted "Aye" NOES None 2 That a true, full, and correct copy of the aforesaid Ordinance passed at the Meeting described in the above and fore- going paragraph is attached to and follows this Certificate, that said Ordinance has been duly recorded in said City Council's minutes of said Meeting, that the above and foregoing paragraph is a true, full, and correct excerpt from said City Council's minutes of said Meeting pertaining to the passage of said Ordi- nance, that the persons named in the above and foregoing para- graph are the duly chosen, qualified, and acting officers and members of said City Council as indicatea therein, that each of the officers and members of said City Council was duly and suffi- ciently notified officially and personally, in advance, of the time, place, and purpose of the aforesaid Meeting, and that said Ordinance would be introduced and considered for passage at said Meeting, and each of said officers and members consented, in ad- vance, to the holding of said Meeting for such purpose, and that said Meeting was open to the public, and public notice of the time, place, and purpose of said meeting was given, all as re- quired by Vernon's Ann Civ St Article 6252-17 3 That the Mayor of said City has approved, and hereby approves, the aforesaid Ordinance, that the Mayor and the City Secretary of said City have duly signed said Ordinance, and that the Mayor and the City Secretary of said City hereby de- clare that their signing of this Certificate shall constitute the signing of the attached and following copy of said Ordinance for all purposes XD AND EAL he 6th day of Marc 1979 City SLrcretary Mayor (SEAL) - - - - - - - - - - - - - - - - - - - - - - - - - - - - - We, the undersigned, being respectively the City Attorney and the Bond Attorneys of the City of Denton, Texas, hereby cer- tify that we prepared and approved as to legality the attached and following Ordinance prior tom passage aforesaid i 79-Il.