1969-016 ORDINANCL NO 69-~
ORDINANCE
AUTHORIZING THE ISSUANCE OF WATER AND SEWER SYSTEM REVENUE BONDS
THE STATE OF TEXAS
COUNTY OF DENTON
CITY OF DENTON
WHEREAS the bonds hereinafter authorized were duly
and favorably voted, as required by the Constztutzon and laws
of the State of Texas, at an electzop held zn sazd Czty on the
30th day of January, 1960, and
WHEREAS, out of the bonds voted at said election, the
following prevzously have been issued and delzvered
$ 995,000 out of a voted total of $1,600,000, for
the purpose of improving and extending
the City's Waterworks System, repre-
sented by part of the bonds of Serzes
1960, Serzes 1962, and Serzes 1966, and
$2,145,000 out of a voted total of $2,600,000, for
the purpose of zmprovzng and extending
the City's Sewer System, represented by
part of the bonds of Serzes 1960 and
Series 1962, the bonds of Serzes 1964,
and part of the bonds of Serzes 1966, and
WHEREAS, the bonds hereznafter authorzzed are to be
issued and delzvered pursuant to Vernon's Articles 1111 through
1118, and said City's Home Rule Charter
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
Sectzon 1. That sazd Czty's coupon bonds to be
designated the "CITY OF DENTON WATER AND SEWER SYSTEM REVENUE
BONDS, SERIES 1969," are hereby authorized to be zssued and de-
livered in the prznczpal amount of $1,060,000 for the purpose
of providzng $605,000 FOR IMPROVING AND EXTENDING THE CITY'S
WATERWORKS SYSTEM, and providzng $455,000 FOR IMPROVING AND
EXTENDING THE CITY'S SEWER SYSTEM
Section 2. Thatsaid bonds shall be dated APRIL 15,
1969, shall be numbered consecutzvely from 1 THROUGH 212, shall
be in the denomination of $5,000 EACH, and shall mature and be-
come due and payable serzally on JULY 15 zn each of the years,
and in the amounts, respectively, as set forth mn the followzng
schedule
YEARS AMOUNTS YEARS AMOUNTS
1970 $20,000 1980 $60 000
1971 45,000 1981 60 000
1972 50,000 1982 60 000
1973 50,000 1983 60 000
1974 50,000 1984 60~000
1975 55,000 1985 50.000
1976 60,000 1986 50 000
1977 60,000 1987 50,000
1978 60,000 1988 50,000
1979 60,000 1989 50,000
Said bonds may be redeemed przor to thezr scheduled maturltzes,
at the optzon of said Czty, on the dates stated, and zn the
manner provided, zn the FORM OF BOND set forth zn thzs Ordznance
Sectzon 3. That the bonds scheduled to mature durzng
the years, respectzvely, set forth below shall bear znterest
from~emr date, untzl maturzty or redemptzon, at the followzng
rates per annum
maturztzes 1970 through 1974, 6 50%
maturities 1975, 5 70%
maturitzes 1976 through 1984, 5 107
maturztzes 1985, 5 20%
maturitzes 1986, 5 25%
maturzt~es 1987, 5 30%
maturitzes 1988, 5 35%
maturities 1989, 4 00%
Said interest shall be evzdenced by znterest coupons whzch shall
appertain to sazd bonds, and whzch shall be payable on the dates
stated ~n the FORM OF BOND set forth zn thzs Ordznance
Sectzon 4 That sazd bonds and znterest coupons shall
be payable, shall have the characterzstics, and shall be szgned
and executed (and said bonds shall be sealed), all as provided,
and in the manner zndzcated, zn the FORM OF BOND set forth zn
this Ordinance
Section 5 That the form of said bonds, zncludzng the
form of Registratzon Certzfzcate of the Comptroller of Public
Accounts of the State of Texas to be prznted and endorsed on
each of said bonds, and the form of the aforesazd ~nterest
coupons which shall appertazn and be attached znztzally to each
of said bonds, shall be, respectzvely, substantzally as follows
FORM OF BOND
NO, $5,000
UNITED STATES OF AMERICA
STAIE OF TEXAS
COUNTY OF DENTON
CITY OF DENTON WATER AND SEWER SYSTEM REVENUE BOND
SERIES 1969
ON JULY 15, 19 , the CITY ~ DENTON, in the County of
Denton, State of Texas, promises to pay to bearer the principal
amount of
FIVE THOUSAND DOLLARS
and to pay interest thereon, from the date hereof, at the rate
of % per annum, evidenced by interest coupons payable
JANUARY 15, 1970, and semz-annually thereafter on each JULY 15
and JANUARY 15 whzle this bond ~s outstandzng The principal
of this bond and the interest coupons appertazning hereto shall
be payable to bearer, in lawful money of the United States of
America, without exchange or collection charges to the bearer,
upon presentatzon and surrender of this bond or proper znterest
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coupon, at THE FIRST NATIONAL CITY BANK OF NEW YORK, NEW YORK,
NEW YORK, or, at the optzon of the bearer, at the FIRST NATIONAL
BANK IN DALLAS, DALLAS, TEMAS, whzch places shall be the payzng
agents for thzs Serzes of bonds
THIS BOND is one of a Series of coupon bonds dated
APRIL 15, 1969, issued in the prznczpal amount of $1,060,000
for the purpose of providzng $605,000 FOR IMPROVING AND EXTEND-
ING THE CITY'S WATERWORKS SYSTEM, and provzdzng $455,000 FOR
IMPROVING AND EXTENDING THE CITY'S SEWER SYSTEM
ON JULY 15, 1981, OR ON ANY INTEREST PAYMENT DATE
THEREAFTER, any outstandzng bonds of thzs Series may be redeemed
prior to their scheduled maturities, at the option of said City,
IN WHOLE, OR IN PART, for the prznczpal amount thereof and
accrued interest thereon to the date fixed for redemptzon At
le&st thzrty days prior to the date fzxed for any such redemptzon
said Czty shall cause a wrztten notice of such redemptzon to be
published at least once zn a f~nancial publzcatzon publzshed zn
the City of New York, New York By the date fixed for any such
redemption due provision shall be made with the paying agents
for the payment of the princzpal amount of the bonds which are
to be so redeemed and accrued interest thereon to the date fzxed
for redemption If such written notzce of redemption zs publi~h-
ed and zf due provzsion for such payment is made, all as provzded
above, the bonds whzch are to be $o 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 regarded as being outstandzng except for the
purpose of being paid by the payzng agents with the funds so pro-
vided for such payment
IT IS HEREBY certzfzed, reczted, and covenanted that
this bond has been duly and validly zssued and delzvered, that
all acts, conditions, and things required or proper to be per-
formed, exzst, and be done precedent to or in the issuance and
delivery of this bond have been performed, exzsted, and been
done in accordance wzth law, and that the interest on and prin-
cipal of this bond, and the Serzes of whzch zt is a part, to-
gether wzth other outstandzng waterworks and sewer system revenue
bonds of said City, are secured by and payable from a f~rst lien
on and pledge of the Net Revenues of sazd Czty's Waterworks and
Sewer System
MAID CITY has reserved the right, sub0ect to the
restrictions stated, or adopted by reference, in the Ordznance
authorzzing thzs Series of bond~, to issue add~tzonal parzty
revenue bonds which also may be secured by and made payable from
a first lien on and pledge of the Net Revenues of sazd City's
Waterworks and Sewer System
THE HOLDER HEREOF shall never have the rzght to de-
mand payment of thzs oblzgatzon out of any funds razsed or to
be raised by taxatzon
-3-
IN WITNESS WHEREOF, thzs bond and the interest coupons
appertaznzng hereto have been szgned wzth the facsimile s~gnature
of the Mayor of sazd Czty and counterszgned wzth the facszmzle
szgnature of the Czty Secretary of sazd Czty, and the offzczal
seal of said Czty has been duly zmpressed, or placed zn facszmzle,
on this bond
XXXXXXXX XXXXXXXX
Czty Secretary, City of Denton Mayor, City of Denton
FORM OF REGISTRATION CERTIFICATE
COMPTROLLER~S REGISTRATION CERTIFICATE REGISTER NO o
I hereby certify that thzs bond has been examzned,
certified as to validity, and approved by the Attorney General
of the State of Texas, and that thzs bond has been regzstered
by the Comptroller of Public Accounts of the State of Texas
Witness my szgnature and seal thzs
XXXXXXXX
Comptroller of Publmc Accounts of the
State of Texas
FORM OF INTEREST COUPON
NO.
ON 15, 19
THE CITY OF DENTON, in the County of Denton, State of Texas,
promises to pay to bearer the amount shown on thzs interest
coupon, zn lawful money of the Unzted States of America, w~th-
out exchange or collection charges to the bearer, unless due
provision has been made for the redemption przor to maturity
of the bond to which this znterest coupon appertazns, upon pre-
sentation and surrender of this interest coupon, at THE FIRST
NATIONAL CITY BANK OF NEW YORK, NEW YORK, NEW YORK, or, at the
optzon of the bearer, at the FIRST NATIONAL BANK INDALLAS,
DALLAS, TEXAS, said amount bezng interest due that day on the
bond, bearlng the number hereinafter designated, of that issue
of CITY OF DENTON WATER AND SEWER SYSTEM REVENUE BONDS, SERIES
1969, DATED APRIL 15, 1969 The holder hereof shall never have
the right to demand payment of this obligation out of any funds
raised or to be raised by taxation Bond No
XXXXXXXX XXXXXXXX
City Secretary Mayor
Section 6 That the term "Outstandzng Bonds, as used
herein, shall mean the outstandzng bonds of the followzng zssues
of said Czty
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Water and Sewer System Revenue Bonds, Series 1960,
authorzzed by ordznance dated July 12, 1960,
Water and Sewer System Revenue Bonds, Serzes 1962,
authorzzed by ordznance dated March 27, 1962,
Water and Sewer System Revenue Bonds, Series 1964,
authorized by ordznance dated June 9, 1964,
Water and Sewer System Revenue Bonds, Serzes 1966,
authorzzed by ordinance dated January 25, 1966
The Series 1969 Bonds authorized hereby are parity "Addztzonal
Bonds" as defined and permztted in the aforesazd ordinance dated
July 12, 1960, and Sections 9 through 25 of said ordinance aze
adopted by reference and shall be applicable to said Serzes 1969
Bonds for all purposes, except to the extent hereznafter speczfl-
cally modifzed and supplemented fhe Series 1969 Bonds and the
Outstanding Bonds are and shall be secured by and payable from a
fzrst lzen on and pledge of the Net Revenues of said Czty's Water
and Sewer System, and all of sazd obligatzons shall be on a p~rity
and of equal dignzty in all respects
Section 7 That, zn additzon to all other amounts re-
quired by the ordznanees, respectzvely, authorzzing the Outstand-
ing Bonds, there shall be deposzted znto the Interest and Sinkzng
Fund, created for the benefit of sazd Outstandzng Bonds and all
Additional Bonds, the following
(a) such amounts, in equal monthly installments,
made on or before the last day of each month hereafter,
as will be sufficient to pay the interest scheduled to
come due on said Serzes 1969 Bonds on the next interest
payment date, and
(b) such amounts, in equal monthly znstallments,
made on or before the last day of each month hereafter,
as will be sufficzent to pay the next maturing princzpal
of said Series 1969 Bonds
Section 8 That the Reserve Fund heretofore created
for the benefzt of sazd Outstanding Bonds and all Addztzonal
Bonds now contains money and znvestments equal to the sum of
$252,196 32 zn market value There zs hereby approprzated and
shall be transferred and deposited znto the Reserve Fund
mediately after the passage of thzs Ordinance, from surplus
Net Revenues of the City's Water and Sewer System now on hand
and lawfully available for such purpose, the sum of $97,803 68,
which wzll cause the Reserve Fund to contazn money and invest-
ments in the aggregate amount of $350,000 00 zn market value
No addztzonal deposits shall be requzred to be made znto the
Reserve Fund as long as the money and znvestments therezn are
at least equal to the aggregate amount of $350,000.00 zn market
value, but if and whenever the Reserve Fund zs reduced below
said amount, deposits shall be made znto the Reserve Fund from
the fzrst available Net Revenues of the Czty's Water and Sewer
-5-
System (after the requzred deposzts have been made znto the
Interest and S~nk~ng Fund) and continued until such t~me as the
Reserve Fund has been restored to sazd aggregate amount, and the
Czty covenants to keep and maznta~n sa~d aggregate amount ~n the
Reserve Fund The Reserve Fund shall be maintained, used, and
may be znvested, for the benefit of the Outstanding Bonds, the
Serzes 1969 Bonds, and all Addztlonal Bonds, ~n accordance w~th
the procedures, as here~n modified and supplemented, set forth ~n
ordznances, respectzvely, authorizing the Outstanding Bonds
Section 9 That sa~d bonds are and shall be special
oblmgat~ons of sa~d Czty, and the holder or holders thereof sh~ll
never have the right to demand payment of sazd obligations out of
any funds raised or to be raised by taxation
Section 10 That the Mayor of sa~d C~ty ~s hereby
authorized to have control of sazd bonds and all necessary records
and proceedings pertaining to sa~d bonds pending their delzvery
and their ~nvestigat~on, examznat~on, and approval by the Attorney
General of the State of Texas, and their reg~stratzon by the
Comptroller of Public Accounts of the State of Texas Upon
registration of sa~d bonds, said Comptroller of Public Accounts
(or a deputy designated ~n wr~tzng to act for said Comptroller)
shall manually sign the Comptroller's Regzstrat~on Certificate
printed and endorsed on each of said bonds, and the seal of sa~d
Comptroller shall be impressed, or placed ~n facsimile, on each
of said bonds
Section 11. That the Czty Council officially finds,
determines, and declares that sa~d bonds have been duly adver-
tised for sale as required by the Home Rule Charter of sa~d C~ty,
that sealed Bids have been received at a public sale of sa~d
bonds held on April 15, 1969, that all of said bonds are hereby
sold and shall be delivered to a syndicate managed or headed by
First of Texas, Incorporated, and Assoczates, being the best
bidder at said publzc sale, for the przncipal amount of said
bonds, and accrued interest thereon to the date of delzvery,
plus a premzum of $ - 0 -
Section 12 It is further found and determined that
the Official Notice of Sale for said bonds was duly publzshed on
March 14, 1969, in the Bond Buyer, New York, New York, which is
a national publtcatzon regularly and przmarily carrying fznanczal
news and municipal bond sale notices, and on March 13, 1969, zn
the "Denton Record-Chronicle", which has been designated as the
official newspaper of the Czty of Denton The form and substance
of said Official Notzce of Sale, and the aforesaid publicatzons
thereof, are hereby approved and ratzfzed zn all respects by the
City Council
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Mc-CALL PARKHURST ~ HORTON
DALLA~ TIEXA~ 7~:~01 JOHN 0 M OALL [189~ 1982}
April 15, 1969
Honorable Mayor and Council of
the City of Denton,
Denton, Texas
Gentlemen CITY OF DENTON WATER AND SEWER SYSTEM
REVENUE BONDS, SERIES 1969, $1,060,00~
In compliance with Sectzon 9.02 and Section 9 04
of the City Charter of the City of Denton, you are advised
that the bids for the captzoned issue of bonds have been
tabulated and that we find that the bid of a syndzcate manag-
ed or headed by -~,~"./J-.~M~~ for the bonds to
bear interest at the rat~s 'th~reinVspeczfzed, with such bzdder
to pay par and accrued interest to date of delzvery for sazd
bonds, plus a premium of $~ O -- , is the lowest and best
bid received, and we recommend that it be accepted
We further certzfy that we have examined the or-
dinance presently placed before the Mayor and Counczl for the
purpose of authorizzng the issuance of sazd bonds, and in our
opinion the said proposed bond ordinance zs legal, and the
bonds to be ~ssued thereunder will be valid and b~ndzng oblz-
gations of the City payable from the Net Revenues of the City's
Water and Sewer System
Respectfully,
McCALL, PARKHURST & HORTON
CERTIFICATE FOR ORDINANCE
~UTHORIZING TH~ ISSUANCE OF WATER mD SEWER SYSTE~ REVENUE BONDS
THE STATE OF TEXAS
COUNTY OF DENTON
CITY OF DENTON
We, the underszgned offzcers of sazd Czty, hereby certify as
follows
1 The City Council of sazd Czty convened zn
REGULAR MEETING ON THE 15TH DAY OF APRIL, 1969,
at the Municzpal Buildzng, and the roll was called ~ the duly con-
stztuted offzcers and members of sazd Czty Counczl, to-wzt
Brooks Holt, Czty Secretary L A Nelson, Mayor
Dr Alexander Fznlay Bzll Neu, Mayor Pro Tem
Harold L Ramey Hugh M Ayer
and all of sazd persons were present, except the followzng
absentees ~/~z~_~ ,
thus constitutzng a quorum Whereupon, among other buszness, the
followzng was transacted at sazd Meetzng a wrztten ORDINANCE
AUTHORIZING THE ISSUANCE OF WATER AND SEWER SYSTEM REVENUE BONDS
was duly introduced for the conszderatzon of said Czty Counczl and
read in full It was then duly moved and seconded that said Or-
dinance be passed, and, after due dzscusszon, sazd motzon, carry-
ing wzth it the passage of said Ordznance, prevazled and carrzed
by the following vote
AYESAil members of said Czty Counczl
shown present above voted "Aye"
NOES None
2 That a true, full, and correct copy of the aforesazd Or-
dznance passed at the Meetzng descrzbed zn the above and foregoing
paragraph is attached to and follows thzs Cert~fzcace, that sazd
Ordinance has been duly recorded zn sazd Czty Counczl's m~nutes of
said Meeting, that the above and foregozng paragraph is a true,
full, and correct excerpt from sazd City Council's minutes of sazd
Meeting pertazning to the passage of sazd Ordznance, that the per-
sons named in the above and foregoing paragraph are the duly chosen,
qualified, and actzng officers and members of sazd Czty Counczl as
indicated therezn, and that each of the officers and members of
said City Counczl was duly and sufficzently notzfzed offzc~ally
and personally, in advance, of the tzme, place, and purpose of the
aforesazd Meetzng, and that said Ordznance would be introduced and
considered for passage at sazd Meetzng, and each of sazd offzcers
and members consented, in advance, to the holding of sazd Meetzng
for such purpose, and that sazd Meetzng was open to the publzc as
requzred by law.
3. That the Mayor of sazd City has approved, and hereby ap-
proves the aforesazd Ordznance, that the Mayor and the Czty Secre-
tary of said City have duly szgned sazd Ordznance, and that the
Mayor and the Czty Secretary of said 6ity hereby declare that thezr
signing of thzs Certzficate shall constztute the szgnzng of the
attached and following copy of sazd Ordinance for all purposes
~..~~SIGNF~DANDSEALEDthel5thday°fAp~6~zz.~
~ City Secretary ~&yor
(SEAn)
We, the undersigned, being respectzvely the C~ty Attorney and
the Bond Attorneys of the C~ty of Denton, Texa~, hereby certzfy
that we prepared and approved as to legalzty the attached and
f ol~~n~~ t._o ztq passage as aforesazd
Bond Attorneys