HomeMy WebLinkAboutORD 75-64r
ORDINANCE NO. 75-� 4'
ORDINANCE AUTHORIZING THE ISSUANCE OF
$20,000,000 CITY OF BEAUMONT, TEXAS,
GENERAL OBLIGATION BONDS, SERIES 1975
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
CITY OF BEAUMONT §
WHEREAS, at an election held in and throughout the City of
Beaumont, Texas, on the lst day of October, 1974, more than a
majority of the duly qualified resident electors of said City,
voting at said election, voted in favor of the issuance of the
following tax bonds of said City, to -wit:
$12,000,000 bonds for the purpose of constructing
permanent public improvements in and for said City,
to -wit: a municipal or civic center, consisting -of
an auditorium building, a convention building and
an office building,
$13,940,000 bonds for the purpose of constructing
permanent public improvements.in and for -said City,
to -wit: the construction and improvement of the
roads, bridges, and streets of such City, including,
but not by way of limitation, related drainage
facilities, related traffic control devices, and
the acquisition o,f rights-of-way,.
$500,000 bonds for the purpose of constructing
permanent public improvements in and for said City,
to -wit: improving and extending a traffic control
system for said City,
$1,000,000 bonds for the purpose of acquiring and/or
constructing permanent public improvements in and
for said City, to -wit: acquiring or improving, or
both, land for park,purposes (Fair Park),. and
$560,000 bonds for the purpose of constructing and
acquiring permanent public improvements in and for
said City, to -wit: a transit system garage and
office building,
said bonds to mature serially within 25 years from their date or
dates and bearing interest at any rate or rates as shall be
determined with the discretion of said City Council, not to
exceed the maximum interest rate now or hereafter authorized by
law; and
WHEREAS, the City Council of said City has determined that
said $12,000,000 municipal or civic center bonds, $6,700,000
street improvement bonds, $1,000,000 Fair Park bonds and $300,000
transit system bonds, aggregating $20,000,000, should be combined
into one issue of bonds, and said City Council now desires to.
proceed with the issuance, sale and delivery of such bonds, leaving
the remaining $8,000,000 bonds, to -wit:
$7,240,000 street improvement bonds,
$ 500,000 traffic control bonds, and
$ 260,000 transit.system bonds
to be issued, sold and delivered at a later date; Therefore
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT:
Section 1. That the City's negotiable, serial, coupon bonds
to be designated "CITY OF BEAUMONT, TEXAS, GENERAL OBLIGATION
BONDS, SERIES 1975", are hereby authorized to be issued and de-
livered in the principal amount of $20,000,000 for the purpose of
constructing permanent public improvements in and for said City,
to -wit:
'3
a municipal or civic center, consisting of an auditorium
building, a convention building and an office building;
the construction and improvement of the roads, bridges
and streets of such City, including but not by way of
limitation, related drainage facilities, related traffic
control devices, and the acquisition of rights-of-way, and
for the further purpose of acquiring and/or constructing permanent
public improvements in and for said City, to -wit:
acquiring or improving, or both, land for park purposes
(Fair Park), and
for the further purpose of constructing and acquiring permanent
public improvements in and for said City, to -wit:
a transit system garage and office building.
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Section 2. That said bonds shall be dated October 1, 1975,
shall be numbered consecutively from 1 to 4000, both inclusive,
shall be in the denomination of $5,000 each, and shall mature
serially on April 1, without option of prior redemption, of each
of the years, and in the amounts, respectively, as set forth in
the following schedule:
$ 300,000
1977/81
600,000
1982/83
800,000
198.4
1,100,000
1985
1,400,000
1986/96
Section 3. That said bonds shall bear interest per annum at
the following rates, respectively, to -wit:
Bonds maturing 1977 through 1984 6.75/,
Bonds
maturing
19 :
through
1985,
. 6.65%,
Bonds
maturing
1986
through
1988,
5.9 ./,
Bonds
maturing
19'-
through
1989,
6.0 %,
Bonds
maturing
19.-
through
1990,
6.15/,
Bonds
maturing
19.
through
1991,
6.30%,
Bonds
maturing
19
through
1992,
6.45/,
Bonds
maturing
19^=
through
1993,
6.60%,
Bonds
maturing
1994
through
1995,
6.75/,
Bonds maturing 19 -,:through 1996, 5.750,
_
interest payable April 1, 1976, and semiannually thereafter on
October 1 and April 1 of each year until the principal sum is
paid.
Section 4. That said bonds, and the interest coupons apper-
taining thereto, shall be payable, shall have the characteristics,
and shall be signed and executed (and said bonds shall be sealed),
all as provided and in the manner indicated in the FORM OF BONDS
set forth in this ordinance.
Section 5. 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
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appertain and be attached initially to each of said bonds, shall
be respectively, substantially as follows:
T/ln nrt nrn n��1rn _
No.
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTY OF JEFFERSON
$5,000
CITY OF BEAUMONT, TEXAS,
GENERAL OBLIGATION BOND, SERIES 1975
ON APRIL'l, 19 , the CITY OF BEAUMONT; in the County of
Jefferson, 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 April 1,
1976, and semiannually thereafter on October 1 and April 1 of
each year until the principal sum is paid. The principal of this
bond and the interest coupons appertaining hereto shall be
L
payable to bearer in'any coin or currency which on the respective
dates of payment of such principal and interest is legal tender
for the payment of debts due the United States of America, without
exchange or collection charges to the bearer, upon presentation
and surrender of this bond or proper coupon at the Texas Commerce.
Bank N.A., Houston, Texas, or, at the option of the holder, at
The American National Bank of Beaumont, Beaumont, Texas,. which
shall be the paying agents for this series of bonds.
THE DATE OF THIS BOND, in conformity with the ordinance
hereinafter mentioned, is OCTOBER 1, 1975.
THIS BOND IS ONE OF A SERIES OF NEGOTIABLE, SERIAL, COUPON
BONDS of like tenor and effect except as to serial number, maturity
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and interest rate, being numbered consecutively from 1 to 4000,
both inclusive, in the denomination of $5,000 each, aggregating.
$20,000,000, and together with the other bonds of said series, is
issued for the purpose of constructing permanent public improvements
in and for said City, to -wit:
a municipal or civic center, consisting of an auditorium
building, a convention building and an office building;
the construction and improvement of the roads, bridges
and streets of such City, including but not by way.of
limitation, related drainage facilities, related traffic
control devices, and the acquisition of rights-of-way, and
for the further purpose of acquiring and/or constructing permanent
public improvements in and for said City, to -wit:
acquiring or improving, or.both, land for park purposes
(Fair Park), and
for the further purpose of constructing and acquiring permanent
public improvements in and for said City, to -wit:
a transit system garage and office building,
under and by virtue of the Constitution and laws of the State of
Texas, including particularly Chapters 1 and 7 of Title 22, Re-
vised Civil Statutes of Texas, 1925, as amended, the Home -Rule
Charter of said City and as authorized at an election held in and
throughout said City on October 1, 1974, and pursuant to an
ordinance duly passed and adopted by the City Council of said
City, which ordinance is,of record in the minutes of said City
Council.
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 issuance
and delivery of this bond, have been performed, existed and been
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l 6 --7-L9 75 -
done in accordance with law; and that annual ad valorem taxes
sufficient to provide for the payment of the interest on and
principal of this bond, as such interest comes due and such prin-
cipal matures, have been levied and ordered to be levied against
all taxable property in the City and have been pledged irrevocably
for such payment within the limits prescribed by law.
IN WITNESS WHEREOF, this bond has been signed by the Mayor
of the City by his manual signature and countersigned by the City
Clerk of the City by her facsimile signature, and the interest
coupons appertaining hereto have been signed by the facsimile
signatures of said Mayor and City Clerk, and the official seal of
the City has been impressed, or placed in facsimile, on this bond.
xxxxxxxxxxxxxxxxxx
Mayor, City of Beaumont, Texas
COUNTERSIGNED:
XVxxxxxxxxxx)VX
City Clerk, City of Beaumont,
Texas
(SEAL)
FORM OF REGISTRATION CERTIFICATE:
COMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER NO.
I HEREBY CERTIFY that this bond has been examined, certified
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.
WITNESS MY SIGNATURE AND'SEAL this
(SEAL)
Comptroller of Public Accounts
of the State of Texas
W
J
FORM OF INTEREST COUPONS:
No.
ON 11 .193
the CITY OF BEAUMONT, in the County of Jefferson, State of Texas,
promises to pay to bearer the amount shown on this interest
coupon, in any coin or currency which on such date is legal
tender for the payment of debts due the United States of America.,
without exchange or collection charges to the bearer, upon -pre-
sentation and surrender of this coupon, at the Texas Commerce Bank
N.A., Houston, Texas, or,, at the option of the holder, at The
American National Bank of Beaumont, Beaumont, Texas, said amount
being interest due. that date on the bond bearing the number here-
inafter designated of that issue of City of Beaumont, Texas,
General Obligation Bonds, Series 1975, dated October 1, 1975.
Bond -No..
Mayor
xxxxxxxxxxx xx x
City Clerk
xxxxxxxxxxxxxxxxxx
Section 6. That the approving opinion of Vinson, Elkins,
Searls, Connally & Smith, Houston, Texas, and Cusip Numbers may
be printed on the backs of the bonds, but errors or omissions in
such opinion or errors or omissions'of such numbers shall have
no effect whatever on the validity of such bonds.
Section 7. That there is hereby created a special fund to
be designated "City of Beaumont, Texas, General Obligation Bonds,
Series 1975, Interest and Sinking.Fund", and the proceeds from
all taxes assessed and collected for and on account of the bonds
authorized by this ordinance shall, as collected, be deposited
into said Fund. That while said bonds or any part of the prin-
cipal thereof or interest thereon remain outstanding and unpaid,
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there'is hereby levied and there shall be annually assessed and
collected, in due time, form and manner, and at the same time
other City taxes are levied, assessed and collected, in each
year, beginning with the current year, a continuing direct annual
ad valorem tax upon all taxable property within said City suffi-
cient to pay the current interest thereon and to create and
provide a sinking fund of not less than two per cent (2%) of the
principal amount of the bonds or of not less than the amount
required to pay the principal payable out of said tax, whichever
is greater, full allowance being made for delinquencies and cost
of collection, and said taxes.when collected shall be applied to
the payment of the principal of and interest on said bonds,. and
to no other purpose.
Section 8. That the accrued interest and premium, if any,
of the proceeds of sale of said bonds shall be deposited in the
City of Beaumont, Texas, General Obligation Bonds, Series 1975,
Interest and Sinking Fund, heretofore created for said bonds.
Section 9. That the City certifies that based upon all facts,
estimates and circumstances now known or reasonably expected to
be in existence on the date the bonds are delivered and paid for
the City reasonably expects that the proceeds of the bonds will.
not be used in a manner that would cause the bonds or any portion
of the bonds to be an "arbitrage bond" under Section 103(d)(2) of
the Internal Revenue Code of 1954, as amended, and the tem-
porary and proposed regulations heretofore prescribed thereunder,
including, without limitation, Sections 1.103-13 and 1.103-14
of the proposed regulations published in the Federal Register on
May 3, 1973. Furthermore, all officers, employees and agents of
the City are authorized and directed to pr ovide_certifications
1,6 --) -/ q 7S -
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s
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of facts, estimates and circumstances which are material to the
reasonable expectations of the City as of the date the bonds are
delivered and paid for, and any such certifications may be relied
upon by counsel, by the owners or holders of. the bonds, or by
any person interested in the exemption of interest.on the bonds
from Federal income taxation. Moreover, .the City covenants that
it shall make such use of the proceeds of the bonds, regulate
investments of proceeds of the bonds, and take such other and
further action as may be required so that the bonds.shall not
be "arbitrage bonds" under Section 103(d) of the Internal Rev-
enue Code of 1954, as amended, and regulations prescribed from
time to time thereunder.
Section 10.
That the Mayor of said City is hereby autho-
rized to have control of said bonds and all necessary records
and proceedings. 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, the Comptroller of Public Accounts
(or a deputy designated in writing to act for the Comptroller)
shall manually sign the Comptroller's registration certificate
prescribed herein to be printed and endorsed on each bond; and
the seal of the Comptroller shall be impressed,.or placed in
facsimile, on each of said bonds.
Section 11. That said bonds, having been advertised for pub-
lic sale in accordance with the terms.and provisions of Section 4,
Article IX of the City's Charter, and bids having been received
pursuant thereto, it is hereby found and determined that the bid
Q�
°jam
of First City National Bank of Houston, et al ,
at a price equal to the principal amount thereof, plus accrued
interest thereon from the date of actual delivery, plus a cash
premium of $ 85.00 , is the best bid received, and the sale
of said bonds to the named bidder at the stated price is hereby
authorized, approved, ratified and confirmed, subject to the
unqualified approving opinions as to the legality bf such bonds
by the Attorney General of.the State of Texas and Vinson, Elkins,
Searls, Connally & Smith, Houston, Texas, market attorneys, is
hereby authorized, approved, ratified and confirmed.
Section 12. That the Mayor, City Clerk and other appropriate
officers of the City of Beaumont are hereby authorized and directed
to do any and all things necessary and/or convenient to carry out
the terms of this ordinance.
Section 13. That this ordinance shall take effect immediately
upon its passage.
PASSED AND APPROVED.this 7th day of October, 1975.
ay , Cit of Beaumont, Texas
ATTEST:
City lerk, City o Be mont,
Texas
(SEAL)