HomeMy WebLinkAboutORD 62-DDC9.1tct' 6 -L0 4)
J
AN ORDINANCE
ACCEPTING PROPOSAL TO PURCHASE CERTAIN OUTSTANDING TAX
BONDS OF CITY OF BEAUMONT AND TO SURRENDER SUCH BONDS
FOR REFUNDING INTO REFUNDING BO .S OF SAID CITY; CON-
FIRMING AND RATIFYING APPROPRIATION OF MONEYS FOR PAY-
MENT OF INTEREST FALLING DUE ON SUCH OUTSTANDING BONDS
UNTIL THEY ARE SO REFUNDED; CONTAINING OTHER PROVI-
SIONS RELATING TO THE SUBJECT; AND PROVIDING THAT THIS
ORDINANCE SHALL TAKE EFFECT FROM AND AFTER ITS PASSAGE
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
The City Council of the City of Beaumont, Texas, convened
in. session at the City Hall within said City on the ��e-7A
day of 1961, with the following members present, to -wit:
C . H . LeBlanc Mayor
Jack M. Moore
W. W. Leach
Earl L. Patton
Rolfe Christopher
Jas. T. Garrard
Councilman, Ward No. 1
Councilman, Ward No. 2
Councilman, Ward No. 3
Councilman, Ward No. 4
City Clerk
and the following member(s) absent, to -wit: ��/Q �✓�= ,
when, among other business had, the following was transacted:
The Mayor introduced an ordinance which was read in full.
Councilman /_ C= I e- i 4 made a motion that the ordinance
be adopted as read. Councilman seconded the
motion for adoption of the ordinance. The motion, carrying with it
the adoption of the ordinance, prevailed by the following vote:
AYES: Councilmen Moore, Leach, Patton, Christopher
and Mayor LeBlanc.
NOES: None.
The Mayor thereupon announced that the motion had duly and
.awfully carried and that the ordinance had been duly and lawfully
adopted. The ordinance thus adopted follows:
d • • r y • y • -
AN ORDINANCE
ACCEPTING PROPOSAL TO PURCHASE CERTAIN OUTSTANDING TAX
BONDS OF CITY OF BEAUMONT AND TO SURRENDER SUCH BONDS
FOR REFUNDING INTO REFUNDING BONDS OF SAID CITY; CON-
FIRMING AND RATIFYING APPROPRIATION OF MONEYS FOR PAY-
MENT OF INTEREST FALLING DUE ON SUCH OUTSTANDING BONDS
UNTIL THEY ARE SO REFUNDED; CONTAINING OTHER PROVI-
SIONS RELATING TO THE SUBJECT; AND PROVIDING THAT THIS
ORDINANCE SHALL TAKE EFFECT FROM AND AFTER ITS PASSAGE
WHEREAS, by letter dated June 1,g , 1961, to the City Manager
of the City of Beaumont, Texas, the First National Bank, Beaumont,
Texas, has proposed to purchase $820,000 outstanding tax bonds of
said City maturing during the fiscal year ending June 30, 1962, by
making funds available at the various paying agent banks to pay the
principal of said bonds as they are presented for payment, the City
to pay the interest thereon which falls due on and prior to the ma-
turity of said bonds, respectively;.and
WHEREAS, said Bank further proposes in said letter to make
said outstanding bonds available for refunding and to accept in lieu
thereof the general obligation refunding bonds of the City, accom-
panied by the unqualified approving opinion of Messrs. Vinson, Elkins,
Weems & Searls, Houston, Texas, market attorneys, the City to pay in-
terest on said outstanding bonds from their maturity dates, respec-
tively, until the date of the bonds that refund them, respectively,
at the same interest rates that said outstanding bonds now bear,
respectively; and
WHEREAS, said refunding bonds are to bear interest at the
rate of 3.30% per annum, and are to be issued in two series or issues
of bonds, to -wit: (1) $516,000 refunding bonds to be dated December
15, 1961, which will refund those presently outstanding bonds which
mature between July 1, 1961 and December 1, 1961, and (2) $304,000
refunding bonds to be dated June 15, 1962, which will refund those
-2-
presently outstanding bonds which mature between February 1, 1962 and
June 15, 1962, all as more particularly set forth in the letter dated
June 20, 1961, from Eddleman, Pollok & Fosdick, Incorporated, Houston,
Texas, to the City Manager of said City, the proposal contained in
said letter of June 20, 1961, having been accepted by the City Council
of said City by ordinance adopted June 27, 1961; and
WHEREAS, in said ordinance adopted June 27, 1961, the City
appropriated moneys, available and on hand, to pay all maturing in-
terest coupons on said outstanding bonds and to pay interest thereon
from the maturity dates of said outstanding bonds, respectively, to
the dates.of the proposed refunding bonds, respectively, at the same
rates that said outstanding bonds now bear; and
WHEREAS, the City Council wishes to accept the proposal of
said First National Bank and to award a contract to such Bank;
Therefore
BE IT ORDAINED BY THE CITY OF BEAUMONT:
Section 1: That the proposal contained in the letter dated
P �_ , 1961, from the First National Bank, Beaumont,
Texas, to the City Manager of said City, a copy of which letter is
attached hereto marked "EXHIBIT A" and is hereby made a part of this
ordinance for all intents and purposes as though fully set forth
herein, is hereby in all things accepted, and the City of Beaumont
hereby agrees to all the terms and provisions of said proposal as set
forth in said letter and to take all necessary and appropriate action
and steps to issue the refunding bonds described in said letter and
more particularly described in the letter dated June 20, 1961, from
Eddleman, Pollok & Fosdick, Incorporated, Houston, Texas, to said
City Manager; and a contract is hereby awarded to said Bank for the
matters convered in its aforesaid letter.
-3-
Section 2: That said letter, together with this,ordinance,
shall constitute the contract between said City and said First
National Bank.
Section 3: That the appropriation of moneys for the pay-
ment of all maturing interest coupons on the outstanding bonds to be
refunded and for the payment of interest thereon from their maturity
dates to the date of the bonds that refund them, as provided in the
ordinance adopted by the City Council of said City on the 27th day
of June, 1961, is hereby in all things confirmed and ratified.
Section 4: That this ordinance shall take effect from and
after the date of its passage.
PASSED this -c 6 day of Jo 1961.
ATTEST:
C"rty Clerk, City of Beaumont,` Texas
(SEAL)
Mayor, City of Beaumont, Texas
The foregoing ordinance and all the terms and
provisions thereof are hereby approved.
m�v
ector f -Flnol ce
Y
THE RR.ST NATi®NAL, BANK ®F BEAUMONT
ESTABI)SHED IF99
BEA.UMONT, TEXAS
June 28, 1961
JOHN E. GRAY
PRESIDENT
Mr. Jack W. Jeffrey, City Manager
City of Beaumont
City hall
Beaumont, Texas
Bear Air. Jeffrey:
Mr. R. N. Eddleman of Eddleman, Pollok & Fosdick, Incorporated,
Houston, Texas, acting as agent for the City of Beaumont, has contacted
us concerning the purchase by us of the $820,000 tax bonds of the City
of Beaumont maturing within the fiscal year ending June 30, 1962, all as
more particularly described in the letter to yo'i from that firm, dated
June 20,.1961. .
We hereby propose to the City of Beaumont that we will purchase said
bonds by making funds available at the various paying agent banks to pay
the par value of such bonds as they are presented for payment and to sur-
render said bonds for refunding, upor. the following conditions:
(1) The City will provide funds to pay all interest
maturing on and prior to the respective maturity
dates of such bonds;
(2) The City will pay us interest on said outstanding
bonds from their respective maturity dates to the
date of the bonds that refund them at the same
rates that the bonds now bear; and
(3) The City will authorize and issue $516,000 refund-
ing bonds, to be dated December 15, 1961, bearing
interest at the rate of 3.30% per annum, and ma-
turing on the dates specified in said letter of
- June 20, 1961, which will refund a like principal
amount of the outstanding bonds which mature be-
tween July 1, 1961 and December 1, 1961, and
i
E/ u
Air.. Jack W. Jeffrey -2- June 28, 1961
$304,000 refunding bonds, to be dated June 15,
1962, bearing interest at the rate of 3.30% per
annum, and maturing on the dates specified in
said letter of. June 20, 1961, which will refund
a like principal amount of the outstanding bonds
which mature between February 1, 1962 and June 15,
1962.
At or before the time that the Comptroller of Public Accounts of
the State of Texas registers each issue of refunding bonds, respectively,
we will surrender to said Comptroller the outstanding bonds to be refunded
thereby for exchange and cancellation and will accept in lieu thereof the
refunding bonds of the City as described above, and the City will take all
steps required to assure that the refunding bonds will be issued and de-
livered to us. The City will furnish, without expense to us, the opinion
of Messrs. Vinson, Elkins, Weems & Searls, Houston, Texas, market attorneys,
approving each issue of refunding bonds as valid and binding obligations
of the City of Beaumont, Texas.
We agree that the proposal by us contairked in this latter ruay be
accepted by resolution or ordinance adopted by the City Council of tiie
City of Beaumont, that this letter and such resolution or ordinance will
constitute the contract between the City and this Sank, and that the letter
of June 20, 1961, mentioned above, may be referred to for all details not
covered by this letter.
Respectfully subrvitted,
THE FIRST RATIONAL BA14K
BEAUMONT, TEXAS 11
BY
President
dEG e e p
41 4.
AN ORDINANCE
ACCEPTING PROPOSAL FOR FISCAL AGENT SERVICES IN CONNECTION
WITH ISSUANCE OF BONDS TO REFUND CERTAIN OUTSTANDING TAX
BONDS F CITY OF BEAUMONT AND AWARDING CONTRACT THEREFOR;
APPROPRIATING MONEYS FOR PAYMENT OF INTEREST FALLING DUE
ON SUCH OUTSTANDING BONDS UNTIL THEY ARE SO REFUNDED; APPRO-
PRIATING MONEYS FOR SUCH FISCAL AGENT SERVICES; CONTAINING
OTHER PROVISIONS RELATING TO THE SUBJECT; AND PROVIDING THAT
THIS ORDINANCE SHALL TAKE EFFECT FROM AND AFTER ITS PASSAGE
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
The City Council of the City of Beaumont, Texas, convened in
regular session at the City Hall within said City on the 27th day of
June, 1961, with the following members present, to -wit:
C. H. LeBlanc
Jack M. Moore
W. W. Leach
Earl L. Patton
Rolfe Christopher
Jas T. Garrard
Mayor
Councilman, Ward No. 1
Councilman, Ward No. 2
Councilman, Ward No. 3
Councilman, Ward No. 4
City Clerk
and the following member(s) absent, to -wit: -'v,!f3 -VF
when, among other business had, the following was transacted:
The Mayor introduced an ordinance which was read in full.
Councilman /1100 9 i-C made a motion that the ordinance be
adopted as read. Councilman L r .4c o seconded the motion
for adoption of the ordinance. The motion, carrying with it the
adoption of the ordinance, prevailed by the following vote:
AYES: Councilmen Moore, Leach, Patton, Christopher
and Mayor LeBlanc,
NOES: None.
The Mayor thereupon announced that the motion had duly and
lawfully carried and that the ordinance had been duly and lawfully
adopted. The ordinance thus adopted follows:
t
p',i , 6 71a .0
(,, -'aj lei � I
AN ORDINANCE
ACCEPTING PROPOSAL FOR FISCAL AGENT SERVICES IN CONNECTION
WITH ISSUANCE OF BONDS TO REFUND CERTAIN OUTSTANDING TAX
BONDS OF CITY OF BEAUMONT AND AWARDING CONTRACT THEREFOR;
APPROPRIATING MONEYS FOR PAYMENT OF INTEREST FALLING DUE ON
SUCH OUTSTANDING BONDS UNTIL THEY ARE SO REFUNDED; APPROPRI-
ATING MONEYS FOR SUCH FISCAL AGENT SERVICES; CONTATNING
OTHER PROVISIONS RELATING TO THE SUBJECT; AND PROVIDING THAT
THIS ORDINANCE SHALL TAKE EFFECT FROM AND AFTER ITS PASSAGE
WHEREAS, by letter dated June 20, 1961, to the City Manager
of the City of Beaumont, Texas, Eddleman, Pollok & Fosdick, Incorpo-
rated, Houston, Texas, has proposed to act as agent for said City and
to perform such services as may be required to effect the refunding
of an aggregate of $820,000 outstanding tax bonds of said City which
mature between July 1, 1961 and June 15, 1962, into a like amount of
refunding bonds of said City, said outstanding bonds and proposed re-
funding bonds being more particularly described in said letter; and
WHEREAS, among other things, said firm proposes in said let-
ter to secure a purchaser for said outstanding bonds who will make
funds available at the various paying agent banks to pay the par
value of said bonds as they are presented for payment, the City to
pay the interest thereon which falls due on and prior to the matur-
ity of the bonds, respectively; and
WHEREAS, it is further proposed in said letter that the pur-
chaser will agree to make the outstanding bonds available for re-
funding and accept in lieu thereof the general obligation refunding
bonds of said City, accompanied by the unqualified approving opinion
of Messrs. Vinson, Elkins, Weems & Searls, Houston, Texas, market
attorneys, the City to pay interest on said outstanding bonds until
the date of the bonds that refund them,respectively, at the same in-
terest rates that said outstanding bonds now bear, respectively; and
-2-
0
r .1
V.
WHEREAS, said refunding bonds are to bear interest at the
rate of 3.30% per annum,.and are to be issued in two series or issues
of bonds, to -wit: (1) $516,000 refunding bonds to be dated December
15, 1961, which will refund those presently outstanding bonds which
mature between July 1, 1961 and December 1, 1961, and (2) $304,000
refunding bonds to be dated June 15, 1962, which will refund"those
presently outstanding bonds which mature between February 1, 1962 and
June 15, 1962, all as more particularly set forth in said letter; and
WHEREAS, said firm proposes to act as agent for the City and
perform such services for a fee of $3, 569.00, to be paid as follows:
42,057.00 to be paid upon the approval by the Attorney General of
Texas and Messrs. Vinson, Elkins, Weems 8c Searls of the $516,000 re-
funding bonds to be dated December 15, 1961, and $1,512.00 to be paid
upon approval by the Attorney General of Texas and Messrs. Vinson,
Elkins, Weems 8c Searls of the $304,000 refunding bonds to be dated
June 15, 1962; and
WHEREAS, there are moneys presently on hand and available in
the interest and sinking funds, respectively, of said outstanding
bonds more than sufficient to pay all maturing interest coupons on
said outstanding bonds and to pay interest thereon from the maturity
dates of said outstanding bonds, respectively, to the dates of the
proposed refunding bonds, respectively, at the same rates that said
outstanding bonds now bear; and
WHEREAS, there are moneys presently on hand and available in
the General Fund of the City under the current budget more than suf-
ficient to pay the aforesaid fee of said Eddleman, Pollok 8c Fosdick,
Incorporated; and
WHEREAS, the City Council of said City wishes to accept said
proposal and award a contract to said firm; Therefore
-3-
e
BE IT ORDAINED BY THE CITY OF BEAUMONT:
Section 1: That the proposal contained in the letter dated
June 20, 1961, from Eddleman, Pollok & Fosdick, Incorporated, Houston,
Texas, to the City Manager of the City of Beaumont, Texas, a copy of
which letter is attached hereto marked "EXHIBIT A" and is hereby made
a part of this ordinance for all intents and purposes as though fully
set forth herein, is hereby in all things accepted, and the City of
Beaumont hereby agrees to all the terms and provisions of said pro-
posal as set forth in said letter and to take all necessary or appro-
priate action and steps to issue the refunding bonds described in
said letter; and a contract is hereby awarded to said firm to perform
the services outlined in said letter.
Section 2: That said letter, together with this ordinance,
shall constitute the contract between said City and Eddleman, Pollok
& Fosdick, Incorporated.
,/Section 3: That there is hereby appropriated out of the in-
terest and sinking funds of the outstanding bonds, respectively,
which are to be refunded, as more specifically provided in the pre-
amble to this ordinance, in amounts sufficient to pay all maturing
interest coupons appertaining to said outstanding bonds and to pay
interest thereon from their maturity dates to the date of the bonds
that refund them.
Section 4: That there is hereby appropriated out of the
General Fund of said City the sum of $3,569.00 to pay the fee of said
Eddleman, Pollok & Fosdick, Incorporated, to be performed as provided
in said letter, said fee to be paid in two installments as more spe-
cifically provided in said preamble.
Section 5: That this ordinance shall take effect from .and
after the date of its passage.
-4-
PASSED this 27th day of June, 1961.
l�4 C? , �'-------
Mayor, City of Beaumont, Texas
ATTEST:
7-Clerk, City of Beaumont, Texas
(SEAL)
The foregoing ordinance and all the terms and provisions
CD
thereof are hereby approved.
Director o �Firian'cei (/
-5-
0
� 6 � ZD 2)
EDDLEMAN, POILEOK FOSDfCK
INVESTMENT BANK EFL
939 BANK OF T"E sn_ E S -1 E3 L r
HOUSTON 2,
T '- X 4 S C A P, 7- C-) 5:,. 2 2
Mr. Jack W- JeffreY, City MaamCor
City Of Y*vumont
City Bull
Beaumoiat, Texp_s
Dear Mr. Jeffrey:
Th-- City
Of Bftuwnt has Outstanding $,'Fj20,CW Par v-elue �f b:)r;d,, rvatuTing
vIthin the fiscal
year ending
JUlm 30,
1962 which we understanmL yo�.j rja-v
conaider
refunding
intc bonifts
maturing
serially witL-in , ye,&r�,to
our records, th*8a bon& mture as
rlhovn An the foiliwjjjg.
Coupon
Dated
Amount
Maturity
Rate
7-1-29
7-1-30
$26, OX
27,000
7-1-61
7-1-61
4 1 ' '2%
4 112%
.ja--
First 11atioi j,ty
First
natjor--j- City r Y
8-1-46
25,000
8 - -1 - F, 1
2 114 x
chase 1-1--mahatt—ar, F k,
? - 1 -4 7
9-1-54
50,000
�)4
9-1-61
12
First natior.w.1 city T.-I, ilevr yj-4-k
000
9-1-61
2 1 2%
ot
Barris Tm&. Loa��r�in-s par
21,; , DW
10-1-61
5%
First Natinnal, City 7--ank, New -Yjr',,
10-15-52
72,004
10-15-61
3 1 A!,
Chmical Bank New York
11-1-57
65,00G
11-1-61
5%
First City Nati3nal BaAjs,
7 2, 000
11-15-61
2 3,.'4%
cbemical kaxjk
-2-6
5 0, xx)
12-1-61
5%
First Wationol cj,,y n
10, Goo
1,,? - 1 --6 1
3 1 /'4f
cbe-se' Manhattan Bmri" I "-a� Y%-r""
2-1 26
-:-,o C 000.
2-1-62
%
First Nation-n-I Ci%'-y 1":,an)s, '7--V-,-
_,I
16, GOD
2-2.-62
4 1/2%
First Natioll.:a., Y-:.,-"
9
109, 000
2-1-620
2 1 /4
Am-rican
2 - 15 - 55
34, oy)
20--t5 -62
3%
Mercantile '1;;vtiDnaj Dcz�k
1 1-1-15-58
30,000
2-15-6,o
3%
First ffAtjz)rgLj n,:,zv
21-15-59
5j,000
2-13 -62
4,%
Americc-n Kati. Dank P, Tri t, t":h-'CL.J_'j
Mr. Jack W. Jeffrey,
coupon
Dated Amount MsturLtY Rate-
4-1-58 $15,0oo 4-1-62 3 1/4%
5-1-31 4,000 5-1-62 4 1/2%
6-15-48 61, 000 6-15 -62 2 3./40
Nying Aent
First National Bank, Beamont
First National City Bank, New York
American Natl. Bank & Trust, Chicago
Based on the foregoing, ve submit for your consideration this proposal to
act as your agent and perform such services as may be requirv8 on our part
to refund these outstanding $820,000 of Bonds:
(1) be will secure for tb* City a purchaser for the $620,000
maturing bonds who will make funds available at the various paying agents
to pay they par value of bonds as they am presented for payment. The
purchaser frill provide funds only to the extent of the parr value of the
maturing bonds and the City Mill provide funds to pay maturing interest
coupons.
(2) The purcbaser will agree to make the bands available for
refunding and accept in lieu thereof General Obligation Refunding Bonds
accuapanted by the unqualified apprmdug opinion of Messrs. Vinson, Bikins,
Weew & gearls, Bond Attornemya of Rouston, bearing interest at the rate:
of 3.30% per annum(vhich is more than 0.10% less than the average rate on
the bonds being refunded and maturing
$70,000 12-15-63
75,000 12-15 -64
80,000 12-15-65
--85,000 - - 12-15-66
90, 000 12-15 -67
95,E-15-
100,000 12-15-69
110,000 12-15-70
115,000 12-15-71
The City agrees to pay the purchaser interest on the bonds to be refunded
from their maturity date tothe date of the refunding bonds at the same
coupon rate at which they were issued:
In order to limit the =ber of deliveries of refunding bonds, the purchaser
Will accuetulate bonds maturing July 1, 1961 to December 1, 1961 in the
amount of $516,000, and accept in lieu of theme $516,000, 3.30% Refunding
Bonds dated 12-15-61, and maturings
Mr. Jack I . Jeffrey,
6, 000
90..000
95,000
100,000
U0,000
115,000
and 'will acc,,=ulete bonds wturing Febrwa',-y
-,he a'auunt of 8,304,,OW and accept in lieu of izj-'A
Bands !a -Led June 15, 1962 and maturing-, --'un
4 70,000
751000
60,000
P), coo
Tbm City agrees to- pars such ordinances an, may "o-c
the retwiding and to pay all expetmes Incialer.T.&I
fees, printing the bonds, chipping charges, etc,
5 - 5
For our services w aro to receive a fee uivor by
the Attorney General " gassra. Vjuaor,, Dikilar., "IX of th'�
I ' 4 -,
", ,
$516,OW Refunding Bonds dated D"mber 11: L�)6'1
i4p*n approY&I of the 3304,000 Refunding Bondp; -
Your; Yery tlruiy,
MU: bp
cc: Mr. Ge-Orge S. nn-pby, City Attorney
City of Beaumont
city wi
Beaumont, Texas
Mr. George Sparks
Vinson, Elkins, Weems & girls
20th Floor Firot City National Bank Bldg,
Houeton 2, Texas
CV, 6c�_ 101))
INTER -OFFICE MEMORANDUM
CITY OF BEAUMONT, TEXAS
Date: June 27, 1961
To: Mr. Jas. T. Garrard, City Clerk
From: George E. Murphy, City Attorney
Subject:
COMMENT:
I am returning for your files the original ordinance
adopted this morning by the City Council -accepting the pro-
posal of Eddleman, Pollok & Fosdick, Incorporated.
This should be filed in the customary manner.
GEM:h
encl.
0
LE
e
''. Murph
y Attorney
(0 �_)
5�°