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HomeMy WebLinkAboutRES 74 302I RESOLUTION EXERCISING OPTION TO PURCHASE WHEREAS, the Sabine River Authority of Texas - City of Beaumont, Waste Disposal Contract, dated as of August 13, 1971, was duly executed; and WHEREAS, pursuant to said Contract the Sabine River Au- thority of Texas duly issued, sold, and delivered its Sabine River Authority of Texas - City of Beaumont, Waste Disposal Contract Revenue Bonds, Series 1971, in the principal amount of $150,000; and WHEREAS, said bonds are subject to redemption prior to maturity, at the option of the Authority, on any date, for the price of par and accrued interest to date of redemption, provid- ed written notice of such redemption is given to the Paying Agent for said Bonds, and the redemption price is deposited with said Paying Agent, prior to the date fixed for redemption; and WEHREAS, Section 18 of the aforesaid Contract reserved to the City an option to purchase all of the Authority's right, title, and interest in and to the Sewage Project designated as WPC-TEX-698, which was the subject matter of said Contract; and WHEREAS, the Consulting Engineers under said Contract have executed a Certificate to the effect that said Project has been completed and placed in operation, and that all payments under all construction and other contracts pertaining to the acquisi- tion and construction of said Project have been paid. IT IS THEREFORE RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: Section 1. That the City hereby exercises its option and right to purchase, in one installment, all of the Au- thotity's right, title, and interest in and to said Project, for a price equal to the total amount required to redeem, re- tire, and cancel all of the aforesaid outstanding bonds issued by the Authority, including the par or principal amount thereof, the accrued interest to date of redemption, and the Paying Agent's charges for redeeming said bonds, all in accordance with the aforesaid Contract. Section 2. That a certified copy of this Resolution shall be duly delivered to the Authority, and it is hereby requested that the Authority fix the date of redemption of the aforesaid bonds to be as soon as practicable, and that the City be notified of such date forthwith. Section 3. That prior to said date fixed for redemption, the City shall make the necessary redemption price available to the Authority in current and immediately useable funds, in such manner as will enable the Authority to use said funds for re- deeming said bonds on said date. Section 4. That the City requests, in accordance with the aforesaid Contract, that immediately after said bonds have been redeemed, the Authority shall duly execute a conveyance con- veying all of its right, title, and interest in and to the Project to the City. PASSED BY THE CITY 'COUNCIL of the City of Beaumont this the day of .. �{ , 1974. - a or -