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HomeMy WebLinkAboutOrdinance 6678 ORDINANCE N0. AN ORDINANCE PROVIDING FOR THE ISSUANCE OF ONE MILLION, TWO HUNDRED AND SIXTY-FIVE THOUSAND DOLLARS ($1,265,000°00) OF CITY OF FORT WORTH, TEXAS, REFUNDING BONDS, SERIES 1972E, BEARING INTEREST AT THE RATES HEREINAFTER SET FORTH, AND PROVIDING FOR THE LEVY, ASSESSMENT AND COL- LECTION OF A TAX SUFFICIENT TO PAY THE INTEREST ON SAID BONDS AND TO CREATE A SINKING FUND FOR THE REDEMPTION THEREOF AT MATURITY; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH; AND PRO- VIDING THAT THIS ORDINANCE SHALL BE IN FORCE AND EFFECT FROM AND AFTER THE DATE OF ITS PASSAGE. WHEREAS, on July 27, 1970, the City Council of the City of Fort Worth, Texas, passed Ordinance No. 6340, authorizing the issuance of the following warrants of said City: City of Fort Worth, Texas, Municipal Office Building Construction Warrants dated Septem- ber 1, 1970, bearing interest at the rate of 6% per annum, in the amount of $1,265,000.00; and, WHEREAS, pursuant to said Ordinance No, 6340, the fol- lowing warrants have been delivered, and said City has re- ceived full value therefor: Warrant Numbers Aggregate Amount 1 $ 273,000 2 91,000 3 122,000 4 95,000 5 57,000 6 26,000 7 471,000 8 130,000 $1,265,000; and, WHEREAS, said One Million, Two Hundred and Sixty-five Thousand Dollars ($1,265,000.00) of such warrants are now outstanding; and, WHEREAS, it is to the best interest of the City and its taxpayers to issue the Refunding Bonds as hereinafter set out; and, WHEREAS, the City will issue these Refunding Bonds pur- suant to Article 717k-3 of Vernons Texas Civil Statutes; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION to That said City's coupon bonds, to be designated "City of Fort Worth, Texas, Refunding Bonds, Series 1972E," are hereby authorized to be issued and delivered under and by virtue of the Constitution and laws of the State of Texas and the Charter of said City for the purpose of refunding the Warrants in the amount of One Million, Two Hundred and Sixty-five Thousand Dollars ($1,265,000,00) described in the second "Whereas" of the preamble of this ordinance® SECTION 2 That said bonds shall be numbered from one (1) to two hundred and fifty-three (253) , both inclusive, of the de- nomination of Five Thousand Dollars ($5,000000) each, aggre- gating One Million, Two Hundred and Sixty-five Thousand Dol- lars ($1,265,000.00) . SECTION 3, That said bonds shall be dated June 1, 1972, and shall become due and payable serially as follows: Bond Numbers Maturity Dates Amounts 1 to 15, both incl. June 1, 1973 $75,000.00 16 to 32, both incl. June 1, 1974 85,000.00 33 to 49, both incl. June 1, 1975 85,000.00 50 to 66, both incl. June 1, 1976 85,000.00 67 to 83, both incl. June 1, 1977 85,000.00 84 to 100, both incl. June 1, 1978 85,000.00 101 to 117, both incl, June 1, 1979 85,000.00 118 to 134, both incl. June 1, 1980 85,000.00 135 to 151, both incl. June 1, 1981 85,000.00 152 to 168, both incl. June 1, 1982 85,000.00 169 to 185, both incl. June 1, 1983 85,000.00 186 to 202, both incl. June 1, 1984 85,000.00 203 to 219, both incl. June 1, 1985 85,000.00 220 to 236, both incl. June 1, 1986 85,000.00 237 to 253, both incl. June 1, 1987 85,000.00 SECTION 4. That said bonds shall bear interest at the rates as follows: Bonds Nos. 1 to 32, both incl., 5.50% per annum; Bonds Nos. 33 to 49, both incl., 3.80% per annum; Bonds Nose 50 to 66, both incl., 3.50% per annum; Bonds Nos. 67 to 83, both incl., 3.60% per annum; Bonds Nos. 84 to 100, both incl., 3.70% per annum; Bonds Nos. 101 to 117, both incl., 3x80/ per annum; Bonds Nos. 118 to 134, both incl., 3.90% per annum; Bonds Nos. 135 to 151, both incl., 4.00% per annum; Bonds Nose 152 to 168, both incl., 4.10% per annum; Bonds Nos. 169 to 185, both incl., 4.20/ per annum; Bonds Nos. 186 to 202, both incl., 4.30% per annum; Bonds Nos. 203 to 219, both incl., 4.40%/ per annum; Bonds Nos. 220 to 236, both incl., 4.50. per annum; and Bonds Nos. 237 to 253, both incl., 4,60% per annum, payable December 1, 1972, and semi-annually thereafter on June lst and December lst of each year. SECTION 5. That the principal of and interest on said bonds shall be payable upon presentation and surrender of bond or proper coupons at the Manufacturers Hanover Trust Company, in the Borough of Manhattan, City and State of New York. SECTION 6. That each of said bonds shall be executed for and on behalf of the City of Fort Worth, Texas, by the facsimile signature of the Mayor, approved`as to form and legality by the facsimile signature of the City Attorney, and attested manually by the City Secretary, with the seal of the City thereon duly affixed to, or impressed, or printed or litho- graphed; and the interest coupons shall be executed with the lithographed or printed facsimile signatures of the Mayor and City Secretary of the City of Fort Worth, Texas; and such facsimile signatures shall have the same effect as if manually placed on said bonds and coupons. SECTION 7. That the form of said bonds shall be substantially as follows: NO. UNITED STATES OF AMERICA $5,000.00 STATE OF TEXAS COUNTY OF TARRANT CITY OF FORT WORTH REFUNDING BOND SERIES 1972E The City of Fort Worth, in the County of Tarrant, State of Texas, a municipal corporation duly incorporated under the laws of the State of Texas, for value received, hereby promises to pay to the bearer hereof, on the lst day of June, 19 the sum of FIVE THOUSAND DOLLARS in lawful money of the United States of America, with inter- est thereon from date hereof at the rate of % per annum, evidenced by coupons payable December 1, 1972, and semi-annually thereafter on June lst and December lst of each year, both principal and interest payable upon presentation and surrender of bond or proper coupon at the Manufacturers Hanover Trust Company, in the Borough of Manhattan, City and State of New York; and the City of Fort Worth, Texas, is hereby held and firmly bound, and its faith and credit and all taxable property in said City are hereby pledged for the prompt payment of the principal of this bond at maturity and the interest thereon as it accrues. This bond is one of a series of two hundred and fifty- three (253) bonds of like tenor and effect, except as to number, interest rate and maturity, numbered from one (1) to two hundred and fifty-three (253) , both inclusive, of the denomination of Five Thousand Dollars ($5,000.00) each, ag- gregating One Million, Two Hundred and Sixty-five Thousand Dollars ($1,265,000.00) , issued for the purpose of refunding outstanding warrants of said City under and by virtue of the Constitution and laws of the State of Texas and the Charter of said City, and pursuant to an ordinance passed by the City Council of the City of Fort Worth, Texas, which ordi- nance is duly of record in the Minutes of said City Council. The date of this bond in conformity with the ordinance above mentioned is June 1, 1972. In addition to all other rights, the holders of this series of bonds shall be subrogated to all pertinent and necessary rights of the holders of the obligations being re- funded thereby. AND IT IS HEREBY CERTIFIED that the issuance of this bond, and the series of which it is a part, is duly au- thorized by law; that all acts, conditions and things re- quired to be done precedent to and in the issuance of this series of bonds, and of this bond, have been properly done and performed and have happened in legal and due time, form and manner as required by law; that sufficient and proper provision for the levy and collection of taxes has been made, which, when collected, shall be appropriated exclusive- ly to the payment of this bond and the series of which it is a part and to the payment of the interest coupons hereto annexed as the same shall become due; and that the total indebtedness of said City of Fort Worth, Texas, including the entire series of bonds of which this is one, does not exceed any constitutional, statutory or charter limitation. IN WITNESS WHEREOF, this bond has been signed by the printed or lithographed facsimile signature of the Mayor of said City, attested by the manual signature of the City Secretary, and approved as to form and legality by the printed or lithographed facsimile signature of the City Attorney, and the interest coupons attached hereto have been signed by the printed or lithographed facsimile signatures of the Mayor and City Secretary, and the official seal of said City has been duly affixed to, or impressed, or printed or lithographed on this bond. CITY OF FORT WORTH, TEXAS ATTEST: BY Mayor City Secretary APPROVED AS TO FORM AND LEGALITY: City Attorney That the form of coupons to be attached to said bonds shall be substantially as follows: THE CITY OF FORT WORTH, TEXAS, promises to pay to bearer at the Manufacturers BOND NO. Hanover Trust Company in the City of New On the 1st day of York, New York, the amount specified here- Dec., 19 on for interest due that day on its June, Refunding Bond, Series 1972E, dated SERIES 1972E June 1, 1972. COUPON NO. CITY OF FORT WORTH, TEXAS BY Mayor ATTEST: City Secretary That substantially the following certificate shall be printed on the back of each bond: OFFICE OF COMPTROLLER STATE OF TEXAS I HEREBY CERTIFY that there is on file and of record in my office a certificate of the Attorney General of the State of Texas to the effect that this bond has been examined by him as required by law, and that he finds that it has been issued in conformity with the Constitution and laws of the State of Texas and the Charter of said City, and that it is a valid and binding obligation upon the City of Fort Worth, Texas, and said bond has this day been registered by me. WITNESS my hand and seal of office at Austin, Texas, this the day of , A. D. 19 Comptroller of Public Accounts of the State of Texas SECTION B. That the proceeds from all taxes collected for and on account of this :series of bonds shall be credited to an Interest and Redemption Fund for the purpose of paying the interest as it accrues and to provide a sinking fund for the purpose of paying each installment of principal as it becomes due; that for each year hereafter while any of said bonds, or interest thereon, are outstanding and unpaid, there shall be computed and ascertained, at the time other taxes are levied, the rate of tax based on the latest approved rolls of said City as will be requisite and sufficient to make, raise and produce in each of said years a fund to pay the interest on said bonds and to provide a sinking fund suffi- cient to pay the principal as it matures, or at least 2% of the principal as a sinking fund, whichever is greater, full allowances being made for delinquencies and costs of col- lection; that a tax at the rate as hereinabove determined is hereby ordered to be levied and is hereby levied against all the taxable property in said City for each year while any of said bonds or interest thereon are outstanding and unpaid; that the said tax each year shall be assessed and collected and placed in the Interest and Redemption Fund; and that the City Treasurer shall honor warrants against said fund for the purpose of paying the interest maturing and principal of said bonds and for no other purpose. SECTION 9e That the proper proportionate part of the Interest and Sinking Fund originally established for the obligations be- ing refunded, together with the proper proportionate part of all taxes heretofore levied and now in the process of collection for the benefit of said obligations being refunded, are hereby appropriated, and shall be transferred immediately to the Series 1972 Interest and Redemption Fund created here- in. SE CT ION 10. That to pay the interest scheduled to mature on Decem- ber 1, 1972, there is hereby appropriated the sum of Twenty- six Thousand, Six Hundred and Seventy Dollars ($26,670.00) from funds of the City available for such purpose, which, together with the money herein required to be transferred from the Interest and Sinking Fund of the obligations being refunded shall be used for no other purpose than to pay said interest. SECTION 11. That the Comptroller of Public Accounts of the State of Texas is hereby authorized and directed to deliver said bonds to the holder or holders of the obligations being refunded thereby, in exchange for, and upon surrender and cancellation of, a like principal amount of said obligations being so re- funded. Said exchange may be made in one or in several in- stallment deliveries. SECTION 12 That the bonds herein authorized shall be presented to the Attorney General of the State of Texas for examination and approval and to the Comptroller of Public Accounts for registration; that 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 certificate of registration prescribed herein to be printed on the back of each bond; and that the seal of the Comptroller shall be affixed to, or impressed, or printed or lithographed on each of said bonds. SECTION 13 That all ordinances and resolutions or parts thereof in conflict herewith are hereby repealed. SECTION 14. That this ordinance shall take effect and be in full force and effect from and after the date of its passage, and it is so ordained. SECTION 15. That it is officially found and determined that a case of emergency and urgent public necessity exists which re- quires the holding of the City Council meeting at which this ordinance is passed, such emergency or urgent public necessity being that the issuance of the proposed bonds is needed in order to refund the City's outstanding warrant indebtedness, and it is required that it be done immediately; 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 required by Vernon's Civil Statutes, Article 6252-17, Mayor of the City of Fort Worth, Texas ATTES C' y S'4cretary of the City of Fort Worth, Texas APPROVED AS TO FORM AND LEGALITY: City Attorney of the City of Fort Worth, Texas 0.2'5�r -*-&G'7Q City of Fort Worth, Texas Mayor and Council Communication DATEREFERENNUMBER CE SUBJECT: Sale of $4,265,000 General PAGE 5/24/72 G-1986 Obligation Bonds Iof 1 Bids for $4,265,000 General Obligation Bonds were received Wednesday, May 24, - 1972, at 10 A.M. A summary of the average net effective interest rate for bids received is shown below. Chemical Bank 4.198786% Banc Northwest 4.20618 Harris Trust and Savings 4.2205 First National City Bank 4.2443 Continental Illinois National Bank 4.24590 Fort Worth National Bank 4.2542 Halsey Stuart and Company 4.26065 Wortheim and Company, Inc. 4.26472 Smith Barney & Company 4.266035% Mercantile Trust Company 4.2790 First National Bank of Chicago 4.28190 Salomon Brothers and Associates 4.28381 Philadelphia National Bank 4.29633 Kidder, Peabody & Company 4.3146 Morgan Guaranty Trust 4.35183 % It is recommended that the bonds be sold to the bidder offering the lowest interest cost, Chemical Bank,at an average net effective rate of 4.198786%, and that the City Council adopt Ordinance Number 6677 authorizing the is- suance of $39000,000 Transportation System Bonds, and Ordinance Number 6678 authorizing the issuance of $1,265,000 Refunding Bonds. RNL:mhg SUBMITTED BY: DISPOSITION By COUNCIL: PROCESSED BY PROVED ❑ OTHER (DESCRIBE) CIT SECRETARY DATE CITY MANAGER City ®f Fort Worth, Texas Mayor and Council Communication DATE REFERENCE SUBJECT: NUMBER PAGE Printing Bonds 5/24/72 P-871 1 of 1 Bids for printing 853 wing style bonds were mailed to six companies. The following bids were received May 18, 1972. Charge Per Base Bid Interest Change Steck Warlick Company $1,141.00 $12.50 Northern Bank Notre Company $1,293.00 $25.00 Northern Bank Note Company also submitted a proposal for printing book style bonds at a cost of $887 plus $15.00 for each interest change. This proposal does not meet the specifications. The bid for the purchase of the bonds requires 26 interest changes. Steck- Warlick Company has the lowest bid for printing bonds, computed as follows: 853 bonds $1,141.00 26 Interest Changes @ $12.50 325.00 $1,466.00 It is recommended that a contract for printing bonds be awarded to the Steck Warlick Company on its bid of $1,466.00, f.o.b. Fort Worth National Bank. RNL, mhg SUBMITTED BY: DISPOSITION BY COUNCIL: PROCESSED BY ❑ APPROVED ❑ OTHER (DESCRIBE) CITY SECRETARY DATE CITY MANAGER City ®f Fort Worth, Texas Mayor and council Communication DATE NUMBER REFERENCE SUBJECT: Sale of $4,265,000 General PAGE 5/24/72 G-1986 Obligation Bonds Iof 1 Bids for $4,265,000 General Obligation Bonds were received Wednesday, May 24, 1972, at 10 A.M. A summary of the average net effective interest rate for bids received is shown below. Chemical Bank 4.198786% Banc Northwest 4.20618 % Harris Trust and Savings 4.2205 % First National City Bank 4.2443 % Continental Illinois National Bank 4.24590 % Fort Worth National Bank 4.2542 % Halsey Stuart and Company 4.26065 % Wortheim and Company, Inc. 4.26472 % Smith Barney & Company 4.266035% Mercantile Trust Company 4.2790 % First National Bank of Chicago 4.28190 % Salomon Brothers and Associates 4.28381 % Philadelphia National Bank 4.29633 % Kidder, Peabody & Company 4.3146 % Morgan Guaranty Trust 4.35183 % It is recommended that the bonds be sold to the bidder offering the lowest interest cost, Chemical Bank,at an average net effective rate of 4.198786%, and that the City Council adopt Ordinance Number 6677 authorizing the is- suance of $3,000,000 Transportation System Bonds, and Ordinance Number 6678 authorizing the issuance of $1,265,000 Refunding Bonds. RNLemhg SUBMITTED BY: DISPOSITION BY COUNCIL: PROCESSED BY ❑ APPROVED ❑ OTHER (DESCRIBE) CITY SECRETARY DATE CITY MANAGER