HomeMy WebLinkAboutOrdinance 6959 ORDINANCE NO. 4 ?,a
AN ORDINANCE PROVIDING FOR THE ISSUANCE OF ONE
MILLION, NINE HUNDRED THOUSAND DOLLARS ($1,900,-
000.00) OF SANITARY SEWER SYSTEM AND SEWAGE DIS-
POSAL PLANT BONDS, SERIES 1974B, OF THE CITY OF
FORT WORTH, TEXAS, BEARING INTEREST AT THE RATES
HEREINAFTER SET FORTH, AND PROVIDING FOR THE LEVY,
ASSESSMENT AND COLLECTION OF A TAX SUFFICIENT TO
PAY THE INTEREST ON SAID BONDS AND TO CREATE A
SINKING FUND FOR THE REDEMPTION THEREOF AT MA-
TURITY; REPEALING ALL ORDINANCES IN CONFLICT
HEREWITH; AND PROVIDING THAT THIS ORDINANCE
SHALL BE IN FORCE AND EFFECT FROM AND AFTER THE
DATE OF ITS PASSAGE.
WHEREAS, it is deemed advisable and to the best inter-
est of the City of Fort Worth that certain improvement bonds
authorized at an election previously held in said City be
sold at this time, the date of the election, amount of bonds
authorized thereat, purpose, amount of bonds previously sold,
and the amount now to be sold being as follows:
DATE OF AMOUNT AMOUNT PREVIOUSLY AMOUNT NOW
ELECTION AUTHORIZED PURPOSE SOLD OFFERED
Sept. 8,
1970 $9, 500,000 Sanitary $4, 300, 000 $1, 900,000
Sewer System
and Sewage
Disposal Plant
NOW, THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FORT WORTH, TEXAS:
SECTION 1.
That the bonds of said City to be called "Sanitary Sewer
System and Sewage Disposal Plant Bonds, Series 1974B, " be
issued under and by virtue of the Constitution and laws of the
State of Texas, and the Charter of said City, for the following
purpose, to wit: for the purpose of making permanent city im-
provements by improving, extending and enlarging the sani-
tary sewer system and sewage disposal plants of said City
and acquiring the necessary lands therefor, which bonds
aggregate in principal amount the sum of One Million, Nine
Hundred Thousand Dollars ($1, 900, 000.00) .
SECTION 2.
That said bonds shall be numbered from one (1) to three
hundred and eighty (380) , both inclusive, of the denomination
of Five Thousand Dollars ($5,000.00) each, aggregating One Mil-
lion, Nine Hundred Thousand Dollars ($1, 900, 000.00) .
SECTION 3.
That said bonds shall be dated March 1, 1974, and shall
become due and payable serially as follows:
Bond Numbers Maturity Dates Amounts
1 to 16, both incl. March 1, 1975 $80, 000.00
17 to 32, both incl. March 1, 1976 80, 000.00
33 to 48, both incl. March 1, 1977 80, 000.00
49 to 64, both incl. March 1, 1978 80, 000.00
65 to 80, both incl. March 1, 1979 80, 000.00
81 to 95, both incl. March 1, 1980 75,000.00
96 to 110, both incl. March 1, 1981 75,000.00
111 to 125, both incl. March 1, 1982 75, 000.00
126 to 140, both incl. March 1, 1983 75, 000.00
141 to 155, both incl. March 1, 1984 75, 000.00
156 to 170, both incl. March 1, 1985 75, 000.00
171 to 185, both incl. March 1, 1986 75,000.00
186 to 200, both incl. March 1, 1987 75,000.00
201 to 215, both incl. March 1, 1988 75,000.00
216 to 230, both incl. March 1, 1989 75,000.00
231 to 245, both incl. March 1, 1990 75, 000.00
246 to 260, both incl. March 1, 1991 75, 000.00
261 to 275, both incl. March 1, 1992 75, 000.00
276 to 290, both incl. March 1, 1993 75, 000.00
291 to 305, both incl. March 1, 1994 75, 000.00
306 to 320, both incl. March 1, 1995 75, 000.00
321 to 335, both incl. March 1, 1996 75,000.00
336 to 350, both incl. March 1, 1997 75,000.00
351 to 365, both incl. March 1, 1998 75, 000.00
366 to 380, both incl. March 1, 1999 75, 000.00
SECTION 4.
That the bonds payable subsequent to March 1, 1989,
shall be redeemable prior to their respective maturities,
at the option of the City, on March 1, 1989, or on any in-
terest payment date subsequent to March 1, 1989, upon the
following terms and conditions, viz. : (1) The bonds called
for redemption on any March 1 must include all of the bonds
then outstanding or must be the outstanding bonds bearing the
highest identifying numbers; (2) the redemption price shall
be par and accrued interest to date of redemption; and (3) at
least thirty days prior to the date upon which such redemp-
tion is to be made, a notice of intention to make such re-
demption, describing the bonds to be redeemed, must be pub-
lished at least once in a financial journal of national circu-
lation published in the Borough of Manhattan, in the City and
State of New York. Such option may be exercised by ordinance
or resolution duly adopted by the City Council of the City of
Fort Worth. Nothing contained in this ordinance shall be con-
strued to limit or affect the right of the City to purchase,
with any moneys lawfully available for such purpose, any of
the outstanding bonds at a price less than the redemption
price hereinbefore prescribed. Notice having been given by
publication in the manner provided herein, the bonds called
for redemption shall become due and payable on the redemption
date designated in the notice at the redemption price de-
termined, as provided herein, and upon presentation and sur-
render thereof at the place of payment thereof, together with
all appurtenant coupons maturing subsequent to the redemption
date, such bonds shall be paid at the redemption price afore-
said. All interest installments represented by coupons which
shall have matured on or prior to the redemption date shall
continue to be payable to the bearers of such coupons. In-
terest on any bonds to be redeemed shall cease to accrue from
and after the redemption date specified in such notice unless
the City defaults in the payment of the redemption price there-
of.
SECTION 5.
That said bonds shall bear interest at the rates as
follows:
Bonds Nos. 1 to 200, both incl. , 5.50% per annum;
Bonds Nos. 201 to 215, both incl. , 4.60% per annum;
Bonds Nos. 216 to 230, both incl. , 4.70% per annum;
Bonds Nos. 231 to 245, both incl. , 4.80% per annum;
Bonds Nos. 246 to 275, both incl. , 4.90% per annum;
Bonds Nos. 276 to 335, both incl. , 5.00% per annum; and
Bonds Nos. 336 to 380, both incl. , 3 .50% per annum,
payable September 1, 1974, and semi-annually thereafter on
March 1st and September 1st of each year.
SECTION 6.
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 7.
That each of said bonds shall be executed for and on be-
half of the City of Fort Worth, Texas, by the facsimile signa-
ture of the Mayor, approved as to form and legality by the fac-
simile 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 lithographed, and
the interest coupons shall be executed with the lithographed
or printed facsimile signatures of the Mayor and City Secre-
tary of the City of Fort Worth, Texas, and such facsimile sig-
natures shall have the same effect as if manually placed on
said bonds and coupons.
SECTION 8.
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
SANITARY SEWER SYSTEM AND SEWAGE DISPOSAL PLANT BOND
SERIES 1974B
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 March, 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 an-
num, evidenced by coupons payable September 1, 1974, and
semi-annually thereafter on March 1st and September 1st of
each year, both principal and interest payable upon presenta-
tion and surrender of bond or proper coupon at the Manufac-
turers 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 three hundred and eighty
(380) bonds of like tenor and effect, except as to number,
interest rate, maturity, and right of prior redemption, num-
bered from one (1) to three hundred and eighty (380) , both
inclusive, of the denomination of Five Thousand Dollars
($5, 000.00) each, aggregating One Million, Nine Hundred Thou-
sand Dollars ($1, 900,000.00) , issued for the purpose of mak-
ing permanent city improvements by improving, extending and
enlarging the sanitary sewer system and sewage disposal plants
of said City and acquiring the necessary lands therefor, under
and by virtue of the Constitution and laws of the State of
Texas and the Charter of said City, and pursuant to an ordi-
nance passed by the City Council of the City of Fort Worth,
Texas, which ordinance is duly of record in the Minutes of
said City Council.
The bonds payable subsequent to March 1, 1989, shall be
redeemable prior to their respective maturities, at the op-
tion of the City, on March 1, 1989, or on any interest pay-
ment date subsequent to March 1, 1989, upon the following
terms and conditions, viz. : (1) The bonds called for redemp-
tion on any March 1 must include all of the bonds then out-
standing or must be the outstanding bonds bearing the highest
identifying numbers; (2) the redemption price shall be par
and accrued interest to date of redemption; and (3) at least
thirty days prior to the date upon which such redemption is
to be made, a notice of intention to make such redemption,
describing the bonds to be redeemed, must be published at
least once in a financial journal of national circulation
published in the Borough of Manhattan, in the City and State
of New York.
The date of this bond in conformity with the ordinance
above mentioned is March 1, 1974.
AND IT IS HEREBY CERTIFIED AND RECITED that the issuance
of this bond, and the series of which it is a part, is duly
authorized by law and by a vote of the resident, qualified
electors who own taxable property in said City and who had
duly rendered the same for taxation in the City of Fort Worth,
Texas, voting at an election held for that purpose within
said City on September 8, 1970; that all acts, conditions and
things required 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 regular 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 exclusively 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 constitu-
tional, 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
BY
Mayor
ATTEST:
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:
Unless the bond hereinafter mentioned
shall have been called for previous redemp-
tion and payment thereof made or duly pro-
vided for,
THE CITY OF FORT WORTH, TEXAS, promises BOND NO.
to pay to bearer at the Manufacturers On the
lst day of
Hanover Trust Company, in the City of
Sept. , 19
New York, New York, the amount specified March,
hereon for interest due that day on its SERIES 1974B
Sanitary Sewer System and Sewage Disposal
COUPON NO.
Plant Bond, Series 1974B, dated March 1,
1974.
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 said 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. 1974.
Comptroller of Public Accounts
of the State of Texas
SECTION 9.
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 sufficient to pay
the principal as it matures, or at least 2/ of the principal
as a sinking fund, whichever is greater, full allowances be-
ing made for delinquencies and costs of collection; that a
tax at the rate as hereinabove determined is hereby ordered
to be levied and is hereby levied against all of 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 Treas-
urer 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 10.
That to pay the interest scheduled to mature on Septem-
ber 1, 1974, there is hereby appropriated the sum of Forty-
seven Thousand, Eight Hundred and Forty Dollars ($47, 840.00)
from funds of the City available for such purpose; and that
the money thus appropriated shall be used for no other purpose
than to pay said interest.
SECTION 11.
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 regis-
tration; 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 cer-
tificate 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 12 .
That the sale of the bonds herein authorized, together
with the bonds authorized by Ordinance No. 6958, to First
National Bank in Dallas and Associates at a price of par and
accrued interest to date of delivery, plus a premium of
$220.00, is hereby confirmed; and that delivery of such bonds
shall be made to such purchasers as soon as may be after the
passage of this ordinance upon payment therefor in accordance
with the terms of sale.
SECTION 13.
That the City covenants to and with the purchasers of
the bonds that it will make no use of the proceeds of the bonds
at any time throughout the term of this issue of bonds which,
if such use had been reasonably expected on the date of de-
livery of the bonds to and payment for the bonds by the pur-
chasers, would have caused the bonds to be arbitrage bonds
within the meaning of Section 103 (d) of the Internal Revenue
Code of 1954, as amended, or any regulations or rulings per-
taining thereto; and by this covenant the City is obligated to
comply with the requirements of the aforesaid Section 103 (d)
and all applicable and pertinent Department of the Treasury
regulations relating to arbitrage bonds. That the City fur-
ther covenants that the proceeds of the bonds will not other-
wise be used, directly or indirectly, so as to cause all or
any part of the bonds to be or become arbitrage bonds within
the meaning of the aforesaid Section 103 (d) or any regulations
or rulings pertaining thereto.
SECTION 14.
That all ordinances and resolutions or parts thereof in
conflict herewith are hereby repealed.
SECTION 15.
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 16.
It is hereby officially found and determined that the
meeting at which this ordinance was passed was open to the
public as required by law, and that public notice of the
time, place and purpose of said meeting was given as required
by Chapter 31, Acts of the 63rd Legislature, Regular Session,
1973.
Mayor of the City of Fort Worth,---.-
Texas
orth, •..Texas
ATTEST-
Ciycretary of the City
of ort Worth, Texas
APPROVED AS TO FORM AND LEGALITY:
S
City Attorney of the City of
Fort Worth, Texas
City of Fort Worth, Texas
BAILIFF Mayor and Council Communication
GRAHAM
DATE REFERENCE SUBJECT: Sale of $9,000,000 PAGE
troelNsor NUMBER General Obligation Bonds 1
2/20/74 G-2358 iot
--- - Bids for $9,000,000 General Obligation Bonds were received Wednesday,
February 20, 1974, at 10:00 A.M. A summary of the average net effective
interest rates for bids received is shown below.
1. First National Bank of Dallas
First National Fort Worth & Assoc. 4.75581%
2. Republic National Bank of Dallas, Fort Worth National 4.8009%
3. W. H. Morton & Company 4.8255%
4. Harris Trust and Savings 4.8398%
5. Chemical Bank 4.8527%
6. Smith, Barney & Co. 4.857191%
7, First National City, Houstoh 4.86316
8. First National of Chicago 4.86978%
9. Chase Manhattan Bank 4.8712%
10. Halsey, Stuart & Co. 4.8729%
11. First National City, New York 4.8809%
12. Kidder, Peabody & Co. 4.884914%
It is recommended that the bonds be sold to the bidder offering the lowest
interest cost, First National Bank in Dallas, First National Bank of Fort
Worth, and Associates at an average net effective rate of 4.75581% and that
the City Council adopt Ordinance No. 6958 authorizing the issuance of
$7,100,000 Street Improvement Bonds, and Ordinance No. 6959 authorizing the
issuance of $1,900,000 Sanitary Sewer System and Sewage Disposal Plant Bonds.
RNL:ms
SUBMITTED BY: DISPQSITION BY COUNCIL: 9&OCESSED
� L` J BY
APPROVED ❑ OTHER (DESCRIBE)
CITY SECRETARY
w_
DATE
CITY MANAGER