HomeMy WebLinkAboutOrdinance 6797 ORDINANCE NO. .3 yj7
AN ORDINANCE PROVIDING FOR THE ISSUANCE OF FIVE MIL-
LION, FIVE HUNDRED THOUSAND DOLLARS ($5,500,000.00)
OF GENERAL PURPOSE BONDS, SERIES 1973A, 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 SINK-
ING FUND FOR7THE REDEMPTION THEREOF AT MATURITY;
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 interest
of the City of Fort Worth that certain general purpose bonds
authorized at an election previously held in said City be
combined in a single issue and sold at this time, the date
of 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
ELECTION AUTHORIZED PURPOSE SOLD NOW OFFERED
Sept. 8, Street
1970 $23,100,000 Improvement -- $5,200,000
Sept. 8, Fire
1970 750,000 Protection -- 300,000
$5,500,000
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 "General Purpose
Bonds, Series 1973A," be issued under and by virtue of the Con-
stitution_ and laws of the State of Texas and the Charter of
said City for the following purposes, to wit: Five Million,
Two'�Hundred Thousand Dollars ($5,200,000.00) for the purpose
of making permanent city improvements by constructing, improv-
ing and extending the streets, thoroughfares and storm drains
of said City, including in such permanent public improvements
the straightening, widening, paving, grade separation, light-
ing and drainage of said streets and thoroughfares, and acquir-
ing the necessary lands therefor; and Three Hundred Thousand
Dollars ($300,000.00) for the purpose of making permanent
city improvements by constructing, building and equipping
city fire stations and training facilities, improving and ex-
tending the city fire alarm system and acquiring the necessary
lands therefor, all of which bonds aggregate in principal
amount the sum of Five Million, Five Hundred Thousand Dollars
($5,500,000.00) .
SECTION 2.
That said bonds shall be numbered from one (1) to one
thousand, one hundred (1,100), both inclusive, of the denomi-
nation of Five Thousand Dollars ($5,000.00) each, aggregating
Five Million, Five Hundred Thousand Dollars ($5,500,000.00) .
SECTION 3.
That said bonds shall be dated March 1, 1973, and shall
become due and payable serially as follows:
Band Numbers Maturity Dates Amounts
1 to 44, both incl. March 1, 1974 $220,000.00
45 to 88, both incl. March 1, 1975 220,000.00
89 to 132, both incl. March 11 1976 220,000.00
133 to 176, both incl. March 1, 1977 220,000.00
177 to 220, both incl. March 1, 1978 220,000.00
221 to 264, both incl. March 1, 1979 220,000.00
265 to 308, both incl. March 1, 1980 220,000.00
309 to 352, both Incl. March 1, 1981 220,000.00
353 to 396, both incl. March 1, 1982 220,000.00
397 to 440, both incl. March 1, 1983 220,000.00
Bond Numbers Maturity Dates Amounts
441 to 484, both incl. March 1, 1984 $220,000.00
485 to 528, both incl. March 1, 1985 220,000.00
529 to 572, both incl. March 1, 1986 220,000.00
573 to 616, both incl. March 1, 1987 220,000.00
617 to 660, both incl. March 1, 1988 220,000.00
661 to 704, both incl. March 1, 1989 220,000.00
705 to 748, both incl. March 1, 1990 220,000.00
749 to 792, both incl. March 11 1991 220,000.00
793 to 836, both incl. March 1, 1992 220,000.00
837 to 880, both incl. March 1, 1993 220,000.00
881 to 924, both incl. March 1, 1994 220,000.00
925 to 968, both incl. March 1, 1995 220,000.00
969 to 1,012, both incl. March 1, 1996 220,000.00
1,013 to 1,056, both incl. March 1, 1997 220,000.00
1,057 to 1,100, both incl. March 1, 1998 220,000.00
SECTION 4.
That the bonds payable subsequent to March 1, 1988,
shall be redeemable prior to their respective maturities at
the option of the City, on March 1, 1988, or on any interest
payment date subsequent to March 1, 1988, 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, de-
scribing 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.
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 construed 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 desig-
nated in the notice at the redemption price determined, as
provided herein, and upon presentation and surrender thereof
at the place of payment thereof, together with all appurte-
nant coupons maturing subsequent to the redemption date,
such bonds shall be paid at the redemption price aforesaid.
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. Interest 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 thereof.
SECTION 5.
That said bonds shall bear interest at the rates as
follows:
Bonds Nos. 1 to 440, both incl., 6.00% per annum;
Bonds Nos. 441 to 484, both incl., 4.625% per annum;
Bonds Nos. 485 to 528, both incl., 4.40•� per annum;
Bonds Nos. 529 to 572, both incl., 4.500% per annum;
Bonds Nos. 573 to 616, both incl., 4.60% per annumf
Bonds Nos. 617 to 660, both incl., 4.70% per annum;
Bonds Nos. 661 to 704, both incl., 4.801% per annum;
Bonds Nos. 705 to 792, both incl., 4.90% per annum;
Bonds Nos. 793 to 880, both incl., 5.00% per annum; and
Bonds Nos. 881 to 1,100, both incl., 4.00% per annum,
payable September 1, 1973, 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
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 &f
manually placed on said bonds and coupons.
SECTION S.
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
GENERAL PURPOSE BOND
SERIES 1973A
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 1st 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
annum, evidenced by coupons payable September 1, 1973, and
semi-annually thereafter on March 1st and September 1st of
each year, both principal and interest payable upon presen-
tation and surrender of bond or proper coupon at the Manu-
facturers 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 one thousand, one hundred
(1,100) bonds of like tenor and effect, except as to number,
interest rate, maturity, and right of prior redemption, num-
bered from one (1) to one thousand, one hundred (1,100) , both
inclusive, of the denomination of Five Thousand Dollars
($5,000.00) each, aggregating Five Million, Five Hundred
Thousand Dollars ($5,500,000.00) , issued for the following
purposes, to wit: Five Million, Two Hundred Thousand Dollars
($5,200,000.00) for the purpose of making permanent city im-
provements by constructing, improving and extending the
streets, thoroughfares and storm drains of said City, in-
cluding in such permanent public improvements the straighten-
ing, widening, paving, grade separation, lighting and drain-
age of said streets and thoroughfares, and acquiring the neces-
sary lands therefor; and Three Hundred Thousand Dollars
($300,000.00) for the purpose of making permanent city im-
provements by constructing, building and equipping city
fire stations and training facilities, improving and ex-
tending the city fire alarm system and acquiring the neces-
sary 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 ordinance 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, 1988, shall
be redeemable prior to their respective maturities, at the
option of the City, on March 1, 1988, or on any interest pay-
ment date subsequent to March 1, 1988, 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, 1973.
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 issu-
ance 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 ex-
clusively to the payment of this bond and the series of
which it is a part, and to the payment of the interest cou-
pons 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 litho-
graphed 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:
Unless the bond hereinafter mentioned
shall have been called for previous redemption
and payment thereof made or duly provided for,
THE CITY OF FORT WORTH, TEXAS, promises to BOND NO.
pay to bearer at the Manufacturers Hanover On the
1st day of
Trust Company, in the City of New York,
Sept., 19_
New York, the amount specified hereon for March,
interest due that day on its General Purpose SERIES 1973A
Bond, Series 1973A, dated March 1, 1973.
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 ex-
amined 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. 1973.
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
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 10.
That to pay the interest scheduled to mature on Septem-
ber 1, 1973, there is hereby appropriated the sum of One
Hundred Forty Thousand, One Hundred Sixty-seven and 50/100
Dollars ($140,167.50) 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
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 12.
That the sale of the bonds herein authorized, together
with the bonds authorized by Ordinance No. 6798, to First
National Bank in Dallas and Associates at a price of par and
accrued interest to date of delivery, plus a premium of
$827.50, 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 delivery of the bonds to and payment for the bonds by the
purchasers, 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 further
covenants that the proceeds of the bonds will not otherwise
be used, directly or indirectly, so as to cause all or any
part of the bonds to be or become arbitrage bonds within
the meaAing of the aforesaid Section 103(d) or any regula-
tions or rulings pertaining thereto.
SE CT ION 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 re-
quired by Chapter 227, Acts of the 61st Legislature, Regular
Session, 1969.
of the City of Fort Worth,
Texas
ATTES .
Ci y S cretary of the City of
rt Worth, Texas
APPROVED AS TO FORM AND LEGALIT
✓I ��
City Attorney of the City of
Fort Worth, Texas
City of Fort Worth, Texas
DOBBS
GRAHAM Mayor and Council Communication
ab�e.
DATE REFERENCE SUBJECT: Sale Of $9,800,000 General PAGE
\ NUMBER Obligation Bonds 1 of 1
\yi 2/14/73 G=2145
Bids for $9,800,000 General Obligation Bonds were received Wednesday,
February 14, 1973, at 10 a.m. A summary of the average net effective
interest rates is shown below.
1. First National Bank in Dallas 4.70577
2. First National Bank, Chicago 4.71767
3. Smith Barney & Co. 4.74420
4. Continental Illinois Bank & Trust 4.74462
5. First National Bank, Fort Worth 4.7476
6. Republic National Bank, Dallas 4.7487
7. First National City, Merrill-Lynch 4.7546
8. Kidder Peabody 4.7609
9. Chase Manhattan Bank 4.7629
10. Chemical Bank 4.7651
11. Halsey-Stuart & Co. 4.7712
12. Dillon Read and Co. 4.7790
13. Texas Commerce Bank, Houston 4.7958
14. Morgan Guaranty Trust Co. 4.8230
It is recommended that the bonds be sold to the bidder offering the lowest
interest cost, First National Bank in Dallas, Texas, at an average net
effective rate of 4.70577, and that the City Council adopt Ordinance
No. 6797, authorizing the issuance of $5,500,000 General Purpose Bonds and
Ordinance No. 6798 authorizing the issuance of $4,300,000 Sanitary Sewer
System and Sewage Disposal Plant Bonds.
RNL:ms
SUBMITTED BY: DISPOSITION BY COUNCIL: I P CESSED BY
'-.4 APPROVED ❑ OTHER (DESCRIBE) 16
Adopted Ordinance No. 6797 authorizing issuance CI SECRETARY
of $5,500,000enera pose s an DATE
CITY MANAGER 4 300,000 Sanita Seger Sys em and Sewage ZA Qvv