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HomeMy WebLinkAboutOrdinance 3771 ORDINANCE NO. AN ORDINANCE PROVIDING FOR THE ISSUANCE OF REVENUE BONDS OF THE CITY OF FORT WORTH IN THE AGGREGATE PRINCIPAL AMOUNT OF EIGHT HUNDRED THOUSAND DOLLARS ($800,000.00), IN ADDITION TO FOUR INSTALLMENTS OF REVENUE BONDS AGGRE- GATING THIRTEEN MILLION FOUR HUNDRED AND FIFTY THOUSAND DOLLARS ($13,450,000.005 HERETOFORE ISSUED AND SOLD OUT OF AN AUTHORIZED ISSUE OF FIFTEEN MILLION DOLLARS ($15,- 000,000.00), AND IN ADDITION TO AN INSTALLMENT OF FOUR MILLION, FIFTY THOUSAND DOLLARS ($4,050,000.00) OF REVENUE BONDS HERETOFORE ISSUED AND SOLD OUT OF AN AUTHORIZED IS- SUE OF EIGHTEEN MILLION DOLLARS ($18,000,000.00) AND EIGHTEEN MILLION DOLLARS ($18,000,000.00) OF REVENUE BONDS PREVIOUSLY AUTHORIZED AND ISSUED, TO FINANCE THE IMPROVEMENT AND EX- TENSION OF THE CITY'S SEWER SYSTEM; PROVIDING FOR THE PAY- MENT OF SUCH BONDS SOLELY FROM THE REVENUES OF THE CITY'S WATER AND SEWER SYSTEMS; PIGGING A PORTION OF SUCH REVENUES TO SUCH PAYMENT; ENTERING INTO CERTAIN COVENANTS AND AGREE- MENTS WITH RESPECT TO THE OPERATION OF SUCH SYSTEMS AND THE APPLICATION OF THE REVENUES DERIVED THEREFROM, AND REPEALING ALL ORDINANCES IN CONFLICT HEREWITH. WHEREAS, the City of Fort Worth (hereinafter referred to as City) has established, and for many years has maintained and operated, and is now maintaining and operating a system (hereinafter referred to as the City Water System) used or useful to obtain a supply of water for said City and its in- habitants and to conserve, treat and dispose of such water, and also a system (hereinafter referred to as the City Sewer System) used or useful for the collection, treatment and disposal of sewage and waste; and, WHEREAS, at an election duly called and held in the City on January 251 1949, a majority of the qualified voters of the City voted in favor of each of the following two propositions: PROPOSITION NO. 1 Shall the City of Fort Worth, Texas, through its City Coun- cil, issue its negotiable coupon bonds in the principal sum of Twelve Million, Four Hundred Thousand Dollars ($12,400,000.00) for the purpose of improving, extending and enlarging the Water- works System of said City, said bonds to be issued at one time or in installments from time to time as the City Council shall determine, the bonds of each installment being payable serially as my be determined by the City Council, so that the last ma- turing bonds shall become payable within forty (40) years from the date thereof, and bearing interest at a rate not to exceed four per cent (4%) per annum from the date thereof, payable semi- annually, and to provide for the payment of principal and in- terest on said bonds by pledging the net revenues from the opera- tion of the Waterworks System of said City, or in the event that the City Council be authorized to issue Sewer System revenue bonds as submitted in Proposition No. 2, to be secured addi- tionally by a pledge of the net revenues from the operation of said Sewer System? PROPOSITION NO. 2 Shall the City of Fort Worth, Texas, through its City Coun- cil, issue its negotiable coupon bonds in the principal sum of Five Million, Six Hundred Thousand Dollars ($5,600,000.00) for the purpose of improving, extending and enlarging the existing Sewer System of said City, said bonds to be issued at one time or in installments from time to time as the City Council shall determine, the bonds of each installment being payable serially as may be determined by the City Council, so that the last ma- turing bonds shall become payable within forty (40) years from the date thereof, and bearing interest at a rate not to exceed four per cent (4%) per annum from the date thereof, payable semi-annually, and to provide for the payment of principal and interest on said bonds by pledging the net revenues from the operation of the Sewer System of said City, or in the event that the City Council be authorized to issue Waterworks System revenue bonds as submitted in Proposition No. 1, to be secured additionally by a pledge of the net revenues from the operation of said Waterworks System?; and, WHEREAS, the ordinance calling said election provided that if both propositions were duly approved at said election, the City Council could, at its option, combine the Twelve Million, Four Hundred Thousand Dollars ($12,400,000.00) Waterworks System Revenue Bonds and the Five Million, Six Hundred Thousand Dollars ($5,600,000.00) Sewer System Revenue Bonds into one issue and pledge the Net Revenues from the operation of both the Water- works System and the Sewer System to the payment of the principal of and the interest on said entire issue of bonds; and, WHEREAS, a majority of the resident, qualified electors of the City owning taxable property in the City, and who had duly rendered same for taxation, voting at an election held for that purpose on January 26, 1954, voted in favor of each of the two following propositions: PROPOSITION NO. 1 Shall the City of Fort Worth, Texas, through its City Coun- cil, issue its negotiable coupon bonds in the principal sum of Ten Million Dollars ($10,000,000.00), in addition to bonds of the aggregate principal amount of Twelve Million, Four Hun- dred Thousand Dollars ($12,400,000.00) heretofore issued by the City pursuant to a proposition adopted by a majority vote of the qualified electors of the City at a special election held on January 25, 1949, for the purpose of improving, ex- tending and enlarging the Waterworks System of said City, said bonds to be issued at one time or in installments from time to time as the City Council shall determine, the bonds of each installment being payable serially as may be determined by the City Council, so that the last maturing bonds shall become payable within forty (40) years from the date thereof, and bearing interest at a rate not to exceed four and one-half per cent (4-1/2%) per annum from the date thereof, payable semi- annually, and to provide for the payment of principal and inter- est on said bonds by pledging the net revenues from the opera- tion of the Waterworks System of said City, or in the event that the City Council be authorized to issue Sewer System revenue bonds as submitted in Proposition No. 2, to be secured additionally by a pledge of the net revenues from the operation of said Sewer System? PROPOSITION NO. 2 Shall the City of Fort Worth, Texas, through its City Coun- cil, issue its negotiable coupon bonds in the principal sum of Five Million Dollars ($5,000,000.00), in addition to bonds of the aggregate principal amount of Five Million, Six Hundred Thousand Dollars ($5,600,000.00) heretofore issued by the City pursuant to a proposition adopted by a majority vote of the qualified electors of the City at a special election held on January 25, 1949, for the purpose of improving, extending and enlarging the existing Sewer System of said City, said bonds to be issued at one time or in installments from time to time as the City Council shall determine, the bonds of each install- ment being payable serially as may be determined by the City Council, so that the last maturing bonds shall become payable within forty (40) years from the date thereof, and bearing in- terest at a rate not to exceed four and one-half per cent (4-1/2%) per annum from the date thereof, payable semi-annually, and to provide for the payment of principal and interest on said bonds by pledging the net revenues from the operation of the Sewer System of said City, or in the event that the City Council be authorized to issue Waterworks System revenue bonds as submitted in Proposition No. 1, to be secured additionally by a pledge of the net revenues from the operation of said Waterworks System?; and, WHEREAS, the ordinance calling said election provided that if both propositions were duly approved at said election, the City Council could, at its option, combine the Ten Million Dollars ($10,000,000.00) Waterworks System Revenue Bonds and the Five Million Dollars ($5,000,000.00) Sewer System Revenue Bonds into one issue and pledge the Net Revenues from the operation of both the Waterworks System and the Sewer System to the payment of the principal of and the interest on said entire issue of bonds; and, WHEREAS, a majority of the resident, qualified electors of the City owning taxable property in the City, and who had duly rendered same for taxation, voting at an election held for that purpose on January 31, 1956, voted in favor of each of the two following propositions: PROPOSITION NO. 1 Sball the City of Fort Worth, Texas, through its City Coun- cil, issue its negotiable coupon bonds in the principal sum of Seventeen Million Dollars ($17,000,000.00), in addition to bonds of the aggregate principal amount of Twenty-two Million, Four Hundred Thousand Dollars ($22,400,000.00) heretofore authorized by the City pursuant to propositions adopted by a majority vote of the qualified electors of the City at special elections held on January 25, 1949, and January 26, 1954, respectively, for the purpose of improving and extending the Waterworks System of said City, said bonds to be issued at one time or in installments from time to time as the City Council shall determine, the bonds of each installment being payable serially as may be determined by the City Council, so that the last maturing bonds shall become payable within forty (40) years from the date thereof, and bearing interest at a rate not to exceed four and one-half per cent (4-1/2%) per annum from the date thereof, payable semi-,annually, and to provide for the payment of principal and interest on said bonds by pledging the net revenues from the operation of the Waterworks System of said City, or in the event that the City Council be authorized to issue Sewer System revenue bonds as submitted in Proposition No. 2, to be secured additionally by a pledge of the net revenues from the operation of said Sewer System? PROPOSITION N0. 2 Shall the City of Fort Worth, Texas, through its City Coun- cil, issue its negotiable coupon bonds in the principal sum of One Million Dollars ($1,000,000.00), in addition to bonds of the aggregate principal amount of Ten Million, Six Hundred Thou- sand Dollars ($10,600,000.00) heretofore authorized by the City pursuant to propositions adopted by a majority vote of the quali- fied electors of the City at special elections held on January 25, 1949, and January 26, 1954, respectively, for the purpose of improving and extending the existing Sewer System of said City, said bonds to be issued at one time or in installments from time to time as the City Council shall determine, the bonds of each installment being payable serially as may be determined by the City Council, so that the last maturing bonds shall become pay- able within forty (40) years from the date thereof, and bearing interest at a rate not to exceed four and one-half per cent (4-1/2%) per annum from the date thereof, payable semi-annually, and to provide for the payment of principal and interest on said bonds by pledging the net revenues from the operation of the Sewer System of said City, or in the event that the City Council be authorized to issue Waterworks System revenue bonds as submitted in Proposition No. 1, to be secured additionally by a pledge of the net revenues from the operation of said Waterworks Systeml; and, WHEREAS, the ordinance calling said election provided that if both propositions were duly approved at said election, the City Council could, at its option, combine the Seventeen Million Dollars ($17,000,000.00) Water- works System Revenue Bonds and the One Million Do]lars($1,000,000.00) Sewer System Revenue Bonds into one issue and pledge the Net Revenues from the operation of both the Waterworks System and the Sewer System to the payment of the principal of and the interest on said entire issue of bonds; and, WHEREAS, the City has heretofore issued all of the bonds authorized by the two propositions submitted at said election held on January 25, 1949, and said bonds were issued pursuant to (1) an ordinance adopted on April 20, 1949, which is herein referred to as "First Issue Bond Ordinance," and (2) an ordinance adopted on September 14, 1949, and (3) an ordinance adopted on February 28, 1951, as amended by an ordinance adopted on March 71 1951, and (4) an ordinance adopted on February 27, 1952, and (5) an ordinance adopted on February 18, 1953; and, WHEREAS, the City has heretofore issued bonds of the aggregate prin- cipal amount of Thirteen Million, Four Hundred and Fifty Thousand Dollars ($13,450,000.00) authorized by the two propositions submitted at said elec- tion held on January 26, 1954, and said bonds were issued pursuant to (1) an ordinance adopted on March 10, 1954, and (2) an ordinance adopted on February 23, 1955, and (3) an ordinance adopted on February 29, 1956, and (4) an ordinance adopted on February 27, 1957, and the bonds so issued com- prise all of the Ten Million Dollars ($10,000,000.00) of bonds referred to in Proposition No. 1 and Three Million, Four Hundred and Fifty Thousand Dollars ($3,450,000.00) of the bonds referred to in Proposition No. 2 submitted at said election, and the remainder of the bonds referred to in said proposition have not as yet been issued; and, WHEREAS, the City has heretofore issued bonds of the aggregate prin- cipal amount of Four Million, Fifty Thousand Dollars ($4,050,000.00) au- thorized by Proposition No. 1 submitted at said election held on January 311 1956, and said bonds were issued pursuant to an ordinance adopted on Feb- ruary 27, 1957, and the remainder of the bonds referred to in said proposi- tion have not as yet been issued; and, WHEREAS, it was provided in all of said ordinances authorizing the issuance of said bonds pursuant to the authority granted by a majority of the resident, qualified electors of the City owning taxable property in the City, and who had duly rendered same for taxation, voting at said elections held for that purpose on January 25, 1949, January 26, 1954, and January 31, 1956, that the City of Fort Worth might issue additional bonds payable from the Debt Service Fund created by the First Issue Bond Ordi- nance and secured, equally and ratably with the bonds authorized by said ordinances, by a pledge of the Revenues of the Systems in the event the City shall have been authorized by law to issue them and conditioned (a) That the additional bonds shall be issued for the purpose of improving, extending or enlarging the Systems; (b) That at the time the additional bonds are issued, the City shall not be in default in making any payment re- quired by Section 404, 405 or 406 of each of said ordinances; (c) That the amount of the average annual Net Revenues of the Systems computed by dividing by two the Net Revenues for the two fiscal years immediately preceding the time of is- suance of the additional bonds shall be not less than 150% of the maximum aggregate amount of principal and interest payable in any future fiscal year with respect to the bonds and addi- tional bonds then outstanding (including issued bonds as here- inafter defined.) and the additional bonds about to be issued; and (d) That the principal of the additional bonds shall be made payable on March lst of the years in which such principal is payable, and that the interest on the additional bonds shall be made payable semi-annually on September lst and March lst; and, WHEREAS, the City Council has found and determined that (1) the Water and Sewer Revenue Bonds authorized by this ordinance shall be for the purpose of improving or extending such City Sewer System, and (2) the City is not now and has not been in default in the making of any payment required by any of said ordinances, and (3) the amount of the average an- nual Net Revenues of the City Water System and the City Sewer System com- puted by dividing by two the Net Revenues for the two fiscal years im- mediately preceding the time of issuance of the additional bonds now pro- posed to be issued is far in excess of 150% of the maximum aggregate amount of principal and interest payable in any future fiscal year with respect to the bonds now outstanding and the additional bonds now proposed to be issued, and (4) the principal of the additional bonds authorized by this ordinance shall be made payable on March lst of the years in which such principal is payable, and the interest on such additional bonds shall be made payable semi-annually on September lst and March 1st of each year, respectively; and, WHEREAS, it is deemed wise and expedient by the City Council of said City, in the exercise of the discretion reposed in it by law, that Eight Hundred Thousand Dollars ($800,000.00) of the bonds authorized by Proposition No. 2 submitted at said election held on January 26, 1954, be issued, in addition to said bonds heretofore issued and sold, for the purpose of improving and extending the City Sewer System, and that said bonds shall be issued as provided by this ordinance; and, WHEREAS, the following terms, where used in this ordinance, unless the context shall indicate another or different meaning or intention, are to be construed and used and are intended to have meanings as follows: (1) "City Water System" and "City Sewer System" mean the systems described in the first paragraph of this ordinance. (2) "Bonds" shall mean the bonds described in Section 101 of this ordinance. (3) "Additional Bonds" shall mean the bonds hereafter is- sued as provided in Section 109 of this ordinance. (4) "Issued Bonds" shall mean the Issued Bonds described in Section 401 of this ordinance. (5) "Operating Expenses" shall mean Operating Expenses as defined in Section 401 of this ordinance. (6) "Revenues" and "Net Revenues" shall mean respectively, Revenues and Net Revenues as defined in Section U of this ordi- nance. (7) "First Issue Bond Ordinance" shall mean the ordinance hereinbefore described, adopted by the City Council on April 20, 1949. (8) "Operating Fund" shall mean the fund described in Sec- tion 402 of this ordinance. (9) "Debt Service Fund" and "Current Account" and "Reserve Account" shall mean the Debt Service Fund, the Current Account and the Reserve Account described in Section 405 of this ordinance. (10) "Operation Reserve Account" shall mean the Operation Re- serve Account described in Section 406 of this ordinance. (11) "Issuance Date" shall mean the first day on which any of the Bonds are delivered. (12) "Year" or "Fiscal Year" shall mean the yearly period be- ginning October 1 in each year. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: ARTICLE I. AUTHORIZATION AND DESCRIPTION OF BONDS Section 101. Bonds of the City, being a part of the bonds referred to in Proposition No. 2 submitted at said election held on January 26, 1954, set forth in the preamble of this ordinance, shall be issued at this time in the aggregate principal amount of Eight Hundred Thousand Dollars ($800,- 000.00) for the purpose of improving and extending the City Sewer System. All of such bonds (hereinafter referred to as the Bonds) shall constitute a single issue to be known as Water and Sever Revenue Bonds, Series 86. The Bonds shall be payable solely from the Net Revenues of the City's Water and Sever Systems, as defined in Section 401 of this ordinance. The credit of the City shall not be pledged for the payment of the Bonds. The holder or holders of the Bonds shall never have the right to demand payment thereof out of any funds raised or to be raised by taxation. Section 102. The Bonds are hereby authorized and shall be issued pursuant to the Constitution and statutes of the State of Texas, including particularly Articles 1111 to 1118, inclusive, of the 1925 Revised Civil Statutes of Texas, as amended. Section 103, The Bonds shall be eight hundred (800) in number, num- bered from thirteen thousand, four hundred and fifty-one (13,451) to fourteen thousand, two hundred and fifty (14,250), inclusive, and of the denomination of One Thousand Dollars ($1,000.00) each, shall be dated March 1, 1958, and shall mature serially in numerical order on March lst of each year, as fol- lows: Year Amount Bond Numbers 1959 $32,000,00 13,451 to 13,482 1960 32,000.00 13,483 to 13,514 1961 32,000.00 13,515 to 13,546 1962 32,000.00 13,547 to 13,578 1963 32,ODO•OO 13,579 to 13,610 1964 32,000.00 13,6n to 13,642 1965 32,000.00 13,643 to 13,674 1966 32,000.00 13,675 to 13,706 1967 32,000.00 13,707 to 13,738 1968 32,000.00 13,739 to 13,770 1969 32,000.00 13,771 to 13,802 1970 32,000.00 13,803 to 13,834 1971 32,000.00 13,835 to 13,866 1972 32,000.00 13,867 to 13,898 1973 32,000.00 13,899 to 13,930 1974 32,000.00 13,931 to 13,962 1975 32,000.00 13,963 to 13,994 (CONTINUED) Year Amount Bond Numbers 1976 $32,000•00 13,995 to 14,026 1977 32,000.00 14,027 to 14,058 1978 32,000.00 14,059 to 14,o90 1979 32,000.00 14,091 to 14,122 1980 32,000.00 14,123 to 14,154 1981 32,000.00 14,155 to 14,186 1982 32,000.00 14,187 to 14,218 1983 32,000.00 14,219 to 14,250 The interest on each Bond shall be payable semiannually on September 1st and March 1st of each year until the City's obligation with respect to the payment of the principal sum thereof shall be discharged. The Bonds shall be payable, with respect to both principal and interest, at the principal office of The Hanover Bank, in the Borough of Manhattan, City and State of New York, in such coin or currency of the United States of America as at the time of payment shall be legal tender for the payment of public and private debts. The Bonds which mature subsequent to March 1, 1969, shall be redeemable prior to their respective maturities, as provided in Article II of this ordinance. Section 104. The Bonds numbered from thirteen thousand, four hundred and fifty-one (13,451) to thirteen thousand, eight hundred and thirty-four (13,834), inclusive, shall bear interest at the rate of four and one-half per centum (4-1.,2%) per annum; the Bonds numbered from thirteen thousand, eight hundred and thirty-five (13,835) to fourteen thousand and ninety (14,090), inclusive, shall bear interest at the rate of three and forty- hundredths per centum (3.40%) per annum; the Bonds numbered from fourteen thousand and ninety-one (14,091) to fourteen thousand, one hundred and eighty-six (14,186), inclusive, shall bear interest at the rate of three and one-half per centum (3-1/2%) per annum; and the Bonds numbered from fourteen thousand, one hundred and eighty-seven (14,187) to fourteen thou- sand, two hundred and fifty (14,250), inclusive, shall bear interest at the rate of one per centum (1%) per annum. Section 105. The Bonds shall be payable to bearer, without privilege of registration. They shall be signed by the Mayor of the City, attested by the City Secretary, and approved as to form and legality by the City Attorney. The corporate seal of the City shall be affixed to or im- pressed upon each Bond. The interest coupons representing interest pay- able on the Bonds shall bear the facsimile signatures of the Mayor and City Secretary. Each successive holder of each Bond, and each successive holder of each of the coupons attached to the Bonds, is conclusively pre- sumed to forego and renounce his equities in favor of subsequent holders for value without notice, and to agree that such Bond and each of such coupons may be negotiated by delivery by any person having possession thereof, howsoever such possession may have been acquired, and that any holder who shall have taken such Bond or any of such coupons from any per- son for value and without notice thereby has acquired absolute title there- to, free from any defenses enforceable against any prior holder and free from all equities and claims of ownership of any such prior holder. Section 106. The Bonds, the interest coupons to be attached to the Bonds, and the certificate of the Comptroller of Public Accounts of the State of Texas, and the certificate of the City Attorney to be endorsed on the Bonds shall be in substantially the following forms, respectively, with the proper insertions, substitutions and variations as in this ordi- nance provided or permitted: Section 107. After the Bonds have been executed by the Mayor and City Secretary in accordance with their terms, they shall be presented to the Attorney General of the State of Texas for examination and approval. After the Bonds have been approved by the Attorney General, they shall be registered by the Comptroller of Public Accounts of the State of Texas in the manner provided by law. The Bonds shall not be issued until they have been so approved and so registered. Section 108. The Mayor and City Secretary are hereby authorized to execute said Bonds and to impress thereon the corporate seal of the City. The City Treasurer is hereby authorized to deliver said Bonds to the pur- chaser or purchasers to wham they may be sold by the City Council upon re- ceipt of the purchase price to be paid by such purchaser or purchasers. Section 109. In addition to the Bonds authorized by this ordinance, the City may issue bonds (hereinafter referred to as Additional Bonds) payable from the Debt Service Fund hereinafter referred to and secured, equally and ratably with the Bonds authorized by this ordinance, by a pledge of the Revenues of the Systems, but only upon the following conditions: (a) That the Additional Bonds shall be issued for the purpose of improving or extending the Systems; (b) That at the time the Additional Bonds are issued, the City shall not be in default in making any payment required by Section 404, 405 or 406 of this ordinance; (c) That the amount of the average annual Net Revenues of the Systems computed by dividing by two the Net Revenues for the two fiscal years immediately preceding the time of issuance of the Additional Bonds shall be not less than 150% of the maximum aggregate amount of principal and interest payable in any future fiscal year with respect to the Bonds and Additional Bonds then outstanding (including Issued Bonds as hereinafter defined) and the Additional Bonds about to be issued; and (d) That the principal of the Additional Bonds shell be made pay- able on March 1 of the years in which such principal is payable, and that the interest on the Additional Bonds shall be made payable semi-annually on September 1 and March 1. All Bonds issued in accordance with the provisions of this Section 109 and pursuant to the propositions set forth in the preamble of this ordinance, as well as all of those issued pursuant to propositions hereto- fore or hereafter adopted by a majority of the resident, qualified electors of the City owning taxable property in the City, and who have duly rendered the same for taxation, voting at an election held for that purpose, whether Issued by virtue of this ordinance or by virtue of earlier or subsequent ordinances or resolutions, and whether issued at one time or from time to time, shall be deemed and treated as a single issue of bonds and as repre- senting parts of the same indebtedness, within the meaning of Article 1113 of the 1925 Revised Statutes of Texas, as amended. ARTICLE II. REDEMPTION OF BONDS BEFORE MATURITY Section 201. The Bonds payable subsequent to March 1, 1969, shall be redeemable prior to their respective maturities, at the option of the City, on March 1, 1969, or on March 1 of any year subsequent to 1969, upon the following terms and conditions, viz.: (1) The Bonds called for re- demption 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 redemp- tion, plus a premium for each bond redeemed, of the following respective amounts in the following respective years: 1969, $25.00; 1970, $22.50; 1971, $20.00; 1972, $17.50; 1973, $15•o; 1974, $12•50; 1975, $10.00; 1976, $7.50; 1977, $5•00; 1978, $2.50; and without premium if redeemed after 1978; 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 Bonds to be redeemed, must be published at least once in a newspaper printed in the English language and published and of general circulation in the City of Fort Worth, in the State of Texas, and must be published at least once in a financial journal 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. Section 202. Nothing contained in this ordinance shall be construed to limit or affect the right of the City to purchase, with any moneys law- fully available for such purpose, any of the outstanding Bonds at a price less than the redemption price hereinbefore prescribed. Section 203. Notice having been given by publication in the manner provided in Section 201, the Bonds called for redemption shall became due and payable on the redemption date designated in the notice at the redemp- tion price determined, as provided in Section 201, and upon presentation and surrender 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 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 re- demption date specified in such notice unless the City defaults in the pay- ment of the redemption price thereof. Section 204. All Bonds redeemed prior to maturity under the pro- visions of this ordinance, together with the u tured coupons, if any, shall be cancelled and incinerated by the City Treasurer forthwith, and a certificate showing the destruction of such Bonds or coupons shall be filed in the office of the City Treasurer. ARTICLE III. APPLICATION OF PROCEEDS OF BONDS Section 301. All moneys received by the City in.payment for the Bonds, exclusive of accrued interest, shall be credited to a special fund, which is hereby created and which shall be known as the "Water and Sever System Construction Fund" (hereinafter referred to as the Construction Fund). All moneys credited to the Construction Fund shall be deposited with the City's depositary or depositaries and shall be subject to a lien and charge in favor of the holders of the Bonds, and shall be held for the further security of such holders until paid out as hereinafter provided. Section 302. From the moneys credited to the Construction Fund the City shall apply the sum of $800,000.00 to the payment of the cost of im- proving and extending the City Sewer System. Section 303. The amount received by the City from the purchasers of the Bonds as accrued interest, if any, shall be paid by the City into the Current Account of the Debt Service Fund hereinafter described. ARTICLE IV. APPLICATION OF REVENUES Section 401. Where used in this ordinance (1) the term "Systems" shall be deemed to include all properties of every nature owned or used by the City and used or useful in the operation of the City Water System or the City Sewer System, including real estate, personal and intangible properties, whether lying within or without the boundaries of the City, and shall include all improvements, additions and extensions which may hereafter be made to said properties or Systems; (2) the term 'Operating Expenses" shall mean the reasonable and proper expenses of operating and maintaining the Systems, including, without limiting the generality of the foregoing, expenditures for salaries, labor, materials, interest, repairs and extensions necessary to enable the Systems to render efficient service, and every proper item of expense, but such repairs and extensions shall be limited to those which in the judgment of the City Council are necessary to keep the Systems in operation and to render adequate service to the City and the inhabitants thereof, or necessary to meet some physical accident or condition which would otherwise impair such Systems and the Revenues thereof; (3) the term "Revenues" shall mean the gross revenue and income derived by the City from the operation of the Systems; (4) the term "Net Revenues" shall mean the amount by which the aggregate of the Revenues re- ceived by the City in any year shall exceed the amount required to pay the Operating Expenses of such year; (5) the term "Issued Bonds" shall mean the Thirty-five Million, Five Hundred Thousand Dollars ($35,500,000-00) Water and Sewer Revenue Bonds which have been heretofore issued pursuant to the authority given by the propositions adopted at said elections held in the City on January 25, 1949, January 26, 1954, and January 31, 1956, and pursuant to the ordinances referred to in the preamble of this ordinance; and (6) the term "First Issue Bond Ordinance" shall mean the ordinance adopted by the City Council on April 20, 1949. Section 402. All Revenues (as defined in Section 401 of this ordi- nance) received or collected by the City or any of its officers or agencies shall be deposited by the City Treasurer, as promptly as possible after their receipt, in a bank or banks authorized to act as depositary or deposi- taries of the City, and shall be held by such bank or banks in a special fund or account to be known as the "Water and Sewer Operating Fund" (here- inafter referred to as the Operating Fund), established by the First Issue Bond Ordinance. Section 403. Subject only (1) to the right of the City to pay from the Operating Fund moneys required for Operating Expenses as provided in Section 404 of this ordinance and (2) to the right of the City to expend moneys in the Operating Fund in accordance with Section 406 of this ordi- nance, all moneys paid or required by Section 402 to be paid into the Operating Fund are hereby pledged to secure the payment of the principal of, the redemption premium, if any, and interest on the Bonds (including Issued Bands and Additional Bonds issued in accordance with Section 109 of this ordinance), and this pledge shall be valid and binding from and after the earliest date (hereinafter referred to as the Issuance Date) upon which any Bonds are issued pursuant to this ordinance. Revenues, as received by the City, shall immediately be subject to the lien of this pledge with- out any physical delivery thereof or further act, and the lien of this pledge shall be valid and binding as against all parties having claims of any kind in tort, or contract, or otherwise against the City, irrespective of whether such parties have notice of such lien. Section 404. From the Operating Fluid the City shall first pay Operating Expenses as such expenses become due and payable. Section 405. (1) The Special Fund known as the "Water and Sewer Debt Service Fund" (hereinafter referred to as "Debt Service Fund") established by the First Issue Bond Ordinance shall be continued and maintained, and such Special Fund shall be divided into a "Current Account" and a "Reserve Account" as provided in the First Issue Bond Ordinance. All moneys paid into such accounts as hereinafter provided and as provided in the First Is- sue Bond Ordinance shall be deposited in one or more depositaries of the City as a Special Fund and shall be kept separate from all other moneys of the City. (2) On or before the last day of the first month end- ing subsequent to the Issuance Date, and on or before the fifteenthaWof each month thereafter, the City shall, out of the moneys remaining in the Operating Fund after payment of Operating Expenses then due and payable, lay (a) Into the Current Account of the Debt Service Fund: (1).An amount equal to one-sixth (116) of the in- terest payable on the Bonds (including Issued Bonds and Additional Bonds) then outstanding on the interest payment date next ensuing, less the amount, if any, received as accrued inter- est from the purchasers of the Bonds and deposited to the credit of the Current Account and available for the purpose of paying said interest; and (2) An amount equal to one-twelfth (1/12) of the principal of the Bonds (including Issued Bonds and Additional Bonds) then outstanding that will mature on the March first next ensuing; and (b) rAto the Reserve Account of the Debt Service Fund: An amount equal to twenty per cent (20%) of said payments into the Current Account; provided, how- ever, that whenever and for so long as the amount in the Reserve Account shall be as much as the ag- gregate amount of principal and interest that will become due and payable in the twelve months' period beginning on the March 2 next ensuing on the Bonds (including Issued Bonds and Additional Bonds) then outstanding, no payment need be made into the Re- serve Account; and provided, further, that no great- er payment need be made into the Reserve Account than shall be necessary to make the amount in the Re- serve Account equal to said aggregate amount of prin- cipal and interest. (3) In addition to the amount required by the foregoing provisions of this section to be paid into the Current Account of the Debt Service Fund on or before the last day of the month in which any Bonds or Additional Bonds are delivered, the City shall pay into said account; on or before said day, out of moneys remaining in the Operating Fund after the payment of Operating Expenses then due and payable, an amount equal to the amounts, if any, which would have been theretofore paid, pursuant to said foregoing provisions, into the Current Account with respect to said Bonds or Additional Bonds (a) on account of interest, if said Bonds or Additional Bonds had been delivered six months before the interest payment date next ensuing, and (b) on account of principal, if said Bonds or Additional Bonds had been delivered one year before the principal payment date next ensuing. (4) If for any reason the moneys in the Current Ac- count or the Reserve Account of the Debt Service Fund, and actually avail- able for the purpose of paying the principal of or interest on the Bonds or the Issued Bonds or the Additional. Bonds, shall at any time be less than the total amount required by the foregoing provisions of this section to be paid into such account up to such time, after deducting, in the case of the Current Account, moneys previously applied to, or set aside and held by the City for, the payment of matured Bonds or Issued Bonds or Additional Bonds and matured coupons appurtenant to Bonds or the Issued Bonds or Additional Bonds, the amount of the deficiency shall be added to the amount otherwise required to be paid from the Operating Fund into such deficient account in each month thereafter until all such deficiencies shall have been made up. (5) Whenever and for so long as the moneys in the Debt Service Fund are at least equal to the aggregate principal amount of the Bonds and Issued Bonds and Additional Bonds issued and unpaid, plus the amount of interest then due and thereafter to become due on the Bonds and Issued Bonds and Additional Bonds issued and unpaid, no further payment need be made into the Debt Service Fund. Section 406. The special account in the Operating Fund known as the "Operation Reserve Account" created by the First Issue Bond Ordinance shall be continued and maintained. The City Council has ascertained and hereby determines that cash and investments amounting in the aggregate to $472,400.91 have been set aside in accordance with the provisions of the First Issue Bond Ordinance and are now held in said account and that said sum is more than twenty-five percentum of the total amount of the Operating Expenses of the Systems for the twelve months' period ending on September 30, 1957- In the event that the moneys held in said account shall hereafter be less than twenty-five percentum of the total amount of the Operating Expenses of the Systems for any twelve months' period ending on the next preceding September 30th, the City shall, on or before the last days of December, March, June and September in each year, after making the payments for Operating Expenses required by Section 404 and the payments into the Current Account and Re- serve Account of the Debt Service Fund required by Section 405, set aside and pay into the Operating Reserve Account, out of any balance of the reve- nues remaining in the Operating Fund, the sum of $16,000.00, or such larger sum as may hereafter be prescribed by the City Council, until the moneys held in the Operating Reserve Account shall be equal to twenty-five per- centum of the total amount of the Operating Expenses of the Systems for the twelve months' period ending on the next preceding September 30th, after which no further payment need be made into such account unless the moneys therein shall become less than such total amount, in which event such further payments shall be made from time to time into said account as may be neces- sary in order to make the moneys therein equal to said total amount. Moneys in said account may be used by the City for the purpose of making any pay- ments required by either Section 404 or Section 405 of this ordinance. Any surplus remaining in the Operating Fund, after making the payments for Operating Expenses required by Section 404 and the payments into the Cur- rent Account and Reserve Account of the Debt Service Fund required by Sec- tion 405 and the payments into the Operation Reserve Account required by this section, may be used by the City for any lawful purpose. Section 407. Moneys in the Current Account of the Debt Service Fund shall be used by the City for the purpose of paying or making provision for paying the principal of and interest on the Bonds or Issued Bonds or Addi- tional Bonds as such principal and interest fall due. Moneys in the Reserve Account of the Debt Service Fund shall also be used by the City for said purpose whenever and to the extent that the moneys in the Current Account shall be insufficient for said purpose. All moneys in the Debt Service Fund shall be held by the City in trust, and they are hereby pledged to and charged with the payments mentioned in this section. Section 408. Moneys on deposit to the credit of the Reserve Account of the Debt Service Fund or the Operation Reserve Account of the Operating Fund may, in the discretion of the City Council of the City, be invested in direct obligations of, or obligations the principal and interest of which are unconditionally guaranteed by, the United States Government. Obligations so purchased as an investment of moneys in either of such accounts shall be deemed at all times to be a part of such account, and the interest accru- ing thereon and any profit realized from such investment shall be credited to such account, and any loss resulting from such investment shall be charged to such account. The City shall sell at the best price obtainable any obligations so purchased whenever it may be necessary so to do in or- der to provide moneys to meet any payment or transfer from such account. ARTICLE V. PARTICULAR COVENANTS OF THE CITY Section 501. The City covenants and agrees that it will duly and punctually pay, or cause to be paid, the principal of all Bonds issued un- der this ordinance and the interest thereon, on the dates, at the place and in the manner set forth in such Bonds and in the coupons thereto ap- pertaining, and that it will faithfully do and perform and at all times fully observe any and all covenants, undertakings, stipulations and provi- sions contained herein or in the Bonds at any time outstanding hereunder. Except as in this ordinance otherwise provided, such principal and interest are payable solely from the Revenues derived from the Systems, which Reve- nues are hereby pledged to the payment thereof in the manner and to the ex- tent hereinabove particularly specified, and nothing in the Bonds or coupons or in this ordinance shall be construed as pledging the credit of the City or as obligating the City, directly or indirectly, or contingently, to levy a tax therefor. Section 502. The City covenants that it will at all times maintain the Systems in good working order and condition and will continuously operate the same, and will, from time to time, make all proper repairs, renewals and replacements. Section 503. The City covenants that it will at all times fix, es- tablish and collect adequate rates and charges for the services furnished by the Systems, so that the Revenues derived therefrom will at all times be sufficient to provide funds for paying Operating Expenses as they become due and payable and for making the payments required by Section 405 to be made to the Debt Service Fund and the payments required by Section 406 to be made to the Operation Reserve Account, and to pay any other indebtedness which may become a charge upon the Revenues of the Systems. Section 504. The City covenants that it will at all times carry in- surance in a responsible insurance company or companies authorized and quali- fied under the laws of Texas to assume the risk thereof, covering such prop- erties belonging to the Systems as are customarily insured, and against loss or damage from such causes as are customarily insured against, by com- panies engaged in the operation of `rater or sever systems. The proceeds of any and all such insurance shall, to the extent necessary, be applied to the repair and replacement of the damaged property. Section 505. The City covenants that, so long as the Bonds or any of them shall be outstanding and except as in this ordinance otherwise ex- pressly permitted, it will not sell, lease or otherwise dispose of or en- cumber the Systems or any part thereof, and will not create or permit to be created any charge or lien on the Revenues of the Systems ranking equally with or prior to the charge or lien on such Revenues of the Bonds issued under and secured by this ordinance. The City may, however, from time to time, sell any machinery, fixtures, apparatus, tools, instruments or other movable property acquired by it in connection with the Systems, or any ma- terials used in connection therewith, if the City shall by resolution of its City Council determine that such articles are no longer needed or are no longer useful in connection with the construction or operation and main- tenance of the Systems, and the proceeds thereof shall be applied to the replacement of the properties so sold or disposed of, or shall be deposited to the credit of the Operating Fund. The City may from time to time sell or lease such other property forming part of the Systems as it may determine is not needed or serves no useful purpose in connection with the maintenance and operation of the Systems. The proceeds of any such sale shall be de- posited to the credit of the Debt Service Fund, and the rentals from any such lease shall be deposited to the credit of the operating Fund. Section 506. So far as it legally may, the City covenants and agrees that, so long as the Bonds or any of them are outstanding, it will not grant a franchise for the operation of any competing water system or sewer system. Section 507. The City covenants and agrees that, so long as the Bonds or any of them are outstanding, the rates charged for services fur- nished by the Systems shall be equal and uniform, and no free service shall be allowed except for City public schools or buildings and institutions operated by the City. Section 508, The City covenants and agrees that, so long as the Bonds or any of them are outstanding, it will not issue Additional Bonds, payable from the Debt Service Fund, except in the manner and subject to the limitations prescribed by Section 109 of this ordinance. Section 509. Nothing contained in this ordinance shall be construed to require the City to make any payment except from the Revenues of the Systems or from the moneys raised by the issuance of the Bonds. Section 510. The City covenants that it will keep proper books of account (separate from all other records and accounts) in which full and correct entries shall be made of all transactions relating to the Systems. Such books shall be open to the inspection of all interested persons. The City further covenants that not later than three months after the close of each fiscal year, the City will cause to be prepared a statement, certified by a competent and independent certified public accountant, showing in rea- sonable detail the revenues and expenses of the Systems during such fiscal year, the assets and liabilities of the Systems at the beginning and close of such fiscal year, the amounts on deposit at the close of such fiscal year in each of the separate funds or accounts mentioned in this ordinance, and such other information as may be necessary to enable the holders of the Bonds and the Additional Bonds to be fully informed as to all matters pertaining to the financial operation and condition of the Systems during such fiscal year. The City further covenants that it will cause a copy of such statement to be mailed to each of the original purchasers of the Bonds or the Additional Bonds and also to each holder of any of the Bonds or the Additional Bonds who shall have requested it. Section 511. The City covenants that, so long as the Bonds or any of them shall be outstanding, all deposits of money held in either the Con- struction Fund or the Debt Service Fund or the Operating Fund (other than money invested as hereinbefore provided) shall be adequately secured by United States Government bonds or other marketable securities eligible as security for the deposit of trust funds under regulations of the Board of Governors of the Federal Reserve System, or by indemnity bonds of indemnity companies qualified as security for United States Government deposits, or as may be required by the applicable laws of the State of Texas. ARTICLE VI. MISCELLANEOUS PROVISIONS Section 601. If a coupon appertaining to any of the Bonds shall in any way, before, at or after maturity, be transferred or pledged separate and apart from the Bond to which it appertains, such coupon shall not, un- less accompanied by such Bond, be entitled, in case of default hereunder, to any benefit of or from this ordinance, except after prior payment in full of the principal of all Bonds and of all coupons not so transferred or pledged. If the time for the payment of any coupon appertaining to any of the Bonds shall be directly or indirectly extended, or the extension thereof shall be assented to by the City, or the City shall be a party to or approve of any arrangement for such extension by purchasing such coupons or in any other manner, then, anything in this ordinance contained to the contrary notwithstanding, such coupon so extended shall not be entitled, in case of default hereunder, to any benefit of or from this ordinance, ex- cept after prior payment in full of all Bonds outstanding hereunder and of all such coupons as shall not have been so extended. Section 602. In consideration of the purchase and acceptance of the Bonds authorized to be issued hereunder by those who shall hold the same from time to time, this ordinance shall be deemed to be and shall constitute a contract between the City and the holders from time to time of such Bonds; and the covenants and agreements herein set forth to be performed on behalf of the City shall be for the equal benefit, protection and security of the holders of any and all such Bonds and coupons, all of which, regardless of the time or times of their issue or maturity, shall be of equal rank without preference, priority or distinction of any of the Bonds or coupons over any other thereof except as expressly provided herein. Section 603. Except as herein otherwise expressly provided, nothing in this ordinance is intended or shall be construed to confer upon any per- son, firm or corporation, other than the holders of the Bonds, any right, remedy or claim, legal or equitable, under or by reason of this ordinance, or any covenant, condition or stipulation herein, this ordinance and all of its covenants, conditions and stipulations being intended to be for the sole and exclusive benefit of the holders from time to time of the Bonds. Section 604. In the event that any one or more of the provisions of this ordinance shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provision of this ordinance, and this ordinance and the Bonds issued pursuant thereto shall be construed and enforced as if such illegal or invalid provision or pro- visions had not been contained in this ordinance. Section 605• All ordinances and resolutions in conflict herewith are hereby repealed in so far as they conflict herewith. Section 606. This ordinance shall take effect and be in full force and effect from and after the date of its passage. / 1 yor of the City of Fort Worth, Pro Tam Texas ATTEST: C y Yeretary of theCity of Fort Worth, Texas APPROVED AS TO FORM AND LEGALITY: City Attorney of tMe City of Fort Worth, Texas (Form of Bond) No. No. UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF TARRANT CITY OF FORT NORTH WATER AND SEWER REVENUE BOND SERIES 86 $1,000 $1,000 The City of Fort Worth (hereinafter called the City), a municipal corporation of the State of Texas, for value received, hereby promises to pay, solely from the revenues hereinafter referred to, to the bearer on March 1, 19 - the principal sum of ONE THOUSAND DOLLARS ($1,000), and to pay, solely from said revenues, interest on said principal sum from the date of this Bond, at the rate of per centum ( %) per aunun, semi-annually on September 1 and March 1 of each year, until the City's obligation with respect to the payment of said principal sum shall be discharged. So much of said interest as shall be payable at or before the date of maturity of this Bond expressed herein will be paid only upon presentation and surrender of the annexed interest coupons as they severally mature, and so much of said interest as shall be payable after said date of maturity will be paid to the bearer of this Bond. Payment of the principal of and interest on this Bond will be made at the principal office of The Hanover Bank, in the Borough of Manhattan, City and State of New York, in such coin or currency of the United States of America as at the time of payment shall be legal tender for the payment of public and private debts. This Bond is one of a duly authorized issue of coupon bonds of the City, known as its Water and Sewer Revenue Bonds, Series 86 (hereinafter called the Bonds), limited to the aggregate principal amount of Eight Hun- dred Thousand Dollars ($800,000.00), dated March 1, 1958, maturing serially on March 1 in various years, and numbered from 13,451 to 14,250, in the or- der of their maturity. The Bonds are issued or to be issued for the improve- ment and extension of the City's Sewer System, and the Bonds are payable from the Net Revenues derived by the City from the operation of the City's Water and Sewer Systems. The credit of the City is not pledged to the pay- ment of the Bonds, and the holder hereof shall never have the right to de- mand payment of this obligation out of any funds raised or to be raised by taxation. The Bonds are issued or to be issued from time to time under and pursuant to and equally and ratably secured by an ordinance entitled "An ordinance providing for the issuance of revenue bonds of the City of Fort Worth in the aggregate principal amount of Eight Hundred Thousand Dollars ($800,000.00), in addition to four installments of revenue bonds aggregating Thirteen Million, Four Hundred and Fifty Thousand Dollars ($13,450,000.00) heretofore issued and sold out of an authorized issue of Fifteen Million Dollars ($15,000,000.00), and in addition to an installment of Four Million, Fifty Thousand Dollars ($4,050,000.00) of revenue bonds heretofore issued and sold out of an authorized issue of Eighteen Million Dollars ($18,000,- 000.00) and Eighteen Million Dollars ($18,000,000.00) of revenue bonds previ- ously authorized and issued, to finance the improvement and extension of the City's Sewer System; providing for the payment of such bonds solely from the revenues of the City's Water and Sewer Systems; pledging a portion of such revenues to such payment; entering into certain covenants and agree- ments With respect to the operation of such Systems and the application of the revenues derived therefrom; and repealing all ordinances in conflict herewith," adapted by the City Council of the City on February 28, 1958, to which ordinance reference is hereby made for a more specific description of the revenues charged with and pledged to the payment of the principal of and interest on the Bonds, and for a statement of the nature and extent of such security, of the rights of the bearers of the Bonds and of the an- nexed interest coupons with respect to such security, and of the agreements of the City with respect thereto, and for a statement of the conditions upon which obligations on a parity with this Bond may be issued. The bonds of this issue and also the $35,500,000•00 of bonds previously issued and the $3,200,000.00 of bonds issued simultaneously with the issuance of the bonds of this issue, all issued to finance the improvement and extension of the City's Water and Sewer Systems, are secured equally and ratably by a pledge of the net revenues of such Systems. The Bonds payable subsequent to March 1, 1969, shall be redeemable prior to their respective maturities, at the option of the City, on March 1, 1969, or on March 1 of any year subsequent to 1969, 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 out- standing Bonds bearing the highest identifying numbers; (2) the redemption price shall be par and accrued interest to date of redemption, plus a premium for each Bond redeemed, of the following respective amounts in the following respective years: 1969, $25.00; 1970, $22.50; 1971, $20.00; 1972, $17.50; 1973, $15.00; 1974, $12.50; 1975, $10•00; 1976, $7.50; 1977, $5•00; 1978, $2.50; and without premium if redeemed after 1978; 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 newspaper printed in the English Language and published and of general circulation in the City of Fort Worth, in the State of Texas, and must be published at least once in a financial journal published in the Borough of Manhattan, in the City and State of New York. Each successive holder of this Bond, and each successive holder of each of the coupons hereto attached, is conclusively presumed to forego and renounce his equities in favor of subsequent holders for value without notice, and to agree that this Bond and each of the coupons hereto attached may be negotiated by delivery by any person having possession thereof, how- soever such possession may have been acquired, and that any holder who shall have taken this Bond or any of the coupons from any person for value and without notice thereby has acquired absolute title thereto, free from any defenses enforceable against any prior holder and free from all equities and claims of ownership of any such prior holder. This Bond is issued pursuant to the Constitution and statutes of the State of Texas, including particularly Articles 1111 to 1118, inclusive, of the 1925 Revised Civil Statutes of Texas, as amended, Chapter 249, Acts 51st Legislature (1949); Chapter 250, Acts 51st Legislature (1949), as amended by Chapter 23, Acts 52nd Legislature (1951), and pursuant to propo- sitions authorizing the encumbering of the income derived by the City from the operation of the City's Water System and the City's Sewer System to provide for the payment of the $15,000,000.00. principal amount of bonds (of which the $800,000.00 principal amount of Series 86 above described are a part), adopted by a majority of the resident, qualified electors of the City owning taxable property in the City, and who had duly rendered the same for taxation, voting at an election held for that purpose on January 26, 1954, and pursuant to the above mentioned ordinance. All acts, condi- tions and things required by the Constitution or statutes of the State of Texas to exist, be performed or happen precedent to or in the issuance of this Bond exist, have been performed and have happened; and the amount of this Bond, together with all other indebtedness of the City, does not exceed any limit prescribed by the Constitution or statutes of said State. IN WITNESS WHEREOF, the City has caused this Bond to be signed by its Mayor and attested by its City Secretary, and has caused the seal of the City to be hereunto affixed or impressed hereon, and coupons for the interest payable prior to or at the maturity of this Bond, bearing the fac- simile signatures of said Mayor and City Secretary, to be attached hereto, all as of the first day of March, 1958. CITY OF FORT WORTH, TEXAS BY mayor ATTEST: City Sacr&tary (Form of coupons representing interest payable on or before March 1, 1969) The City of Fort Worth, Texas, will pay to bearer, solely from those certain revenues referred to in the On the Bond hereinafter mentioned, at the principal office first day of of The Hanover Bank, in the City of New York, New York, Sept., 19 March, the sum of Dollars N0. - $ ($ ), being interest then due on its Water SERIES 86 and Sewer Revenue Bond, Series 86, dated March 1, 1958. BOND NO. The holder hereof shall never have the right to de- mand payment of this obligation out of any funds raised or to be raised by taxation. r ATTEST: City Secretary (Form of coupons representing interest payable subsequent to March 1, 1969) Unless the Bond hereinafter mentioned shall have been called for previous redemption and payment there- of made or duly provided for, the City of Fort Worth, On the Texas, will pay to bearer, solely from those certain first day of revenues referred to in the Bond hereinafter mentioned, Sept., 19 March, at the principal office of The Hanover Bank, in the NO. ^ City of New York, New York, the sum of SERIES 86 Dollars ($ ), being inter- BOND NO. eat then due on its Water and Sewer Revenue Bond, Series 86, dated March 1, 1956. The holder hereof shall never have the right to demand payment of this obligation out of any funds raised or to be raised by taxation. ATTEST: city secretary (Form of Comptroller's Certificate) 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 special obligation of said City of Fort Worth, Texas, payable from the revenues pledged to its payment by and in the ordinance authoriz- ing same, 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 (Form of City Attorney's Certificate) The within bond is hereby approved as to form and legality. City Attorney ORDINANCE ANCE No. Title: J7c� fy i�-�° e ��55' Adopted--: r 10 Final Adoption Published Filed�� Day of 1� �� %'r— , 19 City Secretary P. O.No.42978-U