HomeMy WebLinkAboutOrdinance 7304 ORDINANCE NO.
AN ORDINANCE PROVIDING FOR THE ISSUANCE OF ELEVEN
MILLION DOLLARS ($11,000,000.00) OF SANITARY
SEWER SYSTEM AND SEWAGE DISPOSAL PLANT BONDS,
SERIES 1976B, 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 MATURITY; RE-
PEALING 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 elections previously held in said City be sold
at this time, the dates 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,
1970 $9,500,000 Sanitary Sewer $6,200,000 $3,300,000
System and
Sewage Disposal
Plant
Dec. 9,
1975 27,500,000 Sanitary Sewer -0- 7,700,000
System and
Sewage Disposal
Plant
NOW, THEREFORE, $11,000,000
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 1976B," 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 perma-
nent city improvements by improving, extending and enlarging
the sanitary sewer system and sewage disposal plants of said
City and acquiring the necessary lands therefor, which bonds
aggregate in principal amount the sum of Eleven Million Dol-
lars ($11,000,000.00) .
SECTION 2.
That said bonds shall be numbered from one (1) to two
thousand, two hundred (2,200) , both inclusive, of the denomi-
nation of Five Thousand Dollars ($5,000.00) each, aggregating
Eleven Million Dollars ($11,000,000.00) .
SECTION 3.
That said bonds shall be dated March 1, 1976, and shall
become due and payable serially as follows:
Bond Numbers Maturity Dates Amounts
1 to 88, both incl. March 1, 1977 $440,000.00
89 to 176, both incl. March 1, 1978 440,000.00
177 to 264, both incl. March 1, 1979 440,000.00
265 to 352, both incl. March 1, 1980 440,000.00
353 to 440, both incl. March 1, 1981 440,000.00
441 to 528, both incl. March 1, 1982 440,000.00
529 to 616, both Incl. March 1, 1983 440,000.00
617 to 704, both incl. March 1, 1984 440,000.00
705 to 792, both incl. March 1, 1985 440,000.00
793 to 880, both incl. March 1, 1986 440,000.00
881 to 968, both incl. March 1, 1987 440,000.00
969 to 1,056, both incl. March 1, 1988 440,000.00
1,057 to 1,144, both incl. March 1, 1989 440,000.00
1,145 to 1,232, both incl. March 1, 1990 440,000.00
1,233 to 1,320, both incl. March 1, 1991 440,000.00
1,321 to 1,408, both incl. March 1, 1992 440,000.00
1,409 to 1,496, both incl. March 1, 1993 440,000.00
1,497 to 1,584, both incl. March 1, 1994 440,000.00
1,585 to 1,672, both incl. March 1, 1995 440,000.00
1,673 to 1,760, both incl. March 1, 1996 440,000.00
1,761 to 1,848, both incl. March 1, 1997 440,000.00
1,849 to 1,936, both incl. March 1, 1998 440,000.00
1,937 to 2,024, both incl. March 1, 1999 440,000.00
2,025 to 2,112, both incl. March 1, 2000 440,000.00
2,113 to 2,200, both incl. March 1, 2001 440,000.00
SECTION 4.
That the bonds payable subsequent to March 1, 1991,
shall be redeemable prior to their respective maturities,
at the option of the City, on March 1, 1991, or on any in-
terest payment date subsequent to March 1, 1991, 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 cir-
culation published in the Borough of Manhattan, in the City
and State of New York. Such option may be exercised by ordi-
nance 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 pur-
chase, with any moneys lawfully available for such purpose,
any of the outstanding bonds at a price less than the redemp-
tion 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 thereof.
SECTION 5.
That said bonds shall bear interest at the rates as
follows:
Bonds Nos. I to 1,056, both incl., 6.25% per annum;
Bonds Nos. 1,057 to 1,144, both incl., 5.90% per annum;
Bonds Nos. 1,145 to 1,232, both incl., 5.35% per annum;
Bonds Nos. 1,233 to 1,320, both incl., 5.50% per annum;
Bonds Nos. 1,321 to 1,408, both incl., 5.70% per annum;
Bonds Nos. 1,409 to 1,496, both incl., 5.801% per annum;
Bonds Nos. 1,497 to 1,584, both incl'., 5.90% per annum,
Bonds Nos. 1,585 to 1,936, both incl., 6.000% per annum; and
Bonds Nos. 1,937 to 2,200, both incl., 4.25% per annum,
payable September 1, 1976, 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 sig-
nature 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 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 1976B
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, ,
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, 1976, and semi-
annually thereafter on March 1st and September 1st of each
year, both principal and interest payable upon presentation
and surrender of bond or proper coupon at the Manufacturers
Hanover Trust Company, in the Borough of Manhattan, City and
State of New York, and the City of Fort worth, Texas, is here-
by held and firmly bound, and its faith and credit and all
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. 1976.
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 al-
lowances being 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, 1976, there is hereby appropriated the sum of Three
Hundred Twenty Thousand, Nine Hundred Eighty and no/100 Dol-
lars ($320,980.00) 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
registration; that upon registration of said bonds, the Comp-
troller of Public Accounts (or a deputy designated in writing
to act for the Comptroller) shall manually sign the Comptrol-
ler'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. 7303, to Fort Worth
National Bank and Associates at a price of par and 4CM11air-A
interest to date of delivery, plus a premium of $3,000.00, 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 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 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
Article 6252-17, Vernon's Texas Civil Statutes, as amended.
•
Mayor f the City of Fort Worth,
Texas
ATTEST:
City Secretary of the City
of Fort Worth, Texas
APPROVED AS TO FORM AND LEGALITY:
� T
City Attorney of the City of
Fort Worth, Texas
taxable property in said City are hereby pledged for the
prompt payment of the principal of this bond at maturity
and the interest thereon as it accrues.
This bond is one of a series of two thousand, two hun-
dred (2,200) bonds of like tenor and effect, except as to
number, interest rate, maturity, and right of prior redemp-
tion, numbered from one (1) to two thousand, two hundred
(2,200) , both inclusive, of the denomination of Five Thousand
Dollars ($5,000.00) each, aggregating Eleven Million Dollars
($11,000,000.00) , issued for the purpose of making 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 vir-
tue 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 Coun-
cil.
The bonds payable subsequent to March 1, 1991, shall be
redeemable prior to their respective maturities, at the op-
tion of the City, on March 1, 1991, or on any interest pay-
ment date subsequent to March 1, 1991, 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-piice 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, 1976.
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 of the City of Fort Worth, Texas, voting at elections
held for that purpose within said City on September 8, 1970,
and December 9, 1975; 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 pro-
vision 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 Secre-
tary, 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
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
1st day of
Hanover Trust Company, in the City of
Sept.,
New York, New York, the amount specified March,
hereon for interest due that day on its SERIES 1976E
Sanitary Sewer System and Sewage Disposal
COUPON NO.
Plant Bond, Series 1976B, dated March 1,
1976.
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
Ay6irv-'V
City of Fort Worth, Texas
y
Ma or and Council Communication
a
jrrN,,s
DATE REFERENCE SUBJECT: Sale of $20,000,000 General PAGE
NUMBE2/25/76 G-2982 Obligation Bonds 1
1 of
Bids for $20,000,000 General Obligation Bonds were received Wednesday,
February 25, 1976, at 10:00 A.M. A summary of the average net effective
interest rates for the bids received is shown below:
1. Fort Worth National Bank and
Republic National Bank of Dallas 5.5853%
2. First National Bank of Dallas 5.59666%
3. First National City Bank of New York 5.6535%
4. Morgan Guaranty Trust 5.6676%
5. Bache, Halsey, Stuart & Co. 5.7006%
6. Chase Manhattan Bank of New York 5.7310%
It is recommended that the bonds be sold to the bidder offering the lowest
interest cost, Fort Worth National Bank and Republic National Bank of Dallas
and Associates at an average net effective rate of 5.5853% and that the
City Council adopt Ordinance No. 7303 authorizing the issuance of
$6,500,000 Street Improvement Bonds, $500,000 Fire Protection Bonds,
$2,000,000 Library Bonds and $11,000,000 Sanitary Sewer System and Sewage
Disposal Plant Bonds.
RNL:ms
SUBMITTED BY: DISPOSITIO BY COUNCIL: PROLE BY
gr APPROVED D-OT14ER (DESCRIBE)
Adopted Ordinance No. 7303 authorizing issuance CITY SECRETARY
DA
of $9,000,000 General Purpose Bonds and OrdinanceTE
CITY MANAGER No. 7304 authorizing issuance of $11,000,000 Sanitary Sewer System and Sewage Disposal Plant Bonds