HomeMy WebLinkAboutOrdinance 7134 ORDINANCE NO. 7 I3
AN ORDINANCE PROVIDING FOR THE ISSUANCE OF FIVE MIL-
LION DOLLARS ($5,000,000.00) OF GENERAL PURPOSE BONDS,
SERIES 1975A, OF THE CITY OF FORT WORTH, TEXAS, BEAR-
ING 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; 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 com-
bined 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 $12,300,000 $4,550,000
Sept. 8, Fire
1970 750,000 Protection 300,000 450,000
$5,000,000
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 1975A, " 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 purposes, to wit: Four Million,
Five Hundred and Fifty Thousand Dollars ($4,550,000.00) for
the purpose of making permanent city improvements by construct-
ing, improving and extending the streets, thoroughfares and
storm drains of said City, including in such permanent public
improvements the straightening, widening, paving, grade separa-
tion, lighting and drainage of said streets and thoroughfares,
and acquiring the necessary lands therefor; and Four Hundred
and Fifty Thousand Dollars ($450,000.00) for the purpose of
making permanent city improvements by constructing, building
and equipping city fire stations and training facilities, improv-
ing and extending the city fire alarm system and acquiring the
necessary lands therefor, all of which bonds aggregate in prin-
cipal amount the sum of Five Million Dollars ($5,000,000.00) .
SECTION 2.
That said bonds shall be numbered from one (1) to one thou-
sand (1,000) , both inclusive, of the denomination of Five Thou-
sand Dollars ($5,000.00) each, aggregating Five Million Dollars
($5,000,000.00) .
SECTION 3.
That said bonds shall be dated March 1, 1975, and shall be-
come due and payable serially as follows:
Bond Numbers Maturity Dates Amounts
1 to 40, both incl. March 1, 1976 $200,000.00
41 to 80, both incl. March 1, 1977 200,000.00
81 to 120, both incl. March 1, 1978 200,000.00
121 to 160, both incl. March 1, 1979 200,000.00
161 to 200, both incl. March 1, 1980 200,000.00
201 to 240, both incl. March 1, 1981 200,000.00
241 to 280, both incl. March 1, 1982 200,,000.00
281 to 320, both incl. March 1, 1983 200,000.00
321 to 360, both incl. March 1, 1984 200,000.00
361 to 400, both incl. March 1, 1985 200,000.00
401 to 440, both incl. March 1, 1986 200,000.00
441 to 480, both incl. March 1, 1987 200,000.00
481 to 520, both incl. March 1, 1988 200,000.00
521 to 560, both incl. March 1, 1989 200,000.00
561 to 600, both incl. March 1, 1990 200,000.00
601 to 640, both Incl. March 1, 1991 200,000.00
Bond Numbers Maturity Dates Amounts
641 to 680, both incl. March 1, 1992 $200,000.00
681 to 720, both incl. March 1, 1993 200,000.00
721 to 760, both incl. March 1, 1994 200,000.00
761 to 800, both incl. March 1, 1995 200,000.00
801 to 840, both incl. March 1, 1996 200,000.00
841 to 880, both incl. March 1, 1997 200,000.00
881 to 920, both Incl. March 1, 1998 200,000.00
921 to 960, both incl. March 1, 1999 200,000.00
961 to 1,000, both incl. March 1, 2000 200,000.00
SECTION 4.
That the bonds payable subsequent to March 1, 1990, shall
be redeemable prior to their respective maturities at the op-
tion of the City, on March 1, 1990, or on any interest payment
date subsequent to March 1, 1990, 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 redemption is to be made, a notice of inten-
tion to make such redemption, describing the bonds to be redeemed,
must be published at least once in a financial journal of na-
tional circulation published in the Borough of Manhattan, in the
City and State of New York. Such option may be exercised by or-
dinance 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 redemption
price hereinbefore prescribed. Notice having been given by pub-
lication in the manner provided herein, the bonds called for re-
demption shall become due and payable on the redemption date
designated in the notice at the redemption price determined,
as provided herein, and upon presentation and surrender there-
of 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 de-
faults 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 400, both incl., 6.000% per annum;
Bonds Nos. 401 to 480, both incl., 4.75% per annum;
Bonds Nos. 481 to 560, both incl., 5.00°% per annum;
Bonds Nos. 561 to 6401 both incl., 5.25% per annum;
Bonds Nos. 641 to 720, both incl., 5.60°% per annum;
Bonds Nos. 721 to 800, both incl., 5.75% per annum;
Bonds Nos. 801 to 680, both incl., 6.000% per annum; and
Bonds Nos. 881 to 1,000, both incl., 5.000% per annum,
payable September 1, 1975, 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
sign&ture of the City Attorney, and attested manually J�Fy the
City Secretary, with the seal of the City thereon duly affixed
to, or impressed, or printed, or lithographed, and the inter-
est coupons shall be executed with the lithographed or printed
facsimile signatures of the Mayor and City Secretary of the
City of Fort Worth, Texas, and such facsimile signatures shall
have the same effect as if manually placed on said bonds and
coupons.
SECTION 8.
That the farm of said bonds shall be substantially as fol-
lows:
NO. UNITED STATES OF AMERICA $5,000.00
STATE OF TEXAS
COUNTY OF TARRANT
CITY OF FORT WORTH
GENERAL PURPOSE BOND
SERIES 1975A
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 interest
thereon from date hereof at the rate of / per annum,
evidenced by coupons payable September 1, 1975, and semi-
annually thereafter on March 1st and September 1st of each year,
both principal and interest payable upon presentation and sur-
render of bond or proper coupon at the Manufacturers Hanover
Trust Company, in the Borough of Manhattan, City and State of
New York, and the City of Fort Worth, Texas, is hereby held
and firmly bound, and its faith and credit and all taxable
property in said City are hereby pledged for the prompt pay-
ment of the principal of this bond at maturity and the inter-
est thereon as it accrues.
This bond is one of a series of one thousand (1,000) bonds
of like tenor and effect, except as to number, interest rate,
maturity, and right of prior redemption, numbered from one (1)
to one thousand (1,000) , both inclusive, of the denomination
of Five Thousand Dollars ($5,000.00) each, aggregating Five
Million Dollars ($5,000,000.00) , issued for the following pur-
poses, to wit: Four Million, Five Hundred and Fifty Thousand
Dollars ($4,550,000.00) for the purpose of making permanent
city improvements by constructing, improving and extending the
streets, thoroughfares and storm drains of said City, includ-
ing in such permanent public improvements the straightening,
widening, paving, grade separation, lighting and drainage of
said streets and thoroughfares, and acquiring the necessary
lands therefor; and Four Hundred and Fifty Thousand Dollars
($450,000.00) for the purpose of making permanent city improve-
ments by constructing, building and equipping city fire sta-
tions and training facilities, improving and extending the city
fire alarm system and acquiring the necessary lands therefor,
under and by virtue of the Constitution and laws of the State
of Texas and the Charter of said City, and pursuant to an ordi-
nance passed by the City Council of the City of Fort Worth,
Texas, which ordinance is duly of record in the Minutes of said
City Council.
SECTION 9.
That the proceeds from all taxes collected for and on ac-
count 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 being made for delinquen-
cies and costs of collection; that a tax at the rate as herein-
above 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 outstand-
ing 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 princi-
pal of said bonds and for no other purpose.
SECTION 10.
That to pay the interest scheduled to mature on September
1, 1975, there is hereby appropriated the sum of One Hundred
Thirty-nine Thousand, Seven Hundred Dollars ($139,700) 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 ap-
proval and to the Comptroller of Public Accounts for registra-
tion; that upon registration of said bonds, the Comptroller
of public Accounts (or a deputy designated in writing to act
for the Comptroller) shall manually sign the Comptroller's cer-
tificate of registration prescribed herein to be printed on the
back of each bond; and that the seal of the Comptroller shall
be affixed to, or impressed, or printed, or lithographed on each
of said bonds.
SECTION 12.
That the sale of the bonds herein authorized to Union Bank
of Fort Worth at a price of par and accrued interest to date
of delivery is hereby confirmed; and that delivery of such bonds
shall be made to such purchaser as soon as may be after the pas-
sage of this ordinance upon payment therefor in accordance with
the terms of sale.
SECTION 13.
That the City covenants to and with the purchaser 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 bends by the purchaser,
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 pertaining thereto;
and by this covenant the City is obligated to comply with the
requirements of the aforesaid Section 103(d) and all applica-
ble and pertinent Department of the Treasury regulations re-
lating 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 meaning of
the aforesaid Section 103(d) or any regulations or rulings per-
taining 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 _StRtutcC , as amended.
G
ATTES : _ Mgjr of the City of Fort Worth,
/ Texas
ee,-L
C ty ecretary of the City
of Fort Worth, Texas
APPROVED ASTO FORM AND LEGALITY:
�U I
City Attorney of the City of
Fort Worth, Texas
The bonds payable subsequent to March 1, 1990, shall be
redeemable prior to their respective maturities, at the op-
tion of the City, on March 1, 1990, or on any interest payment
date subsequent to March 1, 1990, 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 in-
terest 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, 1975.
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 elec-
tors 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 re-
quired to be done precedent to and in the issuance of this series
of bonds, and of this bond, have been properly done and per-
formed and have happened in regular and due time, form and man-
ner as required by law; that sufficient and proper provision for
the levy and collection of taxes has been made, which, when col-
lected, shall be appropriated exclusively to the payment of
this bond and the series of which it is a part, and to the pay-
ment of the interest coupons hereto annexed as the same shall
become due; and that the total indebtedness of said City of
Fort Worth, Texas, including the entire series of bonds of
which this is one, does not exceed any constitutional, statu-
tory 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 lithographed on this
bond.
CITY OF FORT WORTH, TEXAS
ATTEST:
BY
Mayor
City Secretary
APPROVED AS TO FORM AND LEGALITY:
City Attorney
That the form of coupons to be attached to said bonds shall
be substantially as follows:
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.,
New York, the amount gpecified hereon for March,
interest due that day on its General Purpose SERIES 1975A
Bond, Series 1975A, dated March 1, 1975.
COUPON NO.
CITY OF FORT WORTH, TEXAS
BY
Mayor
ATTEST:
City Secretary
That substantially the following certificate shall be
printed on the back of each bond:
OFFICE OF COMPTROLLER
STATE OF TEXAS
I HEREBY CERTIFY that there is on file and of record in my
office a certificate of the Attorney General of the State of
Texas, to the effect that this bond has been examined by him
as required by law, and that he finds that it has been issued
in conformity with the Constitution and laws of the State of
Texas and 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. 1975.
Comptroller of Public Accounts
of the State of Texas
""t City of Fort Worth, Texas
-sku"
ORM" Mayor and Council Communication
MIMES
DATE REFERENCE SUBJECT: Sale of $5,000,000 General PAGE
NUMBER
2/19/75 G-2629 Obligation Bonds lot 1
Bids for $5,000,000 General Obligation Bonds were received Wednesday,
February 19, 1975, at 10.00 a.m. A summary of the average net effective
interest rates is shown below.
1. Union Bank of Fort Worth 5.46230%.
2. White Weld & Co. Inc. , i)allas 5,480769%
3. First National Bank of Dallas, First of Fort worth et al 5.48190
4. Virst City National Sank, Houston 5.574287%
5. Halsey, Stuart & Co. , liew York 5.586%1
6. First .dational City Bank, :Merrill Lynch, i7ew York 5.6115-
7. First iiational Bank of Chicago 5.63878%
8. Fort worth ilational Bank, et as 5.6549%
9. ;veeden & Co. , 'Houston 5.7175%
10. Harris Trust & Savings Bank, Chicago 5.7254%
11. r-J.dder, Peabody & Co. , 'Jew York 5.739395%.
12. Chase Ianh_ittan 3a-tik, 1.7ew Yo.-k 5.796%
It is recommended that the bonds be sold to the bidder offering the lowest
interest cost, Union Bank of Fort 4ortai, at an average net effective rate of.
5.4623% and that the City Council adopt Ordinance No. 7134 authorizing the
issuance of $5,000,000 in General t'ur}lose Bonds ($4,550,000 Street Improvements
and $450,000 in Fire Protection Bonds).
AAL.us
i
SUBMITTED BY: DISPOSITION ZY COUNCIL: PROC SSED BY
APPROVED ❑ OTHER (DESCRIBE) �
CITY SECRETARY
DATE
CITY MANAGER