HomeMy WebLinkAbout755ORDINANCE NO. 755
AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL
DEVELOPMENT REVENUE BONDS UNDER ACT NO. 9 OF THE
FIRST EXTRAORDINARY SESSION OF THE SIXTY-SECOND GENERAL
ASSEMBLY OF THE STATE OF ARKANSAS, APPROVED JANUARY 21,
1960, AS AMENDED, FOR THE PURPOSE OF PROVIDING PERMA-
NENT FINANCING OF THE COST OF SECURING AND DEVELOP-
ING INDUSTRY (THE PARTICULAR INDUSTRIAL PROJECT IS DES-
CRIBED IN THE ORDINANCE); AUTHORIZING THE EXECUTION
AND DELIVERY OF A TRUST INDENTURE SECURING THE BONDS;
AUTHORIZING AND PRESCRIBING OTHER MATTERS PERTAINING
TO THE INDUSTRIAL PROJECT, THE CONSTRUCTING THEREOF
AND THE FINANCING THEREOF; AND DECLARING AN EMERGENCY.
s
WHEREAS the City of Batesville, Arkansas (called "City") is
authorized by Act No. 9 of the First Extraordinary Session of the Sixty Second
General Assembly of the State of Arkansas, approved January 21, 1960, as amended
(called "Act No. 9") , to acquire lands, construct and equip manufacturing build-
ings, improvements and facilities and to incur other costs and expenses and make
other expenditures incidental to and for the implementing and accomplishing of
the conduct of manufacturing operations; and
WHEREAS the City is authorized by Act No. 9 to issue Industrial
Development Revenue Bonds payable from revenues derived from the Indus-
trial Project so acquired and constructed and secured by a lien thereon; and
WHEREAS the necessary arrangements have been made with Emerson
Electric Co. , a Missouri corporation (called "Emerson"), for a substantial
expansion of Emerson operations (the existing facilities as expanded) con-
sisting of lands, buildings, improvements, machinery, equipment and
facilities for an industrial plant which will be utilized for the manufacturing
of such products as Emerson shall elect to manufacture (called the "Project"),
and to lease the Project to Emerson pursuant to the tc-rms of a Lease and
Agreement subsequently identified herein and referred to as the "Lease
Agreement"; and
• NOW' ..r
WIIEREAS permanent financing of the Project costs, necessary
ccsts and expenditures incidental thereto and 'to the expeditious commence-
ment of manufacturing operations, the cost of the issuance of bonds and the
amount necessary to provide for interest on bonds until Project revenues are
available is being furnished by the issuance of Industrial Development Revenue
Bonds by the City under the provisions of Act No. 9 in the principal amount
of not to exceed Six Hundred Thousand Dollars ($600,000), (called "bonds" or
"Act No. 9 Bonds"); and
WHEREAS there has been submitted to the electors of the City the
question of issuing the Act No. 9 Bonds at a special election, and at said
special election the electors approved the issuance of the Act No. 9 Bonds;
NOW, THEREFORE, BE IT ORDAINED by the City Council of the
City of Batesville, Arkansas:
Section 1. That there be, and there is hereby, authorized and
directed the following:
(a) The sale of $600,000 in aggregate principal amount of
bonds;
(b) The execution of all necessary architectural, engineering
and construction contracts for the constructing and equip-
ping of the Project, with executed copies of all such con-
tracts to be filed in the office of the Clerk; and
(c) The performance of all obligations of the City under the
Lease Agreement pertaining to the constructing and
equipping of the Project and the performance of all
obligations of the City under the architectural, engineering
and construction contracts referred to in (b) above.
Section 2. That to provide for the authorization of and to secure
Industrial Development Revenue Bonds of the City under Act No. 9 in the total
principal amount of not to exceed $600,000, to provide for the execution and
delivery of the bonds, and to prescribe the terms and conditions upon which
the bonds are to be secured, executed, authenticated, accepted and held, the
Mayor is hereby authorized and directed to execute and acknowledge a Trust
O
en
Indenture, and the City Clerk is hereby authorized and directed to execute and
acknowledge the Trust Indenture and to affix the seal of the City thereto, and
the Mayor and City Clerk are hereby authorized and directed to cause the Trust
Indenture to be accepted, executed and acknowledged by the Trustee, with the
Trust Indenture, which constitutes and is hereby made a part of this Ordinance,
to be in substantially the following form, to wit:
(Advice is hereby given that a copy of the form of Trust
Indenture is on file in the office of the City Clerk and
reference may be had thereto by any interested person.)
Section 3. That the Mayor and City Clerk, for and on behalf of
the City be, and they are hereby, authorized and directed to do any and all
things necessary to effect the execution and acceptance of the Trust Inden-
ture by the Trustee, the performance of all obligations of the City under and
pursuant to the Trust Indenture, the execution and delivery of the bonds, and
the performance of all other acts of whatever nature necessary to effect and
carry out the authority conferred by this Ordinance and by the Trust Indenture.
That the Mayor and City Clerk be, and they are hereby, further authorized
and directed, for and on behalf of the City , to execute all papers, documents,
certificates and other instruments that may be required for the carrying out of
the authority conferred by this Ordinance and the Trust Indenture, or to evi-
dence that authority and its exercise.
Section 4. That since the City is here involved with the construct-
ing and equipping of a complex industrial project, requiring highly specialized
work and specialized types of machinery and equipment, it has been and is
hereby determined by the City Council that competitive bidding is not feasible
or practical. Therefore, any requirements under ordinances of. the City or under
the laws of the State of Arkansas for competitive bidding be, and the same are
hereby, waived as to this particular industrial project. This action is taken by
the City Council pursuant to applicable laws of the State of Arkansas, including
particularly Section 5 of Act No. 28 of the Acts of Arkansas of 1959 (Ark. Stats.
(1967 Cumulative Pocket Supplement) Section 19-4425).
Section S. That the provisions of this Ordinance are hereby declared
to be separable, and if any section, phrase, or provision shall for any reason
be declared to be invalid, such declaration shall not affect the validity of the
remainder of the sections, phrases and provisions.
Section 6. That all ordinances, resolutions and parts thereof in
conflict herewith are hereby repealed to the extent of such conflict.
cm
Section 7. That there is hereby found and declared to be an .immediate
need for the securing and developing of substantial industrial operations in order
to provide additional employment, alleviate unemployment and otherwise benefit
the public health, safety and welfare of the City and the inhabitants thereof, and
the issuance of the bonds authorized hereby and the taking of the other action
authorized herein are immediately necessary in connection with the securing and
developing of substantial industrial operations and deriving the public benefits
referred to above. It is therefore, declared that an emergency exists and this
Ordinance being necessary for the immediate preservation of the public health,
safety and welfare shall be in force and take effect immediately upon and after
its passage.
ATTEST:
City Clerk
(S EAL)
0
PASS ED:___Rl)ri1 fir, _, 1968.
APPROVED:
Mayor_ --
VAW
CERTIFICATE
The undersigned, City Clerk of Batesville, Arkansas, hereby
certifies that the foregoing pages are a true and perfect copy of Ordinance No.
755 passed at a SCia1 _ session of the City Council of Bates-
ville, Arkansas, held at the regular meeting place of the City Council at
700 o'clock J .m . , and that said ordinance is of record in Ordinance
Record Book _T , Page , now in my possession.
GIVEN under my hand and seal this l6tik day of April
City Clerk �
(S EAL)
rn
EXCERPTS FROM MINUTES OF A M1EEPING OF THE
BATESVILLE
CITY COUNCII. HELD
Apr i 1 16 —_ , 19 68
The City Council of the City of Batesville
Arkansas met in special session at its regular meeting place in
Batesville T— Arkansas at 7:30 _ o'clock F . m. , on the
16th day of ___ April —^ 19 68 _. The following were present:
Mayor Richard Sturch City Clerk r'loy F.ow
and Aldermen Noel Bone, Donald
Hedden, Bobby Leonard, Lynn Lanier, Earl Tripp and Leland Wallis.
Absent: E. A. Jenkerson and Keith Sims
The Mayor stated that consideration should be given to an
ordinance authorizing the issuance of bonds and the execution and delivery
of a Trust Indenture relating to Emerson Electric Co. ,
This was a matter with which the Council was familiar and after a discussion,
Alderman _— Bone introduced an ordinance entitled:
"AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL
DEVELOPMENT REVENUE BONDS UNDER ACT NO. 9 OF THE
FIRST EXTRAORDINARY SESSION OF THE SIXTY-SECOND GENERAL
ASSEMBLY OF THE STATE OF ARKANSAS, APPROVED JANUARY 21,
1960, AS AMENDED, FOR THE PURPOSE OF PROVIDING PERMA-
NENT FINANCING OF THE COST OF SECURING AND DEVELOP-
ING INDUSTRY (THE PARTICULAR INDUSTRIAL PROJECT IS DES-
CRIBED IN THE ORDINANCE); AUTHORIZING THE EXECUTION
AND DELIVERY OF A TRUST INDENTURE SECURING THE BONDS;
AUTHORIZING AND PRESCRIBING OTHER MATTERS PERTAINING
TO THE INDUSTRIAL PROJECT, THE CONSTRUCTING THEREOF
AND THE FINANCING THEREOF; AND DECLARING AN EMERGENCY."
and the City _Clerk
read the ordinance in full.
W 1 1 *400
Page 2
Alderman Earl Tripp seconded by Alderman
_Donald Hedden _, moved that the rule requiring the reading
of an ordinance or resolution in full on three different days be suspended and
that the ordinance be placed on its second reading. The Mayor put the question
on the adoption of the motion and the roll being called, the following voted aye:
_Noel Done, _Donald iiedden. Bobby Leonard,
an Lanier, Earl Tripp and Leland Wallis.
and the following voted nay: _ None
Thereupon the Mayor declared that at least two-thirds of all
members of the Council having voted in favor of the motion to suspend the rule,
the motion was carried and the rule suspended. The ordinance was then read
by the City Clerk
Alderman Lynn Lanier , seconded by Alderman
BQbby Leonard —then moved that the rule requiring the reading of an
ordinance in full on three different days be further suspended and that the ordinance
be placed on its third reading. The Mayor put the question on the adoption of
the motion and the roll being called the following voted aye:
Noel Hone, Donald Hedden, Bobby Leonard,
Lynn Lanier, Earl Tripp and Leland Wallis
and the following voted nay: �_ Nene
f
NOW
Page 3
The Mayor declared that at least two-thirds of all members elected
to the Council having voted in favor of the motion to suspend the rule, the motion
was carried and the rule suspended. The ordinance was then read by the City
Clerk
Alderman Donald Hedden _ seconded by Alderman
_ L nn Lanier , moved that the ordinance be adopted. The
question was put by the Mayor on the adoption of the motion and the roll being
called, the following voted aye:
Neel Bone, Donald Hedden, Bobb;r Leonard
Lynn Lanier, Earl Tripp and Leland Valliss.
and the following voted nay: None
Alderman Bobby Leonard _ seconded by Alderman
Leland Wallis
moved that Section 7—, the emergency clause,
be adopted, and on roll call the following voted aye:
Noel Bone, Donald Hedden,. Bobb., Leonard
Lynn Lanier, ]Earl Tripp and Leland Wallis.
and the following voted nay: _ None
The Mayor thereupon declared the ordinance and the emergency
clause adopted and signed the ordinance, which was attested by the City Clerk
I%W
and impressed with the seal of the City. The ordinance was given No. 755
(Matters not relating to the ordinance authorizing the bonds and the
Electric Co.
execution and delivery of a Trust Indenture relating to Emerson are omitted.)
There being no further business, the Council adjourned.
Mayor
ATTEST:
C ity C 1 e rle
(S EAL)
C E R T I P I C A `1' E
The unders igned, C ity , C-1 erk of
Batesville `A , Arkansas , hereby certifies that the foregoing
pages numbered 1 to 3, inclusive, are a true and correct copy of excerpts
of the minutes of a meeting of the City Council of Batesville
Arkansas at a _ special session held at the regular meeting place of
the Council in said City at 700 o'clock P m., on the 164h day
Of _A_pril 1968 and the time and place of the meeting was
furnished to each person who made a request therefor in accordance with the
provisions of Act No. 93 of the Acts of Arkansas of 1967.
City Clerk
(SEAL)