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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)