HomeMy WebLinkAbout646with the Paying charges hereinafter set out. to be used to pay bonds
and coupons of this issue as they mature and are presented for payment.
(c) The reserve of 23,4OO to be acetulated in the sinking
fund as hereinabove provided shall be designated "Reserve Fend," and
whenever withdrawals are made From said Reserve Fund so as to reduce
the balance therein to less than $23,000, the monthly payments of
one-fifth of the next semi-annual installment of interest and one-
tenthh of the next annual installment of principal, with the paying
agents a fees, hereinbefore provided to be paid into the sinking fund,
shall be resumed a nd shall be continued as long as may be ne ce s scary
to restore the amount in said Reserve Fund to 23000. The funds in
said Reserve Fund shall be held on deposit in a bank that is a ". mber
of the Federal Deposit Insurance corporation, or they maybe invested
r in bonds or ether direct or fully guaranteed obligations of the United
States of America maturing or being subject to retirement at the option
of tahe holder within not more than helve years from the date of such
investment. withdrawals and disbursements may be made from said
Reserve Fund to meet he payment of interest or principal to whatever
extent funds in the sinking fund are insufficient for that purpose or
for meeting special and unforeseen emergencies or repair or replace-
ment work which could not have been anticipated or which is essential
for the continued operation of the System and for the payment of which
there are no other funds available.
The depository shall give security, either by a corporate bland
or by the escrow deposit of brands or other direct or fully guaranteed
obligations Of the United States of America., or as its trust funds
are secured, for all sums on deposit with it in excess of $10j,000.
SECTION 9. Sewer pgpreoiatiosn Fund. There shall be paid from
the Sewer Fundi into a fund which is hereby created and designated
„Server Depreciation Fund" (hereinafter, sometimes called "Depreciation
Fund")., on the first day of each month while any of the bonds issued
under this ordinance shall be outstanding, five per --entum (5%) of
all revenues derived from the operation of the System, after making
the requlx*d payments to the operation Fund. Moneys in the Depreciation
Fund shall be used solely for the purpose of paying the cost of
Wi REAS.# the Buyers have elected to exercise the option granted
In the notice of sale to name The First National Bank in Little Rock,
Arkansas, as trustee and place of payment, and to convert the bands
from 3.80% interest rate per annum to an issue of $467,500 in brands
bearing interest as hereinafter set out, and have presented computations
showing that the cost Of maturing the brands after conversion is $590
less than the cost of maturing the bonds according to the original
scheduler upon the 3.80% interest rate, and, the Buyers ars now ready
to receive delivery of the brands as soon as the City can legally
deliver them; now, therefore,
BE IT 01=11M by the City Council of the City of B:A tesville,,
Arkansas:
SECTION 1. The Council hereby declares its intention to con-
struct the sewer facilities as planned by the engineers for the project,
which are briefly described as follows: The enlargement and rehabilita-
tion of existing sewage treatment facilities and the extension of the
sewage collection system. (The new improvements are sometimes herein.
after termed the "Works' and the new Improvements and the existing
municipal sewer system combined are sometimes hereinafter termed the
'Systema' ). SubJect to the authorization granted by Ordinance No. 643
Of the Ci 4y, passed and approved November 13, 1953, creating the sewer
COMMIttse,, the construction shall be under the control and supervision
of ,said Sewer Committee, and after construction the system shall be
under the management of said Committee. . The sewer Committee shall
require from the contractor or contractors constructing the Works
full insurance coverage.
SECTION 2. The Council hereby finds that the contract for the
sale of its proposed issue of sewer revenue bonds is at a fair price
and one allowed by law, and that the conversion of $420000 in 3.80%
bonds dated January 1, 1954, and maturing; can January 1 of each year
as set out in the notice of sale, into an issue of $467600 in bonds
dated January 1, 1954, and maturing and bearing interest as hereinafter
set forth, complies with the terms of sale, and therefore both the sale
and the conversion of said bonds are approved and confirmed.
Em
orderSECTION 3. That In provide funds to pal the cost Of
construction of the Workses there are hereby authorixed to be issued
negotiable coupon bonds of the Cit:Ty Of Batesville in the agVe6ate
principal amount of 6? s500s each of Which shall be designated as
"Sewer ROVO a O Bond." aid bondsaa shall be numbered canseauti.vely
from 1
to "B, bean inclusive.,
dated Jan ary is
195�s
and dues and
payable
in numerical order on
January 1 of each
year
as follows
1
1
9
p � �
1to1.1
12 tory 22
to
V
o N
to 56
57 to 68
69 to 80
81 to 93
94 to 106
107 to 120
121 to 12h
149to 162
163 to 177
176 to 192
IWA to 207
2to 223
224 to 239
240 to 255
256 to 2 2
273to29
290 to 30T
308 to 325
�to M3
to
363 to 382
Z083
to 02
to 423
421, to 44
446 to 4W
All the bonds s ball be in the denomination of $1oo0 each except
No. lis which smell be in the denomination of $500; and all the bonds
shall be cal lea ble for paYWnt prior to sa turi ty as here ins f ter set out.
nw brads shall bear interest pa;jable serd-annually on January 1 and
July 1 of each year at the following rates per annums Noss. 1 to 120,
inclusive, at 2 ; Nos. 1.21 to 192, Inclusive,$ at 2 3/4%$- Nose. 193
to 272, inclussives and Via. 363 to 468, i.nclusi , at ; and Nos. 273
to362, inclusivop at 3 1/4%. The bonds shall be signed by the Mayor
of said City and sealed with its corporate seals attested by the City
Clerks and the interest coupons attached to said bonds smell be executed
with the facsimile sigmture of said Mayor, who by the execution of said
bonds shall adopt as and for his Own proper 13ignaturo his facsimile
Signature on said coupons# All of said bonds: with this interest as
agile only out of the "Sewer Revenue Bond purd
thereon, si ll be , � �a l �.d c � in
ifically provided, ;end shall be
as hereinafter more sp�e x�t;ion or
of the holder thereof only &Pinot *aid Fund and the fixed �
amount of the net revenue s of the System pledged to said Fund.
SR�4R 4. �t said bonds and coupons shah. be in sub-
,sfiant ll the following f Orm %
UNMD STATES OF AMMICA
STATE OF AWWAS
CMWY OF I
CITy OF BAT
sewer Revenue Bond
No »,
KMAte+ WIN BYTME ME&MM 3
�TiCe�
Iftt the C,,t t` of Batesville ,# in the county of P*
State of Ar * aoo
(80MOtis here neftor card "City" )O
acknowledges
i�teS to PeY to bearers 60101Y,Itself toafor value received � �` referred tot � of
out of t Sever Revenue Bond Fund herGina f te
DOU ARS
d«'1 the first day
Of Januarys 19,,,,,,,,, 0 With interest from date until
Per centum � ) Per annum,
mid at th+e Ofsent pion and
payable demi- annually bet'Ming July
u; 1: 1954s 'ate'
sum
r" of the arme=d coupons as they severally become due. Both
principal and interest hereon shall be Payable in such funds as at
the tim of the respective pay nLe are legal tender for the payment
of debts dins th+e United States of Arica at the aft`ioo of
The pirst
National Sank in Little Rock* ilrim sa8
This bond is ane of a series of bonds aggrOguting Four Hundred
Fpr p� y� Five �( �y y� (*467s500)* a.11 of �.�
ixty_80 on Thousand Uw-A d Dollars .J�7�7
tenor +eycept as to ber, dernominatlons inters ,
numbered from one{, 1 to ' Hundred SiXty-01ght (4 ), tnalual ,
}
issued for the of the enlar ment and rehabilitation of the
existu sewage treatment facilities and the extension of the sewage
collection system, ( existing municipal sever system and the now
construction combined areat'�!� hereinafter tt4''"'l'i the jSyE3 "�1�e.�
Tile bond and the series of which it forte a part are Issued In a c-
cor&ncs with and Pursuant to the WO'Visions of Act No. 132 of the
General Assembly of the State of Arkansas for the year 1933, as
a eWed,, and are 6XWes81Y Made negotiable by said Act lie, as amended,
and are issued with the intent that thelaws of the Mate of A.rImnsas
shall govern the construction thereof.
whichThis bond and the Issue of tR payable
Only fromthe not Income and revenues to be derived from the operation
Of the Systsmp a sufficient portion of which Income and revsnee
remains after the Payment or allowance for
Payment of the eV+enses
Of operations repairs and maintenance of said 45 tem 'har, boon ordered
set aside as a special fund and Pledged for that purpose and identified
its the "Sewer ROVOnue Bond Fund." This bre and the series of which
It forms a part coo not constitute an indebtedness of the City within
the meaning of any constitutional or statutory provision or limitations
and the City OM1 . not be obligated to pay this bond or the interest
thereon except from said special fund. The C ' covenants that it will
fix such rates for the services and facilities Of said System and
collect
and account for income a ad
revenues therefrom,
and If necessary
It Will
increase the present rates
for sever services,
so thatafter
allowance for payment of the expenses of cape tion, repairs and
mainte nc* of the System there will remain a balance of such income
and revenues sufficient to pay pr ptly the interest on and principal
of this issue of bonds.
It Is hereby reoiteed, certified and declared that 311 con..
ditlons* acts and things required to exist, to be petr►foryd, and to
happen precedent to ,and in the issuance of this bond do 'exist, have
been peat d and have happened In due tom, forst and manner as
required by law,, and tha*%W t,g. bond Issue does not
exceed any limit p scribed by the Cr titution or statures of the
State of Arkansas.
The bonds of this issue are callable for payment prior to
maturity at par and accrued interest in Inverse numerical carder, as
follows surplus revenues or from surplus ,finds derived from
the sale of this bond issuer, on any Interest paying date... from funds
from any source .# on any interest PaYINS date on and after January 1„
1959. In the event the City shall. exercise the option to call bongs
f`or n . prior to LuErit;,, it st 11 publish notice of such ll
once a weep: for two weel{s, the first publication to be not less than
fifteen days prior to the date fixed for redVVti0n, in some newspaper
of Sen*ral circul*t-l.on throughoa' I;he SWIe cf, Arm 3e., Eivin;z the
number and maturity of each: bond beinZ* called, and each bond so called
shall cease to bear interest after the date fixed for its redemption.*
provided funds for its payment are on deposit With the paying agent at
that to
This bond ill not be valid until it has been duU' certified
by The First National bank in Little Rock, Arkansas
lti WITM= i4UQF, aaid City of Batesville has caused this
bond to be signed by its
yay'or arA
its c0rV0Mtc Deal to be
hereunto
affixed, attested by she
City clerk, and the 00upona hereto
attached
to be executed with the
facsimile
zj4guture of said Mayors whq* the
execution of tilis bond darts adopt
as and for his own proper
sigmture
lois facsimile sig=ture
appearing
on said coupons., and this
bond to
be dated as of the first dal 01 Janw .ry,, 1954.
(tel)
Attests
I�j s
` Bpi LL&s AMMAS
(FOM of Coupon)
C.—
on the first day of Ja Y, 19 , uraess the bond to which
this couponaft rtai '"
h&s boon caller opayment nt prior threreta,
the City eat �sville, s,► Will pity to 'bearer
DOLLARS in such fundic as at the tUw of payment hereoT3're" e 1
tender for the pant of debts due they United St&tes of Amri0a,
e01e2y out of the Fund sfrecified in the bond to which this coupon
appertains,o at the office cf a First Ratio. Bank in Little Rock„
ArMnsas, a$ provided In and being interest then dug On Its 3eWGr
RevenueBorA dated january 1, 1, and numbered ,.
W
Me gnor
X c = shatebe f or six
#:th
1449 The undersigned hereby certifies this to be see► of the serlas
AP blends a tire; *46T*5W described tw i whin.
`ice FIRST NAT10NAL BANK
IN LITTLE ROCK, AMN a, ,prustees
BY
Li t tl+e Rock, Arka n s c icer
SECTION 5. The City COUncsi1,, after a hearing hold upon the
notice required by statutee, fixed that rates to be charged for the
6ervi0ee to be furnished by the System$ In Ordinance No. 641,0 passed
and approved October 20, 1953* and the 4ourwil hereby finds the rates
so fixed to be reasonable and the n000esarY minimum rates to be charged,
and that they will produce a total revenue Suff101Ont to pay the costs
of the operation# repair and maintenance Of the System and to pmvidee
for 1 payment of the Principal and interest of the bonds issued to
finance the cost of the Works as the same booms due and Payable.* and
to MMter all funds herein provided. The City hereby covenants and
agrees with the holders of the bonds at any tim outstanding that, the
rates for the "rvleos rendered and to be rendered by the System, as
not out in said Ordinance No. 641, shall never be reduced until all
that boMee of this issue and all interest thereon have been paid in fun,
and shall$ when necessary, be increased in an amount sufficient to
Provide for the int*nance of the funds hereimf ter described, and
to provide a not revenue which Will cover annual Principal and interest
r0quir1ements at least one and ons-hk f time.
► ei r x s F, ii .
W*%*a, or on and of ter ancwy 1,! 19550 Whichever is earlier, the swatow
shall be continuously +PSrated as a ra VOM1e-prOdUcing undertaking.
Income and rownues, from such operation shall be set aside into a
separate and SPOcial fund hereby created and designated "Sever A&nd.
Such Ineme and revenues are hereby
maintenance of
this ordUance and secured hereby and the interest thereon, and to
provide an adequate depre c is tion fund, in the manner here3 ina f ter
got out.
SECTION 7. Sewer Mrstion and Maintenance Fund. There shall
be paid frm they Sever Fund into a fund which is hereby cued and
designated "Sewer Operation and Maintenance Fund" (hereinafter some-
times called " Opera tion Fund'') s on the first day of each month while
any of the bonds issued under and secured by this ordinance shall be
outstandings sufficient may to pay all the monthly operating expenses
and to make reasonable provision for the repair and maintenance of the
System. Fixed annual charges, such as insurance and the east of major
repair and maintenance expenses shall be computed and set up on an
annual basis and one -twelfth of the amoun-� thereof shall be accumulated
in said operation Fund each owth. Disbursements from ;said Fund shall
include salaries, wi►gees cost of maintenances repair and operation:
materials and supplies, pumping casts, .and Insurance,
If any surplus shall be accumulated in the Operation Fend over
and above the ,amount which shall be necessary to defray the cost of
maintaining, repairing, and operating the ,System during the reminder
of the thorn current fiscal year and the next ensuing fiscal year,
such surplus or excuse May be transferred and paid Joto the Sewer
Depreciation Fund or into the Sever Revenue Bond Fund, provided,
however, that such transfer or payzent into the Sewer Revenue Bond
Fund shall be In addition to an other payments hereinafter required
to be made into said fund.
SECTION 8. Sewer Revenues Bonda) The reminder of the
revenues of the Sywtem, including all revenues from any and all .future
extensions and lmprovments to the Systems after making the required
payments into said operation Fund, is hereby declared to be the not
revenues of said System, There is herby created, and so long as any
of the bonds hereby authorized are outstanding there shall be rmain-
tained, a special fund to be known as the 'f Sewer Revenue Bond Fund"
(sometimes hereinafter referred to as the `eainking fund")v into which
there shall be net aside monthly from said net revenues such portion
thereof as will be sufficient to pay the interest on said bonds as the
same becomes due, to Pay the necessary fiscal agency . charges for
Paying bonds and interest, to pay the principal of said bonds " a t
or before maturity, as herein Provided, and to create a reserve
fund. It is hereby determined and agreed that the minimum amounts
sC to be set aside abd paid Into the sinking fund each month for
account of the bonds herein authorized shall be, in addition to the
paying agent's fees, not less than one-fifth of the amount of Interest
becoming due on the next succeeding interest payment date plus one-
tenth of the amount of principal becoming due on the next succeeding
principal payment date until a reserve fund of $23#000 has been
accumulated.
P'rovi.ded, however, that no further payments need be tide into
said sinking fund a f ter and so long as such amount of the bonds shall
have been retired that the amount then held in such sinking Puna,
Including the reserve, is equal to the entire amount of the interest
and principal tilt will have accrued and become due at the time of the
retirement or maturity of all the bonds then retaining outstanding.
The undertaking to transfer and pay the prescribed amounts
.from said Sewer Fund into said sinking fund shall be cumulative so
that in the event the net revenues during any month are inadequate to
Mal" the required transfer and Payment.# or if for any other reason
there: be a failure to take such transfer and paymnt, the amount of
the deficiency shall be made up from the first available net revenues
thereafter received, and the same shall be in addition to the amounts
otherwise provided to be transferred and paid into said sinking fund,
(b) Said sinking fund shall be used solely and only and is
hereby pledged for the purpose of paying the interest on and ac-
complishing the retirement of the bonds herein authorized. With-
drawals and remittances to the Place or places of Payment• of the
principal and interest shall be made in ample time to meet the semi-
annual Payments of such Principal and interest, to -wit:
'e -
YEAR
PRINCIPAL
Jan. 1 of
ash ar
INTEMT
Jan. 1 and July 1
of each ygar
TOTAL
1954
$
4
46,736.25
6,736.25
1955
1€�, 500.00
6,136.25
6, 645. Ute
2 , 1.25
10%
11, 004.00
6,605.00
6.,461-50
24072-50
472.50
1957
11,0000.0011,0 000.00
6,46[7.55+0 6j,330-0/0�
23,797.50
1958
11, 000.00
6, "3+�/"' . oo
60192.50
6,042.50
j522-50
u$235-00
1959
12,0000.00
6,1 2.50
100
12,000.00
6,92.50
5,892.50
23,935.44
1961
12, 000.00
5s892.50
5s742-50
23s635.00
24s322-50
1962
13000.00
5,742-50
5,580.00
196
1 ,000.40
5, .00
5$417-50
23 ,9 7.50
24,6
0
1964
14,000.00
5,7«54
50242.50
.00
1965
14,000.00
5,242.50
5s054.00
24,292.50
1966
14,000.04
,050.04
4,$57.50
4,857.50
23,,37.50
1967
i4,000.00
4,665.00
2 ,522.50
2,123.75
1968
15,x.00
4,665.00
4,458.75
1969
15,000.04
4,45$.75
4,252.50
23,711.25
1974
15000.00
40252-50
40027-50
234280.00
19TI
16, t. 00
4, 027 R 50
3iT87-50
23,0 815.00
1972
16,o 4.00
3#T87.50
3:54 .50
23435.00
197
16s000.40
3,547.50
3,307+50
220 55.04
1.97
17#000-00
M07-50
3.052.50
23,#360.00
197'5
l , 000.00
05�2r «
20776.25
0 776 .
22, 28.75
1976
18,0 000.00
r3#
r5�0
2 P V r +Q,.J
ry25
2s483.75
2 s 483. t 5
23.260.00
197�7
13,400.04
2,+3.75
2,1.91.25
22,675:40
1978
18, 000.04
2� ,
1.,8"9g/8.7+y5
2��2y *'090.
1979 9
19 JI . 00
}1�(9'1..*2J�55`
1 * """..i� 8 . f 5
� J 590.00
jat0"l'
220438-75
22 0 438.1 5
1980
24, 000.00
10590.00
1, 290.00
22, 88o . oo
1981
20$000.40
1,290.00
990.00
22, 280.00
1982
21, 0030.00
990-00
+675.00
22, 665.4o
198
220000.44
675.00
345.00
23,024.00
1984
23000.00
345.04
,..._,.M_
23,345-00
It shall be the duty of the City Treasurer to deposit in the
sinking fund on the first day of each month after they issuance of
these bonds, the respective sums which are required to be withdrawn
from the Sewer Fund and paid into the sinking fund, and this sinking
fund shall be and remain in and on deposit until applied in payment
of principal and interest sof the bona issue herein authorised. When
the amount in the sinking fund has accumulated a total reserve of
$23,444 over and above the current bond and interest requirements,
then the respective monthly payments from the Sewer Fund into the
sinking fund may be reduced to one-sixth of the next installment of
interest and ones -twelfth of the next Installment of principal of the
bonds of this issue, together with the paging agent's fee.
It shall be the duty of they City Treasurer to deliver to the
Trustee, not less than fives days before the dura date of any semi -
,annual payment of interest or annual payment of principal, a voucher
payable from the sinking fund for the amount of such payment together