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Home My WebLink About677t ORDINANCE NO. AN OIDINANCE CALLING A SPECIAL ELECTION TO VOTE UPON THE QUESTION OF ISSUING T.ONDS UNDER YHE PROVISIONS OF ACT NO. 9 OF THE FIRST EXTRA- ORDINARY SESSION OF TiE SIXTY-SECOND GENERAL ASSE1,,MLY OF THE STATE OF Ai x�,ANSAS, APPROVED JANUARi 21, 1960, FOR THE PURPOSE OF FINANCING THE COST OF SECURING AND DEVELOPING INDUSTRI WITHIN OR NEAR THE CITY OF TATESVILLE, ARIKANSAS; PRESCRIEING OTHER MATTERS RELl�TING THERETO; AND DECLARING AN E EttiGENCy . 1 � c WHEIR AS arrangements have been made with White -Rodgers Company, aelawa�-e corporation (hereinafter sometimes referred to as the 'Company"), for the location of a substantial industrial plant within or near the City of h,atesville, Arkansas (hereinafter sometimes referred to as the "Citypf), which plant will be operated by the Company, or a subsidiary thereof, for manufacturing and related purposes; and WHER.MS the location of the said industry within or near the City will alleviate unemployment, result in increased employ - mens, result in increased payrolls, and will otherwise be bene- ficial to and in the best interests of the City and its citizens and inhabitants; and WHEREAS in order to make the necessary arrangements for the permanent financing of the cost of acquiring necessary lands, constructing and equipping a factory building and related facili- ties thereon and purchasing and installing necessary machinery therein (hereinafter sometimes called the "Project"), essential to the location of said industry, the City Council of the City has determined to issue, subject to the approval of the electors, City of Latesville, Arkansas Industrial Development Revenue Londs under the provisions of Act No. 9 of the First Extraordinary 14VAW Page 2 0 Session of the Sixty -Second General Assembly of the State of Arkansas, approved January 21, 1960 (hereinafter sometimes called "'Act No. 9") in an amount not to exceed $1,750,000 for the purpose of financing the cost of the Project and necessary expenses in- cidental thereto, to the issuance of bonds, and to the providing of interest during the construction of the Project; and VR EREAS the Project will be leased to the Company, or to a subsidiary, and if to a subsidiary the performance of all covenants and obligations of the Lessee shall be unconditionally guaranteed by the Company, for a lease rental sufficient to pay, the principal of and interest on the said proposed Act No. 9 ;:ronds and Paying Agent's fees in connection therewith, as the same be- come due and payable, and the said lease rentals will be pledged to the payment of the bonds, interest and Paying Agent's fees and the bonds will be secured by a statutory first mortgage on the Project; and WHEI.EAS the estimated amount necessary to finance the cost of the Project and necessary expenses incidental thereto, to the issuance of bonds, and to the providing of interest during the construction of the Project is X1,750,000; NW, "i' IE:AEFORE, LE IT ORDAINED by the City Council of the City of Batesville, Arkansas: Section 1. That a special election be, and the same is hereby, called to be held in the City of hatesville, Arkansas on the 29 — day of ,vovemL)er , 1960, at which election there shall be submitted to the electors the question of issuing Industrial Development revenue Bonds under the provisions of Act No. 9 in an amount not to exceed $1,750,000 for the purpose of Page 3 securing and developing industry within or near the City. The bonds will bear interest payable semi-annually at a rate or rates to be hereafter fixed, but not to exceed 6% per annum, and will mature serially in annual installments commencing not more than two (2) years and ending not more than twenty-two (22) years from the date of issuance in gradually increasing amounts so that the total interest and principal payments in each maturity year will be as nearly uniform as practicable. Section 2. That said question shall be placed on the ballot for the special election in substantially the following form: Vote on measure by placing an 'Y' in the square above the measure either for or against: For the issuance of Industrial Development Revenue Bonds by the City of 'Latesville, Arkansas in an amount not to exceed 41,750,000..* ............. # ........ Against the issuance of In- dustrial Development Revenue 1�onds by the City of Lsatesville, Arkansas in an amount not to exceed $1,750,000 ........................./ it is proposed to issue City of Batesville, Arkansas 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, in an amount not to exceed $1,750,000 for the purpose of financing the cost of securing and developing industry within or near the City. The bonds will bear interest payable semi- annually at a rate or rates not exceeding 6% per annum and will mature serially in annual installments commencing not more than two(2) years and ending not more than twenty-two (22) years from the date of issuance. The particular project consists of the acquisition of lands, the construction and equipping of a factory building and related facilities thereon and the purchase and installation of machinery therein which will be leased to White -Rodgers Company, a _ehtivare corporation, or a subsidiary wr •W Page 4 thereof, and if to a subsidiary the performance of all covenants and obligations of the Lessee shall be unconditionally guaranteed by White - Rodgers Company. The rentals derived from the leasing of the Project will be sufficient for and pledged to the payment of the principal of, interest on and Paying Agent's fees in connection with the bonds, as the same become due and payable. The bonds will not be general obligations of the City but will be special obligations payable solely from the lease rentals and revenues de- rived from the said industrial project and will be secured by a statutory first mortgage on said industrial project. Section 3. That the election shall be held and conducted and the vote canvassed and the results declared under the law and in the manner provided for municipal elections, so far as the same may be applicable, and the !-Iayor shall give notice of such election by an advertisement published once a week for four consecutive weeks in a newspaper having a bona fide circulation in the City of Latesville, Arkansas, with the last publication to be not less than ten days prior to the date of the election, and only quali- fied electors of said City shall have the right to vote at said election on said question. Section 4. That the results of said election shall be proclaimed by the Mayor and his proclamation shall be published one time in a newspaper having a bona fide circulation in said City of hatesville, Arkansas, which proclamation shall advise that the results as proclaimed shall be conclusive unless attacked in the courts within thirty days after the date of such proclamation. Section 5. That a copy of this ordinance shall be fur- nished the Independence County lJoard of Election Commissioners so that the necessary election officials and supplies may be provided. Section 6. That there is hereby found and declared to 0 Page 5 Le an immediate need for the securing and developing of industry within or near the City of atesville, Arkansas in order to pro- vide employment, alleviate unemployment and to supply increased payrolls and other benefits incidental to the establishment of a substantial industry, which industry can be secured only by the issuance of the above described Londs. 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. PASSED: el -71-1111 , 1960. ATTEST: ,G'ity Clerk- (SEAL) lea; (SEAL) APPICVED :