HomeMy WebLinkAbout2009-01-01 ORDINANCE NO.
AN ORDINANCE CALLING A SPECIAL ELECTION IN
THE CITY OF BATESVILLE, ARKANSAS ON THE
QUESTION OF ISSUING BONDS UNDER AMENDMENT NO.
62 TO THE CONSTITUTION OF THE STATE OF
ARKANSAS FOR THE PURPOSE OF FINANCING ALL OR
A PORTION OF THE COST OF SEWER IMPROVEMENTS;
LEVYING A NEW ONE PERCENT (1%) SALES AND USE
TAX FOR THE PURPOSE OF RETIRING SUCH BONDS;
AND PRESCRIBING OTHER MATTERS PERTAINING
THERETO.
WHEREAS, the City Council of the City of Batesville,
Arkansas (the "City") has determined that the City is in need of
extensions, betterments and improvements to the City's sewer
system (the "Improvements") ; and
WHEREAS, the City can finance all or a portion of the
costs of the Improvements by the issuance of capital improvement
bonds (the "Bonds") in one or more series in the maximum
aggregate principal amount of $50, 000, 000 under the authority of
Amendment No. 62 to the Constitution of the State of Arkansas
("Amendment 6211) and Title 14, Chapter 164, Subchapter 3 of the
Arkansas Code of 1987 Annotated (the "Authorizing Legislation") ;
and
WHEREAS, the Authorizing Legislation provides for the
levy of one or more city-wide sales and use taxes at the rate of
0 . 125%, 0 .25%, 0 .5%, 0 .75% or 1% or any combination thereof, but
not to exceed 1% in the aggregate; and
WHEREAS, the City does not currently have a sales and
use tax levied under the Authorizing Legislation; and
WHEREAS, the City can pay the principal of and interest
on the Bonds from the proceeds of a new city-wide one percent
(1%) sales and use tax to be levied under the authority of the
Authorizing Legislation solely for that purpose; and
WHEREAS, the purpose of this Ordinance is to levy a
sales and use tax at the rate of one percent (1%) on the receipts
from the sales at retail within the City of all items which are
subject to taxation under the Arkansas Gross Receipts Act of
1941, as amended (A.C.A. §§26-52-101, et seq. ) , and the receipts
from storing, using, distributing or consuming within the City
tangible personal property under the Arkansas Compensating Tax
® Act of 1949, as amended (A.C.A. §§26-53-101, et seq. )
(collectively, the "Sales and Use Tax") and to submit to the
• electors of the City the question of issuing the Bonds under
Amendment 62 and the Authorizing Legislation at a special
election to be called for that purpose;
NOW, THEREFORE, BE IT ORDAINED by the City Council of
the City of Batesville, Arkansas:
Section 1 . Under the authority of the Authorizing
Legislation, there is hereby levied the Sales and Use Tax. The
Sales and Use Tax shall be levied, and the net collections
received after deduction of the administrative charges of the
State of Arkansas and required rebates shall be used solely for
the purpose of retiring or paying obligations with respect to the
Bonds . The Sales and Use Tax shall be levied and collected on
the gross receipts, gross proceeds or sales price in the maximum
amount allowed from time to time under Arkansas law, subject to
rebates and limitations as required for certain single
transactions as from time to time required by Arkansas statutes.
The levy of the Sales and Use Tax shall not take effect until the
issuance of the Bonds is approved by the voters as provided
herein.
Section 2 . There is hereby called a special election
to be held on March 10, 2009, at which election there shall be
• submitted to the electors of the City the question of issuing the
Bonds under Amendment 62 and the Authorizing Legislation in one
or more series in the aggregate principal amount of not to exceed
$50, 000, 000 to be payable from the net collections of the Sales
and Use Tax.
Section 3 . The question of issuing the Bonds shall be
placed on the ballot for the election in substantially the
following form:
SEWER IMPROVEMENT BONDS
An issue of bonds of the City of Batesville in one or
more series in the maximum aggregate principal amount
of $50, 000, 000 to finance all or a portion of the costs
of acquiring, constructing and equipping extensions,
betterments and improvements to the City' s sewer
system, and, in order to pay the bonds, the levy and
pledge of a 1% local sales and use tax within the City.
If the bonds are approved, there will be levied within
the City a new 1% sales and use tax, the net
collections of which remaining after deduction of the
administrative charges of the State of Arkansas and
• required rebates will be used solely to retire or pay
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obligations with respect to the bonds in accordance
with Amendment No. 62 to the Arkansas Constitution.
The tax will expire after the bonds have been paid or
provision is made therefor in accordance with Arkansas
statutes.
FOR . . . . . . . . . . . . . . . . . . . . . . . . . . ❑
AGAINST . . . . . . . . . . . . . . . . . . . . . . . . ❑
Section 4 . The election shall be held and conducted
and the vote canvassed and the results declared under the law and
in the manner now provided for municipal elections unless
otherwise provided in the Authorizing Legislation and only
qualified voters of the City shall have the right to vote at the
election.
Section 5 . The results of the election shall be
proclaimed by the Mayor, and the Proclamation shall be published
one time in a newspaper having a general circulation in the City,
which Proclamation shall advise that the results as proclaimed
shall be conclusive unless attacked in the courts within thirty
days after the date of publication.
Section 6 . A copy of this Ordinance shall be given to
the Independence County Board of Election Commissioners so that
the necessary election officials and supplies may be provided. A
certified copy of this Ordinance shall also be provided to the
Commissioner of Revenues of the State of Arkansas as soon as
practical .
Section 7 . The Mayor and City Clerk, for and on behalf
of the City, are hereby authorized and directed to do any and all
things necessary to call and hold the special election as herein
provided and, if the issuance of the Bonds is approved by the
electors, to cause the Sales and Use Tax to be collected in
accordance with the Authorizing Legislation, and to perform all
acts of whatever nature necessary to carry out the authority
conferred by this Ordinance.
Section 8 . The provisions of this Ordinance are
separable and if a section, phrase or provision shall be declared
invalid, such declaration shall not affect the validity of the
remainder of the Ordinance.
Section 9. All ordinances and parts thereof in
conflict herewith are hereby repealed to the extent of such
conflict .
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PASSED: January 13, 2009 .
APPROVED:
ATTEST: \
City Clerk
(SEAL)
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• CERTIFICATE
The undersigned, City Clerk of the City of Batesville,
Arkansas, hereby certifies that the foregoing pages are a true
and perfect copy of ordinance No.&Q7-(-( passed at a regular
session of the City Council, held at the regular meeting place of
the City Council at S:30 o 'clock p.m. , on the 13th day of
January, 2009, and that the ordinance is of record in ordinance
Record Book No. C , Paged, now in my possession.
GIVEN under my hand and seal this 44 day of
January, 2009 .
City Cler]
(SEAL)
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