HomeMy WebLinkAboutOrdinance 0872
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AN ORDINANCE by the City Council of the City of North
Richland Hills, Texas, authorizing the issuance
of $2,000,000 "CITY OF NORTH RICHLAND HILLS, TEXAS,
GENERAL OBLIGATION BONDS, SERIES 1981", dated March
1, 1981; prescribing the form of bonds and the form
of the interest coupons; levying a continuing direct
annual ad valorem tax on all taxable proDerty within
the limits of said City to pay the interest on said
bonds and to create a sinking fund for the redemption
thereof and providing for the assessment and collec-
tion of taxes; enacting provisions incident and re-
lated to the subject and purpose of this ordinance;
and providing an effective date.
vffiEREAS, pursuant to an election held on August 9, 1980, the
City Council öf the City of North Richland Hills, Texas, became
authorized and empowered to issue general obligation bonds of
the City; a summary of the amount of general obligation bonds
voted at said election and authorized purposes for which the
same can be issued being as follows:
Amount Authorized
Authorized PUrPose
. $ 7 , 000,000
1,000,000
Street Improvements
Park Purposes
AND WHEREAS, this Council hereby finds and determines that
$2,000,000 in principal amount of the general obliRation bonds
authorized at the aforesaid election for street imnrovements
should be issued and sold at this time in one installment; and
vÆŒREAS, this Council further reserves the ri~ht to issue
the remaining amounts of general obli~ation bonds authorized at
said election in one or more installments at such time and in
such manner as the Council shall determine; now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NORTH
RI CHLAND HILLS, TEXAS:
SECTION 1: That the bonds of said City, to be known as "CITY
OF NORTH RICHLAND HILLS, TEXAS, GENERAL OBLIGATION BONDS, SERIES
1981fl, be and the same are hereby ordered to be issued in the Drin-
cipal sum of TWO MILLION DOLLARS ($2,000,000), for the purpose of
making permanent public improvements, to wit: street imDrovements,
including drainage incidental thereto, under and by virtue of the
Constitution and laws of the State of Texas.
SECTION 2: That said bonds shall be numbered consecutively from
One (1) through Four Hundred (400), shall each be in the denomina-
tion of Five Thousand Dollars ($5,000), shall be dated March 1,
1981; and shall become due and pavable serially on March 1 in each
of the years and bear interest at' the per annum rates in accordance
with the following schedule:
BOND NUMBERS INTEREST
(All Insclusive) MATURITY AMOUNT RATES
1 to 20 1983 $100,000 %
21 to 40 1984 100,000 %
41 to 60 1985 100,000 %
61 to 80 1986 100,000 %
81 to 100 1987 100,000 %
101 to 120 1988 100,000 %
l21 to 140 1989 100,000 %
141 to 160 1990 100,000 %
161 to 180 1991 100,000 %
.18l to 200 1992 100,000 %
201 to 220 1993 100,000 %
221 to 240 1994 100,000 %
241 to 280 1995 200,000 %
281 to 320 1996 200,000 %
321 to 360 1997 200,000 %
361 to 400 1998 200,000 70
PROVIDED, HOWEVER, that the City reserves the right to redeem
the bonds of this series maturing on March I, 1992, and subsequent,
in whole or any part thereof, on March 1, 1991, or any interest pay-
ment date thereafter, at the price of par plus accrued interest to
the date fixed for redemption; PROVIDED, FURTHER, that at least
thirty (30) days prior to a date any said bonds are to be redeemed,
a notice of redemption,signed by the City Secretary (specifying the
serial numbers and amount of bonds to be redeeme¿) shall have been
filed with THE FORT WORTH NATIO~~L BANK, Fort Worth, Texas (the
paying agent named in each of said bonds); and if the City shall
have made available by the date of redemption funds in amounts
sufficient to pay the bonds to be redeemed and accrued interest
thereon, any bond or bonds not presented for redemption pursuant
to such notice shall cease to bear interest from and after the date
so fixed for redemDtion.
SECTION 3: That said bonds shall bear interest from date to
maturity, or the redemption thereof in accordance with the terms
prescribed therefor, at the per annum rates shown above; such
interest to be evidenced by proper coupons attached to each of said
bonds and interest shall be payable on March 1, 1982, and semi-
annually thereafter on September I and March 1 in each year.
SECTION 4: That both principal of and interest on this issue of
bonds shall be payable in lawful money of the United States of
America, without exchange or collection charges to the owner or
holder, at THE FORT WORTH NATIONAL BANK, Fort Worth, Texas, upon
presentation and surrender of bonds or proper coupons.
SECTION 5: That the seal of said City may be impressed on each
of said bonds, or in the alternative, a facsimile of such seal may
be printed on said bonds. The bonds and interes t coupons aDDurtenant
thereto may be executed by the imprinted facsimile signatures of
the Mayor and City Secretary of the City, and execution in such
manner shall have the sarr~ effect as if such bonds and COUDons had
been signed by the Mayor and City Secretary in person by their
manual signatures. Inasmuch as such bonds are required to be regis-
tered by the Comptroller of Public Accounts for the State of Texas,
only his signature (or that of a deputy designated in writing to
act for the Comptroller) shall be required to be manually subscribed
to such bonds in connection with his registration certificate to
appear thereon, as hereinafter provided; all in accordance with the
provisions of Article 717j-l, V.A.T.C.S.
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SECTION 6: That the form of said bonds shall be substantially
as follows:
NO.
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTY OF TARRANT
CITY OF NORTH RICHLAND HILLS, TEXAS
GENERAL OBLI~ATION
BOND, SERIES 1981
$5,000
The CITY OF NORTH RICHLAND HILLS, a municipal corporation of
the State of Texas, acknowledges itself indebted to and, FOR
VALUE RECEIVED, hereby promises to pay to bearer, the sum of
FIVE THOUSAND DOLLARS
($5,000), in lawful money of the United States of America, on the
FIRST DAY OF NARCH, , with interest thereon from the date
hereof to maturity, or the redemption hereof in accordance with the
terms prescribed therefor, at the rate of PER CENTUM
( %) per annum, such interest being payable on March 1,
1982, and semiannually thereafter on September 1 and March 1 in
each year, and evidenced by interest coupons attached hereto.
BOTH PRINCIPAL AND INTEREST are payable only upon presentation
and surrender of this bond and the interest coupons hereto attached
as the same severally become due at THE FORT HORTH NATIONAL BANK,
Fort Worth, Texas, without exchange or collection charges to the
bearer thereof, and the bearer of this bond and its apDurtenant
interest coupons shall be deemed the absolute owner thereof for
purposes of receiving payment and all other purposes, and neither
the City nor the aforementioned place of payment shall be affected
by any notice to the contrary.
THIS BOND is one of a series of bonds, dated March 1, 1981,
numbered consecutively from One (1) through Four Hundred (400),
each in the denomination of Five Thousand Dollars ($5,000),
aggregating in principal amount TWO MILLION DOLLARS ($2,000,000),
issued for the purpose of making permanent public improvements,
to wit: street improvements, including drainage incidental thereto,
under authority of the Constitution and laws of the State of Texas,
and pursuant to an ordinance duly adopted by the City Council of
the City of North Richland Hills, Texas and duly recorded in the
Minutes of said City Council.
AS SPECIFIED in the ordinance hereinabove mentioned, the City
reserves the right to redeem the bonds of said series maturing on'
March 1, 1992, and subsequent, in whole or any part thereof, on
March 1, 1991, or on any interest payment date thereafter, at the
price of par and accrued interest to the date fixed for redemption;
PROílIDED, HOw"EVER, that at least thirty (30) days prior to a date
any of said bonds are to be redeemed, a notice of redemption, signed
by the City Secretary (specifying the serial nurobers and amount of
bonds to be redeemed), shall have been filed with THE FORT WORTH
NATIONAL BANK, Fort Worth, Texas; and if the City shall have made
available by the date of redemption funds in amounts sufficient to
pay the bonds to be redeemed and accrued interest thereon; any bond
or bonds not presented for redemption pursuant to such notice shall
cease to bear interest from and after the date so fixed for redemp-
tion.
IT IS HEREBY CERTIFIED, RECITED AND REPRESENTED that the
issuance of this bond and the series of which it is a part is duly
authorized by law and by an election held for that purpose in said
City; that all acts, conditions and things required to be done pre-
cedent to and in the issuance of this series of bonds and of this
bond have been properly done and performed, and have hapuened in
regular and due time, form and manner as required by law; that
sufficient and proper provision has been made for the levying and
collection of taxes, which, when collected, shall be appropriated
exclusively to the payment of this bond and the series of which it
is a part, and to the payment of the interest coupons thereto
annexed, as the same shall become due; and that the total indebted-
ness of the City of North Richland Hills, Texas, including the en-
tire series of bonds of which this bond is one, does not exceed
any constitutional or statutory limitation.
IN TESTIMONY WHEREOF, the Ci ty Council of the Ci ty of North
Rich1and Hills, Texas, in accordance with the provisions of Article
717j-l, V.A.T.C.S., has caused the seal of the City to be impressed
or a facsimile thereof to be printed hereon, and this bond and its
appurtenant coupons to be executed with the imDrinted facsimile
signatures of the Mayor and City Secretary of said City,
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M&ior, City of North Richland Hills,
Texas
COUNTE RS IGNED :
~d/n/~ '1n ~
Ci Secretary, City of North Richland
H lIs, Texas
SECTION 7: That the form of interes t coupons attached to each
of said bonds shall be substantially as follows:
NO.
ON THE FIRST DAY OF
$
*(unless the bond to which this coupon pertains has been redeemed in
accordance with its terms,) the CITY OF NORTH RICHLAND HILLS, a
municipal corporation in the County of Tarrant, State of Texas,
hereby promises to pay to bearer the amount shown hereon in lawful
money of the United States of America, upon presentation and sur-
render of this coupon, at THE FORT WORTH NATIONAL BANK, Fort Worth,
Texas, without exchange or collection charges, such amount being
interest due on such date on "CITY OF NORTH RICHLAND HILLS, TEXAS,
GENERAL OBLIGATION BOND, SERIES 1981", dated March 1, 1981.
Bond No. ~
(;2¿~ 'Il) ~j /7J¡~!--:-)kmt/
¡;:;./ City Secretary C- Mayor
*NOTE TO PRINTER: The expression in parenthesis to be included only
in coupons maturing September I, 1991, and subsequent, pertaining to
optional bonds maturing in the years 1992 through 1998.
1
SECTION 8: That the following certificate shall be printed on
the back of each bond.
OFFICE OF COMPTROLLER
STATE OF TEXAS
§
§
§
REGISTER NO.
I HEREBY CERTIFY that there is on file and of record in my
office a certificate of the Attorney General of the State of Texas
to the effect that this bond has been examined by him as required
by law a~d that he finds that it has been issued in conformity
with the Constitution and laws of the State of Texas, and that it
is a valid and binding obligation of the City of North Richland
Hills ,Texas, and said bond has this day been registered by me.
WITNESS MY HAND AND SEAL OF OFFICE at Austin, Texas
COmDtroller of Public Accounts
or the State of Texas
SECTION 9: That to provide for the payment of the debt ser-
vice requirements on said bonds, being (i) the interest on said
bonds and (ii) a sinking fund for their redemption at maturity or
a sinking fund of 2% (whichever amount shall be greater), there
shall be and there is hereby levied for the current year and each
succeeding year thereafter while said bonds or interest thereon
shall remain outstanding and unpaid, a sufficient tax on each one
hundred dollars' valuation of taxable property in said City, ade-
quate to pay such debt service requirements, full allowance being
made for delinquencies and costs of collection; said tax shall be
assessed and collected each year and applied to the payment of the
said debt service requirements, and the same shall not be fdiverted
to any other purpose. The taxes so levied shall be paid into a fund
known as "SPECIAL SERIES 1981 GENERAL OBLIGATION BOND FUND", which
is hereby established for the payment of the obligations herein
authorized. The Council hereby declares its purpose and intent to
provide and levy a tax legally and fully sufficient for such bonds,
it having been determined that the existing and available taxing
authority of the City for such purpose is adequate to permit a
legally sufficient tax in consideration of all other outstanding
obligations.
SECTION 10: That the sale of the bonds herein authorized to
at the price of par and accrued i.nterest to the date of delivery,
plus a premium of $ , is hereby confirmed.
Delivery of the bonds shall be made to said Durchasers as soon
as may be after the adoption of this ordinance, upon payment there-
for in accordance with the terms of sale.
SECTION II: That the purchasers' obligation to accept delivery
of the bonds herein authorized is subject to their being furnished
a final opinion of Messrs. Dumas, Huguenin, Boothman and Morrow,
Attorneys, Dallas, Texas, approving such bonds as to their validity,
said opinion to be dated and delivered as of the date of delivery
and payment for such bonds. Printing of a true and correct coPy
of said oDinion on the reverse side of each of said bonds, with
appropriate certificate pertaining thereto executed by facsimile
signature of the City Secretary of the City of North Richland Hills,
Texas, is hereby approved and authorized.
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SECTION 12: That the City hereby certifies and covenants that
the Droceeds of the bonds are needed at this time to finance the
costs of capital improvements planned by the City; based on current
facts, estimates and circumstances, it is reasonably expected final
disbursement of the bond proceeds will occur wi thin' three years
from the date of the receipt thereof by the City; it is not reason-
ably expected the proceeds of the bonds or moneys deposited in the
interest and sinking fund created for the payment of the bonds will
be used or invested in a manner that would cause the bonds to be
or become "arbitrage bonds" within the meaning of Section 103(c) of
the Internal Revenue Code of 1954, as amended, or any regulations
or published rulings pertaining thereto; and save and except for
the interest and sinking fund created herein no other funds or
accounts have been established or pledged for the payment of the
bonds. Proper officers of the City charged with the resDonsibility
in the issuance of the bonds are hereby authorized and directed to
make, execute and deliver certifications as to facts, estimates
and circumstances in existence as of the date of the issue of the
bonds and stating whether there are any facts, estimates or cir- -
cumstances which would materially change the City's current ex-
pectations, and the covenants herein made and certifications herein
authorized are for the benefit of the holders of the bonds and
coupons appertaining thereto and may be relied upon by the bond-
holders and bond counsel for the City.
SECTION 13: That the Mayor of the City shall be and is hereby
authorized to take and have charge of all necessary orders and
records pending investigation by the Attorney General of the State
of Texas, and shall take and have charge and control of the bonds
herein authorized pending their approval by the Attorney General
and their registration by the Comptroller of Public Accounts.
SECTION 14: That CUSIP numbers may be printed on the bonds
herein authorized. It is expressly provided, however, that the
presence or absence of CUSIP numbers on the bonds shall be of no
significance or effect as regards the legality thereof and neither
the City nor attorneys approving said bonds as to legality are to be
held responsible for CUSIP numbers incorrectly printed on the bonds.
SECTION 15: That, in reference to the Official Statement pre-
pared in the initial offering and sale of the bonds herein author-
ized by the City, the City Council ratifies and confirms its prior
approval of the form and content thereof and hereby approves the
form and content of any addendas, suuplements and amendments
thereto; the use of such Official Statement in the reoffering of
the bonds by the above named purchaser(s) is hereby approved and
authorized; and the proper officials of the City are hereby author~
ized to execute and deliver a certificate pertainin~ to said
Official Statement as prescribed therein, dated as of the date of
payment for and delivery of the bonds,
SECTION 16: That this ordinance shall take effect immediately
from and after passage, and it is so ordained,
PASSED AND ADOPTED, this
the 9th day of February, 1981.
d (4,7" 1lttrn/
Mayof, títy of }¿~h Richlaná Hills,
Texas
ATTEST:
~/~m~
C' Secretary, City of North
chland Hills, Texas
(City Seal)