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HomeMy WebLinkAbout0011_0002said persons to serve for the terms specified in the Bylaws, subject to removal by this Council for cause or at will as provided in the Act and in the Bylaws Section S. That, as provided in the Act, the Corporation shall be a nonprofit corporation, and no part of its net earnings remaining after payment of its expenses, bonds or other obligations shall ever inure to the benefit of any individual, firm or corporation, except that upon dissolution, in the event sufficient provision has been made for the full payment of the expenses, bonds and other obligations of the Corporation, then any net assets of the Corporation remaining or thereafter accruing shall be paid to the City. Section 6 That the City expressly reserves the right, exercis- able at any time and in its sole discretion, to alter the structure, organization, programs or activities of the Corporation or to terminate and dissolve the Corporation, subject only to any limitations provided by the respective constitutions and laws of the State of Texas or of the United States prohibiting the impairment of contracts entered into by the Corporation. Section 7. That the Corporation shall have no purposes and shall engage in no business or enterprise except in furtherance of the purposes provided in and authorized by the Act as it may be amended from time to time Whenever the board of directors shall determine that the purposes for which the Corporation was formed have been substantially accomplished and that all bonds and other obligations theretofore issued or incurred by the Corporation have been fully paid or payment provided for, the members of the board of directors shall, upon receipt of the approval of this Council, thereupon dissolve the Corporation in the manner provided by law, subject to the limitations provided in Section 6 hereof applicable to dissolution directed by the Council. Section 8 That whenever dissolution of the Corporation shall occur, whether instituted by this Council or by the board of directors of the Corporation, the dissolution proceedings shall transfer the title to all funds and properties then owned by the Corporation to the City after satisfaction of all claims against the Corporation has been made Section 9 That any and all bonds, notes or other similar obligations issued by the Corporation shall contain a provision, substantially to the effect that they shall never be deemed to be or create an indebtedness or liability or a special, general or moral obligation payable out of any funds or properties of the City and that they shall be payable solely out of funds and properties of the Corporation pledged thereto -3- 3