Loading...
HomeMy WebLinkAboutORD 82-07 - Issuance of Certificates of Obligation for Capital Improvements Program82-7 299 ORDINANCE AUTHORIZING THE ISSUANCE OF INTEREST BEARING CERTIFICATES OF OBLIGATION THE STATE OF TEXAS - COUNTY OF WILLIAMSON CITY OF GEORGETOWN § WHEREAS, the City Council deems it advisable to issue Certificates of Obligation in the amount of $200,000 for the purpose of paying, in whole or in part, professional services for engineering fees for the development of a capital improvement program, and to pay legal and fiscal fees in connection with this project; and WHEREAS, the Certificates of Obligation hereinafter authorized and designated are to be issued and delivered for cast pursuant to Article 2368a.1, V.A.T.C.S.; and 00 WHEREAS, the City Council has heretofore, on the 13th CD day of April, 1982, passed an ordinance authorizing and directing the city secretary to give notice of intention to CD issue Certificates of Obligation; and 0 < WHEREAS, said notice has been duly published in the Williamson County Sun, is a newspaper of general circulation in said City, in its issues of April w, 1982 and April 1982; and I WHEREAS, the City received no petition from the quali- fied electors of the City protesting the issuance of such Certificates of Obligation; and WHEREAS, it is considered to be'to the best interest of th:� City that said interest bearing Certificates of Obli- gation of even denominations in the amount of $5,000 to be issued. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GEORGETOWN, TEXAS: 1. That the City's Certificates of Obligation, to be called the "CITY OF GEORGETOWN, TEXAS CERTIFICATES OF OBLIGATION, SERIES 1982" shall be issued under and by virtue of the Constitution and laws of the State of Texas, for the purpose of paying, in whole or in part, professional services for engineering fees for the development of a capital improvement program, and to pay legal and fiscal fees in connection with this project. 2. That said Certificates of Obligation shall be dated June 1, 1982, shall be numbered consecutively from one upward, shall be in the denomination of $5,000 each, ag- gregating $200,000, shall become due and payable on August 1 of each of the years as follows: YEARS AMOUNTS 1983 $20,000 1984 20,000 1985 20,000 1986 25,000 1987 40,000 1988 75,000 3. That the Certificates of Obligation scheduled to mature during the years, respectively, set forth shall bear interest at the following rates per annum: V n� 300 maturities 1983 through 19 , % maturities 19 through 19 % maturities 19 through 19—, % maturities 19 through 19_, % maturities 19 through 19—, % maturitie-s 19_ through 19_, % Said interest shall be evidenced by interest coupons which shall appertain to said Certificates of Obligation, and which shall be payable in the manner provided and on the dates stated in the FORM OF CERTIFICATE set forth in this Ordinance. 4. That said Certificates of Obligation and interest coupons shall be issued, shall be payable, shall have the characteristics and shall be signed and executed (and said Certificate shall be sealed) , all as provided, and in the manner indicated, in the FORM OF CERTIFICATE set forth in this Ordinance. 5. That the form of said Certificates of Obligation, including the form of Registration Certificate of the Comp- troller of Public. Accounts of the State of Texas to be printed and endorsed on each of said Certificates, and the form of the aforesaid interest coupons which shall appertain and be attached initially to each of said Certificates, shall be, respectively substantially as follows: No. FORM OF CERTIFICATE UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF WILLIAMSON CITY OF GEORGETOWN, TEXAS CERTIFICATE OF OBLIGATION SERIES 1982 $5,000 ON AUGUST 1, 19 , THE CITY OF GEORGETOWN, COUNTY OF WILLIAMSON, STATE OF TEXAS, promises to pay to bearer hereof the principal amount of FIVE THOUSAND DOLLARS and to pay interest thereon, from the date hereof, at the rate of % per annum, evidenced by interest coupons payable on August 1, 1983, and semiannually thereafter, while this Certificate is outstanding. THE PRINCIPAL of this Certificate of Obligation and the interest coupons appertaining hereto shall be payable to bearer, in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrender of this Certificate,of Obligation or proper interest coupons at the following, which shall constitute and be defined as the "Paying Agent" for this Series.of Certificates: THIS CERTIFICATE OF OBLIGATION is one of a series dated as of June 1, 1982, issued in the principal amount of $200,000, for the purpose of paying, in whole or in pert, professional services for engineering fees for the deve"7p- ment of a capital improvement program, and to pay legal and fiscal fees in connection with this project. IT IS HEREBY certified, recited and covenanted that this Certificate of Obligation has been duly and validly authorized, issued and delivered; that all acts, conditions, and things required or proper to be performed, exist and be 2 301 done precedent to or in the authorization, issuance and delivery of this Certificate of Obligation have been per- formed, existed and been done in accordance with law; that this Certificate of Obligation is a general obligation of said City, issued on the f-Li.11 faith and cr^dit thereof; and that annual ad valorem t.axo-s sufficient to provide for the payment of the interest on and principal of this Certificate of Obligation, as such interest comes due and such principal matures, have been levied and ordered to be levied against all taxable property in said City, and have been pledged irrevocably for such payment, within the limit prescribed by law, and that this Certificate of Obligation is additionally secured by and payable from the Surplus Revenues of the City's combined Waterworks and Sewer System, after payment of all operation and maintenance expenses thereof, and all debt service, reserve, and other requirements in connection with all of the City's revenue bonds (now or hereafter outstanding), and the City's outstanding Certificates of Obligation which are payable from all or any part of the Net Revenues of the City's Waterworks and Sewer System. IN WITNESS WHEREOF, this Certificate and the interest coupons appertaining hereto have been signed with the fac- simile signature of the Mayor of said City and countersigned with the facsimile signature of the City Secretary of said City, and the official seal of said City has been duly impressed, or placed in facsimile on this Certificate. xxxxxx xxxxx City Secretary Mayor FORM OF COMPTROLLER'S REGISTRATION CERTIFICATE COMPTROLLER'S REGISTRATION CERTIFICATE: RLGISTER NO. I hereby certify that this Certificate of Obligation has been examined, certified as to validity and approved by the Attorney General of the State of Texas, and that this Certificate of Obligation has been registered by the Comptroller of Public Accounts of the State of Texas. WITNESS my signature and seal this _ Comptroller of Public Accounts of the State of Texas FORM OF INTEREST COUPON NO. THE CITY OF GEORGETOWN, COUNTY OF WILLIAMSON, STATE OF TEXAS, promises to pay to bearer the amount shown on this interest coupon in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrender of this interest coupon at the said amount being interest due that day on the Certificate of Obligation bearing the number hereinafter designated, of that issue of CITY OF GEORGETOWN, TEXAS CERTIFICATES OF OBLIGATION, SERIES 1982, dated June 1, 1982. Certificate of Obligation No. xxxxx City Secretary xxxxx Mayor 9. \4`_6 �I 6. That a 'special "Interest and Sinking Fund" is hereby created and shall be established and maintained by the City at an official depository bank of said City. Said Interest and Sinking Fund shall be kept separate and apart from all other funds and accounts of said City, and shall be used only for paying the interest on and principal of said Certificates of Obligation: All ad valorem taxes levied and collected for and on account of said Certificates of Obliga- tion shall be deposited, as collected, to the credit of said Interest and Sinking Fund. During each year while any of said Certificates of Obligation or interest coupons apper- taining thereto are outstanding and unpaid, the City Council of said City shall compute and ascertain a rate and amount of ad valorem tax which will be sufficient to raise and produce the money required to pay the interest on said Certificates of Obligation as such principal matures (but never less than 2% of the original amount of said Certifi- cates of Obligation as a stinking fund each year); and said tax shall be based on the latest approved tax rolls of said City, with full allowances being made for tax delinquencies and the cost of tax collection. Said rate and amount of ad valorem tax is hereby levied, and is hereby ordered to be levied, against all taxable property in said City, for each year while any of said Certificates of Obligation or interest coupons appertaining thereto are outstanding and unpaid, and said tax shall be assessed and collected each such year and deposited to the credit of the aforesaid Interest and Sinking'Fund. Said ad valorem taxes sufficient to provide for the payment of the interest on and principal of said Certificates of Obligation, as such interest comes due and such principal matures, are hereby pledged irrevocably for such payment, within the limit prescribed by law. 7. That said Certificates of Obligation are addition- ally secured by and shall be payable from and secured by the revenues of the City's Waterworks and Sewer System, remaining after payment of all maintenance and operation expenses thereof, and all debt service, reserve, and other requirements in connection with all of the City's revenue bonds (now or hereafter outstanding), and the City's outstanding Certificates of Obligation, which are payable from all or any part of the Net Revenues of the City's Waterworks and Sewer System, constituting "Surplus Revenues". The City shall deposit such Surplus Revenues to the credit of the Interest and Sinking Fund created pursuant to Section 6, to the extent necessary to pay the principal and interest on the Certificates of Obligation. Notwith- standing the requirements of Section 6, if Surplus Revenues are actually on deposit in the Interest and Sinking Fund in advance of the time when ad valorem taxes are scheduled to be levied for any year, then the amount of taxes which otherwise would have been required to be levied pursuant to Section 6 may be reduced to the extent and by the amount of the Surplus Revenues then on deposit in the Interest and Sinking Fund. 8. That the Mayor and the City Secretary are hereby ordered to do any and all things necessary to accomplish the transfer of monies to the Interest and Sinking.Fund of this issue in ample time to pay such items of principal and interest. 9. That the Mayor u.-Z: said City is hereby authorized to have control of said Certificates of Obligation and all necessary records and procezdings pertaining to said Certi- ficates of Obligation pending their delivery and their investigation, examination and approval by the Attorney General of the State of Texas, and their registration by the Comptroller of Public Accounts of the State of Texas. Upon registration of said Certificates said Comptroller of Public Accounts (or a deputy designated in writing to act for said ►1 k 303 co CD Iq C9 a Comptroller) shall manually sign the Comptrolle.r's Registra- tion Certificate printed and endorsed on each of said Certificates of Obligation, and the seal of said Comptroller shall be impressed or placed in facsimile, on each of said Certificates of Obligation. 10. That the City covenants to and with the purchasers of the Certificates of Obligation that it will make no use of the proceeds of the Certificates of Obligation at any time throughout the term of this issue of Certificates of Obligation which, if such use had been reasonably expected on the date of delivery of the Certificates of Obligation to and payment for the Certificates of Obligation by the pur- chasers, would have caused the Certificates of Obligation to be arbitrage bonds within the meaning of Section 103(c) of the Internal Revenue Code of 1954, as amended, or any regu- lations or rulings pertaining thereto; and by this covenant the City is obligated to comply with the requirements of the aforesaid Section 103(c) and all applicable and pertinent Department of the Treasury regulations relating to arbitrage bonds. The City further covenants that the proceeds of the Certificates of Obligation will not otherwise be used directly or indirectly so as to cause all or any part of the Certificates of Obligation to be or become arbitrage bonds within the meaning of the aforesaid Section 103(c), or any regulations or rulings pertaining thereto. 11. That it is hereby officially found and determined that a case of emergency or urgent public necessity exists which requires the holding of the meeting at which this Ordinance is passed, such emergency or urgent public necess- ity being that the 'proposed Certificates of Obligation are required as soon as possible and without delay for necessary and urgently needed public improvements; and that said meeting was open to the public and public notice of the time, place and purpose of said meeting was given, all as required by Vernon's Ann. Civ. St., Article 6252-17. 12. That said Certificates of Obligation are hereby sold and shall be delivered to the , for cash for the par value thereof and accrued interest thereon to the date of delivery. 13. That the fact that the City Council considers -the passage of this ordinance and the issuance of the certificates of obligation necessary for the immediate preservation of the public peace, health, safety and welfare, creates an emergency and an imperative public necessity that the rule requiring ordinances to be read at more than one meeting of the City Council before final passage be suspended, and said rule is hereby suspended, and that this ordinance take effect and be in force and effect immediately from and after its passage at this meeting, and it is so ordained. PASSED AND APPROVED this ATTEST: J i City Secretary APPROVED: City Attorney llth day of May,.1982. �1