HomeMy WebLinkAboutOrdinance 788 ORDINANCE No . 788 .
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AN ORDINANCE PROVIDING FOR THE CONSTRUCTION AND EQUIPPING OF A SEWAGE
TREATMENT PLANT AND OUTFALL SEL'IERS TO IMPROVE THE SEWER SYSTEM : PROVIDING
FOR THE ISSUANCE OF REVENUE BONDS FOR SAID PROJECT : FIXING THE DETAILS IN
RESPECT OF SAID BONDS AND PROVIDING FOR THE METHOD OF PAYMENT THEREOF : AND
DECLARING AN EMERGENCY .
WHEREAS , the City of Fayetteville , Arkansas , has no adequate sewage
treatment plant and outfall sewers with Wurtenances , and the public inter-
est and necessity require that same be construc.ted , to be owned and operated
by the City of Fayetteville , Arkansas , and
WHEREAS , the City Council of said City has caused to be made by a duly
qualified engineer plans and specifications for such project , an estimate
of the cost of the construction of the same , an estimate of the reasonable
/the
es necessary to be charged for services by the project , an estimate of
revenues of such project , all of which have been heretofore filed with
City Clerks and �- - -
WHEREAS , such plans provide for the construction and equipment of a sewage
treatment plant and outfall sewers , as improvements to the existing system,
on the following described lands owned by the City of Fayetteville , Arkansas ;
Part of the East Half of the Southwest Quarter of Section twenty-
three ( 23 ) , in Township Sixteen ( 16 ) North, of Range Thiry ( 30 )y West of the
5th Princip�l 64eidian , described as follows : to wit : Beginning at a point
`4 which is four ( 4 ) chains and twenty-six ( 26 ) feet east of the Northwest
corner of said eighty acre tract ,• and running thence South one hundred and
four ( 104 ) rods , more or less to the town branch ; thence down said branch
with its meanderings to a point which is six and one -half chains due West of
the middle of the channell of the West Fork of White River ; thence, East ,
six and onehalf chains to the middle of said West cork of White River ; thence
down sa ;d River following the meanderings of the middle of the bharnell ,
North 8 West 9 Chains ; thence Borth 3 . 50 Chains ; thence Ncrt4 loo East
Four ( 4 ) chains ; thence North 12 West 5 . 50 chains to North line of said
80 acre tract ; thence West ( 41 ) rods and thirteen aryl six -tenths ( 13 . 6 )
feet to the place of beginning , containing twenty-three acres more or. less .
WHEREAS , the City has examined and approved said plans and estimates , and
funds and declares that is for the best interest of the said City that said
project be constructecli.and
WHEREAS , said City ismwithout funds to carry out said plans , -but from the.
proceeds of the Bonds hereinafter ordered to , be issued (hereinafter called
the " Bonds " ) , authorized by Act 132 of the Acts of the Regular Session of the
General Assembly of the State of Arkansas for the year 1933 , together with
certain funds to be furnished by the United States of America , sufficient
funds to do so can be provided ; .
NOW, THEREFORE, BE IT RESOLVED BY THE SAID CITY COUNCIL OF THE CITY OF
FAYETTEVILLE , ARKANSAS , as follows ;
SECTION ONE : The estimated cost of the construction and equipping of -said
Sewage Treatment Plant and out -fall Sewers , is found and declared to be the
sum of One hundred thousand ( $100jp000 . 00 ) Dollars .
SECTION TWO : The said Sewage Treatment Plant and Outfall Sewers ( also
referred to as, " The #orks " ) shall be constructed xxaax1d1xg according ,to
the plans and specifications heretogore filed with the CitynClerk , ' and
reference to such plans and specifications is hereby made for a more
detailed description . Said construction and the custody, operation and
maintenance of said Works plant and the collection of revenues therefrom for
the services tendered thereby shall be effected and . supervised by a Sewer
Committee composed of George Sanders , B . B . Bronsgn and Earl Shook . The
coutLe may remove any member of* the Sewer Committee withor without cause
and may appoint substitute members in case of death, removal or resignation .
The -terms of the construction of the "Works " so ' far as they are not set out
in this Ordinance , shall be fixed by the Sewer Committee and it shall make
all contracts or agreements necessary or incidental to the performance of its
duties and the execution of its powers ,, providing that any contract relating
to the financing of the construction herein provided shall be approved by the
Council before the same shall be effective .
SECTION THREE : None of the facilities or services afforded by the Works
shall be furnished without a reasonable charge being made therefor . In the
event that the City or any Department , agency or instrumentality thereof shall
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avail itself of the facilities or services afforded by the Works , the
reasonable value of the services or value of the services or facilities so ;
afforded shall be charged against the City or such department , agency ,
or instrumentality, and shall be paid for as the charges therefor accrue .
The revenues so received shall be deemed to be revenues derived from the
operation of the Works and shall be used and accounted for in the same mann
manner as any other revenues derived from the operation of the Wbrks .
Provided , however, that nothing herein shall be construed as requiring the
City or -any other Department , Agency, dr instrumentality thereof tol
avail itself of the facilities or services afforded by the Works .
SECTION FOUR : The Treasurer of the City shall be the custodian of the
revenues derived from the Works and shall give Bond for the faithful '
discharge, of ' his duties as such custodian ( such Bond to be fixed and
approved by this Council ) . The Treasurer of the City shall deposit all
the revenues of the Works into a - separate fund to be administered as
follows :
( a ) Operation and_Maintenance : An amount to pay the -reasonable
and necessary expenses of operation , repair and maintenance shall be
deducted from the monthly revenues as they accrue and shall be used to
pay such expenses ;
( b ) Bond Fund : All the revenues remaining after the payment
set forth in sub -paragraph ( a ) shall constitute the Net! ,irevenues of the
Works and , to the extent necessary, shall be paid at monthly intervals
into a Bond Fund to provide for the necessary fiscal agency charges ,
for making such payments ; and a margin for safety . Such margin, together
with any unused surplus of the same carried forward from the preceding
fiscal year, shall equal ten per centum of all other amounts required
to be paid into the Bond Vund under the provisions of this section .
( c ) Surplus : In the event that a Surplus remains after the
requirements of.. sub -paragraph ( a ) and ( b ) have been met , the City may use
such surplus or any part thereof in its discretion to provide a fund for
extensions, betterments and additions to the Works , or to purchase any of th
Bonds outstanding at not exceeding Par and accrued interest if such Bonds
are available on the open market , or in any other lawful manner , provided
that an amount reasonably sufficient for operation , repair and maintenance
1 and for depreciation for an ensueing period of not less than twelve
months has been fifst reserved . All Bonds purchased shall , forthwith
be cancelled- and shall not again be issued .
All moneys held in said Bond Fund shall be deposited in a Bank which is
a member of the Federal Reserve . System and in which depositor are insured
by the Federal Insurance Corporation .
SECTION FIVE : So lon as any of the Boddspre outstanding, the Works
shall be operateddu on a fiscal year basila . The first Fiscal year shall
commence upon the first day of July 1936 , ( the estimated date of the,
completion of the construction herein provided for ) , and shall end one
year thereafter .
SECTION SIX : Revenue Bonds of the City ( herein called Bonds ) shall be
issued in the total amount of sixty -thousand (60 , 000 .00 ) Dollars which
amount , together with funds to be furnished by the United States Govern-
ment , is necessary to provide sufficient funds to pay all costs of the
herein described contemplated construction, including, engineering , legal
and other necessary expenses , together with interest to a period of six
months after the estimated date of the " completion of the construction ;
said Bonds , each to be designed " Sewer Revenue Bonds " , and shall be .
dated November 1 , 1935 , shall be in the denomination of $1 , 000 . 00 each ,
shall be numbered one to sixty both inclusive , and shall mature in
numerical order on November l , in each of the years and in the amounts named
as follows :
Page #3 ORDINANCE# 788-
Year Amount Year Amount
1
1937 $22000 . 1950 $2 ; 000 .
1938 2, 000 . 1951 2 , 000 .
1939 2;000 . .1952 21000 .
1940 2 , 000 . 1953 r '21000 .
1941 2 , 000 . . 1954 3 , 000 . 3
1942 2 ; 000 . 1955 31000 .
1944 y
1943 2, 000 . 1956 3•, 000 .
2 , 000 . X957 3 , 000 .
1945 21000 * 0'1 1958 3 000 ; / 6
1946 2$:000 . 1959 31000 . V
1947 22000 . 1960 3 ; 000 .
1948 _ 2 , 000 . 1961 3 , OdO .
1949 . " 22000 . 1962 2 ; 000 . '
The Bonds shall bear interest at the rate of four per centum ( 4% ) per
annum, payable May 1 , 19360 and semi -annually thereafter on the lst , • day of
November and May in each year , shall be signed by the Mayor and sealed
with the corporate seal of the City of Fayetteville , and attested by .the
City Clerk of the City, and the interest upon the Bonds shall be evidenced
by Coupons attached thereto , such coupons to be ' signed by the said Mayor and
said City Clerk by their /�acsi.mile signatures ; m d said Mayor and said
City Clerk shall by the execution of the Bonds adopt as and for t4eir
own signatures their respective facsimile signatures appearing on said
coupons . The Bonds and Coupons shall be payable in such funds as at
thentime of the respective payments are legal tender for the payment of debt
due the United States of America at the office of the City Treasurer, at
Fayetteville , Arkansas .
Bonds , together with interest thereon , shall be payable only out of the
Bond Fund as hereinbefore defined . and shall be a valid claim of the holder
thereof only against the Bond Fund, and the amount of the revenues pledged
to said fund, which amount of said revenues is hereby pledged for the equal
and ratable payment of the Bonds and shall be used for no other purpose
than to pay the principal and interest of the Bonds as the same become
due and payable . .
( Form of Bond follows )
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[Form of Bond )
UNITED STATES OF KMERICA
STATE OF ARKANSAS
COUNTY OF WASHINGTON
The City of Fayetteville .
SEWER REVENUE BOND
Number . $1 , 000 :
Know all men by these • presents That the City bf Fayetteville ,
in the Cdun y or Washington, Stater.ior Arkansas , hereby acknowledges
itself to owe and , for value received , promise to pay to bearer as
hereinafter stated, the sum of
ONE THOUSAND DOLLARS
( $1 , 000 . ) on the first day of November with interest at the
rate of four per centum ( 4% ) per annum, p— ayable May 1, 1936 , and
semi -annually thereafter on the 1st , daysof November and May in each
year , upon presentation and surrender of the annexed coupons as they
severally become due . Both principal hereof and interest hereon
shall be payable in such funds as at the time of the respective pay-
ments are legal tender for the payment of the _ , debts due the United
States of America , at the office of the City Treasurer , At Fayette -
ville , Arkansas .
This Bond is issued for , the purpose of providing for the
payment of the cost of construction and equipping of a Sewage Treat -
ment Plant and Outfall Sewers ( herein called the Works ) .
This Bond - is issued in accordance with the provisions of
Act 132 of the regular session of the Generdl Assembly of the State
of Arkansas for the year 1933 , and does not constitute an indebtedness
of said City within any constitutional or statutory limitation, and
is payable solely from the Net revenues of said Works remaining after
deduction of the reasonable monthly expense ofoperation, repairs and
maintenance . Said Net revenues have been set aside and pledged as a
special fund for that purposes-and identified as the " Bond Bund created
by the Ordinance under which this Bond is authorized to be issued .
There has heretofore been established by Ordinance adopted by said
City and said City hereby covenants and agrees that it will maintain
just and equitable rates or charges for the use of and the service
rendered by said Works sufficient in each year for the payment ofithe
proper and reasonable expenses of operation, repair, replacements
and maintenance of said Works and for the establishement of a sufficient
sinking fund to meet the principal of and the interest on this Bond
as the same becomes due . It is provided in last said mentioned Drdd.nance
that such rates or charges shall be paid by each land-owner whose ,
premises are connected with and use the Works by or through any part ,
of the Sewerage system of the City or whose premises in any way use
or are served by the Works, which rate or charges -if not paid when
due shall constitute a lein upon the premises served by the Works ' and
shall be collected as provided by the law .
IT IS HEREBY CERTIFIED, REG1TED':) 1ND DECLARED THAT ALL ACTS,
conditions and things required to exist happen and be performed i
precedent to and in the issuance of this Bond have existed , hags
happened, and have been performed in due time , form and manner , as
required by law , and that sufficient of the income and revenue tolbe
derived from- the operation of said Works has been pledged to and will
be set aside into samd special fund for the payment of the principal
and interest of this Bond .
IN WITNESS WHEREOF , The City of Fayetteville , Arkansas , by ,
its City Council has caused this Bond to be signed by the Mayor thereof
and sealed with the Corporate Seal of said City and attested by its
City Clerk , and caused the coupon hereto attached to be authenticated
_ by the fac simile signatures of said Mayor and said City C1 erk , all
as of the 1st , day of November 1935 ,
( Seal )
City erk
Passed and Approved pqfy November 13 , 1935
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