HomeMy WebLinkAboutOrdinance 2561 ORDINANCE NO . S� / " /
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AN ORDINANCE AUTHORIZING THE ISSUANCE 0F 'C�`h �/Cy` !f%% S2
INDUSTRIAL DEVELOPMENT REVENUE BONDS EOR
THE PURPOSE OF PROVIDING PERMANENT 6(�� }r �% r
FINANCING FOR INDUSTRIAL FACILITIES ;
AUTHORIZING A TRUST INDENTURE SECURING THE
BONDS ; AUTHORIZING A LEASE AND AGREEMENT
BETWEEN THE CITY OF FAYETTEVILLE , ARKANSAS ,
AS LESSOR , AND FAYETTEVILLE PLUMBING AND
HEATING CO . , INC . , AS LESSEE ; AUTHORIZING
THE SALE OF THE BONDS ; AUTHORIZING AND
PRESCRIBING OTHER MATTERS PERTAINING
THERETO ; AND DECLARING AN EMERGENCY .
WHEREAS , the City of Fayetteville , Arkansas ( the " City" ) ,
is authorized and empowered under the provisions of Act No . 9
of the First Extraordinary Session of the Sixty- Second General
Assembly of the State of Arkansas , approved January 21 , 1960 ,
as amended ( the " Act " ) , to issue revenue bonds and to expend
the proceeds thereof to finance the acquisition , construction
and equipment of lands , buildings or facilities which can be
used in securing or developing industry ; and
WHEREAS , it is proposed that the City provide permanent
financing , through the issuance of revenue bonds under the Act ,
for the costs of acquiring , constructing and equipping certain
industrial facilities consisting of lands , buildings ,
improvements , machinery , equipment and facilities ( the
" Project " ) , and that the City lease the Project to Fayetteville
Plumbing and Heating , Co . , Inc , , an Arkansas corporation ( the
" Company " ) , as part of an industrial plant to be operated by
the Company ( or its successors or assigns ) at the City ; and
WHEREAS , pursuant to and in accordance with the provisions
of the Act , the City is now prepared to proceed with financing
the Project and to issue and sell $ 310 , 000 in principal amount
of its Industrial Development Revenue Bonds - Fayetteville
Plumbing and Heating Project ( the " Bonds " ) , to provide such
financing ; and
WHEREAS , copies of the hereinafter described Trust
Indenture and Lease and Agreement have been presented to and
are before this meeting ;
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MICROFILMED
DATE JAN 3 1980
RE.M
NOW , THEREFORE , BE IT ORDAINED by the Board of Directors
of the City of Fayetteville , Arkansas :
Section 1 . That the issuance of the Bonds is hereby
authorized . The Bonds shall be issued in the form and
denominations , shall be dated , shall be numbered , shall mature
( over a period not to exceed thirty [ 30 ] years ) , shall bear
interest ( at a rate or rates not to exceed ten percent [ 10 % )
per annum ) , and shall be subject to redemption prior to
maturity , all upon the terms and conditions recommended by the
Company and to be set forth in the Trust Indenture ( hereinafter
authorized ) securing the Bonds .
Section 2 . That the Bonds be sold to First National Bank ,
Fayetteville , Arkansas ( the " Purchaser " ) , for the purchase
price recommended by the Company and upon the terms and
conditions set forth in the Indenture ( identified hereinbelow ) .
Section 3 . That in order to prescribe the terms and
conditions upon which the Bonds are to be executed ,
authenticated , issued , accepted , held and secured , the Mayor is
hereby authorized and directed to execute and acknowledge a
Trust Indenture by and between the City and a bank or trust
company which will act as Trustee thereunder , dated as of the
date of the Bonds ( the " Indenture " ) , and the City Clerk is
hereby authorized and directed to execute and acknowledge the
Indenture and to affix the seal of the City thereto , and the
Mayor and City Clerk are hereby authorized and directed to
cause the Indenture to be accepted , executed and acknowledged
by the Trustee . The Indenture is hereby approved in
substantially the form submitted to this meeting , and the Mayor
is hereby authorized to confer with the Trustee , the Company
and the Purchaser in order to complete the Indenture in
substantially the form submitted to this meeting with such
changes as shall be approved by such persons executing the
document , their execution to constitute conclusive evidence of
such approval .
Section 4 . That there be , and there is hereby authorized
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the execution and delivery of a Lease and Agreement by and
between the City as Lessor , and the Company as Lessee ( the
" Lease and Agreement " ) , and the Mayor and City Clerk be , and
they are hereby authorized to execute , acknowledge and deliver
the Lease and Agreement for and on behalf of the City . . The
Lease and Agreement is hereby approved substantially in the
form submitted to this meeting , and the Mayor is hereby
authorized to confer with the Company , the Trustee and the
Purchaser in order to complete the Lease and Agreement in
substantially the form submitted to this meeting with such
changes as shall be approved by such persons executing the
document , their execution to constitute conclusive evidence of
such approval .
Section 5 . That the Mayor and the City Clerk , for and . on
behalf of the City , be , and they are hereby authorized and
directed to do any and all things necessary to effect the
execution and delivery of the Lease and Agreement , the
performance of all obligations of the City under the Lease and
Agreement , the execution and delivery of the Indenture , the
performance of all obligations of the City under and pursuant
to the Indenture , the issuance , execution , sale and delivery of
the Bonds , and the performance of all acts of whatever nature
necessary to effect and carry out the authority conferred by
this Ordinance . That the Mayor and the City Clerk be , and they
are hereby , further authorized and directed , for and on behalf
of the City , to execute all papers , documents , certificates and
other instruments that may be required for the carrying out of
such authority or to evidence the exercise thereof .
Section 6 , That the City is hereby involved with the
acquiring , constructing and equipping of industrial facilities ,
and pursuant to applicable laws of the State of Arkansas ,
including particularly the Act , competitive bidding is waived .
Section 7 . That the City Clerk is hereby authorized and
directed to file in the office of the City Clerk , as a part of
the minutes of the meeting at which this Ordinance is adopted ,
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for , inspection by any interested person a copy of the
Indenture , Lease and Agreement , and such documents shall be on
file for inspection by any interested person .
Section 8 . That the law firm of Wright , Lindsey &
Jennings , Little Rock , Arkansas , be appointed to act as Bond
Counsel on behalf of the City in connection with the issuance
and 'sale of the Bonds .
Section 9 . That the provisions of this Ordinance are
hereby declared to be separable , and if any section , phrase or
provision shall for any reason be declared to be invalid , such
declaration shall not affect the validity of the remainder of
the 'sections , phrases and provisions .
I
( Section 10 . That all ordinances , resolutions and parts
thereof in conflict herewith are hereby repealed to the extent
of such conflict .
Section 11 . That there is hereby found and declared to be
an immediate need for the securing and developing of industry
in order to provide employment and payrolls , alleviate
i
unemployment and otherwise benefit the public health , safety
and welfare of the City and the inhabitants thereof , and the
issuance of the Bonds authorized hereby and the taking of the
other action authorized hereby are immediately necessary for
the accomplishing of these public benefits and purposes . It
is , therefore , declared that an emergency exists and this
Ordinance being necessary for the immediate preservation of the
public peace , health and safety shall be in force and effect
immediately upon and after its passage .
PASSED : September 18 , 1979 .
APPROVED :
mayor
cie Clerk
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CERTIFICATE
The ,undersigned , City Clerk of the City of Fayetteville ,
Arkansas , hereby certifies that the foregoing pages are a true
and perfect copy of Ordinance No . oZS(D / . , adopted at a
regular session of the Board of Directors of the City of
Fayei tteville , Arkansas , held at the regular meeting place in
the ICity at ' 30 o ' clock p . m . , on the 18th day of Spetember ,
1979, , and that the Ordinance is of record in Ordinance Record
Book No . 1/ / / at page now in my possession .
GIVEN under my hand and seal on this 18th day of
September , 1979 .
I
,. City Clerk
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CERTIFICATE OF RECORD
State of Arkansts ( SS
City of Fayetteville
I, Suzanne C. Kennedy, City Clerk and
Ex-Officio recorder for ti:e City of Fayetteville,
do hereby certify that the annexed or fore-
going is of record in my office and the same ap-
pears in Ordinance & Resolation hook;
y l l 1— at J'a"e - '8----- Witness my
hand and ser..] t.-is _--day of
CERTIFICATE OF RECORD - - - -
iTATE O" ARKANSAS City C'.L'r c a':la
w:;Shin;ton countySs.
I, Almc L. Koilmeyer, Circuit Clerk and Ex-Officio Recorder fof
washimton County, do hereby certify that the annexed or fore.
going insVqrmnt was filed for record in my office on thtc?l day
gaIV5—t1o'do -k p lA and the sa�eJis
duly recorded i _ __r,cn,;i (OO( at pages(
witness my hand and se I Ui s ay of 19`1
' Grc ,It Clerk and
Ex-^f I;= Pecprae&
ay .
.Panty clerk -_