HomeMy WebLinkAboutOrdinance 4121 ORDINANCE NO. q 1 9 1
AN ORDINANCE PROVIDING FOR THE ISSUANCE OF
HOTEL AND RESTAURANT GROSS RECEIPTS TAX BONDS,
SERIES 1998, BY THE CITY OF FAYETTEVILLE, ARKANSAS
FOR THE PURPOSE OF PROVIDING FINANCING FOR THE
ACQUISITION, CONSTRUCTION AND EQUIPPING OF
ADDITIONAL CONVENTION FACILITIES AND RELATED
PARKING FACILITIES; AUTHORIZING THE SALE OF THE
SERIES 1998 BONDS; PROVIDING FOR THE PAYMENT OF
THE PRINCIPAL OF AND PREMIUM, IF ANY, AND
INTEREST ON THE SERIES 1998 BONDS FROM THE CITY'S
1977 HOTEL AND RESTAURANT GROSS RECEIPTS TAX
AND OTHER SOURCES; ESTABLISHING THE PRINCIPAL
MATURITIES, INTEREST RATES AND PRICE OF THE
SERIES 1998 BONDS; AND PRESCRIBING OTHER MATTERS
RELATING THERETO.
WHEREAS, under the authority of Ordinance No. 2310, duly adopted and passed March
1 , 1977, as amended by Ordinance No. 2315, approved on March 15, 1977, the City established
a City Advertising and Promotion Commission (the "Commission") and levied a one cent tax upon
the gross receipts of hotels, motels, restaurants, cafes, cafeterias and other establishments providing
lodging or selling food for on-premises consumption in the City (the " 1977 Hotel and Restaurant
Gross Receipts Tax") pursuant to Act. No. 185 of 1965, as amended ("Act No. 185'); and
WHEREAS, the City issued its Continuing Education Center Revenue Bonds, Series 1979
(the " 1979 Bonds"), under the authority of Act No. 185 and Act No. 380 of 1971 ("Act No. 380")
and particularly under Ordinance No. 2567 of the City, duly adopted and passed October 22, 1979;
WHEREAS, the City of Fayetteville, Arkansas (the "City") constructed the convention
facilities known as the Continuing Education Center (the "Convention Facilities") with the
proceeds of the 1979 Bonds, which Convention Facilities are leased to the Board of Trustees of the
University of Arkansas; and
WHEREAS, the 1979 Bonds were refunded and redeemed when the City issued its
$2,675,000 Hotel and Restaurant Gross Receipts Tax Refunding Bonds, Series 1995 (the " 1995
Bonds")
WHEREAS, the Trust Indenture securing the 1995 Bonds provides for the issuance of
bonds on a panty with the 1995 Bonds to construct additional convention facilities; and
WHEREAS, at a Special Election held on August 5, 1997, the electors within the City
approved the issuance of not to exceed $6,950,000 principal amount of Hotel and Restaurant Gross
Receipts Tax Bonds to finance the construction of the Fayetteville Town Center as a new,
multipurpose, civic center for meetings, conventions, exhibitions, entertainment events, related
uses and parking ("Additional Convention Facilities"); and
Page 2
Ordinance No. 4121
WHEREAS, the Commission has recommended to the City Council of the City, and the
City Council has determined, that it is in the best interest of the City to proceed with the issuance
of the 1998 Bonds and construct the Additional Convention Facilities; and
WHEREAS, the City is authorized under the Advertising and Promotion Commission Act,
as amended, Arkansas Code Annotated (Repl. 1997) §§26-75-601 through 618, (Repl. 1997) (the
"Act") and the City-County Tourist Meeting and Entertainment Facilities Assistance Law, as
amended, Arkansas Code Annotated §§ 14- 17-201 through 217, (1987 & Supp. 1997)(the
"Turnback Law") to issue and sell revenue bonds for the purpose of constructing the Additional
Convention Facilities; and
WHEREAS, to secure funds necessary (together with the moneys to be contributed by the
Commission and money and property to be contributed by the City) to construct the Additional
Convention Facilities, to establish a reserve fund and to finance the printing, legal, underwriting,
and other costs incidental to the issuance of revenue bonds for this purpose, the City has
determined to issue revenue bonds in an aggregate principal amount of $6,950,000 Hotel and
Restaurant Gross Receipts Tax Bonds, Series 1998 (the "Series 1998 Bonds"); and
WHEREAS, the City has determined to issue the Series 1998 Bonds under and pursuant
to a First Supplemental Trust indenture (the "Supplemental Indenture") by and between the City
and Bank of Oklahoma, N.A., Tulsa, Oklahoma, as Trustee (the "Trustee"), a form of which has
been presented to and is before this meeting; and
WHEREAS, a Preliminary Official Statement (the "Preliminary Official Statement'), a
form of the final Official Statement ("Official Statement') offering the Series 1998 Bonds for sale
and a Bond Purchase Agreement have been presented to and are before this meeting.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of
Fayetteville, Arkansas:
Section 1 . Construction of Additional Convention Facilities. That the construction
of the Additional Convention Facilities be accomplished. The Mayor and City Clerk are hereby
authorized to take or cause to be taken all action necessary to accomplish the project and to execute
all required documents.
Section 2. Issuance and Sale of Series 1998 Bonds. That under the authority of the
Constitution and laws of the State of Arkansas, including particularly the Act and the Tumback
Law, City of Fayetteville, Arkansas Hotel and Restaurant Gross Receipts Tax Bonds, Series 1998,
are hereby authorized in the total principal amount of$6,950,000, the proceeds of the sale of which
are necessary to provide sufficient funds, together with other funds available, to pay the cost of
constructing the Additional Convention Facilities in the form of a multipurpose, civic center for
meetings, conventions, exhibitions, entertainment events, related uses and parking, establishing a
debt service reserve for the Series 1998 Bonds, and paying the costs of issuing the Series 1998
Page 3
Ordinance No. 4121
Bonds. The Series 1998 Bonds shall be sold to Llama Company and Stephens Inc. (the
"Purchasers") pursuant to the terms and conditions of a Bond Purchase Agreement in substantially
the form exhibited at this meeting, upon the terms and conditions set forth therein. The Mayor is
hereby authorized to confer with the Purchasers of the Series 1998 Bonds in order to complete the
bond Purchase Agreement and he is further authorized to execute the Bond Purchase Agreement
on behalf of the City, and executed copy of which shall be filed with the permanent records of the
City.
Section 3. Details of Series 1998 Bonds. That the Series 1998 Bonds shall mature on
October 1 of the years and in the principal amounts stated in the Bond Purchase Agreement. That
the Series 1998 Bonds shall bear interest payable semiannually on April I an d October 1 of each
year at prevailing market rates as stated in the Bond Purchase Agreement but not to exceed an
average coupon of five and seventy five hundredths percent (5 .7%). That the Series 1998 Bonds
shall be sold at the prices set forth in the Bond Purchase Agreement.
Section 4. Preliminary Official Statement and Official Statement. That the Mayor
is hereby authorized to approve the Preliminary Official Statement, in substantially the form
submitted at this meeting with such changes as shall be approved by the Mayor, and to deem it
final as of its date within the meaning of Rule 15c2-12 of the Securities and Exchange Commission
and its distribution is hereby authorized. That there be, and there is hereby, authorized the
distribution to various prospective and actual purchasers of the Bonds of a final Official Statement
in the name of the Issuer, describing the City, the Series 1998 Bonds, the Supplemental Indenture,
and setting forth such other information as may be determined to be necessary to desirable by the
Purchasers. The Mayor is authorized to execute such Official Statement on behalf of the City and
to confer with the Purchasers of the Series 1998 Bonds in order to complete the Official Statement.
Section 5. First Supplemental Trust Indenture. That to prescribe the terms and
conditions upon which the Series 1998 bonds are to be executed, authenticated, issued, accepted,
held, and secured, the Mayor is hereby authorized and directed to execute and acknowledge a First
Supplemental Trust Indenture by and between the City and Bank of Oklahoma N.A., as Trustee,
and the City Clerk is hereby authorized and directed to execute and acknowledge the Supplemental
Indenture and to affix the seal of the City thereto, and the Mayor and City Clerk are hereby
authorized and directed to cause the Supplemental Indenture is hereby approved in substantially
the form submitted to this meeting, including, without limitation, the provisions of the
Supplemental Indenture pertaining to the maintenance of the City's 1997 Hotel and Restaurant
Gross Receipts Tax at the rate of not less than 1 %, the deposit and handling of revenues, and the
terms of the Series 1998 Bonds. The Mayor is authorized to confer with the Trustee and others in
order to complete the Supplemental Indenture and to execute and deliver the same on behalf of the
City in substantially the form presented to this meeting, with such changes as shall be approved
by him, his execution to constitute conclusive evidence of such approval.
Section 6. Execution and Delivery of Documents. That the Mayor and City Clerk
are hereby authorized and directed to do any and all things necessary to effect the execution and
Page 4
Ordinance No. _ 4 12 1
delivery of the Bond Purchase Agreement, the Supplemental Indenture, a continuing Disclosure
Agreement, and a Tax Regulatory Agreement providing for the exclusion of interest on the Series
1998 Bonds from federal income taxation, and the performance of all obligations of the City under
each such agreement, the issuance, execution, sale, and delivery of the Series 1998 Bonds, the
distribution of the Preliminary Official Statement and an Official Statement, and the performance
of all acts of whatever nature necessary to effect and carry out the authority conferred hereby.
Section 7. Tax-Exempt Obligations. The Series 1998 Bonds are hereby designated
as a "Qualified Tax-Exempt Obligation" within the meaning of Section 265(b)(3) of the Internal
Revenue Code of 1986, as amended (the "Code"). The City represents that the aggregate principal
amount of its Qualified Tax-Exempt Obligations (excluding "Private Activity Bonds" within the
meaning of Section 141 of the Code,) including those of its subordinate entities, issued in calendar
year 1998 is not expected to exceed $ 10,000,000.
Section 8. Clerk to File Documents. 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 meetings at which this
Ordinance is adopted, for inspection by any interested persons, a copy of the Bond Purchase
Agreement, the Supplemental Indenture, and the Preliminary Official Statement in the forms
presented to the City Council at this meeting.
Section 9. Powers of Commission. That the powers and authority of the Commission
under the Act and the Tumback Law and prior ordinances of the City and all actions of the
Commission taken or to be taken thereunder with respect to the Series 1998 Bonds, are hereby
ratified, confirmed, and continued.
Section 10. No Rights Until Series 1998 Bonds Delivered. That this Ordinance shall
not create any right of any kind and no right of any kind shall arise hereunder or pursuant hereto
until the Series 1998 Bonds authorized by this Ordinance shall be issued and delivered.
Section 11 . Severability. That the provisions of this Ordinance are hereby declared to
be separable and if any provision shall for any reason be held illegal or invalid, such holding shall
not affect the validity of the remainder of this Ordinance.
Section 12. Conflicts Repealed. That all ordinances and parts of ordinances in conflict
herewith are hereby repealed to the extent of such conflict.
1 . 10 ldopted:September 15th, 1998.
Yq APPROVED
a " ' Fred Hanna, Mayor
�A TS
Olt
l of pit t
By: ,
Heather Woodruff, Ci Jerk
Promotion Commission (the
"Commission] and levied a one
cent tae upon the gross re- I r
carpis of hotels, motels, restau-
rants, cafes, cafeterias and oth.
er establishments providing ,
ledging or selling food for STATE OF ARKANSAS
premises consumption in the
Ciry (the "1977 Hotel and Res- SS.
isurant Gross Receipts Tax")
pursuant to Act No. 185 of County of Washington
1965, as amended ("Act No.
1851; and
WHEREAS, the City issued its I, RANDALL COPE, hereby certify that I am the publisher of THE
1 Continuing Education Center NORTHWEST ARKANSAS TIMES, a daily newspaper having a second
Revenue Bonds, Series 1979
(the "1979 Bonds"), under the class mailing privilege, and being not less than four pages of five
authority of Act No. 185 and columns each, published at a fixed lace of business and at fixed (daily)
Act. No 380 of 1971 ("Act No. P P y�
L 380") and particularly under intervals continuously in the City of Fayetteville, County of Washington,
Ordinance No. 2567 of the City,
duly adopted and passed Octo- Arkansas for more than a period of twelve months, circulated and
ber22, 1979; and distributed from an established place of business to subscribers and
WHEREAS, the City of Fayette- readers generally of all classes in the City and County for a definite price
villa, Arkansas (the 'City") con-
structed the convention facili. for each copy, or a fixed price per annum, which price was fixed at what
ties known as the Continuing is considered the value of the publication, based upon the news value
Education Center (the "Conven-
tion Facilities") with the pro. and service value it contains, that at least fifty percent of the subscribers
weeds of then Fa Bonds, thereto have aid for their subscriptions to the newspaper or its agents
which Convention Facilities are P P
leased to the Board of Trustees or through recognized news dealers over a period of at least six months
of University of Arkansan; and that the said newspaper publishes an average of more than forty
WHEREAS, the 1979 Bonds percent news matter.
were refunded and redeemed
when the City issued its
$2,675,000 Hotel and Restau-
rant Gross Receipts Tax Re. I furtr certify that the legal notice attached in the matter of
funding Bonds, Series 1995
(the "1995 Bonds"); and ���
WHEREAS, the Indenture
securing the Bonds pro-
vides for the issuance
nce bonds
on a parity with the 19955 Bonds was published in the regular daily issue of said newspaper for
to construct additional conven. consecutive Insertions as toll w5:
tion facilities; and
WHEREAS, at a Special Elm- The first Insertion On the / day of 19
tion held on August 5, 1997, the
electors within the City ap-
proved the issuance of not to the second insertion on the day of 19
exceedamount of Hot ,000 principal
amount of Hotel and Restau-
rant Gross Receipts Tax Bonds
to finance the construction of the third insertion on the day of 19
the Fayetteville TownCenter as
a new, multi-Purpose, civic cen-
ter for meetings, conventions. and the fourth Insertion On the day of 19 —
ORDINANCE NO. 4121 exhibitions, entertainment
events, related uses and park-
AN ORDINANCE PROVIDING ing (-Additional Convention Fa-
FOR THE ISSUANCE OF HO- cilibes"); and
TEL AND RESTAURANT /�&w
WHEREAS, the Commission
GROSS RECEIPTS TAX has recommended to the City Publisher / eneral Manager
BONDS, SERIES 1998, BY Council of the City, and the City
THE CITY OF FAYETTE- Council has determined, that it
VILLE, ARKANSAS FOR THE is in the best interest of the City 401
PURPOSE OF PROVIDING FF to proceed with the issuance of
NANCING FOR THE ACOUISI- he 1998 Bonds and construct Sworn to and subscribed before me on this day of
TION, CONSTRUCTION AND the Additional Convention Fa-
EOUIPPING OF ADDITIONAL attires; and (�//7�{�j
CONVENTION FACILITIES 19 f��
AND RELATED PARKING FA- WHEREAS, the City is author.
CILITIES; AUTHORIZING THE ized under the Advertising and
SALE OF THE SERIES 1998 Promotion Commission Act, as
BONDS; PROVIDING FOR amended, Arkansas Code An- ` y 7((([! f{y 7t&
THE PAYMENT OF THE PRIN- notated (Rept. 1997) §§26-75-
CIPAL OF AND PREMIUM, IF 601 through 618, (Rept. 1997) 1
ANY, AND INTEREST ON THE (the "Aa'1 and the a§§1 ounry vyy Ci1LtlP.rin BILSBS x O< Public
SERIES 1998 BONDS FROM Tourist Meeting and Entertain. 1 Stats; oE A 1 clary
THE CITY'S 1977 HOTEL AND i)t1C, )
RESTAURANT GROSS RE- mens Facilities Assistance Law, My CGmmIsslDn ExpITBS: W n1t^CO
CEIPTS TAX AND OTHER as amentletl• Arkansas Code 0$
*Fires
Annotated §§ 14- 171 -201
SOURCES; ESTABLISHING
through 217" ,Turnback Law")
8 Supp. `7 My CommjssionE
GCICCCC[CCC
THE PRINCIPAL MATURI- cCcccccccccccccC
TIES, INTEREST RATES AND 1997) (the ) to CCCCCC
PRICE OF THE SERIES 1998 issue and sell revenue bonds Fees for Printing $
BONDS; PRESCRIBING OTH- for the Purpose at constructing ••• •-• • - - - - - •-- - -
ER MATTERS RELATING the Additional Convention Fa.
alities. and
THERETO. COSI Of Proof....... .. ......... .............. ............ ..... ....$
WHEREAS, under the authority WHEREAS, to secure funds
of Ordinance no. 2310, duly necessary (together with the
moneys to be contributed by Total.................. ..... ......... ... .. ... .... .............. ........$ "
adopted and passed March i ,
adoptas amended by Ord i- the Commission and money
1977, and property to be contributed
nance No. 2315, approved on
City)the
March 15, 1977, the City estab. d ionalConvencetiontt
facilities. to
lished a City Advertisinq and
establish a reserve fund and to Section 3. Details of Series >:
finance the printing, legal, un- 1998 Bonds. That the Series
derwriting, and other costs inci- 1998 Bonds shall mature on
dental to the issuance of reve- October 1 of the years and in
nue bonds for this purpose, the the principal amounts stated in
City has determined to issue the Bond Purchase Agreement.
revenue bonds in an aggregate That the Series 1998 Bonds STATE OF ARKANSAS '
principal amount of $6,950,000 shall bear interest payable
Hotel and Restaurant Gross semiannually on April 1 and
Receipts Tax Bands, Series October 1 of each year at pre- S3.
1998 (the -Series 1998 vailing market rates as stated in County of Washington
Bands"): and the Bond Purchase Agreement
WHEREAS, the City has deter-
but not to exceed an average
mined to issue the Series 1998 upon of and seventy five y
pursuant to a nundereths percent 5.750. I, RANDALL COPE, herebyCertrf that I am the publisher of THE
Bonds under and
P That the Series 1998 Bonds NORTHWEST ARKANSAS TIMES, a dailynewspaper havinga second
First Supplemental Trust Inden- shall be sold at the prices set papa
ture (the "Supplemental Inden- forth in the Bond Purchase class mailingprivilege, d being lthan fpages of five
tura") by and between the City Agreement. p ge, ang not less an our p g
and Bank of Oklahoma N.A., columns each, published at a fixed place of business and at fixed (daily)
Tulsa, Oklahoma, as Trustee genion 4. Preliminary Official intervals continuous) in the Cit of Fayetteville, Count of Washington,
(the •Tmsfee'), a torn of which Statement and Official State- y y y y g
has been presented to and is ment. That the Mayor is hereby Arkansas for more than a period of twelve months, circulated and
before this meeting: and authorized to approve the Pre-
liminary Official Statement, in distributed from an established place of business to subscribers and
WHEREAS, Preliminary nary generally substantially form submitted
cal Statementt readers of all classes in the Ci and Countyp for a definite rice
(the -Preliminary at this meeting With such
Official Statement"), a form of changes as shall be approved for each copy, or a fixed price per annum, which price was fixed at what
the final Official Statement ('Of- w ma Mavor-. and to deem it fi-
ficial Statement") offering the -nal as of its date within the is considered the value of the publication, based upon the news value
Series 1996 Bonds for sale and meaning of Rule 15c2-12 of the and service value it contains, that at least fin percent of the subscribers
a Bond Purchase Agreement SecudtieS,_a•nd Exchange Com- y
have been presented to and mission,a� ��gg its distribution is thereto have paid for their subscriptions to the newspaper or its agents
are before the meeting. hereby $6th-orized. That there or through recognized news dealers over a period of at least six months
be, and.`I ere is hereby, author-
NOW THEREFORE, BE rr OR" ized the distribution to various and that the said newspaper publishes an average of more than forty
DAINED by the City Council of prospective and actual put-
the City of Fayetteville, Arkan- chasers of the Bonds of a final percent news matter.
sea: Official Statement in the name
Section 1 . Construction of of the Issuer, describing the
Additional Convention Facili. City, the Series 1996 Bonds,
flee. That the construction of the Supplemental Indenture,and setting forth such other in- I further Certifw that the legal notice attached in the matter of
the Additional Convention Fa- formation as may be deter-
cilities be accomplished. The mined to be necessary or desir-
Mayor and City Clerk are here- able by the Purchasers. The
by authorized to take or cause Mayor is authorized to execute
to be taken all action necessary such Official Statement on be-
to accomplish the project and to half of the City and to confer was published in the regular daily issue of said newspaper for
execute all required docu- With the Purchasers of the Ser-
ments. ies 1998 Bonds in order to consecutive insertions as follows:
complete the Official State. O
Section 2. 19and Sale . o
01 Series 199988 Bonds. That The first insertion on the day of 19
under the authority of the Con- Section S. First supplemental
stitution and laws of the State Trust Indenture. That to pro-
of Arkansas, including particu- scribe the terms and conditions the second insertion on the day of 19
lady the Act and the Tumback upon which the Series 1998
Law, City of Fayetteville. Arkan- Bonds are to be executed, au.
sas Hotel and Restaurant thenficated, issued, accepted, the third Insertion On the day of 19
Gross Receipts Tax Bontls, held, and severed, the Mayor is
Series 1998, are hereby author- hereby authorized and directed
amot the total principal to execute and acknowledge a and the fourth insertion on the day Of 19
amount of $6,950,000, the pro- First Supplemental Trust In-
ceeds of the sale of which are denture by and between the
necessary to provide sufficient City and Bank of Oklahoma,
funds, together with other funds N.A., as Trustee, and the City .
available, to pay the cost of Clerk is hereby authorized and
constructing the Additional directed to execute and ac. jai L
Convention Facilities in the knowledge the Supplemental Publisher Snare) Manager
form of a multipurpose. civic Indenture and to affix the seal
center for meetings, conven- of the City thereto, and the
tions, exhibitions, entertainment Mayor and City Clerk are here-
events, related uses and park- . by authorized and directed to
ing, establishing a debt service cause the Supplemental Inden- Sworn to and subscribed before me On this day of
reserve for the Series 1998 ture to be accepted, executed, � " /
Bonds, and paying the costs of and acknowledged nt the �J. zln {gyp ,f �/ y
issuing the Series 1998 Bonds. Trustee. The Supplemental lin �r �L1l ����/.iL/l_
The Series rmi Bands shall denture is hereby approved in
ilY
St sod!phe to Llama Company and substantially the form submit-
Stephens Inc. (the "Purchas- ted to this meeting, including, '[y(�]/ 0yj',
ars' pursuant to the terms and Without limitation, the provisions / '�' �[�..�- !/
conditionsam*)puns of a Bond Purchase of the Supplemental Indenture
Agreement in substantially the pertaining to the maintenance ; , •- r
form exhibited at this meeting, of the City's 1977 Hotel and x, C-,2t:ft= •-tom—
upon the terms and conditions Restaurant Gross Receipts Tax y $: J, tit, US r',rkunsa5f`lOtc Public
set forth therein. The Mayor is at the rate of not less than 1%, M Commission Expires: ); Y°( L .•m C11u111V f(
hereby authorized to confer the deposit and handling of rev- Z T, - -0 -wp$ '
with the Purchasers of the Ser- enues, and the terms of the ); - p �•
ies 1998 Bonds in order to >, b1y CM»nusston t"x trr_ti ) f < cc`z '•
complete the Bond Purchase Series 1998 Bonds. The Mayor -
P is hereby authorized to confer ,. !«.«t«�`
Agreement and he is further au- with the Trusteeand others in
thorized to execute the Bond order to complete the Supple- Fees for Printing $
Purchase Agreement on behalf mental Indenture and to exe-
of the Ciry, an executed copy of cute and deliver the same on
which shall be filed with the behalf of the- City in substantial- Cost of Proof................. ............ .. ....... ..... ..... ... ..$
permanent records of the City. ly the form presented to this
meeting, with such changes as
shall be approved by him. his Total.... .................... .. ......... ..... ... .............. .... .....$
execution to constitute conclu-
sive evidence of such approval.
STATE OF ARKANSAS
SS.
County of Washington
of the meetings-at this'
Ordinance is adopted, for in-
spection -
spection by any interested per I, RANDALL COPE, hereby certify that I am the publisher of THE
section 6. Execution and De- son, a copy of the Bond Pur- f NORTHWEST ARKANSAS TIMES, a daily newspaper having a second
livery of Daeuments. That the chase Agreement, the Supple-
Mayor and the City Clerk are mental Indenture, and the Pre- class mailing privilege, and being not less than four pages of five
hereby authorized and directed liminary Official Statement in
to do any and all things neces- the forms presented to the Ciry columns each, published at a fixed place of business and at fixed (daily)
sary to effect the execution and Council at this meeting. intervals continuously in the City of Fayetteville, County of Washington,
delivery of the Bond Purchase
Agreement, the Supplemental section S. Powers of Com- ' Arkansas for more than a period of twelve months, circulated and
sure Agreement,
a menu, an D Taxlo- mission. That the powers and distributed from an established place of business to subscribers and
sure Agreement, antl a Tex authority of the Commission un-
Regulatory Agreement provid- der the Act and the Turnback '. readers generally Of all classes In the City and County for a definite price
ing for the exclusion of interest Law and prior ordinances of the
on the Series 1998 Bonds from City and all actions of the Com- for each copy, or a fixed price per annum, which price was fixed at what
federal income taxation, and mission taken or to be taken !
the performance of all obliga- thereunder with respect to the is considered the value of the publication, based Upon IhO news value
tions of the City under each Series 1998 Bonds, are hereby and service value it contains, that at least fifty percent of the subscribers
such agreement, the issuance, ratified, confirmed, and contin-
execution, sale, and delivery of „ed, thereto have paid for their subscriptions to the newspaper or its agents
the Series 1998 Bonds, the des- or through recognized news dealers over a period of at least six months
lribution of the Preliminary Oil!- Section 10. No Rights Until
tial Statement and an Official Series 1996 Bonds Delivered. I and that the said newspaper publishes an average of more than forty
Statement, and the perform- That this Ordinance shall not percent news matter.
ante of ell acts of whatever na- create any right of any kind and
lure necessary to effect and no right of any kind shall arise
" carry out the authority confer- hereunder or pursuant hereto
red hereby. until the Series 1998 Bonds au-
thorized by this Ordinance shall I further certif that the legal notice attached in the matter of
Section T. Tax-Exempt Ohli- be issued and delivered.
gations. The Series 1998 �I
Bonds are hereby designated Section 11 . Severability. That / �C �G ✓)n�J . /�
as a -Qualified Tax-Exempt Ob- the provisions of this Ordinance
ligation' within the meaning of are hereby declared to be sep- , /
Section 265(b)(3) of the Internal amble and if any provision shall
Revenue Code of 1986, as for any reason be held illegal or was published in the regular daily issue of said newspaper for
amended (the "Code") The City invalid, such holding shall not consecutive insertions as follows:
represents that the aggregate affect the validity of the remain-
principal amount of its Qualified der of this Ordinance.
iTax-Exempt Obligations (ex- The first insertion on th d"- day of 19 YX
lcluding "Private Activity Bonds' Section 12. Conflicts Rem
within the meaning of Section pealed. That all ordinances and
141 of the Code which are not pans of ordinances in conflict
-Qualified 501 (c)(3) Bonds" herewith are hereby repealed the second insertion on the day of 19
within the meaning of Section to the extent of such conflict.
145 of the Code), including
itiose of its subordinate entities. Adopted September 15th, the third insertion on the day of 19
.issued in calendar year 1998 is 1998.
not expected to exceed
$10,980,000. APPROVED: and the fourth insertion on the day of 19
Section 6. Clerk to File Docu- Fred B. Hanna, Mayor
ments. That the City Clerk is
hereby authorized and directed ATTEST: /I7�
to file in the office of the City
Clerk. as a part of the minutes . Heather Woodruff, City Clerk
�Publishe / General Manager
Sworn to and subscribedbefore me on this day of
54e ,�
i NotarY Public. state Of Arkansa. tory Public
My Commission Expires: wizial t tonColi
ind nty
y Commission ExPirel
a «uaac««uaau«tat««t«t
Fees for Printing ......... ..... .... ......... .......... ..........$
Costof Proof....... .. ... ...... ..... ... ...... ............ ..... ....$
Total...... ..... ...... .... .. . .. ......... .. ... .... ..... ........ .... .....$