HomeMy WebLinkAbout1966-08-22 Minutes691
Director Kerlin moved that the next regular meeting be held on Tuesday, September 6, 1966, since the
Next reg regular meeting date of Monday, September 5, 1966 was on Labor Day.
meeting September The motion was seconded by Director Melton and passed unanimously.
6, 1966 There being no further business, Director moved to adjourn. The motion was seconded by Director Kerlin
and passed unanimously, whereupon the Acting Mayor declared the meeting adjourned.
APPROVED@
✓ 2irtSYLVIA $1KARTZ, ACTING MA
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Special Meeting. The Board of Directors of the City of Fayetteville, Arkansas, met in special session at its regular
meeting place in Fayetteville, Arkansas, at 7:30 P.M., on Monday, August 22, 1966.
There were present Mayor Don Trumbo, City C1erk.George J. Davis, and Directors: Kerlin, Swartz, McFerran,
Melton, Christie, and Dunn.
Absent: None.
Purpose of Spedial The Mayor announced that this was the time set for hearing protests, objections and suggestions concern
Meeting. Ordinance•No. 1508, passed and approved by the Board of Directors of -the City of Fayetteville, Arkansas,
on August 8, 1966, concerning the issuance of Waterworks and Sewer Revenue Bonds, Series 1966 authorized
Public Hearing on and ordered issued thereby. The Mayor also stated that a copy of t#e Ordinance together with a notice of
Bond Ordinbnce the adoption thereof, the contemplated issuance of the bonds, and of the meeting on this date for hearin;
No. 1508 I protests had been duly published as required by law. He then called upon anyone present who desired to di
so to present protests, objections, or suggestions.
There was nobody present•who made any objections, suggestions, or protested in any manner.
Other purp6ses of The Mayor reported that other purposes of the special meeting were to discuss the 6ontract of the Fiscal
Special Meeting. Agent, Report from the City Manager on the Status of Ambulance Service, and to discuss the employing of
an Engineer for the construction of streets around the new Raney Junior High School, and that all Beard
Members had been notified by U. S. Mail and by telephone.
'Letter and The City Manager read a letter from T. J. Raney & Sons, Little Rock Arkansas, Fiscal Agent for the City
proposed ofFFayetteville, Arkansas, for the Proposed $4,300,000.00 City of Fayetteville, Arkansas, Waterworks and
Contract rith Sewer Revenue Bonds dated September 1, 1966, requesting and outlining a new contract with the City of
T, J. Raney & Sons. Fayetteville, Arkansas.
The letter and proposed contract was spread on the minutes and reads as follows:
COPY OF LETTER FROM T, J, RANEY & SONS
August 22, 1966
Mr. Gerald Fox
City Manager
Fayetteville, Arkansas
Re: Proposed $4,300,000 City of Fayetteville, Arkansas Waterworks.
and Sewer Revenue Bonds dated September 1, 1966
Dear Sir:
As you know, T.J. Raney & Sons, Little Rock, Arkansas (called "Raney") has heretofore entered into a
financial consultant contract with the City of Fayetteville, Arkansas (called "City"), a copy of
which is attached hereto and made a part hereof and referred to herein as the "existing contract".
The City proposes to issue $4,300,000 of Waterworks and Sewer Revenue Bonds dated September 1', 1966
(called "initial bonds"). Raney has worked with the City in arranging for the sale of the initial
' bonds to, and in wording the terms of the purchase contract with Republic National Bank of Dallas,
Dallas, Texas (called "Republic"). It is contemplated that the initial bonds may be refunded and
it is contemplated that additional bonds may be issued to complete the construction of the proposed
improvements to the Waterworks and Sewer System (called "additional bonds"),, -either in addition to
the initial bonds or in connection with the refunding of the initial bonds, -and that any additional
bonds may be refunded. The•overall transaction is such that the existing contract should be
modified and continued and that is the purpose of this letter agreement.
Therefore, in consideration of the work heretofore performed and advice heretofore given to the City
by Raney in connection with the sale of the bonds, of the mutual covenants and undertakings of the
parties, and for other good andvaluable consideration, the receipt of which is hereby acknowledged
by the parties hereto, Raney and the City agree as follows:
1. The City shall pay Raney at the time of the delivery of the initial bonds to Republic a fee of
$7.00 per thousand in principal amount of initial bonds, less the $19,325.00 being paid by the City
to Republic for expenses.
2. If any refunding bonds are issued to refund the initial bonds, Raney will be Maid a fee of
$7.00 per thousand of principal amount of the refunding bonds issued, less what Raney is paid under
Paragraph 1 above.
ITEM 3:
A. If the additional bonds are sold and delivered to Republic pursuant to the terms of the
purchase contract between the bonk and the city, the city will pay all costs and Raney shall be
paid no fees and shall have no obligations on expenses.
B. If, on the other hand, the additional bonds are sold and delivered to a purchaser other
than Republic, Raney shall be paid a;2ee of five dollars ($5.00) per thousand over the principal
amount of the additional bond.
ITEM 4:
A. If any refunding bonds are issued to refund additional bonds sold to Republic, Raney shall
be paid a fee of five dollars ($5.00) per thousand of principal amount of the refunding bonds
issued to refund additional bonds.
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Raney
act with
Raney
B. If any refunding bonds are issued to refund -additional bonds sold to another, Raney shall not
paid any fee in connection with such refunding bonds and shall have no obligation with reference
expenses.
5:
In connection with any payment with Raney under two, 3B, or 4A, Raney is to pay the followi&g
xpenses in connection with -the additional bonds or fefunding bonds then being issued.
(a) Printing of the bonds;
(b) Trustee's fee;
(c) B&nd approving attorneys' fee;.:
(d) : Newspaper publication costr�ff all,orAnarwvv-sanTJyal.l resolutions
necessary to the issuance of.the proposed water and sewgr bands;
(e) Newspaper publication costs of the Notice of Sale; and
(f) Publication costs of advertising the bonds for sale in the DAILY BOND
BUYER, the leading trade paper for municipal bond dealers.
The existing contract, as modified hereby, is continued in full force and effect. It is understood
hat the Contract between Raney and the City applies tb Waterworks and Sewer.Revenue Ponds issued to
ecomplish the construction of the proposed improvements to the W*terworks and Sewer System (as set out
n the,1965 Engineering Reports of John E. Mahaffey & Associates, Inc. and L. M. McGoodwin, Consulting
ngineers, now on file with the City Clerk, Fayetteville, Arkansas) and shall include the $4,300,000
old to Republic, additional bonds issued. to complete the construction of the proposed improvements,
nd bonds issued to refund the initial bonds and any additional bonds.
f the above is satisfactory, please sign below in the indicated space and this will constitute an
greement between the City and Raney, fully binging in accordance with its terms.
AND AGREED to this 22nd day of August, 1966.
ty
(SEAL)
Yours very truly,
T. J. RANEY & SONS
By .
General Partner
CITY OF AYE�I�TfcILLE, A ANSAS
BY i
.
Director
Melton
moved that
the Mayor and
City
Clerk be and
they are
hereby
authorized to execute a
new
contract
with T.
J. Raney
& Sons, Little
Rock,
Arkansas as
outlined
above,
and recommended by the
City
1•fanager.
The motion was seconded by Director Kerlin and passed unanimously.
lance Director McFerran moved to extend the period of setting up ambulance service from September 1, 1966,to
ice October 1, 1966.
od The motion was seconded by Director Melton and passed unanimously.
nded
Director Melton moved that the City Manager be and he is herebyyauthorized to employ an i:ngineer to
orized prepare plans and specifications for street construction around the new Raney Junior High School.
oyment The motion was seconded by Director Swartz and passed unanimously.
neer
streets There being no further business, Director Meltion moved to adjourn.
y Jr. Hi. The motion was seconded by Director Swartz and passed unanimously, whereupo the Mayor declared the
of meeting adjourned.
APFF.O D:
ATT �j.�T
DON TRUMB02 MAYOR
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