HomeMy WebLinkAboutORD 1978-072 ORDINANCE N0. 78-72
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
GR.APEVINE, TEXAS , AUTHORIZING THE ISSUANCE OF
$950 , 000 GENERAL OBLIGATION REFUNDING AND IMPROVE-
MENT BONDS , SERIES 1978-A, AND ENACTING OTHER
PROVISIONS RELATING TO THE SUBJECT
WHEREAS , the following General Obligation Certificates of
`"'` "` Obligation of said City are presently outstanding :
$450, 000 City of Grapevine, Texas , General Obligation
�. .:. Certificates of Obligation, Series 1978 , dated
October l , 1978 , numbered consecutively from
1 through 90 in the denomination of $5 , 000
each, maturing on October 1 in each of the
years 1981 through 1989 , bearing interest from
their date, until maturity or redemption, at
the following respective rates and for the
periods indicated: Six and One-Half percentum
(6-1/2%) per annum for the period beginning
October l, 1978 to April l , 1979 , at the rate
of Seven percentum (7%) per annum for the
period beginning April l , 1979 to October l ,
1979 , and at the rate of Eight (8%) per annum
for the period beginning October 1 , 1979 , to
the respective maturity dates of said Certi-
ficates , said interest being payable on October
l , 1979 , and semi-annually thereafter on each
April 1 and October 1 while outstanding, with
an option of prior redemption on all of said
Certificates prior to their scheduled maturities
in whole or in part at any time for the principal
amount thereof plus accrued interest to the date
fixed for redemption.
'� $200 , 000 City of Grapevine , Texas , General Obligation
Certificates of Obligation, Series 1978-A, dated
October 1 , 1978 , numbered consecutively from
1 through 40, in the denomination of $5 , 000
' each, maturing on October 1 in each of the years
1990 through 1993 , bearing interest from their
date until maturity or redemption at the following
respective rates and for the periods indicated :
Six and One-Half percentum (6-1/2Q/o) per annum
for the period beginning October l , 1978 to
April l , 1979 , at the rate of Seven percentum
(7%) per annum for the period beginning April 1. ,
1979 to October l, 1979 , and at the rate of Eight
percentum (8%) per annum for the period beginning
October l, 1979 , to the respective maturity dates
of said Certificates , said interest being payable
on October l, 1979 , and semi-annually thereafter
on each April 1 and October 1 while outstanding,
with an option of prior redemption on all of said
Certificates nrior to their scheduled maturities
in whole or in part at any time for the princi.pal
�� amount thereof plus accrued interest to the date
fixed for redemption.
„�,£,� WHEREAS, the City Council has found and determined and hereby
finds and determines that it is imperative, necessary and in the public
interest that the "City of Grapevine, Texas , General Obligation Certi-
ficates of Obligation, Series 1978 , " dated October l, 1978 , in the amount
of $450, 000, and the "City of Grapevine, Texas , General Obligation
Gertificates of Obligation, Series 1978-A, " dated October l , 1978 , in the
amount of $200, 000 (hereinafter collectively called the "Outstanding
Obligations") 've refunded pursuant to the terms of this ordinance thereby
extending the maturities thereof and reducing the interest rate thereon,
and, accordingly, full , adequate and proper consideration and ":benefit
therefor having been and being hereby found and determined, and with the
consent and a.greement of the owners of the Outstanding Obligations
having been had, obtained and received, the Ci�y Council hereby
adopts , passes and enacts this ordinance;
WHEREAS , the following was among the purposes and the
amount authorized, the amount previously issued and the amount of
bonds being issued pursuant to this Ordinance, which bonds were duly
and favorably voted at an election held in said City of November 23 ,
1971 :
Amount Amount Amount
Purpose Voted Previously Issued Being Issuea
Streets $900 , 000 $600, 000 $300 , 000
�� ..
WHEREAS , the City Council considers it in the interest of the
City at this time to authorize the issuance and delivery of the b�nds
in the amounts thus reflected and for the purposes stated, all in a
single issue, and all in accordance with Article 717k-3 , V.A.T. C . S . ;
and
WHEREAS , it is officially found and determined that this
meeting is open to the public as required by law, and that public
notice of the time, place and purpose of this meeting was given in the
manner prescribed in and as required by Article 625-17 , V.A.T. C . S . ;
THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE , TEXAS :
Section l . That said City' s coupon bonds to be designated
"City of Grapevine, Texas , General Obligation Refunding and Improvement
Bonds , Series 1978-A, " are hereby authorized to be issued and delivered
in accordance with the Constitution and laws of the State of Texas and
the Charter of the City, said bonds to be issued in the aggregate
principal amount of $950, 000 for the following purposes , to-wit :
� $450 , 000, being bonds numbered One (1) through Ninety (90) for the
purpose of paying off, discharging, cancelling and refunding all of
the indebtedness of and against the City represented by the "City of
�"" Grapevine, Texas , General Obli ation Certificates of Obligation, Series
1978 , " dated October l , 1978 ; �200 , 000 , being bonds numbered Ninety-
One (91) through One Hundred Thirty (130) for the purpose of paying off,
discharging, cancelling and refunding all of the indebtedness of and
against the City represented by the "City of Grapevine, Texas , General
Obligation Certificates of Obligation, Series 1978-A, " dated October l ,
1978 ; and $300, 000, being bonds numbered One Hundred Thirty-One (131)
through One Hundred Ninety (190) , for the purpose of constructing
improvements to the streets in said City, including necessary drainage
in connection therewith.
Section 2 . That said bonds shall be dated November 1 , 1978 ,
shall be numbered consectively from One (1) through One Hundred Ninety
(190) , shall be in the denomination of $5 , 000 each, and shall mature
and become due and payable on Pdovember 1 in each of the years , and in
the amounts , respectively, as set forth in the following schedule :
BOND NUMBERS YEARS
(all inclusive (November 1) �OUNT
� .�
1 - 5 1980 $25 , 000
6 - 10 1981 25 ,
11 - 15 1982 25 , 000
16 - 20 1983 25 , 000
"��' 21 - 25 1984 25 , 000
26 - 35 1985 50 , 000
36 - 45 1986 50 , 000
46 - 55 1987 50 , 000
56 - 65 1988 50 , 000
66 - 75 1989 50, 000
76 - 85 1990 50, 000
86 - 95 1991 50 , 000
96 - 105 1992 50, 000
106 - 115 1993 50 , 000
116 - 130 1994 75 , 000
131 - 145 199� 75 , 000
146 - 160 1996 75 , 000
161 - 175 1997 75 , 000
176 - 190 1998 75 , 000
Section 3 . That as to said bonds scheduled to mature on
and after November l, 1993 , said City shall have the right and option
to redeem such bonds prior to their scheduled matruities , in whole or
in part on November 1 , 1992 , or on any interest payment date thereafter,
for the principal amount thereof plus accrued interest to the date fixed
��,.,
for redemption.
At least thirty (30) days before the date fixed for any such
� redemption, the City shall cause a written notice of such redemption
to be published at least once in a financial publication published in
the City of New York, New York. By the date fixed for any such redemp-
tion, due provision shall be made with the paying agent for the payment
of the principal amount of the bonds to be so redeemed, plus accrued
interest thereon to the date fixed for redemption. If the written
notice of redemption is published, and if due provision for payment
is made, all as provided above, the bonds , which are to be so redeemed,
thereby automatically shall be redeemed prior to maturity, and they
shall not be regarded as being outstanding except for the purpose of
receiving the funds so provided for such payment .
Section 4. That said bonds shall bear interest from their
date, until maturity or redemption, at the following rates per annum:
Bonds maturing in each of the years 1980 through
1989 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 . 50%;
Bonds maturing in the year 1989 . . . . . . . . . . . . . . . . . . . 6 .45'/0;
Bonds maturing in the year 1990. . . . . . . . . . . . . . . . . . . 5 . 70%;
Bonds maturing in the year 1991. . . . . . . . . . . . . . . . . . . 5 . 80%;
�„...,
Bonds maturing in the year 1992 . . . . . . . . . . . . . . . . . . . 5 . 90%;
Bonds maturing in the year 1993 . . . . . . . . . . . . . . . . . . . 6 . 00%;
`��°� Bonds maturing in the year 1994. . . . . . . . . . . . . . . . . . . 6 . 05%;
Bonds maturing in the year 1995 . . . . . . . . . . . . . . . . . . . 6 . 10%;
Bonds maturing in the year 1996 . . . . . . . . . . . . . . . . . . . 6 . 20%;
Bonds maturing in the year 1997 . . . . . . . . . . . . . . . . . . . 6 . 30Q/o;
Bonds maturing in the year 1998. . . . . . . . . . . . . . . . . . . 6 . 40%;
with said interest to be evidenced by interest coupons payable on
November l, 1979 , and semiannually thereafter on each May 1 and
November l.
Section 5 . That the principal of and interest on said
bonds 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 proper bond or interest
coupons , at the Fort Worth National Bank, Fort Worth, Texas , which
place shall be the paying agent for said bonds .
Section 6. That each of said bonds and interest coupons ,
shall be signed by the imprinted or lithographed facsimile signature
of the Mayor of said City and countersigned by the imprinted or litho-
�-� graphed facsimile signature of the City Secretary of said City, and the
official seal of said City shall be impressed or printed or lithographed
�, on each of said bonds .
Section 7 . That the form of said bonds , including the form of
Registration Certificate of the Comptroller of Public Accounts of the
State of Texas to be printed and endorsed on each bond, and the form
of the interest coupon to be attached to said bonds , shall be, respec-
tively, substantially as follows :
(FORM OF BOND)
N0. $5, 000
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTY OF TARRANT
CITY OF GRAPEVINE, TEXAS
� GENERAL OBLIGATION REFUNDING AND IMPORVEMENT BOND
SERIES 1978-A
�,�
On November l , , the City of Grapevine, in
the County of Tarrant, State o Texas , promises to pay to bearer
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
November 1, 1979, and semi-annually thereafter on each May 1 and
November 1 while this bond is outstanding. The principal of this
bond and the interest coupons attached hereto shall be payable to
bearer, in lawful money of the United States of America, without
exchange or collection charges to bearer, upon presentation and
surrender of this bond or proper interest coupon, at The Fort
Worth National Bank, Fort Worth, Texas ,which place shall be the
paying agent for this issue of bonds .
This Bond is one of a Series of coupons bonds dated
November l, 1978 , issued in the principal amount of $950,000 for
the following purposes , to-wit : $450 , OOO ,being bonds numbered
One (1) through Ninety (90) for the purpose of paying off, dis-
charging, cancelling and refunding all of the indebtedness of and
"'"'° against the City represented by the "City of Grapevine, Texas ,
General Obligation Certificates of Obligation, Series 1978 , "
�„,N dated October l, 1978; $200, 000, being bonds numbered Ninety-One
(91) through One Hundred Thirty (130) for the purpose of paying
off, discharging, cancelling and refunding all of the indebt-
edness of and against the City represented by the "City of
Grapevine, Texas , General Obligation Certificates of Obligation,
Series 1978-A, dated October l, 1978 ; and $300 , 000 , being bonds
• numbered One Hundred Thirty-One (131) through One Hundred Ninety
(190) , for the purpose of constructing improvements to the streets
in said City, including necessary drainage in connection therewith.
The bonds of this Series scheduled to mature on and
after November l, 1993 , may be redeemed prior to their scheduled
maturities in whole or in part at the option of the said City on
November l, 1992, or on any interest payment date thereafter, for
the principal amount thereof plus accrued interest to the date
fixed for redemption. At least thirty (30) days before the date
fixed for any such redemption, the City shall cause a written
notice of such redemption to be published in the City of New
York, New York. By the date fixed for any such redemption, due
provision shall be made with the paying agent for the payment of
the principal amount of the bonds to be redeemed, plus accrued
interest thereon to the date fixed for redemption. If the written
notice of redemption is published, and if due provision for such
� " payment is made, all as provided above, the bonds which are to be
so redeemed, thereby automatically shall be redeemed prior to
� maturity, and they shall not bear interest after the date fixed
for redemption, and shall not be regarded as being outstanding
except for the purpose of receiving the funds so provided for
such payment.
It is hereby certified,. recited and represented that
the issuance of this bond and the Series of which it is a part is
duly authorized by law; that all acts , conditions and things
required to be done precedent to and in the issuance of this
Series of bonds , and of this bond, have been properly done and
performed and have happened in regular and due time, form and
manner as required by law; that sufficient and proper provisions
for the levy and collection of taxes have been made which, when
collected, shall be appropriated exclusively to the payment of
this bond, and the Series of which it is a part, and to the pay-
ment of the interest coupons thereto attached as the same shall
become due; and that the total indebtedness of said City, in-
cluding the entire Series of bonds of which this is one, does not
exceed any constitutional or statutory limitation.
�� In witness whereof, this bond and the interest coupons
attached hereto have been signed by the imprinted or lithographed
facsimile signature of the Mayor of said City and countersigned
'� by the imprinted or lithographed facsimile signature of the City
Secretary of said City, and the official seal of said City has
been duly impressed, or printed, or lithographed on this bond.
City Secretary, City o Mayor, City o Grapevine, Texas
Grapevine, Texas
(FORM OF REGISTRATION CERTIFICATE)
OFFICE OF COMPTROLLER � REGISTER N0.
THE STATE OF TEXAS X
I HEREBY CERTIFY that there is on file and of record in
my office a certificate of the Attorney General of the State of
Texas to the effect that this bond has been examined by him as
required by law, and that he finds that it has been issued in
conformity with the Constitution and laws of the State of Texas ,
and that it is a valid and binding obligation upon said City of
Grapevine, Texas, and said bond has this day been registered by me.
��' WITNESS MY SIGNATRUE and seal this
� .,
Comptro er o Pu ic Accounts
of the State of Texas
(FORM OF INTEREST COUPON)
N0. $
ON , 19
The City of Grapevine, in the County of Tarrant, S"tate of Texas ,
unless due provision has been made for the redemption prior to
maturity of the bond to which this interest coupon appertains ,
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 Fort Worth National
Bank, Fort Worth, Texas, said amount being interest due that day
on the bond, bearing the number hereinafter designated, of that
issue of City of Grapevine, Texas , General Obligation Refunding
and Improvement Bonds, Series 1978-A, dated November 1, 1978 .
.�..,.
Bond No.
� City Secretary Mayor
Section 8. That a special fund or account, to be
designated the "City of Grapevine, Texas , General Obligation
Refunding and Improvement Bonds , Series 1978-A, Interest and
Sinking Fund, " is hereby created and shall be established and
maintained by said 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 Bonds .
All ad valorem taxes levied and collected for and on account of
said Bonds shall be deposited, as collected, to the credit of
said Interest and Sinking Fund. During each year while any
of said Bonds or interest coupons appertaining thereto are
outstanding and unpaid, the City Council of said City shall com-
pute 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 bonds as such interest comes due, and
to provide and maintain a sinking fund adequate to pay the
principal of such Bonds as such principal matures (but never
less than 2Q/o of the original principal amount of said Bonds
� °� as a sinking fund each year) ; and said tax shall be based on
the latest approved tax rolls of said City, with full allowance
being made for tax delinquencies and the cost of tax collec-
�,.::� tion. Said rate and amount of ad valorem tax is hereby levied
and is hereby ordered to be levied, against all taxable pro-
perty in said City for each year while any of said Bonds 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 pro-
vide for the payment of the interest on and principal of said
Bonds , as such interest comes due and such principal matures ,
are hereby pledged irrevocably for s�ch payment , within the
limit prescribed by law.
Section 9. That the proportion of the balance on
hand in the Interest and Sinking Fund pertaining to the Out-
standing Obligations being refunded and accumulated for the
purpose of paying the principal of and the interest on the
Outstanding Obligations shall be transferred and credited to
the Interest and Sinking Fund created above for the Bonds ,
and there shall also be transferred the same proportion of
taxes uncollected from levies heretofore made for the Out-
standing Obligations , when and as collected; provided, how-
ever, that an amount equal to the unpaid interest accrued on
� the Outstanding Obligations to be date of their cancel-
lation, shall be paid to the holders of the Outstanding
�; .w Obligations from said funds .
Section 10. That bonds numbered One (1) through
Ninety (90) in the aggregate principal amount of $450 , 000
shall be delivered and exchanged in accordance with law for
a like principal amount of "City of Grapevine, Texas , General
Obligation Certificates of Obligation, Series 1978 ; " bonds
numbered Ninety-One (91) through One Hundred Thirty (130) in
the aggregate principal amount of $200, 000, shall be delivered
and exchanged in accordance with law for a like principal
amount of "City of Gra�evine, Texas , General Obligation
Certificates of Obligation, Series 1978-A; " bonds numbered
One Hundred Thirty-One (131) through One Hundred Ninety (190)
in the aggregate principal amount of $300 , 000 are hereby sold
in accordance with law and shall be delivered to First South-
west Compan , Dallas , Texas for the principal amount t ereo
and accrue interest to t e date of delivery.
Section 11. Printing of a true and correct copy of
the final approving opinion of Messrs . Hutchison, Price, Boyle,
and Brooks , Attorneys at Law, Dallas , Texas , on the reverse
side of each bond, with appropriate certificate pertaining
� „" thereto , executed by the facsimile signature of the City
Secretary of the City, is hereby approved and authorized.
�.� Section 12. It shall be the duty of the Mayor of
said City (or attorneys acting for the City) to submit the
record of the Bonds to the Attorney General of the State of
Texas for approval. The Mayor shall be and is hereby autho-
rized to take and have charge of all necessary records ,
orders and proceedings pending investigation by the Attorney
General and shall take and have charge and control of the
Bonds pending such approval and their registration by the
Comptroller of Public Accounts . The Comptroller shall and
is hereby requested to register bonds numbered One Hundred
Thirty-One (131) through One Hundred Ninety (190) , upon
approval thereof by the Attorney General . As to bonds
numbered One (1) through One Hundred Thirty (130) , the Comp-
troller shall and is hereby requested to register the bonds
only upon receipt for cancellation of all the Outstanding
Obligations and is requested to forward the Outstanding
Obligations when cancelled to the City Manager of the City
at the City Hall, Grapevine, Texas . Upon registration of
said Bonds , said Comptroller of Public Accounts (or a deputy
,�� designated in writing to act for said Comptroller) shall
manually sign the Comptroller' s Registration Certificate
prescribed herein to be printed and endorsed on each bond,
� and the seal of said Comptroller shall be impressed, or
printed or lithographed on each of said Bonds . The Mayor
and other officers of the City shall have the authority to
execute such documents and certificates in connection with
such bonds as may be considered necessary and appropriate by
the Mayor.
Section 13 . The City certifies that based on facts ,
estimates and circumstances expected to exist on the date of
the issue of the bonds it is not reasonable to anticipate
that the proceeds thereof will be used in a manner which
would cause them to be "arbitrage bonds" within the meaning
of Section 103 (c) of the Internal Revenue Code of 1954, as
amended, or regulations thereunder applicable thereto, and
the officers charged with such responsibilities in the
issuance of bonds are authorized and directed to make, execute
and deliver certifications as to facts , estimates and cir-
cumstances in existence as of the date of the issue of said
bonds and stating whether there are any facts , estimates or
circumstances which would materially change the City' s
present expectations. Additionally, the City covenants that
so long as the bonds are outstanding it will diligently
�'� comply with the requirements of Section 103 (c) of the Internal
Revenue Code of 1954, as amended, or regulations thereunder
�„ applicable thereto, so that the bonds will not at any time
become arbitrage bonds .
Section 14. That the form and substance of the Official
Statement, dated November 1, 1978, and presented to and con-
sidered at this meeting, is hereby in all respects approved
and adopted by the City Council, and the Mayor and the City
Secretary are hereby authorized and directed to execute the
same and to deliver appropriate numbers of executed copies
thereof to the purchasers of the bonds herein authorized and
described herein. The City Secretary is hereby authorized
and directed to include and maintain a copy of the Official
Statement thus approved among the permanent records of this
meeting.
Section 15. That the public importance of this measure
and the fact that it is to the best interest of the City to
make the exchange of the Outstanding Obligations for the Bonds
at the earliest possible date and to provide funds for the
construction of the improvements herein contemplated at the
earliest possible date constitutes an emergency and creates
a necessity for the immediate preservation of the public
°�' peace, health and safety of the citizens of the City, which
requires that this ordinance be passed and take effect as an
emergency measure, and it is accordingly ordained that this
w� ordinance shall be in full force and effect from and after
its passage, and that the meeting at which this ordinance
was passed was open to the public, and public notice of the
time, place and purpose of said meeting was given as required
by Article 6252-17 , V.A.T. C. S .
PASSED AND APPROVED this the 7th day of November, 1978 .
�
Mayor, C ty o Grapevine, Texas
�
ATTEST:
City Secr a
City of apevine, Te s •
APPROVED AS TO LEGALITY:
"'�"' City Attorney
City of Grapevine, Texas
�
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