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ORDINANCE NO. IL"
AN ORDINANCE CALLING A SPECIAL ELECTION TO VOTE
UPON THE QUESTION OF THE CITY OF JACKSONVILLE,
ARKANSAS ISSUING BONDS 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
BY ACT NO. 48 OF 1961, FOR THE PURPOSE OF PRO-
VIDING THE PERMANENT FINANCING OF THE COST OF
DEVELOPING INDUSTRY (THE PARTICULAR INDUSTRY IS
DESCRIBED IN THE ORDINANCE); PRESCRIBING OTHER
MATTERS RELATING THERETO; AND DECLARING AN
EMERGENCY.
WHEREAS the City of Jacksonville, Arkansas (hereinafter
sometimes referred to as the "City ") is authorized by 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 by Act No. 48 of the Acts of the General Assembly of the
State of Arkansas for the year 1961 (hereinafter sometimes called
"Act No. 9 ") to acquire lands, buildings, improvements, machinery,
equipment and other manufacturing facilities necessary for the con-
ducting of manufacturing operations and to lease the same for the
purpose of developing industry; and
WHEREAS the City is authorized by Act No. 9 to issue
Industrial Development Revenue Bonds payable from lease rentals
and revenues derived from said lands, buildings, improvements
machinery, equipment and facilities and secured by a mortgage
thereon; and
WHEREAS Reasor -Hill Corporation, an Arkansas corporation
(hereinafter sometimes called "Reasor - Hill ") has for some time been
operating an industrial plant within the City for the manufactur-
ing and sale of herbicides and related products and has been
employing from seventy to one hundred fifteen persons on an irregular
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or seasonal basis; and
WHEREAS this industrial plant has been an important asset
to the economy of the City and to the welfare of the City and its
citizens and inhabitants and its continued and expanded operation
is and will be in the public interests of the City, its citizens
and inhabitants, from the standpoint of the alleviation of unemploy-
ment, the employment of substantial numbers of persons, substantial
payrolls and other benefits flowing from the operation of a sub-
stantial industry; and
WHEREAS in the process of establishing itself in the
industry, Reasor -Hill has developed substantial markets for its
manufactured products, but in order to do so it has incurred
substantial short term obligations to finance expansion and needed
machinery and equipment to the point that its manufacturing opera-
tions are severely handicapped; and
WHEREAS it reasonably appears from thorough investigation
and study, and the Council finds, that Reasor - Hill's position is
such that if permanent long term financing can be obtained, Reasor-
Hill can, on the basis of the established markets for its products,
expand its operations to furnish permanent employment on a year
around basis to approximately two hundred employees with the result-
ing public benefits of additional employment, additional payrolls
and other public benefits flowing therefrom; and
WHEREAS said investigation and study has revealed, and
the Council finds, that without such permanent long term financing,
Reasor -Hill in all probability will have to curtail or even cease
its manufacturing operations which would be to the definite detri-
ment of the City, its citizens and inhabitants; and
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WHEREAS it appears that the only available source of such
permanent financing is that which can be supplied by the City's
issuing Industrial Development Bonds under Act No. 9 and out of
the proceeds thereof the acquiring of the lands, buildings, improve-
ments, machinery, equipment and facilities and the acquiring and
installing of additional industrial machinery and equipment to the
end that the said industry can retire its short term indebtednesses
incurred in its expansion program and in purchasing and installing
machinery and equipment and make other necessary expenditures and
investments to accomplish the expanded operations above referred to;
and
WHEREAS it is contemplated, subject to a favorable vote
of the electors of the City, that the City will acquire said lands,
buildings, improvements, machinery, equipment and facilities free
and clear of liens and encumbrances and will lease the same to
Reasor -Hill for a rental sufficient to pay the principal of, interest
on and paying agent's fees in connection with the bonds proposed to
be issued by the City, and that there will be pledged to the City's
bonds the said lease rentals and revenues derived from the project
and the said bonds will be secured by a mortgage on the said project
as authorized by Act No. 9; and
WWHEREAS'it appears that approximately $1,500,000 will be
needed and upon investigation and study, the the Council so finds,
the properties being acquired and to be purchased and installed have
a market value approximating the principal amount of the bonds;
NOW, THEREFORE, BE IT ORDAINED by the City Council of
the City of Jacksonville, Arkansas:
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Section 1. That a special election be, and the same is
hereby, called to be held in the City of Jacksonville, Arkansas on
the / - t / 1961, at which election there
1 -- day of , �,. �F � „ . , , . ,
will be submitted to the electors of the City the question of
issuing Industrial Development Revenue Bonds under the provisions
of Act No. 9 in an amount not to exceed $1,500,000 for the purpose
of furnishing the permanent financing of the cost of developing in-
dustry within the City. The particular project is described above.
The bonds will be dated November 1, 1961 and shall bear interest
payable semi - annually on May 1 and November 1 of each year commencing
May 1, 1962 at a rate or rates to be hereafter determined, but not
to exceed 6% per annum. The bonds shall mature serially in annual
installments on November 1 in each year as follows, but shall be
callable for payment prior to maturity upon such terms as shall be
specified in the ordinance authorizing the issuance and delivery
of the bonds:
YEAR AMOUNT
1962 $ 40,000
1963 43,000
1964 46,000
1965 49,000
1966 52,000
1967 55,000
1968 58,000"
1969 61,000
1970 65,000
1971 69,000
1972 73,000
1973 77,000
1974 82,000
1975 87,000
1976 92,000
1977 98,000
1978 104,000
1979 110,000
1980 116,000
1981 123,000
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In the event it develops that less than the entire authorized princi-
pal amount of the bonds is issued, the above maturity years shall
remain the same but the maturity amounts shall be proportionately
reduced insofar as practicable.
Section 2. That said question shall be placed on the
ballot for the special election in substantially the following
form:
Vote on measure by placing an "X" in the square
above the measure either for or against:
For the issuance of Industrial
Development Revenue Bonds by the
City of Jacksonville, Arkansas
in an amount not to exceed
$1,500,000 1.,.�
Against the issuance of Industrial
Development Revenue Bonds by the
City of Jacksonville, Arkansas
in an amount not to exceed
$1,500,000 .�..
It is proposed to issue City of Jacksonville,
Arkansas Industrial Development Revenue Bonds
under 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 by Act No. 48 of 1961 (herein
called "Act No. 9 ") in an amount not to- exceed
$1,500,000 for the purpose of providing the
permanent financing of the cost of developing
industry within the City. The bonds will be
dated November 1, 1961, will bear interest pay-
able semi - annually on May 1 and November 1 of
each year commencing May 1, 1962 at a rate or
rates to be hereafter determined and fixed by
the Council but not to exceed 6% per annum, and
, will mature serially in annual installments on
November 1 in each of the years 1962 to 1981,
inclusive. The particular project consists of
the acquisition of lands, buildings, improvements,
machinery, equipment and facilities and the pur-
chase and installation of additional machinery
and equipment and other expenditures necessary
for the conduct of substantial manufacturing
operations, which project will be leased to Reasor-
Hill Corporation, an Arkansas corporation, for
manufacturing of herbicides and related products.
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The lease rentals will be sufficient for and
will be specifically pledged to the payment of
the principal of, interest on and paying
agent's fees in connection with the bonds as
the same become due and payable. The bonds
will not be general obligations of the City of
Jacksonville, but will be special obligations
payable solely from the lease rentals and revenues
derived from the said project and the bonds will
be secured by a mortgage on the project as
authorized by Act No. 9.
Section 3. That the election shall be held and conducted
and the vote canvassed and the results declared under the law and
in the manner provided for municipal elections, so far as the same
may be applicable, and the Mayor shall give notice of such election
by an advertisement published once a week for four consecutive
weeks in a newspaper having a bona fide circulation in the City
of Jacksonville, Arkansas, with the last publication to be not less
than ten days prior to the date of the election, and only qualified
electors of said City shall have the right to vote at said election
on said question.
Section 4. That the results of said election shall be
proclaimed by the Mayor and his proclamation shall be published
one time in a newspaper having a bona fide circulation in said City
of Jacksonville, Arkansas, which proclamation shall advise that the
results as proclaimed shall be conclusive unless attacked in the
courts within thirty days after the date of such proclamation.
Section 5. That a copy of this ordinance shall be fur-
nished the Pulaski County Board of Election Commissioners so that
the necessary election officials and supplies may be provided.
Section 6. That there is hereby found and declared to be
an immediate need for the developing of industry within the City of
Jacksonville, Arkansas in order to provide additional employment
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and increased payrolls, alleviate unemployment and provide other
benefits incidental to the development of a substantial industry,
and the issuance of the above described bonds is necessary for
the accomplishment thereof. It is, therefore, declared that an
emergency exists and this ordinance being necessary for the immedi-
ate preservation of the public health, safety and welfare shall be
La force and take effe immediately upon and after its passage.
PASSED: V/ -eipc 3 , 1961.
APPROVED:
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4 1 A N /Al
ATTEST:
i �. as -r it
City Clerk
(SEAL)
C E R T I F I C A T E
The undersigned, City Clerk of Jacksonville, Arkansas,
hereby certifies that the foregoing pages numbered 1 to 7, in-
clusive, are a true and compared copy of an ordinance passed at a
47,411C-eh= ' session of the City Council of Jacksonville,
Arkansas, held at the regular meeting place of the Council in said
City at 7` A) o'clock ` .m. on the 3rd day of August,
1961, and that said ordinance is of record in Ordinance Record
Book No. / , page s , now in my possession.
Given under my hand and seal this day of August,
1961.
�f-
City Clerk
(SEAL)
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