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0262 ORDINANCE NO. : .2C 2 AN ORDINANCE CALLING A SPECIAL ELECTION TO VOTE UPON THE QUESTION OF ISSUING BONDS UNDER THE PROVISIONS OF ACT NO. 9 OF THE I'IRST EXTRAORDINARY SESSION OF THE SIXTY - SECOND GENERAL ASSEMBLY OF • THE STATE OF ARKANSAS, APPROVED JANUARY 21, 1960, AS AMENDED, FOR THE PURPOSE OF FURNISHING PER- MANENT FINANCING OF A PORTION OF THE COSTS OF DEVELOPING INDUSTRY (THE PARTICULAR INDUSTRIAL PROJECT IS DESCRIBED IN THE ORDINANCE); PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN EMERGENCY WHEREAS Franklin Electric Co., Inc., an Indiana corporation ( "Franklin "), is acquiring an industrial facility at the City of Jacksonville, Arkansas (the "City ") presently operated by The Singer Company ( "Singer "); and WFIEREAS the existing facility is being operated for the manufacture of electric motors and its continued operation is vital to the economic well being of the City and its inhabitants by reason of the substantial employment and payrolls involved; and WHEREAS unlike the present operator, the manufacturing of electric • motors is the principal industrial activity of Franklin, and because of its experience and prominence in this particular industrial field and its plans for growth, the acquisition and expanded operation of the existing facility by Franklin will . serve the public purposes underlying 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 ( "Act No. 9 "); and WHEREAS as an essential part of the permanent financing required for the consummation. of the acquisition by Franklin, it is proposed that the City issue Industrial Development Revenue Bonds under Act No. 9 (the "bonds "), use the proceeds thereof to acquire machinery, equipment and facilities and lease the same to Franklin for rentals sufficient to cover debt service requirements on the bonds (additional permanent financing will be obtained by Franklin from other * sources); and _2_ WHEREAS as required by Act No. 9, the purpose of this Ordinance is to submit the question of the issuing of the bonds to the electors of the City at a special election called for that purpose; NOW, THEREFORE, BE IT ORDAINED by the City Council of the City • of Jacksonville, Arkansas: Section 1. That a special election be, and the same is hereby, called to be held in the City on the day of ��_.. , 1972, at which election there will be submitted to the electors of the City the question of issuing Industrial Development Revenue Bonds under Act No, 9 for the purpose of furnishing permanent financing of a portion of the costs of developing industry (the particular project is described above). The bonds will be dated, the bonds will bear interest at the rate or rates, the interest will be payable on such dates, the bonds will .mature on such date or dates, the bonds will be subject to redemption prior to maturity in such manner and upon such terms, and the bonds will be issued at one time or in series from time to time, all as the City Council shall subsequently determine and specify in the ordinance authorizing the issuance of the bonds. Section 2. That the question shall be placed on the ballot for the election in substantially the following form; _ ro -3- 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 the aggregate principal amount of not to exceed $5,000,000 /�_f AGAINST the issuance of Industrial Development Revenue Bonds by the City of Jacksonville, Arkansas in the aggregate _ principal amount of not to exceed $5,000,000. . . . . . . . . ./ / It 1s proposed to issue City of Jacksonville, Arkansas ( "City ") Industrial Development Revenue Bonds ( "bonds ") under Act No. 9 of the First Extraordinary Session of the Sixty- Second General Assembly of the State of Arkansas, approved January 21, 7960, as amended ( "Act No. 9 "), in the aggregate principal amount of not to exceed $5,000,000 for the purpose of furnish- ing the permanent financing of a portion of the costs of an • industrial undertaking at the City whereby Franklin Electric Co. , Inc., an Indiana corporation ( "Franklin ") , is acquiring and will operate certain industrial facilities at the City re- sulting in the continuance and expansion of substantial employment and payrolls. The bonds will be dated, the bonds will bear interest at such rate or rates, the interest will be payable on such dates, the bonds will mature on such date or dates, the bonds will be subject to redemption prior to maturity in such manner and upon such terms, and the bonds will be issued at one time or in series from time to time, all as the City Council shall subsequently determine and specify in the ordinance or ordinances authorizing the issuance of the bonds. Bond proceeds will be used to acquire and install machinery, equipment and facilities (the "facilities "). The facilities will be owned by the City and leased to Franklin or a subsidiary, for lease rentals sufficient to provide for the payment of the principal of and interest on the bonds. If the facilities are leased to a subsidiary, the obligations of the subsidiary under the Lease Agreement will be unconditionally guaranteed by Franklin. The bonds will not be general obligations of the City but will be special obligations payable solely from revenues derived form the facilities, including particularly lease rentals under the Lease Agreement with Franklin, which will be specifically pledged to the payment of the principal of and interest on the bonds, and the bonds will be secured by a lien on and security interest in 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 with the last publication to be not less than ten days prior to the dote of the election, and only qualified electors of the City shall have the right to vote at said election on the question. ' I _4_ Section 4. That the results of the election shall be proclaimed by the Mayor and his proclamation shall be published one time in a newspaper having a bona fide circulation in the City, which proclamation shall advise that the results as proclaimed shall he•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 furnished to 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 securing and developing of industry in order to provide additional employment, increased payrolls, alleviate unemployment and provide other benefits incidental thereto, and the issuance of the bonds referred to in this Ordinance is essential to accomplishing the said public benefits. It is, therefore, declared that an emergency exists and this Ordinance being necessary for the immediate preservation of the public health, safety and welfare shall be in force and take effect immediately' upon and after its passage. PASSED: TkQ 7 , 1972. U APPROVED: • _ -.. By _._. Mayor ATTEST: City Clerk (SEAL) • CERTIFICATE I, the undersigned, City Clerk of Jacksonville, Arkansas, hereby certify that the foregoing pages numbered 1 to 4, inclusive, are a truo and compared copy of an ordinance passed at a session of the City Council of Jacksonville, Arkansas,hold at the regular meeting place of the Council in said City at o'clock m. , on the day of , 1972, and that said ordinance is of record in Ordinance Rook Page now in my possession. GIVEN under niy hand and seal this day of , 1972. City Clerk (SEA • App^i67D AS 10 FCRtit r ,,... s fl .P!?