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0087 • GIUDISABCE N0. 87 �.., M7 ORDINANCE AUTHORIZING THE ISSUANCE OF ant OF JACKSONVILLE .YIgTERWO KS P.EVffiiUE PR@IISScVY NOTES FCR THE PURPCSF, OF IR0- vIPIhO FOES ILB.EDIATELY NEEDED FOR PRELIMINARY EXPENSES IN CONNECTION WITH THE CONSTRUCTION OF BETTERMENTS AND I:MPROYE. }!TITS TO THE JACASONV3LIR 7iATER1ORES SYSTFdli PRESCRIBI170 OTHER ARTIr:RS ABLATING TIiER°ro, W DECLARING AN EMERGENCY. :$ERFAS, the City Council has determined that betterments arn1 improvements should be constructed in order to peke the facilities' of the Witereorks System adequate for the needs of the City end ita inhabitants/ and HITFSEAS. the City has had plans and estimatos prepared by Mk.rion'I. Grist and Associates, Consulting Engineers, Little Rook, Arkansas, a brief general description of the proposed betterments sad improvement° beings A water well, eater well supply linos, water booster pumping station. and enter distribution extensions, at an es coat of 391,040, which ostimnte includes engineering, legal and neoeerary expenses incidental thereto and to the issuance of bonds/ and WBEREAS, the City plane to issue Revenue Bonds under let 131 of 1933, as amended, to finance the said better- ments and improvements, but there is an lrmnediata need for funds to pay the oost of preliminary exponent; in- cident, to the proposed oonntruotion/ and WHEREAS the funds immediately needed ten be obtained by the Leeuano4 of Waterworks Revenue Prondssory Noten and it has been determined that it would he in the bust interests of the City to so obtain those feuds that ere needed at this tint and issue bonds at a later date] end WHEREAS. Stephens. Inc., or Little Rock, Arkansas, hen offered to purohaee a revenue promissory note or notes in principal aureate not to exceed in the aggregate 350,000, at a rate of interest oP !j^, per annum, to be due on or before one year after dL to and with the privilege of total or partial prepayment at any time without penalty. as hereinafter set fcrthl NON. TISN3EFOP.E, BE IT ORDAINED by the City Council of the City of Jacksonville, Arkansas's SECTION 1. That under the authority of the Constitution and lave of the State of Arlannns, inolud:ing particularly Aot 321 of the Acta of Arkenecs of 1955, amending Aot 133. of the Ants of Arkansas of 1933, as amended, the Mayor and City Recorder of the City of Jaokaonvillo be, and they are hereby authorised and direct- ed to execute and deliver reverse promiesory notes in principal amounts hot to exceed In the aggregate 350,000. whioh is the absolute limit of the authorix¢tion, payable to the ardor of Stephens, Inc., Little Rook, Arkan- sas, with interest on each note et t}s rate of Lw per annum., from dote ewtLl pair]. each note to be dated as of the date of ezemttlon and delivery, each note to be due one year after date, and each note to be in aub- stantially the following form, to-wits STATE OFF ARKANSAS cowry OF PUTASKI CITY OF &CKSONVILI E 11..1 YATERWCRKS REVENUE PROMISSORY NOTE Jacksonville, Arkansas . The City of Jacksonville in the County of Pulaski. State of Arkansan for value reooived, hereby promisee to pay to the order et Stephen°, Ines, Little Rock, Arkansas, on or before the day of , 1958, solely from revenues derived from the operntion of the City!s Water- works system arm3 /a• from the proceeds of the sale by the City of Revenue Bonds, the sum of Dollars (1 ) with interest an the outstanding principal amount from dote until paid at the rate of four per cent (li%) per annum. Both principal and Internet shall be payable at the office of Stephens, Inc.. Steld,ene Building, Little Rook Arkansas. This revenue promissory note is issued under the authority -of the Constitution and laws of the Stnto of Artsners, particularly Aot 321 of the Acts of Arknnsrs of 1955, amending Act 131 of the Aata of Arisans s of 1933, as "seeded, and under Ordinance No. , duly adopted by the City Council of the City of Jacksonville and approved an •� 1957. This note is not a general. obligation of the City of Jacksonville but is a special obligation payable solely from the above referred to sources and does not constitute an indebtedness of the City of Jacksonville within any constitutional or statutory limitation. It is understood that revenue promissory notes in principal amounts not to ex- ceed in the aggregate Fifty Thousand Dollars (350,000) have been authorized by said ordinance, and all notes issim1 thereunder, including this note, will 'rank on a parity. The proceeds of this note shall be used solely for preliminary exponses incurred in the oonstruatlen of betterments and improvements to the Jacksonville waterworks system aid in the issuance of revenue bonds. All or any part of the principal balance hereof may be paid without penalty for pre - payment at any time without notice. It is hereby certified, recited and declared that all acts, conditions and things required to exist, to bo performed and to happen precedent to and in the issuance of this note haves existed, Imve been performed and have happened in due time, from and manner as required by law. IN WITNESS i7AEREOF, the City of Jnol Arkansas, by its City Council has caused this note to be executed by the Mayor and City Recorder thereof, and ito corporate seal affixed, all as of the day of -, 1957. ern OF 1\01S0Nt TR, ARKANSAS ► (( By + . gar ATTEST: ' " a t. d der r City Reoordar SECTION 2. That the said revenue promissory notes and interest thereon are issued under the authority of the Constitution and laws of the State of Arkansas, particularly Aot 321 of the Acts of Arkansas of 1955. amending Act 131 of the 'lots of Arkansas of 1933, as amended, and under this ordinance and shall not constitute General obligations or the City of Jacksonville. They shall be special obligations payable solely out of the revenue derived by the City from the pro- ceeds of its waterworks system and /or from the proceeds of a subsequent revenue bond issue, and they shall not e'mstitute an indebtedness of the City of Jaoksonville, Arkansas, within any constitutional or statutory limitation. The City hereby covenants and agrees to so pay the principal of and interest an the notes in strict conformity with the terms thereof and with the terms of this ordinance. mama 3. That the proceeds of the notes shall be paid to the City of Jacksonville and deposited in a special fund to be Imam as "Waterworks Revenue promissory Pete Fund ", and the proceeds shall bo used solely for preliminary expamr_s incurred in the construction of the above described betterments and improvemoirts to the Jacksonville Waterworks System and to the issuance of revenue bonds. The said fund shall be carried in a bank that is a member of the 1 (ocTIw 3. Continued) • Federal Deposit Insuranoo Corporation and the amount therein in excess of the arrant insured by the Federal Deposit Insurance Corporation shall be continuously secured by bonds or other direct or fully guarateed obligabions of the United States of America. .513922 That the City hereby covenants and agrees with the holders of the notes is- sued hereunder that it m311. expeditiously take the necessary steps to issue revenue bonds and that it mill pay and canal all rates issued hereunder from the prooeeds of said revenue bonds as soon as the same are available. sEcTioq_k.. Thot the provisions of this ordinanoo are separable and 11 any provision shall for any renege be held illegal er invalid, such holding trail not affect the validity of the reminder of the Ordinance. SECTION b. That all ordinances and resolutions in conflict herewith are hereby repeal- ed to the extent of such conflict. SECTION 7. Thnt it is hereby ascertained and declared that there is an immediate and urgent need for the said betterrmnts and improvements to the waterworks system in order to adequately protect the life, health, safety and property of the inhabitants of the City, and that the proceeds of the notes authorized by this ordinance are necessary for that purpose. It is, therefore, declared that an emergenoy exists and this ordinance being necessary for the irradiate preservation of the public peace, health and safety shall tabs effect and be in full force from and after its passage. AtSShD: 11 April • 1957 APPROVED: 1- C.:\ ? I s.: ATTEST, f City Recorder (SEAT,)