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HomeMy WebLinkAboutO-1965-726 .~ .1 , . '. .' e ['I , " ,-\ ' '\ < .;> ... ~ ;/ . . CE~TIFICATE FOR BOND ORDINANCE ~~ THE STATE OF TEXAS: - COUNTY OF HARRIS CITY OF LA PORTE We, the undersigned officers of said City, hereby certify as follows: 1 ~ ' The Ci,ty Commission of said City convened in ~Q~',~ MEETING ON THE ~ DAY OF DECEMBER, 1965, at the City Hall, and the roll was called of the duly constituted officers and members of said City Commission, to-wit: Harold P. Pfeiffer, Mayor Lois J. Compton Russell Sheph~rd Tom W. Osburn \oJ. ~\. 8tab~, Jp. Mrs. Marilyn Kelley, City Clerk and all of said persons were present, except the following absentees: ~, JtL, ~~.4d) Q..... , thus constituting a quorum. Wqereup~ri, among other business, the following was transacted at said Meeting: a written ORDINANCE AUTHORIZING THE ISSUANCE OF BONDS was duly introduced for the consideration of said City Commissio and read in full. It was then duly moved and seconded that said Ordinance be passed; and, after due discussion, said motion, carrying with,it the passage of said Ordinance, prevailed and carried by the following vote: AYES: All members of said City Commission shown present above voted "Aye." NOES: None. 2. That a true, full and correct copy of the aforesai Ordinance passed at the Meeting described in the above and fore- going paragraph is attached to and follows this Certificat~; tha said Ordinance has been duly'recorded in said City Commission's minutes of said Meeting; that the above and foregoing paragraph is a true, full, and correct excerpt from said City Commission's minutes of said Meeting pertaining to the passage of said Ordi- nance; that the persons named in the above and foregcing para- graph are the duly chosen, qualified, and acting officers and members of said City Commission as indicated therein; and, that each of the officers and members of said City Commission was dul and sufficiently notified officially and personally, in advance, of the time, place, and purpose of the aforesaid Meeting, and that said Ordinance would be introduced and considered for passa e at said Meeting, and each of said officers and members consented, in advance, to the holding of said Meeting for such purpose. -,' , ~ '- <~ 3. That the Mayor of said City has approved, and here appr~ves, the aforesaid Ordinance; that the Mayor and the City Cl~rk~of said City ~ave duly signed said Ordinance; and that the Mayor and the City Clerk of said City hereby declare that their' signipg of this' Certificate shall constitute the signing of the a~~~ched and following copy of said Ordinance for all purposes. ~'!,. " \', . SIGNED AND SEALED the ~At day of December, 1965. ~C'l A ~~~-<r )...,9/c'~>-, Ci Y <!lerk --- .. '.' . ~ 'Zt >:? ORDINANCE AUTHORIZING THE ISSUANCE OF REVENUE BONDS THE STATE OF TEXAS COUNTY OF HARRIS :./ CITY OF, LA PORTE . WHE~EAS, the bonds hereinafter authorized were duly and favorably voted, as required by the Constitution and laws of the State of Texas, at an election held in said City on the 27th day of April, ,1965; and WHEREAS, the bonds hereinafter authorized are to be issued and delivered pursuant to Vernon's Article l269j-5. BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF LA PORTE: Sectioq l. 'That said City's negotiable coupons bonds . to be designated the "City of La Porte Airport Revenue Bonds, Series 1966," a.re 'hereby authorized to be issued and delivered in accordance with the Constitution and laws of the State of Texas in the principal amount of $60,000 for the purpose of enlarging, improving and equipping the City's airport. ~ , Section 2. That said bonds shall be dated January 15 19~ shall,be numbered 1 through 60, shall be in the denomina- tion of $1,000 each, and shall mature and become due and payable serially on January 15 in each of the years, and in the amounts . respectively, as set forth in the following schedule: YEARS AMOUNTS YEARS AMOUNTS 1970 $3,000 1977 $4,000 1971 3,000 1978 4,000 1972 3,000 1979 4,000 1973 3,000 1980 5,000 1974 3,000 1981 5,000 1975 4,000 1982 5,000 1976 4,000 1983 5,000 1984 5,000 Section 3. That as to, said bonds scheduled to mature on and after January 15, 1977, said City shall have the right and option to redeem such bonds prior to their scheduled maturities, I d e. ~ . . I . . , ; in whole, or,in part, on January 15, 1976, or on any interest payment date ,thereafter, for the principal amount thereof plus accrued interest to the date fixed for redemption. At least thirty 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 publica- tion 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 so redeemed', plus accrued interest thereon to the ~ dated f1xed 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 ~hall be redeemed prior to maturity, and they shal 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 suc~ payment. Section 4. That said bonds shall bear interest from, their date, until maturity or redemption, at the rate of 4~% per annum, wi~h said interest to be evidenced by interest coupons payable on,J4ly 15, 1966, and semi-annually thereafter on each January'15 and July 15. 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 present~tion and surrender of proper bond or interest coupon, at Bayshore National Bank, La Porte, 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 fac- simile signature of , the Mayor of said City and countersigned, ..~ . . . . I .. . . . i by the imprinted or lithographed facsimile signature of the City Clerk of said City, and the official seal of said City shall be i~pressed, 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 coupons to be attache to said bonds, shall be, respectively, substantially as follows: ,(FORM OF BOND) NO. $5,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF HPRRIS CITY OF LA PORTE AIRPORT REVENUE BOND SERIES 1966 On January 15, 19__, the City of La Porte, in the County of Harris', State of Texas, promises to pay to bearer the principal amount o~ ONE THOUSAND DOLLARS and to pay, interest thereon, from the date hereof, at the rate of 4~% per annum, evidenced by interest coupons payable July 15, 1966, and semi-annually thereafter on each January l5 and July 15 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 the bearer, upon presentation and surrertder of this bond or proper interest coupon, at Bayshore National Bank, La Porte, Texas, which place shall be the paying agent for this, Series of bonds. This bond is one of a Series of negotiable coupon bonds dated January l5, 1966, issued in the principal amount of $60,000 for the purpose of enlarging, imp~oving and equipping the City's ~irport. :;.. ~ . . . I . e . . . The bonds of this Series scheduled to mature on and after January 15, 1977, may be redeemed prior to their scheduled maturities, in whole, or in part, at the option of said City, on January 15, 1976, or on any interest payment date thereafter, for the principal amount thereof plus accrued interest to the date fixed for redemption. At least thirty days before the date fixed for 'any ~uch 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 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 ~aturity, 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 and recited that this bond has been duly and validly authorized, issued, and delivered in accordance with the Constitution and laws of the State of Texas including, Acts 1947, 50th Legislature, Chapter ll4; and that the interest on and principal of this bond~ and the Series of which t is a 'part, are secured by and payable from a first lien on and pledge of the Net Revenues of said City's Airport. Said City has reserved the right, subject to the restrictions stated in the Ordinance authorizing this Series of bonds, to issue additional parity revenue bonds which also may be secured by and made payable from a first lien on and , pledge of the Net Revenues of said City's Airport. ~ .~ . . . I .' . . i The holder hereof shall never have the right to demand payment of this obligation ou~ of any funds raised or to be raised by taxation. 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 signa- ture of the City Clerk of said City, and the official seal of said City has been duly impressed, or printed, or lithographed on this bond., City Clerk, City of La Porte Mayor, City of La Porte ,'., (FORM OF REGISTRATION CERTIFICATE) COMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER NO. I hereby certify that this bond has been examined, , certified as to validity, and approved by the Attorney General of the State of Texas; and that this bond has been registered by the Comptroller of Public Accounts of the State of Texas. Witness my signature and seal this Comptroller of Public Accounts of the State of Texas (FORM OF INTEREST COUPON) NO. $ On , 19_, the City of La Porte, in the County of Harris, State of Texas, promises to pay to bearer, unless due provision has been made for the redemption prior to maturity of the bond to which this interest coupon is attached, the amount of Dollars, in lawful money of the United States of America, without exchange or collection charge to the bearer, upon presentation and surrender of this interest coupon, at the Bayshore National Bank, La Porte, Texas, said ..-. . . . I . . , , amount being interest due that day on the bond, bearing the number hereinafter designated, of that issue of City of La Porte Airport Revenue Bonds, Series 1966, dated January 15, 1966. The holder hereof shall never have the right to demand payment of this obligation out of any funds raised or to be raised by taxation. Bond No. City Clerk Mayor Section 8. DEFINITIONS. (a) The term "Airport" as used in this Ordinance, shall mean the City's entire Airport and a~l facilities pertaining thereto, together with all future improvements, ext'ensions, enlargements, and addi- tions thereto, and replacements thereof. (b) The term "Gross Revenues" shall mean the total revenues to the City from the Airport and its operations from whatever source derived. Without limiting the generality of the foregoing,' unless especially delimited, "Gross Revenues" will include all of the income to the City from the ownership and operation of the Airport, including landing fees and charges, ground rental, space rentals in buildings, and charges of every character made to concessionaires. ,(c) The term "Maintenance and Operation Expenses" shall mean expenditures directly and essentially necessary for the efficient and normal maintenance, operation and utiliza tion of the Airport, including the keeping of the Airport and all of its facilities in good condition and the making of all needed repairs, renewals and replacements, including non-recurr ng '. . . t , . e' . and periodic items of maintenance. It is also provided that the items which the, City has agreed to provide from its General Fund Revenues, as provided in this Ordinance, shall not constitute items of Maintenance and Operation Expenses. ..., (d) The term "Net Revenues" shall mean the amount remaining after deducting the Maintenance and Operation Expenses from the Gross Revenues. (e) The term "Bonds" shall mean the Bonds authorized to be issued and deli~ered by this Ordinance. (f) The term "Additional Bonds" shall mean the addi- tional parity revenue bonds which the C~ty reserves the right to issue and deliver in the future, as provided by this Ordinance., Section 9. PLEDGE. The Bonds and all Additional , ( Bonds, and the interest thereon, are and shall be payable from and secured by an irrevocable first lien on and pledge of the Ne Revenues of the'Airport, and said Net Revenues are further pledged irrevocably to the establishment and maintenance of the Funds herein~fter created. Section 10. RATES. The City covenants and agrees with the holders of the Bonds and all Additional Bonds, as follows: (a) That it will at all times fix, maintain, enforce, charge, and collett for services rendered by the Airport, rates, charges, and amounts which will produce Gross Revenues at least sufficient to pay all Operation and Maintenance Expenses, and to provide Net Revenues adequate to pay promptly all of the princi- pal of and interest on the Bonds and all Additional Bonds, and t make all deposits now or hereafter required to be made into the Funds created and established by this Ordinance. . . . 6 ,. . . I '(b) If the Airport should become legally liable for ' any other obligations or indebtedness, the City shall fix, main- tain, enforce, ch~rge and co~lect additional rates, charges and amounts for services rendered by the Airport sufficient to establish and maintain funds for the payment thereof. Section ll. FUNDS. All revenues of the Airport shall be kept separate and apart from all other funds of the City, and the following special Funds are hereby creat~d and shall be established and maintained in an official depository bank of the City, so long 'as any of the Bonds or Additional Bonds, or interest thereon, ~re outstanding and unpaid: (a) City of La Porte Airport ,Fund, hereinafter called the ''Revenue Fund;" (b) City of La Porte Airport Revenue Bonds Interest and Sinking Fund, hereinafter called the "Interest and Sinking Fund;" (c) City of La Porte Airport Revenue Bonds Reserve Fund, her.einafter called the "Reserve Fund." Section 12. REVENUE FUND. All Gross Revenues of every nature received by the City from the operation and owner- ship of the Airport shall be deposited from day to day as col- lected into the Revenue Fund, and the Maintenance and Operation Expenses of the Airport shall be paid from the Revenue Fund. The revenues of the Airport not actually required to pay said expenses shall be deposited from the Revenue Fund into the other Funds created by this Q~dinance, in the manner and amounts here~ inafter provided, and each of such Funds shall have priority as to such deposits in the order in which they are treated in the following sections. Section 13. INTEREST AND SINKING FUND. There shall be deposited into the Interest and Sinking Fund the following: . . . I . .' . . (a) sucp amounts, in equal monthly installments, made on or before the 10th day of each month hereafter, as will be 'sufficient to pay the interest scheduled to come due, on the Bonds on the nex't interest payment date; and (b) such amounts, in equal monthly installments, made on or before J~nuary 10, 1969, and on or before the 10th day of each month thereafter as will be sufficient to pay the next maturing principal of the Bonds. The Interest and ~inking Fund shall be used to pay the principal of an? interest on the Bonds and all Additional Bonds, as such princi~al matures and such interest comes due. Section 14. RESERVE FUND. On or before the 10th, day of each month hereafter, there shall be deposited into the Re- serve Fund the 'sum of at least $ ~~O,DD , until the Reserve Fund shall contain an aggregate amount of $ ~, oen~. tiel. No deposits shall be required to be made into the Reserve Fund as ~! long as the Reserve Fund contains said aggregate amount, but if and whenever said Reserve Fund is reduced below said aggregate amount, the ,aforesaid monthly deposits into the Reserve Fund shall be resumed and continued until such time as the Reserve Fund has been restored. to said aggregate amount. The Reserve Fund Shall be used to pay the principal of or interest on the Bonds and all Additional Bonds, at any time when there is not sufficient money available in the Interest and Sinking Fund for such purpose., Money in the Reserve Fund may, upon authorizatio by the City Commission, be invested in direct obligations of, 0 obligations" the principal of and interest on which are guarant by, the United States of America, or invested in direct obliga- tions of, the Federal Intermediate Credit Banks, Federal Land Banks, Federal National Mortgage Association, Federal Home Loan , Banks or Banks for 'Cooperatives, provided that each of the ..~. . . . . t :." . . . , aforesaid obligations must mature, or be subject to redemption at the option of the holder thereof, within not more than ten years from the date of the making of such investment. Any obligation in which money in the Reserve Fund is so invested shall be kept and held in an official depository bank of the City in escrow and in trust for the benefit of the holders of the Bonds and all Additional Bonds, and shall be promptly sold and the proceeds of sale applied to the making of all payments required to be made 'from the,Reserve Fund. Section 15. DEFICIENCIES IN FUNDS. If in any month the City shall fail to deposit into any Fund created by this Ordinance the full amounts required, amounts equivalent to such deficiencies shall be set apart and paid into said Funds from the first available and unallocated Net Revenues of the Airport for the following month or months, and such payments shall be in addition to the amounts otherwise required to be paid into said ' , , Funds during such month or months. To the extent necessary, the City shall incr~ase the rates, charges, and amounts for services of the Airport to make up for any such deficiencies. Sect,ion 16. EXCESS REVENUES. Money remaining in the Revenue Fund at the close of each fis'cal year of the City, after making adequate provision for the Funds created by this Ordinanc and after taking care of all other legal obligations, if any, against the Reven~e, Fund and after retaining therein an amount certified by the Airport Manager as sufficient,to pay estimated Maintenance ~nd'Operation Expenses for a period of two months, may be used by the City for any lawful purpose. Section 17. SECURITY FOR FUNDS. All Funds created by this Ordinance shall be secured in the manner and to the fullest exten~ permitted or required by law for the security of public funds"and such Funds shall be used only for the purposes and in the manner permitted or required by this Ordinance. ":.; ... . . . . e . . . . Section 18. ADDITIONAL BONDS. The City reserves the right to issue add~tional parity revenue bonds, to be known as Additional Bonds, which when issued and delivered, shall be pay- able from and secure9 by a first lien on and pledge of the Net Revenues of the Airport, in the same manner and to the same extent as the Bonds; and the Bonds and all Additional Bonds shal in all respects be on a parity and of equal dignity. The Addi- tional Bonds may be issued in one or more installments or series provided, however, that no installment or series of Additional Bonds shall be issued' unless: (a) A certificate is executed by the Mayor and City Clerk of 'said C~ty to the effect that no default exists in 'connection with any of the covenants or requirements of the , ordinance or ordinances authorizing the issuance of all then outstanding Bonds and Additional Bonds; (b)' A certificate is executed by the Mayor and City Clerk of said City to the effect that the Interest and Sinking Fund and the Reserve'Fund each contains the amount then required to be on deposit therein; (c) A certificate is executed by a Certified Public ~ Accountant to the effect that, in his opinion, the Net Earnings of the Airport' either for the last complete fiscal year of the City, or for any twelve consecutive calendar month period ending not more than ninety days prior to the passage of the ordinance authorizing the issuance of such Additional Bonds, were at least 1-1/2 times the average annual principal and interest require- ments for all then outstanding Bonds and Additional Bonds, and for the installment or series of Additional Bonds then proposed to be issued; and the term "Net Earnings," 'as used in this sub- paragraph (c) ,shall mean the Net Revenues of the Airport, but excluding and not deducting, any charges or disbursements which under standard accounting practice, should be charged to '. e '. . capital expenditures. (d) The Additional Bonds are scheduled to mature only on January 15, and the interest thereon is scheduled to be paid only on July 15 and January 15. (e) The ordinance authorizing the issuance of such installment or series of Additional Bonds provides that the aggregate amount to be accumulated and maintained in the Reserve Fund shall be increased by an additional amount not less than th average annual principal and interest requirements for said Addi tional Bonds, a~d that ~uch additional amount shall be so accumulated within'sixty-one months from the date of the Addi- tional Bonds, by the deposit in the Reserve Fund of the necessar sums in equal monthly installments; provided, however, that the aggregate amount to be accumulated in the Reserve Fund shall never be required to exceed the average annual principal and interest requirements for all then outstanding bonds and Additional Bonds, and for the installment or series of Addi- tianal Bonds then proposed to be issued. . . (f) All calculations of average annual principal and interest requirements made pursuant to this Section are made as of and from the date of the Additional Bonds then proposed to be issued. Section '19'. MAINTENANCE AND OPERATION; INSURANCE. While any of the Bonds or Additional Bonds are outstanding the City covenants and ,agrees to maintain, or cause to be maintained the Airport in good condition and operate, or cause to be opera- ted, the same in an efficient manner and at reasonable expense, and to maintain, or cause to be maintained, insurance on the Airport, for the benefit of the holder or holders of the Bonds and Additional Bonds"of a kind and in an amount which usually would be carried by private companies engaged in a similar type I . . . e . . . . of bustness. Nothing ~n this Ordinance shall be construed as requiring the City to expend any funds which are derived from sources other than the Airport, (except 'from its General Fund Revenues, as provided in this Ordinance), but nothing herein shall be constr?ed as preventing the City from doing so. Sect'ion 20. ACCOUNTS AND FISCAL YEAR. The City shall , ' keep proper books of records and accounts, separat~ from all other records and accounts of the City, in which complete and correct entries shall be made of all transactions relating to Airport, and shall have said books audited once each fiscal year by a Certified Public Accountant. The City agrees to operate th Airport and keep its'books of records and accounts pertaining thereto on the basis of its current fiscal year; provided, how- ever, that the City Commission may change such fiscal year by ordinance duly passed, if such change is deemed necessary by the City Commission. Section 21. ACCOUNTING REPORTS. Within ninety days after the close of each fiscal year hereafter, the City will furnish, without cost, to any holder of any outstanding Bonds or Additional Bonds who may so request, a signed or certified copy of a report by a Certified Public Accountant, covering the next preceding fiscal year, showing'the following information: (a) A detailed statement of all gross revenues of the Airport and all Maintenance and Operation Expenses thereof for said fiscal year; (b) Balance sheet as of the end of said fiscal year; (c) , Accountant's comment regarding the manner in which the City has complied with the requirements of this Ordinance and his recommendations, if any, for any changes or improvements in the operation of the Airport; (d) List of insurance policies in force at the end of said fiscal year, showing, as to each policy, the risk " . . . I '~ .. . . covered, the amount of the policy, the name of the insurer, and the expiration date; (e) The status of each Fund created by this Ordinance Section 22. INSPECTION. Any holder or holders of any Bonds or Additional Bonds shall have the right at all reasonable times to inspect the Airport and all records, accounts, and data of the City relating'thereto. Section 23. SPECIAL COVENANTSo The City further covenants as follows: ~.! (a) That other than for the payment of the Bonds herein authorized, the Net Revenues of the Airport have not in , any manner been pledged to the payment of any debt or obligation of the City or of the Airport. (b) Tha~ while any of the Bonds or Additional Bonds are outstanding, the City will not sell or dispose of the Airpor or any substantial part thereof, and that, with the exception of the Additional Bonds expressly permitted by this Ordinance to be issued, it will not encumber the Net Revenues of the Airport, as defined in this Ordinance. (c) That the City will operate and maintain, or cause tO,be operated and maintained, the Airport, and will not cause or suffer such curtailment of the general use of the Air- port or provide any other airport or airport facilities else- where which will be operated so as to interfere with the prompt performance of all of the City's obligations and covenants im- posed by or undertaken under this Ordinance; and that the income from any investment. in other Airport properties by the City will immediately be subjected to the lien and pledge securing the Bonds and Additional Bonds. , , " .' .""', . . (d) That the City will duly observe and comply with all valid requirements of all Federal and State Authorities . relative to the maintenance and operation of the Airport. (e) T~at ~he City will not supply at the Airport space, services or privileges, without making commensurate charges therefor, e'xcept to the extent ac tually required and shown to be required under applicable statutes to supply such space, privileges and services to the Federal government. (f) That the City will not sell or dispose of any part of the Airport unless and until such property has been declared by the City Commission to be surplus and no longer , needed for the prop~r operation of the Airport, and unless a qualified firm of airport consultants certifies in writing that the properties to be sold are not needed for proper operation of the Airport and will not materially reduce the Gross Revenues of the Airport. The proceeds from the sale of such facilities shall be deposited in the Revenue Fund. Section 24. BONDS ARE SPECIAL OBLIGATIONS. The Bonds and Additional Bonds shall be special obligations of the City payable solely from the pledged Net Revenues, and the holder . or holders thereof shall never have the right to demand payment thereof out of funds raised or to be raised by taxation. Section 25. APPROVAL AND REGISTRATION OF BONDS. That the Mayor of 'said City is hereby authorized to have control of said Bonds and all ~ecessary records and proceedings pertaining to said Bonds pending the'ir delivery and their investigation,' examination, and approval by the Attorney General of the State of Texas, and their registration by the Comptroller of Public Accounts of the State of Texas. Upon registration of said Bonds, said Comptroller of Public Accounts (or a deputy designated t in writing to act for said Comptroller) shall manually sign the ' f ....~. . ~'.ra:- " .' e. . I . . Comptroller's R~gistration 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.