HomeMy WebLinkAboutR-1978-02
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~SOLUTION NO. 78-2
THE STATE OF TEXAS X
X
COUNTY OF HARRIS X
RESOLUTION AUTHORIZING THE CITY OF LaPORTE TO BORROW THE
SUM OF THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00),
TO BE EVIDENCED BY TAX ANTICIPATION NOTE, PAYABLE OUT OF
CURRENT TAXES COLLECTED DURING THE FISCAL YEAR BEGINNING
OCTOBER 1, 1977 AND ENDING SEPTEMBER 30, 1978.
WHEREAS, it has been determined by the City Commission of
the City of LaPorte that a necessity exists to borrow the sum
of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00), and that
the anticipated current revenue from ad valorem taxes (including
such revenues as have been used to purchase Certificates of
Deposits by the City) will exceed NINE HUNDRED THOUSAND
DOLLARS ($900,000.00); and
WHEREAS, the First City Bank of LaPorte, Texas has
agreed to make the City a loan in said sum, to be paid with
Five per cent (5%) per annum interest thereon, or or before
sixty (60) days from the date thereon; and
WHEREAS, the City will have current revenues from the
collection of said taxes available and sufficient to pay said
obligation at maturity:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION
OF THE CITY OF LaPORTE, TEXAS, that the Mayor, City Administrator,
and the City Clerk be authorized to issue a promissory note
of the City of La~orte to be designated "Tax Anticipation
Note for the Fiscal Year Beginning October l, 1977 and
ending September 30, 1978", such note to be in the principal
sum of TH~E HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00),
to bear interest at the rate of Five per cent (5%) per annum
until maturity, with the usual provision for interest at the
rate of Six per cent (6%) per annum on past due principal
and interest and Ten per cent (10%) attorney's fees, such
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note to be due and payable on or before sixty (60) days from
the date thereof, that said note be sold by the City of
LaPorte to the First City Bank of LaPorte at LaPorte, Texas,
at not less than par value. When such note has been duly
executed by the Mayor, City Administrator, and the City
Clerk and delivered to said Bank, with a copy of this Resolution,
such indebtedness thereby evidenced shall be fully binding
upon the City; and
BE IT FURTHER RESOLVED that the City of LaPorte hereby
appropriates and set aside the sum of THREE HUNDRED FIFTY-
4It TWO THOUSAND NINE HUND~D SIXTEEN and 67/100 DOLLARS ($352,916.67)
out of the current revenues from the collection of ad valorem
taxes for the payment of such principal and interest indebted-
ness.
AND IT IS SO ORDERED.
APPROVED AND PASSED this the
21 day of June, 1978,
by the City Commission.
CITY OF LaPORTE
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Mayor ot t e City of LaPorte,
Texas
ATTEST:
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City Clerk of e
City of LaPorte, Texas
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TAX ANTICIPATION NOTE
FOR THE FISCAL YEAR BEGINNING
OCTOBER 1, 1977 AND ENDING SEPTEMBER 30, 1978
$350,000.00
July 3, 1978
The City of LaPorte, Texas, acting by and through its
duly authorized officers, for value received, promises to
pay to the order of the FIRST CITY BANK OF LaPORTE, at LaPorte,
Harris'County, Texas, the sum of THREE HUNDRED FIFTY THOUSAND
AND NO/100 DOLLARS '($350,000.00), with interest at the rate
~ of Five per cent (5%) per annum, on or before Sixty (60) days
from the date hereof.
All past due principal and interest shall bear interest
at the rate of Six per cent (6%) per annum.
, It is hereby specially agreed that if this note is
placed in the hands of an attorney for collection, or if
collected by suit or through Probate or Bankruptcy Court, we
agree to pay Ten per cent (10%) additional on'the principal
and interest then due hereon, as attorney's fees.
A copy of the Resolution authorizing the borrowing of
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the sum of 'THREE H(TNDRED FIFTY THOUSAND, AND NO/I00 DOLLARS
($350,000.00) and the issuance of this Note is hereto attached.
ATTEST:
CITY OF LaPORTE
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LaPorte, Texas
rator
Texas
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