HomeMy WebLinkAboutO-1980-1241
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ORDINANCE NO. la.t//
AN ORDINANCE AUTHORIZING THE ISSUANCE, SALE
AND DELIVERY OF THE CITY'S CERTIFICATES OF
OBLIGATION, SERIES 1980, IN THE AGGREGATE
PRINCIPAL AMOUNT O~ $800,000, PROVIDING THE
DETAILS RELATING THERETO AND DECLARING SAID
ORDINANCE EFFECTIVE IMMEDIATELY UPON ITS ADOPTION.
WHEREAS, pursuant to the provisions of The Certifi-
cate of Obligation Act of 1971, as amended (Art. 2368a.1,
V.A.T.C.S.), the City of La Porte, Texas, caused notice to
be published of the City's' intention to issue up to $800,000
in aggregate principal amount of its Certificates of Obliga-
tion, payable solely from ad valorem taxes, for the purpose
of constructing and purchasing a public works service center;
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and
WHEREAS, no petition of any kind has been submitted
to the City Secretary of the City of La Porte, or to any
member of the City Council thereof, or to any officers of
the City whatsoever protesting the issuance of Certificates
of Obligation for such purpose unless the issuance thereof
is approved at an election called, held and concluded in the
manner provided by law for bond elections; and
WHEREAS, this City Council hereby affirmatively
finds and declares that the city of La Porte is fully autho-
e rized and empowered to issue its Certificates of Obligation
for the purpose of constructing and purchasing a public
works service center; and
WHEREAS, the City Council desires to authorize the
issuance of Certificates of Obligation so as to obtain funds
for such purpose; therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
section 1: That in order to obtain funds for the
purpose of constructing and purchasing a public works service
center, there shall be, and there is hereby ordered to be,
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issued under and by virtue of the Constitution and laws of
the State of Texas, certificates of obligation of the City
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of La Porte, Texas, in the total principal sum of $800,000
to be known as. "CITY OF LA PORTE, TEXAS, CERTIFICATES OF
OBLIGATION, SERIES 1980."
Section 2: That said certificates shall be dated
November 1, 1980, shall be numbered consecutively from 1
through 160, shall be in the denomination of $5,000 each and
shall mature and become due and payable serially without
option of prior redemption on February 1 in each of the
years and in the amounts specified in the following schedule:
Year Amount Year Amount
1982 $80,000 1987 $80,000
e 1983 80,000 1988 80,000
1984 80,000 1989 80,000
1985 80,000 1990 80,000
1986 80,000 1991 80,000
Section 3: That said certificates shall bear
interest from their dates until maturity at the rate of
7 3/4% per annum, with such interest to be evidenced by
interest coupons payable on August 1, 1981, and semiannually
thereafter on each February 1 and August 1 until the principal
sum is paid in full.
Section 4: The seal of said City may be impressed
on each of said certificates, or in the alternative a facsimile
tt of such seal may be printed on said certificates. The
certificates may be manually signed by the Mayor and City
Secretary, or in the alternative may be executed by the
imprinted facsimile signatures of the Mayor and City Secretary
of the City, and execution in the latter manner shall have
the same effect as if such certificates had been signed by
the Mayor and city Secretary in person by their manual
signatures. Inasmuch as such certificates are required to
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be registered by the Comptroller of Public Accounts for the
State of Texas, only his signature (or that of a deputy
designated in writing to act for the Comptroller) shall be
required to be manually subscribed to said certificates in
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connection with his registration certificate to appear
thereon, as hereinafter provided.
Section 5: That the principal of and interest on
said certificates 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
surrender of proper certificate or interest coupon, as the
case may be, at Bayshore National Bank, La Porte, Texas, or
at the option of the bearer, at First City Bank of La Porte,
La Porte, Texas, which banks shall be the paying agents for
said certificates.
Section 6: The certificates, including the form
of Registration Certificate of the Comptroller of Public
Accounts of the State of Texas, and the form of interest
coupons, shall respectively be in substantially the form set
forth in Exhibit A attached hereto and made a part of this
ordinance for all purposes.
Section 7: That to provide for the payment of the
interest on said certificates as it accrues and to provide a
sinking fund for the redemption of said certificates at
maturity or a sinking fund of 2% (whichever amount shall be
greater), there shall be and there is hereby levied for the
current year and each succeeding year thereafter while said
certificates or interest thereon shall remain outstanding
and unpaid, a sufficient tax on each one hundred dollars'
valuation of taxable property in said City, adequate to pay
such interest and to provide for such sinking fund, after
full allowance has been made for delinquencies and costs of
collection; said tax shall be assessed and collected each
year and applied to the payment of said interest and to
provide for such sinking fund, and same shall not be diverted
to any other purpose. The taxes so levied shall be paid
into a fund known as "SPECIAL CITY OF LA PORTE, TEXAS,
CERTIFICATES OF OBLIGATION FUND, SERIES 1980," which is
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hereby established for the payment of the obligations herein
authorized. The Council h~reby declares its purpose and
intent to provide and levy a tax legally and fully sufficient
for such certificates, it having been determined that the
existing and available taxing authority of the City for such
purpose is adequate to permit a legally sufficient tax in
consideration of all other outstanding obligations.
Section 8: The sale of said certificates to
Bayshore National Bank, La Porte, Texas, and First City Bank
of La Porte, La Porte, Texas, at the price of par and accrued
interest to date of delivery is hereby confirmed. Delivery
of the certificates shall be made to said purchaser as soon
as may be after the adoption of this ordinance, upon payment
therefor in accordance with the terms of sale.
Section 9: That the City hereby covenants with
the purchasers and any subsequent holders of said certificates
that the City will not. make any use of the proceeds of said
certificates which will cause said certificates to be or
become "arbitrage bonds" within the meaning of Section
l03(c) of the Internal Revenue Code of 1954, as amended, or
any regulations promulgated thereunder, and that the City
will otherwise comply with the pertinent provisions of said
section l03(c) and regulations in order that said certificates
will not be or become lIarbitrage bonds" thereunder.
section 10: The Mayor of the City shall be and he
is hereby authorized to take and have charge of all necessary
orders and records pending investigation by the Attorney
General of the State of Texas, and shall take and have
charge and control of the certificates herein authorized,
pending their approval by the Attorney General, registration
by the Comptroller of Public Accounts, and delivery to the
purchasers thereof.
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Section 11: That this Ordinance shall become
effective and be in full force immediately upon and after
its adoption.
PASSED AND APPROVED, this the 17th day of December,
1980.
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Mayor,
Texas
ATTEST:
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City of La PoJrte,
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Exhibit A
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NO.
UNITED STATES OF AMERICA
$5,000
STATE OF TEXAS
COUNTY OF HARRI S
CITY OF LA PORTE, TEXAS, CERTIFICATE OF
OBLIGATION, SERIES 1980
THIS IS TO CERTIFY that, FOR VALUE RECEIVED, the
City of La Porte, a municipal corporation of the State of
Texas, is justly indebted to and hereby obligates itself to
pay to the bearer on the FIRST DAY OF FEBRUARY, 19 , the
sum of
FIVE THOUSAND DOLLARS
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with interest thereon from the date hereof to maturity at
the rate of SEVEN AND THREE-FOURTHS PER CENTUM (7 3/4%) per
annum, evidenced by interest coupons payable on August 1,
1981, and semiannually thereafter on February 1. and August 1
of each year while this certificate is outstanding. The
principal of this certificate and the interest coupons
attached hereto shall be payable to bearer, in lawful money
of the United States of America, without exchange or collec-
tion charges to the bearer, upon presentation and surrender
of this certificate or proper interest coupon at Bayshore
National Bank, La Porte, Texas, or, at the option of the
bearer, at First City Bank of La Porte, La Porte, Texas,
which banks shall be the paying agents for this series of
certificates of obligation.
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THIS CERTIFICATE is one of a. series of certificates
of obligation dated November 1, 1980, issued in the aggregate
principal amount of $800,000 and together with other certifi-
cates of said series, is issued to obtain funds for the
purpose of constructing and purchasing a public works service
center, under and by virtue of the Constitution and laws of
the State of Texas, including The Certificate of Obligation
Act of 1971, as amended, and in accordance with an ordinance
duly passed and adopted by the Council of the City of La Porte,
Texas, and of record in the minutes of said Council.
IT IS HEREBY CERTIFIED, RECITED AND REPRESENTED
that all acts, conditions or things required to be done
precedent to and in the issuance of this certificate and the
series of which it is a part have been properly done, have
happened and been performed in regular and due time, form
and manner as required by the Constitution and laws of the
State of Texas and the ordinance authorizing this series of
certificates; that the total indebtedness of the City,
including this certificate and the series of which it is a
part, does not exceed any constitutional or statutory limita-
tion, and that a sufficient tax to pay the principal of and
interest on this certificate and of the series of which it
is a part at their'respective maturities has been levied and
will continue to be levied and collected and applied in
payment thereof.
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IN TESTIMONY WHEREOF, this certificate and the
interest coupons attached hereto have been signed by the
imprinted or lithographed facsimile signature of the Mayor
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of said City and countersigned by the imprinted or litho-
graphed facsimile signature of the City Secretary, and the
official seal of said -City has been duly printed or litho-
graphed on this certificate, all as of the 1st day of November,
1980. ~
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Mayor, City of La Porte, Texas
COUNTERSIGNED:
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COMPTROLLER'S REGISTRATION
CERTIFICATE
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REGISTER NO.
I HEREBY CERTIFY that there is on file and of
record in my office a certificate of the Attorney General of
the State of Texas, to the effect that this certificate of
obligation has been examined by him as required by law and
that he finds that it has been issued in conformity with the
Constitution and laws of the State of Texas, -and that it is
a valid and binding obligation upon said City of La Porte,
Texas, and said certificate of obligation has this day been
registered by me.
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WITNESS MY HAND AND SEAL OF OFFICE at, Austin,
Texas,
Comptroller of Public Accounts
of the State of Texas
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On ,19 ,the City of La Porte,
in the County of Harris, State of Texas, promises to pay to
bearer, the above specified sum in lawful money of the
United States of America, without exchange or collection
charges to the bearer, upon presentation and surrender of
this interest coupon at the Bayshore National Bank, La Porte,
Texas, or, at the option of the bearer, at First City Bank
of La Porte, La Porte, Texas, said amount being interest due
that day on.the certificate of obligation bearing the number
hereinafter designated, of that issue of the City of La Porte,
Texas, Certificates of Obligation, Series 1980, dated November 1,
1980. Certificate No~
Mayor,
City Secretary
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