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Ord. 0103 1964-12-03AN ORDINANCE AUTHORIZING THE ISSUANCE OF $800,000 WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BONDS, SERIES 1964; PRESCRIBING THE TERMS AND PROVISIONS THEREOF; LEVYING TAXES TO PAY THE INTEREST ON AND PRINCIPAL OF SUCH BONDS; AWARDING THE SALE THEREOF; CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT; AND PROVIDING THAT THIS ORDINANCE SHALL BE EFFECTIVE UPON AND AFTER ITS ADOPTION THE STATE OF TEXAS COUNTY OF BRAZORIA /62 The City Council of the City of Pearland, Texas, convened in special session at the regular meeting place within said City on the 3rd day of December, 1964, with the following members present, to -wit: John G. Kegley Mayor Thomas P. Alexander Alderman Victor A. Nolen Alderman Steve A. Shukanes Alderman Gene E. Sanders Alderman Jack Harrison City Attorney W. A. McClellan Secretary and Tax Assessor -Collector and the following members absent, to -wit: V1erVLJL when the following business was transacted: The Mayor introduced an ordinance which was read in full. Alderman ade a motion that the ordinance be adopted as read. Alderman seconded the motion for adoption of the ordinance. The motion, carrying with it the adoption of the ordinance, prevailed by the following vote: AYES: Mayor .Kegley, Aldermen Alexander, Nolen, Shukanes, and Sanders. NOES: None. 3 The Mayor thereupon announced that the motion had been duly and lawfully carried and that the ordinance had been duly and lawfully adopted. The ordinance thus adopted follows: AN ORDINANCE AUTHORIZING THE ISSUANCE OF $800,000 WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BONDS, SERIES 1964; PRESCRIBING THE TERMS AND PROVISIONS THEREOF; LEVYING TAXES TO PAY THE INTEREST ON AND PRINCIPAL OF SUCH BONDS; AWARDING THE SALE THEREOF; CONTAINING OTHER PROVI- SIONS RELATING TO THE SUBJECT; AND PROVID- ING THAT THIS ORDINANCE SHALL BE EFFECTIVE UPON AND AFTER ITS ADOPTION WHEREAS, at an election held in and throughout the City of Pearland on July 11, 1964, more than a majority of the duly qualified resident electors of said City who owned taxable property within said City and who had duly rendered the same for taxation, voting at said election, voted in favor of the issuance of the bonds of said City in the principal amount of (a) $1,000,000 for the purpose of constructing permanent improvements, enlargements and extensions to the sanitary sewer system of said City, and (b) $500,000 for the purpose of constructing permanent improve- ments, enlargements, and extensions to the waterworks system of said City, and (c) $100,000 for public building purposes, to -wit: the construction and equipping of a city hall, fire station, and police station building in and for said City; and WHEREAS, said election was called and notice thereof was given and said election was held under and in strict conformity with law, and the City Council of said City has heretofore officially canvassed the returns of said election and has determined and declared the specific authority of said City to issue said bonds; and -2- WHEREAS, this City Council now deems it advisable to issue, sell and deliver (a) $150,000 of the $500,000 waterworks system tax bonds and (b) $650,000 of the said $1,000,000 sanitary sewer system bonds authorized at said election of July 11, 1964, leaving the remaining $350,000 waterworks system tax bonds and the remaining $350,000 sanitary sewer system tax bonds authorized at said election of July 11, 1964, to be issued, sold and delivered at a later date; Therefore BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1: AMOUNT, NAME, PURPOSE AND AUTHORIZATION OF BONDS: That the serial coupon tax bonds of the City of Pearland, Texas, be issued in the principal sum of $800,000, to be known and designated as "CITY OF PEARLAND, TEXAS, WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BONDS, SERIES 1964", for the purpose of constructing permanent improvements, enlargements, and extensions to the waterworks and sanitary sewer systems of the City, under and by virtue of the Constitution and laws of the State of Texas, particularly Chapters 1 and 7 of Title 22, Revised Civil Statutes of Texas, 1925, as amended, and pursuant to an election held in and throughout said City on July 11, 1964, at which election more than a majority of the duly qualified resident electors of said City who owned taxable property within said City and who had duly rendered the same for taxation, voting at said election, voted in favor of the issuance of said bonds. Section 2: 2.01 - DATE, BOND NUMBERS, DENOMINATION AND MATURITIES: That said bonds shall be dated December 1, 1964, shall be numbered consecu- tively from 1 to 160, both inclusive, shall be in the denomination of 5,000 each, and shall become due and payable serially in their numerical order on June 1st in each of the years 1971 to 1994, both inclusive, in the respective amounts shown in the fol- lowing schedule, to -wit: Bonds Nos. Year of Amount (both incl.) Maturity Maturing 1 - 3 1971 $15,000 4 - 7 1972 20,000 8 - 10 1973 15,000 11 - 13 1974 15,000 14 - 16 1975 15,000 17 - 20 1976 20,000 21 - 24 1977 20,000 25 - 28 1978 20,000 29 - 32 1979 20,000 33 - 40 1980 40,000 41 - 47 1981 35,000 48 - 54 1982 35,000 55 - 61 1983 35,000 62 - 69 1984 40,000 70 - 75 1985 30,000 76 - 81 1986 30,000 82 - 88 1987 35,000 89 - 97 1988 45,000 98 - 107 1989 50,000 108 - 117 1990 50,000 118 - 127 1991 50,000 128 - 138 1992 55,000 139 - 149 1993 55,000 150 - 160 1994 55,000 2.02 - OPTION OF PRIOR REDEMPTION: The City expressly reserves the right to redeem Bonds Nos. 70 to 160, both inclusive (being those bonds maturing in each of the years 1985 to 1994, both inclusive), of this issue, in whole or in part on June 1, 1984, and on any interest payment date thereafter by paying to the owners o:r holders thereof a sum equal to the principal amount of the bonds called for redemption plus unpaid accrued interest thereon to the date fixed for redemption. If the City elects to redeem all or any part of said bonds on any such redemption date, notice of the exercise of the option to redeem shall be given in writing to the bank at which said bonds are payable, and said notice shall be published one (1) time in a financial journal or publication of general circulation in the United States of America, which notice shall be mailed to said bank and published in said journal or publication at least thirty (30) days prior to the date fixed for redemption. When said bonds, in whole or in part, have been called for redemption in the manner prescribed and due provision has been made to pay the principal of the bonds called for redemption and unpaid accrued interest thereon to the date fixed for redemption, the right of the owners or holders to collect interest which would otherwise accrue after the redemption date on the bonds called for redemption shall terminate on the date fixed for redemption. Section 3: 3.01 - INTEREST RATES AND INTEREST PAYMENT DATES: That said bonds shall bear interest per annum at the following rates, respectively, to -wit: Bonds Nos. 1 to 110 , both inclusive, OD •:, Bonds Nos. `l to 101 , both inclusive, 3,(0(D%, Bonds Nos • 102.„ to both inclusive, ef'.i,11,j % , Bonds Nos. q2,,, to '1 , both inclusive, 3 U %, and Bonds Nos. 11to 160, both inclusive, q112_%, -5- interest payable June 1, 1965, and semi-annually thereafter on December 1st and June 1st in each year until the principal sum is paid. 3,02 - MEDIUM AND PLACE OF PAYMENT: That both principal of and interest on said bonds shall be payable, without exchange or collection charges to the owners or holders of said bonds and/or the interest coupons appurtenant thereto, at the First City National Bank of Houston, Houston, Texas, in any coin or currency which, on the respective dates of payment of such principal and interest, is legal tender for the payment of debts due the United States of America. The principal of such bonds shall be payable only upon presentation and surrender of said bonds as they respectively become due, and interest falling due on and prior to the respective maturity dates of the bonds shall be payable only upon presentation and surrender of the interest coupons attached to said bonds as such coupons severally become due. Section 4: EXECUTION OF BONDS AND INTEREST COUPONS: That each of said bonds shall be signed by the Mayor and countersigned by the City Secre- tary, by their printed, engraved, lithographed or stamped facsimile signatures, and the facsimile of the corporate seal of said City shall be printed, engraved, lithographed or stamped upon each of said bonds. The interest coupons attached to said bonds shall also be executed by the printed, engraved, lithographed or stamped facsimile signatures of said Mayor and City Secretary. Said facsimile signatures on the bonds and interest coupons shall have the same effect as if each of said bonds had been signed manually and in person by each of such officers, and said facsimile seal on the bonds shall have the same effect as if the official seal of said City had been manually impressed upon each of said bonds. The registration certificate of the Comptroller of Public Accounts of the State of Texas, which certificate is to be printed on the back of eac1 of said bonds as set forth hereafter in Section 7 of this ordinance, shall be manually subscribed, and the official seal of said Comptroller shall be manually impressed thereon. Section 5: FORM OF BONDS: That said bonds shall be in substantially the following form: NO, $5,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF BRAZORIA CITY OF PEARLAND, TEXAS, WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BOND, SERIES 1964 THE CITY OF PEARLAND, in the County of Brazoria, in the State of Texas, FOR VALUE RECEIVED, acknowledges itself indebted to and hereby PROMISES TO PAY TO BEARER ON THE FIRST DAY OF JUNE, 19 , the sum of FIVE THOUSAND DOLLARS ($5,000), with interest thereon from the date hereof at the rate of % (NOTE TO PRINTER: For interest rates, see Section 3.01 of bond ordinance) per annum, interest payable June 1, 1965, and semi-annually thereafter on December 1st and June 1st of each year until the principal sum is paid. Both principal of and interest on this bond shall be payable in any coin or currency which on the respective dates of payment of such principal and interest is legal tender for the payment of debts due the United States of America, at the First City National Bank of Houston, Houston, Texas, without exchange or collection charges to the owner or holder. The principal hereof shall be payable only upon presentation and surrender of this bond, and interest hereon falling due on and prior to the maturity of this bond shall be payable only upon presentation and surrender of the interest coupons hereto attached as such coupons severally become due. THE DATE OF THIS BOND, in conformity with the ordinance hereinafter mentioned, is DECEMBER 1, 1964. THIS BOND IS ONE OF A SERIES OF 160 SERIAL BONDS of like date and tenor, except as to serial number, interest rate, maturity, and option of prior redemption, being numbered con- secutively from 1 to 160, both inclusive, in the denomination of $5,000 each, aggregating $800,000 ($150,000 being a portion and the first installment of $500,000 waterworks system bonds and $650,000 being a portion and the first installment of $1,000,000 sanitary sewer system bonds, all voted at an election held in said City on July 11, 1964), and, together with the other bonds of said series, is issued for the purpose of constructing permanent improvements, enlargements, and extensions to the waterworks and sanitary sewer systems of the City, under and in strict conformity with the Constitution and laws of the State of Texas, particularly Chapters 1 and 7 of Title 22, Revised Civil Statutes -8- of Texas, 1925, as amended, and by authority of a vote of the duly qualified resident electors of said City who owned taxable property within said City and who had duly rendered the same for taxation, and pursuant to an ordinance duly passed and adopted by the City Council of said City, which ordinance is duly recorded in the official minutes of said City Council. THE CITY EXPRESSLY RESERVES THE RIGHT TO REDEEM BONDS NOS. 70 to 160, both inclusive (being those bonds maturing in each of the years 1985 to 1994, both inclusive), of this issue, in whole or in part on June 1, 1984, and on any interest payment date thereafter by paying to the owners or holders thereof a sum equal to the principal amount of the bonds called for redemption plus unpaid accrued interest thereon to the date fixed for redemption. If the City elects to redeem all or any part of said bonds on any such redemption date, notice of the exercise of the option to redeem shall be given in writing to the bank at which said bonds are payable, and said notice shall be pub- lished one (1) time in a financial journal or publication of general circulation in the United States of America, which notice shall be mailed to said bank and published in said journal or publication at least thirty (30) days prior to the date fixed for redemption. When said bonds, in whole or in part, have been called for redemption in the manner prescribed and due provision has been made to pay the principal of the bonds called for redemption and unpaid accrued interest thereon to the date fixed for redemption, the right of the owners or holders to collect interest which would otherwise accrue after the redemption shall terminate on the date fixed for redemption. IT IS HEREBY CERTIFIED, RECITED AND REPRESENTED that all acts, conditions and things necessary to be done precedent to and in the issuance of this bond and the other bonds of the series of bonds of which this is one, in order to render the same legal, valid and binding obligations of said City, have been done, have happened, and have been performed in regular and due time, form and manner as required by law; that due provision has been made for the payment of the principal of and interest on this bond and the other bonds of the series of which this bond is one, by the levy of a direct annual ad valorem tax upon all taxable property within said City, sufficient for said purposes; and that the entire issue of bonds of which this one is a part, together with all other indebtedness of said City does not exceed any Constitutional or statutory limitation. IN TESTIMONY WHEREOF, the City Council of the City of Pearland, Texas, has caused the facsimile of the corporate seal of said City to be printed, engraved, lithographed or stamped hereon, this bond to be signed by the Mayor of said City and countersigned by the City Secretary, by their printed, engraved, lithographed or stamped facsimile signatures, and the interest coupons hereto annexed also to be executed by the facsimile signatures of said Mayor and City Secretary, all as of the 1st day of December, 1964. COUNTERSIGNED City Secretary Mayer, City of Pea la , Te :s -10- Section 6: FORM OF INTEREST COUPONS: That the interest coupons to be attached to said bonds shall be in substantially the following form: NO. ON THE 1ST DAY OF , 19 , * THE CITY OF PEARLAND, in the County of Brazoria, State of Texas, PROMISES TO PAY TO BEARER, without exchange or collection charges, at the First City National Bank of Houston, Houston, Texas, the sum of , in any coin or currency which on such date is legal tender for the payment of debts due the United States of America, being interest due that date on City of Pearland, Texas, Waterworks and Sanitary Sewer System Improvement Bond, Series 1964, bearing the number hereinafter specified, dated December 1, 1964. Bond No. Mayor j City of Pear and, Texa City Secretary *(Coupons maturing after. June 1, 1984, shall contain the following additional clause: unless the bond to which this coupon appertains has been called for previous redemption and due provision made to redeem same,) Section 7: REGISTRATION OF BONDS BY COMPTROLLER AND FORM OF REGISTRATION CERTIFICATE: That each of said bonds shall be registered by the Comptroller of Public Accounts of the State of Texas, as provided -11- by law, and the registration certificate of said Comptroller of Public Accounts shall be printed on the back of each of said bonds, shall be manually executed, and shall be in sub- stantially the following form: OFFICE OF THE COMPTROLLER REGISTER NO. THE STATE OF TEXAS 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 bond has been examined by him as required by law, 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 the City of Pearland, Texas; and said bond has this day been registered by me. WITNESS MY HAND AND SEAL OF OFFICE at Austin, Texas, Comptroller of Public Accounts of the State of Texas Section 8: INTEREST AND SINKING FUND - TAX LEVY: That there is hereby created a special fund to be called "City of Pearland, Texas, Waterworks and Sanitary Sewer System Improvement Bonds, Series 1964, Interest and Sinking Fund", and all taxes levied, assessed and collected for and on account of said bonds authorized by this ordinance shall, as collected, be deposited into said Fund. That while said bonds or any part of the principal thereof or interest thereon remain outstanding and unpaid, there is hereby levied and there shall be annually assessed and collected in due time, form and -12- manner, and at the same time other City taxes are levied, assessed and collected, in and for each year, beginning with the current year, a continuing direct annual ad valorem tax upon all taxable property within said City at a rate each year sufficient to pay the current interest on said bonds and to create and provide a sinking fund of not less than 2% of the principal amount of said bonds then outstanding or not less than the amount required to pay the principal payable out of said tax, whichever is greater, full allowance being made for delinquencies and costs of collection, and said taxes, when collected, shall be applied to the payment of the interest on and principal of said bonds, and to no other purpose. Section 9: APPROVAL AND REGISTRATION OF BONDS BY STATE OFFICERS: That it shall be the duty of the Mayor to submit the record of said bonds, and the bonds, to the Attorney General of the State of Texas, for examination and approval, and thereafter to have such bonds registered by the Comptroller of Public Accounts of the State of Texas. Section 10: SALE OF BONDS: That the sale of bonds ti lAt at,l-(;) c___ GAS -'A at a price equal to the principal amount of said bonds plus accrued interest thereon from the date hereof to the date of actual delivery, plus a cash premium of $ 0 , subject to the unqualified approving opinion, as to the legality of such bonds, of the Attorney General of the State of Texas and Vinson, Elkins, Weems & Searls, Houston, Texas, market attorneys, is hereby authorized, approved, ratified and confirmed. When said bonds have been approved by said Attorney General and registered by said Comptroller of Public Accounts, they shall be delivered to the named purchaser upon receipt of the full purchase price. Section 11: DUTIES OF CITY OFFICERS: That the Mayor, the City Secretary, and other appropriate officials of the City are hereby authorized and directed to do any and all things necessary or convenient to carry out the provisions of this ordinance. Section 12: EFFECTIVE DATE OF ORDINANCE: That this ordinance shall become effective and be in full force upon and after its adoption, and it is so ordained. PASSED AND APPROVED this 3rd day of December, 1964. Mayor. City of Pearland Texa ATTEST: City Secretary, City of Pearland, Texas (SEAL) r 'r Y 1t CITY OF PEARLAND, TEXAS WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BONDS, SERIES 1964 $800,000 5%, 3 .6o%, 3 .75%, 3 .80% and 3 .90% VINSON, ELKINS, WEEMS & SEARLS ATTORNEYS AT LAW FIRST CITY NATIONAL BANK BUILDING HOUSTON 2, TEXAS December 28, 1964 CITY OF PEARLAND, TEXAS, WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BONDS, SERIES 1964 WE HAVE EXAMINED into the validity of the $800,000 CITY OF PEARLAND, TEXAS, WATERWORKS AND SANITARY SEWER SYSTEM IMPROVEMENT BONDS, SERIES 1964, dated December 1, 1964, numbered consecutively from 1 to 160, both inclusive, in the denomination of $5,000 each, aggregating $800,000, bearing interest per annum at the respective rates shown below, interest payable June 1, 1965, and semi-annually thereafter on December 1 and January 1 of each year, and maturing serially in their numerical order on the 1st day of June in each of the years 1971 to 1994, both inclusive, in the respective amounts shown in the following schedule: Bonds Nos. Interest Year of Amount (both incl. ) Rate Maturity Maturing 1 - 3 5% 1971 $15,000 4 - 7 5% 1972 20,000 8 - l0 5% , 1973 15,000 11 - 13 5% 1974 15,000 14 - 16 5% 1975 15,000 17 - 20 3.60% 1976 20,000 21 - 24 3.6o% 1977 20,000 25 - 28 3.60% 1978 20,000 29 - 32 3.6o% 1979 20,000 33 - 4o 3.6o% 198o 40,000 41 - 47 3.6o% 1981 35,000 48 - 54 3.6o% 1982 35,000 55 - 61 3.6o% 1983 35,000 62 - 69 3.75% 1984 4o,000 7o - 75 3.75% 1985 30,000* 76 - 81 3.75% 1986 30,000* 82 - 88 3.8o% 1987 35,000* 89 - 97 3.8o% 1988 45,000* 98 - 107 3.80% 1989 50,000* 108 - 117 3.8o% 1990 50,000* 118 - 127 3.8o% 1991 50,000* 128 - 138 3.9o% 1992 55,000* 139 - i49 3.9o% 1993 55,000* 15o - 16o 3.9o% 1994 55,000* *(Bonds Nos. 70 to 160, both inclusive, being .. redeemable by the City on June 1, 1984,. and on any interest payment date thereafter at a price of par and accrued interest to the date fixed for redemption. ) The bonds of this issue constitute a portion and the first installment of $1,500,000 City of Pearland, Texas, Waterworks and Sanitary Sewer System Improvement Bonds authorized at an election held in and throughout said City on the llth day of July, 1964. WE HAVE EXAMINED the Constitution and laws of the State of Texas and certified copies of the proceedings of the City Council of the City of Pearland, Texas, authorizing the issuance of said bonds, together with other proofs and showings relating thereto, including executed Bond No. 1 of said issue. FROM SUCH EXAMINATION, IT IS OUR OPINION that: (1) All of said $800,000 Waterworks and Sanitary Sewer System Bonds, Series /6- r (3) All taxable property within said City is subject to the levy of taxes to pay the interest on and principal of said $800,000 Bonds, as such interest and principal respectively become due and payable, within the limits prescribed by law. IT IS OUR FURTHER OPINION that the interest on such $800,000 Bonds is exempt from Federal income taxes under existing statutes, regulations, rulings and court decisions. . t t 0/4 014k GENERAL CERTIFICATE THE STATE OF TEXAS § COUNTY OF BRAZORIA § I, the undersigned, City Secretary of the City of Pearland, Texas, do hereby make and execute this certificate for the benefit of the Attorney General of the State of Texas and for all other persons and parties interested in the $800,000 City of Pearland Waterworks and Sanitary Sewer System Improvement Bonds, Series 1964, dated December 1, 1964. I certify the following: ( 1) That the City of Pearland, Texas, is duly incorporated under the general laws of the State of Texas with the aldermanic form of government; that said City has lawfully adopted the pro- visions of Title 28, Revised Civil Statutes of Texas, relating to cities and towns, and has never adopted a Home-Rule Charter; and that the following are the duly elected or appointed, qualified and acting officers of said City: John G. Kegley Mayor Thomas P. Alexander Alderman Victor A. Nolen Alderman Steve A. Shukanes Alderman Gene E. Sanders Alderman W. A. McClellan City Secretary and Tax Assessor-Collector ( 2) That because of the resignation from the office of Mayor of said City by the Hon. E. T. Gibbons a vacancy existed in 41 office of Alderman thus caused has never been filled although an election will be held to fill said vacancy on December 5, 1964 . (3) That the following is a true , correct and complete statement of the indebtedness of said City payable from ad valorem taxes : ASSUMED BRAZORIA COUNTY WATER CONTROL AND IMPROVEMENT DISTRICT NO . 3 BONDS Purpose Date Interest Maturities Amt . Outst . WW & SS 4-1-61 4% $ 1M 4-1-1965/69 $100,000 2M 1970/74 3M 1975/79 4 .20% lOM 1981/87 WW & SS 10-1-63 3-3/4% 10M 4-1-1965/72 187,000 15M 1973/78 17M 1979 BONDS IN PROCESS OF BEING ISSUED Purpose Date Interest Maturities Amt . Outst . WW & SS 12-1-64 $15M 6-1-1971 $800,000 20M 1972 15M 1973/75 20M 1976/79 4oM 198o 35M 1981/83 4oM 1984 3oM 1985/86 35M 1987 45M 1988 5oM 1989/91 55M 1992/94 WITNESS MY HAND AND THE OFFICIAL SEAL OF SAID CITY, this 3rd day of December, 1964. City Secretary, City of Pearland, Texas WAIVER AND RATIFICATION CERTIFICATE THE STATE OF TEXAS § COUNTY OF BRAZORIA § We , the undersigned, members of the City Council of the City of Pearland, Texas , do hereby waive notice of and consent to the holding of a special meeting of said City Council on the 18th day of June , 1964, for the purpose of adopting an ordinance entitled: AN ORDINANCE CHANGING THE DESIGNATION OF THE TOWN OF PEARLAND, TEXAS, FROM THE TOWN OF PEARLAND, TEXAS, TO THE CITY OF PEARLAND, TEXAS; and also for the purpose of adopting a resolution entitled: A RESOLUTION CALLING A BOND ELECTION IN AND THROUGH- OUT THE CITY OF PEARLAND, TEXAS; PROVIDING AND FIXING DETAILS RELATING THERETO; AND CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT . We hereby ratify, adopt, confirm, and approve all proceed- ings had by said City Council at said special meeting. WITNESS OUR HANDS this 1 day of se , 1964 . (1 - (41u, So A. Shukanes Tom Alexander