Ord. 0726-02 11-08-99CITY OF PEARLAND
ORDINANCE NO. 726-2
AN ORDINANCE CORRECTING, AMENDING, REVISING AND MODIFYING
ORDINANCE NO. 930; ESTABLISHING RATE PERIODS FOR THE CITY OF
PEARLAND, TEXAS, WATER AND SEWER SYSTEM ADJUSTABLE RATE REVENUE
BONDS, SERIES 1999; MAKING OTHER PROVISIONS REGARDING SUCH BONDS
AND MATTERS INCIDENT THERETO; AND DECLARING AN EMERGENCY, AS THE
TIMELY DETERMINATION OF SUCH TERMS OF THE WATER AND SEWER SYSTEM
ADJUSTABLE RATE REVENUE BONDS, SERIES 1999, BEARS DIRECTLY UPON THE
HEALTH, SAFETY, AND WELFARE OF THE CITIZENRY.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PEARLAND,
TEXAS:
ARTICLE I.
FINDINGS AND DETERMINATIONS
Section 1.1. Findings and Determinations. It is hereby officially found and
determined that:
(a) The City has previously authorized the issuance, sale and delivery of its
Water and Sewer System Adjustable Rate Revenue Bonds, Series 1999 (the "Series 1999
Bonds").
(b) Pursuant to Ordinance No. 930 (the "Bond Ordinance") which authorized the
issuance of the Series 1999 Bonds, the City reserved the right to determine the Rate Period
or Periods during which Series 1999 Bonds shall bear interest at the Long Rate or Rates
applicable to such Series 1999 Bonds.
(c) The City has determined that upon their initial issuance the Series 1999
Bonds should be divided into two Rate Periods as provided herein.
(d) The Purchaser, in consultation with the City, has established initial Rate
Periods for the Series 1999 Bonds, as provided herein.
ARTICLE IL
DEFINITIONS AND INTERPRETATIONS
Section 2.1. Definitions. Capitalized terms used herein and not defined shall have the
meanings prescribed by the Bond Ordinance.
ARTICLE ILL
RATE PERIODS FOR THE SERIES 1999 BONDS
Section 3.1. Rate Periods Established. The Series 1999 Bonds shall be issued initially as
Bonds bearing interest in two Rate Periods as follows.
(a) Series 1999 Bonds in the principal amount of $4,000,000 shall bear interest at the
Long Rate established by the Rate Setting Agent for an initial Rate Period from the date of delivery
until September 1, 2001. The initial Long Rate for such Series 1999 Bonds has been determined by
the Rate Setting Agent to be 4.78%, and such rate is hereby accepted and approved. Unless
otherwise approved by the City Council pursuant to the Bond Ordinance, each subsequent Rate
Period for the Series 1999 Bonds which bear interest in accordance with this subsection 3.1(a) shall
be for a period of two years.
(b) Series 1999 Bonds in the principal amount of $4,000,000 shall bear interest at the
Long Rate established by the Rate Setting Agent for an initial Rate Period from the date of delivery
until September 1, 2002. The initial Long Rate for such Series 1999 Bonds has been determined by
the Rate Setting Agent to be 4.98%, and such rate is hereby accepted and approved. Unless
otherwise approved by the City Council pursuant to the Bond Ordinance, each subsequent Rate
Period for the Series 1999 Bonds which bear interest in accordance with this subsection 3.1(b) shall
be for a period of three years.
ARTICLE IV.
MISCELLANEOUS
Section 4.1. Ratification and Approval of the Bond Ordinance. The Bond Ordinance, as
corrected, amended, revised and modified in the form attached hereto as Exhibit A is hereby ratified
and approved.
Section 4.2. Further Proceeding. The Mayor of the City, the City Secretary of the City
and other appropriate officials of the City are hereby authorized and directed to do any and all
things necessary and/or convenient to carry out the terms of this Ordinance.
Section 4.3. Severability. If any Section, paragraph, clause or provision of this
Ordinance shall for any reason be held to be invalid or unenforceable, the invalidity or
unenforceability of such Section, paragraph, clause or provision shall not affect any of the
remaining provisions of this Ordinance.
Section 4.4. Open Meeting. It is hereby found, determined and declared that a sufficient
written notice of the date, hour, place and subject of the meeting of the City Council at which this
Ordinance was adopted was posted at a place convenient and readily accessible at all times to the
general public at the City Hall of the City for the time required by law preceding this meeting, as
required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended, and that
this meeting has been open to the public as required by law at all times during which this Ordinance
and the subject matter thereof has been discussed, considered and formally acted upon. The City
Council further ratifies, approves and confirms such written notice and the contents and posting
thereof
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Section 4.5. Governing Law. This Ordinance shall be construed in accordance with
and governed by the laws of the State of Texas.
Section 4.6. Declaration of Emergency. It is hereby officially found and determined that
a case of emergency affecting life, health, property and the public peace exists which requires the
holding of the meeting at which this Ordinance is passed and further requires that this Ordinance be
passed finally and take effect immediately on the date of its introduction, such emergency and
urgent public necessity being that the proceeds from the sale of the Series 1999 Bonds are required
as soon as possible and without delay for the purposes set forth herein.
Section 4.7. Repealer.. All ordinances, or parts thereof inconsistent herewith, are hereby
repealed to the extent of such inconsistency.
PASSED AND APPROVED THIS 8th day of November , 1999.
ATTEST:
Exhibit A Bond Ordinance
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Mayor, City ofPearland, Texas
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INCUMBENCY AND SIGNATURE CERTIFICATE
I, the duly appointed and acting City Secretary of the City of Pearland, Texas (the
"City"), certify as follows for the benefit of the Attorney General and other persons interested in
the issuance of the "City of Pearland, Texas Water and Sewer System Adjustable Rate Revenue
Bonds, Series 1999" (the "Series 1999 Bonds"):
1. Tom Reid is the duly selected and acting Mayor of the City and his manual
signature is shown below:
WITNESS MY HAND this 8th of November, 1999
ng Lo
ity Secr
City of Pearland, Texas
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CERTIFICATE REGARDING RESERVE FUND
I, the undersigned, being the Director of Finance of the City of Pearland, Texas (the
"City"), hereby certify as follows in connection with the issuance of "City of Pearland, Texas
Water and Sewer System Adjustable Rate Revenue Bonds, Series 1999" in the aggregate
principal amount of $8,000,000 (the "Series 1999 Bonds"). Capitalized terms not defined herein
are those defined in the Ordinance authorizing the issuance of the Series 1999 Bonds.
1. Before the date hereof, $ has been transferred from the Debt
Service Reserve Fund to the Interest and Sinking Fund.
2. Following such transfer to the Interest and Sinking Fund, the amount of money
and investments, including a Surety Policy, on deposit in the Debt Service Reserve Fund
is $ (which consists of a Surety Policy insuring payment of $779,673.25
and money and investments in the amount of $ ).
3.. Pursuant to Section 5.7 of the Ordinance, the funds currently on deposit in the
Debt Service Reserve Fund (in the amount set forth in the preceding paragraph) shall
remain on deposit therein until such time as the Ordinance permits the City to withdraw
such funds as provided therein.
WITNESS MY HAND this
Di ctor of Finance
City of Pearland, Texas
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