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HomeMy WebLinkAboutORDINANCE 0207-1972CITY OF KENAI, ALASKA ORDINANCE NO. ~: AN ORDI}~ANCE OF THE CITY OF KENAI, ALASKA, PROVIDING FOR THE ISSUA~CE AND SALE OF $1,000,000 OF GENERAL PURPOSE, GENERAL OBLIGATION BONDS ~F THE CITY OF KENAI FOR THE PURPOSE OF PROVIDING FUNDS TO DESIGN, PLAN, ACQUIRE, CONSTRUCT, I~STALL ~D E~UIP A CIVIC CENTER COMPLEX, ADDITIONS AND IMPROVEMENTS TO THE WATF. R SYSTEM, ADDITIONS A~D IMPROVEML~'TS TO TI~ MUNICIPAL ~.IRPORT, A NEW St4ALL BOAT IIARBOR AND IM- PROVEMENTS TO STREETS AND ROADS ~ A/{D FIXING THE DATE, FORM, TEPJ4S AND f~ATURITIES OF SUCH BONDS. WIIEI~EAS, at a special election held in the C£ty Kenai, Alaska, on ~ay 25, 1971, pursuant to Resolution No. 71-12, adopted May 5, 1971, the provisions of the Charter o~ th~ City of Kenai and other proceedings duly and regularly taken, the qualified voter~ of the City authorized the issu- ance of general obligation bonds of the City in the following amounts for the following purpo~es~ 1. $800,000 to plan, acquits, install and equip a civic center complex for the City includ£ng an auditor£um convention center, a library health center, conference rooms, kitchen and swimming pool, together with all necessary utilities and appurtenances~ 2. $i,421,282 to plan, acquire, construct and install certain capital improveme~ts to the water supply and distribution of th~ City, including a 21" trunk line from the K~nai River above Eagle Rock to the industrial complex north of the City, a second arte~i~.~ '-w~ll, an. elevated storage facility, a transmission line from the City to Wild~ood Air Force Station, improvements necessary to loop a ma~or portion of the water supply and distribution system and additional laterals in areas of the City. not no~ served; .3. $526,587 to plan, acquire and construct a oa~go ramp, general aviation terminal and access road improven~nts to the Kenai M~icipal Airport; 4. $25,000 to plan, make prell.-.Inary preparations, construct, install and equip a new small boat harbor for the City of Kenail and 5. $347,449 to construct, install and make certain capital improvements to the streets and roads of the City of Kenai, includi~.g grading, widening, graveling and paving thereof; and ~IEREAS, the City has issued a total of $1,000,000 of such authorized bonds under date of August 1, 1971 in -2- part ~o provide the following amounts for the following purposes~ Civic Center Complex 40,000 Water System 100,000 Small Boat Harbor 5,000 Kenai Airport 35,000 Streets and Roads 235,000~ and WHEREAS, the City has also issued an additional ~2,000,000 of such authorized bonds under date of January 1, 1972, in part to provide the following amounts for the follow- Lng purposes ~. Civie Center Complex Water System ,AMOUNT,, $750,000 470,000 Xenai Airport 485,318 WHEREAS, it is necessary that the date, form, terms maturities of such bonds be now fixed; NOW, THEREFORE, BE IT ORDAINEm BY THE COUNCIL OF THE CITY OF KENAI, ALASKA~ Section 1. That for the purpol~ to design, plan, acquire, construct, install and equip a civic center complex, additions and improvements to the water system, additions and improvements to the muncipal airport, a small boat harbor -3- .% and in~rovements to streets and roads, the City shall issue and sell its general purpose general obl£gation bonds in the aggregate principal amount of $1,000,000 out of the $4,000,000 o£ bonds authorized by the qualified voters of the City at the special election held therein on May 25, 1971, pursuant to Resolution No. 71-12 adopted May 5, 1971. Said $1,000,000 of bonds shall be sold as one issue, but the funds derived therefrom shall be allocated as follows ~ 1. $10,000 to plan, acquire, install and equip a oivio center complex for the City including an auditorium convention center, a library health ce~- ter,. conference rooms, kitchen and swimming pool, together with all necessary utilities and appurtenances 2. $851,282 to plan, acquire, construct and install certain capital improvements to the water supply and distribution of the City, including a 21" trunk 'line from the Kenai River above Eagle Rock to the industrial complex north of the City, a seoond artesian well, an elevated storage facility, a transmission l~-ne from the City to Wildwood Air Force Station, improvements necessary to loop a major portion of the water supply and distribution system and additional laterals in areas of the City " 4 not now served l 3o $6,269 to plan, acquire and construct a cargo ramp, general aviation terminal and access road improvements to the Kenai Ilunicipal Airport~ 4. $20,000 to plan, make preliminary site preparations, construct, install and equip a new small boat harbor for the City of Kenai~ and 5. $112,449 to construct, install and make certain capital improvements to the streets and roads of the City of Kenai, including grading, widening, gravelt.g and paving thoroo£. . The cost of issuance, sale and delivery of the bonds shall be allocated in the sam~ proportio~ or ratio. Section ,2,. Said $1,000,000 of bonds shall be dated October 1, 1972, shall be in the denomination o£ $5,000 cash, shall boar interest at the following rates payable April 1, 1~71 and semiannually thereafter on the first days o£ April and October, and shall be numbered and mature in order of ~hoir number on the first day of October as follows s Bond ,Nos,. Ma~uri~y, Y0~ Amount 1'6 1974 $30,000 7'12 1975 30,000 I$'19 1976 35,000 20-26 1977 35,000 27-34 1978 40,000 '5' .~ond Nos. Maturity year. .Amount 35-42 1979 $40,000 43-50 1980 40,000 51-59 1981 45,000 60-68 1982 45,000 69-78 1983 50,000 79'89 1984 55,000 90-100 1985 55,000 101-112 1986 60,000 113-125 1987 65,000 126-138 1988 65,000 139-152 1989 70,000 153-167 1990 75,000 168'183 1991 80,000 184-200 1992 85,000 Both principal of and interest on said bonds shall be payable in.lawful money of the United States of America at the National Bank of Alaska, Anchorage, Alaska, or at the option of the holder, at Seattle Trust and Savings Bank, Seattle, Washington, or Chemical Bank, New York, New York. The City hereby reserves the right to redeem any or 811 of the outstanding bonds of thi~ series in inverse numerical order at the following times and at the following redemption prices, expressed as a percentage of principal amount plus accrued interest to the date of redemptions Redemption Date October 1, 1982 and April 1, 1983 Ootobe~ 1, 1983 and April 1, 1984 October 1, 1984 and April 1, 1985 October 1, 1985 and April 1, 1986 October 1, 1986 and any interest payment date thereafter Redemptt,0~ ~rice, 104 103 102 101 100. -6 - Notice o£ any intended redemption shall be given by one publication thereof not less khan 30 nor ~ore than 45 days prior to the redemption date in The Bond Buyer, ~ York, Ne~ York, or any successor financial Journal of national cir- culation, in the Daily Journal of Commerce, Seattle, Washington, or its successor, if any, and in a newspaper of general circu- lation in Anchorage, Alaska. Interest on any bond or bonds so called for redemption shall cease on such redemption date unless the same are not redeemed upon presentation made pur- s~ant to such call. In addition to such publication, the City shall also mail notice of such intended redemption to Standard ~ Poorts Corp~ration and Moodyts Investors Service, Inc., New York, New York, or to their successor, if any. The mailing of such notice shall not, however, be a condition precedent to the call of any bonds fo= redemption. Sec~0n 3. Said bonds shall be known as "City of Kenai Alaska General Purpose General Obligation Bonds, Second Se=Les 1972," and shall be in substantially the follow, lng UNITED STATF~ OF AMERICA fo~m ~ NO. ,,,, S5,000 STATE OF ALASKA CITY OF KENAI GENERAL PURPOSE ~NE~J~ OBLIGATION BOND SECOND SERIES 1972 -7- KNOW ALL MEN BY THESE PRESENTS ~ That the City of Kenai, a munic£pal corporation of the State of Alaska, hereby acknowledges itself to owe, and for value received prom£ses to pay to bearer on the first day of October, 19 the principal sum of FIVE THOUSAND DOLLARS together with interest thereon at the rate of percent ~er annum, payable Apr£1 1, 1973 and sen~- a~nually thereafter on the first days of April and Comber, upon presentation and surrender of the attached ~nterest. coupons as they severally become due. Both . princ~pal of and interest on this bond are payable in lawful money of the Un,ted States of A~_erica at the National Bank of Alaska, Anchorage, Alaska, or at the c~tion of the holder, at Seattle Trust and Savings Bank, Seattle, Washington, or Chemical Bank, New York, New York. The City has roserved the right to redeem any or all of the outstanding bonds of thi~ series in inverse numerical order at the following times and at the follow- ~ng principal amount plus accrued interest to the date of redemption ~ -8- l~demption Date October 1, 1982 and July 1, 1983 October 1, 1983 and July 1, 1984 October 1, 1984 and July 1, 1985 October 1, 1985 a~d July 1, 1986 October 1, 1986 and any interest payment date thereafter Redemption Price 104 103 102 101 100. Notice of any intended redemption shall be given by one publication thereof not less than 30 nor more than 45 days prior to the redemption date in The Bond Buyer, New York, New York, or any successor financial Journal of national circulation, in the Daily Journal of Commerce, Seattle,. Washington, or its successor, if any, and in 9 newspaper of general circulation in Anchorage, Alaska. Interest on any bond or bonds so called for redemption shall cease on such redemption date unless the same are not redeemed upon presentation made pursuant to such call. In addition to such publication, the City shall also mail notice of such'intended redemption to Standard & Poor's Corporation and Moody's Investors Service, Inc., New York, New Yo~'k, or to their successors, if any. The mailing of such notice shall not, however, be a condition precedent to the call of any bonds for redemption. This bond is one of a series of $1,000,000 of bonds of like ~ount, date and tenor, except as to number, rate o. ; -9- of interest and date of maturity, and is issued for various capital purposes pursuant to the statutes of the State of Alaska, the Charter of the City of Kenai, a vote of the qualified electors of the City and duly adopted resolutions and ordinances of the City. This bond and the bonds of the series of which this bond is one are payable out of the fund created by Ordi- nance No. of the City entitled "Kenai Second Series 1972 General Purpose General Obligation Bond Redemption Ftmd." The City has irrevocably covenanted that it will levy and. collect taxes annually upon all the taxable p~operty within the City, without limitation a~ to rate or amount, and in amounts sufficient, with other available funds, to pay the principal of and interest on said bonds as the same shall become due. For the annual levy and collection of such taxes and the prompt payment of such principal and interest, ~he full faith, credit a~.d resources of the City of Kenai, Alaska are hereby irrevocably pledged. It is hereby certified and declared that all acts, conditions and things required by the Constitution and laws of the State of Alaska a~d the Charter, ordinances and resolutions of the City to be done precedent to and - 10 - in the issuance of this bond have happened, been done and performed, and that the total indebtedness of the City, including this bond and the bonds of this series does not exceed any constitutional, statutory or charter debt limitation. IN WITNESS WHEREOF, the City of Kenai, Alaska has ~aused this bond to be signed by its Mayor, to be attested with the facsimile signature of its Clerk, the official seal of the City to be impressed hereon, and the interest coupons attached hereto to be signed with the facsimile signat~res of said officials this first day of October,. 1972. ATTEST: CITY OF KENAI, ALASKA / Mayor City Cler~ The interest coupons attached to said bonds will be in substantially the following form: NO. ,,. On the first day of , 19 , - 11 - the City of Kenai, Alaska, will pay to bearer at the National Bank of Alaska, Anchorage, Alaska, or at the option of the holder at Seattle Trust and Savings Bank, Seattle, Washington, or Chemical Bank, Ne~ York, New York, the amount shown hereon in lawful money of the United States of America, said sum being the semiannual £nterest due that date on its General Purpose General Obligat£on Bond, Second Series 1972, dated October 1, 1972, and numbs=ed ATTEST ~ CITY OF KENAI, ALASKA // Mayor Section 4. The bonds shall be signed on behalf of the City by its Mayor, shall be attested with the facsimile signature of its Clerk, and shall have the corporate seal o~ the City impressed thereon. Each of the interest coupons attached thereto shall be signed with the facsimile signatures of said offiolals. Seotig~ .5. The proceeds of the sale of the bonds - 12 - (except for accrued interest, if any, which shall be paid into the bond redemption fund hereinafter created) shall be used solely for th~ puff~o~ ~ ~-~ in Section i of this ordina~ce, Section $. There is hereby created a special fund of the City, to be known as the "Kenai Second Series 1972 6eneral Purpose ~eneral Obligation 9ond Redemption Fund' (hereinafter called the 'bond redemption fund"), which fund shall be drawn upon for the sole purpose of paying the pr£n- cipal of and interest on the bonds of this series as the same shall become due and payable. , The .City hereby irrevocably covenants that it will make annual levies of ad valorem taxes upon all the taxable property within the City without lim~tatlon as to rate or amount, and in amounts sufficient with other monies of the City legally available therefor and paid into such fund, to pay the principal of and interest on the bonds of this series as the same shall become due. The full faith, credit and resources of the City are hereby irrevocably pledged for the annual levy and collection of such taxes, and for the prompt payment of such principal and interest. Section 7. The City hereby covenants and agrees with the purchasers and holders from time to time of the bonds - 13- I I: that it will make no use of the proceeds of the bonds during the term thereof which, if such use had been reasonably ex- pected on the date the bonds are issued, would have caused such bonds to be arbitrage bonds within the meaning of ~103(d) of the Internal Revenue Code of 1954 as amended and as in- terpreted by applicable proposed or permanent regulations. Section 8. The bonds shall be sold at public sale, and the City Clerk or any other agent or representative of the City is authorized to advertise the bonds for sale in such manner as is deemed necessary, including one publication An a financial Journal of national circulation, not less than ten days prio£ to the sale date. Bids for the purchase of tho bonds will be received -i in the office of the City Manager, Kenai, Alaska, until 10~00 A.M. Alaska Daylight Time, and simultaneously in the office of Preston, Thorgrimson, Starin, Ellis & Holman, 2000 IBM Building, Seattle, Washington, until 12~00 o'clock noon Pacific Daylight Time, on September 20, 1972. The proper officials of the City are hereby auth- orized and directed to do everything necessary for the prompt issuance and delivery of the bonds and for the proper use and application of the proceeds of such sale. PASSED by the Council of the City of Kenai, Alaska - 14 - and ~pproved by its Mayor at a regular meeting of said Council held on the day of September, 1972, after notice thereof given as providedby law. CITY OF KENAI, ALASKA APP ROVE D: City Attorney FIRST ~EADING: PASSED: - 15- qualified and acting City Clerk of the City of Kenai, Alaska, DO HEREBY CERTIFY that the foregoing is a true and correct copy of Ordinance No. ,~. 0.~' of said City, duly passed by its Cotulcil and approved by its Mayor at a regular meeting of sa~d Council held on the -~ day of Septel~er, 1972, after notice thereof given as provided by law. C~t~, Cl~rk