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
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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
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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
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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.
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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
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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 ~
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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. ;
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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
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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 ,
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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
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(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
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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
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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
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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:
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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