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HomeMy WebLinkAboutORDINANCE 0205-1971CITY OF KENAI, ALASKA ORDINANCE NO. 205-71 AN ORDINANCE OF THE CITY OF KENAI, ALASKA, PROVIDING FOR THE ISSUANCE AND SALE OF $2,000,000 OF GENERAL PURPOSE, GENERAL OBLIGATION BONDS OF THE CITY OF KENAI FOR THE PURPOSE OF PROVIDI~'~G FUNDS TO DESIGN, PLAN, ACQUIRE, CONSTRUCT, INSTALL AND EQUIP A CIVIC CENTER COMPLEX, ADDITIONS AND IMPROVF2.tENTS TO THE WATER SYSTEM, ADDITIONS AI{D IMPROV~IENTS TO TIIE SEWER SYSTFJ4, ADDITIONS AND IMPROVL~ENTS TO THE MUNICIPAL AIRPORT AND ADDITIONAL PARK AND RECREATION FACILITIES; AI~D FIXING THE DATE, FORM, TEPJ4S AND MATURITIES OF SUCH BONDS. ~IEREAS, at a special election held in the City of Kenai, Alaska, on May 25, 1971, pursuant to Resolution No. 71-12, adopted May 5, 1971, the provisions of the Charter of the City of Kenai and other proceedings duly and regularly ~aken, the qualified voters of the City authorized the issuance of general obligation bonds of the City in the following amounts for the folly;lng purposes= 1. $800,000 to plan, acquire, install and equip a civic center complex for the City including an auditorium convention center, a library health center, conference rooms, kitchen and swimming pool, together with all necessary utility and appurtenances; 2. $1,421,282 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 second artesian well, an elevated storage facility, a trans- mission line from the City to Wildwood Air Force Station, improvements necessary to lOOP a major portion of the water supply and distribution system and addi- tional ~aterals in areas of the City not nc~; served; 3. $350,000 to plan, acquire, construct and install capital improvements to the sanitary sewer system of the City, including a west interceptor line and lift station in the Mommsen area, an east interceptor line, an airport interceptor line, a net; primary and secon- dary treatment plant and additional laterals to serve areas of the City not not; served; 4. $526,587 to plan, acquire and construct a cargo ramp, general aviation terminal ~%d access road improvements to the Kenai Municipal Airport; 5. $79,682 to plan, acquire, construct and install additional parklands and facilities, a n~ rifle range and oval track, and to fence and screen the existing parklands from the municipal cemetery; and WHEREAS, the City has issued a total of $1,000,000 of such authorized bonds under date of August 1, 1971 to provide the following amounts for the following purposes~ PURPOSE Civic Center Complex Water Sy=tem Sewer System Kenai Airport Park and Recreation Facilities ~40~;T $ 40,000 100,000 100,000 35,000 35,000; and - 2 - ?;HEREAS, it is necessary that the date, form, terms and maturities of such bonds be n~; fixed; NOW, THEREFORE, BE IT ORDAINED BY T}IE COUNCIL OF CITY OF KENAI, ALASKA: Section 1. That for the purpose to design, plan, acquiro, construct, install and equip a civic center complex, additions and improvements to the water system, additions and improvements to the sewer system, additions and improvements to the municipal airport and additional park and recreational facilities, the City shall issue and sell its general purpose general obligation bonds in the aggregate princi~al amount of $2,000,000 out of the $4,000,000 of 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, 19 71. Said $2,000,000 of bonds shall be sold as one issue, but the funds derived therefrom shall be allocated as follows: 1.. $750,000 to plan, acquire, install and equip a civic cen~ur complex for the City including an auditorium convention center, a library health center, conference rooms, kitchen and swimming pool, together with all necessary utilities and appurtenances 2. $470,000 to plan, acquire, construct and ins~a11 certain capital improvements to the water ~upply a~ld 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 second artesian well, an elevated _~torage facility, a tran_-- mission line from the City to Wildwood Air Force - 3- Station, improvements necessary to loop a major portion of the water supply and distribution system and additional laterals in areas of the City not now served; 3. $250,000 to plan, acquire, construct and install capital improvements to the sanitary sewer system of the City, including a west interceptor line and lift station in the Mommsen area, an east interceptor line, an airport interceptor line, a new primary and secondary treatment plant and additional laterals to serve areas of the City not now served. 4. $485,318 to plan, acquire and construct a cargo ramp, general aviation terminal and access road improvements to the Kenai Municipal Airport; and 5. $-~4,682 :o plan, acquire, construct and install additional parklands and facilities, a new rifle range and oval track, and to fence and screen the existing parklands from the municipal cemetery. The cost of issuance, sale and delivery of the bonds shall be allocated in the same proportion or ratio. Said $2,000,080 of bonds shall be dated January 1, 1972, shall be in the denomination of $5,000 each, shall bear interest at the following rates payable July 1, 1972 and semi- annually thereafter on the first days of January and July, and shall be numbered and mature in order of their number on the first day of January as follows: - 4 - Bond i~os. Maturity Year ~r~un~ Interest Rate X-X2 1974 $ 60,000 6.20% 13-25 1975 65,000 6.20% 26-39 1976 70,000 6 40-53 1977 70,000 6.20% 54-68 1978 75,000 6.20% 69-84 1979 80,000 6.20% 85-101 1980 85,000 6.20% 102-119 1981 90,000 6.20% 120-138 1982 95,000 6.25% 139-158 1983 100,000 5.60% 159-179 1984 105,000 5.75% 180-201 1985 110,000 5.90% 202-225 1986 120,000 6.00% 226-250 1987 125,000 6.10% 251-277 1988 135,000 6.20% 278-305 1989 140,000 6.25% 306-335 1990 150,000 6.25% 336-367 1991 160,000 6.25% 368-400 1992 165,000 6.25% Both principal of and interest on said bonds shall be payable in lawful money of the United Sta~es of America at the Kenai Branch of National Bank of Alaska, Kenai, Alaska, or at the option of the holder, at Seattle Trust & Savings Bank, Seattle, Washington, or Chemical Bank, New York, New York. The City hereby reserves the right to redeem an7 or Section 2. all of the outstanding bonds of this series in inverse numerical order at the following times and at the folly;lng redemption prices, expressed as a percentage of principal amount plus accrued interest to the date of redemption~ Redemp~tion Date Redemption Price January 1 a~d July 1, 1982 January i and July 1, 1983 January i and July 1, 19 84 January I and July 1, 1985 January 1, 1986 and any interest payment date thereafter 104 103 102 101 100 Notice of any intended redemption shall be given b7 one publication thereof not less than 30 nor more than 45 days - 5 - 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 a 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 sa_me 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 Investor's Service, Inc., New York, New York, or to their successors, if any. The mailing of such notice shall not, however, be a condition precedent to the ¢all of any Bonds for redemption. Section 3. Said bonds shall be knovm as "City of Kenai Alaska General Purpose General Obligation Bonds, First Series 1972," and shall be in substantially the following fo~m: UNITED STATES OF AMERICA NO. $5,000 STATE OF ALASKA CITY OF K~NAI GENERAL PURPOSE GENERAL OBLIGATION BOND FIRST SERIES 1972 "tl KNOW ALL MEN BY THESE PRESENTS: That the City of Kenai, a municipal corporation of the State of Alaska, hereby acknowledges itself to owe, and for value received promises to pay to bearer on the first day of January, 19 the principal sum of $5,000, together with interest thereon at the rate of percent per annum, payable July 1, 1972 and semiannually thereafter on the first days of January and July, uDon presentation and surrender of the attached interest coupons as they severally become due. Both principal of and interest on this bond are payable in lawful money of the United States of America at the Kenai Branch of National Bank of Alaska, Kenai, Alaska, or at the option of the holder, at Seattle Tz~/st & Savings Bank, Seattle, Washington, or Chemical Bank, New York, New York. The City has reserved the right to redeem any or all of the outstanding bonds of this series in inverse ntu~erical order at the following times and at the following principal amount plus accrued interest to the date of redemption~ Redemption Date January i and July 1, 1982 January 1 and July 1, 1983 January 1 and July 1, 1984 January i and July 1, 1985 January 1, 1986 and any interest payment date thereafter Redemption Price 104 103 102 101 100 Notice of any intended redemption ~ha!l 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 a 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. I~ addition to such publication, the City shall also mail - 7 - 1 1 notice of such intended redemption to Standard & Poor's Corporation and Moody's Investor's Service, Inc., York, N~; York, 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 redem9tion. This bond is one of a series of $2,000,000 of bonds of like amount, date and tenor, except its number, rate 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 re- solutions and ordinances of the City. This bond and the bonds of the series of which ~his bond is one are payable out of the fund created by Ordinance No. 205-71 of the City entitled "Kenai First Series 1972 General Purpose General Obligation Bond Redemption Fund." The City has irrevocably covenanted that it will levy and collect taxes annually upon all the taxable property within the City, without limitation as 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, the full faith, credit and 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 and the Charter, ordinances and resolutions of the City to be done precedent to and in - 8- 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 ~IEREOF, the City of Kenai, Alaska has caused this bond to be signed by its Mayor, to be attested with the fac~imile 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 signatures of said officials this first day of January, 1972. CITY OF KENAI, ALASKA By. Mayor ATTEST ~ty Clerk The interest ooupons attached to said bonds will be in substantially the following form: NO. On the first day of · 19 ., the City of Kenai, Alaska, will pay to bearer at the Kenai Branch of National Bank of Alaska· Kenai, Alaska, or at the option of the holder at Seattle Trust & Savings Bank, Seattle, Washington, or Chemical Bank, New York, New York, the amount shown hereon in lawful money of the United States of America, said sum being the semiannual interest due that date on its General Purpose General Obligation - 9 - Bond, First Series !972, dated January 1, 1972, and numbered . CITY OF KENAI, ALASKA Mayor ATTEST: Clerk Section 4. The bonds shaI1 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 of the City impressed thereon. Each of the interest coupons attached thereto shall be signed with the facsimile signatures of uaid off~cials. Section 5. The proceeds of the sale of the bonds (except for accrued interest, if any, which shall be paid into the bond redemption fund hereinafter created) shall be used solely for the purposes set forth in Section 1 of this ordinance. S_ection 6. There is hereby created a special fund of the City, to be known as the "Kenai First Series 1972 General Purpose General Obligation Bond Redemption Fund" (hereinafter called ~5e "bond redemption fund"), which fund shall be drawn upon for the sole purpose of paying the principal of and interest on the bonds of this series as the same shall become due and payable. The City hereby irrevocably covenants that it wi~l ma~o annual levies of ad valorem taxes upon all the taxable property within the City without limitation as to rate or - 10- amount, and in amounts sufficient, with uther monies of the City legally available therefor and Daid into such fund, to pay the princiDal of and intero, t 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 an4 collection of such taxes, and for the prompt payment of such principal and interest. Bootion 7. The sale of the bonds to Foster & Marshall Inc., Seattle, Washington and Franklin National Bank, New York, New York and Associates under tho terms, conditions, covenants and interest rates set forth herein, at par plus accrued in- terest, is hereby in all respects ratified and confirmed. PASSED b~ the Council of the City of Kenai, Alaska and approved by its Mayor at a regular meeting of said Council held on the 15th day of December, 1971, after notice thereof given as provided by law, CITY OF KENAI, ALASKA /~- May~r ATTESTs / ornoy - 11 - FIRST READING: //_ day of December, 1971. PASSED: /~- day~ December, 1971. I, SHARON STERLING, the duly appointed and qualified acting City Clerk of the City of Kenai, Alaska, DO HEREBY CERTIFY that the foregoing is a true and correct copy of Ordinance No. 205-71 of said City, duly passed by its Council and approved by its Mayor at a regular meeting of said Council held on the 15th day of December, 1971, after notice thereof given as provided by law. SHARON STERLING~ ~ ~ City Cle-.k