O-332-4-81N
�ORDINANCE NO. 332
. � AN ORDINANCE by the Cicy Council of the City of
Allen, Texas, authorizing the issuance of
$2,000,000 "CITY OF ALLEN, TEXAS, GENERAL
OBLIGATION BONDS, SERIES 1981", dated May 1,
1981, for the purpose of making permanent
public improvements and for public purposes;
prescribing the form of the bonds and the form
of the interest coupons; levying a continuing
direct a_lnual ad/valorem tax on all taxable property
within the limits of said City to pay the interest
on said bonds and to create a sinking fund for the
redemption thereof and providing for the assessment
and collection of such taxes; enacting provisions
incident and related to the subject and purpose of
this ordinance; and providing an effective date.
WHEREAS, pursuant to an election held in the City of Allen,
Texas, on June 30, 1979, the City Council became authorized and
empowered to issue general obligation bonds of the City for
purposes of making permanent public improvements and public
purposes hereinafter identified; and
WHEREAS, $2,000,000 in principal amount of bonds approved
at the aforesaid election have been heretofore issued in one
installment, and this Council hereby finds and determines that
a second installment of the bonds authorized at said election
in the principal sum of $2,000,000 should be issued and sold
at this time; a summary of the amounts and respective purposes
for which such general obligation bonds may be issued, amounts
heretofore issued, amounts to be issued pursuant to this ordinance
and amounts remaining to be issued subsequent hereto being as
follows:
AND WHEREAS, the City Council hereby reserves the right to
issue the remainder of the general obligation bonds authorized
at aforesaid election in one or more installments and at such
time or times as this Council shall determine; therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ALLEN,
TEXAS:
SECTION 1: That the bonds of the City of Allen, Texas,
to beKnown as "CITY OF ALLEN, TEXAS, GENERAL OBLIGATION BONDS,
SERIES 1981", be and the same are hereby ordered to be issued in
the total principal sum of '7,qO MILLION DOLLARS ($2,000,000) for
the purposes of making permanent public improvements and public
purposes, to wit: $810,000 for street improvements, including
drainage incidental thereto, $300,000 for providing new city
hall facilities, including the acquisition of a site therefor,
$90,000 for providing police facilities, including the proper
holding cells and security and the acquisition of a site therefor,
$100,000 for providing fire fighting facilities including the
acquisition of sites therefor, $160,000 for providing library
facilities including the acquisition of a site therefor, and
$540,000 for acquiring or improving, or both, land for park pur-
poses, under and by virtue of the Constitution and laws of the
State of Texas.
Amounts
Amounts
Amounts
Heretofore
Being
Unissued
Authorized
Purpose
Issued
Issued
Balance
$3,400,000
Street Improvements
$940,000
$810,000
$1,650,000
570,000
New City Hall
170,000
300,000
100,000
Facilities
120,000
Police Facilities
30,000
90,000
-0-
450,:000
Fire Fighting
290,000
100,000
60,000
Facilities
190,000
Library Facilities
30,000
160,000
-0-
1,940,000
Parks
330,000
540,000
1,070,000
210,000
Equipment Service
210,000
-0-
-$-
Center
AND WHEREAS, the City Council hereby reserves the right to
issue the remainder of the general obligation bonds authorized
at aforesaid election in one or more installments and at such
time or times as this Council shall determine; therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ALLEN,
TEXAS:
SECTION 1: That the bonds of the City of Allen, Texas,
to beKnown as "CITY OF ALLEN, TEXAS, GENERAL OBLIGATION BONDS,
SERIES 1981", be and the same are hereby ordered to be issued in
the total principal sum of '7,qO MILLION DOLLARS ($2,000,000) for
the purposes of making permanent public improvements and public
purposes, to wit: $810,000 for street improvements, including
drainage incidental thereto, $300,000 for providing new city
hall facilities, including the acquisition of a site therefor,
$90,000 for providing police facilities, including the proper
holding cells and security and the acquisition of a site therefor,
$100,000 for providing fire fighting facilities including the
acquisition of sites therefor, $160,000 for providing library
facilities including the acquisition of a site therefor, and
$540,000 for acquiring or improving, or both, land for park pur-
poses, under and by virtue of the Constitution and laws of the
State of Texas.
Ordinance No. 332 Page 2
SECTION 2: That said bonds shall be numbered consecutively
from One ( jthrough Four Hundred (400); shall each be in the
denomination of Five Thousand Dollars ($5,000); aggregating in
principal amount TWO MILLION DOLLARS ($2,000,000); shall be dated
May 1, 1981; and shall become due and payable serially, without
right of prior redemption, on May 1 in each of the years in
accordance with the following schedule:
BOND NUMBERS
(All Inclusive) MATURITY AMOUNT
1
-to
5
1982
$ 25,000
6
to
10
1983
25,000
11
to
20
1984
50,000
21
to
30
1985
50,000
31
to
45
1986
75,000
46
to
60
1987
75,000
61
to
80
1988
100,000
81
to
100
1989
100,000
101
to
120
1990
100,000
121
to
145
1991
125,000
146
to
170
1992
125,000
171
to
195
1993
125,000
196
to
225
1994
150,000
226
to
255
1995
150,000
256
to
290
1996
175,000
291
to
325
1997
175,000
326
to
360
1998
175,000
361
to
400
1999
200,000
SECTION 3: That the bonds of said series shall bear
interestr�date until paid at the rate of TEN PER CENTUM
(10%) per annum, such interest to be evidenced by proper coupons
attached to each of said bonds, and said interest shall be
payable on May 1, 1982, and semiannually thereafter on
November 1 and May 1 in each year. -
SECTION 4: That both principal of and interest on this
issue ol bonds- shall be payable in lawful money of the United
States of America, without exchange or collection charges to
the owner or holder, at the MERCANTILE NATIONAL BANK AT DALLAS,
Dallas, Texas, upon presentation and surrender of bonds or
proper coupons.
SECTION 5: That the seal of said City may be impressed on
each of said onds, or in the alternative, a facsimile of such
seal may be printed on the said bonds. The bonds and interest
coupons appurtenant thereto may be executed by the imprinted
facsimile signatures of the Mayor and City Secretary of the
City, and execution in such manner shall have the same effect as
if such bonds and coupons had been manually signed by the Mayor
and City Secretary in person by their manual signatures. Inasmuch
as such bonds are required to be registered by the Comptroller
of Public Accounts for the State of Texas, only his signature
(or that of a deputy designated in writing to act for the
Comptroller) shall be required to be manually subscribed to such
bonds in connection with his registration certificate to appear
thereon, as hereinafter provided; all in accordance with the
provisions of Article 717j-1, V.A.T.C.S.
SECTION 6: That the form of said bonds shall be sub-
stantiall-v as follows:
N0. UNITED STATES OF AMERICA $5,000
STATE OF TEXAS
COUNTY OF COLLIN
CITY OF ALLEN, TEXAS,
GENERAL OBLIGATION BOND,
SERIES 1981
Ordinance No. 332
Page 3
The CITY OF ALLEN, a municipal corpora -,-41.37. of the State of.
Texas, acknowledges itself indebted to and, FOR JALCE RECEIVED,
hereby promises to pay to bearer, without rig:,t of prior
redemption, the sum of
FIVE THOUSnND DOLLARS
($5,000), in lawful money of the united States o -f America, on
the FIRST DAY OF MAY, 19 with interest =hereon from the
date hereof until paid at the rate of TEN PE CENTUM (10`/,) per
annum, such interest being payable on May 1, 1:82, and semi-
annually thereafter on November 1 and May 1 in each year, and
evidenced by interest coupons attached hereto.
BOTH PRINCIPAL AND INTEREST are payable only upon
presentation and surrender of this bond and t1ne interest
coupons hereto attached as the same severally become due at
the MERCANTILE NATIONAL BANK AT DALLAS, Dallas, Texas, without
exchange or collection charges to the owner or -nolder, and
the bearer of this bond and its appurtenant in=erest coupons
shall be deemed the owner thereof for purposes of receiving
payment and all other purposes, and neither t^e City nor the
aforementioned place of payment shall be affected by any notice
to the contrary.
THIS BOND is one of a series of bonds, dated May 1, 1981,
numbered consecutively from One (1) through Four Hundred (400),
each in the denomination of Five Thousand Dollars ($5,000),
aggregating in principal amount TWO MILLION DOLL_�RS ($2,000,000),
issued for purposes of making permanent public improvements and
public purposes, to wit: $810,000 for street improvements,
including drainage incidental thereto, $300,000 for providing
new city hall facilities including the acquisition of a site
therefor, $90,000 for providing police facilit=es including
the proper holdin cells and security and the acquisition of
a site therefor, 100,000 for providing fire f-ighting facilities
including the acquisition of sites therefor, $160,000 for pro-
viding library facilities including the acquisition of a site
therefor and $540,000 for acquiring or improving, or both, land
for park purposes, under authority of the Cons=itution and laws
of the State of Texas, and pursuant to an ordinance duly passed
and adopted by the City Council of the City of 2111len, Texas,
and duly recorded in the Minutes of said City Council.
IT IS HEREBY CERTIFIED, RECITED AND REPRESENTED that the
issuance of this bond -and the series of which i_ is a part is
duly authorized by law and by an election held for that purpose
within said City; that all acts, conditions and things required
to be done precedent to and in the issuance of this series of
bonds and of this bond, have been properly done and performed,
and have happened in regular and due time, for, and manner as
required by law; that sufficient and proper provision for the
levy and collection of taxes has been made whit when collected,
shall be appropriated exclusively to the pay.__ of this bond
and the series of which it is a part, and to -e payment of the
interest coupons thereto annexed as the same s^all become due;
and that the total indebtedness of the City of Alen, Texas,
including the entire series of bonds of which -pis bond is one,
does not exceed any constitutional or statutor-: limitation.
Ordinance No. 332
Page 4
IN TESTIMONY WHEREOF, the City Council of the City of
Allen, Texas, in accordance With the provisions of Article
717j-1, V.A.T.C.S., has caused the seal of said City to be
impressed or a facsimile thereof to be printed hereon, and this
bond and its appurtenant coupons to be executed with. the imprinted
facsimile signatures of the Mayor and City Secretary of said
City.
Mayor, City of Allen, Texas
COUNTERSIGNED:
City Secretary, City of Allen, Texas
SECTION 7: That the form of the interest coupons attached
to each of said bonds shall be substantially as follows:
NO. ON THE FIRST DAY OF $
the CITY OF ALLEN, a municipal corporation in the County of
Collin, State of Texas, hereby promises to pay to bearer the
amount shown hereon in lawful money of the United States of.
America, upon presentation and surrender of this coupon, at
the MERCANTILE NATIONAL BANK AT DALLAS, Dallas, Texas, without
exchange or collection charges, such amount being interest due
on such date on "CITY OF ALLEN, TEXAS, GENERAL OBLIGATION BOND,
SERIES 1981", dated May 1, 1981. Bond No.
City Secretary Mayor
SECTION 8: That the following certificate shall be printed
on the back of each bond:
OFFICE OF COMPTROLLER
§ REGISTER NO.
STATE OF TF-XAS §
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, and 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 of the
City of Allen, 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
I
40
Ordinance No. 332 Page 5
SECTION 9: That to provide for the pay-ent of the debt
service requirements of said bonds, being (i) the interest on
said bonds and (ii) a sinking fund for their redemption at
maturity or a sinking fund of 2% (whichever amount shall be
greater), there shall be and there is hereby levied for the
current year and each succeeding year thereafter while said
bonds or interest thereon shall remain outstanding and unpaid,
a sufficient tax on each one hundred dollars' valuation of
taxable property in said City,.adequate to pay such debt service
requirements, full allowance being made for delinquencies and
costs of collection; said tax shall be assessed and collected
each year and applied to the payment of said debt service
requirements, and the same shall not be diverted to any other
purpose. The taxes so levied shall be paid into a fund known
as "SPECIAL SERIES 1981 GENERAL OBLIGATION BOND FUND", which is
hereby established for the payment of the obligations herein
authorized. The Council hereby declares its purpose and intent
to provide and levy a tax legally and fully sufficient for such
bonds, it having been determined that the existing and available
taxing authority of the City for such purpose is adequate to
permit a legally sufficient tax in consideration of all other
outstanding obligations.
SECTION 10: That the sale of the bonds herein authorized
to SCHNEIDER, BERNET & HICKMAN, INC., Dallas, Texas, at the
price of par and accrued interest to the date of delivery, is
hereby confirmed. Delivery of the bonds shall be made to said
purchasers as soon as may be after the the adoption of this
ordinance, upon payment therefor in accordance with the terms
of sale.
SECTION 11: That the purchasers' obligation to accept
delivery of the bonds herein authorized is subject to their
being furnished a final opinion of Messrs. Dumas, Huguenin,
Boothman and Morrow, Attorneys, Dallas, Texas, approving such
bonds as to their validity, said opinion to be dated and delivered
as of the date of delivery and payment for such bonds. Printing
of a true and correct copy of said opinion on the reverse side
of each of such bonds, with appropriate certificate pertaining
thereto, executed by the facsimile signature of the City Secretary
of the City of Allen, Texas, is hereby approved and authorized.
SECTION 12: That the City hereby certifies and covenants
that tFe proceeds of the bonds are needed at this time to finance
the costs of capital improvements -planned by the City; based
on current facts, estimates and circumstances, it is reasonably
expected final disbursement of the bond proceeds will occur within
three years from the date of the receipt thereof by the City; it
is not reasonably expected the proceeds of the bonds or moneys
deposited in the interest and sinking fund created for the payment
of the bonds will be used or invested in a manner that would
cause the bonds to be or become "arbitrage bonds" within the
meaning of Section 103(c) of the Internal Reverse Code of 1954,
as amended, or any regulations or published rulings pertaining
thereto; and save and except for the interest and sinking fund
created 'herein no other funds or accounts have been established
or pledged to the payment of the bonds. Proper officers of the
City charged with the responsibility in the issuance of the bonds
are hereby authorized and directed to make, execute and deliver
certifications as to facts, estimates and circumstances in
existence as of the date of the issue of the bonds and stating
whether there are any facts, estimates or circu-tstances which
*,could materially change the City's current expectations, and
ithe covenants herein made and certifications herein authorized
are for the benefit of the holders of the bonds and coupons
-appertaining thereto and may be relied upon by the bondholders
land bond counsel for the City.
T
Ordinance No. 332
Page 6
SECTION 13: That the Mayor of said City shall be and
_s hereby authorized to take and have charge of all necessary
>rders and -records pending investigation. by the Attorney General
01 the State of Texas, and shall take and have charge and control
of the bonds herein authorized pending their approval by the
Attorney General and their reg-.1by the Comptroller of
Public Accounts.
SECTION 14: That CUSIP numbers may be printed on the bonds_
herein authorized. It is expressly provided, however, that
the presence or absence of CUSIP numbers on the bonds shall be
of no significance or effect as regards the legality thereof
and neither the City nor attorneys approving said bonds as to
legality are to be held responsible for CUSIP numbers incorrectly
printed on the bonds.
SECTION 15: That this ordinance shall take effect and
be in fulI tor—ce immediately from and after its passage.
PASSED AND APPROVED, this
ATTEST:
the 2nd day of April, 1981.
Mayor, City of Allen, Texas
o
City Secretary, ity of
Allen, Texas
(City Sea?)
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