ORD CC 03/16/76 - Certificates of Obligation - $100,000ORDINANCE NO. 76 -5
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS,
CREATING AND ISSUING PREVIOUSLY APPROVED AND AUTHORIZED "CITY OF
HUNTSVILLE, TEXAS, PUBLIC IMPROVEMENTS CERTIFICATES OF OBL'GATION"
SUCH CERTIFICATE TO BE ISSUED TO BE ONE IN THE SERIES AUTHORIZED
BY ORDINANCE NO. 75 -15 DATED SEPTEMBER 9, 1975, AND TO BE ISSUED
FOR THE AMOUNT OF $ 100,000.00 TO BEAR INTEREST AT THE RAT OF
SIX AND ONE -HALF (6 1/2 %) PER ANNUM TO BE PAYABLE IN FIETE'N (15)
INSTALLMENTS OF PRINCIPAL ON THE ANNIVERSARY DATE OF ISSU CE,
AND WITH INTEREST TO BE PAYABLE IN SEMI- ANNUAL INSTALLMENTS,
CONTAINING PRE - PAYMENT PROVISION THEREIN SET FORTH AND SUC
CERTIFICATE TO OTHERWISE BE IN THE FORM PRESCRIBED BY SUCH
AUTHORIZING THE ISSUANCE OF SAME: LEVYING A CONTINUING DI
AD VALOREM TAX ON ALL TAXABLE PROPERTY WITHIN THE LIMITS
CITY TO PAY THE INTEREST THEREON AND TO CREATE A SINKING F
REDEMPTION THEREOF, AND PROVIDING FOR THE ASSESSMENT AND
OF SUCH TAXES; AND ENACTING PROVISIONS INCIDENT AND RELA
THE PURPOSE AND SUBJECT OF THIS ORDINANCE.
WHEREAS, the City Council of the City of Huntsville
has heretofore by Ordinance duly passed on September 9, 1
numbered 75 -15 within the Minutes of the City Council of
City of Huntsville, authorize the issuance of City of Hun
Texas, public improvements certificates of obligation in
not to exceed TWO HUNDRED FIFTY THOUSAND DOLLARS AND NO /1
($ 250,000.00), and which ordinance provided that such ce
were to be created and issued by supplemental ordinance a
needed; and,
WHEREAS, the City Council of the City of Huntsville
has now determined that the sum of ONE HUNDRED THOUSAND D
($ 100,000.00) is needed out of the total authorized issu
TWO HUNDRED FIFTY THOUSAND DOLLARS ($ 250,000.00) for Cit
Huntsville, public improvements certificates of obligatio
all prerequisites notices and requirements of the law hall
and that otherwise all prerequisites to the valid authori
of the intended certificate of obligation for its stated
has been accomplished in accordance with the law, includi
Certificate of Obligation Act of 1971, and that this Coun
therefore proceed with the ordinance authorizing and crea
issuance of said Certificate of Obligation heretofore au
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL 0
CITY OF HUNTSVILLE, TEXAS:
ORDINANCE
CT ANNUAL
THE SAID
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OLLECTION
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tificates
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LLARS
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orized;
THE
Section 1: That one interest bearing certificate o
obligation of the City of Huntsville, Texas, to be known
designated as City of Huntsville, Texas, public improveme
certificate of obligation, certificate number 1 in the se
authorized by Ordinance dated September 9, 1975, in the p
sum of ONE HUNDRED THOUSAND DOLLARS ($ 100,000.00), shall
the same is hereby authorized to be issued and the same i
issued for public purposes, to -wit: Progress payment in
construction and equipping of a City Hall and related fac
all in the public interest, and the Mayor and City Secret
have joint control of such certificate for the purposes o
ing same to the owners in accordance with this ordinance
shall see to the proper completion thereof in accordance
Section 2: That said certificate shall be dated on
that delivery is made, shall mature and be payable in fif
annual installments of principal and interest shall be du
payable each six (6) months as it accrues. Said certific
be in the form as prescribed by Section 2 of Ordinance No
dated September 9, 1975.
Said certificate of obligation shall specifically pr
the City of Huntsville reserves the right to redeem not m
50% per cent of the principal amount of such certificate
two years of the issue date, and the balance or all of sa
certificate of obligation in the third or any subsequent
without penalty for such redemption.
•
nd
t
ies
incipal
be, and
hereby
he
lities,
ry shall
deliver -
nd they
erewith.
the date
een (15)
and
to shall
75 -15,
vide that
re than
ithin
d
ears
Section 3: While said Certificate of Obligation or nstall-
ments thereof are outstanding and unpaid, there shall be nnually
levied, assessed and collected in due time, form and mann r a tax
upon all of the taxable property in said City sufficient o pay
the current interest thereon and to create a sinking fund sufficient
to pay each installment of principal as the same becomes eue, or a
sinking fund of 2 %, whichever is greater; and in order to Fay the
interest on said Certificate of Obligation for the first ear and
to create a sinking fund with which to pay the principal :s the
same becomes due, or a sinking fund of 2 %, whichever is g eater,
there is hereby levied a sufficient tax on each $ 100.00 aluation
of taxable property in said City for the current year and the same
shall be assessed and collected and applied to the purposes named;
and while said Certificate of Obligation is outstanding - d unpaid,
a tax each year at a rate from year to year as will be am le and
sufficient to provide funds to pay the then current interest on
said Certificate of Obligation and to provide the necessa sinking
fund, full allowance being made for delinquencies and costs of
collection, shall be and is hereby levied for each year, respectively,
and said tax shall each year be assessed and collected an
to the payment of the principal of and interest on said C
of Obligation, to be kept separate and apart from all oth
of the City. The City Council hereby declares and covena
it will provide and levy a tax legally.and fully sufficie
said Certificate of Obligation, it having been determined
existing and available taxing authority of the City for s
purpose is adequate to permit a legally sufficient tax in
eration of all other outstanding obligations.
Section 4: The Mayor and City Secretary are hereby
and directed to proceed with the delivery of said Certifi
Obligation and are authorized to complete the same in acc
with the terms hereof and to do all things necessary or p
thereto.
applied
rtificate
r funds
ts that
t for
that the
ch
consid-
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ate of
rdance
erequisite
PASSED AND APPROVED on first reading by unanimous vote of the
City Council of the City of Huntsville, Texas, on this the 16th
day of March, 1976.
P1
.4 ....1.7 1
qp2Es . W, c T- ECRETARY
ore al)
MORRIS I. WALLER, MAYOR
APPROVED AS TO FORM:
R I D. OLL Y
CITY ATTORNEY