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HomeMy WebLinkAboutOrdinance - 594-1938 - Issuance Of $50,000 Interest Bearing Time Warrants - 06/24/1938v · .... ., 594 THE STATE OF TEXAS COUNTY OF LUBBOCK CITY OF LUBBOCK I I I OLD-2. 4 -1.93~ OU-2~-1938 On this the 24th day of JWle, 1938, the City Commission of the City of Lubbock, Texas, met in recess meeting with the following n1embers o£ the Commission present: c. E. Slaton, Mayor Hub Jones ) ~w~B~Pr~l~·o~e~--------> ) ... W-Gio5-oiM~cWIM...,,~· J,_l~.,~;a...,n.__ ___ ) Commissioners ) ________ ) La venia W'illiams, City Secretary W. H. Rodgers, City Manager with the following memebers absent: J A Fortenberry , ~--~--------~--------------------- constituting a quorum, the following ~ong other business, was transacted to-wit: A motion was made by Commissioner Hub Jones that Ordin- ance No. ..a5.w9ii.Oi4..__ __ be passed on its first reading. The motion was seconded by Commissioner W.B .Price • Said motion, carrying with it the passage on 1 ts first reading of Ordinance No. __,;;:5;..;;9;..;;4;__ ____ _ prevailed by the following vote: AYES: Mayor, c. E. Slaton, and Commissioners----------------' W.B. Price, Hub ,Jones, , W G McMillan NOES: None. and ------------------· --------- The mayor declared the Ordinance passed on its first reading. The Ordinance is as follows: GRDIN:CE NO. 5~4 ~ AN ORDINANCE AUTHORIZING THE ISSUANCE OF $50,000.00 of interest- bearing TIME WARRANTS TO REPRESENT THE CITY'S INDEBTEDNESS THEREUNDER, FOR STREET IMPROVEMENTS, LEVYING THE NECESSARY TAXES TO PAY THE INTEREST AND TO PROVIDE A SINKING FUND TO REDEEM SAID WARRANTS AT MATURITY. WHEREAS, the City Commission of the City of Lubbock, Texas, has determined that it ia to the best interest of the City that it pave certain ) streets, parts of streets and alleys and install curb and gutter on certain streets,parts of streets and alleys in the City of Lubbock, Texas, and to issue interest-bearing time warrants in pay,ment of the necessary labor and material required and necessary to build and la~ said paving, curbs and gutters; and WHEREAS, pursuant to the provisions of Chapter 163 of the Acts of the Regular Session of the Forty Second Legislature, the City Commission has published notice of intention to issue said interest- bearing time warrants, which notice is as follows to-wit: and "NOTICE OF INTENTION TO ISSUE INTEREST- BEARING TIME WARRANTS Notice is hereby given that on the 24th day of June, 1938, the City Commission of the City of Lubbock, Texas, will pass an Ordinance authorizing the issuance of interest-bearing time war- rants of said City in the maximum amount of not exceeding Fifty Thousand ($50,000.00) Dollars, for the purpose of street improve- ment by the purchase of material and the payment of labor needed and necessary to make such street improvement. Said warrants shall bear a maximum interest rate of not exceeding four percent (4~) per annum, and shall mature on or before one 18&r from their date. This notice i~ given as required by law. c. E. Slaton Mayor of the city of Lubbock, Texas"; WHEREAS, said notice was published in a newspape~ published within the City or Lubbock, Texas, in the issues of June lOth , 1938 1 and June 16th 1 1938; and _....;:;;;;....;;o,.,;;=...- WHEREAS, no petition was filed by the property tax-paying voters of the City of Lubbock asking for a referendum on the question of issuing said warrants. THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF LUBBOCK, TEXAS: Section 1. That in accordance with said notice of intention to issue inter- eat-bearing time warrants of the City of Lubbock, Texas, for Street improve- ment purposes. said warrants to be called "City of Lubbock, Texas, Street Improvement Warrants, Series 1938" 11 be issued in the amount of Fifty Thousand~50,000.00) Dollars, payable to bearer, evidencing the indebted• ness of the City of Lubbock, Texas. r ?. _) Section 2. Said warrants shall be numbered from One (1) to Fifty (50) both inclusive~ shall be in the denomination of One Thousand ($1000.00) Dollars each and shall be dated the 27th day of J~, 1938, and all of said warrants shall become due and payable on or before one year after date. Section 3. Said warrants shall bear interest at the rate of Four percent (4%) per _~~um from date until paid, interest pa~~le on the 2Zth day of l>.e.t:.t. ,. /, 1938, a~d on the 27t]i day of Juir~t 1939, both principal and interest payable at the office of the City Treasurer of Lubbock, Texas. Section 4. Said warrants shall be signed by the Mayor, countersigned by the City Secretary and registered by the City Treasurer, and the seal of the Ci'f;;y shall be impressed upon each of them. Section s. Said warrants shall be in substantially the following form: . , .. ' ... "No. 1 _...,.;;;; ___ _ $ 1,000.00 UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF LUBBOCK CITY OF LUBBOCK STREEI' IMPROVEMENT WARRANTS, SERIES 1938. The City of Lubbock, in the County of Lubbock, and State of a.nd a.~e.e s to P.aY Texas, for value received, is justly indeb~~d/~.searer on the 27th day of Jui•, 1939, the principal sum of $1,000.00 in lawfUl money of the United States of America, together with interest thereon from date until paid at the rate of four percent (4%) per annum, interest payable --_..., --. \. J-- _ 1939, and the fUll faith, credit and resources of the said City are hereby irrevocably pledged to the prompt payment of this warrant 6 and the City Treasurer is author1zed6 ordered and directed to pay to bearer said principal swm, together with interest thereon, principal and interest payable at the office of the City Treasurer, Lubbock, Texas, upon presentation and surrender of this warrant. In event the sum of money represented by this warrant shall not be paid at maturity, the same shall thereafter bear interest at the rate of four _) 'I '" percent (4%) per annum until fully paid, and in the event of such default and it becomes necessary for the holder hereof, to )lace claim therefor in the hands of an attorney for collection, or to institute suit there- on, the City of Lubbock, Texas, i~ obligated to pay to the holder an additional ten percent (10%) of the wmount of default as attorney's fees. This warrant is one of a series of Fifty (50) warrants numbered consecutively from one (1) to Fifty (50) in the denomination of One Thousand <tlooo.oo) Dollars each, aggregating the sum of Fifty Thousand ($50 1 000.00) Dollars, issued for the purpose of evidencing the indebted- ness of said City ot Lubbock, Texas, to bearer hereof for the purchase price of material and labor purchased by the City of Lubbock to pave certain streets, parts of streets and alleys, and to install curbs and gutters on certain streets and parts of streets in the City of Lubbock, Texas, and under and by virtue ot the Constitution and Laws of the State of Texas, including the Provisions of Chapter 163, Acts of the Regular Session of tbe Forty-second Legislature, the Charter of said City ~d pur- suant to an Ordinance passed by the City Commission of said City of Lubbock, Texas, which Ordinance is duly recorded in the minutes of said City Commission. The City Commission of the City of Lubbock, Texas, hereby e~pressly represents and declares by the execution and delivery of this warrant that said City bas received full value thereof to the amount stated for street improvements in said City. The date of this w~rrant~ in conformity with the Ordinance above mentioned is the 27th day of Junt. 1938. AND IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions and things required to be done precedent to and in the issuance of this warrant and the series of which it is a part, including the levying of the tax to pay principal and interest thereon~ have been properly done, have happened and been performed in regular and due time, form and manner as required by law, and that the total indebtedness of said City, includ- ing this warrant, does not exceed any constitutional, Statutory or Charter Limitations. IN WITNESS WHEREOF, the City of Lubbock, Texas, bas caused the corporate seal of said City to be affixed hereto, and this warrant to be signed by its Mayor, countersigned by its City Secretary and registered by its City Treasurer, as of the date last above written. ~ Mayor, ~Ity of tuo6ock, Texas COUNTERSIGNED: _) ~ity Secretary, City of Lubbock, T e x a s REGISTERED as of the 2'lth day of .Ju~ 1938. City Treasurer, City of tu~bock, T e x a s " Section 6. The form of endorsement on the reverse side of each of said warrants shall be substantially as follows: nENDORSEMENT THIS IS TO CERTIFY that Bearer received the within warrant from the officials of the City of Lubbock, Texas, and tor value received, hereby transfers and delivers said warrant Without recourse, and the said Bearer is hereby subrogated to all claims, liens, rights or titles, whether at law or in equity which are or may be secured to him under said warrant and the Ordinance under which same were issued, and the Bearer is authorized to collect same and to give tull acquittance therefor. .. Section 7. Said warrants shall be executed and delivered to the Bearer in payment of materials and labor used by the City of Lubbock in paving and otherwise improving certain streets, parts of streets 1 and alleys, and laying curbs and gutter on certain streets and parts of streets tor and within the City of Lubbock, Texas. Section 8. The City ComDdssion of the City of Lubbock, Texas, hereby ex- pressly acknowledges, represents and declares that the City of Lubbock, Texas, is justly and legally indebted to the Citizens National Bank of ' .. Lubbock, Texas, in the sum of $25,000.00 for money furnished from time to time by said Bank, at the request of said City, to take up and pay off valid claims for labor and material owing by said City for such street improvements already made in and for said City. The City of Lubbock, Texas, having received the benefits of said improvements, paid tor by said Bank in the manner stated, to the full amount thereof, it is .., ·- hereby ordered by the City Commission that sufficient amount of the afore- said warrants be delivered to the said Citizens National Bank of Lubbock, Texa~, as ·evidence of the City's legal liability and obligation to said Bank upon said indebtedness already owing. It is fUrther ordered by the City Commission of the City of Lubbock, Texas, that as and when said Bank continues to pay claims for labor and material furnished said City in making said street improvements, that the City Manager of the City of Lubbock shall deliver to said Bank from time to time sufficient of said warrants, in number and amount, to 'reinburse said Bank for payment of such labor and materials for said street improvements made for said City. The City Commission of the City of Lubbock, Texas, hereby expressly represents and declares that by the execution and delivery of said war- rants to said Bank, the City 6f Lubbbck has received the benefit of said improvements and the value of said warrants in the amount stated. The City Manager shall not deliver any such warrants to said Bank until ~ch improvements have been made for, and received by the City, and the City has become indebted to said Bank for money furnished by said Bank in paying for said labor and material in making said street improvements for said City, but the City Manager's delivery of such warrant or warrants to said Bank shall be evidence that -the aforesaid requirements have been fully complied with and that said City has become indebted to said Bank '£or the full liDlount of said warrant or warrants. Any warrant or warrants not delivered to said Bank in payment of the City's liability to said bank within one year from date shall be immediately canceled by the City Manager o~ City Auditor. Section 9. A fund is hereby made and created and shall be provided and set aside out of the funds derived from taxes authorized to be levied and collected by the Constitution and Laws of the State of Texas, and the Charter of the City of Lubbock 1 such fund to be designated "STREET IM- PROVEMENT WARRANTS, SERIES 1938 FUND", which fund shall be used for no other purpose save and except to pay all interest and to provide the necessary sinking fund '£or said warrants at their maturity, and to pay attorney's fees in case of default. Section 10. That to pay the interest and to create a sinking fund to retire said warrants at their maturity .and to provide for ten percent (10%) attorney's fees in event of default, a tax of and at the rate of ---- ( ¢) Cents on the One Hundred ($100.00) Dollars valuation of all taxable property in said City of Lubbock., Te.xas, out of the $2.50 tax- ing fUnd of said City, is hereby levied for the currect year, 1938; that during each year thereafter while any of said warrants are outstanding and unpaid, and at the time other City taxes are levied in each of said years, there shall be computed and ascertained what rate of ta.x based upon the latest approved ta.x rolla of said City, will be necessary, re- quisite and sufficient to tully make, raise and produce in eaCh of said ~ years the amount of principal necessary to be raised for that year plus the interest maturing in said years upon the amount of this s .eries of warrants outstanding and unpaid, and to provide 10% attorney's fees in case of default, and for each of said years there is hereby levied and ordered to be assessed and collected in due time, form and manner, a tax at the rate necessary, Which shall be placed in a separate fund for this series of warrants, known and designated as "Street Improvement Warrants, Series 1938 Fundn, and the City Treasurer shall not honor any draft upon said fUnd or pay out any of the same except in the payment of interest on said warrants or for retiring the same, or for attorne~ fees as provided above. Section 11. This Ordinance shall take effect from and after the date of its final ~saage and it is so ordered. Passed and Approved first reading this the 24th day of June, 1938. Passed and Approved second and final reading, this the 27th llai~exas day of Junt, 1938. ock,