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HomeMy WebLinkAboutOrdinance - 1582-1954 - Authorizing The Issuance Of 2 1/2% Interest Bearing Warrants - 07/08/1954'ive larrants ts auth.by ;his Ord. lelivered ;o Harold aunn,Cash- .er at Cit Jat'l.Ban, • ubbock ·uly 30, .954. >ee file o larrants" .so Ci tz. 1t ', Bank, -/arrants, l Fe rmane le . ~ o-=t -oe-t9sL.t- ORDINANCE NO. ,..1.,..;.5_82 __ _ 01·-~~-\95Z:t- AN ORDINANCE BY THE CITY COMMISSION OF THE CITY OF LUBBOCK, TEXAS, AUTHORIZING THE ISSUANCE OF Z-1/2% INTEREST- BEARING WARRANTS IN THE SUM OF $50, 000 PURSUANT TO CONTRACT WITH CITIZENS NATIONAL BANK" LUBBOCK. TEXAS, SAID WARRANTS -TO BE ISSUED IN PAYMENT OF THE OBLIGATION TO SAID BANK; LEVY- ING TAX TO PAY PRINCIPAL AND INTEREST OF SAID WARRANTS AT M.t\TURITY. WHEREAS, the City Commission of the City of Lubbock, Texas, bas heretofore determined the necessity and advisability of securing the additional highway right of way needed to extend that part of :the dispersal system Jmown as Northeast Avenue Q; and~ W HER E AS, the Commission entered into contract with the Citizens National Bank, of Lubbock, Texas, as authorized by its Resolution dated June 10, 1954 and recorded in Minute Book 13 at page 14; and, WHEREAS, said bank has deposited Fifty Thousand Dollars ($50, 000) in a fund designated "Northeast Avenue Q Fund," and in said contract it was further agreed that the City would execute to the bank its time warrants, bear .. ing two and one-half per cent {2-1/2%) interest per annum. in the principal sum of Ten Thousand Dollars ($10, 000) each, payable over a period of five (5) years,·· as therein provided; T HERE F 0 R E, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF LUBBOCK: SECTION l. That the sum of Fifty Thousand Dollars ($50, 000) is hereby made and declared to be the lawful debt of said City of Lubbock, said debt in said amount to be paid to Citizens National Bank. Lubbock, Texas, in legally issut!d warrants of said City, to take up, renew and extend said City's obliga- tion created to acquire said right-of-way. SECTION 2. That warrants of said City to be called "City of Lubbock Northeast Avenue Q Right-of-Way Warrants, Series of 1954" shall be issued in the sum of Fifty Thousand Dollars ($50, 000). SECTION 3. That said warrants shall be numbered from one {1} to five (s). inclusive, and shall be in the denomination of Ten Thousand Dollars ($10, 000) e·ach, aggregating th~ sum of F¥ty Thousand Dollars ($50, 000); that said warrants shall be dated J u 1 y _ 1 , 1954, and shall mature and become due and payable s8riaU:.y as follows: WARRANT NOS. MATURITY DATES AMOUNT 1 June 30 , 195 s·· ~ $10,000 2 June 3 o_ 195 6 $10,000 3 June 30 195 7 $10,000 - 4 June 3 Q.. ' 195 8 -$10,000 5 June 30 ' 195 9 $10,000 - P. Z SECTION 4. That said warrant shall bear interest at the rate of two and one•half per cent (2.-1/2.0/o} per -ann~ft{fo91 date until paid, payable annually thereafter on the .30th day of]ell'l!h0"9'ear upon presentation of war• rant for interest payment atsaid bank. Past-due interest shall bear interest at the rate of two and one-half per cent (2.-1/2.0/o} per annum from 1naturity until paid. SECTION 5. Both principal and interest of said warrants shall be pay- able on or before maturity at said bank in lawful money of the United States of America upon presentation and surrender ·of warrants for payment; said war- rants shall provide that in the event of default in the payment of principal and interest and the same is placed in the hands of an attorney for collection, or if collected by suit, or by legal proceedings of any kind, an additional amount of ten per cent (100/o) on the principal and interest then due, shall be added as attorney's fees. SECTION 6. That said warrants may be redeemed by the City on any interest-paying date by paying principal and accrued interest to said bank at Lubbock, Texas, or by payi.~g principal and accrued interest to the Citizens National Bank, Lubbock, Texas, at any time before maturity by giving said bank at least thirty (30} days' notice, and sal',Jle shall cease to bear interest from and after said date. SECTION 7. That said warrants shall be signed by the Mayor, counter- signed by the City Secretary, and registered by the City Treasurer, and the seal of the City shall be impressed upon each of said warrants. SECTION 8. The form of warrant. shall be substantially as follows: No.----UNITED STATES OF ,AMERICA STATE OF TEXAS COUNTY OF LUBBOCK $10,000.00 CITY OF LUBBOCK NORTHEAST AVENUE nQtt RIGHT-OF-WAY WARRANTS. SERIES OF 1954 THIS IS TO CERTIFY that the City of Lubbock, a home-rule municipal cor• poration in the County of Lubbock, State of Texas, is justly indebted to the Citizens National Bank, of Lubbock, Texas, and their assigns, in the principal sum of TEN THOUSAND DOLLARS ~ ($10. 000,. 00), in lawful money of the United States of America. with interest ....._ thereon from date hereof until paid• at the rate of two and one-half per cent "- -(2.-1/2.%) per annum, interest. payable annually ~hereafter on the anniversary date of this warrant; past due interest shall bear interest at the rate of two and one-half per cent (Z-1/2.0/o) per annum_from maturity until paid; both principal and interest payable on or before maturity at the Citizens National Bank, Lubbock10 Texas, upon presentation of warrant for interest payment, or upon presentation and surrender of warrant for payment at maturity; and the City Treasurer of said City is hereby authorized, ordered and directed to pay Citizens National Bank, or assigns10 at said Bank, the said sum of Ten Thousand Dollars {$1 o. 000. 00), on the day of , 195 _ , the date of u P. 3 m~turity of this warrant, in full settlement of the indebtedness hereby eviden- ced, from the "Northeast Avenue Q Warrant Fund, Series of 1954, 11 of said City, levied, assessed and created for that purpose. THE CITY OF LUBBOCK reserves the option of redeeming this warrant on any inter.est-paying date by paying principal and accrued interest, or by paying principal and accrued interest to the Citizens National Bank, Lubbock, Texas, at any time before maturity by giving said Bank at least thirty (30} days' notice, and sam<! shall ceas·e to bear interest from and after said date. IT IS HEREBY agreed that if this warrant or interest payment is not paid at maturity, and the same is placed. in the hands of an attorney for collection after m:a.turity thereof, or suit is filed thereon, or collection made by legal proceedings of any kind, an additional amount of ten per cent {10%} on the principal and interest then due shall be added as attorney's fees. THIS WARRANT is one of a series of five warrants, numbered consecutively from one (1) to five (5), inclusive, in denomination of Ten Thousand Dollars ($10, 000. 00) each, aggregating the sum of FIFTY THOUSAND DOLLARS ($50, OOQ. 00), isaued for the purpose of evidencing the indebtedness of the City of Lubbock to Citizens National Bank, Lubbock, Texas, or their assigns, for taking ·Up, renewing and extending unpaid approved obligations of the City of .Lubbock exeGuted in payment for property received by the City of Lubbock and acquired by it for right-of-way purposes in the extension of the highway dis- persal system, all in accordance with contract entered into by and between the City of Lubbock and the Citizens National Bank, under and by virtue of the Constit\1tion and lawa of the State of Texas, and the Charter of the City of Lubbock, and in pursuance of an ordinance duly and legally adopted by the City Commission of aarid City, recorded in the m.:.nutes of said City Commission. THE DATE 9j. this. warrant, in ~~ormity with the ordinance above men- tioned, is :1"u~~\ , 19~; and it is hereby certified and recited that all acts, coni ns and things required to be done precedent to and in the issuance of this warrant and the aeries of which it is a part, in order to make them legal, valid and binding obligations of said City, have been done and per .. form~d in due and regular time, form and manner, and that provision has been made for levying and collecting annually by taxation an amount sufficient to pay the interest on these warrants according to their tenure, and to provide a sinking fund for the final redemption of said warrants at maturity; and that the issue of warrants of which this is one, together with all other indebtedness of satd City, is within debt limi ts pre-scribed by the laws of Texas and the Charter of the City of Lubbock, Texas. IN WITNESS WHEREOF, the City Commission of the City of Lubbock, Texas, has caused the seal of said City to be hereto affixed and this warrant to be signed by the Mayor and countersigned by the City Secretary·as of the date last above written. ~ ATTESTEDAND ity~;;,;:as-----;, COUNTERSIGNED: D, this the day of , Mr. Couch Ci t'r Auditor, states tax rate cannot be estb.a't this time as Tax Rate for 1954-55 has not been set. p _ .4 SECTION 9. Warrants shall be executed and delivered to ihe Citizens National Bank upon delivery to the City Secretary of satisfactory evidence in writing of the establishment of the "Northeast Avenue Q Fund" as provided in said contract. SECTION 10. That a special fund to be designated 11City of Lubbock Northeast Avenue Q Right•of-Way Warrant Fund, Series of 1954" shall be created and the preceeds from all taxes levied,. assessed and collected for or on account of this series of warrants shall be credited to said fund for the purpose of paying the interest on and providing the necessary sinking fund for the redemption of said warrants at maturity, and said fund shall be used for no other purpose; that to create said fund, to pay the interest on said warrants and create a sinkin_g fund sufficient to redeem them at maturity. a tax of and at the rate of • cents on each One Hundred DolJ.a.rs ($100) valuation of an taXable property in said City shall be annually levied on said property and annually assessed and collected, or so much thereof as shall be necessary, or in addition thereto as may be required, until said warrants with interest 'thereon have been £\:lily paidi and the said tax of . cents is here npw levied for the current year. :tnd so much thereof as sliall be nec- essary, or in addition thereto as may be required., i s here now levied fer each succeeding year while said warrants or any of them are outstanding, and the same shall be annually assessed and collected and applied to the purpose name d • . AND IT IS SO ORDERED. On motion of Commissioner Forrest , seconded by Comrnis---~~~~--------- sioner Carpenter , this Ordinance was passed on first reading this the 8t),.. day of _..-Jii;.;:Ul;;;:;..Lr ____ , 1954, by the following vote: Commi.ssioners voting "YEA11: Carpenter, Forrest, Thomas and Mayor Pro-tem Baker Conunissioners votiif8""~1NA yu: None On lll.Qtion of CQmmi.ssioner Carpenter , seconded by Comrnis-----~----------- sioner Thomas , this Ordinance was passed on second reading -this the __ 2_2day of _J_u_ly,-. ____ , 1954, by the following -vote: Baker, Carpenter, Forrt6~1 Thomas and Mayor Tripp Commissioners voting "NAY": None ATTES~: I ~ ~.:::---.J _:___ ~ ~-~------Laveni Lowe~ ~ty ecretary-Treasurer VEW:sv 6•14-54