Ordinance No. 1,280ORDINANCE NO. 1 280
ORDINANCE AUTHORIZING ISSUANCE OF $100,000
CITY OF BAYTOWN POLICE BUILDING CERTIFICATES
OF OBLIGATION; LEVYING A TAX FOR THE PAYMENT
OF THE PRINCIPAL THEREOF AND INTEREST THEREON;
APPROVING CONTRACT AWARDS; AND CONTAINING
OTHER PROVISIONS RELATING TO THE SUBJECT
THE STATE OF TEXAS §
COUNTIES OF HARRIS AND CHAMBERS §
CITY OF BAYTOWN §
WHEREAS, the City Council of the CITY OF BAYTOWN) TEXAS,
did authorize the publication of a notice to bidders that
competitive bids would be received by the City Clerk on April 26,
1972, for the construction of a public work, to -wit, a Police
Building for the City; and
WHEREAS, such notice was published at the times and in
the manner set out in Article 2368a.1, Vernon's Texas Civil
Statutes; and
WHEREAS, on the date specified in said notice, to -wit
April. 26, 1972, the City Council caused the bids received to
be opened and tabulated; and
WHEREAS, all such bids have been tabulated and the bids
of Southern Steel Company and Van Cleve Construction Company
were determined to be the lowest and best bids for such work,
and the City Council has heretofore by ordinance determined
to accept such bids and enter into contracts for such work,
subject to certain conditions, anticipating that said entire
contractual obligations would be paid from bond funds or
current funds; and
WHEREAS, current funds and bond funds are not adequate
to permit the awarding of contracts and the City Council has
determined that Certificates of Obligation should be issued
to provide the deficiency, in accordance with the provisions
of Article 2368aol, Vernon's Texas Civil Statutes; now,
therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN:
Section 1. The facts and recitations contained in the
preamble of this ordinance are hereby found and declared to
be true and correct-
Section 2. The City Council hereby approves, ratifies
and confirms in all respects the contracts mentioned in said
preamble, and hereby approves, ratifies, and confirms the
award thereof for the work set out therein
Section 3. The City's negotiable certificates of obliga-
tion, to be designated CITY OF BAYTOWN, 'TEXAS, POLICE BUILDING
CERTIFICATES OF OBLIGATION, SERIES 1972 (hereinafter called
the "Certificates "), are hereby authorized to be issued and
delivered in the principal amount of $100,000 for the purpose
of evidencing the indebtedness of said City for all or any
part of the cost of constructing public works for said City,
to -wit: constructing, furnishing, and equipping a police
building for the City, in strict conformity with the Constitu-
tion and laws of the State of Texas, particularly Article
2368a 1, Vernon's 'Texas Civil Statutes,
Section 4, Said Certificates shall ne dated October 1,
1972, shall be numbered consecutively from 1 through 100,
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shall be in the denomination of $1,000 each and shall mature
serially on October .1 of each of the years, and in the amounts,
respectively, set forth in the following schedule:
YEAR AMOUNT
1973 $40,000
1g74 30,000
1975 30,000
The Certificates may be .redeemed prior to their scheduled
maturities, at the option of the City, at any time after
delivery, in the manner provided in the FORM OF CERTIFICATE
set forth in this ordinance,
µ Section 5e Said Certificates shall oear interest from
the date of initial delivery shown on the face of each
Certificate at the rate of 47� per annum, interest payable
on October 1, 1973, and annually thereafter on October l
of each year until maturity or redemption,
Section 6, The Certificates shall be registrable both
as to principal and interest, shall be payable, and shall
have the characteristics, and shall be signed and executed
(and said Certificates shall be sealed), a1.1 as provided and
in the manner indicated in the FORM OF CERTIFICATE set forth
in this ordinance.
Section 7. The form of Certificates, including the
form of the Certificate of Registration, shall be, respectively,
substantially as follows:
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NO,
FORM OF CERTIFICATE:
$1,000
UNITED S'T'ATES OF AMERICA
STATE OF 'TEXAS
COUNTIES OF EARRIS AND CHAMBERS
CITY OF BAYTOWN, TEXAS
POLICE BUILDING CERTIFICATE OF OBLIGA'T'ION
SERIES 1972
ON OCTOBER, 1, 197_, the CITY OF BAYTOWN, TEXAS, promises
to pay to bearer or, if this certificate is registered, to the
registered owner nere�f, the grin ipai amoant of
ONE 'THOUSAND DOLLARS
and to pay interest thereon from the date of lnitiai delivery
shown on the face hereof to bearer Dr,, if this certificate
is registered, to the registered owner hereof, at the rate of
4% per annum, interest payable October 1, -1973, and annually
thereafter on each OctDoerr, 1 while this certificate is out-
standing, Beth r.ne principal of and i-nterest on this certi-
ficate shall be payable, without exchange or collection charges
to the owners or holders, upDn presentation and, in the case
of the principal when due, surrender of this certificate at
the Citizen's National. Bang & Trust Co,, Baytown, Texas,
which shall. be the paying agent for this series of certificates.
THIS CERTIFICATE is one of a series of negotiable, regis-
trable Certificates of Obligation, dated October 1, 1972,
numbered from 1 through 100, in the denomination of $1,000
each, aggregating $100,000, issued in accordance with the
Constitution and laws ;,f the State of Texas, particularly
Article 2358a -.1, Vernon's Texas Civil Statutes, for the purpose
of evidencing the indectedness of said City for ail or any
part of the cost of constructing public works for said City,
to- -wit: furnishing, and equipping a police
building for the City, and pursuant to an ordinance adopted
by the City Council of the City ,�n the 28th day of September,
1972
THE CITY RESERVES THE RIGHT TO REDEEM the outstanding
certificates of this series on any date prior to their
scheduled maturities, at the option of the City, IN WHOLE OR
IN PART, for the principal amoun'. thereof and accrued interest
thereon to the date fixed fIr any such redemption: At Ieaat
three days prior t,) the data fixed for any such redemption,
the Ctt.y shall cause a writren notice of such redemption to
be delivered to the registered owners, ;;r their duly authorized
agents, of the certificates to be so redeemed or, at the option
of the City, a written n:�t!,fe of Ea:;n redemption shall be
published, at least three day: prior ro the date fixed for
any such redemption, in a new paper of general circulation in
the City of Baytown, By the date fixed for any such redemp-
tion, due provision shall be made with the paying agent for
the payment of the required redemption price If such written
notice of redemption is given or published, and if due provi-
sion for such payment is made, all as provided above, the cer-
tificates which are to be so redeemed shall thereby automati-
cally be redeemed prior to their scheduled maturity; and they
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shall not be regarded as being outstanding except for the
purpose of being paid by the paying agent with the funds so
provided for such payment,
IT IS HEREBY certified, recited, and covenanted that
this certificate has been duly and validly authorized, issued,
and delivered; that all acts, conditions, and things required
or proper to be performed, exist, and be done precedent to or
in the issuance and delivery of this certificate, have been
performed, existed, and been done in accordance with law; that
this certificate is a general obligation of the City, issued
on the full faith and credit thereof; that annual ad valorem
taxes sufficient to provide for the payment of the interest on
and principal of this certificate, as such interest comes due
and such principal matures, have been levied and ordered to
be levied against all taxable property in the City and have
been pledged irrevocably for such payment within the limits
prescribed by law; that this certificate shall be a debt of
the City within the meaning of Article XI, Sections 5 and 7
of the Constitution of Texas; and that, when delivered, this
certificate shall be deemed and 3onstrued (i) to be a "Security"
within the meaning of Chapter 8, Investment Securities, Uniform
Commercial Code (Chapter 587, Acts of the 61st Legislature,
Regular Session, 1969), and (ii) to be a general obligation
of the City within the meaning of Chapter 784, Acts of the
61st Legislature of Texas, Regular Session, 1969,
This certificate shall be transferable by delivery unless
registered as to principal in the owner's name upon books of
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said City to be kept for that purpose at the office of the
City Clerk of said City, the registrar, such registration
to be noted hereon, After such registration, no transfer of
this certificate shall be valid unless made on said books at
the request of the registered owner hereof, or his duly au-
thorized agent, and similarly noted hereon; but this certifi-
cate may be discharged from registration by being in like
manner transferred to bearer, whereupon transferability by
delivery shall be restored; and this certificate may again
and from time to time be registered or made payable to bearer
as before,
IN WITNESS WHEREOF, this certificate of obligation has
been jigned by the Mayor of the City and countersigned by the
City Clerk of the City, and the official seal of the City
has been duly impressed, or placed in facsimile, an this
certificate
DATE OF T.NITIAL DELIVERY OF THIS CERTIFICATE:
COUNTERSIGNED:
City Clerk
(SEAL)
Mayor, City of Baytown, Texas
CERTIFICATE OF REGISTRATION
iT IS HEREBY CERTIFIED tnat, at the request of the holder
3f the within certificate, I have this day registered it as to
principal in t;ne name of such hslder as indicated in the regis-
tration blank below, on the nDokE Kept by me for such purpose,
The principal of and interest on this certificate shall be pay-
able only to the registered holder named in the below registra-
Lion blanks, If the last transfer recorded on the books of the
Registrar and in the below registration blank shall be to
bearer, the principal and interest of this certificate shall
be payable to bearer, and such certificate shall be in all
respects neg3tiable
Signature of
Name of Date of City Clerk
Re is_ termed Holder Registration (Registrar)
Section 8, A special fund or account, to be designated
the "City of Baytown, Texas, Police Building Certificates of
Obligation, Series 1972, Interest and Sinking Fund," is hereby
created and shall be established and maintained by the City
ar an official depository bank of the City„ The Interest and
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Sinking Fund shall be kept separate and apart from all other
funds and accounts of the City and shall be used only for
paying the interest on and principal of said Certificates.
All ad valorem taxes levied and collected for and on account
of said Certificates shall be deposited, as collected, to the
credit of the Interest and Sinking Fund, During each year
while any of said Certificates are outstanding and unpaid,
the City Council of the City shall compute and ascertain a
.rate and amount of ad valorem tax which will be sufficient to
raise and produce the money required to pay the interest on
said Certificates as such interest comes due and to provide
and maintain a sinking fund adequate to pay the principal of
such Certificates as such principal matures but never less
than 2% of the original principal amount of said Certificates
as a sinking fund each year; and said tax shall be Lased on
the latest approved tax roils of the City, with full allowance
being made for tax delinquencies and the cost of tax collec-
tion, Said rate and amount of ad valorem tax are hereby levied,
and are hereby ordered to be levied, against all taxable prop-
erty in the City for each year while any of said Certificates
are outstanding and unpaid; and said tax shall be assessed and
collected each such year and deposited to the credit of the
aforesaid Interest and Sink:i.ng Fund, Said ad valorem taxes
sufficient to provide for the payment of the :interest on and
principal of said Certificates, as such interest comes due
and such principal matures, are hereby pledged irrevocably
for such payment within the limits prescribed 'by law.
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Section 9e Claims and accounts incurred for the
purposes set forth in Section 3 hereof may be funded and
exchanged for a like total principal amount of Certificates,
and any amount in excess of the principal amount of Certifi-
cates delivered at any one time may be paid in cash or carried
forward to a subsequent exchange of claims and accounts for
Certificates, However, none of the Certificates authorized
by this ordinance shall be delivered except pursuant to fur-
Cher ordinances to be adopted by this City Council.
Section loo The Mayor and all other appropriate officers
of the City of Baytown are hereby authorized and directed
to do any and all.things necessary or convenient to carry out
the provisions of this ordinance.
Section 11. This ordinance shall take effect immediately
upon its passage.
PASSED AND APPROVED this 28tn day of September, 1972°
ATTEST:
City Clerk
CITY OF BAYTOWN, TEXAS
(SEAL)
Mayor
CITY OF BAYTOWN, TEXAS
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