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HomeMy WebLinkAbout015 - 06/18/1954 - CONTRACTING AN INDEBTEDNESS ON BEHALF OF THE CITY AND UPON THE CREDIT THEREOF BY ISSUING BONDS IN TH r r ORDINANCE NO. 15, 1954 AN ORDINANCE TO CONTRACT AN INDEBTEDNESS ON BEHALF OF THE CITY OF FORT COLLINS, COLORADO, AND UPON THE CREDIT THEREOF BY ISSUING BONDS OF SAID CITY IN THE PRINCIPAL SUM OF $1,500,000, FOR THE PURPOSE OF SUPPLEMENTING THE WATER SUPPLY AND EXTENDING AND IMPROVING THE WATER. WORKS SYSTEM OF SAID CITY, PRESCRIBING THE, FORM OF AND PROVIDING FOR TFE PAY- MENT OF SAID BONDS, AND DECLARING AN EMERGENCY. WHEREAS, at the general municipal election held in the City of Fort Collins, Larimer County, Colorado,, on the 6th day of April, 1954, more than a majority of the qualified taxpaying electors of said City voting on the question submitted, authorized the City Council of said City to contract an indebtedness on behalf of said City and upon the credit thereof, by issuing the negotiable coupon bonds of said City in a sum not to exceed $1,500,000 for the purpose of supplementing the water supply and extending and improving the waterworks system of said City, and WHERMS, the City Council considers it necessary and advisable to authorize the issuance of said bonds for such purpose, NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT COLLINS, COLORADO Section 1. That for the purpose of providing funds for supplementing the water supply and extending and improving the waterworks system of said City, the Council, for and on behalf of said City and upon the credit thereof, shall issue the negotiable coupon bonds of said City in the principal sum of $1,500,000, consisting of 1500 bonds in the denomination of $1,000 each, numbered 1 to 1500, inelusive ,, payable in lawful monejT of the United States of America, c and bearing interest from and after the lst day of June, A. D 1954, payable semi-annually on the lst day of June and the lst day of December each year, evidenced by interest coupons attached to said bonds, and maturing on the lst day of June, as follows : Amount Maturity $83, 000 1955 85,000 1956 87,000 1957 90,000 1958 93,000 1959 959000 1960 1019000 1962 1032000 196 1053,000 1964 107,000 1965 109,000 1966 112,000 1967 1159000 1968 117,000 1969 Bonds maturing in the years 1965 and thereafter shall be redeemable at the option of the City on June 1, 1964, and on any interest payment date thereafter, in inverse numerical order, on notice to the original purchasers of said bonds and notice published once in a newspaper of general circulation in Denver, Colorado, at least thirty (30) days before the date of redemption. Bonds maturing in the years 1955 to 1958, inclusive, bearing interest at the rate of 3% per annum and bonds maturing in the years 1959 to 1969, inclusive, bearing interest at the rate of 2-114% per annum. Said bonds and the coupons thereto attached shall be payable at the office of the City Treasurer in Fort Collins, Colorado, they shall bear date the lst day of June, A D. 1954, and shall be signed by the Mayor and Treasurer of said City, attested by the City Clerk, under the official seal of said City, all coupons shall bear the facsimile signature of the Treasurer of said City. Section 2. That the said bonds and coupons there- to attached shall be substantially the following form: UNITED STATES OF AMERICA STATE OF COLORADO COUNTY OF LARIMER CITY OF FORT COLLINS GENERAL OBLIGATION WATER EXTENSION BOND No. $1,000 The City of Fort Collins, in the County of Larimer and State of Colorado, acknowledges itself indebted and here- by promises to pay to the bearer hereof ONE THOUSAND DOLLARS on the lst day of June, A. D. 19_, with interest thereon at the rate of per centum ( 0) per annlim, payable semi-annually on the 1st day of Juneand the 1st day of December in each year, both principal and interest being payable in lawful money of the United States of America at the office of the City Treasurer, in Fort Collins, Colorado, upon presentation and surrender of the annexed coupons and this bond as they severally become due. (The following paragraph shall be inserted in bonds maturing in the years 1965 and thereafter) . This bond is redeemable at the option of the City on June 10 1964, and on any interest payment date thereafter in its inverse numerical order in the issue of which it is one. This bond is issued by the City of Fort Collins for the purpose of supplementing the water supply and ex- tending and improving the waterworks system of said City, under the authority of and in full conformity with the Constitution and laws of the State of Colorado, and the Charter of said City, and pursuant to an ordinance of said City duly adopted, published and made a law of said City prior to the issuance of this bond. It is hereby certified and recited that the issuance of this bond was duly authorized by the qualified taxpaying electors of said City at a regular municipal election, and that all the requirements of law have been fully complied with by the proper officers of said �'ity in the issuance of this bond, that the total debt of said City, including that of this bond does not exceed any limit of indebtedness prescribed by the Constitution or laws of the State of Colorado, or the Charter of said City, and that provision has been made for the levy and collection of annual taxes and for the imposition of water rates and charges sufficient to pay the interest on and the principal of this bond when the same become due. The full faith and credit of the City of Fort Collins, Colorado, are hereby irrevocably pledged for the punctual payment of the principal of and the interest on this bond. IN TESTIMONY WHEREOF, the City Council of the City of Fort Collins, Colorado, on behalf of said City, has caused this bond to be signed by the Mayor and Treasurer of said City, sealed with the seal of the City, attested by the Clerk thereof, and the attached coupons to be signed with the facsimile signature of the Treasurer of said City, as of the lst day of June, A D. 1954. 6z avor Treasurer ( S E A L ) ATTEST City Clerk (Form of Coupon) No. June On the first day of December, A. D. lg , '(unless the hond to which this coupon is attached has been called for prior redemption) the City of Fort Collins, in the Countv of Larimer and State of Colorado, will pay to bearer DOLLARS in lawful money of the United States of America, at the office of the City Treasurer, in Fort Collins, Colorado, being six months ' interest on City of Fort Collins General Obligation '"later Extension Bond, dated June 1, A D 1954, bearing No. (Facsimile Signature) Treasurer *(This clause to appear in coupons due December 1, 1964, and thereafter). Section 3. That when said bonds have been duly executed the City shall deliver the same to the purchasers thereof, on receipt of the agreed purchase price therefor. The funds realized from the sale of said bonds shall be applied solely to the purpose of supplementing the water supply and extending and improving the waterworks system of said City, and for no other purpose whatsoever, but heather the purchasers nor any subsequent holder of any of said bonds shall be responsible for the application or disposal by said City, or any of its officers, of any of the funds derived from the sale thereof. Section 4. For the purpose of meeting the interest on said bonds promptly and as the same becomes due, and for the purpose of providing for the ultimate payment and redemption of the said bonds, there shall be levied on all the taxable property in said City, in addition to all other taxes, direct annual taxes in each of the vears 1954 to 1968, inclusive, which shall be sufficient promptly to pay said interest and principal when due. Said taxes, when collected, shall be deposited in a special fund to be known as the "Hater Extension Bond Fund, " and such taxes shall be applied solely to the purpose of the payment of the interest on and the principal of said bonds, respectively, and for no other purpose whatever, until the indebtedness so contracted under this ordinance, both principal and interest, shall have been fully paid, satisfied and discharged. Notwithstanding the above provisions for tax levies, the City covenants and agrees to establish, maintain and enforce rates and charges for eater and water services which v shall be sufficient promptly to pay the principal of and interest on bonds of this issue and all other bonds of said City issued for water purposes when the same become due and payable, and upon the application of such rates and charges in the payment of said outstanding water bonds and the in- terest thereon, the said tax levies shall be reduced or omitted in any year when such rates and charges are sufficient to pay amounts due on outstanding bonds and interest thereon during such year. The sums hereinbefore provided to meet the interest on said bonds, and to discharge the principal thereof when due, a-Le hereby appropriated for "Ina.t purpose, and said amount for each vear shall also be included in the annual budget and the appropriation bills to be adopted and passed by the City Council of said City in each year respectively. Section 5. It shall be the duty of the City Council of said City, annually, at the time and in the manner provided by law for levying other city tares, if such action shall be necessary to effectuate the provisions of this ordinance, to ratify and carry out the provisions hereof with reference to the levying and collection of taxes , and said City Council shall require the officers of and for said City to levy and collect such to es, rates and charges in the manner provided by law for the purpose of creating a fund for the payment of the principal of said bonds and interest thereon, and such taxes, rates and charges, when collected, shall be kept for and applied only to the payment of the interest on and principal of said bonds, as hereinbefore provided. Section 6. All ordinances, or parts thereof, in conflict with this ordinance, are hereby repealed. Section 7 After said bonds are issued, this ordinance shall be and remain irrepealable until said bonds and the interest thereon shall be fully paid, satisfied and discharged Section 8 As the acquistion of said water and the extension and improvement of said system at the earliest possible time is vital, it is hereby declared that an emergency exists, that this Ordinance is necessary for the preservation of the public health peace and safety, and this ordinance shall take effect upon its passage, under and by virtue of the authority contained in Sections 6 and 7 of Article IV of the City Charter ADOPTED AND APPROVED by the unanimous vote of all members of the City Council this 18th day of June A D. 1954 yor ( S E A L ) ATTEST City -Clerk