HomeMy WebLinkAbout004 - 04/10/1936 - PROVIDING FOR THE ISSUANCE OF CITY NEGOTIABLE COUPON BONDS IN THE AGGREGATE AMOUNT OF $1,000,000 TO ORDINANCE NO 4, 19360
AN ORDINANCE PROVIDING FOR THE ISSUANCE BY THE CITY OF FORT
COLLINS, COLORADO, OF ITS NEGOTIABLE COUPON BONDS IN THE
AGGREGATE AMOUNT OF ONE MILLION DOLLARS ($1,000,000) TO BE
DENOMINATED REFUNDING WATER BONDS SERIES 1936, FOR THE PUR-
POSE OF REFUNDING A LIKE AMOUNT OF OUTSTANDING BONDED IN-
DEBTEDNESS OF SAID CITY PRESCRIBING THE FORM OF SAID RE-
FUNDING WATER BONDS AND PROVIDING FOR THE LEVY AND COLLECTION
OF AN ANNUAL TAX TO PAY THE SAME, PRINCIPAL AND INTEREST;
REPEALING ALL ORDINANCES, RESOLUTIONS OR PARTS THEREOF IN
CONFLICT HEREWITH, AND DECLARING AN EMERGENCY
WHEREAS, the City of Fort Collins, Colorado,
has heretofore issued and there are now outstanding and
unpaid its negotiable coupon bonds consisting of City of
Fort Collins dater Extension Bonds, in the amount of One
Million Dollars ($1,000,000) dated July 1, 1925, due without
option of prior redemption on Tuly 1, 1940, bearing interest
at the rate of Four and One-half per centum (42%) per annum, and
WHEREAS, there are and will be no funds in
the treasury of said City available for the redemption of said
outstanding bonded indebtedness in the amount of One Million
Dollars ($1,000,000) or any part thereof` and
WHEREAS, certain of the owners and holders
of said outstanding Water Extension Bonds have consented to
exchange the same for Refunding Water Bonds authorized by this
ordinance- and
WHEREAS, by a resolution duly adopted on the
loth day of April, A D 1936, the City Council of the City
of Fort Collins, Colorado, determined to issue, in accordance
with the charter and ordinances of said City and the laws- of
the State of Colorado, particularly Chapter 237, Session Laws
of Colorado, 1921, new bonds to be denominated Refunding Water
Bonds Series 1936, the same to be exchanged dollar for dollar
for the bonds to be refunded, or to be sold at the option of
the City and the proceeds used to pay and redeem a like amount
of the outstanding bonded indebtedness of said city dated
July 1, 1925 the amount of bonds so determined upon to be
issued as aforesaid, being the sum of One Million Dollars
($1,OOO,OGO) and the certificate of such determination having
been heretofore duly made and entered in and upon the records
of said City as- required by law~ and
WHEREAS, the City Council has heretofore
determined that said Refunding Water Bonds so to be issued in
the aggregate amount of One Million Dollars- ($1,000,000) shall
be sold or exchanged dollar for dollar, for the bonds to be
refunded, and said City Council believe it to be their duty
to issue said Refunding Water Bonds and cause the same to be
exchanged dollar for dollar for the bonds to be refunded as
aforesaid, or to be sold and the proceeds- used to pay and
redeem a like amount of said outstanding bonded indebtedness,
as and in the manner provided by law
NOW, T=EFORE, BE IT ORDAINED BY THE CITY
COUNCIL OF THE CITY OF FORT COLLINS, LARIMER COUNTY, COLORADO:
Section 1 That by virtue and in pursuance
of an Act of the General Assembly of the State of Colorado,
entitled 'tAn Act to enable cities and towns to refund their
bonded indebtedness,it approved March 16th 1921, and appearing
as Chapter 23T of the Session Laws of Colorado, 1921, and in
accordance with the provisions of the Charter and ordinances-
of said City there shall be issued negotiable coupon bonds
of said City of Fort Collins, to be denominated Refunding
Water Bonds Series 1936, in the amount of One Million Dollars
($1,000,000), for the purpose of refunding a like amount of
the outstanding indebtedness of said City as hereinbefore
described, and which said indebtedness the City Council of
said City has and does hereby determine to call in for exchange
as provided herein
—2—
4
Section P, That the Mayor and City Clerk of
said City of Fort. Collins be and they are hereby authorized
and directed to have prepared negotiable coupon "Refunding Water
Bonds Series 1936 of said City in the said aggregate amount of
One Million Dollars ($1 0002000)
Section 3. That said bonds hereby authorized
shall be negotiable in form, payable to bearer, shall bear
date the first day of April, A D 1936 shall bear interest
at the rate of Four and One-Half per centum (411) per annum
from date of issue to July 1, 1940 and Four per centum (4%) per
annum thereafter, payable semi-annually on the first days of
April and October, in each year- shall- consist of One Thousand
Bonds in the denomination of $1,000 each, said bonds shall
mature as follows, to-uit -
Thirty-three Thousand Dollars ($33,000) of
bonds on October lst of each of the years 1941 to 1-960 both
inclusive, and Thirty-four Thousand Dollars ($34,000) of bonds
on October 1st of each of the years 1961 to 1970, both inclu-
sive, all bonds maturing 1951 and thereafter are callable in
inverse numerical order on and after October 1, 1950
The principal of said bonds and the interest
accruing thereon shall be payable in lawful money of the
Unitea States of America at the City Treasurer's Office, Fort
Collins, Colorado said bonds shall be signed by the Mayor,
czountersigned by the City Treasurer, with the seal of said City
affixed thereto, and attested by the City Clerk of said City
The interest accruing on said bonds shall be evidenced by
semi--annual interest coupons thereto attached, bearing the
engraved facsimile signatures of the Mayor, Clerk and Treas-
urer of said City, and when so executed such coupons shall be
the binding obligations of the City according to their import
Section 4. Said bonds and coupons to be
attached thereto shall be in substantially the following form
-3-
UNITED STATES OF MXERICA
STATE OF COLORADO COUNTY OF LARIMER
CITY OF FORT COLLINS
REFUNDING WATER BOND
SERIES 1936
NO $11000 00
The City of Fort Collins, Larimer County,
Colorado, for value received hereby acknowledges itself
indebted and promises to pay to bearer the sum of One Thousenid
Dollars, in lawful money of the United States of America, on
the 1st day of October, A D 19 ,.with interest thereon
from the date hereof at the rate of Four and One-half per cen-
tum (42%) per annum to July 1, 1940 and Four per centum (4%)
per annum thereafter, payable semi-a-inually, on the first days
of April and October in each year, as evidenced by interest
coupons hereto attached, both principal and interest payable
at the City Treasurer' s Office, Fort Collins Colorado, upon
presentation of said coupons and this bond, respectively
(All- bonds maturing 1951 and thereafter are
callable in inverse numerical order on and after October 1,
1950 )
This bond is issued by the City of Fort Collins,
Colorado, for the purpose of paying, redeeming and refunding
a like amount of outstanding unpaid, payable, lawful and valid
bonds of said City, and the lawful and valid indebtedness evi-
denced thereby, under, by virtue of and in full conformity with
the provisions of an Act of the General Assembly of the State
of Colorado, entitled "An Act to enable cities and towns to
refund-their bonged indebtedness" , approved March 16, 19a1,
being Chapter 237 Session Laws of Colorado, 1921, and pursuant
to the Charter of said City and ordinances auly adopted by the
City Council of said City at lawful meetings thereof, held prior
to the issuance of this bond; and it is hereoy certified and
-4-
recited that all acts and things required to be done and con-
ditions and things required to exist precedent to and in the
Issuing of this bona to render the same lawful_ and valid, have
happened, been properly done and performed, and did exist in
regular and due time, form and manner as required by law, and
that the total debt of said City of Fort Collins including
that of this bond, exceeds neither the statutery nor the con-
stitutional limitations of the State of Colorado or the Charter
of said City, that said total debt is not increased by the
issuance hereof; and that provision has been made for the levy
and collection of a direct annual tax on all the taxable orop-
erty in said city sufficient to pay the interest on and the
principal of this bond as the same respectively come due
The full faith and credit of the City of Fort
Collins are hereby pledged for the punctual payment of the
interest on and the principal of this bond
IN WITNESS WHEREOF, the City of Fort Collins,
Larimer County, Colorado, by its City Council, has caused this
bond to be signed by its Mayor, countersigned by its Treasurer,
sealed with its corporate seal, and attested by its Clerk, and
has caused the annexed interest coupons to be executed with
the engraved facsimile signatures of its Mayor, Clerk and
Treasurer as of this first day of April, A D 1936
MAYOR
COUNTERSIGNED
C11Y TREASURER
ATTEST
CITY CLERK
-5-
No ( FORM OF COUPON ) $
April
On the first day of October,. A D 19
(unless the bond to which this coupon is attached has been
called for prior redemptiorr) the City of Fort Collins, in the
State of Colorado, promises to nay to the bearer
Dollars in lawful money of the United States of America, at
the City Treasurer' s Office, in Fort Collins Colorado, being
six months' interest on its Refunding Water Bond Series 1936,
dated April 1, 1936
No.
MAYOR
CITY TREASURER
ATTEST
CITY CLERK
Section 5 That when issued, the Refunding
Water Bonds hereby authorized shall be exchanged, dollar for
dollar, for the bonds to be refunded, or, shall be sold and
the proceeds used solely for the payment of the said outstand-
ing bonded indebtedness consisting of $1,000,000 Water Exten-
sion Bonds dated July 1, 1925, and they shall not be issued
until the said outstanding bonds to be refunded have been
called in and cancelled in an amount equal to or in excess of
the bonds so issued and all accrued interest on any of said
bonds to be refunded shall be paid before such Refunaing Water
Bonds are issued in exchange therefor
Section 6 For the purpose of paying the
interest accruing on said bonds and creating a sinking fund
-6-
-7-
for the ultimate payment and redemption of said bonds, there
shall be levied on all taxable property in said City in addition
to all other taxes, direct annual taxes sufficient to produce
the following net amounts at the following times, to-wit
YEAR OF LEVY FOR INTEREST FOR PRINCIPAL TOTAL
1936 670500 - - - $67,500
1937 45r000 - - - 4 5r000
1938' 45,000 - - - 453,000
1939 43,750 - - - 43P750
1940 40,000 $ 33;0g0 73,000
1941 382680: 33,000 71 680
1942 37, 360 33,000 T0,360
1943 36,040 33,000 69,G40
1944 343V72CY 33,00-0 67,720
1945 3324OG 33000a 667400
1946 32,080 33,000 65,080
1947 30,760 33,000 63,760
1948 E91440 33,000 62,440
1949 28, 120 33,000 613r120
1950 26r80O 33,000 59, 800
1951 25,480 33,000 58,480
1952 24r160 33,000 57,160
1953 22,840' 33,000 55,840
1954 21r520 33,000 54r520
1955 203,200 333000 533-200
1956 I8,880 33,000 51,88G
1957 17?560 33,000 50, 560
1959 16,240 33,000 49.9240
1959 14r920 33,000 47, 920
1960 13,60CY 34,000' 473600
1961 129240 34,000 46,240
1962 10,880 34,000 442880
1963 9r520' 341000 43r520
1964 8,160 34,000 429160
1965 62800 34,000 40,800
1966 5r440 34,000 39r440
1967 4r080 341000 38,080
1968 2r720` 34,000 361720
L969 1r360 34,000 35,360
And said taxes when collected shall be placed
in a fund to be called the "Redemption Fund to Pay Refunding Water
Bonas dated April lr A D 1936", and said taxes shall be applied
solely- for the purpose of the payment of said interest and prin-
cipal of said bonds respectively, and for no other purpose what-
ever until the bonds authorized under this ordinance principal
and interest, shall have been fully paid, satisfied and dischar-
ged, but nothing herein contained shall be so construed as to
prevent said City from applying any other funds that may be
in the treasury of the City and available for that purpose to
the payment of the said interest or principal as the same
respectively mature and the levy or levies provided for may
thereupon to that extent be diminished
The tax levies provided for the payment of
interest on and principal of the bonds authorized to be refund-
ed by this ordinance-shall continue to be pledged for the
payment of interest on and principal of said refunding bonds
without limitation, and the owners and holders of said Refund-
ing hater Bonds shall be subrogated to all the rights of the
owners and holders of the bonds so refunded.
Section 7 That the provisions of this
ordinance and each of the bonds and the interest coupons issued
pursuant thereto shall constitute and the same are hereby
declared to be a binding and irrevocable contract betikeen said
City and the holder from time to time of each of said bonds
and the interest coupons thereto appertaining.
Section 8 That after said bonds are issued
this ordinance shall not be altered or repealed until the bonds
hereby authorized shall have been fully paid, both principal
and interest.
Section 9 All ordinances or resolutions,
or Darts thereof heretofore adopted in conflict with the pro-
visions hereof, be, and the same hereby are repealed.
Section 1Q That it is necessary for the
refunding proceedings herein provided for to be completed as
soon as possible for the reason that after extensive negotiations
the owners and holders of said outstanding bonds have agreed
to exchange the same for said Refunding eater Bonds, thus per-
mitting the City to effect a saving in interest and to extend
the time of paying said indebtedness; therefore, it is hereby
declared that an emergency exists and that it is necessary for
public peace, health and safety that this ordinance become
effective upon its passage.
_g�
This ordinance, immediately upon its passage,
shall be recorded in the book of ordinances of said City kept
for that purpose, and authenticated by the signatures of the
Mayor and City Clerk, and shall be published once in THE FORT
COLLINS EXPRESS-COURIER, a newspaper published within the limits
of the said City as provided by law.
PASSED AND ADOPTED, SIGNED AND APPROVED
THIS loth day of April, A D 1936
MAYOR
(SEA )
ATTEST
CITY CLERK
STATE OF COLORADO )
) ss
COUNTY OF LARIMER )
I-, J D MCINTYRE, City Clerk of the City
of Fort Collins, do hereby certify and declare that the fore-
going Ordinance, consisting of ten (10) sections, was duly
proposed and read at length at a regular meeting of the City
Council held on the loth day of April, A D 1936, and was
duly adopted and ordered Dublished in the Fort Collins Express-
Courier,, a daily newspaper and the official newspaper of the
City of Fort Collins by the unanimous vote of all members of
the City Council, as an Emergency Ordinance, in accordance
with the provisions of Section 6 of Article IV of the City
Charter- and thereafter ana on to-wit the 13th day of April,
A D 1936, said Ordinance No 4, 1936, was duly published in
the Fort Collins Express-Courier, a daily newspaper published
in the City of Fort Collins, Colorado, and that said Ordinance
has been duly transcribed in the City of Fort Collins Record
Book of Ordinances
IN WITNESS WHEREOF, I have hereunto set my
hand and affixed the seal of said City this 13th day of April,
A D. 1936
CITY CLERK
(SEAL)