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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)