HomeMy WebLinkAboutORD 1327 - ORD Authorizing the Issuamce $7000 West U , Public Improvement Bond
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ORDINANCE NO. 1327
ORDINANCE AUTHORIZING THE ISSUANCE OF $7,000,000
CITY OF WEST UNIVERSITY PLACE, TEXAS, PUBLIC
IMPROVEMENT BONDS, SERIES 1988; LEVYING TAXES TO
PROVIDE FOR PAYMENT THEREOF; AND CONTAINING OTHER
PROVISIONS RELATING THERETO
, " THE STATE OF TEXAS ~
" :, COUNTY OF HAF.RIS ~
; CITY OF WEST UNIVERSITY PLACE ~
WHEREAS, the Charter of the ci ty of West Uni versi ty
Place'and the Constitution and laws of the State of Texas,
particularly Chapters 1. and 7 of Titl'e 22, Revised civil
Statutes of Texas, as amended, authorize the City to issue
Public Improvement Bonds to obtain funds for needed public
improvements; and
WHEREAS, the bonds hereinafter authorized were duly and
favorably voted at an election held in the city on the 13th
day of August, 1988; and ~
WHEREAS, the election authorizing the issuance of the
bonds was held in conformity with the Constitution and laws
of the State of Texas and the Home-Rule Charter of the City;
and
WHEREAS, the Ci ty Council of the City has and does
hereby determine that bonds in the amount of $7,000,000,
should now be issued and delivered in order to accomplish the
purposes for which they were voted; Now, Therefore
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WEST
UNIVERSITY PLACE:
ARTICLE I
DRFTNT'J110NS AND I~TTERPRETA'l'IOlJS
Section , .,. DpTinH-iotls Throughout this ordinance
the following terms and expressions as used herein shall have
the meanings set forth below:
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'.' The term "Bond" or "Bonds" shall mean any bond or all
bonds, as the case may be, of the Public Improvement Bonds,
Series 1988, authorized in this ordinance, unless the context
.' clearly indicates otherwise.
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The term "Business Day" shall mean any day which is not
a ,Saturday, Sunday, or a day on whicl:l the Registrar is
authorized by law or executive order to close.
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,,(:~!:;'( " ' ',' The term "City" shall mean the city of West University
::j;~r<fL.ak;>'Place,. Texas, and, where appropriate, the City Council.
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,i\<! The term "Code" shall mean..the Internal Revenue Code of
h,1~~~, as amended.
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The term "Interest and Sinking Fund" shall mean the
: interest and sinking fund established by the City pursuant to
section 5.1 'of this Ordinance.
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The term "Interest Payment Date", when used in connec-
'. tion with any Bond, shall mean April 1, 1989, and each
. October 1 and April 1 thereafter until maturity or earlier
redemption of such Bond.
The term "Ordinance" as used herein and in the Bonds
'shall mean this ordinance authorizing the Bonds and all
amendments hereof and supplements hereto.
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The term "Owner" shall mean any person who shall be the
... registered owner of any outstanding Bonds.
" The term "Paying Agent" shall mean the Registrar.
': The term "Record Date" shall mean, for any' Interest
Payment Date, the 15th calendar day of the month next
preceding such Interest Payment Date.
The term "Register" shall mean the books of registration
kept by the Registrar in which are maintained the names and
addresses of and the principal amounts registered to each
Owner.
The term "Registrar" shall mean First city National
Bank of Houston, Houston, Texas, and its successors in that
capacity.
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The term "Series 1988 Construction Account" shall mean
the construction account established by the city within the
City's existing Capital Projects Fund pursuant to section 6.1
of this Ordinance.
Section 1.2: Inter9retations. All definitions of terms
used herein and all pronouns used in this Ordinance shall be
deemed to apply equally' to singular and plural and to all
genders. The titles and headings of the articles and sec-
tions of this Ordinance have been inserted for convenience of
reference only and are not to be considered a part hereof and
shall not in any way modify or restrict any of the terms or
provisions hereof. This Ordinance and all the terms and pro-
'" ",... visions hereof shall be liberally construed to effectuate the
purposes set forth herein.
ARTICLE II
TERMS OF THF. RONn~
Section 2.1: Amount and' Pnrpn~A The Bonds shall be
issued, in fully registered form, without coupons, in the
total authorized aggregate amount of Seven Million Dollars
($7,000,000) for the following purposes:
(a) $3,050,000 for the purpose of improving, extending,
replacing, repairing and rehabilitating the City's
waterworks system;
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(b) $3,850,000 for the purpose of improving, extending,
replacing, repairing and rehabilitating the City's
sanitary sewer system; and
(c)
$100,000 for the purpose of constructing street
improvements. '
Section 2.2 : np-~ i qnl'lT i nn n;llt-". and IntGreiit Pil'VlaBnt
Date. The Bonds shall be designated as the "CITY OF WEST
UNIVERSITY PLACE, TEXAS, PUBLIC IMPROVEMENT BONDS, SERIES
1988", and shall be dated October 1, 1988. The Bonds shall
. bear interest from the later of October 1, 1988, or the most
. recent Interest Payment Date to which interest has been paid
or duly provided for, calculated on the basis of a 360-day
year of twel ve 30-day months, interest payable on April 1,
1989, and semiannually thereafter on October 1 and April 1
of each year until maturity or prior redemption.
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Section 2.3: Numbers. Denomination. Interest Rates and
Maturities. The Bonds shall be issued bearing the numbers,
in the principal amounts, and bearing interest at the rates
set forth in the following schedule, and may be transferred
and exchanged as setout in this Ordinance. The Bonds shall
mature, subject to prior redemption in accordance with this
-ordinance, on April 1 in each of the years and in the
amounts set out in such schedule. Bonds delivered in trans-
fer of or in exchange for other Bonds shall be numbered in
order of their authentication by the Registrar, shall be in
the denomination of $5,000 or integral multiples thereof, and
shall mature on the same date and bear interest at the same
rate as the Bond or Bonds in lieu of which they are de-
,livered.
Bond Principal Interest
Number Year Amount Rate
R- 1 1990 $ 50,000 8.75%
R- 2 1991 100,000 8.75%
R- 3 1992 150,000 8.75%
rl R- 4 1993 175,000 8.75%
U R- 5 1994 325,000 8.75%
R- 6 1995 325,000 8.75%
R- 7 1996 325,000 8.75%
R- 8 1997 325,000 8.75%
R- 9 1998 325,000 8.75%
R-10 1999 400,000 6.90%
R-11 2000 400,000 7.00%
R-12 2001 400,000 7.00%
R-13 2002 425,000 7.10%
R-14 2003 500,000 7.25%
R-15 2004 525,000 7.25%
R-16 .2005 525,000 7.30%
R-17 2006 525,000 7.30%
R-18 2007 600,000 6.75%
R-19 2008 600,000 6.75%
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section 2.4: Execution of Bonds: Seal. The Bonds shall
be signed by the Mayor of the city and countersigned by the
city Secretary of the city, by their manual, lithographed, or
facsimile signatures, and the official seal of the city shall
be impressed or placed in facsimile thereoQ. Such facsimile
signatures on the Bonds shall have the same effect as if each
of the Bonds had been signed manually and in person by each
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of said officers, and such facsimile seal on the Bonds shall
have the same effect as if the official seal of the City had
been manually impressed upon . each of the Bonds. If any
officer of the City whose manual or facsimile signature shall
appear on the Bonds shall cease to be such officer before the
authentication of such Bonds or before the delivery of such
Bonds, such manual or facsimile signature shall nevertheless
be valid and sufficient for all purposes as if such officer
had remained in such office.
section 2.5: Authentication. Except for the Bonds to
be initially issued, which need not be authenticated, only
such Bonds as shall bear thereon a certificate of authentica-
tion, substantially in the form provided in section 4.3 of
this Ordinance, manually executed by an authorized represen-
tative of the Registrar, shall be entitled to the benefits of
this Ordinance or shall be valid or obligatory for any
purpose. Such duly executed certificate of authentication
,shall be conclusive evidence that the Bond so authenticated
was delivered by the Registrar hereunder.
section 2.6: Medium and Place ofPavment. The Regis-
trar is hereby appointed as the Paying Agent for the Bonds.
The principal of the Bonds shall be payable, without exchange
or collection charges, in any coin or currency of the united ~
States of America which, on the date of payment, is legal
tender for the payment of debts due the United States of
America, upon their presentation and surrender as they
become due and payable, whether at maturity or by prior
redemption, at the corporate trust office of the Registrar.
The interest on each Bond shall be payable by check payable
on the Interest Payment Date mailed by the Registrar on or
before each Interest Payment Date to the Owner of record as
of the Record Date, to the address of such Owner as shown on
the Register.
If the date for payment of the principal of or interest
on any Bond is not a Business Day, then the date for such
payment shall be the next succeeding Business Day.
section 2.7: Ownership; Unclaimed Principal and
Interest. The City, the Registrar and any other person may
treat the person in whose name any Bond is registered as the
absolute owner of such Bond for the purpose of making and
receiving payment of the principal thereof and for the
further purpose of making and receiving, payment of the
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interest thereon, and for all other purposes, whether or not
such Bond is overdue, and neither the city nor the Registrar
shall be bound by any notice or knowledge to the contrary.
All payments made to the person deemed to be the Owner of any
Bond in accordance,with this section 2.7 shall be valid and
effectual and shall discharge the liability of the City and
the Registrar upon such Bond to the extent of the sums paid.
Amounts held by the Registrar which represent principal
of and interest on the Bonds remaining unclaimed by the Owner
after the expiration of three years from the date such
amounts have become due and payable shall. be reported and
disposed of by the Registrar in accordance with the
applicable provisions of Texas law including, to the extent
applicable, Title 6 of the Texas Property Code, as amended.
section 2.8: Reqistration. Transfer and Exchanqe. So
long as any Bonds remain outstanding, the Registrar shall
keep the Register at its corporate trust office and, subject
to such reasonable regulations as it may prescribe, the
Registrar shall provide for the registration and transfer of
Bonds in accordance with the terms of this Ordinance.
Each Bond shall pe transferable only upon the presenta-
tion and surrender thereof at the corporate trust office of
the Registrar, duly endorsed for transfer, or accompanied by
an assignment duly executed by the registered Owner or his
authorized representative in form satisfactory to the
Registrar. Upon due presentation of any Bond for transfer,
the. Registrar shall, authenticate and deliver in' exchange
therefor, within 72 hours after such presentation, a new Bond
or Bonds, registered in the name of the tra~sferee or
transferees, in authorized denominations and of the same
maturity and aggregate principal amount and bearing interest
at the same rate as the Bond or Bonds so presented.
All Bonds shall be exchangeable upon presentation and
surrender thereof at the corporate trust office of the
Registrar for a Bond or Bonds of the same maturity and
interest rate and in any authorized denomination, in an
aggregate principal amount equal to the unpaid principal
amount of the Bond or Bonds presented for exchange . The
Registrar shali be and is hereby authorized to authenticate
and deliver exchange Bonds in accordance with the provisions
of this Section 2.8. Each Bond delivered in accordance with
this section 2.8 shall be entitled to the benefits and
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security of this Ordinance to the same extent as the Bond or
Bonds in lieu of which such Bond is delivered.
The City or the Registrar may ,require the Owner of any
Bond to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with
the transfer or exchange of ~uch Bond. Any fee or charge of
the Registrar for such transfer or exchange shall be paid by
the City. .
The Registrar shall not be required (1) to issue,
transfer or exchange any Bond during a period beginning at
the opening of business 15 days before the date of the first
mailing of a notice of redemption and ending at the close of
business on the day of such mailing or (2) to transfer or
exchange any Bond selected for redemption, if such redemption
is to occur within thirty calendar days.
section ?_q! ~r\nC'!pllr\t-inn All Bonds paid or redeemed
in accordance with this Ordinance, and all Bonds in lieu of
which exchange Bonds or replacement Bonds are authenticated
and delivered in accordance herewith, shall be cancelled and
destroyed upon the making of proper records regarding such i
payment or redemption. The Registrar shall furnish the City
with appropriate cer-tificates of destruction of such Bonds. ~
section 2.10! R~nlr\C'!pmpnt- RnnnQ Upon the presentation
and surrender to the Registrar of a mutilated Bond, the
Registrar shall authenticate and deliver in exchange therefor
a replacement Bond of like maturity, interest rate and prin-
cipal amount, bearing a number not contemporaneously out-
standing. The city or the Registrar may require the Owner of
'such Bond to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection there-
with and any other expenses connected therewith, including
the fees and expenses of the Registrar.
If any Bond is lost, apparently destroyed, or wrongfully
taken, the City, pursuant to the applicable laws of the state
of Texas and in the absence of notice or knowledge that such
Bond has been acquired by a bona fide purchaser, shall exe-
cute and the Registrar shall authenticate and deliver a re-
placement Bond of like maturity, interest rate and principal
amount, bearing a number not contemporaneously outstanding,
provided that the Owner thereof shall have:
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(a) furnished to the city and the Registrar
satisfactory evidence of the ownership of and the
circumstances of the loss, destruction or theft of
such Bond;
(b) furnished such security or indemnity as
may be required by the Registrar and the city to
save them harmless;
(c) paid all expenses and charges in
connection therewith, including, but not limited
to, printing costs, legal fees, fees of the
Registrar and any tax or -other governmental charge
that may be imposed; and
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(d) met any other reasonable requirements of
the city and the Registrar.
If, after the delivery of such replacement Bond, a bona fide
purchaser of the. original Bond in lieu of which such
replacement Bond was issued presents for payment such
original Bond, the city and the Registrar shall be entitled
to recover such replacement Bond from the person to whom it
was delivered or any person taking therefrom, except a bona
fide purchaser, and shall be entitled to recover upon the
security or indemnity provided therefor to the extent of any
loss, damage, cost' or el'pense incurred by the city or the
Registrar in connection therewith.
If any such mutilated, lost, apparently destroyed or
wrongfully taken Bond has become or is about to become due
and payable, the ci ty in its discretion may, instead of
issuing a replacement Bond, authorize the Regisfrar, to pay
such Bond.
Each replacement Bond delivered in accordance with this
section 2.10 shall be entitled to the benefits and security
of this Ordinance to the same extent as the Bond or Bonds in
lieu of which such replacement Bond is delivered.
ARTICLE III
OPTION OF PRTOR RF.nF.MPTTON
Section 3. 1: optional Redemption. The city reserves
the right, at its option, to redeem prior to maturity the
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Bonds maturing on or after April 1, 2000, in whole or in
part, on April 1, 1999, or on any date thereafter at par plus
accrued interest on the Bonds called for redemption to the
date fixed for redemption. If less than all of the Bonds are
redeemed at any time, the Bonds to be rede~med shall be
selected by the city.
section 3.2: Partial Redemption. Principal amounts
may be redeemed only in integral multiples of $5,000. If a
Bond subject to reqemption is in a denomination larger than
$5,000, a portion of sUch Bond may be redeemed, but only in
integral multiples of $5,000. Upon surrender of any Bond for
redemption in part, the Registrar, in accordance with section
2.8 hereof, shall authenticate and deliver in 'exchange
therefor a Bond or Bonds of like maturity and interest rate
in an aggregate principal amount equal to the unredeemed
portion of the Bond so surrendered.
section 3.3 : Notice of Redemption. Notice of any
redemption identifying the Bonds to be redeemed in whole or
in part shall be given by the Registrar at least thirty days
prior to the date fixed for redemption by sending written
notice by first class mail to the Owner of each Bond to be
redeemed in whole or in part at the address shown on the
Register. Such notices shall state the redemption date, the
amount of accrued interest payable on the redemption date,
the place at which Bonds are to be surrendered for payment
and, if less than all Bonds outstanding are to be redeemed,
the numbers of the Bonds or portions thereof to be redeemed.
Any notice given as provided in this section 3.3 shall be
conclusively presumed to have been duly given, whether or not
the Owner receives such notice. By the date fixed for
redemption, 'due provision shall be made with the' Registrar
for payment of the redemption price of the Bonds or portions
thereof to be redeemed. When Bonds have been called for
redemption in whole. or in part and due provision has been
made to redeem same as herein provided, the Bonds or portions
thereof so redeemed shall no longer be regarded as out-
standing except for the purpose of receiving payment solely
from the funds so provided for redemption, and the rights of
the Owners to collect interest which would otherwise accrue
after the redemption date on any Bond or portion thereof
called for redemption shall terminate on the date fixed for
redemption.
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ARTICLE IV
FORM OF BONDS AND CERTIFICATES
section 4.1: Form of Bonds. The Bonds e:ha11 be in
substantially the following form, with such additions,
deletions and variations as may be necessary or desirable and
not prohibited by this Ordinance:
(Face of Bond)
UNITED STATES OF AMERICA
STATE OF TEXAS
NUMBER
R-
,REGISTERED
DENOMINATION
$
REGISTERED
II
CITY OF WEST UNIVERSITY PLACE, TEXAS
PUBLIC IMPROVEMENT BOND
SERIES 1988
INTEREST RATE:
MATURITY DATE: ISSUE DATE: CUSIP:
October 1, 1988
REGISTERED OWNER:
PRINCIPAL AMOUNT:
DOLLARS
THE CITY OF WEST UNIVERSITY PLACE, TEXAS (the "city")
promises to pay to the registered owner identified above, or
registered assigns, on the .date specified above, upon
presentation and surrender of this bond at the corporate
trust office of First City National Bank of Houston, Houston,
Texas (the "Registrar"), the principal amount identified
above, payable in any coin or currency of the united States
of America which on the date of payment of such principal is
legal tender for the payment of debts due the united states
of America, and to pay interest thereon at the rate shown
above, calculated on the basis of a 360-day year of twelve
30-day months, from the later of October 1, 1988, or the most
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recent interest payment date to which interest has been paid
or duly provided for. Interest on this bond is payable by
check payable on April 1, 1989 and semiannually thereafter
on each October 1 and April 1, mailed to the registered owner
as shown on the bobks of'registration kept by the Registrar
as of the 15th calendar day of the month next preceding each
interest payment date.
REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF
THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH PROVISIONS
SHALL HAVE THE SAME FORCE AND EFFECT AS IF SET FORTH AT THIS
PLACE.
IN WITNESS WHEREOF, this bond has been signed with the
manual or facsimile signature of the Mayor of the City and
countersigned with the manual or facsimile signature of the
city Secretary of the City, and the official seal of the city
has been duly impressed, or placed in facsimile, on this
,bond.
(AUTHENTICATION CERTIFICATE) (SEAL) CITY OF WEST UNIVERSITY
PLACE, TEXAS
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Mayor
City Secretary
(Back Panel of Bond)
THIS BOND is Qne of a duly authorized series' of Bonds,
aggregating $7,000,000 (the "Bonds"), issued for the purpose
of providing funds for permanent public improvements in the
city, pursuant to an ordinance adopted by the city Council on
October 11, 1988 (the "Ordinance").
THE CITY RESERVES THE RIGHT, at its option, to redeem
the Bonds maturing on or after April 1, 2000, prior to their
scheduled maturities, in whole or in part, in integral
'multiples of $5,000, on April 1, 1999, or on any date
thereafter at par plus accrued interest on' the principal
amounts called for redemption to the date fixed for redemp-
tion. Reference is made to the Ordinance for complete
details concerning the manner of redeeming the Bonds.
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NOTICE OF ANY REDEMPTION shall be given at least thirty
(30) days prior to the date fixed for redemption by first
class mail, addressed to the registered owners of each Bond
to be redeemed in whole or in part 'at the address shown on
the books of registration kept by the Registrar. When Bonds
or portions thereof have been called for redemption, and due
provision has been made to redeem the same, the principal
amounts so redeemed shall be payable solely from the funds
provided for redemption, and interest which would otherwise
accrue on the amounts called for redemption shall terminate
on the date fixed for redemption.
THIS BOND IS TRANSFERABLE only upon presentation and
surrender at the corporate trust office of the Registrar,
duly endorsed for transfer or accompanied by an assignment
duly executed by the registered owner or his' authorized
representative, subject to the terms and conditions of the
, Ordinance.
THIS BOND IS EXCHANGEABLE at the corporate trust office '
of the Registrar for bonds in the principal amount of $5,000
or any integral multiple thereof, subject to the terms and
conditions of the Ordinance.
THE REGISTRAR SHALL NOT BE REQUIRED (1) to issue,
transfer or exchange any Bond during a period beginning at
the opening of business 15 calendar days before the date of
the first mailing of a notice of redemption and ending at the
close of business on the day of such mailing or (2) to
transfer or exchange any Bond selected for redemption, if
such redemption is to occur within 30 calendar day~.
THIS BOND SHALL NOT BE valid or obligatory for any pur-
pose or be entitled to any benefit under the Ordinance
unless this ~ond is e~ther (i) registered by the Comptroller
of Public Accounts of the State of Texas by registration cer-
tificate attached or affixed hereto or (ii) authenticated by
the Registrar by due execution of the authentication
certificate 'endorsed hereon.
IT IS HEREBY CERTIFIED, RECITED AND COVENANTED that
this Bond has been duly and validly issued and delivered;
that all acts, conditions and things required or proper to he
performed, to exist and to be done precedent to or in the
issuance and delivery of this Bond have been performed, exist
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'and have been done in accordance with law; and that annual
ad valorem taxes, within the limits prescribed by law,
sufficient to provide for the payment of the interest on and
principal of this Bond, as such interest comes due and such
principal matures, have been levied and ordered to be levied
against all taxable property in the ci ty , and have been
pledged irrevocably for such payment.
section 4.2: Registration of ,Bonds bV state Comp-
troller. Bonds R-l through R-19 shall be registered by the
Comptroller of Public Accounts of the state of Texas, as
provided by law. The registration certificate of the Comp-
troller of Public Accounts shall be attached or affixed to
Bonds R-I through R-19 and shall be in substantially the
following form:
COMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER NO.
I HEREBY CERTIFY that this bond has been examined, cer-
tified as to validity, and approved by the Attorney General
of the State of Texas, and that this bond has been registered
by the Comptroller of Public Accounts of the State of Texas.
I I
WITNESS MY SIGNATURE AND SEAL this
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Comptroller of Public Accounts
of the State of Texas
( SEAL)
section 4.3: Form of Authentication certificate. The
following form of authentication certificate 'shall be
printed on the face of each of the Bonds:
AUTHENTICATION CERTIFICATE
It is hereby certified that this Bond has
been delivered pursuant to the Ordinance
described in the text, of this Bond, in
exchange for or in replacement of a'Bond,
Bonds or a portion of a Bond or Bonds of
a Series which was originally approved by
the Attorney General of the State of
Texas and registered by the Comptroller
of Public Accounts of the State of Texas.
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First city National Bank of Houston
Houston, Texas
Paying Agent, Registrar
By
Authorized Signature
Date of Authentication:
Section 4.4: Form of AssiQnment. ThA fol1owin~ fnrm of
assignment shall be print~d on the back of each of the Bonds:
ASSIGNMENT
For value received, the undersigned hereby sells,
assigns, and transfers unto
(Please print or type name, address, and zip code of
Transferree)
o
(Please insert Social Security or Taxpayer Identification
Number of Transferee)
the within bond and all
irrevocably constitutes and
rights thereunder, and hereby
appoints
attorney to transfer said
registration thereof, wi th full
premises.
bond on the books kept for
power of substitution in the
DATED:
Signature Guaranteed:
Registered Owner
NOTICE: The signature above
must correspond to the name of
the registered owner as shown
on the face of this bond in
every particular, without any
alteration, enlargement or
change whatsoever.
NOTICE: Signature must be
guaranteed by a member firm
of the New York stock
Exchange or a commercial
bank or trust company.
section 4. 5: J.eoFll On; ni on. ("fT~ TP; Rnnd ItUiPlraRCQ. TRQ
approving opinion of Vinson & Elkins, Houston, Texas, and
CUSIP Numbers may be printed on the Bonds, but errors or
omissions in the printing of such opinion or such numbers
shall have no effect on the validity of the Bonds. If bond
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insurance is obtained by the purchaser, the Bonds may bear ,an
appropriate legend as provided by the insurer..
ARTICLE. V
SECURITY AND SOURCE OF PAYMF.NT FOR RONn~
Section 5.1: Tnr~r~~r ~nn ~in~in~Fl1nd' Tax LQvy. The
proceeds from all taxes levied, assessed and collected for
and on account of the Bonds authorized by this Ordinance
shall be deposited, as collected, in a special fund to be
designated "city of West University Place, Texas, Public
Improvement Bonds, series 1988, Interest and sinking Fund".
While the: Bonds or any part of the principal thereof or
interest thereon remain outstanding and unpaid, there is
hereby, levied and there shall be annually levied, assessed
and collected in due .time, form and manner, and at the same
time as other city taxes are levied, assessed and collected
in each year, beginning with the current year, a continuing
direct annual ad valorem tax, within the limits,prescribed by
law, upon all taxable property in the City sufficient to pay
the current interest on the Bonds as the same becomes due,
and to provide and maintain a sinking fund adequate to pay I
the principal of the Bonds as such principal. matures but ,--
never less than two percent (2%) of the original principal
amount of the Bonds each year, full allowance being made for
delinquencies and costs of collection, and such taxes when
collected shall be applied to the 'payment of the interest on
and principal of the Bonds and to no other purpose. In
addition, interest accrued from the date of the Bonds until
their delivery, and premium if any, is to be deposited in
such fund.
To pay the interest coming due on the Bonds on April 1,
1989, there is hereby appropriated from current funds, which
are hereby certified to be on hand and available for such
purpose, an amount sufficient to pay such interest, and such
amount shall be used for no other purpose.
Sect; on fi _?: Tnw:.!::rml'>nr n{' Itlt~rest aRt{, SiRkin" Fynd.
Money in the Interest and Sinking Fund may, at the option of
the city , be invested in time deposits or ,certificates of
deposit secured in the manner required by law for public
funds, or be invested in direct obligations of, or obliga-
tions the principal of and interest on which are uncondition-
ally guaranteed by, the United states of America, in obliga-
. I
U
tions of any agencies or instrumentalities of the united
states of America or as otherwise permitted by state law;
provided that all such deposits and investments shall be made
in such manner (which may include repurchase agreements
permitted by state law for such investments) that money
required to be expended from the Interest and S inking Fund
will be available at the proper time or times. All such
investments shall be valued in terms of current market value
no less frequently than the last business day of the City's
fiscal year, except that any direct obligations of the United
states of America - state and Local Government Series shall
be continuously valued at their par value or principal face
amount. Any obligation in which money is so invested shall
be kept and held in an official depository of the City,
except as hereinafter provided. For purposes of maximizing
investment returns,' money in such Interest and Sinking Fund
may be invested, together with money in the Series 1988
Construction Account or with other money of the City, in
common investments of the kind described above, or in a
common pool of such investments which shall be kept and held
at an official depository of the city, which shall not be
deemed to be or constitute a commingling of such money
provided that safekeeping receipts or certificates of
participation clearly evidencing the investment or investment
pool in which such money is invested and the share thereof
purchased with such money or owned by such Fund are held by
or on behalf of each such Fund. If necessary, such
investments shall be promptly sold to prevent any default.
All interest and income derived from such deposits and
investments of the Interest and Sinking Fund shall be
credited to the Interest and Sinking Fund. So long as any
Bonds remain outstanding, all uninvested moneys on deposit
in, or credited to, the Interest and Sinking Fund shall be
secured by the pledge of security as provided by law for
cities in the State of Texas.
ARTICLE VI
SF.RTF.~ 1 q~H~ rONC:::'T'RTTr'T'T()N ~ C'C'OTTUT
Secti on n. 1 : ~pri p~ , qAA I'f"'IY)ctr'1C't ion 1l. ccoynt. There
is hereby created and established a special account of the
City within the City's existing Capital Projects Fund, to be
known as the "city of West uni versi ty Place, Texas, Public
Improvement Bonds, Series 1988, Construction Account", which
shall be maintained as a separate account on the books of the
City. Money on deposit in the Series 1988 Construction
Account shall be used only for the purposes set forth in
Section 2.1 of this Ordinance, except that interest and
income derived from deposit and investment of moneys in the
Series 1988 Construction Account may be utilized as provided
below in section 6.2 hereof.
Section 6.2: Inve~t.mp.nt of Monpy in ~prip~ 1Q88
Construction Account. Money on deposit in the Series 1988
Construction Account may, at the option of the City, be
invested as permitted by Texas law i provided that all such
deposits and investments shall be made in such manner (which
may include repurchase agreements permitted by state law for
such investments) that the money required to be expended from
the Series 1988 Construction Account will be available at the
proper time or times. All such investments shall be valued
in terms of current market value no less frequently than the
last business day of the City's fiscal year, except that any
direct obligations of the united States of America -- State
and Local Government Series shall be continuously valued at
their par value or principal face amount. Any obligation in
which money is so invested shall be kept and held in an
official depository of the City, except as hereinafter
provided. For purposes of maximizing investment returns,
money in the Series 1988 Construction Account may be
invested, together with money in the Interest and Sinking
Fund or with other money of the city, in common investments
of the kind described above, or in a common pool of such
investments which shall be kept and held at an official
depository of the city, which shall not be deemed to be or
constitute a commingling of such money provided that
safekeeping receipts or certificates of participation clearly
evidencing the investment or investment pool in which such
money is invested and the share thereof purchased with such
money or owned by the Series 1988 Construction Account are
held by or on behalf of the Series 1988 Construction Account.
All interest and income derived from such deposits and
investments shall remain in the Series 1988 Construction
Account, except that (a) to the extent required by law, such
interest and income may be applied to make such payments to
the united States of America as shall be required to assure
that interest on the Bonds is excludable from gross income
for federal income tax purposes, and (b) in the discretion of
the City, such interest and income may be utilized to pay
principal of and interest on the Bonds.
, .
ARTICLE VII
PROVISIONS CONCERNING SALE AND
DISPOSITION OF PROCEEDS OF BONDS
section 7.1: Sale of Bonds. The sale of the Bonds to
Lovett, Mitchell, Webb & Garrison, Inc., Howard Weil
Labouisse Friedrichs, Kidder Peabody, and Rauscher pierce
Refnses (the "Purchasers") at the price of par plus accrued
interest thereon to date of delivery, plus a cash premium of
$ -0-, is hereby authorized, approved, ratified and
confirmed, subject to the unqualified approving opinion as to
the legality of the Bonds of the Attorney General of the
State of Texas, and of Vinson & Elkins, Houston, Texas, bond
counsel. It is hereby found and declared that the bid of
said Purchaser is the best obtained by the City for the Bonds
pursuant to and after taking public bids for the sale
thereof.
section 7.2: Approval, Reqistration and Deliverv.
After the Bonds to be initially issued shall have been
executed, it shall be the duty of the Mayor of the city to
deliver the Bonds to be initially issued and all pertinent
records and proceedings to the Attorney General of Texas, for
examination and approval by the Attorney General. After the
Bonds to be initially issued shall have been approved by the
Attorney General, they shall be delivered to the Comptroller
of Public Accounts of the State of Texas for registration.
Upon registration of the Bonds to be initially issued, the
Comptroller of Public Accounts (or a deputy lawfully desig-
nated in writing to act for the Comptroller) shall manually
sign the Comptroller I s Registration Certificate prescribed
herein to be attached or affixed to the Bonds to be initially
issued, and the seal of said Comptroller shall be impressed,
or placed in facsimile, thereon.
section 7.3: Tax Exemption. (a) General Tax Covenant.
The city intends that the interest on the Bonds shall be
excludable from gross income for purposes of federal income
taxation pursuant to sections 103 and 141 through 150 of the
Code, and applicable regulations. The City covenants and
agrees not to take any action, or knowingly omit to take any
action within its control, that if taken or omitted, respec-
tively, would cause the interest on the Bonds to be includ-
able in gross income, as defined in section 61 of the Code,
of the holders thereof for purposes of federal income taxa-
tion. In particular, the City covenants and agrees to comply
with each requirement of this section 7.3; provided, however,
..
that the City shall not be required to comply with any
particular requirement of this section 7.3 if the City has
received an opinion of nationally recognized bond counsel
("Counsel's Opinion") that such noncompliance will not
adversely affect the exclusion from gross income for federal
income tax purposes of interest on the Bonds or if the city
has received a Counsel's Opinion to the effect that compli-
ance with some other requirement set forth in this Sec-
tion 7.3 will satisfy the applicable requirements of the
Code, in which case compliance with such other requirement
specified in such Counsel's Opinion shall constitute compli-
ance with the corresponding requirement specified in this
Section 7.3.
(b)
that its
defined)
ments:
Use of Procp.p.Cl!=: The City covenants and agrees
use of the Net Proceeds of the Bonds (as hereinafter
will at all times satisfy the following require-
(i) The city will limit the amount of
original or investment proceeds of the Bonds to be
used (other than use as a member of the general
public) in the trade or business of any person
other than a governmental unit to an amount
aggregating no more than ten percent of the Net
Proceeds of the Bonds ("private-use proceeds").
For purposes of this Section, the term "person" in-
cludes any individual, corporation, partnership,
unincorporated association, or any other entity
capable of carrying on a trade or business; and the
term "trade or business" means, with respect to any
natural person, any activity regularly carried on
for profit and, with respect to persons other than
natural persons, any activity other than an
activity carried on by a governmental unit. Any
use of proceeds of the Bonds in any manner contrary
to the guidelines set forth in Revenue Procedures
82-14, 1982-1 C.B. 459, and 82-15, 1982-1 C.B. 460,
including any revisions or amendments thereto,
shall constitute the use of such proceeds in the
trade or business of one who is not a governmental
unit;
(ii) The city will not permit more than five
percent of the Net Proceeds of the Bonds to be used
in the trade or business of any person other than a
. ,
governmental unit if such use is unrelated to the
governmental purpose of the Bonds. Further, the
amount of private-use proceeds of the Bonds in
excess of five percent of the Net Proceeds of the
Bonds ("excess private-use proceeds") will not
exceed the proceeds of the Bonds expended for the
governmental purpose of the Bonds to which such
excess private-use proceeds relate; and
(iii) The City will not permit an amount of
proceeds of the Bonds exceeding the lesser of (a)
$5,000,000 or (b) five percent of the Net Proceeds
of the Bonds to be used, directly or indirectly, to
finance loans to persons other than governmental
units.
When used in this Section 7.3, the term Net Proceeds of the
Bonds shall mean the proceeds from the sale of the Bonds,
including investment earnings on such proceeds, less accrued
interest.
(c) No Federal Guaranty. The city covenants and agrees
not to take any action, or knowingly omit to take any action
within its control, that, if taken or omitted, respectively,
would cause the Bonds to be "federally guaranteed" within the
meaning of section l49(b) of the Code and applicable regula-
tions thereunder, except as permitted by section l49(b) (3) of
the Code and such regulations.
(d) No-Arbi traqe Covenant. The city shall certify,
through an authorized officer, employee or agent, that based
upon all facts and estimates known or reasonably expected to
be in existence on the date the Bonds are delivered, the City
will reasonably expect that the proceeds of the Bonds will
not be used in a manner that would cause the Bonds to be
"arbitrage bonds" within the meaning of section 148(a) of the
Code and applicable regulations thereunder. Moreover, the
city covenants and agrees that it will make such use of the
proceeds of the Bonds including interest or other investment
income derived from Bond proceeds, regulate investments of
proceeds of the Bonds, and take such other and further action
as may be required so that the Bonds will not be "arbitrage
bonds" within the meaning of section l48(a) of the Code and
applicable regulations thereunder.
.t:
. .
(e) Arbitraqe Rebate. The city will take all necessary
steps to comply with the requirement that certain amounts
earned by the city on the investment of the "gross proceeds"
of the Bonds (within the meaning of section 148(f) (6) (B) of
the Code), be rebated to the federal government. Specifi-
cally, the city will (i) maintain records regarding the
investment of the gross proceeds of the Bonds as may be
required to calculate the amount earned on the investment of
the gross proceeds of the Bonds separately from records of
amounts on deposit in the funds and accounts of the city
allocable to other bond issues of the City or moneys which do
not represent gross proceeds of any bonds of the City, (ii)
calculate at such times as are required by applicable regu-
lations, the amount earned from the investment of the gross
proceeds of the Bonds which is required to be rebated to the
federal government, and (iii) pay, not less often than every
fifth anniversary date of the delivery of the Bonds, all
amounts required to be rebated to the federal government.
Further, the city will not indirectly pay any amount other-
wise payable to the federal government pursuant to the
foregoing requirements to any person other than the federal
government by entering into any investment arrangement with
respect to the gross proceeds of the Bonds that might result
in a "prohibited payment" within the meaning of Temp. Treas.
Reg. ~1.103-15AT.
(f) Information Reportinq. The City covenants and
agrees to file or cause to be filed with the Secretary of the
Treasury, not later than the 15th day of the second calendar
month after the close of the calendar quarter in which the
Bonds are issued, an information statement concerning the
Bonds, all under and in accordance with section 149(e) of the
Code and applicable regulations thereunder. '
Section 7.4: Qualified Tax-Exempt Obliqations. The
City hereby designates the Bonds as "qualified tax-exempt
obligations" for purposes of section 265(b) of the Code. In
connection therewith, the City represents (a) that the ag-
gregate amount of tax-exempt obligations issued by the city
during calendar year 1988, including the Bonds, which have
been designated as "qualified tax-exempt obligations" under
section 265(b) (3) of the Code does not exceed $10,000,000,
and (b) that the reasonably anticipated amount of tax-exempt
obligations which will be issued by the city during calendar
year 1988, including the Bonds, will not exceed $10,000,000.
For purposes of this section 7.4, the term "tax-exempt
obligation" does not include "private activity bonds" within
the meaning of section 141 of the Code, other than "qualified
501(c) (3) bonds" within the meaning of section 145 of the
Code. In addition, for purposes of this section 7.4, the
City includes all governmental units which are "subordinate
entities" of the city, within the meaning of section 265 (b)
of the Code.
Section 7.5: Books and Re~orn~ So long as any of the
Bonds are outstanding the city covenants and agrees that it
will keep proper books of record and account in which full,
true and correct entries will be made of all dealings,
activities and transactions relating to the Bonds and the
funds created pursuant to this Ordinance, and all books,
documents and vouchers relating thereto shall at all
reasonable times be made available for inspection upon
request of any Owner.
ARTICLE VIII
MISCELLANEOUS
Section 8.1: Official St.~tpmpnt The City ratifies and
confirms its prior approval of the form and content of the
Official Statement prepared for initial offering and sale of
the Bonds and hereby approves the form and content of any
addenda, supplement, or amendment thereto. The use of such
Official Statement in the reoffering of the Bonds by the
Purchaser is hereby approved and authorized. The proper
officials of the City are hereby authorized to execute and
deliver a certificate pertaining to such Official Statement
as prescribed therein, dated as of the date of payment for
and delivery of the Bonds.
Section 8.2: provisions Con~ernina Rpqi~tr~r (a) The
Registrar, by undertaking the performance of the duties of
the Registrar and in consideration of the payment of fees
and/or deposits of money pursuant to this Ordinance and a
Paying Agent/Registrar Agreement, accepts and agrees to abide
by the terms of this Ordinance and such Agreement. The city
hereby approves the Paying Agent/Registrar Agreement.
(b) The City reserves the right to replace the Regis-
trar or its successor at any time on sixty days written
notice. If the Registrar is replaced by the city, the new
Registrar shall accept the previous Registrar's records and
.~
, "
act in the same capacity as the previous Registrar. Any
successor Registrar shall be either a national or state
banking institution and a corporation organized and doing
business under the laws of the United states of America or
any state authorized under such laws to exercise trust powers
and subject to supervision or examination by Federal or state
authority.
Section 8.3: Compliance with Charter Debt Limitation.
It is hereby found and declared that upon the issuance and
delivery of the Bonds, the total bonded indebtedness of the
City will not exceed five percent of the net taxable value of
property on the tax rolls of the City. Therefore, the Bonds
are issued in compliance with Section 7.07 of the city's Home
Rule Charter.
Section 8.4: Further Proceedings. The Mayor, the City
Secretary and other appropriate officials of the City are
hereby authorized and directed to do any and all things
necessary and/or convenient to carry out the terms and
purposes of this Ordinance.
Section 8.5: Severabilitv. If any Section, paragraph,
clause or provision of this ordinance shall for any reason
be held to be invalid or unenforceable, the invalidity or
unenforceability of such Section, paragraph, clause or
provision shall not affect any of the remaining provisions of
this Ordinance.
Section R.6: Open Meeting. It is hereby found,
determined and declared that a sufficient written notice of
the date, hour, place and subject of the meeting ~f the city
Council at which this Ordinance was adopted was posted at a
place convenient and readily accessible at all times to the
general public at the city Hall of the City for the time
required by law preceding this meeting, as required by the
Open Meetings Law, Article 6252-17, Vernon's Texas civil
Statutes, as amended, and that this meeting has been open to
the public as required by law at all times during which this
Ordinance and the subject matter thereof has been discussed,
considered and formally acted upon. The city council further
ratifies, approves and confirms such written notice and the
contents and posting thereof.
.t
Section 8.7: Effect of Orn;nnnr.p This Ordinance shall
be in force and effect from and after its passage, and it is
so ordered.
section 8.8: Renea 1 p-r - All orders, resolutions and
ordinances, or parts thereof, inconsistent herewith are
hereby repealed to the extent of such inconsistency.
liMa~or
CITY OF WEST
PASSED AND APPROVED this 11th
ATTEST:
/Ji::al1 {j,~iL
CITY OF ST UNIVERSITY PLACE, TEXAS
( SEAL)
APPJ~N-
City Attorney
CITY OF WEST UNIVERSITY PLACE, TEXAS
ORDINANCE NUMBER 1328
AN ORDINANCE RELATING TO RESIDENTIAL PICKETI~G.
DECLARING IT TO BE UNLAWFUL FOR ANY PERSON TO ENGAGE
IN PICKETING BEFORE OR ABOUT THE RESIDENCE OR DWELLING
OF ANY INDIVIDUAL IN THE CITY. AMENDING THE CODE OF
ORDINANCES OF THE CITY OF WEST UNIVERSITY PLACE. AND
CONTAI~ING FINDI~GS AND PROVISIONS RELATING TO THE
SUBJECT.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WEST UNIVERSITY
PLACE, TEXAS:
Section 1. That the C~de of Ordinances, City of West University
Place, Texas. is hereby amended by adding a section, to be numbered
15-13, which said section reads as follows:
Section 15-13. Residential Picketing.
(a) It is declared that the protection and preservation of the
home is the keystone of democratic government. that the public
health and welfare and the good order of the community require
that members of the community enjoy in their homes ar.d dwellings a
feeling of well-being, tranquility, and privacy, and when abser.t
from their homes and dwellings, carry with them the sense of
security inherent in the assurance that they may return to the
enjoyment of their homes and dwellings. that the practice of
picketing before or about residences and dwellings causes
emotional disturbance and distress to the occupants. obstructs and
interferes with the free use of public sidewalks and public ways
of travel. that such practice has as its object the harassing of
such occupants. and without resort to such practice full
opportunity exists, and under the terms and provisions of this
c~8pter wil~ tontinue to exist for the exercise of freedom of
speech and other constitutional rights. and that the provisions
hereinafter enacted are necessary for the public interest to avoid
the detrimental results herein set forth.
(b) It is unlawful for any person to engage in picketing before
or ab~ut the residence or dwelling of any individual in the City.
(c) Penalt1. for Violations. Any person violating the
provisions.oir this section shall upon conviction for a first
offense be fine~ not less than $5.00 nor more than $300.00. Any
person who shall be guilty of violating this section who has
previously been convicted of a violation thereof within one year,
shall upon conviction thereof be fined not less than S100.00 nor
more than $500.00 for each such offense.
161
Ordinance Number 1328
Section 2. All ordinances and parts of ordinances in conflict
herewith are hereby repealed to the extent of the conflict only.
Section 3. If any word, phrase, clause, sentence, paragraph,
section or other part of this ordinance or the application thereof to
any person or circumstance, shall ever be held to be invalid or
unconstitutional by any court of competent jurisdiction, the remainder
of this ordinance and the application of such word, phrase, clause,
sentence, paragraph, section or other part of this ordinance to any
other persons or circumstances shall not be affected thereby.
Section 4. The City Council officially finds, determines and
declares that a sufficient written notice of the date. hour, place and
subject of each meeting at which this ordinance was discussed,
considered or acted upon was given in the manner required by the Open
Meetings Law, TEX. REV. CIV. STAT. ANN. art. 6252-17, as amended,
and that each such meeting has been open to the public as required by
law at all times during such discussion, consideration and action. The
City Council ratifies, approves and confirms such notices and the
contents and posting thereof.
Section 5. This ordinance shall take effect on the tenth day
following its publication as prescribed by Section 2-12 of the City
Charter.
PASSED AND APPROVED ON FIRST READING, this 24th day of
October , 1988.
Councilmembers Voting Aye: Mayor Parks, Counci1members Bryan, Bell
Britton, Schwartze1
Councl1members Voting No: None
Counci1members Absent: None
Ordinance Number 1328
PASSED AND APPROVED ON SECOND READING, this l4ib day of
__B2yember , 1988.
Councilmembers Voting Aye: Mayor Parks, Councilmembers Bryan,
Bell, Britton, Schwartzel
Councilmembers Voting No: None
Councilmembers Absent: None
Signed:
M i c h a elL :P"a-rls-,--r:fayor
ATTEST:
c s
Ci ty Secretary
Approved as to Form:
(SEAL)
James L. g r.
City Attorney