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HomeMy Public PortalAboutOrd 154 GO Bonds A 1989 GILMORE & BELL 9/22/89 (PUBLISHED IN THE DAILY REPORTER ON SEPTEMBER 8, 1989) ORDINANCE NO. 154 AN ORDINANCE AUTHORIZING THE ISSUANCE AND DELIVERY OF $215,822.92 PRINCIPAL AMOUNT OF GENERAL OBLIGATION INTERNAL IMPROVEMENT BONDS, SERIES A, 1989, OF THE CITY OF BEL AIRE, KANSAS, FOR THE PURPOSE OF CONSTRUCTING CERTAIN INTERNAL IMPROVEMENTS; AND PROVIDING FOR THE LEVY AND COLLECTION OF AN ANNUAL TAX FOR THE PURPOSE OF PAYING THE PRINCIPAL- OF AND INTEREST ON SAID BONDS AS THEY BECOME DUE. WHEREAS, the City is a city of the third class, duly created, organized and existing under the laws of the State of Kansas; and WHEREAS, pursuant to K.S.A. 12-6a01 et seq. as amended, and other provisions of the laws of the State of Kansas applicable thereto, by proceedings duly had, the governing body of the City has caused the following improvements to be made in the Ci ty, to-wi t: (a) A Sani ta ry Sewer Extens ion to be const ructed to serve the area in and about Arthur Heights Addition, White's Replat of Lot 16, Arthur Heights Addi tion and Arthur Heights 2nd Addition to the City of Bel Aire, Sedgwick County, Kansas; and (b) Curb, gutter and pavement on Edgemoor Street from 38th Street North to 41st Street North, to the City of Bel Aire, Kansas; and WHEREAS, all legal requirements pertaining to the Improvements have been complied with, and the governing body of the City now finds and determines that the total cost of the Improvements and related expenses are at least $253,473.30, wi th $253,473.30 of said cost to be paid by the owners of the property within the City benefited by the Improvements and with $-0- of said cost to be paid by the City at large, and that the owners of the property benefited by the Improvements have paid $37,650.38 in cash into the City Treasury on account of the Improvements, leaving $215,822.92 to be paid for by the issuance of general obligation bonds; and WHEREAS, the governing body of the City is authorized-'by law to issue general obligation bonds of the City to pay the costs of the Improvements; and WHEREAS, the governing body of the Ci ty has advertised the sale of its general obligation bonds in accordance with the law and at a meeting held in the City on this date, awarded the sale of such bonds to the lowest bidder; and WHEREAS, the governing body of the City hereby finds and determines that it is necessary for the City to authorize the issuance and delivery of its general obligation bonds in the principal amount of $215,822.92 to pay the costs of the Improvements. NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF BEL AIRE, KANSAS, AS FOLLOWS: Section 1. Definitions of Words and Terms. "Act" means the Constitution and statutes of the State of Kansas including K.S.A. 10-101 to 10-125, inclusive, K.S.A. 10-620, et ~., and K.S.A. 12-6aOl et ~., as amended and supplemented. "Bond and Interest Fund" means the Bond and Interest Fund of the City for its general obligation bonds., "Bonds" means the Series A, 1989 Bonds authorized by the Ordinance in the aggregate principal amount of $215,822.92, and dated September I, 1989. "City" means the City of Bel Aire, Kansas-.. "City Clerk" means the duly appointed and acting City Clerk or, in the City Clerk's absence, the duly appointed and/or elected Deputy City Clerk or Acting City Clerk of the City. "Code" means the Internal Revenue Code of 1986, as amended, and the applicable regulations proposed or promulgated thereunder of the United States Department of the Treasury. "Improvements" means the improvements referred to in the preamble to this Ordinance. "Mayor" means the duly elected and acting Mayor of the City or, in the Mayor I s absence, the duly appointed and/or elected Vice Mayor or Acting Mayor of the City. "Ordinance" means this Ordinance authorizing the issuance of the Bonds. . --.... -2- 92838 -- Section 2. Authorization of and Securi ty for the Bonds. There shall be issued and hereby are authorized and directed to be issued the General Obligation Internal Improvement Bonds, Series A, 1989, of the City in the principal amount of $215,822.92, for the purpose of providing funds to pay the cost of the Improvements. The Bonds shall be general obligations of the City payable as to both principal and interest from special assessments levied upon the property benefi ted by the construction of the Improvements and, if not so paid, from ad valorem taxes which may be levied without limitation as to rate or amount upon all the taxable tangible property, real and personal, within the territorial limits of the City. The full faith, credit and resources of the Ci ty are hereby irrevocably pledged for the prompt payment of the principal of and interest on the Bonds as the same become due. Section 3. Terms, Details and Conditions of the Bonds. The Bonds shall be dated and bear interest, shall mature and be payable at such times, shall be in such forms, shall be subject to redemption and payment prior to the maturi ty thereof, and shall be issued and delivered in the manner prescribed and subject to the provisions, covenants and agreements set forth in a resolution hereinafter adopted by the governing body of the City. Section 4. Levy and Collection of Annual Tax. The governing body of the City shall annually make provision for the payment of principal of, premium, if any, and interest on the Bonds as the same become due by levying and collecting the necessary taxes and/or assessments upon all of the taxable tangible property within the City in the manner provided by law. The taxes and/or assessments above referred to shall be extended upon the tax rolls in each of the several years, respectively, and shall be levied and collected at the same time and in the same manner as the general ad valorem taxes of the City are levied and collected, and the proceeds derived from said taxes and/or assessments shall be deposited in the Bond and Interest Fund. If at any time said taxes and/or assessments are not collected in time to pay the principal of or interest on the Bonds when due, the Ci ty Treasurer is hereby authorized and directed to pay said principal or interest out of the general funds of the City and to reimburse said general funds for money so expended when said taxes and/or assessments are collected. Sect ion 5. Tax Covenants. The Ci ty covenants and ag rees that it will not take any action, or fail to take any action, if any such action or failure to take action would adversely affect the exclusion from gross income of the interest on the Bonds under Section 103 of the Code. The Ci ty covenants and .. -.... -3- 92 8 3 B ag rees that it wi 11 use the proceeds of the Bonds as soon-' "a-s practicable and with all reasonable dispatch for the purpose for which the Bonds are issued as hereinbefore set forth, and that it will not directly or indirectly use or permit the use of any proceeds of the Bonds or any other funds of the City, or take or omit to take any action that would cause the Bonds to be "arbitrage bonds" within the meaning of Section l48(a) of the Code. To that end, the City will comply with all requirements of Section 148 of the Code to the extent applicable to the Bonds. In the event that at any time the City is of the opinion that for purposes of this Section it is necessary to restrict or limit the yield on the investment of any moneys held by the City under the Ordinance, the City shall take such action as may be necessary. Section 6. Further Authority. The Mayor, City Clerk and other City officials are hereby further authorized and directed to execute any and all documents and take such actions as they may deem necessary or advisable in order to carry out and perform the purposes of the Ordinance to make alterations, changes or addi tions in the foregoing agreements, sta tements, instruments and other documents herein approved, authorized and confirmed which they may approve and the execution or taking of such action shall be conclusive evidence of such necessity or advisability. Sect ion 7. Governing Law. The Ordinance shall be governed exclusively by and con.strued with the applicable laws of the State of Kansas. and in the Bonds accordance Section 8. effect and be governing body newspaper. Effective Date. This Ordinance shall take in full force from and after its passage by the of the City and publication in the official City PASSED by the governing body of the Ci ty this 5th day of September, 1989. (SEAL) ATTEST: ~i/ ;/ ~.a; City Clerk ~ -.-r -4- '2838