Loading...
HomeMy WebLinkAbout12-09-1991 Regular Meeting1255 STATE OF ALABAMA Z COUNTY OF BALDWIN X The City Council, City of Fairhope, met in regular session at 5:30 pm; Fairhope Municipal Complex Council Chamber ; 161 North Section Street; Fairhope, Alabama 36532; on Monday, 9 December 1991. Present were Mayor James P. Nix; Councilmembers Roy C. White, Jeanette Puckett, David E. Bishop, Michael A. Ford, and John V. Duck; City Attorney Marion E. Wynne and City Clerk Evelyn Phillips. No one was absent. There being a quorum present, Mayor Nix called the meeting to order. Minutes of the 25 November 1991 regular session were duly approved. Councilman Duck moved to accept the single bid received on two pumps to upgrade the Lift Station on west Volanta Street (Fairhope Yacht Club), made by Jim House & Associates of Birmingham, in the total amount of $7,528.00, provided all specifications are met. Seconded by Councilman Ford, motion passed unanimously. Councilman Bishop moved to accept the single bid received on one Police Car, made by Steber Chevrolet of Daphne, in the total amount of $141196.50, provided all specifications are met. Seconded by Councilman Duck, motion passed unanimously. Council discussed various offers by banks and investment counselors to act as the City's fiscal agent on our upcoming bond issue. It was determined that the offer made by Frazer Lanier Company of Montgomery was best. Councilman Ford then introduced, and moved for the adoption of, the following reso- lution in writing. Seconded by Councilman Duck, motion passed unanimously: RESOLUTION NO. 360-91 BE IT RESOLVED BY THE GOVERNING BODY OF THE CITY OF FAIRHOPE, ALABAMA, That Mayor James P. Nix is hereby authorized to execute a contract between the City and FRAZER LANIER COMPANY, Montgomery, Alabama, to serve as the City's fiscal agent on a bond issue to refinance the 1983 Public Improvements Issue, to construct a waterline extension to the Marlow -Fish River area, and to make other capitol improvements. ADOPTED THIS 9th DAY OF DEC MBER, 1991. Pl- x/t V�_ Jame P. Nix, Mayor City Jerk 9 December 1991 1256 Councilman White introduced, in writing, and moved for the adoption of, the following resolution. Seconded by Councilwoman Puckett, motion passed unanimously: RESOLUTION NO. 361-91 BE IT RESOLVED BY THE GOVERNING BODY OF THE CITY OF FAIRHOPE, ALABAMA, as follows: THAT the City of Fairhope enter into a contract with MOORE ENGINEERING COMPANY, Fairhope, Alabama, for the provision of engineering services for the engineering design and inspection services to install a water line to the Marlow - Fish River area, as per the specifications of the MARLOW WATER PROJECT; and THAT, said contract and contract price is determined reasonable and in the best interest of the City; and THAT, James P. Nix, in his capacity as Mayor, is hereby authorized and directed to execute said contract on behalf of the City. ADOPTED THIS 9th DAY OF DECEMBER, 1991. Electrical Superintendent Aaron Norris made a report to Council, advising them that some 600,000 seasonal lights are in place and operating throughout the downtown and Pier area; the downtown underground wiring project is complete and underground wiring on Pat Lynn, Seminole, and Myrtle will soon be complete; the wiring at Fire Station #2 is about 70% complete and should be finished within the next month. During the next few months trimming and repairing of several old oak trees, upgrading the 4KV (to 12KV) service on North Summit Street, installing street lights on Bay Meadows Avenue, and installing the new SCADA system will be the department's prime activity. As the City's Safety Coordinator, Norris reported that 80% of all City Employees are now certified American Red Cross CPR cardholders. Police Chief Jerry Anderson reported that our police force consists of 14 well -trained and equipped officers and 13 volunteer reserve officers. They have 10 marked and 3 unmarked police vehicles. One of our officers is a state trained and licensed polygraph operator, one is assigned to the DEA (Federal Drug Force), and three are assigned to Sheriff Jimmy Johnson's Baldwin County Drug Task Force. Our participation in the fight against drugs has resulted in our receiving some $130,000 in funds, a 1986 Nisson pickup truck, and a 1986 Ford Taurus vehicle. The funds are being used to purchase equipment. 9 December 1991 12S7 Street Superintendent Tim Kant reported that sidewalks are now complete down Magnolia Avenue and more sidewalks downtown and on the south side of Fig Avenue are scheduled. The new Street Sweeper is in use and next March, resurfacing of some 24 miles of city streets will begin. We are saving a lot of labor expense by using some 12 work -release prisoners and our recycling program expenses are still being covered by the present garbage charge, therefore no increase in rates is planned for the near future. Councilman Bishop moved to authorize the Mayor to negotiate and execute a short-term lease on Hangars 1 and 2, and on the upstairs area of the Pilots Lounge, at the Municipal Airport. (The name of the leasee cannot be stated at this time, but an announcement will be made soon.) Seconded by Councilman Duck, motion passed unanimously. Councilwoman Pucket moved to pay bills as presented. Seconded by Councilman Duck, motion passed unanimously. Councilman Duck moved to authorize the Mayor to act as necessary as the City's agent to complete the financing of the purchase, and the purchase, of buildings located at the Municipal Airport (more fully explained in the following resolution.) Seconded by Councilman Bishop, motion carried by the following vote: AYE -White, Nix, Bishop, Ford, and Duck. NAY -none. ABSTAIN -Puckett. Pursuant to the above, Councilman Duck introduced in writing, and moved for the adoption of, the following resolution. Seconded by Councilman Bishop, motion carried by the following vote: AYE -White, Nix, Bishop, Ford, and Duck. NAY -none. ABSTAIN -Puckett: RESOLUTION NO. 362-91 STATE OF ALABAMA COUNTY OF BALDWIN A RESOLUTION AUTHORIZING THE ISSUANCE OF A NOTE IN THE PRINCIPAL AMOUNT OF $538,000.00 AND MAKING PROVISIONS FOR PAYMENT THEREOF BE IT RESOLVED BY THE CITY COUNCIL,(herein the "City Council") OF THE CITY OF FAIRHOPE, ALABAMA,(herein the "City"), as follows: Section 1. Findings and Representations. The City, by and through its City Council, does hereby find, determine, represent, and warrant that it is necessary and in the public interest for the City to borrow the amount of $538,000.00 to provide funds to purchase buildings, equipment and fixtures located at the Fairhope Municipal Airport, and for such purposes to obtain the Note herein authorized and defined. Section 2. Authorization and Description of Note. Pursuant to the authority contained in the applicable provisions of the laws of Alabama, there is hereby authorized to be obtained a Note in the principal amount of $538,000.00 at the per annum interest rate of 6.0% and payable to 9 December 1991 12S8 SouthTrust Bank of Baldwin County ("Bank"). The note shall be dated the date of delivery and payment thereof, shall be payable in 240 equal monthly installments of principal and interest on such dates as specified in the Note, shall be subject to prepayment prior to maturity at such times, in such amounts and such circumstances as is determined by the City. Section 3. Execution of Note. The Note shall be executed in the name and on behalf of the City by the Mayor and by the City Clerk. Said officers are hereby directed to so execute the Note and to make the appro- priate endorsements, if any, thereon. Section 4. This Note is a General Obligation of the City. The indebtedness evidenced and ordered paid by the Note shall be a general obligation of the City for the punctual payment of the principal of and interest on which the full faith, credit and taxing power of the City are hereby sacredly and irrevocably pledged. Section 5. Delivery of Note and Closing Papers. The Mayor and the City Clerk, or any of them, are hereby authorized to deliver such closing papers containing such representation as are required to demonstrate the legality and validity of the Note. The Bank shall not be required to see to, or be responsible for, the application of the proceeds of the Note. Section 6. Application of Proceeds of Note. The proceeds of the Note shall be held in trust by the City Clerk and applied by the City Clerk for the purposes referred to in Section 1 of the Resolution, including the payment of expenses incurred in connection with the issuance of the Note. Section 7. Covenants with Respect to Tax Exemption of Interest; Designation of Note Pursuant to Section 265 of the Internal Revenue Code. The City recognizes that the Note is being issued on the basis that the interest payable on the Note is excludable from gross income of the re- gistered owner thereof for federal income taxation under Section 103 of the Internal Revenue Code of 1986 ("Code"). The City hereby covenants and agrees with the Bank that: (a) the proceeds of the Note will be used solely for the governmental purposes for which they are issued; (b) none of the proceeds of the Note will be applied for any "private business use" nor will any part of the proceeds of the Note be used to make or finance loans to persons other than a governmental unit; (c) the payment of the principal of or interest on the Note is not secured by any interest in property used or to be used for a "private business use;" (d) the proceeds of the Note shall not be used or applied by it, and the taxes or other revenues of the City shall not be accumulated in such a manner and no investment thereof shall be made, so as to cause the Note to be or become "arbitrage bonds" as that term is defined in Section 148 of the Code. (e) the City will make full and timely payment of all rebate payments to the United States of America and the City will maintain all records with respect thereto that may be required by Section 148(f) of the Code and any applicable regulations thereunder; and 9 December 1991 1259 (f) the City will make no use of proceeds of the Note that would cause the Note to be "federally guaranteed" under Section 149(b) of the Code and the payment of the principal of and interest on the Note shall not be "federally guaranteed" as described in said Section, except as otherwise expressly permitted in said Section. The City hereby further covenants and agrees with the Bank that, to the extent permitted by law, it will not take any action, or omit any action, with respect to the Note that would cause the interest on the Note not to be and remain excludable from gross income pursuant to the provision of Section 103 of the Code. The City hereby designates the Note as a "qualified tax exempt obligation" for the purposes of paragraph (3) of subsection (b) of Section 265 of the Code. Section 8. Provision of Resolution of Contract. The terms, provisions and conditions set forth in this resolution constitute a contract between the City and the Bank and shall remain in effect until the principal of and interest on the Note shall have been paid in full. Section 9. Severability. The provisions of this resolution are severable. In the event that any one or more of such provisions or the provisions of the Note shall, for any reason, be held illegal or invalid, such illegality or invalidity shall not affect the other provisions of this Resolution or of the Note, and this Resolution and the Note shall be construed and enforced as if such illegal or invalid provision had not been contained herein or therein. PASSED, ADOPTED AND APPROVEDJHIS 9th DAY OF DECEMBER, 1991. k" /i P. Nix, Mayor Attest r M10411 r-070PAL� There being no further business, meeting was duly adjourned at 5:50 pm. �iA4/ ame Nix, Mayor City Perk