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HomeMy WebLinkAboutO-229ORDINANCE # 229 WHEREAS, the City of Fairhope finds it necessary and proper to make improvements, betterments, and extensions of and to its municipal electric distribution system, and it has determined and does hereby declare that it is necessary and proper to borrow $60,000,00 for such purpose. NOW THEREFORE, be it ordained by the City Council of Fairhope, Alabama, as follows: SECTION 1. That under the provisions of the Statutes of Alabama, made and provided relating thereto and specifically under Section 466 of Title 37, Code of Alabama, 1�401 :a the City of Fairhope issue and sell interest bearing warrants in the aggregate sum of $601000.00 to be divided into 60 warrantsq each in the sum of $1,000.00, the same to bear interest at the rate of 4� per annuN interest payable semi-annually, as follows: Numbers Principal both Amount inclusive Maturity Date Maturing 1- 6 June 11 1955 $6000 .00 7-12 December 1t 1955 62000.00 13-18 19-24 June 1, 1956 December 19, 1956 69000.00 69000.00 25-30 June 1,1957 69000.00 31-36 December 11 1957 62000.00 37-42 June!lq 1958 69000.00 43-48 December 19 1958 6,000.00 49-54 June 11 1959 6,000.00 55-60 December 11 1959 6,000.00 SECTION 2. That said warrants shall be substantially in words and figures as follows: (FORM OF WARRANTS) No. $19000.00 UNITED STATES OF AMERICA STATE OF CITY OF ALABAMA FAIRHOPE GENERAL OBLIGATION WARRANT On the day of 9 195 for value received the City of Fairhope, a municipal corporation of the State of Alabama, acknowledges it's indebted, and promises to pay, to the bearer hereof the sum of ONE THOUSAND DOLLARS 'and interest thereon from date at the rate of 4%_ per annum, interst payable semi-annually, on the day of and on the day of of each calendar year hereafter, until this warrant is paid in full, principal and interest. This warrant principal and inteAt, is payable in lawful money of the United States of America at the Bank of Fairhope in the City of Fairhope, State of Ala�ama. Ordinance # 229 Continued evidencedhereby and the income the�rom, -is and shall be free and exempt from any the United Stated of America, the State of Baldwin, the City of Fairhope, and any - divisions and taxing authorities set up, by any and all governmental units and powers. .The indebtedness principal and interest, and all taxes levied by of Alabama, the County and all other political created, or established The indebtedness evidence by'this warrant is a general obli- gation of said city for the payment of the principal of and interest on which the full faith, credit, taxing powers and resources of the City have been and are irrevocably pledged. This warrant has been issued pursuant to the statutes made and provided, and specifically under Title 37, Section 466, and under the ordinances of said city duly and legally adopted, for the purpose of-prbviding funds for the payment of certain warrants of said city issued in the inprove- ments, betterments, and extensions of units of the municipal light plant of said city. tt is hereby certified and recited that all conditions, actions'and things required by the constitution and laws of Alabama, to exist, be performed or happen precedent to or in the issuance of this warrant and the creation of the indebtedness evidenced hereby, exist, have been performed and have happened, and that the indebtedness of the city, was when incurred and now is J within every debt and other limits)preecribed by the constitution and laws of Alabama. IN WITNESS WHEREOF, said city has caused this warrant to be executed in its name by its mayor and city treasurers and its corporate seal to be hereunto affixed, an@ the annexea interest coupons to be executed with the facsimilie signatures of its said mayor and city treasurer, and this warrant to be dated June lstg 1954 Mayor (FORM OF COUPON) City Treasurer Coupon No. On the day of , 195 , ' the City of Fairhope in the State of Alabama promises to pay to the bearer hereof, at the principal office of the Bank of Fairhope, Fairhope, Alabama, Twenty and no/100 ----Dollars in lawful money of the Unitdd Stated of America, being six months' interest then due on the General Obligation Warrant of said city dated June ist, 1954, and numbered Mayor City Treasurer SECTION S. Said warrants shall be signed in behalf of the City by, the mayor of the city and by the treasurer of the city, and the corporate seal of the city shall be affixed to each thereof. The said interest coupons shall bear the facsimile signatures of the said mayor and the said treasurer, which said facsimile signatures shall be valid In all respects as if the said officers had signed the said coupons in person. Said officers are hereby directed so to execute warrants and affix the seal of the city thereto. Ordinance # 229- page 3 Section 4; Said warrants shall be general obligations of the city and for the payment of the principal thereof and interest thereon the full faith credit, taxing powers and resources of the city are hereby irrevocably pledged, and there is hereby appropriated and ordered to be set adide annually out of the general revenues of the city so long as any of the said warrants are outstanding, a sufficient sum to pay the principal and interest on said warrants. as and when said principal and interest shall respectively mature. Such appropriation shall not be used for any other purpose. ,SBCTION S. The provisions of this ordinance shall consti- tute a contract between the city and every holder of said war - rants issued hereunder or of any coupons appertaining thereto, Whenever all of said warrants and the interest theron shall have been paid in full, and all of the agreements on the part of the city herein contained have been performed, then upon the happening of such events the obligations of the city hereunder shall there upon cease. SECTION 6. So long as any one of the warrants issued hereof shall be outstanding unpaid , principal and interest the City of Fairhope hereby specifically pledges the net receipts from its electric light system and does hereby authorize and direct the treasurer each month hereafter to set aside and appropriate to the payment of the aforesaid warrants a sum appropriate to make the payments thereon principal and interest when and as the same shall come due. SECTION 7, The Mayor and Treasurer of the City of Fairhope be and they are hereby authorized and directed to execute the warrants, authorized hereby to be sold and to sell the same to such person, firm, corporation, or association as shall offer therefor the best price. Such sale or sales to be made at private sale, vithout advertising or making public notice. SECTION 8. The various provisions of this ordinance are hereby declAred to be severable. In the event any provision of this ordinance shall be held invalid by a court of competent jurisdiction suah validity shall not affect any other portion of this ordinance. Approved: Adopted the 24 day of May, 1954. City clerk'