HomeMy WebLinkAboutO-453ORDINANCE NO. 453
AN ORDINANCE AUTHORIZING THE ISSUANCE BY THE CITY OF FAIRHOPE,
ALABAMA, OF $72,000.00, AND THE ISSUANCE IN EVIDENCE THEREOF
OF THE CITY'S GENERAL OBLIGATION WARRANT IN THE PRINCIPAL
AMOUNT OF $72,000.00.
BE IT ORDANED by the Mayor and City Council(herein called the
"Council") of the City of Fairhope, Alabama (herein called
"The City"), as follows:
Section 1. Findings: The Council has determined and hereby finds
and declares as follows: it is advantageous to the City and its
inhabitants and in the public interest that the City purchase
the present bank building of the First National Bank of Fairhope,
Alabama, for the sum of $80,000.00 and the conveyance by the City
of Fairhope of property owned by the City in accordance with the
contract herefore made between the City of Fairhope and the Fairhope
Building Corporation and General Obligation Warrants of the City
in the principal amount of $8,000.00, each dated thel5th day of
September, and shall be payable annually on the 31st day of
December, Starting 1972 and each year thereafter, until paid in
full and shall bear interest from the delivery of the physical as-
sets of the building but not later than December 31st 1971 until
its maturity at the rate of 5% per annum until:.maturity, and shall
be made payable at the First National Bank to the Fairhope Buil-
ding Corporation or its assigns,
Section 2. Authorization of Warrant: Pursuant to the applicable pro-
visions of the constitution and laws of the State of Alabama,
including particularly Section 465 of Title 37, Code of Alabama
1940, and for the purpose of paying for said City Hall, which
the City is hereby authorized to issue General Obligation War-
rant to the Fairhope Building Corporation, in he principal sum
of $72,000.00 in evidence of the money they owe, and the City is
hereby authorized to issue and deliver to the Fairhope Building
Corporation, at the time of closing the transaction.
Section 3. Execution and Registration: The warrants shall be
executed and the corporate seal of the City shall be affixed there-
to by the Mayor of the City, and the City Clerk shall attest the
note by subscribing her signature thereon. the warrant shall be
registered and the recor ds maintained by the City treasurer as
a claim against the City and the taxes and revenues thereon special-
ly pedged therefor. The said officers are hereby authorized and
directed to so execute and attest the warrant and affix the said
seal thereto and make such registration.
Section4. General Obligation: The indebetedness shall be evidenced
and ordered paid by the warrant is and shall be a general
obligation of theCity for payment of the principal of
and interest on which the full faith and credit of the City is�
hereby irrevocably pledged. In addition thereto, and as a part
of the contract whereunder the money evidenced by the warrant is bor-
rowed and said agreement is made, the City does hereby agree with
the holder of said warrant that the City will levy, collect and
apply to payment of the principal and the interest on said warrant,
so long as any part thereof remains unpaid, all license taxes, all
ad valorem taxes and other taxes or revenues due or to become
due to the City witbin twelve months from the date of the warrant,
subject to all lawful prior charges on said taxes and revenues.
FOR FORM OF WARRANT SEE MINUTE BOOK AUGUST 2.5, 1970.
T APPROVED
ATTEST Mayor
City Clerk
Adopted September 22, 1970.