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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.