396ry '
ORDINANCE N0. 3 1 ~ ,_
AN ORDINANCE CALLING A SPECIAL ELECTION TO
VOTE UPON THE QUESTION OF ISSUING BONDS UNDER
THE PROVISIONS OF ACT NO. 9 OF THE FIRST EXTRA-
ORDINARY SESSION OF THE SIXTY-SECOND GENERAL
ASSEMBLY OF THE STATE OF ARKANSAS, APPROVED
JANUARY 21, 1960, FOR THE PURPOSE OF FINANCING
THE COST OF SECURING AND DEVELOPING INDUSTRY
WITHIN OR NEAR THE CITY OF WEST MEMPHIS, ARK-
ANSAS; PRESCRIBING OTHER MATTERS RELATING
THERETO; AND DECLARING AN EMERGENCY.
WHEREAS arrangements have been made with ARECO, INC.,
an Arkansas corporation, for the location of an industrial plant
within or near the City of West Memphis, Arkansas, which will
manufacture coloring pigments for plastics, inorganic pigments,
stains and colors for tile, brick and glass manufacturing com-
panies; and
WHEREAS the location of the said industry within or near
the City of West Memphis will alleviate unemployment, result in
increased employment, result in increased payrolls, and will other-
wise be beneficial to and in the best interests of West Memphis,
Arkansas and its citizens and inhabitants; and
WHEREAS in order to make the necessary arrangements for
the financing of the cost of acquiring necessary lands and con-
structing and equipping a factory building and facilities thereon
(hereinafter sometimes called the "project"), essential to the
location of said industry, the City Council of the City has de-
termined to issue, subject to the approval of the electors, City of
West Memphis, Arkansas Industrial Development Revenue Bonds under
the provisions of Act No. 9 of the First Extraordinary Session of
the Sixty-Second General Assembly of the State of Arkansas, approved
January 21, 1960, (hereinafter sometimes called"Act No. 9") in an
amount not to exceed 8100,000 for the purpose of financing the cost
of the project and necessary expenses incidental thereto, to the
issuance of bonds, and to the providing of interest during the cots.-'
struction of the project; and
Page 2
WHEREAS the project will be leased to ARECO, INC.,
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for a lease rental sufficient to pay the principal of and interest
on the proposed Act No. 9 bonds, and paying agent's fees in con-
nection therewith, as the same become due and payable, and the
said lease rentals will be pledged to the payment of the bonds,
interest and paying agent's fees and the indebtedness evidenced
by said bonds will be secured by a first mortgage on the project;
and
NOW, THEREFORE, BE TT ORDAINED by the City Council of
the City of West Memphis, Arkansas:
Section 1. That a special election be, and the same
is hereby, called to be held in West Niemphis, Arkansas on the
19th day of October, 1960, at which election there shall be sub-
mitted to the electors the question of issuing Industrial Develop-
ment Revenue Bonds under the provisions of Act No. 9 in an amount
not to exceed 5100.400 for the purpose of securing and developing in-
dustry within or near the City of West Memphis, Arkansas (the'par-
ocular project having been heretofore referred to and described).
The bonds shall be dated December 15, 1960, with interest thereon
payable semi-annually on June 15 and December 15 commencing June
15, 1961, at a rate to be hereafter determined, but not to exceed
6/ per annum, and with the bonds to mature annually on December 15
of each year as follows:
YEAR AMC)UNT
1961 52,000
1962 3,.000
1963 3,000
1964 3,000
1965 3,000
1966 4,000
1967 4,000
1968 4,000
1969 4,000
1970 5,000
1971 5,000
Page 3
YEAR A.MOUNTi'
1972 55,000
1973 5,000
1974 6,000
1975 6,000
1976 7,000
1977 7,000
19?8 8,000
1979 8,000
1980 8,000
Section 2. That said question shall be placed on the
ballot for the special election in substantially the following
form:
Vote on measure by placing an "X" in the square
above the measure either For or Against:
For the issuance of Industrial
Development Revenue Bonds in an
amount not to exceed 5100,000 ~~
. .
Against the issuance of
Industrial Development Revenue
Bonds in an amount not to
exceed 5100, 000
It is proposed to issue City of West Imiemphis,
Arkansas Industrial Development Revenue Bonds
under Act 9 of the First Extraordinary
Session of the Sixty-Second General Assembly
of the Stave o~ ~';rkansas, approved January 21,
1960, in an amount not to exceed 5100,000
for the purpose of financing the cost of securing
and developing industry within or near the
City of West Memphis, Arkansas. The bonds will
be dated December 15, 1960, with interest thereon
payable semi-annually on June 15 and December 15 and
with the bonds maturing annually on December 15
in each of the years 1961 to 1980, inclusive.
The particular industrial project consists of the
acquisition of lands and construction and equipping
of a manufacturing building and facilities thereon
which will be leased to ARECO, IT3C. The rentals
derived from t1~e leasing of the project will be
pledged to tiie payment of the principal of, interest
on and paying agent's fees in connection with the
said revenue bonds, as the same become due and
payable. The said revenue bonds will not be
general obligations of the City of West Memphis,
but will be special obligations payable solely
from the lease rentals and revenues derived from
the said industrial project and will be secured by
a first mortgage on the said industrial project.
Page 4
Section 3. That the election shall be held and conducted
and the vote canvassed and the results declared under the law and
in the manner now or hereafter provided for municipal elections,
so far as the same may be applicable, and the Mayor shall give
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notice of such election by an advertisement published once a week
for four consecutive weeks in a newspaper having a bona fide
circulation in West Memphis, Arkansas, with the last publication
to be not less than ten (10) days prior to the date of the election,
and only qualified electors of West Memphis, Arkansas, shall have
the right to vote at said election on said question.
Section 4. That the results of said election shall be
proclaimed by the Mayor and his proclamation shall be published
one time in a newspaper having a bona fide circulation in West
riemphis, Arkansas, which proclamation shall advise that the
results as proclaimed shall be conclusive unless attacked in the
courts within thirty (30) days after the date of such proclamation.
Section 5. That a copy of this ordinance shall be given
to the Crittenden County Board of Election Commissioners so that
the necessary election officials and supplies may be provided.
Section 6. That there is hereby found and declared to
be an immediate need for the securing and developing of industry
within or near the City of West Memphis, Arkansas, in order to
provide employment, alleviate unemployment and to supply increased
payrolls and other benefits incidental to the establishment of
a substantial industry, which industry can be secured only by
the issuance of the above described bonds. It is, therefore,
declared that an emergency exists and this ordinance being necessary
Page 5
for the immediate preservation of the public health, safety and
welfare shall be in force and take effect immediately upon and
after its passage.
G
PASSED:---- .~' ~'7~ ~)) ~St= K' 1 ~J ~ f ~~ G
APPROVED:
Mayor
i
r
ATTEST:
Gity Clerk
(SEAL)