2679 FILED
AT O'CLOCK M
AUG 16 2024
ORDINANCE NO.2V 77 C3Y PAULA BROWN,CLERK
AN ORDINANCE CALLING A SPECIAL ELECTION IN THE
CITY OF WEST MEMPHIS,ARKANSAS ON THE QUESTIONS
OF ISSUING BONDS UNDER AMENDMENT NO. 62 TO THE
CONSTITUTION OF THE STATE OF ARKANSAS FOR THE
PURPOSE OF FINANCING ALL OR A PORTION OF THE
COSTS OF CAPITAL IMPROVEMENTS; LEVYING A NEW
THREE-FOURTHS OF ONE PERCENT (0.75%) SALES AND
USE TAX FOR THE PURPOSE OF RETIRING SUCH BONDS;
AND PRESCRIBING OTHER MATTERS PERTAINING
THERETO.
WHEREAS,the City Council of the City of West Memphis,Arkansas(the "City")
has determined that the City is in need of:
(a) new park and recreational facilities, including particularly, without
limitation, a community center with swimming facilities, basketball courts, volleyball courts and
walking track and any necessary land acquisition, furnishings, equipment and parking,
landscaping, signage, drainage, lighting and utility improvements related thereto (the "Park and
Recreational Improvements");
(b) a new police station and any furnishings, equipment and parking;
landscaping, signage, drainage, lighting and utility improvements related thereto (the "Police
Improvements");
(c) renovations and improvements to Fire Station No. 1 and any furnishings,
equipment and parking, landscaping, drainage, lighting and utility improvements related thereto
(the "Fire Improvements"); and
(d) improvements and facilities for drainage and flood control (the "Drainage
Improvements"); and
WHEREAS, the City can finance all or a portion of the costs of the Park and
Recreational Improvements, the Police Improvements, the Fire Improvements and the Drainage
Improvements(collectively,the "Capital Improvements")by the issuance of capital improvement
bonds (the "Bonds")under the authority of Amendment No. 62 to the Constitution of the State of
Arkansas ("Amendment 62") and Title 14, Chapter 164, Subchapter 3 of the Arkansas Code of
1987 Annotated (the "Authorizing Legislation"); allocated as follows: $28,630,000 in maximum
aggregate principal amount for the Park and Recreational Improvements; $8,595,000 in maximum
aggregate principal amount for the Police Improvements; $2,295,000 in maximum aggregate
principal amount for the Fire Improvements; and $10,310,000 in maximum aggregate principal
amount for the Drainage Improvements; and
WHEREAS,the Authorizing Legislation provides for the levy of one or more city-
wide sales and use taxes at the rate of 0.125%, 0.25%, 0.5%, 0.75% or 1% or any combination
thereof,but not to exceed 1%in the aggregate; and
WHEREAS,the City does not currently levy a sales and use tax under the authority
of the Authorizing Legislation; and
WHEREAS, the City can pay the principal of and interest on the Bonds from the
proceeds of a new city-wide three-fourths of one percent (0.75%) sales and use tax to be levied
under the authority of the Authorizing Legislation solely for that purpose; and
WHEREAS, the City may provide additional funds to pay or to further secure
repayment of the Bonds if a new city-wide one-fourth of one percent (0.25%) sales and use tax
levied by Ordinance No. s?is approved by the voters; and
WHEREAS,the purpose of this Ordinance is to levy a sales and use tax at the rate
of three-fourths of one percent (0.75%) on the receipts from the sales at retail within the City of
all items which are subject to taxation under the Arkansas Gross Receipts Act of 1941,as amended
(A.C.A. §§26-52-101, et seq.), and the receipts from storing, using, distributing or consuming
within the City tangible personal property under the Arkansas Compensating Tax Act of 1949; as
amended (A.C.A. §§26-53-101, et seq.) (collectively, the "Sales and Use Tax") and to submit to
the electors of the City the questions of issuing the Bonds under Amendment 62 and the
Authorizing Legislation at a special election to be called for that purpose;
NOW,THEREFORE,BE IT ORDAINED by the City Council of the City of West
Memphis,Arkansas:
Section 1. Under the authority of the Authorizing Legislation, there is hereby
levied the Sales and Use Tax. The Sales and Use Tax shall be levied, and the net collections
received after deduction of the administrative charges of the State of Arkansas and required rebates
shall be used solely for the purpose of retiring or paying obligations with respect to the Bonds.
The Sales and Use Tax shall be levied and collected on the gross receipts, gross proceeds or sales
price in the maximum amount allowed from time to time by Arkansas law, subject to rebates and
limitations as from time to time required by Arkansas statutes for certain single transactions. The
levy of the Sales and Use Tax shall not take effect until the issuance of the Bonds is approved by
the voters as provided herein.
Section 2. There is hereby called a special election to be held on November 5,
2024,at which election there shall be submitted to the electors of the City,the questions of issuing
the Bonds under Amendment 62 and the Authorizing Legislation to pay all or a portion of the costs
of the Capital Improvements in the maximum aggregate principal amounts described above,to be
payable, in whole or in part,from the net collections of the Sales and Use Tax.
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Section 3. The questions of issuing the Bonds shall be placed on the ballot for
the election in substantially the following form:
If bonds for one or more purposes are approved,there will be levied within the City
a new 0.75% sales and use tax, the net collections of which remaining after
deduction of the administrative charges of the State of Arkansas and required
rebates, shall be used solely to retire the bonds and obligations of the City with
respect thereto. The rate of taxation will not exceed 0.75% even if more than one
purpose is approved. The 0.75% sales and use tax will expire after the bonds have
been paid or provision is made therefor in accordance with Arkansas statutes. The
bonds described below may be combined into a single issue or the bonds may be
issued in series from time to time.
In order to provide additional funds to pay or to further secure repayment of the
bonds, the City may also pledge to the bonds the net collections of a new 0.25%
sales and use tax,if such tax is separately approved by the voters.
PARK AND RECREATIONAL IMPROVEMENT BONDS
Bonds of the City of West Memphis in the maximum aggregate principal amount
of$28,630,000 to finance all or a portion of the costs of new park and recreational
facilities, including particularly, without limitation, a community center with
swimming facilities,basketball courts,volleyball courts and walking track and any
necessary land acquisition, furnishings, equipment and parking, landscaping,
signage,drainage,lighting and utility improvements related thereto and,in order to
pay the bonds, the levy and pledge of a 0.75% local sales and use tax within the
City.
FOR ❑
AGAINST ❑
POLICE IMPROVEMENT BONDS
Bonds of the City of West Memphis in the maximum aggregate principal amount
of$8,595,000 to finance all or a portion of the costs of a new police station and any
furnishings, equipment and parking, landscaping, signage, drainage, lighting and
utility improvements related thereto and, in order to pay the bonds, the levy and
pledge of a 0.75%local sales and use tax within the City.
FOR ❑
AGAINST ❑
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FIRE IMPROVEMENT BONDS
Bonds of the City of West Memphis in the maximum aggregate principal amount
of $2,295,000 to finance all or a portion of the costs of renovations and
improvements to Fire Station No. 1 and any furnishings, equipment and parking,
landscaping, drainage, lighting and utility improvements related thereto and, in
order to pay the bonds,the levy and pledge of a 0.75%local sales and use tax within
the City.
FOR ❑
AGAINST ❑
DRAINAGE IMPROVEMENT BONDS
Bonds of the City of West Memphis in the maximum aggregate principal amount
of$10,310,000 to finance all or a portion of the costs of improvements and facilities
for drainage and flood control and, in order to pay the bonds, the levy and pledge
of a 0.75%local sales and use tax within the City.
FOR 0
AGAINST ❑
Section 4. The election shall be held and conducted and the vote canvassed and
the results declared under the law and in the manner now provided for municipal elections unless
otherwise provided in the Authorizing Legislation and only qualified voters of the City shall have
the right to vote at the election.
Section 5. The results of the election shall be proclaimed by the Mayor,and the
Proclamation shall be published one time in a newspaper having a general circulation in the City,
which Proclamation shall advise that the results as proclaimed shall be conclusive unless attacked
in the courts within thirty days after the date of publication.
Section 6. A copy of this Ordinance shall be (a) filed with the Crittenden
County Clerk at least 70 days prior to the election date and (b) given to the Crittenden County
Board of Election Commissioners so that the necessary election officials and supplies may be
provided. A certified copy of this Ordinance shall also be provided to the Commissioner of
Revenues of the State of Arkansas as soon as practical.
Section 7. The Mayor and City Clerk,for and on behalf of the City,are hereby
authorized and directed to do any and all things necessary to call and hold the special election as
herein provided and, if the issuance of the Bonds is approved by the electors, to cause the Sales
and Use Tax to be collected in accordance with the Authorizing Legislation, and to perform all
acts of whatever nature necessary to carry out the authority conferred by this Ordinance.
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Section 8. Following adoption,this Ordinance shall be posted in the following
public places in the City: District Court of West Memphis, West Memphis Public Library, West
Memphis Utilities, West Memphis City Hall and West Memphis Civic Center. This Ordinance
shall also be posted at the Crittenden County Courthouse.
Section 9. If the Bonds are approved and issued, the City intends to negotiate
. with Stephens Inc., which has assisted the City in preparation of the Bond size and repayment
structure,for the sale of the Bonds.
Section 10. The provisions of this Ordinance are separable and if a section,
phrase or provision shall be declared invalid, such declaration shall not affect the validity of the
remainder of the Ordinance.
Section 11.. All ordinances and parts thereof in conflict herewith are hereby
repealed to the extent of such conflict.
PASSED: Azga c? /5 , 2024
APPROVED:
ATTEST:
ayor
4„: )
City Cler
(SEAL)
RECEIVED
City Cleric's O�
Dat 611).1"
y (M
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CERTIFICATE
The undersigned, City Clerk of the City of West Memphis, Arkans , hereby.
certifies that the foregoing pages are a true and perfect copy of Ordinance No. 7�.�7 passed at
a rL S vloisession of the City Council of the City of West Memphis,Arkansas,held at tb regular
meeting pl ce'f the City Council at S ;n o'clock p.m., on the If day of
Aug' i ' , 2024 and that the Ordinance is of record in Ordinance Record Book No.
Page ,now in my possession.
A
GIVEN under my hand and seal this 2� day of Al riy a ,2024.
ga7rt-c- -,
City C1er
(SEAL)
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