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June 20, 1963_ MINUTES OF A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF WFST MENPHIS, ARKANSAS, HELD AT THE CITY HALL IN SAID CITY ON THE 20TH DAY OF JUNE, 1963, AT 3:00 P.M. I The City Council of the City of West Memphis, Arkansas, met in regular session at its regular meeting place in West Memphis, Arkansas, at 3:00 o'clock P.M., on the 20th day of June, 1963. The following were present: Mayer Bob Eden; City Clerk Charles F. DeGraff; and Aldermen F. E. Weis, 0. I. Bollinger, R. C. Bowie, Kirby Leggett, Paul N,atthews, Earl Felts, and Y. G. Sims. Absent: Alderman C. H. Rowton. City Attorney td. H. Dillahunty was present. It being determined a quorum was present, the following proceedings were had to-wit: Minutes of Council Meeting on June E, 1963, were approved as read. Mayor Eden informed the Council the Planning Conunission on June 13, 1963, had recoTmnended the Council rezone Lot 4, Block 127 of George T. Kendal Addition from Residential to C-2 Shopping-Neighborhood. After discussion, Alderman Leggett introduced an ordinance entitled: "An Ordinance To Re-Zone And Designate Certain Property In The Southwest Quarter Of Section Seven-teen, Township Six North, Range Nine East, From "ES-5" As Presently Zoned To "C-2" District" which was read in full by Alderman Bowie. Alderman Felts then moved that the rule requiring the reading in full of an ordinance on three different days be dispensed with. The motion was seconded by Alderman Bollinger and on the roll being called the voting was as follows: Yes: Aldermen: Weis, Bollinger, Bowie, Leggett, Matthews, Felts, and Sims. No: Nano. More than two-thirds of the members composing the Council had voted in favor of the motion to suspend the rule and that it was carried. Alderman Weis then moved that the ordinance as read be adopted. This motion was duly seconded by Alderman Sims, and on the roll being called the voting was as follows: Yes: Aldermen: Weis, Bollinger, Howie, Leggett, Matthews, Felts, and Sims. No: None. The Mayor declared that the ordinance had been adopted, and then called attention to the fact that Section 2, the emergency section, must be adopted upon a separate roll call in order to be effective. Alderman Sims then read Section 2 again. Alderman Matthews moved that Section 2 be adopted. This motion was duly seconded by Alderman Leggett, and on roll call the following voted: Yes: Aldermen: Weis, Bollinger, Howie, Leggett, Matthews, Felts, and Sims. No: None. The Mayor then declared that the ordinance and the emergency section had been duly passed, and thereupon he signed the ordinance in open Council meeting, his signature was attested by the City Clerk under the seal of the City. The ordinance read as follows: ORDINANCE N0. Iy3E AN ORDINANCE TO RE-ZONE AND DESIGNATE CERTAIN PROPERTY IN THE SOUTHWEST QUARTER OF SECTION SEVENTEEN, TOWNSHIP SIX NORTH, RANGE NINE EAST, FROM "RS-$" AS PRESENTLY ZONED TO "C-2" DISTRICT WHEREAS, Pauline H. Gamunon has petitioned the Planning Commission to re-zone and designate certain property, hereinafter described from "RS-5" to "C-2" District, and WHEREAS, after notice of such hearing, duly published on the 1$th day of Nay, 1963, as provided by law, was given, the Planning Commmission on June 13, 1963, considered said petition as presented without objections being offered, and WHEREAS, the Planning Co:mnission recommended to the City Council that said petition be granted, NOW THEREFORE BE ZT ORDAINED Hy the City Council of West Memphis SECTION 1. That the following described property, to-wit: Lot Four (4), Block 127 of the George T. Kendal Addition to the City of Wes. Memphis, according to a plat reccrded in Plat Book 1, page 131 in the offices of the Circuit Court Clerk and Ex-Officio Recorder in and for Crittenden County, Arkansas, same being a part of the Southwest Quarter (SWq) of Section Seventeen (17) Township Six North (TEN), Range Nine East (R9Ej, West Memphis, Crittenden County, Arkansas, be and the same is hereby re-zoned and designated as "C-2" District. 104 SECTION 2. Emergency Clause - I:t is hereby ascertained and declared to be a fact that the property above described is in the process of development; that the passage of this Ordinance is in the interest of the public peace, health, safety and welfare of the Citizens of West Memphis; therefore, an emergency is hereby declared to exist, and this ordinance shall be in full force and effect from and after its passage and approval. x-~-x The l:ayor stated that consideration should be given to an ordinance authorizing the issuance of a series of Public Utility Revenue Bonds for the purpose of financing improvements to the Waterworks and Sewer System and other matters pertaining thereto. This was a matter with which the Council was familiar and after a discussion, Alderman Matthews introduced an ordinance entitled: "AN ORDINANCE AUTHORIZING THE ISSUANCE OF A SERIFS OF PUBLIC UTILITY REVENUE BONDS OF 1963 FOR THE PURPOSE OF FINANCING THE COST OF CONSTRUCTING EXTENSIONS, BETTERTC;NTS AND IMPROVEMENTS TO THE WATERWORKS AND SEWER SYSTEM SERVING THE CITY OF WEST MEMPHIS, ARKANSAS AND RELATED EXPENSES INCIDENTAL THERETO; PLEDGING CERTAIN FUNAS FOR THEIR PAYMENT: PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN Er~RGENCY" and the City Clerk read the ordinance in full. Alderman Sims, seconded by Alderman Weis, moved that the rule requiring the reading of an ordinance or resolution in full on three different days be suspended and that the ordinance be placed on its second reading. The Mayor put the question on the adoption of the motion and the roll being called, the following voted aye: Weis, Bollinger, Bowie, Leggett, Matthews, Felts, and Sims, and the follow2ng voted nay: None. Thereupon the Mayor declared that at least two-thirds of all members of the Council having voted in Favor of the motion to suspend the rule, the motion was carried and the rule suspended. The ordinance was then read by the City Clerk. Alderman Bollinger, seconded by Alderman Felts then moved that the rule requiring the reading of an ordinance in full on three different days be further suspended and that the ordinance be placed on its third reading. The Mayor put the question on the adoption of the motion and the roll being called the following voted aye: Weis, Bollinger, Bowie, Leggett, Matthews, Felts, and Sims and the following voted nay: None. The Mayor declared that at least two-thirds of all members elected to the Council having voted in favor of the motlon to suspend the rule, the motion was carried and the rule suspended. The ordinance was then read by the City Clerk. Alderman Bowie, seconded by Alderman Leggett, moved that the ordinance be adopted. The question was put by the Mayor on the adoption of the motion and the roll being called, the following voted aye: Weis, Bollinger, Bowie, Leggett, Matthews, Felts, and Sims, and the following voted nay: None. Alderman Matthews, seconded by Alderman Sims, moved that Section 17, the emergency clause, be adopted, and on roll call the fcl7.owing voted aye: tideis, Bollinger, Bowie, Leggett, Matthews, Felts, and Svrs, and the following voted nay: None. The Mayor thereupon declared the ordinance and the emergency clause adopted and signed the ordinance, which was attested by the City Clerk and impressed with the seal of the City. The ordinance was given No. f~37. The ordinance read as follows: §,~~~ A. .~ ... ORDINANCE N0. 4 3 7 -~ AJd 0_~1-ITIITICE AUTl30P.EEIYIG THE ISSUAYICE OF A SET2E;:S OF PUBLIC UTILITY REVF"ivUE BONs^,S OF 1563 F`OR T"rli?. PURPOSE OF FfTdATuCING TFIE COST OF COPdS?'L UCTING I:i~TENSIOiv'S, B.F.TTi.P.i•~TJTS AND ItiIPLBP,`trC~sLiDd"P'S TO THE WATERi10I3I:S AI3D SE'vIER SYSTi~<1 SEP.'JiTv'G T'r1E CIT4' OF T~'EST 1~~IPt1IS, AP.T;t-1Y3SAS A13I3 I2L'LATED E::Pi:NSES INCIDEPTFAL TH~P.ETO; PLF13GIIdG CERTAIN FULdI3S FOR TT'I%YR PL:YI•fEYdT ; Pt ESCP%BIYvG OTHER Y•1ATTEP.S P.ELATING THEP<s.i0; ~.Tv'D DECL.~I:IYdG AT1 E'i+dEP.GENCY. Sr"zTEP,I;.AS the City of West Memphis, Arl:ansas (called "City") owns and operates a municipal waterworks and sewer system and a municipal electric light and power system, and the three - systems constitute the City's public utilities system (which will be herein sometimes referred to as the "system°'); and WHEREAS the City has determined that certain extensions, betterments and improvements to the waterworks and sewer facilities are immediately needed and has had prepared by Cy Bond, Jr .,, a duly qualified consulting engineer, plans covering the needed exten- sions, betterments andimprovements (herein called the "improvements") at an estimated cost to the City of $195,650, including necessary. expenses incidental thereto and to the issuance of bonds, and a copy of the report and plans prepared by said consulting engineer is on file in the office of the City Clerk and to which reference may be made by any interested party; and -~-' WHEREAS the City does not have the necessary funds to ~°° `' construct the improvements but can obtain the same by the issuance of revenue bonds, as hereafter in this ordinance described in detail, ~. and after due advertisement has sold at public sale an issue of ! _ ~: Public Utility Revenue Bonds of 1963 in the principal amount of `'~~ a'_:'S,650, dated July 1, 1963, with interest payable semiannually on .M z `~ .. •? a , ~, _ _ ,. ",` ios Page 2 i~tay 1 and November l of each year, commencing Pray 1, 1964, and sa.turing on P•1ay 1 iaa each of the years 1965 to 1984, inclusive, to /cs'~ 'y Raney Securities Company, Inc., at a price of =~4- and accrued in- terest for bonds bearin;, interest at the rate of, 4 1/4! per anru~; eazd 67HEF,E.AS pursuant to the provisions of said Notice of the public sale of the bonds the said purchaser has elected to convert the 5195,650 in principal amount of 4 1/4°1 bonds to n issue of 5215,300 in principal amount of bonds bearing interest ai. the razes of 3%, 3 1/4% and 3 1/2% per annum, all as hereafter descriLed in detail, and the City has examined the conversion and found that tlae same is within the provisions of the tlotice of Sale and that pursuant to which the City will receive no less and pay no mare than it would receive and pay if the bonds were not converted; IJOW, TIiEREPOP.%, BE IT ORDAYTIED by the City Council oL- t"tie City of West Piemphis, Arkansas: t' Section 1. That the improvements, referred to above, ,;:- be constructed. ~,^n Section 2. That it is hereby found and declared that {; t'rse period of usefulness of the System is more than forty years, which is longer than the term of the proposed bands. Section 3. That the sale of the bonds to Raney / Os G~iS Y Securities Company, Inc., at a price of ~~-and accrued interest and the conversion of the $195,650 in principal amount of bonds bearing interest at the rate of 4 1/4% per annwn to an issue of $2'5,300 in principal amount of bonds bearing interest at the rates of 31 per annum, 3 1J4% per annum and 3 1/2`/ per arntsn, b=, 2nd the s2m~ hereby are, approved and confirmed. b.' ,. Il±. i ~- ~~_ . Page 3 Section 4. That the City has outstanding an issue of S::wer Revenue I'cefundino and Improvement Bonds, dated 3une 1, 1945, authorized by Ordinance No. 107 of the ordinances of the City, adopted and approve3 on July 6, 1945 and an issue of Sewer Revenue Bonds dated August 1, 1949, authorized by Ordinance No. 171 of the ordinances of the City, adopted and approved on September 9, 1949, with there being $326,000 in principal amount of both of said issues outstanding as of the date of this ordinance, to the payment of whicta there is a first pledge of sewer revenues. The City has out- sta-~ding an issue of Wates F.efunding and Improvement Revenue Bards dated June1, 1950, authorized by Resolution Tdo. 151, adopted and approved on stay 2, 1950, and there is a first pledge of water reve- nues to said outstanding Sune 1, 1950 issue, there being $86,000 in principal amount of said June 1, 1950 bonds outstandingras of the date of this ordinance. In addition, the City has outstanding an, issue of Fublic Utility Bonds dated Ieay 1, 1954, authorized by Ordinance No. 275 of the ordinances of the City; adopted and r{ approved on clay 15, 1954, there being outstanding $870,000 in principal amount oa' said Piay 1, 1954 bonds as of the date of this ~r ;. ordinance, and the City has outstanding an issue of Public Utility Bonds dated April 1, 1956, authorized by Ordinance No. 316 of "` the o*_-dinances of the City, adopted and approved on Rtarch 15, 1956, as amended, there being $426,000 in principal amount of said April 1, 1956 bonds outstanding as of the date of this ordinance (the said Fublic Utility Bonds dated May 1, 1954 will be sometimes referred to herein as the "1954 Utility Bonds" and the said April 1, 1956 Public Page4 Utility Bonds will be sometimes referred to herein as the "1956 Utility Eonds"). The 1956 Utility Bonds are issued on a parity of pledge, lien and security .with the 1954 Utility Bonds and the appli- cable provisions of Ordinance No. 275, referred to above (being Section I7 thereof) permit the issuance of additional parity bonds. It is hereby found and declared that the conditions set out in said Section 17 have been fully met and complied with and that, therefore, the bonds of this issue are issued on a parity of pledge, lien and security on the System revenues and on the System with the said out- -- standing bonds of the 1954 Utility Bonds aad the 1956 Utility Bonds. ', t~s in the case of the 1954 Utility Bonds and the 1956 Utility Eonds, with which the bonds now authorized are issued on a parity, the pledge, lien and security in favor of the bonds now authorized is subject to the grior and superior pledge and lien on Sewer, Water and Electric ~~ Revenues in favor of said outstanding June 1, 1945 Sewer Bonds, . ~;.. August 1, 1949 Sewer Bonds and June 1, 1950 Water Bonds. ~It is ~~ recognized that the City has made a conditional pledge of electric '' revenues to an issue of Swimming Pool Revenue Bonds of the City dated Piarch 1, 1955, as set forth in Section 14 of Ordinance Ido. 295 of the ordinances of the City adopted and approved on February 1, 1955, and nothing in this ordinance shall be construed as impairing s aid conditional pledge to the extent that the same may be determined to be applicable to the pledge of revenues to the bonds hereby authorized. Section 5. That under the authority of the Constitution and laws of the State of Arkansas, including without limitation, Act Tao. 131 of the Acts of Arl:ansas of 1933, as amended, Act No. 132 of the Acts of Arkansas of 1933, and the decision o£ the Supreme Court of the State of Arl:ansas in the case of City o£- Harrison v. }>: _ ~~: -F- s Page 5 Brasc~sell, 209 Arl:. 1094, City of West riemphis, Arkansas Public Utility P.evenue Sends of 1963 are hereby authorized and ordered issued in the principal amount of $215,300, the proceeds of the sale cf which are necessary to provide funds €or paying the cost of constructing the improvements, and necessary expenses incidental thereto and to the issuance of bonds. The bonds shall be dated r, 3uly 1, 1963, interest thereon shall be payable semiannually on 1~Iay 1 and November 1 of each year commencing I•iay 1, 1964 (at the rates hereafter set forth), and the bonds shall be numbered coa- sectively from 1 to 216, inclusive. All of the bonds shall be in the denomination of $1,000 each except Bond No. 9 which shall be in the denomination of $300. The bond; shall bear interest as follows: Bondal3as. 1 to 90, inclusive, being the bonds maturing in the years 1965 to 1974, inclusive, shall bear interest at the . _ i ;~' rate of 3% per annum; Bonds Nos. 91 to 147, inclusive, being the bonds maturing in the years 1975 to 1979, inclusive, shall bear interest at the rate of 3 1/4% per annum; and Bonds Nos. 148 to 216, inclusive, being the bonds maturing in the years 1980 to 1984, ;~ "_ inclusive, shall bear interest at the rate of 3 1/2% per annum. 'The interest on the bonds shall be evidenced by interest coupons, and the principal and interest shall be payable in lawful money of the United States of America upon presentation of the bond or proper w. coupon at the office of The First National Bank in Little Rock, Little Rock, Arkansas. The bones shall mature on flay 1 in each year as hereafter set forth, bu*_ shall be callable for payment prior to maturity as specified in the face of the bonds, and as hereafter a ~', set forth in this ordinance: .- Page 6 IrB'4R BOND NOS . _ A4:OUY~iT 19E~5 I - 9 $ 8,300 1966 10 - 17 8,000 1967 18 - 25 5,000 1965 26 - 33 8,000 1969 34 - 42 9,000 1970 43 - 51 9,000 1971 52 - 60 9,000 ~~ 1972 61 - 70 10,000 ~'' ~ 1973 71 - 80 10, 000 1974 81 - 90 10,000 1975 91 - 101 11,000 ~' 1976 102 - 112 11,000 '~,`'.: 1977 ll3 - 123 11,000 197II 124 - 135 12,000 _ 1979 136 - 147 12,000 ~', 1930 148 - 160 13,000 q F 1981 161 - 173 13,000 198'' 174 - 187 14,000 1983 188 - 201 14,000 ` 1984 202 - 216 15,000 ~~~ vection 6. That the bonds shall be executed on behalf s: of the City by the Mayor and City Clerk and shall have impressed thereon the seal of the City. Interest coupons attached to each i of the bonds may have the facsimile signature of the Fiayor litho- graphed or printed thereon, which signature shall have the same force and effect as if he had personally signed each of said coupons. ': The bonds, together with interest thereon, shall be payable solely . out of the "1963 Public Utility Bond Fund" (herein sometimes called the "Bond Fund") and shall be a valid claim of the holders thereof *' only against such fund and the revenues pledged to such fund, which :~.. ,~. . revenues are hereby pledged and mortgaged for the equal and ratable ' payment of the bonds on a parity of pledge, lien and security with £'' the 1954 Public Utility Bonds and the 1956 Public Utility Bonds, ~` fi~ and shall be used for no other purpose than to pay the principal of acid interest on the bonds herein authorized and the paying agent`s fees, e:;cept as may be herein specifically set forth. The bone's ,. and the interest coupons shall not constitue an indebtedness of the City within any constitutional or statutory limitation. Page 7 Section 7. That the bonds and coupons shall b~ in substantially the following form and the Tiayor and City Cleric are hereby expressly authorized anddirected to make all recitals con- tained therein: F., • ;t; _~ . Page S UNITED STATES `OF A?•~RiCA STATE OF AP"ATISAS COUNTY Or CRITTEi1DET1 CITY OF WEST METiPHiS % FUBLICUTILITY REVENiJE BOI1D OF 1963 No. t`. IU~OW ALL r~I BY THESE PRESENTS r~ That the City of West Memphis, in the County of Crittenden, State of Arkansas, for value received hereby promises to pay, solely y' from t3.ie special fund provided therefor as herein set forth, to bearer, the principal sum of DOLLARS in lawful money of the United States of America on the 1st day of flay, 19 , and to pay solely from said special fund interest thereon at the rate of per cent ( %) per annum from `~ ~ date until paid, payable semiannually on tiay 1 and Novemberl of each year, commencing Ifay 1, 1964, upon presentation and surrender of the annexed coupons as they severally become due. Both principal and interest of this bond are made payable at the office of The First •National Banl: in Little Rock, Little Rock, Arkansas. This bond is one of a series of bonds aggregating Two Hundred Fifteen Thousand Three Hundred Dollars ($215,300), all of Bice tenor and effect e::cept as to number, denomination, rate of interest, maturity and right of prior redemption, numbered consecu*_ively from one (1) to two hundred sixteen (216), inclusive, and issued for the purpose of constructing extensions, betterments and improve- ments to the riunicipal 4?aterworks and Sewer Systems of the City. Page 9 Tlrs bond and the series of which it forms a part are issued pursuant to and in full compliance with the Constitution and laws of the State of Arkansas, including without (imitation, Act iio. 131 of the Acts of Arkansas of 1933, as amended, Act No. 132 of the Acts of Arkansas of 1933, the decision of the Supreme Court of the State of Arkansas in the case of City of Harrison v. Braswell, 209 Arlc. 1094, and pursuant to ordinances of the City Council of the City, duly adopted and approved, and do not constitute an indebted- ness of the City within any Constitutional or statutory limitation. The bonds are not general obligations of the City, but are special obligations payable solely from revenues derived from the operation of the Municipal 4Jaterworks and Sewer Systems and from a conditional pledge of electric revenues derived from the operation of the Tunicipal Light and Power System. The bonds are issued on(a parity as to lien, pledge and security with an outstanding Public Utility Bond Yssue of the City dated I3ay 1, 1954 and an outstanding Public Utility Bond Issue of the City dated April 1, 1956, but subordi- nate to certain outstanding Sewer Revenue Bonds and Water F.evenue Bonds of the City (described and referred to in the ordinance of the City authorizing the bonds of this issue). An amount of revenues sufficient to pay the principal of, interest on and paying agent°s fees in connection with the bonds of this issue is to be set up in a special fund for that purpose, identified as the "1963 Public Utility Bond Fund". Reference is hereby made to Ordinance tdo. ~i3 7 of the ordinances of the City, duly adopted and approved on the _ atJ day of Ju+n~C , 1963, under which this bond and the issue of which it is part are authorized to be issued, and reference is hereby made to said ordinance for a detailed statement of the nature and extent of the security, the revenues pledged to the bonds of tini.s issue, and of the rights and obligations of the City, the Trustee and the bondholders. Among other covenants, the City has covenanted to maintain rates for water and sewer services which at all times will be sufficient to provide for the payment of the e:cpenses of operation, repair and maintenance of the Waterworks and Sewer Systems, to pay the principal of, interest on and paying agent's fees on all bonds of the City to which said Waterworks and Sewer Revenues are pledged, and to maintain all funds required by the various ordinances of the City authorizing said bonds to which said revenues are pledged. In addition, the City has covenanted to at all times maintain rates for services from the Municipal Light azd Power System which will produce net electric revenues sufficient l to comply with all conditional pledges of said net electric revenues in favor of the bonds of this issue and all other bonds of the City to which said pledges are made. This bond is e~:pressly made negotiable by the laws under 'S- which it is issued, and is issued with the intent that the laws of the State of Arkansas shall govern the construction thereof. The bonds of this issue shall be noncallable prior to Clay 1, 1965, but they shall be callable for payment prior to maturity in inverse numerical order at par and accrued interest on any interest paying date on and after May 1, 1965 as follows: from surplus Water, Sewer or Electric Revenues only on any interest pay- ing date between May 1, 1965 and November 1, 1972, inclusive; from funds from any .source on any interest paying date on and after May 1, 1973. Notice of the call for redemption shall be published once a 115 ` `Page 11 week for two weeks before the date for such redemption in a newspaper published in the City of Little Rocl:, Arkansas and having a general circulation throughout the State of Arkansas, giving the number and maturity of each bond being called, the first publication to be at. least fifteen (15) days prior to the redemption date, and after the date fused for redemption each bond so called shall cease to bear i~.terest grovided funds for its payment are on deposit with the Paying Agent at that time. This bond shall not be valid until it shall have been authenticated by the certificate hereon duly signed by The First National Sank in Little Roclc, Little Rock, Arkansas. It is hereby certified, recited and declared that all acts, conditions and things required to exist, happen and be per- formed precedent to and in the issuance of this bond have e::isted, have happened and have been performed in due time, form and manner as required by law; that the indebtedness represented by this bond and the issue of which it forma a part does not exceed any Constitu- tional or statutory limitation; and that sufficient revenues have been pledged to and will be set aside into said special fund for the payment of the principal of and interest on the bonds of this issue as the same become due and payable. IN WITNESS LrrIEREOF, the City of West riemphis, Arkansas, by its City Council, has caused this pond to be signed by the Mayor and City Clerk thereof and sealed with the corporate seal of the Gity, and has caused the coupons hereto attached to be e.:e:.uted by the facsimile signature of the Mayor, all as of the Page 12 1st day of July, 1963. ATTEST City Clerk (SEAL) CITY OF/~V7EST ,M~b'~IPdIS, AF.RANSAS By /L~~/a ~-l~ Mayor (Form of Coupon) No. $ May On the first day of IQovember, 19 the City of West I4emphis, Crittenden County, Arkansas, unless the bond~to which r this coupon is attached is paid prior thereto, hereby promises to pay to bearer, solely out of the fund specified in the bond to which this coupon is attached, DOLLARS in lawful money of the United States of America at the office of The First National Bank in Little Roclc, Little Rock, Arkansas, being six months' interest due on its Public Utility Revenue Bond of 1963, dated July 1, 1963, and numbered CITY OF WEST r1a1FHIS, AF.I:P.NSAS By, Mayor Page 13 On each bond shall appear the following CERTIFICATE The First Rational Bank in Little Rock, Little Rock, Arkansas, hereby certifies that this is one of a series of bonds, described herein, aggregating $215,300, numbered from 1 to 216, inclusive, all of like tenor and effect, except as to number, denomination, rate of interest, maturity and right of prior redemption. THE FIRST NATIONAL BAIQK IN LITTLE ROCK, LITTLE ROCK, ARI:ANSAS Little Rock, Arkansas By ( Authorized Signature) 1963. E Page 14 Section 8. Ey ordinances heretofore adop*_ed and approved Lhe City has fiu;ed rages to be charged for the services to be fur- Wished for the water facilities, sewer facilities and electric facilities and the City hereby finds the rates so fixed to be the reasonable and necessary minimum rates to be charged, and said rates •~ are hereby approved and confirmed. The said rates shall never be ' reduced below an amount which will produce sufficient revenues to ~~ provide for the operation, repair and maintenance expensescf the water facilities, sewer facilities and electric facilities and to fully comply with all pledges of the City to all bonds of the City • to which said revenues are pledged, including, without limitation, "' the bonds of the issue authorized by this ordinance. And, the fi.:...: ,•S •.,, City :covenants and agrees that it will, if and when necessary, increase "~ said rates so that the revenues produced therefor will always be sufficient for the above set forth purposes.' s- ., °` Section 9. The funds created by Sections 8, 9, 11 and 12 z. of said Ordinance Tuo. 275 of the ordinances of the City, adopted and .`~ approved on the 18L-h day of ATay, 1954, shall remain unchanged by this ~~ ordinance and shall. continue to be maintained by the City as required by and pursuant to the provisions of said Ordinance Tdo. 275 and = Ordinance Ido. 3I6 of the ordinances of the City duly adopted and approved on the 15th day of March, 1956, as amended. x ., ry ',„ Section 10. 1963 Public Utility Bond Fund. (A) There is hereby established with the Trustee a sgec'.` trust fund in the name of the City designated "1963 Public Utility Bond Fus_d" (herein sometimes called the "Bond Fund") which shall beYmaintained as long as any of the bonds of this issue are outstand- ing and unpaid, and into which there shall be paid the funds in the amounts and at the times hereafter set forth in subparag=aph (E) for the purpose of providing funds for the payment of the prin- ~1J `` Page 15 cipal of, interest an and paying agent's fees in connection with the bonds of this issue as size same become due and payable in accordance with the following schedule and to create and maintain a reserve far contingencies: YE~~Z BO27D YdOS. Fc.I1VCIPAL INTEREST TOTAL NIAY 1 NOVEt•aBEP. 1 1;54 $ $5,788.75 $3,473.25 $ 9,262.00 l:'u5 1 - 9 8,300 3,473.25 3,348.75 15,122..00 1966 LO - 17 8,000 3,348.75 3,228.75 14,577.5D 1967 13 - 25 8,000 3,228.75 3,108.75 14,337.50 1958 26 - 33 8,000 3,108.75 2,988.75 14,097.50 199 34 - 42 .9,000 2,988.75 2,853.75 14,842.50 .~70 43 - 51 9,000 2,853.75 2,718.75 14,572.50 1971 52 - 60 9,000 2,718.75 2,5u3.75 14,302.50 1972 61 - 70 10,000 2,583.75 2,433.75 15,GI7.50 1973 71 - 80 10,000 2,433.75 2,283.75 14,717.50 1974 8l - 90 10,000 2,283.75 2,153.75 14,417.5G 1975 91 - ZOZ 11,000 2,133.75 1,955.00 15,088.75 1976 102 - Tl2 11,000 T,955.00 1,776.25 14,731.25 1977 113 - 123 21,000 1,776.25 1,597.50 14,373.75 ?978 124 - 135 12,000 1,597.50 1,402.50 15,000.00 1979 136 - 147 12,000 1,402.50 1,207.50 14,610.011 1~;0 lti8 - 160 13,000 1,207.50 980.00 15,187.50 19vl 161 - 173 '13,000 980.00 752.50 14,732.50 1982 174 - 187 14,000 752.50 507.50 15,260.00 1933 188 - 201 14,000 507.50 262.50 14,770.00 - 1984 202 - 216 15,000 262.50 15,262.50 (v) Eeginnine on the first business day of the month after brie delivery of the bonds authorised by this ordinance and continuing on the first business day of each month thereafter until all of the bands authorised hereby have been paid in full or provision made for such pe~;~ment, a sum equal to one-fifth (1/5) of the next installment of interest and one-tenth (I/10) of the next installment of principal (p ..s any additional amount that may be necessary together with accrued i~zterest received at t'tie time of the delivery of the bonds to fully p_a~~ide fcr the first interest payment oa the bonds, if any additional amount be required), and an amount su-_ficient to provide for the paying agent's fees, oa all outstanding.. bonds, until a reserve for ccn- tingencies shall have been accumulated in the amount of $15,G00. The reserve for contingencies shall be maintained as hereafter provided . Page 16 Tihen tTie reserve for contingencies has been accumulated in the required amou,~t, the monthly payments into the Sond Fund may be reduced to one-si::th (1/6) of the nee:t installment of interest and one-twelfth (1/12) of the ne:a installment of principal, respectively, and an amount sufficient to provide for the paying agent's fees, but if the reserve for contingencies becomes impaired, the payments of one-fifth and on:~-+.entT~, respectively, and an amount suffici-eY~t tG :fir provide for the paying agent's fees, shall be resumed until the impair- - ment is cured. The payments into the Bond Fund required hereby shall be made simultaneously with payments into the Public Utility Bond Fund, created by SecL-inn 11 (a) of Ordinance T1o. 275, and referred to in Section 9 of Ordinance Tdo. 316, both of which ordinances have been heretofore referred to and identified. (C) If the revenues of the System are insufficient to maT:e the required payment on the first business day of the follovring month into the Bond Fund, then the amount of any such deficiency in the payment shall be added to the amount otherwise required to he paid into the Sond Fund on the first business day of the next month. 5vnen the moneys held in the Bond Fund, including the reserve for contingencies, shall be and remain sufficient to pay the principal of and interest on all outstanding bonds of this issue, and the paying agent's fees, either at maturity or on earlier redemptior_, t'taere shall be no further obligation to maT:e any payments into the Bond Fund, If for any reason there shall be a deficiency in the payments made into the Bond Fund so that there are unavailable sur- ficient moneys t°~ere-_n to pay the principal of, Lnterest on and paying agent`s fees in connection with the bonds as the same become due and '`Page 17 payable, any sums tiaen held as a reserves for contingencies shall be use3 to the e.~teat necessary to pay the princigal of, interest cn and paying agent°s fees in connection with the bonds, but such reserve s"cull be reimbursed in the amount of any such payment as above provided. The reserve for contingencies may be invested in bonds or other direct or fully guaranteed obligations of the United States Government having maturity dates not exceeding five (5) years from tnae date of purcaase. Any earnings on investments of moneys in tlbe reserve for contingencies which increase the princigal amount of the reserve for co:~tingencies in excess of $15,000 need not be retained in the reserve for contingencies but any sums therein at any time over and above the amount of $15,000 may be transferred to the Bond Fund and used as other moneys may be used in the Bond Fund. ` ,I (D) Ff at any time for any reason there be accumulated I in the Bond Fund an amount in e~:cess of the required amount of the reserve for contingencies and in excess of the amount necessary to inaure the prom~~t payment of the principal of, interest on and paying agent°s fees iu connection with the bonds as the same become due and payable, such surplus amount may be used to call the bonds of this issue for payment prior to maturity in accordance with the provisions pertaining to redemption prior to maturity set forth in the face of the bond form included in this ordinance. Section 11. That all the covenants, restrictions, conditions and provisions set forth in Sections 14, l5, 16, 17, 18, 19, 20, 21 and 22 of said Ordinance No. 275 (heretofore identified), and all other provisions of said Ordinance No. 275 and said Ordinance Pdo. 316, Page 18 as amended (hereto=o:e identified) are hereby,each and a11, ratified and confirmed, aid s•hal3 continue in force and inure to the secc~:;.ty and benefit of the bond,l of this issue, together with the 1954 Utility Eonds and the 15iS0 Utility Bonds (which 1954 iltility Eonds and 1956 Utility Bonds rank on a parity of lien, pledge and sec.irity s~ti.th the bonds of this issue) as fully and as effectivel_;• as if herein set out in full, it being the intention of this section to give the bonds of this issue the full benefit of all such covenants, restrictions, conditions and provisions as well as the full bene=its of all applicable provisions under the Constitution and laws of the State of Arkansas. Yn this regard, with particular reference to Section 18 of said Ordinance No. 275, pertaining to the pledge of ~~ '' electric revenues, the provisions of that section pertaining to a paym:n~t directly into the Public Utility Eond Fund shall be can- . s trued to wean a payment directly into the 1903 Fublic Utility Eond Fund, created by this ordinance, insofar as the bonds of this issue are concerned. Section 12. That the bonds authorized hereby and issued hereunder shall be callable for payment prior to +^~aturity in accord- ance with the terms set out in the face of the bond form in Sectio:: 7 of this ordinance. Section 13. That the Trustee of the bonds issued hereunder shall be The First National Eanl: iu Little P.ocL, Little E:oci:, A.r'.cansas. The Trustee shall only be responsible for the exercise of good faith and r._asoaable prudence in the execution of its trust. The recitals in this ordinance and in the face of the bonds are the recitals of the City and not of the Trustee. The Trustee shall nit ,Page 19 be required to tai;e any action as Trustee unless it shall have been re:~uested to do so in c._iting by the holders cf not less ti-ean ten pa_ cent (i0%) in principal amount of the bonds of this issue then out- atandin; and shall have been offered reasonahla security and indemnity against the costa, e:cpenses and liabilities to be incurred therein or there'eiy. The Trustee may resign at any time by ten (10) days' notice in writing to the City Council and the majority in value of the holders of tibe outstanding bonds of this issue at any time, with or without cause, may remove the Trustee. In the event of a vacancy in tae office of Trustee, either by resignation or by removal, the majority in value of the Riders of the outstanding bonds of this issue may appoint a new Trustee, suc'r- appointment to be evidenced by a written instrument or instruments fi1e3 with the tiayor and the City Clerk. If the majority in value of the holders of the oststanding bonds cf this issue shall fail to fill a vacancy within thirty (30)~days aster taa sa~:e sizall occur, then the City Council shall forthwith designate a new Trustee by a written instrument filed in the office of the City Cleric. The original Trustee and any successor Trustee shall ••aile a written accF~_~':aace and agreement to execute the trust imposed upon it cr them by this ordinance, but only upon the terms and con- ditions set forth in this ordinance and subject to the provisions of ti_is ordinance, to all of which the respective holders of the bonds agree. Such ~lritten acceptance shall be filed with the City Cleric and a cagy thereof shall be placed in the band transcript. P.ny successor Trustee shall have all the powers herein granted to tree ori~:inal Trustee. In the event of n change in the office of Trustee tae oid Trustee orhich has resigned or been removed shall cease to L-e paying agent and the successor Trustee sr~l become the paying agent. Page 20 Cection 14. T<<e Mayor is hereby directed to publish for cne ~veN~FV insertion in the ~=~`-~^~~-~Y~-^^~~r--~ Tifles, o~nich is hereby fou-id an3 declared to be a newspaper published in aced of general circulation in tlee C•_ty of West P~iemghia, ArT:ansas, a certified cogy of this ordinance, preceded by a Tdotice signed by him, in substantially the falla~rino fay: Page 21 N O T I C E Notice is hereby given that the City Council of the G•ity of LTest Ylemphis, Arkansas has adopted the ordinance hereinafter set out; that the City contemplates the issu- ance of the Public Utility Revenue Bonds o= 1963 described in the ordinance; that any person interested nay appear before the Council on the day of , 1963, at o'clock .m., at the usual meeting place of the Council in the City of tv'est I•iemphis, Arkansas, and be heard and present protests.At such hearing all objec- Lions and suggestions will be heard and the Council will tatce such action as is deemed proper in the premises. DATED this day of , 1963. I•Iayor of L•7est Iiemphis, Arkansas ~.. - Page 22 Section 15. That if any provision of this ordinance shall for any reason be declared to be illegal or invalid, such declaration shall not affect the validity of the remainder of the ordinance and to that end the provisions of this ordinance are hereby declared to be separable. Section 1G. That all ordinances and parts of ordinances in conflict herewith are hereby repealed to the er:tent of such conflict. Section l7. That it is hereby ascertained and declared that the improvements to be constructed are immediately necessary for the adequate protection of the life, health and property of the inhabitants of the City of West tdemphis, Arkansas, and that such improvements can be constructed only by the issuance of the bonds authorized by this ordinance. Tt is, therefore, declared e that an emergency e.:ists and this ordinance being necessary far the immediate preservation of the public peace, health and safety shall take effect and be in force from and after its passage. PA55ED , 1963. APPROVED: ~~r-7 i~ ( J~ c Mayor ATTEST: /~ •, City Clerk / (SZAI,)