HomeMy WebLinkAboutORD 86-23A - Issuance of Gen Obl BondORDINANCE
AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS
THE STATE OF TEXAS
COUNTY OF WILLIAMSON
CITY OF GEORGETOWN
WHEREAS, the bonds hereinafter authorized were lawfully
and favorably voted at an election duly held in said City on
April 5, 1986; and
WHEREAS, out of the bonds voted at said election, none has
been issued, authorized or delivered; and
WHEREAS, it is necessary and advisable to authorize, issue
and deliver all of said bonds; and
WHEREAS, the bonds hereinafter authorized and designated
were voted and are to be issued and delivered pursuant to Art.
1175 V.A.T.C.S.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
GEORGETOWN:
Section 1. AMOUNT AND PURPOSE OF THE BONDS. The bond or
bonds of the City of Georgetown, Texas (the "Issuer") are here-
by authorized to be issued and delivered in the aggregate prin-
cipal amount of $1,500,000 for the purpose of constructing and
equipping a municipal library.
Section 2. DESIGNATION OF THE BONDS. Each bond issued
pursuant to this Ordinance shall be designated: "CITY OF
GEORGETOWN, TEXAS GENERAL OBLIGATION BOND, SERIES 1986", and
initially there shall be issued, sold, and delivered hereunder
a single fully registered bond, without interest coupons, pay-
able in installments of principal (the "Initial Bond11), but the
Initial Bond may be assigned and transferred and/or converted
into and exchanged for a like aggregate principal amount of
fully registered bonds, without interest coupons, having serial
maturities, and in the denomination or denominations of $5,000
or any integral multiple of $5,000, all in the manner herein-
after provided. The term "Bonds" as used in this Ordinance
shall mean rand include collectively the Initial Bond and all
substitute bonds exchanged therefor, as well as all other sub-
stitute bonds and replacement bonds issued pursuant hereto, and
the term "Bond" shall mean any of the Bonds.
Section 3. INITIAL DATE, DENOMINATION, NUMBER, MATURI-
TIES, INITIAL REGISTERED OWNER, AND CHARACTERISTICS OF THE
INITIAL BOND. (a) The Initial Bond is hereby authorized to be
issued, sold, and delivered hereunder as a single fully regis-
tered Bond, without interest coupons, dated June 1, 1986, in
the denomination and aggregate principal amount of $1,500,000,
numbered R-,1, payable in annual installments of principal to
the initial registered owner thereof, to -wit:
Dean Witter Reynolds Inc
or to the registered assignee or assignees of said Bond or any
portion or portions thereof (in each case, the "registered
owner1°), with the annual installments of principal of the
Initial Bond to be payable on the dates, respectively, and in
the principal amounts, respectively, stated in the FORM OF
INITIAL BOND set forth in this Ordinance.
(b) The Initial Bond (i) may be prepaid or redeemed prior
to the respective scheduled due dates of installments of prin-
cipal thereof, (ii) may be assigned and transferred, (iii) may
be converted and exchanged for other Bonds, (iv) shall have the
characteristics, and (v) shall be signed and sealed, and the
principal of and interest on the Initial Bond shall be payable,
all as provided, and in the manner required or indicated, in
the FORM OF INITIAL BOND set forth in this Ordinance.
Section 5. FORM OF INITIAL BOND. The form of the Initial
Bond, including the form of Registration Certificate of the.
Comptroller of Public Accounts of the State of Texas to be
endorsed on the Initial Bond, shall be substantially as fol-
lows:
FORM OF INITIAL BOND
NO. R-1
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTY OF WILLIAMSON
CITY OF GEORGETOWN, TEXAS
GENERAL OBLIGATION BOND
SERIES 1986
$1,500,000
THE CITY OF GEORGETOWN, in Williamson County (the
"Issuer"), being a political subdivision of the State of Texas,
hereby promises to pay to
or to the registered assignee or assignees of this Bond or any
portion or portions hereof (in each case, the "registered
owner") the aggregate principal amount of
ONE MILLION FIVE HUNDRED THOUSAND DOLLARS
in annual installments of principal due and
in each of the years, and in the respective
as set forth in the following schedule:
YEAR AMOUNT
YEAR
payable on
principal
1988
Section
4, INTEREST. The unpaid
principal balance of the
Initial
Bond
shall bear interest from
the date of the Initial
Bond
to the
respective scheduled due
dates, or to the respec-
tive
dates of
prepayment or redemption,
of the installments of
principal
of
the Initial Bond, and
said interest shall be
payable,
all
in the manner provided and at the rates and on the
dates
stated
in the FORM OF INITIAL
BOND set forth in this
Ordinance.
125,000
1993
Section 5. FORM OF INITIAL BOND. The form of the Initial
Bond, including the form of Registration Certificate of the.
Comptroller of Public Accounts of the State of Texas to be
endorsed on the Initial Bond, shall be substantially as fol-
lows:
FORM OF INITIAL BOND
NO. R-1
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTY OF WILLIAMSON
CITY OF GEORGETOWN, TEXAS
GENERAL OBLIGATION BOND
SERIES 1986
$1,500,000
THE CITY OF GEORGETOWN, in Williamson County (the
"Issuer"), being a political subdivision of the State of Texas,
hereby promises to pay to
or to the registered assignee or assignees of this Bond or any
portion or portions hereof (in each case, the "registered
owner") the aggregate principal amount of
ONE MILLION FIVE HUNDRED THOUSAND DOLLARS
in annual installments of principal due and
in each of the years, and in the respective
as set forth in the following schedule:
YEAR AMOUNT
YEAR
payable on
principal
1988
$20,000
1996
$ 50,000
1989
20,000
1997
110,000
1990
20,000
1998
125,000
1991
30,000
1999
125,000
1992
30,000
2000
125,000
1993
35,000
2001
125,000
1994
40,000
2002
300,000
1995
45,000
2003
300,000
August 1
amounts,
and to pay interest, from the date of this Bond hereinafter
stated, on the balance of each such installment of principal,
respectively, from time to time remaining unpaid, at the rates
as follows:
F
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1988;
10.50 %per
annum
on the above installment
of
principal
due and payable on
August 1,
1989;
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1990;
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1991;
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1992;
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1993;
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1994;
10.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1995;
7.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1996;
7.75 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1997;
7.90 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1998;
8.00 %
per annum
on the above installment
of
principal
due and payable on
August 1,
1999;
8.00 %
per annum
on the above installment
of
principal
due and payable on
August 1,
2000;
8.05 %
per annum
on the above installment
of
principal
due and payable on
August 1,
2001;
8.10 %
per annum
on the above installment
of
principal
due and payable on
August 1,
2002;
7.50 %
per annum
on the above installment
of
principal
due and payable on
August 1,
2003;
with said interest being payable on February 1, 1987, and semi-
annually on each August 1 and February 1 thereafter while this
Bond or any portion hereof is outstanding and unpaid.
THE INSTALLMENTS OF PRINCIPAL OF AND THE INTEREST ON this
bond are payable in lawful money of the United States of
America, without exchange or collection charges. The install-
ments of principal and the interest on this Bond are payable to
the registered owner hereof through the services of First City
National Bank of Austin, Austin, Texas, which is the "Paying
Agent/Registrar" for this Bond. Payment of all principal of
and interest on this Bond shall be made by the Paying Agent/
Registrar to the registered owner hereof on each principal
and/or interest payment date by check or draft, dated as of
such date, drawn by the Paying Agent/Registrar on, and payable
solely from, funds of the Issuer required by the Ordinance au-
thorizing the issuance of this Bond (the "Bond Ordinance") to
be on deposit with the Paying Agent/Registrar for such purpose
as hereinafter provided; and such check or draft shall be sent
by the Paying Agent/Registrar by United States mail, first
class postage prepaid, on each such principal and/or interest
payment date, to the registered owner hereof, at the address of
the registered owner, as it appeared on the 15th day of the
month next preceding each such date (the "Record Date") on the
Registration Books kept by the Paying Agent/Registrar, as here-
inafter described. The Issuer covenants with the registered
owner of this Bond that on or before each principal and/or
interest payment date for this Bond it will make available to
the Paying Agent/Registrar, from the "Interest and Sinking
Fund" created by the Bond Ordinance, the amounts required to
provide for the payment, in immediately available funds, of all
principal of and interest on this Bond, when due.
IF THE DATE for the payment of the principal of or inter-
est on this Bond shall be a Saturday, Sunday, a legal holiday,
or a day on which banking institutions in the city where the
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Paying Agent/Registrar i
executive order to close,
be the next succeeding
Sunday, legal holiday, or
authorized to close; and
same force and effect as
was due.
s located are authorized by law or
then the date for such payment shall
day which is not such a Saturday,
day on which banking institutions are
payment on such date shall have the
if made on the original date payment
THIS BOND has been authorized in accordance with the
Constitution and laws of the State of Texas in the aggregate
principal amount of $1,500,000 for the purpose of constructing
and equipping a municipal library.
ON AUGUST 1, 1996, or on any interest payment date there-
after, the unpaid installments of principal of this Bond may be
prepaid or redeemed prior to their scheduled due dates, at the
option of the Issuer, with funds derived from any available
source, as a whole, or in part, and, if in part, the Issuer
shall select and designate the maturity, or maturities, and the
amount that is to be redeemed, and if less than a whole matur-
ity is to be called, the Issuer shall direct the Paying Agent/
Registrar to call by lot (provided that a portion of this Bond
may be redeemed only in an integral multiple of $5,000), at the
prepayment or redemption price of the principal amount thereof,
plus accrued interest to the date fixed for prepayment or re-
demption. At least 30 days prior to the date fixed for any
such prepayment or redemption a written notice of such prepay-
ment or redemption shall be mailed by the Paying Agent/Regis-
trar to the registered owner hereof. By the date fixed for any
such prepayment or redemption due provision shall be made by
the Issuer with the Paying Agent/Registrar for the payment of
the required. prepayment or redemption price for this Bond or
the portion hereof which is to be so prepaid or redeemed, plus
accrued interest thereon to the date fixed for prepayment or
redemption. If such written notice of prepayment or redemption
is given, and if due provision for such payment is made, all as
provided above, this Bond, or the portion thereof which is to
be so prepaid or redeemed, thereby automatically shall be
treated as prepaid or redeemed prior to its scheduled due date,
and shall not bear interest after the date fixed for its pre-
payment or redemption, and shall not be regarded as being out-
standing except for the right of the registered owner to re-
ceive the prepayment or redemption price plus accrued interest
to the date fixed for prepayment or redemption from the Paying
Agent/Registrar out of the funds provided for such payment.
The Paying Agent/Registrar shall record in the Registration
Books all such prepayments or redemptions of principal of this
Bond or any portion hereof.
THIS BOND, to the extent of the unpaid or unredeemed prin-
cipal balance hereof, or any unpaid and unredeemed portion
hereof in any integral multiple of $5,000, may be assigned by
the initial registered owner hereof and shall be transferred
only in the Registration Books of the Issuer kept by the Paying
Agent/Registrar acting in the capacity of registrar for the
Bonds, upon the terms and conditions set forth in the Bond
Ordinance. Among other requirements for such transfer, this
Bond must be presented and surrendered to the Paying Agent/Reg-
istrar for cancellation, together with proper instruments of
assignment, in form and with guarantee of signatures satisfac-
tory to the Paying Agent/Registrar, evidencing assignment by
the initial registered owner of this Bond, or any portion or
portions hereof in any integral multiple of $5,000, to the
assignee or assignees in whose name or names this Bond or any
such portion or portions hereof is or are to be transferred and
registered. Any instrument or instruments of assignment
satisfactory to the Paying Agent/Registrar may be used to
evidence the assignment of this Bond or any such portion or
portions hereof by the initial registered owner hereof. A new
bond or bonds payable to such assignee or assignees (which then
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will be the new registered owner or owners of such new Bond or
Bonds) or to the initial registered owner as to any portion of
this Bond which is not being assigned and transferred by the
initial registered owner, shall be delivered by the Paying
Agent/Registrar in conversion of and exchange for this Bond or
any portion or portions hereof, but solely in the form and
manner as provided in the next paragraph hereof for the conver-
sion and exchange of this Bond or any portion hereof. The
registered owner of this Bond shall be deemed and treated by
the Issuer and the Paying Agent/Registrar as the absolute owner
hereof for all purposes, including payment and discharge of
liability upon this Bond to the extent of such payment, and the
Issuer and the Paying Agent/Registrar shall not be affected by
any notice to the contrary.
AS PROVIDED above and in the Bond Ordinance, this Bond, to
the extent of the unpaid or unredeemed principal balance here-
of, may be converted into and exchanged for a like aggregate
principal amount of fully registered bonds, without interest
coupons, payable to the assignee or assignees duly designated
in writing by the initial registered owner hereof, or to the
initial registered owner as to any portion of this Bond which
is not being assigned and transferred by the initial registered
owner, in any denomination or denominations in any integral
multiple of $5,000 (subject to the requirement hereinafter
stated that each substitute bond issued in exchange for any
portion of this Bond shall have a single stated principal ma-
turity date), upon surrender of this Bond to the Paying Agent/
Registrar for cancellation, all in accordance with the form and
procedures set forth in the Bond Ordinance. If this Bond or
any portion hereof is assigned and transferred or converted
each bond issued in exchange for any portion hereof shall have
a single stated principal maturity date corresponding to the
due date of the installment of principal of this Bond or por-
tion hereof for which the substitute bond is being exchanged,
and shall bear interest at the rate applicable to and borne by
such installment of principal or portion thereof. Such bonds,
respectively, shall be subject to redemption prior to maturity
on the same dates and for the same prices as the corresponding
installment of principal of this Bond or portion hereof for
which they are being exchanged. No such bond shall be payable
in installments, but shall have only one stated principal
maturity date. AS PROVIDED IN THE BOND ORDINANCE, THIS BOND IN
ITS PRESENT FORM MAY BE ASSIGNED AND TRANSFERRED OR CONVERTED
ONCE ONLY, and to one or more assignees, but the bonds issued
and delivered in exchange for this Bond or any portion hereof
may be assigned and transferred, and converted, subsequently,
as provided in the Bond Ordinance. The Issuer shall pay the
Paying Agent/Registrar's standard or customary fees and charges
for transferring, converting, and exchanging this Bond or any
portion thereof, but the one requesting such transfer, conver-
sion, and exchange shall pay any taxes or governmental charges
required to be paid with respect thereto. The Paying Agent/ -
Registrar shall not be required to make any such assignment,
conversion, or exchange (i) during the period commencing with
the close of business on any Record Date and ending with the
opening of business on the next following principal or interest
payment date, or, (ii) with respect to any Bond or portion
thereof called for prepayment or redemption prior to maturity,
within 45 days prior to its prepayment or redemption date.
IN THE EVENT any Paying Agent/Registrar for this Bond is
changed by the Issuer, resigns, or otherwise ceases to act as
such, the Issuer has covenanted in the Bond Ordinance that it
promptly will appoint a competent and legally qualified sub-
stitute therefor, and promptly will cause written notice
thereof to be mailed to the registered owner of this Bond.
5
IT IS HEREBY certified, recited, and covenanted that this
Bond has been duly and validly voted, authorized, issued, sold,
and delivered; that all acts, conditions, and things required
or proper to be performed, exist, and be done precedent to or
in the authorization, issuance, and delivery of this Bond have
been performed, existed, and been done in accordance with law;
that this Bond is a general obligation of the Issuer, issued on
the full faith and credit thereof; and that ad valorem taxes
sufficient to provide for the payment of the interest on and
principal of this Bond, as such interest and principal come
due, have been levied and ordered to be levied against all tax-
able property in the Issuer, and have been pledged for such
payment, within the limit prescribed by law.
BY BECOMING the registered owner of this Bond, the regis-
tered owner thereby acknowledges all of the terms and provi-
sions of the Bond Ordinance, agrees to be bound by such terms
and provisions, acknowledges that the Bond Ordinance is duly
recorded and available for inspection in the official minutes
and records of the governing body of the Issuer, and agrees
that the terms and provisions of this Bond and the Bond Ordi-
nance constitute a contract between the registered owner hereof
and the Issuer.
IN WITNESS WHEREOF, the Issuer has caused this Bond to be
signed with the manual signature of the Mayor of the Issuer and
countersigned with the manual signature of the City Secretary
of the Issuer, has caused the official seal of the Issuer to be
duly impressed on this Bond, and has caused this Bond to be
dated June 1, 1986.
City Secretary
(CITY SEAL)
Mayor
FORM OF REGISTRATION CERTIFICATE OF THE
COMPTROLLER OF PUBLIC ACCOUNTS:
COMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER NO.
I hereby certify that this Bond has been examined, certi-
fied as to validity, and approved by the Attorney General of
the State of Texas, and that this Bond has been registered by
the Comptroller of Public Accounts of the State of Texas.
Witness my signature and seal this
xxxxxxxx
Comptroller of Public Accounts
of the State of Texas
(COMPTROLLER'S SEAL)
Section 6. ADDITIONAL CHARACTERISTICS OF THE BONDS.
Registration and Transfer. (a) The Issuer shall keep or cause
to be kept at the principal corporate trust office of First
City National Bank of Austin, Austin, Texas (the "Paying
Agent/Registrar") books or records of the registration and
transfer of the Bonds (the "Registration Books"), and the
Issuer hereby appoints the Paying Agent/Registrar as its regis-
trar and transfer agent to keep such books or records and make
such transfers and registrations under such reasonable
regulations as the Issuer and Paying Agent/Registrar may pre-
scribe; and the Paying Agent/Registrar shall make such trans-
fers and registrations as herein provided. The Paying Agent/ -
Registrar shall obtain and record in the Registration Books the
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address of the registered owner of each Bond to which payments
with respect to the Bonds shall be mailed, as herein provided;
but it shall be the duty of each registered owner to notify the
Paying Agent/Registrar in writing of the address to which pay-
ments shall be mailed, and such interest payments shall not be
mailed unless such notice has been given. The Issuer shall
have the right to inspect the Registration Books during regular
business hours of the Paying Agent/Registrar, but otherwise the
Paying Agent/Registrar shall keep the Registration Books confi-
dential and, unless otherwise required by law, shall not permit
their inspection by any other entity. Registration of each
Bond may be transferred in the Registration Books only upon
presentation and surrender of such Bond to the Paying Agent/
Registrar for transfer of registration and cancellation, to-
gether with proper written instruments of assignment, in form
and with guarantee of signatures satisfactory to the Paying
Agent/Registrar, (i) evidencing the assignment of the Bond, or
any portion thereof in any integral multiple of $5,000, to the
assignee or assignees thereof, and (ii) the right of such
assignee or assignees to have the Bond or any such portion
thereof registered in the name of such assignee or assignees.
Upon the assignment and transfer of any Bond or any portion
thereof, a new substitute Bond or Bonds shall be issued in
conversion and exchange therefor in the manner herein provided.
The Initial Bond, to the extent of the unpaid or unredeemed
principal balance thereof, may be assigned and transferred by
the initial registered owner thereof once only, and to one or
more assignees designated in writing by the initial registered
owner thereof. All Bonds issued and delivered in conversion of
and exchange for the Initial Bond shall be in any denomination
or denominations of any integral multiple of $5,000 (subject to
the requirement hereinafter stated that each substitute Bond
shall have a single stated principal maturity date), shall be
in the form prescribed in the FORM OF SUBSTITUTE BOND set forth
in this Ordinance, and shall have the characteristics, and may
be assigned, transferred, and converted as hereinafter pro-
vided. If the Initial Bond or any portion thereof is assigned
and transferred or converted the Initial Bond must be surren-
dered to the Paying Agent/Registrar for cancellation, and each
Bond issued in exchange for any portion of the Initial Bond
shall have a single stated principal maturity date, and shall
not be payable in installments; and each such Bond shall have a
principal maturity date corresponding to the due date of the
installment of principal or portion thereof for which the sub-
stitute Bond is being exchanged; and each such Bond shall bear
interest at the single rate applicable to and borne by such
installment of principal or portion thereof for which it is
being exchanged. If only a portion of the Initial Bond is
assigned and transferred, there shall be delivered to and reg-
istered in the name of the initial registered owner substitute
Bonds in exchange for the unassigned balance of the Initial
Bond in the same manner as if the initial registered owner were
the assignee thereof. If any Bond or portion thereof other
than the Initial Bond is assigned and transferred or converted
each Bond issued in exchange therefor shall have the same prin-
cipal maturity date and bear interest at the same rate as the
Bond for which it is excianged. A form of assignment shall be
printed or endorsed on each Bond, excepting the Initial Bond,
which shall be executed by the registered owner or its duly
authorized attorney or representative to evidence an assignment
thereof. Upon surrender of any Bonds or any portion or por-
tions thereof for transfer of registration, an authorized
representative of the Paying Agent/Registrar shall make such
transfer in the Registration Books, and shall deliver a new
fully registered substitute Bond or Bonds, having the charac-
teristics herein described, payable to such assignee or assign-
ees (which then will be the registered owner or owners of such
new Bond or Bonds), or to the previous registered owner in case
only a portion of a Bond is being assigned and transferred, all
7
I
n conversion of and exchange for said assigned Bond or Bonds
or any portion or portions thereof, in the same form and
manner, and with the same effect, as provided in Section 6(d),
below, for the conversion and exchange of Bonds by any regis-
tered owner of a Bond. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for
making such transfer and delivery of a substitute Bond or
Bonds, but the one requesting such transfer shall pay any taxes
or other governmental charges required to be paid with respect
thereto. The Paying Agent/Registrar shall not be required to
make transfers of registration of any Bond or any portion
thereof (i) during the period commencing with the close of
business on any Record Date and ending with the opening of
business on the next following principal or interest payment
date, or, (ii) with respect to any Bond or any portion thereof
called for redemption prior to maturity, within 45 days prior
to its redemption date.
(b) Ownership of Bonds. The entity in whose name any
Bond shall be registered in the Registration Books at any time
shall be deemed and treated as the absolute owner thereof for
all purposes of this Ordinance, whether or not such Bond shall
be overdue, and the Issuer and the Paying Agent/Registrar shall
not be affected by any notice to the contrary; and payment of,
or on account of, the principal of, premium, if any, and inter-
est on any such Bond shall be made only to such registered
owner. All such payments shall be valid and effectual to
satisfy and discharge the liability upon such Bond to the
extent of the sum or sums so paid.
(c) Payment of Bonds and Interest. The Issuer hereby
further appoints the Paying Agent/Registrar to act as the pay-
ing agent for paying the principal of and interest on the
Bonds, and to act as its agent to convert and exchange or re-
place Bonds, all as provided in this Ordinance. The Paying
Agent/Registrar shall keep proper records of all payments made
by the Issuer and the Paying Agent/Registrar with respect to
the Bonds, and of all conversions and exchanges of Bonds, and
all replacements of Bonds, as provided in this Ordinance. How-
ever, in the event of a nonpayment of interest on a scheduled
payment date, and for thirty (30) days thereafter, a new record
date for such interest payment (a "Special Record Date") will
be established by the Paying Agent/Registrar, if and when funds
for the payment of such interest have been received from the
Issuer. Notice of the past due interest (which shall be 15
days after the Special Record Date) shall be sent at least five
(5) business days prior to the Special Record Date by United
States mail, first class postage prepaid, to the address of
each Bondholder apperaring on the Security Register at the
close of business on the last business day next preceding the
date of mailing of such notice.
(d) Conversion and Exchange or Replacement; Authentica-
tion. Each Bond issued and delivered pursuant to this Ordin�
ance, to the extent of the unpaid or unredeemed principal bal-
ance or principal amount thereof, may, upon surrender of such
Bond at the principal corporate trust office of the Paying
Agent/Registrar, together with a written request therefor duly
executed by the registered owner or the assignee or assignees
thereof, or its or their duly authorized attorneys or represen�
tatives, with guarantee of signatures satisfactory to the Pay-
ing Agent/Registrar, may, at the option of the registered owner
or such assignee or assignees, as appropriate, be converted
into and exchanged for fully registered bonds, without interest
coupons, in the form prescribed in the FORM OF SUBSTITUTE BOND
set forth in this Ordinance, in the denomination of $5,000, or
any integral multiple of $5,000 (subject to the requirement
hereinafter stated that each substitute Bond shall have a
single stated maturity date), as requested in writing by such
0
registered owner or such assignee or assignees, in an aggregate
principal amount equal to the unpaid or unredeemed principal
balance or principal amount of any Bond or Bonds so
surrendered, and payable to the appropriate registered owner,
assignee, or assignees, as the case may be. If the Initial
Bond is assigned and transferred or converted each substitute
Bond issued in exchange for any portion of the Initial Bond
shall have a single stated principal maturity date, and shall
not be payable in installments; and each such Bond shall have a
principal maturity date corresponding to the due date of the
installment of principal or portion thereof for which the
substitute Bond is being exchanged; and each such Bond shall
bear interest at the single rate applicable to and borne by
such installment of principal or portion thereof for which it
is being exchanged. If a portion of any Bond (other than the
Initial Bond) shall be redeemed prior to its scheduled maturity
as provided herein, a substitute Bond or Bonds having the same
maturity date, bearing interest at the same rate, in the
denomination or denominations of any integral multiple of
$5,000 at the request of the registered owner, and in aggregate
principal amount equal to the unredeemed portion thereof, will
be issued to the registered owner upon surrender thereof for
cancellation. If any Bond or portion thereof (other than the
Initial Bond) is assigned and transferred or converted, each
Bond issued in exchange therefor shall have the same principal
maturity date and bear interest at the same rate as the Bond
for which it is being exchanged. Each substitute Bond shall
bear a letter and/or number to distinguish it from each other
Bond. The Paying Agent/Registrar shall convert and exchange or
replace Bonds as provided herein, and each fully registered
bond delivered in conversion of and exchange for or replacement
of any Bond or portion thereof as permitted or required by any
provision of this Ordinance shall constitute one of the Bonds
for all purposes of this Ordinance, and may again be converted
and exchanged or replaced. It is specifically provided that
any Bond authenticated in conversion of and exchange for or
replacement of another Bond on or prior to the first scheduled
Record Date for the Initial Bond shall bear interest from the
date of the Initial Bond, but each substitute Bond so authenti-
cated after such first scheduled Record Date shall bear inter-
est from the interest payment date next preceding the date on
which such substitute Bond was so authenticated, unless such
Bond is authenticated after any Record Date but on or before
the next following interest payment date, in which case it
shall bear interest from such next following interest payment
date; provided, however, that if at the time of delivery of any
substitute Bond the interest on the Bond for which it is being
exchanged is due but has not been paid, then such Bond shall
bear interest from the date to which such interest has been
paid in full. THE INITIAL BOND issued and delivered pursuant
to this Ordinance is not required to be, and shall not be,
authenticated by the Paying Agent/Registrar, but on each
substitute Bond issued in conversion of and exchange for or
replacement of any Bond or Bonds issued under this Ordinance
there shall be printed a certificate, in the form substantially
as fol_1owsI
"PAYING AGENT/REGISTRAR'S AUTHENTICATION CER'T'IFICATE
It is hereby
certified that this Bond
has
been issued
under the provisions
of the. Bond Ordinance
described
on the
face of this
Bond; and that this Bond has
been issued in
conversion of
and
exchange for or replacement
of a
bond, bonds,
or a portion
of a
bond or bonds of an issue
which originally
was approved
by the Attorney General of the State
of Texas and
registered by
the
Comptroller of Public Accounts
of the State
of
Texas .
9
Paying Agent/Registrar
Authorized Representative
An authorized representative of the Paying Agent/Registrar
shall, before the delivery of any such Bond, date and manually
sign the above Certificate, and no such Bond shall be deemed to
be issued or outstanding unless such Certificate is so ex-
ecuted. The Paying Agent/Registrar promptly shall cancel all
Bonds surrendered for conversion and exchange or replacement.
No additional ordinances, orders, or resolutions need be passed
or adopted by the governing body of the Issuer or any other
body or person so as to accomplish the foregoing conversion and
exchange or replacement of any Bond or portion thereof, and the
Paying Agent/ Registrar shall provide for the printing, execu-
tion, and delivery of the substitute Bonds in the manner
prescribed herein, and said Bonds shall be of type composition
printed on paper with lithographed or steel engraved borders of
customary weight and strength. Pursuant to Vernon's Ann. Tex.
Civ. St. Art. 717k-6, and particularly Section 6 thereof, the
duty of conversion and exchange or replacement of Bonds as
aforesaid is hereby imposed upon the Paying Agent/Registrar,
and, upon the execution of the above Paying Agent/Registrar's
Authentication Certificate, the converted and exchanged or
replaced Bond shall be valid, incontestable, and enforceable in
the same manner and with the same effect as the Initial Bond
which originally was issued pursuant to this Ordinance, ap-
proved by the Attorney General, and registered by the
Comptroller of Public Accounts. The Issuer shall pay the
Paying Agent/Registrar's standard or customary fees and charges
for transferring, converting, and exchanging any Bond or any
portion thereof, but the one requesting any such transfer,
conversion, and exchange shall pay any taxes or governmental
charges required to be paid with respect thereto as a condition
precedent to the exercise of such privilege of conversion and
exchange. The Paying Agent/Registrar shall not be required to
make any such conversion and exchange or replacement of Bonds
or any portion thereof (i) during the period commencing with
the close of business on any Record Date and ending with the
opening of business on the next following principal or interest
payment date., or, (ii) with respect to any Bond or portion
thereof called for redemption prior to maturity, within 45 days
prior to its redemption date.
(e) In
exchange or re
(i) shall be i
coupons, with
payable only
redeemed prior
transferred an
for other Bond
be signed and
on the 'Bonds
General. All Bonds issued in conversion and
placement of any other Bond or portion thereof,
ssued in fully registered form, without interest
the principal of and interest on such Bonds to be
to the registered owners thereof, (ii) may be
to their scheduled maturities, (iii) may be
d assigned, (iv) may be converted and exchanged
S, (v) shall have the characteristics, (vi) shall
sealed, and (vii) the principal of and interest
shall be nav Able . all as rrnvi HP(9 . in(l in the
manner required or indicat4d, in the FORM OF SUBSTITUTE BONL
set forth in this Ordinance,
(f) Payment of Fees and Charges. The Issuer hereby
covenants with the registered owners of the Bonds that it will
(i) pay the standard or customary fees and charges of the
Paying Agent/Registrar for its services with respect to the
payment of the principal of and interest on the Bonds, when
due, and (ii) pay the fees and charges of the Paying
Agent/Registrar for services with respect to the transfer of
registration of Bonds, and with respect to the conversion and
exchange of Bonds solely to the extent above provided in this
Ordinance.
gus
(g) Substitute Paying Agent/Registrar. The Issuer
covenants with the registered owners of the Bonds that at all
times while the Bonds are outstanding the Issuer will provide a
competent and legally qualified bank, trust company, financial
institution, or other agency to act as and perform the services
of Paying. Agent/Registrar for the Bonds under this Ordinance,
and that the Paying Agent/Registrar will be one entity. The
Issuer reserves the right to, and may, at its option, change
the Paying Agent/Registrar upon not less than 120 days written
notice to the Paying Agent/Registrar, to be effective not later
than 60 days prior to the next principal or interest payment
date after such notice. In the event that the entity at any
time acting as Paying Agent/Registrar (or its successor by
merger, acquisition, or other method) should resign or other-
wise cease to act as such, the Issuer covenants that promptly
it will appoint a competent and legally qualified bank, trust
company, financial institution, or other agency to act as
Paying Agent/Registrar under this Ordinance. Upon any change
in the Paying Agent/Registrar, the previous Paying Agent/Regis
trar promptly shall transfer and deliver the Registration Books
(or a copy thereof), along with all other pertinent books and
records relating to the Bonds, to the new Paying Agent/Regis-
trar designated and appointed by the Issuer. Upon any change
in the Paying Agent/Registrar, the Issuer promptly will cause a
written notice thereof to be sent by the new Paying
Agent/Registrar to each registered owner of the Bonds, by
United States Mail, first-class postage prepaid, which notice
also shall give the address of the new Paying Agent/Registrar.
By accepting the position and performing as such, each Paying
Agent/Registrar shall be deemed to have agreed to the provi-
sions of this Ordinance, and a certified copy of this Ordinance
shall be delivered to each Paying Agent/Registrar,
Section 7. FORM OF SUBSTITUTE BONDS. The form of all
Bonds issued in conversion and exchange or replacement of any
other Bond or portion thereof, including the form of Paying
Agent/Registrar's Certificate to be printed on each of such
Bonds, and the Form of Assignment to be printed on each of the
Bonds, shall be, respectively, substantially as follows, with
such appropriate variations, omissions, or insertions as are
permitted or required by this Ordinance.
NO.
INTEREST RATE
FORM OF SUBSTITUTE BOND
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTY OF WILLIAMSON
CITY OF GEORGETOWN, TEXAS
GENERAL OBLIGATION BOND
SERIES 1986
MATURITY DATE
PRINCIPAL
AMOUNT
DATE OF OR.I G . ISSUANCE CUS I P NO,
Jilne 1, 1986
ON THE MATURITY DATE specified above, THE CITY OF GEORGE-
TOWN, in Williamson County (the "Issuer"), being a political
subdivision of the State of Texas, hereby promises to pay to
or to the registered assignee hereof (either being hereinafter
called the "registered owner") the principal amount of
and to pay interest therE
date specified above, or
ity, with interest being
annually on each August
on from June 1, 1986, to the
the date of redemption prior t
payable on February 1, 1987, a
1 and February 1 thereafter,
11
maturity
o matur-
nd semi -
at the
I
nterest rate per annum specified above; except that if the
date of authentication of this Bond is later than January 15,
1987, the first scheduled Record Date for the Initial Bond,
such principal amount shall bear interest from the interest
payment date next preceding the date of authentication, unless
such date of authentication is after any Record Date (herein-
after defined) but on or before the next following interest
payment date, in which case such principal amount shall bear
interest from such next following interest payment date.
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in
lawful money of the United States of America, without exchange
or collection charges. The principal of this Bond shall be
paid to the registered owner hereof upon presentation and
surrender of this Bond at maturity or upon the date fixed for
its redemption prior to maturity, at the principal corporate
trust office of First City National Bank of Austin, Austin,
Texas, which is the "Paying Agent/Registrar" for this Bond.
The payment of interest on this Bond shall be made by the
Paying Agent/Registrar to the registered owner hereof on each
interest payment date by check or draft, dated as of such inp
terest payment date, drawn by the Paying Agent/Registrar on,
and payable solely from, funds of the Issuer required by the
Ordinance authorizing the issuance of the Bonds (the "Bond
Ordinance1°) to be on deposit with the Paying Agent/Registrar
for such purpose as hereinafter provided; and such check or
draft shall be sent by the Paying Agent/Registrar by United
States mail, first class postage prepaid, on each such interest
payment date, to the registered owner hereof, at the address of
the registered owner, as it appeared on the 15th day of the
month next preceding each such date (the "Record Date") on the
Registration Books kept by the. Paying Agent/Registrar, as here-
inafter described. Any accrued interest due upon the redemp-
tion of this Bond prior to maturity as provided herein shall be
paid to the registered owner at the principal corporate trust
office of the Paying Agent/Registrar upon presentation and
surrender of this Bond for redemption and payment at the prin-
cipal corporate trust office of the Paying Agent/Registrar.
The Issuer covenants with the registered owner of this Bond
that on or before each principal payment date, interest payment
date, and accrued interest payment date for this Bond it will
make available to the Paying Agent/Registrar, from the "Inter-
est and Sinking Fund" created by the Bond Ordinance, the
amounts required to provide for the payment, in immediately
available funds, of all principal of and interest on the Bonds,
when due.
IF THE DATE for the payment of the principal of or inter-
est on this Bond shall be a Saturday, Sunday, a legal holiday,
or a day on which banking institutions in the city where the
Paying Agent/Registrar is located are authorized by law or
executive order to close, then the date for such payment shall
be the next succeeding day which is not such a Saturday,
Sunday, legal holiday, or day on which banking institutions are
authorized to close; and payment on such date shall have the
same force and effect as if made on the original date payment
was due.
THIS BOND is one of an issue of Bonds initially dated June
11 1986, authorized in accordance with the Constitution and
laws of the State of Texas in the principal amount of
$1,500,000 for the purpose of constructing and equipping a
municipal library.
ON AUGUST 1,
1996, or on
any interest payment date
there-
after, the Bonds
of this Series
may be redeemed prior to
their
scheduled maturities, at the
option of the Issuer, with
funds
derived from any
available and lawful source, as a whole,
or in
part, and, if in
part, the Issuer
shall select and designate
12
the maturity or maturities and thex amount that is to be re-
deemed, and if less than a whole maturity is to be called, the
Issuer shall direct the Paying Agent/Registrar to call by lot
(provided that a portion of a Bond may be redeemed only in an
integral multiple of $5,000), at the redemption price of the
principal amount thereof, plus accrued interest to the date
fixed for prepayment or redemption. At least 30 days prior to
the date fixed for any redemption of Bonds or portions thereof
prior to maturity a written notice of such redemption shall be
published once in a financial publication, journal, or reporter
of general circulation among securities dealers in The City of
New York, New York (including, but not limited to, The Bond
Buyer and The Wall Street Journal), or in the State of Texas
(including, but not limited to, The Texas Bond Reporter), Such
notice also shall be sent by the Paying Agent/Registrar by
United States mail, first class postage prepaid, not less than
30 days prior to the date fixed for any such redemption, to the
registered owner of each Bond to be redeemed at its address as
it appeared on the 45th day prior to such redemption date;
provided, however, that the failure to send, mail, or receive
such notice, or any defect therein or in the sending or mailing
thereof, shall not affect the validity or effectiveness of the
proceedings for the redemption of any Bond, and it is hereby
specifically provided that the publication of such notice as
required above shall be the only notice actually required in
connection with or as a prerequisite to the redemption of any
Bonds or portions thereof. By the date fixed for any such
redemption due provision shall be made with the Paying Agent/
Registrar for the payment of the required redemption price for
the Bonds or portions thereof which are to be so redeemed, plus
accrued interest thereon to the date fixed for redemption. If
such written notice of redemption is published and if due
provision for such payment is made, all as provided above, the
Bonds or portions thereof which are to be so redeemed thereby
automatically shall be treated as redeemed prior to their
scheduled maturities, and they shall not bear interest after
the date fixed for redemption, and they shall not be regarded
as being outstanding except for the right of the registered
owner to receive thex redemption price plus accrued interest
from the Paying Agent/Registrar out of the funds provided for
such payment. If a portion of any Bond shall be redeemed a
substitute Bond or Bonds having the same maturity date, bearing
interest at the same rate, in any denomination or denominations
in any integral multiple of $5,000, at the written request of
the registered owner, and in aggregate principal amount equal
to the unredeemed portion thereof, will be issued to the
registered owner upon the surrender thereof for cancellation,
at the expense of the Issuer, all as provided in the Bond
Ordinance,
THIS BOND OR ANY PORTION OR PORTIONS HEREOF IN ANY INTE-
GRAL MULTIPLE OF $5,000 may be assigned and shall be trans
ferred only in the Registration Books of the Issuer kept by the
Paying Agent/Registrar acting in the capacity of registrar for
the Bonds, upon the terms and conditions set forth in the Bond
Ordinance. Among other requirements for st?.ch assignment and
transfer, this Bond must be presented and surrendered to the
Paying Agent/Registrar, together with proper instruments of
assignment, in form and with guarantee of signatures satisfac®
tory to the Paying Agent/Registrar, evidencing assignment of
this Bond or any portion or portions hereof in any integral
multiple of $5,000 to the assignee or assignees in whose name
or names this Bond or any such portion or portions hereof is or
are to be transferred and registered. The form of Assignment
printed or endorsed on this Bond shall be executed by the
registered owner or its duly authorized attorney or representa-
tive,to evidence the assignment hereof. A new Bond or Bonds
payable to such assignee or assignees (which then will be the
new registered owner or owners of such new Bond or Bonds), or
13
to the previous registered owner in the case of the assignment
and transfer of only a portion of this Bond, may be delivered
by the Paying Agent/Registrar in conversion of and exchange for
this Bond, all in the form and manner as provided in the next
paragraph hereof for the conversion and exchange of other
Bonds. The Issuer shall pay the Paying Agent/Registrar's
standard or customary fees and charges for making such trans-
fer, but the one requesting such transfer shall pay any taxes
or other governmental charges required to be paid with respect
thereto. The Paying Agent/Registrar shall not be required to
make transfers of registration of this Bond or any portion
hereof (i) during the period commencing with the close of
business on any Record Date and ending with the opening of
business on the next following principal or interest payment
date, or, (ii) with respect to any Bond or any portion thereof
called for redemption prior to maturity, within 45 days prior
to its redemption date. The registered owner of this Bond
shall be deemed and treated by the Issuer and the Paying
Agent/Registrar as the absolute owner hereof for all purposes,
including payment and discharge of liability upon this Bond to
the extent of such payment, and the Issuer and the Paying
Agent/Registrar shall not be affected by any notice to the
contrary.
ALL BONDS OF THIS SERIES are issuable solely as fully
registered bonds, without interest coupons, in the denomination
of any integral multiple of $5,000. As provided in the Bond
Ordinance, this Bond, or any unredeemed portion hereof, may, at
the request of the registered owner or the assignee or as-
signees hereof, be converted into and exchanged for a like
aggregate principal amount of fully registered bonds, without
interest coupons, payable to the appropriate registered owner,
assignee, or assignees, as the case may be, having the same
maturity date, and bearing interest at the same rate, in any
denomination or denominations in any integral multiple of
$5,000 as requested in writing by the appropriate registered
owner, assignee, or assignees, as the case may be, upon sur-
render of this Bond to the Paying Agent/Registrar for cancella-
tion, all in accordance with the form and procedures set forth
in the Bond Ordinance. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for
transferring, converting, and exchanging any Bond or any
portion thereof, but the one requesting such transfer, conver-
sion, and exchange shall pay any taxes or governmental charges
required to be paid with respect thereto as a condition prece-
dent to the exercise of such privilege of conversion and
exchange. The Paying Agent/Registrar shall not be required to
make any such conversion and exchange (i) during the period
commencing with the close of business on any Record Date and
ending with the opening of business on the next following
principal or interest payment date, or, (ii) with respect to
any Bond or portion thereof called for redemption prior to
maturity, within 45 days prior to its redemption date.
IN THE EVENT any Paying Agent/Registrar for the Bonds is
changed by the Issuer, resigns, or otherwise ceases to act as
such, the Issuer has covenanted in the Bond Ordinance that it
promptly will appoint a competent and legally qualified substi-
tute therefor, and promptly will cause written notice thereof
to be mailed to the registered owners of the Bonds,
IT IS HEREBY certified, recited, and covenanted that this
Bond has been duly and validly voted, authorized, issued, and
delivered; that all acts, conditions, and things required or
proper to be performed, exist, and be done precedent to or in
the authorization, issuance, and delivery of this Bond have
been performed, existed, and been done in accordance with law!
that this Bond is a general obligation of the Issuer, issued on
the full faith and credit thereof; and that ad valorem taxes
iZA!
sufficient t
principal of
o provide for
the payment of the interest on and
this Bond, as such interest
principal matures, have been levied an(
against all taxable property in the
pledged for such payment, within the limit
BY BECOMING the registered owner
tered owner thereby acknowledges all
cions of the Bond Ordinance, agrees t
and provisions, acknowledges that the
recorded and available for inspection
and records of the governing body of
that the terms and provisions of this
nance constitute a contract between
hereof and the Issuer,
comes due, and as such
ordered to be levied
ssuer, and have been
prescribed by law.
of this Bond, the regi. s®
of the terms and provi-
o be bound by such terms
uilu urainance is auiy
in the official minutes
the Issuer, and
Bond and the Bond
each registered
IN WITNESS WHEREOF, the Issuer has caused this Bond
signed with the facsimile signature of the Mayor of the
and countersigned with the facsimile signature of the
Secretary of the Issuer, has caused the official seal
Issuer to be duly impressed, or placed in facsimile, o
Bond.
(facsimile signature) (facsimile signature)
City Secretary I Mayor
(CITY SEAL)
FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
agrees
Ordi�
owner
to be
Issuer
City
Df the
n this
It is hereby certified that this Bond has been issued
under the provisions of the Bond Ordinance described on the
face of this Bond; and that this Bond has been issued in
conversion of and exchange for or replacement of a bond, bonds,
or a portion of a bond or bonds of an issue which originally
was approved by the Attorney General of the State of Texas and
registered by the Comptroller of Public Accounts of the state
of Texas.
Dated
Paying Agent/Registrar
a
Authorized Representative
FORM OF ASSIGNMENT:
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned registered owner of
this 3ond, or duly authorized representative or attorney there-
of, hereby assigns this Bond to
(Assignee's Social Security (print or type Assignee's
or Taxpayer Identification and address, including zip
Number) code)
and hereby irrevocably constitutes and appoints
Y registration of this Bond on the
attorney to transfer the
Paying Agent/Registrar's Registration Books with full power of
substitution in the premises.
Dated
is
Signature Guaranteed:
NOTICE: This signature must be guaranteed by
the New York Stock Exchange or a commercial bank or
pany.
Registered Owner
a member of
trust com®
NOTICE: This signature must correspond with the
the Registered Owner appearing on the face of this
every particular without alteration or enlargement
change whatsoever.
name of
Bond in
or any
Section 8. TAX LEVY. A special Interest and Sinking Fund
( the "Interest and Sinking Fund") is hereby created solely for
the benefit of the Bonds, and the Interest and Sinking Fund
shall be established and maintained by the Issuer at an offi-
cial depository bank of the Issuer. The Interest and Sinking
Fund shall be kept separate and apart from all other funds and
accounts of the Issuer, and shall be used only for paying the
interest on and principal of the Bonds. All ad valorem taxes
levied and collected for and on account of the Bonds shall be
deposited, as collected, to the credit of the Interest and
Sinking Fund. During each year while any of the Bonds or
interest thereon are outstanding and unpaid, the governing body
of the Issuer shall compute and ascertain a rate and amount of
ad valorem tax which will be sufficient to raise and produce
the money required to pay the interest on the Bonds as such
interest comes due, and to provide and maintain a sinking fund
adequate to pay the principal of its Bonds as such principal
matures (but never less than 2% of the original principal
amount of the Bonds as a sinking fund each year); and said tax
shall be based on the latest approved tax rolls of the Issuer,
with full allowance being made for tax delinquencies and the
cost of tax collection. Said rate and amount of ad valorem tax
is hereby levied, and is hereby ordered to be levied, against
all taxable property in the Issuer for each year while any of
the Bonds or interest thereon are outstanding and unpaid; and
said tax shall be assessed and collected each such year and de�
posited to the credit of the aforesaid Interest and Sinking
Fund. Said ad valorem taxes sufficient to provide for the
payment of the interest on and principal of the Bonds, as such
interest comes due and such principal matures, are hereby
pledged for such payment, within the limit prescribed by law.
Section 9. DEFEASANCE OF BONDS. (a) Any Bond and the
interest thereon shall be deemed to be paid, retired, and no
longer outstanding (a "Defeased Bond") within the meaning of
this Ordinance, except to the extent provided in subsection (d)
of this Section 9, when payment of the principal of such Bond,
plus interest thereon to the due date (whether such due date be
by reason of maturity, upon redemption, or otherwise) either
(i) shall have been made or caused to be made in accordance
with the terms thereof (including the giving of any required
notice of redemption), or (ii) shall have been provided for on
or before such due date by irrevocably depositing with or
making available to the Paying Agent/Registrar for such payment
(1) lawful money of the United States of America sufficient to
make such payment or (2) Government Obligations which mature as
to principal and interest in such amounts and at such times as
will insure the availability, without reinvestment, of suffi-
cient money to provide for such payment, and when proper
arrangements have been made by the Issuer with the Paying
Agent/Registrar for the payment of its services until all
Defeased Bonds shall have become due and payable. At such time
as a Bond shall be deemed to be a Defeased Bond hereunder, as
aforesaid, such Bond and the interest thereon shall no longer
16
be secured by, payable from, or entitled to the benefits of,
the ad valorem taxes herein levied and pledged as provided in
this Ordinance, and such principal and interest shall be
payable solely from such money or Government Obligations.
(b) Any moneys so deposited with the Paying Agent/Regis-
trar may at the written direction of the Issuer also be in-
vested in Government Obligations, maturing in the amounts and
times as hereinbefore set forth, and all income from such
Government Obligations received by the Paying Agent/ Registrar
which is not required for the payment of the Bonds and interest
thereon, with respect to which such money has been so depos-
ited, shall be turned over to the Issuer, or deposited as
directed in writing by the Issuer.
(c)
The
term
"Government
Obligations"
as
used in
this
Section
shall
mean
direct
obligations of
the
United
States
of
America, including obligations the principal of and interest on
which are unconditionally guaranteed by the United States of
America, which may be United States Treasury obligations such
as its State and Local Government Series, which may be in
book -entry form.
(d) Until all Defeased Bonds shall have become due and
payable, the Paying Agent/Registrar shall perform the services
of Paying Agent/Registrar for such Defeased Bonds the same as
if they had not been defeased, and the Issuer shall make proper
arrangements to provide and pay for such services as required
by this Ordinance.
Section 10. DAMAGED, MUTILATED, LOST, STOLEN, OR DE-
STROYED BONDS. (a) Replacement Bonds. In the event any
outstanding Bond is damaged, mutilated, lost, stolen, or
destroyed, the Paying Agent/Registrar shall cause to be
printed, executed, and delivered, a new bond of the same
principal amount, maturity, and interest rate, as the damaged,
mutilated, lost, stolen, or destroyed Bond, in replacement for
such Bond in the manner hereinafter provided.
(b) Application for Replacement Bonds. Application for
replacement of damaged, mutilated, lost, stolen, or destroyed
Bonds shall be made by the registered owner thereof to the
Paying Agent/Registrar. In every case of loss, theft, or
destruction of a Bond, the registered owner applying for a
replacement bond shall furnish to the Issuer and to the Paying
Agent/Registrar such security or indemnity as may be required
by them to save each of them harmless from any loss or damage
with respect thereto. Also, in every case of loss, theft, or
destruction of a Bond, the registered owner shall furnish to
the Issuer and to the Paying Agent/Registrar evidence to their
satisfaction of the loss, theft, or destruction of such Bond,
as the case may be. In every case of damage or mutilation of a
Bond, the registered owner shall surrender to the Paying
Agent/Registrar for cancellation the Bend so damaged or muti-
lated.
(c) No Default Occurred. Notwithstanding the foregoing
provisions of this Section, in the event any such Bond shall
have matured, and no default has occurred which is then con-
tinuing in the payment of the principal of, redemption premium,
if any, or interest on the Bond, the Issuer may authorize the
payment of the same (without surrender thereof except in the
case of a damaged or mutilated Bond) instead of issuing a
replacement Bond, provided security or indemnity is furnished
as above provided in this Section.
(d) Charge for Issuing Replacement Bonds. Prior to the
issuance of any replacement bond, the Paying Agent/Registrar
shall charge the registered owner of such Bond with all legal,
17
printing, and other expenses in connection therewith. Every
replacement bond issued pursuant to the provisions of this
Section by virtue of the fact that any Bond is lost, stolen, or
destroyed shall constitute a contractual obligation of the
Issuer whether or not the lost, stolen, or destroyed Bond shall
be found at any time, or be enforceable by anyone, and shall be
entitled to all the benefits of this Ordinance equally and
proportionately with any and all other Bonds duly issued under
this Ordinance..
(e) Authority for Issuing Replacement Bonds. In accor-
dance with Section 6 of Vernon's Anna Tex, Civ, St. Art.
717k-6, this Section 10 of this Ordinance shall constitute
authority for the issuance of any such replacement bond without
necessity of further action by the governing body of the Issuer
or any other body or person, and the duty of the replacement of
such bonds is hereby authorized and imposed upon the Paying
Agent/Registrar, and the Paying Agent/Registrar shall authen-
ticate and deliver such Bonds in the form and manner and with
the effect, as provided in Section 6(d) of this Ordinance for
Bonds issued in conversion and exchange for other Bonds.
Section 11, CUSTODY, APPROVAL, AND REGISTRATION OF BONDS;
BOND COUNSEL'S OPINION, AND CUSIP NUMBERS, The Mayor of the
Issuer is hereby authorized to have control of the Initial Bond
issued hereunder and all necessary records and proceedings
pertaining to the Initial Bond pending its delivery and its
investigation, examination, and approval by the Attorney
General of the State of Texas, and its registration by the
Comptroller of Public Accounts of the State of Texas. Upon
registration of the Initial Bond said Comptroller of Public
Accounts (or a deputy designated in writing to act for said
Comptroller) shall manually sign the Comptroller's Registration
Certificate on the Initial Bond, and the seal of said Comptrol-
ler shall be impressed, or placed in facsimile, on the Initial
Bond. The approving legal opinion of the Issuer's Bond Counsel
and the assigned CUSIP numbers may, at the option of the
Issuer, be printed on the Initial Bond or on any Bonds issued
and delivered in conversion of and exchange or replacement of
any Bond, but neither shall have any legal effect, and shall be
solely for the convenience and information of the registered
owners of the Bonds.
Section 12. NO ARBITRAGE. The Issuer covenants to and
with the registered owners of the Bonds that it will make no
use of the proceeds of the Bonds at any time throughout the
term of this issue of Bonds which, if such use had been reason-
ably expected on the date of delivery of the Bonds to and
payment for the Bonds by the purchasers, would have caused the
Bonds to be arbitrage bonds within the meaning of Section
103(c) of the Internal Revenue Code of 1954, as amended, or any
regulations or rulings pertaining thereto; and by this covenant
the Issuer is obligated to comply with the requirements of the
aforesaid Section 103(c) and all applicable and pertinent
Department of the Treasury regulations relating to arbitrage
bonds. The Issuer further covenants that the proceeds of the
Bonds will not otherwise be used directly or indirectly so as
to cause all or any part of the Bonds to be or become arbitrage
bonds within the meaning of the aforesaid Section 103(c), or
any regulations or rulings pertaining thereto.
Section 13. SALE OF INITIAL BOND. The Initial Bond is
hereby sold and shall be delivered to Dean Witter Reynolds, Inc.
for cash for the par value thereof and accrued interest thereon
to date of delivery, plus a premium of $ -0- It is hereby
officially found, determined, and declared that the Initial
Bond has been sold at public sale to the bidder offering the
lowest interest cost, after receiving sealed bids pursuant to
an Official Notice of Sale and Bidding Instructions and
a
Official Statement dated May 13, 1986, prepared and distributed
in connection with the sale of the Initial Bond. Said Official
Notice of Sale and Bidding Instructions and Official Statement,
and any addenda, supplement, or amendment thereto have been and
are hereby approved by the governing body of the Issuer, and
their use in the offer and sale of the Bonds is hereby ap-
proved. It is further officially found, determined, and de-
clared that the statements and representations contained in
said Official Notice of Sale and Official Statement are true
and correct in all material respects, to the best knowledge and
belief of the governing body of the Issuer.
Section 14. EMERGENCY. That the fact that the City
Council considers the passage of this Ordinance and the
issuance of the Bonds necessary for the immediate preservation
of the public peace, health, safety and welfare, creates an
emergency and an imperative public necessity that the rule re-
quiring ordinances to be read at more than one meeting of the
City Council before final passage be suspended, and said rule
is hereby suspended, and that this Ordinance take effect and be
in force and effect immediately from and after its passage at
this meeting, and it is so ordained.
PASSED AND APPROVED this 3rd day ofune, 198
Mayor
ty Secretary
••AJOI
City AtVprney
OW,
CERTIFICATE FOR ORDINANCE
THE STATE OF TEXAS
COUNTY OF WILLIAMSON
CITY OF GEORGETOWN
We, the undersigned officers of said City, hereby certify
as follows:
1. The City Council of said City convened in SPECIAL
MEETING ON THE 3RD DAY OF JUNE, 1986, at the City Hall, and
the roll was called of the duly constituted officers and
members of said City Council, to -wit:
Jim Colbert, Mayor Joan King
E. C. Girvin, Mayor Pro Tem William Connor
Pat Caballero, City Secretary Marvin Lackey
W. C. Shell
and all of said persons were present, except
absentees: William Connor
thus constituting a quorum. Whereupon, among other business,
the following was transacted at said Meeting: a written
ORDINANCE AUTHORIZING THE ISSUANCE OF BONDS
was duly introduced for the consideration of said City Council
and read in full. It was then duly moved and seconded that
said Ordinance be passed; and, after due discussion, said
motion carrying with it the passage of said Ordinance, pre-
vailed and carried by the following vote:
the following
AYES: All members of said City Council shown
present above voted "Aye".
NOES: None,
2. That a true, full and correct copy of the aforesaid
Ordinance passed at the Meeting described in the above and
foregoing paragraph is attached to and follows this Certifi-
cate; that said Ordinance has been duly recorded in said City
Council's minutes of said Meeting; that the above and fore-
going paragraph is a true, full and correct excerpt from said
City Council's minutes of said Meeting pertaining to the
passage of said Ordinance; that the persons named in the C.bove
and foregoing paragraph are the duly chosen, qualified and
acting officers and members of said City Council as indicated
therein; that each of the officers and members of said City
Council was duly and sufficiently notified officially and
personally, in advance, of the time, place and purpose of the
aforesaid Meeting, and that said Ordinance would be introduced
and considered for passage at said Meeting, and each of said
officers and members consented, in advance, to the holding of
said Meeting for such purpose, and that said Meeting was open
to the public and public notice of the time, place and purpose
of said meeting was given, all as required by Vernon's Ann.
Civ. St. Article 6252-17.
3
That
approves the
the Mayor of said City has approved and hereby
aforesaid Ordinance; that the Mayor and the City
Secretary of said City have duly signed said Ordinance; and
that the Mayor. and the City Secretary of said City hereby
declare that t ir signing of this Certificate shall consti-
tute the signg o the attached and following copy of said
Ordinanc�'f� ap
ll urposes.
UNHJ ND SE LED the 3rd day of Jikne, 1986o
r
i
ty Secretary
SEAL