55-02 O - Issuance of Sewer Bonds 1
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ORDINANCE AUTHORIZING ISSUANCE OF $15,000
"CITY OF PR OS PER, TEXAS, SEWER SYSTEM
BONDS,", DATED JANUARY 1, 1955
THE STATE OF TEXAS
CITY OF PROSPER
COUNTY OF COLLIN
ON THIS, the V day of January, 1355, the City
Commission of the City of Prosper, Texas, convened in special
session, at the regular meeting place thereof in the City Hall,
there being present and in attendance, the following members,
to-wit:
U. N. CLARY, MAYOR
ROY SKELTON, COMMISSIONER
D. C. REESE, C OMMISS I ONER
and with the following absent: ^,
constituting a quorum; at which time the following among other
business was transacted, to-wit:
Commissioner 1 introduced a proposed
ordinance. The ordinance was read in full.
Commissioner D. C. • 00,411 made a motion that any
rule requiring ordinances to be read at more than one meetin_
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be suspended. The motion was seconded by Commissioner Ai........4. i
V
and carried by the following vote:
AYES : Mayor Clary and Commissioners Skelton
and Reese.
NOES : None.
Commissioner made a motion that the-to
ordinance be passed finally. The motion was seconded by
Commissioner 1).. C...fittp, and carried by the following vote:
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I
AYES : Mayor Clary and Commissioners SKeli,ion
and Reese.
NOES : None.
The Mayor announced that the ordinance had been
finally passed.
The ORDINANCE is as follows :
"AN ORDINANCE by the City Commission of the City of
Prosper, Texas, authorizing the issuance of
'City of Prosper, Texas, 3ewer System Bonds ' ,
to be dated January 1, 1955, in the principal
sum of $15,000, bearing interest at the rates
of 3-1/2% and 4-1/$ per annum, issued for the
purpose of constructing a Sanitary Sewer System
in and for said City; prescribing the form of the
bonds and the form of the interest coupons ; levy-
ing a continuing direct annual ad valorem tax on
all taxabale property within the limits of said
City to pay the interest on such bonds and to
create a sinking fund for the redemption thereof,
and providing for the assessment and collection
of such taxes ; enacting provisions incident and
relating to the purpose and subject to this ordi-
nance; and declaring an emergency."
WHEREAS, the City Commission of the City of Prosper,
Texas, on the 27th day of November, 1954, adopted a resolution
and order calling an election on the question of the issuance of
$15,000 general obligation tax bonds, to mature serially over
a period of years not to exceed thirty-five ( s5) years from
their date, and to bear interest at a rate not to exceed 4-1/2%%
per annum, payable annually or semi-annually, for the purpose of
constructing a Sanitary Sewer System in and for said City; and
WHEREAS, the said election was held pursuant to said
resolution and order on the 17th day of December, 1954, and
resulted favorably to the issuance of said general obligation
tax bonds, above described; and
WHEREAS, this City Commission has examined into and
investigated the regularity of the proceedings for said elec-
tion and finds that the same was duly and legally held; that
the notice required by law to be given has been duly and
legally given, and that said election was conducted in strict
conformity with the law; and
WHEREAS, this City Commission has heretofore adopted
a resolution declaring the results of said election and deter-
mining the specific authority of the City to issue said general
obligation tax bonds ; therefore
BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY
OF PROSPER, TEXAS :
SECTION 1: That the bonds of said City, to be called
"CITY OF PR CS PER, TEXAS , SEWER SYSTEM BONDS", be, and same are
hereby ordered to be issued in the principal sum of FIFTEEN
THOUSAND DOLLARS (U15,000) , for the purpose of constructing a
Sanitary Sewer System in and for said City, under and by' virtue
of the Constitution and laws of the State of Texas .
SECTION 2: That said bonds shall be numbered
consecutively from One (1) to Twenty (20) , both inclusive,
shall be in the denominations shown below: aggregating the
sum of FIFTEEN THOUSAND DOLLARS ($15,000) ; shall be dated
January 1, 1955; and shall become due and payable serially in
accordance with the following schedule:
BOND NUMBERS
(All Inclusive) DENOMINATIONS MATURITY DATES AMOUNTS
1 $ 500 January 1, 1957 $ 500
500 January 1, 1959 500
3 500 January 1, 1961 500
4 500 January 1, 1963 500
5 1,000 January 1, 1965 1,000
6 1,000 January 1, 1967 1,000
7 500 January 1, 1969 500
8 1,000 January 1, 1971 1,000
9 1,000 January 1, 1973 1,000
10 1,000 January 1, 1974 1,000
11 1,000 January 1, 1976 1,000
12 500 January 1, 1977 500
13 500 January 1, 1978 500
14 1,000 January 1, 1979 1,000
15 500 January 1, 1980 500
16 1,000 January 1, 1981 1,000
17 500 January 1, 1982 500
18 1,000 January 1, 1983 1,000
19 500 January 1, 1984 500
20 1,000 January 1, 1985 1,000
PROVIDED, Hc'EVER, that the City reserves the right to redeem
Bonds Numbered 3 to 20, both inclusive, of said series (matur-
ing on January let in each of the years 1961, 1963, 1965, 1967,
1969, 1971, 1973, 1974 and 1976 to 1985, both inclusive) , in
whole or in part, on January 1, 1960, or on any interest
payment date thereafter, at par and accrued interest;
PROVIDED, FURTHER, that if less than all of said bonds are re-
deemed on any such redemption dates, same shall be redeemed in
inverse numerical order; and provided, FURTHER, that at least
thirty (30) days prior to any interest payment date upon which
any of said bonds are to be redeemed, a notice of intention,
signed by the City Clerk, (specifying the serial numbers and
amount of bonds to be redeemed) shall be filed with the
FIRST NATIONAL BANK IN DALLAS, Dallas, Texas (the paying agent
named in each of said bonds) , and should any bond or bonds not
be presented for redemption pursuant to such notice the same
shall cease to bear interest from and after the date so fixed
for redemption.
SECTION 3: That said bonds shall bear interest from
date until paid at the following rates per annum; that is to
say --
(a) Bonds Numbered 1 to 5, both inclusive,
maturing on January 1st in each of the years 1957,
1959, 1961, 1963 and 1965, shall bear interest at the
rate of THREE AND ONE-HALF PER CENTUM (3-1/ ) per
annum; and
(b) Bonds Numbered 6 to 20, both inclusive,
maturing on January 1st in each of the years 1967,
1969, 1971, 1973, 1974, and 1976 to 1985, both in-
clusive, shall bear interest at the rate of FOUR AND
ONE-HALF PER CENTUM (4-1/2' ) per annum;
such interest to be evidenced by proper coupons attached to
each of said bonds, and said interest shall be payable on
January 1, 1956, and semi-annually thereafter on July 1st and
January 1st in each year.
SECTION 4 : That both principal and interest of said
bonds shall be payable in lawful money of the United States of
America, without exchange or collection charges to the owner or
holder, at the FIRST NATIONAL BANK IN DALLAS, Dallas, Texas,
upon presentation and surrender of bonds or proper coupons.
SECTION _ That each of said bonds shall be signed
by the Mayor and countersigned by the City Clerk, and the
corporate seal of the "CITY OF PROSPER, TEXAS" shall be im-
pressed upon each of them.
SECTION 6: That the facsimile signatures of the
Mayor and City Clerk may be lithographed or printed on the
interest coupons attached to said bonds, and shall have the
same effect as if they had been signed by them.
SECTION 7:, That the form of said bonds shall be
substantially as follows:
NO. UNITED STATES OF AMERICA $
STATE OF TEXAS
COUNTY OF COLLIN
CITY OF PROSPER, TEXAS, SEWER SYSTEM BONDS
The CITY Or PROSPER, TEXAS, a municipal corporation
of the State of Texas, acknowledges itsoif indebted to, and
for VALUE RECEIVED, hereby promises to pay to bearer, the sun
of
DOLLARS
{ ) , in lawful money of the United States of America,
on the FIRST DAY OF JANUARY, 19 , with interest thereon
from the date hereof until paid, at the rate of
PER CENTUM ( %) per annum, payable on January 1, 1956,
and semi-annually thereafter on July 1st and January 1st in
each year, and interest falling due on or prior to maturity
hereof is payable only upon presentation of the interest cou-
pons hereto attached as they severally become due .
BOTH PRINCIPAL AND INTEREST of this bond are hereby
made payable at the FIRST NATIONAL BANK IN DALLAS, Dallas, Texas,
without exchange or collection charges to the owner or holder,
and for the prompt payment of this bond and the interest there-
on at maturity, the full faith, credit and resources of the
City of Prosper, Texas, are hereby irrevocably pledged.
THIS BOND is one of twenty (20) serial bonds numbered
consecutively from One (1) to Twenty (:'O) , both inclusive, in
the denomination of Five Hundred Dollars and One Thousand
Dollars, aggregating FIFTEEN THOUSAND DOLLARS, and issued for
the purpose of constructing a Sanitary Sewer System in and for
said City, under authority of the Constitution and laws of the
State of Texas, and pursuant to an ordinance duly adopted by the
City Commission of the City of Prosper, Texas, and recorded in
the Minutes of said City Commission.
AS SPECIFIED in the ordinance hereinabove referred
to, the City reserves the right to redeem Bonds Numbered 3 to
20, both inclusive, of this series (maturing on January 1st
in each of the years 1961, 1963, 1965, 1967, 1969, 1971, 1973,
1974 and 1976 to 1985, both inclusive) , in whole or in part on
January 1, 1960, or on any interest payment date thereafter,
at par and accrued interest; PROVIDED, HOWEVER, that if less
than all of said bonds are redeemed on any such redemption
dates, same shall be redeemed in inverse numerical order; and
PROVIDED, FURTHER, that at least thirty (30) days prior to any
interest payment date upon which any of said bonds are to be
redeemed, a notice of intention signed by the City Clerk (speci-
fying the serial numbers and amount of bonds to be redeemed)
shall be filed with the FIRST NATIONAL BANK IN DALLAS, Dallas,
Texas, and should any bond or bonds not be presented for
redemption pursuant to such notice, the same shall cease to
bear interest from and after the date so fixed for redemption.
IT IS HEREBY CERTIFIED, RECITED AND REPRESENTED that
the issuance of this bond and the series of which it is a part,
is duly authorized by law and by a vote of the qualified pro-
perty taxpaying voters of the City of Prosper, Texas, voting
at an election held for that purpose within said City on the
17th day of December, 1954; that all acts, conditions and things
required to be done precedent to and in the issuance of this
series of bonds, and of this bond, have been properly done
and performed and have happened in regular and due time, form
and manner as required by law; that sufficient and proper pro-
vision for the levy and collection of taxes has been made, which
when collected, shall be appropriated exclusively to the payment
of this bond, and the series of which it is a part, and to the
payment of the interest coupons thereto annexed as the same shall
become due; and that the total indebtedness of the City of
Prosper, Texas, including the entire series of bonds of which
this is one, does not exceed any constitutional or statutory
limitation.
IN WITNESS WHEREOF, the City Commission of the City
of Prosper, Texas, has caused the seal of said City to be
affixed hereto, and this bond to be signed by the Mayor and
countersigned by the City Clerk, and the interest coupons hereto
attached to be executed by the lithographed or printed facsimile
signatures of said Mayor and City C lerk; the date of this bond,
in conformity with the ordinance above referred to, being the
FIRST DAY of JANUARY, 1955.
Mayor, City of Prosper, Texas
COUP: ' ; ��;IGNED s
City Clerk, City of prosper, Texas
SECTION 8: That the form of interest coupon attached
to each of said bonds shall be substantially as follows :
NO. ON THE DAY OF
19 ,
*(unless the bond to which this coupon pertains has been proper-
ly called for redemption in accordance with its terms) the CITY
OF PROSPER, a municipal corporation of the State of Texas,
hereby promises to pay to bearer, at the FIRST NATIONAL BANK
IN DALLAS , Dallas, Texas, the sum of
DOLLARS
) , in lawful money of the United States of America,
without exchange or collection charges to the owner or holder,
said sure being months ' interest due that day on
"CITY OF PROSPER, TEXAS, SEWER SYSTEM BOND", dated January 1,
1955. Bond No.
City Clerk Mayor
SECTION : That the following certificate shall be
printed on the back of each bond:
OFFICE OF COMPTROLLER
REGISTER NO.
STATE OF TEXAS
I HEREBY CERTIFY that there is on file and of record
in my office a certificate of the Attorney General of the State
of Texas, to the effect that this bond has been examined by him
as required by law, and that he finds that it has been issued in
conformity with the Constitution and laws of the State of Texas,
*NOTE TO PRINTER : The expression in parenthesis to be included
only in coupons maturing July 1, 1960, and subsequent, pertain-
ing to Bonds Numbered 3 to 20, inclusive, being the optional
bonds.
and that it is a valid and binding obligation upon said City
of Prosper, Texas, and said bond has this day been registered
by me.
WITNESS MY HAND LAND SEAL ar OFFICE at Austin, Texas,
Comptroller of ubl£c Accounts- of the
State of Texas
CTICx 10: BE T FURTHE2 ORDAINED BY THE CITY COM-
MISSION IF THE CITY Y OF PR tS PER, TEXAS :
That while said bonds, or any of them, are outstanding
and unpaid, there shall be annually levied, assessed and coll-
ected in due time, form and manner, a tax upon all of the tax-
able property in said City, sufficient to pay the current int-
erest thereon and create a sinking fund sufficient to pay each
installment of principal as the same becomes due; and to pay
the interest on said bonds for the first year, and to create a
sinking fund with which to pay the principal as the same be-
comes due there is hereby levied a sufficient tax on each one
hundred dollars' valuation of taxable property in said City of
Prosper for the current year and the same shall be assessed and
collected and applied to the purpose named; and while said bonds,
or any of them, are outstanding and unpaid, a tax each year at a
rate from year to year, as will be ample and sufficient to
provide funds to pay the current interest on said bonds and to
provide the necessary sinking fund, full allowance being made
for delinquencies and costs of collection, shall be and is
hereby levied for each year, respectively, while said bonds, or
any of them, are outstanding and unpaid, and said tax shall each
year be assessed and collected and applied to the payment
of the principal of and interest on said bonds . The City
Commission hereby declares its purpose and intent to provide
and levy a tax fully and legally sufficient for such bonds, it
having been determined that the existing and available taxing
authority of the City for such purpose is adequate to permit a
legally sufficient tax in consideration of all other outstanding
obligations.
SECTION 11: BE IT FURTHER ORDERED BY THE CITY
COMMISSION OF THE CITY OF PROSPER, TEXAS:
That the Mayor of said City shall be, and he is hereby
authorized to take and have charge of all necessary orders and
records pending investigation by the Attorney General of the
State of Texas, and shall take and have charge and control of
the bonds herein authorized pending their approval by the
Attorney General and their registration by the Comptroller of
Public Accounts .
SECTION 12: BE IT FURTHER ORDAINED BY THE CITY
COMMISSION OP THE CITY OF PROSPER, TEXAS :
That the sale of the bonds herein authorized to
RAUSCHER PIERCE & COMPANY, DALLAS , TEXAS, at the price of par
and accrued interest to date of delivery is hereby confirmed.
Delivery of the bonds shall be made to said purchaser as soon as
may be after the adoption of this ordinance, upon payment there-
for in accordance with the terms of sale.
SECTION 13:, AND BE IT FURTHER ORDAINED BY THE CITY
COMMISSION OF THE CITY O_P' PROPTE9, TEXAS :
The public importance of this measure, and the fact
that it is to the best interest of the City to provide funds
for the purpose of c instructing a Sanitary Sewer System in and
for said City at the earliest possible date, constitute and
create an emergency and an urgent public necessity, requiring
that any rule providing for ordinances to be read and voted
upon at more than one meeting of the City Commission be sus-
pended, and requiring that this ordinance be passed and take
effect as an emergency measure, and such rules and provisions
are accordingly suspended, and this ordinance is passed as an
emergency measure, and shall take effect and be in full force
from and after its passage,
PASSED ?A ND P??.dV}D, this the _ I day of
January, 1955.
.),k(-(6°--e0-Mayor, City of Pro , Texas
ATTEST:
ty Cler , City of Prosper, exas
(City Seal)
CERTIFICATE OF CITY CLERK
THE STATE OF TEXAS
CITY OP PROSPER
COUNTY OF COLLIN
I, the undersigned, City Clerk of the City of
Prosper, Texas, DO HEREBY CERTIFY that the above and foregoing
is a true and correct copy of an ordinance authorizing the issu-
ance of t15,000 "CITY ft PROSPER, TEXAS, SEWER SYSTEM BONDS",
dated January I, 1955, (and Minutes pertaining to its adoption) ,
passed by the City Commission on the _ day of January,
1955, at a special session of said City Commission, and which
ordinance is of record in Book A page et
seq. , of the Minutes of said City Commission.
IN WITNESS WHEREOF, I have hereunto signed my name
officially and affixed the seal of said City, this the 7
day of Ja nua ry, 1955.
City Cler , City of Prosper, Texas
(City Seal)
NON-ENCUMBRANCE CERTIFICATE RELATIVE TO CITY
OP PROSPER, TEXAS, WATERWORKS AND
SANITARY SEWER SYSTEM
THE STATE OF TEXAS
CITY OF PROSPER
COUNTY OF COLLIN
WE, the undersigned, Mayor and City Clerk, respective-
ly of the City of Prosper, Texas, DO HEREBY CERTIFY as follows:
That save and except for the pledge of the income
and revenues of the City's Waterworks and Sanitary Sewer System
to the payment of the principal and interest to become due with
respect to the $25,000 "CITY ( ' PROSPER, TEXAS, WATERWORKS AND
SEWER SYSTEM REVENUE BONDS", dated January 1, 1955, as authorized
by the ordinance TO,
the City Commission of said City passed and
adopted on the , y I —, day of January, 1955, said income and
revenues of said System have not been pledged or hypothecated,
in any other manner or for any other purpose, that there are no
liens, encumbrances or any other indebtedness whatsoever out-
standing against the City's 'Waterworks and Sanitary Sewer System,
or the income and revenues of such System; and t1t the bonds
above evidence the only lien, encumbrance or indebtedness of
said System.
WIT SS OUR HANDS with the seal of said City affixed,
this the t715 day of January, 1955.
Mayor, City of ProspeD; ! exas
City ler , City of Prosper, T. xas
(City Seal)
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STATEMENT OF INDEBTEDNESS
THE STATE OF TEXAS
CITY OF PROSPER
COUNTY OF COLLIN
I, the undersigned, City Clerk, of the City of
Prosper, Collin County,Texas, DO HEREBY CERTIFY that at this
time there are no outstanding bonds of the City of Prosper,
Texas, payable from ad valorem taxes, and that when issued
and sold the $15,000 "CITY OF PROSPER, TEXAS, SEWER SYSTEM
BONDS", dated January 1, 1955, authorized by ordinanoe of
the City Commission of said City passed and adopted on the
VII day of January, 1955, will be the only bond indebted-
ness of the City of Prosper, Texas, payable by taxation.
014 WITNESS MY HAND AND THE SEAL OF SAID CITY, this the
r7 - day of January, 1955.
City erk, City of Prosper, Texas
(City ;ea l)
k
ai
CERTIFICATE RELATIVE TO INCOME AND REVENUES
OF C ITY'S WATERWORKS SYSTEM
THE STATE OF TEXAS
CITY OF PROSPER
COUNTY OF COLLIN
I, the undersigned, City Clerk of the City of Prosper,
Texas, DO HEREBY CERTIFY as follows:
1. That the following schedule shows the gross
receipts, operating expenses and net revenues of the City's
`'w Waterworks System for the years stated:
Fiscal Year Gross Operating Net
Ending Receipts Expenses Revenues
1950 t 3,371.52 $ 1,382.32 $ 1,989.20
1 951 3.785.49 1,514.19 2,271.30
it 1952 4,143.58 1,615.99 2,527.69
1953 4,291.03 1,630.58 2,660.45
1 954 4,698.22 1,733.41 2,964.81
2 . That the proposed $25,000 "CITY OF PROSPER,
TEXAS, WATERWORKS AND SEWER SYSTEM REVENUE BONDS" , when issued,
will constitute the only encumbrance or indebtedness of any
kind against the City's combined Waterworks and Sanitary Sewer
System.
WITNESS MY HAND AND SEAL OF THE CITY OF PROSPER, TEXAS,
this the e,c day of January, 1955.
City Clerk, ity of Prosper, Texas
(City Seal)
*low