HomeMy WebLinkAboutOrdinances Book 9, Page 659, No Ordinance NumberPage 659
FUNDING ORDINANCE #2 ,
1 AN ORDINANCE AUTHORIZING THE IS`UANCF.
•! AND SALE OF FUNDING BONDS OF THE CITY OF
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PADUCAH, KENTUCKY IN THE AGGREGATE AMOUNT
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OF THRFE HUNDRED AND FIFTY THOUSAND
($350,000.00) DOLLARS, THE PROCEEDS OF .
t!
WHICH TO BE USED FOR THE PA'iMENT AND RE-
DEMPTION OF NOTES, JUDGMENTS AND CLAIMS
AGAINST THE CITY OF PADUCAH, KENTUCKY IN A
LIKE AMOUNT NOIN OUTSTANDING VALID OBLIGATIONS
OF THE CITY OF PADUCAH. i
WHEREAS, the City of Paducah, during the years 1930
and 1931, was a city of the second class in the state of Kentucky,
situated in McCracken County, and having a population, according to the
census of 1920, of 24,735, and according to the census of 1930 of 33,547,
and during the year 1930 its total assessed valuation for taxation
purposes was $21,063,065.00, and during the year 1931 its total assessed
valuation for taxation purposes was £;20,891,255.00, but that during the
year 1931 the Board of Equalization, by resolution duly adopted and
published, caused to be out into effect a twenty (20%) per cent reduction
of said assessment against real estate amounting in all of such reduction
to $4,178,25$.00, which, when taken from the total assessment for said
year, left the balance of edid assessment, and from which taxes were
collected, :16,713,004.00, and
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WHEFF.AS, the -City of Paducah, during said two years,
has levied for its general purposes and to pay the interest on its
outstanding bonds add create a sinking fund as provided by law for the
retirement of outstanding bonds, the tax rate of One & 50/100 (^1.50)
Lo'_lars•unon each One Hundred ($100.00) Dollars of said property so
assessed and subject to tnxation.for city purioses, and the bonded '
?ndebtn•'ness of said city now outstanding and consisting of bonds duly
n,ittorized by law to be issued by soid city, and consisting of the total
ncTunt of indebtedness against said city, except the indebtedness herein-
after descrited of 'ihrcc Hundred Fifty Thousand Four hundred Eighty &
65/100 (,3:A,46C.95) Dollars, which bonds were all lawfully issued and
the proceeds thereof used for tho purposes for which said bonds were so
iscuod, end
7+IIF:•F.A, the City of Pnducnh during the years 1930
and 1931 has torn governed by an Act of the. ",:neral Assembly known as
Article 1.'., ci.apter 89 of Kent-icky ::tat ass, ami commonly known and
re,^,-rri .. as Coc:�iss?on ,overnrrnt Cn,,rter, and
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WWRFAS, the Board of Commissioners of said city in 1930,
and agnin in 1931, and for each of snid years, made and spread upon
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the records of said board in all respects as required by law an !
nporoximation and estimate of the anticipated revenues for each of
said years, respectively, for said city from all known and available
sources and then apportioned said anticipated revenues to the varlouej
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departments and agencies of said city for the purpose of conducting 1
and administering the affairs of said city and of its various and
sundry agencies, and said apportionments so made did not exceed the
amounts of said anticipated revenues, and
WHEREAS, in anticipation of the collection of said revenues
the Board of Commissioners, because of the necessity for raising
funds for meeting the immediate, present and necessary expenses of
the city during said years, obtained various and sundry loans from
various and sundry banks, pledging therefor the full faith and credit
of the city and the respective taxes anticipated at the time for the
payment of the principal and interest of such loans in all respects
as provided by law, but on account of the failure to collect said
anticipated incomes and the failure to collect acid taxed there was
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not sufficient amount collected or realized therefrom to pay the
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necessary operating expenses when added to the amount so borrowed
from said banks, and the,e now remains unpaid and owing by reason
of said loans the rum total of Three Hundred Fifty Thousand Four
Hundred Eighty & 65/100 (4350,480.65) Dollars, for the payment of
which amount there has been a failure of collection of taxes and
of anticipated revenues and said indebtedness was all legally
incurred and incurred for the purpose of paying the necessary
operating expenses of the city during said two years, and
WHEREAS, the tax paying period for the taxes for 1930 has
non passed and all taxes and income anticipated have been collected
and received that could possibly be received therefrom, and all the
taxes for the year 1931 have been paid except- those that are now
del'.nnuent, an -1 all other anticipated revenue has been col.locted
and received that can be so collected andreceived, or thnt may
rens-nobly be expected to be paid, and the residue of revenue and
Four Bundred .lzhty & 65/100 QZE 0,400.65) Dollnrs is a legally
1^e'lrred floating lndette^rens ngolnnt enL1 pity and for which it to
1--,?n7ly linLle, it 1s to tn, inta:eat of snid city for the nurnoae
1nccsj of the
city for tho balance of the year 1931
:,fill not be
nu'."intent to
pay more than the necessary operating
expenses of the
city nn,-' its
ca:rent neceaenry bills incurred in connection there -
isnith,
and
:1N7-7-F:A2, snid in'],:btedrhas of '_hrea Hundred
Fifty Thousand
Four Bundred .lzhty & 65/100 QZE 0,400.65) Dollnrs is a legally
1^e'lrred floating lndette^rens ngolnnt enL1 pity and for which it to
1--,?n7ly linLle, it 1s to tn, inta:eat of snid city for the nurnoae
Fuge 661
,of mnintnining its credit and to make it possible for it to pay said
Indebtedness that the same may be funded in the manner arovided by the
.Constitution and laws of the state, and ~
WHERM , snid indebtedness is now in such form as to require
the payment of interest thereon at six (6%) per cent, and by bonding the
"same a lower rate of interest can be obtained, and
WHEREAS, said Three Hundred e•ifty Thousan•! Four Hundred Eighty
k 65/100 ($350,460.65) Dollars, plus all of the other indebtedness of
the city as aforesaid, is materially less than tan (10%) per centum of
the valuation of the property in the city as assessed for taxation in the
year 1930 and in the year 1931, and during neither of said years was the
total indebtedness of said city equal to ton (10%) per centum of the
assessed valuation, and said city has ho other available funds or revenues
to pay all or any of said indebtedness, NOW, THEREFORE,
BE IT ORDAINED BY THE
BO/,RD OF COMMIS£IONRRS
OF THE CITY OF PADUCAH,
KERTUCKYs
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SECTION 1.
That the said floating indebtedness of said city to the amount
of Three Hundred Fifty Thousand ($350,000.00) Dollars be funded into an
Indebtedness bearing interest at the rate of 5 per cent per annum so
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that the total indebtedness of said city of Paducah will in nowise be
increased, but the proportion provided herein to be funded shall be made
possible of payment without materially interferring with the revenues
necessary for the proper operation and conduct of the affairs of said
pity.
SECTION 2.
That funding bonds of the City of Paducah be issued in the
ag-regate sum and amount of Three Hundred and Fifty Thousand ($350,000.00)
Dollars; that they be in the denomination of $1000.00 each; numbered
from 1 to 350 !nclusive; that they bear date of December 1, 1931; that
they bear interest at the rate of *% per cent per annum, pnyable semi-
annually, both orincipnl and interest being Daynble at the Chemical Bank
and ',rust Co^oany in the city and state of New York; interest payable on
tk.e let day of Lece^ter and June of each year; and that they mature as
falls, and not othervrise, to-ri.t:
#5,000.00 on the let day of Decerber in each of the years
1922 to 19.',6 inclusive.
$10,COO.00 on the lst day of Lece.xbrr in each of the years
1937 to 1941 Inclusive,
$15,000.00 on t} •. let <iny of :,ecember In e:neh of the years
194:- to 1946 1•clusive
120,000.00 on the let Cay of iece.ter in tine). of the years
1947 to 19!.6 inclusive
Said Lc nis a)'e:l'_ bm si:batar.tially in the follrwing for, , to -wit:
UNITED '�TATFS OF AU RICA
CO?VOLT,:'F.ALTH OF KENTUCKY
COUNTY OF MCCRACKFIT
CITY OF PADUCAH
5J% FUNDING BOND
140. $1,000.
KNW ALL MEN BY THESE PRFSENTS: That the City of Paducah,
McCracken County, a municipal corporation of the second class in the
Cosmonr:ealth of Kentucky, for value received, hereby acknonledgoe
itself to owe and promise to pay to bearer the sum of
ONE THOUSANr POLLAFS
both principal and interest in lawful money of the United Stntes of
America, on the first day of December, 19 , with interest thoreon
at the rate of 5N per cent per annum, payable semi-annually n the
first days of December and June of each year, upon presentatioon and
surrender of the interest coupons hereto attached, as they severally
become due, both principal and interest payable at the CHEMICAL RANK
& TFUST COMPANY in the City and State of New York,
j This bond is one of a series of three hundred and fifty I
bonds, numbered from One (1) to Three Hundred and Fifty (350)
Inclusive, aggregating Three Hundred and Nifty Thousand (1350,000.00
Dollars in amount, or like denomination, tenor and effect, except
as to maturity, issued for the ouroose of funding a like amount of
indebtedness of Paducah, Kentucky, heretofore legally contracted by
the said city, pursuant to Sections 157 and 158 of the Constitution
of nentucky and by virtue of certain ordinances and proceedings
duly adopted and had by the Hoard of Commissioners of the City of
Paducah, McCracken County, Kentucky.
j It is hereby certified and recited that all acts,
conditions and things required by the Constitution and Statutes
of Ker.-ucky to be done. exist, happen and be performed precedent
to and in the issuance of this bond, exist, have been done, have
happened and been performed in regular and due form and manner, as
required by law; that the indebtedness created thereby, together
with all other indebtedness outstanding rgainst the city, does not
exceed ary constitutional*or statutory limitation of indebtedness or
taxation; that due provision has been made for the levy and
collection of an annual ad valorem tax, sufficient in amount to pay
the interest and to create a sinking fund for the payment of the
principal as they severally mature; and that the full credit, faith,
taxing power and resources of the said city of Paducah are hereby
irrevocably pledged for the prompt payment of the interest and
principal of this bond.
Th ie bond is subject to registration as to principal, in
the name of the holder on'the books of the Commissionor of Public
Finance of saie city, such registration to be"
idenced by notation
of ssid Commissioner of Public Finance through the City Auditor on
it the back hereof, and after.such registration no transfer hereof
exc,pt upon such books and similarly noted hereon, shall be valid
unless the last registration shall have
been to bearer.
Registration hereof ahall not affect the negotiability of the
coucons attached, which shall, continue negotiable by delivery merely.
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IIN PiITNF.;S-:1REF.EOF, the City of Paducah has caused this
bond to be signed by its Mayor, countersigned by its Commissioner
of Fublic FYnnnce, attested by its City Clerk, the corporate scol of
the city to be affixed, and the coupons to be signed with the
facsimile signatures of said officers, as of the first day of
Deccr:ber, 1931.
F,
Cr.untcrainged:
o= s'g onor�o'—I ubTic
Finnnee
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Page 663
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C 0 U P 0 N
•.NO. $27.50
On the first day of December (June) 19 ,
the City of Paducah, Kentucky, will pay to bearer
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T117MY-SFVEN & 50/100 DOLLARS
in lawful money of the Ignited Stntes of America, at the Chemical Hnnk and
Trust Comnany In the City and State of New York, being six months'
rote -rest then due on its Funding Bond, dated December 1, 1931, No.
ayOTi�iV7_0f" Paducah, Kentucky
Countersigned;
'omm sZ—i s of nor or Public Finance—
ATTFSTt
—pity L'Ie^I?
FORM Or REGISTRATION
Date of Name of Signature of
Fegistration Registered Owner City Auditor
SECTION 3.
That there be and is hereby levied on all the
(taxable property subject thereto, in the City of Paducah, a direct, annual,
tax sufficient in amount to pay the interest on said bonds and to create
a sinking Rand to redeem the principal as they severally mature.
SECTION 4.
That immediately upon recoipt of funds by the
00=.isr.lcn•r of Public Finance of the City of Paducah, accruing from the
payment of the bonds herein authorized to be executed and sold, he will
forthwith pay, cancel and hold for nnught Three Hundred and Fifty
(ZZ,;O,COO.00) G011nrs in notes, claims, debts, judgments or demands ngairzt
t1O City of ?nducah consisting of said floating indebtedness in whatsoever
fore thf sacs eny ti:en be evidenced, or he will so psy such amount as is
realized from the Londa lnsued unec•r this ordinance.
SE.C,ION 5.
'ald bonds chnll be sold in such manner and at such
tiix *nd uaon such conditlena and to—ma an mny be provided by ordinance,
trat they shall not be Solt for lean than par an -11 necrued interest, the
p,irchasrrs of 5sld bones to pay all of tip exucnei: ir,eldhntnl to the
f:rr.is'cayr sM nrint!r. of ante bon's, but the; City of Paducah to furnish
sud. rv. c,Qnrra S"f:'ieient evidence of tie :e✓nlity ane validity of Said
Page 664
!'bonds prior to the payment therefor, which legality and validity I
shall be determined by judgment of court of competent jurisdiction.
. - SECTION 6.
This ordinance shell take effect and be in force ton �
,idays after its passage. i
i,,
Signed; �,•c__q_p
mayor ✓`
Passed by the board of Commissioners November 23, 1931 j
Recorded by Hunt Crossland, Clerk., November 24, 1931