HomeMy WebLinkAboutOrdinances Book 9, Page 696, No Resolution NumberA P.FSOLUTICN AUTHOR T'-..r4G T]':'. T;:AYOP, AND
COTl1,TI SSIONER OF PUBLIC FINANCE TO PLEDGE TPPlPOPAPILY NIT'ETY
(90) ONE THOUSAND DOLLAR (41,000.00) B01IDS TO TPE CI'T_MICAL Bti1'_i
AND TRUST CO'.IPANY OF NE!,! YORK OF Tllr; • ISUUF OF D;:CEI BER 1, 1931
OF FUNDIIIG BONDS OF THE CITY OF PADUCi,H, PENDING A sALF.. OF SAID
ENTIRE ISSUE OF BONDS OF TIIRr:: TIUIIDRED AND FIFTY THOUSAND
0'$350,000.00) DOLIARS, FOP TET' PURPOSE OF PROTECTING THE NOTE OR
NOTES AND OBLIGATIONS OF TEE CITY OF PADUCAH.TO SAID BANK FOR
7,711ICH SAID BO—D3 71ERF IS1-UED, AND PROVIDING THE UATTIMR P< !VP.ICP
SAID BONDS SHALT, BE SELECTED AND HELD UNDER SUCH PLE'i;GE.
17FEFEAS, the City of Paducah is indebted to the
Chemical Bank and Trust Company of the city of New York in the
sum of Ninety Thousand (�PO,000.00) Dollars, for monies borrovied
during the year 1931, and
IEIERFI.S, the City of Paducah has prepared and
offered to sell an issue of Three Hundred and Fifty- Thousand
($350,000.00) Dollars of Funding Bonds of said city for the
purpose of funding its floating indebtedness and for the specific
Purpose of paying said indebtedness of Ninety Thousand
($90,000.00) Dollars to the Chemical Bank and Trust Compariy.of
New York, aforesaid, and
.'.VIIERRAS,•on account of conditions of the bond
market it is found to be impossible at this time to sell and
dispose of said bonds for amount required by the Constitution and
laws of the State of Kentucky, and
",�FIEREAS, said indebtedness is now due and it is
desired by the City to protect the same nrith a pledge of said
bonds until said bonds can be sold, NO`.!,THErFOPF,
BE IT RESOLVED BY THE B0.'.P.i` OF CO"T'I S IO^IERS OP
THE CITY OF PADUCAH, KFPITUCP.Y:
SECTION 1.
That the T4ayor and Commissioner of Public Finance
be anc,, they are hereby authorized and empowered to deposjt with
the Citizen's Savings Balk of Paducah, Kentuc]cy, Ninety Thousand
(;;90,000.00) Dollars of the Funding bonds of the issue of December
lst, 1931 as"a pledge and security for the indebredness nov, due
and oging to the Chemical Bank and Trust Company of the City of
New York, for the payment of notes for which said bonds were
authorized to be issued. Said bonds shall be held :in escrow for
the use and benefit of said Chemical Bnnk and Trust Company subject,
to the conditions of this Resolution. In select.in� said bonds
they shall be takcn as nearly pro rata as possible from each year's
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issue and the.whole period of time for vihich said bonds shall
run, and a .list of said bonds by numbers and dates of maturities
shall be made in triplicate; one to be retained in the office
of the Commissioner of Public Finance, one to be delivered to
the Citizen's Savings Bank of Paducah, and one to be delivered
to the Chemical Bank and Trust Company of New York City, and
said bonds :rill be receipted for by t'sie Citizen's Savings Bank-
of
ankof Paducah as agent for. the Chemical Bsn1r and Trust Company,
but shall be held by it in Paducah, Kentucky subject to the
conditions of this Resolution. Said bonds though held as a
pledge or collateral to said note or notes sbsll not be sold by
eithor of said banks, but upon thirty days notice at any time
the banks may require the city to take up said bonds and replace
them-:::ith others or other satisfactory security, should the said
banks 'become dissatisfied with such security. At any time-whon
the City of Paducah can sell said bonds for a price req aired by
the Constitution and lags of the Stdte of Kentucky, said banks
will release said bonds to the our& asers and receive the amount
of indebredness for which said bonds -are pledged from the city
of Paducah, of the proceeds of said sale.
SECTION 2.
This Resolution shall be in effect- from its
adoption.
Signed
Mayor
PASSED BY THE BOARD 0 COMT-MSIONERS FEBRUARY 8th, 1952. -
RECORDED BY RUDY STE'.!ART, CLERK FEBRUARY ��" 1932.
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