HomeMy WebLinkAboutOrdinances Book 9, Page 698, No Ordinance NumberPage 698
AN ORDINANCE ATMIDING AND REORDAINING AS SO AMENDED
AN ORDINANCE :.RICH !IAS ADOPTED BY THE BOARD OF COP,II,?iSSIONRRS
ON THE 23rd DAY OP' NOVEMER 1931 AND ENTITLED " API ORD_1dANCE
AUTHORIZING THE ISSUANCE AND 'ALE OF FUNDING BONDS OF THE CR'Y
OF PADUCAH, I7NTUCKY IN THE AGG137GATE AMOUNT OF THREE HMIDRED
AND FIFTY THOUSAND ( }350,000.00) DOLLARS , ` JTFT PROCEEDS OF '7HICH
TO BE USED FOR THE PAYMIENT AND RED -.7 OF NOTES, JUDG%U]NTS
AND CLAIMS AGAINST THE CITY OF PADUCAH, KENTUCKY IN A LIKE AIs:OUNT
NOW OUTSTANDING VALID OBLIGATIONS a TIIE.CITY OF PADUCAH."
WHEREAS, by an ordinance adopted by the Board of
Commissioners of the City of Paducah, Itentucky on the 23rd day
of November 1931 it was provided that the city of Paducah should
issue Three hundred and Fifty Thousand (p350,000.00) Dollars of
Funding Bonds said bonds to bear interest at the rate of Five
and One Half (52°) per cent per annum,payable semi-annually and
extending over a period of twenty five years and it noes appearing
that said bonds cannot be sold for par and accrued interest on
account of the low rate of interest and of the market conditions
and it is desirable that said rate of interest be made Six (6i)
per cent and that the City issue only Three Hundred and Thirty
Thousand (:,330,000.00) Dollars of such bonds, the city of Paducah
being now in position and able to take care of and discharge the
remainder of said indebtedness of Twenty Thousand (,20,000.00)
Dollars. .
THEREFORE BE IT ORDAINED BY THE BOARD OF COF:MI SIONERS
0 . THE CITY OF PADUCAIi:
That the title to said ordinance be so amended as to
provide for the issuance and sale of Funding Bonds to the amount
only of Three Hundred and Thirty Thousand (K330,000.00) Dollars
so that said title as so amended will read as follows: to -wit:
i
" AN ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF
FUNDING BONDS OF THE CITY OF PADUCAH, KENTUCKY PI THE AGGREGATE
AMOUNT OF THREE HUNDRED AND THIRTY THOUSAND
(,330, 000.00) DOLLARS,
THE PROCEEDS OF !?IIICII TO BE USED FOR TUI7 PAY.TNT AND REDEMPTION
I
OF NOTES, JUDG?,MiNTS AND CLAIMS AGAINST THE CITY OF PADUCAH,
KENTUCKY IN A. LIKE AMOUNT NOW OUTSTA?IDI?IG VALID OBLIGATIONS OF THE'
CITY OF PADUCAH."
That Section 1 of said ordinance be amended by striking
therefrom the words and figures "Three Hundred and Fifty Thousand
($350,000.00) Dollars" and inserting in lieu thereof the words
and figures"Three Hundred and Thirty Thousand (.;y330,000.00)
Dollars," and by striking therefrom the figures "5-,ln and by
inserting in lieu thereof the words and figures "Six (6p) per cent."
Page 699
That Section.2 of said ordinance be amended by
striking therefrom the words and figures "Three Hundred and Fifty
Thousand (10350,000.00) Dollars" and inserting in lieu thereof
the words and figures "Three Hundred and Thirty Thousand
(,;330,000.00) Dollars" and the number of said bonds "l to 350"
and inserting in lieu thereof "l to 330", and that the date of
said bonds be changed from "December 1st, 1931" to "March 1st,
1932" and that the rate of interest be changed from"52�'/" to
"Six (6a) per cent" and that the interest paying periods be
changed from "December and June" to "March and September" and
that the maturity dates on said bonds be changed so that the
same will mature in the following amounts on the following dates,
to wit:
5,000.00 on the 1st day of March in each of the years
1933 to 1937 inclusive
P10,000.00 on the 1st day of T:,arch in each of the years
1938 to 1942 inclusive
ds151000.00 on the lst day of March in each of the years
1943 to 1947 inclusive
;'18,000.00 on the 1st day of T.iarch in each of the years
1948 to 1957 inclusive
That the form of said bonds be so changed as to
provide a rate of interest of Six (6%) per cent per annum
payalbe semi annually on the first days of March and September
of each year; that the total number of bonds be 330 and the
total amount thereof Three Hundred and Thirty Thousand
($330,000.00) Dollars and the interest coupons be Thirty (j30.00)
Dollars each.
That Section 4 of said ordinance be amended by
striking therefrom the words and figures "Three Hundred and Fifty
Thousand ($350,000.00) Dollars" and by inserting in lieu thereof
the words and figures Three Hundred and Thirty Thousand
(5330,000.00) Dollars.
That Section 5 of said ordinance be amended by
striking therefrom the following words and figures, to wit:
"The purchaser of said bonds to pay all of the expenses incident-
al to the furnishing and printing of said bonds" and the follow-
ing words to wit: "111hich legality and validity shall be
determined by judgment of Court of competent jurisdiction."
That there be added to said Ordinance Section 6
as follows:
"The bonds authorized to be issued and Which shall j
be issued under this amended ordinance shall be in lieu of and
take the place of the bonds issued under said •original ordinance
Page 700
and bearing a rate of interest of Five and one half per
cent and amounting in all to Three Hundred and Fifty Thousand
(;,.350,000.00) Dollars, and all of said. bonds, none of rb ich
have been sold, are by the adoption of this ordinance hereby
cancelled and held for naught."
That Section 6 of said ordinance be and the same is
hereby declared to be Section 7 of said amended ordinance; so
that said ordinance as so amended, and as the same is hereby
amended and reordained shall read as follows to wit:
AN ORD NANCE AUTTIORIZING THE ISSUANCE AND SALE OF
FUNDING BOiiDS OF THE CITY OF PADUCAH, KIS?TUCKY IN THE AGGREGATE
AMOUNT OF THREE HUNDRED AND THIRTY THOUSAND Gjj. 30,000.00)
DOLLARS, THE PROCEEDS OF 71HICH TO BE USED FOR THE PP_Y-ENT AND
REDErPTION OF VOTES, JUDGLEENTS AND CLAITAS AGAINST THE. CITY OF
PADUCAH, KFHTUCKY IN P LIIC A1,701THT Nall OUTSTAPTDING VALID
OBLIGATIONS OF THE CITY OF PADUCAH.
G'HEREAS, 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 X21,063,065.00, and during
the year 1931 its total assessed valuation for taxation purposes
was X20,891,255.00, but that during the year 1931 the Board of
Equalization, by resolution duly adopted and published, caused
to be put into effect a twenty (20%) per cent reduction of said
assessment against real estate amounting in all of such reduction
to 0 4,178,251.00, which ;Then taken from the total assessment
for said year, left the balance of said assessment, and from
which taxes were collected .> 16,713.004.00, and
17TIEREAS, the City of Paducah, during said two years, has i
levied for its general purposes and to pay the interest on its
outstanding bonds and create a sinking fund as provided by law
for the retirement of outstanding bonds, the tar, rate of
One & 50/100 (A .50) Dollars upon each One Hundred (;{x100.00)
Dollars of said property so assessed and subject to taxation for
city purposes, and the bonded indebtedness of said city now
Page 701
outstanding and consisting of bonds duly authorized by law to be
issued by said city, and consisting of the total amount of
indebtedness against said city, except the indebtedness herein-
after described of Three Hundred Fifty Thousand Pour Hundred
Eighty & 65/100 0350,480.65) Dollars, which bonds were lawfully
issued and the proceeds thereof used for the purposes for which
said bonds were so issued, and
WHEREAS, the City of Paducah during the year 1930
and 1931 has been governed by an Act of the General Assembly
known as Article 13, chapter 89 of Kentucky Statutes, and
commonly known and referred to as Commission Government Charter,
and
11 !:TIEP,FAS, the board of Commissioner of said city in
l 1930, and again in 1931, and for each of said year, made and
spread upon the records of said Board in all respects as required
by law an approximation 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 various departments and agencies of said city
for the purpose of conducting 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
PIHEREAS, 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 said taxes there was not sufficient
amount collected or realized therefrom to pay the necessary
operating expenses when added to the amount so borrowed from
said banks, and there now remains unpaid and owing by reason of
said loans the sum total of Three Hundred Fifty Thousand Four
Hundred Eighty & 65/100 (;:,350,480.65 Dollars, for the payment
of which amount there has been a failure of collection of taxes
and of anticipated revenues and said indebtedness was qll legally
incurred and incurred for the purpose of paying the necessary
operating expenses of the city during said two ,years, and
Page 702
WHEREAS, the tax paying period for the taxes for 1930
has now 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 delinquent, and all the other anticipated revenue
has been collected and received that can be so collected and
received, or that may reasonably be expected to be paid, and the
residue of revenue and income of the city for the balance of the
year 1931 will not be sufficient to pay more than the necessary
i
operating expenses of the city and its current necessary bills
Incurred in connection therewith, and
":MEREAS, said indebtedness of Three Hundred Fifty
Thousand Four Hundred Eighty & 65/100 ('r35O,48O.65) Dollars is
a legally incurred floating indebtedness against said city and
for which it is legally liable, it is to the interest of said city
for the purpose of maintaining its credit and to make it possible
for it to pay said indebtedness that the same may be funded in the
manner provided by the Constitution and laws of the state, and
VIHEREAS, said Three Hundred Fifty Thousand Four Hundred
Eighty & 65/100 (?350,480.65) Dollars, plus all of the other
indebtedness of the city as aforesaid, is materially less than
I
ten (10`x;) per cent 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 ten (10') per cent of the assessed valuation,
and said city has no other available funds or revenues to pay
all or any of said indebtedness, e::cept the residue of said
indebtedness over and above Three Hundred and Thirty Thousand
0330,000.00) Dollars, the city of Paducah being now able to,
out of other resources, pay and discharge the balance of said
floating indebtedness of Twenty Thousand Four Hundred Eighty
and 65/100 (;20,480.65) Dollars, but no more. I,
i
NOVI, THEREFORE, BE IT ORGAINED BY THE BOARD OF COT0,71- SIONERS
OF TIIE CITY OF PADUCAH, KEIsTUCIa:
SECTION 1.
That the said floating indebtedness of said city to the
amount of Three Hundred Thirty Thousand ($330,000.00) Dollars
be funded into an indebtedness bearing interest at the rate of
Six (6j) per cent ner annum so 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 interfering with the revenues
Page 703
necessary for the proper operation and conduct of the affairs
of said city.
SECTION 2.
That funding bonds of the City of Paducah be
issued in the aggregate sum and amount of Three Hundred and
Thirty Thousand (:',330,000.00) Dollars; that they be in the
denomination of One Thousand (>1,000.00) Dollars each; numbered
from 1 to 330 inclusive; that they bear date of March 1, 1932;
that they bear interest at the rate of Six (6/13) per cent per
annum, payable semi-amaually, both principal and interest being
payable at the Chemical Bank and Trust Company in the city and
state of Tlew York; interest payable on the lst day of March
and September of each year; and that they mature as follows,
and not other,.rise, to wit:
trt 5,000.00 on the 1st day of P.Iarch in each of the years
1933 to 1937 inclusive
A0,000.00 on the 1st day of march in each of the years
1938 to 1942 inclusive
6W15,000.00 on the 1st day of T,iarch in each of the years
1943 to 1947 inclusive
;;18,000.00 on the 1st day of March in each of the years
1948 to 1957 inclusive
Said bonds shall be substantially in the following form, to -writ:
UNITED S^1AIES OF Ai;7RICA
COIZ-.01TWEALTH OF KFXTUCKY
COUNTY OF 1McCRACKEN
CITY OF PADUCAH
FUNDING BOND
N0.
0 1,000.00
KId0',7 ALL TEN BY THESE PRTSEITTS : That the City
Paducah, McCracken County, a municipal corporation of the
second class in the Commonwealth of Kentucky, for value received,
hereby acknowledges itself to owe and promise to pay to bearer
the sum of
OTTE 'TTIOUSARTD DOLLA.RS
on the first day of March, 19 , with interest thereon at the
rate of Sia (6%) per cent per annum, paynble semi-annually on
the first days of March and September of each year, upon
presentation and surrender of the interest coupons hereto
attached, as they severally become due, both principal and
interest payable, in lawful money of the United States of
America, at the CTTPE3ICAL BATIK & TRUST CO?.TATTY in the City and
State of Hew York.
This bond is one of a series of three hundred and
thirty bonds, numbered from One (1) to 'Three Hundred and Thirty
(330) inclusive, aggregating Three Hundred and Thirty Thousand
(6330,000.00) Dollars in amount, or like denomination, tenor and
effect, except as to maturity, issued for the purpose of funding
a like amount of indebtedness of said city of Paducah, Kentucky,
heretofore legally contracted by the said city, pursuant to
Sections 157 and 158 of the Constitution of Kentucky and by
virtue of certain ordinances and proceedings duly adopted and
had by the board of Comr.issi oners of the City of Paducah,
McCracken County, Kentucky.
It is hereby certified and recited that all acts,
Page 704
conditions and things required by the Constitution and Statutes
of Kentucky to be done, exist, happen and be performed precedent
to end 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 represented thereby to-
gether with all other indebtedness outstanding against the city,
does not exceed any 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 ir.
amount to pay the interest and to create a sinking fund for the
payment of the principal as the7 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.
This bond is subject to registration as to principal,
in the name of the holder on the books of the Commissioner of
Public Finance of said city, such registration to be evidenced by
notation of said Commissioner -of Public Finance through the City
Auditor on the back '-hereof, and after such registration no
transfer hereof, except upon such books and similarly noted hereon
shall be valid unless the last registration shall have been to
bearer. Registration hereof shall not effect the negotiability
of the coupons attached, which shall continue negotiable by
delivery merely.
IN 772TNESC VIBFRrOF, the City of Paducah has caused
this bond to be signed by 'its Mayor, countersigned by its
Commissioner of Public Finance, attested by its City Clerk, the
corporate seal 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 March 1932.
ATTTST;
CibylerT-
No.
Countersigned:
COUPON
Mayor
Comni asione r of u lic
Finance
0 30.00
On the.first day of March (September) 19 , the
City of Paducah, Kentucky, will pay to bearer
THIRTY DOLL,^.RS
in lawful money of the United States of America, at the Chemical
bank and Trust Company in the City and State,of New York, being
six months' interest then due on its Funding Bond, dated March 1,
1932, No.
Countersigned
ATTT7ST:
City ler;
Eayor-City o ' aducac , _ y.
Corrmiissioner of Pu 1ic�'inance
Page 705
FORM OF RT'GISTRATIOF
Date of Name of Signature of
Registration Registered Owner Cit/ 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 fund to redeem the prin-
cipal as they severally mature.
SECTION 4.
That immediately upon receipt of funds by
the Commissioner 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
naught Three Hundred and Thirty Thousand ($3302000.00) Dollars
in notes, claims, debts, judgments or demands against the City
of Paducah consisting of said floating indebtedness in whatsoever
from the same may then be evidenced, or he trill so pay such
amount as is realized from the bonds issued under this ordinance.
SECTION 5.
Said bonds shall be sold in such manner and
at such time and upon such conditions and terms as may be
provided by ordinance, but they shall not be sold for less than
par and accrued interest, the City of Paducah to furnish such
purchasers sufficient evidence of the legality and validity of
said bonds prior to the payment therefor.
SECTION 6
That the bonds authorized to be issued and
which shall be issued under this amended ordinance shall be in
lieu of and take the place of the bonds issued under said
original ordinance and bearing a rate of interest of Five and
one half (51%) per cent and amounting in all to Three Nundred
and Fifty Thousand (;350,000.00) Dollars, and all of said bonds,
none of which have been sold, are by the adoption of this
ordinance hereby cancelled and held for naught.
SECTION 7.
I This ordinance shall take effect and be in force
ten days after its p6ssage.
Signed
Idavor
Passed by the Board of Commissioners Ifiarchill 1932
Recorded by Rudy Stewart, Clerk, MarchIAT 1932
D,te-CY1n,.
O.K..
Page 706