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HomeMy WebLinkAboutOrdinances Book 9, Page 795, No Ordinance Numberr Page 795 All OF.DPTANCE AJTTTORIZITTG AND PROVIDING FOR TTTF ISFUANCE OF x50,000.00 OF RFVFVUr 1?(rJ7F OF TEF CITY OT: PADTICATI, K!?NTUCKY AS FVIDFTICC OF q LOAN OF FUNDS FOR TT77 IMIPROV?MrNT OF CERTAIrT PROPRRTIFF OF `%.ID CITY, PRFSCRIPT"(, TNT• FORM OTS SAID NOTES, AND -ROVIDING FOR THF SFCURING OF THF PAYfdENT OF SAID NOTES BY MORTGAGE OF TRF PROPERTY AND IMPROVEMENTS, AND TTT. PLEDGING OF TIE INCOME THEREFROM. 77NEREAS, the City of Paducah is now the, owner in fee of real estate in said.City, located on both sides of Burnett Street at -the intersection of Eighth Street, which property, in its present condition, is non -revenue producing, but is suitable for improvement by the erection thereon of buildings, and "IHFIFAS, it is deemed to the advantage of said City and its inhabitants that suitable buildings be constructedon the property aforesaid, thereby promoting the general welfare of the City and relieving unemployment to a large extent, and resulting in a revenue producing enterprise to said City, and 11MEREAS, under the provisions of an Act of Congress of the United States, the Reconstruction Finance Corporation is authorized and permitted to lean funds to defray cost of self-liquidating construction projects of the character contemplated, and purusant to the application by said City a loan, meeting the requirements of Reconstruction Finance Corporation has been authorized by the Board of Directors thereof to finance the cost of constructin., said improvements,.Novi, therefore, t BE IT ORDAINED BY TRE BOARD OF COMIJISSIONERS OF THE CITY OF PADUCAE AS FOLLO,:,'S : 'FCTION 1. 1 That for the pur,)ose of defraying tl-e cost of constructing improvements to the prooerty of said City of i Paducah, referred to in the preamble hereof. I There shall be, and there is hereby authorized to be issued the revenue notes of said City in the principal amount of � 50,000.00, dated May 1, 1933, numbered 1, 2 and 3, of %%bich notes No. 1 and No. 2 shall be in the principal amount of 16,500, each, and No. 3 shall be in the amount of 17,000.00. each of said notes to bear interest at the rate of five (5'.) per cent per a mium, payable semi-annually on tiny 1st and Noverber 1st of each ,year, and to mature as follows: No. 1 on May 1st, 1934, No. 2, on May 1st, 1935 and No. 3 on Clay ist, 1936, provided i Page 796 each of said notes shall be subject to retirement prior to their respective maturity dates, on any interest payment date, upon written notice given by registered mail to the last known holder thereof not less than thirty days rmeceding such redemption date. All of said notes shall be signed by the Mayor, sealed with the corporate sealof said City and attested by the City Clerk. Interest shall be evidenced by interest coupons accompanying each respective note, which coupons shall be executed in like manneras the principal notes. All of said notes together with interest thereon, shall be payable only out of ti -e special funds hereinafter provided, and shall be a valid claim of the holder thereof only against said fund. SECTION 2. That each of said notes and the interest coupons accompanying same shall be in substantially the following form: CITY OF PADUCAH, KENTUCKY PIo. RrVENUE NOTE May 1, 1933. The City of Paducah, Kentucky for value received, hereby promises to pay to bearer as hereinafter provided, the sum of ( ), on the First Day of May, 19_; and interest on said sum from the date hereof until paid at the rate of Five (5%) per cent per annum, payable semi-annually on the first days of May and November in each ,year, upon presentation and•surrender of the accompanying interest coupons as they severally mature, both prinvipol and interest being payable in gold coin of the United States of America, of or equal to the present standard of weight or .fineness, at the Citizens Savings Bank, in the City of Paducah, Itentucky. Said Cite hereby reserves the right and privilege of calling and retiring this note at par and accrued interest on any interest -paying date, by first giving notice in writing by registered mail, to the .last known holder hereof of its intention to to do. This note is is-ued by said City in evidence of a loan to said city of funds to defray the cost of constructing improvements on city -owned real estate, which improvements and real estate are to be operated as a revenue producing enterprise by said city, and tb b note, together with interest thereon , is Page 797 payable only from the gross revenues of said enterprise which have been pledged for that Purpose. This note docs not constitute an indebtedness oC the city within the meaning of any constitutional provisions of limitations, but is payable solely from said revenue, and is further secured by mort�a7e upon said real estate and improvements of even date herewith to Citizens Savings Bank in Paducah, Kentucky, Trustee, recorded in Book , Page , in the records of the recorder of deeds and mortgages of McCracken County, Kentucky. CITY OF PADUCAH, KFNgTJCl,Y ATTEST: r1A 0 C 11'Y C i -171i (form of interest coupon) PADUCAH, KENTUCKY INTEREST COUPON REVENUE: NOTE Upon presentation and surrender of this note on the i I day of , 19 at Bank, in the City of , the City of I Paducah, entucky will pay to the bearer hereof (? ) gold coin of the United States of America, as I interest then due on its principal revenue note, dated Pday 1, 1933; No. , a7.1 as provided in said principal revenue note. ATTF£T: C 7 ICTFFK— CITY OF PADUCAH, KENTUCKY PIAYOR SECTION 3. Said rotes and interest coupons hereinbefore privided, shall be executed as soon as m4y be and thereupon be delivered to the Reconstruction Finance Corporation in evidence of a loan to said City in a like nrineip5Ll amount, and such delivery shall be made upon payment to the City of the sum equal to the principal amount of said notes plus cecrued interest. The proceeds derived from the issuance of said notes shall be applied solely and only to the defraying of the cost of constructing improvements to the oroperty as hereinbefore described. SECTION 4. That, from and after the rinte of the completion of the construction of said improvements, the entire properties Page 798 shall, as long as said notes remain unpaid, be operated ns a revenue producing enterprise, and the gross revenues derived from said enterprise, shall be and are hereby pledged and dedicated to the Payment of interest on said notes, and the retirement at or before maturity of the principal of said notes. It is specifically agreed that all revenues derived from the lease dated March 1933 by and between the city of Paducah and the Paducah Industries Committee, shall be and are hereby assigned. and Pledged to the Pa.nnent of the intererest on, and principal of said notes. SECTIOid 5. That for 'the further security to insure Payment of said notes and interest thereon, the Ida"*or and the City Clerk are hereby authorized to exedute and cause to be recorded in records of the recorder of deeds and mortgages of -McCracken County a mortgage upon said. property in substantially the following form. THIS 7ORTGAGE made and entered into on this the lst day of May, 1933, by and between the City of Paducah, McCracken County, I;entucky.' party of the first part, and Citizens Savings Bank in Paducah, Kentucky, Trustee, part of the second part. TITHESSETH "MERFAS, the City of Paducah, party of the first Party has this day executed and delivered unto the partycof the second part, Ats three (3) notes for the aggregate sum of Fifty Thousand (,:Z0,000.00)Dollars, with interest at 5% per annum from date, payable semi-annually, numbered, maturing and in denominations as follows, to_,,it: Pio. 1, maturing on May lst, 1934, for Sixteen Thousand, Five Hundred ($16,500) Dollars. No. 2, maturinf; on May 1st, 1935, for Sixteen Thousand Five Hundred (:;;;16,500) Dollars. No. 3 maturing on May 1st, 1936, for Seventeen Yhousand (,"M,000.) Dollars. and all of said notes and the interest coupons attached thereto being payable to bearer. N071, ^IiRHrp0RF, in order to secure the payment Of the principal and interest of said notes above described, the said party of the first Part does hereby alien, mortgage and convey unto the party of the second nert, its successors and assigns, in trust, subject to all the terms and conditions of this mortgage, the following described lots and parcels of Page 799 real estate, in the City of Paducah, McCracken County, Kentucky, with the appurtenances and improvements thereunto belonging, together with all improvements, structures, buildings and rights that may accrue to or be placed upon said land at any time before the nayment or the notes and interest herein described, and which property is described as follows, to -wit: First Tract; "Being part of Lot 86 and all of Lots 87 and 88 in Block 30, Harris, Flournoy, Trimble and Norton Addition; beginning at a point at the Northeast corner of the intersection of 8th & Bunnett Street; thence Southwardly with the East line of Burnett Street 2122 feet to the center line of a former alley, closed by judgment of the McCracken Circuit court; thence at right angles westwardly and with the center line of said former alley 124 feet: thence at right angles Northwardly 2122 feet to the South line of 8th Street 124 feet, to the point of beginning. Subject, however to an easement in favor of James P. Smith, Executor for a passway over a strip 14 feet in width along the South line of said tract, opening on 8th Street and extedding back 110 feet to the back property line of the property owned by James P. Smith, Executor. Second Tract: "Beginning at a point in the center line of the former alley which extended from Burnett Street to Finley Street, and in the East line of Burnett Street; thence Southwardly with the East line of Burnett Street 21221 feet to the corner of 9th and Burnett Streets; thence Eastwardly with the North line of 9th Street 150 feet; thence at right angles Northward- ly 2122 feet to the center line of former alley in said block; thence with the center line of said former alley !estwardly 150 feet to the point of beginning; and beim part of Lot 93 and all of lots 94, 95 and 96, Block 30, in Harris, Flournoy, Trimble and Norton Addition to the City of Paducah. Third Tract: "Beginning at a point between 8th and 9th Streest in the !^lest line of Burnett Street, 9 feet Northwardly from the intersection of Burnett Street and an alley; thence at right angles to Burnett Street '?estwardly 40 feet; thence at right angles towards 8th Street 38 feet; thence at right angles Eastwardly 40 feet to the line of Burnett Street; thence at right angles with the line of Burnett Street 38 feet to the point of beginning. Being that part excepted from a conveyance by Smith & Scott Tobacco Company to Axton - Fisher Tobacco Company by deed recorded in Deed Book 163 Page 153. The above three' tracts being part of the same property conveyed to Smith & Scott Tobacco Company by deed dated October 2, 1900, recorded in Deed Book 61, Page 268; and by deed dated July 7th, 1923, recorded in Deed Book 137, page 180, both of which deeds are of record in the office of the County Court Clerk of McCracken County, Kentucky.." TO HAVC' AND TO IiOLD, in trust, unto the narty of the I second :part, its successors and assigns .forever, the above . + described real properties, together .:,ith all improvements, structures, buildings and rights that may accrue to or be placed upon said land at any time before the payment'ef the notes and interest herein described, subject, hwrever, and pursuant to the orovisions and conditions of an ordinance of the City of Page 800 Paducah, duly adopted by its Board of Commissioners and signed by its Mayor and published as required by law, authorizing the execution of this mortgage and said notes aforesaid. The party of the first part warrants the title to said property generally. Said notes and the indebtedness secured by this mortgage shall be payable only out of the funds and in manner as provided in said ordinance aforesaid and not otherwise; but said lien created by this mortgage shall be and remain an en- cumbrance upon said property herein described, and shall be a first claim and encumbrance upon all the income therefrom until the full amount of said indebtedness with all interest thereon is fully paid and satisfied. The said city hereby reserves the right and privilege of calling and retiring all or any of said notes at par and accrued interest on any interest -paying date, by first giving notice in irriein3 by registered mail, to the last known holder hereof, of its intention so to do. The party of the first part shall cause all buildings and improvements unon said premises to be adequately insured against loss by fire and tornado, with the loss taluses in such policies payable to the party of the second part for the benefit of the holders of said notes aforesaid, as their interest may appear. whever the terms of this mortgage have been fully complied with and the indebredness secured hereby discharged the party of the second part, upon presentation to it by the party of the first part of the notes and coupons herein described, shall execute and deliver a good a sufficient deed of release, releasing and discharging the mortgage lien created hereby. IN TRSTIYOITY 'A'I-IFRFOF, the said City of Paducah has caused its name to be affixed hereto by its Mayor, together with the seal of said city, and attested by its City Clerk, on this the day and year first above %:mitlen. CITY OF PADUCAH, I T hTTUCKY • Seal ATTP`T; CI'PY CLT_MK__ ..r PaEo 801. STA77. OF KFUTTUCICY ) COUNTY OP 1:1cC1ACKEN ) I, , a Notary Public •.,:ithin and for the State and County aforesaid, do certify that the foregoing mortgage from the City of Paducah, of McCracken County, Kentucky to Citizens Savings Bank, in Paducah, Kentucky, Trustee, was on this day produced to me by the said City of Paducah by'!'. G. Scott, its Hayor, and , City Clerk, and to which is affixed the seal of said City; and thereupon the said E. G. Scott as 17ayor of and for the City of Paducah did duly acknowledge said mortgage in due form of law, and the said , as City Clerk duly adknowledged his attestation thereof as City Clerk, in due form of law, k1y commission as Notary Public expires on the day of 19_ Given under my hand and official seal, this the day of Vay, 1933. SECTION 6. Notary u ic, c raccen County, Kentucky. That the provisions of this Ordinance shall constitute a contract between the City of Paducah and the holders of said notes and interest coupons, provided it is specifically conditioned that payment of said notes and interest thereon shall not be enforced, nor at any time be considered as a general obligation of said city, and said City shall at no time be held responsible for the payment of said notes beyond the limitations or provisions of this ordinance. SECTION 7. If any section, paragraph, clause or provision of this ordinance shall be held to be invalid, the invalidity of such section, paragraph, caluse or provision shall not affect any of the remaining provisions of this ordinance. SECTION B. All ordinances, resolutions and orders or parts thereof in conflict with the provisions of this ordinance are to the extent of such conflict hereby repealed. SECTION 9. I 0._ K This ordinance shall be in full force and effect ten �To• r r..,y, days after its pas -age. Signed ' Vayor Passed by the Board of Co,�missioners Vay 29, 1933. recorded by Rudy Ste,, -.,art, Clerk Yay -`lst, 1937,.