HomeMy WebLinkAboutOrdinances Book 10, Page 1300, No Ordinance Number1300 -
AN ORDINANCE AUTHORIZING THE PROVIDING POR THE ISSUANCE
OF NINETY-EIGHT THOUSAND DOLLARS (};98,000.00) OF HOSPITAL REVENUE
REFUNDING LONDS OF THE CITY OF PADUCAIi ZUR.3uAl,T T'0 KENTUCKY
Amok
REVISED STATUTES 216.080 TO 216.240 F07J THE 1 U iPOSE OF PAYING A:iD
RETIRING PART OF All OUTSTe17:DI11G ISSUE 0 ;' 07'TE ITUNDRED A1lD 31,3VEN
THOUSAND DOLLARS (:;;111,000.00) of SAID CITY'S TAREE PERC .'i (3;0)
HOSPITAL REVENUE REF'UNDIDIG L-ODIDS AUTHORIZED i=.Y AN ORDI117AlICE PASSED
AND A. PROVED ON !',!ARCH 14, 1944; PRESCRIBING THE FORT: 0? SAID LONDS
AJD OF THE COUPONS THERETO ATTACHED; PROVIDING FOR THE COLLECTION,
SEGREGATION AND DISTRIBUTION Or' THE REVENUES 0? SAID HOSPITAL;
PROVIDING FOR THE SAFEGUARDING, PROTECT!"M AiiD FAYIHG OrSAID LOND';
DIRECTING THE CITY IcANAGER TO ADVERTISE A."M 'MOLD A PUELIC COIr:FETITIVE
SALE OF SAID BONDS; ARID FROVIDING FOR THE APPLICATION OF THE PROLE; S
OF SALE TO THE PURPOSE JET FORTH HEREIN
'WHEREAS, the City of Iaducah, in i,"cCraeken County
Kentucky, a Kentucky municipality of the second class, has hereto-
fore by ordinance passed and a -proved on July 13, 1938, establishe'
and nrovided for the maintenance and oaeration of the Paducah
Yunicipal hospital in said city; and,
'WHEREAS, by an ordinance passed and approved on Y.arch
14, 1944, said City authorized and thereafter issued its 3o City
of Paducah I.unicipal Hospital Revenue Refundin,- Eonds dated April
1, 1944, in the a_gregate principal sum of •,.127,000.00, for the
purpose of refunding outstandinZ bonds; and,
WHEREAS, it is the desire of said City to pay, retire
and cancel ;;13,000.00 of the outstanding •x111,000.00 in principal
amount of said 1944 bonds out of funds presently available for
said purpose, and to refund the „98,000.00 balance of said outstan -
ing bonds by the issuance of a like amount of hospital revenue
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refunding bonds, pursuant to Kentucky Revised Statutes 216.080 to
216.240: and,
",'HEREAS, the issuance of such refunding bonds is ex-
pressly authorized by Kentucky Revised Statutes 216.190;
NU', THEREFORE, THE BOARD OF CO1:1:7ISS10NERS OF THE CITY
OF PADUCAH, KENTUCKY, DOES ORDAIN AS FOLLO-'S:
Section 1: That pursuant to Ientucky Revised Statutes
216.080 to 216.240, said City shall pay and retire .,:11:L,000.00
outstanding of an original issue of 1;127,000.00 35 "City of Paduca
Yunicipal Hospital Revenue Refunding Bonds" dated april 1, 1944,
of which the sum of ;;13,000.00 shall be paid out of funds presentl
available for said purpose, leavin` a balance of ,,98,000.00, and
1301
for the purpose of providing funds for payment of said balance ther
shall be and there are hereby authorized to be issued, ninety-eight
• (98) bonds of the City of Paducah to be '.mown as "City of Paducah
Municipal Hospital Revenue Refunding conds" in the aggregate princi
sum of ninety-eight Thousand Dollars (;;98,000.00), to be dated as
of the first day of .,,pril, 1946, to be numbered consecutively from
one (1) to ninety-eight (98)'1 inclusive, to be of the denomination
of One Thousand Dollars (;,1,000.00) each, and to bear interest ab t
rate of tiro percent (2;') per annum, payable semi-annually on the
first day of lipril and October in each year, commencing October 1,
1946, evidenced by coupons attached to said bonds, and, subject to
the rij.ht of prior redemption as hereinafter provided, to mature
in numerical sequence on October 1st,
,8, 000
1946
10,000
1947
8,000
1948
10,000
1949
8,000
1950
10,000
1951
7,000
1952
10,000
1953
8,000
1954
9,000
1955
8,000
1956
2,000
1957
The City of Paducah expressly reserves the right to
redeem on any interest payment date prior to maturity all or any
of the bonds hereby authorized, provided that unless all of the
outstanding bonds are to be redeemed, the bonds shall be called
for redemption in their inverse numerical order and that notice
shall be given to the holders thereof by publication, specifying
the numbers of the bonds to be redeemed, in a newspaper of general
circulation in Paducah, Kentucky, at least once not less than
thirty (30) days prior to the redemption date specified 1n such
notice,' and provided further that on such redemption date, the
City of Paducah shall pay to the holders of the bonds so called,
the face amount thereof, together with accrued and unpaid interest
to such redemption date, plus a premium of 3/ of the face amount if
redeemed prior to April 1, 1951, 2;' if redeemed on or after April 1
1951, and prior to April 1, 1956, and no premium if redeemed on or
after April 1, 1956. Such publication shall be held and rejzarded
as full and sufficient notice, the holder or holders of any of the
bonds issued pursuant to this ordinance shall be bound by this
provision and after such redemption date all further interest shall
cease on bonds included in such notice and for which provision for
payment has been made.
Both the principal of and interest on said bonds shall
be payable at the office of the Citizens :savings tank in the City
of Paducah, Kentucky. Said bonds shall be signed by the Mayor of
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said City and sealed with the corporate seal of said City, attests
by the City Clerk, and interest coupons attached to said bonds
shall be executed with the facsimile signatures of said T.:ayor and
said City Clerk. All of said bonds, to --ether with interest thereor.,
shall be payable solely out of the "Paducah Municipal Hospital Bon
and Interest Redemption Fund" hereinafter referred to and out of
the fixed amount of the gross revenues of said hospital pledged to
said fund.
Section 2: That said bonds and coupons shall be in
substantially the follo,::in` form, towit:
(Form of Bond)
U.TITED STATES OF' AMLCRICA
CO 71';ON'VEALT OF KENTUC.Ta
COUNTY OF 'EcCRACXE11
CITY OF PADUCAH MUidICIPAL
HOSPITAL REVETUE REFUNDING
BOND
No. :„1,000.00
KN0W ALL MEN BY THESE PRESENTS: That the City
of Paducah in the County of 111CCracken in the Common-
wealth of Kentucky, acknowledged itself to owe and for
value received hereby promises to pay to the bearer
the sum of One Thousand Dollars (.;;,1,000.00) on the
first day of October, 19_, and to pay interest on
said sum from the date hereof until paid, or until this
bond shall be called for payment, at the rate of two
percent (2;) per annum, payable semi-annually on the first
days of April and October in each year, beginning
October 1, 1946, upon the presentation a.d surrender
of the annexed interest coupons as the same severally
mature, both principal and interest being payable at
the office of the Citizens Savings Bank in the City
of Paducah, Kentucky.
Said City hereby reserved the right, at its
option, to redeem this bond on any interest payment
date prior to maturity upon thirty days' published
notice by the payment of the face amount hereof and
accrued interest, plus a premium of 3j' of the face
amount if redeemed prior to April 1, 1951, 21 if
redeemed on or after April 1, 1951, and prior to April
1, 1956, and no premium if redeemed on or after Gpril
1, 1956, after which redemption date all further
interest on this bond shall cease.
The bond is issued by said City pursuant to an
ordinance duly enacted, for the purpose of refunding
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a prior bond issue under and in full compliance with
the provisions of Kentucky Revised Statutes 216.080
to 216.240.
This bond is one of an issue of bonds numbered
consecutively from 1 to 98, aggregating the principal
sum of ;1.98,000.00, which are payable only from and
secured by an exclusive pledge of a fixed amount of
the gross income and revenues to be derived from the
operations of the Paducah 1:unicipal Hospital, which
amount shall be sufficient to parr the principal here6f
and interest hereon as and when the same shall become
due and payable, and which shall be set aside as a
special fund for that purpose and identified as the
"Paducah ?:'unicipal Hospital Bond and Interest Redemption
Fund" and this bond does not constitute an indebtedness
of the City of Paducah within the meaning of any consti-
tutional provisions or limitations. The City of Paducah
covenants that it will fix such rates for hospital
services and ti^rillcollect and account for the income
and revenues from such hospital as will be sufficient
to pay promptly the principal of and interest on this
bond and the issue of which it forms a part as the
same shall become due.
This bond is fully negotiable and is not subject
to taxation in the Commo m•✓ealt� of Kentucky.
A statutory mortgage lien, which is hereby re-
coOnized as valid and binding on said hospital, to -ether
with the improvements and appurtenances heretofore or
hereafter added thereto, is created and granted to
and in favor of the holder or holders of this bond
and the issue of which it forms a part and of any of
the coupons attached to said bonds, and said hospital
and all improvements and appurtenances thereof and
extensions thereto shall remain subject to such
statutory mor lE� ge lien until payment in full of the
principal of and interest on this bond and the issue
of which it forms a part.
IT IS HEREBY CERTIFIED, RECITED A:;D DECLARED that
all acts, conditions and things required to exist,
happen, and be performed, precedent to and in the
issuance of this bond, do exist, have happened and
have been performed in due time, form and manner, as
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required by law, and that the amount of this bond,
together with all other obligations of said City,
does not exceed any limitation prescribed by the Amok
constitution or statutes of the Commonwealth of
Kentucky, and that a sufficient amount of the income
and revenues of said hospital has been pledged to and
will be set aside into said special fund by said City
for the prompt payment of the principal of and interest
on this bond and the issue of which it forms a part.
IN WITNESS WHEREOF, the City of Paducah has
caused this bond to be si7ned by its duly authorized
PQayor and its corporate seal to be hereto affixed
attested by its duly authorized City Clerk, and the
coupons hereto attached to be executed with the fac-
simile signatures of said I.'avor and said City Clerk,
which officers, by the execution of this bond, do
adopt as and for their own proper si-natures their
respective facsimile si.-natures appearing on said
coupons, all as of the first day of ,:pril, 1946.
i or
(SEAL) City of Paducah, Kentucky
ATTEST:
C ty er
City of Paducah, Kentucky.
(FORD" OF COUPON)
Fond No. Coupon No.
10.00
On the first day of r,'. 19the City
of Faducah, Kentucky, will pay to the bearer, out of
its "Paducah Municipal Hospital bond and Interest
Redemption Fund" the sum of .;;10.00 at the office of
the Citizens Savings Bank, Paducah, Kentucky, teing
six months interest then due on its Bunicipal Hospital
Revenue Refunding Bond dated April 1, 1946.
1 y er
City of Paducah, Kentucky.
.—
I�ayor
Cit/
i of Paducah, Kentucky
Section 3. That from and after the delivery of any
bonds issued under the provisions of this ordinance said Nunicipal
Hospital shall be operated on a fiscal year basis, the first fisca
period beginning April 1, 1946, and endinE September 30, 1946, and
thereafter on an annual basis commencing October 1st of each year
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and ending September 30th of the succeeding year, and on that Basi,
the income and revenues of said Eunicipal Hospital of the City of
Paducah shall be set aside into a separate and spacial fund to be
used for the retirement of the aforesaid bonds, in providing; a
depreciation £und for sand hospital, and in r^aintaininZ and operat-
in7 said hospital as follows, to -crit:
That there shall be and there is hereby reco nized and
continued in force an account heretofore created with the Citizens
Savin. -s Eank of taducah, Kentucky, and known as the "Paducah b;unic'
Hospital !�ond and Interest Redemption Fund" into which, in additior
to the funds now on deposit in said account, which shall aggregate
not less than the sum of X12,551.32 as of Fpril 1, 1946, there
shall be set aside from the gross income and revenues of said
?•'unicipal Hospital such amount thereof as will. be sufficient to pa3
the interest on and the principal of the bonds hereby authorized,
and to accumulate a continency fund as a safeguard against any
possible default rowinm out of the contingencies unforseen and
beyond the control of the City of Paducah. The additional amounts
necessary to be set aside into said fund are hereby determined,
as follows:
FISCAL YEAR EUD- PRIIICIPAL IRT" REST TO BE SET BALlNCE
ING SEPTE!.IBER 30th J.:ATURII?G.;ATURItTG A3IDL INTO AT LidD OF
FOND FUND YEAR
1946 r c, 000r 980 y 5,899.98 9,471.30
1947 10,000 1800 11,800.00 9,471.30
1948 8,000 1600 9,600.00 9,471.30
1949 10,000 1440 11,440.00 9,471.30
1950 8,000 1240 9,240.00 9,471.30
1951 10,000 1080 11,080.00 9,471.30
1952 7,000 880 7,880.00 9,471.30
1953 10,000 740 10,740.00 9,471.30
1954 8,000 540 8,540.00 9,471.30
1955 9,000 380 9,380.00 9,471.30
1956 8,000 200 768.70 2,040.00
1957 2,000 40 0.00 0.00
The amount by which any such payment in any fiscal
year exceeds the aggregate amount of interest on and principal of
said bonds becoming due in such year, shall be held in said
Redemption bund as a reserve for contingencies, and used solely
as herein provided.
Provided, however, that no .further payments need be
made into said Redemption rund when the amount held therein is
equal to the entire amount of interest and principal that will
be payable at the time of the call or maturity of all of the
bonds then remaining outstanding.
If in any fiscal year the City shall for any reason
fail to pay into said Redemption rund the amounts above stipulated,
then an amount gquivalent to such deficiency shall be set apart
and paid into said Fund out of the first assailable dross revenues
Of the following fiscal year or years, and the same shall be in
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addition to the amounts otherwise herein provided to be so set
apart and paid durinU such succeeding year or years.
All moneys held in said fund shall be deposited in
Citizens Savings Bank, Paducah, Kentucky, and all such deposits
shall be continuously secured by insurance from the 1"ederal Deposi
insurance Corporation, or by a valid pledge of direct obligations
of the United estates of America having an equivalent market value,
or shall be invested in direct obligations of the United States
Government, provided, however, that the board of Commissioners
of the City of Paducah, or the i,;unicipal Hos;ital Commission,
hereafter referred to, shall make sale of a sufficient amount of
such obligations to meet interest and principal payments becoming
due in such year.
Such payments into said rund, as nearly as practicable,
shall be made in equal monthly installments on the 1st day of
each month, and in the event the income and revenues during any
one month are inadequate to make the required payment into said
Fund, the deficiency shall be made up and paid as aforesaid from
the first income and revenues thereafter received and same shall
be in addition to the payments otherwise provided to be made in
such succeeding month or months. The "Paducah Municipal Hospital
Bond and Interest Redemption Fund", as aforesaid, shall be used
solely and wholly for and is hereby exclusively pledged to the
purpose of paying the principal of and interest on the bonds
herein authorized to be issued.
In the event the City of Faducah shall fail or neleet
or refuse, for any reason, to make the payments into the "Paducah
Yunicipal Hospital Bond and Interest Redemption -~und" in the
amounts, at the times and in the manner above set forth, then
the holders of 2510" of the aggregate principal amount of the bonds
then outstanding may elect to'declare the entire outstanding
indebtedness immediately due and payable and may proceed to the
enforcement of the security rights created and provided for the
protection of the bondholders by this ordinance and by the pro-
visions of Kentucky Revised Statutes 215.080 to 216.240.
Three (31) percent of the balance of the income and
revenues remaining after the aforesaid payments into the Redemptio
Fund shall be set aside to a fund to be known as the "Faducah
Idunicipal Hospital Depreciation 5une", and shall be deposited in
a separate account In said Citizens Savings bank and shall be
expended in making good any depreciation of said hos;:ital and the
making of any extensions, additions or replacements to the propert
the -card of Commissioners of laducah hereby findin`: and determini t
that such proportion of the balance of the income and revenues is
1307
sufficient for said purposes. Any accumulations of such "Paducah
Municipal Hospital Depreciation Fund" may be invested in direct
obligations of the Unitod States .overnment, :larrants of the
Commonwealth of Kentucky, Kentucky ,ridge Revenue Londs, or Paducah
Llunicipal hospital Revenue Refunding Ponds, as the "Iunicipal Hospi al
Commission", hereinafter created, may designate, and if invested,
the income from the investment shall be carried in'the "Paducah
?:unicipal Hospital Depreciation r'und" and said fund shall not be
used for any purpose other than as herein provided.
?Ninety-seven (97;:) percent of the balance o the income
and revenues remaining after the payments into the Eond and Interes
Rddemption Fund shall be set aside and used for the reasonable and
proper operation and maintenance of said t.unicipal Hospital, the
Eoard of Commissioners of the City of Paducah hereby findinC and
determininZ that such proportion of such balance is necessary for
such operation and maintenance of said hos_r,ital, but not in excess
of the amount required for said purpose.
Section 4. That while the bonds authorized hereunder,
or any of them, remain outstanding and unpaid, the rates for all
services rendered by said hospital to said City and to its citizens
or others shall be reasonable and just, taking into account and
consideration the cost and value of said hospital, and the costs
of maintaining and operating the same, and the proper and necessgry
allowances for depreciation thereof, and the amounts necessary for
the retirement of all bonds and the accruing interest on such bonds
as may be sold and are unpaid under the provisions of this ordinanc ,
and there shall be charged against all users of said hospital,
Including said City, such rates and amounts for hospital service
as shall be adequate to meet the requirements of this and the
preceding sections hereof. Any hospital services rendered to the
City shall In lite manner be charged arainst the City, and payment
for some shall be made from the corporatd funds monthly into the
special fund created by this ordinance as other Income and revenues
of said hospital, and shall be a.portioned to operation and
maintenance, depreciation, and bond and interest redemption funds
as other income revenues.
Insofar as is consistent with the laws of Kentucky,
said City agrees that so long as any of the bonds hereby
authorized remain outstandin-q it will cause proper books of records
and account to be kept, separate and apart from all other municipal
records and accounts, showing complete and clear entries of all
transactions relating to said hospital, and the holder of any of
said bonds shall have the ri-ht, at all reasonable times, to
1508
inspect the hospital and all records, accounts, and data of the
City relating thereto.
:lection 5. That said City hereby covenants and agrees
;pith the holder or holders of the bonds herein authorized to be
issued, or any of them, that it will faithfully and punctThally
perform all duties with reference to said hospital, required by
the constitution and laws of the Commonwealth of I{entucky, in-
cluding the malcin� and collecting of reasonable and sufficient
charges for hospital services rendered by said hospital, and
will seCregate the revenues of said hospital and make application
thereof into the respective funds created by this ordinance; and
the City hereby irrevocably covenants, binds and obligates itself
not to sell, lease, mortgage or in any manner dispose of said
hospital, including any and all extensions and additions that
may be made thereto, except the mortga,-e as provided in section 6
h^reof, until all the bonds herein authorized to be issued shall
have teen paid in full, both principal and interest, and the
pity further covenants and agrees with the holders of said bonds
to maintain in -ood condition and continuously operate said
hospital, and to charge and collect such rates and charges for
hospital service rendered thereby, so that the gross revenues will
be sufficient at all times to provide for the payment of the
operation and maintenance thereof and maintain the depreciation
fund and the bond and interest redemption fund as provided herein.
acction G. That for the further protection of the
holders of the bonds herein authorized to be issued and the
coupons thereto attached, a statutory mort.,age lien upon said
hospital and all properties connected therewith and appurtenances
thereto is granted and created by Kentucky Revised Statutes 216.14),
which said statutory lien is hereby recognized and declared to be
valid and binding upon the City of Paducah, and upon all the
properties constituting the hospital of said City, as provided by
law, and shall take effect immediately upon the delivery of any
bonds authorized to be issued under the provisions of this ordinanpe.
Any holder of said bonds, or of any of the coupons, may, either
at law or in equity, by suit, action, mandamus, or other proceedin 3y1
protect and enforce the statutory mortgage lien hereby conferred,
and may b;,•• suit, action mandamus, or other proceedings, enforce an
compel --rcrformance of all the duties required by said statute, inLIM
-
cluding the makinl, and collectin of sufficient rates and the se,,ri-
Cation of the income and revenues and the application thereof,
If there be any default in the payment of the principal
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of or interest on any of said bonds, then upon the filing of a
suit by any holder of said bonds, or of any of the coupons, any
court having jurisdiction of the action may appoint a receiver
to administer said hospital on behalf of the City, with power to
charge and collect rates sufficient to provide for the payment
of any bon:3s or obligations outstanding against said hospital, and
for the payment of the operating expenses, and to apply the income
and revenues in conformity ,pith this ordinance and the provisions
of--entucky evised Statutes 210.000 to 210.240.
:i"'CTTO;d 7. That the bonds authorized to be issued
hereunder and from time to time outstandin` shall not be entitled
lto priority one over the other in the application of the revenues
of said hos-ital, or with respect to the statutory mortgage lien
securing, their payment, regardless of the tine or times of their
issuance, it being the intention of the 1,oard of Commissioners
that there shall be no priority among the bonds authorized to be
issued under the provisions of this ordinance, regardless of the
fact that they may be actually issued and delivered at different
times, and provided further that the lien and security of and for
any bonds or obligations hereafter issued that are payable from
the income and revenues of said hospital shall be subject to the
priority of the bonds hereby authorized as may from time to time
be outstanding.
SECTION 3. That for the further protection of the
holders of the bonds herein authorized to be issued, and for the
Protection of the City's interest in said L'unicipal Hospital, the
City hereby covenants with the holders of ;aid bonds and of the
coupons thereto attached that so lon, as any of the indebtedness
represented by said bonds or coupons remains outstanding and un-
paid, the City of laducah will procure and maintain insurance upon
the properties embraced in the statutory mortZage lien above re-
ferred to, by which such properties will be continuously insured
in good and solvent insurance companies against loss or damage
by fire, windstorm and other natural hazards, such insurance to
be in an amount at all times at least equal to the them unpaid
balance of the indebtedness represented by the bonds and coupons
herein authorized. The policy or policies o.0 such insurance shall
be written in the name of the `pity of Paducah and/or the "Paducah
L'unicipal HosLital Commission" (he.reinaftel, referred to) as their
interests may appear; and each of such policies shall begr an
endorsement by which the insurance company issuing^vthe same accepts
.iotice of the existence of the statutory mortgagelien existing
Ln favor of the bondholders with respect to the insured ;r)perty;
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but such endorsement shall expressly provide that any loss or
damage occuring thereunder shall be adjusted with and payable
solely to the City of Paducah and/or the "Paducah L.unicipal IIospits
Commission" and the respective insurance companies shall be under
no oblis-ation to consult with, adjust with or pay to the said
bondholders or any of them, and shall be under no obli3ation to
look to the proper application of the proceeds of any payment or
settlement properly made to the City of Paducah and/or the "I'aducat
I7unicipal Hospital Commission. "
Section 9. In the event of any loss or damage to the
Paducah i,unicipal Hospital -!ithin the terms of any such policy or
policies of insurance above referred to, the City covenants and
agrees with the holders of the bonds and coupons herein authorized
that the proceeds of such insurance shall be devoted exclusively
to the replacement or reconstruction of the property so damaged
or destroyed so that the same shall be restored to a condition at
least as good as existed prior to such loss or damage; and in the
event the proceeds of such insurance should be insufficient to
complete and pay for all such loss or damage, the City of Paducah
covenants and arrrees teat it will appropriate and provide a suffi-
cient additional stun to complete and pay for the same; provided,
however, that if the proceeds of such insurance shall be sufficient
to enable the City of Paducah to call in and pay all the bonds
then outstandlnm, to -other with accrued interest to the date of
call and call premiu4i,if any, in the manner provided by this
ordinance, then the City of Paducah may, at its election and option
use such funds to call in, pay, cancel and retire all of the
outstanding bonds in lieu of replacing, reconstructing or restorinE
such loss or damage.
Section 10. By the terms and provisions of Section 9
of the ordinance passed and approved on July 13, 1938, above
referred to, there was created and established in accordance with
the requirements and provisions of Kentucky Revised Statutes 216.2
a commission to be known as the "Paducah iCunicipal Hospital Com-
mission." Said Commission and the terms and provisions of said
ordinance relating thereto are hereby expressly continued in full
force and effect and this ordinance shall not be construed to repe
or supersede any of said provisions of Section 9 of said ordinance
of July 13, 1938.
Rection 11. That the bonds herein authorized to be
issued shall be offered ror sale at a public competitive sale to
be held on D!onday, March 25, 1946, at the hour of 10:00
P
am
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in the office of the City t.:anager in and of the City of Iaducah.
Said City ?,tanager is hereby designated and appointed as a committe
of one to advertise and conduct said sale and to accept for and
on behalf of the City of Paducah such bid as may conform to the
terms and conditions hereafter set forth and as may appear to
said City 1.anager to be the best bid received for said bonds.
The City i::anager of the City of Faducah is hereby directe
to prepare and cause to be publisjed in a newspaper of general
circulation in the City of Paducah, Kentucky, at least one week
prior to the date above fixed for said sale, a notice in words
and fi.-ures substantially as follows:
OTICE Or FOND YALE
-he '-card of Commiss_oners of the City of iaducah,
irlcCracken County, Kentucky, hereby lives notice that on
Eonday, !,:arch 25, 1946, at 10:00 A.-., in the office
of the City Fanager in and of the City of Facucah,
sealed competitive bids will be received for ;,98,000.GO
principal amount of "City of Paducah1.:unicipal Hos,ital
Revenue Refunding Lends", being ninety-ei8ht (98) bonds
of the denomination of 11,000.G0 each, numbered con-
secutively from one (1) to ninety-eiht (DS) inclusive,
sated April 11 1946, and maturing serially on October 1st,
;8,000, 1946; ;;10,000, 1947; ;;3,000, 1948; --,110,000
1949; ;18,000, 1950; 10,000, 1951; ";7,000, 1952;
"110,000, 1953; :`8,000, 1954; •;;9,000, 1955, ,8,000
1956 a d ;;2,000, 1957, with coupons attached for the
semo-annual payment of interest at the rate of two (2")
percent per annum. The bonds will be callable in their
inverse numerical order at par and accrued interest,
plus a premium of 31of the face amount if redeemed
prior to April 1, 1951, 2;; if redeemed on or after
April 1, 1951, and prior to April 1, 1956, and no
premium if redeemed on or after April 1, 1956.
The City agrees to furnish the approving opinion
of Messrs, Stites and Stites of Louisville, Kentucky,
as to tho legality of the bonds and bids may be condi-
tioned only to that extent. Each bidder will be
required to qualify by furnishinC a certified check
. in the sum of 11,000.00 payable to the City Treasurer.
Checks of unsuceosgful bidders will be returned but the
chccL- of the successful 'adder will be retained until
i
delivery of the bonds and the amount thereof shall
constitute the agreed liauidated damages in the event
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the successful bidder failes or refuses to perform in
accordance with the accepted bid. The ri_-ht to reject
any and all bids is retained and no bid of less than ML
103.286"! of the principal amount of the bonds plus
NW—
accrued interest will be considered.
In the event that prior to the issuance of said
bonds the income therefrom to private holders becomes
taxable by the terms of any federal income tax law, the
successful bidder, upon request, will be relieved of
the obligation to accept delivery and pay for the bonds
upon the terms specified in such bid/
By order of the Loard of Commissioners.
City Manager of the City of
Paducah, Kentucky.
The sale of said bonds shall be held nursuant to the
foreCoinC terms and conditions, together with any other terms and
conditions not inconsistent therewith as may be prescribed in
writing by said City i'anaCer.
Section 12. That after the sealed competitive bids
are received, the City T.A nager is authorized to reject any and all
bids on behalf of the City of Paducah and is authorized to accept
the bid which aopears to him to be the hiEhest and best bid, pro-
vided the same conforms to the terms and conditions of the sale
and appears to the City !anager to be advantageous to the City of
Paducah, In the event the City L.anager accepts any such bid, be
shall promptly notify the maker of such bid in writin.- and such
acceptance shall be bindin upon the pity of Paducah.
Section 13. That the City !,'anaCer is authorized to
pay to T.esses. Stein Bros & Boyce, Almstedt Bros. and The 3anker3
Bond Company the amount of compensation due to teem under their
contract with the City of laducah and ii' the aforesaid firms are
the purchasers of the bonds, the amount of said compensation may
be credited upon the purchase price when payment is made. After
making the above mentioned payment to said firms, the City Manager
shall deposit the remainder of the net proceeds of sale with the
Citizens Savings Bank in the aforesaid bond redemption account.
All sums received at the time of delivery of the bonds
authorized by this ordinance which represent accrued interest and
premium on the bonds authorized by this ordinance shall likeiwse
be deposited in said bond dedemption account.
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Section 14. That the provisions of this ordinance
shall constitute a contract between the City of iadueah and the
holders of the bonds herein authorized to be issued, and after the
Issuance of any of said bonds no change, variation, or alteration
of any kind of the provisions of this ordinance shall be made in
any manner, except as herein provided, until such time as all of
said bonds issued hereunder and the interest thereon shall have
been paid in full.
SECT10Td 15. That if any section, paragraph, clause
or provision of this ordinance shall be held invalid, the invalidi-
ty of such section, paragraph, clause, or provision shall not
affect any of the remainin3 provisions of this ordinance.
section 16. That all ordinanceg, resolutions and orders
of parts thereof, in conflict with the provisions of this
ordinance are to the extent of such conflict hereby repealed.
Section 17. This ordinance shall be introduced
at a regular meeting of the Board of Commissioners and remain
on file at least one week for public inspection =n the com-
pleted form in which it shall be put upon its final passage,
and if adopted it shall be in full force and effect ten (10)
days thereafter.
Lia yor
Ci of Paducah, Kentucky
(SEAL)
A PTES T:
CITY CLERK
City of Paducah, Kentucky
Introduced by the '--card of Commissioners Ciarch 5th, 1946
Adopted by the ward of Commissioners T.'.arch 12th, 1946
Recorded by Rudy 3'L-ewart, City Clerk, March 12th, 1946