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HomeMy WebLinkAbout789 04-24-1984ORDINANCE NO. 789 AN ORDINANCE authorizing the issuance of "City of Euless, Texas, General Obliga- tion Bonds, Series 1984 "; prescribing the terms, features and specifications of said bonds; levying a continuing direct annual ad valorem tax for the payment of said bonds; and resolving other matters incident and related to the issuance, sale, payment and delivery of said bonds, including the approval and distribution of an Official Statement pertaining thereto; and declaring an emergency. WHEREAS, the City Council of the City of Euless, Texas hereby finds and determines that $2,500,000 in principal amount of general obligation bonds approved and authorized to be issued at an election held on May 21, 1983 should be issued and sold at this time; a summary of the general obligation bonds authorized at said election, the principal amounts and respective authorized purposes therefor, amounts heretofore issued and being issued pursuant to this ordinance and amounts remaining to be issued subsequent hereto being as follows: Authorized Purpose Street Improvements Drainage Improvements Amounts Amount Heretofore Authorized Issued $3,500,000 $1,500,000 AND WHEREAS, the City retains the right to issue approved at said election in in the judgment of the City accomplish the purposes for now, therefore, Amounts Being Amounts Issued Remaining $1,500,000 $2,000,000 $1,000,000 $ 500,000 Council hereby reserves and the balance of unissued bonds one or more installments when, Council, funds are needed to which such bonds were voted; BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF EULESS, TEXAS: SECTION 1: Authorization- Designation- Principal Amount- Purpose. General 761511gation bonds of the City shall be and are hereby authorized to be issued in the aggregate principal amount of $2,500,000, to be designated and bear the title "City of Euless, Texas, General Obligation Bonds, Series 1984" (hereinafter referred to as the "Bonds "), for the purpose of making permanent public improvements, to wit: $1,500,000 for street improvements, including drainage improvements incident thereto and $1,000,000 for storm drainage facilities, including the acquisition of necessary land and rights -of -way therefor, pursuant to the authority conferred at the aforesaid election and in conformity with the Constitution and laws of the State of Texas. SECTION 2: Fully Registered Obligations - Authorized Denominations - Stated Maturities - Interest Rates - Date. The Bonds are issuable in fully registered form only; shall be dated May 1, 1984 (the "Bond Date ") and shall be in denominations of $5,000 or any integral multiple thereof (within a Stated Maturity) and the Bonds shall become due and payable on May 1 in each of the years and in principal amounts (the "Stated Maturities ") and bear interest on the unpaid principal amounts from the Bond Date at per annum rates in accordance with the following schedule: Year of Principal Stated Maturitv Amount 1986 $ 50,000 1987 50,000 1988 50,000 1989 75,000 1990 75,000 1991 75,000 1992 75,000 1993 75,000 1994 75,000 1995 100,000 1996 125,000 1997 150,000 1998 175,000 1999 175,000 2000 200,000 2001 225,000 2002 225,000 2003 250,000 2004 275,000 ORDINANCE NO. 789 -2- Interest Rate SECTION 3: Payment of Bonds - Paying Agent/ Registrar. The principal of, premium, if any, and the interest on the Bonds shall be payable, without exchange or collection charges to the owner or holder thereof, in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts. The Bonds shall bear interest at the per annum rates shown above in Section 2 (computed on the basis of a 360 -day year of twelve 30 -day months), and interest thereon shall be payable on November 1 and May 1 of each year, commencing May 1, 1985. The selection and appointment of Texas American Bank /Fort Worth, N.A., Fort Worth, Texas to serve as Paying Agent /Registrar for the Bonds is hereby approved and con- firmed, and the City agrees and covenants to cause to be kept and maintained at the principal office of the Paying Agent /Registrar books and records (the "Security Register ") for the registration, payment and transfer of the Bonds, all as provided herein, in accordance with the terms and provi- sions of a "Paying Agent /Registrar Agreement" and such reasonable rules and regulations as the Paying Agent /Registrar and City may prescribe. The City covenants to maintain and provide a Paying Agent /Registrar at all times until the Bonds are paid and discharged, and any successor Paying Agent /Registrar shall be a bank, trust company, financial institution or other entity duly quali- fied and legally authorized to serve as and perform the duties and services of Paying Agent /Registrar. Upon any change in the Paying Agent /Registrar for the Bonds, the City agrees to promptly cause a written notice thereof to be sent to each registered owner of the Bonds by United States Mail, first class postage prepaid, which notice shall also give the address of the new Paying Agent /Registrar. Both principal of, premium, if any, and interest on the Bonds, due and payable by reason of maturity, redemp- tion, or otherwise, shall be payable only to the registered owner or holder of the Bonds (hereinafter referred to as the "Bondholder" or "Bondholders ") appearing on the Security Register, and, to the extent permitted by law, neither the City nor the Paying Agent /Registrar, or any agent of either, shall be affected by notice to the contrary. Principal of and premium, if any, on the Bonds, shall be payable only upon presentation and surrender of the Bonds to the Paying Agent/ Registrar at its principal office. Interest on the Bonds shall be paid to the ORDINANCE NO. 789 -3- Bondholder whose name appears in the Security Register at the close of business on the "Record Date" (the 15th day of the month next preceding each interest payment date) and shall be paid (i) by check sent on or prior to the appropriate date of payment by United States Mail, first class postage prepaid, by the Paying Agent/ Registrar, to the address of the Bondholder appearing in the Security Register or (ii) by such other method, acceptable to the Paying Agent /Registrar, requested in writing by, and at the risk and expense of, the Bondholder. In the event of a non - payment of interest on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such interest payment (a "Special Record Date ") will be established by the Paying Agent/ Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (which shall be 15 days after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date by United States Mail, first class postage prepaid, to the address of each Bondholder appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. SECTION 4: Redemption. (a) Optional Redemption. The Bonds having Stated Maturities on and after May 1, 1997, shall be subject to redemption prior to maturity, at the option of the City, on May 1, 1996 or on any interest payment date thereafter, in whole or in part in principal amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity at random and by lot by the Paying Agent /Registrar), at the redemption price of par plus accrued interest to the date of redemption. (b) Exercise of Redemption Option. At least forty -five (45) days prior to a date set for the redemption of Bonds (unless a shorter notification period shall be satisfactory to the Paying Agent /Registrar), the City shall notify the Paying Agent /Registrar of its decision to exercise the right to redeem Bonds, the principal amount of each Stated Maturity to be redeemed and the date set for the redemption thereof. The decision of the City to exercise the right to redeem Bonds shall be entered in the minutes of the governing body of the City. (c) Selection of Bonds for Redemption. If less than all Outstanding Bonds of the same Stated Maturity are ORDINANCE NO. 789 -4- to be redeemed on a redemption date, the Paying Agent/ Registrar shall select at random and by lot, the Bonds to be redeemed, provided that if less than the entire principal amount of a Bond is to be redeemed, the Paying Agent/ Registrar shall treat such Bond then subject to redemption as representing the number of Bonds Outstanding which is obtained by dividing the principal amount of such Bond by $5,000. (d) Notice of Redemption. Not less than thirty (30) days prior to a redemption date for the Bonds, a notice of redemption shall be sent by United States Mail, first class postage prepaid, in the name of the City and at the City's expense, to each Bondholder of a Bond to be redeemed in whole or in part at the address of the Bondholder appear- ing on the Security Register at the close of business on the business day next preceding the date of mailing such notice, and any notice of redemption so mailed shall be conclusively presumed to have been duly given irrespective of whether received by the Bondholder. All notices of redemption shall (i) specify the date of redemption for the Bonds, (ii) identify the Bonds to be redeemed and, in the case of a portion of the principal amount to be redeemed, the principal amount thereof to be redeemed, (iii) the redemption price, (iv) state that the Bonds, or the portion of the principal amount thereof to be redeemed, shall become due and payable on the redemption date specified, and the interest thereon, or on the portion of the principal amount thereof to be redeemed, shall cease to accrue from and after the redemption date, and (v) speci- fy that payment of the redemption price for the Bonds, or the principal amount thereof to be redeemed, shall be made at the principal corporate office of the Paying Agent/ Registrar only upon presentation and surrender thereof by the Bondholder. If a Bond is subject by its terms to prior redemption and has been called for redemption and notice of redemption thereof has been duly given or waived as herein provided, such Bond (or the principal amount thereof to be redeemed) shall become due and payable, and interest thereon shall cease to accrue from and after the redemption date therefor; provided moneys sufficient for the payment of such Bonds (or of the principal amount thereof to be redeemed) at the then applicable redemption price are held for the pur- pose of such payment by the Paying Agent /Registrar. SECTION 5: Registration - Transfer - Exchange of Bonds - Predecessor Bonds. A Security Register relating to the registration, payment, and transfer or exchange of ORDINANCE NO. 789 -5- the Bonds shall at all times be kept and maintained by the City at the principal office of the Paying Agent /Registrar, and the Paying Agent /Registrar shall obtain, record, and maintain in the Security Register the name and address of each registered owner of the Bonds issued under and pursuant to the provisions of this Ordinance. Any Bond may, in accordance with its terms and the terms hereof, be trans- ferred or exchanged for Bonds of other authorized denomina- tions upon the Security Register by the Bondholder, in person or by his duly authorized agent, upon surrender of such Bond to the Paying Agent /Registrar for cancellation, accompanied by a written instrument of transfer or request for exchange duly executed by the Bondholder or by his duly authorized agent, in form satisfactory to the Paying Agent/ Registrar. Upon surrender for transfer of any Bond at the principal office of the Paying Agent /Registrar, the Paying Agent /Registrar shall register and deliver, in the name of the designated transferee or transferees, one or more new Bonds executed on behalf of, and furnished by, the City of authorized denominations and having the same Stated Maturity and of a like aggregate principal amount as the Bond or Bonds surrendered for transfer. At the option of the Bondholder, Bonds may be exchanged for other Bonds of authorized denominations and having the same Stated Maturity, bearing the same rate of interest and of like aggregate principal amount as the Bonds surrendered for exchange, upon surrender of the Bonds to be exchanged at the principal office of the Paying Agent/ Registrar. Whenever any Bonds are surrendered for exchange, the Paying Agent /Registrar shall register and deliver new Bonds executed on behalf of, and furnished by, the City to the Bondholder requesting the exchange. All Bonds issued upon any transfer or exchange of Bonds shall be delivered at the principal office of the Paying Agent /Registrar, or sent by United States registered mail to the Bondholder at his request, risk, and expense and, upon the delivery thereof, the same shall be valid obligations of the City, evidencing the same debt, and entitled to the same benefits under this Ordinance, as the Bonds surrendered in such transfer or exchange. All transfers or exchanges of Bonds pursuant to this Section shall be made without expense or service charge to the Bondholder, except as otherwise herein provided, and except that the Paying Agent/Registrar shall require payment ORDINANCE NO. 789 -6- by the Bondholder requesting such transfer or exchange of any tax or other governmental charges required to be paid with respect to such transfer or exchange. Bonds cancelled by reason of an exchange or trans- fer pursuant to the provisions hereof are hereby defined to be "Predecessor Bonds," evidencing all or a portion, as the case may be, of the same obligation to pay evidenced by the new Bond or Bonds registered and delivered in the exchange or transfer therefor. Additionally, the term "Predecessor Bonds" shall include any Bond registered and delivered pursuant to Section 12 hereof in lieu of a mutilated, lost, destroyed, or stolen Bond which shall be deemed to evidence the same obligation as the mutilated, lost, destroyed, or stolen Bond. Neither the City nor the Paying Agent /Registrar shall be required to transfer or exchange any Bond called for redemption, in whole or in part, within 45 days of the date fixed for redemption of such Bond; provided, however, such limitation of transfer shall not be applicable to an exchange by the Bondholder of an unredeemed balance of a Bond called for redemption in part. SECTION 6: Execution - Registration. The Bonds shall be executed on behalf of the City by the Mayor under its seal reproduced or impressed thereon and countersigned by the City Secretary. The signature of said officers on the Bonds may be manual or facsimile. Bonds bearing the manual or facsimile signatures of individuals who are or were the proper officers of the City on the Bond Date shall be deemed to be duly executed on behalf of the City, notwithstanding that such individuals or either of them shall cease to hold such offices at the time of delivery of the Bonds to the initial purchaser(s) and with respect to Bonds delivered in subsequent exchanges and transfers, all as authorized and provided in the Bond Procedures Act of 1981, as amended. No Bond shall be entitled to any right or benefit under this Ordinance, or be valid or obligatory for any purpose, unless there appears on such Bond either a certifi- cate of registration substantially in the form provided in Section 8C, manually executed by the Comptroller of Public Accounts of the State of Texas or his duly authorized agent, or a certificate of registration substantially in the form provided in Section 8D, manually executed by an authorized officer or employer of the Paying Agent/Registrar, and ORDINANCE NO. 789 -7- either such certificate upon any Bond duly signed shall be conclusive evidence, and the only evidence, that such Bond has been duly certified, registered and delivered. SECTION 7: Initial Bond(s). The Bonds herein authorized shall be initially issued either (i) as a single fully registered bond in the total principal amount of $2,500,000 with principal installments to become due and payable as provided in Section 2 hereof and numbered T -1, or (ii) as 19 fully registered bonds, being one bond for each year of maturity in the applicable principal amount and denomination and to be numbered consecutively from T -1 and upward (hereinafter called the "Initial Bond(s)") and, in either case, the Initial Bond(s) shall be registered in the name of the initial purchaser(s) or the designee thereof. The Initial Bond(s) shall be the Bonds submitted to the Office of the Attorney General of the State of Texas for approval, certified and registered by the Office of the Comptroller of Public Accounts of the State of Texas and delivered to the initial purchaser(s). Any time after the delivery of the Initial Bond(s), the Paying Agent /Registrar, pursuant to written instructions from the initial purchaser(s), or the designee thereof, shall cancel the Initial Bond(s) delivered hereunder and exchange therefor definitive Bonds of authorized denominations, Stated Maturities, principal amounts and bearing applicable interest rates for transfer and delivery to the Bondholders named at the addresses identified therefor; all pursuant to and in accordance with such written instructions from the initial purchaser(s), or the designee thereof, and such other information and documentation as the Paying Agent /Registrar may reasonably require. SECTION 8: Forms. A. Forms Generally. The Bonds, the Registration Certificate of the Comptroller of Public Accounts of the State of Texas, the Certificate of Registration, and the form of Assignment to be printed on each of the Bonds, shall be substantially in the forms set forth in this Section with such appropriate insertions, omissions, substitutions, and other variations as are per- mitted or required by this Ordinance and may have such letters, numbers, or other marks of identification (includ- ing identifying numbers and letters of the Committee on Uniform Securities Identification Procedures of the American Bankers Association) and such legends and endorsements (including any reproduction of an opinion of counsel) there- on as may, consistently herewith, be established by the City or determined by the officers executing such Bonds as evidenced by their execution thereof. Any portion of the ORDINANCE NO. 789 -8- text of any Bonds may be set forth on the reverse thereof, with an appropriate reference thereto on the face of the Bond. The definitive Bonds shall be printed, litho- graphed, or engraved or produced in any other similar manner, all as determined by the officers executing such Bonds as evidenced by their execution thereof, but the Initial Bond(s) submitted to the Attorney General of Texas may be typewritten or photocopied or otherwise reproduced. B. Form of Definitive Bond. REGISTERED REGISTERED NO. $ United States of America State of Texas City of Euless, Texas, General Obligation Bond Series 1984 Bond Date: May 1, 1984 Interest Rate: Stated Maturity: CUSIP NO: Registered Owner: Principal Amount: The City of Euless, Texas (hereinafter referred to as the "City "), a body corporate and municipal corporation in the County of Tarrant, State of Texas, for value received, acknowledges itself indebted to and hereby promises to pay to the Registered Owner named above, or the registered assigns thereof, on the Stated Maturity date specified above, the Principal Amount stated above (or so much thereof as shall not have been paid upon prior redemp- tion) and to pay interest on the unpaid Principal Amount hereof from the Bond Date at the per annum rate of interest specified above computed on the basis of a 360 -day year of twelve 30 -day months; such interest being payable on November 1 and May 1 of each year, commencing May 1, 1985. Principal of this Bond shall be payable to the registered owner hereof, upon presentation and surrender, at the principal office of the Paying Agent /Registrar executing the registration certificate appearing hereon, or its successor. Interest shall be payable to the registered owner of this Bond (or one or more Predecessor Bonds, as defined in the Ordinance hereinafter referenced) whose name appears on the ORDINANCE NO. 789 -9- "Security Register" maintained by the Paying Agent /Registrar at the close of business on the "Record Date ", which is the 15th day of the month next preceding each interest payment date. All payments of principal of, premium, if any, and interest on this Bond shall be in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts and shall be made by the Paying Agent/ Registrar by check sent on or prior to the appropriate date of payment by United States Mail, first class postage prepaid, to the registered owner hereof at the address appearing in the Security Register or by such other method, acceptable to the Paying Agent /Registrar, requested by, and at the risk and expense of, the registered owner hereof. This Bond is one of the series specified in its title issued in the aggregate principal amount of $2,500,000 (herein referred to as the "Bonds ") for the purpose of making permanent public improvements, to wit: $1,500,000 for street improvements, including drainage improvements incident thereto and $1,000,000 for storm drainage facilities, including the acquisition of necessary land and rights -of -way therefor, under and in strict conformity with the Constitution and laws of the State of Texas and pursuant to an Ordinance adopted by the governing body of the City (herein referred to as the "Ordinance "). The Bonds maturing on and after May 1, 1997, may be redeemed prior to their Stated Maturities, at the option of the City, on May 1, 1996, or on any interest payment date thereafter, in whole or in part in principal amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity at random and by lot by the Paying Agent /Registrar), at the redemption price of par, together with accrued interest to the date of redemption, and upon 30 days prior written notice being given by United States Mail, first class postage prepaid, to registered owners of the Bonds to be redeemed, and subject to the terms and provisions relating thereto contained in the Ordinance. If this Bond be of a denomination in excess of $5,000, portions of the principal sum hereof in installments of $5,000 or any integral multiple thereof may be redeemed, and if less than all of the principal sum hereof is to be redeemed, there shall be issued, without charge therefor, to the registered owner hereof, upon the surrender of this Bond to the Paying Agent /Registrar at its principal office, a new Bond or Bonds ORDINANCE NO. 789 -10- of like maturity and interest rate in any authorized denominations provided in the Ordinance for the then unredeemed balance of the principal sum hereof. If this Bond (or any portion of the principal sum hereof) shall have been duly called for redemption and notice of such redemption duly given, then upon such redemp- tion date this Bond (or the portion of the principal sum hereof to be redeemed) shall become due and payable, and interest thereon shall cease to accrue from and after the redemption date therefor; provided moneys for the payment of the redemption price and the interest on the principal amount to be redeemed to the date of redemption are held for the purpose of such payment by the Paying Agent /Registrar. If this Bond is called for redemption, in whole or in part, the City and the Paying Agent /Registrar shall not be required to transfer this Bond to an assignee of the Bondholder within 45 days of the redemption date therefor; provided, however, such limitation on transferability shall not be applicable to an exchange by the Bondholder of the unredeemed balance hereof in the event of its redemption in part. The Bonds are payable from the proceeds of an ad valorem tax levied, within the limitations prescribed by law, upon all taxable property within the City. Reference is hereby made to the Ordinance, a copy of which is on file in the principal office of the Paying Agent /Registrar, and to all of the provisions of which the Bondholder by his acceptance hereof hereby assents, for definitions of terms; the description of and the nature and extent of the tax levied for the payment of the Bonds; the terms and condi- tions relating to the transfer or exchange of this Bond; the conditions upon which the Ordinance may be amended or sup- plemented with or without the consent of the Bondholders; the rights, duties, and obligations of the City and the Paying Agent /Registrar; the terms and provisions upon which this Bond may be discharged at or prior to its maturity or redemption, and deemed to be no longer Outstanding there- under; and for the other terms and provisions thereof. Capitalized terms used herein have the meanings assigned in the Ordinance. This Bond, subject to certain limitations con- tained in the Ordinance, may be transferred only upon its presentation and surrender at the principal office of the Paying Agent/ Registrar, with the Assignment hereon duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Paying Agent /Registrar ORDINANCE NO. 789 -11- duly executed by, the registered owner hereof, or his duly authorized agent, and such transfer is noted on the Security Register by the Paying Agent /Registrar. When a transfer occurs, one or more new fully registered Bonds of the same Stated Maturity, of authorized denominations, bearing the same rate of interest, and of the same aggregate principal amount will be issued to the designated transferee or transferees. The City and the Paying Agent /Registrar, and any agent of either, may treat the registered owner hereof whose name appears on the Security Register (i) on the Record Date as the owner entitled to payment of interest hereon, (ii) on the date of surrender of this Bond as the owner entitled to payment of principal hereof at its Stated Maturity or its redemption, in whole or in part, and (iii) on any other date as the owner for all other purposes, and neither the City nor the Paying Agent/ Registrar, or any agent of either, shall be affected by notice to the contrary. In the event of non - payment of interest on a scheduled payment date and for thirty (30) days thereafter, a new record date for such interest payment (a "Special Record Date ") will be estab- lished by the Paying Agent/ Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (which shall be 15 days after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date by United States Mail, first class postage prepaid, to the address of each Bondholder appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. It is hereby certified, recited, represented and covenanted that the City is a duly organized and legally existing municipal corporation under and by virtue of the Constitution and laws of the State of Texas; that the is- suance of the Bonds is duly authorized by law; that all acts, conditions and things required to exist and be done precedent to and in the issuance of the Bonds to render the same lawful and valid obligations of the City have been properly done, have happened and have been performed in regular and due time, form and manner as required by the Constitution and laws of the State of Texas, and the Ordinance; that the Bonds do not exceed any constitutional or statutory limitations; and that due provision has been made for the payment of the principal of and interest on the Bonds by the levy of a tax as aforestated. In case any provision in this Bond or any application thereof shall be ORDINANCE NO. 789 -12- invalid, illegal, or unenforceable, the validity, legality, and enforceability of the remaining provisions and applica- tions shall not in any way be affected or impaired thereby. The terms and provisions of this Bond and the Ordinance shall be construed in accordance with and shall be governed by the laws of the State of Texas. IN WITNESS WHEREOF, the City Council of the City has caused this Bond to be duly executed under the official seal of the City as of the Bond Date. ATTEST: City Secretary (SEAL) C. * F 0 CITY OF EULESS, TEXAS Mayor on REGISTRATION CERTIFICATE OF COMPTROLLER OF PUBLIC ACCOUNTS OFFICE OF THE COMPTROLLER ¢ OF PUBLIC ACCOUNTS } REGISTER NO. THE STATE OF TEXAS I HEREBY CERTIFY that this Bond has been examined, certified as to validity and approved by the Attorney General of the State of Texas, and duly registered by the Comptroller of Public Accounts of the State of Texas. (SEAL) WITNESS my signature and seal of office this Comptroller of Public Accounts of the State of Texas *NOTE TO PRINTER: Do not print on Definitive Bonds ORDINANCE NO. 789 -13- D. Form of Certificate of REGISTRATION CERTIFICATE OF PAYING AGENT /REGISTRAR This Bond has been duly issued and registered under the provisions of the within- mentioned Ordinance; the bond or bonds of the above entitled and designated series originally delivered having been approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts, as shown by the records of the Paying Agent /Registrar. TEXAS AMERICAN BANK /FORT WORTH, N.A., Fort Worth, Texas, as Paying Agent /Registrar Registered this date: By Authorized Signature E. Form of Assignment. ASSIGNMENT FOR VALUE RECEIVED the undersigned hereby sells, assigns, and transfers unto (Print or typewrite name, address, and zip code of transferee:) ..................... ............................. ............................... ............................. ............................... (Social Security or other identifying number: ............. ) the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints ........... ............................. ............................... attorney to transfer the within Bond on the books kept for registration thereof, with full power of substitution in the premises. DATED: .................. NOTICE: The signature on this Signature guaranteed: assignment must correspond with the name of the registered owner .......................... as it appears on the face of the within Bond in every particular. ORDINANCE NO. 789 -14- (i) immediately under the name of the bond the head- ings "Interest Rate " and "Stated Maturity " shall both be completed "as shown below;" (ii) Paragraph one shall read as follows: The City of Euless, Texas (hereinafter referred to as the "City "), a body corporate and municipal corporation in the County of Tarrant, State of Texas, for value received, acknowledges itself indebted to and hereby promises to pay to the Registered Owner named above, or the registered assigns thereof, on the 1st day of May in each of the years and in principal amounts and bearing interest at per annum rates in accordance with the following schedule: PRINCIPAL INTEREST YEAR INSTALLMENTS RATE (Information to be inserted from schedule in Section 2 hereof). (or so much thereof as redemption) and to pa amounts hereof from the interest specified abov year of twelve 30 -day m November 1 and May 1 o Principal of this Bond owner hereof, upon p principal office of Te Fort Worth, Texas (the shall be payable to the name appears on the ": Paying Agent/ Registra "Record Date ", which shall not have been paid upon prior t interest on the unpaid principal Bond Date at the per annum rates of e computed on the basis of a 360 -day )nths; such interest being payable on E each year, commencing May 1, 1985. shall be payable to the registered = esentation and surrender, at the xas American Bank /Fort Worth, N.A., "Paying Agent /Registrar "). Interest registered owner of this Bond whose �ecurity Register" maintained by the r at the close of business on the Ls the 15th day of the month next preceding each interest payment date. All payments of principal of, premium, if any, and interest on this Bond shall be in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts and shall be made by the Paying Agent /Registrar by check sent on or prior to the appropriate date of payment by United States Mail, first class postage prepaid, to the registered owner hereof at the address appearing in the Security Register or by such other ORDINANCE NO. 789 -15- method, acceptable to the Paying Agent /Registrar, requested by, and at the risk and expense of, the registered owner hereof. SECTION 9: Levy of Taxes. To provide for the payment of the "Debt Service Requirements" of the Bonds, being (i) the interest on the Bonds and (ii) a sinking fund for their redemption at maturity or a sinking fund of 2% (whichever amount is the greater), there is hereby levied, and there shall be annually assessed and collected in due time, form, and manner, a tax on all taxable property in the City, within the limitations prescribed by law, and such tax hereby levied on each one hundred dollars' valua- tion of taxable property in the City for the Debt Service Requirements of the Bonds shall be at a rate from year to year as will be ample and sufficient to provide funds each year to pay the principal of and interest on said Bonds while Outstanding; full allowance being made for delin- quencies and costs of collection; the taxes levied, assessed, and collected for and on account of the Bonds shall be accounted for separate and apart from all other funds of the City and shall be deposited in the "Special Series 1984 Bond Fund" (the "Interest and Sinking Fund ") to be maintained at an official depository of the City's funds; and such tax hereby levied, and to be assessed and collected annually, is hereby pledged to the payment of the Bonds. Proper officers of the City are hereby authorized and directed to cause to be transferred to the Paying Agent/ Registrar for the Bonds, from funds on deposit in the Interest and Sinking Fund, amounts sufficient to fully pay and discharge promptly each installment of interest and principal of the Bonds as the same accrues or matures or comes due by reason of redemption prior to maturity; such transfers of funds to be made in such manner as will cause collected funds to be deposited with the Paying Agent/ Registrar on or before each principal and interest payment date for the Bonds. SECTION 10: Notices to Holders - Waiver. Wherever this Ordinance provides for notice to Bondholders of any event, such notice shall be sufficiently given (unless otherwise herein expressly provided) if in writing and sent by United States Mail, first class postage prepaid, to the address of each Bondholder appearing in the Security Register at the close of business on the business day next preceding the mailing of such notice. ORDINANCE NO. 789 -16- In any case where notice to Bondholders is given by mail, neither the failure to mail such notice to any particular Bondholders, nor any defect in any notice so mailed, shall affect the sufficiency of such notice with respect to all other Bonds. Where this Ordinance provides for notice in any manner, such notice may be waived in writing by the Bondholder entitled to receive such notice, either before or after the event with respect to which such notice is given, and such waiver shall be the equivalent of such notice. Waivers of notice by Bondholders shall be filed with the Paying Agent /Registrar, but such filing shall not be a condition precedent to the validity of any action taken in reliance upon such waiver. SECTION 11: Cancellation. All Bonds surrendered for payment, redemption, transfer, exchange, or replacement, if surrendered to the Paying Agent /Registrar, shall be promptly cancelled by it and, if surrendered to the City, shall be delivered to the Paying Agent /Registrar and, if not already cancelled, shall be promptly cancelled by the Paying Agent /Registrar. The City may at any time deliver to the Paying Agent /Registrar for cancellation any Bonds pre- viously certified or registered and delivered which the City may have acquired in any manner whatsoever, and all Bonds so delivered shall be promptly cancelled by the Paying Agent/ Registrar. All cancelled Bonds held by the Paying Agent/ Registrar shall be destroyed as directed by the City. SECTION 12: Mutilated - Destroyed - Lost and Stolen Bonds. If (1) any mutilated Bond is surrendered to the Paying Agent /Registrar, or the City and the Paying Agent /Registrar receive evidence to their satisfaction of the destruction, loss, or theft of any Bond, and (2) there is delivered to the City and the Paying Agent /Registrar such security or indemnity as may be required to save each of them harmless, then, in the absence of notice to the City or the Paying Agent /Registrar that such Bond has been acquired by a bona fide purchaser, the City shall execute and, upon its request, the Paying Agent /Registrar shall register and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost, or stolen Bond, a new Bond of the same Stated Maturity and of like tenor and principal amount, bearing a number not contemporaneously outstanding. In case any such mutilated, destroyed, lost, or stolen Bond has become or is about to become due and pay- able, the City in its discretion may, instead of issuing a new Bond, pay such Bond. ORDINANCE NO. 789 -17- Upon the issuance of any new Bond under this Section, the City may require payment by the Bondholder of a sum sufficient to cover any tax or other governmental charge imposed in relation thereto and any other expenses (includ- ing the fees and expenses of the Paying Agent /Registrar) connected therewith. Every new Bond issued pursuant to this Section in lieu of any mutilated, destroyed, lost, or stolen Bond shall constitute a replacement of the prior obligation of the City, whether or not the mutilated, destroyed, lost, or stolen Bond shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and ratably with all other Outstanding Bonds. The provisions of this Section are exclusive and shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement and payment of mutilated, destroyed, lost, or stolen Bonds. SECTION 13: No- Arbitrage Certification. The City certifies that based on facts, estimates, and circum- stances expected to exist on the date of the issue of the Bonds it is not reasonable to anticipate that the proceeds thereof will be used in a manner which would cause them to be "arbitrage bonds" within the meaning of Section 103(c) of the Internal Revenue Code of 1954, as amended, or regula- tions thereunder applicable thereto, and the City covenants not to make any use of the proceeds of the Bonds or invest- ment income therefrom which would cause the Bonds to become "arbitrage bonds" within the meaning of Section 103(c) of such Code. The officers of the City charged with responsi- bilities in the issuance of Bonds are authorized and directed to make, execute, and deliver certifications as to facts, estimates, and circumstances in existence as of the date of the issuance of said Bonds and stating whether there are any facts, estimates, or circumstances which would materially change the City's present expectations. The covenants herein made and the certifications herein autho- rized are for the benefit of the holders from time to time of said Bonds and may be relied upon by said holders and bond counsel for the City. SECTION 14: Satisfaction of Obligation of City. If the City shall pay or cause to be paid, or there shall otherwise be paid to the Bondholders, the principal of, premium, if any, and interest on the Bonds, at the times and in the manner stipulated in this Ordinance, then the pledge of any taxes under this Ordinance and all other ORDINANCE NO. 789 -18- obligations of the City to the Bondholders shall thereupon cease, terminate, and become void and be discharged and satisfied. Bonds or any principal amount(s) thereof shall be deemed to have been paid within the meaning and with the effect expressed above in this Section when (i) money suf- ficient to pay in full such Bonds or the principal amount(s) thereof at maturity or to the redemption date therefor, together with all interest due thereon, shall have been irrevocably deposited with and held in trust by the Paying Agent /Registrar, or an authorized escrow agent, or (ii) Government Securities shall have been irrevocably deposited in trust with the Paying Agent/ Registrar, or an authorized escrow agent, which Government Securities have been certi- fied by an independent accounting firm to mature as to principal and interest in such amounts and at such times as will insure the availability, without reinvestment, of suf- ficient money, together with any moneys deposited therewith, if any, to pay when due the principal of and interest on such Bonds, or the principal amount(s) thereof, on and prior to the Stated Maturity thereof or (if notice of redemption has been duly given or waived or if irrevocable arrangements therefor acceptable to the Paying Agent /Registrar have been made) the redemption date thereof. The City covenants that no deposit of moneys or Government Securities will be made under this Section and no use made of any such deposit which would cause the Bonds to be treated as "arbitrage bonds" within the meaning of Section 103(c) of the Internal Revenue Code of 1954, as amended, or regulations adopted pursuant thereto. Any moneys so deposited with the Paying Agent/ Registrar, or an authorized escrow agent, and all income from Government Securities held in trust by the Paying Agent /Registrar, or an authorized escrow agent, pursuant to this Section which is not required for the payment of the Bonds, or any principal amount(s) thereof, or interest thereon with respect to which such moneys have been so deposited shall be remitted to the City or deposited as directed by the City. Furthermore, any money held by the Paying Agent /Registrar for the payment of the principal of and interest on the Bonds and remaining unclaimed for a period of four (4) years after the Stated Maturity, or applicable redemption date, of the Bonds such moneys were deposited and being held in trust to pay shall, upon the request of the City, be remitted to the City against a written receipt therefor. The term "Government Securities ", as used herein, means direct obligations of, or obligations the principal of and interest on which are unconditionally guaranteed by, the ORDINANCE NO. 789 -19- United States of America, which are non - callable prior to the respective Stated Maturities of the Bonds and may be United States Treasury Obligations such as the State and Local Government Series and may be in book -entry form. SECTION 15: Ordinance a Contract - Amendments - Outstanding Bonds. This Ordinance shall constitute a con- tract with the Bondholders from time to time, be binding on the City, and shall not be amended or repealed by the City so long as any Bond remains Outstanding except as permitted in this Section. The City, may, without the consent of or notice to any Bondholders, from time to time and at any time, amend this Ordinance in any manner not detrimental to the interests of the Bondholders, including the curing of any ambiguity, inconsistency, or formal defect or omission herein. In addition, the City may, with the written consent of Bondholders holding a majority in aggregate principal amount of the Bonds then Outstanding affected thereby, amend, add to, or rescind any of the provisions of this Ordinance; provided that, without the consent of all Bond- holders of Outstanding Bonds, no such amendment, addition, or rescission shall (1) extend the time or times of payment of the principal of, premium, if any, and interest on the Bonds, reduce the principal amount thereof, the redemp- tion price therefor, or the rate of interest thereon, or in any other way modify the terms of payment of the principal of, premium, if any, or interest on the Bonds, (2) give any preference to any Bond over any other Bond, or (3) reduce the aggregate principal amount of Bonds required for consent to any such amendment, addition, or rescission. The term "Outstanding" when used in this Ordinance with respect to Bonds means, as of the date of determina- tion, all Bonds theretofore issued and delivered under this Ordinance, except: (1) those Bonds theretofore cancelled by the Paying Agent /Registrar or delivered to the Paying Agent /Registrar for cancellation; (2) those Bonds for which payment has been duly provided by the City in accordance with the provisions of Section 14 hereof by the irrevocable deposit with the Paying Agent /Registrar, or an authorized escrow agent, of money or Government Securities, or both, in the amount necessary to fully pay the principal of, premium, if any, and interest thereon to maturity or redemption, as the case may be, provided that, if such Bonds are to be redeemed, notice of redemption thereof shall have been duly given pursuant to this Ordinance or irrevocably provided to be ORDINANCE NO. 789 -20- given to the satisfaction of the Paying Agent/ Registrar, or waived; and (3) those Bonds that have been mutilated, destroyed, lost, or stolen and replacement Bonds have been registered and delivered in lieu thereof as provided in Section 12 hereof. SECTION 16: Sale of the Bonds. The sale of the Bonds to (herein referred to as the "Purchasers ") at the price of par and accrued interest to the date of delivery plus a premium of $ o o 0, is hereby approved and confirmed. Delivery of the Bonds to the Purchasers shall occur as soon as pos- sible upon payment being made therefor in accordance with the terms of sale. SECTION 17: Control and Custody of Bonds. The Mayor of the City shall be and is hereby authorized to take and have charge of all necessary orders and records pending investigation by the Attorney General of the State of Texas, including the printing and supply of definitive Bonds, and shall take and have charge and control of the Initial Bond(s) pending the approval thereof by the Attorney General, the registration thereof by the Comptroller of Public Accounts and the delivery thereof to the Purchasers. Furthermore, the Mayor and City Secretary of the City and the Director of Finance, any one of the foregoing officials or all, are hereby authorized and directed to furnish and execute such documents relating to the City and its financial affairs as may be necessary for the issuance of the Bonds, the approval of the Attorney General and registration by the Comptroller of Public Accounts and, together with the City's financial advisor, bond counsel and the Paying Agent /Registrar, make the necessary arrangements for the delivery of the Initial Bond(s) to the Purchasers and the initial exchange thereof for definitive Bonds. SECTION 18: Official Statement. The City Council ratifies and confirms its prior approval of the form and content of the Official Statement prepared in the initial offering and sale of the Bonds and hereby approves the form and content of any addenda, supplement, or amendment thereto. The use of such Official Statement in the reoffer- ing of the Bonds by the Purchaser is hereby approved and authorized. The proper officials of the City are hereby ORDINANCE NO. 789 -21- authorized to execute and deliver a certificate pertaining to such Official Statement as prescribed therein, dated as of the date of payment for and delivery of the Bonds. SECTION 19: Printed Opinion. The Purchaser's obligation to accept delivery of the Bonds is subject to being furnished a final opinion of Dumas, Huguenin, Boothman & Morrow, Attorneys, Dallas, Texas, approving such Bonds as to their validity, said opinion to be dated and delivered as of the date of delivery and payment for the Bonds. Printing of a true and correct reproduction of said opinion on the reverse side of each of the definitive Bonds is hereby approved and authorized. SECTION 20: CUSIP Numbers. CUSIP numbers may be printed or typed on the definitive Bonds. It is ex- pressly provided, however, that the presence or absence of CUSIP numbers on the definitive Bonds shall be of no signi- ficance or effect as regards the legality thereof and neither the City nor attorneys approving said Bonds as to legality are to be held responsible for CUSIP numbers incor- rectly printed or typed on the definitive Bonds. SECTION 21: Benefits of Ordinance. Nothing in this Ordinance, expressed or implied, is intended or shall be construed to confer upon any person other than the City, the Paying Agent /Registrar and the Bondholders, any right, remedy, or claim, legal or equitable, under or by reason of this Ordinance or any provision hereof, this Ordinance and all its provisions being intended to be and being for the sole and exclusive benefit of the City, the Paying Agent /Registrar and the Bondholders. SECTION 22: Inconsistent Provisions. All ordinances, orders or resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Ordinance are hereby repealed to the extent of such conflict and the provisions of this Ordinance shall be and remain controlling as to the matters contained herein. SECTION 23: Governing Law. This Ordinance shall be construed and enforced in accordance with the laws of the State of Texas and the United States of America. SECTION 24: Effect of Headings. The Section headings herein are for convenience only and shall not affect the construction hereof. ORDINANCE NO. 789 -22- SECTION 25: Severability. If any provision of this Ordinance or the application thereof to any circumstance shall be held to be invalid, the remainder of this Ordinance and the application thereof to other circum- stances shall nevertheless be valid, and the City Council hereby declares that this Ordinance would have been enacted without such invalid provision. SECTION 26: Public Meeting. It is officially found, determined, and declared that the meeting at which this Ordinance is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Ordinance, was given, all as required by Article 6252 -17, Vernon's Texas Civil Statutes, as amended. SECTION 27. Emergency: That the public importance of this measure and the fact that the street and drainage improvements to be financed by the bonds herein authorized are urgently needed and should be completed at the earliest possible date to preserve the health and safety of the City and its citizens constitutes and creates an emergency relating to the immediate preservation of the public peace, health and safety of the City and its citizens, requiring that the Charter provision that all ordinances shall be read at two regular Council meetings be suspended and requiring that this ordinance be passed and take effect as an emergency measure, and such rule is accordingly suspended and this ordinance is passed as an emergency measure and shall take effect and be in full force from and after its passage. PASSED AND ADOPTED, this April 24, 1984. ATTEST l_ City � cretary (City Seal) CITY OF EULESS,,TEXAS rl� ✓�a�C.J�• Mayor Euless, Texas ORDINANCE NO. 789 -23-