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HomeMy WebLinkAboutORDINANCE 278-65ORDINANCE NO.%7 AN ORDINANCE PROVIDING FOR THE ISSUANCE BY THE TOWN OF ESTES PARK,COLORADO,OF ITS NEGOTIABLE COUPON BONDS IN THE PRINCIPAL A11OUNT OF $322,000,TO BE DESIGNATED “REFUND ING WATER BONDS”,FOR THE PURPOSE OF REFUND ING OUTSTANDING BONDED INDEBTEDNESS OF SAID TOWN IN THE AMOUNT OF $328,000;PROVIDING FOR THE DEPOSIT OF FUNDS IN AN ESCROW ACCOUNT TO EFFECT SUCH REFUNDING;PRESCRIBING THE FORN OF SAID REFUNDING BONDS;PROVIDING FOR THE LEVY AND COLLECTION OF AN ANNUAL TAX TO PAY SAID BONDS,PRINCIPAL AND INTEREST;AND DECLAR ING AN EMERGENCY. WHEREAS,the Town of Estes Park,Larimer County,Cob !rado,has outstanding its General Obligation Water Extension Bonds, dated December 1,1953,in a total amount of $133,000,and its Genera1 Obligation Water Bonds,dated July 1,1964,in a total amount of $195,000;and WHEREAS,said bonds may be redeemed and refunded and a I substantial savings in Net Interest Cost and reduction in Net Effective Interest Rate thereby obtained;and WHEREAS,by a Resolution duly adopted on the day h of __________ ,l965,the Board of Trustees of the Town of Estes Park,Colorado,determined to issue,in accordance with the Laws of the State of Colorado,particularly Colorado Revised Statutes 1963,Chapter 139,Article 44,new bonds,each to be designated “Refunding Water Bond”,the same to be sold at not less than their par value and the proceeds thereof used for the purpose of refund ing and paying said outstanding bonds,the amount of said Ref und ing Bonds so to be issued as aforesaid being the sum of $322,000, and the Certificate of such Determination having been heretofore duly made and entered in and upon the records of said Town,as required by law; -8- NOW,THEREFORE,BE IT ORDAINED BY THE BOARD OF TRUSTEES OF THE TOWN OF ESTES PA(,RIR COUNTY,COLODO: Section 1.That by virtue and in pursuance of said Statute,there shall be issued negotiable coupon bonds of said Town,each to be designated “Refunding Water Bond”,in the prin cipal amount of $322,000,for the purpose of refunding outstand ing bonded indebtedness of said Town which the Board of Trustees of the Town has determined to refund,as provided herein. Section 2.That the Mayor and Town Clerk of said Town be and they are hereby authorized and directed to have prepared negotiable coupon Refunding Water Bonds of said Town,in said aggregate amount of $322,000. Section 3.That said bonds hereby authorized shall be negotiable in form,payable to bearer,shall be dated July 1,l965, shall consist of 66 bonds,bonds numbered 1 and 2 being in the denomination of $1,000 each,and bonds numbered 3 to 66,inclusive, being in the denomination of $5,000 each,shall bear interest, payable September 1,1965,and semi-annually thereafter on the 1st day of March and the 1st day of September each year,and shall !mature September 1,as follows: Amount Maturity Interest Rate $17,000 1965 4% 20,000 1966 to 1968,mcI.4% 25,000 1969 and 1970 4% 25,000 1971 to 1973,mcI.3.40% 30,000 1974 to 1977,md.3.40% Bonds maturing in the years 1976 and thereafter shall be redeemable at the option of the Town on September 1,1975, and on any interest payment date thereafter,in inverse numerical order,upon payment of par and accrued interest. -9- 0 The principal of and interest on said bonds shall 1 be payable in lawful money of the United States of America,at the office of the Town Treasurer,in Estes Park,Colorado. Said bonds shall be signed with the facsimile sig nature of the Nayor,with a facsimile of the seal of the Town af fixed thereto,attested by the manual signature of the Town Clerk, 1 and countersigned with the facsimile signature of the Town Treas urer.The interest accruing on said bonds shall be evidenced by interest coupons thereto attached,bearing the facsimile signa ture of the Town Treasurer,and when so executed,such coupons shall be the binding obligations of the Town,according to their import.In addition there shall be a certificate relating to the registration of said bonds printed thereon,which certificate shal be signed with the facsimile signature of the Town Clerk and shall bear the facsimile of the seal of said Town.Should any officer whose signature or facsimile signature appears on said bonds or the coupons thereto attached cease to be such officer before de livery of the bonds to the purchaser,such signature or facsimile signature shall nevertheless be valid and sufficient for all pur :poses. Section 4.Said bonds and coupons to be attached there- to shall be in substantially the following form: -10 - UNITED STATES OF ANERICA STATE OF COLORADO COUNTY OF LARIMER TOWN OF ESTES PARK REFUNDING WATER BOND No ______ $1,000 $5,000 The Town of Estes Park,in the County of Larimer and State of Colorado,for value received,hereby acknowledges itself indebted and promises to pay to the bearer hereof the sum of ONE THOUSAND DOLLARS FIVE THOUSAND DOLLARS in lawful money of the United States of America,on the 1st day of September,19,with interest thereon from the date hereof at the rate of ____________________________ per centum (________ per annum,payable September 1,1965,and semi-annually thereafter! on the 1st day of March and the lst day of September each year,as evidenced by interest coupons hereto attached,both principal and interest being payable at the office of the Town Treasurer in Estes Park,Colorado,upon presentation of said coupons and this Bond,respectively. (The following clause to appear in bonds maturing in the! years 1976 and thereafter) This Bond is redeemable at the option of the Town on September 1,1975,and on any interest payment date thereafter, in its inverse numerical order in the issue of which it is one, upon payment of par and accrued interest. This Bond is issued by the Town of Estes Park,Colorado, for the purpose of paying,redeeming and refunding lawful and lva1id outstanding bonded water indebtedness of said Town,under, by virtue of and in full conformity with the provisions of the Constitution and Laws of the State of Colorado,more particularly -11 - C being Chapter 139,Article 44,Colorado Revised Statutes 1963,and all other laws thereunto enabling,and pursuant to an Ordinance duly adopted by the Board of Trustees of said Town prior to the issuance of this Bond. It is hereby certified and recited that all acts and things required to be done and conditions and things required to exist precedent to and in the issuance of this Bond to render the same lawful and valid have happened,been properly done and per formed,and did exist in regular and due time,form and manner,as required by law,and that the total debt of said Town,including that of this Bond,exceeds neither the statutory nor the constitu tional limitations of the State of Colorado;that said total debt is not increased by the issuance hereof;and that provision has been made for the levy and collection of an annual tax on all the taxable property in said Town sufficient to pay the interest on and principal of this Bond when the same become due. The full faith and credit of the Town of Estes Park, Co1orado,are hereby pledged for the punctual payment of the principal of and the interest on this Bond. IN WITNESS WHEREOF,the Town of Estes Park,Larimer County,Colorado,has caused this Bond to be signed with the fac simile signature of the Mayor of said Town,sealed with a facsi mile of the corporate seal thereof,attested by the manual signa ture of the Town Clerk and counters igned with the facsimile signa ture of the Town Treasurer,and has caused the annexed interest coupons to be executed with the facsimile signature of the Town Treasurer,as of the 1st day of July,1965. (Facsimile Signature)(FAa S IMILE) (SEAL) ATTEST: (Do not sign) Town Clerk Mayor COUNTERS IGNED: (Facsimile Signature) Town Treasurer -12 - 0. (Form of Coupon) NNo. ______ $_______ On the 1st day of Septernbr,19,*(unless the bond to which this coupon is attached has been called for prior redemp tion,)the Town of Estes Park,in the County of Larimer and State of Colorado,will pay to bearer ______________________________ DOLLARS in lawsul money of the United States of America,at the office of the Town Treasurer,in Estes Park,Colorado,being months’ interest on its Refunding Water Bond dated July 1,1965,bearing No. ______ (Facsimile Signature) Town Treasurer *(This clause to appear in coupons maturing March 1,1976,and thereafter) TOWN CLERK’S CERTIFICATE The undersigned,the duly appointed,qualified and act ing Clerk of the Town of Estes Park,Larimer County,Colorado, N hereby certifies that this Bond has been duly registered in a book kept for that purpose,and that the law under which this Bond is V issued provides that when so registered,its legality shall not be open to contest by the Town which has issued it or any person or corporation in behalf of such Town for any reason whatever. IN WITNESS WHEREOF,I have caused a facsimile of my sig ;nature and a facsimile of the official seal of said Town to be affixed hereto,at Estes Park,Colorado,as of the 1st day of July,1965. (FACS IMILE) (S E A L )(Facsimile Signature) Town Clerk -13 - C Section 5.That said Refunding Water Bonds,before de livery to the purchasers thereof,shall be registered by the Town Clerk in a book kept for that purpose,and said Clerk is hereby 1 instructed to perform such registration as a part of the duties of that office.Such registration shall note the principal amount the date of issuance,maturities and rates of interest of said bonds. Section 6.Said Refunding Water Bonds,when executed and registered,as provided by law,shall be delivered to the pur chaser thereof,in accordance with the contract of purchase there for,and the proceeds derived therefrom shall be used exclusivelyhforthepurposerecitedinsaidbonds;but neither the purchaser of said bonds nor the subsequent holder of any of them shall be in any way responsible for the application of the proceeds of said bonds by said Town,or any of its officers or employees. Section 7.If necessary,the interest due on said Re h funding Bonds on September 1,1965,may be advanced from any available funds of the Town.For the purpose of reimbursing said funds and paying the interest on said bonds as it shall thereafter !become due and providing for the ultimate payment of said bonds, U there shall be levied on all the taxable property in said Town, in addition to all other taxes,direct annual taxes in the years U 1965 to 1976,inclusive,sufficient to produce the interest on haii of said bonds outstanding,and the principal thereof,as the same become due and payable respectively. Said taxes,when collected,shall be deposited in I!a special fund to be known as Refunding Water Bond Fund,July 1, :1965?!,and such Fund shall be applied solely to the purpose of the payment of the interest on and principal of said Refunding -lLi.- 0 Water Bonds,and for no other purpose whatever,until the bonds authorized by this Ordinance,both principal and interest,shall have been fully paid,satisfied and discharged.Notwithstanding the foregoing provisions for tax levies,the Town may apply to the payment of said bonds and the interest thereon any or all of the revenues of said waterworks system,after the payment of reason able costs of maintenance and operation,and upon the application of such revenues as aforesaid,the levy or levies herein provided may thereupon to that extent be diminished,all as is hereinafter more specifically set forth.The sums herein provided to meet the interest on said bonds and to discharge the principal thereof when due are hereby appropriated for that purpose and said amounts for heach year shall also be included in the annual budget and the ap propriation bills to be adopted and passed by the Board of Trustees of said Town in each year,respectively. Section 8.It shall be the duty of the Board of Trustees Bof said Town,annually,at the time and in the manner provided by law for levying other Town taxes,if such action shall be neces !sary to effectuate the provisions of this Ordinance,to ratify and jcarry out the provisions hereof with reference to the levying and collection of taxes;and such taxes,when collected,shall be kept for and applied only to the payment of the interest on and principal of said bonds,as hereinabove specified. Section 9.That the provisions of this Ordinance and :each of the bonds and the interest coupons issued pursuant there to shall constitute,and the same are hereby declared to be a binding and irrevocable contract between the said Town and the :h01d1er from time to time of each of said bonds and the interest thereto attached. -15- Q Section 10.The proceeds of such Refunding Water Bonds, being an amount of not less than $322,000,shall be deposited by the Town in a special fund and separate trust account,designated as the “Town of Estes Park General Obligation Water Extension Bond,Refunding Escrow Account”(herein referred to as the “Re funding Escrow Account”),said Account to be established and main tamed at the Guaranty Bank &Trust Company,Denver,Colorado,a commercial bank duly organized and existing under the Laws of the State of Colorado,being a member of the Federal Deposit Insurance Corporation,having full and complete trust powers (hereinafter sometimes referred to as the “Bank”). The accrued interest,if any,on said Refunding Water Bonds from their date to the date of issuance and delivery thereof shall be deposited with the Town Treasurer,Estes Park, Colorado,the Paying Agent of said Refunding Water Bonds. The accrued interest,if any,on outstanding Bonds h1953,to be refunded,from June 1,1965,and outstanding Bonds l964,to be refunded,from July 1,1965,to the date of delivery of the Refunding Water Bonds,shall be deposited by the Town with the Bank in said Refunding Escrow Account. Section 11.Said Refunding Escrow Account,including therein the proceeds of the Refunding Water Bonds and the accrued interest on the outstanding Bonds 1953 and 1964,as referred to above,when invested by the Bank will at all times be at least sufficient to pay the interest on and principal of the outstanding Bonds 1953 and 1964 of the Town,being refunded,under and in ac cordance with the following schedule: (A)Outstanding Bonds 1953,numbered 68 to 200, inclusive,.maturing in the years 1965 to 1973,inclusive,and •1’-16- a outstanding Bonds 1964,numbered 6 to 67,inclusive,maturing in the years 1966 to 1974,inclusive,shall be paid and retired at their respective maturity dates according to their original terms. (B)Outstanding Bonds 1964,numbered 68 to 200, inclusive,maturing in the years 1975 to 1979,inclusive,shall be called for redemption prior to their respective maturities on January 1,1975,which date is hereby designated as the Prior Re demption Date. (C)Interest on said Bonds 1953 and 1964,which matures subsequent to the date hereof shall be paid semi-annually each year as the same accrues according to the original terms of said bonds until said bonds mature or until the Prior Redemption Date whichever is the earlier date. Section 12.The Bank shall invest the funds on deposit in the Refunding Escrow Account in direct obligations of the United States of America ONLY,and shall fully secure any cash balance in said Account in the manner required by law for other trust funds. Section 13.If,for any reason,at any time,the funds on hand in such Refunding Escrow Account shall be insufficient to jmeet such payments,as the same shall be about to become due and N payable,the Town shall forthwith deposit in such Refunding Escrow jAccount such additional funds as may be required fully to meet the amount so about to become due and payable. Section 14.The Bank shall from time to time redeem all hor a portion of the direct United States obligations in said Re funding Escrow Account,in sufficient amounts so the proceeds therefrom and the interest thereon as the same accrue will be suf H ficient to meet the interest requirements on the outstanding bonds II -17- 4 0 I as such interest accrues and to pay or call in and redeem said bonds at their respective maturities or on the Prior Redemption Date,according to the schedule hereinabove set forth. Section 15.The Mayor and Town Clerk and Treasurer shall,and they are hereby authorized and directed to take all necessary or appropriate action toward the execution of a proper Escrow Agreement with the Bank concerning the deposits in,invest ments of and disbursements from said Refunding Escrow Account, and such other agreements as may be necessary or desirable to ef fectuate the provisions of this Resolution and comply with the re quirements of law. Section 16.The Town Treasurer is hereby authorized and directed,and he shall give notice of prior redemption and refunding of said outstanding Bonds 1953 and 1964,at the time of such refunding and again in the manner rquired by law before the Prior Redemption Date herein established.Unless additional and 1 more extensive notice is required by law,the Notice shall be give1 by publication in some newspaper published in the Town,or,if there be no such newspaper,then in some newspaper published in the County in which the Town is located and which newspaper is customarily used by said Town for legal notices.At the time of such refunding,said Notice shall be published one time at or about the date on which the Refunding Water Bonds are issued and delivered.The Notice shall again be published before the Prior Redemption Date in such a newspaper,by insertion in at least one edition thereof,such publication to be not less than thirty (30) !days before said Prior Redemption Date.Said Notice shall contain all the details required by law and must adequately describe the H bonds to be called and redeemed,the date on which the same will occur and shall state that after the date for payment and redemp tion,interest on said bonds will cease. -18- 0 Section 17.If any court of competent jurisdiction should ever determine that any part of this Ordinance is invalid or unenforceable,such determination shall not affect the remain ing parts hereof,the intention being to make the provisions here in severable. Section 18.That after said Refunding Bonds are issued this Ordinance shall not be altered or repealed until the bonds hereby authorized shall have been fully paid,as to both principal and interest. Section 19.That all ordinances,or resolutions,or Harts thereof,in conflict with the provisions hereof,be and the same are hereby repealed. Section 20.That it is necessary for the refunding pro ceedings herein provided to be completed as soon as possible in order that the said Town may reduce the interest costs on said in debtedness;therefore,it is hereby declared that an emergency exists and that this Ordinance is necessary for the immediate pre servation of the public peace,health and safety,and it shall become effective five (5)days after its publication. Section 21.This Ordinance,immediately upon its pas sage,shall be recorded in the Book of Ordinances of said Town kept for that purpose,authenticated by the signatures of the Mayor and Town Clerk,and shall be published in the Estes Park Trail,a newspaper of general circulation in said Town ADOPTED AND APPROVED This /,%±-day of jy ,1965 E AL) ayor Town Clerk -19- 0 It was thereupon moved by Trustee ______________ and seconded by Trustee _______________ that all the rules of this Board which,unless suspended,might prevent the final passage and adoption of this Ordinance at this meeting,be and the same are hereby suspended. The question being upon the adoption of said motion, the roll was called with the following result: Those voting AYE: Trustees:Ronald C.Brodie Henry Dannels C.M.Hunter L.Leo Martin Carl Swanson Harry B.Tregent Those voting Y: ______________________________ members of the Board of Trustees having voted in favor of said motion,the presiding officer thereupon declared said motion carried. Thereupon Trustee moved that said Ordi nance,heretofore introduced and read in full at this meeting,be passed and adopted as read.Trustee ____________ seconded the motion and the question being upon the final passage and adoption of said Ordinance,the roll was called with the following result: Those voting AYE: Trustees:Ronald C.Brodie Henry Dannels C.M.Hunter L.Leo Martin Carl Swanson Harry B.Tregent Those voting NAY: -20 - ___________ members of the Board having voted in favor of the passage and adoption of said Ordinance,said number being H at least three-fourths of all the Board members,the presiding :officer thereupon declared said Ordinance duly passed and adopted. On motion duly adopted,it was ordered that said Ordi nance be numbered %7 and that,after its approval by the Mayor and attestation by the Town Clerk,it be published in the Estes Park Trail,a newspaper published in said Town and be re H corded by the Town Clerk in the Ordinance Book,according to law. Thereupon the meeting adjourned. (S E A L)I Mayor ATTEST: Town Clerk -21 - / 0 STATE OF COLORADO ) ) COUNTY OF LARIMER )ss ) TOWN OF ESTES PARK.) I,Dale G.Hill,Town Clerk of the Town of Estes Park, Colorado,do hereby certify that the foregoing pages numbered 1 to 21,inclusive,constitute a true and correct copy of the record of the proceedings of the Board of Trustees of the Town of Estes 1 Park,Colorado,taken at a meeting thereof,held at the Town Hall,in said Town,being the regular meeting place of said Trustees,on __________ ,the day of ,1965, insofar as said proceedings relate to a Resolution and an Ordi nance,copies of which are therein set forth;that said copies of said Resolution and Ordinance contained in said minutes are true and correct copies of the originals of said Resolution and Ordi nance,as acted upon at said meeting;that,pursuant to instruc tions,the undersigned Town Clerk has caused said Ordinance to be published in the Estes Park Trail,in its issue of Jy ____ , 1965,and that Affidavit of such publication is hereto attached. IN TESTIMONY WHEREOF,I have hereunto set my hand and seal at Estes Park,Colorado,this day of J’(,1965. (S E A L ) ____________________________ Town Clerk -22 -