ORD NO 51-1976 ORDINANCE INANCE NO. c- 7`7 72 6
AN ORDINANCE AUTHORIZING THE ISSUANCE OF POLLUTION
CONTROL REVENUE BONDS UNDER ACT NO. 247 OF THE
ACTS OF ARKANSAS FOR THE YEAR 1973, AS AMENDED, FOR
THE PURPOSE OF ASSISTIiNG IN THE FINANCING OF CERTAIN
AIR AND WATER POLLUTION CONTROL, SEWERAGE AND SOLID
WASTE DISPOSAL FACILITIES (THE PARTICULAR FACILITIES
ARE DESCRIBED IN THE ORDINANCE); AUTHORIZING THE
EXECUTION AND DELIVERY OF A TRUST INDENTURE SECURING
THE BONDS; AUTHORIZING AND PRESCRIBING OTHER MATTERS
PERTAINING TC THE ACQUISITION, CONSTRUCTION AND
EQUIPMENT OF THE FACILITIES AND THE FINANCING THEREOF;
AND DECLARING AN EMERGENCY.
WHEREAS, the City of Van Buren, Arkansas (the "City is a duly
organized and existing municipality, a city of the first class, under the laws
of the State of Arkansas with full and lawful power and authority to execute
the Indenture, acting by and through its City Council, in the public interest
and for a public purpose in connection with the controlling and abating of
industrial pollution, disposing of sewerage and solid waste, insuring the
retention of existing and adding employment and contributing to the welfare
and prosperity of the City and its inhabitants, all pursuant to the provisions
of Act No. 247 of the Acts of Arkansas of 1973, as amended (the "Act and
WHEREAS, arrangements have been made with Diamond Shamrock
Corporation, a Delaware corporation "Diamond Shamrock for an industrial
plant consisting of lands, buildings, improvements, machinery, equipment
and facilities (the "Industrial Plant and
WHEREAS, the City has undertaken to furnish the permanent financing
of certain industrial machinery and equipment to be installed in the Industrial
Plant by the issuance of Industrial Development Revenue Bonds under Act No.
4110
9 of the First Extraordinary Session of the Sixty- Second General Assembly of
the State of Arkansas, approved January 21, 1960, as amended, and of cer-
tain pollution control facilities (hereinafter identified and referred to as the
"Facilities to be installed in the Industrial Plant by the issuance of Pollution
Control Revenue Bonds under the Act; and
/1
WHEREAS, the Facilities will be owned by the City and sold to
Diamond Shamrock pursuant to the provisions of a Sale Agreement, dated as
of December 1, 1976; and
WHEREAS, the Bonds will be dated, will bear interest, mature and be
subject to redemption as hereinafter set forth in the form of Indenture authorized
by this Ordinance;
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City
of Van Buren, Arkansas:
Section 1. That there be, and there is hereby authorized and directed
the following:
(a) The sale of the Bonds to Thornton, Farish Gauntt,
Inc., Montgomery, Alabama, and the execution by
the Mayor and City Clerk of a Bond Purchase Agreement
with such purchaser for the price and pursuant to the
terms recommended by Diamond Shamrock (a copy of
which shall be filed in the office of.the City Clerk);
(b) The acquiring, constructing and equipping of the
Facilities in accordance with the provisions of the
Sale Agreement; and
(c) The performance of all obligations of the City under
the Sale Agreement pertaining to the acquiring,
constructing and equipping of the Facilities.
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Section 2 That Pollution Control Revenue Bonds of the
City under the Act in the principal amount of up to $1,700,000 are hereby autho-
rized. To prescribe the terms and conditions upon which the Bonds are to be
executed, authenticated, issued, accepted, held and secured, the
Mayor is hereby authorized and directed to execute and acknowledge a Trust
Indenture (the "Indenture and the City Clerk is hereby authorized and
directed to execute and acknowledge the Indenture and to affix the seal of
the City thereto, and the Mayor and City Clerk are hereby authorized and
directed to cause the Indenture to be accepted, executed and acknowledged
by the Trustee. The Indenture, which constitutes and is hereby made a
part of this Ordinance, shall be in substantially the following form, to wit:
Section 3. That the Mayor and City Clerk, for and on behalf of the
City, be, and they are hereby, authorized and directed to do any and all
things necessary to effect the execution and delivery of the Indenture, its
execution and acceptance by the Trustee, the performance of all obligations
40 of the City under and pursuant to the Indenture, the.execution and delivery
of the Bonds, the execution and delivery of an Official Statement, and the
performance of all acts of whatever nature necessary to effect and carry out
the authority conferred by the Indenture and by this Ordinance. That the
Mayor and City Clerk be, and they are hereby, further authorized and directed,
for and on behalf of the City, to execute all papers, documents, certificates
and other instruments that may be required for the carrying out of such authority
or to evidence the exercise thereof.
Section 4. That the provisions of this Ordinance are hereby declared
to be separable, and if any section, phrase or provision shall for any reason
be declared to be invalid, such declaration shall not affect the validity of the
remainder of the sections, phrases and Provisions.
Section 5. That all ordinances, resolutions and parts thereof in con-
flict herewith are hereby repealed to the extent of such conflict.
Section 6. That there is hereby found and declared to be an immediate
need for the securing and developing of industry in order to provide employment
and payrolls, alleviate unemployment and otherwise benefit the public health,
safety and welfare of the City and the inhabitants thereof, and the issuance of
the Bonds authorized hereby and the taking of the other action authorized
hereby are immediately necessary for the accomplishing of these public benefits
and purposes. It is, therefore, declared that an emergency exists and this
Ordinance being necessary for the immediate preservation of the public peace,
health and safety shall be in force and effect immediately upon and after its
passage.
PASSED: November 15 1976.
APPROVED:
ATTEST:
nee
City Clerk Vtoe`May e
(SEAL)
CERTIFICATE
The undersigned, City Clerk of Van Buren, Arkansas, hereby
certifies that the foregoing paces are a true, correct and compared copy of
Ordinance No. 51 -1976 of the City of Van Buren, Arkansas, passed at a
special session of the City Council of Van Buren, Arkansas, held
at the regular meeting place of the Council at 7:30 o'clock p .m., on
the 15th day of November 1976, and that the Ordinance is of
record in Ordinance Record Book No. at Page now
in my possession.
GIVEN under my hand and the seal of the City this 15th clay of
November 1976.
City Clerk
(SEAL)