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ORD NO 36-1974 ORDINANCE NO. 36 1974 AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS UNDER ACT NO. 9 OF THE FIRST EXTRAORDINARY SESSION OF THE SIXTY SECOND GENERAL ASSEMBLY OF THE STATE OF ARKANSAS, APPROVED JANUARY 21, 1960, AS AMENDED, FOR THE PURPOSE OF SECURING AND DEVELOPING INDUSTRY (THE PARTICULAR INDUSTRIAL PROJECT IS DESCRIBED IN THE ORDINANCE); AUTHORIZING THE EXECUTION AND DELIVERY OF A TRUST INDENTURE SECURING THE BONDS; AUTHORIZING AND PRESCRIBING OTHER MATTERS PERTAINING TO SAID INDUSTRIAL PROJECT, THE CONSTRUCTING THEREOF AND THE FINANCING THEREOF; AND DECLARING AN EMERGENCY. WHEREAS, the city Van Buren, Arkansas (called "City is authorized by Act No. 9 of the First Extraordinary Session of the Sixty- second General Assembly of the State of Arkansas, approved January 21, 1960, as amended (called "Act No. 9 to acquire lands, construct and equip manufacturing buildings, improvements and facilities and to incur other costs and expenses and make other expenditures incidental to and for the implementing and accomplishing of the conduct of manufacturing operations; and WHEREAS, the City is authorized by Act No 9 to issue Industrial Development Revenue Bonds payable for revenues derived from the INdustrial project so acquired and constructed and secured by a lien thereon; and WHEREAS, the necessary arrangements have been made with FARMERS COOP. OF ARKANSAS AND OKLAHOMA, (called "Farmers to construct an industrial project, which project will consist of lands, buildings, improvements, and facilities b� be operated for a store, warehouse, and general office and for other purposes in its corporate authority with necessary incidental expenses and expenditures in connection' therewith (called the "Project" or the "Industrial Project and to lease the Project to Farmers pursuant to the terms of a Lease Agreement (referred to as the "Lease Agreement and WHEREAS,financing of the Project costs, necessary costs and expenditures incidental thereto and the expenditious commencement of operationts, the cost of the issuanc of bonds is being furnished by the issuance of Industrial Development Revenue Bonds by the City under the provision of Act No. 9 in the principal amount One Million Five Hundred Thousand Dollars (1,500,000.00) (called "bonds "or "Act No 9 Bonds and WHEREAS, THERE.HAS BEEN SUBMITTED TO THE ELECTORS OF THE City the question of issuing the Act 9 Bonds at a special election, and at said election the electors approved the issuance of the Act 9 Bonds; and WHEREAS; THE City has sold the said Act 9 Bonds to Reynolds Securities, Inc.; 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, approved, authorized and directed the following: (a) The sale of the bonds to the purchaser identified above; and (b) The acquisition of the title to the lands embodied in the Project (hereafter described in the form of Trust Indenture authorized by this Ordinance). Section 2. That the Industrial Development Revenue Bonds of the City under 4 Act No. 9 in the total principal amount of One Million Five Hundred Thousand Dollars ($1,500,000), (Called "Bonds are hereby authorized and ordered issed, and to prescribe the terms and conditions upon which the bonds are to be secured, executed, authenticated, accepted and held, the Mayor is hereby authorized and directed to execute and acknowledge the Trust Indenture, and the City Clerk is hereby authorized and directed to execute andacknowledge the Trust Indenture and to affix the seal of the City thereto, and the Mayor and City Clerk are hereby authorized and directed to cause the Trust Indenture to be accepted, executed and acknowledged by the Trustee, with the Trust Indenture, which constitutes and is hereby made a part of this Ordinance, to be in substantially the following form, to -wit: (Advice is hereby given that a copy of the form of Trust Indenture is on file in the office of the City Clerk, and reference may be had thereto by any interested person.) Section 3. That the Mayor and City Cler$, for and'on behalf of the City, be, and the are hereby, authorized and directed to do any and all things necessary to effect the execution of the Trust Indenture, its execution and acceptance by the Trustee, the per- formance of all obligations of the City under and pursuant to the Trust Indenture, the execution and delivery of the bonds, and the performance of all other acts of whatever nature necessary to effect and carry out the authority conferred by this Ordinance and by the Trust Indenture. 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 the lip authority conferred by this Ordinance and the Trust Indenture or to evidence said authority and its exercise. Section 4. That since we are here involved with the constructing and equipping of a complex industrial project requiring highly specialized work and specialized types of machinery and equipment and materials, it has been and is hereby determined that competitive bidding is not feasible or practical. THEREFORE, any requirements under ordinances of the City or under the general laws of the State of Arkansas for competitive bidding be, and the same are hereby, waived for this particular Project. This action is taken by the City Council pursuant to the authority conferred by Act No. 9 and because the action so taken has been made a condition precedent to the securing and developing of this particular Industrial Project. Section 5. 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 6. That all ordinances, resolutions and parts thereof in conflict herewith are hereby repealed to the extent of such conflict. Section 7. That there is hereby found and declared to be an immediate need for the securing and developing of substantial industrial operations in order to provide additional employment, 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 herein are immediately necessary in connection with the securing and developing of substantial industrial operations and deriving the public benefits referred to above. IT IS, THEREFORE, declared that an emergency exists and this Ordinance being necessary for the immediate preservation of the public health, safety and welfare shall be in force and take effect immediately upon and after its passage. Passed: November 27, 1974. APPROVED: Mayor ATTEST: City Clerk 4204/ 1/142 1-tAll(;-)4;;Lfr).11.