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HomeMy WebLinkAboutCity Council Resolutions (R-76-130)-09/21/1976 f.t - lb-/3o A RESOLUTION AND ORDER by the governing body of the City of Colleyville, Texas, making provision for certain securities to be deposited in escrow, pending their delivery to the purchaser; prescrib- ing the terms and conditions of the escrow agree- ment and resolving other matters in connection therewith; cancelling a prior escrow agreement relating to such securities; and providing the effective date. WHEREAS, the governing body of this City has heretofore authorized the issuance of certain securities known as "CITY OF COLLEYVILLE, TEXAS, WpTERWORKS AND SEWER SYSTEM REVENUE BONDS, SERIES 1975-A," Liated July 1, 1975, (hereafter referred to as "special ob liga tions" or "se ,~uri tiE' ,;"), and WHEREAS, pursuant to a loan agreement with the United States Department of Agl"icul ture, Farmer; Home Administration, said Department has agreed to purchase all of the above described securities at a rate of 5% per annum; and WHEREAS, the said Department has provided in the loan agree- ment that it would mal<e a loan or advance against the proceeds of such securities as funds were required by the City, and all of such securities have heretofore been awarded and sold to the United States of America, Farmers Home Administration, United Sta tes Departmen t~ of Agriculture, and that it is now proper to provide a procedure whereby the said securities will be available for delivery to the purchaser to cover the cost of the project coming due within the thirty-day period following the delivery of securities to said purchaser, it being understood that multiple advances or closings will be provided so as to enable such purchas~r to restrict its acceptance of the ~ecurities to those which are actually required to accomplish the purposes indicated, the same being in the interest of the City since interest on the bonds will accrue only after they are delivered to the purchaser: and WHEREAS, by reasUh of a change in the "Registrar" for the securities, the City was required to provide for the re-issuance of the securities and provide for their delivery to take place at THE FIRST NATIONAL BANK OF FORT WORTH, Fort Worth, Texas; and WHEREAS, it is now proper for this Council to provide for the execution of an escrow agreement with THE FIRST NATIONAL BANK OF FORT WORTH, Fort Worth, Texas, and cancel the prior escrow agreement relating to the delivery of the securities with the FIRST NATIONAL BANK, Colleyville, Texas: therefore, BE IT RESOLVED N~D ORDERED BY THE CITY COUNCIL OF THE CITY OF! COLLEYVILLE, TEXAS: SECTION,l: That all of the recitals and findings made in the preamble of this resolution and order are found to be true, are brought forward and adopted as a part of this resolution and order, and as a part of the judgment of this governing body. SECTION 2: That the Mayor of the City is hereby authorized and instructed to cause a complete transcript of proceedings relating to the re-issuance of the securities described in the , preamble hereof to be submitted to the Attorney General of Texas ! and upon approval of the proceedings and securities by the Attorney General to cause the same to be registered by the Comptroller of . Public Accounts of the State of Texas and then transmitted by First Class Registered Mail to The First National Bank of Fort Worth, Fort Worth, Texas. SECTION 3: That said Bank shall forthwith hold all of the securities so received from the Comtroller of Public Accounts in escrow and shall release the same from escrow only in accordance with the provisions of this resolution and order. SECTION 4: That no securities shall be delivered by the Bank to the purchaser until the Bank has been provided with a written instrument signed by the County Supervisor and the Mayor which describes the securities to then be delivered, and such written instrument shall specify it appears the funds to be received by the City will be required for expenditure within the thirty-day period following the delivery of such securities. The following procedure shall be followed: (1) The date of the registration appearing on the back of each special obligation shall be completed to show the date of registration, the same as the date payment is made for the particular obligation, the name of the registered owner (United States of America, Farmers Home Administration), and the Registrar's authorized signature shall be completed. (2) Three copies of the Treasurer's receipt showing payment for the obligations shall be completed, executed and immediately released and mailed to the firm of Dumas, Huguenin, Boothman and Morrow, 1212 United National Bank Building, Dallas, Texas 75201. (3) The obligations for which payment is to be made at that time shall then be delivered to the County Supervisor upon the receipt of the price of par (no accrued interest since the proceedings authorizing the issuance of the special obligations provide interest will begin with the date of the delivery of the special obligations). (4) Immediately following the delivery of any securities, the Bank shall transfer the amount received from the purchase to the City's depository bank to the credit of the special construction account created and established for the payment of costs incurred in connection with the project for which the securities were issued to finance. No securities shall be delivered if the person holding the office of Mayor, City Secretary or City Treasurer is different than, hereinafter set forth unless the bank has specific written author- ' ity to deliver the same from the firm of Dumas, Huguenin, Boothman and Morrow, 1212 United National Bank Building, Dallas, Texas 752010 SECTION 5: That any escrow agreement or this resolution may be modifiea upon the approval of the governing body of the City, the County Supervisor, and the firm of Dumas, Huguenin, Boothman and Morrow, such approval to be in writing and filed with the Bank c SECTION 6: That as used in this resolution and order, the terms'referfo the following persons or institutions: (1) City - City of Co11eyville, Texas; (2) Depository Bank - First National Bank. Co11eyvi11e. Texas,; (3) Bank - Registrar - The First National Bank of Fort Worth, Fort Worth, Texas; (4) Mayor - John A. Andrews; (5) City Secretary or City Clerk - (Mrs.) Julie R. Kearley; (6) City Treasurer - (Mrs.) Julie R. Kearley; (7) Connty Supervisor - Mr. Bobby J. Sparkman SECTION 7: That the Escrow Agreement to be executed pursuant to this resolution and order shall be substantially in the form which is attached hereto as Exhibit A and made a part hereof for all purposes. SECTION 8: That the prior escrow agreement relating to the LecuritiesSY--and between the City and the First National Bank. Colleyville, Texas is hereby cancelled. SECTION 9: That this resolution shall be effective from and aller thedate of .ts passage. PASSED AND APPROVED. this the 21st day of September. 1976. ~~O~~~Texas ATTEST: yvilfe, Texas Seal) ..._.,_....,,-.~-,_...-._-~--~---'''".,~--~~~ .._-'"".."~-^..~._"~,.~---~- ESCROW AGREEMENT '1!'"' ' C"f L0 Jf THE STATE OF TEXAS COUNTY OF TARRANT ~ ~ ~ KNOW ALL MEN BY THESE PRESENTS: THIS AGREEMENT is made and entered into as of the date of execution hereinafter set forth by and between the City of Colley- ville, Texas, hereinafter called "City" and The First National Bank of Fort Worth, Fort Worth, Texas, hereinafter called "Bank:. WIT N E SSE T H WHEREAS, the City, by resolution and order, has provided for the execution of an escrow agreement whereby certain of its securities would be deposited with the Bank for delivery to the ultimaLe purchaser, a copy of such resolution and order being attached hereto and made a part of this escrow agreement for all purposes; and, WHEREAS, the Bank, has and does hereby agree to all of the terms and conditions ~;et out in this instrument and in the said resolution and order; therefore, BE IT AGREED AND UNDERSTOOD: The City shall furnish the Bank with the showings required by the provisions of the resolution and order mentioned in the preamble hereofo The Bank agrees that it will deliver securities and accept payment for them in accordance with the resolution and order. Proceeds from the sale of the securities, when received, will be transferred and credited to a special construction account with the City's depository bank (First National Bank, Colleyville, Texas) in accordance with the directions received from the Hayor and the County Supervisor. IT IS FURTHER mutually agreed that in the event any dispute shall arise as to whether the City has complied with the terms and conditions of this agreement, the Bank shall not be required at its own per~.l to settle such dispute but may tender all of the securities and cash them in its possession which may be in dispute into a court~ of competent jurisdiction (in the county in which the office of the Bank is situated) by bill or interpleader or other- wise, making the City and other parties at interest known to the Bank parties to such suit. Thereupon the Bank shall stand discharge from any or all liability hereunder and shall be entitled to receive its costs including a reasonable attorney's fee, or the Bank may take such other action as it deems appropriate. IN WITNESS WHEREOF, the City and the Bank have caused this agreement to be executed by the respective officers and officials duly authorized to sign on their behalf, as of the 21st day of September, 1976. CITY O~~L~ILLE. ~XA)Y By: C U,- CC~ / Mayor (City Seal) THE FIRST NATIONAL BANK OF FORT WORTH, Fort Worth, Texas BY~~~,/? ~ (Authorized Officer) TRUST OFFICER ATT~S,,\T: // //}' / //1 /J;I; < &?-1?J.: 1.1""" ~/),";:~/,"'l'LC[lohier (~'f'I'<.- . he -' ~ I,.~ -- ((- r (Bank Seal)