HomeMy WebLinkAboutCity Council Resolutions (R-75-099)-01/28/1975
RESOLUTION R-75-99
RESOLUTION AND ORDER by the governing body of the
City of Co1leyville, Texas, making provision for
certain securities to be deposited in escrow,
pending their delivery to the purchaser; prescribing
the terms and conditions of the escrow agreement
and resolving other matters in connection therewith:
and providing the effective date.
WH.EREAS, the governing body of this City has heretofore
authorized the issuance of certain securities known as "CITY
OF COLLEYVILLE, TEXAS, GENERAL OBLIGATION BONDS, SERIES
1975," dated January 1, 1975, and "CITY OF COLLEYVILLE,
TEXAS, WATERWORKS REVENUE CERTIFICATES OF OBLIGATION, SERIES
1975)" dated January 1) 1975, (hereafter referred to collectively
as "special obligations" or "securities"), and
WHEREAS, pursuant to a loan agreement with the United
States Department of Agriculture, Farmers 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
agreement that it would make 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 States Department 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 purchaser
to restrict its acceptance of the securities 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: now, therefore,
BE IT RESOLVED AND ORDERED BY THE CITY COUNCIL OF THE
CITY OF COLLEYVILLE, TEXAS:
SECTION 1: 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: The Mayor of the City is hereby authorized
and instructed to cause a complete transcript of proceedings
relating to the authorization 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
City's depository bank.
SECTION 3: The City's depository bank shall forth-
with noTcraTl ~-of the securities so received from the Comptroller
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: 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 obligation registrar's authorized
signature shall be completed; the obligation registrar
is the person who holds the offfice of City Secretary
or City Clerk, as the case may be, as of the date
payment is made for the special obligations.
(2) With respect to the General Obligation Bonds, the
City Secretary shall stamp on the initial coupon the
amount of interest to be due on January 1 next follow-
ing the delivery of the bonds as prescribed by Section
11 of the ordinance authorizing such bonds. Interest
shall be calculated by the City Secretary on the basis
of five per cent (5%) per annum, three hundred sixty
(360) day basis with interest from date of delivery to
January 1 next following.
(3) 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 Kirby Building,
Dallas, Texas 75201.
(4) The obligations for which payment is to be made at
that time shall then be delivered to the County Super-
visor 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).
(5) The check or Treasury warrants received as payment
for the obligations shall forthwith be deposited by the
Bank into the supervised construction account.
No securities shall be delivered if the person holding
the office of Mayor, City Secretary, City Clerk or City
Treasurer is different than hereinafter set forth unless the
bank has specific written authority to deliver the same from
the firm of Dumas, Huguenin, Boothman and Morrow, 1212 Kirby
Building, Dallas, Texas 75201.
As used in this Section, the term for "securities" and
the term "obligations" mean the certificates of obligation
and the general obligation bonds mentioned in the preamble.
The term II special obligation" means only the revenue certifi-
cates.
SECTION 5: Any escrow agreement or this resolution
may be modified upon the approval of the governing body of
the City, the County Supervisor, and the firm of Dumas,
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Huguenin, Boothman and Horrow, such approval to be in writing
and filed with the Bank.
SECTION 6: As used in this resolution and order,
the terms refer to the following persons or institutions:
(1) City - City of Colleyville, Texa8;
(2) Depo&itory Bank - First National Bank, Colleyville,
Texas;
(3) Bank - the Depository Bank;
(4) Mayor - John A. Andrews;
(5) City Secretary or City Clerk - Ms. M. Louise Ramey;
(6) City Treasurer - Ms. M. Louise Ramey;
(7) County Supervisor -
SECTION 7: 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.
PASSED AND APPROVED, this the 28th day of January, 1975.
ATTEST:
_PtcK~~-
GJ,ty Secretary, City 0 Colleyv le,
Texas
(City Seal)
ESCROW AGREEMENT
THE STATE OF TEXAS
COUNTY OF TARRANT
1
1
1
KNOW ALL MEN BY THESE PRESENTS:
THIS AGREEMENT is made and entered into as of the date
of execution hereinafter set forth by ~nd between the City
of Colleyville, Texas, hereinafter called "City" and First
National Bank, Colleyville, 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 ultimate 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, as the depository bank of the City
for the purposes of this deposit, has and does agree to all
of the terms and conditions set 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 hereof. 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 deposited in a supervised bank account 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 BDnk shall
not be required at its own peril 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 of interpleader or otherwise, making the City and
other parties at interest known to the Bank parties to such
suit. Thereupon the Bank shall stand discharged 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.
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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
day of 1975.
ATTEST:
mc>(~A _
c...~ ~ity Secretary ~
(City Seal)
ATTEST:
Cas
(Bank Seal)
CITY OF COLLEYVILLE, TEXAS
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By: / -/" ~ 0 ,fi d4'~~
/ Mayor
FIRST NATIONAL BANK, COLLEYVILLE,
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