HomeMy WebLinkAbout~Master - Providing for Issuance of Hospital Bonds ORDINANCE NO. 931
AN ORDINANCE providing for the issuance of
$600,000 Municipal Hospital Bonds of the
City of Ames, Iowa, and providing for the
payment of the principal and interest of
said bonds .
WHEREAS pursuant to Chapter 407 of the Code of Iowa and a
proper petition signed by qualified electors of said City equal in
number to more than twenty-five per cent of those voting at the then
last preceding regular municipal election in and for the City of
Ames, in Story County, Iowa, this City Council did, by resolution
duly adopted on May 13, 1958, order that at a special municipal
election to be held in said City on June 9, 1958, there be submitted
to the voters the proposition of increasing the municipal hospital
facilities of said City by purchasing a site, constructing an addi-
tional hospital building and reconstructing the present municipal
hospital building of said City known as the Mary Greeley Hospital and
contracting indebtedness for such purpose not exceeding $600, 000 and
issuing bonds for such purpose not exceeding $600,000 and levying an
annual tax upon the taxable property in said City not exceeding three
and one-half mills per annum for the payment of said bonds and the
interest thereon; and
WHEREAS notice of said election and of the submission of
said proposition thereat was duly given in manner and form required
by law and said election on said bond proposition was legally held
and conducted on June 9, 1958, and at said election 2681 ballots
were cast on said proposition, of which 1981 votes were cast "Yes"
on said proposition and 648 votes were cast "Noy` on said proposition
and 52 ballots were cast blank or were defectively marked, and it has
been and is hereby found and declared that the vote cast in favor of
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said proposition was equal to at least sixty per cent (60%) of the
total votes cast for and against said proposition at said election
and said proposition has heretofore been and is hereby declared to
have been duly carried and adopted; and
WHEREAS none of said bonds authorized as aforesaid has been
issued and it is deemed advisable at this time to provide for the
issuance of said bonds in the amount of $600,000 and to provide for
the payment of the principal and interest as the same will become
due;
NOW, THEREFORE, Be It Ordained by the City Council of the
City of Ames, Iowa, as follows :
Section 1. That an indebtedness for and on behalf of the
City of Ames, Iowa, in the sum of $600,000 for providing additional
municipal hospital facilities in said City as referred to in the
preamble hereof be contracted, and for that purpose negotiable
coupon bonds of said City in that amount be issued. That said bonds
be each designated as a "Municipal Hospital Bond' , be six hundred
in number, numbered from 1 to 600, inclusive, beef the denomination
of $1000 each, bear date of March 1, 1959, and become due and payable
in numerical order as follows : $30,000 on November 1, 1959, $40,000
on November 1 of each of the years 1960 to 1966, inclusive, $50,000
on November 1 of each of the years 1967 to 1971, inclusive, and
$40,000 on November 1, 1972; provided, however, that the right is
reserved to the City to call and redeem bonds of said issue numbered
361 to 600, inclusive, prior to maturity in whole, or from time to
time in part in inverse numerical order, on November 1, 1967, or on
any interest payment date thereafter, on terms of par and accrued
interest to the date of redemption. In the event any of said bonds
are called for redemption prior to maturity, notice to that effect,
identifying the bond or bonds to be redeemed, shall be published at
least once not less than thirty days prior to the redemption date
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in a newspaper having a general circulation throughout the State of
Iowa. All of said bonds as to which said City reserves and
exercises the right of redemption and as to which notice as aforesaid
shall have been given and for the redemption of which funds are
duly provided, shall cease to bear interest on the redemption date.
Section 2. That the bonds of said issue numbered 1 to 230,
inclusive, shall bear interest from date thereof at the rate of Two
and one-half per cent (2-1/2%) per annum, bonds of said issue
numbered 231 to 310, inclusive, shall bear interest from date thereof
at the rate of Two and three-quarters per cent (2-3/4%) per annum,
and bonds of said issue numbered 311 to 600, inclusive, shall bear
interest from date thereof at the rate of Three per cent (3%) per
annum, all of such interest being payable November 1, 1959, and
semiannually thereafter on the first days of May and November in each
year until the principal thereof is paid or said bonds are called
for redemption prior to maturity as hereinbefore provided.
Section 3 . That said interest to the date of maturity of
the principal shall be evidenced by proper interest coupons attached
to each bond and maturing on the dates herein provided; both princi-
pal of said bonds and the interest thereon shall be payable in law-
ful money of the United States of America, at the office of the City
, Treasurer in the City of Ames, Iowa; that said bonds have the seal
of said City affixed thereto and be signed by the Mayor and attested
by the City Clerk of said City; and that the coupons attached to
said bonds shall be signed and attested by said officials by their
respective facsimile signatures and said officials by the execution
of said bonds shall adopt as and for their own proper signatures
their respective facsimile signatures appearing on the said coupons.
Section 4. That said bonds hereby authorized shall be
subject to registration as to principal in the name of the holder
on the books of the City Treasurer, such registration to be evidenced
by notation upon the back of such bonds so registered. No bonds so
registered shall be subject to transfer except upon such books and
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similarly noted on the back of the bond so registered, unless the
last registration shall have been to bearer . Such registration of
any of said bonds shall not, however, affect the negotiability of
the coupons attached to said bonds, but such coupons shall continue
transferable by delivery merely.
Section 5. That said bonds and the interest coupons to
be thereto attached, shall be in substantially the following form:
(Form of Bond)
UNITED STATES OF AMERICA
STATE OF IOWA
COUNTY OF STORY
CITY OF AMES
MUNICIPAL HOSPITAL BOND
No. $ 1000
KNOW ALL MEN BY THESE PRESENTS: That the City of Ames, in
the County of Story and State of Iowa, hereby acknowledges itself
to owe and for value received hereby promises to pay to bearer, or if
this bond be registered, then to the registered holder hereof, the
sum of One Thousand Dollars ($1000) on the first day of November,
19_, together with interest on said sum from the date hereof at
the rate of per cent ( f) per
annum, payable November 1, 1959, and semiannually thereafter on the
first days of May and November in each year until said principal sum
is paid, except as the provisions hereinafter set forth with respect
to redemption prior to maturity may be and become applicable hereto,
all such interest as may accrue on and prior to the maturity hereof
to be payable only upon presentation and surrender of the interest
coupons hereto attached as they severally become due; both principal
hereof and interest hereon are hereby made payable in lawful money
of the United States of America at the office of the City Treasurer
in the City of Ames, Iowa.
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This bond is one of a series of bonds numbered from 1 to
600, inclusive, issued by said City for municipal hospital purposes
in and for said City in all respects in compliance with Chapter 407
of the Code of Iowa, 1958, and all acts amendatory thereof and
supplementary thereto, in conformity with an ordinance duly passed,
approved, recorded and published, and pursuant to an election duly
called, noticed and held for that purpose .
The City of Ames reserves the right and option to call and
redeem bonds of this issue numbered 361 to 600, inclusive, prior to
maturity in whole, or from time to time in part in inverse numerical
order, on November 1, 1967, or on any interest payment date there-
after, on terms of par and accrued interest to the date of redemption.
Notice of the exercise of such right of redemption, identifying the
bond or bonds to be redeemed, will be published at least once not
less than thirty days prior to the redemption date in a newspaper
having a general circulation throughout the State of Iowa. All of
said bonds as to which said City reserves and exercises the right
of redemption and as to which notice as aforesaid shall have been
given and for the redemption of which funds are duly provided will
cease to bear interest on the redemption date .
It is hereby certified and recited that all acts, condi-
tions, and things required by the Constitution and laws of the State
of Iowa to exist, to be had or to be done precedent to and in the
issuance of this bond, do exist, have happened, been done and per-
formed in regular and due form and time as required by law; that the
indebtedness of said City, including this bond, does not exceed any
constitutional or statutory limitation; and that legal and sufficient
provision has been made for the payment of the principal hereof and
interest hereon as the same will respectively become due .
This bond is subject to registration as to principal in
the name of the holder upon the books of the City Treasurer of said
City, such registration to be noted hereon by said Treasurer, after
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which no transfer hereof, except upon such books and similarly
noted hereon, shall be valid unless the last registration shall have
been to bearer . Registration of this bond will not affect the
negotiability of the coupons hereto attached, which shall continue
negotiable by delivery merely, notwithstanding registration hereof.
IN WITNESS WHEREOF, the said City of Ames, by its City
Council, has caused its corporate seal to be hereunto affixed, and
this bond to be signed by its Mayor and attested by its City Clerk,
and the coupons hereto attached to be signed and attested by said
officials by their respective facsimile signatures, and said
officials, by the execution hereof, do adopt as and for their own
proper signatures, their respective facsimile signatures appearing
on said coupons, all as of the first day of March, 1959.
Mayor
Attest:
City Clerk
(Form of Coupon)
No.
On the first day of , 19 the City of
Ames, Iowa, will pay to bearer
Dollars ($ ) at the office of the City Treasurer, Ames, Iowa,
for interest due that day on its Municipal Hospital Bond dated
March 1, 1959, No.
Mayor
Attest:
City Clerk
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On the back of each bond there shall also be endorsed a
certificate by the City Treasurer evidencing the registration of the
issuance of the bond in substantially the following form:
STATE OF IOWA
SS
COUNTY OF STORY
The issuance of this bond has been duly and
properly registered in my office.
City Treasurer., Ames, Iowa
On the back of each bond provision shall also be made for
registration of ownership in the following form:
Date of Name of Signature of
Registration Registered Owner City Treasurer
Section 6. That said bonds be executed as herein provided
as soon after the adoption of this ordinance as may be, and there-
upon shall be delivered to the Treasurer of said City, who shall
register the fact of the issuance of same in the book provided for
that purpose and shall deliver said bonds to the purchaser thereof,
upon receipt of the purchase price, same to be not less than the
par value of said bonds, all action heretofore taken in connection
with the sale of said bonds being hereby ratified and confirmed in
all respects.
Section 7. That as required by law, including Chapter 76
of the Code of Iowa, 1958, and for the purpose of providing for the
levy and collection of a direct annual tax sufficient to pay the
interest on said bonds as it falls due, and also to pay and dis-
charge the principal thereof at maturity, there be and there is
hereby levied upon all of the taxable property in said City in each
of the years while said bonds or any of them are outstanding, a tax
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sufficient for that purpose, and in furtherance of this provision,
but not in limitation thereof, there be and there is hereby levied
on all the taxable property in said City the following direct annual
tax, to-wit:
For the ear 1958 a tax sufficient to produce the
sum of $41, 101 for principal and interest;
For the year 1959 a tax sufficient to produce the
sum of $55,900 for principal and interest;
For the year 1960 a tax sufficient to produce the
sum of $54,900 for principal and interest;
For the year 1961 a tax sufficient to produce the
sum of $53,900 for principal and interest;
For the year 1962 a tax sufficient to produce the
sum of $52,900 for principal and interest;
For the year 1963 a tax sufficient to produce the
sum of $51,900 for principal and interest;
For the year 1964 a tax sufficient to produce the
sum of $50,900 for principal and interest;
For the ear 1965 a tax sufficient to produce the
sum of $ 9,800 for principal and interest;
For the year 1966 a tax sufficient to produce the
sum of $58,700 for principal and interest;
For the year 1967 a tax sufficient to produce the
sum of $57,200 for principal and interest;
For the year 1963 a tax sufficient to produce the
sum of $55,700 for principal and interest;
For the year 1969 a tax sufficient to produce the
sum of $54,200 for principal and interest;
For the year 1970 a tax sufficient to produce the
sum of $52,700 for principal and interest;
For the 4year 1971 a tax sufficient to produce the
sum of $41,200 for principal and interest;
All action heretofore taken for the levy of the taxes
hereinbefore provided to be levied in the year 1958 for collection
in 1959 is hereby ratified and confirmed in all respects .
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Said taxes shall be levied and assessed in addition to all
other taxes, and when collected, shall be converted into a special
account for the payment of principal and interest of the bonds
hereby authorized and for no other purpose whatsoever .
That the principal or interest coming due at any time when
there are insufficient funds on hand to pay the same be promptly
paid when due from current funds on hand, and reimbursement be
made to such current funds in the sums thus advanced when the taxes
herein provided shall have been collected.
Section 8. That a certified copy of this ordinance be
filed with the County Auditor of Story County and that said Auditor
be and he is hereby instructed, in and for each of the years 1958
to 1971, inclusive, to enter for collection and assess the tax here-
by authorized, all as required and provided by Chapter 76 of the
Code of Iowa, 1958 . When annually entering said taxes for collec-
tion, the County Auditor shall include the same as a part of the
tax levy for debt service fund purposes of said City, and when
collected, the proceeds of said taxes shall be converted into the
debt service fund of said City and set aside therein as a special
account to be used solely and only for the payment of the- principal
of and interest on the bonds hereby authorized and for no other
purpose whatsoever .
Section 9. That all ordinances, resolutions and orders or
parts thereof in conflict herewith be and the same are hereby
repealed.
Passed and approved February 17 , 1959.
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Mayor
Attest: j�
A. �
city r�
Recorded February 17 , 1959•
Published February 20 , 1959•
City Cler
LLM:EP J
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Moved by King and seconded by Smith that Ordinance No. 931 be
passed on its first reading.
Voting Aye: Armstrong, Judge, Smith, Lawlor, King, and Schillette
Voting Nay: None
Moved by Armstrong and seconded by Smith that the rules governing
the passage of ordinances be suspended, the second and third
readings be omitted and Ordinance No. 931 be placed on its final
passage.
Voting Aye: Armstrong, Judge, Smith, Lawlor, King, and Schilletter
Voting Nay: None
Moved by Smith and. seconded by Schilletter that Ordinance No. 931
do now pass.
Voting Aye: Armstrong, Judge, Smith, Lawlor, King, and Schilletter
Voting Nay: None
Mayor De Hart declared Ordinance No. 931 duly adopted.
I , M. W. Jordan, City Clerk of the City of Ames, Iowa, do hereby
certify that the above and foregoing Ordinance No. 931 was duly
and properly passed at a meeting of the City Council on the 17th
day of February, 1959, and published in the Ames Daily Tribune
on the 20th day of February, 1959.
M. W. Jorda City Clerk