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HomeMy WebLinkAbout09304-A ORD - 04/01/1969• THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI On this the 1st day of April, 1969, the Cit cil of t4 City of Corpus Christi, Texas, convened in Meeting, with the following members of said Council resent, to -wit: Jack R. Blackmon Mayor V. A. Bradley, Jr, li Gabe Lozano, Sr, Commissioners W. J. Roberts Ronnie Sizemore T. Ray Kring Ci y Secr ry r with the following absent: / I constituting a quorum, t hich time t e ollowing among other I' business was transacted: Mr, Blackmon, Mayor, presented for the consideration of the Council an ordinance. The ordinance was read by the City Secretary. The Mayor presented to the Council a communication in writing pertaining to said proposed ordinance, as follows: III "Corpus Christi, Texas April 1, 1969 "TO THE CITY COUNCIL Corpus Christi, Texas Gentlemen: j The public importance and pressing need for the permanent improvements to be constructed by use of the proceeds the bonds voted at elections held on June 27,1964, January 28, 1967, and July 13, 1968, create an emergency and an imperative public necessity requiring the suspension of rules and Charter provisions requiring ordinances to be considered and voted upon at three regular meetings. "I, therefore request that the City Council pass the proposed ordinance authorizing the issuance of $3,430,000 General Improvement Bonds as an emergency. You will please consider this request in connection with the ordinance which has been introduced in the City Council on this subject. "Yours very truly, /s/ Jac R. Blackmon, Mayor. Commissioner M moved that the Charter pro- vision prohibiting ordinances from being passed finally on the date introduced be suspended for the reasons stated in the written request of the Mayor and stated in the emergency 1 se of the ordinance. The motion was seconded by Commissioner The motion was carried by a unanimous vote by City Council, viz: AYES: Commissioners Bradley, 3imenez, Lozano, McDaniel, Roberts and Sizemore. NOES: None. I The Mayor requested that the records show that he voted Aye. This was do Commissioner m �ed hat the o rdinance be ssed finally. The mo n was s by Commissioner The motion was carried by the following vote: AYES: Commissioners Bradley, Jimenez, Lozano, McDaniel, Roberts and Sizemore. NOES: None. The Mayor requested that the records show that he voted Aye. This was done. The Mayor announced that the ordinance had been passed. The ordinance is as follows: • ORDINANCE NO. D - • BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, PROVIDING FOR THE ISSUANCE OF $3,430,000 CITY OF CORPUS CHRISTI, TEXAS, GENERAL IMPROVEMENT BONDS, SERIES 1969, BEAR- ING INTEREST AT THE RATES HEREINAFTER SET FORTH, AND PROVIDING FOR THE LEVY, ASSESSMENT AND COLLECTION OF A TAX SUFFICIENT TO PAY THE INTEREST ON SAID BONDS AND TO CREATE A SINK- ING FUND FOR THE REDEMPTION THEREOF AT MATURITY; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH AND DECLARING AN EMERGENCY. WHEREAS, it is deemed advisable and to the best interest of the City that various purpose bonds authorized at elections heretofore held in said City be combined in a single issue and sold at this time, the dates of election, amount of f bonds authorized thereat, purpose, amount of bonds previously !sold and the amount now to be sold being as follows: DATE OF AMOUNT AMOUNT PRE - AMT NOW !ELECTION AUTHORIZED PURPOSE VIOUSLY SOLD OFFERED ;6 64 $1,500,000 Sanitary Sewer Imp. $1,300,000 $ 200,000 1/28/67 5,965,000 Street Improvements 3,174,000 1,655,000 1/28/67 975,000 Drainage Improvements 700,000 275,OD0 7/13/68 2,500,000 Airport Improvements -0- 1,300,000 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: 1. That said City's coupon bonds to be designated the I "City of Corpus Christi, Texas, General Improvement Bonds, Series 1969," are hereby authorized to be issued and delivered in accord- ance with the Constitution and laws of the State of Texas in the principal amount of $3,430,000 for the following purposes, to- wit: t' $200,000 for the purpose of constructing improvements to the sani -I 'tary sewerage system of the City; $1,655,000 for the purpose of improving the streets of the City, including Gollihar from Dody to Greenwood, Alameda from Montclair to Ocean Drive, Ocean Drive from Louisiana to Alameda, Everhart from Avalon to Staples and from Pad Island Drive to.Holly Road, McArdle from Crosstown Expressway to Greenwood, Highland from Port to Morgan, Flores from Highway 44 to Lipan, Weber from Padre Island Drive to Del Starr and other street ill and sidewalk improvements; $275,000 for the purpose of con- structing drainage improvements, including the Clarkwood area, Waldron Road- Glenoak area, Lamont, Gollihar Park Area, McArdle -Dodd and Viola Area, Greenwood - Lawton Area, Crockett Heights -San Diego Area, Edgewater Terrace and other neighborhood drainage improvements, and $1,300,000 for the purpose of enlarging, improving and equipping the City's Airport, including runway and taxiway extensions and improvements The portion of this issue of bonds issued for the purpose of enlarging, improving and equipping the Airport are issued pursuant to the provisions of Chapter 114, Acts of the 50th Legislature, for the purposes authorized to be accomplished by that Act. 2, That said bonds shall be dated April 1, 1969, shall be numbered consecutively from 1 through 686, shall be in the denomination of $5,000 each, and shall mature and become due and payable serially on April 1 in each of the years, and in the amounts, respectively, as set forth in the following schedule YEAR AMOUNT YEAR AMOUNT 1970 $100,000 1980 $200,000 1971 100,000 1981 200,000 1972 100,000 1982 200,000 1973 100,000 1983 200,000 1974 100,u00 1984 200,000 1975 100,000 1985 250,000 1976 130,000 1986 250,000 1977 150,000 1987 250,000 1978 150,000 1988 250,000 1979 150,000 1989 250,000 3. That as to said bonds scheduled to mature on and after April 1, 1980, said City shall have the right and option to redeem such bonds prior to their scheduled maturities, in 'whole or in part, in their inverse numerical order, on April 1, 1979, or on any interest payment date thereafter, for the prin- cipal amount thereof plus accrued interest to the date fixed for redemption, plus a premium of 2z7., such premium to be reduced on April 1, 1980 to 2k%, with a further reduction of k of 17. on April 1 of each year thereafter. At least thirty days before the date fixed for any such redemption, the City shall cause a written notice of such redemption to be published at least once in a financial publica- tion printed in the City of New York, New York. By the date fixed for any such redemption, due provision shall be made with the paying agents for the payment of the principal amount of the bonds to be so redeemed, plus accrued interest thereon to the date fixed for redemption and any premium as required above. If the written notice of redemption is published, and if due pro- vision for is made, all as provided above, the bonds, which are to be so redeemed, thereby automatically shall be redeemed prior to maturity, and they shall not bear interest after the date fixed for redemption, and shall not be regarded as being out- standing except for the purpose of receiving the funds so pro- vided for such payment. 4. That said bonds shall bear interest from their date, until maturity or redemption, at the following rates: all bonds scheduled to mature during the years 1970 through Id/_ _ `S o7 per annum; 'I all bonds scheduled ca mature during r the years 19p} through 199.7--- �, o% per annum; all bonds scheduled ��to mature during r the years 19J lL through 19fY- -- 13©% per annum; all bonds scheduled to to mature during the years 19 through 19 �� - -- 07o per annum; all bonds scheduled to mature during i the years 19 the - -- J 6 % per annum; with said interest to be evidenced by interest coupons payable on October 1, 1969, and semi - annually thereafter on each April 1 and October 1. 5. That the principal of and interest on said bonds I shall be payable to bearer, in lawful money of the United States of America, without exchange or collection charges to the bearer, I upon presentation and surrender of proper bond or interest coupo , at Corpus Christi State National Bank, Corpus Christi, Texas, or at the option of the bearer, at The Chase Manhattan Bank (Nation P , -� it al Association), New York, New York, or at Harris Trust and Savings Bank, Chicago, Illinois, which places shall be the paying agents for said bonds. 6. That each of said bonds and interest coupons shall be signed by the imprinted or lithographed facsimile signa- ture of the Mayor of said City and countersigned by the imprinte or lithographed facsimile signature of the City Secretary of sai City, and the official seal of said City shall be impressed, or printed, or lithographed on each of said bonds. 7. That the form of said bonds, including the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be printed and endorsed on each bond, I and the form of the interest coupons to be attached to said I bonds, shall be, respectively, substantially as follows: (FORM OF BOND) N0, $5,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI, TEXAS GENERAL IMPROVEMENT BOND SERIES 1969 On April 1, 19_, the City of Corpus Christi, in the County of Nueces, State of Texas, promises to pay to bearer the principal amount of FIVE THOUSAND DOLLARS and to pay interest thereon, from the date hereof, `at the rate of 7 per annum, evidenced by interest coupons payable October 1969, and semi - annually thereafter on each April 1 and October 1 while this bond is outstanding. The principal of this bond and the interest coupons attached hereto shall be payable to bearer, in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrend of this bond or proper interest coupon, at the Corpus Christi Stat ,National Bank, Corpus Christi, Texas, or, at the option of the bearer, at The Chase Manhattan Bank (National Association), New York, New York, or at Harris Trust and Savings Bank, Chicago, Illinois, which places shall be the paying agents for this Series of bonds. This bond is one of a Series of coupon bonds dated April 1, 1969, issued in the principal amount of $3,430,000 for the following purposes, to -wit: $200,000 for the purpose of con- j structing improvements to the sanitary sewerage system of the City; $1,655,000 for the purpose of improving the streets of the City, including Gollihar from Dody to Greenwood, Alameda from Montclair to Ocean Drive, Ocean Drive from Louisina to Alameda, Everhart 'from Avalon to Staples and from Padre Island Drive to Holly Road, McArdle from Crosstown Expressway to Greenwood, Highland from Port to Morgan, Flores from Highway 44 to [Lipan, Weber from Padre Island Drive to Del Starr and other street and sidewalk improvements; $275,000 for the purpose of constructing drainage improvements, including the Clark - wood area, Waldron Road - Glenoak area, Lamont, Gollihar Park ;Area, McArdle -Dodd and Viola Area, Greenwood - Lawton Area, Crockett Heights -San Diego Area, Edgewater Terrace and other neighborhood ,drainage improvements, and $1,300,000 for the purpose of enlarg- u ,ing, improving and equipping the City's Airport, including runway and taxiway extensions and improvements. The portion of this issue of bonds issued for the purpose of enlarging, improving sand equipping the Airport are issued pursuant to the provisions h • of Chapter 114, Acts of the 50th Legislature, for the purposes it o authorized to be accomplished by that Act. The bonds of this Series scheduled to mature on and after April 1, 1980, may be redeemed prior to their scheduled ii maturities, in whole, or in part in inverse numerical order, at the option of said City, on April 1, 1979, or on any interest payment date thereafter, for the principal amount thereof plus b accrued interest to the date fixed for redemption, plus a premium of 227, such premium to be reduced on April 1, 1980 to 24/, with a further reduction of k of 1% on April 1 of each year thereafter At least thirty days before the date fixed for any such redemp- tion the City shall cause a written notice of such redemption to be published at least once in a financial publication printed in the City of New York, New York. By the date fixed for any such redemption, due provision shall be made with the paying agents for the payment of the principal amount of the bonds to be redeemed, plus accrued interest thereon to the date fixed for redemption, and any premium as required above. If the written notice of redemption is published, and if due provision for such payment is made, all as provided above, the bonds, which are to be so redeemed, thereby automatically shall be redeemed prior to maturity, and they shall not bear interest after the date fixed for redemption, and shall not be regarded as being outstanding except for the purpose of receiving the funds so provided for such payment. It is hereby certified and recited that this bond has been duly and validly voted, authorized, issued, and delivered in it accordance with the Constitution and laws of the State of Texas; that this bond is a general obligation of said City, issued on the full faith and credit thereof; and that the ad valorem taxes,i upon all taxable property in said City, necessary to pay the interest on and principal of this bond, as such interest comes due, and such principal matures, have been pledged irrevocably P for such purpose, within the limit prescribed by law. In witness whereof, this bond and the interest coupons attached hereto have been signed by the imprinted or lithographed facsimile signature of the Mayor of said City and countersigned by the imprinted or lithographed facsimile signature of the City Secretary of said City, and the official seal of said City has been duly impressed, or printed, or lithographed on this bond. City Secretary, City of Corpus Mayor, City of Corpus Christi, Christi, Texas Texas (FORM OF REGISTRATION CERTIFICATE) COMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER N0, I hereby certify that this bond has been examined, certified as to validity, and approved by the Attorney General of the State of Texas; and that this bond has been registered by the Comptroller of Public Accounts of the State of Texas. Witness my signature and seal this Comptroller of Public Accounts of the State of Texas (FORM OF INTEREST COUPON) NO. $ On 19_, the City of Corpus Christi, in the County of Nueces, State of Texas, promises to pay to bearer, unless due provision has been made for the redemption prior to maturity of the bond to which this interest coupon is attached, the amount of Dollars in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrender of this interest i coupon, at the Corpus Christi State National Bank, Corpus Christi Texas, or, at the option of the bearer, at The Chase Manhattan Bank (National Association), New York, New York, or at Harris Trust and Savings Bank, Chicago, Illinois, said amount being interest due that day on the bond, bearing the number herein- ; after designated, of that issue of City of Corpus Christi, Texas, General Improvement Bonds, Series 1969, dated April 1, 1969. Bond No. City Secretary Mayor 8. That a special fund or account, to be designated the "City of Corpus Christi, Texas, General Improvement Ponds, Series 1969, Interest and Sinking Fund" is hereby created and i� shall be established and maintained by said City at its official depository bank. Said Interest and Sinking Fund shall be kept separate and apart from all other funds and accounts of said City, and shall be used only for paying the interest on and principal of said bonds. All taxes levied and collected for and on account of said bonds shall be deposited, as collected, to the credit of said Interest and Sinking Fund. During each year while any of said bonds or interest coupons appertaining thereto are outstanding and unpaid, the City Council of said City shall compute and ascertain the rate and amount of ad j valorem tax, based on the latest approved tax rolls of said City, with full allowances being made for tax delinquencies and costs of tax collections, which will be sufficient to raise and produce the money required to pay the interest on said bonds as such interest comes due, and to provide a sinking fund to pay the principal of such bonds as such principal matures, but never less than 2% of the original principal amount of said bonds as a sinking fund each year. Said rate and amount of ad valorem tax is hereby ordered to be levied and is hereby levied against all taxable property in said City for each year while any of said bonds or interest coupons appertaining thereto are outstanding and unpaid, and said ad valorem tax shall be assessed and col- lected each such year and deposited to the credit of the afores II Interest and Sinking Fund. Said ad valorem taxes necessary to pay the interest on and principal of said bonds, as such interest comes due, and such principal matures, are hereby pledged irrevocably for such purpose, within the limit prescribed by law. 9. That the Mayor oz said City is hereby authorized to have control of said bonds and all necessary records and proceedings pertaining to said bonds pending their delivery and their investigation, examination, and approval by the Attorney General of the State of Texas, and their registration by the Comptroller of Public Accounts of the State of Texas. I Upon registration of said bonds, said Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller) shall manually sign the Comptroller's Registration Certificate prescribed herein to be printed and endorsed on each bond, and the seal of said Comptroller shall be impressed, or printed, or lithographed on each of said bonds. 10. t said bonds are hereby sold and shall be delivered to//" for the principal amount thereof and ac 2 ed interest to date of delivery, plus a premium of $4` 11. That all ordinances and resolutions or parts thereof in conflict herewith are hereby repealed. 12. The fact that the contemplated use of the proceeds of the bonds is necessary for the orderly development and growth of the City of Corpus Christi, Texas, creates a public emergency and an imperative public necessity requiring the suspension of the Charter Rule providing that no ordinance or resolution shall be passed finally on the date it is introduced and that such ordinance or resolution shall be read at three several meetings of the City Council and the Mayor having declared that such public emergency and imperative necessity exist, and having requested that said Charter Rule be suspended and that this ordinance take effect and be in full force and effect from and after its passage, it is accordingly so ordained. PASSED AND APPROVED, this the �_ day of April, 1969. / M y r, City -of Corpus Christi, Texas ATTEST: City Secretary, City of Corpus Christi, Texas The foregoing ordinance was approved prior to passage as to form and correctness this day of April, 1969. s C� 6 "'Z City Attorney, City f Corpus Christi, Texas THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify that the above and foregoing is a true, full and correct copy of an ordinance passed by the City Council of the City of Corpus Christi, Texas, (and of the minutes pertaining thereto) on the 1st day of April, 1969, authorizing the issuance of $3,430,000 City of Corpus Christi, Texas, General Improvement Bonds, Series 1969, which ordinance is duly of record in the minutes of said City Council, and said meeting was open to the public as required by law. EXECUTED UNDER MY HAND AND SEAL OF SAID CITY, this the day of April, 1969. City Secretary, City of Corpus Christi, Texas (SEAL) M THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI On this the 1st day of April, 1969, the City, Council of the City of Corpus Christi, Texas, convened in Meeting, with the following members of said Council resent, to -wit: Jack R. Blackmon Mayor V. A. Bradley, Jr. M. D. Gabe Lozano, Sr. Commissioners W. J. Roberts Ronnie Sizemore T. Ray Kring City Secretary with the following absent: Cy 1 constituting a quorum, a . hich time a following among other f business was transacted: Mr. Blackmon, Mayor, presented for the consideration of the Council an ordinance. The ordinance was read by the City Secretary. The Mayor presented to the Council a communication in writing pertaining to said proposed ordinance, as follows: "Corpus Christi, Texas April 1, 1969 "TO THE CITY COUNCIL Corpus Christi, Texas ^_entlemen: For the reasons set forth in the emergency clause of the foregoing ordinance, a public emergency and imperative necessity exist for the suspension of the Charter rule or requirement that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be read at three meetings of the City Council, I, therefore, hereby request that you suspend said Charter rule or requirement and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, /s /Jack R. Blackmon, Mayor." 373d�/- -.6 Commissioner moved that the Charter provision prohibiting ordinances 4fomb. passed finally on the date introduced be suspended for the reasons stated in the written request of the Mayor and stated in the emergency claus of the ordinance. The motion was seconded by Commissioner The motion was carried by the unanimous vote of the Ci Council, viz: AYES: Commissioners Bradley, Jdimenm , Lozano, Mc,Daalel, Roberts and Sizemore. NOES: None. The Mayor requested that the records show that he voted "Aye." This was do . Commissioner ) moved that the ordinance be p sed finally. The mo was seconded by Commissioner he motion was carried by the following vote: AYES: Commissioners Bradley, Jimenez, Lozano, McDaniel, Roberts and Sizemore. NOES: None. The Mayor requested that the records show that he voted "Aye." This was done. The Mayor announced that the ordinance had been passed. The ordinance is as follows: 2 ORDINANCE N0, Cl • ' AUTHORIZING THE ISSUANCE OF FIRST MORTGAGE WATERWORKS REVENUE BONDS IN THE AMOUNT OF $3,500,000, FOR THE PURPOSE OF IMPROVING AND EXTENDING THE CITY'S WATERWORKS SYSTEM; PLEDGING THE NET REVENUES OF THE CITY'S WATERWORKS SYSTEM; AUTHORIZING THE EXECUTION AND DELIVERY OF A DEED OF TRUST FURTHER SUP- PLEMENTING THE DEED OF TRUST SECURING CITY OF CORPUS CHRISTI FIRST MORTGAGE WATERWORKS REVENUE REFUNDING BONDS, SERIES 1953, SUCH SUPPLEMENTAL DEED OF TRUST PROVIDING THE SECURITY FOR THE BONDS AUTHORIZED BY THIS ORDINANCE; ORDAINING OTHER MATTERS RELATING TO THE SUBJECT AND DECLARING AN EMERGENCY. WHEREAS, heretofore on the 5th day of August, 1959, the City Council of the City of Corpus Christi, Texas, passed an ordinance calling an election to be held in said City on the 29th day of August, 1959, on several propositions, including the question of the issuance of $3,500,000 of First Mortgage Water- works Revenue Bonds; and WHEREAS, said election was duly and legally held on the 29th day of August, 1959, at which election a majority of the legally qualified electors owning taxable property in the City of Corpus Christi, Texas, and who had duly rendered the same for taxation, voting at said election sustained the proposition to issue said bonds; and WHEREAS, heretofore $3,160,000 of such bonds have been issued, anal there remains to be issued of such bonds $340,000 in principal amount thereof; and WHEREAS, heretofore on the 19th day of June, 1968, the City Council of the City of Corpus Christi, Texas, passed an ordinance calling an election to be held in said City on the 13th day of July, 1968, on several propositions, including the question of the issuance of $4,500,000 of Waterworks Revenue Bonds; and WHEREAS, said election was duly and legally held on the 13th day of July, 1968, at which election a majority of the legally qualified electors owning taxable property in the City of Corpus Christi, Texas, and who had duly rendered the same 3 for taxation, voting at said election sustained the proposition to issue the bonds hereinafter described by the following vote: PROPOSITION N0, 1 5044 VOTES: FOR ) THE ISSUANCE OF $4,500,000 WATERWORKS SYSTEM IMPROVE - 4065 VOTES: AGAINST ) MENT REVENUE BONDS as is reflected in the election returns heretofore filed with the City Secretary; and WHEREAS, heretofore in accordance with the provisions of the Constitution and laws of the State of Texas and the Charter of the City, the City Council authorized the issuance of City of Corpus Christi, Texas, First Mortgage Waterworks Revenue Refunding Bonds, Series 1953 (hereinafter called the "Series 1953 Bonds "), in the principal amount of $3,831,000, dated December 1, 1953, with interest payable June 1, 1954, and there- after semi - annually on December 1 and June 1 of each year, matur- ing serially as more fully set forth in the ordinance authorizing the issuance of said bonds; and WHEREAS, for the purpose of securing the payment of the Series 1953 Bonds, and the parity bonds to be there- after issued, and for the purpose of providing for the fixing in more detail the rights of the holders thereof, and of the City and of the Trustee, and for the purpose of making an effective deed of trust lien on the City's Waterworks System and the lien of said bonds on the revenues of the waterworks system, the ordinance authorizing the issuance of the Series 1953 Bonds authorized the execution of a deed of trust (here- inafter called the "Deed of Trust ") to be dated as of December 1, 1953, by and between the City and Mercantile National Bank at Dallas, as Trustee, (hereinafter called the "Trustee "); and 4 WHEREAS, Section 14 of the ordinance authorizing the issuance of the Series 1953 Bonds contained the follow- ing provision: "14. Additional Waterworks System Revenue Bonds may be issued to be secured by a pledge of the revenues and a lien upon the properties of the Waterworks System and upon the franchise of the System of equal dignity with the pledge and liens securing the Waterworks Revenue Refunding Bonds, herein authorized, provided that such Additional Waterworks Revenue Bonds shall be issued for improvements or extensions or repairs or replacements of and to the Waterworks System or for any one or more or all of such purposes, subject to the limitations contained in Article II of said Deed of Trust, hereinabove in Section 11 made a part of this ordinance." and WHEREAS, heretofore in accordance with the provisions of the Constitution and laws of the State of Texas and the Charter of the City, the City Council authorized the issuance of City of Corpus Christi First Mortgage Waterworks Revenue Bonds, Series 1954 (hereinafter called the "Series 1954 Bonds "), in the princi- pal amount of $7,000,000, dated February 1, 1954; Series 2 of 1954 Bonds (hereinafter called the "Series 2 of 1954 Bonds "), in the principal amount of $500,000, dated October 1, 1954; Series 1955 Bonds (hereinafter called the "Series 1955 Bonds "), in the principal amount of $500,000, dated December 1, 1955; Series 1960 Bonds (hereinafter called the "Series 1960 Bonds "), in the prin- cipal amount of $1,960,000, dated June 1, 1960; and the Series 1962 Bonds (hereinafter called the "Series 1962 Bonds "), in the principal amount of $1,200,000, dated June 1, 1962, 5 with interest payable semi- annually on December 1 and June 1 of each year, maturing serially as more fully set forth in the ordinances authorizing the issuance of said bonds; and WHEREAS, concurrently with the issuance of each of the subsequently issued parity bonds, there was executed and delivered a supplemental deed of trust; and WHEREAS, prior to the delivery of the bonds authorized by this ordinance said Deed of Trust had been duly executed by the City and the Trustee; and WHEREAS, all of the things required to have happened, to have been done, and to exist under Section 2.05 of Article II of the Deed of Trust as a condition precedent to the authoriza- tion and issuance of the Bonds, have happened, been done, and do exist, including the following: (1) This ordinance authorizing the Bonds prescribes the date, prescribes the bank or banks at which the principal of and interest on the Bonds are to be payable, interest rate, maturity dates, and other details necessary to identify the Bonds, the purposes for which the proceeds are to be used; (2) A further Supplement to the Deed of Trust as is authorized in this Bond Ordinance properly identifying the Bonds shall be executed and the bonds shall be authenticated by the Trustee before their issuance shall have been completed; and 6 WHEREAS, as required, all of the certificates and other showings evidencing existence of facts and performance of conditions required under Section 2.05 of the Deed of Trust shall be filed prior to the authentication of the Bonds by the Trustee; and WHEREAS, in order to make possible improvements and ex- tensions to the City's Waterworks System it is deemed advisable that $340,000 of said bonds voted August 29, 1959, and $3,160,000 of said bonds voted July 13, 1968 now be issued for such purposes and WHEREAS, in order to bring the bonds authorized by this ordinance under the terms of the Deed of Trust, and for other purposes hereinafter in this ordinance specified, it is proper that a further Supplement to the Deed of Trust be executed; and BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: 1. That the findings and statements contained in the preamble to this ordinance are true and correct. 2. That for the purpose of improving and extend- ing the City's Waterworks System, there shall be issued First Mortgage Waterworks Revenue Bonds of the City of Corpus Christi, Texas, in the amount of $3,500,000 under authority of the Constitution and laws of the State of Texas and the Charter of said City, which bonds and the interest thereon shall be payable from the revenues from said waterworks system and secured by a deed of trust on 7 said system and by a pledge of an operating franchise in the event the properties comprising said waterworks system are sold after default, all as more specifically hereinafter provided. 3. That said bonds shall be called "City of Corpus Christi, Texas, First Mortgage Waterworks Revenue Bonds, Series 1969," (hereinafter sometimes called the 'Bonds "), shall be dated February 1, 1969, shall be in the denomination of $5,000 each, and shall be numbered from 1 throu .-h 700. 4. The bonds shall be registrable as to principal at the option of the holder on the books of the Registrar upon presentation of the bonds to such Registrar. The Trustee is hereby appointed Bond Registrar. Such registra- tion shall not only be noted on the books of such Registrar kept for such purpose, but shall be noted by such Registrar on the bonds so registered, and after such registration no transfer of a bond so registered shall be valid unless made on the books of such Registrar by the registered holder or his legal representative, thereunto duly authorized, and similarly noted on the bonds. Bonds registered as to principal may be discharged from registration by being 8 transferred to bearer after which they shall be transferable by delivery, but may be again registered as to principal as before. Bonds not so registered, or which have been so trans- ferred to bearer, shall be in all respects negotiable. The registration of Bonds as to principal shall not restrain the negotiability by delivery of the coupons attached thereto. 5. That the bonds shall bear interest at the follow- ing rates: all bonds scheduled to mature during the years 1970 through 19,4j--- s,0 % per annum; all bonds scheduled to mature during the years 19 through 19 P3 - -- J ,_ -1 % per annum; all bonds scheduled to mature during the years 19through 19 �1, - -- % per annum; i all bonds scheduled to mature during the years 19_ through 19_ - -- % per annum; all bonds scheduled to mature during the years 19_ through 19_ - -- % per annum; with said interest being evidenced by interest coupons payable June 1, 1969, and semi- annually thereafter on December 1 and I June 1 of each year. 6. Both principal and interest shall be payable in lawful money of the United States of America at the Mercantile National Bank at Dallas, Dallas, Texas, or, at the option of ii the holder, at Chemical Bank New York Trust Company, New York, New York, without exchange or collection charges to the owner or holder thereof, upon presentation and surrender of proper bonds and coupons. 9 and after June 1, 1980, said City shall have the right and II option to redeem such bonds prior to their scheduled maturities, i in whole, or in part, in their inverse numerical order, on June 1, 1979, or on any interest payment date thereafter at par and accrued interest to the date fixed for redemption, plus a premium of 2 -1/2 %. Thirty days' notice of such call shall be given in writing to the places of payment and notice shall be published at least once in a financial publication printed in the City of New York, New York, the date of said publication bein not less than thirty days prior to the date so fixed for redemp- tion. If any such bond is called for redemption in said manner and if funds sufficient to pay the redemption price thereof shall have been duly placed in the banks of payment by the date fixed I for redemption, it shall not thereafter bear interest. 9. That each of said bonds and the interest coupons shall be signed by the imprinted or lithographed facsimile li signature of the Mayor and countersigned by the imprinted or lithographed facsimile signature of the City Secretary, shall i have the corporate seal of the City impressed or printed or lithographed thereon, and shall be authenticated by the Trustee in the manner provided in the Deed of Trust after compliance with the requirements set forth in Section 2.05 hereof, and in the manner prescribed in the Supplement to the Deed of Trust for 10 l 7. Such bonds shall mature on June 1 in the years and amounts as follows: YEARS AMOUNTS YEARS AMOUNTS 1970 $ 25,000 1979 $500,000 1971 65,000 1980 125,000 1972 100,000 1981 270,000 1973 110,000 1982 460,000 1974 50,000 1983 200,000 1975 30,000 1984 450,000 1976 100,000 1985 500,000 1977 115,000 1986 200,000 1978 200,000 8. That as to said bonds scheduled to mature on and after June 1, 1980, said City shall have the right and II option to redeem such bonds prior to their scheduled maturities, i in whole, or in part, in their inverse numerical order, on June 1, 1979, or on any interest payment date thereafter at par and accrued interest to the date fixed for redemption, plus a premium of 2 -1/2 %. Thirty days' notice of such call shall be given in writing to the places of payment and notice shall be published at least once in a financial publication printed in the City of New York, New York, the date of said publication bein not less than thirty days prior to the date so fixed for redemp- tion. If any such bond is called for redemption in said manner and if funds sufficient to pay the redemption price thereof shall have been duly placed in the banks of payment by the date fixed I for redemption, it shall not thereafter bear interest. 9. That each of said bonds and the interest coupons shall be signed by the imprinted or lithographed facsimile li signature of the Mayor and countersigned by the imprinted or lithographed facsimile signature of the City Secretary, shall i have the corporate seal of the City impressed or printed or lithographed thereon, and shall be authenticated by the Trustee in the manner provided in the Deed of Trust after compliance with the requirements set forth in Section 2.05 hereof, and in the manner prescribed in the Supplement to the Deed of Trust for 10 l which provision is hereinafter made in this ordinance. Interest falling due on and prior to maturity shall be represented by appropriate interest coupons to be attached to such Bonds, and said officials, by the execution of such Bonds, shall adopt as and for their own proper signatures their respective facsimile i !i signatures appearing on said bonds and coupons, and shall have the same effect as manually executed signatures. 10. That such bonds, the coupons to be thereto attached and the endorsements to appear thereon, shall be substantially in the form shown in the Deed of Trust and in the further supplement thereto, hereinafter in this ordinance I authorized. 11. That the Waterworks System of the City of Corpus Christi shall be operated by the City and the revenues thereof shall be applied and the bonds herein authorized shall be paid in the manner set out and provided in the Deed of Trust, and all of the provisions of said Deed of Trust shall be effective and shall be applicable to the authorization, issuance and payment of the bonds and to the operation of such Waterworks System with like force and effect as though all of said provisions were otherwise than in the Deed of Trust separately set out in this ordinance. 12. To identify and bring the bonds under the terms of the Deed of Trust, evidence the fact that the bonds are j! secured by liens upon the revenues, the properties constituting the Waterworks System, and on the franchise to operate such properties in the event of sale after default, of equal dignity i with the liens securing the Series 1953 Bonds, the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, 11 SUPPLEMENT TO DEED OF TRUST THE STATE OF TEXAS , COUNTY OF NUECES THIS SUPPLEMENT TO DEED OF TRUST, (hereinafter called "Supplement ") dated as of February 1, 1969, by and between the City of Corpus Christi, a municipal corporation duly organized and existing under and by virtue of the laws of the State of Texas, situated in Nueces County, Texas, (hereinafter sometimes called "City "), acting through its Mayor and City Secretary, duly authorized by ordinance (hereinafter sometimes called the "Series 1969 Bond Ordinance ") passed by the City Council on April 1, 1969, Party of the First Part, and Mercantile National Bank at Dallas, Dallas, Texas, a national banking association duly organized and existing under and by virtue of the Banking Laws of the United States (hereinafter sometimes called "Trustee "), Party of the Second Part: WITNESS.ETH: WHEREAS, heretofore as of December 1, 1953, the City and the Trustee executed an instrument of trust, hereinafter sometimes called the "Deed of Trust," primarily for the purpose of securing $3,831,000 in principal amount of "City of Corpus Christi First Mortgage Waterworks Revenue Refunding Bonds, Series 1953," in the denomination of $1,000 each, numbered from One (1) to Three Thousand Eight Hundred Thirty One (3,831), both inclusive, and bearing interest at Three and one -half (32 %) per cent as shown in the Deed of Trust; and WHEREAS, Section 2.05 of the Deed of Trust provides for the issuance by the City of additional bonds which when issued in accordance with such provisions shall, along with the Series 1953 Bonds, be secured ratably by a first lien on the properties, revenues, and franchise constituting the trust estate, as more fully described in the Deed of Trust; and 1 WHEREAS, pursuant to authorizing elections the City Council has heretofore passed ordinances and executed Supple- ments to the Deed of Trust authorizing the issuance of $7,000,000 City of Corpus Christi First Mortgage Waterworks Revenue Bonds, Series 1954, dated February 1, 1954 (hereinafter called "Series 1954 Bonds "), $500,000 Series 2 of 1954 Bonds, dated October'l, 1954 (hereinafter called 'Series 2 of 1954 Bonds "), $500,000 Series 1955 Bonds, dated December 1, 1955 (hereinafter called "Series 1955 Bonds "), $1,960,000 Series 1960 Bonds, dated June 1, 1960 (hereinafter called "Series 1960 Bonds ") and $1,200,000 Series 1962 Bonds, dated February 1, 1962 (hereinafter called "Series 1962 Bonds "); and WHEREAS, pursuant to authorizing elections held August 29, 1959 and July 13, 1968, the City Council has passed an ordinance (hereinafter sometimes called "Series 1969 Bond Ordinance ") of which this Supplement is a part, authorizing the issuance of additional bonds in the principal amount of $3,500,000, for the purpose of providing funds for improving and extending the City's Waterworks System, (hereinafter sometimes called the "Series 1969 Bonds "); and WHEREAS, the Series 1969 Bonds authorized by said Series 1969 Bond Ordinance when issued are to be secured by said Deed of Trust in like manner and with like effect as if 2 issued concurrently and contemporaneously with the Series 1953 Bonds, the.Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds:, the - Series 1960 Bonds and the Series 1962 Bonds; and WHEREAS, said bonds are payable as to both principal and interest in lawful money of the United States of America at the Mercantile National Bank at Dallas, Dallas, Texas, or, at the option of the holder, at the Chemical Bank New York Trust Company, New York, New York, and to mature serially on June 1 in each of the years and amounts as follows: YEARS AMOUNTS YEARS AMOUNTS 1970 $ 25,000 1979 $500,000 1971 65,000 1980 125,000 1972 100,000 1981 270,000 1973 110,000 1982 460,000 1974 50,000 1983 200,000 1975 30,000 1984 450,000 1976 100,000 1985 500,000 1977 115,000 198b 200,000 1978 200,000 The City reserves the option of calling said bonds scheduled to mature on and after June 1, 1980, prior to their scheduled maturities, in whole, or in part, in their inverse numerical order, on June 1, 1979, or on any interest payment date thereafter at par and accrued interest to the date fixed for redemption, plus a premium of 2 -1/2 %. Thirty days' notice of such call shall be given in writing to the places of payment and notice shall be published at least once in a financial publication printed in the City of New York, New York, the date of said publication being not less than thirty days prior to the date so fixed for redemption. If any such bond is called for redemption in said manner and if funds sufficient to pay the redemption price thereof shall have been duly placed in the banks 3 of payment by the date fixed for redemption, it shall not thereafter bear interest; and WHEREAS, the bonds and the interest coupons and certificates appertaining thereto, and the form for registra- tion of the bonds as to principal, the Comptroller's certificate, and the Trustee's certificate, to be endorsed thereon, are to be in substantially the following forms, respectively, with appropriate insertions, omissions and variations as in this Supplement provided; NO. $5,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI, TEXAS, FIRST MORTGAGE WATERWORKS REVENUE BOND SERIES 1969 THE CITY OF CORPUS CHRISTI, a lawfully created and existing municipal corporation in NUECES COUNTY, TEXAS, out of revenues hereinafter specified, and from no other source, FOR VALUE RECEIVED, hereby promises to pay to bearer, or, if this bond be registered as to principal, to the registered holder thereof, on June 1, 19_, the principal sum of FIVE THOUSAND DOLLARS and, from said revenues to pay interest thereon from the date hereof until the principal amount of this bond shall have been paid at the rate of ( %) per cent per annum, evidenced by coupons payable June 1, 1969, and thereafter semi - annually on December 1 and June 1. Both principal of and interest on this bond are payable in lawful money of the United States of America, at Mercantile National Bank at Dallas, Dallas, Texas, or, at the option of the holder, at Chemical Bank New York Trust Company, New York, New York, without exchange or collection charges to the owner or holder hereof. Interest 4 maturing on and prior to the scheduled maturity date of this bond is payable only upon presentation and surrender of the interest coupons hereto attached as they severally become due. THIS BOND is one of a duly authorized issue of bonds of like date and tenor, except as to serial number, interest rate, maturity and right of prior redemption, in the aggregate principal amount of $3,500,000, issued for the purpose of improv- ing and extending the City's Waterworks system, as authorized at elections held in said City on August 29, 1959 and July 13, 1968, and pursuant to ordinances passed by the City Council of the City of Corpus Christi, Texas, and secured by a Deed of Trust dated as of December 1, 1953, and by Supplement to said Deed of Trust, dated as of April 1, 1969, both collectively herein- after sometimes referred to as the Deed of Trust, by and between the CITY OF CORPUS CHRISTI and MERCANTILE NATIONAL BANK AT DALLAS, DALLAS, TEXAS, (hereinafter referred to as the "TRUSTEE "), as Trustee, an original counterpart of such Deed of Trust being on file in the office of said Trustee in the City of Dallas, Texas, reference to such ordinance and Deed of Trust is hereby made for a description of the funds charged with and pledged to the payment of the interest on and the principal of the bonds, the nature and extent of the security thereof, and a statement of the rights, duties, and obligations of the City and the Trustee and the rights of the holders of the Bonds, to all the provisions of which Deed of Trust the holder hereof by the acceptance of this bond assents. Bonds of this issue scheduled to mature on and after June 1, 1980, may be redeemed prior to maturity at the option of the City k • in whole or in • part, in their inverse numerical order, on June 1, 1979, or on any interest payment date thereafter at par and accrued interest to the date fixed for redemption, plus a premium of 2 -1/27. Thirty days' notice of such call shall be given in writing to the places of payment and notice shall be published at least once in a financial publication printed in the City of New York, New York, the date of said publication being not less than thirty days prior to the date so fixed for redemption. If any such bond is called for redemp- tion in said manner and if funds sufficient to pay the redemp- tion price thereof shall have been duly placed in the banks of payment by the date fixed for redemption, it shall not thereafter bear interest. THIS BOND shall not be deemed to constitute a debt of the City of Corpus Christi or a pledge of its faith and credit, but shall be payable as to principal and interest solely from the net revenues derived from the operation of the Waterworks System, including all additions, extensions and improvements thereto which may hereafter be made, hereinafter referred to as the "System," and the holder hereof shall never have the right to demand payment of this obligation out of any funds raised or to be raised by taxation. This issue of bonds is further secured by a lien upon the properties comprising the System and, in the event of default and the sale of such properties under provisions of said Deed of Trust, by a franchise to the purchaser to operate such properties for a period of twenty years. The City of Corpus Christi hereby covenants and agrees that it will fix and maintain rates and charges for services to be rendered by the System sufficient to pay all operating, maintenance, deprecia- tion, replacement, betterment and interest charges, and to provide an Interest and Sinking Fund sufficient to pay the principal of and interest on the issue of bonds of which this is one as such principal and interest matures, all in accordance 6 with Article 1113 of the Revised Civil Statutes of Texas of 1925 as amended, and to create and maintain the several funds as prescribed in the Deed of Trust. THIS BOND is issued and the above mentioned Deed of Trust was made and entered into under and pursuant to the Constitution and laws of the State of Texas. THIS BOND may be registered as to principal only in accordance with the provisions endorsed hereon. -The date of this bond in conformity with the ordinance above mentioned is February 1, 1969. EACH SUCCESSIVE holder of this bond during such time as it is payable to bearer, and each successive holder of each of the coupons hereto attached, is conclusively presumed to forego and renounce his equities in favor of subsequent holders for value without notice, and to agree that this bond while so payable to bearer, and each of the coupons hereto attached, may be negotiated by delivery by any person having possession hereof, howsoever such possession may have been acquired, and that any holder who shall have taken this bond or any of the coupons from any person for value and without notice, thereby has acquired absolute title thereto, free from any defenses enforceable against any prior holder and free from all equities and claims of ownership of any such prior holder. Neither the City of Corpus Christi nor its officials nor the paying agent herein - above named shall be affected by any notice to the contrary. TO THE EXTENT permitted by law and the aforesaid Deed of Trust, modifications or alterations of the Deed of Trust and any Deed of Trust supplemental thereto may be made, with the consent of the City Council of the City of Corpus Christi and the holders of at least seventy -five per cent in principal amount 7 of the bonds then outstandin g, but such modification or alteration is not permitted to affect the maturity, amount or rate of interest of any such outstanding bonds. The Deed of Trust provides for acceleration of the maturities of all of the bonds then outstanding in the event of a default. The City reserves the right to issue additional parity revenue bonds to the extent and in the manner expressly permit- ted by said Deed of Trust and the ordinance authorizing the issuance of City of Corpus Christi First Mortgage Waterworks Revenue Refunding Bonds, Series 1953, in the amount of $3,831,000, and in the ordinance authorizing the bonds of which this is one. Such additional bonds shall be payable from the same source and secured by the same revenues, deed of trust, properties, and pledged franchise, and shall be on a parity with this issue of bonds and the Series 1953 Bonds, the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series' 1960 Bonds, and the Series 1962 Bonds. In the event the City later exercises the right to combine the operations of its waterworks and sanitary sewer systems reserved to it in Section 2.06 of said Deed of Trust, the said Revenue Refunding Bonds, Series 1953, the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series 1960 Bonds, the Series 1962 Bonds, and the Bonds of this issue, together with any additional waterworks bonds subsequently issued and any revenue bonds theretofore or theteafter issued for sanitary sewer purposes, to the extent and in the manner permitted by law at such time, will be payable from the revenues of the combined systems, and, if so authorized by law and prescribed by the City, may be further secured by a mortgage on the sanitary sewer system. IT IS HEREBY CERTIFIED AND RECITED that all acts and things required by the Constitution and laws of the State of 8 Texas, and the Charter of the City, to happen, exist and be performed precedent to and in the issuance of this bond and the passage of said ordinance and the execution of the supple- ment to said Deed of Trust, have happened, exist and have been performed as so required. THIS BOND shall not be entitled to any benefit under said Deed of Trust or the supplement thereto or become valid or obligatory for any purpose until it shall have been auth- enticated by the execution by the Trustee of the certificate hereon endorsed. IN WITNESS WHEREOF, THE CITY OF CORPUS CHRISTI has caused this bond to be executed by the imprinted or lithographed facsimile signature of its Mayor and countersigned by the imprint- ed or lithographed facsimile signature of its City Secretary, and the corporate seal of said City to be impressed, cr printed or lithographed on each of said bonds, and has caused the coupons hereto attached to be executed with the imprinted or lithograph- ed facsimile signatures of said officials all as of February 1, 1969, the date of this bond. Mayor, City of Corpus Christi, Texas ATTEST: City Secretary, City of Corpus Christi , Texas (SEAL) (FORM OF COUPON) NO. $ On the 1st day of 19_, the City of Corpus Christi, Texas, Nueces County, Texas, will pay to bearer, un- less the bond to which this coupon is attached shall have been 9 called for previous redemption as therein provided and pro- vision for the redemption thereof made, at the Mercantile National Bank at Dallas, Dallas, Texas, or, at the option of the holder, at the Chemical Bank New York Trust Company, New York, New York, without exchange or collection charges to the owner or holder hereof, the sum of ($ ) Dollars, in lawful money of the United States of America payable out of the revenues specified in the bond to which this coupon is attached, for the interest in that amount then due on its First Mortgage Waterworks Revenue Bond, Series 1969, and numbered The holder of this coupon shall never have the right to demand payment thereof out of any funds raised or to be raised by taxation. ATTEST: City Secretary Mayor (TRUSTEE'S CERTIFICATE) This bond is one of the bonds described in the within mentioned Supplement to the Deed of Trust. MERCANTILE NATIONAL BANK AT DALLAS, DALLAS, TEXAS Trustee By Authorized Officer (FORM OF COMPTROLLER'S CERTIFICATE) OFFICE OF COMPTROLLER REGISTRATION N0, STATE OF TEXAS I HEREBY CERTIFY that there is on file and of record in my office a certificate of the Attorney General of the State of Texas, to the effect that this bond has been examined by him 10 as required by law, and that he finds that it has been issued in conformity with the Constitution and laws of the State of Texas, and that it is a valid and binding special obligation of the City of Corpus Christi, Texas, payable from the revenues pledged to its payment by andin the ordinance authorizing same, and said Bond has this day been registered by me. WITNESS MY HAND and seal of office at Austin, Texas, Comptroller of Public Accounts of the State of Texas (SEAL) (NO WRITING TO BE MADE HEREON EXCEPT BY THE BOND REGISTRAR OF THE CITY) CERTIFICATE OF REGISTRATION It is hereby certified that, at the request of the holder of the within bond, I have this day registered it as to principal in the name of such holder as indicated in the registration blank below and on the books kept by me for such purpose. The principal of this bond shall be payable only to the registered holder hereof named in the below registration blank or his legal representative, and this bond shall be trans- ferable only on the books of the Bond Registrar and by an appro- priate notation in such registration blank. If the last transfer recorded on the books of the Bond Registrar and in the below registration blank shall be to bearer, the principal of this bond shall be payable to bearer and it shall be in all respects negotiable. In no case, shall negotiability of the coupons attached hereto be affected by any registration as to principal. 11 • NAME OF REGISTERED HOLDER DATE OF REGISTRATION SIGNATURE OF REGIS (TRUSTEE) and WHEREAS, the execution and delivery of this supplement have been duly authorized by the City Council of the City of Corpus Christi and all acts and things required to be done precedent to and in the execution of this Supplement and pre- cedent to and in the execution of said bonds, have been done and performed in regular and due time, form and manner as required by the Constitution and laws of the State of Texas, and the Series 1969 Bond Ordinance; NOW, THEREFORE, in order to secure the payment of prin- cipal of and interest on the bonds according to their tenor and effect, and the terms of the Deed of Trust and this Supplement, and to secure the performance of the covenants and obligations contained in the Deed of Trust and in this Supplement, and in consideration of the acceptance by the Trustee of the trust here- by created, and of the purchase and acceptance of said bonds by the holders thereof, and of One Dollar ($1,00) in hand paid by the Trustee to the City upon the execution and delivery of this Supplement, the receipt whereof is hereby acknowledged, the City has executed and delivered this Supplement with the effect that all of the properties, revenues, rights and the franchise here- tofore granted, bargained, sold, conveyed, assigned, transferred, warranted, mortgaged, pledged and set over to the Trustee under and by virtue of the Deed of Trust, are hereby declared by the City to be for the use and benefit of the Series 1969 Bonds in like manner and with like efficacy as for the use and benefit 12 of the Series 1953 Bonds, the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series 1960 Bonds, and the Series 1962 Bonds, in such manner that said pledged revenues, liens and franchise are for the equal and proportionate benefit, security, and protection of all bonds of all series and the interest coupons appurtenant thereto as well as for bonds and interest coupons hereafter to be issued under and secured by the Deed of Trust, within the amounts and under the conditions expressly prescribed by the Deed of Trust, without priority or distinction as to lien or otherwise of any bond over any other bond, or over any other bond properly issued under the Deed of Trust by reason of priority in issuance or negotiation thereof, or by reason of the date or dates of maturity thereof, or for any other reason what- soever, so that each and all of said bonds and bonds heretofore issued or hereafter to be issued as aforesaid shall have the same rights, lien and privileges under the Deed of Trust. This Supplement further witnesseth, that the City has agreed and covenanted, and does hereby agree and covenant with the Trustee and the respective holders from time to time of such bonds and coupons, as follows: ARTICLE I FORM, AUTHENTICATION, REGISTRATION AND ISSUANCE OF BONDS Section 1.01. The bonds and the coupons attached thereto shall be in substantially the forms hereinbefore recited, and shall be issued in the aggregate principal amount of Three Million Five Hundred Thousand ($3,500,000) Dollars. All bonds to be secured hereby shall be executed by the imprinted or lithographed facsimile signature of the Mayor of the City, shall be attested by the imprinted or lithographed facsimile signature of the City Secretary, shall have the corporate seal of the City impressed, printed or lithographed thereon, and when so signed 13 and sealed, the bonds shall be submitted to the Attorney General of the State of Texas for approval and to the State Comptroller for registration. After the said bonds have been approved by the Attorney General and registered by the State Comptroller, they shall be delivered to the Trustee for authentication and delivery to the City as provided in the ordinance authorizing the issuance of the bonds and authorizing this Supplement. Section 1.02. In case any officer or officers who shall have signed any of the bonds shall cease to be such officer or officers of the City after delivery of such Bonds to the Trustee, but before the bonds so signed shall have been actually authenticated and delivered to the purchaser thereof, such bonds may nevertheless be authenticated and delivered as though the person or persons who signed and sealed such bonds had not ceased to be such officer or officers of the City. Section 1.03. The coupons to be attached to the bonds shall be signed by the imprinted or lithographed.facsimile signatures of the Mayor and City Secretary in the office at the time of the execution of the bonds, and delivery of such bonds thereafter shall be valid for all purposes even though one or both of said officials shall have ceased to hold office at the time of delivery. Prior to the authentication of bonds under this Deed of Trust all matured coupons thereto attached shall be detached and cancelled and such cancelled coupons shall be delivered to the City Secretary. Section 1.04. Only such of the bonds as shall have endorsed thereon the duly executed certificate of the Trustee substantially in the form hereinabove set forth shall be entitled to any lien or benefit hereunder, but such certificate of the Trustee upon any bond shall be conclusive evidence that 14 such bond has been duly authenticated and delivered hereunder and that the holder is entitled to the benefit of the trust hereby created. Section 1.05. In case any bond issued hereunder with the coupons appertaining shall become mutilated or be lost, stolen or destroyed prior to the payment thereof, a new bond, including coupons, of like tenor and date and bearing the same number may, at the discretion of the City and the Trustee, to the extent per- mitted by law, be executed, certified and delivered either in exchange for and upon cancellation of the mutilated bond and its coupons, or in substitution for the bond or coupons lost, stolen or destroyed, but such exchange or substitution shall be made only upon receipt of satisfactory evidence of loss, theft, or destruction of such bond and its coupons, proof of ownership thereof, satisfactory indemnity to the Trustee and the City, and payment of the cost of preparing such bond and coupons. ARTICLE II PROOF OF COMPLIANCE WITH PREREQUISITES TO ISSUANCE OF BONDS Section 2.01. The City covenants that at the time or prior to the time it will submit to the Trustee any of the bonds for authentication it will furnish to the Trustee in the form prescribed by Section 2.05 of the Deed of Trust evidence that all of the conditions precedent to the issuance of "Additional Bonds" authorized under said Section have been met and that under the Deed of Trust and the act of the Trustee in authenticating said bonds shall be conclusive of the authority of the City to issue the bonds, and that said requirements and conditions have been met. 15 r • ARTICLE III COVENANTS AS TO CONDITION OF FUNDS Section 3.01. The City covenants that it is not delinquent but that it is current in the performance of all of its obligations assumed under Article V of the Deed of Trust as to the establishment of the several funds therein provided and as to the payments required to be made by the City into said several funds. ARTICLE IV APPLICATION OF REVENUES REMITTANCE OF FUNDS TO BANKS OF PAYMENT Section 4.01. All of the provisions of Article V of the Deed of Trust are hereby confirmed as being applicable to the bonds. Section 4.02. In the event that the bonds and coupons are made payable at any bank other than or in addition to the Trustee, it shall be the duty of the Trustee at least 10 days prior to any interest payment date, to make remittance to such bank or banks out of moneys in its possession available for the purpose an amount sufficient to pay such installment of interest or such installment of interest and principal as the case may be. ARTICLE V POSSESSION OF MORTGAGED PROPERTY Section 5.01. The rights reserved to the City and the duties assumed by the City under Article VII of the Deed of Trust, so long as any of the Series 1953 Bonds are outstanding, shall re- main effective likewise so long as any of the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series 1960 -Bonds, the Series 1962 Bonds and the Series 1969 Bonds are out- standing. ARTICLE VI DEFAULTS AND'REMEDIES Section 6.01. All of the provisions contained in 16 Article VIII of the Deed of Trust (which is captioned "Defaults and Remedies ") shall be interpreted as applicable not only to the Series 1953 Bonds, but with like effect as applicable to the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series 1960 Bonds, the Series 1962 Bonds and the Series 1969 Bonds. In determining whether the holders of minimum percent- age of bonds shall have consented to or requested any action under said Article the bonds of all series shall be considered. ARTICLE VII GENERAL PROVISIONS Section 7.01. All of the provisions of Article XII of the Deed of Trust (captioned "General Provisions ") shall be interpreted as applicable not only to the Series 1953 Bonds, but with like effect as applicable to the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series 1960 Bonds, the Series 1962 Bonds and the Series 1969 Bonds. ARTICLE VIII RENDERING ALL PROVISIONS OF DEED OF TRUST APPLICABLE TO SERIES 1969 BONDS UNLESS CLEARLY INAPPLICABLE Section 8.01. Unless the context of a given section of the Deed of Trust shows clearly that it must be inapplicable to the Series 1969 3onds, or unless the inclusion of such section as so applicable would nullify or render unworkable one or more sections contained in the Supplement, each section of the Deed of Trust is hereby declared to be applicable to the Series 1969 Bonds. ARTICLE IX DEFEASANCE Section 9.01. The provisions of Article XIII of the Deed of Trust prescribing the terms and conditions under which title to the pledged properties and rights shall revert to the 17 • City shall be interpreted to mean all of the Series 1953 Bonds, the Series 1954 Bonds, the Series 2 of 1954 Bonds, the Series 1955 Bonds, the Series 1960 Bonds, the Series 1962 Bonds and the Series 1969 Bonds. IN WITNESS WHEREOF, the City of Corpus Christi, Texas, acting through and being duly authorized thereunto by its govern- ing body, the City Council, has caused this Supplement to the Deed of Trust in duplicate originals to be signed in its name by its Mayor, and its corporate seal to be hereunto affixed, and to be attested by its City Secretary and said Mercantile National Bank at Dallas, to evidence its acceptance of the trusts hereby created, has caused its corporate name and seal to be hereunto affixed and this Supplement to the Deed of Trust to be signed by , its Trust Officer, and to be counter- signed and said seal to be attested by its Cashier or Assistant Cashier, all as of the day and year first above written. CITY OF CORPUS CHRISTI, TEXAS ATTEST: City Secretary (CITY SEAL) ATTEST: Its Assistant Cashier (BANK SEAL) By Mayor MERCANTILE NATIONAL BANK AT DALLAS DALLAS, TEXAS, TRUSTEE By Its Trust Officer 18 THE STATE OF TEXAS COUNTY OF NUECES BEFORE ME, the undersigned authority, in and for Nueces County, Texas, on this day personally appeared Jack R. Blackmon, Nayor, and T. Ray Kring, City Secretary, respectively, of the City of Corpus Christi, Texas, known to me to be the persons whose names are subscribed to the fore- going instrument and known to me to be, respectively, the Mayor and City Secretary of the City of Corpus Christi, Texas, a municipal corporation, and each acknowledged to me that he executed the same for the purposes and consideration therein expressed and in the capacity therein stated, as the act and deed of said City of Corpus Christi, Texas. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of April, 1969. (SEAL) Notary Public in and for Nueces County, Texas 19 THE STATE OF TEXAS COUNTY OF DALLAS BEFORE ME, THE UNDERSIGNED AUTHORITY, in and for Dallas County, Texas, on this day personally appeared , Trust Officer, and Assistant Cashier, respectively, of MERCANTILE NATIONAL BANK AT DALLAS, known to me to be the persons whose names are subscribed to the foregoing instrument and known to me to be, respectively, the Trust Officer and Assistant Cashier of MERCANTILE NATIONAL BANK AT DALLAS, a corporation, and each acknowledged to me that he executed the same for the purposes and consideration therein expressed and in the capacity therein stated as the act and deed of said MERCANTILE NATIONAL BANK AT DALLAS, GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of April, 1969. (SEAL) Notary Public in and for Dallas County, Texas 20 THE STATE OF TEXAS COUNTY OF I, the undersigned, County Clerk of County, Texas, do hereby certify that the foregoing instrument in writing, dated as of the 1st day of February, 1969, was filed for record in my office on the day of , 1969, at o'clock, M„ and duly recorded in the Deed of Trust Records of said County, in Volume at page I do further certify that an executed and acknowledged copy of said instrument was filed in my office on the day of , 1969, at o'clock, _. M., as a Financing Statement and a Security Agreement under the Texas Uniform Commercial Code. WITNESS MY OFFICIAL HAND AND SEAL OF OFFICE, this day of , 1969. County Clerk, County, Texas By Deputy 21 i li 13. The Supplement and all of the provisions thereof are hereby made a part of this Ordinance. 14. The Series 1953 Bond Ordinance granted to the purchaser or purchasers of the City's Waterworks properties at a sale to be made in the event of the default of the City's obligation to pay principal of and interest on the Series 1953 Bonds, a franchise to operate said waterworks properties for a j period of twenty (20) years, As is provided in the Deed of Trust such franchise protects also by a parity of lien and right the Bonds authorized by this ordinance. �I 15. (a) The Mayor shall be authorized to take and r have charge of all necessary records pending investigation by the Attorney General, and shall take and have charge and control of the bonds herein authorized pending their approval by the it Attorney General and registration by the Comptroller of Public Accounts. Upon registration of said bonds, the Comptroller of Public Accounts (or a deputy designated in writing to act for !i the Comptroller) shall manually sign the Comptroller's certi- ficate of registration prescribed herein to be printed on the back of each bond, and the seal of said Comptroller shall be affixed to each of said bonds. (b) Upon the request of the City the Trustee shall authenticate all or any of the bonds and shall deliver the authenticated bonds to the City upon proper receipt. 16. Additional Waterworks System Revenue Bonds may be issued to be secured by a pledge of the revenues and a lien upon the properties of the Waterworks System and upon the franchise of the System (as authorized in the Series 1953 I j Bond Ordinance) of equal dignity with the pledge and liens securing the First Mortgage Waterworks Revenue Refunding Bonds, 13 Series 1953, the Series 1954 Bonds, the Series 2 of 1954 • • I Bonds, the Series 1955 Bonds, the Series 1960 Bonds, and the Series 1962, provided that such additional Waterworks Revenue Bonds shall be issued for improvements or extensions or repairs or replacements of and to the Waterworks System or for any one or more or all of such purposes, subject to the limitations contained in Article II of such Deed of Trust, and by Article II of the Supplement. 17. (a) A special fund is hereby created and designat ed City of Corpus Christi Waterworks System Construction Fund i (herein sometimes called the "Construction Fund "). There shall be deposited to the credit of said Construction Fund all moneys received from the sale of the bonds, except that any money re- ceived by the City by way of accrued interest on the Bonds shall be deposited in the Interest and Sinking Fund (Section 5.03 of the Deed of Trust); (b) The moneys in the Construction Fund shall be held by the City's Depository hereinafter in this Section sometimes I' called the "Depository" in trust to be applied to the payment of the cost of the improvements and extensions of and to the City's Waterworks System, for which the bonds were authorized, and pend- ing such application in accordance with this Section shall be subject to a lien and charge in favor of the holders of the bonds and for the further security of such holders until paid out as herein provided; (c) All disbursements from the Construction Fund to be I! used either to pay obligations under contracts or in connection with force account projects in making such improvements and extensions shall be subject to the provisions and restrictions of this Section; (d) Before any payments shall be made from the Con- struction Fund the City shall file with the Depository the following: 14 • R LJ (1) A requisition signed by the Director of �i Finance and approved by the City Manager stating in respect of each payment to be made: a. The item number of the payment; b. The name of the person, firm or corpora- tion to whom payment is due; ii c. The amount to be paid to such person, firm or corporation; d. In reasonable detail, the purpose for which the obligation to be paid was incurred. (2) A certificate signed by the Director of Finance and approved by the City Manager attached to the requisition, certifying: a. That obligations in the stated amounts have been incurred by the City and that each item thereof is a proper charge against the Construction Fund and has not been paid; b. That there has not been filed with or served upon the City notice of any lien, right to lien, or attachment upon, or claim affecting the right to receive pay- ment of, any of the moneys payable to any of the persons, firms or corporations named in such requisition, which has not been released or will not be released simultaneously with the payment of such obligation, and c. That such requisition contains no item representing payment on account of any retained percentages which the City is at the date of such certificate entitled to retain. (e) A certificate signed by the engineer in charge of construction certifying his approval of said requisition, and further certifying Lhat each such obligation was properly incur- red and that insofar as such obligation was incurred for work, materials, equipment or supplies, that such work was actually performed, or such materials, equipment or supplies were actuall, installed, in or about the construction of improvements and extensions of and to the City's Waterworks System. 15 ji It is further provided that the last or final estimate for improvements and extensions of and to the Watertiorks System I� shall not be paid until same has been approved in writing by the Engineer in charge of construction and said Engineer shall immediately upon approval send a certificate to the City Manager and Depository of such approval; i (f) Upon receipt of each requisition and accompanying ii certificate the Depository shall transfer from the Construction Fund to the credit of a special account in the name of the City to be used exclusively for making disbursements for such improve- ments and extensions an amount equal to the total of the amount to be paid as set forth in such requisition. Each such obli atio I q g against said special account in the Depository shall be paid by check drawn on such special account and signed by the City Manager and the Director of Finance of the City of Corpus Christi and having the same identifying number as the number stated•in the requisition for moneys on account of such obligation. Moneys deposited to the credit of such special account in the Depository shall be deemed to be a part of the Cons truction Fund until checked out as in this paragraph provided. If for any reason the City should decide prior to the payment of any item in a requisition to stop payment of such item, the City Manager shall give notice of such decision to the Depository, and thereupon the City shall return the amount of such item by check drawn on such special account for the credit of the Construction Fund; (g) All requisitions and certificates received by the Depository as required in this Section as conditions of the pay- ment from the Construction Fund shall be retained in the posses- sion of the Depository subject at all times to the inspection of (I the City, the Engineer and the agents and representatives thereof b (h) At least once in each twelve months until said Construction Fund shall have been expended, the City shall cats e 16 an audit to be made by a Certified Public Accountant covering I' all receipts and money then on deposit with the Depository or on deposit in the special account, and the security held there- for, and all disbursements made pursuant to requisit tons filed in accordance with the provisions of this Section, and copies of the audits so made shall be furnished to the City Manager, to the Engineer, and to the Trustee; (i) When the construction of the proposed improvements and extensions has been completed, evidence of that fact shall be filed with the Trustee in the form of a certificate stating the date of such completion, signed by the City Manager, the Di- rector of Finance, and the Engineer, accompanied by an opinion of the City Attorney stating that the City has acquired or owns title to all of the properties represented by such improvements and extensions and to all land, property rights, rights -of -way, franchises, easements and other interests in lands necessary for their operation, free from all liens or encumbrances, except lien.,, encumbrances or other defects of title which do not have a materially adverse effect upon the City's right to use such properties for the purposes intended, and that there are no uncancelled mechanics', laborers', contractors', or materialmen's liens on such properties or on file in any public office where the same should be filed in order to be valid liens against any part of such properties, and that in the opinion of the signers, the time within which such liens can be filed has expired. After the construction program initially commenced shall have been completed and the fact of such completion has been duly certi- fied as herein provided the City Council shall have the option of directing the Depository to remit to the Trustee the remainder of said Construction Fund to be deposited in the Reserve Account of the Interest and Sinking Fund established under Section 5.03 17 • of the Deed of Trust, or transferring any balance then remaining to an appropriate waterworks construction account of the City. But the Trustee shall have no responsibility for any failure of the City or the Depository to perform their i respective obligations to make such transfer or to perform any other obligations under this Section; (j) Moneys in the Construction Fund shall be secured in the same manner as provided by Section 5.04 of the Deed of Trust for moneys in the Interest and Sinking Fund. Moneys in the special account in the Depository established pursuant to sub- section (f) hereof shall be secured in the manner prescribed by Section 5.07 of the Deed of Trust in reference to moneys to be deposited in the Depository. 1R. Tha amlo of tho k-1. horc in ­t -hnr4o 1 fn at a price of par and accrued interest to date of delivery, plus a premium of $ is hereby confirmed. Delivery of such bonds shall be made to such purchasers as soon as may be after the passage of this ordinance upon payment therefor in accord- ance with the terms of sale. 19. All ordinances, resolutions and orders or parts thereof in conflict herewith are, to the extent of such conflict, hereby repealed. 20. The fact that the contemplated use of the proceeds of the waterworks revenue bonds are necessary for the orderly j de,aelopment and growth of the City of Corpus Christi, Texas, creates a public emergency and an imperative public necessity requiring the suspension of the Charter Rule providing that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be rea at three several meetings of the City Council and the Mayor havin, 18 i� II declared that such public emergency and imperative necessity exist, and having requested that said Charter Rule be suspend- ed and that this ordinance take effect and be in full force and effect from and after its passage, it is accordin„ly so ordained. PASSED AND APPROVED this the of April, 1969. City\-of Corpus Christi, Texas ATTES t,ity secretary, city Corpus Christ v, Texa The foregoing ordinance, Supplement to the Deed of Trust and form of bond and coupon therein contained have been approved as to form and correctness prior to passage this day of April, 1969. 9 City Attorney 19 THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify that the above and foregoing is a true and correct copy of an ordinance passed by the City Council (and of the minutes pertaining thereto) on the 1st day of April, 1969, authorizing the issuance of $3,500,000 City of Corpus Christi, Texas,First Mortgage Waterworks Revenue Bonds, Series 1969, as the same appears of record in the minutes of said City Council, and that said meeting was open to the public as required by law. EXECUTED UNDER MY HAND and seal of said City, this the day of April, 1969. City Secretary, City of Corpus Christi, Texas (SEAL) 20 Corpus Christi, Texas April 1, 1969 TO THE CITY COUNCIL Corpus Christi, Texas Gentlemen: For the reasons set forth in the emergency clause of the foregoing ordinance, a public emergency and imperative necessity exist for the suspension of the Charter rule or requirement that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be read at three meetings of the City Council, I, there- fore, hereby request that you suspend said Charter rule or requirement and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, / / J acR- B ackmon Mayor �l Corpus Christi, Texas April 1, 1969 TO THE CITY COUNCIL Corpus Christi, Texas Gentlemen: The public importance and pressing need for the permanent improvements to be constructed by use of the proceeds of the bonds voted at elections held on June 27, 1964, January 28, 1967, and July 13, 1968, create an emergency and an imperative public necessity requiring the suspension of rules and Charter provisions requiring ordinances to be consider- ed and voted upon at three regular meetings. I, therefore request that the City Council pass the proposed ordinance authorizing the issuance of $3,430,000 General Improvement Bonds as an emergency. You will please consider this request in connection with the ordinance which has been introduced in the City Council on this subject. Yours very truly, J R. 4lackmon Mayor v'