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HomeMy WebLinkAbout14601 ORD - 11/08/1978C. PAY may THE STATE OF TEXAS COUNTY OF NUECES CITY -OF CORPUS CHRISTI On this the 8th day of November, 1978, the City yca s, Council of the City of Corpus Christi, Texas, convened in Regular Meeting, with the following members of said Council and officials of said City present, to -wit: Gabe Lozano, Sr., Mayor Bob Gulley, Mayor Pro -Tem David Diaz Ruth Gill Edward L. Sample s Councilmen Tony Juarez, Jr. Joe Holt R. Marvin Townsend, City Manager J. Bruce Aycock, City Attorney Harold F. Zick, Director of Finance Bill G. Read, City Secretary Al*_4@4�4,- - Jr- :---- - - - - -- T-a*c - Ass e -&&c r-- Fo-tleet-o-�- with the following absent: None constituting a quorum, at which time the following among other business was transacted. R: Martin Towase 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 "TO THE CITY COUNCIL Corpus Christi, Texas Gentlemen: The public importance and pressing need for the permanent improvements to be constructed by the use of the pro- ceeds of bonds contemplated to be issued pursuant_ to an ordinance create an emergency and an imperative public necessity requiring the suspension of rules and Charter provisions requiring ordi- nances 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 bonds as an emergency measure. You will please consider this request in connection with the ordinance which is to be introduced for passage by the, City Council on this subject. "Yours very truly, Al Gabe Lozano, Sr. ,�_0 OFpIL IYIE _ Mayor" ML 0 8 1304 14601 Councilman _Diaz _ moved that the Charter rovision prohibiting ordinances from being passed finally • the date introduced be suspended for the reasons stated • the written request of the Mayor and stated in the emergency lause of the ordinance. The motion was seconded by Councilman Sample The motion was carried by a unanimous vote y the City Council, viz.: AYES: All present voted Aye. NAYS: None. The Mayor requested that the records show that he oted Aye. This was done. Councilman _ Holt moved that the ordinance e passed finally. The motion was seconded by Councilman Gill The motion was carried by the following vote: AYES: All present voted Aye. NAYS: None. The Mayor requested that the record show that he oted Aye. This was done. The Mayor announced that the ordinance has been assed. The ordinance is as follows: ORDINANCE NO. 14601 BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, PROVIDING; FOR THE ISSUANCE OF $5,000,000 CITY OF CORPUS CHRISTI, TEXAS, GENERAL IMPROVEMENT BONDS, SERIES.1978 -A, BEARING INTEREST AT THE RATES HEREINAFTER SET FORTH, AND PROVIDING FOR THE LEVY, ASSESS- MENT AND COLLECTION OF A TAX SUFFICIENT TO PAY THE INTEREST ON SAID'BONDS AND TO CREATE A SINKING 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 terest of the City that bonds authorized at elections here - fore held in said City be sold at this time, the dates of e elections, amounts of bonds authorized thereat, purposes, 3 the amount now to be sold being as follows: ATE OF AMOUNT AMOUNT PRE - AMT.NOW LECTION AUTHORIZED PURPOSE VIOUSLY SOLD OFFERED 6/26/76 $14,400,000 Convention Center $ 14,000,000 $ 400,000 1/08/77 11,710,000 Sanitary Sewers 2,530,000 2,750,000 1/08/77 825,000 Airport 300,000 225,000 1/08/77 4,310,000 Parks and Recreation 550,000 600,000 1/08/77 1,690,000 Public Buildings 300,000 150,000 1/08/77 3,000,000 Storm Sewer 285,000 100,000 1/08/77 9,425,000 Streets 885,000 750,000 1/08/77 100,000 Transit -0- 25,000 WHEREAS, it is hereby officially found and determined: t a case of emergency or urgent public necessity exists which uires the holding of the meeting at which this Ordinance is , such emergency or public necessity being that the pro- ds from the proposed bonds are required as soon as possible without delay for necessary and urgently needed public rovements; that this meeting was open to the public as uired by law; and that public notice of the time, place and pose of this meeting was given as required by Vernon's Ann. v. St. Article 6252 -17, as amended. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHRISTI, TEXAS: 1. That said City's coupon bonds to be designated "City of Corpus Christi, Texas, General Improvement Bonds, as 1978 -A" are hereby authorized to be issued and delivered in accordance with the Constitution and the laws of the State of Texas in the principal amount of $5,000,000 for the purpose of providing $400,000 for making permanent public improvements, to wit: a community - convention facility, including an exhibit hall, meeting rooms, banquet hall, additional auditorium im- provements, and further acquisition and development of the site, at the bayfront center for the arts and sciences; $2,750,000 for constructing improvements to the Sanitary Sewer-System, including improvements to Broadway, Westside, Oso, Laguna Madre, and Allison Plants; rehabilitation of McArdle trunk lines; replace- ment of Port Avenue trunk lines; extension of Five Points area trunk lines; extension of laterals in Flour Bluff, Calallen and Annaville areas, and other Sanitary Sewer improvements; $225,000 for constructing airport improvements at the City's International Airport, including expansion of terminal building, parking and access facilities, aircraft parking ramps, and other airport improvements; $600,000 for improving lands for park purposes and recreation facilities, including Cole Park, Corpus Christi Beach and Bayfront Parks, various neighborhood parks; marina improvements; parks maintenance facilities; tennis courts and lighting; Kennedy Causeway facilities; softball fields, and other park improvements; $150,000 for public buildings, coliseum and museum improvements, multicultural center in exist- ing Bayfront Arts and Science Park, and library in northwest area Of City, for cultural enhancement; $25,000 for buying buses to operate the City's public bus transportation system, con- structing bus -stop shelters and improving maintenance and administrative facilities for said system; $100,000 for construct- ing drainage improvements, including extension of storm sewers in Lincoln Terrace, Cabaniss Acres, Flour Bluff and Annaville areas Ind other storm sewer improvements; and $750,000 for improving PA f � , the streets of the City, including various neighborhood streets, Port Avenue from Agnes to Buford and SH 286 to Ayers; Carroll Lane from Staples to Gollihar and Padre Island Drive to Tiger Lane; Everhart Road from Padre Island Drive to Staples; Horne Road, from Columbia to Old Brownsville Road; Nueces Bay Boule- vard from IH 37 to Broadway; Airport Road from Morgan to Agnes; McArdle Road from Ayers to Carroll Lane; Saratoga from Staples to Weber; Baldwin Boulevard from Highway 44 to Highway 9, and other street improvements. 2. That said bonds shall be dated November 15, 1978, shall be numbered consecutively from 1 through 1000, shall be in the denomination of $5,000 each, and shall mature and become due and payable serially on November 15 in each of the years, and in the amounts, respectively, as set forth in the follow- ing schedule. YE ARS AMOUNTS YEARS AMOUNTS 1979 $ 175,000 1989 $ 300,000 1980 175,000 1990 300,000 1981 200,000 1991 300,000 1982 200,000 1992 300,000 1983 200,000 1993 300,000 1984 200,000 1994 300,000 1985 200,000 1995 300,000 1986 200,000 1996 300,000 1987 200,000 1997 300,000 1988 250,000 1998 300,000 3. That as to said bonds scheduled to mature on and after November 15, 1989, 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 Novem- ber 15, 1988, or on any interest payment date thereafter, for the principal amount thereof plus accrued interest to the date fixed for redemption, plus a premium of 2'h%, such premium to be reduced ; of 1% on November 15 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 3 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 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. 4. That said bonds shall bear interest from their date, until maturity or redemption, at the following rates per 1 annum: Bonds maturing 1979 through 1982 __- 6.75 Bonds maturing 1983 through 1993 ___ 5.25 % Bonds maturing 1994 through Only ___ 5.40 —% Bonds maturing 1995 through 1996 ___ _ 5.50 % Bonds maturing 1997 through 1998 -__ 5.60 g with said interest to be evidenced by interest coupons payable on May 15, 1979, and semiannually thereafter on each November 15 and May 15. 5. That the principal of and interest on said bonds 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 surrender or proper bond or interest coupon at Corpus Christi National Bank, Corpus Christi, Texas, or at the option of the holder, at The Chase Manhattan Bank, N. A., New York, New York, or at Harris Trust and Savings , Bank, Chicago, Illinois, which places shall be the paying agents for said bonds. 4 i 6. That each of said bonds and interest coupons shall be signed by the imprinted or lithographed facsimile signature of the Mayor of said City and countersigned by the imprinted Sr ' lithographed facsimile signature of the City Secretary of said 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, and the form of the interest coupons to be attached to said bonds, shall be, respectively, substantially as follows: (FORM OF BOND) NO. UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI, TEXAS, GENERAL IMPROVEMENT BOND SERIES 1978 -A $5,000 On November 15, 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 % per annum, evidenced by interest coupons payable May 15, 1979, and semiannually thereafter on each November 15 and May 15 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 surrender of this bond or proper interest coupon, at the Corpus Christi National Bank, Corpus Christi, Texas, or, at the option of the bearer, at The Chase Manhattan Bank, N. A., New York, New York, or at Harris Trust and Savings 9 Bank, Chicago, Illinois, which places shall be the paying agents for this Series of bonds. x This bond is one of a Series of bonds of like tenor and effect except as to number, maturity, interest rate and right of prior redemption, numbered 1 through 1000, of the de- nomination of $5,000 each, dated November 15, 1973, issued rh �r in the aggregate principal amount of $5,000,000 for the pur- pose of providing $400,000 for making permanent public improvements, to -wit: a community - convention facility, $2,750,000 for constructing improvements to the Saaitary Sewer System, $225,000 for constructing airport improvements at the City's International Airport, $600,000 for improving lands for park purposes and recreation facilities, $150,000 for public buildings, $25,000 for purchasing buses and other transporta- tion improvements, $100,000 for constructing drainage improve- ments, and $750,000 for improving the streets of the city. The bonds of this Series scheduled to mature on and after 'Rovember 15, 1989, may be redeemed prior to their'-scheduled maturities, in whole or in part, in inverse numerical order, at the option of said City, on November 15, 1988, or on any interest payment date thereafter, for the principal amount thereof plus accrued interest to the date fixed for redemption, plus a premium of 2h%, such premium to be reduced h of 1% on November 15 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 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 6 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 t xty provided for such payment. It is hereby certified and recited that this bond has been duly and validly voted, authorized, issued, and delivered in 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, 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 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 printedAlithaphed on this bond. City Secret ary, City of Corpus us Christi, Christi, Texas (FORM OF REGISTRATION CERTIFICATE) 2OMPTROLLER'S REGISTRATION CERTIFICATE: REGISTER NO. I hereby certify that this bond has been examined, :ertified as to validity, and approved by the Attorney General )f the State of Texas; and that this bond has been registered )y the Comptroller of Public Accounts of the State of Texas. Witness my signature and seal this 7 Comptroller of Public Accounts of the State of Texas i (FORM OF INTEREST COUPON) z NO. On 19_, the City of Corpus Christi, in the County of Nueces, State of Texas, promises to pay to bearer, the amount shown on this interest coupon, in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrender of this interest coupon, at the Corpus Christi National Bank, Corpus Christi, Texas, or, at the option of the bearer, at The Chase Manhattan Bank, N. A., 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 hereinafter designated, of that issue of City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A, da November 15, 1978. Bond No. City Secretary yo 8. That a special fund or account, to be designated the "City of Corpus Christi, Texas, General Improvement Bonds, Series 19.78 -A Interest and Sinking Fund" is hereby created and 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 com- pute and ascertain the rate and amount of ad valorem tax, based Dn the latest approved tax rolls of said City, with full allowances being made for tax delinquencies and costs of tax 8 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 collected each such year and deposited to the credit of the aforesaid 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. (a) That said bonds are hereby sold and shall be delivered to Republic'National Bank of Dallas & Assoc.q , at a price of par and accrued interest to date of delivery, plus a premium of $ 637.50 . (b) That the City Manager of said City is hereby autho- rized 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. 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. It is hereby officially found and determined that the meeting at which said bonds were authorized was open to the 9 Public as required by law and public notice of the time, place, and purpose of said meeting was given as required by Vernon's Ann. Civ. St. Article 6252 -17, as amended. 11. That for the interest scheduled to come due on the bonds herein authorized on May 15, 1979 there is hereby { appropriated from City funds 'lawfully available for such purpose a sufficient amount of money to pay said interest. 12. That the City covenants to and with the purchasers of the bonds that it will make no use of the proceeds of the bonds at any time throughout the term of this issue of bonds which, if such use had been reasonably expected on the date of delivery of the bonds to and payment for the bonds by the purchasers, would have caused the bonds to be arbitrage bonds within the meaning of Section 103(c) of the Internal Revenue Code Of 1954, as amended, or any regulations or rulings pertaining thereto; and by this covenant the City is obligated to comply with the requirements of the aforesaid Section 103(c) and all applicable and pertinent Department of the Treasury regulations relating to arbitrage bonds. The City further covenants that the proceeds of the bonds will not otherwise be used directly or indirectly so as to cause all or any part of the bonds to be or become arbitrage bonds within the meaning of the aforesaid Section 103(c), or any regulations or rulings pertaining thereto. 13. The fact that the contemplated use of the proceeds >f the bonds is necessary for the orderly development and growth rf the City of Corpus Christi, Texas, creates a public emergency nd an imperative public necessity requiring the suspension of he Charter Rule providing that no ordinance or resolution shall e passed finally on the date it is introduced and that such rdinance or resolution shall be read at three several meetings 10 it 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. 14. That all ordinances and resolutions or parts . thereof in conflict herewith are hereby repealed. PASSED AND APPROVED this the 8 day of November, 1978. Mayo4corpus City sti, Texas ATTEST: JAY- City Secretary City of Corpus Christi, Texas The foregoing ordinance was approved prior to passage as to form and correctness this the 8 day of November, 1978, Ai y Attorney City of Corpus ClUisti, Texas 11 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 8th day of November, 1978, authorizing the issuance of $5,000,000 of City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A, 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 and public notice of the time, place and purpose of said meeting was given as required by Vernon's 9nn. Civ. St. Article 6252 -17, as amended. EXECUTED UNDER MY AND AND SEAL of said City, this :he __ 8 day of November, 1978. 1-5'le � �j ity Secretary City of Corpus Christi, Texas GENERAL CERTIFICATE THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI We, the undersigned, hereby officially certify that we are the Mayor, City Secretary and Director of Finance, respectively, of said City, and we further certify as follows: 1. That said City is a duly incorporated Home Rule City, having more than 5000 inhabitants, operating and existing under the Constitution and laws of the State of Texas and the duly adopted Home Rule Charter of said City, which Charter has not been changed or amended since February 15, 1978, the date of passage of the ordinance authorizing the issuance of the most recently dated, issued and outstanding tax obligations of said City. 2. That no litigation of any nature has ever been filed pertaining to, affecting or contesting: (a) the issuance, delivery, payment, security or validity of the proposed City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A, dated November 15, 1978, in the aggregate principal amount of $5,000,000; (b) the authority of the officers of said City to issue, execute and deliver said bonds and interest coupons; or (c) the validity of the corporate existence, the current Tax Rolls, or the Charter of said City; and that with the exception of the following cases contesting certain annexation proceed- ings of the City, which if lost by the City would not reduce the amount of the 1978 ad valorem tax rolls as shown below, no litigation is pending pertaining to, affecting or contesting the boundaries of said City, to -wit: State of Texas ex rel. City of Corpus Christi vs. Percy A. Hartman, et al, No. 115,034 -D, 105th Judicial District Court, Nueces County. The City of Corpus Christi vs. Percy Hartman, et al, No 115,039E, 148th District Court, Nueces County, Texas. State of Texas ex rel. Lonnie Glasscock III vs. City of Corpus Christi, et al, -No- - o _ . 15,776, 36th Judicial District Court, San Patricio County, Texas. 3. That on the 2nd day of June, 1976, the date the Zity Council called the election authorizing the issuance of part of said Bonds, and on June 30, 1976, the date said City 2ouncil canvassed the returns of said election, the following persons were the duly elected or appointed and qualified )fficials of said City: Jason Luby Mayor Bill Tipton, DDS, Mayor Pro -Tem Eduardo de Ases Ruth Gill Bob Gulley Councilmen Gabe Lozano, Sr. Edward L. Sample R. Marvin Townsend, City Manager Michael L. May, Asst. City Attorney Harold F. Zick, Director of Finance Bill G. Read, City Secretary Alton White, Jr., Tax Assessor- Collector p� 4. That on the 28th day of September, 1977, the date the City Council called the electing authorizing the issuance of the balance of the Bonds, and on the 9th day of November, 1977, the date the City Council canvassed the returns of said election, the following persons were the duly elected or appointed and qualified officials of said City: Jason Luby, Mayor Eduardo De Ases Mayor Pro -Tem David Diaz Ruth Gill Bob Gully Councilmen Gabe Lozano, Sr. Edward L. Sample R. Marvin Townsend, City Manager J. Bruce Aycock, City Attorney Harold F. Zick, Director of Finance Bill G. Read, City Secretary Alton T. White, Jr., Tax Assessor - Collector • 4. That on the 8th day of November, 1978, the date an ordinance was passed authorizing the issuance of City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 =A, and at the Present time, the following persons were and are the duly elected or appointed and qualified officials of said City: Gabe Lozano, Sr., Mayor Bob Gulley, Mayor Pro -Tem David Diaz Ruth Gill Edward L. Sample Councilmen Tony Juarez, Jr. Joe Holt R. Marvin Townsend, City Manager J. Bruce Aycock, City Attorney Harold F. Zick, Director of Finance Bill G. Read, City Secretary Alton T. White, Jr., Tax Assessor - Collector • 4. That the currently effective ad valorem Tax Rolls of said City are those for the year 1978, being the most re- cently approved Tax Rolls of said City; that the City Commission- ers of said City have caused the taxable property in said City to be assessed as required by law; that the Board of Equalization of said City has equalized and approved the valuation of taxable Property in said City for said year; that the Tax Assessor of said City has duly verified the aforesaid Tax Rolls, and said Board of Equalization has finally approved the same; and that the valuation of taxable property in said City, and the aggre- gate amount of exemptions, and the net effective taxable value of taxable property in said City, according to the aforesaid Tax Rolls for said year, as delivered to the City Secretary of said City, and finally approved and recorded by the City Council of said City, are as follows: 'Y' Assessed Value: $ 2,427,902,695 Exemptions: 81,088,573 Taxable Values: 2,346,814,122 SIGNED AND SEALED this the -.day f 1978. Cify Secretary Mayor City of Corpus Christi, Texas City of us Christi, Texas Director of Fin e City of Corpus C risti, Texas (SEAL) APPROVED AS TO FORM AND CORRECTNESS this day of 1978. it Attorney City of Corpus 4hristi, Texas SIGNATURE IDENTIFICATION AND NO- LITIGATION CERTIFICATE THE STATE OF TEXAS COUNTY OF NUECES We, the undersigned, hereby certify as follows: (a) That this certificate is executed and delivered With reference to that issue of City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A, dated November 15, 1978 in the aggregate principal amount of $5,000,000. (b) That we officially executed and signed said Bonds and the interest coupons attached thereto by causing facsimiles Of our manual signatures to be imprinted or lithographed on each Of said Bonds and interest coupons, and we hereby adopt said facsimile signatures as our own, respectively, and declare that said facsimile signatures constitute our signatures the same as if we had manually signed each of said Bonds and interest coupons. (c) That said Bonds and interest coupons are substan- tially in the form, and have been duly executed and signed in the manner, prescribed in the order, resolution, or ordinance authorizing the issuance of said Bonds and interest coupons. (d) That at the time we so executed and signed said Bonds and interest coupons we were, and at the time of executing this certificate we are, the duly chosen, "qualified, and acting officers indicated therein, and authorized to execute the same. (e) That no litigation of any nature has been filed or is now pending to restrain or enjoin the issuance or delivery Of said Bonds or interest coupons, or which would affect the provision made for their payment or security, or in any manner questioning the proceedings or authority concerning the issuance of said Bonds and interest coupons, and that so far as we know and believe no such litigation is threatened. (f) That neither the corporate existence nor boundaries of said issuer is being contested except the follow- ing cases involving the validity of annexation proceedings of the City, to -wit: State of Texas ex rel. Cit of Cor us Christi vs. Percy A. Hartman, et _a_1, No. 115,034 -D, 105th Judicial District Court, Nueces County. The City of Corpus Christi. vs. Perc Texas. y Hartman, et al, No. 115,039E, 148th District Court, Nueces County, State _of Texas ex rel. _Lonnie Glasscock III _vs. City of Corpus Christi, et al, No. 15,776,V36th Sudicial District Court, San Patricio County, Texas; that no litigation has been filed or is now pending which would affect the authority of the officers of said issuer to issue, execute, and deliver said Bonds and interest coupons, and that no authority or proceedings for the issuance of said Bonds and interest coupons have been repealed, revoked, or rescinded. (g) That we have caused the official seal of said issuer to be impressed, or printed, or lithographed on each of said Bonds; and said seal on said Bonds has been duly adopted as, and is hereby declared to be, the official seal of said issuer. MANUAL S this OFFICIAL TITLES Mayor, City of Corpus Christi City Secretary, City of Corpus Christi The signatures of the officers subscribed above are hereby certified to be true and genuine. (BANK SEAL) APPROVED AS TO FORM AND CORRECTNESS this the day of , 1978. �� � ty Attorney ity of Corpus Chaisti, Texas THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI -4 CERTIFICATE CONCERNING OFFICIAL STATEMENT On behalf of the City of Corpus Christi, Texas, (the "City ") we the duly appointed and acting City Manager and Director of Finance of the City do hereby certify that the Official Statement prepared for use in connection with the offering and sale of City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A has been authorized and approved by the City Council of the City of Corpus Christi, and to the best of our knowledge and belief and after reasonable investigation: (a) Neither the "Official Statement" nor any amend- ment or supplement thereto pertaining to City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A contains any untrue statement of a material fact necessary to make the statements therein, in light of the circumstances in which they were made, not misleading; (b) Since the date of the "Official Statement" no event has occurred which should have been set forth in an amendment or supplement to the "Official Statement" which has not been set forth in such amendment or supplement; and (c) There has been no material adverse change K in the operation or financial affairs of the City since the date of such "Official Statement ". DATED the __day of 1978 (SEAL) 'r ATTEST: City Secretary T t City of Corpus Christi, Texas City Manage City of Corpus Christi, Texas Dire40f r of Fina City Corpus C risti, Texas STATEMENT OF INDEBTEDNESS STATE OF TEXAS TY OF NUECES :ITY OF CORPUS CHRISTI : I, the undersigned, Director of Finance of the City f Corpus Christi, Texas, do hereby certify that attached ereto is a true, full and correct statement of the indebtedness f said City of every character on the 8th day of November, 1978 s shown by the books and records of said City in my office. WITNESS MY HAND AND SEAL of said City, this the 3y of 1978. irector of Finance City of Corpus Ch i, Texas I(SEAL) c J SCHEDULE OF OltTSTANDIN(; BONDED DEBT ACCORDING TO SCHEDULED MATURITIES OCTOBER 31, 1978 Water District No, 2 Bonds, Series 1950, 3 1/2% 1979 -80 $ 38,000 1980 -81 39,000 $ 77,000 Storm Sewer Bonds, Series 1954, 3% 1978 -79 $ 90,000 1979 -80 90,000 1980 -81 90,000 1981 -82 90,000 1982 -83 80,000 1983 -84 80,000 $ 520,000 Street Right -of -Way Bonds, Series 1954, 3 - 2 3/4% 1978 -79 $ 15,000 1979 -80 15,000 1980 -81 15,000 1981 -82 15,000 1982 -83 25,000 1983 -84 25,000 $ 110,000 Storm Sewer Bonds, Series 1957, 4 - 3 3/4% 1978 -79 $ 35,000 1979 -80 35,000 1980 -81 35,000 1981 -82 35,000 $ 140,000 Airport Bonds, Series 1958, 3 1/4% 1978 -79 $ 40,000 1979 -80 40,000 1980 -81 40,000 1981 -82 40,000 1982 -83 40,000 $ 200,000 General Improvement Bonds, Series 1958, 3 1/2% 1978 -79 $ 500,000 Storm Sewer Bonds, Series 1958, 3 1/4% 1978 -79 $ 25,000• 1979 -80 30,000 1980 -81 30,000, 1981 -82 35,000 1982 -83 35,000 General Improvement Bonds, Series 1959, 3 7/8% 1978 -79 $ 275,000 1979 -80 310,000 $ 585,000 General Improvement Bonds, Series 1960, 3 7/10 - 3 3/4% 1978 -79 $ 125,000 1979-80 180,000 $ 305,000 General Improvement Bonds, Series 1961, 3 1/2 - 3 6/10 - 3 7/10 - 3 3/4% 1978 -79 $ 200,000 1979 -80 200,000 1980 -81 200,000 $ 600,000 General Improvement Bonds, Series 1962, 2 7/8 - 3 - 3 1 /10% 1978 -79 $ 300,000 1979 -80 300,000 1980 -81 300,000 19 81- 82 300,000 $ 1,200,000 General Improvement Bonds, 1963, 3 - 3 1 /10% 1978 -79 $ 1603000 19 79- 80 160,000 1980 -81 160,000 1981 -82 160,000 1982 -83 160,000 $ 800,000 General Improvement Bonds, Series 7963 -A, 3 - 3 1 /10 - 3 2/10 - 3 1/4% 1979 -80 $ 275,000 1980 -81 275,000 1981 -82 275,000 1982 -83 275,000 1983 -84 275,000 $ 1,375,000 General Improvement Bonds, Series 1964, 3 1 /10 - 3 1/4 - 3 3/10% 1979 -80 $ 255,000 1980 -81 255,000 1981 -82 255,000 1982 -83 2$5;000 1983 -84 255,000 1984 -85 255,000 $ 1,530,000 Park Improvement Bonds, Series 1964, 3 -1 /10 - 3 1/4 - 3 3/10% 1979-80 $ 20,000 1980 -81 20,000 1981-82 20,000 1982 -83 20,000 1983 -84 20,000 1984 -85 20,000 $ 120,000 General improvement Bonds, Series 1965, 3 1/4 - 3 4/10 - 3 1/2% Improvement Bonds, Series 1967 -A, 1978 -79 $ 90,000 1979 -80 90,000 1980 -81 90,000 1981 -82 90,000 1982 -83 90,000 1983 -84 90,000 19 84- 85 80 , 000 $ 620,000 General Improvement Bonds, Series 7966 -A, 3 9/10% - 66/10 -6 7/10 -6% 1978 -79 $ 135,000 1979 -80 135,000 1980 -81 i 135,000 1981 -82 1352000 1982 -83 1353000 1983 -84 135,000 1984 -85 135,000 1985 -86 135,000 1986 -87 135,000 General $ 1,215,000 General Improvement Bonds, Series 1967, 3 9/10 - 4 - 4 1 /10% $ 150,000 1979 -80 $ 185,000 1980 -81 185,000 1981 -82 185,000 1982 -83 185,000 1983 -84 200,000 1984 -85 200,000 1985 -86 200,000 1986 -87 200,000 1987 -88 200,000 1988 -89 $ 1,740,000 General Improvement Bonds, Series 1968, S- 4 3/10 - 4 5/10 - 46/10% 1978 -79 $ 125,000 1979-80 150,000 1980 -81 150,000 1981 -82 150,000 1982 -83 150,000 1983 -84 150,000 1984 -85 150,000 1985-86 150,000 1986 -87 150,000 1987 -88 1501000 275,000 $ 1,475,000 General Improvement Bonds, Series 1969 5 1/2 - 5 - 5 3/10 - 5 4/10 - 4 5/10% 1978 -79 $ 150,000 1979 -80 200,000 1980 -81 200,000 1981 -82 200,000 1982 -83 200,000 1983-84 200,000 1984 -85 250,000 1985 -86 250,000 1986 -87 250,000 1987 -88 250,000 1988 -89 250,000 100, 000 $ 2,400,000 $ 1,000,000 Page 2 General Improvement Bonds, Series 1967 -A, 6 1/2 - 6 2/10 - 6 1/4 - 6 3/10 - 6.35% 1978 -79 $ 150,000 1979 -80 150,000 1980 -81 150,000 1981 -82 150,000 1982 -83 150,000 1983 -84 150,000 $ 900,000 General Improvement Bonds, Series 1970, 8- 61/2 - 66/10 -6 7/10 -6% 1978 -79 $ 300,000 1979 -80 400,000 19 80- 81 500,000 1981 -82 500,000 1982 -83 500,000 1983 -84 500,000 1984 -85 500,000 1985 -86 500,000 $ 3,700,000 General Improvement Bonds, Series 1971, 4 - 4 1/2 - 4 7/10 - 4 8/10 - 5% 1978 -79 $ 150,000 1979-80 s� 150,000 1980 -81 150,000 1981 -82 150,000 1982 -83 200,000 1983 -84 200,000 1984 -85 200,000 1985 -86 200,000 1986 -87 200,000 1987 -88 200,000 1988 -89 250,000 1989 -90 250,000 $ 2,300,000 General Improvement Bonds, Series 1972, 59/10 -5 -5 2/10 -51/4- 4% 1978 -79 $ 275,000 1979 -80 275,000 1980 -81 275,000 1981 -82 275,000 1982 -83 275,000 1983 -84 275,000 1984 -85 275,000 1985 -86 275,000 1986 -87 275,000 1987 -88 275,000 1988 -89 2753000 1989 -90 275,000 1990 -91 275,000 1991 -92 275,000 $ 3,850,000 Upper Level College Bonds, Series 1973, 5 1/4% 7978-79 $ 100,000 1979 -80 100,000 1980 -81 100,000 1981 -82 1003000 1982-83 100, 000 1983 -84 100,000 1984 -85 1003000 1985 -86 100,000 1986 -87 100,000 1987-88 100,000 $ 1,000,000 ` Page Genera .. mprovement Bonds, 6- 49/10 -5 1/10 -5 Series 1973, 2/10- General Improvement Bonds, Series 19/3, 4% 7 -.51/2 -5 3/4 -6 -5% 1978 -79 1979 -80 $ 250,000 1978 -79 $ 200,000 1980 -81 300,000 300,000 1979 -80 300,000 1981 -82 300,000 1980 -81 300,000 1982 -83 300,000 1981 -82 1982 -83 300,000 1983 -84 300,000 1983 -84 300,000 1984 -85 300,000 400,000 1985 -86 30000 1985 -86 400,000 1986 -87 1987 -88 300,000 1986 -87 400,000 400,000 1988 -89 300,000 400,000 1987 -88 400,000 1989 -90 400,000 400,000 1990 -91 400,000 1989 -90 1990 -91 400,000 1991 -92 400,000 1991 -92 400,000 1992 -93 400,000 1992 -93 400,000 $ 4,950,000 1993 -94 400,000 400,000 Tax & Revenue Certificates of Obligation, 1994 -95 40 Series 1974, 4 1/47 $ 6,200,000 1978 -79 $ 45,000 General Improvement Bonds,kSerieS 1976, 6 1/2 - 5 1/4 - 4 3/4 - 4.85 - 5% Certificates of Obligation, Series 1975, 1978 -79 $ 100,000 4 - 5 - 5.1 - 5.2 - 5.3% 1979 -80 100,000 1978-79 $ 200,000 1980 -81 100,000 1979 -80 200,000 1981 -82 200,000 1980 -81 200,000 1982 -83 200,000 1981 -82 200,000 19 83- 84 200,000 1982 -83 200,000 1984 -85 200,000 1983 -84 200,000 1985 -86 200,000 1984 -85 200,000 1986 -87 200,000 $ 1,400,000 1987 -88 1988-89 200,000 200,000 Tax & Revenue Certificates of Obligation, g- 1989 -90 1990 -91 200,000 Series 1974 -A, 6 - 5 1/4 - 5 1/2 1991 -92 200,000 5 6/10 - 5 7/10% 200,000 1992 -93 200,000 1978 -79 $ 50,000 1993 -94 1994 -95 200,000 1979 -80 1980 -81 502000 1995 -96 200,000 200,000 1981 -82 50,000 50,000 $ 3,300,000 1982 -83 1983 -84 50,000 General Improvement Bonds, Series 1977, 1984 -85 502000 50,000 6 - 4 1/2 - 4.70 - 4.90 - 5% 1985 -86 1986 -87 50,000 50,000 1978 -79 $ 125,000 1987 -88 50,000 1979 -80 125,000 1988 -89 50,000 1980 -81 150,000 1989 -90 50 000 1981 -82 150,000 1990 -91 50,000 $ 650,000 1983 -84 1984 -85 50,000 r" t General'Improvement Bonds, Series 1974, 1985 -86 150,000 150,000 "�6 = 5` 4/10 - 5 1%2 - 5.65 -,5 7/10% 1986 -87 150,000 1987 -88 150,000 1978-79 $ 150,000 1988 - 89 1989 -90 150,000 1979 -80 150,000 1990 -91 50,000 1980 -81 1981 -82 200,000 1991 -92 150,000 150,000 1982 -83 200,000 225,000 1992 -93 150,000 1983 -84 225,000 1994 -95 1984 -85 1985 -86 225,000 1995 -96 150,000 150,000 1986 -87 225,000 225,000 1996 -97 150,000 1987 -88 225,000 $ 2,800,000 1988 -89 225,000 1989 -90 225,000 1990 -91 225,000 1991 -92 225,000 1992 -93 225,000 1993 -94 225,000 7$7 ,400,000 Page General -improvement Bonds; aeries 1977 -A, 6- 4.7- 4.8- 4.9 -4% 1978 -79 $ 200,000 1979 -80 200,000 1980 -81 300,000 1981 -82 300,000 1982 -83 4002000 1983 -84 400,000 1984 -85 400,000 1985-86 400,000 1986 -87 400,000 1987 -88 400,000 1988 -89 400,000 1989 -90 500,000 1990 -91 500,000 1991 -92 500,000 1992 -93 500,000 1993 -94 500,000 1994 -95 500,000 1995 -96 500,000 1996 -97 500,000 $ 7,800,000 General Improvement Bonds, Series 1978, 5.75 - 4.80 - 4.90 - 5.00 - 3.75% 1978 -79 $ 300,000 1979 -80 300,000 1980 -81 350,000 1981 -82 400,000 1982 -83 450,000 1983 -84 500,000 1984 -85 500,000 1985 -86 500,000 1986 -87 500,000 1987 -88 550,000 1988 -89 600,000 1989 -90 600,000 1990 -91 600,000 1991 -92 600,000 1992 -93 650,000 1993 -94 700,000 1994 -95 700,000 1995 -96 700,000 1996 -97 750,000 �+-1�9,97 -98 ` 750,000 - + $11,000,000 Total Bonded Debt $68,962,000 Total Cash & Securities in Interest & Redemption Fund as of October 31, 1978 $ 7,178,136.68;-- 0 The Attorney General of the State of Texas Attention: Bond Division Capitol Station Austin, TX 78711 Re: City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A, $5,000,000 Dear Sir: The captioned series of bonds is being sent to your office, and it is requested that you examine and approve the bonds in accordance with law. After such approval, please deliver the bonds to the Comptroller of Public Accounts of the State of Texas for registration. Enclosed herewith is a signed but undated copy of the Signature Identification and No- Litigation Certificate for said series. You are hereby authorized and directed to date said certificate concurrently with the date of approval of the bonds. If any litigation or contest should develop pertaining to the bonds or any other matters covered by said Certificate, the undersigned will notify you thereof imme- diately by telephone and telegraph. with this assurance you can rely on the absence of any such litigation or contest, and on the veracity and currency of said Certificate at the time you approve the bonds, unless you are notified otherwise as aforesaid. Yours very truly, CITY OF CORPUS CHRISTI, TEXAS City Tanager ATTEST: City Secretary (SEAL) , 1978 The Comptroller of Public Accounts of the State of Texas Attention: Bond Division Capitol Station Austin, Texas 78711 CITY OF CORPUS CHRISTI, TEXAS, GENERAL IMPROVEMENT BONDS, SERIES 1978-A, $5,000,000 Dear Sir: The approved bonds of the captioned series will be delivered to you by the Attorney General of the State of Texas. You are hereby requested to register the bonds as required by law and by the proceedings authorizing the bonds. After such registration you are hereby authorized and directed to notify, and deliver the bonds to, the City National Bank of Austin, Austin, Texas, which has been instructed to pick up the bonds at the Bond Division of your office. Please'disre- gard the letter dated February 27, 1978 authorizing delivery to First National Bank in Dallas. Please send to McCall, Parkhurst & Horton, Attorneys at Law, Dallas, Texas, three copies of each of the following: 1. Attorney General's Approving Opinion 2. Comptroller's Signature Certificate Your statement for this service should be sent to M. E. Allison & Company, Inc., 1615 National Bank of Commerce Building, San Antonio, Texas 78205. Yours very truly, CITY OF CORPUS CHRISTI, TEXAS A�� City Xanager ATTEST: Le �A City Secretary (SEAL) k� O R TREASURER'S RECEIPT THE STATE OF TEXAS: COUNTY OF NUECES: CITY OF CORPUS CHRISTI: The undersigned hereby certifies as follows: (a) That this certificate is executed and delivered with reference to that issue of CITY OF CORPUS CHRISTI, TEXAS, GENERAL IMPROVEMENT BONDS, Series 1978 —A, dated November 15, 1978, in the principal amount of $ 5,000,000. (b) That the undersigned is the duly chosen, qualified, and acting Treasurer of the issuer of said Bonds. (c) That all of said Bonds have been duly delivered to the purchasers thereof, namely: (d) That all of said Bonds have been paid for in full by said purchasers concurrently with the delivery of this certificate, and the issuer of said Bonds has received, and hereby acknowledges receipt of, the agreed purchase price for said Bonds, being the par or principal amount thereof and accrued interest to the date of delivery. (e) That all interest coupons representing interest scheduled to come due on said Bonds were attached to said Bonds at the time of delivery thereof; except that all interest coupons, if any, scheduled to come due prior to the date of delivery of said Bonds were detached and cancelled prior to said delivery. EXECUTED and delivered this — -- — -- T SURER Corpus Christi, Texas ,7,) day of 19?� TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas 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, request that you suspend said Charter rule or requirement and pass this ordinance finally on the date it is introduced, or at the present eeting of the City Council. Respectfully THE CITY OF C0R093— CHRISTI, TEXAS The Charter Rule was suspended by the following vote: Gabe Lozano, Sr. Bob Gulley David Diaz Q Ruth Gill Joe Holt��_ Edward L. Sample ` The above ordinance was passed by the following vote: Gabe Lozano, Sr. Bob Gulley �. David Diaz Ruth Gill Joe Holt Edward L. Sample 4-- City National Bank of Austin P. 0. Box 1727 Austin, Texas 78767 Re: City of Corpus Christi, Texas, General Improvement Bonds, Series 1978 -A, $5,000,000 Gentlemen: The issuer and the purchasers of the captioned series of bonds have designated your bank as the place, and as their agent, for the delivery and payment of the bonds. �X. Upon notice of their registration, you are hereby authorized •' and directed to pick up the bonds at the Bond Division of the office of the Comptroller of Public Accounts of the State of Texas, and to hold the bonds for safekeeping pending said delivery and payment. When you receive the bonds, please send Bond Number One of said series to McCall, Parkhurst & Horton, Attorneys at Law, Dallas, Texas, for examination and return to you. Upon your receipt of the final unqualified approving legal opinion of said attorneys as to the validity of the bonds, you are authorized and directed to deliver the bonds to the purchasers thereof, Republic National Bank of Dallas and Associates, when you have received payment for the bonds, in immediately available funds, in the sum of the principal amount or par value thereof and accrued interest to the date of delivery, plus a premium of $637.50, less $100,000, repre- senting the amount of the good faith check retained by the City of Corpus Christi. You are further authorized and directed to remit all , i of the aforesaid proceeds received from the delivery and pay- ment of the bonds, immediately upon receipt, and by the fastest means available, to the credit of the issuer of the bonds, at its official depository, Corpus Christi National Bank, Corpus' Christi, Texas. Enclosed herewith are four signed but undated copies of the Treasurer's Receipt, the Signature Identification and No- Litigation Certificate and the Certificate Concerning the Official Statement for said series. You are hereby authorized and directed to date all copies of the Receipt and the Certif- icates concurrently with the date of delivery of and payment City National Bank of Austin Page 2 for the bonds. If any litigation or contest should develop or be filed, or if any event should occur, or any knowledge should come to our attention, which would change or affect the veracity of the statements and representations contained in any of said documents, the undersigned will notify you thereof immediately by telephone and telegraph. With this assurance you can rely on the absence of any such litigation, contest, event or knowledge, and on the veracity and currency of each of said documents at the time of delivery of and pay- ment for the bonds, unless you are notified otherwise as aforesaid. After all copies of each of said documents have been dated in accordance with the foregoing instructions, please send all of them to McCall, Parkhurst & Horton. Yours very truly, CITY OF CORPUS CHRISTI, TEXAS City' Manager ATTEST: City Secretary (SEAL I cc: M. E. Allison & Company 1615 National Bank of Commerce San Antonio, Texas 78205 ._Republic National Bank of Dallas -Band Department Dallas, Texas 75201 McCall, Parkhurst & Horton 1400 Mercantile Bank Building Dallas, TX 75201 Re: City of Corpus Christi, Texas, General Improvement Bonds, Series 1978-A, $5,000,000 Gentlemen: Enclosed herewith are five signed but undated copies of No- Arbitrage Certificate relating to the above - captioned bonds. You are hereby authorized and directed to date all copies of the Certificate concurrently with the date of de- livery of the bonds. You can rely on the veracity and currency of said Certificate at such time unless you are notified otherwise by the undersigned. Sincerely%, City of Corpus-9.heisti, Texas — dw 44 W City secretary City of Corpus Christi, Texas Y NO- ARBITRAGE CERTIFICATE THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI The undersigned, being the duly chosen and qualified Mayor and City Secretary, respectively, of the City of Corpus Christi, Texas (the "City "), hereby certify with respect to that issue of City of Corpus Christi, Texas'General Improve- ment Bonds, Series 1978 -A, dated November 15, 1978, in the principal amount of $5,000,000 (the "bonds "), as follows: 1. That we, along with other officers, are chargeq with the responsibility of issuing the bonds and expending the proceeds of the bonds. 2. That this Certificate and covenant are made pursuant to Sections 1.103 -13, 1.103 -14, and 1.103 -15 of the proposed Income Tax Regulations (the "Regulations ") of the Internal Revenue Service with respect to arbitrage bonds as described in Section 103(c) of the Internal Revenue Code of 1954, as amended (the "Code "), and the words and phrases used herein have the same meanings as defined and used in the Regulations. 3. That this Certificate is based on facts, estimates, and circumstances in existence on the date of this Certificate, which is the date of the issue of the bonds, and on such basis it is reasonably expected that the following will occur with respect to the bonds, and, to the best knowledge and belief of the undersigned, such expectations are reasonable: (a) that the bonds are issued for the purpose of constructing convention facilities and various general improvement projects;' (b) that the City will incur, within six months after the date of issue of the bonds, binding obligations to commence each of the projects, respectively, to be fi- nanced by the bonds, either by entering into contracts for the construction of such projects to be financed by the bonds, or by entering into contracts for architectural or engineering services for such projects, or contracts for land acquisition, site development, purchase of con- struction materials, or purchase of equipment, for such projects, or in case of services, will commit itself to make an equivalent expenditure for similar services by employees of the City, with the amount to be paid under each such contract and commitment with respect to each such project, respectively, to be in excess of the lesser of $100,000 or 2318 of the portion -of the amounts received from the sale of the bonds allocated to each such project, respectively (with the aggregate amounts to be paid under all of such contracts to be in excess of the lesser of $100,000 or 2h% of all of the amounts received from the sale of the bonds). (c) that after entering into said contracts or making such commitments, work on all of such projects will pro- ceed promptly with due diligence to completion; (d) that all of the amounts received from the sale of the bonds will be expended for the purposes of the bonds by the end of the three -year period beginning on the date of issue of the bonds; Y (e) that none of the amounts received from the sale of the bonds will be placed in a reserve or replacement fund, and, except as provided in (f) and (g), below, none of the amounts received from the sale of the bonds and none of the proceeds of the bonds of any kind will either (i) be placed in a reserve or replacement fund, or (ii) be used directly or indirectly to replace funds which were used directly or indirectly to acquire any securities or obligations of any kind; •(f) that a separate and special "Interest and Sinking Fund" has been created and established solely to pay the principal of and interest on the bonds, with a portion of such fund constituting a bona fide debt service fund for the bonds, and money deposited into the "Interest and Sinking Fund" for the bonds will not be invested except during the thirteen month period beginning on the date of each such deposit of money, and the amounts received from the investment of money in the "Interest and Sinking Fund" will not be invested except during the one year period beginning on the date of receipt of such amounts; provided, however, and except that, if any money so deposited, and any amounts received from the investment thereof, are accumulated in the "Interest and Sinking Fund" and remain on hand in the "Interest and Sinking Fund" after thirteen months from the date of deposit of any such money or one year after the receipt of any such amounts from the in- vestment thereof, such money and amounts, to the extent of an aggregate not exceeding 15% of the original face amount of the bonds (with the bonds having been sold at face value or par), shall constitute a reasonably required debt service reserve fund for the bonds, and may be invested, and will not be subject to investment yield restrictions, and shall constitute a separate portion of the "Interest and Sinking Fund "; (g) that it is expected that a portion of the "Interest and Sinking Fund" will be used primarily to achieve a proper matching of tax revenues collected for the Bonds and debt service on the bonds within each bond year, and it is expected that such portion of the "Interest and Sinking Fund" will be depleted once a year on a first in - first out basis, except for a possible carryover amount which will not exceed the greater of one year's earnings on such fund or 1/12 of annual debt service paya- ble from anv such fund, but any money and amounts which may be accumulated in the "Interest and Sinking Fund" to con- stitute a debt service reserve fund for the bonds as described in (f), above, shall constitute a separate portion of the "Interest and Sinking Fund ", and will not be depleted annually and will not be subject to yield restrictions; provided, that in no event will such debt service reserve fund portion of the "Interest and Sinking Fund" ever exceed 15% of the original face amount of the bonds; (h) that except as provided in (f) and (g) above, no money or amounts will be held or accumulated in or invested from any sinking fund, debt service fund, redemption fund, reserve fund, replacement fund, or similar fund which is reasonably expected to be used to pay principal or inter- est on the bonds; (i) that none of the projects to be financed by the bonds will be sold or otherwise disposed of, in whole or in part, prior to the final maturity of the bonds; 1 (j) that the amounts received from the sale of the bonds will not exceed the amounts necessary for the governmental purposes of the bonds; (k) that the City has not been notified of of any listing of it by the internal Revenue Service as an issuer that may not certify its bonds. 4. That it is not expected that the proceeds of the bonds ill be used in any manner that would cause such obligations to e arbitrage bonds under Section 103(c) of the Code and the :gulations prescribed under that Section, and it is further pecifically covenanted that the proceeds of the bonds will not e used directly or indirectly so as to cause all or any part f the bonds to be or become arbitrage bonds within the meaning f that Section or the Regulations prescribed by that Section. 5. That to our best knowledge and belief there are no ther facts, estimates, or circumstances that would materially hange the foregoing conclusions or statements. EXECUTED this (SEAL)