HomeMy WebLinkAboutMinutes City Council - 10/06/1988 - SpecialPRESENT
Mayor Betty Turner
Mayor Pro Tem Linda Strong
Council Members:
David Berlanga, Sr.
Leo Guerrero
Clif Moss
Bill Pruet
Mary Rhodes
Mary Pat Slavik
Absent
Frank Schwing
MINUTES
CITY OF CORPUS CHRISTI, TEXAS
SPECIAL COUNCIL MEETING
OCTOBER 6, 1988
2:00 p.m.
City Manager Juan Garza
City Attorney Hal George
City Secretary Armando Chapa
Mayor Betty Turner called the meeting to order in the Council Chamber of
City Hall.
City Secretary Chapa called the roll and verified that the necessary quorum
of the Council and the required charter officers were present to conduct the
meeting.
Mayor Turner noted that this meeting is being held for consideration of the
approval of the Reinvestment Zone Tax Increment Financing Bond Issue for the
Texas State Aquarium and the Corpus Christi Museum Expansion.
Council Member Berlanga moved that Ordinance Number 20488 which amends
Ordinance 20309 so as to amend certain sections of that ordinance so as to: 1.
reduce the principal amount of the City of Corpus Christi, Texas, Combination
Tax and Tax Increment Revenue Certificates of Obligation, Series 1988 (Tax
Increment Financing Zone Project), 2. establish interest rates, maturity
schedule, and rights or duty of redemption prior to scheduled maturity, 3. to
prescribe the form of certificates of obligation and the paying agent/registrar
agreement, and 4. authorize the sale of the Certificates of Obligation be
declared an emergency measure, as requested by the Mayor, and that such
ordinance be adopted as an emergency measure as the action of the City Council
and the City of Corpus Christi.
The motion was seconded by Council Member Pruet and passed unanimously by
those present and voting; Schwing absent.
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Special Council Meeting
October 6, 1988
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City Manager Garza introduced various people from the firms of M. E.
Allison, Fulbright and Jaworski and Dean Witter who helped put the bond sale
together and recognized several City employees who worked on the project.
Assistant City Manager Utter read the maturity schedules and interest rates
which are as follows: 1989 - 6.00%; 1990 - 6.157; 1991 - 6.30%; 1992 - 6.50%;
1993 - 6.75%; 1994 - 6.907; 1995 - 7.00%; 1996 - 7.10%; 1997 - 7.20%; 1998 -
7.30%; and 1999 - 7.40%. Mr. Utter noted that there are $4,840,000 7.75% term
bonds due March 1, 2004 - price 99.50% (plus accrued interest from September 15,
1988).
Mr. Utter noted that Allstate Insurance Company was the largest single
buyer of the bonds, and that there are a number of purchasers for the remainder
of the bonds. Mr. Utter noted that the net interest cost on the issue is
7.6358950 and the true interest cost is 7.699. He stated that the City was able
to maintain its AA minus bond rating by Standard and Poors and Al by Moodys for
the sale.
In answer to a question from Council Member Moss, Mr. Utter noted that the
bids will be received next week on the museum expansion and the bids will be
received in a week or two on the balustrade. He stated that both of the
projects will be under construction within sixty to ninety days.
City Secretary Chapa polled the Council for their votes and the following
Ordinance was passed:
ORDINANCE NO. 20488
AMENDING ORDINANCE 20309 AUTHORIZING THE ISSUANCE OF "CITY OF CORPUS
CHRISTI, TEXAS, COMBINATION TAX AND TAX INCREMENT REVENUE CERTIFICATES OF
OBLIGATION, SERIES 1988 (TAX INCREMENT FINANCING ZONE PROJECT);" APPROVING
PURCHASE AGREEMENT RELATING TO SUCH CERTIFICATES; AND RESOLVING OTHER
MATTERS INCIDENT AND RELATED TO THE ISSUANCE, SALE, SECURITY, PAYMENT, AND
DELIVERY OF SUCH CERTIFICATES.
An emergency was declared and the foregoing Ordinance passed by the
following vote: Turner, Strong, Berlanga, Guerrero, Moss, Pruet Rhodes and
Slavik voting, "Aye"; Schwing absent.
Mayor Turner called for comments from the audience.
Mr. John Dorn, President of the Texas State Aquarium Association, stated
that they are cognizant of the trust and responsibility the City has placed in
them, and they are up to the task.
Ms. Ruth O'Brien, Secretary of the Friends of the Corpus Christi Museum,
expressed appreciation to the Council, noting that she has been working toward
this project for several years.
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October 6, 1988
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Mr. Elbert Morrow, Fulbright and Jaworski, noted that he enjoyed working
with the City and is glad the project has started.
Mr. Bill McGee, representing Dean Witter Co., stated that the marketing
timing was excellent for the City, noting that the City is extremely fortunate
to have gotten this low interest rate. He stated that his firm did the best job
they could for the City and expressed appreciation for the opportunity to work
with the City.
There being no further business to come before the Council, Mayor Turner
declared the Council Meeting adjourned at 2:16 p.m. on October 6, 1988.
* * * * * * * * * * * * *
I HEREBY CERTIFY that the foregoing is a true and correct copy of the
Minutes of the Special Council Meeting of the City of Corpus Christi of October
6, 1988 which were approved by the City Council on October 11, 1988.
WITNESSETH MY HAND AND SEAL, this the
19 C .
Betty Tur er, MAYOR
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day of
Armando Chapa, City Secretary
City of Corpus Christi