HomeMy WebLinkAbout06000ORDINANCE NO. 6000
AN ORDINANCE SUBMITTING TO THE ELIGIBLE ELECTORS OF THE CITY
OF PUEBLO, COLORADO AT THE GENERAL MUNICIPAL ELECTION TO BE
HELD ON NOVEMBER 7, 1995, A QUESTION RELATING TO LIMITED TAX
GENERAL OBLIGATION BONDS OF THE CITY OF PUEBLO, COLORADO FOR
THE FINANCING OF THE HISTORIC ARKANSAS RIVERWALK PROJECT
WHEREAS, the City of Pueblo, Colorado (the "City ") has previously
established a program for improving the area within the City
immediately adjacent to the Arkansas River and commonly known as the
Historic Arkansas Riverwalk Project ( "HARP "); and
WHEREAS, the City has determined that the most appropriate
mechanism for financing HARP is through the issuance by the City of
limited tax general obligation bonds (the "Bonds "); and
WHEREAS, the City anticipates that the Bonds will need to be
issued in an amount not to exceed $12,850,000 for the financing of
HARP, with an annual debt service payment on the Bonds not to exceed
$1,100,000; and
WHEREAS, the City anticipates that its revenues will exceed its
normal spending limit, as set pursuant to Article X, Section 20 of
the Colorado Constitution, although such excess revenues cannot be
assured; and
WHEREAS, the City desires to ask the electors of the City,
pursuant to Article X, Section 20 of the Colorado Constitution, to
approve the issuance and repayment of the Bonds, which repayment is
anticipated to cost approximately $1,100,000 annually, and to permit
the City to retain up to $1,100,000 annually of any such excess
revenues to apply to the payment of the principal of, premium, if
any, and interest on the Bonds; and
WHEREAS, if such excess revenues are not available in an amount
sufficient to pay the debt service on the Bonds, the City will have
to use moneys from the general fund or other available legal sources;
and
WHEREAS, the City Council hereby determines that the financing of
HARP is in the best interests of the City and its inhabitants and
will benefit the health, welfare and safety of the citizens of the
City; NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that
SECTION 1
The question of authorizing the issuance of limited tax general
obligation bonds shall be submitted to a vote of the eligible
electors of the City at the City's general municipal election to be
held on November 7, 1995. The ballot question (submission clause &
title) therefor shall be as follows:
QUESTION NO. B - (HISTORIC ARKANSAS RIVERWALK PROJECT BONDS) SHALL
CITY OF PUEBLO, COLORADO DEBT BE INCREASED BY UP TO $12,850,000
WITH A REPAYMENT COST OF UP TO $22,000,000 FOR THE PURPOSE OF
FINANCING THE CITY'S HISTORIC ARKANSAS RIVERWALK PROJECT, BY THE
ISSUANCE AND PAYMENT OF LIMITED TAX GENERAL OBLIGATION BONDS IN A
PRINCIPAL AMOUNT NOT TO EXCEED $12,850,000, AT AN AVERAGE
INTEREST RATE NOT TO EXCEED 6.67% PER ANNUM AND WITH A FINAL
MATURITY DATE NOT TO EXCEED 20 YEARS FROM THE DATE OF ISSUANCE,
SAID BONDS TO BE ISSUED, DATED AND SOLD AT SUCH TIME OR TIMES AND
IN SUCH MANNER AND TO CONTAIN SUCH TERMS, NOT INCONSISTENT
HEREWITH, AS THE CITY COUNCIL MAY DETERMINE, SAID BONDS TO BE
PAID FROM AVAILABLE CITY FUNDS, WITHOUT ANY INCREASE IN THE
CURRENT RATE OF PROPERTY TAXES; AND, IN CONNECTION THEREWITH,
SHALL THE CITY'S AD VALOREM PROPERTY TAXES BE PLEDGED, WITHOUT
ANY INCREASE IN THE CURRENT RATE OF SAID TAXES, FOR THE PURPOSE
OF PAYING, AND AN AMOUNT THEREOF SUFFICIENT BE APPLIED TO PAY,
THE PRINCIPAL OF AND PREMIUM, IF ANY, AND INTEREST ON SAID BONDS
WHEN DUE, AND SHALL THE CITY BE AUTHORIZED TO INCREASE ITS ANNUAL
REVENUE AND SPENDING LIMIT UNDER ARTICLE X, SECTION 20 OF THE
COLORADO CONSTITUTION BY $1,100,000 PER YEAR FOR DEBT SERVICE ON
SAID BONDS AND FOR INVESTMENT INCOME ON THE BOND PROCEEDS AND ON
THE DEBT SERVICE, ALL FOR THE TERM OF SAID BONDS?
YES
NO
SECTION 2
The officers of the City are authorized and directed to take all
action necessary, appropriate or required to effectuate the
provisions of this Ordinance.
SECTION 3
This Ordinance shall become effective upon final passage.
INTRODUCED: July 24, 1995
By Al Gurule
Councilperson
APPROVED:
President o City Council
ATTEST:
City Cler