HomeMy WebLinkAboutOrd1951-215
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OiwIlJ JTCE HO.
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_,11 Oruin'_lilce of [:~e Ci~y of '38'Jrd, ~'e::'ril,Dr:- of ,.Llf'CJ,
to provide for the ,:tc"uisition of ,11 of the nhysic',l1 Eissets of t.he
.:;ievJdrdidter Company, s"irl C OlilGtWY bein~~ solely owneu by Je2ln Eo
'fhorne of Sew"rd, i1.LiSkl,:Hd in )aYI:lent of 'che Durch,seprice to
sedd owner to 'Juthorize t:18 issulfice of 3. ~romissory note in l:;h6
principal3r,lOunt of ',;i,;ht:' ThClusmd 'Joll,\rs ('$80,000,00) oayable in
monthly instdllments Vii t110\lt int,erest, and to altthorize the issuance
of :.i reil iflort.g.",':e 'lS securi t,y for the n ,.;'nent, of s'lid inde::Jtedness,
the payment of sfJid princinal to be secured only by the revenues of
said utility, ~ll 3S authorized in a spec~ 1 election held Dursu nt
to the orovisions of the "\ct of Oon~:ress ap 'Jroved hl<lrch G, lQ46,
Chapter 52, 60 stat. )) (U.S.C.a. Title 48, Sections 44-f-44-i):
r:::-:"Jt;;",S, the CO,.l.'1(;! 1 of t'::e City of :::;ew'Jrd, 1'ursu,,:\nt to an
ordiwillce duly :",'nroved, sclbmHted ta the cl~lified voters of the
City of Seward at a special election the following prooosition:
.:.h:lll the Git'7 of :.ieklrd, ,1C'SC'1, .for '"]18 ~lllroose of
-lC',Ulrln~ 011 of the physic"l assets of the Jev,' I'd 'lOiter
COl:J.8'ny, S'\id cOllioany 'oei11(' solely owned by Jean j':.
l'horne of Sew:,rd, ,,,laska~,isStles a '01'0' Y note in
the principal amount of ' (J C e~'.'~
Dollsrs pnYHble in monthly l stallment erest,
~nJ for the pu~uent ~f suid note issue a real mortgu~e as
security, the payment of said principal to be secured
only by the revenues of said utility, nll as authorized
by the .,ct of 1J0ngress ap9roved 1..8.rch 6, 1946, Chanter
52, Go stat. 33,
and
on the
rtrr.;RE.~.3, the voters of setid city at c.l special election
t4>-
! J --- ,by of 0e]1tember, 1951, [lurs-lwt to ,:;c:id Ordin"'Ec8s,
2~Y\roved by :;he 1'8' uired 'J.::,j0rity t11e::c :uisHion of t':le ,'."sets of
the 3G''J:.rd ",tel' COEli)3.ny, :'..n<1
'Il~::,.lj~,u, Je.ln 3. ,'horne, CA sinGle -aOlil:1Il WIll sole omer of
:ill of thp isc;ets of the .:.>e:"srd ;;:ter COI'l~<lny, h'lsl~re8d by elJl
option 2[;reenent (lJ.ted t,he ,....j~ of .~Il,sust, 1:51, to sell to tllG
City of 3ew'lrd ,11 of thenhysical nro}erties nf the 3evT~rd Jater
COInl'13ny for ,1 tot31 purchase ~)rice nf ~~i~ttyrhollsWU Doll:.1rs
(.80,000.00), which )'rice sh:\11 be 93.yable 3.t a rate of not less
~h[W :~I ~~~:} ~~t~~U~;0;~~)
lnterest, and ~
per month ./i thOllt
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:-':~:.,"F;'\::J, :;lw COLlncil of Lhe City af 3e'I';ro. noVl deelts tlle
~ccejtQnce of the offer of Je~n E. l'horne Lo sell the lSSALs of
the .3e'nro. uter ::omflan~r ):,0 be '1dv:"wt ;jeous .ill'i in Ll:e "lblie
intorest, 'IDY!, Therefore
'E II' l':i.iJJiI':T;J b:' Lhe Com111on GOllflCil of the C:ity of 38"lurd,
A1Qsk~, as follows:
Jection 1. Fhe City of 3ew~rd, upon the conditions set
forth in this Ordin,nee, hereby ~cce9ts the offer of Jean ~. rhnrne,
sGle mmer, to sell t:J the City ',11 '.lnd the '"role of the assets of
the ]e'.'~lrd 'lI"ter Com.:>any .lnl} f>'.:lid (;1l;y 11ereby :iccects to nurchclse
frm!l sc,id o\vner, '..lpon the terns herein set forth, the fOllowiW:;
reHl -1Dd ~erson..ll 9rogerty:
.:'11 e:lSelllents, licenses, ri,r;h ts-of-'IJ:1Y, reservoirs,
stor3ge tanks, dams, w:tter rightu, pipe lines,
hydrants, sU;JplieS':tnd ma terials on h3.nd '1nd in
transit, machinery, e~uiDment, ~e~i818s, service
connections, accounts receivable, customer 3ccount
records Qno. deposits, and all other assets not
hArein specific'cl.lly enw'ler9.ted.
Section 2. rhe City of Seward, acting throu~h its i0~ro-
ori'clte officers, n1l'181y, the h:iyor !:lnd the Oi ty Gler:~, ure hereby
Quthorized in ;i:"yr:lent of the oUl'ch',se :Jrice of elJ of the nS;3ets of
the ,:,ew3.rd ;'-,te1' Comp3.ny to issue on behc\lf :Jf the City a 9romissory
note in the amount of ~i1hty ~hous~nd nollers (~80,COO.OO), ~iliich
slwll be ;)aid in the manner f ollowin;;:
-'. ;:laid orof'lissory note shall be i)"lyuble in e--:utl
monthly installments
without intorest, Slid inst~,
NOeM~S~ l.~,
the 15 th d:iY of 0 I ti" ':' 1", l 'i 51 ,
ments to commence on
with like inst9.l1ments there~fter to be paid on the
15th diY of e"lCIl 3nd every month until the whole of
~~id indebtedness shall be paid in full.
,,0
b. 3'iid note shall :Jrovide that the City of Seward shall
helve the ri!;ht to c~ccelerate the rate of nayment 3t
'lilY time 'lt its ootion.
c. Int.e1'est sh(:ll not be "iiy:"ble 'lCion :.wy b ilOince due,
,"ven tl101-1
" nortio'1 of tile bcllance stull be delin-
'.llent, '.nll intereSt, sic d.l be 1110\1:.1ble ,t I;',e r"!~8 of
"
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only six per cent (6~) per annum from the d~te
a judgment may be rendered in accordance with the
terms and provisions of a mortgage to be given as
security for said note.
Section 3. The li1ayor and the city Clerk, acting on behalf
of the City of Seward, are hereby authorized on behalf of said City
to execute and deliver to Jean E. rhorne a mortgage in the form and
upon the conditions contained in the form recorded in the minutes of
the meeting at which this Ordinance has been passed 3lld approved.
Section 4. The security of said note and mortgage shall
be limited to the revenues to accrue from the city-ovvned water
wystem and the lien of such mortgage shall be second and inferior
to any bond issue, whether revenue or general obligation, which the
City may during the term of said note and mortgage issue in order
to obtain fuft&8,for the rehabilitation, expansion, or other improve-
ment of said system.
Section 5. This Ordinance shall take effect immediately
upon its passage and approval, an emergency having been declared to
exist, and the rules governing the passage and adoption of ordinances
by the City by appropriate vote havine been suspended for the adoption
of this Ordinance.
PASSED ,um "l.PPROVED by the COLJIDOn Council of the City of
Seward, ....la sku, and
approved by the 1iayor and attested by the City
d:!
t lJ Aay of October, 1951.
Clerk, all on this
Eo- '7:(:~_:~.
Mayor
A'rI'ES'r:
,~~~~~
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