Page 1 ORDINANCE NO, j924 AN ORDINANCE TO PROVIDE FOR THE ISSUANCE oF 34000 PRINCIPAL AMOUNT OF GENERAL OBLIGATION SECURED REFUNDING BONDS, SERIES 1965, $164,000 PRINCIPAL AMOUNT OF GENERAL OBLIGATION SECURED WARRANTS, SERIES 1965, AND $1,467,000 PRINCIPAL AMOUNT OF GENERAL OBLIGATION SECURED REFUNDING WARRANTS, SE- RIES _1965A, OF THE CITY OF PRICHARD, ALABAMA BE IT ORDAINED by the City Council of the City of Prichard, Alabama, as follows: Section 1, Definitions and Use of Phrases. (a) Definitions. The following words and phrases, in the absence of clear Implication herein otherwise, shall be given the following respective interpretations where used in ths ordinance: Additional 5 1 8 1 1 2 729 1136 121 31 96.048355 parity 5 1 8 1 1 3 872 1136 214 27 94.055489 securities means any securi- ties which the city may at the time of issuance be author- ized to issue and for the payment of the principal of and interest on which the gross receipts tax may be pledged under the reserved right so to do contained in and in ac- cordance with the provisions of Section 14 hereof. City means the municipal corporation of Prichard in the State of Alabama and includes its successors and as- Signs and any municipal corporation resulting from or surviv- ing any consolidation or merger to which it or its successors may be a party. Council means the governing body of the city as from time to time constituted. Coupons means those coupons issued pursuant here- to and evidencing the semiannual installments of interest on the applicable securities. Fiscal 5 1 12 1 1 2 640 1940 96 33 92.849289 year means a fiscal year of the city be- ginning on any October 1 and ending on the next ensuing September 30, Gross 5 1 13 1 1 2 620 2112 156 29 96.183380 receipts 5 1 13 1 1 3 801 2109 75 28 96.256264 tax means that certain privilege or license tax of the city levied by Ordinance No. 880 of the city adopted October 3, 1960, as amended by Ordinance No. Q7T7_. of the city adopted » 19 » on persons, corporations and others ee in the business of selling at retail tangible personal property and on the business of conducting or operating places of amusement or entertainment, to the extent that the said tax is levied with respect to business conducted within the corporate limits of the city. Page 2 Hplder when used in conjunction with any of the securities means the person who is in possession and the apparent owner of the designated item, Interest 5 1 2 1 1 2 642 481 137 32 96.400360 payment 5 1 2 1 1 3 802 478 98 27 93.077286 date means any May 1 or Novem- per 1. Month means a calendar month. Newspaper means a journal or newspaper printed in the English language an@ customarily published not less than five days during each calendar week, Qutstanding 5 1 5 1 1 2 706 890 120 28 96.038010 bonds means the Series 1960 bonds, the Series 1961 bonds, and the Series 1962 bonds, Qutstanding 5 1 6 1 1 2 708 1025 179 30 95.866119 warrants means those warrants which are referred to in subsections (a) to (g), inclusive, of Section 3 hereof as being outstanding and which are herein authorized to be refunded, “Parity securities" means the securities herein authorized and any additional parity securities that may hereafter be issued pursuant to the provisions of Section 14 hereof, “Paying agency bank" means each bank at which the securities herein authorized may at any time be payable, Pledged 5 1 9 1 1 2 636 1574 60 24 96.341049 tax 5 1 9 1 1 3 716 1569 178 29 95.069832 revenues means the proceeds derived from the gross receipts tax which are pledged for the bene- fit of the securities herein authorized, Redeemable 5 1 10 1 1 2 700 1740 215 29 85.658997 securities means those of the refund- ing securities that have stated maturities in 1976 and there- after, Redemption 5 1 11 1 1 2 699 1910 98 29 86.529655 date means the date fixed for re~ demption of redeemable securities in a resolution adopted by the directors pursuant to the provisions of Section 11(a) hereof, Redemption 5 1 12 1 1 2 781 2117 39 26 87.231606 @ means the price at which re- deemable securities called for redemption may be redeemed on the redemption date, Refunding 5 1 13 1 1 2 683 2287 119 27 94.844337 bonds means the bonds of the city authorized to be {ssued in Section 7 hereof. Refunding 5 1 14 1 1 2 688 2421 215 28 95.081566 securities means the refunding bonds and the refunding warrants, Page 3 Refunding 5 1 3 1 1 2 755 326 180 31 95.039627 warrants means the warrants :f the city authorized to be issued in Section 9 hereof, Resolution means a resolution duly adopted by the council, . “ Secular 5 1 4 1 4 2 716 600 77 31 83.035095 day means any day on which business is normally transacted end does not include any Sunday or legal holiday. Securities 5 1 5 1 1 2 776 771 120 24 96.564636 herein 5 1 5 1 1 3 918 769 217 26 58.500854 authorized means the refund- ing securities authorized in Sections 7 and 9 hereof and the Series 1965 warrants authorized in Section 8 hereof, Series 5 1 6 1 1 2 697 937 79 34 95.909798 1960 5 1 6 1 1 3 796 938 119 29 94.526230 bonds means the $858,000 principal amount of Public Improvement Bonds, Series 1960, dated September 1, 1960, that are described in the first clause of Section 2(a) hereof, Series 5 1 7 1 1 2 698 1139 78 33 96.326141 1961 5 1 7 1 1 3 796 1140 119 29 96.165634 bonds means the $223,000 principal emount of General Obiigation Secured Refunding Bonds, Series 1961, dated August 1, 1961, that are described in the first caluse of Section 2{b) hereof, Series 5 1 8 1 1 2 698 1343 78 34 96.156525 1962 5 1 8 1 1 3 797 1346 118 26 94.320175 bonds means the $183,000 principal amount of General Obligation Secured Refunding Bonds, Series 1962, that are described in the first clause of Section 2(c) hereof, Series 5 1 9 1 1 2 697 1550 79 31 96.586060 1959 5 1 9 1 1 3 796 1547 182 41 94.803123 warrants means the $269,000 prin- cipal amount of General Obiigation Secured Warrarits dated August 1, 1959, that are described in the first clause of Section 3(a) hereof. Series 5 1 10 1 1 2 698 1749 78 33 96.067230 1960 5 1 10 1 1 3 797 1753 178 26 92.982117 warrants means the $185,000 prin- cipal amount of General Obligation Warrants dated June 1, 3960, that are described in the first clause of Section 3(b) hereof. Series 5 1 11 1 1 2 696 1950 79 34 96.193756 1961 5 1 11 1 1 3 795 1955 181 26 96.253197 warrants means the $340,000 prin- cipal amount of General Obligation Secured Refunding War- rents, Series 1961, dated August 1, 1961, that are described in the first clause of Section 3(c) hereof, Series 5 1 12 1 1 2 696 2155 78 33 95.076233 1962 5 1 12 1 1 3 795 2158 179 26 96.135223 warrants means the $117,000 prin- cipel amount of General Obligation Secured Warrants, Series 1962, dated August 1, 1962, that are described in the first clause of Section 3(d) hereof, Page 4 17 Series 5 1 2 1 1 2 643 238 77 33 95.954285 1963 5 1 2 1 1 3 741 238 175 28 95.954285 warrants means the $250,000 prin- cipal amount of General Obligation Secured Warrants, Series 1963, dated August 1, 1963, that are described in the first clause of Section 3(e) hereof. Series 5 1 3 1 1 2 644 442 98 34 89.738083 1963A 5 1 3 1 1 3 763 441 176 30 91.997421 warrants means the $200,000 prin- cipal amount of General Obligation Sanitary Sewer Warrants, Series 1963A, dated August 1, 1963, that are described in the first clause of Section 3(f) hereof. Series 5 1 4 1 1 2 646 645 76 34 96.968544 1965 5 1 4 1 1 3 744 645 178 29 82.104568 warrants means the warrants issu- ance of which is authorized in Section 8 hereof. Special 5 1 5 1 1 2 667 781 93 29 96.649361 fund means the Gross Receipts Tax Fund created in Section 16 hereof. (>) Use of Phrases. The following words and phrases where used in this ordinance shall be given the following respective interpretations: Herein, hereof, hereunder, and other equiva- lent words refer to this ordinance and not solely to any particular portion hereof in which any such word is used, The definitions set forth in Section 1(a) hereof shall be deemed applicable whether the words defined are herein used in the singular or plural. Wherever used herein any pronoun or pronouns shall be deemed to include both singular and plural and to cover all genders. Section 2. Findings Respecti the Outstandin Bonds, The council has caused an OUTER to be acta of the obligations of the city now outstanding and, as a result of such investigation, has ascertained and found and does hereby declare that there are now outstanding and un- paid the following bonds of the city: (a) $858,000 Public Improvement Bonds, Series 1960, of the city dated September 1, 1960, numbered 573 to 1,430, inclusive, which were issued under the provisions of Ordinance No. 872 of the city adopted August 8, 1960, for the purpose of constructing in the city certain sanitary sewer improvements provided for in Improvement Ordinance No. 854 of the city adopted February 15, 1960, as modified and confirmed by Ordinance No. 858 of the city adopted March 21, 1960; of which those num- bered 573 to 715, inclusive, aggregating $143,000 in principal amount will mature on September 1, 1965, of which those numbered 715 to 1,001, inclusive, aggregating $286,000 in principal amount mature in equal install- ments of principal on September 1 in each of Page 5 the years 1966 and 1967, and of which those numbered 1,002 to 1,430, inclusive, aggre- gating $429,000 in princlpal amount have stated maturities in 1968 and thereafter, - but have been called by the city for redemp- tion on September 1, 1965, at the face value of each bond redeemed plus accrued interest— thereon to the ‘redemption date and a redemp- tion premium equal to six months! interest thereon; and of which those having stated maturities in 1965 and 1966 bear interest at the rate of 4-1/2% per annum and those - having stated maturities in 1967 and-there- after bear interest at the rate of 4-1/8% per annum, all such interest being payable semiannually on March 1 and September 1; (b) $223,000 principal amount of General Obligation Secured Refunding Bonds, Series 1961, and numbered 11 to 233, inclusive, which constitute the presently outstanding portion of a series of bonds that were issued pursuant to authorization in Ordinance No. 904 of the city adopted July 17, 1961, for the purpose of refunding then outstanding bonds of the city - that had been issued to pay the costs of sani- tary sewer improvements provided for in the city's Improvement Ordinance No, and its said Improvement Ordinance No, as modified as aforesaid; of which those numbered 11 to 80, inclusive, aggregating $70,000 in princi- pal amount mature in the aggregate principal amount of $10,000 on August 1 in each of the ears 1965 to 1971, and of which those numbered 1 to 233, inclusive, aggregating $153,000 In principal amount have stated maturities in 1972 and thereafter, but have been called by the city for redemption on August 1, 1971, at the face value of each bond redeemed plus accrued interest thereon to the redemption date and a redemption premium equal to twelve months! in- terest thereon and of which those Series 1961 ponds having stated maturities in 1965 to 1971, inclusive, bear interest at the rate of 4% per annum, and of those Series 1961 bonds so called for redemption $60,000 principal amount bear interest at the rate of 4-1/8% per annum and the remaining $93,000 principal amount bear interest at the rate of 4-1/4% per annum, all such in- terest being payable semiannually on February 1, and August 1; and (c) $183,000 principal amount of General Obligation Secured Refunding Bonds, Series 1962, of the city dated August 1, 1962, and numbered 1 to 183, inclusive, which constitute all bonds of the said Series 1962 and which were issued pur- suant to authorization in Ordinance No, 923 of the city adopted July 24, 1962, for the purpose of re- funding then outstanding bonds of the city that had been issued to pay the costs of sanitary sewer improve~ ments provided for in the city's said Improvement = 10 = Page 6 19 Ordinance No, and its said Improvement Or- dinance No, , a8 modified as aforesaid; of which those numbered 1 to 80, inclusive, aggre- gating $80,000 in principal amount mature in the aggregate principal amount of $10,000 on August 1 in each of the years 1965 to 1972 inclusive, and of which those numbered 81 to 183, inclusive, aggregating $103,000 in principal amount have stated maturities in 1973 and thereafter but have been called by the city for redemption on August 1, 1972, at the face value of each bond redeemed plus accrued interest thereon to the redemption date and a redemption premium equal to twalve months! interest thereon; and of which those Series 1962 bonds having stated maturities in 1965 to 1972, inclusive, bear interest at the rate of yi /Ag per annum, and of which those 80 called for redemption bear interest at the rate of 4% per annum, all such 4nterest being payable semiannually on February 1 and August l, Each of the outstanding bonds was signed in the name of and in behalf of the city and the corporate seal of the city was affixed thereto and attested in the manner provided by the laws of Alabama and by the said ordinances under which they were respectively issued, and represents a valid general obligation indebtedness of the city against which there are no offsets or counterclaims, The city has heretofore col- lected and has on hand and unexpended assessments, made pur- suant to the said Improvement Ordinance No, 854, that are sufficient to provide for the payment of (a) the principal of those of the Series 1960 bonds that have stated maturi- ties in 1965, 1966, and 1967, (b) the redemption premium (with respect to those of the Series 1960' bonds that have been called for redemption on September 1, 1965, (c) the. interest maturing on September 1 1965, with respect to all of the outstanding bonds, and (d) a portion of the principal of the Series 1961 bonds and the Series 1962 bonds; retire- ment of all of the outstanding bonds will be provided for by a trust fund, consisting of the said collected assessments and the principal proceeds from the refunding bonds; and the refunding bonds are herein authorized to be issued in such amount only as is necessary to raise the difference between the amount required for payment of the outstanding bonds and the amount of the said assessments. Section 3, Findings Respecting the Out stand Warrants, The council has caused én investiga on to be made of the obligations of the city now outstanding and, as a result of such investigation, has ascertained and found and does hereby declare that there are now out stand-~ ing and unpaid the following warrants of the city: (a). $269,000 principal amount of General Obli- gation Secured Warrants of the city dated August 1, 1959, numpered 97 to 365, inclusive, aggregating $269,000 in principal amount, which were issued pursuant to authorization in Ordinance No, 829 of the city adopted August 17, 1959, for the purpose of paying costs of a stadium and other park and recreation facilities in the city; and of which $22,000 principal amount of the Series 1959 warrants bear interest at the rate of 4% per annun ‘(payable semiannually on February 1 and August 1 and will mature on August 1, 1965, and of which the remaining $247,000 prin- cipal amount of the Series 1959 warrants bear interest at the rate of 4- per annum (pay- able semiannually) and have stated maturities Page 7 a in 1966 and thereafter but have been called by the city for redemption on August 1, 1365» at t e of each warr redeeme u ey es erest thereon fo the re ree date and a premium equal to 4-1/4% of such face value; (b) $185,000 principal amount of General Obligation Warrants of the city dated June 1, 1960, numbered 91 to 275, inclusive, which were issued pursuant to authorization in Ordinance No. 869 of the city adopted June 6, 1960, to pay the costs of street improvements in the city and other purposes for which the city was then and is now authorized to incur indebtedness; of which, each bears interest from its date to its maturtty at the rate of 4-1/4% per annum payable semian- nually on June 1 and December 1, of which $35,000 principal amount of Series 1960 warrants mature on June 1 in each of the years 1965, 1966 and 1967 and of which $40,000 aggregate principal amount of Series 1960 warrants will mature on June 1 in each of the years 1968 and 1969; and of which none of the Series 1960 warrants is callable prior to maturity; a (c) $340,000 principal amount of General Oblig vA ation Secured Refunding Warrants, Series 1961, of the city dated August 1, 1961, numbered 1 to 340, inclusive, which were issued pursuant to authorization in the aforesaid Ordinance No. 904 of the city adopted July 17, 1961, for the purpose of refunding general obligation indebted- ness of the city originally incurred to pay the cost of street improvements, sidewalk improvements, fire fighting equipment, remodeling of the city jail, and other purposes for which the city was then and is now authorized to incur indebtedness; of which those of the Series 1961 warrants numbered 1 to 20, inclusive, and aggregating $20,000 in Brine ped amount, bear interest at the rate of % per annum (payable semiannually on February 1 and August 1) and will mature on August 1, 1971; of which those Series 1961 warrants having stated maturities in 1972 and thereafter (including $105,000 bearing interest at the rate of 4-1/8% per annum and $215,000 bearing interest at the rate of 4-1/4% per annum) have been called by the city for redemption on August 1, 1971, at the face value of each warrant redeemed plus accrued interest thereon to the redemption date and a premium equal to twelve months! interest thereon computed at the coupon rate thereof; (d) $117,000 General Obligation Secured War- rants, Series 1962, of the city dated August 1, 1962, numbered 1 to 117, inclusive, which were issued pursuant to authorization in the aforesaid Ordinance No. 923 of the city adopted July 24, 1962, for purposes for which the city was then and is now authorized to incur indebtedness; all of which bear interest at the rate of 4% per annum (payable semiannually on February 1 and August 1) and all of which have stated maturities in 1973 and there= after but have been called by the city for redemp- tion on August 1, 1972, at the face value of each 2d Page 8 Al warrant redeemed plus accrued interest thereon to the redemption date and a premiun equal to 4% of such face value; (e) $250,000 General Obligation Secured Warrants, Series 1963, of the city dated August 1, 1963, numbered 1 to 50, inclusive, which were issued pursuant to authorization in Ordi- nance No. 966 of the city adopted December 3, 1963, for purposes for which the city was then and 1s now authorized to incur indebtedness; of which those numbered 1 to 16, inclusive, aggre- gating $80,000 in principal amount bear interest at the rate of 3.10% per annum payable semian- nually on February 1 and August 1 and mature in the aggregate principal amount of $20,000 on August 1 in each of the years 1965 to 1968, in- clusive, and of which those numbered 17 to 50, inclusive, aggregating $170,000 in principal amount (including $120,000 principal amount bearing interest at the rate of 3.10% per annum and (50,000 bearing interest at the rate of 3.30% per annum) have stated maturities after August 1, 1968, but have been called by the city for redemption on August 1, 1968, at the face - value of each warrant redeemed plus acrrued in- terest thereon to the redemption date and a prem= ium equal to twelve months! interest thereon com- puted at the coupon rate thereof; (£) $200,000 principal amount of General Obligation Refunding Sanitary Sewer Warrants, Series 1965A, of the city dated August 1, 1963, numbered 1 to 40, inclusive, which were issued pursuant to authorization in Ordinance No. 969 of the city adopted December 16, '1963, to refund a then outstanding general obligation warrant of the city that had been issued to pay costs of acquiring, providing, and constructing sanitary sewers for the city; which Series 1963A warrants mature in the aggregate principal amount of $25,000 on August 1 in each of the years 1965 to 1972, inclusive, and which bear interest at the per annum rates of 3-1/8% on those maturing in 1965 and 1966, 3.30% on those maturing in - 1967 to 1970, inclusive, and 3% on those matur= ing in 1971 and 1972; and none of which is sub- ject to redemption prior to maturity; and (g) One General Obligation Warrant of the city in the principal amount of $80,000 dated March 22, 1965, which was issued pursuant to authorization ina resolution of the city adopted March 22, 1965, for the purpose of pay- ing costs of street improvements in the city. Each of the outstanding warrants was signed in the name of and behalf of the city and the corporate seal of the city was affixed thereto and attested in the manner provided by the laws of Alabama and by the said respective ordinance under which it was issued, and represents a valid general obligation indebtedness of the city against which there are no offsets of counterclaims. The aggregate principal ~ {52- Page 9 amount of the outstanding warrants referred to in this section is $1,440,000; and the interest that will ma- ture, with respect to those of the outstanding warrants referred to in subsections (a) to (f), inclusive, of this section, on the next succeeding interest install- ment payment date with respect thereto is in excess of $26,000, the said interest consisting of (1) interest in amount of $5,688.75 due August 1, 1965, with respect to the Series 1959 warrants, te) interest in amount of $3,931.25 due June 1, 1965, with respect to the Series 1960 warrants, (3) interest in amount of $7,134.38 due August 1, 1965, with respect to the Series 1001 war-— rants, (4) interest in amount of $2,340.00 due August 1, 1965, with respect to the Series 1962 warrants, (5) in- terest in amount of $3,925.00 due August 1, 1965, with respect to the Series 1963 warrants, and (6) interest in amount of $3,181.25 due August 1, 1965, with respect to the Series 1963A warrants. Section 4, Findings Respecting the Desirability of the Refunding Herein Provide or. As a resu ° e investigations referred to in Sections 2 and 3 of this or- dinance, and a further investigation the council has caused to be made for the Purpose of ascertaining the needs of the city for the next few years, the council has ascertained and found that the principal amount of bonds and warrants of the city maturing in the next few years is so great in the aggregate that in order to pay the future maturities thereof the city would have to curtail certain functions and improvements which the council deems necessary for the proper conduct of the affairs of the city and for the rendition of the essential public services in the city. In order for the city to continue to provide easential public services of the city, it is necessary, therefore, that the city undertake a comprehensive refunding program at this time; and with that end in view, the council has determined that it is necessary, desirable and in the pub- lic interest that the principal of the Series 1961 bonds, the Series 1962 bonds, and those of the Series 1960 bonds numbered 1,002 to 1,430, inclusive, be refunded by the re- funding bonds hereinafter authorized, and that the prin- cipal of the outstanding warrants and $26,000 of the next maturing installment of interest on those of the out- standing warrants referred to in subsections (a) to (f), inclusive, of Section 3 hereof should be refunded by the refunding warrants hereinafter authorized, ‘ Section 5. Findings Respecting the Necessit of Issuing the Series ]T Warrants. e€ counc as found an etermined and hereby declares that the following state- ments are true: (a) The redemption premium that will be payable on August 1, 1965, upon redemption of the Series 1959 warrants called for redemption on that date as afore- said, amounts to $10,497.50; (b) The cost of effecting the aforesaid refunding program of the outstanding bonds and the outstanding warrants will be approximately $49,080.00; and (c) The council estimates that in order to pay necessary expenses incurred in carrying on the governmental functions of the city, it will be necessary that the city borrow at this time for that purpose the sum of $105,000.00, In order =~ 14 < Page 10 to raise the moneys necessary to pay the said redemption premium, the said expenses of refunding, and to provide funds as aforesaid for payment of the operating ex- penses of the city, it will be necessary for the city to borrow the aggregate sum of $164,000, and it is neces— Bary, desirable and in the public interest that the city issue the Series 1965 warrants hereinafter authorized to raise funds for the said purposes, Section 6, Findings as to Public Sale of, and Best Bid for, the Securities Terein buthorized An Official Tnvitation for Bids for the Securities herein authorized was published in The Mobile Re ister, a newspaper published in Mobile County, Alabama, and having general circulation in the city on April 2 1965, and on May 1965; at the time and place fixed in the aforesaid orfictal Invitation for Bids for the opening of sealed bids for purchase of the se- ourities herein authorized, viz., on May 10, 1965, at 4:00 o'clock, P, M,, at the city hall in the city, and at a regular adjourned session of the council, sealed bids for purchase from the city of the securities herein authorized were publicly opened; one bid was submitted for purchase of the securities herein authorized and the said bid was publicly opened at the said time and place; the best and only bid and the one that reflected the lower net interest cost to the city was that of The First National Bank of Memphis and Ass@ciates, which reflected an average annual net interest cost to the city of 3,8350% and specified a dollar price of $2,454,000 which is a sum equal to the face value of the securities herein authorized, and which specified the interest rates hereinafter provided for, Section 7, Authorization of Refunding Bonds, Pursuant to the applicable provisions of the constitution and laws of the State of Alabama, including particularly Sections 287 and 264 of Title 37 of the Code of Alabama of 1940, as amended, and for the purpose of refunding those of the Series 1961 bonds, the Series 1962 bonds, and those of the Series 1960 bonds numbered 1,002 to 1,430, inclu- Bpive, those bonds to be 50 refunded being greater in prin- cipal amount than the refunding bonds, there are hereby authorized to be issued by the city, eight hundred twenty- three (323) General Obligation Secured Refunding Bonds, Series 1965, of the city in the aggregate principal amount of $823,000, which shall be in the denomination of $1,000 each, shall be dated May 1, 1965, and shall mature on May 1 as follows: -15- Page 11 Refunding Bond Numbers Aggregate Principal (both inclusive ) Year of Maturity Amount Maturing 710 to 74 TH5 to 783 to 823 1968 1969 1970 1971 1972 197 197 1975 1976 19 1995 $ 20,000 20,000 20,000 20,000 20,000 20,000 26,000 25,000 25,000 25,000 25,000 26, 000 30, 000 30,000 those of the refunding bonds numbered 1 to 429, inclusive, being herein authorized to be issued for the purpose of refunding the agentes Bt those of the Series 1960 bonds 30 numbered 1,002 to 1, funding bonds numbered h3 inclusi 0 to 82 ve, and those of the re- 3, inclusive, being herein authorized to be issued to provide for the refunding of the principal of the Series 1961 bonds and the Series 1962 bonds, The refunding bonds shall bear interest from their date until their respective maturities at the following per annum rates: 4% on those having stated maturities in the years 1968 to 1977, inclu maturities in the years 1 those having stated maturities in the years 1 sive; 3 978 ta -60% on those having stated 1983, inclusive; 3-3/42 on 984 to 1987, inclusive; and 3,90% on those having stated maturities in the years 1988 to 1995, inclusive, Such interest shall be payable semiannually on May 1 and November 1 of each year until and at the respective maturities of the re- funding bonds and shall be evidenced by separate interest coupons attached thereto, - 16 « Page 12 Ye Section 8, Authorization of the Series 1966 Warrants. Pursuant to the applicable provisions o e constitution and laws of the State of Alabama, including particularly Section 466 of Title 37 of the Code of Alabama of 1940, and for the purpose of providing funds for payment of the redemption premium with respect to the Series 1959 warrants, the refunding expenses and the op- erating expenses referred to in Section 5 hereof, there are hereby authorized to be issued by the city one hundred sixty-four (164) General Obligation Secured Warrants, Series 1965, of the city in the agpregate principal amount of $164,000, numbered from 1 to 164, inclusive, in the principal amount of $1,000 each, which shall be dated May 1, 1965, and which shall mature on May 1 as follows: Refunding Warrant Numbers Aggregate Principal (both inclusive ) Year of Maturity fmount Maturing 1 to 18 1968 $18,000 19 to 41 1969 23,000 he to 64 1970 23,000 65 to 86 1971 22,000 Sy to 113 1972 27,000 114 to 14 197 32,000 146 to 16 197 19,000 The Series 1965 warrants shall bear interest from their date until their respective maturities at the rate of 4% per annum, payable semiannually on May 1 and November 1 of each year until and at the respective maturities of the Series 1965 warrants and shall be evidenced by separate interest coupons attached thereto, Section 9, Authorization of the nefunding peante. Pursuant to the applicable provisions of the constitution an laws of the State of Alabama, including particularly Section 253 of Title 37 of the Code of Alabama of 1940, and for the — purpose of refunding the principal of and the aforesaid inter- est on the outstanding warrants, there are hereby authorized to be issued by the city one thousand four hundred sixty- seven (1,467) General Obligation Secured Refunding Warrants, Series 1965A, of the city in the aggregate principal amount of $1,467,000, numbered from 1 to 1,467, inclusive, in the principal amount of $1,000 each, all of which shall be dated May 1, 1965, and shall mature on May 1 as follows: Refunding Warrant Numbers Aggregate Principal {both inclusive ) Year of Maturity Amount Maturing 1 to 13 1974 $13,000 14 to 50 1975 37,000 = 17 = WN Page 13 aU Refunding Warrant Numbers Aggregate Principal (both inclusive) Year of Maturity Amount Maturing 51 to 91 1976 $ 41,000 92 to 13 197 46,000 138 tol 197 51,000 189 to 239 1979 51,000 240 to 290 1980 51,000 291 to 345 1981 55,000 Be to 400 1982 55,C00 01 to 460 1983 60,000 461 to 525 198 65,090 526 to 590 1985 ere 591 to 658 1986 68 , 000 659 to 726 1987 68, 000 27 to 809 1988 83,000 10 to 892 1989 83,000 898 to 977 1990 85,000 978 to 1,063 1991 86,000 1,064 to 1,154 1992 91,000 1,155 to 1,255 1993 101,000 1,256 to 1,361 1994 106,000 1,362 to 1,467 1995 106,000 The refunding warrants shall bear interest from their date until their respective maturities at the following per annum rates: 4% on those having stated maturities in the years 1974 to 1977, inclusive; 3.60% on those having stated ma- turities in the years 1978 to 1983, inclusive, 3-3/4% on those having stated maturities in the years 1984 to 1987, inclusive; and 3.90% on those having stated maturities in the years 1988 to 1995, inclusive. Such interest shall be payable semiannually on May 1 and November 1 of each year until and at the respective maturities of the refunding warrants and shall be evidenced by separate interest cou- pons attached thereto. Those of the refunding warrants numbered 1 to 26, inclusive, are herein authorized to be issued for the purpose of refunding the $26,000 amount of interest referred to in the last sentence of Section 3 hereof; those ef the refunding warrants numbered eT to 1,267, inclusive, are herein authorized to be issued for the pur- pose of, and their proceeds shall be applied for, refunding the principal of the outstanding warrants other than the Series 1963A warrants; and those of the refunding warrants numbered 1,268 to 1,467, inclusive, are herein authorized to be issued for the purpose of, and their proceeds shall be applied for refunding the principal of the Series 1963A warrants, Section 10. Interest after Maturity. Place of Payment. The securities herein authorized and the coupons applicable thereto shall bear interest at the rate of % per annum after their respective maturities until paid. The securities herein authorized shall be payable in law- ful money of the United States cf America at The Merchants National Bank ef Mcbile in the City of Mobile in the State of Alabama. Section 11. Optional Redemption Provisions. While the city is not in Stacie in the payment of the principal of or the interest on any of the securities herein authorized,those of the refunding bonds and those - 18 - Page 14 of the refunding warrants Having stated maturities in 1976 and thereafter shall separately be subject to re- demption and payment by the city at its option on any interest payment date on or after May 1, 1975, after prior published notice given in the manner hereinafter provided, at a redemption price for each of the redeem- able securities equal to its face value plus accrued in- terest thereon to the redemption date and a premium equal to twelve months! interest thereon. Any such redemption may be effected fwr refunding bonds without the necessity of redeeming any of the refunding warrants, and any such redemption may be effected for refunding warrants with- out the necessity of redeeming any of the refunding bonds. Any such redemption may be as a whole or in part of the applicable issue, and if in part it shall be accomplished in inverse numerical order of those of the applicable issue then subject to redemption and at the time outstand- ing. Any such redemption shall be effected in the follvw- ing manner: (a) The council shall by resolution call for redemption on a stated date when they are by their terms subject to redemption redeemable securities (either refunding bonds or refunding warrants) bearing stated numbers and shall fur- ther find and declare in such resolution that the city is not at the time in default in the payment of the principal of or interest on any of the securities herein authorized. (>) The city shall cause to be published one time either in a newspaper published in the City of Birmingham, Alabama, or in a financial journal published in the city of New York, New York, a notice stating the following: that re- deemable securities bearing stated numbers [which shall be the numbers specified in the resolution required in subsection (a) of this section] have been called for redemption and will become due and payable on a specified redemption date {which shall be the redemption dated provided for such redemption in the resolution required in the said subsection (a)] and at the redemption price {which shall be specified in the said notice] and that all interest thereon will cease after the re- demption date. Such notice shall be so published at least one time, not less than thirty days prior to the redemption date. (c) On er prior to the redemption date the city will make available at the bank at which the refunding securities are payable the total redemption price of the redeemable securities so called for redemption, and shall further furnish to said bank a certified copy of the resolution required in subsection (a) of this section and an appropriate affidavit showing compliance with the requirements of subsection (b) of this section. Page 15 Upon compliance with the foregoing requirements, and if on the redemption date the city is not then in default in payment of the principal of or interest on any of the securities herein authorized, the redeemable securities 80 called for redemption shall become due and payable on the redemption date at the place at which the same shall be payable and at the redemption price specified in such notice, anything in the redeemable securities to the con- trary notwithstanding, and interest shall thereafter cease to accrue on the redeemable securities so called. Neither the bank at which the redeemable securities shall be pay- able nor the city shall be required to pay any coupon ma- turing on the redemption date which is applicable to any redeemable security so called for redemption unless the redeemable security to which such coupon is applicable is also presented for payment; provided, that in the event such bank should pay any such coupon without pay- ment of the applicable redeemable security it shall not be liable to the holder of such applicable redeemable security or to the city or to anyone whomsoever; and provided further, that such bank shall pay such coupon out of the moneys supplied to it for such purpose by the city if the holder thereof shall present evidence satis- factory to such bank that such holder is the owner of the coupon so presented and is not the owner of the re- deemable security to which such coupon is applicable. Section 11A, Execution of the Securities Herein Authorized. (a) Execution of the Refunding Bonds. The refunding bonds shall be executed in behalf of the city by a facsimile of the signature of the mayor and by the manually written signature of the city clerk. A fac- simile of the seal of the city shall be imprinted on each of the refunding bonds and the facsimile of the aforesaid Signature of the city clerk on each of the refunding bonds shall constitute attestation of said seal. The coupons applicable to the refunding bonds shall be executed with facsimiles of the signatures of the said mayor and city clerk imprinted thereon. The said facsimiles of the Signatures of said officers shall be valid in all re- spects as if the said officers had signed said instru- ments in person. (b) Execution of the Series 1965 Warrants and the Refunding Warrants. he Series 1965 warrants an he refunding warrants shall be executed in behalf of the city by a facsimile of the signature of the mayor. A facsimile of the official seal of the city shall be imprinted on each of the Series 1965 warrants and the refunding warrants and the said seal and the said execution by the mayor shall be attested by the signature of the city clerk manually subscribed on each of the said warrants. The coupons applicable to the Series 1965 warrants and the refunding warrants shall be executed with a facsimile of the signa- ture of the mayor imprinted thereon, and shall be attested with a facsimile of the signature of the city clerk like- wise imprinted thereon. The Series 1965 warrants, the = 20 = Page 16 refunding warrants and the coupons applicable thereto shall be registered by the city treasurer, in the re- cords maintained by her, as claims against the city and the gross receipts tax hereinafter referred to, which registration shall be made simultaneously with respect to all of the said warrants and the coupons applicable thereto, Said officers are hereby directed so to execute, attest and register the Series 1965 warrants, the refund ing warrants and the coupons applicable to all of the said warrants, Section 12, Pledge of the Faith and Credit of the City, The indebtedness evidenced and ordered paid by the securities herein authorized is and shall be a general obligation of the city for the payment of the principal of and interest on which the full faith and credit of the city are hereby irrevocably pledged, Section 13, Pledge of the Gross Receipts Tax, As additional security for payment of the prine pal o and interest on the securities herein authorized, and as a part of the contract whereunder the obligations evi- denced by the securities herein authorized are created, there is hereby Specially and irrevocably pledged for payment of the principal of and interest on the securi- ties herein authorized, at the respective maturities of said principal and interest, so much as may be necessary for the purpose of the gross receipts tax, together with the proceeds thereof, The special pledge herein made Shall be on a parity with any pledge of the gross re- ceipts tax and its proceeds that may hereafter be made for the benefit of additional ity securities pursuant to the provisions of Section 1 hereof, To whatever extent, if any, the proceeds of the gross receipts tax available for said purpose may not be sufficient to pay the principal of and interest on the securities herein authorized and any then outstanding parity securities, at the respective maturities of said principal and interest, the city agrees to use for said Purpose so much of the general revenues of the city derived from CbLher sources and available for said purpose aS may be necessary to pay said principal and interest at their respective ma- turities, The city represents and warrants (a) that upon delivery of the securities herein authorized there will be no outstanding agreement or Pledge with respect to the gross receipts tax other than the agreements and pledge herein contained (except for a pledge of the gross re- ceipts tax for the benefit of securities for the retire- ment of which full provision will be made by trust fund at the time of the issuance of the securities herein authorized); and (b) that the agreements and pledge re-~ specting the gross receipts tax and its proceeds herein made shall be and remain prior and superior to any and all - 21 - Page 17 pledges and agreements respecting the same that may here- after be made by the city other than any parity pledge of the gross receipts tax and its proceeds that may hereafter be made for the benefit of additional parity securities which may be issued pursuant to the provisions of Section 14 hereof. While no default exists in the payment of the principal of or interest on the parity securities, any part of the proceeds from the gross receipts tax that may not be needed to pay at their respective maturities the principal of and interest on the parity securities, may be used by the city for any lawful purpose. Section 14. Reservation of Right to Issue Ad- ditional Parity Securities. e city reserves r to issue at any time and from time to time additional se- curities of the city (whether in the form of bonds, war- rants, certificates, or notes) which the city may at the time of such issuance be lawfully authorized to issue, and to pledge for payment of the principal thereof and interest thereon, pro rata and on a parity with the pledge of the gross receipts tax made in Section 13 of this ordi- nance and pro rata and on a parity with the like pledge that may be made for the benefit of each series of the ad- ditional parity securities, so much of the gross receipts tax and the proceeds therefrom as may be necessary to pay the principal of and interest on the additional parity se- curities at the respective maturities of said principal and interest; provided, that in order to make such parity pisaee the following conditions must exist and be complied with: {) The average annual proceeds re- ceived by the city from the gross receipts tax during the two fiscal years of the city next preceding the fiscal year during which any such additional parity securities are de- livered to the purchaser thereof must be not less than 1.75 times the maximum annual prin- cipal and interest requirements during the then current or any then succeeding fiscal year of the city with respect to all parity securities that will be outstanding immedi- ately following the issuance of the addi- tional parity securities then proposed to be issued. The amount of the annual pro- ceeds received by the city from the gross receipts tax during each of the said two fiscal years next preceding the issuance of any such additional parity securities shall be conclusively established by a certificate signed by the mayor and the city treasurer setting forth the said amounts, certifying the correctness of the said amounts, and stating that the said amounts were estab- lished by and taken from the official records of the city. A copy of such certificate shall be filed in the office of the Clerk of the city. - 22 - ad Page 18 (b) Each issue of the additional parity securities shall be given a different series designation, shall have stated maturities of principal on May 1 of the years in which the additional parity securities of that series shall mature, and shall bear interest payable semiannually on May 1 and November 1. Any series may have provisions for redemption prior to maturity and such other provisions not in conflict with this ordinance as the council shall determine in the proceedings in which the additional parity securities of that series are authorized to be issued, (c) Contemporaneously with the issu- ance of any additional parity securities the city will make the payments into the special fund that are required by the provisions of Section 16 hereof to be made at the time of such issuance, Section 15. Maintenance of the Gross Receipts Tax. The city agrees that so long as any of the princi- Pal of or interest on the securities herein authorized remains unpaid, the city will continue the levy of and will collect the gross receipts tax at rates not less than the rates presently in effect and without reduction in the aggregate annual amount of the proceeds thereof; provided, however, that the city may hereafter exempt businesses from the gross receipts tax if the aggregate annual proceeds from the gross receipts tax following any such exemption of businesses therefrom shall be not less than the aggregate annual proceeds from the gross receipts tax during the fiscal year prior to the effec- tive date of any such exemption. If such action should become necessary to provide moneys to pay the principal of and interest on the parity securities, at the respec- tive maturities of such principal and interest, the city agrees that it will levy and collect the gross receipts — tax ates r or as shall make available pro- ceeds A a ee the revenues of the city from other sources available for such purposes, will be suf- ficient to pay the reasonable expenses of car ing on ~ the necessary governmental functions of the c ‘yy and to pay the principal of and interest on the parity securities at the respective maturities of said principal and in- terest. : Section 16. Special Gross Receipts Tax Fund. There is hereby created a specia und, e name of which shall be Gross 5 1 8 1 3 5 750 2145 157 30 96.486969 Receipts 5 1 8 1 3 6 931 2146 59 24 96.486969 Tax 5 1 8 1 3 7 1012 2143 116 32 95.888832 Fund, for the purpose of providing for the payment of the principal of and in- terest on the parity securities, at the respective matu- rities of said principal and interest. The special fund shall be maintained until the principal of and interest on the parity securities shall have been paid in full. Payments into the special fund shall be made as follows: = 89 = Page 19 bs e (a) There shall be paid into the special fund, simultaneously with the issuance of any of the parity securities and out of the pro- ceeds derived from the sale thereof, that por- tion of said proceeds which may be referable to the accrued interest and any premium received by the city on any such sale; (>) Prior to the last secular day of May, 1965, and prior to the last secular day of each successive month thereafter until the principal of and interest on the parity securi- ties shall have been paid in full, the city will pay into the special fund, out of the pro- ceeds from the gross receipts tax, an amount equal to 1/6th of the semiannual installment of interest on the then next succeeding interest payment date with respect to the parity securi- ties at the time outstanding, plus 1/12th of the principal of the parity securities that will mature on the then next succeeding May 1; pro- vided, however, that following payment into the special fund of any sum pursuant to the provi- sions of subsection (a) of this section, there shall be credited on the amount required by this subsection (b) to be paid into the special fund an amount equal to any such sum so paid into the special fund pursuant to the provi- sions of the said subsection (a); (c) Simultaneously with the issuance of any series of the additional parity securities the city will pay into the special fund such additional sum as, when added to (1) the sum that will be on deposit in the special fund immediately following such issuance, and (2) the subsequent payments that are herein re- quired to be made into the special fund be- tween the date of such issuance and the then next succeeding May 1, will make available on the then next succeeding May 1 an amount equal to the principal and interest maturing on that May 1 with respect to the parity securities and on the November 1, if any, occurring between the date of the issuance of such additional parity securities and said then next succeeding May 1 an amount equal to the interest maturing on the parity securities on the said November 1; and (d) In the event the moneys paid into the special fund for any calendar month shall be less than the amount required by the provisions of this section to be paid therein during such month, then prior to the last secular day of the next succeeding month and prior to the last day of each month thereafter, until such time as the payments into the special fund are current, the city will pay into the special fund all proceeds received by the city from the gross receipts tax. ; - 2h - Page 20 lo The city will not in any event permit a default to occur in the payments herein provided to be made into the spe- cial fund, and if the proceeds from the gross receipts tax should at any time be insufficient to make the pay- ments provided herein to be made into the special fund, the city will use moneys from its general funds for that Purpose to such extent as may be necessary to prevent a default in the payments into the special fund. All mon- €ys paid into the special fund shall be used only for pay- ment of the principal of and interest on the parity securi- ties, upon or after the respective maturities of such prin- cipal and interest; provided, that if at the final maturity of the parity securities, howsoever the same may mature, there shall be in the special fund moneys in excess of the amount required to retire the parity securities, then any Such excess shall thereupon be returned to the city. When the amount of money on deposit in the special fund equals or exceeds the aggregate of the principal and interest to their respective maturities on the parity securities at the time outstanding, no further payments need be made into the special fund except to make good the moneys paid therein which may become lost or which may not be immedi- ately available for withdrawal under the provisions of this section; provided, that in the event any additional parity securities should thereafter be issued, payments into the special fund shall be resumed in accordance with the applicable provisions of this section. Section 17. Depositories for § ecial Fund. The Merchants National Bank af Mobile in the city of Mobile in the State of Alabama, including any successor to it, is hereby designated as the depository for the special fund insofar as the Special fund relates to moneys deposited therein for the Payment of the principal of and interest on the securities herein authorized. The city reserves the right from time to time of designating one or more other bank or banks as additional depository or deposi- tories for the special fund insofar as the same shall re- late to the payment of the principal of and interest on any of the additional parity securities that may here- after be issued, Section 18, Trust Nature of and Security for the Special Fund. The special fund shall be and at ait times remain public funds impressed with a trust for the purpose for which the Special fund is herein created. Each deposi- tory shall at all times keep the moneys so on deposit with it continuously secured for the benefit of the city and the holders of the parity securities either (a) by holding on deposit, as collateral security, direct general obliga- tions of the United States of America or obligations the principal of and interest on which are unconditionally guaranteed by the United States of America, or other market - able securities eligible as security for the deposit of trust funds under regulations of the Board of Governors of the Federal Reserve System, having a market value (exclusive of accrued interest) not less than the amount of moneys on deposit in the special fund, or (b) if the furnishing of security in the manner provided in the foregoing subsection (a) of this section is not permitted by the then applicable law and regulations, then in such other manner as may be - 2 «= Page 21 required or permitted by the applicable state and federal laws and regulations respecting the security for, or grant— ing a preference in the case of, the deposit of public funds; provided, however, that it shall not be necessary for any such depository so to secure any portion of the moneys on deposit in the special fund that may be insured by the Federal Deposit Insurance Corporation or by any agency of the United States of America that may succeed to its functions. Section 19. Form of the Refunding Bonds. The refunding bonds and the coupons applicable thereto shall be in substantially the following forms with appropriate insertions and variations therein to conform to the pro- visions hereof: (Form of Refunding Bond) No. $1,000 UNITED STATES OF AMERICA STATE OF ALABAMA CITY OF PRICHARD GENERAL OBLIGATION SECURED REFUNDING BOND SERIES 1965 On the lst day of May 19__, for value received, the City of Prichard, a municipal corporation in the State of Alabama, promises to pay to the bearer hereof, upon sur- render hereof on or after the maturity hereof, the sum of ONE THOUSAND DOLLARS with interest thereon at the rate of % per annum, pay- able semiannually on May 1 and November T in each year un- til and at the maturity hereof upon surrender of the appro- priate annexed coupons as the same respectively mature. This bond and the interest coupons applicable hereto shall bear interest at the rate of 6% per annum after the maturi- ty hereof and shall be payable in lawful money of the United States of America at The Merchants National Bank of Mobile in the City of Mobile in the State of Alabama. This bond is one of an authorized issue of bonds aggregating $£23,0C0 in principal amount consisting of bonds numbered from 1 to inclusive (herein called the 5 1 11 1 3 9 1406 2424 154 32 96.125275 bonds), and has been issued pursuant to the provisions of Chapter 6 - 6 - Page 22 of Title 37 of the Code of Alabama of 1940, as amended, and an ordinance of the city for the purpose of refunding out- standing general obligation bonds of the city in like prin- cipal amount. The indebtedness evidenced by this bond 1s a gen- eral obligation of the city for the payment of the princi- pal of and interest on which the full faith and credit of the city have been irrevocably pledged. In addition there- to the city has, in the proceedings authorizing the issu- ance of the bonds, specially and irrevocably pledged for payment of said principal and interest at their respective maturities so much as may be necessary for such purpose of the special privilege and license tax of the city levied by its Ordinance No. 860, as amended, and measured by gross re- ceipts of certain businesses (together with the proceeds from the said tax), to the extent that the said tax is im- posed with respect to businesses conducted within the cor- porate limits of the city (the said tax, to the extent so imposed, being herein called “the gross receipts tax"); the said special pledge of the gross receipts tax and its pro- ceeds for the benefit of the bonds being on a parity with special pledges thereof for the benefit of certain other securities of the city issued simultaneously with the is- suance of the bonds. In the said proceedings the city re- served the privilege, upon compliance with certain require- ments set forth in the said proceedings, of issuing addi- tional securities and securing them by a pledge of the gross receipts tax and its proceeds, on @ parity with the aforesaid pledges thereof for the benefit of the bonds and the aforesaid other securities issued simultaneously with the issuance of the bonds. Those of the bonds maturing in 1976 and thereafter may at the option of the city be redeemed and paid prior to their respective maturities, as a whole or in part and if in part then in inverse numerical order of those at the time outstanding, on May 1, 1975, and on any interest payment date thereafter, at the face value of each bond redeemed plus ac- crued interest thereon to the date fixed for redemption and a premium equal to twelve months' interest thereon; provided, that prior notice of such redemption must be given by publi- cation at least one time not less than thirty (30) days be- fore the date fixed for redemption in either a newspaper published in the City of Birmingham, Alabama or a financial journal published in the City and State of New York. It 1s hereby certified and recited that all con- ditions, actions and things required by the constitution or laws of Alabama to exist, be performed or happen precedent to or in the issuance of this bond, and the creation of the indebtedness evidenced hereby, do exist, have been performed, and have happened, and that the indebtedness evidenced by this bond, together with all other indebtedness of the city, was when incurred and now is within every debt and other limit prescribed by the constitution and laws of Alabama. IN WITNESS WHEREOF, the city has caused this bond to be executed in its behalf by a facsimile of the signature Page 23 Dla ~ of its mayor and by the Signature of its city clerk manually Subscribed hereon, has caused a facsimile of the seal of the city to be imprinted hereon, has provided that the said sig- nature of the city clerk shall constitute attestation of Such seal and execution, has caused the annexed interest coupons to be executed with facsimiles of the signatures of the said mayor and city clerk, and has caused this bond to be dated May 1, 1965. CITY OF PRICHARD By Tts Mayor By Ss y er (Form of Coupon) No. $ On the Ist day of » 19 » the City of Prichard in the State of Alabama will pay to the bearer hereof, at The Merchants National Bank of Mobile, in the City of Mobile in the State of Alabama, Dollars in lawful money of the United States of America, being six months! interest that will become due on said date on the General Obligation Se- cured Refunding Bond, Series 4. ., of the said City of Prichard dated May 1, 1965, one onda ; J CITY OF PRICHARD By Its Mayor By tts City Clerk There shall be inserted in each of the refunding bonds having stated maturities in 1976 and thereafter, im- mediately following the maturity date thereof, the follow- ing: (unless 5 1 15 1 1 2 665 2456 74 24 96.580406 this 5 1 15 1 1 3 764 2458 79 24 96.588348 bond 5 1 15 1 1 4 865 2460 96 24 95.808563 shall 5 1 15 1 1 5 984 2462 77 24 95.808563 have 5 1 15 1 1 6 1085 2463 77 24 96.138489 been 4 1 15 1 2 0 525 2487 635 40 -1 5 1 15 1 2 1 525 2487 75 29 95.502441 duly 5 1 15 1 2 2 625 2489 116 25 94.672165 called 5 1 15 1 2 3 766 2491 55 25 93.303055 for 5 1 15 1 2 4 843 2494 98 28 70.778633 pricr 5 1 15 1 2 5 964 2495 154 30 0.000000 payment) 5 1 15 1 2 6 1130 2495 30 32 0.000000 , ~ 283 . Page 24 There shall be inserted in each coupon due on November 1, 1975, or thereafter, immediately following the maturity date thereof, the following: (unless 5 1 2 1 1 2 670 517 55 23 96.957100 the 5 1 2 1 1 3 749 517 78 24 96.227997 bond 5 1 2 1 1 4 851 518 35 23 96.232925 to 5 1 2 1 1 5 909 517 97 24 96.730652 which 5 1 2 1 1 6 1030 516 74 25 96.825600 this 5 1 2 1 1 7 1130 522 117 24 96.323349 coupon 4 1 2 1 2 0 531 550 675 31 -1 5 1 2 1 2 1 531 550 33 24 91.906464 is 5 1 2 1 2 2 589 551 196 30 95.115189 applicable 5 1 2 1 2 3 810 552 96 24 95.919678 shall 5 1 2 1 2 4 929 552 76 24 96.681419 have 5 1 2 1 2 5 1029 552 78 23 96.081703 been 5 1 2 1 2 6 1130 551 76 29 96.583298 duly 4 1 2 1 3 0 530 582 535 34 -1 5 1 2 1 3 1 530 585 117 25 96.424271 called 5 1 2 1 3 2 672 585 54 25 96.784149 for 5 1 2 1 3 3 749 586 98 29 96.412735 prior 5 1 2 1 3 4 869 582 196 34 59.184929 payment) 5 1 2 1 3 5 1030 578 39 42 59.184929 , Section 20. Form of the Series 1965 Warrants. The 1965 warrants and the coupons applicable thereto and the pro- visions for the assignment thereof shall be in substantially the following forms, with appropriate insertions and varia- tions therein to conform to the provisions hereof: (Form of Warrant ) No. $1,000 UNITED STATES OF AMERICA STATE OF ALABAMA CITY OF PRICHARD GENERAL OBLIGATION SECURED WARRANT SERIES 1965 The City Treasurer of the City of Prichard (here- in called the 5 1 8 1 2 4 590 1633 132 32 96.662582 city), a municipal corporation in the State of Alabama, is hereby ordered and directed to pay to A. Walter Jacobs, or assigns, the principal sum of ONE THOUSAND DOLLARS on the lst day of May, 19___, upon surrender hereof on or after said date, with interest thereon from the date here- of until the maturity hereof at the rate of 4% per annum, payable semiannually on May 1 and November 1 of each year upon surrender of the appropriate interest coupons hereto attached as the same respectively become due. This warrant and the interest coupons applicable hereto shall bear in- terest at the rate of 6% per annum after their respective maturities and shall be payable in lawful money of the United States of America at the principal office of The Merchants National Bank of Mobile in the City of Mobile in the State of Alabama. This warrant is one of an issue of warrants (here- in called the 5 1 11 1 2 4 589 2411 196 30 94.909843 warrants) in the authorized principal amount of $164,000 consisting of warrants numbered from 1 to 164, inclusive, and has been issued pursuant to the applicable = 25 = Page 25 provisions of the constitution and laws of Alabama, includ- ing particularly Section 466 of Title 37 of the Code of Alabama of 1940, for the purpose of raising funds for pur- poses for which the city may lawfully expend moneys from its general fund. By the execution of this warrant the city ac- knowledges that it is indebted to the payee hereof in the principal amount hereof and that at the respective maturi- ties of the interest coupons attached hereto it will be- come indebted to the holders thereof in accordance with the terms thereof, The indebtedness evidenced and ordered paid by this warrant is a general obligation of the city for the payment of the principal of and interest on which the full faith and credit of the city have been irrevocably pledged. In addition thereto the city has, in the proceedings au- thorizing the issuance of the warrants, specially and ir- revocably pledged for payment of said principal and inter- est at their respective maturities so much as may be neces- sary for such purpose of the special privilege and license tax of the city levied by its Ordinance No. 80, as amended, and measured by the gross receipts of certain businesses (together with the proceeds from the said tax), to the ex- tent that the said tax is imposed with respect to businesses conducted within the corporate limits of the city (the said tax to the extent so imposed being herein called the 5 1 3 1 15 11 1377 1356 95 24 95.644974 gross 4 1 3 1 16 0 294 1375 1120 39 -1 5 1 3 1 16 1 294 1376 154 28 94.713364 receipts 5 1 3 1 16 2 475 1375 113 31 91.578743 tax); the said special pledge of the gross re- ceipts tax and its proceeds for the benefit of the warrants being on a parity with special pledges thereof for the bene- fit of certain other securities of the city issued simul- taneously with the issuance of the warrants. In said proceedings the city reserved the privilege, upon compliance with certain requirements set forth in the said proceedings, of issuing additional securities and securing them by a pledge of the gross receipts tax and its proceeds, on a parity with the aforesaid pledges thereof for the benefit of the warrants and the aforesaid other securities issued simultaneously with the issuance of the warrants. It is hereby certified and recited that the in- debtedness evidenced and ordered paid by this warrant is lawfully due without condition, abatement or offset of any description; that this warrant has been registered in the manner provided by law; that all conditions, actions and things required by the constitution and laws of the State of Alabama to exist, be performed or happen precedent to and in the issuance of this warrant do exist, have been performed, and have happened; and that the indebtedness evidenced and ordered paid by this warrant, together with all other indebtedness of the city, was at the time the same was created and is now within every debt and other limit prescribed by the constitution and laws of the State of Alabama. - 30 - Page 26 ¥ This warrant is nonnegotiable but is transferable by assignment. Each taker, owner, purchaser or holder here- of, by receiving or accepting this warrant or any interest coupon applicable hereto shall consent and agree and shall be estopped to deny: (1) that title to the coupons hereunto appertaining may be transferred by delivery without the ne- cessity of a written assignment, and any person making such delivery shall be deemed to have transferred to the person to whom such delivery is made all of his equities or rights in the coupons so delivered; (2) that any person in posses- sion of any such coupon, regardless of the manner in which he shall have acquired possession, is authorized to represent himself as the absolute owner thereof and has the power and authority to transfer absolute title thereto by delivery thereof to a bona fide purchaser for value (present or ante- cedent) without notice of prior defenses or equities or claims of ownership enforceable against his transferor or any person in the chain of title and before the maturity thereof; and (3) that whenever and so long as this warrant may be assigned in blank by written assignment by the origi- nal payee hereof or by any subsequent assignee hereof in the chain of title to whom written assignment is made, the city may treat any person in possession of this warrant, re- gardless of how such possession may have been acquired and regardless of the genuineness or effectiveness of any assign- ment, as the absolute owner hereof for all purposes, and pay- ment to any such person shall discharge all obligations here- under. IN WITNESS WHEREOF, the city has caused this war- rant to be executed in its behalf by a facsimile of the sig- nature of its mayor, has caused a facsimile of its official seal to be imprinted hereon, has caused the execution of this warrant and the said seal to be attested by the signature of its city clerk manually subscribed hereon, has caused the annexed coupons to be executed and attested with facsimiles of the signatures of said officials, and has caused this warrant to be dated May 1, 1965. CITY OF PRICHARD By Its Mayor ATTEST: City Clerk (Form of Coupon) Coupon No. $20.00 On the lst day of » 19 » the City Treasurer of the City of Prichard, in the State of = 31. = Page 27 Alabama, is ordered and directed to pay to the bearer hereof the sum of Twenty and 00/100 Dollars, upon surrender of this coupon at the principal office of The Merchants National Bank of Mobile in the City of Mobile in the State of Alabama, being six months' interest then due on the General Obliga- tion Secured Warrant, Series 1965, of the City of Prichard, Alabama, dated May 1, 1965, numbered ; CITY OF PRICHARD By Mayor ATTEST: City Clerk (Form of Assignment) For value received, this warrant and the indebted- ness evidenced and ordered paid thereby are assigned, with- out recourse or warranties, to Section 21. Form of Refunding Warrants. The re- funding warrants and the coupons applicable ereto and the provisions for the assignment thereof shall be in substan- tially the following forms, with appropriate insertions and variations therein to conform to the provisions hereof: = 92 x Page 28 (Form of Refunding Warrant) No. $1,000 UNITED STATES OF AMERICA STATE OF ALABAMA CITY OF PRICHARD GENERAL OBLIGATION SECURED REFUNDING WARRANT SERIES 1965A The City Treasurer of the City of Prichard (here- in called the 5 1 5 1 2 4 596 1021 133 32 92.328178 city), a municipal corporation in the State of Alabama, is hereby ordered and directed to pay to A. Walter Jacobs, or assigns, the principal sum of ONE THOUSAND DOLLARS on the lst day of May 19 » upon surrender hereof on or after said date, with interest thereon from the date here- of until the maturity hereof at the rate of % per an- num, payable semiannually on May 1 and November 1 each year upon surrender of the appropriate interest coupons hereto attached as the same respectively become due. This warrant and the interest coupons applicable hereto shall bear inter- est at the rate of 6% per annum after their respective ma- turities and shall be payable in lawful money of the United States of America at the principal office of The Merchants National Bank of Mobile, in the City of Mobile in the State of Alabama. This warrant is one of an issue of warrants (here- in called the 5 1 8 1 2 4 599 1799 195 31 95.424744 warrants) in the authorized principal amount of $1,467,000 consisting of warrants numbered from 1 to 1,467, inclusive, and has been issued pursuant to the applicable pro- visions of the constitution and laws of Alabama, including particularly Section 253 of Title 37 of the Code of Alabama of 1940, for the purpose of refunding outstanding warrants of the city which have been previously issued for lawful purposes. Those of the warrants having stated maturities in 1976 and thereafter are subject to redemption and payment prior to maturity, at the option of the city, on May l, 1975, and on any interest payment date thereafter, as a whole or in part and if in part then in inverse numerical order of those at the time outstanding, at the face value of each warrant redeemed plus accrued interest thereon to the date fixed for redemption and a premium equal to twelve months' - 33- Page 29 interest thereon; provided, that prior notice of such redemp- tion must be given by publication at least one time not less than thirty (30) days before the date fixed for redemption in either a newspaper published in the City of Birmingham, Alabama or a financial journal published in the City and State of New York. By the execution of this warrant the city acknowl- edges that it is indebted to the payee hereof in the princi- pal amount hereof and that it will become indebted to the holders of the interest coupons attached hereto at the re- spective maturities thereof and in accordance with the terms thereof. The indebtedness evidenced and ordered paid by this warrant is a general obligation of the city for the payment of the principal of and interest on which the full faith and credit of the city have been irrevocably pledged. In addition thereto the city has, in the proceedings author- izing the issuance of the warrants, specially and irrevocably pledged for payment of said principal and interest at their respective maturities so much as may be necessary for such purpose of the special privilege and license tax of the city levied by its Ordinance No. 880, as amended, and measured by the gross receipts of certain businesses (together with the proceeds from the said tax), to the extent that the said tax is imposed with respect to businesses conducted within the corporate limits of the city (the said tax to the extent so imposed being herein called the 5 1 5 1 15 6 940 1377 94 25 96.620605 gross 5 1 5 1 15 7 1059 1371 155 30 96.247299 receipts 5 1 5 1 15 8 1239 1368 114 32 95.986206 tax); the said special pledge of the gross receipts tax and its pro- ceeds for the benefit of the warrants being on a parity with special pledges thereof for the benefit of certain other se- curities of the city issued simultaneously with the issuance of the warrants. In said proceedings the city reserved the privilege ,upon compliance with certain requirements set forth in the said proceedings, of issuing additional securities and securing them by a pledge of the gross receipts tax and its proceeds, on a parity with the aforesaid pledges thereof for the benefit of the warrants and the aforesaid other securi- ties issued simultaneously with the issuance of the warrants. It is hereby certified and recited that the in- debtedness evidenced and ordered paid by this warrant is lawfully due without condition, abatement or offset of any description; that this warrant has been registered in the manner provided by law; that all conditions, actions and things required by the constitution and laws of the State of Alabama to exist, be performed or happen precedent to and in the issuance of this warrant do exist, have been performed, and have happened; and that the indebtedness evidenced and ordered paid by this warrant, together with all other indebtedness of the city, was at the time the same was created and is now within every debt and other limit prescribed by the constitution and laws of the State of Alabama. This warrant is nonnegotiable but is transfera- ble by assignment. Each taker, owner, purchaser or holder = 34 = ie) Page 30 hereof, by receiving or accepting this warrant or any inter- est coupon applicable hereto shall consent and agree and shall be estopped to deny: (1) that title to the coupons hereunto appertaining may be transferred by delivery with- out the necessity of a written assignment, and any person making such delivery shall be deemed to have transferred to the person to whom such delivery is made all of his eq- uities or rights in the coupons so delivered; (2) that any person in possession of any such coupon, regardless of the manner in which he shall have acquired possession, is au- thorized to represent himself as the absolute owner there- of and has the power and authority to transfer absolute title thereto by delivery thereof to a bona fide purchaser for value (present or antecedent) without notice of prior defenses or equities or claims of ownership enforceable against his transferor or any person in the chain of title and before the maturity thereof; and (3) that whenever and so long as this warrant may be assigned in blank by writ- ten assignment by the original payee hereof or by any sub- sequent assignee hereof in the chain of title to whom writ- ten assignment is made, the city may treat any person in possession of this warrant, regardless of how such posses- sion may have been acquired and regardless of the genuine- ness or effectiveness of any assignment, as the absolute owner hereof for all purposes, and payment to any such person shall discharge all obligations hereunder. IN WITNESS WHEREOF, the city has caused this war- rant to be executed in its behalf by a facsimile of the sig- nature of its mayor, has caused a facsimile of its official seal to be hereon imprinted, has caused the execution of this warrant and the said seal to be attested by the sig- nature of its city clerk manually subscribed hereon, has caused the annexed coupons to be executed and attested with facsimiles of the signatures of said officials, and has caused this warrant to be dated May 1, 1965. CITY OF PRICHARD By Its Mayor ATTEST: City Clerk (Form of Coupon) Coupon No. $ On the lst day of 19 ,» the City Treasurer of the City of Prichard, in the State o. of Alabama, is ordered and directed to pay to the bearer hereof the sum = 365 = Page 31 of Dollars, upon surrender of this cou- pon at the principal office of The Merchants National Bank of Mobile, in the City of Mobile in the State of Alabama, being six months' interest then due on the General Obliga- tion Secured Refunding Warrant, Series 1965A, of the City of Prichard, Alabama, dated May 1, 1965, numbered * CITY OF PRICHARD By Mayor t—CSsSS ATTEST: City Clerk (Form of Assignment) For value received, this warrant and the indebted- ness evidenced and ordered paid thereby are assigned, with- out recourse or warranties, to Immediately after the maturity date of each of the refunding warrants having stated maturities in 1976 and thereafter, there shall be inserted the following: (unless 5 1 12 1 1 2 659 1702 73 23 96.462486 this 5 1 12 1 1 3 757 1701 137 23 96.393517 warrant 5 1 12 1 1 4 920 1700 95 24 95.190773 shall 5 1 12 1 1 5 1038 1700 76 23 96.803123 have 5 1 12 1 1 6 1139 1700 77 21 96.697235 been 4 1 12 1 2 0 519 1730 635 34 -1 5 1 12 1 2 1 519 1736 75 28 96.695496 duly 5 1 12 1 2 2 619 1736 117 23 96.110847 called 5 1 12 1 2 3 760 1736 56 23 96.128700 for 5 1 12 1 2 4 839 1736 97 28 96.630539 prior 5 1 12 1 2 5 959 1730 195 33 6.297272 payment) 5 1 12 1 2 6 1117 1726 40 43 6.297272 , Immediately after the maturity date of each cou- pon due on or after November 1, 1975, applicable to the re- funding warrants, there shall be inserted the following: (unless 5 1 14 1 1 2 662 2008 53 23 96.206566 the 5 1 14 1 1 3 740 2008 135 23 96.069275 warrant 5 1 14 1 1 4 902 2008 35 22 96.828018 to 5 1 14 1 1 5 960 2006 96 24 96.025536 which 5 1 14 1 1 6 1082 2005 73 23 92.797562 this 5 1 14 1 1 7 1182 2010 76 17 88.102715 cou- 4 1 14 1 2 0 520 2038 757 34 -1 5 1 14 1 2 1 520 2048 56 24 96.565048 pon 5 1 14 1 2 2 601 2042 34 23 96.565048 is 5 1 14 1 2 3 661 2041 195 29 95.367149 applicable 5 1 14 1 2 4 882 2040 94 24 95.919205 shall 5 1 14 1 2 5 1000 2040 77 23 96.710106 have 5 1 14 1 2 6 1101 2040 77 22 96.490166 been 5 1 14 1 2 7 1202 2038 75 28 96.401253 duly 4 1 14 1 3 0 521 2070 535 34 -1 5 1 14 1 3 1 521 2075 117 24 96.162804 called 5 1 14 1 3 2 664 2075 53 23 95.578506 for 5 1 14 1 3 3 740 2075 98 29 96.919983 prior 5 1 14 1 3 4 861 2070 195 33 0.000000 payment) 5 1 14 1 3 5 1021 2066 39 42 0.000000 , Section 22. Payments at Par. Each bank at which the securities herein satharteed and the coupons shall at any time be payable, by acceptance of its duties as paying agent therefor, shall be construed to have agreed thereby with the holders of the securities herein authorized and the coupons that all payments made by it of the securities herein authorized and the coupons shall be made in bankable = 36 = Page 32 funds at par and without deduction for exchange, fees or expenses. The city agrees with the holders of the securi- ties herein authorized and the coupons that it will pay all charges for exchange, fees or expenses which may be made by any such bank in paying in bankable funds any of the securities herein authorized and the coupons. Section 23. Provisions Hereof Constitute Con- tract. The provisions of this ordinance shall constitute a contract between the city and each holder of the securi- ties herein authorized and the coupons issued hereunder. Whenever all of the securities herein authorized and the coupons and the interest thereon shall have been paid in full then the obligations of the city hereunder shall thereupon cease. Section 24. Provisions Hereof Severable. The various provisions of this ordinance are hereby declared to be severable. In the event any provision hereof shall be held invalid by a court of competent jurisdiction, such invalidity shall not affect any other portion of this ordi- nance. Section 25. Sale of the Securities Herein Author- ized and Use of Proceeds Therefrom. The bid of The First National Bank of Memphis and Associates for the purchase from the city of the securities herein authorized at a pur- chase price equal to $2,454,000,00 vlus accrued interest on the securities herein authorized from May 1, 1965, to the date of delivery thereof, is hereby ascertained to be the bid received by the city for the purchase of the se- curities herein authorized which reflects the lowest aver- age annual net interest cost to the city for the securities herein authorized computed from their date to their respec- tive maturities and to be the best bid received therefor. The said bid is hereby accepted and the securities herein authorized are hereby sold to the said bidders. The Series 1965 warrants and the refunding warrants shall be issued in the name of A. Walter Jacobs, the nominee of the pur- chasers designated by them for that purpose. The city treasurer is hereby authorized and directed to deliver the securities herein authorized to the said purchasers upon payment to the city of the said purchase price. The pro- ceeds from the sale of the securities herein authorized shall be applied as follows: That part of the said pro- ceeds which represents accrued interest on the securities herein authorized from their date to the date of payment therefor, shall be deposited into the special fund in ac- cordance with the requirements of Section 16(a) hereof, and shall be applied for payment of the interest which will ac- crue on the securities herein authorized on the next inter- est payment date. The principal proceeds shall be used for the purposes for which the securities herein authorized are respectively authorized to be issued. Page 33 Adopted this 10th day of May, 1965, a resident of the ty Counc nticated: ¥ \ Approved this JO day of Nay, 1965, Ag aypr Councilman J, V. Cochran moved that the rules be suspended and that unanimous consent be given for immediate considera- tion of and action on said ordinance, which motion was sec- onded by Councilman Alford wW.Turngrand upon the motion being put to vote the following vote was recorded: Yeas: Council- men J. V. Cochran, EXXBXXSHNMSM, Alford W. Turner, Everette L. Turner, and W. J. Rodgers; Nays: None. The president of the council thereupon declared that the motion for unani- mous consent for the immediate consideration of and action on said ordinance had been unanimously carried. Councilman _ W, J. Rodgersthereupon moved that the said ordinance be final- ly adopted, which motion was seconded by Councilman Alford W, Turner and upon the motion being put to vote the following vote was recorded: Yeas: Councilmen J. V. Cochran, EXXXXxX:Ganean, Alford W. Turner, Everette L. Turner and W. J. Rodgers; Nays: None. The president of the council thereupon announced that the mo- tion for adoption of said ordinance had been unanimously car- ried; and the ordinance was then transmitted to the mayor who signed the same in approval thereof. - 38 -