FY1967-8 Confirming the Special Election of May 24, 1966Emergency Ordinance No.
AN ORDINANCE of the Kodiak Island Borough, Alaska, confirming
the result of the special election held on May 24, 1966,
within the Kodiak Island Borough to authorize the Borough
to construct, maintain and operate a hospital and to enter
the health and sanitation field, and, further, to authorize
the issuance of general obligation bonds of the Borough in
the principal amount of $300,000 for the purpose of providing
part of the funds necessary to pay the cost of constructing
a hospital for the Borough and for other capital expenditures
in connection therewith; providing for the issuance of a
note in the amount of $300,000 in anticipation of the issuance
of said bonds; fixing the date, form, terms, maturities and
covenants of said note and creating a special fund for the
payment of the principal thereof and interest thereon;
creating a construction fund; confirming the sale of said
note; and declaring an emergency.
WHEREAS, at a special election held in the Kodiak
Island Borough, Alaska (hereinafter referred to as the "Borough ") on
May 24, 1966, pursuant to Resolution No. 66 -15 -R and other resolutions
and ordinances of the Borough, the qualified electors of the Borough
authorized the Borough to enter the health and sanitation field,
a and to construct, maintain and operate a hospital, and authorized the
issuance of general obligation bonds of the Borough in the total principa
amount of $300,000 for the purpose of providing funds to pay part
of the cost of constructing such a hospital and making other capital
expenditures in connection therewith; and
WHEREAS, Chapter 117, Session Laws of Alaska, 1964, provides
that a political subdivision of the state which is authorized by law
to incur bonded indebtedness may borrow money in anticipation of the sale
of general obligation bonds if the general obligation bonds to be sold
have been authorized by the governing body of the political subdivision
and ratified by a majority vote of the qualified voters of the political
subdivision who vote on the question; and
WHEREAS, said general obligation bonds were so authorized in
the manner provided by law, and it is hereby found to be in the best
interests of the Borough and its inhabitants that a note in anticipation
of the issuance thereof now be sold and issued to make available funds
to pay part of the cost of constructing the above mentioned improvements
until the Borough is able to complete the procedures necessary to issue
and sell said bonds; and
WHEREAS, this assembly has heretofore accepted the offer of
Bache & Co., Inc., New York, New York, to purchase said note at par
plus accrued interest and under the terms, conditions and covenants
thereof hereinafter set forth; and
WHEREAS, this assembly has also accepted the offer of Bache &
Co., Inc., New York, New York, to purchase said bonds at par plus accrues
interest and a premium of $10.57, and bearing interest at the rate of
4 -7/8% per annum;
NOW, THEREFORE, BE IT ORDAINED by the Borough Assembly of
the Kodiak Island Borough as follows:
Declaration of Emergency. An emergency is hereby declared
to exist affecting the life, health, welfare and property of -thP
inhabitants of the Borough. It is necessary that the Borough obtain the
funds to pay part of the cost of the hospital prior to June 1, 1967, one
that the note (hereinafter defined) be issued to provide such funds
until the bonds (hereinafter defined) may first be legally issued
on or about July 1, 1967.
Section 1. As used in this ordinance, the following words
shall have the following meanings:
a. The word "Borough" shall mean the Kodiak Island Borough,
Alaska, a municipal corporation duly organized and existing under the
laws of the State of Alaska.
b. The word "Bonds" shall mean the General Obligation Hospit
Bonds, 1967 of the Borough in the principal amount of $300,000, the
issuance of which was authorized by the qualified electors of the
Borough at a special election held therein on May 24, 1966.
c. The word "Note" shall mean the General Obligation Hospit
Bond Anticipation Note of the Borough in the principal amount of $300,
to be issued in anticipation of the issuance of the Bonds pursuant
to this ordinance.
2.
Section 2. The adoption by the qualified electors of the
Borough at the special election held therein on May 24, 1966, of the
following propositions:
1
Proposition No. 1
TO ASSUME HOSPITAL, HEALTH AND
SANITATION FUNCTIONS
Shall an additional area -wide power be granted to the Kodiak
Island Borough authorizing the Borough to construct, maintain
and operate a hospital and enter into the health and sanitation
field.
Additional area -wide power -
Hospital, Health and Sanitation
Additional area -wide power -
Hospital, Health and Sanitation
YES / /
NO / /
Proposition No. 2
HOSPITAL, HEALTH AND SANITATION
$300,000
If the majority of votes cast on Proposition No. One are for
the addition of the power, shall the Kodiak Island Borough,
State of Alaska, incur indebtedness in a sum not exceeding
$300,000 for the purpose of constructing a 22 -bed hospital,
together with appurtenances and auxiliary space and site
development for said hospital, and pledge the full faith and
credit of the Kodiak Island Borough to the payment of any
indebtedness so incurred and issue general obligation bonds
with interest at a rate not to exceed six percent (6%) per annum,
payable semi- annually over a period of twenty (20) years, all
as authorized by the Statutes of the State of Alaska.
Indebtedness YES / /
Indebtedness NO / /
is hereby in all respects ratified and confirmed.
Section 3. For the purpose of temporarily financing the
payment of part of the cost of constructing a hospital, together with
necessary appurtenances, auxiliary space and site development, and
in anticipation of the sale of the Bonds, the Borough shall now issue
and sell the Note.
The Note shall be dated May 24, 1967, shall bear interest
at the rate of four and seven - eights percent (4 - 7/8%) per annum payable
at maturity and shall mature on July 17, 1967. The Note shall be
3.
The Borough hereby obligates and binds itself to set aside
and pay into the Bond Fund out of the proceeds of the sale of the
Bonds and simultaneously with the receipt thereof and out of any other
moneys legally available therefor, moneys sufficient in amount to
pay the principal of and interest on the Note when the same becomes
due. In the alternative and at the option of the Borough, the Borough
will exchange the Bonds, together with a sum sufficient to pay all
accrued interest on the Note to the date of such exchange, in return
for surrender and satisfaction of the Note, together with payment of
a sum sufficient to pay all accrued interest on the Bonds to the date
of delivery thereof.
The Borough covenants and agrees to perform all acts necessar
for the issuance of the Bonds and to their delivery to Bache & Co., Inc
on or prior to July 1, 1967, the date of maturity of the Note.
Section 5. There is hereby created another special fund of
the Borough to be known as the 1967 Hospital Construction Fund (hereina
called the "Construction Fund ") into which shall be paid the full
purchase price of the Note other than accrued interest, if any, which
1
in the denomination of $300,000.
Both principal of and interest on the Note shall be payable
to Franklin National Bank, New York, New York, in lawful money of
the United States of America at the Franklin National Bank, 130 Pearl
Street, New York, New York, and shall be a general obligation of the
Borough.
Section 4. There is hereby created a special fund of the
Borough to be known as the Kodiak Island Borough 1967 General Obligatior
Hospital Bond Redemption Fund (hereinafter called the "Bond Fund "),
which Fund is to be drawn upon for the sole purposes of paying the
principal of and interest on the Note and, when the Note shall have
been fully redeemed, of paying the principal of and interest on the
Bonds.
4.
shall be paid into the Bond Fund hereinbefore created, together with
all other funds available for the purposes for which this note is
issued. Said funds so paid into said Construction Fund shall be expended
solely for paying the cost of constructing a hospital building with
all necessary appurtenant facilities, auxiliary space and site development
as hereinbefore provided and as more fully set forth in Resolution
No. 66 -15 -R of the Borough Assembly, adopted April 21, 1966.
Section 6. The Note shall be a general obligation of the
Borough. For the prompt payment of the principal thereof and interest
thereon the Borough hereby pledges its full faith, credit, taxing
power and recnurr.Ps.
Section 7. The Note shall be in substantially the following
form:
UNITED STATES OF AMERICA
No. 1 $300,000
STATE OF ALASKA
KODIAK ISLAND BOROUGH
GENERAL OBLIGATION HOSPITAL BOND ANTICIPATION NOTE, 1967
The Kodiak Island Borough, a municipal corporation of the
State of Alaska, acknowledges itself to owe and for value received
promises to pay to Franklin National Bank, New York, New York,
on the 17th day of July, 1967, the principal sum of
THREE HUNDRED THOUSAND DOLLARS
together with interest thereon at the rate of four and seven -
eights percent (4 -7 /8%) per annum until the date of payment.
Both principal of and interest on this note are payable
in lawful money of the United States of America at the Franklin
National Bank, 130 Pearl Street, New York, New York, solely out
of the special fund of the Borough known as the "Kodiak Island
Borough 1967 General Obligation Hospital Bond Redemption Fund
created.by Emergency Ordinance No. of the Borough. This
5.
note is issued pursuant to the laws of the State of Alaska and
duly adopted resolutions and ordinances of the Kodiak Island
Borough for the purpose of temporarily financing the payment
of part of the cost of constructing a hospital with all necessary
appurtenances, auxiliary space and site development.
This note is payable out of the proceeds of the sale of
general obligation bonds of the Borough to be entitled "General
Obligation Hospital Bonds, 1967" authorized pursuant to Resolution
No. 66 -15 -R of the Borough Assembly and by vote of the qualified
electors of the Borough at an election held therein on May 24,
1966, and is also payable out of such other moneys of the Borough
as are legally available for such purpose and as may be authorized
by its Assembly. For the prompt payment of the pr- incipal
hereof and interest hereon the Borough has pledged its full
faith, credit, taxing power and resources.
The Kodiak Island Borough hereby covenants and agrees with
the owner and holder of this note that it will keep and perform
all of the covenants of this note and of said Emergency Ordinance
No. to be by it kept and performed.
It is hereby certified and declared that this note is
issued pursuant to and in strict compliance with the Constitution
and laws of the State of Alaska and ordinances and resolutions
of the Kodiak Island Borough, that this note does not exceed
any constitutional or statutory debt limitations, and that all
acts, conditions and things required to have happened, been done
and performed precedent to and in the issuance hereof have happened,
been done and performed.
IN WITNESS WHEREOF the Kodiak Island Borough, Alaska, has
caused this note to be signed by its Chairman, to be attested
by its Clerk and the corporate seal of the Borough to be
6.
I
impressed hereon this 24th day of May, 1967.
KODIAK ISLAND BOROUGH, ALASKA
Attest:
By
Borough Clerk
Section 8. The sale of the Note to Bache & Co., Inc. New
York, New York, at par and accrued interest under the terms and
conditions of said Note as set forth herein is hereby in all respects
approved, ratified and confirmed.
The proper Borough officials are hereby authorized and
directed to do everything necessary for the prcmpt issuance, execution
and delivery of the Note to such purchaser and for the proper use and
application of the funds derived from such sale.
Section 9. The Note shall be signed on behalf of the Borough
by its Chairman, shall be attested by its Clerk and shall have the
official seal of the Borough impressed thereon.
Section 10. Publication of this ordinance shall be made by
publishing a summary thereof in a newspaper of general circulation in
the Borough and copies of the ordinance shall be mailed to all newspapers
of general circulation in the Borough. A copy of the ordinance shall
be posted in a public place at the Borough seat.
PASSED by the Borough Assembly of the Kodiak Island Borough,
Alaska, and approved by its Borough Chairman this 18th day of May,
1967.
KODIAK ISLAND BOROUGH, ALASKA
BY
By
7•
Borough Chairman
1'
:or-ugh Chairman
I, the undersigned, the duly chosen, qualified and acting
Clerk of the Kodiak Island Borough, Alaska, and keeper of the records
of the Assembly of the Borough (herein called the "Governing Body ")
DO HEREBY CERTIFY:
1. That the attached ordinance (herein called the "Ordinance ")
is a true and correct copy of an emergency ordinance of the Kodiak
Island Borough as adopted at a meeting of the Governing Body held
on the 18th day of May, 1967, and duly recorded in my office.
2. That said meeting was duly convened and held in all
respects in accordance with law, and to the extent required by law due
and proper notice of such meeting was given; that a legal quorum was
present throughout the meeting and a legally sufficient number of members
of the Governing Body voted in the proper manner for the adoption of
said Ordinance; that all other requirements and proceedings incident to
the proper adoption of passage of said Ordinance have been duly fulfil
carried out and otherwise observed, and that I am authorized to execute
this certificate.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed
the official seal of the Kodiak Island Borough this /d' day of
May, 1967.
(SEAL)
BOROUGH CLERK'S CERTIFICATE