01-14-1997 (City Council) Agenda Packet Wylie city
Council Meeting
January 14, 1997
AGENDA
WYLIE CITY COUNCIL
Wylie Municipal Complex
January 14, 1997
7:00 p.m.
CALL TO ORDER
INVOCATION - Rev. Robert Rueter, First Christian Church
PLEDGE OF ALLEGIANCE
PROCLAMATION - "School Board Recognition Month"
PRESENTATION
Presentation of Multi Family Development Standards
• Presentation of the Water and Sewer Master Plan Update
CONSENT AGENDA
1. Consider Approval of Minutes for December 10, 1996
2. Consider Approval of Resolution Designating the Wylie News as the Official Publication
of the City for a Single Year
3. Consider Approval of Final Acceptance of Paving and Drainage Improvements for Steel
Road and Authorize Final Payment to JRJ Paving, Inc. in the Amount of$7,719.35
ACTION ITEMS
4. Discuss and Consider Appointing a Replacement to the Library Board to Complete the
Term Expiring July, 1997
5. Discuss and Consider Authorizing Staff and the Hogan Corporation to Advertise to
Receive Bids for the Construction of McCreary Road from FM 544 to Southfork Mobile
Home Park
6. Discuss and Consider Matters Incident to the Issuance and Sale of $2,700,000
"CITY OF WYLIE, TEXAS, GENERAL OBLIGATION BONDS, SERIES 1997", Dated
January 1, 1997 Including the Receipt of Bids Therefor and the Ad and Adopt the
Ordinance Authorizing the Bonds
STAFF REPORTS
CITIZEN PARTICIPATION
ADJOURNMENT
Posted on this the 10th day of January, 1997 at 5:00 p.m.
THE WYLIE MUNICIPAL COMPLEX IS WHEELCHAIR ACCESSIBLE. SIGN INTERPRETATION OR OTHER
SPECIAL ASSISTANCE FOR DISABLED ATTENDEES MUST BE REQUESTED 48 HOURS IN ADVANCE BY
CONTACTING THE CITY SECRETARY'S OFFICE AT 442-8100 OR TDD 442-8170
LI
City Council
Agenda Communication for January 14 , 1997
Presentation of Multi-family Development Standards
Issue
Presentation of Multi-Family Development Standards. This item is for information only. No formal
action is required.
Background
A presentation addressing multi-family development was made during a joint meeting of the Planning
and Zoning Commission (P&Z) and City Council in September of 1996. Topics that were discussed included
the appropriateness of multi-family development in a community, guidelines for locations of multi-family
developments and the quality of development standards applied to their construction.
Discussions during the September meeting centered around the issue that communities need to be
able to offer residents a variety of housing types and that Wylie's own Comprehensive Plan listed that very
goal. The fact that apartment units currently existing in Wylie are virtually 100% occupied with extensive
waiting lists was also stated. There was a general agreement between individuals attending the workshop
that not only was multi-family development a community obligation, but this specific information indicated
that there is an actual market for apartment style residential housing.
It was noted that projects in and around the area such as the continuation of Loop 190, the widening
of State Highway 78 and State Highway 544 will only increase the growth of Wylie. This growth can be
expected to increase demand for rental property.
City Council and P&Z members recognized that the demand for multi-family housing alternatives will
create the opportunity for the market to produce multi-family development. Therefore, City Council and P&Z
members proposed that a review of the current multi-family development standards was needed. City
Council and P&Z members realize that there are quality multi-family developments in other Cities. They
recommended that a review of their multi-family development standards may help in determining if and in
what manner Wylie's standards are lacking. The product of this review process would include proposed
modifications where appropriate.
City Council and P&Z members determined that this review would insure the quality of multi-family
developments to be constructed. It would also assure the City of Wylie and its residents that higher density
type developments would not only provide a needed type of housing alternative but be a positive attribute
of Wylie's quality of life and attractiveness.
Staff was directed to begin the process. At this time staff is ready to discuss the findings of this
review and present for consideration proposed modifications.
Board Recommendations
N/A
Financial Considerations
N/A
Legal Considerations
Under Article 9, Section 2 (B2) of the Wylie Home Rule Charter, it states that the Planning and Zoning
Commission will recommend to Council proposed ordinances and amendments regarding planning and
zoning changes.
Staff Recommendation
Staff will present for discussion certain amendments that will effect the requirements of the following:
• Density
• Plan submittal
• Height restrictions
• Lot size
• Open space
• Lot coverage
• Unit floor areas
• Building setbacks
Landscaping
This meeting is for presentation and discussion purposes only. City Council and Planning and Zoning
Commission members will have the opportunity to discuss and comment on the proposed modifications and
suggest any recommendations or changes. Once these comments have been addressed to their
satisfaction, the modifications will then be submitted to the Planning and Zoning Commission to begin the
formal Ordinance amendment procedure.
Attachments
Current Multi-Family Development Standards, Proposed Multi-Family Development Standards,
Reference Material from other City's Standards
\\)? PM;AL e-6112(A4
Prepared by a ewed by inance City Manager Appr.
City of Wylie
Existing Multi-Family Regulations
Regulations and Requirements:
Density: 15 DUA or 20 DUA for multi-story configuration
Height: 35 feet maximum for any building
Lot Size: 25,000 sq.ft. and/or 3,000 sq.ft. per DU not to exceed 15/20 DUA
*Open Space: 40% (excluding parking and roadways)
Lot Coverage: 45% maximum
DU Floor Area: 750 sq.ft. minimum
Area Regulations:
front yard depth- 25 ft.
rear yard depth- 20 ft. (60 ft. from SF)
side yard width- 8 ft.
between buildings- 10 ft. with out windows
15 ft. with windows
lot width- 80 ft.
lot depth- 120 ft.
Border fencing not less than 6 ft. when adjacent to any property line not abutting a
public ROW
landscaping Requirements:
5% of lot must be live landscaping
50% of which must be in front
one 10 ft. tree or two trees with 2 inch diameter for each 1,000 sq.ft. of
area required
Off street parking: doesn't need to be addressed (in line with others)
City of Wylie
Proposed Multi-Family Regulations
Regulations and Requirements
Plan Requirements: Plat and Site Plan as already exists but also a
Landscape Plan
Density: 15 DUA
Lot Size: 43,560 sq.ft.
Lot Coverage: 45% maximum
Lot Width: 100 ft.
Lot Depth: 120 ft.
Front Yard Depth: 30 ft. (SF-60 ft.)
Rear Yard Depth: 25 ft. (SF-60 ft.)
Side Yard Width: 20 ft. (SF-60 ft.)
Height: 3 stories, 40 ft. maximum
DU Floor Area: efficiency- 600 sq.ft. min
one bedroom- 750 sq.ft. min
two bedroom- 900 sq.ft. min
three bedroom- 1,000 sq.ft. min
(efficiency/one bedroom not to exceed 15% of total DU)
Building Separation:20 ft. separation
50 ft. if back to back or face to face
Parking: 2.5 per unit (none in front)
Open Space: 25% of lot (250 sq.ft. per DU as usable recreational
space)
Buffer Area: When MF is located adjacent to SF or lower density
developed area, without any division such as a dedicated public street, park
or permanent open space, all structures shall be set back a min. of 60 ft.
from adjoining property line. The setback area shall contain appropriate
landscape improvements, fencing berms or trees to adequately buffer
adjoining uses as approved by Director.
Landscape Requirements:
Landscape Plan: scale of 1 inch= 50 feet
plant location
plants preserved
species
size
spacing
layout and description of irrigation
maintenance provision
persons responsible for landscape plan preparation
Landscape: 15% of open space, 50% must be in front
planting requirements:
The following plants shall be required within the
landscape areas at the ratios indicated.
1 large tree/600 sq.ft.
1 small tree/300 sq.ft.
1 shrub/60 sq.ft.
Ground cover- 10% of required area
MULTI-FAMILY _
REGULATIONS COMPARISON
Wylie Wylie Plano Garland Grapevine Southlake
(EXISTING) (PROPOSED) •
Plan Review PLAT/SITE PLAT/SITE/LANDSCAPE PLAT/SITE/LANDSCAPE PLAT/SITE/LANDSCAPE PLAT/SITE/LANDSCAPE PLAT/SITE/LANDSCAPE
70
Density 28(DU/AC
BEDROO MS/ACRERE)OR 15 (DU/ACRE) 12/18/21.5 (DU/ACRE) 18(DU/ACRE) 12/20(DU/ACRE) 12(DU/ACRE)
Min Lot Area *25,000SQ.FT.OR 1 ACRE 8,400FT 8,000FT 2 ACRES 1 ACRE
3,000SQ.FT./DU
Max Lot Coverage *45% 45% 45% 60% 50% 50%
Min Lot Width *80FT 100FT 7OFT 75FT 200FT N/A
Min Lot Depth *12OFT 1 20FT 1 2OFT 100FT 200FT N/A
Setback/Front *25FT(SF-60) 30FT(SF-60) 25FT(SF-60) 20FT(SF-50) 30FT(SF-40) 30FT(SF-40)
Setback/Rear *20FT(SF-60) 25FT(SF-60) 15FT(SF-60) 20FT(SF-50) 25FT(SF-40) 20FT(SF-40)
Setback/Side 2OFT(SF-60) 20FT(SF-60) 15FT(SF-60) 20FT(SF-50) 20FT(SF-40) 15FT(SF-40)
Max Height 2 STORIES/35FT 3 STORIES/40FT 3 STORIES/40FT ,30FT 2 STORIES/35FT 35FT/45FT MAX IF 100FT
FROM SF
EFFICIENCY 600SQ.FT EFFICIENCY 500 SQ.FT EFFICIENCY 600 SQ.FT
1 BED 750 SQ.FT EFFICIENCY 500 SQ.FT 1 BED 750SQ.FT
2 BED 900 SQ.FT 1 BED 650 SQ.FT 1 BED 650 SQ.FT 2 BED 900 SQ.FT 850 SQ.FT MIN
Min Floor Area 900SQ.FT MIN 2 BED 800 SQ.FT
3 BED 1,000 SO.FT 2 BED 800 SQ.FT 3 BED 1,000 SQ.FT 15%ACCESSIBLE
EFFICIENCY& 1 BED 15% EACH ADD BED 200 SQ.FT EACH ADD BED 150 SQ.FT EFFICIENCY& 1 BED
MAX EFFICIENCY 10%MAX 15%MAX
30FT FACE/FACE
1OFT WO/WINDOWS 2OFT SEPARATION 20FT CORNER/FACE, 2OFT SEPARATION
Building Separation 15FT W/WINDOWS SOFT BACK/BACK, FACE/END 20FT SOFT BACK/BACK, N/A
FACE/FACE FRONT/FRONT
15FT CORNER/CORNER
1.5-1 BEDROOM/
Parking 1-EACH 2ND BEDROOM/ 2.5/UNIT(NONE IN FRONT) 2/UNIT 2/UNIT 2.5/UNIT 1/5OOFT OF DU AREA
.5-EACH ADD BEDROOM-
MAX OF 3
Open Space 25%OF LOT (250 600 SQ.FT/ONE BEDROOM 25%(250 SQ.FT/DU
(excluding paved,etc.) 40% SQ.FT/DU USABLE 300 SQ.FT/ADDITIONAL 25%OF SITE USABLE RECREATION 250 SQ.FT/DU
RECREATION AREA) BEDROOM AREA)
**Landscape/ 15%OF OPEN SPACE 2%OF PARKING AREA 50%TOTAL FLOOR AREA ON
5%OF LOT/50%IN FRONT 'OFT IF NEXT TO STREET 15%OF TOTAL AREA 1ST FLOOR/75%IN FRONT
Buffer Area 50%IN FRONT (AROUND PERIMETER)
AND SIDE
.CITED FROM MF RECS.IN
ZONING ORDINANCE
** LANDSCAPE/BUFFER REGULATIONS ARE VERY COMPLEX AND CAN BE COMPLICATED.
EXAMPLES LISTED HERE REPRESENT ONLY THE VERY BASIC INTENT OF EACH CITY'S REGULATIONS.
W lie C it council
Agenda Communication for January 14, 1997
Presentation of Water and Sewer Master Plan Update
Issue
Presentation of Water and Sewer Master Plan-Update by Greg MacLean of the Hogan Corporation.
This item is for information only. No formal action is required.
Background
This presentation is being made in preparation of Council taking action to formally adopt the update
at the January 28th Council Meeting. Mr. MacLean will be available after the presentation to answer
questions and entertain comments. A Water and Sewer Master Plan is a document which projects the size
and general location of water mains and sewer mains required to serve the ultimate projected service area
of the City's utility system. This document is used as a planning guide and tool as the City grows to help
ensure that existing services are not diminished, and future services are not restricted. It is also used to
develop a "10-Year Capital Improvements Program" (CIP) from which Impact Fees are calculated. The
sizes and locations of the various mains are based upon the City's current and ultimate projected area and
population. As the City grows, both its current and projected ultimate service area and population may
change. Therefore, the Water and Sewer Master Plan must be updated periodically to remain consistent
with the current projections.
The City of Wylie is currently in the process of updating its Impact Fees. As part of the process, the
City must consider and adopt updated Land Use Assumptions and CIP. The CIP is developed by comparing
the updated Land Use Assumptions with the Water and Sewer Master Plan, and itemizing those projects
which will be required to meet the needs of the udated Land Use Assumptions. A Public Hearing has been
called to consider the Land Use Assumptions on January 28, 1997. After the Public Hearing, the City
Council will consider adopting the Land Use Assumptions. Council must then consider adopting the Water
and Sewer Master Plan Update (this does not require a Public Hearing). If the Land Use Assumptions and
the Water and Sewer Master Plan are adopted, the CIP can be developed, and Impact Fees calculated.
Council then must call a Public Hearing to consider the CIP and Impact Fees.
The City's current Water and Sewer Master Plan was adopted in 1990 as part of the last Impact Fee
calculation process. The City is required, as part of the Impact Fee calculation process, to periodically
update its CIP. Impact Fees are calculated based on the current CIP which is, in turn, derived from the
Water and Sewer Master Plan. The CIP is comprised of those system improvements which would likely be
required to be constructed within the next ten years. The CIP projects are selected from the Water and
Sewer Master Plan based on the City's Land Use Assumptions. A Public Hearing is required by law to
consider both the CIP and subsequent Impact Fees.
The City should adopt the Water and Sewer Master Plan-Update prior to considering the CIP as it
relates to Impact Fee calculation.
Board Recommendations
The Impact Fee Advisory Committee reviews the update of the Water and Sewer Master Plan as part
of its work in evaluation of the CIP and Impact Fees. It makes recommendations on the Land Use
Assumptions, CIP and Impact Fees to the City Council.
Financial Considerations
N/A
Legal Considerations
Section 395.014 of the Local Government Code allows cities to prepare a CIP and to adopt Impact
Fees. The Water and Wastewater Master Plan is a tool used to assist in the development of the CIP.
Staff Recommendations
N/A
Attachments
None
r� ( C.4.144)
r l�
Prepared by eviewed b Finance City Manager Approval
Wyllie City Council #2
Agenda Communication for January 14, 1997
Resolution Naming Official Publication of the City
Issue
Discuss and consider approving a resolution designating the Wylie News as the official publication
of the city for a single calendar year.
Background
There are two requirements that must be met for a newspaper to meet the statutory requirements
as a newspaper of general circulation. First, the publication must be a "newspaper" as defined by Section
2051.044, Texas Government Code. The section defines the term "newspaper" as:
...any newspaper devoting not less than 25% of its total column lineage to the carrying of
items of general interest published not less frequently than once each week, entered as a
second class postal matter in the county where published and having been published regularly
and continuously not less than twelve (12) months prior to the making of any publication...
The second issue to consider is whether a particular publication is a newspaper of general circulation.
The Wylie News meets the criteria for an official publication as provided by the statue and has been
the publication of the City for the 1996 calendar year.
Financial Considerations
N/A
Legal Considerations
As stated in the City of Wylie Home Rule Charter, Article 11, Section 2, "The City Council shall
declare an official newspaper of general circulation in the city. All ordinances, captions of ordinances,
notices and other matters required to be published by this charter, by city ordinances, or by the constitution
and laws of the State of Texas, shall be published in this official newspaper." Also, Texas Government
Code, Section 52.004 requires this action be taken by the City Council during the first month (January).
Staff Recommendation
Staff recommends approval of the resolution naming The Wylie News as the official publication.
Attachments
Resolution
Copy of Statute
Copy of Article 11, City Charter
Wl4Ait-e,C-444a
repared By Reviewed by finance City Mgr. Approval
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WYLIE, TEXAS
ESTABLISHING A PUBLIC NEWSPAPER OF GENERAL CIRCULATION
TO BE THE OFFICIAL NEWSPAPER FOR THE CITY OF WYLIE
WHEREAS, Section 52.004, Local Government Code, requires the City Council of
the City of Wylie, Texas ("City Council") to determine, by ordinance or resolution, a public
-newspaper to be the official newspaper for the City of Wylie, Texas ("Wylie"); and
WHEREAS, the City Council finds that the Wylie News is a public newspaper of
general circulation
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
WYLIE, TEXAS:
SECTION 1: That the City Council of the City of Wylie, Texas hereby determines
and establishes the Wylie News as the official newspaper for Wylie until the time that
another selection is made by the City Council.
SECTION 2: That this resolution shall take effective immediately upon its passage.
DULY RESOLVED by the City Council of the City of Wylie, Texas, and this the 14th
day of January, 1997.
James D. Swartz, Mayor
Susan Shuler, City Secretary
•
Texas Government Code. Section 2051.044
defines the term"newspaper"as:
...any newspaper devoting not less than 25%
of its total column lineage to the carrying of
items of general interest published not less
frequently than once each week,entered as
second class postal matter in the county
where published and having been published
regularly and continuously not less than
twelve(I2)months prior to the making of
any publication...
TEX.GOVT CODE ANN.,Section
2051.044(Vernon 1995).
The second issue to consider is whether
a particular publication is a newspaper of
general circulation. The term"general
circulation"was construed by a Texas court
in the case,City of Corpus Christi v.Jones, 144
S.W.2d 388(Tex.Civ.App.-San Antonio
1940,writ dism d). In holding the
• newspaper to be one of general circulation,
the court stated that although publicity was
given to the activities of churches and
religious organizations,the news coverage in
the newspaper was not restricted to such
activities and the paper contained news items
of general interest,editorials,and
advertisements. Furthermore,the paper had
a circulation of about 4,000 with 1,200 paid
subscribers in a city with a population of
45,000.
ORGANIZATION OF MUNICIPAL
U ICIPAL GOVERNMENT § 52.013
it
,ons executing t = mayor shall sign the ordinances and resolutions that evidence of the adoption of the ordinance and of the
iy after the date°LC the mayor approves. required publication.
d by the municipal.'" (b) If the mayor does not sign an ordinance or (c) An ordinance required to be published by this
resolution before the fourth day after the date it is section takes effect when the publication requirement
7 to a referendum placed in the secretary's office and does not return the is satisfied unless the ordinance provides otherwise.
e state constitution ordinance or resolution under Subsection (c), the ordi- An ordinance that is not required to be published by
nance or resolution takes effect as provided by law. this section takes effect when adopted unless the
§ 6(a), eff. Aug. 28 (c) If the mayor returns an ordinance or resolution ordinance provides otherwise.
to the governing body with a statement of objections (d) If a Type A general-law municipality publishes
�F MUNICIPAL before the fourth day after the date the ordinance or its ordinances in pamphlet or book form, the publica-
resolution is placed in the secretary's office, the gov- tion in the official newspaper of an ordinance included
erning body shall, on the return, reconsider the vote in the pamphlet or book is not required if the ordi-
by which the ordinance or resolution was adopted. If nance was published previously in the official newspa-
PROVISIONS a majority of the total number of members of the per. A court shall admit without further proof an
3ENERAL- governing body, excludingthe mayor, approve the ordinance of a
'IES g g Y PP Type A general-law municipality that is
ordinance or resolution on reconsideration and enter published in pamphlet or book form as authorized by
the votes in the journal of the governing body's pro- the governing body if the ordinance was published
A General-Law i14u- ceedin s, the ordinance or resolution maytake effect.g previously in the official newspaper.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Acts 1987,70th Leg.,ch. 149,§ 1,eff.Sept. 1, 1987. Amend-
lated Conditions for ed by Acts 1989, 71st Leg., ch. 194, § 1, eff. Aug. 28. 1989.
52.004. Official Newspaper
(a) As soon aspracticable after the beginning of § 52.012. Type B General-Law Municipality
d for expansion] $
each municipal year,the governing body of the munic- (a) Before an ordinance or a bylaw of a Type B
OF ORDINANCES ipality shall contract, as determined by ordinance or general-law municipality may be enforced, the ordi-
ality. resolution,with a public newspaper of the municipality nance or bylaw, or a caption that summarizes the
ality to be the municipality's official newspaper until anoth- purpose of the ordinance or bylaw and the penalty for
er newspaper is selected. violating the ordinance or bylaw must be posted in
L PROVISIONS (b) The governing body shall publish in the munici- three public places in the municipality or published in
GENERAL- pality's official newspaper each ordinance, notice, or a newspaper that is published in the municipality. If
TIES other matter required by law or ordinance to be no newspaper is published in the municipality, the
ordinance, bylaw, or summary may be published in a
published. newspaper with general circulation in the munici ali-
to Type A Genet-- Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. P
ty.
[Sections 52.005 to 52.010 reserved for expansion] (b) Unless the publication is in a weekly newspaper,
a Type A general the governingbodymust
SUBCHAPTER B. PUBLICATION i post or publish the ordi-
1, 1987. nance, bylaw, or summary for at least two days. If
Sept.P a OF ORDINANCES the publication is in a weekly newspaper, the govern-
52.011. Type A General-Law Municipality ing body shall publish the ordinance, bylaw, or sum-
.*- mary in one issue.
of the municipality` (a) If a Type A general-law municipality adopts an
council of the ci ordinance that imposespenalty, fine, or forfeiture, Acts 1987,70th Leg.,ch.149,§ 1,eff.Sept.1, 1987. Amend-
Y a it ed by Acts 1989, 71st Leg.. ch. 194, § 2, eff. Aug. 28, 1989.
4^ a the ordinance, or a caption that summarizes the pur-
ien the ordinance is pose of the ordinance and the penalty for violating the , § 52.013. Home-Rule Municipalities
T ordinance, shall be published in: (a) The governing body of a home-rule municipality
Sept. 1, 1987. s (1) every issue of the official newspaper for two may publish a caption of an adopted ordinance that
r days; or summarizes the purpose of the ordinance and any
nd Related Condi-1 (2) one issue of the newspaper if the official penalty for violating the ordinance in lieu of a require-
•e to Take Effect newspaper is a weekly paper. ment in the municipality's charter that the text of the
volution adopted by (b) An affidavit by the printer or publisher of the ordinance be published.
iicipality may take official newspaper verifying the publication shall be (b) If the charter of a home-rule municipality does
: must be placed in filed in the office of the secretary of the municipality. not provide for the method of publication of an ordi-
municipality. The In the courts of this state, the affidavit is prima facie nance, the full text of the ordinance or a caption that
63
Section 9: Existing Franchises: or by the constitution and laws of the State
Other Conditions of Texas, shall be published in this official
newspaper.
All franchises heretofore granted are
recognized as contracts between the city and Section 3: Nepotism
the franchisee and the contractual rights as
contained in such franchises shall not be No person related within the second degree
impaired by the provisions of this charter by affinity or within the third degree by
except for the following: consanguinity to the mayor or any city
council member or the city manager shall be
A. To license, regulate, control or prohibit employed or appointed to any position of the
the erection of signs or billboards or city. This does not apply to any person
other devices designed to attract the continuously employed for two (2) years
attention of members of the public. prior to the election or appointment of the
person related in the above degrees.
B. To license any lawful business,
occupation or calling subject to control Section 4: Oath
pursuant to the police powers of the
State of Texas. All elected and appointed officers of the city
shall take and sign the oath of office based
C. To license, regulate and fix charges on ones prescribed for state elective and
made for vehicles carrying passengers appointive offices, respectively, in the
or freight for hire on streets within the constitution of the State of Texas.
city.
Section 5: Personal Financial
D. To license, regulate, control and prohibit Interest
vendors and/or solicitors operating
within the city. No officer or employee of the city shall have
a financial interest, direct or indirect, in any
contract with the city. or shall be financially
ARTICLE 11 interested directly or indirectly, in the sale
to the city of any land, materials, supplies or
GENERAL AND TRANSITIONAL service, except on behalf of the city as an
PROVISIONS officer or employee. Any willful violation of
this section shall constitute malfeasance in
Section 1: Publicity office, and any officer or employee found
guilty thereof shall be subject to removal
from his office or position. Any violation of
All records of the city shall be open to
inspection except for those that are closed to this section with the knowledge expressed or
the public by law. The records may be implied, of the person or corporation
examined and copied in the city office during contracting with the city council shall
normal office hours. The council may set render the contract involved void.
reasonable rates and fees for copying. Section 6: Assignment, Execution
Section 2: Official Newspaper and Garnishment
The city council shall declare an official The property, real and personal, belonging
newspaper of general circulation in the city. to the city shall be liable to be sold or
appropriated under any writ or execution of
All ordinances, captions of ordinances,
cost bill. The funds belonging to the city, in
notices and other matters required to be
published by this charter, by city ordinances, the hands of any person, firm, or
30
Wylie pity Co ncil #3
Agenda Communication for January 14, '1997
Final Acceptance of Steel Road
Issue
Discuss and consider final acceptance of the reconstruction of paving and drainage improvements
for Steel Road, and provide authorization for final payment to JRJ Paving, Inc. in the amount of $7,719.35.
Background
JRJ Paving, Inc. was awarded the contract for the reconstruction of paving and drainage
improvements for Steel Road at the September 24, 1996 City Council Meeting. This project consisted of
the replacement of approximately 2,300 linear feet of existing 20-foot wide roadway. The existing roadway
surface was pulverized and reused as base material for the new asphalt roadway surface. The project also
included the re-grading of the existing ditches on the north and south sides of Steel Road. Construction
began on September 30, 1996 and has been completed within the contract's alloted time. A final walk
through was conducted by City Staff and members of The Hogan Corporation on November 20, 1996.
Acceptance by the City Council will initiate the one year warranty period in which the contractor is
liable for any repairs which may be required in that time period. A provision in the contract provides that the
warranty period begins on the date of final acceptance by the City.
Board Recommendations
N/A
Financial Considerations
The original contract amount was for$72,893.40. Miscellaneous quantity overruns in pavement and
subgrade along with an underrun in broadcast seeding have resulted in a net increase in the amount of work
performed on this project of$4,300.06. The final contract amount is $77,193.46. This project was financed
equally from the Street Capital Project Fund and the Wylie Economic Development Corporation, who
agreed to reimburse the City for half of cost of the project, up to $50,000.
Legal Considerations
N/A
Staff Recommendations
Staff recommends final acceptance of project and final payment to JRJ Paving, Inc. The
contractor has satisfactorily fulfilled the terms of the contract.
Attachments
Contractor Affidavit of Payment of Debts and Claims, One year Surety Bond, Letter from The
Hogan Corporation and Final Payment Request. •,Nrr
- etle
, 4,144,
Prepared By R viewed Finance City Mgr. Approval
CITY OF WYLIE
PAYMENT AUTHORIZATION REQUEST
1/3/97
Date Lisa Price
From
1/17/97
Due Date
Return Check to
Department
Vendor No.
Pay To:
JRJ Paving, Inc.
11332 Mathis, Suite 100
Dallas, Texas 75229
Invoice Invoice Fund Dept No Object SAC Amount
Number Date (XXX) (XXX) (XXXXX) (XXXX)
Final 1/3/97 411 411 58210 6607 $7,719.35
GRAND TOTAL $7,719.35
Explanation: Final Progress Estimate for the construction work completed on Steel Road from 11-25
thru 12-25-96, City Council approved final payment at the January 14, 1997 meeting.
Finance Dept. Department Head
01/03/97 13:26 $214 490 7163 THE HOGAN CORP. 4-)-4 WYLIE-PRICE 41001/005
THE HOGAN CORPORATION
Engineers • Planners • Comb
January 3, 1997
City of Wylie
2000 Hwy 78 North
Wylie, Texas 75098
RE: Interim Paving and Drainage improvements along Steel Road
THC#002-33.42
ATTN: Lisa Price, Project Coordinator
Dear Mr. Collins:
We are submitting herewith for your review four(4) copies of the Final piss
Estimate for the construction work completed by JRJ Paving, Inc., for the period from
November 25 through December 28, 1998, on the above referenced project.A final
walkthrough has been performed with representatives of JRJ, the City of Wylie, and
The Hogan Corporation pfesent_ The items included in this month's pay request have
been reviewed and found to conform with the work actually performed. The original
contract amount was$72,893.40. Miscellaneous quantity overmans in pavement and
subgrade along with an underrun in broadcast seeding have resulted in a net increase
in the amount of work performed on this project of$4,300.06. Therefore, the final
contract amount for this project is$77,193.46.
The items included in this month's pay request have been reviewed end found to
conform with the work actually performed, The final pay request includes the 10%
retainage held on the previous pay request, The Contractor has submitted a"Consent
of Surety'from the bonding company as well as an "Affidavit of All Bills Paid." Copies
of these documents are attached for your reference, Approval of the Final Pay
Request and acceptance of the project will initiate the one year warranty period,
With your approval of this Final Progress Estimate please execute all copies, retain
two (2) copies for your files, return one(1) copy to this office, and send one (1)copy to
JRJ Paving, Inc., 11332 Mathis, Suite 100, Dallas, TX 75229, along with your
remittance in the amount of$7,719.35.
Yours very truly,
THE HOGAN C TION^}
• -1' - � G�'
Gregory S, MacLean, P.E.
Vice President
Enclosures
Member,Consulting Engineers Council of Texas 12900 Preston goad et 1.B.1,Suite 620
Member, American Consulting Engineers Council
North Dallas Bank Tower
Dallas,Texas 75230
TEL:[214I 92-4600
FAX:al ell 490-7183
01/03/97 13:27 'tr214 490 7163 TJIE HOGAN CORP. 4-.+4 WYLIE-PRICE (t002/005
JAN-153-97 11 = 1S FROM, JRJ FAuxido Imo
ID. HT2EUJ1$767 PACE 1
c ssr t c1I016 PAY E$ I4ATE
OWNS CITY OF WYLIE ESTPMATC: 3 e FINAL
P c'r: STEEL ROAD COwTNAC?DATE: 0-1048
Mkt PAVE AND ORUAGE Seta
PROJECT NO. Ttic s 00243.20
CONTRACT AMOUNT: 172.811E.40
REVISED
FROM: TO;
NOVIDABER 25.1s110 OEIC Ea46ER VA 1000
CONTRACT AMOTiN r 372.603.60
C WIRACTUR CCNSThUCYic�N T cALC GAfi GAYS
JOu PAVING,INC. ALLOCA71 }i 90
11332 MATT S SUITE 100 USED: 24
DALLAS.TEXAS 75229 r: el
.4
MEM
Atonal Raised Wodc This ToW'Nak CoMAa
NO. Dsuc Ipdoa Ulla Ciesielty Cb rohy M AO, CometaLs um P
ees Arrolnint
_- ,.H„-- -•...ii..4s ....._..1 . ---ro,..,._.—..._.=
1 r 140T MIX ASPHALT P*VVMENT TN 615 d1S sat71 43.e3 S27.455_38
2 ANT STABILIZATION 3Y 5000 BNB $724&00 1.40 50.013.50
3 CEsMEptT TN SO 60 75.57 100.00 %YAP ao
4 DITCH EXCAVATION t:Y 1300 1300 1300.00 8,00 S10,400.00
S BROADCAST SEED SY 3000 3000 1E.00 1.25 S2,372.50
8 SCARIFY AND PULVERIZE 3Y 5000 MOO 5000.00 0.35 31960.00
7 le CL NI R.C.P. LF 156 155 156.00 MAO $7.440.00
d REMOvECIREi ACE DRNEWAY SY SS 56 130.00 70.09 S0.730A0
0 RSIA3VE CONCRETE PAVE MINT SY 170 170 170.00 6.50 31.105,00
10 ADJUST FIRE HYDRANTS WNALVE EA 4 4 1.00 1119.00
ii.1ffi,t1p
TOTAL AMOUNT OP so 7j4$r3.40
TOTAL AMOUNT OF WO u0PAPILETED 771113.40
•
aria and sua.lewl Br
JR.i PAtVINEi,INC.
Sy "`"'-` % Ofe.atiVP Tall Amauet.^..K••----- 571,110.43
ORA
_ .._. lC 1-5 4 L�IfAAtetll!{R4bilN dO'A.__... i0.00
11
CITY OF+NY►IIE mAmount lryeble..._.._ S77,1114.46
FOR PAYLPAYMENT
LNs PtiMIDiM Payttwm.,.,,,..,, $0,474_1 1
EY Esc=_ra�eas+rA4
Pew —.�_ Mount Duo Ibis EAIIRWM...... $7.710.36
aaAssaseseaaas
■
01/03/97 13:27 e214 490 7163 THE HOGAN CORP. *- -, WYLIE-PRICE lit 003/005
JAN-03-97 11 :2e FROM: JRJ PAVINQ IKC
ICri H726695757 PAGE 3
CONTRACTOR'S AFFIDAVIT OF
-CrW1HR: I+`•g:~ LI
PAYMENT OF DEBTS AND CLAIMS ARCHITECT 0
ALA D c�G706' CONTRACTOR CI
{lnsttvt;tions on revel ) OTHER U
TO OWNER City of Wylie ARCnmicrS PRoJI?CT NO.:
ailatioronidikkAw P.O, ROW 428
Wylie, Texan 7309E
CONTRACT FOR: Paving i Drainage Improvements
PROJECT: Inte r•iet Paving & Drainage CONTRACT DATED! September 12,1996
'Nw..r,anrn,tdm' Improvements along Steel Road
Wylie, Texas
si',ttt'E DV: Texas
COUNTY OP: Dallas
The undersigned hc•rchy c rat iftrt tii3t,e'.XCCj7t as listed bekmt payment has heal matte in full arid all ohligatannat have otherwise hcctl
*waled hie all materials anti equipment furnished,for di work,btim nod services perkemcd.and for all Mount ireithredlleo and
c1dittLK 1ttpiil'R the Ciintr ,1t tr fur dstrt etei arising in any n} 'in conneLlkiri utiih*de perfctratantx of the Comma refesxrtt wt*hove
he which the Owner or Os'nazr'a,property might iie any way he held eeiop inm Lble or encumbered.
EXCEPTIONS: MUM
suppoinimj, V)QC 4EnS ATCAC'Ii•:i)kit:lt1 TO: CONTRACTOR: JR.] Paving, Inc.
~iv 11332 Haehis, Suite 100
t. (:,,n cnt of Surety tti F;iisl P;i rmcnt. Whenever Surety it Dallas, Texas 75229
tttvotved.Cttttuetlu tsf'turery is rewired. ALA Ckfeitrn t
Ci7U.C•tnscnt•,f tti.rriay.May tad used for this purpme
Intbcatc anal t'1m ne: 0 e4 0 no L�_.
77*Arilo). t sieppw'rarg texC tilimeL:$boulel Into ORpt.'�b,el' ''
r +�.�+,•'
firiquiertd d i•Me O me. ij rrtxe +�abrMn,Yic ,rn�irYl
I. c.,n,ram,ru Regt:2.-c or Waiver of Liens. Lt Ind itiortal upon ___Jet ' Chagoaq_ ice P_ree r,eM.t
tweipt ttrftnai irn'mcitt. taaltnaa.maevendai,hrr
1. Senarsr aiie► tw•WaiWr tat Lime Pram$uhtxtnaru"or Suhiixihvd anti sworn to herexr Inc on this date: i 2.31-96
and rn:trerisl anti equiptrttcnt suppliers. to the extent t _. _- ___�_
,'IN ivirefi by OW Owl tmtxtniesl ivy Y Hat thereof. Notary Pt�1'aJi -'� --___...-- -
•
:i t,i,rtir:a-t,tit :utjhla4 at „f Re:le:sse. of Lieaiti tA1.4 i)u u,nertr ! •
. . Igoc1'.'Ufte13. My C.imma:site%Patpires• — {• - —
-`
/� /� CAUTION: You should sign an original MA document that has this caution printed in red. An
AlA original assures that changes will not be obscured as may occur when documents are reproduced.
See instruction Sheet for Limited Maness union of this ddtumqnt.
-
is MA 0001111164T GM•tt 'i7tAt;at Jtrs:trs:,ravt't•UP t ATM rr t tr D ISOr••.•t•,ca,u„k.
tiPM FTIt77ole••AIA-01994•'Rill AMMJet tar tae.7r "pt rMQN'tems.1,s,saw von
svr*,at E.NW,+rraAtiilIr t.-fu,i.D.C. '?+hin,Qtii • WJ W:Uniktatleint OPeemption
ie+e..ta,.s.. r.to' ar c teem and add aarlaat Or tdowar le ORO peemeivt'e, C 7i7�06--1 1*
01/03/97 13:28 0214 490 7163 THE HOGAN CORP. 444 WYLIE-PRICE Il004/005 _
JAN-03-97 11 .20 FROM. JRJ PAVING INC ID; 9729699757 PACE A
IT OF
FINAL PAYMENT AND ID
E
THE STATE OF TEXAS §
COUNTY OFDALLAS §
BEFORE ME the undesaigned authority.gn this day appea Tery C n
q ,who,aim�teirt�dtrlY svuorn depot and s�sAaltiffr:fMHZ
� Preside
avin irtc., a orparabon (( � bon. p+0� il�rship, ra County, State of
Texas(the-Contractor).which said Contractor was awarded the contract dated the 12th day
o(thef S�trerfa eetrr for the construction
�93�end� the said Contracto Improvements at Steel r
).`and that Af t has power and authonty to make this affidavit.
the City cf Wylie BM 04~1 flite approved the anal estimate on said Wont, and
that the said Contractor has and and alt d that be covered by
Chapter$3 of the T+ Property Code, BO of the Revised Cr Statutes of The
State of Texas, or any other applicable statutes or charter provisions, and that ail just bills her
labor and materials have been pod and dim by said Contractor insofar as fey pertain
to the Work in Question.
That in addition to any funds which may have been previously id by the Qwner,the
hereby accepts the amount of 9#7 19.33 Dollars as FULL AND RNA.pAYmENT
Maier the aforementioned Contract,and he waives and releases_ any right,At"int and/or the
Contractor may have to pursue claims of ry nature against the Owner arising out of it in any
manner connected ted with the performance rf the Work snWor is including but not
Milked to claims of third parties that supp'wd materials and/or labor the Work for or thrown
the Contractor ubbt rs'j, es well as claims for delay, ad compensation or for
recovery WW1 may tieVe been wW11101.4 by the Owner. The Contractor
Shall defend, hold hamlets and Indemnify The Owner from any such claims of such
Subcontractors. The Contractor further the Ownerfrom any claim or habbiIity arising
from any act or neglect pursuant to the Final pro of the G nfiwc t, and shall not
be deemed to alter or modify the terms and provisions of
JRJ Paving, Inc.
Br f `
,ram'►
(Fin=�
SUBSCRIBED AND SWORN TO BEFORE ME,this the 31st day of December, A.D. 1996.
/ . .• ..
.r; �^ .
.fir CO SIOit WPM
rtigk4 Joann,v. 229)
TP`tT
•
My Commission expires: 1/27/99
S
01/03/97 13:29 $214 490 7163 THE HOGAN CORP. id-► WYLIE-PRICE I7J005/005
JAN.03-97 11 a 21 FROM. J12J PAtl/NG INC ID. 97386$0757 RAGE 4
3U311(mC I T WMi"AN T ti QR B
TO HNrYMENT alum
mita
MA DOCUMENT
PROgC►: Paving and drainage improvements along Steel Road - City of Wylie
bue %address
ARCHITECT'S PROJECT NO:
rciry of Wylie
P.O. Box 42$ CONTRACT FCC Paving and drainage
Wyli*, TX 75098 improvemanta: along Steel Road
City of Wylie
.,. CONTRACT DATE:
CONTRACTOR: 11.1 Paving, Inc.
11332 Mathis Street, Suite 100
Dallas, TX 75229
In etc./dance with the provisions of the Confect between the Owner and the Contractor as indicated above, the
son ms Ott ar .Yd. .o. *woo* Fidelity and Deposit Company of Maryland and
Colonial Ameriasta Cris realty and Sanity Company
210 North Charles Serlat, Baltimore, ltD r sway CoMpANY,
21201
on bond of erw Meta /Am* poi *Odom if Cdi'I es JR7 Paving. Isle.
11332 Irlaathia Street, Suitt, 100
Dallas, TX 73229 , COMMC'YOR,
hcftby spfovee of the final payrotot to he Centimeter, and agrees that final payment to the Contractor shaft not
*ems the Surety Company of any of its obligations to Oe.. ;Mat ad .a4.,,, .s ,per
City of Wylie
P.O. Box 42$ OWNER,
Wylie, IX 7509$
as set forth in the said Surety Company's bond.
Fidelity and Deposit Company of Maryland and
1N WITNESS WHEREOF, Colonial American Casualty and Surety Company
the Surety Company has hereunto set its hand ads 264 day of December 1996 .
Tidelicy and Deposit Company of Maryland and
C_19nial Amt acast Cl to Xty and Surety Coepa y
torch ComPanF
Attest: Alikt it./010114J
T iF+ -to*11 Ilttarency-ine
$071: this H sit b ro b. ..trd .s a coaposion dost.Yttewt la AU *0CVhit1if Crbi,COWT*ACrOR'!AttlOAVIT 01 FATit*MT Or Otltf AMC
CLAMS.tvettnt moss
Al*OOCUMSNT GM+COwSINT Or RPM COMPANY KIFINA(PAYNtMT•^rut MOO 1011+O 4•AMAO OA RAC/
Ivo'TNt AS4C ClW Ir3T71tJt[O!♦irCrifrtC's.SIMS% wv TOES AVM, WO, WI5MWC?Ow. 9 C WM%
U
Wylie City Council #4
Agenda Communication for January 14,
Appoint Replacement to Library Board
Issue
Discuss and consider appointing a replacement to the Library Board for an unexpired term ending
7/97.
Background
Lois Swartz was appointed to the Library Board in July, 1995. She has resigned from the Board
effective November 12, 1996.
Notice was placed in the paper to accept applications to fill the vacant position. Three applications
have been received. They are Mary M. Conely, Dr. Elizabeth (Betty) Weckerly, and Christina E. Crimmins.
Board Recommendations
N/A
Financial Considerations
N/A
Legal Considerations
Article 8, Section 2(C) set out the qualifications for members of the Library Board. Members of the
Library Board must be a resident of the City of Wylie for at least 12 months preceding the date of
appointment; be knowledgeable in the affairs of the city and be knowledgeable in the functions and activities
of the board.
Staff Recommendations
N/A
Attachments
Resignation Letter
Applications for Consideration
(-4, ..,r
-ir)4,4 6#.414.
NAJila44
Prepared By Revi , d by Financ City Mgr. Approval
November 11, 1996
Lois J. Swartz
506 W. Jefferson St .
Wylie, Tx 75098
Mayor and Members of the City Council
I want to thank you for the privilege of serving on the Library
Board for the past 18 months .
I am submitting my resignation effective immediately.
Sincerely,
.
. p: _�,j:.r..._..
c . Mignon Morse, Library Director
CITY OF WYLIE Full Name: t IMCe
Boards & Commission Application Home Address: � � GX u,-(-0 n/ 744-)'C
Please print or type, return completed City, State,Zip: O C
application, before June 13, 1996,to:
Business Address:
City Secretary's Office
2000 Hwy.78 North City, State,Zip:
Wylie,Texas 75098
Board or Commission Home Phone: 9 Work#:
(indicate first,second,and third choice)
Resident of Wylie for Years
:❑ Planning and Zoning Board PI ase list any special skills or qualifications:
Loc E° to / ea- d
b e 1 Pio its 7"h e_
D Zoning Board of Adjustments -Po n d i i 2 c(- Th 0 m r7)On 11 y
Library Board ,Why do you psi a to serve op these boards?
RQn �v Pt`Pl i 111CDMAIQQ__.-•PA[� le S — 2 U1ocl1-1 to 7 '0
❑ Ambulance Advisory Board b{ p bl Pn C 0 i" k AG f h
L-o v A oh q
❑ Construction Code Board Signature W"-AA
CZYUJAd
❑ Parks and Recreation Board Date
Zoning Board of Adjustments Construction Code Board
Consists of 5 members and 2 alternates who meet Consists of 7 members who meet on an "as
on an "as needed" basis to consider applications needed" basis to review building code
for variances to zoning ordinance regulations. The requirements. Plumbing, contractor,and electrical
board hears appeals regarding determinations of experience helpful.
the Zoning Administrator, and considers action
concerning non-conforming uses.
Ambulance Advisory Board
Library Board Consists of 3 members who meet on an "as
needed" basis and advise Council on ambulance
Consists of 7 members who meet on the 2nd services.
Monday of every month and advise the Council on
library services and programs.
Planning and Zoning Commission
Parks and Recreation Board A 7 member board that meets the 1st and 3rd
Monday of every month to review rezoning
A 7 member board which meets the 4th Monday of applications, subdivision plats and site plans, and
every month and advises the Council on advise Council regarding comprehensive planning
acquisitions, maintenance, operation and use of issues.
parks, playgrounds,and open spaces.
CITY OF WYLIE Full NameDr. Elizabeth (Betty) Weckerly
Boards & Commission Application Home Address: 303 Foxwood Ln.
Please print or type, return completed City, State,Zip: Wylie, Texas 75098
application, before June 13, 1996,to:
Business Address:Wylie Intermediate School
City Secretary's Office 1001 S. Ballard
2000 Hwy. 78 North City, State,Zip: Wylie, Texas 75098
Wylie,Texas 75098
Home Phone42-1921 Work#:442-0406
Board or Commission
(indicate first,second,and third choice) Resident of Wylie for 11 Years
.-❑ Planning and Zoning Board Please list any special skills or qualifications:
Principal - WISD
❑ Zoning Board of Adjustments
El Library Board Why do you desire to serve on these boards?
❑ Ambulance Advisory Board
❑ Construction Code Board
ture
Decc\mber 18, 1996
❑ Parks and Recreation Board Date )
J
Zoning Board of Adjustments Construction Code Board
Consists of 5 members and 2 alternates who meet Consists of 7 members who meet on an "as
on an "as needed" basis to consider applications needed" basis to review building code
for variances to zoning ordinance regulations. The requirements. Plumbing, contractor,and electrical
board hears appeals regarding determinations of experience helpful.
the Zoning Administrator, and considers action
concerning non-conforming uses.
Ambulance Advisory Board
Library Board Consists of 3 members who meet on an "as
needed" basis and advise Council on ambulance
Consists of 7 members who meet on the 2nd services.
Monday of every month and advise the Council on
library services and programs.
Planning and Zoning Commission
Parks and Recreation Board A 7 member board that meets the 1st and 3rd
Monday of every month to review rezoning
A 7 member board which meets the 4th Monday of applications, subdivision plats and site plans, and
every month and advises the Council on advise Council regarding comprehensive planning
acquisitions, maintenance, operation and use of issues.
parks, playgrounds,and open spaces.
/I
CITY OF WYLIE Full Name: nrfnili�'i. E. iXlmr>7in5
Boards & Commission Application Home Address: I ) '"7-c x fd
Please print or type, return completed City, State,Zip: WU..J I1 ( T 15i'
application, before June 13, 1996,to:
Business Address:
City Secretary's Office
2000 Hwy.78 North City, State, Zip:
Wylie,Texas 75098
Board or Commission Home Phone: 11Z-2 4%5 Work#:
(indicate first,second, and third choice) Resident of Wylie for 1) Years
.-❑ Planning and Zoning Board Please list any special skills or qualifications:
T Clan c4r? CAmci. reader ;S
"5C'.rve61 for a slur l peri cal as
❑ Zoning Board of Adjustments to rn ciel.lt SChocf ti br ru.( c.i et
Library Board Why do you desire to serve on these boards?
1 bUi LW. 4-har T haut rY) c
(.t tcu1 i ottag, Clnri T eltl.rc +r
❑ Ambulance Advisory Board t rnprove Otxt I i bi ay.( Sal's4 n'1.
❑ Construction Code Board Signature
❑ Parks and Recreation Board Date
Zoning Board of Adjustments Construction Code Board
Consists of 5 members and 2 alternates who meet Consists of 7 members who meet on an "as
on an "as needed" basis to consider applications needed" basis to review building code
for variances to zoning ordinance regulations. The requirements. Plumbing, contractor, and electrical
board hears appeals regarding determinations of experience helpful.
the Zoning Administrator, and considers action
concerning non-conforming uses.
Ambulance Advisory Board
Library Board Consists of 3 members who meet on an "as
needed" basis and advise Council on ambulance
Consists of 7 members who meet on the 2nd services.
Monday of every month and advise the Council on
library services and programs.
Planning and Zoning Commission
Parks and Recreation Board A 7 member board that meets the 1st and 3rd
Monday of every month to review rezoning
A 7 member board which meets the 4th Monday of applications, subdivision plats and site plans, and
every month and advises the Council on advise Council regarding comprehensive planning
acquisitions, maintenance, operation and use of issues.
parks, playgrounds, and open spaces.
V 'yl t City Council
#is
Agenda Communication for January 14, 1997
Authorize to Advertise for Bids of McCreary Rd
ii.... .i... ..m... ...imimi
Issue
Consider authorizing Staff and the Hogan Corporation to advertise to receive bids for the construction
of McCreary Road from FM 544 to Southfork Mobile Home Park.
Background
This project, to construct a concrete street with curb and gutter, was approved by citizens as part of
the 1995 Bond Program. The existing roadway consists of deteriorating, narrow asphalt with little, or no
shoulder. The roadway has been a continuing maintenance and safety problem. McCreary Road is the main
access to Southfork Mobile Home Park from FM 544. Other access to the Mobile Home Park is via
McMillen Road from FM 1378 or Murphy Road and McCreary Road from Parker Road.
The center line of the McCreary Road right-of-way coincides with the City of Wylie's and the City of
Murphy's common city limit line. This project represents construction of the Wylie half of the future divided
thoroughfare. McCreary Road appears on the "Tri-City Thoroughfare Agreement" between Rowlett, Wylie,
Sachse, and Murphy as a divided thoroughfare. This road also appears on the City of Wylie's adopted
Thoroughfare Plan.
The proposed improvements will complete one-half of the ultimate 4-lane divided thoroughfare
roadway width. The proposed pavement section will be 4,500 feet of 25-foot wide concrete with curbs and
gutters, and will allow two-way traffic when completed. Underground drainage improvements will also be
included in this project.
The project will extend from the existing concrete pavement, which ends just north of the railroad
tracks, to the existing concrete pavement along the west edge of the Southfork Mobile Home Park. When
completed, McCreary Road will be a concrete street from FM 544 to McMillen Road.
The Hogan Corporation (Engineer) has completed the plans and specifications for this project and
is prepared to advertise for bids. Typically, on paving improvements projects, a minimum of one lane of
traffic is maintained on existing adjacent roads at all times. This requires the contractor to perform the
construction in phases and to maintain safe and adequate travel on the adjacent streets. However, if
McCreary Road is closed entirely during the construction phase, construction will proceed with as little
disruption as possible. This method of construction phasing could result in significantly lower bids.
Therefore, the bid form could be structured to receive alternate bids for either closing the road, or
maintaining one lane of access during construction. The decision regarding the construction phasing can
be made when the award of bid is considered.
If one lane of access is maintained during construction it would be a temporary gravel road. Access
would be limited to either one-way traffic only, or two-way, flagman controlled access. Alternate access
to and from Southfork Mobile Home Park would be to the west, via McMillen Road from McCreary Road to
Murphy Road, to the east, via McMillen Road to FM 1378, and to the north, via McCreary Road to Parker
Road. If McCreary Road is closed completely, the primary access from Wylie to Southfork Mobile Home
Park would be via McMillen Road. McMillen Road will see increased traffic. The Engineer also
recommends an alternate bid item be included to improve and/or maintain McMillen Road from McCreary
Road to FM 1378 during construction. Staff will continue to pursue assistance from Collin County in
maintaining McMillen Road.
Board Recommendations
N/A
Financial Considerations
Part of the 1995 Bond Program
Legal Considerations
N/A
Staff Recommendations
Staff recommends that Council authorize the Hogan Corporation and Staff to advertise and receive
bids including the aforementioned bid items
Attachments
None
?LA'
Prepared By evi ed by F. ance City Mgr. Approval
III''yli+ City Council
#6
Agooda Communication for January 14, 1997
Awarding of Bonds and Adopt Ordinance Authorizing the Bonds
Issue
The City of Wylie is offering for sale its "$2,700,000 General Obligation Bonds, Series 1997", dated
January 1, 1997 by competitive bidding. The purpose of this agenda item will be to discuss the awarding
of the bonds and to adopt an ordinance authorizing the bonds.
Background
The City is issuing the final $2,700,000 of the $7,000,000 in bonds authorized by the election held
on February 18, 1995. The allocation of the bonds sold will be $1,500,000 for Street Improvements and
$1,200,000 for Water& Sewer Improvements. The bids for the Bonds will be publicly opened and read in
the offices of the City Manager, at 1:30 PM, CST, Tuesday, January 14, 1997. The bonds are being sold
in one block on an "All or None" basis. The sale of the Bonds will be awarded to the bidder making a bid that
conforms to the Bidding Instructions and which produces the lowest True Interest Cost rate to the City. The
bidders on municipal bonds are typically financial institutions or groups that intend to retail the bonds to
institutions or individual investors. The City's Financial Advisors, First Southwest Company will present the
results of the bidding at the Council meeting on January 14, 1997.
Attached is a letter from Standard & Poor's ("S&P") responding to the City's request to review the proposed
new debt issue. S&P has assigned a rating of`BBB+' to the new bonds. This is an investment grade ranking
and S&P views the outlook for this rating over the intermediate to longer term as positive. This is very
significant to future debt issues because "the outlook of positive" indicates that the City is positioned for a
rating upgrade. When rating the first issuance of the 1995 bonds, the S&P outlook was stable.
Legal Considerations
The City Council can take action to award the Bonds (or reject all bids) at this meeting. If the bonds
are awarded, the Council will need to adopt an ordinance authorizing the Bonds and approving the Official
Statement (the "Ordinance"). A Good Faith Deposit of$54,000 will be required from the successful bidder.
Financial Considerations
The debt service requirements for the new bonds will be funded from property taxes (55.6%) and
water/sewer revenues (44.4%). The annual debt service payments on the $2.7 million in new bonds is
estimated to be $245,070. The annual debt requirements would be split between general debt service
portion of$136,260 and the utility debt portion of$108,810.
Board/Commission Recommendation
N/A
Staff Recommendation
The Staff recommends that the bonds be awarded per the recommendation of the first Southwest
Company and that the necessary bond ordinance be adopted.
Attachments
Draft of the Bond Ordinance
Letter from Standard and Poor's
jo1/412, CA(11.(114k
Pre a By Appr v by Fina ce City Manager Approval
Ratings Services Hyman C. Grossman
25 Broadway Managing Director
New York NY 10004-1064 Public Finance Ratings
Tel 212 208-1752
Reference No.:926241
Standard & Poor's go
A Division of IheMcGmwHillCompanies
December 30, 1996
Mr. Michael Collins
City Manager
City of Wylie
2000 Highway 78 North
Wylie, TX 75098
Re: $2,700,000 Wylie, Texas, General Obligation Bonds, Series 1997, dated:January 1, 1997, due:
February 15, 1999-2019
Dear Mr. Collins:
Pursuant to your request for a Standard &Poor's ("S&P") rating on the above debt obligations, we have
reviewed the information furnished to us and, subject to the terms and conditions of the MEMORANDUM OF
AGREEMENT on the reverse side hereof, have assigned a rating of`BBB+' to the obligations. S&P views the
outlook for this rating over the intermediate to longer term as positive.
In order to maintain ongoing rating surveillance on the obligations, we must receive annual audits and budgets
and for project revenue bonds; progress reports, at least quarterly, to be sent to:
Standard &Poor's Ratings Services, Secondary Markets
25 Broadway-Drop Box No. 1
New York, NY 10004-1064
S&P relies on the issuer and its counsel, accountants and other experts for the accuracy and completeness of the
information submitted in connection with the rating. In addition, it should be understood that the rating is not a
"market" rating nor a recommendation to buy, hold or sell these securities. Please note that the rating, as is the
case with all of S&P's municipal ratings, does not address the likelihood that interest payable on the Bonds may
be deemed or declared includable in the gross income of Bondholders by the relevant authorities at any time.
In the event that you decide to include this rating in an Official Statement, prospectus or other offering literature,
we request that you include S&P's definition of the rating together with a statement that the rating may be
changed, suspended or withdrawn as a result of changes in, or unavailability of, information.
We are pleased to have been of service to you. Our bill for the analytical work performed will be sent to you in
due course. If you have any questions, please contact us.
ery truly yours,
iz
cc: Mr. David K. Medanich, Vice President
First Southwest Company
MEMORANDUM OF AGREEMENT
RE:PUBLIC FINANCE DEBT CONTRACT RATINGS
Standard&Poor's Ratings Services(S&P)rates the creditworthiness of specific bonds or debt obligations for a fee upon written request from an issuer,or from an
underwriter,financial consultant,institution or other purchaser,provided that the issuer has knowledge of the request.
The fee is based on the time and effort to determine the rating and accrues upon completion or termination of the rating process and is not contingent upon the
sale of the bonds or debt obligations. The fee is not a payment to circulate, disseminate or publicize the rating. However,S&P has the right to disseminate the
rating to its own customers and subscribers or through its own or other media. Expenses incurred,such as those for meetings outside S&P's offices or for field
trips,are also payable to S&P.
The Applicant agrees to provide or otherwise furnish to S&P all pertinent information in a timely manner together with all subsequent material changes in and
additions to such information prior to, at the time of, and subsequent to the assignment of the rating. S&P should also be informed of any subsequent swap or
derivative transactions. Failure to furnish information in a timely manner may result in no rating or withdrawal of the rating. S&P relies on the party submitting
such information for its accuracy and completeness and substantiation thereof.
It is understood that the rating is an evaluation of the information submitted and does not involve an audit by S&P.S&P has the right to raise, lower,suspend or
withdraw the rating at any time, in its sole discretion, depending on the information S&P then has,or the lack thereof,or other circumstances, including,but not
limited to,issuance of new bonds or debt obligations by the issuer,all without notice.
Neither party may assign this agreement without the consent of the other party.
CORPORATE AND PUBLIC FINANCE DEBT RATINGS DEFINITIONS
Long-term debt
A Standard&Poor's corporate or public finance debt rating is a current assessment of C The rating'C'is typically applied to debt subordinated to senior debt which is
the creditworthiness of an obligor with respect to a specific obligation.This assessment assigned an actual or implied'CCC—'debt rating.
may take into consideration obligors such as guarantors,insurers,or lessees.
The debt rating is not a recommendation to purchase,sell,or hold a security, CI The rating'CI'is reserved for income bonds on which no interest is being paid.
inasmuch as it does not comment as to market price or suitability for a particular investor.
The ratings are based on current information furnished by the issuer or obtained by D Debt rated'D'is in payment default.The"D'rating category is used when interest
S&P from other sources it considers reliable. S&P does not perform an audit in connec- payments or principal payments are not made on the date due even it the applicable
tion with any rating and may,on occasion,rely on unaudited financial information.The rat- grace period has not expired,unless S&P believes that such payments will be
ings may be changed,suspended,or withdrawn as a result of changes in or unavailability made during such grace period.The'D'rating also will be used upon the filing of
of,such information,or for other circumstances. a bankruptcy petition if debt service payments are jeopardized.
The ratings are based,in varying degrees,on the following considerations: Plus(+)or Minus(-):The ratings from'AA'to'CCC'may be modified by the addition of a
1. Likelihood of default—capacity and willingness of the obligor as to the timely plus or minus to show relative standings within the major ratings categories.
payment of interest and repayment of principal in accordance with the terms of Provisional Ratings:The letter"p"indicates that the rating is provisional.A pro-
the obligation; visional rating assumes the successful completion of the project being financed
2. Nature of and provisions of the obligation; by the debt being rated and indicates that payment of debt service requirements
3. Protection afforded by,and relative position of,the obligation in the event of is largely or entirely dependent upon the successful and timely completion of
bankruptcy reorganization,or other arrangement under the laws of bankruptcy the project,makes no comment on the likelihood of,or the risk of default upon
and other laws affecting creditor's rights. failure of,such completion.The investor should exercise judgement with respect
to such likelihood and risk.
AAA Debt rated'AM'has the highest rating assigned by Standard&Poor's.
Capacity to pay interest and repay principal is extremely strong. 'Continuance of the rating is contingent upon S&P receipt of an executed copy
of the escrow agreement or closing documentation confirming investments and
AA Debt rated'AA'has a very strong capacity to pay interest and repay principal cash flow.
and differs from the highest rated issues only in small degree.
r The'r'is attached to highlight derivative,hybrid,and certain other obligations
A Debt rated'A'has a strong capacity to pay interest and repay principal although that S&P believes may experience high volatility or high variability in expected
it is somewhat more susceptible to the adverse effects of changes in circumstances returns due to non-credit risks.
and economic conditions than debt in higher rated categories. The absence of an'r'symbol should not be taken as an indication that an
obligation will exhibit no volatility or variability in total return.
BBB Debt rated'BBB'is regarded as having an adequate capacity to pay interest
and repay principal.Whereas it normally exhibits adequate protection parameters,
adverse economic conditions or changing circumstances are more likely to lead to
weakened capacity to pay interest and repay principal for debt in this category than
in higher rated categories.
Speculative grade rating definitions
Debt rate'BB"B"CCC"CC"C'is regarded as having predominantly speculative char- Note Ratings
acteristics with respect to capacity to pay interest and repay principal.'BB'indicates the A Standard&Poor's note rating reflects the liquidity concerns and market access risks
least degree of speculation and'C'the higher.While such debt will likely have some quali- unique to notes.Notes due in 3 years or less will likely receive a note rating.Notes matur-
ty and protective characteristics,these are outweighed by large uncertainties or major ing beyond 3 years will most likely receive a long-term debt rating.The following criteria
exposures to adverse conditions. will be used in making that assessment:
BB Debt rated'BB'has less near-term vulnerability to default than other speculative —Amortization schedule(the larger the final maturity relative to other maturities the more
likely it will be treated as a note).
issues.However,it faces major ongoing uncertainties or exposure to adverse
business,financial,or economic conditions which could lead to inadequate capacity —Source of payment(the more dependent the issue is on the market for its refinancing,
to meet timely interest and principal payments. the more likely it will be treated as a note.)
B Debt rate'B'has a greater vulnerability to default but currently has the capacity to Note rating symbols are as follows:
meet interest payments and principal repayments.Adverse business,financial,or SP-1 Very strong or strong capacity to pay principle and interest.Those issues
economic conditions will likely impair capacity or willingness to pay interest and determined to possess overwhelming safety characteristics will be given a
repay principal. plus(+)designation.
The'B'rating category.y is also used for debt subordinated to senior debt that SP-2 Satisfactory capacity to pay principal and interest.
is assigned an actual or implied'BB'or'BB—'rating. SP-3 Speculative capacity to pay principal and interest.
CCC Debt rated'CCC'has a currently identifiable vulnerability to default,and is Dual Ratings
dependent upon favorable business,financial,and economic conditions to Standard&Poor's assign"dual" ratings to all debt issues that have as part of their
meet timely payment of interest and repayment of principal.In the event of structure a put option or demand feature.
adverse business,financial,or economic conditions,it is not likely to have The first rating addresses the likelihood of repayment of principal and interest as due,
the capacity to pay interest and repay principal. and the second rating addresses only the demand feature.The long-term debt rating sym-
bols are used for bonds to denote the long-term maturity and the commercial paper rating
CC The rating*CC"is typically applied to debt subordinated to senior debt which symbols for the put option(for example,'AAA/A-1+').With short-term demand debt,the
is assigned an actual or implied'CCC—'debt rating. note rating symbol is used with the commercial paper rating(for example,4SP-1+/A-1+').
ORDINANCE NO.
AN ORDINANCE authorizing the issuance of "CITY OF WYLIE,
TEXAS, GENERAL OBLIGATION BONDS, SERIES 1997";
specifying the terms and features of said bonds;
levying a continuing direct annual ad valorem tax
for the payment of said bonds; and resolving other
matters incident and related to the issuance, sale,
payment and delivery of said bonds, including the
approval and execution of a Paying Agent/Registrar
Agreement and the approval and distribution of an
Official Statement pertaining thereto; and
providing an effective date.
WHEREAS, the City Council of the City of Wylie, Texas hereby
finds and determines that the unissued balance of general
obligation bonds approved and authorized to be issued at an
election held on February 18, 1995 should be issued and sold at
this time; a schedule of the general obligation bonds approved at
said election identifying the purposes and the principal amounts
authorized therefor, amounts being issued pursuant to this
Ordinance and amounts remaining to be issued being as follows:
Principal Amounts Amounts
Amount Heretofore Being Amounts
Purpose Authorized Issued Issued Remaining
Water & Sewer $4,000,000 $2,800,000 $1,200,000 $-0-
Improvements
Street Improvements $3,000,000 $1,500,000 $1,500,000 $-0-
now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WYLIE,
TEXAS:
SECTION 1: Authorization-Designation-Principal Amount-
Purpose - Date. General obligation bonds of the City shall be and
are hereby authorized to be issued in the aggregate principal
amount of $2,700, 000 to be designated and bear the title "CITY OF
WYLIE, TEXAS, GENERAL OBLIGATION BONDS, SERIES 1997" (hereinafter
referred to as the "Bonds") , for the following purposes, to wit:
$1,200, 000 for improvements and extensions to the City's water and
sewer System, including but not limited to, an elevated water tower
and appurtenant facilities and $1,500,000 for street improvements,
including drainage, curbs, gutters and alleys; all in accordance
with authority conferred by and in conformity with the Constitution
and laws of the State of Texas, including Vernon's Ann. Civ. St. ,
Article 1175, as amended.
SECTION 2 : Fully Registered Obligations - Bond Date -
Authorized Denominations - Stated Maturities - Interest Rates. The
0393066
Bonds shall be issued as fully registered obligations only, shall
be dated January 1, 1997 (the "Issue Date") , shall be in
denominations of $5,000 or any integral multiple (within a Stated
Maturity) thereof, and shall become due and payable on February 15
in each of the years and in principal amounts (the "Stated
Maturities") and bear interest at the rate(s) per annum in
accordance with the following schedule:
YEAR OF PRINCIPAL INTEREST
MATURITY INSTALLMENTS RATE
1999 $ 80, 000
2000 85, 000 %
2001 90, 000
2002 95, 000
2003 100, 000
2004 105, 000
2005 110, 000
2006 120, 000
2007 125, 000
2008 135, 000
2009 145, 000
2010 150, 000
2011 160, 000
2012 170, 000
2013 180, 000
2014 195, 000
2015 205, 000
2016 220, 000
2017 230, 000
The Bonds shall bear interest on the unpaid principal amounts
from the Issue Date at the rate(s) per annum shown above in this
Section (calculated on the basis of a 360-day year of twelve 30-day
months) . Interest on the Bonds shall be payable on February 15 and
August 15 in each year, commencing February 15, 1998.
SECTION 3: Terms of Payment - Paying Agent/Registrar. The
principal of, premium, if any, and the interest on the Bonds, due
and payable by reason of maturity, redemption or otherwise, shall
be payable only to the registered owners or holders of the Bonds
(hereinafter called the "Holders") appearing on the registration
and transfer books maintained by the Paying Agent/Registrar, and
the payment thereof shall be in any coin or currency of the United
States of America, which at the time of payment is legal tender for
the payment of public and private debts, and shall be without
exchange or collection charges to the Holders.
The selection and appointment of Texas Commerce Bank National
Association to serve as Paying Agent/Registrar for the Bonds is
0393066 -�
hereby approved and confirmed. Books and records relating to the
registration, payment, exchange and transfer of the Bonds (the
"Security Register") shall at all times be kept and maintained on
behalf of the City by the Paying Agent/Registrar, all as provided
herein, in accordance with the terms and provisions of a "Paying
Agent/Registrar Agreement", substantially in the form attached
hereto as Exhibit A, and such reasonable rules and regulations as
the Paying Agent/Registrar and the City may prescribe. The Mayor
and City Secretary are hereby authorized to execute and deliver
such Agreement in connection with the delivery of the Bonds. The
City covenants to maintain and provide a Paying Agent/Registrar at
all times until the Bonds are paid and discharged, and any
successor Paying Agent/Registrar shall be a bank, trust company,
financial institution or other entity qualified and authorized to
serve in such capacity and perform the duties and services of
Paying Agent/Registrar. Upon any change in the Paying
Agent/Registrar for the Bonds, the City agrees to promptly cause a
written notice thereof to be sent to each Holder by United States
Mail, first class postage prepaid, which notice shall also give the
address of the new Paying Agent/Registrar.
Principal of and premium, if any, on the Bonds shall be
payable at the Stated Maturities or redemption, only upon
presentation and surrender of the Bonds to the Paying
Agent/Registrar at its designated offices in Dallas, Texas (the
"Designated Payment/Transfer Office") . Interest on the Bonds shall
be paid to the Holders whose name appears in the Security Register
at the close of business on the Record Date (the last business day
of the month next preceding each interest payment date) and shall
be paid by the Paying Agent/Registrar (i) by check sent United
States Mail, first class postage prepaid, to the address of the
Holder recorded in the Security Register or (ii) by such other
method, acceptable to the Paying Agent/ Registrar, requested by,
and at the risk and expense of, the Holder. If the date for the
payment of the principal of or interest on the Bonds shall be a
Saturday, Sunday, a legal holiday, or a day when banking
institutions in the City where the Paying Agent/Registrar is
located are authorized by law or executive order to close, then the
date for such payment shall be the next succeeding day which is not
such a Saturday, Sunday, legal holiday, or day when banking
institutions are authorized to close; and payment on such date
shall have the same force and effect as if made on the original
date payment was due.
In the event of a nonpayment of interest on a scheduled
payment date, and for thirty (30) days thereafter, a new record
date for such interest payment (a "Special Record Date") will be
established by the Paying Agent/ Registrar, if and when funds for
the payment of such interest have been received from the City.
Notice of the Special Record Date and of the scheduled payment date
0393066 -3-
of the past due interest (which shall be 15 days after the Special
Record Date) shall be sent at least five (5) business days prior to
the Special Record Date by United States Mail, first class postage
prepaid, to the address of each Holder appearing on the Security
Register at the close of business on the last business day next
preceding the date of mailing of such notice.
SECTION 4 : Redemption. (a) Optional Redemption. The Bonds
having Stated Maturities on and after February 15, 2008, shall be
subject to redemption prior to maturity, at the option of the City,
in whole or in part in principal amounts of $5, 000 or any integral
multiple thereof (and if within a Stated Maturity by lot by the
Paying Agent/Registrar) , on February 15, 2007 or on any date
thereafter at the redemption price of par plus accrued interest to
the date of redemption.
(b) Exercise of Redemption Option. At least forty-five (45)
days prior to a redemption date for the Bonds (unless a shorter
notification period shall be satisfactory to the Paying
Agent/Registrar) , the City shall notify the Paying Agent/Registrar
of the decision to redeem Bonds, the principal amount of each
Stated Maturity to be redeemed, and the date of redemption
therefor. The decision of the City to exercise the right to redeem
Bonds shall be entered in the minutes of the governing body of the
City.
(c) Selection of Bonds for Redemption. If less than all
Outstanding Bonds of the same Stated Maturity are to be redeemed on
a redemption date, the Paying Agent/Registrar shall treat such
Bonds as representing the number of Bonds Outstanding which is
obtained by dividing the principal amount of such Bonds by $5, 000
and shall select the Bonds to be redeemed within such Stated
Maturity by lot.
(d) Notice of Redemption. Not less than thirty (30) days
prior to a redemption date for the Bonds, a notice of redemption
shall be sent by United States Mail, first class postage prepaid,
in the name of the City and at the City's expense, to each Holder
of a Bond to be redeemed in whole or in part at the address of the
Holder appearing on the Security Register at the close of business
on the business day next preceding the date of mailing such notice,
and any notice of redemption so mailed shall be conclusively
presumed to have been duly given irrespective of whether received
by the Holder.
All notices of redemption shall (i) specify the date of
redemption for the Bonds, (ii) identify the Bonds to be redeemed
and, in the case of a portion of the principal amount to be
redeemed, the principal amount thereof to be redeemed, (iii) state
the redemption price, (iv) state that the Bonds, or the portion of
0393066
-4-
the principal amount thereof to be redeemed, shall become due and
payable on the redemption date specified, and the interest thereon,
or on the portion of the principal amount thereof to be redeemed,
shall cease to accrue from and after the redemption date, and (v)
specify that payment of the redemption price for the Bonds, or the
principal amount thereof to be redeemed, shall be made at the
Designated Payment/Transfer Office only upon presentation and
surrender thereof by the Holder. If a Bond is subject by its terms
to prior redemption and has been called for redemption and notice
of redemption thereof has been duly given as hereinabove provided,
such Bond (or the principal amount thereof to be redeemed) shall
become due and payable and interest thereon shall cease to accrue
from and after the redemption date therefor; provided moneys
sufficient for the payment of such Bond (or of the principal amount
thereof to be redeemed) at the then applicable redemption price are
held for the purpose of such payment by the Paying Agent/Registrar.
SECTION 5: Registration - Transfer - Exchange of Bonds-
Predecessor Bonds. The Paying Agent/Registrar shall obtain,
record, and maintain in the Security Register the name and address
of each and every owner of the Bonds issued under and pursuant to
the provisions of this Ordinance, or if appropriate, the nominee
thereof. Any Bond may be transferred or exchanged for Bonds of
other authorized denominations by the Holder, in person or by his
duly authorized agent, upon surrender of such Bond to the Paying
Agent/Registrar at the Designated Payment/Transfer Office for
cancellation, accompanied by a written instrument of transfer or
request for exchange duly executed by the Holder or by his duly
authorized agent, in form satisfactory to the Paying
Agent/Registrar.
Upon surrender of any Bond for transfer at the Designated
Payment/Transfer Office of the Paying Agent/Registrar, one or more
new Bonds shall be registered and issued to the assignee or
transferee of the previous Holder; such Bonds to be in authorized
denominations, of like Stated Maturity and of a like aggregate
principal amount as the Bond or Bonds surrendered for transfer.
At the option of the Holder, Bonds may be exchanged for other
Bonds of authorized denominations and having the same Stated
Maturity, bearing the same rate of interest and of like aggregate
principal amount as the Bonds surrendered for exchange, upon
surrender of the Bonds to be exchanged at the Designated
Payment/Transfer Office of the Paying Agent/Registrar. Whenever
any Bonds are surrendered for exchange, the Paying Agent/Registrar
shall register and deliver new Bonds to the Holder requesting the
exchange.
All Bonds issued in any transfer or exchange of Bonds shall be
delivered to the Holders at the Designated Payment/Transfer Office
0393066 -5-
of the Paying Agent/Registrar or sent by United States Mail, first
class, postage prepaid to the Holders, and, upon the registration
and delivery thereof, the same shall be the valid obligations of
the City, evidencing the same obligation to pay, and entitled to
the same benefits under this Ordinance, as the Bonds surrendered in
such transfer or exchange.
All transfers or exchanges of Bonds pursuant to this Section
shall be made without expense or service charge to the Holder,
except as otherwise herein provided, and except that the Paying
Agent/Registrar shall require payment by the Holder requesting such
transfer or exchange of any tax or other governmental charges
required to be paid with respect to such transfer or exchange.
Bonds cancelled by reason of an exchange or transfer pursuant
to the provisions hereof are hereby defined to be "Predecessor
Bonds, " evidencing all or a portion, as the case may be, of the
same obligation to pay evidenced by the new Bond or Bonds
registered and delivered in the exchange or transfer therefor.
Additionally, the term "Predecessor Bonds" shall include any
mutilated, lost, destroyed, or stolen Bond for which a replacement
Bond has been issued, registered and delivered in lieu thereof
pursuant to the provisions of Section 11 hereof and such new
replacement Bond shall be deemed to evidence the same obligation as
the mutilated, lost, destroyed, or stolen Bond.
Neither the City nor the Paying Agent/ Registrar shall be
required to issue or transfer to an assignee of a Holder any Bond
called for redemption, in whole or in part, within 45 days of the
date fixed for the redemption of such Bond; provided, however, such
limitation on transferability shall not be applicable to an
exchange by the Holder of the unredeemed balance of a Bond called
for redemption in part.
SECTION 6: Book-Entry Only Transfers and Transactions.
Notwithstanding the provisions contained in Sections 3 , 4 and 5
hereof relating to the payment, and transfer/exchange of the Bonds,
the City hereby approves and authorizes the use of "Book-Entry
Only" securities clearance, settlement and transfer system provided
by The Depository Trust Company (DTC) , a limited purpose trust
company organized under the laws of the State of New York, in
accordance with the requirements and procedures identified in the
Letter of Representation, by and between the City, the Paying
Agent/Registrar and DTC (the "Depository Agreement") relating to
the Bonds.
Pursuant to the Depository Agreement and the rules of DTC, the
Bonds shall be deposited with DTC who shall hold said Bonds for its
participants (the "DTC Participants") . While the Bonds are held by
DTC under the Depository Agreement, the Holder of the Bonds on the
0393066 45_
Security Register for all purposes, including payment and notices,
shall be Cede & Co. , as nominee of DTC, notwithstanding the
ownership of each actual purchaser or owner of each Bond (the
"Beneficial Owners") being recorded in the records of DTC and DTC
Participants.
In the event DTC determines to discontinue serving as
securities depository for the Bonds or otherwise ceases to provide
book-entry clearance and settlement of securities transactions in
general or the City determines that DTC is incapable of properly
discharging its duties as securities depository for the Bonds, the
City covenants and agrees with the Holders of the Bonds to cause
Bonds to be printed in definitive form and provide for the Bond
certificates to be issued and delivered to DTC Participants and
Beneficial Owners, as the case may be. Thereafter, the Bonds in
definitive form shall be assigned, transferred and exchanged on the
Security Register maintained by the Paying Agent/Registrar and
payment of such Bonds shall be made in accordance with the
provisions of Sections 3 , 4 and 5 hereof.
SECTION 7: Execution - Registration. The Bonds shall be
executed on behalf of the City by the Mayor under its seal
reproduced or impressed thereon and countersigned by the City
Secretary. The signature of said officers on the Bonds may be
manual or facsimile. Bonds bearing the manual or facsimile
signatures of individuals who are or were the proper officers of
the City on the Issue Date shall be deemed to be duly executed on
behalf of the City, notwithstanding that such individuals or either
of them shall cease to hold such offices at the time of delivery of
the Bonds to the initial purchaser(s) and with respect to Bonds
delivered in subsequent exchanges and transfers, all as authorized
and provided in the Bond Procedures Act of 1981, as amended.
No Bond shall be entitled to any right or benefit under this
Ordinance, or be valid or obligatory for any purpose, unless there
appears on such Bond either a certificate of registration
substantially in the form provided in Section 9C, manually executed
by the Comptroller of Public Accounts of the State of Texas, or his
duly authorized agent, or a certificate of registration
substantially in the form provided in Section 9D, manually executed
by an authorized officer, employee or representative of the Paying
Agent/Registrar, and either such certificate duly signed upon any
Bond shall be conclusive evidence, and the only evidence, that such
Bond has been duly certified, registered and delivered.
SECTION 8: Initial Bond(s) . The Bonds herein authorized
shall be initially issued either (i) as a single fully registered
bond in the total principal amount noted in Section 1 with
principal installments to become due and payable as provided in
Section 2 hereof and numbered T-1, or (ii) as nineteen (19) fully
0393066 -7-
registered bonds, being one bond for each year of maturity in the
applicable principal amount and denomination and to be numbered
consecutively from T-1 and upward (hereinafter called the "Initial
Bond(s) ") and, in either case, the Initial Bond(s) shall be
registered in the name of the initial purchaser(s) or the designee
thereof. The Initial Bond(s) shall be the Bonds submitted to the
Office of the Attorney General of the State of Texas for approval,
certified and registered by the Office of the Comptroller of Public
Accounts of the State of Texas and delivered to the initial
purchaser(s) . Any time after the delivery of the Initial Bond(s) ,
the Paying Agent/ Registrar, pursuant to written instructions from
the initial purchaser(s) , or the designee thereof, shall cancel the
Initial Bond(s) delivered hereunder and exchange therefor
definitive Bonds of authorized denominations, Stated Maturities,
principal amounts and bearing applicable interest rates for
transfer and delivery to the Holders named at the addresses
identified therefor; all pursuant to and in accordance with such
written instructions from the initial purchaser(s) , or the designee
thereof, and such other information and documentation as the Paying
Agent/Registrar may reasonably require.
SECTION 9: Forms. A. Forms Generally. The Bonds, the
Registration Certificate of the Comptroller of Public Accounts of
the . State of Texas, the Registration Certificate of Paying
Agent/Registrar, and the form of Assignment to be printed on each
of the Bonds, shall be substantially in the forms set forth in this
Section with such appropriate insertions, omissions, substitutions,
and other variations as are permitted or required by this Ordinance
and may have such letters, numbers, or other marks of
identification (including identifying numbers and letters of the
Committee on Uniform Securities Identification Procedures of the
American Bankers Association) and such legends and endorsements
(including insurance legends on insured Bonds and any reproduction
of an opinion of counsel) thereon as may, consistently herewith, be
established by the City or determined by the officers executing
such Bonds as evidenced by their execution. Any portion of the
text of any Bonds may be set forth on the reverse thereof, with an
appropriate reference thereto on the face of the Bond.
The definitive Bonds and the Initial Bond(s) shall be printed,
lithographed, or engraved or typewritten, photocopied or otherwise
reproduced in any other similar manner, all as determined by the
officers executing such Bonds as evidenced by their execution
thereof.
0393068 -8
B. Form of Definitive Bond.
REGISTERED REGISTERED
NO. $
UNITED STATES OF AMERICA
STATE OF TEXAS
CITY OF WYLIE, TEXAS,
GENERAL OBLIGATION BOND,
SERIES 1997
Issue Date: Interest Rate: Stated Maturity: CUSIP NO:
January 1, 1997
Registered Owner:
Principal Amount: DOLLARS
The City of Wylie (hereinafter referred to as the "City") , a
body corporate and municipal corporation in the County of Collin,
State of Texas, for value received, acknowledges itself indebted to
and hereby promises to pay to the order of the Registered Owner
named above, or the registered assigns thereof, on the Stated
Maturity date specified above the Principal Amount hereinabove
stated (or so much thereof as shall not have been paid upon prior
redemption) , and to pay interest on the unpaid principal amount
hereof from the Issue Date at the per annum rate of interest
specified above computed on the basis of a 360-day year of
twelve 30-day months; such interest being payable on February 15
and August 15 in each year, commencing February 15, 1998.
Principal of this Bond is payable at its Stated Maturity or
redemption to the registered owner hereof, upon presentation and
surrender, at the Designated Payment/Transfer Office of the Paying
Agent/Registrar executing the registration certificate appearing
hereon, or its successor. Interest is payable to the registered
owner of this Bond (or one or more Predecessor Bonds, as defined in
the Ordinance hereinafter referenced) whose name appears on the
"Security Register" maintained by the Paying Agent/Registrar at the
close of business on the "Record Date", which is the last business
day of the month next preceding each interest payment date, and
interest shall be paid by the Paying Agent/Registrar by check sent
United States Mail, first class postage prepaid, to the address of
the registered owner recorded in the Security Register or by such
other method, acceptable to the Paying Agent/Registrar, requested
by, and at the risk and expense of, the registered owner. All
payments of principal of, premium, if any, and interest on this
Bond shall be without exchange or collection charges to the owner
hereof and in any coin or currency of the United States of America
which at the time of payment is legal tender for the payment of
public and private debts.
0393066 _9.
This Bond is one of the series specified in its title issued
in the aggregate principal amount of $2,700, 000 (herein referred to
as the "Bonds") for the following purposes, to wit: $1, 200, 000 for
improvements and extensions to the City's water and sewer system,
including but not limited to, an elevated water tower and
appurtenant facilities and $1, 500, 000 for street improvements,
including drainage, curbs, gutters and alleys, under and in strict
conformity with the Constitution and laws of the State of Texas,
including Vernon's Ann. Civ. St. , Article 1175, as amended, and
pursuant to an Ordinance adopted by the City Council of the City
(herein referred to as the "Ordinance") .
The Bonds maturing on and after February 15, 2008, may be
redeemed prior to their Stated Maturities, at the option of the
City, in whole or in part in principal amounts of $5, 000 or any
integral multiple thereof (and if within a Stated Maturity by lot
by the Paying Agent/Registrar) , on February 15, 2007, or on any
date thereafter, at the redemption price of par, together with
accrued interest to the date of redemption and upon 30 days prior
written notice being sent by United States Mail, first class
postage prepaid, to the registered owners of the Bonds to be
redeemed, and subject to the terms and provisions relating thereto
contained in the Ordinance. If this Bond (or any portion of the
principal sum hereof) shall have been duly called for redemption
and notice of such redemption duly given, then upon such redemption
date this Bond (or the portion of the principal sum hereof to be
redeemed) shall become due and payable, and interest thereon shall
cease to accrue from and after the redemption date therefor,
provided moneys for the payment of the redemption price and the
interest on the principal amount to be redeemed to the date of
redemption are held for the purpose of such payment by the Paying
Agent/Registrar.
In the event of a partial redemption of the principal amount
of this Bond, payment of the redemption price of such principal
amount shall be made to the registered owner only upon presentation
and surrender of this Bond to the Designated Payment/Transfer
Office of the Paying Agent/Registrar, and there shall be issued to
the registered owner hereof, without charge, a new Bond or Bonds of
like maturity and interest rate in any authorized denominations
provided by the Ordinance for the then unredeemed balance of the
principal sum hereof. If this Bond is selected for redemption, in
whole or in part, the City and the Paying Agent/Registrar shall not
be required to transfer this Bond to an assignee of the registered
owner within 45 days of the redemption date therefor; provided,
however, such limitation on transferability shall not be applicable
to an exchange by the registered owner of the unredeemed balance
hereof in the event of its redemption in part.
0393088 -1U_
The Bonds are payable from the proceeds of an ad valorem tax
levied, within the limitations prescribed by law, upon all taxable
property in the City. Reference is hereby made to the Ordinance,
a copy of which is on file in the Designated Payment/Transfer
Office of the Paying Agent/Registrar, and to all of the provisions
of which the owner or holder of this Bond by the acceptance hereof
hereby assents, for definitions of terms; the description of and
the nature and extent of the tax levied for the payment of the
Bonds; the terms and conditions relating to the transfer or
exchange of this Bond; the conditions upon which the Ordinance may
be amended or supplemented with or without the consent of the
Holders; the rights, duties, and obligations of the City and the
Paying Agent/Registrar; the terms and provisions upon which this
Bond may be discharged at or prior to its maturity, and deemed to
be no longer Outstanding thereunder; and for other terms and
provisions contained therein. Capitalized terms used herein have
the meanings assigned in the Ordinance.
This Bond, subject to certain limitations contained in the
Ordinance, may be transferred on the Security Register only upon
its presentation and surrender at the Designated Payment/Transfer
Office of the Paying Agent/Registrar, with the Assignment hereon
duly endorsed by, or accompanied by a written instrument of
transfer in form satisfactory to the Paying Agent/Registrar duly
executed by, the registered owner hereof, or his duly authorized
agent. When a transfer on the Security Register occurs, one or more
new fully registered Bonds of the same Stated Maturity, of
authorized denominations, bearing the same rate of interest, and of
the same aggregate principal amount will be issued by the Paying
Agent/Registrar to the designated transferee or transferees.
The City and the Paying Agent/Registrar, and any agent of
either, shall treat the registered owner whose name appears on the
Security Register (i) on the Record Date as the owner entitled to
payment of interest hereon, (ii) on the date of surrender of this
Bond as the owner entitled to payment of principal hereof at its
Stated Maturity, or its redemption, in whole or in part, and (iii)
on any other date as the owner for all other purposes, and neither
the City nor the Paying Agent/ Registrar, or any agent of either,
shall be affected by notice to the contrary. In the event of
nonpayment of interest on a scheduled payment date and for thirty
(30) days thereafter, a new record date for such interest payment
(a "Special Record Date") will be established by the Paying
Agent/Registrar, if and when funds for the payment of such interest
have been received from the City. Notice of the Special Record
Date and of the scheduled payment date of the past due interest
(which shall be 15 days after the Special Record Date) shall be
sent at least five (5) business days prior to the Special Record
Date by United States Mail, first class postage prepaid, to the
address of each Holder appearing on the Security Register at the
0393068 -11-
close of business on the last business day next preceding the date
of mailing of such notice.
It is hereby certified, recited, represented and declared that
the City is a body corporate and political subdivision duly
organized and legally existing under and by virtue of the
Constitution and laws of the State of Texas; that the issuance of
the Bonds is duly authorized by law; that all acts, conditions and
things required to exist and be done precedent to and in the
issuance of the Bonds to render the same lawful and valid
obligations of the City have been properly done, have happened and
have been performed in regular and due time, form and manner as
required by the Constitution and laws of the State of Texas, and
the Ordinance; that the Bonds do not exceed any Constitutional or
statutory limitation; and that due provision has been made for the
payment of the principal of and interest on the Bonds by the levy
of a tax as aforestated. In case any provision in this Bond shall
be invalid, illegal, or unenforceable, the validity, legality, and
enforceability of the remaining provisions shall not in any way be
affected or impaired thereby. The terms and provisions of this
Bond and the Ordinance shall be construed in accordance with and
shall be governed by the laws of the State of Texas.
IN WITNESS WHEREOF, the City Council of the City has caused
this Bond to be duly executed under the official seal of the City
as of the Issue Date.
CITY OF WYLIE, TEXAS
COUNTERSIGNED: Mayor
City Secretary
(SEAL)
0393066 -12-
C. *Form of Registration Certificate of Comptroller of
Public Accounts to appear on Initial Bond(s) only.
REGISTRATION CERTIFICATE OF
COMPTROLLER OF PUBLIC ACCOUNTS
OFFICE OF THE COMPTROLLER
OF PUBLIC ACCOUNTS
( REGISTER NO.
THE STATE OF TEXAS
I HEREBY CERTIFY that this Bond has been examined, certified
as to validity and approved by the Attorney General of the State of
Texas, and duly registered by the Comptroller of Public Accounts of
the State of Texas.
WITNESS my signature and seal of office this
Comptroller of Public Accounts
of the State of Texas
(SEAL)
*NOTE TO PRINTER: Do Not Print on Definitive Bonds
D. Form of Certificate of Paying Agent/Registrar to appear
on Definitive Bonds only.
REGISTRATION CERTIFICATE OF PAYING AGENT/REGISTRAR
This Bond has been duly issued and registered under the
provisions of the within-mentioned Ordinance; the bond or bonds of
the above entitled and designated series originally delivered
having been approved by the Attorney General of the State of Texas
and registered by the Comptroller of Public Accounts, as shown by
the records of the Paying Agent/Registrar.
The designated offices of the Paying Agent/Registrar in
Dallas, Texas, is the "Designated Payment/Transfer Office" for this
Bond.
TEXAS COMMERCE BANK NATIONAL ASSOCIATION,
as Paying Agent/Registrar
Registration Date:
By
Authorized Signature
0393099 -13-
E. Form of Assignment.
ASSIGNMENT
FOR VALUE RECEIVED the undersigned hereby sells, assigns, and
transfers unto (Print or typewrite name, address, and zip code of
transferee: )
(Social Security or other identifying number:
) the within Bond and all rights thereunder, and
hereby irrevocably constitutes and appoints
attorney to transfer the within Bond on the books kept for
registration thereof, with full power of substitution in the
premises.
DATED:
NOTICE: The signature on this
Signature guaranteed: assignment must correspond with
the name of the registered owner
as it appears on the face of the
within Bond in every particular.
F. The Initial Bond(s) shall be in the form set forth in
paragraph B of this Section, except that the form of the
single fully registered Initial Bond shall be modified as
follows:
(i) immediately under the name of the bond the headings
"Interest Rate " and "Stated Maturity
" shall both be omitted;
(ii) Paragraph one shall read as follows:
Registered Owner:
Principal Amount: Dollars
The City of Wylie (hereinafter referred to as the "City") , a
body corporate and municipal corporation in the County of Collin,
State of Texas, for value received, acknowledges itself indebted to
and hereby promises to pay to the order of the Registered Owner
named above, or the registered assigns thereof, the Principal
Amount hereinabove stated on February 15 in each of the years and
in principal installments in accordance with the following
schedule:
0393066 -14-
YEAR OF PRINCIPAL INTEREST
MATURITY INSTALLMENTS RATE
(Information to be inserted from
schedule in Section 2 hereof) .
(or so much principal thereof as shall not have been prepaid prior
to maturity) and to pay interest on the unpaid Principal Amount
hereof from the Issue Date at the per annum rates of interest
specified above computed on the basis of a 360-day year of twelve
30-day months; such interest being payable on February 15 and
August 15 in each year, commencing February 15, 1998. Principal
installments of this Bond are payable in the year of maturity to
the registered owner hereof by Texas Commerce Bank National
Association (the "Paying Agent/Registrar") , upon presentation and
surrender, at its designated offices in Dallas, Texas (the
"Designated Payment/Transfer Office") . Interest is payable to the
registered owner of this Bond whose name appears on the "Security
Register" maintained by the Paying Agent/Registrar at the close of
business on the "Record Date", which is the last business day of
the month next preceding each interest payment date, and interest
shall be paid by the Paying Agent/Registrar by check sent United
States Mail, first class postage prepaid, to the address of the
registered owner recorded in the Security Register or by such other
method, acceptable to the Paying Agent/Registrar, requested by, and
at the risk and expense of, the registered owner. All payments of
principal of, premium, if any, and interest on this Bond shall be
without exchange or collection charges to the owner hereof and in
any coin or currency of the United States of America which at the
time of payment is legal tender for the payment of public and
private debts.
SECTION 10: Levy of Taxes. To provide for the payment of
the "Debt Service Requirements" of the Bonds, being (i) the
interest on the Bonds and (ii) a sinking fund for their redemption
at maturity, or a sinking fund of 2% (whichever amount is the
greater) , there is hereby levied, and there shall be annually
assessed and collected in due time, form, and manner, a tax on all
taxable property in the City, within the limitations prescribed by
law, and such tax hereby levied on each one hundred dollars'
valuation of taxable property in the City for the Debt Service
Requirements of the Bonds shall be at a rate from year to year as
will be ample and sufficient to provide funds each year to pay the
principal of and interest on said Bonds while Outstanding; full
allowance being made for delinquencies and costs of collection;
separate books and records relating to the receipt and disbursement
of taxes levied, assessed and collected for and on account of the
Bonds shall be kept and maintained by the City at all times while
the Bonds are Outstanding, and the taxes collected for the payment
of the Debt Service Requirements on the Bonds shall be deposited to
0393066 -15-
the credit of a "Special 1997 Bond Account" (the "Interest and
Sinking Fund") maintained on the records of the City and deposited
in a special fund maintained at an official depository of the
City's funds; and such tax hereby levied, and to be assessed and
collected annually, is hereby pledged to the payment of the Bonds.
Proper officers of the City are hereby authorized and directed
to cause to be transferred to the Paying Agent/Registrar for the
Bonds, from funds on deposit in the Interest and Sinking Fund,
amounts sufficient to fully pay and discharge promptly each
installment of interest and principal of the Bonds as the same
accrues or matures; such transfers of funds to be made in such
manner as will cause collected funds to be deposited with the
Paying Agent/Registrar on or before each principal and interest
payment date for the Bonds.
SECTION 11: Mutilated - Destroyed - Lost and Stolen Bonds.
In case any Bond shall be mutilated, or destroyed, lost or stolen,
the Paying Agent/Registrar may execute and deliver a replacement
Bond of like form and tenor, and in the same denomination and
bearing a number not contemporaneously outstanding, in exchange and
substitution for such mutilated Bond, or in lieu of and in
substitution for such destroyed, lost or stolen Bond, only upon the
approval of the City and after (i) the filing by the Holder thereof
with the Paying Agent/ Registrar of evidence satisfactory to the
Paying Agent/ Registrar of the destruction, loss or theft of such
Bond, and of the authenticity of the ownership thereof and (ii) the
furnishing to the Paying Agent/Registrar of indemnification in an
amount satisfactory to hold the City and the Paying Agent/
Registrar harmless. All expenses and charges associated with such
indemnity and with the preparation, execution and delivery of a
replacement Bond shall be borne by the Holder of the Bond
mutilated, or destroyed, lost or stolen.
Every replacement Bond issued pursuant to this Section shall
be a valid and binding obligation, and shall be entitled to all the
benefits of this Ordinance equally and ratably with all other
Outstanding Bonds; notwithstanding the enforceability of payment by
anyone of the destroyed, lost, or stolen Bonds.
The provisions of this Section are exclusive and shall
preclude (to the extent lawful) all other rights and remedies with
respect to the replacement and payment of mutilated, destroyed,
lost or stolen Bonds.
SECTION 12: Satisfaction of Obligation of City. If the
City shall pay or cause to be paid, or there shall otherwise be
paid to the Holders, the principal of, premium, if any, and
interest on the Bonds, at the times and in the manner stipulated in
this Ordinance, then the pledge of taxes levied under this
0393066 6
Ordinance and all covenants, agreements, and other obligations of
the City to the Holders shall thereupon cease, terminate, and be
discharged and satisfied.
Bonds or any principal amount(s) thereof shall be deemed to
have been paid within the meaning and with the effect expressed
above in this Section when (i) money sufficient to pay in full such
Bonds or the principal amount(s) thereof at maturity or to the
redemption date therefor, together with all interest due thereon,
shall have been irrevocably deposited with and held in trust by the
Paying Agent/Registrar, or an authorized escrow agent, or
(ii) Government Securities shall have been irrevocably deposited in
trust with the Paying Agent/Registrar, or an authorized escrow
agent, which Government Securities have been certified by an
independent accounting firm to mature as to principal and interest
in such amounts and at such times as will insure the availability,
without reinvestment, of sufficient money, together with any moneys
deposited therewith, if any, to pay when due the principal of and
interest on such Bonds, or the principal amount(s) thereof, on and
prior to the Stated Maturity thereof or (if notice of redemption
has been duly given or waived or if irrevocable arrangements
therefor acceptable to the Paying Agent/Registrar have been made)
the redemption date thereof. The City covenants that no deposit of
moneys or Government Securities will be made under this Section and
no use made of any such deposit which would cause the Bonds to be
treated as "arbitrage bonds" within the meaning of Section 148 of
the Internal Revenue Code of 1986, as amended, or regulations
adopted pursuant thereto.
Any moneys so deposited with the Paying Agent/ Registrar, or
an authorized escrow agent, and all income from Government
Securities held in trust by the Paying Agent/Registrar, or an
authorized escrow agent, pursuant to this Section which is not
required for the payment of the Bonds, or any principal amount(s)
thereof, or interest thereon with respect to which such moneys have
been so deposited shall be remitted to the City or deposited as
directed by the City. Furthermore, any money held by the Paying
Agent/Registrar for the payment of the principal of and interest on
the Bonds and remaining unclaimed for a period of four (4) years
after the Stated Maturity, or applicable redemption date, of the
Bonds such moneys were deposited and are held in trust to pay shall
upon the request of the City be remitted to the City against a
written receipt therefor. Notwithstanding the above and foregoing,
any remittance of funds from the Paying Agent/Registrar to the City
shall be subject to any applicable unclaimed property laws of the
State of Texas.
The term "Government Securities", as used herein, means direct
obligations of, or obligations the principal of and interest on
which are unconditionally guaranteed by, the United States of
0393066 -1
America, which are non-callable prior to the respective Stated
Maturities of the Bonds and may be United States Treasury
Obligations such as the State and Local Government Series and may
be in book-entry form.
SECTION 13 : Ordinance a Contract - Amendments - Outstanding
Bonds. This Ordinance shall constitute a contract with the Holders
from time to time, be binding on the City, and shall not be amended
or repealed by the City so long as any Bond remains Outstanding
except as permitted in this Section. The City may, without the
consent of or notice to any Holders, from time to time and at any
time, amend this Ordinance in any manner not detrimental to the
interests of the Holders, including the curing of any ambiguity,
inconsistency, or formal defect or omission herein. In addition,
the City may, with the consent of Holders holding a majority in
aggregate principal amount of the Bonds then Outstanding affected
thereby, amend, add to, or rescind any of the provisions of this
Ordinance; provided that, without the consent of all Holders of
Outstanding Bonds, no such amendment, addition, or rescission shall
(1) extend the time or times of payment of the principal of,
premium, if any, and interest on the Bonds, reduce the principal
amount thereof, the redemption price, or the rate of interest
thereon, or in any other way modify the terms of payment of the
principal of, premium, if any, or interest on the Bonds, (2) give
any preference to any Bond over any other Bond, or (3) reduce the
aggregate principal amount of Bonds required to be held by Holders
for consent to any such amendment, addition, or rescission.
The term "Outstanding" when used in this Ordinance with
respect to Bonds means, as of the date of determination, all Bonds
theretofore issued and delivered under this Ordinance, except:
(1) those Bonds cancelled by the Paying
Agent/Registrar or delivered to the Paying Agent/
Registrar for cancellation;
(2) those Bonds deemed to be duly paid by the City
in accordance with the provisions of Section 12 hereof;
and
(3) those mutilated, destroyed, lost, or stolen
Bonds which have been replaced with Bonds registered and
delivered in lieu thereof as provided in Section 11
hereof.
SECTION 14: Covenants to Maintain Tax-Exempt Status.
(a) Definitions. When used in this Section, the following terms
shall have the following meanings:
0393066 -1°-
"Closing Date" means the date on which the Bonds are
first authenticated and delivered to the initial
purchasers against payment therefor.
"Code" means the Internal Revenue Code of 1986, as
amended by all legislation, if any, effective on or
before the Closing Date.
"Computation Date" has the meaning set forth in
Section 1. 148-1(b) of the Regulations.
"Gross Proceeds" means any proceeds as defined in
Section 1. 148-1(b) of the Regulations, and any
replacement proceeds as defined in Section 1. 148-1(c) of
the Regulations, of the Bonds.
"Investment" has the meaning set forth in Section
1. 148-1 (b) of the Regulations.
"Nonpurpose Investment" means any investment
property, as defined in section 148 (b) of the Code, in
which Gross Proceeds of the Bonds are invested and which
is not acquired to carry out the governmental purposes of
the Bonds.
"Rebate Amount" has the meaning set forth in Section
1. 148-1(b) of the Regulations.
"Regulations" means any proposed, temporary, or
final Income Tax Regulations issued pursuant to Sections
103 and 141 through 150 of the Code, and 103 of the
Internal Revenue Code of 1954, which are applicable to
the Bonds. Any reference to any specific Regulation
shall also mean, as appropriate, any proposed, temporary
or final Income Tax Regulation designed to supplement,
amend or replace the specific Regulation referenced.
"Yield" of (1) any Investment has the meaning set
forth in Section 1. 148-5 of the Regulations; and (2) the
Bonds has the meaning set forth in Section 1. 148-4 of the
Regulations.
(b) Not to Cause Interest to Become Taxable. The City shall
not use, permit the use of, or omit to use Gross Proceeds or any
other amounts (or any property the acquisition, construction or
improvement of which is to be financed directly or indirectly with
Gross Proceeds) in a manner which if made or omitted, respectively,
would cause the interest on any Bond to become includable in the
gross income, as defined in section 61 of the Code, of the owner
thereof for federal income tax purposes. Without limiting the
0393066 -19-
generality of the foregoing, unless and until the City receives a
written opinion of counsel nationally recognized in the field of
municipal bond law to the effect that failure to comply with such
covenant will not adversely affect the exemption from federal
income tax of the interest on any Bond, the City shall comply with
each of the specific covenants in this Section.
(c) No Private Use or Private Payments. Except as permitted
by section 141 of the Code and the Regulations and rulings
thereunder, the City shall at all times prior to the last Stated
Maturity of Bonds:
(1) exclusively own, operate and possess all
property the acquisition, construction or improvement of
which is to be financed or refinanced directly or
indirectly with Gross Proceeds of the Bonds (including
property financed with Gross Proceeds of the Refunded
Obligations) , and not use or permit the use of such Gross
Proceeds (including all contractual arrangements with
terms different than those applicable to the general
public) or any property acquired, constructed or improved
with such Gross Proceeds in any activity carried on by
any person or entity (including the United States or any
agency, department and instrumentality thereof) other
than a state or local government, unless such use is
solely as a member of the general public; and
(2) not directly or indirectly impose or accept any
charge or other payment by any person or entity who is
treated as using Gross Proceeds of the Bonds or any
property the acquisition, construction or improvement of
which is to be financed or refinanced directly or
indirectly with such Gross Proceeds (including property
financed with Gross Proceeds of the Refunded
Obligations) , other than taxes of general application
within the City or interest earned on investments
acquired with such Gross Proceeds pending application for
their intended purposes.
(d) No Private Loan. Except to the extent permitted by
section 141 of the Code and the Regulations and rulings thereunder,
the City shall not use Gross Proceeds of the Bonds to make or
finance loans to any person or entity other than a state or local
government. For purposes of the foregoing covenant, such Gross
Proceeds are considered to be "loaned" to a person or entity if:
(1) property acquired, constructed or improved with such Gross
Proceeds is sold or leased to such person or entity in a
transaction which creates a debt for federal income tax purposes;
(2) capacity in or service from such property is committed to such
person or entity under a take-or-pay, output or similar contract or
0393068 -20_
arrangement; or (3) indirect benefits, or burdens and benefits of
ownership, of such Gross Proceeds or any property acquired,
constructed or improved with such Gross Proceeds are otherwise
transferred in a transaction which is the economic equivalent of a
loan.
(e) Not to Invest at Higher Yield. Except to the extent
permitted by section 148 of the Code and the Regulations and
rulings thereunder, the City shall not at any time prior to the
final Stated Maturity of the Bonds directly or indirectly invest
Gross Proceeds in any Investment (or use Gross Proceeds to replace
money so invested) , if as a result of such investment the Yield
from the Closing Date of all Investments acquired with Gross
Proceeds (or with money replaced thereby) , whether then held or
previously disposed of, exceeds the Yield of the Bonds.
(f) Not Federally Guaranteed. Except to the extent permitted
by section 149 (b) of the Code and the Regulations and rulings
thereunder, the City shall not take or omit to take any action
which would cause the Bonds to be federally guaranteed within the
meaning of section 149 (b) of the Code and the Regulations and
rulings thereunder.
(g) Information Report. The City shall timely file the
information required by section 149 (e) of the Code with the
Secretary of the Treasury on Form 8038-G or such other form and in
such place as the Secretary may prescribe.
(h) Rebate. The City warrants and represents that it
satisfies the requirements of paragraph (2) and (3) of section
148 (f) of the Code with respect to the Bonds without making the
payments for the United States described in such section.
Specifically, the City warrants and represents that
(1) the City is a governmental unit with general
taxing powers;
(2) at least 95% of the Gross Proceeds of the
Bonds will be used for the local governmental activities
of the City;
(3) the aggregate face amount of all tax-exempt
obligations issued or expected to be issued by the City
(and all subordinate entities thereof) in the calendar
year in which the Bonds are issued is not reasonably
expected to exceed $5,000,000.
PROVIDED, HOWEVER, should additional tax exempt obligations
be issued or incurred, including lease purchase financings, in the
1997 calendar year which would cause the total face amount of tax
0393066 -21-
exempt obligations issued and incurred in such calendar year to
exceed $5, 000, 000, the City agrees and covenants that it will
maintain complete records regarding the investments of the
proceeds of sale of the Bonds and rebate any "arbitrage profits"
to the United States as required by Section 148 (f) of the Code.
(i) Elections. The City hereby directs and authorizes the
City Manager and Director of Finance, either individually or
jointly, to make elections permitted or required pursuant to the
provisions of the Code or the Regulations, as they deem necessary
or appropriate in connection with the Bonds, in the Certificate as
to Tax Exemption or similar or other appropriate certificate, form
or document.
SECTION 15: Sale of the Bonds. Pursuant to a public sale
for the Bonds, the bid submitted by
(herein referred to as the
"Purchasers") is declared to be the best bid received producing
the true interest cost to the City, and the sale of the Bonds to
said Purchasers at the price of par and accrued interest to the
date of delivery, plus a premium of $ , is hereby
approved and confirmed. Delivery of the Bonds to the Purchasers
shall occur as soon as possible upon payment being made therefor
in accordance with the terms of sale.
SECTION 16: Qualified Tax Exempt Obligations. In
accordance with the provisions of paragraph (3) of subsection (b)
of Section 265 of the Code, the City hereby designates the Bonds
to be "qualified tax exempt obligations" in that the Bonds are not
"private activity bonds" as defined in the Code and the reasonably
anticipated amount of "qualified tax exempt obligations" to be
issued by the City (including all subordinate entities of the
City) for the calendar year 1997 will not exceed $10, 000, 000.
SECTION 17 : Control and Custody of Bonds. The Mayor of the
City shall be and is hereby authorized to take and have charge of
all necessary orders and records pending investigation by the
Attorney General of the State of Texas, including the printing and
supply of definitive Bonds, and shall take and have charge and
control of the Initial Bond(s) pending the approval thereof by the
Attorney General, the registration thereof by the Comptroller of
Public Accounts and the delivery thereof to the Purchasers.
Furthermore, the Mayor, Mayor Pro Tem, City Secretary, City
Manager, and Director of Finance, any one or more of said
officials, are hereby authorized and directed to furnish and
execute such agreements, documents and certifications relating to
the City and the issuance, sale and delivery of the Bonds,
including certifications as to facts, estimates, circumstances and
reasonable expectations pertaining to the use, expenditure and
0393066 -22-
investment of the proceeds of the Bonds, as may be necessary for
the approval of the Attorney General, the registration by the
Comptroller of Public Accounts and the delivery of the Bonds to
the Purchasers, and, together with the City's bond counsel and the
Paying Agent/Registrar, make the necessary arrangements for the
delivery of the Initial Bond(s) to the Purchasers and the initial
exchange thereof for definitive Bonds.
SECTION 18: Official Statement. The Official Statement
prepared in the initial offering and sale of the Bonds by the
City, together with all addendas, supplements, and amendments
thereto issued on behalf of the City, is hereby approved as to
form and content, and the City Council hereby finds that the
information and data contained in said Official Statement
pertaining to the City and its financial affairs is true and
correct in all material respects and no material facts have been
omitted therefrom which are necessary to make the statements
therein, in light of the circumstances under which they were made,
not misleading. The use of such Official Statement in the
reoffering of the Bonds by the Purchasers is hereby approved and
authorized.
SECTION 19: Proceeds of Sale. The proceeds of sale of the
Bonds, excluding the accrued interest and premium, if any,
received from the Purchasers, shall be deposited in a construction
fund maintained at the City's depository bank. Pending
expenditure for authorized projects and purposes, such proceeds of
sale may be invested in authorized investments and any investment
earnings realized shall be expended for such authorized projects
and purposes or deposited in the Interest and Sinking Fund as
shall be determined by the City Council. Accrued interest and
premium, if any, received from the Purchasers as well as all
surplus proceeds of sale of the Bonds, including investment
earnings, remaining after completion of all authorized projects or
purposes shall be deposited to the credit of the Interest and
Sinking Fund.
SECTION 20: Notices to Holders - Waiver. Wherever this
Ordinance provides for notice to Holders of any event, such notice
shall be sufficiently given (unless otherwise herein expressly
provided) if in writing and sent by United States Mail, first
class postage prepaid, to the address of each Holder appearing in
the Security Register at the close of business on the business day
next preceding the mailing of such notice.
In any case where notice to Holders is given by mail, neither
the failure to mail such notice to any particular Holders, nor any
defect in any notice so mailed, shall affect the sufficiency of
such notice with respect to all other Bonds. Where this Ordinance
provides for notice in any manner, such notice may be waived in
0393066 -23-
writing by the Holder entitled to receive such notice, either
before or after the event with respect to which such notice is
given, and such waiver shall be the equivalent of such notice.
Waivers of notice by Holders shall be filed with the Paying
Agent/Registrar, but such filing shall not be a condition
precedent to the validity of any action taken in reliance upon
such waiver.
SECTION 21: Cancellation. All Bonds surrendered for
payment, redemption, transfer, exchange, or replacement, if
surrendered to the Paying Agent/Registrar, shall be promptly
cancelled by it and, if surrendered to the City, shall be
delivered to the Paying Agent/Registrar and, if not already
cancelled, shall be promptly cancelled by the Paying Agent/
Registrar. The City may at any time deliver to the Paying
Agent/Registrar for cancellation any Bonds previously certified or
registered and delivered which the City may have acquired in any
manner whatsoever, and all Bonds so delivered shall be promptly
cancelled by the Paying Agent/Registrar. All cancelled Bonds held
by the Paying Agent/Registrar shall be returned to the City.
SECTION 22 : Legal Opinion. The obligation of the
Purchasers to accept delivery of the Bonds is subject to being
furnished a final opinion of Fulbright & Jaworski L.L.P. ,
Attorneys, Dallas, Texas, approving such Bonds as to their
validity, said opinion to be dated and delivered as of the date of
delivery and payment for such Bonds. A true and correct
reproduction of said opinion or an executed counterpart thereof is
hereby authorized to be either printed on definitive printed
obligations or deposited with DTC along with the global
certificates for the implementation and use of the Book Entry Only
System used in the settlement and transfer of the Bonds.
SECTION 23 : CUSIP Numbers. CUSIP numbers may be printed
or typed on the Bonds deposited with The Depository Trust Company
or on printed definitive Bonds. It is expressly provided,
however, that the presence or absence of CUSIP numbers on the
definitive Bonds shall be of no significance or effect as regards
the legality thereof and neither the City nor attorneys approving
the Bonds as to legality are to be held responsible for CUSIP
numbers incorrectly printed or typed on the definitive Bonds.
SECTION 24 : Benefits of Ordinance. Nothing in this
Ordinance, expressed or implied, is intended or shall be construed
to confer upon any person other than the City, the Paying
Agent/Registrar and the Holders, any right, remedy, or claim,
legal or equitable, under or by reason of this Ordinance or any
provision hereof, this Ordinance and all its provisions being
intended to be and being for the sole and exclusive benefit of the
City, the Paying Agent/Registrar and the Holders.
•
0393066 -24-
SECTION 25: Inconsistent Provisions. All ordinances,
orders or resolutions, or parts thereof, which are in conflict or
inconsistent with any provision of this Ordinance are hereby
repealed to the extent of such conflict, and the provisions of
this Ordinance shall be and remain controlling as to the matters
contained herein.
SECTION 26: Governing Law. This Ordinance shall be
construed and enforced in accordance with the laws of the State of
Texas and the United States of America.
SECTION 27 : Effect of Headings. The Section headings
herein are for convenience only and shall not affect the
construction hereof.
SECTION 28: Construction of Terms. If appropriate in the
context of this Ordinance, words of the singular number shall be
considered to include the plural, words of the plural number shall
be considered to include the singular, and words of the masculine,
feminine or neuter gender shall be considered to include the other
genders.
SECTION 29: Severability. If any provision of this
Ordinance or the application thereof to any circumstance shall be
held to be invalid, the remainder of this Ordinance and the
application thereof to other circumstances shall nevertheless be
valid, and the City Council hereby declares that this Ordinance
would have been enacted without such invalid provision.
SECTION 30: Continuing Disclosure Undertaking. (a)
Definitions. As used in this Section, the following terms have
the meanings ascribed to such terms below:
"MSRB" means the Municipal Securities Rulemaking Board.
"NRMSIR" means each person whom the SEC or its staff has
determined to be a nationally recognized municipal securities
information repository within the meaning of the Rule from time to
time.
"Rule" means SEC Rule 15c2-12, as amended from time to time.
"SEC" means the United States Securities and Exchange
Commission.
"SID" means any person designated by the State of Texas or an
authorized department, officer, or agency thereof as, and
determined by the SEC or its staff to be, a state information
depository within the meaning of the Rule from time to time.
0393068 -25-
(b) Annual Reports. The City shall provide annually to each
NRMSIR and any SID, within six months after the end of each fiscal
year (beginning with the fiscal year ending September 30, 1996)
financial information and operating data with respect to the City
of the general type included in the final Official Statement
approved by Section 18 of this Ordinance, being the information
described in Exhibit B hereto. Financial statements to be
provided shall be (1) prepared in accordance with the accounting
principles described in Exhibit B hereto and (2) audited, if the
City commissions an audit of such statements and the audit is
completed within the period during which they must be provided.
If audited financial statements are not available at the time the
financial information and operating data must be provided, then
the City shall provide unaudited financial statements for the
applicable fiscal year to each NRMSIR and any SID with the
financial information and operating data and will file the annual
audit report when and if the same becomes available.
If the City changes its fiscal year, it will notify each
NRMSIR and any SID of the change (and of the date of the new
fiscal year end) prior to the next date by which the City
otherwise would be required to provide financial information and
operating data pursuant to this Section.
The financial information and operating data to be provided
pursuant to this Section may be set forth in full in one or more
documents or may be included by specific reference to any document
(including an official statement or other offering document, if it
is available from the MSRB) that theretofore has been provided to
each NRMSIR and any SID or filed with the SEC.
(c) Material Event Notices. The City shall notify any SID
and either each NRMSIR or the MSRB, in a timely manner, of any of
the following events with respect to the Bonds, if such event is
material within the meaning of the federal securities laws:
1. Principal and interest payment delinquencies;
2 . Non-payment related defaults;
3 . Unscheduled draws on debt service reserves
reflecting financial difficulties;
4 . Unscheduled draws on credit enhancements reflecting
financial difficulties;
5. Substitution of credit or liquidity providers, or
their failure to perform;
6. Adverse tax opinions or events affecting the tax-
exempt status of the Bonds;
7. Modifications to rights of holders of the Bonds;
8. Bond calls;
9. Defeasances;
0393088 -26-
10. Release, substitution, or sale of property securing
repayment of the Bonds; and
11. Rating changes.
The City shall notify any SID and either each NRMSIR or the
MSRB, in a timely manner, of any failure by the City to provide
financial information or operating data in accordance with
subsection (b) of this Section by the time required by such
Section.
(d) Limitations, Disclaimers, and Amendments. The City
shall be obligated to observe and perform the covenants specified
in this Section while, but only while, the City remains an
"obligated person" with respect to the Bonds within the meaning of
the Rule, except that the City in any event will give the notice
required by subsection (c) hereof of any Bond calls and defeasance
that cause the City to be no longer such an "obligated person. "
The provisions of this Section are for the sole benefit of
the Holders and beneficial owners of the Bonds, and nothing in
this Section, express or implied, shall give any benefit or any
legal or equitable right, remedy, or claim hereunder to any other
person. The City undertakes to provide only the financial
information, operating data, financial statements, and notices
which it has expressly agreed to provide pursuant to this Section
and does not hereby undertake to provide any other information
that may be relevant or material to a complete presentation of the
City's financial results, condition, or prospects or hereby
undertake to update any information provided in accordance with
this Section or otherwise, except as expressly provided herein.
The City does not make any representation or warranty concerning
such information or its usefulness to a decision to invest in or
sell Bonds at any future date.
UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER
OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON, IN CONTRACT
OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH
BY THE CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF
ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY
OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY
SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC
PERFORMANCE.
No default by the City in observing or performing its
obligations under this Section shall constitute a breach of or
default under this Ordinance for purposes of any other provision
of this Ordinance.
0393066 -27-
Nothing in this Section is intended or shall act to disclaim,
waive, or otherwise limit the duties of the City under federal and
state securities laws.
The provisions of this Section may be amended by the City
from time to time to adapt to changed circumstances resulting from
a change in legal requirements, a change in law, or a change in
the identity, nature, status, or type of operations of the City,
but only if (1) the provisions of this Section, as so amended,
would have permitted an underwriter to purchase or sell Bonds in
the primary offering of the Bonds in compliance with the Rule,
taking into account any amendments or interpretations of the Rule
to the date of such amendment, as well as such changed
circumstances, and (2) either (a) the Holders of a majority in
aggregate principal amount (or any greater amount required by any
other provision of this Ordinance that authorizes such an
amendment) of the Outstanding Bonds consent to such amendment or
(b) a Person that is unaffiliated with the City (such as
nationally recognized bond counsel) determines that such amendment
will not materially impair the interests of the Holders and
beneficial owners of the Bonds. The provisions of this Section
may also be amended from time to time or repealed by the City if
the SEC amends or repeals the applicable provisions of the Rule or
a court of final jurisdiction determines that such provisions are
invalid, but only if and to the extent that reservation of the
City's right to do so would not prevent underwriters of the
initial public offering of the Bonds from lawfully purchasing or
selling Bonds in such offering. If the City so amends the
provisions of this Section, it shall include with any amended
financial information or operating data filed with each NRMSIR and
SID pursuant to subsection (b) of this Section an explanation, in
narrative form, of the reasons for the amendment and of the impact
of any change in the type of financial information or operating
data so provided.
SECTION 31: Public Meeting. It is officially found,
determined, and declared that the meeting at which this Ordinance
is adopted was open to the public and public notice of the time,
place, and subject matter of the public business to be considered
at such meeting, including this Ordinance, was given, all as
required by V.T.C.A. , Local Government Code, Chapter 551, as
amended.
0393066 -28-
SECTION 32 : Effective Date. This Ordinance shall take
effect and be in force immediately from and after its passage, and
it is so ordained.
PASSED AND ADOPTED, this January 14, 1997.
CITY OF WYLIE, TEXAS
Mayor
ATTEST:
City Secretary
(City Seal)
0393066 -29-
EXHIBIT A
PAYING AGENT/REGISTRAR AGREEMENT
•
THIS AGREEMENT entered into as of January 14, 1996 (this
"Agreement") , by and between the City of Wylie, Texas (the
"Issuer") , and Texas Commerce Bank National Association, a banking
association duly organized and existing under the laws of the
United States of America, (the "Bank") .
RECITALS
WHEREAS, the Issuer has duly authorized and provided for the
execution and delivery of its "City of Wylie, Texas, General
Obligation Bonds, Series 1997" (the "Securities") , dated
January 1, 1997, and such Securities are to be delivered to the
initial purchasers on or about February 18, 1997; and
WHEREAS, the Issuer has selected the Bank to serve as Paying
Agent/Registrar in connection with the payment of the principal
of, premium, if any, and interest on said Securities and with
respect to the registration, transfer and exchange thereof by the
registered owners thereof; and
WHEREAS, the Bank has agreed to serve in such capacities for
and on behalf of the Issuer and has full power and authority to
perform and serve as Paying Agent/Registrar for the Securities;
NOW, THEREFORE, it is mutually agreed as follows:
ARTICLE ONE
APPOINTMENT OF BANK AS
PAYING AGENT AND REGISTRAR
Section 1. 01. Appointment. The Issuer hereby appoints the
Bank to serve as Paying Agent with respect to the Securities, and,
as Paying Agent for the Securities, the Bank shall be responsible
for paying on behalf of the Issuer the principal, premium (if
any) , and interest on the Securities as the same become due and
payable to the registered owners thereof; all in accordance with
this Agreement and the "Bond Resolution" (hereinafter defined) .
The Issuer hereby appoints the Bank as Registrar with respect to
the Securities and, as Registrar for the Securities, the Bank
shall keep and maintain for and on behalf of the Issuer books and
records as to the ownership of said Securities and with respect to
the transfer and exchange thereof as provided herein and in the
"Bond Resolution" .
0393043
The Bank hereby accepts its appointment, and agrees to serve
as the Paying Agent and Registrar for the Securities.
Section 1. 02 . Compensation. As compensation for the Bank's
services as Paying Agent/Registrar, the Issuer hereby agrees to
pay the Bank the fees and amounts set forth in Annex A attached
hereto for the first year of this Agreement and thereafter the
fees and amounts set forth in the Bank's current fee schedule then
in effect for services as Paying Agent/Registrar for
municipalities, which shall be supplied to the Issuer on or before
90 days prior to the close of the Fiscal Year of the Issuer, and
shall be effective upon the first day of the following Fiscal
Year.
In addition, the Issuer agrees to reimburse the Bank upon its
request for all reasonable expenses, disbursements and advances
incurred or made by the Bank in accordance with any of the
provisions hereof (including the reasonable compensation and the
expenses and disbursements of its agents and counsel) . -
ARTICLE TWO
DEFINITIONS
Section 2 . 01. Definitions. For all purposes of this
Agreement, except as otherwise expressly provided or unless the
context otherwise requires:
"Acceleration Date" on any Security means the date on
and after which the principal or any or all installments of
interest, or both, are due and payable on any Security which
has become accelerated pursuant to the terms of the Security.
"Bank Office" means the principal offices of the Bank
located at the address appearing on page 11 hereof. The Bank
will notify the Issuer in writing of any change in location
of the Bank Office.
"Bond Resolution" means the resolution, order, or
ordinance of the governing body of the Issuer pursuant to
which the Securities are issued, certified by the Secretary
or any other officer of the Issuer and delivered to the Bank.
"Fiscal Year" means the fiscal year of the Issuer,
ending September 30th.
"Holder" and "Security Holder" each means the Person in
whose name a Security is registered in the Security Register.
"Issuer Request" and "Issuer Order" means a written
0393043 -2-
EXHIBIT A
request or order signed in the name of the Issuer by the
Mayor, City Manager, Director of Finance, or City Secretary,
any one or more of said officials, and delivered to the Bank.
"Legal Holiday" means a day on which the Bank is
required or authorized to be closed.
"Person" means any individual, corporation, partnership,
joint venture, association, joint stock company, trust,
unincorporated organization or government or any agency or
political subdivision of a government.
"Predecessor Securities" of any particular Security
means every previous Security evidencing all or a portion of
the same obligation as that evidenced by such particular
Security (and, for the purposes of this definition, any
mutilated, lost, destroyed, or stolen Security for which a
replacement Security has been registered and delivered in
lieu thereof pursuant to Section 4 . 06 hereof and the
Resolution) .
"Redemption Date" when used with respect to any Security
to be redeemed means the date fixed for such redemption
pursuant to the terms of the Bond Resolution.
"Responsible Officer" when used with respect to the Bank
means the Chairman or Vice-Chairman of the Board of
Directors, the Chairman or Vice-Chairman of the Executive
Committee of the Board of Directors, the President, any Vice
President, the Secretary, any Assistant Secretary, the
Treasurer, any Assistant Treasurer, the Cashier, any
Assistant Cashier, any Trust Officer or Assistant Trust
Officer, or any other officer of the Bank customarily
performing functions similar to those performed by any of the
above designated officers and also means, with respect to a
particular corporate trust matter, any other officer to whom
such matter is referred because of his knowledge of and
familiarity with the particular subject.
"Security Register" means a register maintained by the
Bank on behalf of the Issuer providing for the registration
and transfers of Securities.
"Stated Maturity" means the date specified in the Bond
Resolution the principal of a Security is scheduled to be due
and payable.
03°3043 -3-
EXHIBIT A
Section 2 . 02. Other Definitions. The terms "Bank, "
"Issuer, " and "Securities (Security) " have the meanings assigned
to them in the recital paragraphs of this Agreement.
The term "Paying Agent/Registrar" refers to the Bank in the
performance of the duties and functions of this Agreement.
ARTICLE THREE
PAYING AGENT
Section 3 . 01. Duties of Paying Agent. As Paying Agent, the
Bank shall, provided adequate collected funds have been provided
to it for such purpose by or on behalf of the Issuer, pay on
behalf of the Issuer the principal of each Security at its Stated
Maturity, Redemption Date, or Acceleration Date, to the Holder
upon surrender of the Security to the Bank Office.
As Paying Agent, the Bank shall, provided adequate collected
funds have been provided to it for such purpose by or on behalf of
the Issuer, pay on behalf of the Issuer the interest on each
Security when due, by computing the amount of interest to be paid
each Holder and making payment thereof to the Holders of the
Securities (or their Predecessor Securities) on the Record Date.
All payments of principal and/or interest on the Securities to the
registered owners shall be accomplished (1) by the issuance of
checks, payable to the registered owners, drawn on the fiduciary
account provided in Section 5.05 hereof, sent by United States
mail, first class, postage prepaid, to the address appearing on
the Security Register or (2) by such other method, acceptable to
the Bank, requested in writing by the Holder at the Holder's risk
and expense.
Section 3 . 02. Payment Dates. The Issuer hereby instructs
the Bank to pay the principal of and interest on the Securities at
the dates specified in the Bond Resolution.
ARTICLE FOUR
REGISTRAR
Section 4 .01. Security Register - Transfers and Exchanges.
The Bank agrees to keep and maintain for and on behalf of the
Issuer at the Bank Office books and records (herein sometimes
referred to as the "Security Register") for recording the names
and addresses of the Holders of the Securities, the transfer,
exchange and replacement of the Securities and the payment of the
principal of and interest on the Securities to the Holders and
containing such other information as may be reasonably required by
the Issuer and subject to such reasonable regulations as the
Issuer and Bank may prescribe. All transfers, exchanges and
0393043 -4-
EXHIBIT A
replacement of Securities shall be noted in the Security Register.
Every Security surrendered for transfer or exchange shall be
duly endorsed or be accompanied by a written instrument of
transfer, the signature on which has been guaranteed by an officer
of a federal or state bank or a member of the National Association
of Securities Dealers, in form satisfactory to the Bank, duly
executed by the Holder thereof or his agent duly authorized in
writing.
The Bank may request any supporting documentation it feels
necessary to effect a re-registration, transfer or exchange of the
Securities.
To the extent possible and under reasonable circumstances,
the Bank agrees that, in relation to an exchange or transfer of
Securities, the exchange or transfer by the Holders thereof will
be completed and new Securities delivered to the Holder or the
assignee of the Holder in not more than three (3) business days
after the receipt of the Securities to be cancelled in an exchange
or transfer and the written instrument of transfer or request for
exchange duly executed by the Holder, or his duly authorized
agent, in form and manner satisfactory to the Paying
Agent/Registrar.
Section 4 .02 . Certificates. The Issuer shall provide an
adequate inventory of printed Securities to facilitate transfers
or exchanges thereof. The Bank covenants that the inventory of
printed Securities will be kept in safekeeping pending their use
and reasonable care will be exercised by the Bank in maintaining
such Securities in safekeeping, which shall be not less than the
care maintained by the Bank for debt securities of other
governments or corporations for which it serves as registrar, or
that is maintained for its own securities.
Section 4. 03 . Form of Security Register. The Bank, as
Registrar, will maintain the Security Register relating to the
registration, payment, transfer and exchange of the Securities in
accordance with the Bank's general practices and procedures in
effect from time to time. The Bank shall not be obligated to
maintain such Security Register in any form other than those which
the Bank has currently available and currently utilizes at the
time.
The Security Register may be maintained in written form or in
any other form capable of being converted into written form within
a reasonable time.
Section 4 . 04. List of Security Holders. The Bank will
provide the Issuer at any time requested by the Issuer, upon
0393043 -5-
IBI A
payment of the required fee, a copy of the information contained
in the Security Register. The Issuer may also inspect the
information contained in the Security Register at any time the
Bank is customarily open for business, provided that reasonable
time is allowed the Bank to provide an up-to-date listing or to
convert the information into written form.
The Bank will not release or disclose the contents of the
Security Register to any person other than to, or at the written
request of, an authorized officer or employee of the Issuer,
except upon receipt of a court order or as otherwise required by
law. Upon receipt of a court order and prior to the release or
disclosure of the contents of the Security Register, the Bank will
notify the Issuer so that the Issuer may contest the court order
or such release or disclosure of the contents of the Security
Register.
Section 4 .05. Return of Cancelled Certificates. The Bank
will, at such reasonable intervals as it determines, surrender to
the Issuer, Securities in lieu of which or in exchange for which
other Securities have been issued, or which have been paid.
Section 4 .06. Mutilated, Destroyed, Lost or Stolen Securi-
ties. The Issuer hereby instructs the Bank, subject to the
provisions of Section 11 of the Bond Resolution, to deliver and
issue Securities in exchange for or in lieu of mutilated,
destroyed, lost, or stolen Securities as long as the same does not
result in an overissuance.
In case any Security shall be mutilated, or destroyed, lost
or stolen, the Bank may execute and deliver a replacement Security
of like form and tenor, and in the same denomination and bearing
a number not contemporaneously outstanding, in exchange and
substitution for such mutilated Security, or in lieu of and in
substitution for such destroyed, lost or stolen Security, only
upon the approval of the Issuer and after (i) the filing by the
Holder thereof with the Bank of evidence satisfactory to the Bank
of the destruction, loss or theft of such Security, and of the
authenticity of the ownership thereof and (ii) the furnishing to
the Bank of indemnification in an amount satisfactory to hold the
Issuer and the Bank harmless. All expenses and charges associated
with such indemnity and with the preparation, execution and
delivery of a replacement Security shall be borne by the Holder of
the Security mutilated, or destroyed, lost or stolen.
Section 4.07. Transaction Information to Issuer. The Bank
will, within a reasonable time after receipt of written request
from the Issuer, furnish the Issuer information as to the
Securities it has paid pursuant to Section 3 .01, Securities it has
delivered upon the transfer or exchange of any Securities pursuant
0393043 _6
EXHIBIT
to Section 4 . 01, and Securities it has delivered in exchange for
or in lieu of mutilated, destroyed, lost, or stolen Securities
pursuant to Section 4. 06.
ARTICLE FIVE
THE BANK
Section 5. 01. Duties of Bank. The Bank undertakes to
perform the duties set forth herein and agrees to use reasonable
care in the performance thereof.
Section 5.02 . Reliance on Documents, Etc. (a) The Bank may
conclusively rely, as to the truth of the statements and
correctness of the opinions expressed therein, on certificates or
opinions furnished to the Bank.
(b) The Bank shall not be liable for any error of judgment
made in good faith by a Responsible Officer, unless it shall be
proved that the Bank was negligent in ascertaining the pertinent
facts.
(c) No provisions of this Agreement shall require the Bank
to expend or risk its own funds or otherwise incur any financial
liability for performance of any of its duties hereunder, or in
the exercise of any of its rights or powers, if it shall have
reasonable grounds for believing that repayment of such funds or
adequate indemnity satisfactory to it against such risks or
liability is not assured to it.
(d) The Bank may rely and shall be protected in acting or
refraining from acting upon any resolution, certificate,
statement, instrument, opinion, report, notice, request,
direction, consent, order, bond, note, security, or other paper or
document believed by it to be genuine and to have been signed or
presented by the proper party or parties. Without limiting the
generality of the foregoing statement, the Bank need not examine
the ownership of any Securities, but is protected in acting upon
receipt of Securities containing an endorsement or instruction of
transfer or power of transfer which appears on its face to be
signed by the Holder or an agent of the Holder. The Bank shall
not be bound to make any investigation into the facts or matters
stated in a resolution, certificate, statement, instrument,
opinion, report, notice, request, direction, consent, order, bond,
note, security, or other paper or document supplied by Issuer.
(e) The Bank may consult with counsel, and the written
advice of such counsel or any opinion of counsel shall be full and
complete authorization and protection with respect to any action
taken, suffered, or omitted by it hereunder in good faith and in
reliance thereon.
0393043 -7-
EXHIBIT A
(f) The Bank may exercise any of the powers hereunder and
perform any duties hereunder either directly or by or through
agents or attorneys of the Bank.
Section 5. 03 . Recitals of Issuer. The recitals contained
herein with respect to the Issuer and in the Securities shall be
taken as the statements of the Issuer, and the Bank assumes no
responsibility for their correctness.
The Bank shall in no event be liable to the Issuer, any
Holder or Holders of any Security, or any other Person for any
amount due on any Security from its own funds.
Section 5.04 . May Hold Securities. The Bank, in its
individual or any other capacity, may become the owner or pledgee
of Securities and may otherwise deal with the Issuer with the same
rights it would have if it were not the Paying Agent/Registrar, or
any other agent.
Section 5. 05. Moneys Held by Bank - Fiduciary Account/
Collateralization. A fiduciary account shall at all times be kept
and maintained by the Bank for the receipt, safekeeping and
disbursement of moneys received from the Issuer hereunder for the
payment of the Securities, and money deposited to the credit of
such account until paid to the Holders of the Securities shall be
continuously collateralized by securities or obligations which
qualify and are eligible under both the laws of the State of Texas
and the laws of the United States of America to secure and be
pledged as collateral for fiduciary accounts to the extent such
money is not insured by the Federal Deposit Insurance Corporation.
Payments made from such fiduciary account shall be made by check
drawn on such fiduciary account unless the owner of such
Securities shall, at its own expense and risk, request such other
medium of payment.
The Bank shall be under no liability for interest on any
money received by it hereunder.
Subject to the applicable unclaimed property laws of the
State of Texas, any money deposited with the Bank for the payment
of the principal, premium (if any) , or interest on any Security
and remaining unclaimed for four years after final maturity of the
Security has become due and payable will be paid by the Bank to
the Issuer, and the Holder of such Security shall thereafter look
only to the Issuer for payment thereof, and all liability of the
Bank with respect to such moneys shall thereupon cease.
Section 5.06. Indemnification. To the extent permitted by
law, the Issuer agrees to indemnify the Bank for, and hold it
harmless against, any loss, liability, or expense incurred without
0393093 _Q
EXHIBIT A
negligence or bad faith on its part, arising out of or in
connection with its acceptance or administration of its duties
hereunder, including the cost and expense against any claim or
liability in connection with the exercise or performance of any of
its powers or duties under this Agreement.
Section 5. 07. Interpleader. The Issuer and the Bank agree
that the Bank may seek adjudication of any adverse claim, demand,
or controversy over its person as well as funds on deposit, in
either a Federal or State District Court located in the State and
County where either the Bank Office or the administrative offices
of the Issuer is located, and agree that service of process by
certified or registered mail, return receipt requested, to the
address referred to in Section 6. 03 of this Agreement shall
constitute adequate service. The Issuer and the Bank further
agree that the Bank has the right to file a Bill of Interpleader
in any court of competent jurisdiction to determine the rights of
any Person claiming any interest herein.
Section 5. 08. DT Services. It is hereby represented and
warranted that, in the event the Securities are otherwise
qualified and accepted for "Depository Trust Company" services or
equivalent depository trust services by other organizations, the
Bank has the capability and, to the extent within its control,
will comply with the "Operational Arrangements" , effective
December 12, 1994, which establishes requirements for securities
to be eligible for such type depository trust services, including,
but not limited to, requirements for the timeliness of payments
and funds availability, transfer turnaround time, and notification
of redemptions and calls.
ARTICLE SIX
MISCELLANEOUS PROVISIONS
Section 6.01. Amendment. This Agreement may be amended only
by an agreement in writing signed by both of the parties hereto.
Section 6. 02. Assignment. This Agreement may not be
assigned by either party without the prior written consent of the
other.
Section 6.03 . Notices. Any request, demand, authorization,
direction, notice, consent, waiver, or other document provided or
permitted hereby to be given or furnished to the Issuer or the
Bank shall be mailed or delivered to the Issuer or the Bank,
respectively, at the addresses shown on page 11.
Section 6. 04. Effect of Headings. The Article and Section
headings herein are for convenience only and shall not affect the
construction hereof.
0393043 _g_
EXHIBIT A
Section 6. 05. Successors and Assigns. All covenants and
agreements herein by the Issuer shall bind its successors and
assigns, whether so expressed or not.
Section 6. 06. Severability. In case any provision herein
shall be invalid, illegal, or unenforceable, the validity,
legality, and enforceability of the remaining provisions shall not
in any way be affected or impaired thereby.
Section 6. 07. Benefits of Agreement. Nothing herein,
express or implied, shall give to any Person, other than the
parties hereto and their successors hereunder, any benefit or any
legal or equitable right, remedy, or claim hereunder.
Section 6.08. Entire Agreement. This Agreement and the Bond
Resolution constitute the entire agreement between the parties
hereto relative to the Bank acting as Paying Agent/Registrar and
if any conflict exists between this Agreement and the Bond
Resolution, the Bond Resolution shall govern.
Section 6. 09. Counterparts. This Agreement may be executed
in any number of counterparts, each of which shall be deemed an
original and all of which shall constitute one and the same
Agreement.
Section 6. 10. Termination. This Agreement will terminate
(i) on the date of final payment of the principal of and interest
on the Securities to the Holders thereof or (ii) may be earlier
terminated by either party upon sixty (60) days written notice;
provided, however, an early termination of this Agreement by
either party shall not be effective until (a) a successor Paying
Agent/Registrar has been appointed by the Issuer and such
appointment accepted and (b) notice given to the Holders of the
Securities of the appointment of a successor Paying
Agent/Registrar. Furthermore, the Bank and Issuer mutually agree
that the effective date of an early termination of this Agreement
shall not occur at any time which would disrupt, delay or
otherwise adversely affect the payment of the Securities.
Upon an early termination of this Agreement, the Bank agrees
to promptly transfer and deliver the Security Register (or a copy
thereof) , together with other pertinent books and records relating
to the Securities, to the successor Paying Agent/Registrar
designated and appointed by the Issuer.
The provisions of Section 1.02 and of Article Five shall
survive and remain in full force and effect following the
termination of this Agreement.
0393043 EXHIBIT
Section 6. 11. Governing Law. This Agreement shall be
construed in accordance with and governed by the laws of the State
of Texas.
IN WITNESS WHEREOF, the parties hereto have executed
this Agreement as of the day and year first above written.
TEXAS COMMERCE BANK NATIONAL
ASSOCIATION
BY
Title:
[SEAL]
Attest:
Mailing Address:
Title: Corporate Trust Department
P. O. Box 660197
Dallas, Texas 75266-0197
Delivery Address:
Corporate Trust Department
2200 Ross Avenue, 5th Floor
Dallas, Texas 75201
CITY OF WYLIE, TEXAS
BY
Mayor
(CITY SEAL)
Address: 2000 Highway 78 North
Attest: Wylie, Texas 75098
City Secretary
0393093
EXHIBIT A
Exhibit B
to
Ordinance
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 30 of
this Ordinance.
Annual Financial Statements and Operating Data
The financial information and operating data with respect to
the City to be provided annually in accordance with such Section
are as specified (and included in the Appendix or under the
headings of the Official Statement referred to) below:
1. The financial statements of the City appended to
the Official Statement as Appendix B, but for the most
recently concluded fiscal year.
2. The information under Tables 1 through 15.
Accounting Principles
The accounting principles referred to in such Section are the
generally accepted accounting principles as applicable to
governmental units as prescribed by The Government Accounting
Standards Board.
0393068