City Council

Cabot City Council Meeting Ward 1 Eddie Long Corey Spangler Mayor Ken Kincade Ward 2 Stephen Redd Clerk~Treasurer Brandon Hillenburg Tammy Yocom City Attorney Ward 3 Ben Hooper Maggie Cope James Reid Ward 4 Matt Webber Ron Waymack February 6, 2023 6:30 p.m. Veterans Park Event Center "There Is No Limit To The Amount Of Good You Can Do If You Don't Care Who Gets The Credit." ~Ronald Reagan~ This Page left Blank  CABOT CITY COUNCIL February 6, 2023 @ 6:30 p.m. Veterans’ Park Event Center 508 North Lincoln Street, Cabot Arkansas 72023 Mayor Ken Kincade AGENDA 1. Call To Order – Mayor Kincade 2. Opening Prayer – Stephen Redd 3. Pledge Of Allegiance – James Reid 4. Roll Call 5. Read Ordinances And Resolutions By Title Only 6. City Council Old Business 7. City Council New Business a) Ordinance No. 3 Of 2023 – An Ordinance To Amend Section 28-141 Of The Code Of Cabot; To Repeal Any Conflicting Legislation; And For Other Purposes b) Ordinance No. 4 Of 2023 – An Ordinance Authorizing The Issuance Of Franchise Revenue Bonds, Series 2023; Authorizing A Second Supplemental Trust Indenture Securing The Bonds; Authorizing The Sale Of The Bonds And Execution Of A Bond Purchase Agreement; Prescribing Other Matters Pertaining Thereto; And Declaring An Emergency c) Resolution No. 8 Of 2023 – A Resolution Authorizing The Mayor And City Clerk – Treasurer To Enter Into An Agreement With Bond Consulting Engineers To Provide Engineering And Related Services For An Infrastructure Improvement Project; To Amend The General Fund Of The 2023 Annual Operating Budget; And For Other Purposes d) Resolution No. 9 Of 2023 – A Resolution Authorizing The Mayor And City Clerk – Treasurer To Submit An Application To Participate In The BRIC Grant Program; And For Other Purposes e) Resolution No. 10 Of 2023 – A Resolution Approving The Destruction Of Certain Outdated Documents Of The Cabot Police Department; And For Other Purposes f) Resolution No. 11 Of 2023 – A Resolution Authorizing The Mayor And City Clerk – Treasurer To Enter Into An Agreement With The Cabot Water And Wastewater Commission For The Acquisition Of Certain Real Property; And For Other Purposes 8. Community Input 9. Adjournment This Page left Blank  Ordinance No. 3 of 2023 An Ordinance To Amend Section 28-141 Of The Code Of Cabot; To Repeal Any Conflicting Legislation; And For Other Purposes "There Is No Limit To The Amount Of Good You Can Do, If You Don't Care Who Gets The Credit" ~Ronald Reagan 1 2 3 4 5 This Page left Blank 6  Ordinance No. 4 of 2023 An Ordinance Authorizing The Issuance Of Franchise Revenue Bonds, Series 2023; Authorizing A Second Supplemental Trust Indenture Securing The Bonds; Authorizing The Sale Of The Bonds And Execution Of A Bond Purchase Agreement; Prescribing Other Matters Pertaining Thereto; And Declaring An Emergency "There Is No Limit To The Amount Of Good You Can Do, If You Don't Care Who Gets The Credit" ~Ronald Reagan 7  ORDINANCE NO. 4 of 2023 AN ORDINANCE AUTHORIZING THE ISSUANCE OF FRANCHISE FEE REVENUE BONDS, SERIES 2023; AUTHORIZING A SECOND SUPPLEMENTAL TRUST INDENTURE SECURING THE BONDS; AUTHORIZING THE SALE OF THE BONDS AND THE EXECUTION OF A BOND PURCHASE AGREEMENT; PRESCRIBING OTHER MATTERS PERTAINING THERETO; AND DECLARING AN EMERGENCY. WHEREAS, the City Council (the "Council") of the City of Cabot, Arkansas (the "City") has determined that the City is in need of capital improvements including particularly, without limitation, the renovation of and improvements to a portion of a City-owned building located at 805 Main Street in the City to be used for courts and police facilities (the "Improvements"); and WHEREAS, the City can accomplish the Improvements by issuing its Franchise Fee Revenue Bonds, Series 2023, in the aggregate principal amount of $___________ (the "Series 2023 Bonds"); and WHEREAS, the Series 2023 Bonds will be secured by and payable from all revenues received by the City from the franchise fees charged to public utilities for the privilege of using the public rights-of-way in the City (the "Pledged Revenues"), pursuant to the authority contained in Title 14, Chapter 200, Subchapters 101 through 112 and Title 23, Chapter 19, Subchapters 201 through 210 of the Arkansas Code of 1987 Annotated or successor statutes; and WHEREAS, the City has previously issued (i) its Franchise Fee Revenue Bonds, Series 2018 (the "Series 2018 Bonds") in the original aggregate principal amount of $2,655,000, pursuant to a Trust Indenture dated as of April 3, 2018 (the "2018 Indenture") and (ii) its Franchise Fee Revenue Bonds, Taxable Series 2021 (the "Series 2021 Bonds") in the original aggregate principal amount of $3,335,000, pursuant to the 2018 Indenture, as amended and supplemented by a First Supplemental Trust Indenture dated as of October 28, 2021 (collectively with the 2018 Indenture, the "Original Indenture"); and WHEREAS, the pledge of Pledged Revenues in favor of the Series 2023 Bonds will be on a parity with the pledge of Pledged Revenues in favor of the Series 2018 Bonds and the Series 2021 Bonds; and WHEREAS, arrangements have been made for the sale of the Series 2023 Bonds to Stephens Inc. (the "Purchaser"), at a price of $___________ (principal amount plus $_________ of net original issue premium less $___________ of underwriter's discount) (the "Purchase Price"), pursuant to a Bond Purchase Agreement between the Purchaser and the City (the "Purchase Agreement"); and WHEREAS, the Preliminary Official Statement offering the Series 2023 Bonds for sale (the "Preliminary Official Statement") has been presented to and is before this meeting; and 8  WHEREAS, the Series 2023 Bonds will be issued as Additional Bonds under the Original Indenture pursuant to a Second Supplemental Trust Indenture, which has been presented to and is before this meeting; and WHEREAS, payment of the scheduled principal of and interest on the Bonds when due will be guaranteed by _______________________________ (the "Insurer") pursuant to a municipal bond insurance policy issued by the Insurer (the "Insurance Policy"); NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Cabot, Arkansas as follows: Section 1. The issuance of the Series 2023 Bonds in the aggregate principal amount of $______________ is hereby authorized for the purpose of financing all or a portion of the costs of the Improvements, funding a debt service reserve, paying costs of issuing the Series 2023 Bonds and paying the premium for the Insurance Policy. The Series 2023 Bonds shall bear interest at the rates and shall mature on August 1 in the amounts and in the years as follows: Year Principal Interest (August 1) Amount Rate Section 2. The offer of the Purchaser for the purchase of the Series 2023 Bonds from the City at the Purchase Price is hereby accepted and the Purchase Agreement, in substantially the form submitted at this meeting, is approved and the Series 2023 Bonds are hereby sold to the Purchaser. The Mayor is hereby authorized and directed to execute and deliver the Purchase Agreement on behalf of the City and to take all action required on the part of the City to fulfill its obligations under the Purchase Agreement. Section 3. To prescribe the terms and conditions upon which the Series 2023 Bonds are to be executed, authenticated, delivered, issued, accepted, held and secured, the Mayor and City Clerk are hereby authorized and directed to execute and acknowledge a Second Supplemental Trust Indenture (the "Supplemental Indenture" and together with the Original Indenture, the "Indenture"), by and between the City and First Security Bank, Searcy, Arkansas (the "Trustee"). 9 The Supplemental Indenture is hereby approved in substantially the form submitted to this meeting, and the Mayor and City Clerk are hereby authorized to execute and deliver the Supplemental Indenture with such modifications as shall be approved by the Mayor and City Clerk, their execution to constitute conclusive evidence of such approval. Section 4. The preparation and distribution, to various prospective and actual purchasers of the Series 2023 Bonds, of the Preliminary Official Statement and final Official Statement describing the City, the Series 2023 Bonds, the Indenture and other information, is hereby authorized, and the Preliminary Official Statement is approved in the form submitted to this meeting. The previous use of the Preliminary Official Statement by the Purchaser in connection with the sale of the Series 2023 Bonds is hereby ratified, approved and confirmed. The execution of the Preliminary Official Statement and final Official Statement by the Mayor, for and on behalf of the City, is hereby authorized. The action of the Mayor to "deem final" the Preliminary Official Statement in accordance with Securities and Exchange Commission Rule 15c2-12(b)(5) is hereby authorized. Section 5. The Continuing Disclosure Agreement (the "Disclosure Agreement") between the City and the Trustee providing for the disclosure obligations of the City with respect to the Series 2023 Bonds, in substantially the form submitted to this meeting, is approved and the Mayor is hereby authorized and directed, for and on behalf of the City, to execute and deliver the Disclosure Agreement. Section 6. The Mayor and the City Clerk are authorized and directed, for and on behalf of the City, to execute and deliver such undertakings as may be appropriate to the securing of the Insurance Policy. Section 7. The Mayor and City Clerk, for and on behalf of the City, are hereby authorized and directed to do any and all things necessary to effect the execution and delivery of, and the performance of all obligations of the City under, the Indenture; the execution and delivery of the Purchase Agreement; the execution and delivery of, and the performance of all obligations of the City under, the Disclosure Agreement; the execution, delivery and distribution of the final Official Statement; and the performance of all acts of whatever nature necessary to effect and carry out the authority conferred by this Ordinance. The Mayor and City Clerk are hereby further authorized and directed, for and on behalf of the City, to execute all papers, documents, certificates and other instruments that may be required for the carrying out of such authority as to evidence the exercise thereof. Section 8. The Series 2023 Bonds are hereby designated as "qualified tax-exempt obligations" within the meaning of the Internal Revenue Code of 1986, as amended (the "Code"). The City hereby finds and determines that the aggregate principal amount of its qualified tax- exempt obligations (excluding "private activity bonds" within the meaning of Section 141 of the Code that are not "qualified 501(c)(3) bonds" within the meaning of Section 145 of the Code), including those of its subordinate entities, issued in calendar year 2023 will not exceed $10,000,000. 10  Section 9. Following adoption, this Ordinance shall be posted in the following public places in the City: City Hall, the City Public Works Building, the Cabot School District Central Office, the Cabot Veterans Park Event Center and the Cabot District Court, being five of the most public places in the City. Section 10. The City Clerk shall maintain, in the permanent records of the City, for inspection by any interested person, a copy of the Indenture, the Preliminary Official Statement, final Official Statement, Disclosure Agreement and the Purchase Agreement. Section 11. The provisions of this Ordinance are hereby declared to be severable and if any provision shall for any reason be held illegal or invalid, such holding shall not affect the validity of the remainder of the Ordinance. Section 12. All ordinances and resolutions or parts thereof in conflict herewith are hereby repealed to the extent of such conflict. Section 13. It is hereby ascertained and declared that the Improvements are immediately needed for the preservation of the public peace, health and safety and to remove existing hazards thereto. The Improvements cannot be accomplished without the issuance of the Series 2023 Bonds, which cannot be sold as specified herein unless this Ordinance is immediately effective. Therefore, it is declared that an emergency exists and this Ordinance being necessary for the preservation of the public peace, health and safety shall be in force and take effect immediately upon and after its passage. 11 SPONSOR: PASSED: Ken Kincade, Mayor EMERGENCY CLAUSE: DATE: APPROVED: _____________________________ Ken Kincade, Mayor APPROVED AS TO FORM: ATTEST: ________________________________ _______________________________ Ben Hooper, City Attorney Tammy Yocom, City Clerk~Treasurer 12  CERTIFICATE The undersigned, City Clerk of the City of Cabot, Arkansas (the "City"), hereby certifies that the foregoing pages are a true and correct copy of Ordinance No. _____, adopted at a regular session of the City Council of the City, held at the regular meeting place of the City Council at 6:30 p.m., on the 6th day of February, 2023, and that said Ordinance is of record in Ordinance Record Book No. ______ of the City, now in my possession. GIVEN under my hand and seal this ___ day of ______________, 2023. ____________________________________ City Clerk (SEAL) 13 This Page left Blank 14  Resolution No. 8 Of 2023 A Resolution Authorizing The Mayor And City Clerk – Treasurer To Enter Into An Agreement With Bond Consulting Engineers To Provide Engineering And Related Services For An Infrastructure Improvement Project; To Amend The General Fund Of The 2023 Annual Operating Budget; And For Other Purposes "There Is No Limit To The Amount Of Good You Can Do, If You Don't Care Who Gets The Credit" ~Ronald Reagan 15 16 17 18 19 20 21 22 23 24  Resolution No. 9 Of 2023 A Resolution Authorizing The Mayor And City Clerk – Treasurer To Submit An Application To Participate In The BRIC Grant Program; And For Other Purposes "There Is No Limit To The Amount Of Good You Can Do, If You Don't Care Who Gets The Credit" ~Ronald Reagan 25 26 27 28 29 This Page left Blank 30  Resolution No. 10 Of 2023 A Resolution Approving The Destruction Of Certain Outdated Documents Of The Cabot Police Department; And For Other Purposes "There Is No Limit To The Amount Of Good You Can Do, If You Don't Care Who Gets The Credit" ~Ronald Reagan 31 32 33 This Page left Blank 34  Resolution No. 11 Of 2023 A Resolution Authorizing The Mayor And City Clerk – Treasurer To Enter Into An Agreement With The Cabot Water And Wastewater Commission For The Acquisition Of Certain Real Property; And For Other Purposes "There Is No Limit To The Amount Of Good You Can Do, If You Don't Care Who Gets The Credit" ~Ronald Reagan 35 36 37 38 39 40