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AN ORDINANCE AUTHORIZING FINANCING FOR CAPITAL IMPROVEMENTS UNDER AMENDMENT 78 WITH INTEGRITY FIRST BANK
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WHEREAS, the City of Jonesboro has need to proceed with capital improvements, and
WHEREAS, Amendment 78 to the Arkansas Constitution authorizes short term financing obligations, and
WHEREAS, Integrity First Bank has offered the most competitive interest rate for said short term obligation.
NOW, THEREFORE, BE IT RESOLVED by the City Council for the City of Jonesboro:
1. That the City of Jonesboro shall borrow up to Ten Million Five Hundred Thousand ($10,500,000) Dollars from First Integrity Bank.
2. That the terms of said loan shall be at the rate of 2.37% per annum interest. Interest is to be changed only on the funds drawn on the approved loan amount. The loan is to be repaid over a five (5) year period of time.
3. That the purpose of said obligation is to finance construction of capital improvements specifically including a fire station, public works facilities and expansion or relocation of City Hall.
4. That the City Council specifically states, that obligation is being issued pursuant to Amendment 78 of the Arkansas Constitution and the provisions of ACA §14-78-101 et seq.
5. That Mayor Harold Perrin and City Clerk Donna Jackson are hereby authorized to execute such documents as are necessary to effectuate the obligation as authorized herein.
6. That there being an immediate need to complete the desired capital improvements, an emergency is declared to exist and this ordinance shall take effect immediately upon its passage and approval.
PASSED AND APPROVED this 15th day of March, 2011.