7012 IRB Community InnCONSOLIDATED-SALINA
1
d
/-7) l R ^7
ORDINANCE NO.
-_ 7
AN ORDINANCE AUTHORIZING THE CITY OF SALINA, KANSAS,
TO PURCHASE AND ACQUIRE A BUILDING, IMPROVEMENTS,
FIXTURES AND EQUIPMENT TO BE USED FOR COMMERCIAL
FACILITIES; AUTHORIZING AND DIRECTING THE ISSUANCE
OF $900,000 PRINCIPAL AMOUNT OF SALINA, KANSAS, COM-
MUNITY INN AND CONVENTION CENTER REVENUE BONDS OF
1967, SERIES A, OF SAID CITY FOR THE PURPOSE OF PUR-
CHASING AND ACQUIRING A BUILDING, IMPROVEMENTS,
FIXTURES AND EQUIPMENT TO BE USED FOR COMMERCIAL
FACILITIES.
WHEREAS, the City of Salina, Kansas, a city of the first
class, hereinafter sometimes referred to as the "City", desires
to promote, stimulate and develop the general economic welfare
and prosperity of the City of Salina, Kansas, and its environs
and thereby to further promote, stimulate and develop the general
economic welfare and prosperity of the State of Kansas.
WHEREAS, pursuant to the provisions of K.S.A. 12-1740
to 12-17+9, said City is authorized to issue industrial revenue
bonds of the City, and it is hereby found and determined to be
advisable and in the interest and for the welfare of the City and
its inhabitants that industrial revenue bonds of the City in the
principal amount of $900,000 be authorized and issued, for the
purpose of providing funds to pay the cost of purchasing and ac-
quiring a building, improvements, fixtures and equipment to be
used for commercial facilities to be leased to Salina Community
Inn of America, Inc., a Kansas corporation, hereinafter sometimes
referred to as the "Company", the proceeds of said Series A Bonds
to be used for said purpose in conjunction with an issue of
$600,000 principal amount of Salina, Kansas, Community Inn and
Convention Center Revenue Bonds of 1907, Series B, and funds other -
August 17, 1967
CONSOLIDATED-SALINA
1
1
wise made available for said purpose, and
WHEREAS, the City has acquired prior to the issuance of
the bonds herein authorized the real property hereinafter described.
NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE
CITY OF SALINA, KANSAS:
SECTION 1. That the City of Salina, Kansas, is hereby
authorized to purchase and acquire a building, improvements, fixtures
and equipment to be used for commercial facilities on the following
described real property, to wit:
A tract of land lying in the Stat 1/4 of Section 12 and
the NW 1/4 of Section 13, Township 14 South, Range 3
West of the 6th Principal Meridian, Saline County,
Kansas. This tract of land includes all portions of
Lots 84, 86, 88, 90, 92, 94, 96, 98 on Fourth Street
and Lots 91, 93, 95, 97, 99, 101, 103, 105, 107 on
Fifth Street and a portion of Lots 100, 102, 104,
106, and 108 on Fourth Street and Lot 89 on Fifth
Street in the City of Salina, according; to the
recorded plat thereof, in Saline County, Kansas,
bounded and described as follows:
Beginning at the Southwest corner of Lot 107 and assuming
the east property line of Fifth Street bears N 00 00' 00" E.
(1) Thence N 00 00' 00" E along the east property line of
Fifth Street a distance of 478.19 feet.
(2) Thence N 900 00' 00" E a distance of 130.69 feet.
(3) Thence N 00 00' 49" E a distance of 175.56 feet.
(4) Thence S 890 591 22" E a distance of 119.20 feet.
(5) Thence S 00 00' 38" E along West property line of
Fourth Street a distance of 444.32 feet.
(6) Thence S 120 30' 16" W on a line parallel with and
8.5 feet distance northwesterly, measured at right
angles, from the center line of the main track of the
McPherson Branch of the Union Pacific Railroad Company as
now constructed and operated a distance of 73.01 feet.
(7) Thence southwesterly, along a line curving to the left,
having a radius of 938.07 feet and which is concentric
with and 8.5 feet distance northwesterly, measured
radially, from said center line of main track of
McPherson Branch, a distance of 141.36 feet to the
north property line of Iron Avenue.
(8) Thence N 890 51' 14" W along_; the north property line of
Iron Avenue a distance of 206.01 feet to the point of
beginning. Containing 3.1 acres more or less.
said real estate and building and any other improvements, fixtures and
equipment relating thereto being; sometimes hereinafter described as
the "Facility" in accordance with the provisions of the Lease dated
-2-
CONSOLIDATED-SALINA
C
u
1
July 1, 1967, between said City and said Salina Community Inn of
America, Inc., hereinafter sometimes referred to as the "Lease",
said Lease being authorized by the provisions of Ordinance No. O_
yt
of said City (said Facility being referred to in the Lease as the
"Project"), the cost of purchasing and acquiring the building,
Improvements, fixtures and equipment located on the above described
real estate not to exceed the cost of $900,000 to said City.
SECTION 2. That for the purpose of purchasing and acquiring
a building, improvements, fixtures and equipment to be used for
commercial facilities to be leased to Salina Community Inn of America,
Inc., a Kansas corporation, there shall be issued and hereby are
authorized and directed to be issued a series of Salina, Kansas,
Community Inn and Convention Center Revenue Bonds of 1967, Series A,
of the City of Salina, Kansas, in the principal amount of $900,000.
Said bonds herein authorized, hereinafter sometimes referred to as the
"bonds" or the "revenue bonds", and all interest thereon shall be paid
solely from the money and revenue received from the fees charged and
rental received for the use of the Facility and not from any other
fund or source. The City hereby pledges the Facility and said
rentals, income and other moneys to the payment of the bonds and the
interest thereon.
SECTION 3. Said Revenue Bonds of 1967, Series A, of the
City of Salina, Kansas, shall consist of 180 bonds, numbered from 1 to
180, inclusive, each of said bonds being in the denomination of
$5,000. All of said bonds shall be dated July 1, 1967, and said
bonds shall become due on July 1, 1970 and bear interest at the rate
of five and one-quarter per cent (5 1/4%)per annum. Said bonds
shall bear interest from January 1, 1968, payable July 1, 1968, and
thereafter semiannually on January 1 and July 1 in each year, at the
rate hereinabove specified.
Bonds numbered 1 to 1802 inclusive, shall be subject to
redemption and payment in whole or in part, in numerical order as
hereinafter provided and from moneys that may be available for
-3-
CONSOLIDATED-SALINA
1
1
such purpose, on January 1, 1968, or on any interest payment date
thereafter, at the par value thereof, plus accrued interest thereon
to date fixed for redemption and payment.
Notice of any redemption provided for by this Ordinance shall
be given by United States registered mail to the paying agent herein
designated, such notice to be mailed at least 30 days prior to the
date fixed for redemption and payment and specify the numbers of the
bonds to be redeemed and paid. Interest shall cease on any of said
bonds so called for redemption and payment as of the redemption date,
provided funds are available to pay the same according to their terms.
Said bonds and interest coupons to be attached thereto as
hereinafter provided shall be payable in lawful mney of the United
States of America at The National Bank of America at Salina, in the
City of Salina, Kansas, hereinafter sometimes referred to as the "Paying
Agent."
SECTION 4. Said bonds and each of them shall be executed
for and on behalf of the City by the facsimile signature of its Mayor
and attested by the manual signature of the City Clerk, with the
seal of the City affixed. Interest coupons shall be attached to said
bonds representing the interest to mature thereon, and said interest
coupons shall bear the facsimile signatures of the Mayor and City Clerk
of said City.
SECTION 5. Each of said bonds and interest coupons and the
certificates attached thereto shall be in substantially the following
form:
No. 0 $5,000
UNITED STATES OF AMERICA
STATE OF KANSAS
COUNTY OF SALINE
CITY OF SALINA
SALINA, KANSAS, COMMUNITY INN AND
CONVENTION CENTER REVENUE BOND OF 1967
SERIES A
KNOW ALL MEN BY THESE PRESENTS: That the City of Salina,
-4-
CONSOLIDATED-SALINA
�l
1
IJ
in the County of Saline, State of Kansas, for value received, here-
by promises to pay, out of the revenues hereinafter specified, to
the bearer, the sum of
FIVE THOUSAND DOLLARS
in lawful money of the United States of America, on the First day
of July, 1970, and to pay interest thereon from January 1, 1968
at the rate of five and one-quarter per cent (5 1/40) per annum
(likewise payable out of said revenues), payable July 1, 1968,
and thereafter semiannually on January 1 and July 1 in each year
after the date hereof until the said principal sum shall have been
paid, upon presentation and surrender of the interest coupons here-
to attached, bearing the facsimile signatures of the Mayor and City
Clerk of said City as said coupons severally become due, both prin-
cipal of and interest on this bond being payable at The National
Bank of America at Salina, in the City of Salina, Kansas.
THIS BOND is one of an authorized series of 180 bonds of
like date and tenor, except as to number, aggregating the principal
amount of $900,000, numbered from 1 to 180, inclusive, each in the
denomination of $5,000, authorized by ordinance of said City, is-
sued for the purpose of providing funds to pay the cost of purchas-
ing and acquiring a building, improvements, fixtures and equipment
to be used for commercial facilities (hereinafter sometimes re-
ferred to as the "Facility") to be leased to Salina Community Inn
of America, Inc., a Kansas corporation authorized to do business
in the State of Kansas, by the authority of and in conformity with
the provisions, restrictions and limitations of the Constitution
and Statutes of the State of Kansas, including K.S.A. 12-1740 to
12-17+9, and all amendments thereof and acts supplemental there-
to, and all other provisions of the laws of said State applicable
thereto, and this bond and all interest hereon are to be paid by
said City of Salina, Kansas, solely and only from the money and
-5-
CONSOLIDATED-SALINA
E
1
revenue received from the fees charged and rental received for
the use of the Facility and not from any other fund or source.
Pursuant to the provisions of said statute, the governing body
of the City has pledged said facility and said rentals, income
and other moneys to the payment of the series of bonds of which
this bond is a part, and the interest thereon. Reference is
hereby made to the ordinance aforesaid and to said Lease for a
description of the covenants of the City with respect to the
collection, segregation and application of the revenues of said
Facility, the nature and extent of the security of said bonds,
the right of the City to issue additional bonds to finance the
Facility, the rights, duties and obligations of the City and of
the Fiscal Agent with respect thereto, and the rights of the
holders thereof.
Each of the bonds of the series of which this bond is
one may be called for redemption and payment prior to maturity,
in whole or in part, in numerical order, in the manner speci-
fied in the ordinance of the City authorizing said issue of bonds,
on January 1, 1968, or on any interest payment date thereafter,
at the par value thereof and accrued interest to date of redemp-
tion.
Notice of the City's intention to redeem and pay said
bonds pursuant to any of the redemption provisions aforesaid,
specifying the numbers of the bonds to be redeemed and paid, shall
be given by United States registered mail to the Paying Agent here-
in named not less than 30 days prior to the date fixed for redemp-
tion and payment.
AND IT IS HEREBY DECLARED AND CERTIFIED that all acts,
conditions and things required to be done and to exist precedent
to and in the issuance of this bond have been properly done and
performed and do exist in due and regular form and manner as re -
M
CONSOLIDATED-SALINA
F1
1
I -
quired by the Constitution and laws of the State of Kansas.
IN WITNESS WHEREOF, the City of Salina, Kansas, by its
governing body, has caused this bond to be signed by the facsim-
ile signature of its Mayor and attested by the manual signa-
ture of its City Clerk, and its corporate seal to be hereto af-
fixed and the interest coupons hereto attached to be signed with
the facsimile signatures of said officers, and this bond to be
dated this First day of July, 1967.
(facsimile)
Mayor
ATTEST:
City Clerk
Coupon No.
(FORM OF COUPON)
All Coupons
for 6 months
due July 1
and January 1
$131.25
Unless previously called for prior redemp-
tion and payment thereof duly made or provided
July
for, on the First day of January, 19 the City
of Salina, Kansas, will pay bearer, solely from
the money and revenue received from the fees
charged and rentals received for the use of the
Facility described in the bond to which this
coupon is attached, and not from any other fund
or source,
-7-
July 1,
January 1, 19
City of Salina,
Kansas
Salina, Kansas,
Community Inn
and Convention
Center Revenue
Bond of 1967,
Series A.
$131.25
j
CONSOLIDATED-SALINA
D
1
1
Kansas, Community Inn and Convention Center Revenue Bonds of 1967,
Series A, of the City, herein authorized, to the owner of the
building, improvements, fixtures and equipment located on the real
estate described in Section 1 of this ordinance in exchange for (i)
a bill of sale conveying title to such building, improvements,
fixtures and equipment to the City and (ii) cash in the amount of
any accrued interest on the bonds to date of delivery. Any ac-
crued interest received by the City from the sale and exchange
of the bonds shall be delivered to the Fiscal Agent for use as
hereinafter provided.
SECTION 7. The City hereby designates The National Bank
of America at Salina, in the City of Salina, Kansas, as the City's
fiscal agent, herein referred to as the "Fiscal Agent."
There is hereby authorized and ordered to be established
in the hands of the Fiscal Agent three separate accounts, as fol-
lows:
(a) "Salina Community Inn of America, Inc., Revenue
Account" (hereinafter referred to as the "Revenue Account.")
(b) "City of Salina, Kansas, Principal and Interest
Account for Salina, Kansas, Community Inn and Convention Center
Revenue Bonds of 1967, Series A, Dated July 1, 1907" (hereinafter
referred to as the "Principal and Interest Account for Series A
Bonds.")
(c) "City of Salina, Kansas, Principal and Interest
Account for Salina, Kansas, Community Inn and Convention Center
Revenue Bonds of 1967, Series B, Dated July 1, 1967" (hereinafter
referred to as the "Principal and Interest Account for Series B
Bonds.")
SECTION 8. Concurrently with the issuance of said bonds
the Fiscal Agent shall transfer any accrued interest received by
said City from the sale of said Series A Bonds, plus such addi-
tional amount from other sources as may be necessary, together
M
CONSOLIDATED-SALINA
1
1
1
with such accrued interest, to pay the interest becoming due on
the Series A Bonds on July 1, 1968, and deposit same in "Principal
and Interest Account for Series A Bonds," said deposit represent-
ing interest during the construction and initial occupancy of the
Facility. The Fiscal Agent shall make disbursements from funds
deposited with it for payment of any expenses incurred by said
City in connection with the issuance and sale of the Series A
and Series B Bonds, including but not limited to underwriting ex-
penses, legal fees and expenses of counsel and publication ex-
penses, which expenses shall be paid by the Fiscal Agent as di-
rected by the City.
SECTION 9. The City covenants and agrees that from and
after the delivery of the Series A Revenue Bonds herein authorized
and continuing so long as any of said bonds shall remain outstand-
ing, said City will maintain said accounts referred to in Section
7, hereinbefore set out.
SECTION 10. As long as any of the Bonds herein autho-
rized remain outstanding and unpaid, Salina Community Inn of
America, Inc., shall deposit with the Fiscal Agent in the "Revenue
Account" as hereinbefore provided, monthly, beginning on the 10th
,.day of the month following the date the project is put into opera-
tion, but in no case later than June 10, 1968, and on the 10th
day of each month thereafter (a) one-sixth of the amount of inter-
est becoming due on the Series A and Series B Bonds bn the next
succeeding interest payment date as required under ExhibitsC and
D hereto and under Article II of the Lease; (b) such additional
amounts as may be necessary to pay the principal of the Series
A and Series B Bonds when the same becomes due as set forth in
ExhibitsC and D hereto; and (c) such additional amounts as may
constitute additional rent as provided for in Article II of said
Lease. Additionally, Salina Community Inn of America, Inc. shall,
-10-
0
CONSOLIDATED-SALINA
1
1
1
after paying all expenses of operating and maintaining the Project
and making the payme:its provided for by this Ordinance and Exhibits
C and D hereto, on the tenth day of each month, beginning on the
tenth day of the month following the date the Project is put into
operation, deposit all remaining net revenues derived from the
operation of the Project into the Revenue Account maintained with
the Fiscal Agent.
The Fiscal Agent shall apply and allocate these funds
immediately upon receipt of same from Salina Community Inn of
America, Inc., as long as any of the Revenue Bonds herein autho-
rized remain outstanding and unpaid, as follows:
(a) There shall first be credited to and deposited in
the "Principal and Interest Account for Series A Bonds," as here-
inbefore established, all moneys due under Exhibit C to said Lease.
(b) There shall next be credited to and deposited in
the "Principal and Interest Account for Series B Bonds," as here-
inbefore provided, all moneys due under Exhibit D to said Lease.
The City's obligations to make payments to said Principal and
Interest Account for Series B Bonds shall be junior and subordinate
in all respects to the City's obligation to make the payments pro-
vided for in subparagraph (a) above.
(c) There shall next be credited to and deposited in
the Principal and Interest Account for Series A Bonds and the
Principal and Interest Account for Series B Bonds, as hereinbefore
provided, all remaining uncredited and unallocated funds held in
the Revenue Account by the Fiscal Agent who shall divide such sums
between the Series A and Series B Principal and Interest Accounts,
respectively, in proportion to the total principal amount of Series
A and Series B Bonds, respectively, then outstanding.
All amounts credited to and deposited in said "Principal
and Interest Account for Series A Bonds" (Sub -Paragraph (a) above)
-11-
r—
CONSOLIDATED -SALIVA
7 -
C
1
shall be expended and used for the sole purpose of paying the
principal of and interest on said Bonds herein authorized as the
same become due. All moneys credited to and deposited in said
"Principal and Interest Account for Series B Bonds" (Sub -Paragraph
(b) above) shall be expended and used solely for the purpose of
paying interest on and principal of said Series B Bonds in manner
provided for by the ordinance authorizing said Bonds.
SECTION 11. When moneys accumulated in Principal and
Interest Account for Series A Bonds, shall aggregate an amount
sufficient to pay the principal of all of said Series A revenue
bonds then outstanding, and all interest accrued to date fixed
for redemption and payment, together with the premium, if any,
required to pay the same upon call for redemption and payment, and
when said bonds become subject to redemption, said City shall pro-
ceed to give notice of such redemption in the manner herein speci-
fied, and said Fiscal Agent, as Paying Agent, shall use moneys in
said Account for said purpose. Any balance in said account not
required for said purpose shall be returned to Salina Community
Inn of America, Inc.
SECTION 12. Moneys allocated and credited to and de -
posited in Principal and Interest Account for Series A Bonds may
be invested by the Fiscal Agent, upon instructions from the Company in
direct obligations of the United States Government becoming due not later
than 20 days prior to the next principal and interest paying date. No
investment shall be made pursuant to this Section for a period longer
than the time the Fiscal Agent shall determine that said funds are
not required for the purpose for which they are intended. All in-
terest on any bonds or other investments held in any account
authorized and established by this Ordinance shall accrue to and
become a part of such account.
SECTION 13. So long as any of the principal of and in-
-12-
CON S:}LIDATED-SALTNA
1
U
terest on the revenue bonds herein authorized remain outstanding
and unpaid, the City covenants with each of the purchasers and
owners of said bonds as follows:
(A) The City will comply fully with all the terms, pro -
visions and conditions of the Lease which require performance by
or impose duties on the City and that it will not permit any de-
fault to occur on the part of the City; that it will fully and
promptly enforce, and permit the Fiscal Agent to enforce on its
behalf and on behalf of the bondholders, all of the terms, pro-
visions and conditions of the Lease which require performance by,
or impose duties on Salina Community Inn of America, Inc., and
in the event of the occurrence of a default, as defined in the
Lease, will exercise, and permit the Fiscal Agent to exercise on
its behalf and on behalf of the bondholders, all rights, and
remedies conferred by the Lease for the full and complete pro-
tection of the security and rights of the bondholders and to the
extent permitted by the Lease, will use its best efforts to pro-
cure a new tenant or tenants for the leased property under lease
provisions which will provide funds sufficient in amount to make
the rental payments and other charges which Salina Community Inn
of America, Inc. is required to make under the Lease dated July 1,
1967. If the City is unable to procure a new tenant who will
enter into such a lease the City may, with the consent of the
holders of not less than seventy-five per cent (75%) of the bonds
herein authorized at the time outstanding, sell the Facility
leased at a price not less than the amount of then outstanding
revenue bonds plus interest then unpaid.
(B) The City will enforce, and will permit the Fiscal
Agent to enforce on its behalf and on behalf of the bondholders,
collection of the rental payments and other charges in the amounts
and at the times set forth in the Lease authorized hereby and will
-13-
CONSOLIDATED-SALINA
1
1
1
not reduce or cause or permit to be reduced the rental payments
and other charges fixed, established and required by the Lease
nor change or alter the time or times when the same are due and
payable under said Lease. The City's obligation to pay the ex-
penses of such enforcement shall be limited to funds made avail-
able to it for that purpose by the bondholders or other inter-
ested parties.
(C) That until payment of all the bonds and interest
thereon has been duly made or provided for, the City will not
consent to any change, amendment, modification or termination of
said Lease, except as provided therein, which will in any manner
affect adversely the rights, remedies or interest of the bond-
holders.
(D) Any purchase price of the leased property received
by the City pursuant to the termination of the Lease, any proceeds
of condemnation awards, insurance proceeds or any other funds in-
tended for the purpose of paying said bonds will be used first
solely and exclusively to pay the bonds herein authorized and the
interest thereon according to their terms or to redeem and pay
any of said bonds then outstanding and unpaid and then subject
to redemption and payment. Upon receipt of any such funds, if
said bonds be then subject to redemption and payment, the City
shall proceed promptly to call said revenue bonds for redemption
and payment according to their terms and shall give notice there-
of provided for by the terms of this ordinance. Such funds shall
be deposited with the Fiscal Agent, and the same shall be used
first solely for the payment of the revenue bonds herein autho-
rized, accrued interest thereon, any premium provided for by
this Ordinance and the charges of the Fiscal Agent for paying
the same.
(E) The City will not issue any other obligations pay-
able from payments made by Salina Community Inn of America, Inc.,
i
-1�-
CONSOLID ATT D-.SALINA
L]
pursuant to the Lease, nor voluntarily create or cause to be
created any debt, lien, pledge, assignment, encumbrance, or any
other charge on said payments or on the property subject to said
Lease nor will it, unless required by law or by the terms of said
Lease sell or otherwise dispose of the Facility or any part there-
of; provided, however, that said City may issue from time to time
additional revenue bonds for the purpose of extending and improv-
ing the facilities financed out of the proceeds of the revenue
bonds herein authorized or completing the construction or ac-
quisition thereof, or constructing and equipping additional im-
provements which extensions and improvements may be located on
the land hereinbefore described, provided the following terms
and conditions are met:
(a) The City shall have entered into a lease or agree-
ment with Salina Community Inn of America, Inc. with rentals or
payments at least sufficient to pay the principal of and interest
on said additional bonds as the same become due.
(b) Salina Community Inn of America, Inc. is not in de-
fault with respect to the payment of rent or with respect to any
other material obligation or covenant contained in said Lease.
(c) Nothing contained in this Section 13 shall prevent
the City from issuing, not to exceed $600,000, principal amount
of revenue bonds to finance the purchase of land described in
Section 1 of this Ordinance, which bonds are to be paid out of
rentals due under the Lease, provided said additional bonds are
junior and subordinate in all respects to the Bonds herein autho-
rized, including the payment of the principal and interest.
(d) The City will cause the Company to keep constantly
insured all buildings and improvements from time to time, con-
stituting a part of the property and premises leased by the Com-
pany, in the manner provided for by the Lease herein authorized.
-15-
CONSOLIDATED-SALINA
J
1
1
The City's share of the proceeds of any such insurance policies
shall be payable to and deposited with the Fiscal Agent as In-
surance Trustee. Any of the proceeds of such policies shall be
used and applied in the manner set forth in Article XX of said
Lease.
(e) The City will cause the Fiscal Agent to keep books
and records relating to the Facility, which shall be separate and
apart from all other books, records and accounts maintained for
the City, in which complete and correct entries shall be made in
accordance with standard principles of accounting of all trans-
actions relating to the leased property and improvements and the
original purchasers of the revenue bonds herein authorized, any
bondholder of the bonds authorized herein, or their agents, shall
have the right at all reasonable times to inspect all records,
accounts and data of the City relating to the leased property and
improvements.
The City shall cause the Fiscal Agent, at least once
a year, to compile a summary of all transactions relating to the
I
various accounts maintained with it relating to these Bonds and
to mail a copy of such summary to the Company.
SECTION 14. The provisions of the bonds authorized by
this Ordinance and provisions of this Ordinance may be modified
or amended at any time by the City with the written consent of
the holders of not less than seventy-five per cent (75%) in
aggregate principal amount of the bonds herein authorized at the
time outstanding; provided, that no such modification or amend-
ment shall permit or be construed as permitting:
(a) The extension of the maturity of the principal of
any of the bonds issued hereunder, or the extension of the
maturity of any interest on any bonds issued hereunder, (b) a
reduction in the principal amount of any bonds or the rate of
-16-
CONSOLIDATED-SALINA
1
G
interest thereon, or (c) a reduction in the aggregate principal
amount of bonds, the consent of the holders of which is required
for any such amendment or modification. Any provision of the
bonds or of this Ordinance may, however, be modified or amended
in any respect with the written consent of the holders of all
of the bonds then outstanding. Every amendment or modification
of a provision of the bonds or of this Ordinance to which the
written consent of the bondholders is given as above provided
shall be expressed in an ordinance of the City amending or sup-
plementing the provisions of this Ordinance and shall be deemed
to be a part of this Ordinance. It shall not be necessary to note
on any of the outstanding bonds any reference to such amendment
or modification, if any. A certified copy of every suchanendatory
or supplemental ordinance, if any, and a certified copy of this
Ordinance shall always be kept on file in the office of the City
Clerk and shall be made available for inspection by the holder
of any bond or prospective purchaser or holder of any bond autho-
rized by this Ordinance, and upon payment of the reasonable cost
of preparing the same. A certified copy of any such amendatory
or supplemental ordinance or of this Ordinance will be sent by
the City Clerk to any such bondholder or prospective bondholder.
SECTION 15. The provisions of this Ordinance shall con-
stitute a contract between the City of Salina, Kansas, and the
holders of the revenue bonds herein authorized, and the holder of
any one or more of said bonds may sue, in any action, in mandamus,
injunction, or other proceedings, either at law or in equity, to
enforce or compel performance of all duties and obligations re-
quired by this Ordinance to be done or performed by said City.
Nothing contained in this Ordinance, shall, however, be construed
to impose on said City any duty or obligations to levy any taxes
either to meet any obligation contained herein or• to pay the princi-
-17-
CONSOLIDATED-SALINA
1
pal of or interest on the revenue bonds of the City herein authorized.
SECTION 16. That the tract of land hereinbefore described
and the improvements and equipment to be acquired, installed and
constructed thereon shall be leased to Salina Community Inn of
America, Inc., under and pursuant to a Lease dated July 1, 1967,
in the form attached to this Ordinance, which Lease was authorized by
Ordinance No. :(Ll:of said City and has been signed by the Mayor and
City Clerk.
SECTION 17. The City of Salina, Kansas, shall have the
right, if it shall find it desirable, to refund any of the revenue
bonds herein authorized then subject to redemption or becoming due,
under the provisions of any law then available. Said bonds or any
part thereof may be refunded and the refunding bonds so issued shall
enjoy complete equality of pledge with any of the revenue bonds issued
hereunder,v,hich are not refunded, if any there be, upon the revenues of
the facility, provided, however, that if only a portion of the
issue of revenue bonds herein authorized be refunded and if said bonds
are refunded in such manner that the refunding bonds bear a higher
rate of interest or become due on a date earlier than that of any
of the bonds issued hereunder which are not refunded, then said bonds
may be refunded only by and with the written consent of the holders of
seventy-five per cent (75%) of the bonds herein authorized not
refunded.
SECTION 18.
If any one or more of the covenants, agreements
or provisions of this Ordinance or of said Lease dated July 1, 1967,
should be held contrary to any express provision of law or contrary
to the policy of express law,though not expressly prohibited, or
against public policy, or shall for any reason whatsoever be held
invalid, then such covenants, agreements or provisions shall be null
and void and shall be deemed separate from the remaining covenants,
agreements or provisions, and shall in no way affect the validity of
CONSOLIDATED-SALINA
1
1
[l
the other provisions of this Ordinance or of the bonds or coupons
issued hereunder;, or the Lease.
SECTION 19. This Ordinance shall take effect and be in force
from and after its passage and publication in the official City paper.
PASSED by the Governing Body of the City of Salina,
Kansas, this /G day of1967.
C` 'Al/h Ya,
v :• 10SE 0 �'; Mayo
�TTESDec t s
" o
City Clerk
\��l��F�,'�t��PPROVED by the Mayor this day of �� 3 , 1967.
4 .� 7
.
O
City Clerk
-19-
CIONSOLIDATED-SALINA
1
i
EXHIBIT C
Schedule of'Rent Installments Necessary for the Payment of In-
terest on and Retirement of the Industrial Revenue Bonds of
1967, Series A
YEAR ENDING
JULY 1 AMOUNT
1968 $
190'9
1970
CONSOLIDATED-SALINA
1
1
1
EXHIBIT D
Schedule of Rent Installments Necessary for the Payment of In-
terest on and Retirement of the Industrial Revenue Bonds of
1967, Series B
YEAR ENDING
JULY 1 AMOUNT
1968 $
1969
1970