HomeMy WebLinkAbout10-08-1958 Regular MeetingSTATE OF ALABAMA
County of Baldwin
The -Water and Sewer Board of the City of Fairhope met in regular session
at -the City Hall, Wednesday, October 8, 1.958 with the fol lowing' present:
Chairman: A. �-. Mann ich, R. Roy Moyers, R. R. Teamer, C ity Manager C. B.
Niemeyer, George Dyson, Frank Wiggins, Hugh Morrow, Jr. and Donald Mills.
The minutes of the previous regular meeting were read and approved as :read.
Motion by Mr. Moyers seconded by Mr. Teamer that the following bills be
approved for payment: Motion carried.
Jansen Mfg. Co.
2.50-
Fairhope Clay Products
75.00
Merchants National Bank, Trustee
223.00
Fairhope Machine Works
1.00
Fairbanks Morse & Co.
2.31
W. R. Mitchell
246. 10
Southern Meter and Supply Co.
6.00
W i t t i chen Chemical Co.
1 14.75
Standard Equipment Co.
90.67
Ruffles Co., Inc.
17.59
M &, S Service- Station
10.90
Moore Supply Co.
90.78
Guff Oil
26.71
Gas Dept.
249.33
Maury -Wharton -Agency
155.20
Pay Roll:
George Bush
198.00
Clint Cotton
93.78
George Dyson
237.50
Henry Grayson
69.10
Mack Green
90.75
Alien Johnson
89.10
Edward Keller
113.14
Marie Moore
100.�0
Alfred Nelson
140.00
C. B. Niemeyer
100.00
Benny Washington
90.20
Frank Wiggins
1,87.50
Motion by Mr. Moyers secondld by Mr. Teamer that by order of the Supreme
Court the Board pay judgment in. the Brown VS City case in the amount of
$1500.00 and cost bill to Circuit Clerk in the amount of 0333.40. Motion
carried.
Motion by Mr. Teamer seconded by Mr. Moyers that the Board pay Spanish Fort
the sum of $747.77 for their half of water revenue in Spanish Fort for
year ending September 30, 1958. Motion carried.
Motion by Mr. Teamer seconded by Mr. Moyers that the following Resolution
be adopted: Motion carried.
BE IT RESOLVED by the Water and Sewer Board of the City of Fairhope
that the Merchants National Bank as Trustee for Water Works and Sewer Board
43/V. Second Series Bonds, b� authorized to pay, when presented for pay-
ment on October 15, 1958, $15,000 principal amount Second Series Bonds,
$12,000 due 1.9811 and $3,000 due 1982, on a 3.00 �4 basis to the first call
date of July I,, 1963 plus accrued, interest from July 1, 1958.
BE IT FURTHER RESOLVED that the entire amount of $[5,468.61 on deposit
in the Surplus Fund be applied toward the redemption of the bonds and the
balance of $1,501.10 that will be due on the above date be paid from the
Water and Sewer Revenue Account No. 2.
It was: duly moved and seconded that the meeting adjourn. Motion carried.
Approved
Chairman
Attest: 1
Va&Tts9Korrow&'0o.
INVESTMENT SECURITIES -
WOODWARD BUILDING
BIRMINGHAM,ALABAMA
Mr. C. B. Niemeyer, City Manager
City of Fairhope
Fairhope, Alabama
Dear Brad:
TELEPHONE FA 4-8684
TELTYPE B'HAM 94
October 10, 1958
The owner of the $15,000 City of Fairhope, Alabama, 4 3/4% Water and Sewer Revenue
Bonds is shipping them today to The Merchants National Bank for payment on October
15. The maturities of the bonds which are to be presented for payment and cancel—
lation are $12,000 due 1981 and $3,000 due 1982.
The total amount that will be due on that date is $16,969.71. This is broken down
into $16,763.88 principal and $205.83 accrued interest from July 1, 1958. These
figures were furnished to us by the owner of the bonds and we have checked them and
confirm their accuracy.
As you may recall, the Indenture allows the Board to buy bonds at any price less than
the call price of 104 3/4. Accordingly, the Board can legally pay $15,711.50 plus the
$205.83 accrued interest which makes a total of $15,917.33. The Board should apply
the entire amount of $15,468.61 on deposit in the Surplus Fund toward the redemption
of the bonds. The balance of $1,501.10 should be paid from the Revenue Fund No. 2.
We feel that $448.72 of this amount can be considered as a loan from the Revenue Fund
No. 2 to the Surplus Fund. The $448.72 is made up of the difference between the amount
on deposit now in the Surplus Fund and the $15,711.50 and the accrued interest.
Please send The Merchants National Bank a check for the amount. -due from the Revenue
Fund No. 2 along with a letter of instructions immediately so that they will be in
position to handle the matter on the 15th. We are enclosing an extra copy of this
letter in the event you wish to send a copy to that bank. If there are any questions
about the transaction, please do not hesitate to let us know.
I look forward to seeing you again Monday night, and with best regards, I am
Very truly yours,
4
Hugh orrow, Jr.
HMJR:sa
Enc.
9ratkin-ORorrouU 6-1 Oo .
INVESTAZENT SECURITIES
WOODWARD BUILDING
BIRMINGHAM,ALABAMA
Mr. C. B. Niemeyer
City Manager
City of Fairhope
Fairhope, Alabama
Dear Brad:
TELEPHONE FA 4-8684
TELTYPE B'HAM 94
September 30, 1958
As stated to you over the telephone today, one of the owners of the
Water Works & Sewer Board 4 3/4% Second Series Bonds has agreed to
turn in $12,000 principal amount due 1981 on a 3.00% basis to the
first call date of July 1, 1963. This will mean that the Board would
have to pay, as of October 1, 1958, a premium of $1,417.20 plus ac—
crued interest from July 1, 1958. This figure includes the call
premium.
In the event that the Board elects not to purchase the bonds at the
present time, it will have to pay a total of $3,277.50 from October 1,
1958) to July 1, 1963. This total also includes the call premium.
We understand that the Board will meet on October 8. Please be kind
enough to advise its wishes after the meeting. We, of course, are not
charging any commission or fee in connection with this transaction.
With best regards, we are
Very truly yours,
Hugh orrow, Jr.
HMJR:sa
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