HomeMy WebLinkAbout08-28-1934 Regular MeetingSTATE OF ALABAMA.
B_ZD! � IN COUNTY.
The Town Council of the Town of Fairhope, County of Baldwin,
Alabaria, met in regular session at Town hall at 7:30 o'clock P.M.,
on the 28th day of August, 1934, when and where the follo=..rying mem-
bdrs were present, to -wit: M.F. Northrop, mayor; C A;
Howard Ruge, J.O. Stimpson,°:.0. Be,glin and P. A. Frederick,if;'4.the a
sa.ue constituting the full membership of the Town Council.
The following ordinance No. 121 and entitled
"AN 'RDIN.tiNCE APPROVING A LOAN :AND G=?ANT GREEM W BE-
Tl"1t r.N THE TOvdN OF FAIRHOPE :'tND THE UNITED STATES OF
ADIEERICA, AND s`,.UTHORIZING ITS EXECUTION"
was introduced by read in full by the
Clerk and considered by the Council, said ordinance being as follo4 s:
4
ORDINANCE NO. 121.
AN ORDINANCE APPROVING A LOAN AND GRANT
ACRE' ENT BETWEEN THE TOWN OF Fi,JRHOPE
iM THE UNITED ST ATES OF t1iVT�'�': FICA, AND
AUTHORIZING ITS EXECUTION.
BE IT ORDAINM by the Tctwn Council of the Toi:,vn of Fairhope,
Alabama;
Section 1. Th:: t the Loan and Grant ..greement betwelen the
Town of Fairhope, an incorporated totem in Baldwin County, Ala,:ama,
and the United States of America, under and subject to the terms
of which the United States will by loan and grant not exceeding
in the aggregate the sum of $42,000.00 aid said Town of Fairhope
in financing the construction of a project herein called the
"Project" for the installation of a bitdcminuus surface treatment
on approxiilmtely 140,000 square yards of stralets, all pursuant to
the Borrower4s a_,,lieation (herein called the "Application"), V.u,.A.
Docket No. 5162, Title II of the National Ind'dstrial Recovery xet
(herein called the "Act") rind the constitution and Statute's of the
State of Alabama (herein called the "State," a copy of titlich Loan
and Grant agreement is filed among the public records of the Town
of Fairhope, in the office of the s,1 i d Town of Fairhope, and is
hereby ordered to b e rec, riled at length in the A,�Linut es of the Town
Council as La part f the inutes of its meeting held August 28th,
1534, the same to be marked "Exhibit Aft, and tj'dich Loan and Grant
Agreement is hereby zde a part hereof, be and the same is hereby
in all respects approved.
Section 2. That the Mayor, M.F. Northrop, of the said Town of
Fairhope be and he :is hereby authorized =ind directed to execute such
Loan and Grant t-_greement in triplicate on b ehalf of the Town of
Fairhope, and the Clerk, Gladys Lowell, of the said Town of Fairhope,
be ,end she is hereby authorized and cirected to ir!_press or affix the
official seal of said To-.n of Fairhope to each of said three copies
of said Toan .:end Grrant ,,greement and to attest s-uch seal,
OA
Section 3. That the said Mayor, M.F. Northrop, be i:,nd he
is hereby authorized and directed to forthwith forward three
copies of said Loan and Grant agreement as executed on behalf Cf
said Town of Fairhope to the Federal Energency administration of
:Public :forks, Washington, D.C.
Section 4. That the said Mayor, M.F. Northrop, and Clerk,
Gladys Lowell, be and they are hereby authorized and empowered on
behalf of said Town of. Fairhope, to request, A.nd consent to,
modifications of cr changes in said Loan and Grant =Lreement with
reference to the designation, date, denominations, medium of �-
ment, places of paynent, and registration or conversion privililges
of the bonds to be issued the3v- under in order to comply with the
requirements of lav� and of the proce: dings taken for ti-B issuance
of said bonds, and to execute in the some manner as s�:.id Loan and
Agreement any further instruments that may be. found desirable in
connection with such modifications or changes.
Section 5. That said Irayor, M.F. Northrop, be and he is hereby
authorized and directed to frthwith send to said Fede}:al :emergency
Administration of Pu:oiic `forks two certified copies of this ordi-
nance and two certified copies of the roceedings of the Town
Council of the Town of F-irhope in connection atth the adoption of
this ordinance, and such further documents or proofs in connection
with the approval and execution of said Loan and Grant Agreement
as may be requested by said Federal Emergency ._:dministration of
Public forks.
Approved the day of August, 1934.
Mayor
ATTEST:
Clerk.
FA
low
It was moved by,-Gj� `,� and seconded by
that all rules of the Toyvn Council of the Town
of Fairhope, Alabama, s.1hich might prevent, unless suspended, the
final pass:.;ge ,ind adoption of said. ordinGarre at this meeting, be
and the same are hereby suspended for the .purpose of }permitting the
final passage and, adoption of said I->rdinance -t this meeting.
The question being upon the adoption of said motion and the
suspension of such rules, the roll was called with the following
results:
AYES
NAYS:
51
Q
The mayor declared said motion carried and such rules suspended.
Councilman �/s.,...,,_ " then moved that said ordinance
be now placed upon its final passage. C uncilmai
seconded the motion.
The question being; put upon the placing of said ordinance upon
its final passage, the roll was called v.aith the following results:
AYES:
i'TAYS :
The mayor declared the motion carried. Councilman
thereupon moved that the said ordinance be finally passel and adopted
as introduced and read. Councilman 49? ?,o L:,, seconded the
01
mot ion.
The question being put upon the final passage and adoption of
said ordinance, the roll wars called with the following results:
OP
AYES:
t 10
NAYS:
The mayor thereupon declared said motion carried and the ardi-
nance finally passed and adopted. The mayor -thereupon signed said
ordinance in approval thereof.
r
P. W. 16698
6 '" h " " p
LOAN AND GRA11TT AGREFU ENT dated as of
193e, between the
TOWIT OF FAIRHOPE, BALDWIIT COUNTY,
ALAB94A (herein called the "Borrower")
and the UNITED STATES OF ATRERICA (herein
called the "Government").
P A R T O N E
1, Pumose of Agreement. Subject to the terms and conditions of
this Loan and Grant Agreement (herein called the "Agreement") the Government
will, by loan and grant not exceeding in the aggregate the sum of $42,000
(herein called the "Allotment") aid the Borrower in financing a project
(herein called the "Project") for the installation of a bituminous surface
treatment on approximately 140,000 square yards of streets, all pursuant to
the Borrowerts application (herein called the "Application"), P.I.A. Docket
No. 5162., Title II of the National Industrial :Recovery Act (herein called
the "Act") and the Constitution and Statutes of the State of Alabama
(herein called the "State".
2. Amount and Method of Making Loan. The Borrower will sell and
the Government will buy, at the principal amount thereof plus accrued interest,
$42,000 aggregate principal amount of the bonds described below (herein called
the "Bonds") less such amount of the Bonds, if any, as the Borrower may sell
to purchasers other than the Government.
(a) Designation: Special Assessment Street Improvement Bond.
(b) Authorized Amount: $42,000.
Docket No. 5162
J
2f
i
P. W.- 16698
(c), Ty-pe: Special obligation, serial, bearer, coupon bonds.
(d) Registration: Registerable, at the option of the holder, as to
principal only.
(e) Date: July 1, 1934.
(f) Interest: at the rate of 4 per cent per ann= payable on January 1,
1935, and semi-annually thereafter on July 1 and January 1 in each
year.
(g) Maturities:
Payable on July 1 in years and amounts as
follows:
Year
Amount
Year
Amount
1935
$4,000
1940
$40000
1936
41000
1941,
40000
1937
4,000
1942
4,000
1938
4,000
1943
5,000
1939
4,000
1944
5,000
(h) Securit,y: Special obligations of the Borrower, payable as to both
principal and interest from the proceeds of special assessments to
be levied and assessed upon real estate which has been or will be
specially benefited by certain street improvements; said special
assessments to be a lien or charge against the property improved and
against the funds collected from the assessments levied against the
property improved and the Bonds, when issued, shall convey and
transfer to the owners thereof all right, title and interest in and
to the assessment and the lien upon the respective lots or parcels
of land, which lien and assessment shall stand as security for the
Bonds to enforce the collection thereof by foreclosure in any
Court of competent jurisdiction but the Borrower shall not make any
assessment in excess of the ineafae. value of the property benefited.
(i) Place _aiirl Medium 2j P : Payable, in any coin or currency which,
on the respective dates of payment of the principal of and interest
on the Bonds, is legal tender for the payment of public and private
debts,at the office of the Treasurer of the Borrower, Fairhope,
Alabama.
(j) Denomination: $1,000,
Docket No. 5162
Ir2
P. 17W 11088
+:._ --=-...w..........,..�.,.�r..r_�::.•..a.r�.r•_�...r��rr�_..�.a..�e-.�..�:ai..4.. _ �rr1�Yr�i� r911.�rf'
P. W. 16698
3. Amount and Method of Making Grant. Subject to the provisions
of Paragraph 7, PART ONE, hereof, and by the cancellation of Bonds and otherwise
in the manner set forth in said Paragraph 7, the Government will make and the
Borrower will accept, whether or not any or all of the Bonds are sold to pur--
chasers other than the Government, a grant (herein called the "Grant") in an
amount equal to 30 per cent -am of the cost of the labor and materials employed
upon the Project. The determination by the Federal Emergency Administrator of
Public 17orks (herein called the "Administrator") of the cost of the labor and
materials employed upon the Project shall be conclusive. Provided, however,
that if all or a portion of the Bonds are sold to purchasers other than the
Government, the Government, upon receipt of a Grant Requisition (hereinafter
defined) filed by the Borrower, such Requisition to be satisfactory in form and
substance to the Administrator, will make the entire Grant, or an appropriate
portion thereof, as the case may be, by payment of money only. In no event shall
the Grant, whether made by cancellation of Bonds or by payment of money or both,
be in excess of $12,000.
4. Bond Proceedings, When the Agreement has been executed, the Borrower
(unless it has already done so) shall promptly take all proceedings necessary for
the authorization and issuance of the Bonds."
5. Bond and Grant Requisitions. from time to time after the execution
of this Agreement, the Borrower shall file a requisition with the Government re-
questing the Government to take up and pay for Bonds or to make a payment on
account of the Grant. Each requisition shall be accompanied by such documents as
may be requested by the Administrator (a requisition together with such documents
being herein collectively called a "Requisition").
6. Bond Purchases. If a Requisition requesting the Government to take
up and pay for Bonds is satisfactory in form and substance to the Administrator,
the Government, within a reasonable time after the receipt of such Requisition,
will take up and pay for Bonds, having maturities satisfactory to the Administrator,
in such mount as will provide, in the judgment of the Administrator, sufficient
fwlds for the construction of the Project for a, reasonable period. Payment for
such Bonds shall be made at a Federal Reserve Bank to be designated by the Adminis-
trator or at such other place or places as the Administrator may designate, Against
delivery by the Borrptiaer of such Bonds, having all unmatured interest coupons
Docket No, 5162 I-3
1
i
P. W. 16698
Attached thereto, together with such documents as mtly be requested by the Adminis-
trator. The Government shall be under no obligation to take up and pay for Bonds
beyond the amount which in the judgment of the Administrator is needed by the
Borrower to complete the Project.
7. Payment of Grant. After the completion of the Project, the Borrower
may file with the Government a Requisition for the,Grant, or the unpaid portion
thereof. If such Requisition is satisfactory in form and substance to the Adminis-
trator, the Government shall segregate and place in a separate account (herein
called the "Grant Account") Bonds in an amount equal to as nearly as may be, but
not in excess of, 30 per centum of the cost of the labor and materials employed
upon the Project as determined by the Administrator, less such amount of the Grant,
if any,: as shall have been made by the payment of money only, pursuant to Paragraph
39 PART ONE, hereof, and less any amounts deductible as provided by Paragraph 10,
PART ONE, hereof. The bonds so placed in the Grant Account shall be those having
the latest maturities purchased hereunder and then held by the Government. All
monies received as payment of principal of and/or interest on the Bonds held in
the Grant Account shall be retained in the Grant Account, and may in the discretion
- t
of the Government be invested in such obligations of the United States of America as
the Government may determine, and be again converted into money by the sale of such
obligations.
If, at any time while any of the Bonds remain outstanding, the funds of
the Borrower from which the Bonds are payable shall be insufficient to provide for
the payment of the principal thereof and the interest thereon as the same become
due and payable, the Government may in its absolute discretion apply any monies
held in the Grant Account as follows; first, to the payment of principal of and
interest on any of the Bonds held by the Government on which there would otherwise
be default, and second, to the making of advances to the Borrower on account of the
Grant, Any and all monies so advanced shall be deposited by the Borrower in an
interest and bond retirement fund account (herein called the "Bond Fund"), and used
solely as provided in Paragraph 9, PART ONE, hereof; provided, however, that any
such application of monies in the Grant Account shall in no way absolve or relieve
the Borrower of the duty imposed upon it by law to collect the funds with which to
pay and to pay when due the principal of and interest on all of the Bonds purchased
hereunder.
In the event that the sum of (a) all monies held in the Grant Account -and
the principal amount of all obligations of the United States of America held there-
in, together with accrued interest thereon, and (b) all monies held in the Bond
Docket No, 5162 I-4
P. 7.7. 16698
Fond, shall be equal to the aggregate principal -mount of all outstanding Bonds,
except those held in the Grant Account, together with the face amount of all
unmatured coupons attached thereto, then the Government will maize the Grant or the
remaining portion thereof as the case may be, by causing the money and securities
held in the Grant Account to be disposed of as follows:
(1) All Bonds held in the Grant Account, together with all unmatured
coupons attached thereto, shall be cancelled and delivered to the Borrower; and
(2) All cash and all obligations of the United States of America held
in the Grant Account shall be conveyed to the Borrower and shall be deposited or
placed by the Borrower in the Bond Fund.
8. Deposit of Bond Proceeds and Grant; Bond Fund; Construction Accounts.
The Borrower shall deposit all accrued interest which it receives from the sale of
the Bonds at the time of the payment therefor into an interest and bond retirement
fund account (herein called the "Bond Fund") promptly upon the receipt of such
accrued interest. It will deposit the remaining proceeds from the sale of the
Bonds (whether such Bonds are sold to the Government or other purchasers) and the
part of the Grant made by payment of money only pursuant to Paragraph 39 PART ONE,
hereof, promptly upon the receipt of such proceeds or payments in a separate
account or accounts (each of such separate accounts herein called a "construction
Account"), in a bank or banks which are members of the Federal Reserve System and
of the Federal Deposit Insurance Corporation and which shall be satisfactory at all
times to. the Administrator.
9. Disbursement of Monies in Construction Accounts and in Bond Fund.
The Borrower shall expend the monies in a Construction Account only for such pur-
poses as shall have been previously specified in Requisitions filed with the
Government and approved by the Administrator. Any monies remaining unexpended in
any Construction Account after the completion of the Project which are not required
to meet obligations incurred in connection with the construction of the Project
shall either be paid into the Bond Fund, or said monies shall be used for the pur-
chase of such of the Bonds as are then outstanding at a price not exceeding the
principal amount thereof plus accrued interest. Any Bonds so purchased shall be
cancelled and no additional Bonds shall be issued in lieu thereof. The monies in
the Bond Fund shall be secured in the same manner as provided in Paragraph 8, Part
I hereof end shall be used solely for the purpose of paying interest on and princi-
pal of the Bonds.
10, Other Financial Aid from the Government. If the Borrower shall
receive any funds (other than those received under this Agreement) directly or
Docket No. 5162 I-•5
y
P. -ff. 16698
indirectly from the Government, or any agency or -instrumentality thereof, to aid
in financing the construction of the Project, to the extent that such funds are so
received the Grant shall be reduced, and to the extent that such funds so received
exceed the part of the Grant, the aggregate principal amount of Bonds to be pur-
chased by the Government shall be reduced.
11. Conditions Precedent to the Government's Obligations. The Govern-
ment shall be under no obligation to pay for any of the Bonds or to make any Grant:
(a) Financial Condition and Budget. If, in the judgment of the
Administrator, the financial condition of the Borrower shall
have changed unfavorably in a material degree from its condition
as theretofore represented to Uhe Government; or the Borrower
shall have failed to balance its budget satisfactorily or
shall have failed to take action reasonably designed to bring
the ordinary current expenditu..res of the Borrower within the
prudently estimated revenues thereof;
(b) Cost of Project. If the Administrator shall not be satisfied
that the Borrower will be able to complete the Project.for
the sum of $42,000, or that the Borrower will be able to
obtain, in a manner satisfactory to the Administrator, any
additional funds which the Administrator shall estimate to be
necessary to complete the Project;
(c) Compliance. If the Administrator shall not be satisfied that ,
the Borrower has complied with all the provisions contained in
this Agreement or in the proceedings authorizing the issuance
of the Bonds, theretofore to be complied with by the Borrower;
(d) Legal Matters. If the Administrator shall not be satisfied
as to all legal matters and proceedings affecting the Bonds,
the security therefor or the Project;
(e) Representations. If any representation made by the Borrower
in this Agreement or in the Application or in any supplement
thereto or amendment thereof, or in any document submitted to
the Government by the Borrower shall be found by the Adminis-
trator to be incorrect or incomplete in any material respect.
Docket 'No. 5162 I-6
P. r. 11088 (R 1)
PART T W0
IN CONSIDERATION OF THE GRANT, TIE, BORROu'.FR CO'FERA."?TS THAT:
1. Construction Work. All work on the Project shall be done subject
to the rules and regulations adopted by the Administrator to carry out the
purposes and control the administration of the Act. The follo;;ing rules and
regulations as set out in Bulletin No. 2, Non --Federal Projects revised march
3, 1934, entitled, "P.W.A. REQUIRMEE TTS as to BIDS, COITTR.ACTORSI BONDS, A?TD
CONTRACT, WAGE, AND LA OR PROVISIONS AND CF MRAL INSTRUCI'IOi S as to APPLICATIONS
AND LOANS A_TTD GRANTS", shall be incorporated verbatim (with all blank spaces
filled in as provided in said Bulletin) in all construction contracts for work
on the Project:
111. (a) Convict labor.--D?o convict labor shall be employed on the
project, and no materials manufactured or produced by convict labor shall be
used on the project.
11(b) Thirty -hour week. --Except in executive, administrative, and
supervisory positions, so far as practicable and feasible in the judgment of
the Government engineer, no individual directly employed on the project shall
be permitted to work more than 8 hours in any 1 day nor more than 30 hours
in any one week: Provided, That this clause shall be construed to permit
working time lost because of inclement. weather or unavoidable delays in any
1 week to be made up in the succeeding 20 days.
"(c) No work'shall be permitted on Sundays or legal holidays
except in cases of emergency.
112. Wages. --(a) All employees directly employed on this work shall
be paid just and reasonable wages which shall be compensation sufficient to
provide, for the hours of labor as limited, a standard of living in decency and
comfort. Such wages shall in no event be less than the minimum hourly wage
rates for skilled and unskilled labor prescribed by the Administrator for the
zone or zones in which the work is to be done, viz:
Skilled labor - - - - - -- - - - - - -
Unskilled labor - - - - - - - - -- - -
11(b) In the event that the prevailing hourly rates prescribed
under collective agreements or understandings between organized labor and
employers in effect on April 30, 1933, shall be above the minimum rates speci-
fied above, such agreed wage rates shall apply: Provided, That such. agreed
wage rates shall be effective for the period of this contract, but not to ex -
teed 12 months from the date of the contract.
"(c) The above designated minimum rates are not to be used in
discriminating against assistants, helpers, apprentices, and ser.ing laborers
who work and serve skilled journeymen mechanics and who are not to be termed
as "unskilled laborers.."
"(d) The provisions of this contract relating to hours and
minimum wage rates for labor directly employed on the project shall for the
purposes of this contract, to the extent applicable, supersede the terms of
any code adopted under Title I of the act permitting longer hours or lower
minimum wage rates,
"(e) All employees shall be paid in full not less often than
once each week and in lawful money of the United States, unless otherwise per=
mitted by the Government engineer, in the full amount accrued to each indi-
vidual, at the time of _closing of the pay roll, which shall be at the latest
date practicable prior to the date of payment, and there shall be no.deduc-
Lions or rebates on account of goods purchased, rent, or other obligations,
but -such obligations shall be subject to collection only by legal process:
Provided, however, That this clause shall not be construed to prohibit the
making of deductions for premiums for compensation and medical aid insurance,
in spch amounts as are authorized by the laws of - - - - - - - - - - - - - - -
to be paid by employees, in those cases in which, after the making of the de-
ductions. the wage rates will not be lower than the minimum wage rates herein
established.,
"(f) A clearly legible statement of all wage rates to be paid
the several classes of labor employed on the work, together with a statement
of the deductions therefrom for premiums for workmen's compensation and/or
medical aid insurance authorized by the laws of - - - - - - - - - - - - - - --
should such deductions be made, shall be posted in a prominent and easily
accessible place at the site of the work, and there shall be kept a true and
accurate record of the hours worked by and the wages, exclusive of all author-
ized deductions, paid to each employee, and the engineer inspector shall be
furnished with a sworn statement thereof on demand.
I I--2 P . W . 11088
(July 1934)
"(g) The Board of Labor Review (herein called the "Board") shall
hear all labor issues arising under the operation of this contract and such
issues as may result from fundamental changes in economic conditions during
the life of this contract.
"(h) The minimum wage rates herein established shall be subject
to change by the Administrator on recommendation of the Board. In the event
that, as a result of fundamental changes in economic conditions, the Adminis-
trator, acting on such recommendation, from time to time establishes different
minimum wage rates (referred to in paragraph 2 (a), (b), and (c) hereof) all
contracts for work on the project shall be adjusted accordingly by the parties
thereto so that the contract price to the contractor under any contract or to
any subcontractor under any subcontract shall be increased by an amount equal
to any such increased cost, or decreased in an amount equal to such decreased
cost..
"(i) Engineers, architects, and other professional and sub -
professional employees engaged in duties normally done at the site of the
project shall receive at least the prevailing rates for the various types of
service to be rendered, provided that in no case shall professional employees
receive less than the following weekly compensation for 40 hours or less
irrespective of the number of hours employed: $36.00 in the northern zone;
$33.00 in the central zone; and $30.00 in the southern zone. Where the working
week is longer than 40 hours, weekly compensation shall be increased proportion-
ally. Compensation under this paragraph shall be subject to the approval of
the Government engineer.
"3. (a) Labor preferences. --Preference shall be given, where they are
qualified, to ex -service men with dependents, and then in the following order:
(1) To citizens of the United States and aliens who have declared their in-
tention of becoming citizens, who are bona fide residents of (political subdi-
vision and/or county) - - - - - - - - - - - - - - - - - and (2) to citizens of
the United States and aliens who have declared their intention of becoming
citizens, who are bona fide residents of (State, Territory, or district) - - - -
- - - - - - - - - - - - -: Provided, That these preferences shall apply only
where such labor is available and qualified to perform the work to which the
employment relates.
"(b) Employment services. --To the fullest extent possible, labor
II-3
P.W. 11088
(July 1934)
required for the project and appropriate to be secured through employment
services shall be chosen from the lists of qualified workers submitted by local
employment agencies designated by the United States Employment Service: Pro—
vided, however, That union labor, skilled and unskilled, shall not be required
to register at such local employment agencies but, if such labor is desired by
the employer, shall be secured in the customary ways through recognized union
locals. In the event, however, that employers who wish to employ union labor
are not furnished with qualified union workers by the union locals which are
authorized to furnish such labor residing in the locality within 48 hours
(Sundays and holidays excluded) after request is filed by the employer, all
labor shall be chosen from lists of qualified workers submitted by local
agencies designated by the United States Employment Service. In the selection
of workers from lists prepared by such employment agencies and union locals,
the labor preferences provided in section (a) of this paragraph 3 shall be ob—
served, and preference shall be given to those unemployed at the date of regis—
tration who, at the date of selection, have no other available employment.
"(c) Compliance with Title I of the Act. --The following sections
7 (a) (1) and 7 (a) (2) of Title I of the Act shall be observed:
11(1) That employees shall have the right to organize and bargain
collectively through representatives of their own choosing, and
shall be free from the interference, restraint, or coercion of
employers of labor, or their agents, in the designation of such
representatives or in self —organization or in other concerted
activities for the purpose of collective bargaining or other
mutual aid or protection; (2) that no employee and no one seeking
employment shall be required as a condition of employment to join
any company union or to refrain from joining, organizing, or
assisting a labor organization of his own choosing.
114. Human labor. --The maximum of human labor shall be used in lieu of
machinery wherever practicable and consistent with sound economy and public
advantage; and to the extent that the work may be accomplished at no greater
expense by human labor than by the use of machinery, and labor of requisite
qualifications is available, such human labor shall be employed.
115. Compensation insurance. --Every employer of labor shall provide,
if permitted by the laws of — — — — — — — — — — — — — — — — — — — —, adequate
workmen's compensation insurance for all labor employed by him on the project
who may come within the protection of such laws and shall provide, where prao—
ticable, employers' general liability insurance for the benefit of his employees
not protected by such compensation laws, and proof of such insurance satisfactory
II-4 P.W. 11088
(July 1934)
1
to the Goveriurent engineer shall be given. Whore it is not permitted by law
that such insurance be provided, some method satisfactory to the Administrator
must be provided by which the employees may, by paying the entire amount of the
premiums, derive a similar protection.
116. persons entitled to benefits of labor provisions. --There shall
be extended to every person vTho performs the work of a laborer or of a mechanic
on the project or on any part thereof the benefits of the labor and wage provi-
sions of this contract, regardless of any contractual relationship between the
employer and such laborer or mechanic. There shall be no discrimination in the
selection of labor on the ground of race, creed, or color.
t'7. Withholding pa ent.--Under all construction contracts, - - - - -
- - - - - - - - - - - - - - - may withhold from the contractor so much of accrued
(The borrower)
payments as may be necessary to pay to laborers or mechanics employed on the
work the difference between the rate of wages required by this contract to be
paid to laborers or mechanics on the work and. the rate of wages actually paid
to such laborers or mechanics.
118. Accident prevention. --Reasonable precautions shall at all times
be exercised for the safety of employees on the work and applicable provisions
of the Federal, State, and municipal safety laws and building and construction
codes shall be observed. All machinery and equipment and other physical hazards
shall be guarded in accordance with the safety provisions of the Manual of
Accident Prevention in Construction of the Associated General Contractors of
America, unless and to the extent that such provisions are incompatible with
Federal, State, or municipal laws or .regulations.
119. N. R. A. Compliance. --The contractor shall comply with each approved
code of fair competition to which he is subject, and if he is engaged'in any
trade or industry for which: there is no approved code of fair competition, then
as to such trade or industry with an agreement with the President under Section
4 (a) of the National Industrial Recovery Act (President1s Reemployment Agreement),
and - - - - - - - - - - - - - -- shall have the right, subject to the approval
(The borrower)
of the Government engineer, to cancel this contract for failure to comply with
this provision and make open market purchases or have the work called for by this
contract otherwise performed at the expense of the contractor. So far as articles,
materials or supplies produced in the United Stakes are concerned, no &rticles,
materials or supplies shall be accepted or purchased for the performarce of the
work nor shall any subcontracts be entered into for any articles, materials or
supplies, in whole or in part produced or furnished by any person who shall not
II-5 P.'!". 11088-(R 1) (July 1934)
have certified that he is complying with and will continue to comply with each
code of fair competition which relates to such articles, materials or supplies,
and/or in case there is no approved code for the whole or any portion thereof then
to that extent with an agreement with the President as aforesaid.
"10. (a) Inspection of records. --The Administrator, through his author-
ized agents, shall have the right to inspect all work as it progresses, and
shall have access to all pay rolls, records of personnel, invoices of materials,
and any and all other data relevant to the performance of this contract. There
shall be submitted to the Administrator, through his authorized agents, the
names and addresses of all personnel and such schedules of the cost of labor,
costs and quantities of materials, and other items, supported as to correctness
by such evidence, as, and in such form as, the Administrator, through his author-
ized agents, may require. The submission and approval of said schedules, if
require, shall be a condition precedent to the making of any payment under
the contract.
"(b) There shall be provided for the use of the engineer inspector
such reasonable facilities as he may request. In case of dispute the Government
engineer shall determine the reasonableness of the request.
"11. Reports. --Every employer of labor on the project shall report
within 5 days after the close of each calendar month, on forms to be furnished
by the United States Department of Labor, the number of persons on their respec-
tive pay rolls directly connected with the project, the aggregate amount of
such pay rolls, and the man-hours work, wage scales paid to the various classes
of labor, and the total expenditures for materials. Two copies of each of such
monthly reports are to be furnished to the Government engineer, and one copy of
each to the United States Department of Labor. The contractor under any con-
struction contract shall also furnish to - - - - - - - - - - - - - - - - - - to
(The borrower)
the Government engineer and to the United States Department of Labor the names
and addresses of all subcontractors on the work at the earliest date prac-
ticable.
1112. There shall be provided all necessary services and all materials,
tools, implements, and appliances required to perform and complete entirely and
in a workmanlike manner the work provided for in this contract. Except as
otherwise approved in writing by the Government engineer, such services shall be
paid for in full at least once a month and such materials, tools, implements,
II-6 P.W. 11088-(R 1) (July 1934)
. • + •
1 • h
and appliances shall be paid for at least once a month to the extent of 90 per-
cent of the cost thereof to the contractor, and the remaining 10 percent shall
be paid 30 days after the completion of the part of the work in or on which
such materials, tools, implements, or appliances are incorporated or used.
"13. Signs. --Signs bearing the legend Public Works Project No. _
shall be erected in appropriate places at the site of the project.
1114. All reasonable rules and regulations which the Public Works Ad-
ministration may prescribe toward the effectuation of the matters covered by
paragraphs 1 to 13, inclusive, shall be observed in the performance of the work.
1115. Subcontractors. --(a) Appropriate provisions shall be inserted in
all subcontracts relating to this work to insure the fulfillment of all provi-
sions of this contract affecting such subcontractors, particularly paragraphs 1
to 14, inclusive.
"(b) No bid shall be received from any subcontractor who has not
signed U. S. Government Form No. P. W. A. 61, revised (March 1934).
1116. Termination for breach. --In the event that any of the provisions
of paragraphs 1 to 15, inclusive, of this contract are violated by the contrac-
tor under the construction contract or by any subcontractor under any subcon-
tract on the work, - - - - - - - - - - - - - - - -- - may, subject to the approval
(The borrower)
of the Government engineer, and upon request of the Administrator, shall
terminate the contract by serving written notice upon the contractor of its in-
tention to terminate such contract, and, unless within 10 days after the serving
of such notice such violation shall cease, the contract shall, upon the expira-
tion of said 10 days, cease and terminate. In the event of any such termination
- - - - - - - - - - - - - - - may take over the work and prosecute the same to com-
(The borrower)
pletion or otherwise for the account and at the expense of the contractor and/or
such subcontractor, and the contractor and his sureties shall be liable to - - - - -
------------- foranyexcesscost occasioned - - - - - - -- - - - - - -
(The borrower) (The borrower)
-- - - - - - in the event of any such termination, and - - - - - - - - - - - - - - -
(The borrower)
- - - - - - - - - -may take possession of and utilize in completing the work, such
materials, appliances, and plant as may be on the site of the work, and necessary
therefor. This clause shall not be construed to prevent the termination for other
causes provided in the construction contract.
II-7 P. W. 11088-(R 1)
(July 1934)
1117. Definitions. --The term "Act" as used herein refers to the
National Industrial Recovery Act. The term "Government engineer" as used herein
shall mean the State engineer (P.W.A.) or his duly authorized representative, or
any person designated to perform his duties or functions under this agreement
by the Administrator. The term "engineer inspector" as used herein refers to
State engineer inspectors, resident and assistant resident engineer inspectors,
and supervising engineers, appointed by the Administrator. The term "materials"
as used herein includes, in addition to materials incorporated in the project
used or to be used in the operation thereof, equipment and other materials used
and/or consumed in the performances of the work."
2. Restriction as to Contractors. The Borrower shall receive no bid
from any contractor, nor permit any contractor to receive any bid from any sub-
contractor, who has not signed U. S. Government Form No. P. W. A. 61, revised
March, 1934.
3. Bonds and Insurance. Construction contracts shall be supported
by adequate surety or other bonds or security satisfactory to the Administrator
for the protection of the Borrower, cr materialmen, and of labor employed on the
Project or any part thereof. The contractor under any construction contract
shall be required to provide public liability insurance in an amount satisfac-
tory to the Administrator.
4. Force Account. If prices in the bids are excessive, the Borrower
reserves the right, anything in this Agreement to the contrary notwithstanding,
to apply to the Administrator for permission to do all or any part of the Project
on a force account basis.
II-8 F.W. 11088-(R 1,
JJV1y 1934)
• .• A
go •
P A R T T H R E E
1. Construction of Project. Not later than upon the receipt by
it of the first Bond payment, the Borrower will commence or cause to be
commenced the construction of the Project, and the Borrower will thereafter
continue such construction or cause it to be continued to completion with
all practicable dispatch, in an efficient and economical manner, at a
reasonable cost and in accordance with the provisions of this Agreement,
plans, drawings, specifications and construction contracts which shall be
satisfactory to the Administrator, and under such engineering supervision and
inspection as the Administrator may require. Except with the written consent
of the Administrator, no materials or equipment for the Project shall be
purchased by the Borrower subject to any chattel mortgage, or any conditional
sale or title retention agreement.
2. Information. During the construction of the Project the
Borrower will furnish to the Government all such information and data as the
Administrator may request as to the construction, cost and progress of the
work. The Borrower will furnish to the Government and to any purchaser from
the Government of 25 per centum of the Bonds, such financial statements and
other information and data relating to the Borrower and the Project as the
Administrator or any such purchaser may at any time reasonably require.
3. Representations and warranties. The Borrower represents and
warrants as follows:
(a) Litigation. No litigation or other proceedings are now
pending or threatened which might adversely affect the Bonds,
the security therefor the construction and operation of the
Project, or the financial condition of the Borrower;
(b) Financial Condition. The character of the assets and the
financial condition of the Borrower are as favorable as at
the date of the Borrower's most recent financial statement,
furnished to the Government as a part of the Application,
III-1 P.W. 11088 (R 1)
(July 1934)
and there have been no changes in the character of its assets
or in its financial condition except such changes as are
necessary and incidental to the ordinary and usual conduct of
the Borrower's affairs;
(c) Fees and Commissions. It has not and does not intend to pay
any bonus, fee or commission in order to secure the loan or
grant hereunder;
(d) Affirmation. Every statement contained in this Agreement, in
the Application, and in any supplement thereto or amendment
thereof, and in any other document submitted to the Government
is correct and complete, and no relevant fact materially affect-
ing the Bonds, the security therefor, the Grant or the Project,
or the obligations of the Borrower under this Agreement has been
omitted therefrom.
4. Sale of Bonds hy the Government. The Borrower will take all such
steps as the Government may reasonably request to aid in the sale by the
Government of any or all of the Bonds. Upon request, the Borrower will furnish
to the Government or to any purchaser or purchasers from the Government of 25 per
centum of the Bonds, information for the preparation of a bond circular in custom-
ary form, signed by the proper official of the Borrower, containing such data as
the Government or such purchaser or purchasers may reasonably request concerning
the Borrower and the Project.
5. Expenses. The Government shall be under no obligation to pay any
costs, charges or expenses incident to compliance with any of the duties or
obligations of the Borrower under this Agreement including, without limiting
the generality of the foregoing, the cost of preparing, executing and delivering
the Bonds, and any legal, engineering and accounting costs, charges or expenses
incurred by the Borrower.
6. Waiver. Any provision of this Agreement may be waived or amended
with the consent of the Borrower and the written approval of the Administrator,
without the execution of a new or supplemental agreement.
III-2 P.W. 11088 (R 1)
(July 1934)
+ w t
7. Interest of Member of Congress. No Member of or Delegate
to the Congress of the United States of America shall be admitted to any
share or part of this Agreement, or to any benefit to arise thereupon.
8. Validation. The Borrower hereby covenants that it will in—
stitute, prosecute and carry to completion in so far as it may be within
the power of the Borrower, any and all acts and things to be performed or
done to secure the enactment of legislation or to accomplish such other
proceedings, judicial or otherwise, as may be necessary, appropriate or
advisable to empower the Borrower to issue the Bonds and to remedy any defects,
illegalities and irregularities in the proceedings of the Borrower relative
to the issuance of the'Bonds and to,validate the same after the issuance
thereof to the Government, if in the judgment of the Administrator such
action may be deemed necessary, appropriate or advisable. The Borrower
further covenants that it will procure and furnish to the Government, as a
condition precedent to the Government's obligations hereunder a letter from
the Governor of the State stating that if in the judgment of the Administrator
it may be advisable to enact legislation to empower the Borrower to issue:
the Bonds or to remedy any defects, illegalities or irregularities in the pro—
ceedings of the Borrower relative to the issuance thereof or to validate the
same, said Governor will recommend and cooperate in the enactment of such
legislation.
9. Miscellaneous. This Agreement shall be binding upon the
parties hereto when a copy thereof, duly executed by the Borrower and the
Government, shall have been received by the Borrower. This Agreement shall
be governed by and be construed in accordance with the laws of the State.
10. Naming of Project. The Project shall never be named except
with the written consent of the Administrator.
11. Undue Delay by the Borrower. If in the opinion of the
Administrator, which shall be conclusive, the Borrower shall delay for an
unreasonable time in carrying out any of the duties or obligations to be
performed by it under the terms of this Agreement, the Administrator may
cancel this Agreement.
III-3 P.W. 11088 (R 1)
(July 1934)
� r w I► �R
e. W. 16698 »s
12. Construction al Agreement. If any provision of this Agree—
ment shall be invalid in whole or in part, to the extent it is not invalid
it shall be valid and effective and no such invalidity shall affect, in
whole or in part, the validity and effectiveness of any other provision
of this Agreement or the rights or obligations of the parties hereto,
provided, in the opinion of the Administrator, the Agreement does not then
violate the terms of the Act.
IN WITNESS WHEREOF, the TOWN OF FAIRHOPE, BALDWIN COUNTY, ALABAMA
and the UNITED STATES OF AMERICA have respectively
caused this Agreement, to be duly executed as of the day and year first above
written.
SEAL:
ATTEST:
TOWN OP� FAIRHOPE
By
UNITED STATES OF AMERICA
By
Federal Emergency Administrator of
Public Works.
Docket No, 5162 III-4 P.R. 11088 (R 1)
Duly 1934)
raw
41
The Minutes of
the previous -meeting were approved as read.
2
Councilmen P. A-. Frederick and U9uD Berglin were appointed
a Committee to
confer with Mr. H. B'.,McGill as to the re-
qikirements for
an office for the National Reemployment
Service in Fairhope and to report at the next meeting.
The following were appointe�4 to serve on the Election:BoarqL
in the Regular
Municipal Election to be held September 179
1934*
Returnigg.-,Officer-, A H'ff6rshon
Clerk's: Ellis
McKenzie and-Oliernsey Clark
Inspectors: J.
S. Jewell S,..�,,.-,.T.1Hixon and J. E Gooden.
•
it was moved by Councilman 7&,dvJand seconded by
Councilman
that the meeting ad our Motion oarr._-
ATTEST.'
Mayor,
(SEAL)
To Clerk.
6�,