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1995R06- CERTIFICATE FOR RESOLUTION ~.. CERTIFICATE FOR RESOLUTION I, the undersigned City Secretary of the City of Schertz, Texas (the "City") HEREBY CERTIFIES that: 1. On the 6th day of June, 1995, the City Council (the "Council") of the City of Schertz convened in regular session at its regular meeting place in the City Hall of the City (the "Meeting"), the duly constituted members ofthe Council being as follows: Hal Baldwin Timothy Swinney Charles McDonald Joe Potempa Dereda Burkett Kenneth Greenwald Mayor Mayor Pro Tern Councilmember Councilmember Councilmember Councilmember All of such II sons were pr ent at the Meeting, except the following absentees: - #J)r! (}I!.KETT , thus constituting a quorum. Whereupon a written: RESOLUTION APPROVING AMENDMENTS TO THE ARTICLES OF INCORPORATION OF THE SCHERTZ HOUSING FINANCE CORPORATION (the "Resolution") was submitted to the Council for passage and adoption. After presentation, the Resolution was duly moved and seconded and, after due discussion, said motion, carrying with it the adoption of the Resolution, prevailed and carried by the following votes: -1 voted "For" ~ voted "Against" ~ "Abstained" all as shown in the official Minutes of the Council for the Meeting. 2. A true, full, and correct copy of the Resolution is attached to and follows this Certificate; the above and foregoing paragraph is a true, full, and correct excerpt from the minutes of the Meeting pertaining to the adoption of the Resolution; the persons named in the above and foregoing paragraph are the duly elected, qualified, and acting members of the Council; each of such members of the Council was duly and sufficiently notified officially and personally, in advance, of the time, place, and purpose of the Meeting and that the Resolution would be introduced and considered for adoption at the Meeting; and the Meeting was open to the public, and public notice of the time, place, and purpose of the Meeting was given, all as required by Chapter 551, as amended, Texas Government Code. 0169923 ~ IN WITN~l/WHEREOF, I have signed my name officially and affIXed the seal of the City, this ~ day of June, 1995. Y:)Hf?UJ CU~l.4U City Secretary City of Schertz, Texas (CITY SEAL) 0109923 2 '&SOI--IJIIIJ) ~, tJs:e-J:, . RESOLUTION APPROVING AMENDMENTS TO THE ARTICLES OF INCORPORATION OF THE SCHERTZ HOUSING FINANCE CORPORATION WHEREAS, the SCHERTZ HOUSING FINANCE CORPORATION (the "Corporation") was duly created and established by the City of Schertz, Texas (the "City") under the laws of the State of Texas, as a public instrumentality and non-profit corporation pursuant to the Texas Housing Finance Corporations Act (the "Act"); WHEREAS, the Corporation has amended its Articles of Incorporation 1) to modify Article EIGHT (VIII) to eliminate term limitations for directors of the Corporation, and 2) to add Article THIRTEEN (XIII), which contains certain provisions regarding limits on liability for monetary damages of directors of the Corporation, a copy of such proposed amendments being attached hereto as Exhibit A; WHEREAS, pursuant to ~ 394.016 and 394.017 of the Act, the City Council of the City must approve all amendments to the Articles of Incorporation of the Corporation; and WHEREAS, it is deemed necessary and advisable that this Resolution be adopted; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS THAT: 1) The Articles of Amendment to the Articles of Incorporation of the Corporation, in the form attached hereto as Exhibit A are hereby authorized and approved. 2) The Mayor and the City Secretary of the City and the other officers of the City are hereby authorized, jointly and severally, to execute and deliver such endorsements, instruments, certificates, documents, or papers necessary and advisable to carry out the intent and purposes of this Resolution. 3) The proper officers of the Corporation are hereby authorized to file the necessary documents with the Office of the Secretary of State of the State of Texas, and to take all such further action as may be necessary or proper to carry out the intent of this Resolution and to effectuate such amendment. * * * 0159928 Schertz Housing Finance Corporation June 6, 1995 The Honorable Hal Baldwin Mayor, City of Schertz 1400 Schertz Parkway Schertz, TX 78154 Re: Application for approval of Articles of Amendment to Articles of Incorporation of the Schertz Housing Finance Corporation Dear Mayor Baldwin, I am writing to request the Schertz City Council's approval of an amendment to the Articles of Incorporation of the Schertz Housing Finance Corporation. Enclosed is a proposed form of approving resolution and a copy of the proposed amendment. The amendment (1) eliminates term limitations for ,directors of the Corporation and (2) limits the liability for monetary damages of directors of the Corporation. I would appreciate the City Council's approval of our application. Should you have any questions concerning this request, please feel free to contact me. Thank you very much for your time and the City Council's consideration of this matter. Very truly yours, ~~~gM~ . Charles B. SharPe, . President of the Board of Directors, Schertz Housing Finance Corporation CBS eEnclosures 0159883/810094 ,14, >l ARTICLES OF AMENDMENT TO THE ARTICLES OF INCORPORATION OF SCHERTZ HOUSING FINANCE CORPORATION CHARTER NO. 647251-01 Pursuant to the provisions of ~94.016 of the Texas Local Government Code, as amended, the undersigned Corporation adopts the following Articles of Amendment to its Articles of Incorporation which 1) eliminate term limitations for directors of the Corporation, and 2) limit the liability for monetary damages of directors of the Corporation. The name of the Corporation is "SCHERTZ HOUSING FINANCE CORPORATION". The Articles of Incorporation of the Schertz Housing Finance Corporation are hereby amended as follows: ARTICLE EIGHT (VIII) of the Corporation's Articles ofIncorporation is hereby amended to read as follows: The affairs of the Corporation shall be managed by a board of directors which shall be composed in its entirety of persons appointed by the City Council of the City. The number of directors constituting the board of directors is five (5). Each director shall be eligible for reappointment. Directors are removable by the City Council for cause or at will. Any vacancy occurring on the board of directors through death, resignation, or otherwise shall be filled by appointment by the City Council, such replacement director to hold office until expiration of the term for which the vacating director had been appointed. The Articles of Incorporation are hereby amended by adding thereto the following additional ARTICLE THIRTEEN (XIII) which reads in its entirety as follows: A director of the Corporation shall not be liable to the Corporation for monetary damages for any act or omission in the director's capacity as a director occurring from and after certification by the Secretary of State of the State of Texas that these Articles of Amendment have been filed in such office, except to the extent that the director is found liable for (i) a breach of the director's duty of loyalty to the Corporation; (ii) an act or omission not in good faith that constitutes a breach of duty of the director to the Corporation, or an act or omission that involves intentional 0160456 . I misconduct or a knowing violation of the law; (iii) a transaction from which the director received an improper benefit, whether or not the benefit resulted from action taken within the scope ofthe director's office; or (iv) an act or omission for which the liability of a director is expressly provided by an applicable statute. These Articles of Amendment were adopted at a meeting of the board of directors of the Corporation duly called and held on June 6, 1995 at which meeting such amendment received a majority vote of the Corporation's directors in office. IN WITNESS WHEREOF, we have hereunto set our hands, this the 6th day of June, 1995 SCHERTZ HOUSING FINANCE CORPORATION Z~ Secretary #~E~ , Presid~ (SEAL) THE STATE OF TEXAS COUNTY OF GUADALUPE ~ ~ ~ / LL These Articles of 0~ day of June, 1995 by the Schertz Housing Finance Corporation, corporation, on behalf of said corporation. re ckn wled~be~ me Qn the _, I N~of a Tex s nonprofit housing finance (SEAL) NORMA ALTHOUSE NotIryPubllo._ofT"" My Commission expIres Nov, 9. 199B ~~w~ Notary Public in and for the State of Texas Ak,e/1l/t /II TJloU.sE I (Printed Name of Notary) My commission expires: Aktl, ~ Ifl,( 0160456 -2-