10-70 BAN - acquiring & improving property for parking garage

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-2- Section 3. That it is necessary and this Council hereby determines that notes in the aggregate amount of ~900,000 shall be issued in.anticipation of the issuance of said bonds and to pay and retire the outstanding note d~ted February 28, 1969. Section 4. That such anticipatory notes in the amount aforesaid shall bear interest at the rate of five and one half per centum ( 5.50 ~) per annum, such interest to be payable at maturity. Such notes shall be dated Februmry 27, 1970, and shall mature on February 26, 19?l. Said notes.shall be issued in such number and denominations as requested by purchaser. Section 5. That such notes shall be executed by the ~.~yor and Director of Finance and bear the seal of the corporation. They shall be payable as to both principal and interest .at the office of the Director of Finance, Lakewood City Hall, Lakewood, Ohio, and shall express upon their faces the purpose for which they are issued and that they are issued pursuant to this ordinance. Section 6. Said notes shall be first offered to the Director of Finance as officer in charge of theBond Retirement Fund, and if not taken by said fund, shall be sold to The Ohio Compauy at par and a, ccrued interest, and the proceeds from such notes, except any premium and accrued interest thereon, sba1! be paid into the proper fund and used for the purpose afore saidand for no other purpose, and for which purpose said money is hereby appro- priated. Any premium and accrued interest shall be transferred to the Bond Retire- ment Fund to be applied in the payment of prindipal and interest of said notes in the manner provided by law. The City of Lak~wood covenants that nroceeds of said notes shall not be invested or used in such manner that any of said notes would be "arbitrage bonds" for purposes of Section 103(d)(1) of the Internal Revenue Code of 1954. Section 7. Said notes shall be the full general obligation of the City of Lakewood and the full faith, credit and revenue of said City are hereby pledged for the prompt payment of the same. The par value to be received from the sale of the bonds anticipated by said notes and any excess funds resulting from the issuan¢ of said notes shall, to the extent necessary, be used only for the retirement of said notes at maturity, together with interest thereon, and is hereby pledged for such purpose. Section 8. During the years while such notes run, there shall be levied on ~1! the taxable property in the City of Lakewood, in addition to 'other taxes, a direct tax annually not less than that which would have been levied if bonds had been issued without the prior issue of such notes. Said t~x shall be and is hereby ordered computed, certified, levied and extended upon the tax duPli- cate and collected by the same officers, in the same manner and at the same time that taxes for general purposes for each of said years are certified, extended and collected. Said tax shall be placed before and in preference to a11_ other items and for the full amount thereof. The funds derived from said tax levies hereby required shall be placed in a separate and distinct fund which, together with the interest collected on the' same, shall be irrevocably pledged for the payment of the princiPal and interest of said notes or the bonds in anticipation of which they are issued, when and as the same fall due; provided, however, that in each such year to the extent that surplus parking revenues are available, for the payment of such notes and bonds and are appropriated for such purpose, the amount of tax shall be reduced by the amount of such funds so available and appropriated. Section 9. It is hereby determined and recited that all acts, condi- tions and things necessary to be done precedent to and in the issuing of said notes in order to make them legal, valid and binding~ligations of the City of Lakewood, have been done and performed in regular and due form as required by law;' and that no limitation of indebtedness or taxation, either statutory or constitu- tional, will have been exceeded in the issuance of said notes.