61-70 BAN - modernize Lakewood Hospital

Home Browse Search

Section 4. That such anticipatory notes at the rate of three and sixty-fiw~_ huudredths per centum (3.65%) per annum payable at maturity; shall be dated November 27, 1970; shall be in such number and denomiuation as the purchaser may request; and shall mature on November 26, 1971. Section 5. That such notes shall be executed by the Mayor and Director of Finance and shall bear the seal of the corporation; shall be payable at the office of the Director of Finance, City' Hall, Lakewood, Ohio or, at the option of the holder, in Federal Reserve Funds of the United States of America at the National City Bank of Cleveland, Cleveland, Ohio, or at Chase Manhattan Bank, N.A., New York, New York; and shall express upon their faces the purpose for which they are issued and that they are issued pursuant to this ordinance. Section 6. Subject to the rejection of said notes by the Director of Finance for investment in the Bond Retirement Fund, said notes shall be and hereby are awarded and sold to _.Ball~ Bqrge & Kraus , at the par value thereof together with accrued interest thereon, and the~D~rector of Finance is hereby authorized and directed to deliver said notes, when executed, to the purchaser upon pa~nent of such purchase price. The.proceeds of such sale shall be paid into the proper fund and used for the purpose for which said notes are being issued under the provisions of this ordinance. Section ?~ Said notes shall be the full general obligations of the City of Lakewood and the full faith, credit and revenue of said City are hereby pledged for the prompt~ paym~ent of the ssm~e. The par value to be received from the sale of the bonds anticipated by said notes and any excess funds resulting ~from the issuance 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. Duringthe years while such notes run, there shall be levied on ~ll the t~xable property in the City of Lakewood, in addition to all 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 tax shall be and is hereby ordered computed, certified, levied and extended upon the tax duplicate and collected by the same officers, in the same manner ~nd at the same time that taxes for general purposes for ~ach of said years are certified, extended and collected. Said tax shall be placed before an~ in preference to all 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 falls due. · · · Section 9. Since the permanent improvements for which said notes are to be issued are urgently needed, the appropris~te officers of the City are hereby directed to proceed with all dispatch to secure completion thereof as promptly as is feasible, and it is expected that thesame will be completed as soon as possible and that ~ny proceeds of this issue, to the extent not required-for retirement of the notes .previously issued~ and any proceeds of such prior notes not yet expended, will be invested or deposited only for'a temporary period pending need for expenditure to pay costs of such improw~ments. The City covenants that proceeds 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 195~.