16-80 provide recreation center - BAN

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rate of ten and one-half per centum (10-1/2%) per annum, until the principal sum is paid; shall be in. the denominations and numbered as the original purchaser thereof requests; shall be dated February 29, 1980 and shall mature on February 27, 1981, with an option in the City to redeem such notes prior to maturity if satisfactory .to the original purchaser of such no res. Section 5. That such notes shall be executed by the Mayor and Director of Finance and bear the seal of the corporation. They shall be payable in Federal Reserve funds of the United States of ;~erica at the principal office of AmeriTrust Company,' Cleveland, Ohio, and shall exTress upon their faces the purpose for ~nich 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 sold to AmeriTrust Company, Cleveland, Ohio, at the par value thereof together with premium and accrued interest thereon; and the Director of Finance is hereby authorized and directed to deliver said notes, when exe- cuted, to the original purchaser thereof upon payment of the purchase price. ~ne proceeds of such sale shall be paid into the proper fund and used for the pu~7ose, for which said notes are being issued under the provisions of this ordinance.. ~ne City hereby covenants that it will restrict the use of the proceeds of said notes in such manner and to such extent, if any, as may be necessary, after taking into account reasonable expectations at the tithe of the delivery of and payment for said notes, so that said notes.will not constitute arbitrage bonds under Section i03(c) of the Internal Revenue Code and the applicable i~come regulations under that Section. '~e fiscal officer or any other officer, including the Clerk. of Council, having responsibility for issuing said notes is authorized and directed, alone or in conjunction with any of the foregoing or with any other officer, emp!o~ee, or consu!kant of the City, to give an appropriate certificate of the City, for inc!usion in the transcript of proceedings, setting'forth the reasonable expectations of the City regarding the amount and use of all such proceeds and the facts and~estimates on which they are based, all as of the date of delivery and payment for said notes. Section 7. Said notes shall be the full general obligations of the City of Lake~.~ood and the full faith, credit and revenue of said City are hereby pledged for the prompt payment oi the same. ~ne par value to be received from the sale of the bonds anticipated by said notes and any ex- cess funds resulting from the issuance of said notes shall, to the extent necessary, be used only for the retirement of said notes at maturity, to- gether with the interest thereon, and is hereby pledged for such purpose. Section 8. During the years while such notes run, there shall be levied on all the taxable property in the cityof Lakewood, in addition to all other taxes, a direct tax annually not less than that which would have been lqvied if bonds had been issued without the prior issu~ of such notes. Said tax shall be and is hereby ordered co~puted, 'certified, levied and extended'upon the tax duplicate and collected by the same officers, in the same manner and at the same time that taxes for general purposes of each of said years are certified, extended and collected. Said tax shall be placed befoCe and in preference to all other items and for the full amount thereof. ~]e funds derived from said tax levies ~ereby required shall be placed in a separate and distinct fund which, together wi'th the interest collected'on the same.shall be irrevogably 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.