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(a) To secure the payment of the Bond Service Charges on the Bonds
<br />as the same shall become due and payable (whether by acceleration, call for
<br />redemption or otherwise) and the performance of the Issuer as provided in this
<br />Bond Legislation, the Bonds and the Indenture, the Mayor and the Fiscal Officer
<br />are hereby authorized and directed for and in the name of the Issuer and on its
<br />behalf to make, execute, acknowledge and deliver to the Trustee or to its
<br />successors, in trust for the purchasers and subsequent holders of the Bonds, the
<br />Indenture substantially in the form now on file with the Clerk, after approval
<br />thereof by the Legal Officer, being a good and sufficient indenture of mortgage
<br />mortgaging for the holders of the Bonds the Issuer's interests in all the
<br />properties of the Utility therein described now owned or hereafter acquired by
<br />the Issuer for so long as any of the Bonds shall remain outstanding. Such form
<br />of Indenture is hereby approved, with such changes therein as are not
<br />inconsistent with this Bond Legislation and not substantially adverse to the
<br />Issuer and which are permitted by the Charter and Constitution of Ohio and shall
<br />be approved by the officers executing the Indenture. The approval of such
<br />changes, and that such changes are not substantially adverse to the Issuer, shall
<br />be conclusively evidenced by the execution of the Indenture by such officials.
<br />
<br /> (b) The Mayor and the Fiscal Officer, or either of them, are
<br />authorized to prepare and deliver to any prospective purchaser of the Series 1991
<br />Bonds a Preliminary Official Statement, and to prepare, execute and deliver to
<br />the Original Purchaser of the Series 1991 Bonds a final Official Statement, in
<br />connection with the sale and delivery of the Series 1991 Bonds.
<br />
<br /> Section 10. Franchise. In the event of the foreclosure of the
<br />Indenture, the purchaser or purchasers at that foreclosure sale shall be entitled
<br />to operate the Utility as improved or extended under the terms of the following
<br />franchise, upon the confirmation of that foreclosure sale, to wit:
<br />
<br /> A FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A
<br /> WATER SYSTEM AS A PUBLIC UTILITY IN AND FOR THE CITY OF
<br /> LAKEWOOD, OHIO, UPON, ALONG AND UNDER THE STREETS,
<br /> LANES, ALLEYS, AVENUES AND OTHER PUBLIC THOROUGHFARES OF
<br /> THE CITY OF LAKEWOOD, AND TO FIX AND PRESCRIBE THE TERMS
<br /> AND CONDITIONS UNDER WHICH SUCH OPERATION SHALL BE
<br /> CONDUCTED.
<br />
<br /> Section A. Hereafter, when the work "Grantee" appears in this
<br />franchise, it shall be held to mean and include the purchaser or purchasers at
<br />a judicial sale upon foreclosure of the mortgage on the municipal utility
<br />referred to as the "Utility" in the ordinance granting this franchise, and any
<br />person, association of persons, partnership or corporation who shall, upon such
<br />foreclosure, become the owner of the Utility by assignment from the purchaser or
<br />purchasers; and this franchise shall insure to the benefit of such person,
<br />association, partnership or corporation and their heirs, executors,
<br />a=hninistrators, successors and assigns. The terra "City", where used herein,
<br />shall refer to the City of Lakewood granting this franchise.
<br />
<br /> Section B. The Grantee is hereby given the right, for the full
<br />period of twenty (20) years after the date of the final confirmation of the
<br />Judicial sale on foreclosure of the mortgage, to construct, maintain, operate and
<br />extend the Utility upon, along and under the streets, lanes, alleys, avenues and
<br />other public thoroughfares, and public property of the City, with the full and
<br />necessary privileges for the use of the streets, lanes, alleys, avenues and other
<br />public thoroughfares or property for the purposes of constructing, erecting,
<br />maintaining, operating and extending mains, valves, meters, outlets, connections,
<br />manholes and all other apparatus necessary or appropriate to the operations of
<br />the Utility.
<br />
<br /> Section C. This franchise shall be held to apply to, and to give the
<br />right to own and operate, all the properties, property rights and interests
<br />
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