01-01 Funds - Police & Firemen's Disability Obligation

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ORDINANCE NO. 1 - 01 Placed on 1st Reading ~ To Finance Cmte 1/16/01. Placed on 2nd Read 2/5/01, Referred By: Corrigan, FitzGerald, George, Roth, Seelie, Skindell, Smith. AN EMERGENCY ORDINANCE to provide for the issuance of not to exceed $5,576,000 bonds of the City of Lakewood, Ohio for the purpose of providing some or all of the funds required to satisfy the City's obligation under an agreement with the Board of Trustees of the Police and Firemen's Disability and Pension Fund under Section 742.30 of the Ohio Revised Code, and declaring an emergency. WHEREAS, the Fiscal Officer has certified to the maximum maturity of the bonds proposed to be issued; and WHEREAS, this Ordinance is an emergency measure which is necessary for the immediate preservation of the public peace, property, health, safety and welfare in the City and for the further reason that the immediate issuance and sale of the bonds herein authorized is necessary to obtain favorable terms .of the bonds in a fluctuating bond market; NOW, THEREFORE, BE IT ORDAINED by the City of LakeWood, Cuyahoga County, Ohio: SECTION 1. k is.hereby declared necessary to issue bonds (hereinafter called the "Bonds") of the City of Lakewood in the principal sum of not to exceed $5,576,000 for the purpose of providing some or all of the funds required to satisfy the City's obligation under an agreement with the Board of Trustees of the Police and Firemen's Disability and Pension Fund under Section 742.30 of the Ohio Revised Code. SECTION 2. The Bonds shall be issued in one lot and notes have not been issued in anticipation of the Bonds. The Bonds may be issued in the denomination of $5,000 or any integral multiple of $5,000, but in no case as to a particular maturity date exceeding the principal amount maturing on that date. The Bonds shall be dated as determined by the Fiscal Officer, but no later than May 15, 2001. The Bonds shall bear interest at the rate or rates of interest (computed on a 360- day per year basis) as specified in a certificate of award which shall be signed by the Fiscal Officer and provide for the award of the Bonds in accordance with Section 5 of this ordinance (the "Certificate of Award'). Interest on the Bonds shall be payable semi-annually each year on dates determined by the Fiscal Officer (the "Interest Payments' Dates"), commencing no later than June 1, 2002, until the principal amount has been paid or provided for. The Bonds of any one maturity shall bear the same rate of interest. A particular Bond shall bear interest f~om the most recent date to which interest has been paid or provided for or, if no interest has been paid or provided for, fi:om their date. "Fiscal Officer" as used in this Ordinance means the City's Director of Finance. SECTION 3. The Bonds shall bear interest (computed on a 360-day per year basis) at the rate or rates specified in the Certificate of Award, provided that the maximum average interest rate on the Bonds shall not exceed seven percent (7%) per annum. The Bonds shall mature serially and annually on dates determined by the Fiscal Officer, commencing no later than December 1, 2002 and ending no later than December 1, 2031, in such principal amounts as may be fixed by the Fiscal Officer in the Certificate of Award, provided, that the Bonds stated to mature in any year may be issued as term bonds (the "Term Bonds") payable pursuant to Mandatory Sinking Fund Redemption Requirements as hereinafter defined and further described below. The Fiscal Officer shall determine in the Certificate of Award whether any of the Bonds shall 'be issued as Term Bonds and any dates (the '~Nlandatory Redemption Dates") on which the principal amount stated above shall be payable pursuant to Mandatory Sinking Fund Redemption Requirements rather than at stated maturity (the "Mandatory Sinking Fund Redemption Requirements"). The aggregate principal of and interest on the Bonds payable in each calendar year in which principal is payable, whether at maturity or by mandatory sinking fund redemption, shall be not more than three times such principal of and interest on the Bonds payable in any other calendar year in which principal is payable. The Bonds shall be subject to redemption prior to stated maturity as follows: {KLF0963.DOC;1 }