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<br />Please Substitute for Ordinance No. 34-06.
<br />(Placed on 1st Reading and Referred to Finance
<br />Committee 4/17/06. Placed on 2nd geading 5/1/
<br />
<br />ORDINANCE NO 34-06
<br />
<br />By:Antonio~ Butler, Dermo, Dever,
<br />FitzGerald, Madigan, Seelie.
<br />
<br />AN ORDINANCE to take effect immediately provided it receives the affiffilative
<br />vote of at least five (5) members elected to Council otherwise, it shall take effect and be in force
<br />after the earliest period allowed by law, to provide for the issuance and sale of notes of the City
<br />of Lakewood, Ohio, in anticipation of the issuance of bonds, in the principal amount of
<br />$1,222,000 for the purpose of acquiring computers and systems therefor for municipal purposes
<br />
<br />WHEREAS, pursuant to Ordinance No 38-05, passed May 16,2005, the Council
<br />of the CÍty authorized the issuance of notes in anticipation of the issuance of bonds in the
<br />principal amount of $685,000 for the purpose hereinafter set forth, which notes were dated June
<br />15,2005 and which notes will mature on June 15, 2006, (the "2005 Notes"); and
<br />
<br />WHEREAS, the Council of the City has determined that $34,000 is now available
<br />to apply against the principal of the 2005 Notes and that after the application of $34,000 to the
<br />payment thereof, the remaining outstanding principal of the 2005 Notes (to wit, $651,000) shall
<br />be paid by the issuance of new notes in anticipation of the issuance of bonds for the purpose
<br />hereinafter stated; and
<br />
<br />WHEREAS, the Council of the City has determined that it is necessary to issue an
<br />additional 571,000 in principal amount of new notes for the purpose hereinafter stated; and
<br />
<br />WHEREAS, the Director of Finance of the City of Lakewood, Ohio, as fiscal
<br />officer, has certified to this Council that the estimated life of the improvements hereinafter
<br />mentioned is at least five (5) years and has further certified that the maxjmnm maturity of the
<br />bônds in anticipation of which the notes will be issued is five (5) years and that the maximum
<br />maturity of the notes issued in anticipation ofboncls is ten (10) years from the date ofissuance of
<br />the notes originally issued for the improvements; and
<br />
<br />WHEREAS, this Council, by a vote of at least five (5) members elected thereto,
<br />detennines that this Ordinance is an emergency measure, and that this Ordinance shall take effect
<br />at the earliest date possible as set forth in ARTICLE III, SECTIONS 10 AND 13 of the
<br />SECOND AMENDED CHARTER OF THE CITY OF LAKEWOOD, and that it is necessary for
<br />the immediate preservation of the public property, health and safety, and to provide for the daily
<br />operation of municipal departments in that the immediate issuance and sale of the notes herein
<br />authorized is necessary to provide funds for the construction of the improvements urgently
<br />needed to protect the health and safety ofthe citizens of the City;
<br />
<br />NOW, THEREFORE, BE IT ORDAINED by the City of Lake wood, Cuyahoga
<br />County, Ohio that·
<br />
<br />Section 1. It is hereby declared necessary to issue bonds of the City of
<br />Lakewood, Ohio (the "City") in the principal amount of $1,222,000 for the purpose of acquiring
<br />computers and systems therefor for municipal purposes
<br />
<br />Section 2. The bonds shall be dated approximately June 1, 2007, shall bear
<br />interest at the now estimated rate of six per centQm (6%) per annum, payable semi-annually until
<br />the principal sum is paid, and shaH mature in five (5) annual instaHments after their issuance
<br />such that the total principal and interest payments in any year in which principaJ is payable is
<br />substantially equal
<br />
<br />Section 3, It is hereby determined that notes (hereinafter referred to as the
<br />"Notes") in the principal amount of $1,222,000 shall be issued in anticipation of the issuance of
<br />bonds for the above-described purpose The Notes shall be sold of private sale and shall bear
<br />interest at the rate,. fixed by the Director of Finance in his certificate awarding the Notes,
<br />provided that such rate shall not exceed eight per centum (8%) per annum Interest on the Notes
<br />shall be payable at maturity, with provision, if reqnested by the original purchaser, that, in the
<br />event öf default, the Notes shall bear interest, at a rate which shall not exceed ten per centum
<br />(10%) per annum, until the principal sum is paid or provided for. The Notes shall be dated their
<br />date of issuance, shall mature on a date that is betweensìx months and one year, inclusive, from
<br />their date of issuance, all as determined by the Director of Finance. The Notes shall not be
<br />subject to redemption by the City at any time prior to maturity, unless the original purchaser of
<br />
<br />{KLF3674.DOC;1}
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