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<br />PLACED ON 1ST RÉADING & REFERRED TO THE
<br />COMMITTEE OF THE WHOLE 615/06. SECOND
<br />READING 6/1.9/06.
<br />
<br />ORDINANCE NO. 51-06
<br />
<br />By· Antonio, Butler, Dever, Madigan, Seel:
<br />
<br />AN ORDINANCE to take effect innnediately provided it received the a£finnative
<br />vote of at least five (S)members elected to Council, othetwise, it shall take effect and be in force
<br />after the earliest period allowed by law, to provide for the issuance and sale of water system
<br />revenue bonds of the City of Lakewood, Ohio, in the principal amount of not to exceed
<br />$12,500,000 for the purposes described herem.
<br />WHEREAS, the City of Lake wood, Ohio (the "Issuer") has heretofore issued
<br />pursuant to Ordiuance No.. 51-91, effective July 17, 1991, its $4,670,000 Water System
<br />Mortgage Revenue Bonds, Series 1991 (the "Series 1991 Bonds"), has issued pursuant to
<br />Ordiuance No. 12-95, effective April 6, 1995, its $3,125,000 Water System Mortgage Reveuue
<br />Bauds, Series 1995 (the "Series 1995 Bonds"), and has issued pursuant to Ordinance No 128-02,
<br />effective November 21,2002, its $4,025,000 Water System Mortgage Reveuue Refuuding
<br />Bonds, Series 2002 (the "Series 2002 Bonds");
<br />WHEREAS, pursuant to Ordinance No.. 43-05, passed May 16, 2005, the Council
<br />of the Issuer authorized the issuance of notes in anticipation of the issuance of bonds in the
<br />principal amount of$4,840,000 for the purpose of improving water lines within the City, which
<br />notes were dated June 15, 2005 and matured on June 15, 2006 (the "Series 2005 Notes"), which
<br />Series 2005 Notes were retired with a portion of the proceeds' of the City's Various Purpose
<br />Geueral Obligation Bond Anticipation Notes, Series 2006B, which 2006 Series B Notes were
<br />authorized by Ordinance No. 39-06, passed on May 15, 2006, and were dated June 14,2006 and
<br />will mature on October 12, 2006; and
<br />WHEREAS, in order to (i) furnish fuuds for the purpose of paying the Cost of the
<br />hnprovemeuts constituting Project 2006; (ii) fuuding the Bond Reserve Requirement for the
<br />Series 2006 Bonds, which may be fuuded with a surety bond in lieu of cash on deposit in the
<br />Baud Reserve Fund; (iii) refunding the portion ($4,840,000) of the Series 2006 B Notes related
<br />to the improvements of water lines; and.(iv) paying Financillg Costs related to the issuance and
<br />sale of the Series 2006 Bonds, including, without limitation, the premiums for a municipal bond
<br />insurance policy and surety bond for the Series 2006 Bonds, the Council desires to authorize the
<br />issuance and sale of Additional Bonds, to be designated "Water System Revenue Bonds, Series
<br />2006 (the "Series 2006 Bonds"), under and in accordance with the Original Indenture, as
<br />supplemeuted by the First Supplemeutal Indenture, the Second Supplemental (both as defined
<br />herein) and the Third Supplemental Indeuture (as defined and authorized herein), and pursuant to
<br />Article XVIII of the Ohio Constitution, the Issuer's Charter and this ordinance (sometimes
<br />hereinafter referred to as the "Series 2006 Bond Legislation"), for such purposes; and
<br />WHEREAS, current market conditions enable the Issuer to requestthat the
<br />Trustee release the mortgage on the Mortgaged Properties granted to the Trustee pursuant to the
<br />terms of the Original Indenture, so long as the Issuer obtains .the consent of the majority of
<br />Holders of the Issuer's Bonds Outstanding under the Indenture to such release; and
<br />WHEREAS, this Council, by a vote of at least five (5) members elected thereto,
<br />detenuines 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 innnediate 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 bonds herein
<br />authorized is necessary to provide funds for the construction of the improvements urgently
<br />needed to protect the health and safety of the citizeus of the City and for the payment of the
<br />Series 2006B Notes at maturity;
<br />NOW, THEREFORE, BE IT ORDAINED by the City of Lakewood, Ohio, that:
<br />Section 1. Definitions. Words -and tenns used as defined words and tenns herein,
<br />including the recitals hereto, and not otherwise defined herein shall have the meanings given
<br />them in the Original Indenture. In addition to the words and terms defined elsewhere in this
<br />Series 2006 Bond Legislatiou and in the Original Indenture, the following words and terms as
<br />used in this Series 2006 Bond Legislation, including the recitals hereto, shall have the following
<br />meanings, unless the context or use indicates a different meaning or intent:
<br />"Bond Counsel" means Calfee, Halter & Griswold LLP or a firm of attorneys
<br />selected by the Issuer of nationally recognized standing on the subject ofmonicipal bonds.
<br />"Charter" means the charter of the Issuer, as amended, duly adopted pursuant to
<br />Article XVIII of the Ohio Constitution.
<br />"Clerk" means the Clerk of the Legislative Authority.
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