89-83 Appoint AmeriTrust as Transfer Agent

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ORDINANCE NO. 89-83 By: Brown, Galla§her, Graham, McBride, Wendling AN EMERGENCY ORDINANCE appointing AmeriTrust Company as transfer agent and registrar for general obliga- tion bonds of the City. WHEREAS, the new federal law known as the Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA), and particularly the newly-enacted Section 103(J)of the Internal Revenue Code contained therein, requires all state and local obligations, including general obligation bonds of the City, to be issued in fully registered form in order for the interest on such obligations to be exempt from federal income tax; and WHEREAS, the issuance of fully registered bonds requires the appointment of a transfer agent and registrar for such bonds and such appointment is authorized by Section 9.96(C) of the Ohio Revised Code; and WHEREAS, AmeriTrust Company, Cleveland, Ohio ("AmeriTrust"), is the paying agent for the general obligation bonds of the City and has indicated a willingness to serve additionally as transfer agent and registrar for such bonds; and WHEREAS, this Council by two-thirds (2/3) vote of the members elected thereto determines that this ordinance is an emergency measure which is necessary for the immediate preservation of the public peace, property, health, safety and welfare and for the further reason that the immediate effectiveness of the appointment herein authorized is necessary to enable the City to issue promptly its general obligation bonds; NOW, THEREFORE, BE IT ORDAINED by the City of Lakewood: Section 1. AmeriTrust Company, Cleveland, Ohio, is hereby appointed transfer agent and registrar for issues of general obligation bonds and notes of the City issued in fully registered form for the pur- pose of performing issuance, authentication, transfer, registration and exchange functions relating to such issues, preparing, signing and issu- ing checks or drafts in payment of obligations under such issues, pre- paring and maintaining reports and accounts and performing other similar duties relating to such issues. Section 2. The Director Of Finance is authorized to revoke the appointment of AmeriTrust at any time by delivery to the corporate trust officer of AmeriTrust of a written notice of such revocation. Section 3. The Director of Finance is authorized to pay to AmeriTrust compensation for all its services rendered in connection with this appointment, the amount of such compensation to be determined by application of the schedule of service charges of AmeriTrust in effect at the time the services are rendered, unless such service charges are waived by AmeriTrust. Section 4. The Mayor is authorized to execute an agreement with AmeriTrust authorizing AmeriTrust to perform the functions and duties