40-07 Retiring Motorized Equip Notes

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ORDINANCE NO. 40-07 By: AN ORDINANCE to take effect immediately provided it received the affirmative vote of at least five (5) members elected to Council, otherwise, it shall take effect and be in force after the earliest period allowed by law, to provide for the issuance and sale ofuntes of the City in a maximum principal mount of $2,525,000, in anticipation of the issuance of bonds, for thc purpose of retiring outstanding moturi2ed equipment notes of the City, and declaring an emergency BE IT ORDAINED by the City of Lakewood~ Ohio: Section 1. Findings and Determinations. This Council finds and determines the, following matters (capitalized terms are defined in Section 14): (a) The City has previously authorized and issued the Outstanding Notes. The Outstanding Notes were issued to (1) retire the Series 2005 Notes and (2) pay the costs of the Project. (b) The Outstanding Notes are about to mature. (0 It is necessary for the City to issue the Bonds to pay the costs of the Project. It is necessary to issue the Notes in anticipation of the Bonds for the purpose of (1) retiring the Outstanding Notes and (2) paying the Financing Costs of the Notes. (d) The Director of Finance has certified to this Council the maximum maturity of the Bonds and Notes. All acts and conditions necessary to be performed by the City or to have been met for the issuance of the Notes in order to make them legal, valid, and binding general obligations of the City, have bean performed and met, or will have been performed and met, at the time of delivery of the Notes, as required by law. No statutory or constitutional limitation of indebtedness or taxation will be exceeded by the issuance of the Notes. All formal actions of this Council relating ~o the enactment of this ordinance were taken in an open meeting of this Council, and all deliberations of this Council and of any of its committees that resulted in those formal actions, were in meetings open to the public, in compliance with all legal requirements, including Section 121,22, Ohio Revised Code. Section 2. Bond Terms. The Bonds will have the following terms: (a) Amount and Rate. The Bonds will be issued in the maximujn principal amount of $2,525,000 and will bear interest at the estimated average annual interest rote of 5%. (b) Term. The Bonds will mature serially over a period of 5 years in accordance with /he following estimated principal pa3anent schedule: Year Prifi~pal 1 $300,000 2 525,000 3 550,000 4 570,000 5 580,000 Debt Service. The Bonds will be payable as to Debt Service from any money of the City lawfully available and appropriated for that purpose and, if that money is insufficient, fi.om the proceeds of an ad valorem tax to be levied on all property