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,~,.: 0111 ~!i ~~~ ~i~6'A71r#V oRDTCE ~o. - / ~,.~,.z- A1~ ORDINAI'~CE Ta PRff~VVIDE FOR T1~ TSSUARCE Off' NOTES I!t AIITICTFl-TIa1~ {)~' TSN ISSUtll(CE v~ FOR THS PURPOSE ~ PURCTI~G SIX NEW BI~SEB FENq USE IN TSE TIf~ CT' T8E QL1N~T]~H 1~Rh CTPAL CCIACS I;II~, AIgD DECIARII(G AA EI~G~I+CY. W~~REAS, the Director of Finance, as fiscal officer of the City, has heretofore certified the estimated life of the property and the ~ maturity of the bonds and notes proposed to be issued; NOW, THNRE~ORE, BE IT ORDAINED BY THE C(R~ACII, O1~ THE CITY OF FORTH OLMSTED, CUXAIiOC~A COUATY, (~iIO: Section 1. That it fs hereby declared necessary to issue bonds of the City of North Olmsted in the principal sum of $220,4t)O for the puspmse of purchasing six nee buses for use in the operation of the North Olmsted Municipal Coach I,ixee. Section 2. That said bonds shall be dated approxistiately E?etober 1, 19x12, shall bear interest at the estimated rate of five per septum (5~) per annum, payable sest3.•annually, until the principal sum is paid, and shall mature in five substantially equal installments after their issuance. Section 3. That Par the purpose of raising money in anticipation of the issuance of the aforesaid booms, it is hereby declared necessary to issue and there sha11 be issued notes of said City in the principal amount of $220,040. Section 4. That such anticipatory notes in the amount aforesaid shall bear interest at such rate not exceeding five per centum per annum as say be fined by the Director of Finance in his ward of said notes at private sale, sash interest to be payable at maturity, and ~ bear a penalty rate of interest of eight per centum if default is made in payment of the notes at maturity. Said notes shall be dated as of the date of their issuance and shall mature one year from such data. Said notes shall be signed by the Mayor and by the Director of Finance, shall bear the c02"p01"ate seal of the City, shall be payable at the office of The National City Bank of Cleveland, Cleveland, Ohio, and shall. ex,~'ess on their faces the purpose for which they era issued ar-d that they are issued pursuant to this ordinance. Said notes may be payable in Federal Reserve funds of the United States of America if requested by the purchaser. Section 5. Subject to the refection of such notes by the Director of Finance for investment in the Bond Retirement Fund, such notes shall be spld by the Director of Finance at private sale at an interest rate not to exceed that authorised by Section ~+ of this ordinance and for not less than par axNt accrued interest. The proceeds from such sale, except any premium and aecrusd interest, shall. be paid into the proper fund and used for the purpose afr~rasaid a for no other purpose. A~ prearium and accrued interest shall be deposited in the Bond Retirement Fund. The City covenants that the proceeds of said notes sha11 rat be invested or used in such manner that the notes would be an "arbitrage bond" for the purpose of Section 103(4)(1) oP the Internal Renrenue Code of 1954. Section 6. Said notes shall be the fu11 general obligations of the City and the full faith, rxedit and re~renue of such City are hereby pl far the prvs~t payment of the same. The par value to be received from the sale of the bonds anticipated by said notes and nary excess funds resulting fream the issuance of said notes shall to the extant necessary be used. only for the retiresdent of said notes at raturity, together with interest thereon, and are hereby pledged for such purpose. Section 7. During the year or years such notes run there shall be levied on all the taxable property in the City of North Olmsted in addition to all other tames, a direct tax sr~ually not less than that which would h+~ve bean l+svied if bonds had been issued without the prior issue of such rotas.