71-138 Ordinance - Laserfiche WebLink

Home Browse Search

-2- Section 4. That such anticipatory notes in the amount afore- said shall bear interest at such rate not exceeding six per centum (6x) per annul, payable at maturity, and at such rate after maturity not ex- ceeding eight per ceatme (8~) per anmm:, as may be fixed by the Director of Finance in his award of said notes at private sale. Such note shall be dated as of the date of issuance, shall mature one year from said date, and shall be in such denominations as may be requested by the pur- chaser. Section 5. That :inch cotes shall be signed by the Mayor and Director of Finance and bear the seal of the corporation. They shall be payable in lawful mbn+ey of the United States of America at the main office of The National City Badt of Cleveland, Cleveland, Ohio, sad shall express upon their face the purposes for trhich they are issued and that they are issued pursuant to this ordinance. Section 6. That all assessments collected for the improvement aforesaid, and any unexpended balance remaining in the imprvvement fund after the costs and expenses of said improvement have been paid, shall be applied to the payment of said notes and the interest thereon until both are fully provided for. Section 7. That subject to the re~eetion of such notes by the Director of Finance for investment in the Bond Retirement Fund, such notes shall be sold by the Director of Finance at private sale at an interest rate not exceeding that specified in Section k hereof sad for not less than par and accrued interest. The proceeds from such sale, except any premium and accrued interest, shall be paid into the proper fend and used for the purpose aforesaid and for no other purpose. Anpr premium and ac- crued interest shall be deposited in the Bond Retirement Fund. Since the permanent i~rovements for which said notes are to be issued are urgently needed, the appropriate officers of the City are hereby directed to pro- ceed with all dispatch to secure completion thereof as promptly as is feasible, and it is expected that the same Brill be completed as soon as possible and that any proceeds of this issue trill be invested or de- posited only for s temporary period pending seed for expenditure to pay costa of such improveaants. The City covenants that proceeds of said notes shall not be invested or used in such manner that any of said notes world be "arbitrage bonds" for purposes oP Section 103(d)(1) of the In- ternal Revenue Code of 195+. Section S. That said notes shall be the full general obliga- tions of the City and the full faith, credit and revenue of said City are hereby pledged for the prasipt payment of the same. The par value to be received frost the sale of the bonds anticipated by said notes and any ex- cess funds resulting from the issuance of said notes shall to the extent necessary be used only for the retirement of said notes at maturity, to- gether with interest thereon, e-nd is hereby pledged for such purpose.