71-078 Ordinance - Laserfiche WebLink

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..'. .-r. CITY' OF NORTH OLMSTED ORDINANCE N0. BY AN ORDINANCE AUTTN?RIZING THE ISSt1AH'CE OF NOTES IN ANTICIPATION OF THE ISSUANCE OF BONDS FOR THE PURPOSE OF PROVIDII~G FUN&5 Ta PtNtCFtABE CERTAIN REAL ESTATE A1rD THE BUILDING T FOR USE BY THE SAFETY I-EPARTI~IiT' AND SERVICE DEPARTMENT OF THE CITY AND DECLARIl~G AN EMERGENCY. WT~EREAS, the fiscal officer of the City has certified his estimate of the life of usefulness of the property and improvement here- inafter mentioned and the meucimum maturity of bonds anticipated and to the Hates herein authcri~ed, basing said maximum maturities upon certain allocations of the amounts proposed to be expended far the several classes of improvements included in said issue of bonds and notes, which allocations this Council hereby approve and confirm; NOW, TORE, BE IT ORTIAINED by the Council of the City of North Olmsted, Cuyahaga County, Ohio; Section 1. That it is hereby declared necessary to issue bonds of the City of North Olmsted in the principal sum of $205,000 for the pur- pose of providing funds to purchase certain real estate and the building thereon for use by the Safety Department and Service Department of the City. Section 2. That said bands shall be dated approximately June 1, 1972, shall bear interest at the estimated rate of five and one-half per centum (5-1~2~) per annum, payable sem-annually, until the principal sum is paid, and shall mature in twenty-one substantially equal annual install- ments after their issuance. Section 3. That for the purpose of raising money in anticipation of the issuance of the aforesaid bonds, it is hereby declared necessary to issue and there shall be issued notes of said City in the principal amount of $205,000. Section ~+. Such anticipatory notes shall bear interest at the rate of three and one-quarter per centum (3-1~4~) per annum, payable at maturity. Such notes shall be dated the date of issuance, shall mature on ox before one year from such date, and shall be in such denominations as may be requested by the purchaser. Section 5. Such notes shall be signed by the Mayor and Director of Finance and bear the seal of the corporation. They shall be payable at the main office of the National City Bank of Cleveland, Cleveland, Ohio, and shall express upon their face the purpose for which they are issued and that they are issued pursuant to this ordinance. Section 6. Sub3ect to the refection of such notes by the Director of Finance for investment in the Bond Retirement Fund, such notes shall be sold be and hereby are awarded and sold to the National City Bank of Cleveland, Cleveland, Ohio, at the par value thereof. The proceeds from such sale, except any premium snd accrued interest, shall be paid into the proper fond and used for the purpose aforesaid and for no other purpose. Arty premium and accrued interest shall be deposited in the Bond Retirement Fond. The City covenants that the proceeds of said notes shall not be invested or used in such manner that any of said notes would be "arbitrage bonds" for purposes of Section 103(d)(1) of the Internal Revenue Code of 195. ~..~.a-