89-061 Ordinance - Laserfiche WebLink

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CITY OF NORTH OLMSTED ORDINANCE N0. 89-61 BY: COUNCILMAN WILAMOSKY AN ORDINANCE PROVIDING FOR THE ISSUANCE AND SALE OF $100,000 NOTES, IN ANTICIPATION OF THE ISSUANCE OF BONDS, FOR THE PURPOSE OF ACQUIRING A MOTOR VEHICLE AND RELATED EQUIPMENT FOR THE DEPARTMENT OF PUBLIC SERVICE. WHEREAS, the Director of Finance as fiscal officer of this City has certified to this Council that the estimated life or usefulness of the im- provement described in Section 1 is at least five years, the maximum maturity of the Bonds described in Section 1 is five years, and the maximum maturity of the Notes described in Section 3, to be issued in anticipation of the bonds, is ten years, or one year if sold at private sale; NOW, THEREFORE, BE IT ORDAINED by the Council of the City of North Olmsted, Cuyahoga County, Ohio, that: Section 1. It is necessary to issue bonds of this City in the aggre- gate principal amount of $100,000 (the Bonds) for the purpose of acquiring a motor vehicle and related equipment for the Department of Public Service. Section 2. The Bonds shall be dated approximately June 1, 1940, shall bear interest at the now estimated rate of 7% per year, payable semi- annually until the principal amount is paid, and shall mature in five substan- tially equal annual installments. Section 3. It is necessary to issue and this Council determines that notes in the aggregate principal amount of $100,000 (the Notes) shall be issued in anticipation of the issuance of the Bonds. The Notes shall bear interest at a rate or rates not to exceed 8% per year (computed on a 360-day per year basis), payable at maturity and until the principal amount is paid or payment is provided for. If requested by the original purchaser, the Notes may provide that, in the event the City does not pay or make provision far payment at maturity of the principal of and interest on the Notes, the prin- cipal amount of the Notes shall bear interest at a different rate or rates not to exceed 10-1/2% per year from the maturity date until the City pays or makes provision to pay that principal amount. The rate or rates of interest on tYie Notes shall be determined by the Director of Finance in the certificate award- ing the Notes in accordance with Section 6 of this ordinance. Section 4. The principal of and interest on the Notes shall be pay- able in lawful money of the United States of America, or in Federal Reserve funds of the United States of America if so requested by the original pur- chaser. The principal of and interest on the Notes shall be payable, without deduction for services of the City's paying agent, at the main office of National City Bank, Cleveland, Ohio, or at the principal office of a bank or