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. . ??, ?. <br />• " -? r w? <br />- 2 - <br />Section 3. It is necessary to issue and this Council determines that <br />notes in the maximum aggregate principal amount of $300,000 (the Notes) shall <br />be issued in anticipation of the issuance of the Bonds. The Notes shall be <br />sold, executed and delivered at such time or times and in such principal <br />amount or amounts (not exceeding in the aggregate $300,000) as the Director of <br />Finance shall determine, in the certificate or certificates awarding the Notes <br />in accordance with Section 6 of this ordinance, appropriate to provide funds <br />to pay the costs described in Section 1. The Notes shall bear interest at a <br />rate or rates not to exceed 7% per year (computed on a 360-day per year <br />basis), payable at maturity and until the principal amount is paid or payment <br />is provided for. If requested by the original purchaser, the Notes may <br />provide that, in the event the City does not pay or make provision for payment <br />at maturity of the principal of and interest on the Notes, the principal <br />amount of the Notes shall bear interest at a different rate or rates not to <br />exceed 10-1/2y per year from the maturity date until the City pays or makes <br />provision to pay that principal amount. The rate or rates of interest on the <br />Notes shall be determined by the Director of Finance in the certificate or <br />certificates awarding the Notes in accordance with Section 6 of this <br />ordinance. <br />Section 4. The principal of and interest on the Notes shall be pay- <br />able in lawful money of the United States of America, or in Federal Reserve <br />funds of the United States of America if so requested by the original pur- <br />chaser. The principal of and interest on the Notes shall be payable, without <br />deduction for services of the City's paying agent, at the main office of <br />National City Bank, Cleveland, Ohio, or at the principal office of a bank or <br />trust company requested by the original purchaser of the Notes, provided that <br />such request shall be approved by the Director of Finance after determining <br />that the payment at that bank or trust company will not endanger the funds or <br />securities of the City and that proper procedures and safeguards are available <br />for that purpose. The Notes shall be dated their respective dates of issuance <br />and shall mature one year from the date of issuance of the first Note issued <br />pursuant to this ordinance. <br />Section 5. The Notes shall be signed by the Mayor and Director of <br />Finance, in the name of the City and in their official capacities, provided <br />that one of those signatures may be a facsimile, and bear the corporate seal <br />of the City or a facsimile of that seal. The Notes shall be issued in the <br />denominations and numbers as requested by the original purchaser and approved <br />by the Director of Finance, provided that the entire principal amount may be <br />represented by a single note. The Notes shall not have coupons attached, <br />shall be numbered as determined by the Director of Finance and shall express <br />upon their faces the purpose for which they are issued and that they are <br />issued pursuant to this ordinance. <br />Section 6. The Notes are offered at par and accrued interest, if <br />any, to the Director of Finance, as officer in charge of the Bond Retirement <br />Fund of the City. Notes not purchased for the Bond Retirement Fund or for <br />other funds of the City shall be sold at private sale by the Director of <br />Finance in accordance with law and the provisions of this ordinance. The <br />Director of Finance shall sign the certificate or certificates of award re- <br />ferred to in Section 3 determining the aggregate principal amount of the Notes <br />then to be issued and evidencing their sale, cause the Notes to be prepared, <br />and have the Notes signed and delivered, together with a true transcript of <br />proceedings with reference to the issuance of the Notes if requested by the <br />original purchaser, to the original purchaser upon payment of the purchase <br />price. <br />Section 7. The proceeds from the sale of the Notes, except any <br />premium and accrued interest, shall be paid into the proper fund or funds and <br />those proceeds are appropriated and shall be used for the purpose for which <br />the Notes are being issued. Any portion of those proceeds representing pre- <br />mium and accrued interest shall be paid into the Bond Retirement Fund.