72-023 Ordinance - Laserfiche WebLink

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. . , ,_ . .. ,. , . , .., / .go _ ~ - -j - 2 - Section 5• Such notes sha11 be signed by the Ma.yor and Director of Finance and bear the seal of the corporation. They shall be payable in Federal Reserve funds of the United States of America at the main office of T'he National City Bank of Cleveland, Cleveland, Ohio, and sha11 express upon their face the purpose for which they are issued and that they are issued pursuant to this ordinance. Section 6. Subject to the rejection of such notes by the Director of Finance for investment in the Bond Retirement Fznd, such notes shall be sold by the Direc- tor of Finance at private sale at an interest rate not in excess of that specified in Section 4. The proceeds from such sale, except any premium and accrued inter- est, sha11 be pa,id into the proper fund and used for the purpose aforesaid and for no other purpose. Any premium and accrued interest shall be deposited in the Bond Retirement Fund. The City covenants that the proceeds of said notes sha11 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 1954. Section 7. Said notes shall be the full general obligations of the City and the full faith, credit and revenue of said City are hereby pledged for the prompt payment of the same. The par value to be received from the sale of the bonds anticipated by said notes and any excess funds resul.ting from the issuance of said notes sha11 to the extent necessary be used only for the retirement of said notes 'at maturity, together with interest thereon, and is hereby pledged for such purpose. Section 8. During the year or years while such notes run there sha11 be levied on a11 the taxable property in said City, in addition to all other taxes, a direct tax annually not less than that which would have been levied if bonds had been issued therefor without the prior issue of said notes; provided, however, that the amount of such tax sha11 be reduced to the extent that surplus earnings of the sanitary sewerage system sha11 be available and appropriated for the payment of interest and principal of such notes or of the bonds anticipated thereby. Said tax sha11 be and is hereby ordered computed, certified, levied and ex- tended upon the tax duplicate and collected by the same officers, in the same manner and at the same time that taxes for general purposes for each of said years are certified, extended and collected. Said tax sha11 be placed before and in preference td all other items and for the full amount thereof. The flznds derived from said tax levies hereby required shall be placed in a separate and distinct fund, which, together with the interest collected on the same, sha11 be irrevocably pledged for the payment of the principal and interest of said notes ar the bonds in anticipation of which they are issued when and as the same falls due. Section 9. The Clerk is hereby directed to forwaxd a certified copy of this ordinance to the County Auditor. Section 10. This ordinanee is hereby declared to be an emergency measure necessary for the preservation of the public peace, welfare and safety of this City, and for the further reason that the imnediate issuance and sale of the notes herein authorized is necessaxy to provide funds with which to retire presently out- standing notes which are about to mature and thereby protect the credit of this City; wherefore, this ordinance shall take effect and pe in force irrnnediately upon its passage and approval by the Mayor. PASSED : ? c..! /_ 5, / ATTEST : Nora T. Hill, Clerk of Counc cw APPROVED : o2/l5?17 iZ ? ? Francis J. 0' i, Presi ent of Co ci /90," L-1 a44• Ralph E Christman, Ma.yor