Ordinance 2015-082 - Laserfiche WebLink

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Section 9. Escrow Fund. There is created under the Escrow Agreement a trust fund designated the "City of North Olmsted Refunded 2006A Bonds Escrow Fund" which shall be held and maintained by the Escrow Trustee in trust for the registered owners of the Refunded Bonds and is pledged for the payment of principal of and interest on the Refunded Bonds, all in accordance with the provisions of the Escrow Agreement. The Director of Finance is hereby authorized and directed to pay to the Escrow Trustee for deposit in the Escrow Fund (i) any funds on deposit in the Bond Retirement Fund or otherwise available for the payment of debt charges on the Refunded Bonds determined by the Director of Finance to be applied for that purpose, and (ii) proceeds from the sale of the Bonds, except any accrued interest and any proceeds to be used for the payment of any expenses properly allocable to the refunding of the Refunded Bonds or the issuance of the Bonds as determined by the Director of Finance, in the amount required, together with the funds referred to in(i),to provide for the defeasance of the Refunded Bonds. The funds and proceeds so deposited in the Escrow Fund shall be (a)held in cash to the extent that they are not needed to make investments hereinafter described and (b) invested in direct obligations of, or obligations guaranteed as to payment by, the United States of America(within the meaning of Section 133.34(D) of the Revised Code)that mature or are subject to redemption by and at the option of the holder, in amounts sufficient, together with any uninvested cash in the Escrow Fund but without further investment or reinvestment, for the payment of(i) interest when due on the Refunded Bonds on each June 1 and December 1 following the date of issuance of the Bonds through and including December 1, 2016, and (ii) the principal of the Refunded Bonds upon their redemption by optional redemption on December 1, 2016, as provided in the Escrow Agreement. Those funds and proceeds and any investment earnings thereon are appropriated and shall be applied to pay principal of and interest on the Refunded Bonds, as provided in the Escrow Agreement. If U.S. Treasury Securities -- State and Local Government Series are to be purchased for the Escrow Fund, the Escrow Trustee is hereby specifically authorized to file, on behalf of the City, subscriptions for the purchase and issuance of those U.S. Treasury Securities - State and Local Government Series. If, in the judgment of the Director of Finance, an open-market purchase of obligations described in (b) in the preceding paragraph for the Escrow Fund is in the best interest of and financially advantageous to this City,the Director of Finance or any other officer of the City,on behalf of the City and in his official capacity, may purchase and deliver such obligations, engage the services of a financial advisor, bidding agent or similar entity for the purpose of facilitating the bidding, purchase and delivery of such obligations for, and any related structuring of, the Escrow Fund, execute such instruments as are deemed necessary to engage such services for such purpose, and provide further for the payment of the cost of obtaining such services, except to the extent paid by the Original Purchaser in accordance with the Purchase Agreement, from the proceeds of the Bonds to the extent available and otherwise from any other funds lawfully available and that are appropriated or shall be appropriated for that purpose. Any actions heretofore taken by any of those officers in connection with the foregoing are hereby ratified and approved. If the City determines to fund or refund other outstanding unvoted general obligation bonds (collectively, the Other Refunded Obligations) contemporaneously with the refunding of the Refunded Bonds, the proceeds from the sale of bonds and other funds necessary and sufficient for that purpose may be deposited in the Escrow Fund and commingled and invested with the proceeds - 13 -