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HomeMy WebLinkAboutOrd 2469 11/06/1973 .. - ~. "- q I ORDINANCE NO. r;>?-'/6j? AN ORDINANCE ESTABLISHING PROCEDURES TO BE FOLLm-lED IN INCURRING INDEBTEDNESS FOR COR- PORATE PURPOSES, ISSUING NON-REFERENDUM BONDS TO EVIDENCE SUCH INDEBTSDNESS AND AU- THORIZING AND DIRECTING THE LEVYING OF A TAX FOR THE PURPOSE OF PAYING PRINCIPAL OF SUCH BONDS AND INTEREST THEREON AS THE SAME BECOME DU E. WHEREAS, Section 6(a) of Article VII of the 1970 Constitution of the State of Illinois provides that any municipalitj which has a population of more than 25,000 is a home rule unit, and the Village of Mount Prospect, Cook County, Illinois, with a population in excess of 25,000 is therefore a home rule unit and, pursuant to the provisions of said Section 6(a) of Article VII, may exercise ~:my power anod perform any function pertaining to its government and affairs, including, but not limited to, the power to tax and to incur debt; and WHEREAS, pursuant to ilie provisions of Sections 6(d) " and 6(k) of said Article VII, the Village of Mount Prospect may incur debt payable from ad valorem property tax receipts . maturing within 40 yeats I from the time it is incurred and wi thout prior refer,endwn' approval of the electors' o'f said Village: and 'WHEREAS, it is necessary and desirable at this time for the President and Board of Trustees to establish procedures fO.r incurring municipal debt. and for issuing bonds of the Village payable from ad valorem property tax receipts, and providing for the payment of such bonds, both principal and interest NOW,THEREFOR~, BE trORDAINED by the President and loard of Trustees of the Village.of Mount prospect, Cook County, Illinois, as follows: , 1,_ , .;. , , . ~ ."".,,, ., . '')1 ,I , ~ " t'" ~ /~. \i / 2 SECTION ONE: The Village of M~u~t prospect, Cook County, Illinois, acting by its President and Board of Trustees, may from tim,et6 time borrow money for proper public purposes and in evidence of such~ borrowing issue its full faith and credit bonds (general obligation) payable from ad valorem taxes to b~ levied without limitations as to rate or amount against all taxable property situated within the village. · Except as the General Assembly of the State of Illinois may hereafter provide pursuant tb the provisions' of Section 6(k) of said Article VII, such bonds may be issued without the submission of the question of their issuance to the electors of the Village for their approval, and the procedures~for the issuance of such bonds shall be substantially as herein provided. SECTION TWO: The Village of Mount prospect shall adopt an ordinance (hereinafter designated as the "Bond OrdinanceII' ... ....J describing the public purpose or purposes to be accomplished by such borrowing and in such Bond Ordinance shall make a finding and determination that such borrowing of money is necessary for the welfare of the government and affairs of ,tDe Vi~lage, is for a prope r, public purpose or purposes and is in the public interest, which ~inding and determination shall be deemed conclusive. .. SECTION THREE: The Bond Ordinance shall indic~te the amount of money necessary to be borrowed, the amount of bonds to be issued in evidence thereof, shall fix, the details of such bonds, including the date, number, denomination and maturity, ,which shall not exceed' forty (40) years from the date of said bonds, and the maximum rate of interest wnich shall not exceed eight per cent (8%) per annum payable semiannually. ,I ~ . The bonds shall be sold in such' manner and'at , , '. . . '!' i J 'i , .r"ul' ',ii".~"j I. , ,'"II' '! , ,~ ~ ,; - 3 - such time as may be determined by the President and Board of Trustees. If the bonds are sold to bear interest at the maximum rate, they shall be sold at a price of not less than par. If the bonds are sold to bear interest at a rate less than the maximum interest rate, they may be sold at a price of. less than par, provided the price sha II be such tha t the interest cost to the Village of the money received as proceeds of the sale of said bonds shall not exceed the maximum interest rate per annum, based on the average maturity of all bonds sold as a single issue, computed according to 8 tandard.' tables of bond values. A contract for the sale of such bonds may ,be entered into prior to the adoption of the Bond Ordinance ot the Bond Ordinance may provide for. the subsequent sale of the bonds therein authorized. In the event of such subsequent sale and bonds are sold bearing interest at a rate or rates less than that " authorized in the Bond Ordinance, prior to the delivery of such bonds the taxes levied in the Bond Ordinance shalll be . abated by that amount representing the savings resulting from the sale of said bonds at a lower rate of interest' than. authorized in the Bond Ordinance. SECTION FOUR: The Bond Ordinance shall direct the .; execution of the bonds therein authorized on behalf of the Village of Mount Prospect by the s~gnatures of the Village President and the Clerk of said Village, shall require the ~eal of the Village to be affixed to such bonds, shall determine 'whether such bonds to be issued shall be registered in the name of the owner as to principal only or whether the same shall be fully registered as to both principal and interest, shall indicate the place or places of payment of the principal . . .. .. . . ''lI '~qm I I I :1 . \\fi ~, " I ;,\ ,'il', # ,~ /"'~ ~ 1 - 4 - and interest maturing on said bonds, shall set forth th.e.. form of-bond, and shall contain such other provisions as the President and Board of Trustees may determine to be nec2ssaq or desirable to effectuate the sale and delivery of such bonds. The Village President may designate a deputy to affix his signature to any full faith and credit bonds.of the Village which are required.bo.be signed b~ the.Village President. In such case, the Village President shall deliver to the Board o'f Trustees a written notice of such designation, such notice stating the name of the person so selected and the specific bonds which such person shall have authority to sign as proxy for the Village President. Said notice shall have attached thereto a written signature of the Vilmge President executed by the person so designated to sign, together with the personal signature of th~ deputy authorized to sign on behalf of the Village President. Each such notice shall be recorded in the official journal of the proceedings of the Board of Trus tees and then fi led with the Village Clerk. ~-1hen the signature of the Village President is placed on a full faith and credit bond of.the Village at his direction in the specified manner, such signature in all respects shall have the same legal effect as if signed by the Village president in person. SECTION FIVE: The Bond Ordinance shall make provision fo.t', the payment 'of such bonds ,both principal thereof and i.nterest therr:ori until maturity, by the -levy of a direct annuar ta~ upon all the taxable property within the Village . of .No,untPr.ospect .sufficient for such purposes. A copy of such nond Ordinance, as adopt(~d, cet'tified to by th'::? Village Clark, l,hall,be filed in the offices of the County Clerk of thp. county o.t'c:cnmtieswithin which any part: of the Village. of: r.[otmt prospnbt may be situ:3.'::ec:!. S1.\JCh Bond Ordinance, as so tiled, ; !'I! " l :j )1 i '1 "~Y" ,I hi "~' \ ~' .i I, I " II, ! .~ ~ /,.,.,...~ ~- ~.' - 5 - shall constitute the authority for the County Clerk or County Clerks in and for each of the years for which taxes are levied in said Bond Ordinance, to extend such taxes for collection against all the taxable property situated within the Village of Mount Prospect. The taxes so levied for the payment of principal of and interest on the bonds shall be extended annually by the several County Clerks without limitation as to rate or amount and such taxes shall be in addition to and in excess of all other taxes levied or authorized to be levied by the Village of Mount Prospect. Except as provided herein, such taxes so levied shall not be subject to repeal or abatement in any manner whatsoever until such time as all the bonds authorized and issued under the terms of. said nond Ordinance shall have been paid in full, both principal thereof and interest thereon up to and including the date of maturity: provided, however, that if the Village of Mount Pr~spsct has other funds available, the Boa::d of Trustees may appropriate such funds and deposit them in trust with the paying agent f or the purpose of the payment of any of the maturities of bonds or interest thereon, in which event the taxes so levied to pay such principal or interest': may be abated by the amount so deposited, such abatement to be directed by ordinance of .. the Village of Mount prospect, duly adopted and placed on file with the respective County Clerks at any.. time prior to the extension of such taxes for collection. SECTION SIX:. The provisions of any Bond Ordinance shall constitute an appropriation of the amounts required as therein referred to and described, and upon the delivery of the bonds therein authorized the proceeds thereof shall be used solely and only for the purpose or purposes for which the bonds , ,'" .,. ~ ' . . were authorized. l' tl' nur 'l)' ,. ~ .." I' '. " I :qr ~ I I: I , 1\ 1: . -~-. /......'~ Q " r . ~ ,> . - 6 - Upon the adoption of any Bond Ordinance by the Village of Mount Prospect; and its approval by the Village President, the same shall be published in a newspaper published and of the general ~irculation in the Village of Mount Prospect if there be oneanq if there is no such newspaper then in a newspaper published and.of general circulation in the county in which the Village or the major portion thereof is situated, . ' and said ordinance ~ba~l become effective on the date of such publication. SECTION SEVEN: Any bonds authorieed and issued pursuant to the provisions of any Bond Ordinance adopted pursuant to the provisions hereof, and also any bonds heretofore issued and outstanding.,' which by their terms are payable from taxes unlimited as to ~ate or amount and levied against all the taxa'ble property wi t;hin the Village of Mount Pros pect, may be refunded prior to their maturity or at thei~ ~aturity, J~ and including the refunding of matured interest coupons evidencing interest uPQn such unpaid bonds. The issuance of refunding bonds shall be authorized by a Refunding Bond Ordinance, which shall be adopted in the manner and subject to the terms, conditions and provisions as herein required for the issuance of bonds for public purposes. Any such refunding shall be authorized on the basis of an exchange of par for ., par for bonds and matured interest coupons to be refunded, or such refunding bonds shall be sold at not less than par .and the proceeds therof used for the purpose of paying maturing principal of such outstanding bonds and matured interest coupons thereon. SECTION EIGHT: Pursuant to the authority granted. --- by Section 6 of Article VII of the constit~t~o~ of Illino~s 19?P: . "'1" '7'1 nn " '., . ,'.. :. :q ., i. i I 'i\1 ., . .'~~ '4 t' ij r..... i ,I, \\ ,~ , ' , , <, - 7 - the procedures gereinabove set forth for the issuance of full faith and credit bonds (general obligation) shall be controlling and shall be complied with by the Village of Mount Prospect in the borrowing of meney through'-the issuance of general obligation bonds of the Village, notwithstanding any provisions to the contrary contained in the "Illinois Municipal Code" and all acts amendatory thereof and supplementary thereto and in any other law or laws of the State of Illinois. SECTION NINE: That this ordinance shall be in full force and effect immediately upon its passage. PASSED by the Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, this IJ~ t r day of , 1973. AYES: Anderson, Furst, Hendricks, Link, Richardson, Scholten, Tiechert NA YS : None ABS ENT: None APPROVED this ~ day of )J7')/ .,. .",.14 , ,'. 1973 . ROBERT D. TEICHERT Village President of the Village of Mount Prospect, Cook County, Illinois. ATTEST: .;- DONALD W. GOODMAN Village Clerk .. -- .. ~ ~:;nf!' .;, ~~:I 'II l' . , it: , ~; I [