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HomeMy WebLinkAboutOrd 3143 09/15/1981 RDINANCE NO. 3143 AN ORDINANCE providing for the issue of a $~25,000 Unlimited Ad Valorem Tax Bond of Special Service Area Number 3 of the Village of Mount Prospect, Cook County, Illinois, and the levy of a direct annual tax sufficient to pay the principal and interest on said bond. WHEREAS, pursuant to the provisions of Section 7(6) of Article VII of the 1970 Constitution of the State of Illinois and "AN ACT to provide the manner of levying or imposing taxes for the provision of special services to areas within the boundaries of home rule units and non-home rule municipalities and counties," approved September 21, 1973, as amended, the Village of Mount Prospect, Cook County, Illinois, is authorized to create special service areas within said Village, issue bonds secured by the full faith and credit of such areas for providing special services to such areas and levy taxes against the property included in such area to pay the principal and interest on said bonds; and WHEREAS, the President and Board of Trustees of said Village by ordinance adopted on the 2nd day of June, 1981~ did propose the establishment of Special Service Area Number 3 of said Village and the issuance of bonds of said Special Service Area in the amount of $25,000, bearing interest at not to exceed 10% per annum and maturing within 12 years from the date thereof and did call a public hearing thereon for the 23rd day of June, 1981; and WHEREAS, proper notice was given of said public hearing and at said public hearing all interested persons affected by said Special Service Area were alloWed to file written objections thereto and to be heard orally thereon; and WHEREAS, no sufficient petition has been filed objecting to the creation of said Special Service Area, the levy or imposition of a tax or the issuance of said bonds, and said President and Board of rustees are authorized to issU~ Said b~nds and levy a direct annual tax against all of the taxable property included in said Special Service Area sufficient to pay the principal and interest on said bonds; and WHEREAS, said President and Board of Trustees by ordinance adopted on the 15th day of September, 1981, did establish said Special Service Area Number 3; and WHEREAS, said President and Board of Trustees have determined and do hereby determine that it is advisable, necessary and in the best interest of said Village and Special Service Area to provide for special municipal services to the area, including, but not limited to, municipal services consisting of construction and installation of roadway modifications and rehabilitation including diagonal parking space and pedestrian walkway designation and driveway alignment; street light installation; parking lot additions and rehabilitation; installation of turn around and median islands; landscape grading; planting of shrubs and trees; sodding and such other incidental work deemed necessary to improve South Wille Street from the intersection of Busse Avenue and Northwest Highway, North to the intersection of West Central Road, together with the redesign and channeling of traffic movements to provide for one-way traffic flow along said street from the Northwest Highway intersection to a point approximately 300 feet south of West Central Road, all such improvements to be on existing public property or property to be acquired by said Village and to issue bonds in the amount of $25,000 to pay a portiOn of the cost thereof; and WHEREAS, the proceeds of said bonds shall be used solely and only for improvements for which said Village is authorized under the provisions of the Illinois Municipal Code, as amended, to levy taxes or special assessments or to appropriate the funds of said Village: NOW, THEREFORE, Be It Ordained by the President and Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, as follows: - 2 - Section 1. That it is hereby found and determined that by and at the proceedings hereinabove described in the preambles of this ordinance, the President and Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, were authorized to issue bonds in the amount of $25,000 payable solely and only from ad valorem property taxes levied against all of the taxable property included in Special Service Area Number 3 of said Village for the purpose of paying a portion of the cost of the improvements hereinabove described in the preambles of this ordinance, all such construction to be on existing public property or property to be acquired by said Village. Section 2. That in order to raise the sum of $25,000 presently needed for the purpose aforesaid, there be borrowed on behalf of said Special Service Area the sum of $25,000 and that a bond of said Village, payable solely and only from ad valorem taxes levied against all of the taxable property in said Special Service Area, without limit as to rate or amount, be issued in said amount, said bond to be known a "Special Service Area Number 3 Unlimited Ad Valorem Tax Bond," be dated the 1st day of October, 1981, be of the denomination of $25,000.00 to bear interest annu.ally at the rate of ten percent (10%) per annum with payment of principal and interest to become due on the 1st day of December of each of the years and in the amounts as follows: Year of Principal Interest Total Maturity Amount Amount Amount 1982 1983 1984 1985 1986 1987 1988 1989 2 .185.00 2 .403.50 4 .643.85 2 .908.23 3 .199.06 3 518.96 3 .870.86 4 .270.54 2,916.67 2 , 281 . 50 2~041.15 1,776.77 1,485.94 1,166.04 814.14 427.05 5 ,101.67 4 ~685.00 4 ,685~00 4 ~685.00 4 ,685.00 4 ~685.00 4 ,685.00 4 ~697.59 That the seal of the Village shall be affixed to said bond and said bond shall be signed by the President and attested by the Village Clerk of said Village and shall be payable in lawful money of the United States of America at Mount Prospect State Bank, Mount Prospect, Illinois. - 3 - That said bond shall be payable to bearer, and shall be subject to registration as to principal and interest in the name of the holder on the books of said Village Treasurer, upon the back of said bond so registered. No bond so registered shall be subject to transfer except upon such books and similarly noted on the back thereof, unless the last registration thereof shall have been to bearer. Section 3. following form: Number 1 That said bond shall be in substantially the (Form of Bond) UNITED S~TES OF AMERICA STATE OF ILLINOIS COUNTY OF COOK VILLAGE OF MOUNT PROSPECT SPECIAL SERVICE AREA NUMBER 3 UNLIMITED AD VALOREM TAX BOND $25,000.00 KNOW ALL MEN BY THESE PRESENTS, that the Village of Mount Prospect, Cook County, Illinois, hereby acknowledges itself to owe and for value received promises to pay to bearer, or if this bond be registered, then to the registered holder hereof, solely from all taxes levied against all of the taxable property in that part of said Village known as Special Service Area Number 3 and not otherwise~ the sum of Twenty Five Thousand and No/100 Dollars ($25,000.00) together with interest thereon at the rate of ten per cent '(10%) per ~annum, from the date hereof urrtil paid, payable-the 1st day of December, 1982, and thereafter on the 1st day of December in each year, to and including the 1st day of December, 1989 in amounts of principal and interest as follows: Year of Principal Interest Total Maturity Amount Amount Amount 1982 2,185.00 2,916.67 5,101.67 1983 2,403.50 2 ~281.50 4,685.00 1984 4,643.85 2 , 041.15 4,685.00 1985 2,908.23 1,776.77 4,685.00 1986 3,199.06 1,485.94 4,685.00 1987 3,518.96 1,166.04 4,685.00 1988 3 , 870 . 86 814.14 4,685.00 1989 4,270.54 427.05 4,697.59 - 4 - oth principal hereof and interest hereon are payable in lawful money of the United States of America at the office of the Mount Prospect State Bank, Mount Prospect, Illinois. This bond is issued by said Village for the purpose of constructing public improvements in said Special Service Area, pursuant to and in all respects in compliance with the provisions of Section 7(6) of Article VII of the 1970 Constitution of the State of Illinois and "AN ACT to provide the manner of levying or imposing taxes for the provision of special services to areas within the boundaries of home rule units and non-home rule municipalities and counties," approved September 21, 1973, as amended, and in compliance with an ordinance duly passed by the President and Board of Trustees of said Village and published, in all respects as by law required. It is hereby certified and recited that all conditions, acts and things required by the Constitution and laws of the State of Illinois, to exist or to be done precedent to and in the issuance of this bond did exist, have happened, and have been properly done and performed in regular and due form and time as required by law; that the indebtedness of said Village, represented by this bond and the issue of which it is a part, and including all other indebtedness of said Village, howsoever evidenced and incurred, does not exceed any limitation imposed by law and that provision has been made for the collection of a direct annual tax in addition to all Other taxes on all of the taxable property in said Special Service Area sufficient to pay the interest hereon as it falls due and also to pay and discharge the pr~incipal amounts hereof as they mature. This bond is subject to registration as to principal and interest in the name of the holder on the books of said Village Treasurer, such registration to be evidenced by notation of said Treasurer on the back hereof, and after such registration no transfer hereof, except upon such books and similarly noted hereon, shall be valid unless the last registraton shall have been to bearer. - 5 - N WITNESS WHEREOF, said Vii~ge of Mount Prospect, Cook County, Illinois, by its President and Board of Trustees, has caused its corporate seal to be hereto affixed and this bond to be signed by the President and attested by the Village Clerk of said Village, all as of the 1st day of October, 1981. Attest: President Village Clerk (Form of Registration of Ownership) Date Registered Name of Registered Owner Signature of Village Treasurer Section 4. That forthwith after this ordinance has become effective, as provided by law, said bond shall be executed and delivered to the village Treasurer of said Village and be by him delivered to the purchaser thereof, namely, the Mount Prospect State Bank, 111 East Busse Avenue, MOunt Prospect, Illinois upon receipt of the purchase price therefor, same to be not less than the par value of said bonds, plus accrued interest to the date of delivery and that the contract for the sale of said bonds heretofore entered into, be and is in all respects ratified~ approved and confirmed, it being hereby found and determined that said contract is in the best interests of said Village and that no person holding any office of said Village, either by election or appointment, is in any manner interested, either directly or indirectly in his own name or in the - 6 - ame of any other person, asso~iati6~, trust or corporation, in said contract for the purchase of said bond. Section 5. That for the purpose of providing the funds required to pay the interest on said bond as it falls due, and also to pay and discharge the principal amounts thereof as they mature, there be and there shall be levied upon all taxable property within the Village of Mount Prospect Special Service Area Number 3, a direct annual tax for each of the years while said bond is outstanding in amounts sufficient for that purpose, and that there be and there is levied upon all of the said taxable property in said Special Service Area in addition to all other taxes the following direct annual tax, to-wit: For the Ye ar 1982 1983 1984 1985 1986 1987 1988 1989 A Tax Sufficient to Produce the Sum of: $5,101.67 for interest and principal up to and including December 1, 1982 4,685.00 for interest and principal 4,685.00 for interest and principal 4,685.00 for interest and principal 4,685.00 for interest and principal 4,685.00 for interest and principal 4,685.00 for interest and principal 4,697.59 for interest and principal In the event that by reason of a delay in the collection of taxes in said Village, proceeds of taxes hereby levied are not available in time to meet any payments of principal and interest upon said bonds, then the fiscal officers of the Village are hereby directed to make such payments from any current funds of the Village that are available for this purpose in advancement of the collection of said taxes herein levied and when the proceeds of such taxes herein levied are received-said funds shall be reimbursed. Section 6. That forthwith as soon as this ordinance becomes effective, the Village Clerk of said Village be and is hereby directed to file a copy of said ordinance with the County Clerk of Cook County, Illinois, and it shall be the duty of said County Clerk to annually in and for each of the years 1982 to 1989, inclusive, ascertain the rate percent required to produce the aggregate tax hereinbefore levied, and extend the same for collection on the tax - 7 - ooks against all of the taxable property within the said Village of Mount Prospect Special Service Area Number 3 in addition to other taxes levied in each of said years in said Special Service Area in order to raise the respective amounts levied aforesaid, and in each of said years such annual tax shall be computed, extended and collected in the same manner as now or hereafter provided by law for the computation, extension and collection of taxes for general corporate purposes of said Village, and when collected, the taxes hereby levied shall be placed to the credit of a special fund to be designated "Village of Mount Prospect Special Service Area Number 3 unlimited Ad Valorem Tax Bond and Interest FUnd", which fund is hereby irrevocably pledged to and shall be used only for the purpose of paying the principal of and interest on said bond. Section 7. That the funds derived from such levy be and the same are hereby appropriated and set aside for the sole and only purpose of paying principal of and interest on said bonds when and as the same become dUe. That the funds derived from the sale of said bond be and they are hereby appropriated and set aside for the purpose hereinbefore set out. Section 8. That the principal proceeds of the sale of said bond be devoted to and used with due diligence for the completion of the project for which said bond is hereby authorized to be issued and that said President and Board of Trustees represent and certify as follows: (1) That said Village has incurred, or within six (6) months after the delivery of said bond expects to incur, substantial binding obligations with respect to said project, '~said binding'obligations comprising contracts for the construction of said project in the amount of not less than $200,000, said amount being not less than 2-1/2% of that portion of the cost of said project to be financed with the proceeds of said bond; (2) That said Village expects that all of the money derived from the sale of said bond and deposited in the Busse-Wille Construction Account, which is the account from which the cost of said project is to be paid, will be expended on or before December 1, 1982, for the purpose of paying the cost of said project, said date being within three. (3) years following the date of issue of said bond; (3) That the foregoing is based upon consultation with the engineer who is responsible for overseeing completion of said project; - 8 - (4) That work on said project is expected to proceed with due diligence to completion; (5) That said project has not been and is not expected to be sold or otherwise disposed of in whole or in part prior to the last maturity of said bond; (6) That all of the proceeds of sale of said bond are needed for the purpose for which said bond is issued, including expenses incidental to such purpose and to the issuance of said bond; (7) That accrued interest received upon the sale of said bond, if any, will be applied to the first interest due thereon and that the balance of the proceeds of sale of said bond will be deposited in said Construction Account and applied to the costs of said project and of issuing said bond; (8) That said Village has not accumulated and does not expect to accumulate amounts of money in a fund to pay or to be held as security for the payment of principal and interest on said bond, other than (a) amounts expected to be spent within thirteen (13) months from the date of deposit thereof into such fund and (b) interest earned by such fund which is to be spent within twelve (12) months from date of receipt; and (9) That to the best of the knowledge and belief of said President and Board of Trustees, there are no facts, estimates or circumstances that would materially change the conclusions and representations set out in this Section and the expectations set out in this Section are reasonable. Said President and Board of Trustees also certify and further covenant with the purchasers and holders of said bond, that so long said bond shall remain outstanding, moneys on deposit in any funds or account in connection with said bond~ whether or not such moneys were derived from the proceeds of the sale of said bond or from any other sources, will not be used in a manner which will cause such bond to be an "arbitrage bond" within the meaning of Section 103(c) of the Internal Revenue Code of 1954, as amended, and any lawful regulations promulgated or proposed thereunder, including Treas. Reg. Sections 1.103-13, 1.103-14 and 1.103-15, as the same presently exist, or may from time to time hereafter be amended, supplemented or revised. Said President and Board of Trustees reserve the right, however, to make any investment of such moneys permitted by Illinois law if, when and to the extent that said Section 103(c) or regulations promulgated thereunder shall be repealed or relaxed or shall be held void by final decision of a court of competent jurisdiction, but only if any investment made by virtue of such repeal, relaxation or decision would not, in the opinion of counsel - 9 - f recognized competence in such matters, result in making the interest on said bonds subject to federal income taxation. Section 9. That this ordinance be published once within ten (10) days after adoption in the Mount Prospect Herald, the same being a newspaper published in and with a general circulation within said Village. Section 10. That all ordinances, resolutions and orders, or parts thereof, in conflict therewith, be and the same are hereby repealed and this ordinance be in full force and effect forthwith upon its adoption, approval and publication, as provided by law. PASSED this !Sth day of September , 1981. AYES: NAYS: 0 ABSENT: 0 APPROVED this Arthur, Farley, Floros, Miller, Murauskis, Wattenberg 15th day of September , 1981. VI LL~[GE PREfSIDENT ATTEST: VILLAGE CLERK - 10-