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HomeMy WebLinkAboutOrd 443 07/05/1955 . I , . Ordinance No. _~ -1-.3 AN ORDINANCE amending Sections 4, 5, 7, 8 and 15 of an Ordinance entitled !tAN ORDINANCE authorizing and providing for the issue of $370,000 Water Re- venue Bonds of the Village of Mount Prospect, Cook County, Illinois, for the purpose of defraying the cost of improving and extending the present water- works system of said Village, prescribing all of the details of said bonds and providing for the collection, segregation and disposition of the re- venues of the waterworks system of said Village for the purpose of payini the cost of operation and maintenance thereof, ~Y9viding an adequate deprecia- tion fund therefor, a~~ paying the principal and interest of ~aid Wat~Revenue Bonds.!t ***** BE IT ORDAINED By The President and Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, as follows: SectiQ!! 1. Th.~lt Sections four (4), five (5), seven (7), eight (8) and fifteen (15) of an Ordinance entitled "AN ORDIN.ANCE autho- rizing and providing for the issue of $370,000 Water Revenue Bonds of the Village of Mount Prospect, Cook County, Illinois, for the purpose of defraying the cost of improving and extending the pre- sent waterworks system of said Village, prescribing all of the de- tails of said bonds a.nd providing for the collection, segregEition and disposition of the revenues of the wa.terworks system of seid Village for the purpose of paying the cost of operation and mainte- nance thereof, providing em adequate depreciat ion fund, therefor, and paying the principal End interest of said Wecter Revenue Bonds," passed April 5, 1955 and published on April 14, 1955, be and the same are hereby ar:ended to rea.d as follows: Sec~!QTI 4. That for the purpose of defraying the cost of improving and extending the present municipally owned water- works system of the said Village of Mount Prospect as herein- above described in the preamble of this ordinance, there be is'" sued and sold water reVE'DUe bonds of said Village, to be de- signated !tWater Hevenue Bonds", in the principal amount of $370,000, which bonds shall be8r date of April 1, 1955, be numbered consecutively from 1 to 370, inclusive, be of the de- nomination of $1,000.00 each, beering interest 3.t the ra.tes of two emd three fourths Der cent ( f 3/4%) per annum for bonds maturing in each of the years 1958 to 1964, inclusive, three per cent (3%) per Cinnum for bonds maturing in each of the years 1965 to 1970, inclusive, two and three fourths per cent (2 3/4%) per Ennuro for bonds maturing in e&ch of the years .-- I C) -f->- 1971 and 1972, and three per cent (3%) per annum for bonds ma- turing in each of the years 1973 to 1979, inclusive" payable on October 1, 1955 and semi-annually thereafter on the first days of April and October in each year and become due serially, in numerical order $5,000 on October 1 of each of the.years 1958 to 1960, inclusive, $10,000 on October 1, 1961, $15,000 on October 1 of each of the years 1962 to 1966, inclusive, $20,,000 on October 1 of each of the years 1967 to 1970, inclu- sive, $30,000 on October 1, 1971, $35,000 on October 1 of each of the years 1972 and 1973, $30,000 on October 1, 1974, $20,000 on October 1, 1975, and $10,000 on October 1 of each of the years 1976 to 1979, inclusive; provided, however, that said bonds numbered 181 to 370, inclusive, maturing October 1 of each of the years 1971 to 1979, inclusive, shall be subject to redemption prior to their maturity, at the option of the Village, at par and accrued interest on any interest payment . date on or after October 1, 1970, in the inverse order in whicq they are numbered; that is to say, bond number 370 shall first: be redeemed before bond numbered 369 is redeemed, and so on, continuing such priority of redemption as to all said bonds subject to redemption prior to maturity. Written notice of its option to redeem any or all of said bonds in accordance with their terms shall be given by the Village to the holder of each such bond called for redemption, if known, by register~ ed mail at least thirty days prior to the date of redemption, , or if the holders of any such bonds are unknown then notice shall be published once at least thirty days prior to the date of redemption in one newspaper published and of general circu- lation in the City of Chicago, Illinois, and upon such notice having been mailed to the holder, if known, or by publication if unknown, all such bonds called for payment and redemption shall cease to bear interest from and after such date of re- demption. Sectiqn 5. Both principal and interest of said water reve- nue bonds shall be payable in lawful money of the United btate of America at The American National Bank and Trust Company of Chicago, Chicago, Illinois. Said bonds shall be signed by the President of the Village, sealed with the corporate seal of said Village, and attested by the Village Clerk, and the inte- rest coupons attached to said bonds shall be executed by the facsimile signatures of said President and said Village Clerk, and said officials, by the execution of said bonds, shall adopt as and for their own proper signatures their respective facsimile signatures appearing on said coupons. Said bonds, together with interest thereon, shall be pay- able solely from the revenues derived from the waterworks sys- tem of said Village and such bonds shall not in any event con- stitute an indebtedness of the Village of Mount Prospect with- in the meaning of any constitutional or statutory limitation. Any of said bonds may be registered as to principal at any time prior to maturity in the name of the holder on the books of said Village in the office of the Village Treasurer, such registration to be noted on the reverse side of the bonds by the Village Treasurer, and thereafter the principal of such registered bonds shall be payable only to the registered hold- er, his legal representatives or assigns. Such registered bonds shall be transferable to the registered holder or back to bearer only upon presentation to the Village 'freasurer, with a legal assignment duly aCknowledged or approved. Regis- tration of any of such bonds shall not affect the negotiabi- lity of the coupons thereto attached, but such coupons shall be transferable by delivery merely. , . -3- Section 7. That upon the issuance of any of the Water Reve- nue Bonds herein provided for, the entire municipal waterworks! system of said Village of Mount Prospect shall be operated on 1 a fiscal year basis commencing the first day of August and end4 1 ing the last day of July of each year, and all of the revenues' from any source whatsoever derived from the operation of said ! waterworks system shall be set aside as collected and be depo- I sited in a separate fund which is hereby created to be desig- i nated as the "Water Fund of the Village of Mount Prospect," ; which shall be used only in paying the reasonable cost of ope-I rating and maintaining said system, providing an adequate de- I preciation fund, paying the principal of and interest upon the! the revenue bonds of said Village issued and outstanding which I by their terms are payable from the revenues of the waterworks system, and for the creation of the accounts hereinafter esta- blished and created. Section 8. That there be and there are hereby created and] established separate special accounts to be designated severa14 1y "Operation and Maintenance Account," "Depreciation and Con-. tingencies Account," "Bond and Interest Sinking Fund Account, '1 "Reserve Bond Account," and "Surplus Account," into which ther~ shall be credited on the first business day of each month all ' moneys held in the Water Fund of the Village of Mount Prospect, in accordance with the following provisions: (a) There shall be credited to the Operation and Mainte- nance Account on the first business day of each month, an amount sufficient to pay the reasonable expenses of opera- tion and maintenance and repair of the said waterworks sys- tem for the next succeeding month, including, without limit-, ing the generality of the foregoing, salaries, wages, cost o~ materials, supplies, purchase of power for pumping and in- surance. (b) There shall next be credited to the Depreciation and Contingencies Account, in addition to the requirements for a depreciation reserve as specified in those certain ordinance$ heretofore adopted on November 1, 1944, and February 8, 1949' and August 11, 1953 authorizing the bonds hereinabove aescri4 bed in the preambles hereto" the sum of $300 each month until such account aggregates the sum of $36,000, and there--- after no payments shall be made into said Depreciation and : Contingencies Account except that whenever any money is paid! out of said account payments into said account shall be re- sumed monthly and continued until such time as the account has again been restored to the aggregate amount of $36,000. The mon~s in said account shall be used to pay the cost of . necessary repairs or replacements to the system, for the pay4 ment of which no other funds are available, except that the . funds held in said Depreciation and Contingencies Account to! t~e extent necessary to prevent or remedy a default in the payment of the interest on or principal of the bonds herein authorized, shall be used and held for use for that purpose and shall be transferred to the Bond and Interest Sinking Fund Account, and whenever such a transfer is made, the amount so transferred shall be added to the next deposit to be made, and thereafter until full reimbursement to said ac- count has been made. (c) There shall next be credited to the Bond and Interest , Sinking Fund Account monthly amounts sufficient to pay promp~- ly all interest due October I and April I of each year, and! the principal of all bonds as the same matures; and it is ! hereby determined that the minimum amount to be credited int to the Bond and Interest Sinking Fund Account in each fiscal' to -4- year for bonds authorized pursuant to this ordinance shall be as follows: Fiscal Year Ending Last D~ of July 1955 1956 1957 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 Principal and --InteresL $ 5,381.25 10,762.50 10,762.50 15,762.50 15,625.00 15,487.50 20,350.00 25,075.00 24,662.50 24,250.00 23,837.50 23,387.50 27,937.50 27,337.50 26,737.50 26,137.50 35,537.50 39,712.50 38,750.00 32,700.00 21,800.00 11,200.00 10,900.00 10,600.00 10,300.00 Any and all sums received from the purchasers of the bonds as accrued interest thereon to date of delivery shall also be placed in said Bond and Interest Sinking Fund Account. (d) There shall next be credited to the Reserve Bond Ac- count the sum of $400 each month until said account aggre- , gates the sum of of $40,000, and thereafter no payments shal~ be made into said Reserve Bond Account except that whenever i any money is paid out from said account, payments into said! account shall be resumed monthly and continued until such time as the account has been restored to the aggregate amount of $40,000. Said account shall be used solely for the purpose of paying principal of and interest on any bondsl which by their terms are payable from the revenues of the ! waterworks system of said Village falling due at any time I for the payment of which there is no money available in the i Bond and Interest Sinking Fund Account. (e) All moneys remaining in the Water Fund of said Villagei, after all amounts have been credited to the respective ac- i counts hereinabove required to have been credited, shall be ! credited to the Surplus Account, and at the end of each fis-! cal year not less than fifty per cent (50%) of the amount I credited to such Surplus Account shall be credited to the . Bond and Interest Sinking Fund Account, and all funds so credited to said Bond and Interest Sinking Fund Account : shall be used and held for use only for the purpose of cal-I ling and redeeming any out standing bonds of said - Village ! which by their terms are payable from the revenues of the waterworks system of said Village as said bonds become re- deemable. o After crediting said Bond and Interest Sinking Fund Ac- count at the end of each fiscal year with the minimum amounts herein provided for, the balance of said funds in -5- said Surplus Account may be used or accumulated for the re- pair, improvement, enlargement or extension of the water- works system of said Village, or the redemption of bonds of said Village which by their terms are payable from the reve- nues of the waterworks system, or for any other proper cor- porate purpose; provided, however, this subparagraph shall not be construed to probihit the Village from ordering and directing that all funds in said Surplus Account or any por- tion in excess of fifty per cent (50%) be credited to the Bond and Interest Sinking Fund Account. (f) The moneys to the credit of the accounts created by subparagraphs (~) and (d) hereinabove set forth in this section, may b~ resolution adopted by the President and Board of Trust~es of said Village be invested from time to time in direct obligations of the United States' Government maturing in not more than ~ ten (10) years after the pur- chase date thereof, and be sold from time to time pursuant to a resolution of the President and Board of Trustees as funds may be needed for the purpose for which the accounts have been created. All accrued interest in any funds so in- vested shall be credited to the accounts for which the in- vestments were made. Section 15. The bonds hereby authorized be executed as in this-ordinance provided, as soon after the passage hereof and after this ordinance becomes effective as may be, and there- upon be deposited with the Village Treasurer and be by said Village Treasurer delivered to the purchaser thereof, namely, WILLIAM BLAIR & CO., of Chicago, Illinois, upon receint of the purchase price therefor, the same to be not less than the par value of said bonds plus $21.00 premium plus accrued interest to date of delivery, contract for the sale of which, hereto- fore entered into, be and the same is hereby in all respects ratified, approved and confirmed. Section 2. That this ordinance shall be in full force and ef- I fect upon its passage, approval and publication according to law. . INTRODUCED: _~lltl_~-J-J9'-'2-~___ FILED FOR PUBLIC INSPECTION: _~~~~~~~ PASSED: _ d~_.s;-'2.L.C:_- APPROVED: s:Ltf-J;~A. ~ President ~VijTage ~tProspect, Cook county, Illinois I ,I II ~'I. 1"/ ".."...., {,,'l;~ ii'~Qr- CT~ ~'1 ....J" ,~"": c~ f",,\_ .. ~. ').j: ...~';[! \.g~ .''; .. ~~ 41 ...." ~';.'<'., .r\ lIIiJ"''' .v ~ ~j ~:~ ~... .J- \ dr~. j .e!~ -> .."'~") .0 ..... '..~ .. ~nt/-' " ,;:>-'. ,; ATT1l'!..~.' > '. ^ ., 1 ~""'" ~ J.. ~~;} ~ Of~? ,~( ~} f'l~ r......\? . : ~ ~ 14, ~ t i' ...." ~'~~~ I,..; Q..~ ~. ":: -~.~" """'~.. "~~\)~~. - t..}, ~. i ,< q ~,~o~ .,t" <'<:: .... ... '" 'J U .oO:~t"1o' ^'.....~, IIJ "'Z'qol-lI-tJDOo';P""" (~ ,)" U' BLI SHT:1D. Th M t p t H ld J4J el, C0 0 i; P' l!; J.n e oun . rospec era (/"';",.;/,: the Lrf day of July, 1955. III.. :1 ':1 I I