HomeMy WebLinkAbout2691-08.05.1974 . 2' 9 P 7;4- i
ORDINANCE NO. 2 6 9 1
AN ORDINANCE authorizing the issuance
of $1,200,000 Sewer Bonds and providing
for the levy of taxes to pay the same.
WHEREAS the City of Waterloo, in the County of Black Hawk
and State of Iowa, heretofore, pursuant to and in strict compliance
with all laws applicable, lawfully ordered and provided for build-
ing and constructing certain sewers in and for the City, the cost
whereof to the amount of One Million Two Hundred Thousand Dollars
(S1,200,000), is to be paid by said City as a whole by the issuance
of bonds; and
WHEREAS it is necessary and advisable that provisions be
made for the issuance of such bonds at this time and notice and
hearing on the initiation of proceedings for such issuance has
heretofore been given in manner and form required by Chapters 23
and 408A of the Code of Iowa, and no petition nor protest has been
filed, and no petition has been filed requesting that the proposi-
tion of issuing said bonds be submitted to the voters of said City;
NOW, THEREFORE, Be It Ordained by the City Council of the
City of Waterloo, Iowa, as follows :
Section 1. That pursuant to and as authorized by Section
396.22 of the Code of Iowa, 1973, as amended, there shall be and
there is hereby ordered issued the negotiable Sewer Bonds of said
City of Waterloo, in the principal amount of S1,200,000, said bonds
to be 240 in number, be numbered consecutively from 1 to 240, both
numbers included, of the denomination of $5000 each, and to be
dated August 1, 1974. That the bonds of said issue shall bear
interest from the date thereof at the rates hereinafter specified,
such interest being payable May 1, 1975, and semiannually thereafte
on the first days of November and May in each year until the prin-
cipal thereof is paid. Said bonds shall be signed by the Mayor and
attested by the City Clerk and the seal of said City affixed, and
be registered as to issuance by the City Treasurer and a certificat=
of such registration endorsed thereon. Interest on said bonds shal
be evidenced by coupons thereto attached and maturing on the severa
days when such interest matures, which coupons shall be executed
with the facsimile signatures of said officials, and said Mayor and
said City Clerk by the execution of said bonds, shall adopt as and
for their proper signatures their respective facsimile signatures
appearing on said coupons. Both principal and interest of said
bonds shall be payable in lawful money of the United States of
America at the office of the City Treasurer in and of the City of
Waterloo, Iowa. Said bonds shall become due and payable in their
numerical order on May 1 of each of the respective years and shall
bear interest at the rates as follows:
Bond Rate of
Year Amount Numbers Interest
1976 S120,000 1 - 24 6-1/2%
1977 120,000 25 - 48 6-1/2%
1978 120,000 49 - 72 6-1/2%
1979 120,000 73 - 96 5.90%
1980 120,000 97 - 120 5.80%
1981 120,000 121 - 144 5.80%
1982 120,000 145 - 168 5.80%
1983 120,000 169 - 192 5.90%
1984 120,000 193 - 216 5.90%
1985 120,000 217 - 240 5.90%
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Section 2. That each of said bonds be subject to regis-
ration as to principal in the name of the holder on the books of
the City Treasurer, such registration being noted upon each bond
so registered, and after such registration payment of the principal
thereof shall be made only to the registered holder. Any bond so
registered, upon the request in writing of such holder personally or
by attorney-in-fact, may be transferred either to a designated trans
feree or to bearer, and the princ
ipal alof p anybond and so transferred ansferred and
registered to bearer shall thereupon be and become payable to bearer
in like manner as if such bond had never been registered. Registra-
tion of any bonds as to principal shall not restrain the negotia-
•ility of the coupons thereto attached by delivery merely.
Section 3. That said bonds, coupons and provisions for
registration be in substantially the following form:
(Form of Bond)
UNITED STATES OF AMERICA
STATE OF IOWA
COUNTY OF BLACK HAWK
CITY OF WATERLOO
SEWER BOND
No.
$5000
KNOW ALL MEN BY THESE PRESENTS : That the City of Waterlo.,
in the County of Black Hawk and State of Iowa, for value received,
promises to pay to bearer, or if this bond be registered as to
principal, to the registered holder hereof, the sum of Five Thousand
Dollars ($5000) on the first day of May, 19 , with interest on said
sum from the date hereof at the rate of
per cent ( %) per annum, payable May 1, 1975, and semiannual k
thereafter on the first days of November and May in each year until
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said principal sum is paid, all such interest as may accrue on and
prior to the maturity of this bond to be paid on presentation and
surrender of the interest coupons hereto attached as they severally
mature-. Both principal and interest of this bond are payable in
lawful money of the United States of America at the office of the
City Treasurer in and of the City of Waterloo, Iowa.
This bond is one of a series of bonds issued by the City
of Waterloo pursuant to and in strict compliance with the provisions
of Section 396.22 and Chapter 76 of the Code of Iowa, 1973, and all
laws amendatory thereof and supplementary thereto, and in conformity
with an ordinance of the City Council of said City duly passed,
approved, recorded and published for the purpose of building and
constructing sewers in and for said City.
And it is hereby certified and recited that all acts,
conditions and things required by the laws and Constitution of the
State of Iowa to exist, to be had, to be done, or to be performed
precedent to and in the issue of this bond, were and have been
properly existent, had, done and performed in regular and due form
and time; that provision has been made for the levy of a sufficient
continuing annual tax on all the taxable property within said City
for the payment of the principal and interest of this bond as the
same will respectively become due; that the faith, credit, revenues
and resources and all the real and personal property of said City
are irrevocably pledged for the prompt payment hereof, both princi-
pal and interest; and that the total indebtedness of said City,
including this bond, does not exceed any constitutional or statu-
tory limitations .
This bond is subject to registration as to principal in
the name of the holder on the books of the City Treasurer of said
City, such registration to be evidenced by notation of said
Treasurer on the back hereof, and after such registration no transfer
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hereof, except upon such books and similarly noted hereon, shall be
valid unless the last registration shall have been to bearer.
Registration hereof shall not affect the negotiability of the
coupons hereto attached, which shall continue negotiable by delivery
merely.
IN TESTIMONY WHEREOF, said City, by its City Council, has
caused this bond to be signed by its Mayor and attested by its City
Clerk, with the seal of said City affixed, and the coupons hereto
attached to be executed with the facsimile signatures of said Mayor
and said City Clerk, which officials by the execution of this bond
do adopt as and for their proper signatures their respective
facsimile signatures appearing on said coupons, all the first day
of August, 1974.
Mayor of the City of Waterloo,
Iowa.
Attest:
City Clerk of the City of
Waterloo, Iowa.
(Form of Coupon)
No. S
On , 19 , the Treasurer of the City of
Waterloo, in Black Hawk County, Iowa, will pay to bearer
Dollars ($ ) at the office
of the City Treasurer, Waterloo, Iowa, for interest due that date
on its Sewer Bond, dated August 1, 1974, No.
Mayor
Attest:
City Clerk
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(Form for Registration of Ownership)
Date of Name of Signature of
Registration Registered Owner City Treasurer
On the back of each bond there shall be endorsed a
certificate of the City Treasurer in the following form:
City Treasurer's Certificate
The issue of this bond has been duly
and properly registered in my office as of the
first day of August, 1974.
Treasurer of the City of Waterloo,
Iowa.
Section 4. That said bonds be executed as herein pro-
vided as soon after the adoption of this ordinance as may be and
thereupon they shall be delivered to the Treasurer of said City,
who shall register the fact of the issuance of same in a book
provided for that purpose and shall deliver said bonds to the pur-
chaser as determined by this Council, upon receipt of the purchase
price, the same to be not less than the par value of said bonds with
accrued interest thereon, and all action heretofore taken in con-
nection with the sale and award of said bonds is hereby ratified
and confirmed in all respects.
Section 5. That the principal proceeds of the sale of
said bonds shall be devoted to and used with due diligence for the
completion of the facilities for which said bonds are hereby
authorized to be issued. The Council represents and certifies that:
(1) the said City has heretofore incurred a sub-
stantial binding obligation with respect to said facilities;
said binding obligation comprising contracts for materials
and for the construction of the improvements in the amount
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of not less than 2-1/2% of the estimated total cost of
said facilities;
(2) the City Council expects that over 85% of the
spendable proceeds of said bonds (including investment
proceeds ) will be expended on or before January 1, 1976,
for the purpose of paying the cost of said facilities,
said date being within three years following the date of
issue of said bonds;
(3) work on the said facilities has proceeded and is
expected to proceed with due diligence to completion;
( 4) said facilities have not been and are not expected
to be sold or otherwise disposed of in whole or in part prior
to the last maturity of said bonds;
(5) all of the principal proceeds of the bonds are
needed for the purpose stated in the form of bond above
set out, including expenses incidental to such purpose and
to the issuance of the bonds; and
(6) to the best of the knowledge and belief of the
Council there are no facts, estimates or circumstances
that would materially change the conclusions and represen-
tations set out in this section.
Said Council also certifies and further covenants with
the purchasers and holders of said bonds from time to time outstand-
ing that so long as any of said bonds remain outstanding, moneys on
deposit in any fund or account in connection with said bonds,
whether or not such moneys were derived from the proceeds of the
sale of said bonds or from any other sources, will not be used in
a manner which will cause such bonds to be "arbitrage bonds" within
the meaning of Section 103(d) of the Internal Revenue Code of 1954,
as amended, and any lawful regulations promulgated or proposed
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thereunder, including Sections 1.103-13 and 1.103-14 of the Income
Tax Regulations (26 CFR Part 1), as the same presently exist, or
may from time to time hereafter be amended, supplemented or revised,
The Council reserves the right, however, to make any investment of
such moneys permitted by state law if, when and to the extent that
said Section 103(d) 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 of recognized competence in such matters, result
in making the interest on said bonds subject to federal income
taxation.
Section 6. That as required by Chapter 76 of the Code
of Iowa and for the purpose of providing for the levy and collec-
tion of a direct annual tax sufficient to pay the interest on said
bonds as it falls due, and also to pay and discharge the principal
thereof at maturity, there be and there is hereby ordered levied
on all the taxable property within said City a direct annual tax
for each of the ye ars while said bonds or any of them are outstand-
ing, in amounts sufficient for that purpose, and that there be and
there is hereby levied upon all the taxable property in said City
the following direct annual tax, to-wit:
In the year 1975 for collection in the fiscal
year ending June 30, 1976, a tax sufficient
to produce the sum of S247,050 for principal
and interest;
In the year 1976 for collection in the fiscal
year ending June 30, 1977 a tax sufficient
to produce the sum of $184,800 for principal
and interest;
In the year 1977 for collection in the fiscal
year ending June 30, 1978, a tax sufficient
to produce the sum of $177,000 for principal
and interest;
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In the year 1978 for collection in the fiscal
year ending June 30, 1979, a tax sufficient
to produce the sum of S169,200 for principal
and interest;
In the year 1979 for collection in the fiscal
year ending June 30, 1980, a tax sufficient
to produce the sum of S162,120 for principal
and interest;
In the year 1980 for collection in the fiscal
year ending June 30, 1981, a tax sufficient
to produce the sum of $155,160 for principal
and interest;
In the year 1981 for collection in the fiscal
year ending June 30, 1982 a tax sufficient
to produce the sum of $148,200 for principal
and interest;
In the year 1982 for collection in the fiscal
year ending June 30, 1983, a tax sufficient
to produce the sum of $141,240 for principal
and interest;
In the year 1983 for collection in the fiscal
year ending June 30, 1984 a tax sufficient
to produce the sum of S134,160 for principal
and interest;
In the year 1984 for collection in the fiscal
year ending June 30, 1985, a tax sufficient
to produce the sum of S127,080 for principal
and interest;
A certified copyof this ordinance shall be filed with th.
County Auditor of Black Hawk County and said Auditor shall be and
he is hereby instructed in and for each of the years 1975 to 1984,
inclusive, to enter for collection and assess the tax hereby author-
ized. When annually entering said taxes for collection, the County
Auditor shall include the same as a part of the tax levy for debt
service fund purposes of said City, and when collected, the proceed-
of said taxes shall be converted into the debt service fund of said
City and set aside therein as a special account to be used solely
and only for the payment of principal and interest of the bonds
hereby authorized and for no other purposes whatsoever.
That the principal or interest coming due at any time
when there are insufficient funds on hand to pay the same be
promptly paid when due from current funds on hand, and reimburse-
ment be made to such current funds in the sums thus advanced when
the taxes herein provided shall have been collected.
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That if in any year funds shall be realized from sources
other than the tax above provided which funds shall be properly
applicable to the payment of the principal of and interest on these
bonds, such tax for the succeeding year shall be abated and not
extended for collection to the extent of the funds so available
and actually set aside and pledged for that purpose.
It is hereby declared to be the purpose and intent of
said City to issue the bonds hereby authorized as general municipal
obligations pledging the full faith and credit of said City for
their payment by means of taxation, but at the same time permitting
the pledging and use of funds available from any other source which
may be properly applied to the payment of said principal and
interest.
Section 7. That all ordinances, resolutions or parts
thereof in conflict herewith be and the same are hereby repealed
to the extent of such conflict.
Passed and approved August 5, 1974+.
C4.40 ' . R-toirri
Mayor
Attest:
Ala,thifiv.4-1,e 1.7
Deputy City Clerk
Recorded August 6 , 1974.
Published August 6 1974.
Deputy City Clerk
LLM:EP -10-
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STATE OF x W 5S Publisher of the �Ua ext®...
Hawk County, a daily newspaper printed in the English�
Black IIaswear that
and published in Waterloo,
Black Hawk County, Iowa do solemnly
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