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HomeMy WebLinkAbout063-87 Ordinance . ORDINANCE NO. 63-87 AN ORDINANCE PROVIDING FOR THE ISSUANCE AND SALE OF S99,000 NOTES, IN ANTICIPATION OF THE ISSUANCE OF BONDS, FOR THE PURPOSE OF PAYING THE PROPERTY OWNERS' PORTION. IN ANTICIPATION OF THE LEVY AND COLLECTION OF SPECIAL ASSESSMENTS. FOR THE PURPOSE OF CONSTRUCTING A WATER LINE AND APPURTENANCES THERETO ON SHIER-RINGS ROAD FROM THE INTERSECTION OF DUBLIN INDUSTRIAL LANE TO WILCOX ROAD THENCE NORTHERLY ALONG THE EAST SIDE OF WILCOX ROAD APPROXIMATELY SIX HUNDRED FEET IN THE VILLAGE OF DUBLIN, OHIO, AND DECLARING AN EMERGENCY. WHEREAS, this Council has previously by proper legislation declared the necessity of the improvement described in Section 1 and has determined that property owners' portion of the cost of that improvement will be not less than $99,000; and WHEREAS, pursuant to Ordinance No. 59-86 passed August 4, 1986, notes in anticipation of bonds in the amount of $99.000. dated August 14. 1986, were issued for the purpose stated in Section 1, to mature on June 17, 1987; and WHEREAS, this Council finds and determines it to be in the best interest of the Village to retire at maturity the outstanding notes with the proceeds of the notes described in Section 1 and other funds available to the Village; and WHEREAS, the Director of Finance as fiscal officer of this Village has certified to this Council that the estimated life or usefulness of the improvement described in Section 1 is at least five years, the maximum maturity of the bonds referred to in Section 1 is twenty years, and the maximum maturity of the notes referred to in Section 3. to be issued in anticipation of the bonds, is August 14. 1990, or one year if sold at private sa Ie; NOW, THEREFORE, BE IT ORDAINED by the Council of the Village of Dublin, Counties of Franklin, Union and Delaware. State of Ohio, that: Section 1. It i.s necessary to issue bonds of this Village (the Bonds) in the principal amount of $99,000 for the purpose of paying the property owners' portion, in anticipation of the levy and collection of special assessments, for the purpose of constructing a wa ter line and appurtenances thereto on Shier-Rings Road from the intersection of Dublin Industrial Lane to Wilcox Road thence northerly along the east side of Wilcox Road approximately six hundred feet in the Village of Dublin, Ohio in the manner provided in Resolution No. 11--85, adopted May 13. 1985. Section 2. The Bonds shall be dated approximately September 1, 1987, shall bear interest at the now estimated rate of 8% per annum, payable semi- annually until the prinCipal amount is paid, and shall mature in twenty substantially equal annual installments. Section 3. It is necessary to issue and this Council determines that notes in the aggregate principal amount of $99,000 (the Notes) shall be issued in antiCipation of the issuance of the Bonds and to retire, together with other funds available to the Village, the outstanding notes dated August 14, 198b. The Notes shall bear interest at a rate or rates not to exceed 10% per annum, payable at maturity. If requested by the original purchaser the Notes may provide that, in the event the Village does not make provision for payment at maturity of the prinCipal of and interest on the Notes, the prinCipal amount of the Notes shall bear interest at a different rate or rates not to exceed 10% per annum from the maturity date until the Village makes provision to pay that prinCipal amount. The rate or rates of interest on the Notes and their maturity date shall be determined by the Director of Finance in the certificate awarding the Notes in accordance with Sections 4 and 6 of this ordinance. Section 4. The prinCipal of and interest on the Notes shall be payable in lawful money of the United States of America, or in Federal Reserve funds of the United States of America if so requested by the original purchaser. The principal cf and interest on the Notes shall be payable, without deduction for services of the village's paying agent, at either or both of, as determined by the Director of Finance, the main office of The Huntington National Bank, Columbus, Ohio, or at the principal office of a bank or trust company requested by the original purchaser of the Notes. provided that such request shall be approved by the Director of Finance after determining that the payment at that bank or trust company will adequately protect the funds of the Village and that proper procedures and safeguards are available for that purpose. The Notes shall be dated June 17. 1987, and shall mature no earlier than September 17, 1987 and no later than December 17, 1987, with the speCific maturity date to be determined by the Director of Finance in the certificate awarding the Notes referred to in Sections 3 and 6 of this ordinance. Section 5. The Notes shall be signed by the Clerk of Council and Director of Finance, as Director of Finance and Acting City Manager. and by the Clerk of Council , in the name of the village and in their official capacities, prOVided that one of those signatures may be a facsimile, and bear the corporate seal of the village or a facsimile of that seal; shall be issued in the numbers and denominations as may be requested by the original purchaser and approved b~ the Director of Finance. provided that the entire prinCipal amount may be represented by a single note; shall not have coupons attached; shall be numbered as determined by the Director of Finance; and shall express upon their faces the purpose for which they are issued and that they are issued pursuant to this ordinance. Section 6. The Notes are offered at par and accrued interest, if any, to the Director of Finance, as officer in charge of the Bond Retirement Fund of the Village. Notes not purchased for the Bond Retirement Fund or for other funds of the village shall be sold at private sale by the Director of Finance in accordance with law and the provisions of this ordinance. The Director of Finance shall sign the certificate of award referred to in Sections 3 and 4 evidencing that sale. cause the Notes to be prepared, and have the Notes signed and delivered, together with a true transcript of proceedings with reference to the issuance of the Notes if requested by the original purchaser, to the original purchaser upon payment of the purchase price. Section 7. The proceeds from the sale of the Notes, except any premium and accrued interest, shall be paid into the proper fund or funds and those proceeds are appropriated and shall be used for the purpose for which the Notes are being issued. Any portion of those proceeds representing premium and accrued interest shall be paid into the Bond Retirement Fund to be applied to the payment of the principal of and interest on the Notes in the manner prOVided by law. Section 8. The par value to be received from the sale of the Bonds or any renewal notes and any excess funds resulting from the issuance of the Notes shall, to the extent necessary, be used to pay the principal of and interest on the Notes at maturity and are pledged for that purpose. Section 9. Dun ng the year or years in which the Notes are outstanding, there shall be levied on all the taxable property in the Village, in addition to all other taxes, the same tax that would have been levied if the Bonds had been issued without the prior issuance of the Notes. The tax shall be wi thin the ten-mi 11 limitation imposed by law, shall be and is ordered computed, certified, levied and extended upon the tax duplicate and colle~ted by the same officers. in the same manner, and at the same time that taxes for general purposes for each of those years are certified, levied. extended and collected, and shall be placed before and in preference to all other items and for the full amount thereof. All speCial assessments collected for the improvement described in Section 1, and any unexpended balance remaining in the improvement fund after the cost and expenses of the ~. improvement have been paid, shall be used for the payment of the principal of and interest on the Notes until paid in full. The proceeds of the tax levy shall be placed in the Bond Retirement Fund. which is irrevocably pledged for the payment of the principal of and interest on the Notes or the Bonds when and as the same fall due. However, in each year to the extent the income from the levy of speCial assessments for the improvement is available for the payment of the principal of and interest on the Notes and Bonds and is appropriated for that purpose. the amount of the tax shall be reduced by the amount of the income so available and appropriated. ~ Section 10. The Village covenants that it will restrict the use of the proceeds of the Notes in such manner and to such extent, if any, as may be necessary so that the Notes will not constitute arbitrage bonds under Section 148 of the Internal Revenue Code of 1986, as amended (the Code). The Director of Finance. as the fiscal officer, or any other officer of the village having responSibility for the issuance of the Notes shall give' an appropriate certificate of the village, for inclusion in the transcript of proceedings for the Notes, setting forth the reasonable expectations of the village regarding the amount and use of all the proceeds of the Notes, the facts, circumstances and estimates on which they are based, and other facts and circumstances relevant to the tax treatment of interest on the Notes. The Village covenants that it (a) will take or cause to be taken such actions which may be required of it for the interest on the Notes to be and remain excluded from gross income for federal income tax purposes, and (b) will not take or permit to be taken any actions which would adversely affect that exclusion, and that it, or persons acting for it, will, among other acts of compliance, (i) apply the proceeds of the Notes to the governmental purpose of the borrowing, (11 ) restrict the yield on investment property acquiring with those proceeds, (111) make timely rebate payments to the federal government, (iv) maintain books and records and make calculations and reports, (v) refrain from certain uses of proceeds, all in such manner and to the extent necessary to assure such exclusion of that interest under the Code. The Director of Finance and other appropriate officers are hereby authorized and directed to take any and all actions. make calculations and rebate payments, and make or give reports and certifications, as may be appropriate to assure such exclusion of that interest. Section 11. The Notes are hereby deSignated as "qualified tax-exempt obligations" for purposes of Section 265(b)(3) of the Code. In that connection, the Vi llage hereby covenants that the Village (it having no "subordinate entities" with authority to issue obligations within the meaning of that Section of the Code) , in or during the calendar year in which the Notes are issued, (i) will not deSignate as "qualified tax-exempt obligations" for purposes of Section 265(b)(3) of the Code tax-exempt obligations, including the Notes, in an aggregate principal amount in excess of $10,000,000, and (ii) will not issue tax-exempt obligations within the meaning of Section 265(b)(4) of the Code. including the Notes and any qualified 501(c)(3) bonds as defined in Section 145 of the Code (but excluding obligations, other than qualified 501(c)(3) bonds, that are private activity bonds as defined in Section 141 of the Code), in an aggregate principal amount exceeding $10,000,000, unless the Village receives an opinion of nationally recognized bond counsel that such deSignation or issuance, as applicable, will not cause the Notes to cease to be "qualified tax-exempt obligations". Section 12. The Clerk of Council is directed to deliver a certified copy of this ordinance to the County Auditors of Franklin, Union and Delaware Counties. Section 13. ThiS Council determines that all acts and conditions necessary to be done or performed by the Village or to have been met precedent to and in the issuing of the Notes in order to make them legal, valid and binding general obligations of the Village have been performed and have been met, or will at the time of delivery of the Notes have been performed and have been met, in regular and due form as required by law: that the full faith, credit and rev~nues of the Village are pledged for the timely payment of the principal of and interest on the Notes: and that no statutory or constitutional limitation of indebtedness or taxation will have been exceeded in the issuance of the Notes. Section 14. This Council finds and determines that all formal actions of this Council concerning and relating to the passage of this ord1n8nc~ were taken in an open meeting of this Council and that all deliberations of this Council and of any committees that resulted in those formal actions were in meetings open to the publiC, in compliance with all legal requirements including Section 121.22 of the Revised Code. Section 15. This ordinance is declared to be an emergency measure necessary for the immediate preservation of the public peace. health, safety or welt are of the Village, and for the further reason that the immediate effectiveness of this ordinance is required in order to effect issuance and sale of the Notes, whiCh is necessary to retire the outstanding notes and I therefore preserve the Village's credit; wherefore. this ordinance shall be in full force and effect immediately upon its passage. Signed'~~ Presiding Officer /J Attest: .~ lA:a'7vUO 7J;. tLJ(fi.J Clerk. of Council Passed: June 1, 1987 Effect! ve: June 1, 1987 1 hereby certify that copies of this Ordinance/Resoluti',.^ were posted in the Village of Dublin in accordance '",'!~~ Section 731.25 of the Ohio Re'li~cd Code. , f/;/fb~d-Q V?J' ~ Clerk of Council /) CERTIFICATE I, /~/->;t} . ~ Clerk of Council. hereby certify ~i1t the furlUloing is a true copy 0 Ord~nce No. _ WIII~ UhIQ, an the / ' day of duly adopted by the council of the Village of ~ tt~W'LO ~, ULd...~..J Clerk gf Council, Dublin, Ohio ~-....: .' . ..._!'f' .' SUPPLEMENTAL FISCAL OFFICER'S CERTIFICATE To the Council of the Village of Dublin, OhiO: As fiscal officer of the village of Dublin, OhiO, and supplementing my certificate of August 4, 1986, I certify in connection with your proposed issue of $99,000 notes (the Notes) in anticipation of the issuance of bonds (the Bonds) for the purpose of paying the property owners' portion, in anticipation of the levy and collection of special assessments, for the purpose of constructing a water line and appurtenances thereto on Shier-Rings Road from the intersection of DUblin Industrial Lane to Wilcox Road thence northerly along the east side of Wilcox Road approximately six hundred feet in the village of Dublin, Ohio, that: 1- The estimated life or usefulness of the improvement described above is at least five years. 2. The maximum maturity of the Bonds, calculated in accordance with Section 133.20 of the Revised Code, is forty years, but because the special assessments will be payable over a period of twenty years and the Bonds are to be issued in anticipation of the collection of those special assessments, the maximum maturity of the Bonds is twenty years. 3. The maximum maturity of the Notes is August 14, 1990. provided that their maximum maturity is one year if the Notes are sold at private sale. Dated: June 1, 1987 1~^,Il*J ~~,,~ Dir ctor of Fi e ~ Village of Dublin, OhiO -