CONTENTS
ARTICLE I. IN GENERAL
§ 10-1. Fiscal year.
§ 10-2. Depository.
§ 10-3. Payment of bills.
§ 10-4. Payment in Lieu of Taxes (PILOT).
§§ 10-5 to 10-8. Reserved.
ARTICLE II. MUNICIPAL BUDGET
§ 10-9. Budget - Required.
§ 10-10. Budget - Contents.
§ 10-11. Budget committee.
§ 10-12. Mayor to supervise.
§ 10-13. Expenditures limited.
§ 10-14. Debts limited.
§ 10-15. Budget calendar.
§ 10-16. Budget procedures.
§§ 10-17 to 10-21. Reserved.
ARTICLE III. MUNICIPAL RECORDS MANAGEMENT
§ 10-22. Definitions.
§ 10-23. City clerk to keep records.
§ 10-24. Destruction of records and nonrecord materials.
§§ 10-25 to 10-29. Reserved.
ARTICLE IV. NATURAL GAS SYSTEM REVENUE BONDS
SERIES 1992
(Repealed by Ord. 730)
§§ 10-30 to 10-142. Reserved.
ARTICLE V. TAXABLE INDUSTRIAL REVENUE BONDS
(WAL-MART STORES, INC) SERIES 2000
§ 10-143. Authorization for the project.
§ 10-144. Authorization of the Bonds.
§ 10-145. Authorization of documents.
§ 10-146. Execution of documents.
§ 10-147. Further authority.
§
10-148. Effective date.
§ 10-150. Notice of intent to transfer of inducement and development agreement interest.
§§ 10-150 to 10-153. Reserved.
ARTICLE VI. NATURAL GAS SYSTEM REFUNDING
REVENUE BONDS - SERIES 2001
(Repealed by Ord. 842)
Chapter 10
FINANCE
ARTICLE I
IN GENERAL
Sec. 10-1. Fiscal year.
The fiscal year of this city shall begin on May 1, and end on April 30 of the next succeeding year. (1977 Code; Ord. 738)
Sec. 10-2. Depository.
The city council shall select a depository for city funds.
The depository shall be a banking facility in the City of
Sec. 10-3. Payment of bills.
That no bills shall be allowed against the city unless the same are approved by the Finance Committee, who shall certify their correctness, and that the items are as low as can be procured. Said bills shall be presented to the city clerk not later than Saturday next preceding the regular meeting of the council except salaries provided for by ordinance. (Ord. 57, §1.)
Sec. 10-4. Payment in Lieu of Taxes (PILOT).
The
City of St. James establishes an ongoing and regular inter-agency transfer,
also known as a payment in lieu of taxes, of no more or less than $400,000.00
annually with an equal amount transferred monthly from the St. James Municipal
Utilities to the City of St. James General Fund beginning May 01, 2008. (Ord.
918)
Secs. 10-5 to 10-8. Reserved.
ARTICLE
II
MUNICIPAL BUDGET
Sec. 10-9. Budget - Required.
Prior to the commencement of each fiscal year, a budget for the city shall be prepared, and the same will be presented to and approved by the city. (1977 Code)
Sec. 10-10. Budget - Contents.
The annual budget shall present a complete financial plan for the next fiscal year. The following shall be included in the budget:
(1) A budget message to describe the important features of the budget and to point out any major changes from the previous year.
(2) An estimate of revenues which are expected to be received during the next year from all sources, plus a comparative statement of the revenues for the previous two budget years. These comparisons shall be shown by year, fund, and source.
(3) An estimate of the expenditures that are proposed to be spent during the budget year, plus a comparative statement of actual expenditures for the previous two years. These comparisons should be shown by year, fund, activity and object.
(4) The amount of money required to pay any interest, amortization, or redemption charges which the municipality will owe during the budget year.
(5) A general summary of the total proposed budget. (1977 Code)
Sec. 10-11. Budget Committee.
The budget shall be prepared by a committee appointed each year in January (or as soon thereafter as practicable) by the mayor with the concurrence of the city council. It is the responsibility of the Budget Committee to prepare the budget after reviewing expenditure requests and revenue estimates with other city officers. The Budget Committee shall submit the completed budget and supporting schedules and exhibits to the mayor, who shall present the same to the city council. (1977 Code)
Sec. 10-12. Mayor to supervise.
The Budget Committee shall prepare the city budget under the direction of the mayor. The mayor shall concur in the budget prior to its submission to the city council. (1977 Code)
Sec. 10-13. Expenditures limited.
Expenditure estimates in the budget shall not be larger in amount than the total anticipated revenue for the budget year, plus any surplus from the previous year or less any deficit from the previous year providing salaries and benefits are not subsidized with surplus from previous years. (1977 Code; Ord. 882)
Sec. 10-14. Debts limited.
The city shall not incur any debts which aggregate an amount greater than the anticipated revenues for the budget year, without the approval of the voters of the city, as required by law. (1977 Code)
Sec. 10-15. Budget calendar.
The Budget Committee shall prepare the city budget in accordance with the following calendar:
(1) In January of each year, the Budget Committee will collect the data necessary, and make preliminary revenue estimates for the coming fiscal year. He will estimate expenditures for the present year, and note expenditures and revenues for the previous two fiscal years.
(2) In February of each year, the Budget Committee will request from each city officer a statement of expenditures requested for the coming fiscal year.
(3) In March of each year, the Budget Committee will review the departmental requests and make his final revenue estimates of the coming fiscal year, and will confer with department heads to discuss these requests.
(4) In April of each year, the Budget Committee will begin assembling the city budget.
(5) In April of each year, the Budget Committee will confer with the mayor and any such other officers as the mayor may designate, for preparation of the city budget for the next fiscal year to be submitted to the city council.
(6) The budget shall be submitted to the city council at the regular meeting in May. (1977 Code; Ord. 738)
Sec. 10-16. Budget procedures.
To the maximum extent practicable, and to the extent it does not conflict with state law, this Code, or other ordinance, the budget shall be prepared in accordance with A Guide to Budgeting for Missouri Municipalities, published by the Missouri Municipal League. (1977 Code)
Secs. 10-17 to 10-21. Reserved.
ARTICLE III
MUNICIPAL RECORDS MANAGEMENT
Sec. 10-22. Definitions.
(a) Nonrecords - Library and museum material made or acquired and preserved solely for reference or exhibition purposes, extra copies of documents preserved only for convenience of reference, and stocks of publications and of processed documents are not included within the definition of records as used in this subchapter, and are hereinafter designated as "nonrecord" materials. (1977 Code)
(b) Records - As used in this subchapter, the word "record" or "records" shall mean any document, book, paper, photograph, map, sound recording or other material, regardless of physical form or characteristics, made or received pursuant to law or in connection with the transaction of official business. (1977 Code)
Sec. 10-23. City clerk to keep records.
(a) The records of the city shall be kept in the custody of the city clerk. (1977 Code)
(b) The city clerk may delegate to a subordinate or to another city official authority to have temporary custody of city records, after satisfying himself as to the safety of said records. (1977 Code)
Sec. 10-24. Destruction of records and nonrecord materials.
All records made or received by or under the authority of or coming into the custody, control or possession of local officials in the course of their public duties are the property of the city and shall not be mutilated, destroyed, transferred, removed or otherwise damaged or disposed of, in whole or in part, except as provided by law.
(1) No record shall be destroyed or otherwise disposed of unless it is determined that the record has no further administrative, legal, fiscal, research or historical value.
(2) Nonrecord materials or materials not included within the definition of records may, if not otherwise prohibited by law, be destroyed at any time, if same have the approval of the Missouri Local Records Board.
(3) Records of the city may be disposed of or destroyed without the approval of the Missouri Local Records Board, if the same is permitted by the State Municipal Records Manual. Records may be retained for a period of time longer than the minimum retention period required by the State Municipal Records Manual, at the discretion of the city clerk. (1977 Code)
Secs. 10-25 to 10-29. Reserved.
ARTICLE IV
NATURAL GAS SYSTEM REVENUE BONDS
SERIES 1992
(The Natural Gas System Revenue Bond Series 1992 have been retired)
(Ord. 519; Repealed by Ord. 730)
Secs. 10-30 to 10-142. Reserved.
ARTICLE IV
NATURAL GAS SYSTEM REVENUE BONDS
SERIES 1992*
SECTION 1. DEFINITIONS
Sec. 10-30. Definitions of Words and Terms.
In addition to words and terms defined elsewhere herein, the following capitalized words and terms as used in this Ordinance shall have the following meanings:
"Act" means Chapter 91 of the Revised Statutes of Missouri, 1986, as amended.
"Arbitrage Instructions" means the Arbitrage Instructions attached hereto as Exhibit B, as the same may be amended or supplemented in accordance with the provisions thereof.
"Bond Counsel" means Gilmore & Bell,
"Bond Payment Date" means any date on which principal of or interest on any Bond is payable at the Maturity thereof or on any Interest Payment Date.
"Bond Register" means the books for the registration, transfer and exchange of Bonds kept at the office of the Paying Agent.
"Bondowner" or "Registered Owner" when used with respect to any Bond means the Person in whose name such Bond is registered on the Bond Register.
"Bonds" means the Natural Gas System Revenue Bonds, Series 1992, of the City, in the aggregate principal amount of $1,200,000, authorized and issued pursuant to this Ordinance.
"Business Day" means a day other than a Saturday, Sunday or holiday on which the Paying Agent shall be scheduled in the normal course of its operations to be open to the public for conduct or its banking operations.
"City" means the City of St. James, Missouri, and any successors or assigns.
"Code" means the Internal Revenue Code of 1986, as amended, and the applicable regulations of the Treasury Department proposed or promulgated thereunder.
"Consultant" means an independent engineer or engineering firm having a favorable reputation for skill and experience in the construction, financing and operation of public utilities and the preparation of management studies and financial feasibility studies in connection therewith, at the time employed by the City for the purpose of carrying out the duties imposed on the Consultant by this Ordinance.
"Debt Service Account" means the account by that name created by Section 65 hereof.
"Debt Service Requirements" means the aggregate principal payments (whether at maturity or pursuant to scheduled mandatory sinking fund redemption requirements) and interest payments on the Bonds for the period of time for which calculated; provided, however, that for purposes of calculating such amount principal and interest shall be excluded from the determination of Debt Service Requirements to the extent that such principal or interest is payable from amounts deposited in trust, escrowed or otherwise set aside for the payment thereof with the Paying Agent or other commercial bank or trust company located in the State of Missouri and having full trust powers.
*
Authorized by voters on
"Debt Service Reserve Account" means the account by that name created by Section 65 hereof.
"Debt Service Reserve Requirement" means the sum of $120,000.
"Defaulted Interest" means interest on any Bond which is payable but not paid on any Interest Payment Date.
"Defeasance Obligations" means any of the following obligations:
(a) United States Government Obligations that are not subject to redemption in advance of their maturity dates; or
(b) obligations of any state or political subdivision of any state, the interest on which is excluded from gross income for federal income tax purposes and which meet the following conditions:
(1) the obligations are (i) not subject to redemption prior to maturity or (ii) the trustee for such obligations has been given irrevocable instructions concerning their calling and redemption and the issuer of such obligations has covenanted not to redeem such obligations other than as set forth in such instructions;
(2) the obligations are secured by cash or United States Government Obligations that may be applied only to principal of, premium, if any, and interest payments on such obligations;
(3) such cash and the principal of and interest on such United States Government Obligations (plus any cash in the escrow fund) are sufficient to meet the liabilities of the obligations;
(4) such cash and United States Government Obligations serving as security for the obligations are held in an escrow fund by an escrow agent or a trustee irrevocably in trust;
(5) such cash and United States Government Obligations are not available to satisfy any other claims, including those against the trustee or escrow agent; and
(6) the obligations are rated in the highest rating category by Moody's Investors Service, Inc. (presently "Aaa") or Standard & Poor's Corporation (presently "AAA").
"Depreciation and Replacement Account" means the account by that name created by Section 65 hereof.
"Expenses" means all reasonable and necessary expenses of operation, maintenance and repair of the System and keeping the System in good repair and working order (other than interest paid on System Revenue Bonds, depreciation and amortization charges during the period of determination), determined in accordance with generally accepted accounting principles, including without limiting the generality of the foregoing, current maintenance charges, expenses of reasonable upkeep and repairs, salaries, wages, costs of materials and supplies, Paying Agent fees and expenses, annual audits, periodic Consultant's reports, properly allocated share of charges for insurance, the cost of purchased water, gas and power, if any, obligations (other than for borrowed money or for rents payable under capital leases) incurred in the ordinary course of business, liabilities incurred by endorsement for collection or deposit of checks or drafts received in the ordinary course of business, short-term indebtedness incurred and payable within a particular fiscal year, other obligations or indebtedness incurred for the purpose of leasing (pursuant to a true or operating lease) equipment, fixtures, inventory or other personal property, and all other expenses incident to the operation of the System, but shall exclude all general administrative expenses of the City not related to the operation of the System.
"Insurance Consultant" means an individual or form selected by the City qualified to survey risks and to recommend insurance coverage for entities engaged in operations like those of the System and having a favorable reputation for skill and experience in making such surveys and recommendations.
"Interest Payment Date" means the Stated Maturity of an installment of interest on any Bond.
"Maturity" when used with respect to any Bond means the date on which the principal of such Bond becomes due and payable as therein and herein provided, whether at the Stated Maturity thereof or call for optional or mandatory redemption or otherwise.
"Maximum Annual Debt Service" means the maximum amount of Debt Service Requirements as computed for the then current or any future fiscal year.
"Net Revenues Available for Debt Service" means, for the period of determination, all Revenues less all Expenses as determined in accordance with generally accepted accounting principles.
"Operation and Maintenance Account" means the account by that name created by Section 65 hereof.
"Ordinance" means this Ordinance as from time to time amended in accordance with the terms hereof.
"Outstanding" means, when used with reference to Bonds, as of any particular date, all Bonds theretofore issued and delivered hereunder, except the following Bonds:
(a) Bonds theretofore cancelled by the Paying Agent or delivered to the Paying Agent for cancellation;
(b) Bonds deemed to be paid in accordance with the provisions of Section 126 hereof; and
(c) Bonds in exchange for or in lieu of which other Bonds have been registered and delivered hereunder.
"Parity Bonds" means any parity bonds or other obligations hereafter issued or incurred pursuant to Section 117 hereof and standing on a parity and equality with the Bonds with respect to the payment of principal and interest out of the net income and revenues of the System.
"Parity Ordinances" means the ordinances under which any Parity Bonds shall hereafter be issued pursuant to Section 117 hereof.
"Paying Agent" means Boatmen's Trust Company,
"Permitted Investments" means any of the following securities and obligations, if and to the extent the same are at the time legal for investment of the City's moneys held in the funds and accounts referred to in Section 65 hereof:
(a)
(b) bonds, notes of other obligations of the State of
(c) repurchase agreements with any bank, bank holding company, savings and loan association, trust company, or other financial institution organized under the laws of the United States or any state, that are continuously and fully secured by any one or more of the securities described in clause (a) or (b) above and have a market value, exclusive of accrued interest, at all times at least equal to the principal amount of such repurchase agreement and are held in a custodial or trust account for the benefit of the City;
(d) obligations of the Federal National Mortgage Association, the Government National Mortgage Association, the Federal Financing Bank, the Federal Intermediate Credit Corporation, Federal Banks for Cooperatives, Federal Land Banks, Federal Home Loan Banks, Farmers Home Administration and Federal Home Loan Mortgage Corporation; and
(e) certificates of deposit or time deposits, whether negotiable or nonnegotiable, issued by any bank or trust company organized under the laws of the United States or any state, provided that such certificates of deposit or time deposits shall be either (1) continuously and fully insured by the Federal Deposit Insurance Corporation, or (2) continuously and fully secured by such securities as are described above in clauses (a) through (c), inclusive, which shall have a market value, exclusive of accrued interest, at all times at least equal to the principal amount of such certificates of deposit or time deposits; and
(f) any other securities or investments that
are lawful for the investment of moneys held in such funds or
accounts under the laws of the State of
"Person" means any natural person, corporation, partnership, firm, joint venture, association, joint-stock company, trust, unincorporated organization, or government or any agency or political subdivision thereof or other public body.
"Project Fund" means the fund by that name created by Section 65 hereof.
"Purchaser" means Piper Jaffray Inc.,
"Record Date" for the interest payable on any Interest Payment Date means the 15th day (whether or not a Business Day) of the calendar month next preceding such Interest Payment Date.
"Redemption Date" when used with respect to any Bond to be redeemed means the date fixed for such redemption pursuant to the terms of this Ordinance.
"Redemption Price" when used with respect to any Bond to be redeemed means the price at which such Bond is to be redeemed pursuant to the terms of this Ordinance, including the applicable redemption premium, if any, but excluding installments of interest whose Stated Maturity is on or before the Redemption Date.
"Revenue Fund" means the fund by that name created by Section 65 hereof.
"Revenues" means all income and revenues derived from the operation of the System, including investment and rental income, net proceeds from business interruption insurance, and any amounts deposited in escrow in connection with the acquisition, construction, remodeling, renovation and equipping of facilities to be applied during the period of determination to pay interest on System Revenue Bonds, but excluding any profits or losses on the early extinguishment of debt or on the sale or other disposition, not in the ordinary course of business, of investments or fixed or capital assets.
"Special Record Date" means the date fixed by the Paying Agent pursuant to Section 39 hereof for the payment of Defaulted Interest.
"Stated Maturity" when used with respect to any Bond or any installment of interest thereon means the date specified in such Bond and this Ordinance as the fixed date on which the principal of such Bond or such installment of interest is due and payable.
"Surplus Account" means the account by that name created by Section 65 hereof.
"System" means the entire natural gas distribution system owned and operated by the City to serve the needs of the City and its inhabitants and others, including all appurtenances and facilities connected therewith or relating thereto, together with all extensions, improvements, additions and enlargements thereto hereafter made or acquired by the City.
"System Revenue Bonds" means collectively the Bonds, the Parity Bonds and all other revenue bonds which are payable out of, or secured by an interest in, the income and revenues derived from the operation of the System.
"United States Government Obligations" means bonds, notes, certificates of indebtedness, treasury bills or other securities constituting direct obligations of, or obligations the principal of and interest on which are fully and unconditionally guaranteed as to full and timely payment by, the United States of America, including evidences of a direct ownership interest in future interest or principal payments on obligations issued or guaranteed by the United States of America (including the interest component of obligations of the Resolution Funding Corporation), or securities which represent an undivided interest in such obligations, which obligations are rated in the highest rating category by a nationally recognized rating service, and such obligations are held in a custodial or trust account for the benefit of the City.
"Valuation Date" means the first business day of each fiscal year of the System. (Ord. 519, Art. I, §101)
Secs. 10-31 to 10-35. Reserved.
SECTION 2. AUTHORIZATION OF BONDS
Sec. 10-36. Authorization of Bonds.
There is hereby authorized and directed to be issued a series of bonds of the City, designated "Natural Gas System Revenue Bonds, Series 1992", in the principal amount of $1,200,000 (the "Bonds") for the purpose of acquiring and constructing a natural gas distribution system for the City, as provided in this Ordinance. (Ord. 519, Art. II, §201)
Sec. 10-37. Description of Bonds.
The Bonds shall consist of fully registered bonds without
coupons, numbered from 1 upward, in denominations of $5,000 or
any integral multiple thereof. The Bonds, as originally
issued or issued upon transfer, exchange or substitution, shall
be substantially in the form set forth in Exhibit A attached
hereto, and shall be subject to registration, transfer and
exchange as provided in Section 40 hereof. The Bonds shall
be dated
Stated Maturity Principal Annual Rate
June 1 Amount of Interest
1994 $15,000 5.00%
1995 35,000 5.40
1996 50,000 5.70
1997 65,000 6.00
1998 65,000 6.20
1999 70,000 6.40
2000 75,000 6.60
2001 80,000 6.75
2002 90,000 6.90
2003 95,000 7.00
2004 100,000 7.10
2005 105,000 7.20
2006 115,000 7.25
2007 240,000 7.25
The Bonds shall bear interest at the above-specified rates (computed on the basis of a 360-day year of twelve 30-day months) from the date thereof or from the most recent Interest Payment Date to which interest has been paid or duly provided for, payable semiannually on June 1 and December 1 in each year, beginning on December 1, 1992. (Ord. 519, Art. II, §202)
Sec. 10-38. Designation of Paying Agent.
Boatmen's Trust Company, in the City of Kansas City, Missouri, is hereby designated as the City's paying agent for the payment of principal of and interest on the Bonds and bond registrar with respect to the registration, transfer and exchange of Bonds (herein called the "Paying Agent").
The City will at all times maintain a Paying Agent meeting the qualifications herein described for the performance of the duties hereunder. The City reserves the right to appoint a successor Paying Agent by (1) filing with the bank then performing such function a certified copy of the proceedings giving notice of the termination of such bank and appointing a successor, and (2) causing notice to be given to each Bondowner. No resignation or removal of the Paying Agent shall become effective until a successor has been appointed and has accepted the duties of the Paying Agent.
Every Paying Agent appointed hereunder shall at all times be a commercial banking association or corporation or trust company located in the State of Missouri organized and doing business under the laws of the United States of America or of the State of Missouri, authorized under such laws to exercise trust powers and subject to supervision or examination by federal or state regulatory authority.
The Paying Agent shall be paid the usual fees for its services in connection therewith, which fees shall be paid as other Expenses are paid. (Ord. 519, Art. II, §203)
Sec. 10-39. Method and Place of Payment of Bonds.
The principal or Redemption Price of and interest on the Bonds shall be payable in any coin or currency of the United States of America that, on the respective dates of payment thereof, is legal tender for the payment of public and private debts.
The principal or Redemption Price of each Bond shall be paid at Maturity to the Person in whose name such Bond is registered on the Bond Register at the Maturity thereof, upon presentation and surrender of such Bond at the principal corporate trust office of the Paying Agent.
The interest payable on each Bond on any Interest Payment Date shall be paid to the Registered Owner of such Bond as shown on the Bond Register at the close of business on the Record Date for such interest (a) by check or draft mailed by the Paying Agent to such Registered Owner at the address shown on the Bond Register or (b) at such other address as is furnished to the Paying Agent in writing by such Registered Owner.
Notwithstanding the foregoing provisions of this Section, any Defaulted Interest with respect to any Bond shall cease to be payable to the Registered Owner of such Bond on the relevant Record Date and shall be payable to the Registered Owner in whose name such Bond is registered at the close of business on the Special Record Date for the payment of such Defaulted Interest, which Special Record Date shall be fixed as hereinafter specified in this paragraph. The City shall notify the Paying Agent in writing of the amount of Defaulted Interest proposed to be paid on each Bond and the date of the proposed payment (which date shall be at least 30 days after receipt of such notice by the Paying Agent) and shall deposit with the Paying Agent at the time of such notice an amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Paying Agent for such deposit prior to the date of the proposed payment. Following receipt of such funds the Paying Agent shall fix a Special Record Date for the payment of such Defaulted Interest which shall be not more than 15 nor less than 10 days prior to the date of the proposed payment. The Paying Agent shall promptly notify the City of such Special Record Date and, in the name and at the expense of the City, shall cause notice of the proposed payment of such Defaulted Interest and the Special Record Date therefore to be mailed, by first class mail, postage prepaid, to each Registered Owner of a Bond entitled to such notice at the address of such Registered Owner as it appears on the Bond Register not less than 10 days prior to such Special Record Date.
The Paying Agent shall keep a record of payment of principal and Redemption Price of and interest on all Bonds and shall at least annually forward a copy or summary of such records to the City. (Ord. 519, Art. II, §204)
Sec. 10-40. Registration, Transfer and Exchange of Bonds.
The City covenants that, as long as any of the Bonds remain Outstanding, it will cause the Bond Register to be kept at the office of the Paying Agent for the registration, transfer and exchange of Bonds as herein provided. Each Bond when issued shall be registered in the name of the owner thereof on the Bond Register kept by the Paying Agent.
Bonds may be transferred and exchanged only on the Bond Register maintained by the Paying Agent as provided in this Section. Upon surrender of any Bonds at the principal corporate trust office of the Paying Agent, the Paying Agent shall transfer or exchange such Bond for a new Bond or Bonds in any authorized denomination of the same Stated Maturity and in the same aggregate principal amount as the Bond that was presented for transfer or exchange. Bonds presented for transfer or exchange shall be accompanied by a written instrument or instruments of transfer or authorization for exchange, in a form and with guarantee of signature satisfactory to the Paying Agent, duly executed by the Registered Owner thereof or by the Registered Owner's duly authorized agent. All Bonds presented for transfer or exchange shall be surrendered to the Paying Agent for cancellation.
In all cases in which the privilege of transferring or exchanging Bonds is exercised, the Paying Agent shall authenticate and deliver Bonds in accordance with the provisions of this Ordinance. The City shall pay the fees and expenses of the Paying Agent for the registration, transfer and exchange of Bonds provided for by this Ordinance and the cost of printing a reasonable supply of registered bond blanks. Any additional costs or fees that might be incurred in the secondary market, other than fees of the Paying Agent, are the responsibility of the Registered Owners of the Bonds.
The City and the Paying Agent shall not be required (a) to register the transfer or exchange of any Bond after notice calling such Bond or portion thereof for redemption has been given or during the period of fifteen days next preceding the first mailing of such notice of redemption; or (b) to register the transfer or exchange of any Bond during a period beginning at the opening of business on the day after receiving written notice from the City of its intent to pay Defaulted Interest and ending at the close of business on the date fixed for the payment of Defaulted Interest pursuant to Section 39 hereof.
The City and the Paying Agent may deem and treat the Person in whose name any Bond shall be registered in the Bond Register as the absolute owner of such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of, or on account of, the principal or Redemption Price of and interest on said Bond and for all other purposes. All payments so made to any such Registered Owner or upon the Registered Owner's order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the City nor the Paying Agent shall be affected by any notice to the contrary.
At reasonable times and under reasonable regulations established by the Paying Agent, the Bond Register may be inspected and copied by the Registered Owners (or a designated representative thereof) of 10% or more in principal amount of the Bonds then Outstanding or any designated representative of such Registered Owners to be evidenced to the satisfaction of the Paying Agent. (Ord. 519, Art. II, §205)
Sec. 10-41. Execution, Authentication and Delivery of Bonds.
Each of the Bonds, including any Bonds issued in exchange or as substitution for the Bonds initially delivered, shall be signed by the manual or facsimile signature of the Mayor, attested by the manual or facsimile signature of the City Clerk, and shall have the official seal of the City affixed thereto or imprinted thereon. In case any officer whose signature appears on any Bonds shall cease to be such officer before the delivery of such Bonds, such signature shall nevertheless be valid and sufficient for all purposes, as if such person had remained in office until delivery. Any Bond may be signed by such persons who at the actual time of the execution of such Bond shall be the proper officers to sign such Bond although at the date of such Bond such persons may not have been such officers.
The Mayor and City Clerk are hereby authorized and directed to prepare and execute the Bonds as herein specified, and when duly executed, to deliver the Bonds to the Paying Agent for authentication.
The Bonds shall have endorsed thereon a certificate of authentication substantially in the form set forth in Exhibit A attached hereto, which shall be manually executed by an authorized officer or employee of the Paying Agent, but it shall not be necessary that the same officer or employee sign the certificate of authentication on all of the Bonds that may be issued hereunder at any one time. No Bond shall be entitled to any security or benefit under this Ordinance or be valid or obligatory for any purpose unless and until such certificate of authentication shall have been duly executed by the Paying Agent. Such executed certificate of authentication upon any Bond shall be conclusive evidence that such Bond has been duly authenticated and delivered under this Ordinance. Upon authentication, the Paying Agent shall deliver the Bonds to the Purchaser of the Bonds, upon payment of the purchase price thereof. (Ord. 519, Art. II, §206)
Sec. 10-42. Mutilated, Destroyed, Lost and Stolen Bonds.
If (a) any mutilated Bond is surrendered to the Paying Agent, or the City and the Paying Agent receive evidence to their satisfaction of the mutilation, destruction, loss or theft of any Bond, and (b) there is delivered to the City and the Paying Agent such security or indemnity as may be required by each of them, then, in the absence of notice to the City or the Paying Agent that such Bond has been acquired by a bona fide purchaser, the City shall execute and, upon the City's request, the Paying Agent shall authenticate and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or stolen Bond, a new Bond of the same Stated Maturity and of like tenor and principal amount.
In case any such mutilated, destroyed, lost or stolen Bond has become or is about to become due and payable, the City, in its discretion may pay such Bond instead of issuing a new Bond.
Upon the issuance of any new Bond under this Section, the City may require the payment by the Registered Owner of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees and expenses of the Paying Agent) connected therewith.
Every new Bond issued pursuant to this Section shall constitute a replacement of the prior obligation of the City, and shall be entitled to all the benefits of this Ordinance equally and ratably with all other Outstanding Bonds. (Ord. 519, Art. II, §207)
Sec. 10-43. Cancellation and Destruction of Bonds Upon Payment.
All Bonds that have been paid or redeemed or that otherwise have been surrendered to the Paying Agent, either at or before Maturity, shall be cancelled by the Paying Agent immediately upon the payment, redemption and surrender thereof to the Paying Agent and subsequently destroyed in accordance with the customary practices of the Paying Agent. The Paying Agent shall execute a certificate in duplicate describing the Bonds so cancelled and destroyed and shall file an executed counterpart of such certificate with the City. (Ord. 519, Art. II, §208)
Sec. 10-44. Preliminary and Final Official Statement.
The Preliminary Official Statement, in the form attached hereto as Exhibit C, is hereby ratified and approved, and the final Official Statement is hereby authorized and approved by supplementing, amending and completing the Preliminary Official Statement, with such changes and additions thereto as are necessary to conform to and describe the transaction. The Mayor is hereby authorized to execute the final official Statement as so supplemented, amended and completed and the use and public distribution of the Official Statement by the Purchaser in connection with the reoffering of the Bonds is hereby authorized. The proper officials of the City are hereby authorized to execute and deliver a certificate pertaining to such official Statement as prescribed therein, dated as of the date of payment for and delivery of the Bonds.
For the purpose of enabling the Purchaser to comply with the requirements of Rule 15c2-12(b)(1) of the Securities and Exchange Commission, the City hereby deems the information regarding the City contained in the Preliminary Official Statement to be "final" as of its date, except for the omission of such information as is permitted by Rule 15c2-12(b)(1), and the appropriate officers of the City are hereby authorized, if requested, to provide the Purchaser a letter or certification to such effect and to take such other actions or execute such other documents as such officers in their reasonable judgment deem necessary to enable the Purchaser to comply with the requirement of such Rule.
The City agrees to provide to the Purchaser within seven business days of the date of the sale of Bonds sufficient copies of the final Official Statement to enable the Purchaser to comply with the requirements of Rule 15c2-12(b)(4) of the Securities and Exchange Commission and with the requirements of Rule G-32 of the Municipal Securities Rulemaking Board. (Ord. 519, Art. II, §209)
Sec.
10-45.
The sale of the Bonds to the Purchaser at a purchase price of 97% of the principal amount of the Bonds, plus accrued interest to the date of delivery, is hereby ratified and confirmed. Delivery of the Bonds shall be made to the Purchaser as soon as practicable after the adoption of this Ordinance, upon payment therefore in accordance with the terms of sale. (Ord. 519, Art. II, §210)
Secs. 10-46 to 10-50. Reserved.
SECTION 3. REDEMPTION OF BONDS
Sec. 10-51. Redemption of Bonds.
At the option of the City, Bonds or portions thereof maturing in the year 2002, and thereafter may be called for redemption and payment prior to the Stated Maturity thereof on June 1, 2001, and thereafter in whole at any time or in part on any Interest Payment Date at a Redemption Price of 100% of the principal amount of Bonds to be redeemed plus accrued interest thereon to the Redemption Date. (Ord. 519, Art. III, §301)
Sec. 10-52. Selection of Bonds to be Redeemed.
(a) The Paying Agent shall call Bonds for redemption and payment as herein provided upon receipt by the Paying Agent at least 45 days prior to the Redemption Date of a written request of the City specifying the principal amount, Stated Maturities and Redemption Prices of the Bonds to be called for redemption. The Paying Agent may in its discretion waive such notice period so long as the notice requirements set forth in Section 10-53 are met.
(b) Bonds shall be redeemed only in the principal amount of $5,000 or any integral multiple thereof. When less than all of the Outstanding Bonds are to be redeemed, such Bonds shall be redeemed in inverse order of their Stated Maturities, and Bonds of less than a full Stated Maturity shall be selected by the Paying Agent in $5,000 units of principal amount in such equitable manner as the Paying Agent may determine.
(c) In the case of a partial redemption of Bonds when Bonds of denominations greater than $5,000 are then Outstanding, then for all purposes in connection with such redemption each $5,000 of face value shall be treated as though it were a separate Bond of the denomination of $5,000. If it is determined that one or more, but not all, of the $5,000 units of face value represented by any Bond are selected for redemption, then upon notice of intention to redeem such $5,000 unit or units, the Registered Owner of such Bond or the Registered Owner's duly authorized agent shall present and surrender such Bond to the Paying Agent (1) for payment of the Redemption Price and interest to the Redemption Date of such $5,000 unit or units of face value called for redemption, and (2) for exchange, without charge to the Registered Owner thereof, for a new Bond or Bonds of the aggregate principal amount of the unredeemed portion of the principal amount of such Bond. If the Registered Owner of any such Bond shall fail to present such Bond to the Paying Agent for payment and exchange as aforesaid, such Bond shall, nevertheless, become due and payable on the Redemption Date to the extent of the $5,000 unit or units of face value called for redemption (and to that extent only). (Ord. 519, Art. III, §302)
Sec. 10-53. Notice and Effect of Call for Redemption.
Unless waived by any Registered Owner of Bonds to be redeemed, official notice of any redemption shall be given by the Paying Agent on behalf of the City by mailing a copy of an official redemption notice by first class, registered or certified mail, as determined by the Paying Agent, at least 30 days prior to the Redemption Date, to the Purchaser of the Bonds and each Registered Owner of the Bonds to be redeemed at the address shown on the Bond Register or at such other address furnished in writing by any such Registered Owner or Owners to the Paying Agent.
All official notices of redemption shall be dated and shall contain the following information:
(a) the Redemption Date;
(b) the Redemption Price;
(c) if less than all Outstanding Bonds are to be redeemed, the identification (and, in the case of partial redemption of any Bonds, the respective principal amounts) of the Bonds to be redeemed;
(d) a statement that on the Redemption Date the Redemption Price will become due and payable upon each such Bond or portion thereof called for redemption and that interest thereon shall cease to accrue from and after the Redemption Date; and
(e) the place where such Bonds are to be surrendered for payment of the Redemption Price, which shall be the principal corporate trust office of the Paying Agent.
Prior to any Redemption Date, the City shall deposit with the Paying Agent an amount of money sufficient to pay the Redemption Price of all the Bonds or portions of Bonds that are to be redeemed on that date.
Official notice of redemption having been given as aforesaid, the Bonds or portions of Bonds to be redeemed shall become due and payable on the Redemption Date, at the Redemption Price therein specified, and from and after the Redemption Date (unless the City shall default in the payment of the Redemption Price) such Bonds or portion of Bonds shall cease to bear interest. Upon surrender of such Bonds for redemption in accordance with such notice, the Redemption Price of such Bonds shall be paid by the Paying Agent. Installments of interest due on or prior to the Redemption Date shall be payable as herein provided for payment of interest. Upon surrender for any partial redemption of any Bond, there shall be prepared for the Registered Owner a new Bond or Bonds of the same Stated Maturity in the amount of the unpaid principal as provided herein. All Bonds that have been redeemed shall be cancelled and destroyed by the Paying Agent as provided herein and shall not be reissued.
In addition to the foregoing notice, further notice shall be given by the Paying Agent on behalf of the City as set out below, but no defect in said further notice nor any failure to give all or any portion of such further notice shall in any manner defeat the effectiveness of a call for redemption if official notice thereof is given as above prescribed.
(a) Each further notice of redemption given hereunder shall contain the information required above for an official notice of redemption plus (1) the CUSIP numbers of all Bonds being redeemed; (2) the date of issue of the Bonds as originally issued; (3) the rate of interest borne by each Bond being redeemed; (4) the Stated Maturity of each Bond being redeemed; and (5) any other descriptive information needed to identify accurately the Bonds being redeemed.
(b) Each further notice of redemption shall be sent at least 35 days before the Redemption Date by first class, registered or certified mail or overnight delivery as determined by the Paying Agent to all registered securities depositories then in the business of holding substantial amounts of obligations of types comprising the Bonds and to one or more national information services that disseminate notices of redemption of obligations such as the Bonds.
(c) Each check or other transfer of funds issued for the payment of the Redemption Price of Bonds being redeemed, shall bear the CUSIP number of the Bonds being redeemed with the proceeds of such check or other transfer.
The Paying Agent is also directed to comply with any mandatory or voluntary standards when in effect for processing redemptions of municipal securities established by the Securities and Exchange Commission. Failure to comply with such standards shall not affect or invalidate the redemption of any Bond. (Ord. 519, Art. III, §303)
Secs. 10-54 to 10-58. Reserved.
SECTION 4. SECURITY FOR BONDS
Sec. 10-59. Security for Bonds.
The Bonds shall be special obligations of the City payable solely from, and secured as to the payment of principal and interest by a pledge of, the net income and revenues derived from the operation of the System, after providing for the costs of operation and maintenance thereof, including operating income, investment income, gifts, bequests, contributions, and grants and other moneys made available to the City with respect to the System from sources other than funds raised by taxation, and the City hereby pledges said net income and revenues to the payment of the principal of and interest on the Bonds. The Bonds shall not be or constitute a general obligation of the City, nor shall they constitute an indebtedness of the City within the meaning of any constitutional, statutory or charter provision,