10052-10 Sewage Works Revenue Bonds

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SECTION 4. Terms of Redemption. (a) The Mayor and the Controller, upon consultation with the Financial Advisor, may designate maturities of the 2010 Bonds (or a portion thereof in integral multiples of $5,000 of principal amount each) that shall be subject to optional redemption and/or mandatory sinking fund redemption, and the corresponding redemption dates, amounts and prices (including premium, if any). Except as otherwise set forth in this Ordinance, the Mayor and the Controller, upon consultation with the Financial Advisor, is hereby authorized and directed to determine the terms governing any such redemption, provided that any redemption premium shall not exceed two percent (2%) of the par amount of the 2010 Bonds to be redeemed. (b) Notice of redemption shall be given not less than 30 days prior to the date of redemption and shall be mailed by first-class mail or by registered or certified mail to the address of each registered owner of a 2010 Bond to be redeemed as shown on the Registration Record 45 days prior to the date fixed for redemption, except to the extent such redemption notice is waived by owners of 2010 Bonds redeemed; provided, however, that failure to give such notice by mailing, or any defect therein, with respect to any 2010 Bond shall not affect the validity of any proceedings for the redemption of any other 2010 Bonds. The notice shall specify the date and place of redemption, the redemption price and the CUSIP numbers of the 2010 Bonds called for redemption. The place of redemption may be determined by the City. Interest on the 2010 Bonds so called for redemption shall cease on the redemption date fixed in such notice if sufficient funds are available at the place of redemption to pay the redemption price on the date so named, and thereafter, such 2010 Bonds shall no longer be protected by this Ordinance and shall not be deemed to be outstanding hereunder, and the holders thereof shall have the right only to receive the redemption price. (c) The 2010 Bonds may be subject to mandatory sinking fund redemption as set forth herein. At the option of the successful bidder for each series of the 2010 Bonds, all or a portion of the 2010 Bonds of a particular series may be aggregated into one or more term bonds payable from mandatory sinking fund redemption payments (the "Term Bonds") required to be made as set forth below. The Term Bonds shall have a stated maturity or maturities on December 1 of the years in which the 2010 Bonds are outstanding as determined pursuant to Section 3 hereof or as determined by the successful bidder. In the event that the successful bidder opts to aggregate certain 2010 Bonds into Term Bonds, such Term Bonds shall be subject to mandatory sinking fund redemption prior to maturity at a redemption price equal to 100% of the principal amount thereof, plus accrued interest to the redemption date, but without premium, on December 1 of each year and in the principal amounts corresponding to and consistent with the maturity schedule for the 2010 Bonds set forth in the bond sale notice. The Registrar and Paying Agent shall credit against the current mandatory sinking fund requirement for a Term Bond of a particular maturity, any 2010 Bonds of such maturity delivered to the Registrar and Paying Agent for cancellation or purchased for cancellation by the Registrar and Paying Agent and cancelled by the Registrar and Paying Agent and not theretofore applied as a credit against any mandatory sinking fund requirement. Each 2010 Bond so delivered or purchased shall be credited by the Registrar and Paying Agent at 100% of the -6-