9603-05 Authorizing the Issuance of Revenue Bonds - Concerning the Construction of Improvements to the Municipal Waterworks - not to exceed $4,710,000

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the procedures for the issuance of the 2005 Bonds as the procedures followed before the issuance of the BANS are for all purposes sufficient to authorize the issuance of the 2005 Bonds and to use proceeds thereof to repay the BANS. The principal of the BANS herein authorized is payable solely from proceeds received from the sale of the 2005 Bonds, and the interest thereon may be paid from such proceeds or from the Net Revenues or a combination thereof, and the proceeds received by the City from the sale of the 2005 Bonds and such Net Revenues are hereby irrevocably pledged to the payment of the principal of and interest on the BANS. The Executive is hereby authorized to determine the form of the BANS and to execute the BANS, the Fiscal Officer is hereby authorized to have the BANS prepared, and to attest to the BANS and affix the seal the City or cause a facsimile of the seal of the City to be imprinted or impressed on the BANS. The Fiscal Officer is hereby authorized and directed to obtain the legal opinion as to the validity of the BANS from Barnes & Thornburg. After the BANs shall have been properly executed, the Fiscal Officer shall be authorized to receive from the purchaser thereof payment for the BANS and to provide for delivery of the BANS to the purchaser. Proceeds received from the sale of the BANS shall be deposited in the Construction Fund referred to in Sec. 11 of this Ordinance. The Fiscal Officer is authorized to sell the BANS to any investor, and to work with the investor to facilitate the sale of the BANS, provided, any BAN in principal amount of less than One Million Dollars ($1,000,000) must be sold to a financial institution. In any case any officer whose signature or a facsimile signature appears on the BANS shall cease to be such officer before delivery of the BANS, such signature shall nevertheless be valid and sufficient for all purposes as if such officer had remained in office until delivery of the BANS. Upon execution of the BANs by the Executive and the attestation thereof by the Fiscal Officer, the BANS shall constitute the legal, valid and binding obligations of the City. No action shall betaken that would impair the exclusion from gross income of interest on the BANS provided by the Code (as defined in Section 24). In furtherance of the foregoing, the provisions of Section 24 of this Ordinance shall apply to the BANs in the same manner as they apply to the 2005 Bonds. The BANS shall be subject to transfer or exchange in the same manner as the 2005 Bonds, as described in Section 4, and to amendment in the same manner as the 2005 Bonds, as described in Sections 22 and 23. he Executive and the Fiscal Officer each are authorized and directed to execute a purchase agreement with respect to the BANs in such form or substance as they shall approve. As an alternative to any terms of the BANs set forth above and to the method of sale referred to above, the Fiscal Officer may negotiate the sale to the Indiana Bond Bank upon such terms as are acceptable to the Executive and the Fiscal Officer and as are authorized by law for such sale, and the Executive and the Fiscal Officer each are authorized to execute a purchase agreement with the Indiana Bond Bank reflecting such terms. - 28 -