25-20 Sewage Works Refunding Bond Ordinance

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(the"Refunding") and hereby authorizes the same by issuance of refunding revenue bonds in one (1) or more series as more fully described herein(the"Refunding Bonds"). The Refunding Bonds will constitute a first charge against the Net Revenues of the Sewage Works on a parity with the Prior Bonds that remain outstanding and are to be issued pursuant to the provisions Indiana Code 5-1-5 and the Act and the terms and restrictions of this Ordinance. The Cityanticipates that,if necessary,the Indiana Finance Authority(the"Authority")will P rY consent to the issuance of the Refunding Bonds ranking on a parity with any outstanding Bonds. The Council now finds that all conditions precedent to the adoption of an ordinance authorizing the issuance of the Refunding Bonds have been complied with in accordance with the applicable provisions of Indiana Code 5-1-5 and the Act. NOW THEREFORE,BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AS FOLLOWS: SECTION 1. Refunding the Refunded Bonds. The Council hereby determines, after being duly advised, that it is beneficial to refund the Refunded Bonds thereby reducing its interest payments and effecting a savings to the City, as will be reported after the sale of the Refunding Bonds issued hereunder by the Municipal Advisor. Where used in this Ordinance, the term City shall be construed also to include any department, board, commission or officer or officers of the City or of any City department, board or commission. The terms "Sewage Works," "sewage works,""works,""system,""utility"and other like terms used in this Ordinance shall be construed to mean and include the City's existing sewage works system together with all the real estate, equipment and appurtenances thereto used in connection therewith, and all improvements, extensions and additions thereto, and replacements thereof, now or subsequently constructed or acquired as well as the drainage of storm and surface water to relieve the sewage works system of such water. SECTION 2. Authorization of Obligations. In accordance with Indiana Code 5-1-5 and the Act and for the purpose of providing funds for the refunding the Refunded Bonds, together with authorized expenses relating thereto including the costs of issuance of the Refunding Bonds, and all other costs related to the Refunding, the City shall issue in one or more series, its sewage works refunding revenue bonds designated "City of South Bend, Indiana Sewage Works Refunding Revenue Bonds of 20_"(with the blank to be completed with the last two(2)digits of the calendar year in which such bonds are issued and with an appropriate additional series designation in the event more than one (1) series of the Bonds is expected to be issued in such calendar year) in the aggregate principal amount of not to exceed Twenty-two Million Dollars ($22,000,000) (the "Refunding Bonds"). The Refunding Bonds which may be issued to refund the 2011 Bonds may be issued as taxable bonds based upon the advice of the Municipal Advisor and if so issued as taxable bonds, the designation of such series of Refunding Bonds shall include reference to being taxable bonds. The principal of, redemption premium, if any, and interest on the Refunding Bonds shall be payable solely out of the Sewage Works Sinking Fund as referred to below. The Refunding Bonds shall rank on parity with any outstanding Prior Bonds. The City reasonably expects to reimburse expenditures for the Refunding with the proceeds of the - 3 -