9764-07 Authorizing the Mayor and Controller to Issue Temporary Loans 2006 - 2007

Home Browse Search

amount of the Warrants as set forth herein shall be reduced as necessary to comply with the Internal Revenue Code of 1986, as amended (the "Code"). Section II. With respect to each Fund and each maturity date, the appropriate officers of the City are authorized to deliver a principal amount of Warrants up to or less than the maximum amount established for any such Fund or maturity date in Section 1 hereof in order to comply with all applicable laws. All Warrants will be delivered at the time of payment with respect to any Fund or otherwise as appropriate and in accordance with the terms of the Warrant Purchase Agreement. Section III. The principal of and interest on the Warrants, together with all necessary costs incurred in connection with the issuance and sale of the Warrants, shall be payable from tax revenues to be received in the respective Fund upon which such Warrant is issued. There is hereby appropriated and pledged to the payment of all Warrants issued with respect to each Fund, including interest and all necessary costs incurred in connection with the issuance and sale of the Warrants, a sufficient amount of the tax revenues, levied in 2006, and payable in 2007, for such Fund and in anticipation of which the Warrants have been issued, for the punctual payment of the principal of and interest on the Warrants evidencing such temporary loans, together with such issuance costs, if any. Section IV. The City Controller, on behalf of the City, is authorized to sell the Warrants via negotiated sale at a price not less than the par value thereof to a purchaser or purchasers (the "Purchaser") in the denomination of One Hundred Thousand Dollars ($100,000), and any integral multiple of One Dollar ($1.00) in excess of One Hundred Thousand Dollars ($100,000) of single maturities. The Warrants shall be sold to the Purchaser pursuant to the purchase agreement (the "Warrant Purchase Agreement") between the City and the Purchaser, hereby authorized to be entered into and executed by the City Controller, on behalf of the City, subsequent to the date of the adoption of this Ordinance in accordance with the terms and conditions of this Ordinance, and with such Warrant Purchase Agreement to set forth the definitive terms and conditions of such sale, including the interest rate or rates on the Warrants, which shall not exceed the maximum authorized rate of interest for the Warrants issued pursuant to this Ordinance. The Warrants sold to the Purchaser shall be accompanied by all documentation required pursuant to the provisions of Indiana law and the Warrant Purchase Agreement, including without limitation an approving opinion of nationally recognized bond counsel, certification and guarantee of signatures and certification as to no litigation pending, as of the date of delivery of the Warrants to the Purchaser, challenging the validity or issuance of the Warrants and certification from the Purchaser that it is a "sophisticated investor". The entry by the City into the Warrant Purchase Agreement and the execution of the Warrant Purchase Agreement on behalf of the City by the City Controller, in accordance with the Ordinance, are hereby authorized, approved and ratified. Section V. The Warrants may be prepaid on any date prior to their maturity, in whole or in part, upon at least seven (7) days' written notice to the holder of the Warrant or Warrants to be prepaid, at a prepayment price equal to one hundred percent (100%) of the principal amount of the Warrants to be prepaid, plus accrued interest thereon to the date of BDDBOI 4765573v1 - 3 -