Autthorizing the acquistion, construction, and installation of certain improvements and extensions to sewage works, the issuance and sale of additional revenue bonds

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without limitation, an approving opinion of a nationally recognized bond counsel, certification and guarantee of signatures and certification as to no litigation pending, as of the date of delivery of the 1998 Bonds to the State, challenging the validity or issuance of the 1998 Bonds. In the event the Controller determines to sell one or more series of the 1998 Bonds to the State, the entry by the City into the Financial Assistance Agreement and the execution of the Financial Assistance Agreement by the Mayor, and, if required, the entry by the City into a Purchase Agreement with the Bond Bank and the execution of the Purchase Agreement by the Mayor, in accordance with this Ordinance are hereby authorized, approved and ratified. For purposes of any provision of this Ordinance applicable in the event the 1998 Bonds are owned by the State, such provision shall be equally applicable if any of the 1998 Bonds are owned by the Bond Bank as a part of the SRF Program. Prior to the delivery of the 1998 Bonds, the Mayor, subject to the direction of the Common Council, (i) shall be authorized to investigate, negotiate and obtain bond insurance, other forms of credit enhancement and/or credit ratings on 1998 Bonds and (ii) shall obtain a legal opinion as to the validity of the 1998 Bonds from Baker & Daniels, South Bend, Indiana, bond counsel for the City, with such opinion to be furnished to the purchaser of the 1998 Bonds at the expense of the City. The costs of obtaining any such insurance, other credit enhancement and/or credit ratings, together with bond counsel's fee in preparing and delivering such opinion and in the performance of related services in connection with the issuance, sale and delivery of the 1998 Bonds, shall be considered as a part of the cost of the Project and shall be paid out of the proceeds of the 1998 Bonds. Section 9. Disposition of Proceeds of the 1998 Bonds: Citv of South Bend. 1998 Sewage Works Construction Account. The proceeds from the sale of the 1998 Bonds shall be deposited and applied as follows: (a) The accrued interest and any premium received at the time of delivery of the 1998 Bonds or any unused discount shall be deposited in the Sewage Works Sinking Fund continued by the 1998 Ordinance. (b) The remaining proceeds from the sale of the 1998 Bonds shall be deposited in a bank or banks which are legally qualified depositories for the funds of the City, in the special account to be designated as "City of South Bend, 1998 Sewage Works Construction Account" (the "Construction Account"). Amounts in the Construction Account -16- ::ODMA\PCDOCS\SBDOCS 1 \ 1494'7\3