08-10-09 Common Council Meeting Agenda & Packet

Home Browse Search

This Bond shall not be valid or become obligatory for any purpose or entitled to any security or benefit under the Ordinance herein described unless and until the certificate of authentication hereon shall have been executed by a duly authorized representative of the Registrar. This Bond is one of an authorized issue of bonds of the City of South Bend, Indiana, of like tenor and effect, except as to series, numbering, interest rate and date of maturity, in the total amount of Dollars ($ )numbered from 2009R-1 upward, issued for the purpose of providing funds to pay the cost of certain improvements and extensions to the sewage works of the City (the "Sewage Works"), and all expenses necessarily incurred in connection with the issuance of such bonds, as authorized by an ordinance adopted by the Common Council of the City of South Bend on the _ day of , 2009, entitled "An Ordinance of the Common Council of the City of South Bend, Indiana, Authorizing the. Acquisition, Construction and Installation by the City of South Bend, Indiana, of Certain Improvements and Extensions to the City's Sewage Works, the Issuance and Sale of Additional Revenue Bonds to Provide Funds for the Payment of the Costs Thereof, and the Collection, Segregation and Distribution of Revenues of Such Sewage Works and Other Related Matters" (the "Ordinance"), and in strict compliance with the provisions of Indiana Code, Title 36, Article 9, Chapter 23, and the laws amendatory thereof and supplemental thereto (the "Act"). Reference is hereby made to the Financial Assistance Agreement between the City and the Authority as to certain terms and covenants pertaining to the sewage works project and this Bond (the "Financial Assistance Agreement"). This Bond is issuable only in fully registered form in the denomination of One Dollar ($1) or any integral multiple thereof not exceeding the aggregate principal amount of the bonds of this issue maturing in any one year, unless this Bond is of a series of bonds sold to the Authority, in which case it maybe of such denomination as directed. Pursuant to the provisions of the Act and the Ordinance, the principal of and interest on this Bond and all other bonds of this issue, and any bonds hereafter issued on a parity therewith, are equally and ratably secured by and are payable solely from the Sewage Works Sinking Fund continued by the Ordinance to be provided from the net revenues (herein defined as the gross revenues after deduction only for the payment of the proper and reasonable expenses of Operation and Maintenance, as defined in the Financial Assistance Agreement) derived from the Sewage Works, including the existing works, the improvements and extensions acquired or constructed out of the proceeds of this Bond and the issue of which it is a part, and all additions and improvements thereto and replacements thereof subsequently constructed and acquired. This Bond shall rank on parity with the Prior Bonds (as defined in the Ordinance). This Bond does not and shall not constitute an indebtedness of the City within the meaning of the provisions and limitations of the constitution of the State of Indiana, and the City is not and shall not be obligated to pay this Bond or the interest thereon except from such special fund provided from such net revenues. The City irrevocably pledges the entire net revenues of the Sewage Works to the extent necessary for such purposes, to the prompt payment of the principal of and interest on the bonds BDDBOI 5738468v1 A-3