HomeMy WebLinkAboutAuthorizing the Issuance and Sale of Bonds Said City in Order to Provide Funds for Various PurposesORDINANCE N0.6881 -81
Passed by the Common Council of the City of South Bend, Indiana
January 12, tq 81
Presented by me to the Mayor of the City of South Bend,
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Clerk
IRENE K. GAMMON
of Common Council
iR :i1
IRENE K. GAMMON
Clerk
ORDINANCE NO. (.,�j- S
AN ORDINANCE OF THE CITY OF SOUTH BEND, INDIANA,
AUTHORIZING THE ISSUANCE AND SALE OF BONDS OF
SAID CITY IN ORDER TO PROVIDE FUNDS FOR VARIOUS
PURPOSES
WHEREAS, the Board of Public Works of the City of South Bend,
Indiana, by resolution passed the fifth day of January, 1981, has
found that it would be in the best interest of said City and its
citizens to provide funds for the cost of the purchase of Police
Department motor equipment, communications equipment and weapons;
the purchase of Fire Department motor equipment, breathing apparatus,
the retrofitting of motor equipment, the remodeling of a fire station
and purchase of various equipment for the equipping of the fire
station; the construction of a salt storage facility; the construction
of an equipment storage facility and repair and reconstruction of
the existing storage facility; the reconstruction of the municipal
services facility parking lot area, including the relocation and re-
modeling of a diesel fuel storage and pumping facility; the re-
modeling of portions of the municipal services facility; the con-
struction, reconstruction and improvement of streets and necessary
materials for the construction and reconstruction of said streets;
the purchase of Street Department motor equipment, and other paving
and street maintenance equipment and tree maintenance equipment;
guardrail installation along certain public right -of -ways; and for
miscellaneous equipment and the engineering, architectural, and legal
fees and expenses incidental thereto and the expenses and legal fees
incidental to the issuance of said bonds and has determined that
the estimated cost thereof and the incidental expenses necessary to
be incurred in connection therewith, including the issuance of bonds,
will be in an amount not exceeding Five Million Nine Hundred Seventeen
Thousand Five Hundred Forty Dollars ($5,917,540.00); and
WHEREAS, a petition has been filed under the provisions of
I.C. 6- 1.1 -20 -3, by more than fifty (50) owners of taxable real estate
in the City of South Bend, Indiana, requesting the Common Council
to issue bonds in an amount not exceeding Five Million Nine Hundred
Seventeen Thousand Five Hundred Forty Dollars ($5,917,540.00) for
the purpose of procuring funds to be applied on the cost of the projects
herein described; and
WHEREAS, the Council now finds that said projects are necessary
and will be of general benefit to the City and its citizens;
NOW THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY
OF SOUTH BEND:
SECTION 1. That the City of South Bend (hereinafter referred
to as the "CITY "), by and through its Board of Public Works, proceed
with the following activities, as recommended by said Board: The
purchase of Police Department motor equipment, communications equip-
ment and weapons; the purchase of Fire Department motor equipment,
breathing apparatus, the retrofitting of motor equipment, the re-
modeling of a fire station and purchase of various equipment for the
equipping of the fire station; the construction of a salt storage
facility; the construction of an equipment storage facility and repair
and reconstruction of the existing storage facility; the reconstruction
of the municipal services facility parking lot area, including the
relocation and remodeling of a diesel fuel storage and pumping facility;
the remodeling of portions of the municipal services facility; the
construction, reconstruction and improvement of streets and necessary
materials for the construction and reconstruction of said streets;
the purchase of Street Department motor equipment, and other paving
and street maintenance equipment and tree maintenance equipment;
guardrail installation along certain public right -of -ways; together
with the incidental expenses in connection therewith.
SECTION 2. For the purpose of providing funds with which to
pay the cost of said projects and the incidental expenses necessary
to be incurred in connection therewith, the City shall make a loan
in the amount of Five Million Nine Hundred Fifteen Thousand Dollars
($5,915,000.00). In order to procure said loan, the City Controller
is hereby authorized and directed to have prepared and to issue and
sell the negotiable general obligation bonds of the City, to be
designated as "Municipal Bonds of 1981 ", in the aggregate principal
amount of Five Million Nine Hundred Fifteen Thousand Dollars
($5,915,000.00), which bonds shall be issued in the denomination
of Five Thousand Dollars ($5,000.00), shall be numbered consecutively
from one (1) upwards, shall be dated as of the first day of the
month in which said bonds are sold, and shall bear interest at a
rate not exceeding ten per cent (10 %) per annum (the exact rate to be
determined by bidding), which interest shall be payable on July 15,
1982, and semi- annually thereafter on January 15 and July 15 of each
year and shall be evidenced by coupons attached to said bonds. Both
bonds and interest coupons shall be payable at the First Bank and
Trust Company of South Bend, in the City of South Bend, Indiana.
The bonds shall mature serially semi - annually in the amounts as
follows:
DATE
AMOUNT
July 15,
1982
$265,000.00
January
15, 1983
$600,000.00
July 15,
1983
$650,000.00
January
15, 1984
$650,000.00
July 15,
1984
$700,000.00
January
15, 1985
$700,000.00
July 15,
1985
$750,000.00
January
15, 1986
$750,000.00
July 15,
1986
$850,000.00
Said bonds shall be executed in the name of the City of South
Bend, Indiana by the Mayor, countersigned by the City Controller,
and attested by the City Clerk who shall affix the seal of the
City to each of said bonds. The interest coupons attached to said
bonds shall be executed with the facsimile signature of the City
Controller and said official, by the countersigning of said bonds,
shall adopt as and for his own proper signature his facsimile
signature appearing on said coupons. Said bonds shall, in the
hands of bona fide holders, have all of the qualities of negotiable
instruments under the laws of the State of Indiana.
SECTION 3. The form and tenor of said bonds and the interest
coupons to be attached thereto shall be substantially as follows
(all blanks to be properly completed prior to the printing of the
bonds):
UNITED STATES OF AMERICA
State of Indiana County of St. Joseph
No. $5,000.00
CITY OF SOUTH BEND
MUNICIPAL BONDS OF 1981
The City of South Bend, in St. Joseph County,
Indiana, for value received, hereby acknowledges itself
indebted and promises to pay to the bearer hereof the
principal amount of
FIVE THOUSAND DOLLARS
on 19_, and to pay interest thereon from
-2-
the date hereof until the principal is paid, at the
rate of per cent ( %) per annum, payable
on July 5199822 and semi_- -an u1y_ thereafter on January
15 and July 15 in each year, upon presentation and sur-
render of the annexed coupons as they severally become
due.
Both principal and interest of this bond are payable
in lawful money of the United States of America, at the
option of the holder, at the First Bank and Trust Company
of South Bend, in the City of South Bend, Indiana.
This bond is one of an authorized issue of one
thousand one hundred eighty -three (1,183) bonds of the
City of South Bend, of like date, denomination, tenor and
effect, except as to dates of maturity, aggregating Five
Million Nine Hundred Fifteen Thousand Dollars ($5,915,000.00),
numbered consecutively from 1 to 1,183 inclusive, issued
pursuant to an ordinance adopted by the Common Council of
said City on , 1981, entitled "An
Ordinance of the City of South Bend, Indiana, authorizing
the issuance and sale of bonds of said City in order to
provide funds for various purposes."
It is hereby certified and recited that all acts,
conditions and things required to be done precedent to and
in the execution, issuance and delivery of this bond have
been done and performed in regular and due form as provided
by law; that this bond and said total issue of bonds is
within every limit of indebtedness prescribed by the
constitution and laws of the State of Indiana, and that
the full faith and credit of the City of South Bend,
together with all of its taxable property, both real and
personal, are hereby irrevocably pledged to the punctual
payment of the principal and interest of this bond according
to its terms.
IN WITNESS WHEREOF, the City of South Bend, in St.
Joseph County, Indiana, by ordinance of its Common Council,
has caused this bond to be executed in its corporate name
by the facsimile signature of its Mayor, countersigned by
the facsimile signature of its City Controller, its corporate
seal to be hereunto affixed and attested by the manual signa-
ture of its City Clerk, and the interest coupons hereto
attached to be executed by placing thereon the facsimile
signatures of said Mayor and City Controller as of the
day of , 1981.
Attest:
City Clerk
CITY OF SOUTH BEND
By (facsimile)
Mayor
Countersigned:
By (facsimile)
City Control er
-3-
INTEREST COUPON
Coupon No.
W
On , 19 , the City of South
Bend, Indiana will pay to bearer, at the option of the holder,
at the First Bank and Trust Company of South Bend, in South
Bend, Indiana, the amount shown hereon, in lawful money of
the United States of America, being the interest then due on
its Municipal Bond of 1981, dated 1981,
No.
CITY OF SOUTH BEND
By (facsimile)
Mayor
(facsimile)
City 'Controller
SECTION 4. As soon as can be done after the passage of this
ordinance, the City Clerk shall give notice of the filing of the
petition for and determination to issue bonds. Said notice shall
be published once each week for two (2) weeks in the South Bend
Tribune and the Tri- County News, newspapers of general circulation
published in the City of South Bend, and said notice shall also
be posted in three (3) public places in the City, as provided by
I.C. 6- 1.1 -20 -4 and I.C. 6- 1.1 -20 -5. Said bonds shall not be
advertised for sale prior to the expiration of the period during
which taxpayers may file remonstrances or objecting petitions to
the issuance of said bonds. In the event a remonstrance shall be
filed by the owners of taxable real estate under the provisions
of I.C. 6- 1.1 -20 -4, then no further steps toward the issuance of
said bonds shall be taken unless and until the Common Council shall
have determined that such remonstrance is insufficient. In the
event an objecting petition or petitions are filed by taxpayers
under the provisions of I.C. 6- 1.1 -20 -5, then no further steps
towards the issuance of said bonds shall be taken unless and until
the State Board of Tax Commissioners shall issue its order approving
the issuance of said bonds. In the event it shall be determined
by the State Board of Tax Commissioners, or otherwise, that the
whole amount of the bonds herein authorized shall not be issued, then
the City Controller shall be authorized to advertise and sell a
lesser amount of bonds, and the bonds not issued and sold shall be
the bonds of the longest maturity or maturities.
SECTION 5. Prior to the sale of said bonds, the City Controller
shall cause to be published a notice of such sale once each week
for two (2) weeks in the South Bend Tribune and the Tri- County News,
and one (1) time in the Indianapolis Commercial. In the discretion
of the City Controller, a summary notice may be published in The
Bond Buyer, a financial journal published in the City and State of
New York. The date fixed for the sale shall not be earlier than
seven (7) days after the last of said publications. Said bond sale
notice shall state the time and place of sale, the purpose for
which the bonds are being issued, the total amount thereof, the
maximum rate of interest thereon, the time and place of payment, the
terms and conditions on which bids will be received and the sale
made, and such other information as the City Controller shall deem
necessary.
All bids for said bonds shall be sealed and shall be presented
to the City Controller at his office, and said Controller shall
continue to receive all bids offered until the hour named on the
date fixed in the bond sale notice, at which time and place he
-4-
shall open and consider said bids. Bidders for said bonds shall
be required to name the rate of interest which the bonds are to
bear, not exceeding the maximum rate hereinbefore fixed, and such
interest rate shall be in multiples of one - fourth (1/4) or one -
tenth (1/10) of one per cent (1 %) and not more than three (3) interest
rates shall be named by each bidder. Bids specifying two (2) or
more interest rates shall also specify the amount and maturity of
the bonds bearing each rate, but all bonds maturing on the same
date shall bear the same single coupon rate. A rate may be repeated
without constituting a different interest rate. The rate on any
maturity shall be equal to or greater than the rate on the immediately
preceding maturity. The interest due on any bond on any interest
payment date shall be represented by a single interest coupon. The
Controller shall award the bonds to the highest responsible and
qualified bidder. The highest bidder shall be the one who offers
the lowest net interest cost to the City, computing the total interest
on all of the bonds to their maturities and deducting therefrom the
premium bid, if any. No bid for less than the par value of said bonds,
including accrued interest at the rate named to the date of delivery,
shall be considered. The Controller shall have full right to reject
any and all bids. In the event no acceptable bid is received at the
time fixed in said notice for the sale of said bonds, the Controller
shall be authorized to continue to receive bids from day to day
thereafter for a period of not to exceed thirty (30) days, without
readvertisement, but during such continuation no bid shall be
accepted which is lower than the highest bid received at the time
fixed for such sale in the bond sale notice. Prior to the delivery
of said bonds, the City Controller shall be authorized to obtain a
legal opinion as to the validity of said bonds from Ice Miller
Donadio & Ryan, bond counsel of Indianapolis, Indiana, and to furnish
such opinion to the purchaser of said bonds. The cost of said
opinion shall be considered a part of the cost of said projects, and
shall be paid out of the proceeds of said bonds.
SECTION 6. The City Controller is hereby authorized and directed
to have said bonds and coupons prepared, and the Mayor, City Controller
and City Clerk are hereby authorized and directed to execute said
bonds and the interest coupons to be attached thereto in the form
and manner herein provided. After said bonds have been properly
executed, the City Controller shall deliver the same to the City
Treasurer and shall take his receipt therefor, and upon the con-
summation of the sale of said bonds the City Controller shall then
certify to the City Treasurer the amount which the purchaser is to
pay for the same, thereupon, the City Treasurer shall be authorized
to receive from the purchaser the amount so certified by the
Controller and to deliver the bonds to such purchaser.
SECTION 7. This ordinance shall be in full force and effect
immediately upon its passage and signing by the Mayor.
1 6
Member of the Common Counci
I signed on].v fo proTZde an
+-, j'L'bl:iC :11:,C uss, on
opportunJ
FILED IIJ CLE:.,'IYS OFFICE
-5- Irene Gammon
CITY CLERK, SOUTH BEND, IND.
RESOLUTION NO. 1 -81
RESOLUTION OF THE BOARD OF PUBLIC WORKS
OF THE CITY OF SOUTH BEND, INDIANA.
WHEREAS, the Board of Public Works of the City of South
Bend has determined that it would be in the best interest of
said City and its citizens to provide for the purchase of
Police Department motor equipment, communications equipment
and weapons; the purchase of Fire Department motor equipment,
breathing apparatus, the retrofitting of motor equipment, the
remodeling of a fire station and purchase of various equip-
ment for the equipping of the fire station; the construction
of a salt storage facility; the construction of an equipment
storage facility and repair and reconstruction of the existing
storage facility; the reconstruction of the municipal services
facility parking lot area including the relocation and remodel-
ing of a diesel fuel storage and pumping facility; remodeling
of portions of the municipal services facility; the construction,
reconstruction and improvement of streets and necessary materials
for the construction and reconstruction of said streets; the
purchase of Street Department motor equipment, and other paving
and street maintenance equipment and tree maintenance equipment;
guardrail installation along certain public right -of -ways; and
WHEREAS, said Board has determined that the funds necessary
to be provided to pay the cost of said projects, including the
incidental expenses necessary to be incurred in connection there-
with, will be in the amount of Five Million Nine Hundred Seven-
teen Thousand Five Hundred Forty Dollars ($5,917,540.00); now
therefore,
BE IT RESOLVED, by the Board of Public Works of the City
of South Bend, that this Board requests the City Controller and
Common Council to take proper steps immediately to provide the
funds necessary for said purpose, in the amount of Five Million
Nine Hundred Seventeen Thousand Five Hundred Forty Dollars
($5,917,540.00), and to that end that a copy of this Resolution
be filed with the City Controller and presented to the Common
Council as soon as may be done.
ADOPTED THIS
Attest:
Bar ara Byers, C e .
t k day of <` «_,ti.. . 1981.
�N z
Bonn a. LeszczynsKi
Richard L. Hili
d C.
J sep E. Kern
Joseph E. Kernen
Director, Administration and
Finance
CITY of SOUTH BEND
ROGER O. PARENT, Mayor
COUNTY -CITY BUILDING SOUTH BEND, INDIANA 46601
January 8, 1981
South Bend Common Council
4th Floor County -City Building
South Bend, Indiana 46601
Dear Members of the Council:
219/284 -9742
The Board of Public Works of the City of South Bend has requested
an appropriation in the amount of Five Million Nine Hundred Sev-
enteen Thousand Five Hundred Forty Dollars ($5,917,540.00) for
application on the cost of the purchase of Police Department motor
equipment, communications equipment, breathing apparatus, the retro-
fitting of motor equipment, the remodeling of a fire station and
purchase of various equipment for the equipping of a fire station;
the construction of a salt storage facility; the construction of
an equipment storage facility and repair and construction of the
existing storage facility; the reconstruction of the municipal
services facility parking lot area including the relocation and
remodeling of a diesel fuel storage and pumping facility; remodel-
ing portions of the municipal services facility; the construction,
reconstruction and improvement of streets and necessary materials
for the construction and reconstruction of said streets; the pur-
chase of Street Department motor equipment, and other paving and
street maintenance equipment and tree maintenance equipment; guard-
rail installation along certain public right -of -ways, together
with the incidental expenses in connection therewith.
Submitted herewith is the Resolution of the Board of Public Works.
In order to provide funds to meet said appropriation, it will be
necessary to authorize, issue and sell bonds of the City in the
-- amount of Five Million Nine Hundred Fifteen Thousand Dollars
($5,915,000.00), and I am submitting herewith a form of ordinance
drawn for that purpose.
Respectfully submitted,
Joseph E. Kernan
City Controller
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Your Committee OF THE WHOLE
to whom was referred
A BILL OF THE CITY OF SOUTH BEND, INDIANA,
AUTHORIZING THE ISSUANCE AND SALE OF BONDS
OF SAID CITY IN ORDER TO PROVIDE FUNDS FOR
VARIOUS PURPOSES.
Respectfully report that they have examined the matter and that in their opinion TH I S BILL SHOULD BE RE
TO THE COUNCIL FAVORABLE.
JOHN VOORDE
Chairman
I... ..... a •......... CO.