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HomeMy WebLinkAboutAuthorizing the Making of a Temporary Loan for the General Fund and the Issurance and Sale of WarrantsORDINANCE No. 4833 -66 Passed by the Common Council of the City of South Bend, _ February 14, 196_ Presented by me to the Mayor of the City of South Bend, Approved and signed by Clerk of Common Council Clerk IDEAL PRESS FILED IN CLERK'S OFFICE ORDINANCE NO. - 3 FEB 101966 AN ORDINANCE OF THE CITY OF SOUTH BEND, IIjI,N L. BLOUGH �° SOUTH BEND, IND. AUTHORIZING THE MAKING OF A TEMPORARY LO R THE GENERAL FUND AND THE ISSUANCE AND SALE OF WARRANTS OF THE CITY FOR SUCH PURPOSE. WHEREAS, The Common Council now finds that a necessity exists to provide funds for the General Fund of the City of South Bend, prior to the receipt of taxes in the year 1966, in order to meet the current running ex- penses of the City, provided for in the budget and appropriations adopted for the year 1966, which expenses must be met prior to the receipt of taxes in the year 1966, and WHEREAS, The Common Council now finds that the net assessed valua- tion of taxable property in the City, as shown by the assessment made for the City and County taxes in the year 1965 is in the amount of Two Hundred Thirty -one Million, Three Hundred fifty -six Thousand, Five Hundred (231,356,500) Dollars; that the levy made for the General Fund of this City for the collection in the year 1966 is in the amount of $2.047 on each One Hundred (100) Dollars of taxable valuation which levy is estimated to produce the sum of Four Million, Seven Hundred Thirty -five Thousand, Eight Hundred Sixty -seven and 56/100 (4,735,867.56) Dollars, and the Controller has presented to the Council his recommendation that a temporary loan be made for the General Fund in the amount, and subject to the terms herein- after set forth; now, therefore, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA: Section 1. That a temporary loan in an amount not in excess of Seven Hundred Thousand (700,000) Dollars be made for and on behalf of the General Fund of the City of South Bend all of the proceeds of which loan shall be placed in the General Fund, and shall be used for the purpose of meeting the current expenses of the City included in the regular budget and appropriations adopted for the year 1966; which expenses must be made prior to the receipt of taxes in the year 1966. Said temporary loan shall be evidenced by warrants of this City dated as of the date of delivery thereof, in such denominations as shall be re- quired by the purchaser, numbered consecutively from one up, bearing interest at a rate not to exceed 3% per annum, the exact rate to be determined by bidding, which interest shall be payable at the time of the payment of the principal of said warrants, and all of said warrants, together with interest thereon, shall mature and be payable on or before June 30, 1966. For the payment of said warrants and interest thereon, there is hereby appropria- ted and pledged a suggested amount of the current revenues of the City to be derived from the General Fund tax levy collectable in the year 1966. The Controller and Treasurer are hereby authorized and directed to pay said warrants out of said taxes upon the presentation thereof, at or after matu- rity. Section 2. Said warrant shall be signed by the Mayor, counter- signed by the Controller, and the Seal of the City shall be affixed thereto and attested by the sinature of the City Clerk, and the interest accruing on said warrants to the day of maturity shall be added and included in the face value thereof, and indicate the fund on account of which said warrant is issued and out of which said warrant is payable. Said warrant shall be issued in substantially the following form, all blanks to be properly filled in prior to delivery: TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND: There are insufficient funds in the General Fund of the City to meet operatin.- needs which are included in the regular budget and appropriation adopted for the year 1966, which are required to be met prior to the receipt of taxes in the year 1966. It will be necessary to authorize and to make a temporary loan-for the General Fund in the amount not exceeding $700,000.00, and I recommend that a temporary loan be authorized for the General Fund in the amount not to exceed $700,000.00, and -that the warrants evidencing said loan be made payable on or before June 30, 1966. The net assessed valuation of taxable property in the City, as s;iown _.y the assessment made for City and County taxes in the year 1965, is in the amount of $231,356,500.00. The tax levy matte for the General Fund for the year 1966 was $2.047 on each $100.00 taxable valuation, and I estimate that the total amount to be received from such tax levy will be approximate- ly $4,735,067.56. Dated this Z001 day of February, 1966. Citv %Controller NO. STATE OF INDIANA COUNTY OF ST. JOSEPH CITY OF SOUTH BEND, INDIANA Temporary Loan Warrant (General Fund) For value received, the City of South Bend, in St. Joseph County, Indiana, will pay to the bearer hereof, being , $ on or before , 19_, at the office of the City Treasurer in said City upon presentation and surrender of this war- rant. This warrant evidences a temporary loan to the City together with interest on the principal amount of said loan not in excess of 3% per annum, computed from the date of issuance to the date of maturity thereof. This warrant is one of an issue in an aggregation of $ authorized by an ordinance entitled "An Ordinance of the City of South Bend, Indiana, authorizing the making of a temporary loan for the General Fund and I he issuance and sale of warrants of the City for such purpose," duly passed and adopted by the Common Council of said City, on the _ day of , 19—, and in strict accordance with an act entitled "An Act concerning Muni- cipal Corporations," in force April 15, 1905, and all other acts amendatory thereof or supplemental thereto, for the purpose of procuring a temporary loan for the General Fund of said City. This warrant is issued in anticipation of the tax levy made for said General Fund, collectable in the year 19_, wIii.ch tax levy is now in the course of collection; and, to the payment o this warrant and the interest hereon, a sufficient amount of the revenues to be derived from said tax levy has been and is heresy appropriated and pledged. It is hereby certified that in the issuance of this warrant all provisions of the Constitution and statutes of the State of Indiana re- lating thereto have been complied with, and t;tat the tax levy from the proceeds of which this warrant and the interest hereon is payable, is a valid and legal levy, and that the City will reserve a sufficient amount of the proceeds thereof for the payment of this warrant and the interest hereon. IN WITNESS WHEREOF, The City of South Bend has caused this warrant to be signed in its corporate name by its Mayor, countersigned by its City Controller, and has caused its corporate seal to be hereunto affixed and attached by its City Clerk, as of the _ day of , 19_ CITY OF SOUTH BEND BY MAYOR COUNTERSIGNED: CITY CONTROLLER ATTEST: CITY CLERK Section 3. The City Controller is Hereby authorized and directed to have said warrants prepared in the sum herein provided and to sell said warrants as a whole, or in parcels, to the highest bidder therefor, at not less than the face value thereof, plus accrued interest, if any, after the date thereof, after giving notice of said sale thereof, once each week, for two (2) weeks in the South Bend Tribune and in the Tri- County News. The highest bidder shall be the one who offers the lowest net interest cost to the City, to be determined by computing the total interest of all the war- rants to their maturity or maturities and deducting therefrom the premium bid, if any. The notice of the sale shall describe briefly the warrants, setting out the facts in regard to the amount, denomination, rate of in- terest, dates of issuance and maturity, and a fixed time and place for the receiving of bids therefor. The Controller shall be authorized to reserve the right to deliver all of said warrants at one time, or in parcels as stated in said Notice. The Controller shall have the right to reject any and all bids. In the event that no satisfactory bids for said warrants are received at the time fixed in said notice, the sale may be continued from day to day thereafter for a period not to exceed thirty (30) days with- out readvertisement, but during the continuation of such sale no bid shall be accepted which is lower than the highest bid received at the time fixed for said sale in said notice. Section 4. This Ordinance shall be in full force and effect from and after its passage and sinning by the Mayor. Passed by the of , ATTEST: Common Council of 1966. Pr idin Officer of -the C/ o6 on C cil C rTY C WAM Presented by me to the Mayor of the City o day of 1966, at the hour of This ordinance approved and sio 1966, at the hour of /h:2 b o'clock 0 let Q 2nd READING 2—//7/—(- G (il M77EE OF THE WHOLE PDSLIC HEARING � 3rd READING ?iOT A?PRDYED REFERRED FA88ED a /SC f South Bend, on the o'clock 4.M. CITY / ' -. by me on the .. it ffJ_