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HomeMy WebLinkAboutAuthorizing City of South Bend to Borrow $400,000.00 and to Issue ans Sell Bonds fro Purpose of Providing Funds for Payment of City's Part of Expense of Track ElevationORDINANCE No._— Passed by the Common Council of the City of South Bend, Indiana, Attest: ?edtbyme %- er A President of Common Council. Presen the Mayor of the City of South Bend, Indiana Approved and signed by City Clerk ORDINANCE N0. ol 97f WHEREAS, under authority of Char 36 of the Acts of the General Assembly of the State of Indiana for the year 1923 and laws supplemental thereto and amendatory thereof, pro- ceedings have been completed for the purpose of track elevation in the City of South Bend pursuant to Grade Separation Resolution No. 5 confirmedlaiM modified,,by the Board of Public Works of said City April 1, 1930, which resolution the Common Council of said City did approve by ordinance No. 2851 duly adopted on the 23rd day of April, 1930; and, AREAS, contracts have been entered into by said City with the railroads affected by such proposed project and it is necessary to provide funds f or the payment of the Oity's portion of such track elevation project. THEREFORE,BE IT ORDAINED BY THE C012-TON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA: SECTION 1. That the City of South Bend, Indiana, is hereby authorized to borrow four hundred thousand (4009000.00) dollats for the purpose of paying the City's part of costs of track elevation in said City as above said. SECT_ ION 2. That in order to borrow said sum, General purpose Bonds of the City of South Bend, Indiana, shall be issued and sold in four (4) parcels to be designated as Series, "a ", "V" "o" and "d" respectively, as hereinafter provided. SECTION 3. The bonds of Series "a" shall be two hundred (200) in number, each of which shall be for the principal sum of five hundred ($500.00) dollars (or in such other number and thousand 0100,000.00) dollars denomination aggreating one hundred as the purchaser may require) and shall bear date of April 2, 1932, and shall be payable July 29 1937, at the Citizens National Bank of South Bend, Indiana, or at such other bank as may be designated by the purchaser, with interest at the rate of five and one -half percent (5 -1/2 %) per annum, the first installment of which shall be payable on the second day of January, 1933, and thereafter said interest shall be payable semi - annually on the second day of July and January of each year until said bonds are fully paid. be two hur SECT_ Imo_ e bonds of Series "b" shall rlred (200) in number, each of which shall be for the principal sum of five hundred (500.00) dollars (or in such other number denom- ination aggregating one hundred thousand ($100,000.00) dollars as the purchaser may require) and shall be dated July 1, 1932, and be payable at the Citizens National Bank of South Bend, Indiana, or at such other bank as may be designated by the purchaser and shall mature as follows: bonds of series "b" in the amount of twent,# thousand ($$200000.00) dollars shall be payable at five (5) annual dates of July first of each year beginning with July 1, 1942, and shall bear interest at a rate not toVexceed five and one -half percent (5- 1/2 %), and the interest rate which shall be pay- able by said City on this series is hereby fixed at such rate not to exceed five and one -half percent (5 -1 /2o as may be offered by the bidder making the bid most advantageous to the City and such most advantageous bid shall be determined by the minimum interest rate .,. able semi - annually y, � for said series�,.The interest shall be payable on the first day of January and July of each year thereafter until said bonds are fully paid. SECTION 5. The bonds of series "e" shall be two hundred (200) in number, each of which shall be for the principal sum of five hundred ($$500.00) dollars (or in such other number and denom- ination aggregating one hundred thdusanct ($1009000.00) dollars at the purchaser may require) and shall be dated October 19 1932, and -2- be payable at the Citizens National Bank of '`South Bend, Indiana, or at such other bank as may be designated'by the purchaser, and shall mature and be payable as follows: bonds of series 'Tc" in the amount of twenty thousand 020,000.00) dollars shall be payable at five (5) annual dates of July first of each year beginning with July 1, 1947, and shall bear interest at a rate not to ex- ceed five and one -half percent (5- 1 /2To), and the interest rate which shall be payable by said City on series "c" is hereby fixed at such rate not to exceed five and one -half percent (5- 1 /2jo) as nay be offered by the bidder making the bid most advantageous to said City and such most advantageous bid shall be determined by the minimum rate 4q Alnor said serieso- The first installment of interest shall be payable July it 1933, and semi - annually of each year thereafter on the first day of January and July until the bonds of this series are fully paid. SECTIO 6. The bonds of series "d" shall be two hundred N (200) in number, each of which shall be for the principal svm of five hundred ($500.00) dollars (or in such other number and denom- ination aggregating one hundred thousand (w1009000.00) dollars as the purchaser may require) and shall be dated January 29 1933, and be payable at the Citizens National Bank of South Bend, Indiana, or at such other bank as may be designated by the purchaser, and shall mature and be payable as follows: bonds of,-series "d" in the amount of twenty thousand (20,000.00) dollars shall be payable at five (5) annual dates of July first of each year beginning with July 1, 1952, and shall bear interest at a -rate not to ex- ceed five and one -half percent (5- 1/2`0), and the interest rate which shall be payable by said City on series "d" is hereby fixed at such rate not to exceed five and one -half percent (5- 1 /2ao) as may be offered by the bidder making the bid most advantageous to said City and such most advantageous bid shall be determined by the minimum rate 6944-rla4 for said series The interest shall be payable -3- July 21 1933, and semi - annually of each year thereafter on the day of January and July until the bonds of this series are fully paid. ON 7. Each of said bonds shall substantially contain SECTI wit: the following provisions and be in the following form, to - UNITED STATES OF AMERICA STATE OF INDIANA CITY OF SOUTH BEND Series No. §500.00 KNOW 4T,L YEN BY THESE PRESENTS: That the City of South is na State of Bend in the County of St- Joseph o the bearer, five i hundred in- debted to and promises to pay ($500.00) dollars in lawful money of the htinter a states ofthe America, on the day of rate of o per annum, the irst insta193e, and the cremain- be payab e on the day of ' resentation and ing interest semi - annually the rea er upon p delivery of proper coupons hereto attached. Both principal le at the Citizens National and interest-\of this bond are payab Bank of South Bend, Indiana. This bond is one of 200 bonds of series of like date, tenor and effect (except as to the maturity t ereof) of authority bond issue authorized City Of and by en- of le Act of the roved on titled "An Act Concerning Municipal Corporations" approved the 6th day of P:garch, 1905and and tor thereof legally and supplemental thereto, adopted by the Common Council oo32 the City of South Bend, Indiana, on the day of Februarys l And it is hereby certified, recited and declared that all acts, conditions, and things required to be done precedent to and in the issuing of said bonds have happened and have been properly done and performed in regular and due form, as required by law, and that the indebtedness which is in- curred by issuing this series of bonds is a constitutional, subsisting and legal obligation of said Ci6y of South Bend, and that the total indebtedness of said City, including this issue, does not exceed paymeentsoftprincipalranda nterestioftthis bond,. To the prompt pad bond, the full faith and credit of the City of South Bend, to- gether with the real and personal property of said City, M hereby pledged and firmly bound. IN WITNESS `;dHEREOP, the said City of South Bend, by its �t Common Council has caused this bond to be signed by its ayor, countersigned by its City Controller and attested by its City Clerk with the seal of said City affixed on the _day of A.D. 193 . MAYOR OF THE CITY OF SOUTH BEND ONTR LLER OF TEE CI OF S UTH BEND ATTEST: CITY CLERK SECTION 8. That the interest coupons attahhed to said bonds shall bear the fac- simile signature of the City Controller of said City and such f ac- simile signature shall be as effective 43 if signed VAnually by the said City Controller and such coupons shall be substantially in the following form, to -wit: INTEREST COUPON Series No.---"` —" On the day of 19, the City of South BnT,_Tndiana, wi 1 pay to the bearer __ e — Dollars in lawful money oi_Ti United ates of America, at the Citizens National Bank, South Bend, Indiana, being six months dinterest due on the General Purpose Bond No* ONTROI,I,EK OF Q-L Y r SOUTH BEND SECTION 99 Each of said series shall be advertised and sold separately so that the sale thereof may be completed at a time approximate to the date the bonds thereof bear, as may be convenient to the City Controller. The City Controller shall give notice of the time and terms of sale of each series of said bonds by advertising each proposed sale one day each week for two (2) consecutive weeks in the South Bend News -Times and South Bend Tribune, both of South Bend, Indiana, and one publication, at least one (1) week prior to date of sale, in the Indianapolis Times of Indianapolis, Indiana. SECTION 10. The bonds of Series "a" hereto shall be sold by the City Controller to the highest and best bidder for cash and for not less than their par value and the bonds of each of the re- maining series shall be sold to the bidders offering the most favor- able interest rate to the CiPy as hereto fore provided and for not less than par value, the City reserving the right to reject any and all bids. The purchaser shall pay any accrued interest on said blinds, and all bids shall be required to be accompanied by a certified check of the bidder payable to the City of South'Bend, Indiana, for one percent of the amount of such bid and which check -5- shall be forfeited to the city by the successful bidder if he shall refuse to accept and pay for said bonds. SECTION 11. The proceeds from the sale of said bonds is hereby appropriated to the Track Elevation Fund of said City to be used on the track elevation project above referred to. SECTION 12. This ordinance shall be in full force and effect from and after its passage and approval by the :[dayor. `ot A?E'LIBER O THEECC(1 ION COUNCIL.