HomeMy Public PortalAboutORD10349 BILL NO. J ;��c' ORDINANCE NO. 0 3 -
AN ORDINANCE AUTHORIZING AND DIRECTING THE IS-
SUANCE OF NEGOTIABLE, INTEREST-BEARING SEWER
REVENUE BONDS OF THE CITY OF JEFFERSON, COLE
COUNTY, MISSOURI, IN T14E PRINCIPAL AMOUNT OF
SIX HUNDRED THOUSAND DOLLARS ($600,000) , BEING
THE REMAINDER OF FIVE MILLION, SIX HUNDRED
THOUSAND DOLLARS ($5,600,000) AUTHORIZED, FOR
THE PURPOSE OF EXTENDING AND IMPROVING THE
SEWERAGE SYSTEM OF SAID CITY, INCLUDING THE
CONSTRUCTION OF A SEWAGE TREATMENT PLANT;
PRESCRIBING THE FORM AND INCIDENTS OF SAID
BONDS; PROVIDING FOR THE COLLECTION, SEGREGA-
TION, AND DISTRIBUTION OF THE REVENUES TO BE
DERIVED FROM THE OPRATION OF THE SEWERAGE SYS-
TEM OF SAID CITY IN AMOUNTS SUFFICIENT TO PAY
THE COST OF OPERATION AND MAINTENANCE THEREOF
AND THE PRINCIPAL OF AND INTEREST ON SAND
BONDS; AND MAKING PROVISION FOR OTHER FUNDS
IN CONNECTION THEREWITH.
WHEREAS, the City Council of the City of Jefferson, Cole
County, Missouri, having evade and having caused to be made extensive
stmdies concerning the adequacy of the existing sewerage system of
said City, heretofore has found and •now again does find and determine,
upon the advice of competent engineers, that the said sewerage system
is in need of extension and improvement, including, but not limited
to, the laying of more adequate sewer Lines and the construction of
sewage treatment facilities, said sewerage system and all extensions
sand improvements thereto to be owned exclusively by said City; and
WHEREAS, the said City Council heretofore has found and
determined, upon the advice of competent engineers, that the esti-
mated cost of constructing such improvements and extensions is Five
Million, Six Hundred Thousand Dollars ($5,600,000) ; and
WHEREAS, the sum represented by the bonds hereinafter
directed to be issued is not now available in the Treasury of said
City of Jefferson; and
WHEREAS, the said City is authorized, under the provisions
of Sections 250.010 et seq. , Vernon' s Annotated Missouri Statutes,
to borrow money for the aforesaid purpose and to evidence such loan
by the issuance of bonds payable solely from the revenues to be
derived from the operation of the sewerage system of said City, as
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so extended and improved, provided that the issuance of ouch revenue
bonds be authorized at an election held for that purpose; and
WHEREAS, the City Council of said City, by Ordinance No.
7411, adopted on the 19th day of August, 1963, hereinafter referred
to, did find and determine and now again does find and determine
that it is necessary and in the public interest and essential for
the protection of the public health that the aforesaid contemplated
extensions and improvements be constructed.; and
WHEREAS, on the 21st day of August, 1963, the Mayor did
approve the aforesaid Ordinance No. 7411 of said City entitled "AN
ORDINANCE PROVIDING FOR AND DIRECTING THE SUBMISSION TO THE QUAL:I:-
PIED ELECTORS OF THE CITY OF JEFFERSON, COLE COUNTY, MISSOURI, AT
A SPECIAL ELECTION TO BE HELD IN SAID CITY ON TUESDAY, THE BTH DAY
OF OCTOBER, 1963, OF A PROPOSITION FOR THE ISSUANCE OF SEWER REVENUE
BONDS OF SAID CITY TO PROVIDE FUNDS FOR THE PURPOSE OF EXTENDING
AND IMPROVING THE SEWERAGE SYSTEM OF SAID CITY, INCLUDING THE CON-
STRUCTION OF A SEWAGE TREATMENT PLANT" ; and
WHEREAS, it was ordered and directed by the aforesaid
. Ordinance No. 741.1 that a special election be held in the City of
Jefferson, Missouri, on Tuesday, the 8th day of October, 1963, for
the purpose of submitting to the qualified electors of said City
the fallowing proposition:
"PROPOSITION
"Proposition to issue the sewer revenue bonds
of the City of Jefferson, Missouri, to the
amount of Five Million, Six Hundred Thousand
Dollars ($5,600,000) , to provide funds for the
purpose of extending and improving the sewerage
system of said City, including the construction
of a sewage treatment plant; said bonds to be
payable solely from the revenues to be derived
from the operation of said system. "
and
WHEREAS, as directed by the aforesaid Ordinance No. 7411,
the City Clerk of said City did prepare and cause to be published
in the Post-Tribune, a daily newspaper published and of general circu-
lation in said City, a notice of said special election in substantially
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the form as set forth in the aforesaid Ordinance, said notice having
been published in said newspaper on the 12th, 19th, and 26th days of
September, 1963, and on the 3rd day of October, 1963, and said notice
having been published in said newspaper once a week for at least
three (3) consecutive weeks and on the same day in each week, the
first publication of said notice in said newspaper having been made
at least twenty-one (21) days before the date of said special elec-
tion and the last publication in said newspaper having been made
within two (2) weeks of the date of said special election; and
WHEREAS, the said special election was duly and legally
held in said City of Jefferson, Missouri, on the 8th day of October,
1963; and
WHEREAS, the form of ballot prepared for and used by the
electorate at said special election was in substantially the form
as set forth in the aforesaid Ordinance No. 7411; and
WHEREAS, the judges and clerks of said election, follow-
ing the closing of the polls on the date of said election, did
make out, certify, and transmit to the City Council of said City
of Jefferson the returns of said election; and
WHEREAS, on the 21st day of October, 1963, the City
Council did proceed to canvass the poll books and returns of said
election as certified to it by the judges and clerks who conducted
said election, whereupon, the said City Council did adopt a certain
resolution entitled "A RESOLUTION DECLARING THE RESULT OF THE SPE-
CIAL ELECTION HELD IN THE CITY OF JEFFERSON, COLE COUNTY, MISSOURI,
ON OCTOBER 8, 1963, " wherein it was found and declared that at said
election held on the 8th day of October, 1963, a .total of four
thousand, four hundred forty one (4,441) votes had been cast on
the aforesaid Proposition, of which three thousand, four hundred
five (3,405) votes were cast in favor of the aforesaid Proposition
and one thousand, thirty-six (1,036) votes were cast against the
same; and
WHEREAS, by the aforesaid resolution adopted on the 21st
day of October, 1963# the City Council of said City of Jefferson did
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find and declare and now again does find anC, declare, that the afore-
said Proposition was assented to at the aforesaid special election
by more than four-sevenths (4/7) of the qualified electors of said
City voting on said Proposition; and
WHEREAS, the said City of Jefferson thereupon was fully
authorized by Sections 250.010 et seq. , Vernon' s Annotated Missouri
Statutes, as aforesaid, to issue its negotiable, interest-bearing
revenue bonds in the amount of Five Million, Six Hundred Thousand
Dollars ($5,600,000) to provide funds for the purpose of extending
and improving the sewerage system of said City, including the con-
struction of a sewage treatment plant; and
WHEREAS, of the bonds authorized as aforesaid, bonds
aggregating One Million Dollars ($1,000,000) , bearing date of March 1,
1964, heretofore have been issued, sold, and delivered; and
WHEREAS, of the bonds authorized as aforesaid bonds aggre-
gating One Million Dollars ($1,000,000) , bearing date of August 1,
1965; heretofore have been issued, sold, and delivered; and
WHEREAS, of the bonds authorized as aforesaid, bonds aggre-
gating One Million Dollars ($1,000,000) , bearing date of September 1,
1967, heretofore have been issued, sold, and delivered; and
WHEREAS, of the bonds authorized as aforesaid, bonds aggre-
gating One Million, Five Hundred Thousand Dollars ($1, 500,000) ,
bearing date of December 1, 1968, heretofore have been issued, sold,
and delivered; and
WHEREAS, of the bonds authorized as aforesaid, bonds aggre-
gating Five Hundred Thousand Dollars ($500,000) bearing date of
December 1, 1970, heretofore have been issued, sold, and delivered,
with the aforesaid City Council reserving and retaining unto itself
the power and authority, in the discretion of said Council, to
issue the remaining Six Hundred Thousand Dollars ($600,000) of bonds
of the aforesaid authorization at a later date or dates; and
WHEREAS, the City Council of said City of Jefferson hereto-
fore has determined to proceed at this time with the sale and issu-
ance of the remaining Six Hundred Thousand Dollars ($600,000) in
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principal amountt of the aforesaid authorized issue of Five Million,
Six Hundred Thousand Dollars ($5,600,000) , of Sewer Revenue Bonds;
and
WHEREAS, the City Council of the City of Jefferson does
now find and determine that it is necessary and advisable and in
the public interest that bonds of said City in the aforesaid princi-
pal amount of Six Hundred Thousand Dollars ($600,000) , being the
remainder of the aforesaid authorized issue of Five Million, Six
Hundred Thousand Dollars ($5,600,000) , be issued forthwith as author-
ized at the aforesaid special election and as hereinafter provided:
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY
OF JEFFERSON, COLE COUNTY, MISSOURI, AS FOLLOWS:
SECTION 1. That the negotiable, interest-bearing revenue
bonds of the City of Jefferson, Cole County, Missouri, be and the
same are hereby authorized, ordered, and directed to be issued in
the principal sum of Six Hundred Thousand Dollars ($600,000) , being .
the remainder of an authorized issue of Five Million, Six Hundred
Thousand Dollars ($5,600,000) , to provide funds for the purpose of
extending and improving the sewerage system of said City, including
the construction of a sewage treatment plant, said system to be
owned exclusively by said City; the principal of and the interest
on said revenue bonds to be payable solely from the revenues derived
by the City of Jefferson from the operation of the said sewerage
system, all in accordance with and as authorized by Sections 250.010
et seq. , Vernon' s Annotated Missouri Statutes, and pursuant to and
in accordance with the authority of a special election held in said
City on the 8th day of October, 1963, as set forth in the preamble
to this Ordinance.
SECTION 2 . That the aforesaid bonds shall be of the denom-
ination of Five Thousand Dollars ($5,000) each or any whole multiple
thereof, shall bear date of December 1, 1984, and shall bear interest
from the date thereof at at the raters per annum hereinafter set forth,
payable March 1, 1985, and semi-annually thereafter on September 1
and March 1 in each year until the principal thereof, respectively,
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shall have been fully paid. Interest to accrue on said bonds on and
prior to the respective maturity dates thereof shall be payable by
check or draft drawn by the Paying Agent hereinafter designated and
made payable to each registered owner of bonds of this issue listed
as an owner of record on the fifteenth (15th) day prior to each of
the aforesaid dates upon which interest will be due and payable .
Both principal of and interest on said bonds shall be payable in
lawful money of the Ui*,►ited States of America. at The Exchange National
Bank of Jefferson City, in the City of Jefferson, State of Missouri
(the "Paying Agent" for this issue) ; and said bonds shall bear interest
at the rates per annum and shall mature in the amounts and at the
times following, to-wit:
RATE OF INTEREST AMOUNT MATURITY
11% $15,000 March 1, 1955
11% 20,004 March 1 , 1986
11% 20,000 March 1, 1987
11% 20,000 Marcal 1, 1988
11% 25,000 March 1, 1589
11% 30,000 March 1, 1990
11% 30,000 March 1, 1991
11% 30,000 March. 1, 1992
11% 35,000 March 1, 1993
10-1/4% 45,000 March 1, 1994
10.20% 45,000 March 1, 1995
10.40% 50,000 March 1, 1996
10.60% 55,000 March 1, 1997
10-3/4% 60,000 ,March 1, 1998
10-3/4% 65,000 March 1, 1999
10-3/4% 55,000 March 1 , 2000
Bonds maturing on March 1, 1993, and thereafter may be
called in, paid, and redeemed on March 1 , 1992, or on any interest
payment date thereafter, in the inverse order of their maturities and
by lot within each maturity in multiples of Five Thousand Dollars
($5,000) in principal amount if less than all of the bonds of a
maturity are being called, at par and accrued interest, plus a pre-
mium of Two hundred Fifty Dollars ($250) for each Five Thousand
Dollars ($5,000) in principal amount of bonds or parts of bonds so
called. Provided, further, that said bonds or parts of bonds shall
be redeemable without a premium on March 1, 1995, or on any interest
payment date thereafter. If any of the said bonds or parts thereof
be so called for redemption prior to maturity as herein provided, the
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City of Jefferson, Missouri, shall cause written notice of its inten-
tion to call in, pay, and redeem any such bond or part thereof to be
given to each Registered Benner of each bond being so called in whale
or in part, and such written notice shall be mailed by prepaid United
States Mail to each Registered Owner of each bond being so called not
less than thirty (30) days in advance of the date set for the redemp--
tion of any such bond, but neither the failure to mail such notice
nor any defect in any notice spa mailed shall affect the sufficiency
of the proceedings for the redemption of any such bond or part there-
of. Interest shall cease on any bond or part thereof so called for
redemption from and after the date: fixed for the payment thereof;
provided that funds shall be available for such payment on such
date.
If less than the entire principal amount of any bond be
called for redemption as hereir.above provided, upon surrender of the
bond to the Bond Registrar hereinafter designated, the Bond Registrar
shall issue to the Registered Owner of the bond, without charge, a
new band or bonds in the appropriate remaining aggregate principal
amount.
SECTION 3. That the said bonds shall be executed for and
on behalf of said City by the facsimile signature of the Mayor of
said City, attested by the facsimile signature of the City Clerk
under the seal of said City imprinted thereon in facsimile, and each
of said bonds shall be authenticated by the manual signature of a
duly authorized officer or employee of the Paying Agent acting as
the Bond Registrar of said bonds (the "Bond Registrar" ) .
SECTION 4. That the said bonds shall be in substantially
the following form, to-wits
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UNITED !STATES OF AMERICA
STATE OF MISSOURI
COUNTY OF COLE
CITY OF JEFFERSON
SEWER REVENUE BOND OF 1984
INTEREST RATE MATURITY DATE ORIGINAL ISSUE DATE
December 1, 1984
REGISTERED OWNER:
PRINCIPAL AMOUNT:
The City of Jefferson, Cole County, Missouri, acknowledges
itself to owe and, for value received, promises to pay to the Regis-
tered Owner hereof, identified hereinabove, or registered assigns,
as hereinafter provided, the Principal Amount set forth hereinabove
on the Maturity Date likewise set forth hereinabove and to pay to
said Registered Owner interest on the aforesaid Principal Amount
from the date hereof or from the then latest interest payment date
to which interest shall have been paid at the Interest Rate set forth
hereinabove, payable March 1 , 1985, and semi--annually thereafter on
September 1 and March 1 in each year until the Principal Amount of
this bond shall have been fully paid. No interest shall accrue on
this bond after the aforesaid Maturity Date unless this bond shall
have been presented for payment at maturity and shall not have been
paid.
Both the Principal Amount of and the interest on this bond
are payable in lawful money of the United States of America by check
of or draft upon The Exchange National Bank of Jefferson City, in
the City of Jefferson, State of Missouri (the Paying Agent for this
Bond) , mailed by prepaid United States Mail to the aforesaid Regis-
tered Owner if listed of record at least fifteen (15) days prior to
each interest payment date at the address of such Registered Owner
as the same appears on the books and records of the aforesaid Paying
Agent kept in its capacity as Bond Registrarl provided, however, that
the principal amount hereof shall be payable only upon presentation
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and surrender of this bond at the principal office of said Paying
Agent.
The right is reserved unto said City to call in, pay, and
redeem bonds maturing on March 1, 1993, and thereafter, of the issue
of which this bond is one, on March 1 , 1992, or on any interest pay-
ment date thereafter, in the inverse order of their maturities and
by lot within each maturity in multiples of Five Thousand Dollars
($5,000) in principal amount if less than all of the bonds of a matu-
rity are being called, at par and accrued interest, plus a premium
of Two Hundred Fifty Dollars ($250) fox, each Five Thousand Dollars
($5,000) in principal amount of said bonds or parts of bonds so
called. Provided, further, that said bonds or parts of bonds shall
be redeemable without a premium on March 1, 1995, or on any interest
payment date thereafter. If any of the said bonds or parts thereof
be so called for redemption prior to maturity as herein provided, the
City of Jefferson, Missouri, shall cause written notice of its inten-
tion to call in, pay, and redeem any such bond or part thereof to be
given to each Registered Owner of each bond being so called in whole
or in part, and such written notice shall be mailed by prepaid United
States Mail to each Registered Owner of each bond being so called
not less than thirty (30) days in advance of the date set for the
redemption of any such bond, but neither the failure to mail such
notice nor any defect in any notice so mailed shall affect the suf-
ficiency of the proceedings for the redemption of any such bond or
® part thereof. Interest shall cease on any bond or part thereof so
called for redemption from and after the date fixed for the payment
thereof; provided that funds shall be available for such payment
on such date.
If less than the entire principal amount of this bond be
called for redemption as herei.nabove provided, upon surrender of this
bond to the Bond Registrar, the Bond Registrar shall issue to the
Registered Owner hereof, without charge, a new bond or bonds in the
appropriate remaining aggregate principal amount.
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This bond is one of a duly authorized issue of Sewer Revenue
Bonds of 1984 of the aforesaid City, all of like date, tenor, and
effect, except as to number, rate of interest, date of maturity, and
provision for redemption prior to maturity, as hereinabove set forth,
of the denomination of Five Thousand Dollars ( $5,000) or some whole
multiple thereof, aggregating the principal sum of Six Hundred Thou-
sand Dollars ($600,000) , being the remainder of Five Million, Six
Hundred Thousand Dollars ($5,600,000) authorized, issued by said City
to provide funds for the purpose of extending and improving the
sewerage system of said City, and is issued pursuant to the Constitu-
tion and Laws of the State of Missouri, including, among others,
Sections 250 .010 et seq. , Vernon' s Annotated Missouri Statutes, and
pursuant to Ordinance No. 103 Y said City authorizing and direct-
ing the issuance of the bonds of the issue of which this bond is
one duly adopted on the 17th day of December, 1984 (the "Bond Ordi-
nance") , by the Council of said City and with the approval of four-
sevenths (4/7) of the qualified electors of said City voting at a
special election held on the 8th day of October, 1963. This bond
does not constitute an indebtedness of said City within the meaning
of any constitutional, or statutory limitation or provision, and the
taxing power of said City is not pledged to the payment hereof,
either as to principal or interest.
This bond is and shall be a negotiable instrument in accord-
ante with the laws of the State of Missouri and shall be transferable
only by delivery to the aforesaid Bond Registrar, serving in its
capacity as Bond Transfer Agent for this bond and the issue of which
it is one, of a written instrument of transfer executed by the Regis-
tered Owner or by his attorney thereunto duly authorized and upon
surrender of this bond to said Band Registrar for cancellation. Upon
such transfer, a new registered bond or bonds of the issue of which
this bond is one and of the same maturity and of the denomination of
Five Thousand Dollars ($5,000) or any whole multiple thereof aggregat-
ing the same principal amount will be issued by said Bond Transfer
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Agent to the transferee in exchanger therefor; provided, that no such
transfer shall take place of record within fifteen (la) days next
preceding any interest payment date. The Council of said City of
Jefferson, Cole County, Missouri., and the said Paying Agent may deem
and treat the Registered Owner hereof as the absolute owner hereof
for the purpose of receiving payment of the Principal Amount of this
bond and the interest due hereon and for all other purposes, and
neither the Council nor the Paying Agent shall be affected by any
notice to the contrary.
The City of Jefferson covenants and agrees that it will
apply the proceeds of the issue of which this bond is one to the
purpose above set forth and that, as long as this bond or any bond
of the issue of which it is one or any of the interest thereon is
unpaid, it will operate and maintain its sewerage system; that, as
long as any of said bonds or the interest thereon is unpaid, it will
fix and maintain rates and make and collect charges for the service
and facilities of said system, sufficient to provide for the payment
of the principal of and the interest on said bonds as the same shall
mature and accrue and for the operation and maintenance of said
sewerage system in good repair and working order and to provide other
funds in connection therewith, all as set forth in the Ordinance
pursuant to which the said bonds are issued; and that such an amount
of the revenues of said system as will maintain an interest and
sinking fund sufficient to pay the principal of and the interest on
this bond and the issue of which it is one, as the same shall mature
and accrue, is hereby irrevocably pledged to said purpose.
It is hereby certified, recited, and declared that all
acts, conditions, and things required to exist, to happen, and to be
performed precedent to and in the issuance of this bond and of the
series of which it is one, in order to make the same legal and
binding obligations of said City according to the terms thereof, do
exist, have happened, and have been performed in due and regular
time, form, and manner, as required by law; that this bond and the
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issue of which it is one, together with all indebtedness of said City
of Jefferson, Missouri, do not exceed any limit of indebtedness pre-
scribed by laws and that, for the performance in due time and manner
of all covenants herein, for the prompt payment of the principal of
and the interest on this bond, and for the performance in due time
and manner of each and every official act necessary therefor, the full
faith of the City of Jefferson is hereby irrevocably pledged.
This bond shall not be valid or become obligatory for any
purpose or be entitled to any security, source of payment, or benefit
under the Bond Ordinance until the certificate of authentication
hereon shall have been signed manually by a duly authorized officer
or employee of the Paying Agent acting as the Bond Registrar.
IN TESTIMONY WHEREOF, the City of Jefferson, Cole County,
Missouri, has executed this bond by causing it. to be signed with the
facsimile signature of the Mayor of said City, under the corporate
seal of said City imprinted hereon in facsimile, attested by the
facsimile signature of the City Clerk, and this bond to be dated the
first day of December, 1984.
CITY OF JEFFERSON, MISSOURI
By (facsimile_) _
Mayor
Attest:
(facsimile)
City Clerk
(Facsimile of Seal)
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(Not less than the first two paragraphs .and the last two
paragraphs of the text of the bond shall be printed on the
face -of each •bond. If any portion of the text of the bonds
shall be printed on the reverse of the bonds, the following
statement shall appear set out in contrasting print in the
text on the face of each bond: REFERENCE IS MADE TO THE
FURTHER PROVISIONS OF THIS BOND SET FORTH ON THE REVERSE
HEREOF WHICH, FOR ALL PURPOSES, SHALL HAVE THE SAME EFFECT
AS THOUGH FULLY SET FORTH AT THIS PLACE ON THE FACE OF THIS
BOND. )
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AUTHENTICATION DATE:
BOND REGISTRAR'S CERTIFICATE OF AUTHENTICATIONS
This bond is one of the issue of Sewer Revenue Bonds of
1984 of the City of Jefferson, Cole County, Missouri, authorized by
the within-mentioned Ordinance passed by the Council. and approved by
the Mayor of the said City.
THE EXCHANGE NATIONAL BANK OF
JEFFERSON CITE'
as Bond Registrar
By
Authorized Signature
(The following shall appear on the reverse. of each
bond. )
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned hells, assigns, and
transfers unto_____
Name and Address of Assignee
the within Sewer Revenue Bond of 1984 and does hereby irrevocably
constitute and appoint _
to transfer the said Sewer Revenue Bond on the books kept for the
registration thereof with full power of substitution in the premises.
Dated:
Signature Guaranteed
Notices The signature to this
assigsunent must correspond
with the name as it appears on
the face of the within bond in
every particular, without
alteration, enlargement, or,
any change whatever.
�... mrruon►
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Interest on each Five Thousand Dollars ($5 ,000) in principal
amount of bonds shall be payable, according to maturity, in the fol-
lowing amounts:
Interest due Interest due on each
Maturity March 1 , 1985 remaining payment date
1985-1993 $137 .50 $275
1994 1 28.13 256 .25
1995 127 .50 255
1996 130 260
1997 132 .50 265
1998-2000 134.38 268.75
SECTION 5 . That the bonds herein authorized and directed
to be issued shall be payable, both as to principal and interest,
solely from the revenues derived by the City of Jefferson from the
operation of the sewerage system of said City. No bond issued here-
under shall constitute an indebtedness of said City within the mean-
ing of any constitutional or statutory restriction, limitation, or
provision, and the taxing power of said City is not pledged to the
payment of any of the bonds authorized hereby, either as to principal
or interest.
SECTION 6 . That the said sewerage system shall continue to
be operated on a fiscal year basis, beginning on the first day of No-
vember of each year and ending on the last day of October in the fol-
lowing year. All revenues derived from the operation of the sewerage
system of the City of Jefferson shall continue to be set aside as col-
lected and shall continue to be deposited in a fund heretofore created
and designated the "SEWER REVENUE FUND" of the City of Jefferson.
SECTION 7 . That sums in the Sewer, Revenue Fund shall be
set aside for, allocated to, and deposited in the following accounts,
heretofore created, by the City Treasurer of the City of Jefferson,
without further direction of or action by the City Council or other
authority of said City. Such allocations and deposits shall be made
on the first business day of each and every month as long as any of
the bonds authorized hereby, or the interest coupons attached thereto,
shall remain outstanding and unpaid; provided, however, that such
allocation to and deposit in the Operation and Maintenance Account
may be made in semi-monthly installments:
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(a) Into an account heretofore created and desig-
nated the "SEWER OPEP.ATION AND MAINTENANCE ACCOUNT"
there shall be deposited a sum sufficient to pay
the estimated cost of operating and maintaining
the sewer system in good repair and working order
during such month.
(b) Into an account heretofore created and desig-
nated the "SEWER REVENUE BOND ACCOUNT" there shall
be deposited, as of December 1, 1984, and in each
month thereafter a sum at least equal to one-third
(1/3) of the amount of principal and interest that
will become due on the bands herein authorized in
addition to the deposits required to be made for
the bonds heretofore issued by said City and made
payable, both as to principal and interest, out of
the said Revenue Bond Account, and, beginning as
of March 1, 1985, there shall be deposited a sum
at least equal to one-sixth (1/6) of the amount of
interest that will become due on all bonds then out-
standing on the then next interest payment date and
one-twelfth (1/12) of the amount of principal that
will become due on said bonds on the then next
maturity date. Sums in said Account shall be used
only for the payment of principal of and the inter-
est on the aforesaid authorized bonds as the same
shall become due.
(c) Into an account heretofore created and des ig-
nated the "SEWER CONTINGENT ACCOUNT" there shall be
deposited the sum of Five Hundred Dollars ($500)
until the sum of One Hundred Thousand Dollars
($100,000) shall have been accumulated in said Ac-
count. When and as long as said amount shall be on
deposit in said Account, no further deposits need be
made therein. If said Account should be depleted to
any extent for any cause, including payments there-
from made in accordance with this Ordinance, then
such monthly payments shall be resumed until said Ac-
count shall be restored. Sums in said Account shall
be expended only for unforeseen contingencies and to
meet emergencies arising from the operation and
maintenance of the aforesaid sewer system as may be
necessary from time to time for the continued effec-
tive and efficient operation of the sewer system.
(d) Into an account heretofore created and desig-
nated the "SEWER DEPRECIATION ACCOUNT" there shall be
deposited the sum of Four Thousand, Five Hundred Dol-
lars ($4,500) . Sums in said Account shall be expended
for any repairs or replacements to the sewer system as
may be necessary from time to time for the continued
effective and efficient operation of the said system.
(e) Into an account heretofore created and desig-
nated the "SEWER REVENUE BOND RESERVE ACCOUNT" there
shall be deposited the sum of One Thousand Dollars
($1,000) until the sum of Four Hundred Five Thousand
Dollars ($405,000) shall have been accumulated in
said Account. When and as long an said amount shall
be on deposit in said Account, no further deposits
need be made therein. If said Account shall be
depleted to any extent for any cause, including
payments therefrom made in accordance with this
Ordinance, then monthly deposits in the amount of
Four Thousand, Five Hundred Dollars ($4,500) shall
be commenced until said Account shall be restored.
'' Sums in said Account shall be expended only to pay
bonds at maturity or interest as it accrues when
and to the extent that other funds are not avail-
able for that purpose.
(f) Any surplus remaining in the Sewer Revenue Fund
after making the required deposits described above,
shall be deposited in the Sewer Construction Account
until such time as the construction of the project
shall have been certified by the Consulting Engineers
as having been completed according to plan and paid
for. Thereafter, any surplus shall be deposited in
the Sewer Revenue Bond Reserve Account until such
time as the sum of Four Hundred Five Thousand Dollars
($405,000) is on deposit. Thereafter, such surplus
shall be deposited in the Sewer Contingent Account
until such time as the sum of One Hundred Thousand
Dollars ($100,000) is on deposit. After these Ac-
counts shall have on deposit the specified maximums,
the surplus may be allocated by order of the Council
of the City of Jefferson from time to time as follows
(1) Into an account heretofore created and
AM designated the "SEWER EXTENSION AND IMPROVE-
MENT ACCOUNT" an amount not to exceed fifty
per centum (50%) of the surplus, which funds
on deposit in said Account are to be used for
construction of extensions and improvements
to the systems and
(2) Into an account' heretofore created and
designated the "NEWER REVENUE BOND REDEMPTION
ACCOUNT" the remainder of the surplus to be
used for the redemption of sewer revenue bonds
prior to their maturities.
Provided, that, if at any time the balances standing to the credit
of the accounts mentioned in paragraphs (b) and (e) , above, should be
insufficient to pay maturing principal or accruing interest, or both,
then and in that event any balances then standing to the credit of
the Accounts mentioned in paragraphs (c) , (d) , and (f) , above, shall
be used to pay such principal or interest, or both, and the said
Accounts shall be restored subsequently out of future revenues of
said sewer system.
SECTION 8. That, if the revenues derived from the opera-
tion of the sewer system should be insufficient at any time to make
the payments or deposits required by Section 7 of this ordinance,
the deficiency shall be made good by additional payments to be made
out of the first available revenuers of said system received during
any succeeding month or months. Whenever and as long as sums actually
on deposit in the Sewer Revenue Bondi Account, the Sewer Revenue Bond
Reserve Account, and the Sewer Revenue Bond Redemption Account, to-
gether, shall equal the principal amount of all outstanding bonds,
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plus the amount of all interest due thereon until the respective
maturity dates of all such bonds, then no further deposits need be
made into said Accounts. Except as herein otherwise expressly pro-
vided, all sums in the Fund and Accounts mentioned in Sections 6, 7,
and 15 hereof shall be kept on deposit in a bank which is a member . _
or banks which are members of the Federal Deposit Insurance Corpora-
tion and at all times shall be secured as provided by the Laws of
the State of Missouri for other funds of said City; or, in the
discretion of the City Council, may be invested in bonds or other
obligations of the United States of America maturing or being redeem-
able at par at or prior to the time When such sums may be required
for use under the terms of this Ordinance.
SECTION 9. That the City of Jefferson covenants and agrees
with the holder or holders of the bonds herein authorized to be
issued that it will perform all duties with respect to the operation
and maintenance of said sewer system; with respect to the fixing,
maintaining, and collecting of the rates, fees, and charges for the
services and facilities thereof; with respect to the establishment
of the Fund and Accounts herein mentioned; and with respect to all
other matters and things required by law and by this Ordinance and
that it will do or cause to be done, in apt time and season, each and
every official act necessary for the payment of the principal of and
the interest on the bonds herein authorized to be issued, as the same
shall mature and accrue.
Said City further covenants with the holders of said bonds
as follows:
(a) that the sewer system of the City of Jefferson
shall be improved and extended in accordance with
plans and specifications therefor heretofore adopted
by the City Council of said City and now on file in
the office of the City Clexkt
(b) that, as long as any of the bonds or the interest
clue thereon authorized by this Ordinance are outstand-
ing and unpaid, it will operate and maintain the sewer
system of said City as improved and extendedt
(c) that, as long as any of said bonds or the inter-
est due thereon .remain outstanding and unpaid, the
said City will fix and maintain rates and make and
UVIJ
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collect charges for the use and services of the
said sewer system, sufficient to pay the cost of
maintenance and operation of the said system, to
pay the principal of and the interest on all
revenue bonds or other obligations issued by said
City chargeable to the revenues of said aystem,
and to provide ample funds to meet all require-
ments of this Ordinance;
(d) that, as long as any of said bands or the
interest due thereon shall remain outstanding and
unpaid, the said City shall carry and maintain
all-risk insurance upon all the properties forming
a part of said sewer system which may be of an
insurable nature, such insurance to be of the type
and kind and for such amount or amounts as carried
and maintained by similar municipalities, and the
proceeds of all such insurance shall be used only
for the maintenance and restoration of said system,
for the payment of the principal of -and the interest
on the bonds authorized to be issued by this Ordi-
nance, or as herein permitted;
(e) that said City shall set up and maintain a
NRW proper system of accounts showing the amount of
revenue received from the sewer system and the
application of such revenue, which accounts shall
be separate and distinct from the other accounts
of said City and, at least once a year, shall be
audited properly by certified public accountants,
and the report of such audit shall be open to the
public and to all bondholders and shall include
(1) a classified statement of the gross
revenues received, of the operating expendi-
tures, of the net operating revenue, and of
the amount of any capital expenditures in
connection with the said system for the fiscal
year,
(2) a balance sheet as of the end of eaeb fis-
cal year, including ae statement of the amount
on hand at the end of the fiscal year in each
of they Accounts mentioned in Section 7 of this
Ordinance,
(3) a statement of the number of customer
served by the said system at the beginning and
the ending of the fiscal year,
(4) a statement of the amount and characte3r
of insurance carried on the properties of the
said system and of the names of the insurers
and of the expiration dates of the several
policies, and '
(5) such comments regarding the method of opera-
tion and accounting practices as the auditor may
deem desirable;
(f) that any holder or holders or any purchaser of
not less than twenty-five per centum (25%) in princi-
pal amount of said bonds then outstanding shall be
permitted, at all reasonable times, to inspect said
isewer system and all recoards# accounts, and data
relating thereto;
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(g) that any holder or holders or any purchaser of
not less than twenty-five per centum (258) in princi-
pal amount of said bonds then outstanding shall be
furnished all data and information relating to said
sewer system which reasonably may be requested; and
(h) that, as long as any of the said bonds or the
interest due thereon shall remain outstanding and
unpaid, the said City shall not sell, lease, loan,
mortgage, pledge, or otherwise encumber or in any
manner dispose of said sewer system, or any revenue-
producing part thereof, unless the bonds authorized
hereby shall have been paid in full, both as to
principal and interest, or unless adequate provision
shall have been made which shall assure the full
payment of said bonds and the interest thereon to
maturity in full, according to their terms .
SECTION 10. That no additional bonds shall be issued or
obligations incurred hereafter by said City which are in whole or
in part payable from or chargeable to the revenues derived or to be
derived from the operation of said sewer system (except obligations
incurred in the operation and maintenance thereof) , unless such
additional bonds or obligations are in all respects junior and sub-
ordinate to the bonds authorized hereby; provided, however, in the
event that the average annual. revenues derived from the operation
of .said sewer eyatem for the two (2) then next-preceding fiscal
years shall be equal to or exceed the sum of the following.,
(a) an amount equal to the average annual operation
and maintenance expenses for the last two (2) fiscal
years, plus
(b) the amount, if any, required during the last
fiscal year to maintain the Sewer Contingent: Account,
plus
(c) the annual amount, if any, required during the
last year to maintain the Sewer Bond Reserve Account,
plus
(d), one hundred thirty-,five per certum (1135%) of
the average amount which thereafter shall become due
in any fiscal year as principal of and interest on
all bonds then outstanding and on all bonds then to
be issued.
Then, and in these events, additional bands or other obligations may
be issued on a parity with the bonds authorized by and issued under
this Ordinance.
The restrictions upon the issuances of additional bonds
or other obligations set out in this Section shall not apply in the
following circumstances and in such circumstances only:
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(a) that the sewer system of the City of Jefferson
hereafter should be destroyed or damaged by disaster
to such an extent that it cannot be operated;
(b) that all funds received from insurance or other-
wise available shall be insufficient to pay the cost
of the restoration of said system to such a condition
that it can be operated again, such cost of such
restoration to be determined by the estimate of a
reputable and competent engineer or engineering firm
or corporation selected by the City, which estimate
shall be based upon plans and specifications for the
restoration of the system prepared for that purpose;
and
(c) that the holders of at least sixty--five per
centum (65%) of the principal amount of the bonds
authorized by this Ordinance then outstanding shall
give written consent to the i3suance of additional
bonds on a parity with the bonds authorized) hereby
and shall file such written consents with the City
Clerk of the City of Jefferson, such consents being
acknowledged before a notary public and stating the
precise amount of additional bonds which may be
issued.
Upon the occurrence of all the circumstances above set out, additional
bonds may be issued solely for the purpose of paying the cost of
restoring the sewer system to reasonable working order in an amount
not greater than the amount stated in the consents filed by the
holders of the outstanding bonds.
SECTION 11 . That, prior to the commencement of each fis-
cal year, the Mayor shall cause to be prepared a budget, setting out
the estimated receipts and expenditures of the sewer system of the
City for the then-ensuing fiscal year, which budget shall contain%
(a) an estimate of the receipts expected to be
derived from the operation of the system;
(b) a statement of the estimated cost of operating
qW
such system during the next-ensuing fiscal. year;
(c) a statement of any unusual and extraordinary
expenses of operation or maintenance which reasonably
might be anticipated and an estimate of the cost
thereof;
(d) a statement of what replacements to the system
may be anticipated and the estimated cost thereof;
(e) a statement of the amount of interest to become
due during the ensuing year on the bonds authorized
hereby then outstanding;
(f) a statement of the principal of such bonds
which will become due absolutely by their terms
during the next-ensuing fiscal yearn
(g) a statement of the total amount anticipated
to be payable from than revenues of the system
during the next-ensuing years and
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(h) a statement of the amount on deposit in each
of the Accounts mentioned in Section 7 of this
Ordinance.
SECTION 12. That the provisions of this Ordinance shall
constitute a contract between the City of Jefferson and the holders
from time to time of the bonds herein authorized to be issued, and,
after the issuance of any of said bands, no changes, additions, or
alterations of any kind shall be made hereto in any manner except
upon consent of the holder or holders of seventyfive per centum (75%)
in principal amount of all of said bonds then outstanding. Such
consent shall be evidenced by an instrument or instruments of such
holder or holders and duly acknowledged in the manner of a deed for
the conveyance or real estate in the State of Missouri, and such
instrument or instruments shall contain or be accompanied by proof of
ownership'of the bond or bonds concerning which such consent is
given, shall be filed in the office of the City Clerk of said City of
Jefferson, and shall be a public record. Provided, however, that no
such modification or alteration shall extend the maturity of, reduce
the interest rate on, or otherwise alter or impair the obligation to
pay the principal of or the interest on any bond at the time and
place, at the rate, and in the currency as provided therein, without
the express consent of the holder of such band; nor reduce the per-
centage of bonds required for the affirmative vote or written consent
to a modification or alteration; nor alter or impair the covenants
set forth in Section 9 of this Ordinance. Any and all modifications
or alterations made in the mariner hereinabove provided shall not ..
became effective until there shall have been filed with the said City
Clerk proof of the consent to such modification or alteration by the
holder or holders of seventy-five per centum (75%) in principal
amount of all bonds then outstanding.
SECTION 13. The holder of any bond authorized hereby or
any person to whom interest on such a bond is owed, by a civil action
either at law or in equity, by mandamus, injunction, or otherwise,
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may compel the City of Jefferson or the officials thereof or any
successors thereto to perform all duties imposed upon said City by
the provisions of this Ordinance or otherwise imposed by law,
including the continued operation of the sewer system, the fixing
and collecting of sufficient rates and charges for the services
thereof, the segregation, allocation, and disposition of the revenues
derived from said system, the payment of any bonds chargeable to the
revenues of said system or the interest thereon, and the performance
of any covenant set out in this Ordinance.
Such suit or action at late or in equity shall lie, regard-
less of whether or not any bond or the interest therein shall be in
Aft
default at the time of the filing of such suit, in the event that
the City of Jefferson or any official thereof shall have neglected
or failed to perform any material duty imposed by law or any covenant
set out in this Ordinance.
SECTION 14. That all bonds issued hereunder shall be
payable equally and ratably, without regard to the date when said
bonds actually shall be delivered, and shall enjoy parity of lien,
one with the other, upon the revenues of said system.
SECTION 15. That the principal proceeds derived from the
sale of said bonds hereby authorized shall be deposited in a separate
account heretofore created and designated the "SEWER CONSTRUCTION
ACCOUNT" and shall be applied solely and only to the payment of the
cost of extending and improving the sewer system of the City of
Jefferson, Missouri, in accordance with the plans and specifications
hereinbefore referred to. The said proceeds shall be disbursed only
upon proper warrant issued pursuant to certification by the consulting
engineer or consulting engineers for the City of Jefferson, stating:
(a) that the purpose for which the payment is to be made is within
the scope of the improvements contemplated by this Ordinance; (b)
that the work done is or the materials furnished are in accordance
with the contract therefor (if such work is done or such materials are
furnished under a contract) or that such work is or that such materials
are suitable for the purpose (if such payments are not covered by an
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express contract) ; and (r,) that the amount of such payment is in
accordance with the contract or is reasonable. Nothing herein shall
be construed to prohibit the payment without such a certificate of
the expenses necessarily incident to the issuance and sale of the
bonds herein authorized. The words "principal proceeds derived from
the sale of said bonds" as used in this Section shall not include
any sum representing accrued interest received upon delivery of said
bonds. Any sum so received as accrued interest shall be deposited
in the "Sewer Revenue Bond Account" mentioned in paragraph (b) of
Section 7 of this Ordinance.
SECTION 16 . That, when the bonds herein authorized shall
have been prepared as aforesaid, they shall be delivered to The Ex-
change National Bank of Jefferson City, in the City of Jefferson,
State of Missouri, as Bond Registrar, so that said bonds may be
registered, transferred, and authenticated on behalf of the City,
and it shall be the responsibility of said Bond Registrar to maintain
the registration records for the bonds of this issue, to transfer
ownership of any of the bonds of this issue on such registration
records upon receipt of proper authorization from the Registered
Owner of each such bond, to initially authenticate the brands of the
issue, and to authenticate for issuance and again register bonds of
the issue as ownership thereof subsequently may be transferred from
time to time in the manner herein stated. The said Bond Registrar,
upon receipt of the bonds, shall authenticate the bonds of the issue
® by causing to be affixed to each such bond the manual signature of
its authorized officer or employee, and, Acting as Bond Registrar,
thereupon shall register each such bond in the name of the Registered
Owner for whose account such •bond is purchased and then shall deliver
each bond to the purchaser thereof upon payment of the purchase price
in accordance with the contract for the sale of said bonds. The Bond
Registrar shall be paid its customary charges for its services as
aforesaid when performed according to the schedule in effect at the
time the services are performed, and said charges shall be deemed to
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be expenses of operation and shall be charged to and payable from the
Operation and Maintenance Account mentioned in paragraph (a) of Sec-
tion 7 of this Ordinance. No bond shall be authenticated as in this
Section provided which represents a Principal Amount due in more than
one maturity.
SECTION 17 . That, if any section, paragraph, clause, or
provision of this Ordinance shall be held invalid, the invalidity
of such section, paragraph, clause, or provision shall not affect
any othar provision of this Ordinance.
SECTION 18. That all ordinances or resolutions, or parts
thereof, in conflict with this Ordinance, to the extent of such
conflict only, hereby are repealed.
SECTION 19 . That this Ordinance shall be in force and take
effect from and after its passage and approval.
Passed this 28th day of December, 1984.
•y a or an Ex-Offic a President
o the Lounci l
At t:
l�L�ll�:fi(
City Clerk
Approved this day of December, 1984.
4�ayor�
Att :
City Clerk