HomeMy Public PortalAboutExhibit MSD 45 - Supplemental Bond Ordinance 15602ORDINANCE NO. 15602
OF
THE METROPOLITAN ST. LOUIS SEWER DISTRICT
PASSED JANUARY 14, 2021
AUTHORIZING:
NOT TO EXCEED $40,201,000
SUBORDINATE WASTEWATER SYSTEM REVENUE BONDS
STATE OF MISSOURI – DIRECT LOAN PROGRAM)
SERIES 2021B
The foregoing ordinance was adopted on January 14, 2021.
MSD Exhibit 45
Supplemental Bond Ordinance
i)
TABLE OF CONTENTS
Page
Recitals............................................................................................................................... 1
ARTICLE I
DEFINITIONS
Section 101. Definition of Words and Terms .......................................................................................... 3
ARTICLE II
AUTHORIZATION OF BONDS
Section 201. Authorization of Bonds ...................................................................................................... 6
Section 202. Security for Bonds ............................................................................................................. 7
Section 203. Description of Bonds ......................................................................................................... 7
Section 204. Designation of Paying Agent ............................................................................................. 7
Section 205. Method and Place of Payment of Bonds ............................................................................ 7
Section 206. Registration, Transfer and Exchange of Bonds .................................................................. 7
Section 207. Execution, Authentication and Delivery of Bonds............................................................. 8
Section 208. Mutilated, Destroyed, Lost and Stolen Bonds ................................................................... 8
Section 209. Cancellation and Destruction of Bonds Upon Payment ..................................................... 8
Section 210. Sale of the Bonds; Authorization and Execution of Documents ........................................ 8
Section 211. Administrative Fee and Paying Agent’s Fee ...................................................................... 8
ARTICLE III
REDEMPTION OF BONDS
Section 301. Optional Redemption ......................................................................................................... 9
Section 302. Mandatory Redemption Provisions.................................................................................... 9
Section 303. Revisions to Exhibit B; Selection of Bonds Upon Partial Redemption ............................. 9
Section 304. Notice and Effect of Call for Redemption ......................................................................... 9
ARTICLE IV
RATIFICATION AND ESTABLISHMENT OF FUNDS AND ACCOUNTS
Section 401. Ratification and Establishment of Funds and Accounts ..................................................... 9
Section 402. Administration of Funds and Accounts ............................................................................ 12
Section 403. Deposits and Application of Bond Proceeds .................................................................... 12
ARTICLE V
APPLICATION OF REVENUES
Section 501. Revenue Fund .................................................................................................................. 13
Section 502. Application of Moneys in Funds and Accounts ............................................................... 13
ii)
Section 503. Deficiency of Payments into Funds and Accounts ........................................................... 15
Section 504. Transfer of Funds to Paying Agent .................................................................................. 15
Section 505. Business Days .................................................................................................................. 15
ARTICLE VI
INVESTMENT OF MONEYS
Section 601. Investment of Moneys ..................................................................................................... 15
ARTICLE VII
PARTICULAR COVENANTS OF THE DISTRICT
Section 701. Efficient and Economical Operation ................................................................................ 16
Section 702. Rate Covenant .................................................................................................................. 16
Section 703. Reasonable Charges for all Services ................................................................................ 16
Section 704. Annual Budget ................................................................................................................. 16
Section 705. Annual Audit .................................................................................................................... 16
Section 706. Performance of Duties ..................................................................................................... 16
ARTICLE VIII
ADDITIONAL BONDS
Section 801. Prior Lien Bonds .............................................................................................................. 17
Section 802. Parity Lien Bonds or Obligations .................................................................................... 17
Section 803. Junior Lien Bonds ............................................................................................................ 17
Section 804. Refunding Bonds ............................................................................................................. 17
Section 805. Additional Senior Bonds .................................................................................................. 17
ARTICLE IX
DEFAULT AND REMEDIES
Section 901. Events of Default ............................................................................................................. 18
Section 902. Remedies .......................................................................................................................... 18
Section 903. Limitation on Rights of Owners ...................................................................................... 18
Section 904. Remedies Cumulative ...................................................................................................... 18
Section 905. No Authority to Levy Taxes ............................................................................................. 18
ARTICLE X
DEFEASANCE
Section 1001. Defeasance ....................................................................................................................... 18
ARTICLE XI
AMENDMENTS
Section 1101. Amendments .................................................................................................................... 19
iii)
ARTICLE XII
MISCELLANEOUS PROVISIONS
Section 1201. Further Authority ............................................................................................................. 19
Section 1202. Electronic Transactions .................................................................................................... 19
Section 1203. Severability ...................................................................................................................... 19
Section 1204. Governing Law ................................................................................................................ 19
Section 1205. Effective Date .................................................................................................................. 19
Schedule I. Outstanding Senior Bonds
Schedule II. Outstanding Parity Bonds
Exhibit A. Form of Bond
Exhibit B. Mandatory Sinking Fund Redemption Schedule
ORDINANCE NO. 15602
AN ORDINANCE AUTHORIZING THE ISSUANCE OF NOT TO EXCEED
40,201,000 PRINCIPAL AMOUNT OF SUBORDINATE WASTEWATER SYSTEM
REVENUE BONDS (STATE OF MISSOURI – DIRECT LOAN PROGRAM) SERIES
2021B OF THE METROPOLITAN ST. LOUIS SEWER DISTRICT, FOR THE
PURPOSE OF IMPROVING, RENOVATING, REPAIRING, REPLACING AND
EQUIPPING THE DISTRICT’S WASTEWATER SYSTEM; PRESCRIBING THE
FORM AND DETAILS OF THE BONDS AND THE AGREEMENTS MADE BY THE
DISTRICT TO FACILITATE AND PROTECT THEIR PAYMENT; AND PRESCRIBING
OTHER RELATED MATTERS
WHEREAS, The Metropolitan St. Louis Sewer District (the “District”), a body corporate, a
municipal corporation and a political subdivision duly organized and existing under the constitution and
laws of the state of Missouri and the District’s Charter (Plan), as amended, approved by the voters for its
government (the “Charter”), owns and operates a revenue producing sanitary sewer system (as more fully
defined below, the “System”); and
WHEREAS, the District desires to make certain additions, extensions and improvements to the
System and is authorized under the provisions of the Charter to issue and sell revenue bonds for the purpose
of providing funds for such purpose, upon obtaining the required voter approval and provided that the
principal of and interest on such revenue bonds shall be payable solely from the revenues derived from the
operation of the System; and
WHEREAS, the District desires to extend and improve the System, such extensions and
improvements to be financed in whole or in part by the issuance by the District pursuant to this Ordinance
of its Subordinate Wastewater System Revenue Bonds (State of Missouri – Direct Loan Program) Series
2021B (the “Bonds”) in the maximum principal amount of not to exceed $40,201,000 (the “Maximum
Principal Amount”); and
WHEREAS, pursuant to the Charter, a special bond election was duly held in the District on
April 5, 2016 (the “Election”) on the following proposition:
PROPOSITION Y
To comply with federal and state clean water requirements, shall The Metropolitan St.
Louis Sewer District (MSD) issue its sewer revenue bonds in the amount of Nine Hundred
Million Dollars ($900,000,000) for the purpose of designing, constructing, improving,
renovating, repairing, replacing and equipping new and existing MSD sewer and drainage
facilities and systems, including sewage treatment and disposal plants, sanitary sewers, and
acquisition of easements and real property related thereto, the cost of operation and
maintenance of said facilities and systems and the principal of and interest on said revenue
bonds to be payable solely from the revenues derived by MSD from the operation of its
wastewater sewer system, including all future extensions and improvements thereto?
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and it was found and determined that more than a simple majority of the qualified electors of the District
voting on the question had voted in favor of the question, the vote having been 127,661 votes for the question
and 39,866 votes against the question; and
WHEREAS, the District has determined that it is necessary and desirable and in the best interests
of the citizens of the area served by the System for the District to make the additions, extensions and
improvements to the System, and to finance a portion of the costs of the foregoing by the issuance, pursuant
to this Ordinance, of the Bonds in the Maximum Principal Amount; and
WHEREAS, to provide for the most cost-effective financing of the extensions and improvements
of the System the District desires to participate in the State of Missouri Direct Loan Program (the “Direct
Loan Program”) of the Missouri Department of Natural Resources (“DNR”) and the Clean Water
Commission of the state of Missouri (the “Commission”); and
WHEREAS, the Board of Trustees (the “Governing Body”) of the District has caused plans and
specifications for extensions and improvements to the System and a cost estimate to be made by the
Consulting Engineer (as defined below); and
WHEREAS, the plans and specifications and the cost estimate are accepted and approved and are
on file in the office of the Secretary-Treasurer, the amount of the estimated cost being not less than the sum
of the Maximum Principal Amount, the initial maximum amount of the Grant ($1,000,000) as described in
the Grant Agreement (each as defined below) and additional funds of the District; and
WHEREAS, $506,672,204 of the bonds authorized at the Election have previously been issued or
anticipated to be issued contemporaneously with the issuance of the Bonds (the project portion of the Series
2017A Bonds and all of the Series 2018A Bond, the Series 2018B Bonds, the Series 2019A Bonds and the
Series 2019B Bonds, the Series 2020A Bonds, the Series 2020B Bonds and the Series 2021A Bonds, each
as defined on Schedules I or II attached hereto) and the District finds and determines that it is necessary
and advisable and in the best interest of the District and of its inhabitants to issue an additional not to exceed
40,201,000 of the bonds so authorized at the Election pursuant to this Ordinance; and
WHEREAS, pursuant to an election duly held on February 3, 2004, the qualified electors of the
District authorized the issuance of $500,000,000 of revenue bonds, all of which have heretofore been issued
as described herein; and
WHEREAS, pursuant to an election duly held on August 5, 2008, the qualified electors of the
District authorized the issuance of $275,000,000 of revenue bonds, all of which have heretofore been issued
as described herein; and
WHEREAS, pursuant to an election duly held on June 5, 2012, the qualified electors of the District
authorized the issuance of $945,000,000 of revenue bonds, all of which have heretofore been issued as
described herein; and
WHEREAS, the District hereby ratifies and affirms the Master Bond Ordinance No. 11713 passed
on April 22, 2004 (the “Master Bond Ordinance”); and
WHEREAS, as of December 31, 2020, the District had $1,296,786,480 principal amount of
Outstanding Senior Bonds (as further described on Schedule I attached hereto) and, as of
November 15, 2020, $390,230,646.13 principal amount of Outstanding Parity Bonds (as further described
on Schedule II attached hereto); and
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WHEREAS, the Bonds are being issued as Subordinate SRF Bonds (within the meaning of the
Master Bond Ordinance) under the Master Bond Ordinance, this Ordinance constitutes a Series Ordinance
within the meaning of the Master Bond Ordinance), and the provisions of the Master Bond Ordinance are
applicable to the Bonds except as otherwise provided in this Ordinance; and
WHEREAS, the District, upon the issuance of the Bonds, will not have outstanding any other bonds
or other obligations payable from the Pledged Revenues other than the Outstanding Senior Bonds, the
Outstanding Parity Bonds and the Bonds; and
WHEREAS, under the provisions of the Master Bond Ordinance, the District may issue additional
bonds payable out of the Pledged Revenues that are junior and subordinate to the Outstanding Senior Bonds,
and that are on parity with the Outstanding Parity Bonds, if certain conditions are met; and
WHEREAS, it is hereby found and determined that it is necessary and advisable and in the best
interest of the District and its inhabitants that revenue bonds be issued and secured in the form and manner
provided in this Ordinance and be sold to DNR under the Direct Loan Program, subject to the conditions
of the Master Bond Ordinance.
NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF TRUSTEES OF THE
METROPOLITAN ST. LOUIS SEWER DISTRICT, AS FOLLOWS:
ARTICLE I
DEFINITIONS
Section 101. Definition of Words and Terms. Capitalized words and terms not otherwise
defined in this Ordinance have the meanings set forth in the Master Bond Ordinance, the Purchase
Agreement and the Escrow Agreement (each as defined below). In addition to the foregoing and words
and terms defined in the Recitals and elsewhere in this Ordinance, capitalized words and terms have the
following meanings in this Ordinance:
Account” means any of the funds or accounts established by Section 4 of the Escrow Agreement.
Administrative Expense Fund” means the fund designated as such and established by Section 4 of
the Escrow Agreement. The Administrative Expense Fund does not constitute part of the Direct Loan
Program.
Administrative Fee” means the semiannual administrative fee of DNR equal to 0.25% of the
aggregate amount of the Bonds Outstanding as of each Administrative Fee Calculation Date (including the
Stated Maturity of the Bonds), payable to the Paying Agent within 30 days after the District’s receipt of a
statement from the Paying Agent, for deposit to the Administrative Expense Fund and subsequent transfers
to DNR as described in Section 9 of the Escrow Agreement.
Administrative Fee Calculation Date” means the Business Day preceding each Principal Payment
Date.
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Authority” means the State Environmental Improvement and Energy Resources Authority, a body
corporate and politic and a governmental instrumentality of the State.
Authority Program Bonds” means any bonds of the Authority issued under the SRF Leveraged
Program, all or a portion of the proceeds of which are loaned to the District pursuant to the SRF Leveraged
Program.
Authorized Representative” means the representative of the District designated as such by the
District in accordance with the Regulations.
Bond Debt Service” means the amount of the principal of and interest due on the Bonds on the
date of calculation required in this Ordinance.
Bond Register” has the meaning set forth in the Master Bond Ordinance. The Paying Agent is the
Bond Registrar for the Bonds.
Bonds” means the Subordinate Wastewater System Revenue Bonds (State of Missouri – Direct
Loan Program) Series 2021B authorized and issued under this Ordinance.
Closing Date” means the date of the initial issuance and delivery of the Bonds.
Construction Fund” means the Construction Fund established by Section 4 of the Escrow
Agreement.
Consultant” means the Consulting Engineer, an independent certified public accountant or a firm
of independent certified public accountants.
Consulting Engineer” means each independent engineer or engineering firm with experience in
designing and constructing wastewater treatment, sanitary sewerage or water pollution control facilities and
retained by the District.
Costs of Issuance” has the meaning set forth in the Purchase Agreement.
Cumulative Principal Amount Outstanding” means the sum of (i) the purchase price of the Bonds
paid by the Owner to the Paying Agent on the Closing Date in accordance with the Purchase Agreement
and deposited into the funds pursuant to Section 403, and (ii) each additional Purchase Price Installment,
as notated on the Bonds by the Paying Agent, less the principal amount redeemed pursuant to Article III.
Debt Service Fund” means the Debt Service Fund established by Section 4 of the Escrow
Agreement.
Escrow Agreement” means the Escrow Trust Agreement, between the District and the Paying
Agent, as supplemented, modified or amended in accordance with its terms, related to the Bonds.
Expenses of Operation and Maintenance” has the meaning set forth in the Master Bond Ordinance.
Funds Transfer Method” means electronic transfer in immediately available funds, automated
clearing house (ACH) funds, or other method approved by DNR at the written request of the District with
written notice to the Paying Agent.
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Grant” means the grant made by DNR to the District pursuant to the Grant Agreement, in the
maximum amount of $1,000,000 (or such higher amount as may be approved by the Commission and DNR),
funded in installments.
Grant Agreement” means the Financial Assistance Agreement dated on or prior to the Closing
Date, between the District and DNR, together with all related attachments, as supplemented, modified or
amended by the District and DNR.
Interest Payment Date” means each January 1 and July 1, commencing July 1, 2021.
Interest Rate” means the annual rate equal to 30% of the Revenue Bond Index as published in The
Bond Buyer most recently prior to the Closing Date, rounded up to the nearest 0.01%.
Investment Securities” means Permitted Investments within the meaning of the Master Bond
Ordinance.
Operating Revenues” has the meaning set forth in the Master Bond Ordinance.
Ordinance” means this Ordinance as from time to time amended in accordance with its terms.
Outstanding” has the meaning set forth in the Master Bond Ordinance.
Outstanding Parity Bonds” means, collectively, all of the outstanding bonds described on
Schedule II attached hereto.
Outstanding Parity Bond Ordinances” means, collectively, all of the ordinances adopted by the
District under which the Outstanding Parity Bonds have been issued or are anticipated to be issued
contemporaneously with the issuance of the Bonds.
Outstanding Senior Bonds” means, collectively, all of the outstanding bonds described on
Schedule I attached hereto.
Owner” means DNR or any assignee, successor or transferee of DNR under the Direct Loan
Program or the SRF Leveraged Program.
Parity Bonds” means the Outstanding Parity Bonds and any parity bonds issued under Section 5.4
of the Master Bond Ordinance payable from the Pledged Revenues on a parity basis with the Bonds.
Parity Ordinances” means the Outstanding Parity Bond Ordinances and the ordinances under
which any other Parity Bonds are issued.
Paying Agent” means UMB Bank, N.A., the paying agent and escrow agent, and its successors
and assigns acting at any time as Paying Agent and Escrow Agent under this Ordinance and the Escrow
Agreement.
Pledged Revenues” has the meaning set forth in the Master Bond Ordinance.
Principal Payment Date” means each January 1 and July 1, commencing January 1, 2022, and any
date on which the Bonds are optionally redeemed in accordance with Section 301.
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Purchase Agreement” means the Purchase Agreement between the District and DNR, as
supplemented, modified or amended in accordance with its terms, related to the Bonds.
Purchase Price Installment” means the amount paid by DNR from time to time in accordance with
Section 3.3 of the Purchase Agreement and deposited in the Construction Fund or otherwise in accordance
with Section 403.
Quarterly Payment Date” means each March 15, June 15, September 15 and December 15,
commencing March 15, 2021.
Record Date” has the meaning set forth in the Master Bond Ordinance.
Renewal and Extension Fund” means the fund by that name ratified and confirmed by Section 401.
Repayment Fund” means the fund designated as such and established by Section 4 of the Escrow
Agreement. The Repayment Fund does not constitute part of the Direct Loan Program.
Revenue Fund” means the fund by that name ratified and confirmed by Section 401.
SRF Leveraged Program” means the Missouri Leveraged State Drinking Water Revolving Fund
Program and the Missouri Leveraged State Water Pollution Control Revolving Fund Program.
SRF Leveraged Program Bonds” means any bonds of the District issued in connection with the
District’s participation in the SRF Leveraged Program.
SRF Subsidy” means the amount of investment earnings that will accrue on the Reserve Account
during each Fiscal Year (taking into account scheduled transfers from the Reserve Account that will occur
upon the payment of principal on Authority Program Bonds and assuming that the construction for the
applicable project has been completed), if the balance in the Reserve Account is equal to the Reserve
Percentage of the principal amount of the SRF Leveraged Program Bonds outstanding, the Reserve Account
is invested in an investment agreement at a fixed rate during the calculation period and earnings are reduced
by the Administrative Fee payable to DNR. “Administrative Fee,” “Reserve Account” and “Reserve
Percentage” as used in this definition have the respective meanings set forth in the bond indentures for the
applicable Authority Program Bonds.
State” means the State of Missouri.
Stated Maturity” means January 1, 2041, the final maturity date of the Bonds.
System Revenue Bonds” means, collectively, the Bonds, the Outstanding Senior Bonds, the
Outstanding Parity Bonds and all other revenue bonds that are payable from the Pledged Revenues.
User Charge Ordinance” means Ordinance No. 15418, adopted by the Governing Body of the
Participant on June 11, 2020, as amended, supplemented or replaced.
ARTICLE II
AUTHORIZATION OF BONDS
Section 201. Authorization of Bonds. The Bonds are authorized and directed to be issued in an
amount not to exceed the Maximum Principal Amount subject to the terms and for the purposes of this
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Ordinance. Upon the Completion of Funding pursuant to the Purchase Agreement, the principal amount of
the Bonds issued under this Ordinance will be the Cumulative Principal Amount Outstanding as of the
Completion of Funding plus the principal amount previously redeemed pursuant to Article III. The
remaining voted authorization under the Election will be the voted amount less the principal amount issued,
as determined pursuant to the preceding sentence.
Section 202. Security for Bonds.
a) The Bonds are special, limited obligations of the District payable solely from, and secured
by a pledge of, the Pledged Revenues. The Bonds and the interest thereon shall not constitute a general or
moral obligation of the District nor a debt, indebtedness, or obligation of, or a pledge of the faith and credit
of, the District or the State or any political subdivision thereof, within the meaning of any constitutional,
statutory or charter provision whatsoever. Neither the faith and credit nor the taxing power of the District,
the State, or any political subdivision thereof is pledged to the payment of the Principal of, premium, if any,
or interest on the Bonds or other costs incident thereto. The District has no authority to levy any taxes to
pay the Bonds. Neither the members of the Governing Body nor any person executing the Bonds shall be
liable personally on the Bonds by reason of the issuance thereof.
b) The Bonds are junior and subordinate to the Outstanding Senior Bonds with respect to
payment of principal and interest from the Pledged Revenues. In the event of any default in the payment of
the Outstanding Senior Bonds, the Pledged Revenues will be applied solely to the payment of the principal of
and interest on the Outstanding Senior Bonds until the default is cured, pursuant to the terms and conditions
of the Master Bond Ordinance. The Bonds are issued on parity with the Outstanding Parity Bonds.
Section 203. Description of Bonds. The Bonds consist of fully-registered bonds numbered from
R-1 consecutively upward, in the denomination of $100,000 or any integral multiple of $0.01 in excess
thereof. The Bonds will be issued in substantially the form of Exhibit A and will be registered, transferred
and exchanged as provided in Section 206. The Bonds are dated as of the Closing Date. The Bonds will
mature and become due on the Stated Maturity (subject to optional and mandatory redemption prior to
Stated Maturity as provided in Article III). The Bonds will bear interest on the Cumulative Principal
Amount Outstanding at the Interest Rate from the Closing Date and the date of receipt of each Purchase
Price Installment by the Paying Agent pursuant to the Purchase Agreement (as set forth on Schedule A to
a Bond) or from the most recent Interest Payment Date to which interest has been paid or provided for.
Interest is computed on the basis of a 360-day year of twelve 30-day months and is payable on each Interest
Payment Date.
Section 204. Designation of Paying Agent. The District has designated the Paying Agent as the
District’s paying agent for the payment of the principal of and interest on the Bonds, bond registrar for the
registration, transfer and exchange of Bonds and escrow agent with respect to the funds and accounts
established with the Paying Agent under the Escrow Agreement.
Section 205. Method and Place of Payment of Bonds. The method and place of payment of the
Bonds will be as provided in Sections 2.1 and 2.5 of the Master Bond Ordinance, except that each Quarterly
Payment under Section 502(a)(3) and amounts payable pursuant to Section 211 will be made using the
Funds Transfer Method.
Section 206. Registration, Transfer and Exchange of Bonds.
a) Registration, transfer and exchange of the Bonds shall be as provided in Sections 2.4 and
2.7 of the Master Bond Ordinance.
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b) At reasonable times and under reasonable rules established by the Paying Agent, the
Owners of 25% or more in principal amount of the Outstanding Bonds, or their representative designated
in a manner satisfactory to the Paying Agent, may inspect and copy the Bond Register.
c) The Bonds will be held by the Paying Agent in trust for each Owner, unless the Paying
Agent is otherwise directed in writing by an Owner.
Section 207. Execution, Authentication and Delivery of Bonds.
a) Except as provided in paragraph (b), execution, authentication and delivery of the Bonds
shall be as provided in Section 2.3 of the Master Bond Ordinance.
b) Prior to the Completion of Funding, promptly upon the receipt by the Paying Agent of each
Purchase Price Installment paid by the Owner in accordance with the Purchase Agreement, an authorized
signatory of the Paying Agent will endorse Schedule A to a Bond with the date of receipt of the Purchase
Price Installment, the amount of the Purchase Price Installment and the resulting Cumulative Principal
Amount Outstanding. No further entries to Schedule A will be made after the Completion of Funding
related to Purchase Price Installments.
Section 208. Mutilated, Destroyed, Lost and Stolen Bonds. Tre atment of mutilated, destroyed,
lost and stolen Bonds shall be as provided in Section 2.9 of the Master Bond Ordinance.
Section 209. Cancellation and Destruction of Bonds Upon Payment. Cancellation and
destruction of Bonds shall be as provided in Section 2.8 of the Master Bond Ordinance.
Section 210. Sale of the Bonds; Authorization and Execution of Documents.
a) The Bonds will be sold to the Owner at the purchase price of 100% of the initial Purchase
Price Installment paid on the Closing Date plus each Purchase Price Installment made by the Owner
thereafter pursuant to Section 3.3 of the Purchase Agreement, without accrued interest.
b) The District is authorized to enter into the Purchase Agreement, the Grant Agreement and
the Escrow Agreement, in substantially the forms presented to the Governing Body. The Chairman or the
Executive Director is authorized to execute the Purchase Agreement, the Grant Agreement and the Escrow
Agreement for and on behalf of and as the act and deed of the District, with changes approved by the
Chairman or the Executive Director, which approval will be conclusively evidenced by the signature of the
Chairman or the Executive Director. The Chairman or the Executive Director is further authorized and
directed to execute other documents, certificates and instruments that are necessary or desirable to carry
out the intent of this Ordinance. The Secretary-Treasurer is authorized and directed to attest the execution
of the Purchase Agreement, the Grant Agreement and the Escrow Agreement and any other documents,
certificates and instruments that are necessary or desirable to carry out the intent of this Ordinance.
Section 211. Administrative Fee and Paying Agent’s Fee. Subject to Section 202, the District
will pay to the Paying Agent, within 30 days after receipt of a statement from the Paying Agent, (a) the
Administrative Fee, and (b) an amount equal to the Paying Agent’s fees and expenses as provided in the
Escrow Agreement.
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ARTICLE III
REDEMPTION OF BONDS
Section 301. Optional Redemption. At the option of the District, with the prior written consent
of the Owner, Bonds may be called for redemption and payment prior to the Stated Maturity thereof in
whole or in part at any time, at the redemption price of 100% of the principal amount thereof plus accrued
interest thereon to the date of redemption. If an optional redemption is in part, the principal amount for
each Principal Payment Date following the optional redemption will be reduced on a proportionate basis
to the nearest $0.01). If the Bonds are optionally redeemed prior to the Stated Maturity thereof, the Owner
may require the payment by the District of a sum sufficient to cover any professional costs, fees and
expenses (including the fees and expenses of the Paying Agent and other consultants (legal, financial or
otherwise) of the Owner and the Authority) incurred in connection with the early redemption of the Bond.
Section 302. Mandatory Redemption Provisions.
a) The Bonds are subject to mandatory sinking fund redemption in part, at a redemption price
equal to 100% of the principal amount thereof plus accrued interest to the redemption date, on the Principal
Payment Dates and in the principal amounts as set forth on Exhibit B.
b) If upon the Completion of Funding, the Cumulative Principal Amount Outstanding is less
than the Maximum Principal Amount (disregarding any scheduled redemptions above that have occurred
prior to the Completion of Funding), the principal amount for each Principal Payment Date following the
Completion of Funding will be reduced on a proportionate basis (to the nearest $0.01).
Section 303. Revisions to Exhibit B; Selection of Bonds Upon Partial Redemption.
a) Upon the partial redemption of the Bonds pursuant to Section 301 or if Section 302(b) is
applicable, the Owner will provide a replacement Exhibit B, reflecting the reductions to the principal
amounts, to the Paying Agent and the District, which will be binding on the District absent manifest error
and will replace the previous Exhibit B without any further action on the part of the District. The revised
Exhibit B is subject to such verification requirements as may be reasonably established by the Paying Agent.
b) Selection of Bonds to be redeemed in part shall be as provided in Section 3.6 of the Master
Bond Ordinance. The redemption of the Bonds in part will be reflected in the records maintained by the
Paying Agent.
Section 304. Notice and Effect of Call for Redemption. Notice of redemption shall be given as
provided in Section 3.2 of the Master Bond Ordinance except that “45 days” shall be substituted for “30
days” for the required notice period for redemption of the Bonds. The effect of the call for redemption shall
be as provided in Section 3.4 of the Master Bond Ordinance.
ARTICLE IV
RATIFICATION AND ESTABLISHMENT OF FUNDS AND ACCOUNTS
Section 401. Ratification and Establishment of Funds and Accounts.
a) The following separate funds and accounts created in or acknowledged, ratified or
confirmed by the Master Bond Ordinance known respectively as the:
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1) The Metropolitan St. Louis Sewer District Wastewater Revenue Fund (the
Revenue Fund”);
2) The Metropolitan St. Louis Sewer District Wastewater Sinking Fund (the
Outstanding Senior Bond Debt Service Account”);
3) Debt Service Reserve Account within The Metropolitan St. Louis Sewer District
Wastewater Sinking Fund (the “Outstanding Senior Bond Debt Service Reserve Account”); and
4) The Metropolitan St. Louis Sewer District Renewal and Extension Fund (the
Renewal and Extension Fund”);
are hereby acknowledged, ratified and confirmed.
b) The following separate funds and accounts established for the Series 2004B Bonds known
respectively as the:
1) Reserve Account (the “Series 2004B Reserve Account”); and
2) State Match Portion Debt Service Account, Leveraged Portion Debt Service Account,
Principal Account and Interest Account (collectively, the “Series 2004B Bond Debt Service
Account”);
are hereby acknowledged, ratified and confirmed.
c) The following separate funds and accounts established for the Series 2005A Bonds known
respectively as the:
1) Reserve Account (the “Series 2005A Reserve Account”); and
2) State Match Portion Debt Service Account, Leveraged Portion Debt Service Account,
Principal Account and Interest Account (collectively, the “Series 2005A Bond Debt Service
Account”);
are hereby acknowledged, ratified and confirmed.
d) The following separate funds and accounts established for the Series 2006A Bonds known
respectively as the:
1) Reserve Account (the “Series 2006A Reserve Account”); and
2) State Match Portion Debt Service Account, Leveraged Portion Debt Service Account,
Principal Account and Interest Account (collectively, the “Series 2006A Bond Debt Service
Account”);
are hereby acknowledged, ratified and confirmed.
e) The following separate funds and accounts established for the Series 2006B Bonds known
respectively as the:
1) Reserve Account (the “Series 2006B Reserve Account”); and
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2) State Match Portion Debt Service Account, Leveraged Portion Debt Service Account,
Principal Account and Interest Account (collectively, the “Series 2006B Bond Debt Service
Account”);
are hereby acknowledged, ratified and confirmed.
f) The following separate funds and accounts established for the Series 2008B Bonds known
respectively as the:
1) Reserve Account (the “Series 2008B Reserve Account” and collectively with the
Series 2006B Reserve Account, the Series 2006A Reserve Account, the Series 2005A Reserve
Account and the Series 2004B Reserve Account, the “Outstanding Parity Bond Reserve Account”);
and
2) State Match Portion Debt Service Account, Leveraged Portion Debt Service Account,
Principal Account and Interest Account (collectively, the “Series 2008B Bond Debt Service
Account”);
are hereby acknowledged, ratified and confirmed.
g) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2009A Bonds (the “Series 2009A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
h) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2010A Bonds (the “Series 2010A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
i) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2010C Bonds (the “Series 2010C Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
j) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2011A Bonds (the “Series 2011A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
k) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2013A Bonds (the “Series 2013A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
l) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2015A Bonds (the “Series 2015A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
m) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2016A Bonds (the “Series 2016A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
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n) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2016B Bonds (the “Series 2016B Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
o) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2018B Bonds (the “Series 2018B Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
p) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2019A Bonds (the “Series 2019A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
q) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2020A Bonds (the “Series 2020A Bond Debt Service Account”) are hereby
acknowledged, ratified and confirmed.
r) The Debt Service Fund, Principal Account and Interest Account established by the District
with respect to the Series 2021A Bonds (the “Series 2021A Bond Debt Service Account” and, collectively
with the Series 2020A Bond Debt Service Account, the Series 2019A Bond Debt Service Account, the Series
2018B Bond Debt Service Account, the Series 2016B Bond Debt Service Account, the Series 2016A Bond
Debt Service Account, the Series 2015A Bond Debt Service Account, the Series 2013A Bond Debt Service
Account, the Series 2011A Bond Debt Service Account, the Series 2010C Bond Debt Service Account, the
Series 2010A Bond Debt Service Account, the Series 2009A Bond Debt Service Account, the Series 2008B
Bond Debt Service Account, the Series 2006B Bond Debt Service Account, the Series 2006A Bond Debt
Service Account, the Series 2005A Bond Debt Service Account, and the Series 2004B Bond Debt Service
Account, the “Outstanding Parity Bond Debt Service Account”) are hereby acknowledged, ratified and
confirmed.
s) The District hereby establishes the following special funds and accounts with the Paying
Agent under the Escrow Agreement:
1) the Debt Service Fund;
2) the Construction Fund;
3) the Repayment Fund, consisting of the Principal Account and the Interest Account;
and
4) the Administrative Expense Fund.
Section 402. Administration of Funds and Accounts. The funds and accounts described in
Section 401(a) will be maintained and administered by, or on behalf of, the District pursuant to the Master
Bond Ordinance. The funds and accounts described in Section 401(b) through (r) will be maintained and
administered by, or on behalf of, the District while the respective series of Outstanding Parity Bonds are
outstanding. The funds and accounts described in Section 401(s) will be maintained and administered by
the Paying Agent pursuant to the Escrow Agreement while the Bonds are Outstanding.
Section 403. Deposits and Application of Bond Proceeds.
a) On the Closing Date, the proceeds received from the sale of the Bonds will be deposited
upon the delivery of the Bonds into the Construction Fund and the Administrative Expense Fund as
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provided in the Escrow Agreement. Thereafter, each Purchase Price Installment will be deposited into the
Construction Fund.
b) Moneys in the Construction Fund will be disbursed to District for the sole purpose of
paying the Eligible Costs of the Project, including any alterations in or amendments to the plans and
specifications for the Project approved by the Governing Body and DNR.
c) Requisitions will be submitted for funding of the Purchase Price Installments and resulting
withdrawals from the Construction Fund in accordance with Article III of the Purchase Agreement. The
District hereby appropriates the amount set forth on Schedule 1 to the District’s Closing Certificate executed
in connection with the issuance of the Bonds from moneys on deposit in the Administrative Expense Fund
to pay costs of issuing the Bonds. Funds will be disbursed from the Administrative Expense Fund as
provided in the Escrow Agreement.
ARTICLE V
APPLICATION OF REVENUES
Section 501. Revenue Fund. The District covenants and agrees that from and after the delivery
of the Bonds, and so long as any of the Bonds remain outstanding and unpaid, all Operating Revenues
derived and collected by the District will be deposited into the Revenue Fund when received. The Operating
Revenues will be segregated from all other moneys, revenues, funds and accounts of the District. The
Revenue Fund will be administered and applied solely for the purposes and in the manner provided in the
Master Bond Ordinance, this Ordinance and any other Series Ordinance.
Section 502. Application of Moneys in Funds and Accounts.
a) The District will apply moneys in the Revenue Fund on the dates, in the amounts and in
the order as follows:
1) from time to time, as required by the Master Bond Ordinance, to pay Expenses of
Operation and Maintenance as required by Section 4.3(a)(1) of the Master Bond Ordinance;
2) from time to time, to the Outstanding Senior Bond Debt Service Account, the
Outstanding Senior Bond Debt Service Reserve Account and other funds and accounts established
under the Master Bond Ordinance, the amounts as required by Section 4.3(a)(2), (3), (4) and (5) of
the Master Bond Ordinance;
3) on a parity basis (i) at the times required under the Outstanding Parity Bond
Ordinances, to the Outstanding Parity Bond Debt Service Account the amount required under the
Outstanding Parity Bond Ordinances and (ii) by the Funds Transfer Method, on each Quarterly
Payment Date the following amounts to the Paying Agent for credit to the Interest Account and to
the Principal Account of the Repayment Fund (at the time amounts set forth in subsections (A) and
B) below are paid to the Paying Agent and deposited into the Principal Account and the Interest
Account of the Repayment Fund, the amounts shall represent payments of principal and interest
due and owing on the Bonds, shall not be Pledged Revenues and shall be released from the lien of
the Master Bond Ordinance):
A) to the Interest Account of the Repayment Fund, on March 15, 2021, and
on each Quarterly Payment Date thereafter, 1/2 of the amount of interest due on the Bonds
on the next Interest Payment Date, with the balance in the Debt Service Fund and the
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Interest Account of the Repayment Fund on an Interest Payment Date after the payment of
the principal of and interest due on the Bonds on the Interest Payment Date to be credited
against the next succeeding Quarterly Payment; provided that prior to the Completion of
Funding,
i) the investment earnings on the Construction Fund for the
preceding calendar quarter will be credited against the next Quarterly Payment,
ii) for purposes of the first Quarterly Payment of each Interest Period,
the amount of interest due on the next Interest Payment Date will be estimated
based upon an expected disbursement schedule for the Interest Period provided by
the District to DNR and the Paying Agent, and
iii) for purposes of the second Quarterly Payment of each Interest
Period, the interest due on the next Interest Payment Date will be calculated by the
Paying Agent based upon Purchase Price Installments funded at least three
Business Days prior to the Quarterly Payment Date and the second Quarterly
Payment calculated so that the amount on deposit in the Interest Account after
receipt of the second Quarterly Payment will equal interest payable on the Bonds
on the Interest Payment Date; and
B) to the Principal Account of the Repayment Fund, on September 15, 2021,
and on each Quarterly Payment Date thereafter, 1/2 of the principal due on the Bonds on
the next succeeding Principal Payment Date, whether at Stated Maturity or upon mandatory
sinking fund redemption. If the Initiation of Operations specified in the certificate
delivered by the District under Section 3.5 of the Purchase Agreement is earlier than the
expected Initiation of Operations, (i) the first quarterly installment of principal of the Bonds
will be paid no later than the Quarterly Payment Date that is not more than 12 months after
the Initiation of Operations, and (ii) on the Quarterly Payment Date that is not more than
20 years after the Initiation of Operations, all remaining unpaid principal installments of
the Bonds will be paid;
4) on the dates required by Section 211, to the Paying Agent for deposit to the
Administrative Expense Fund, the amounts required to pay the Administrative Fee and the Paying
Agent’s Fees and expenses;
5) from time to time, as required by the Master Bond Ordinance, to the Outstanding
Senior Bond Debt Service Account, the Outstanding Senior Bond Debt Service Reserve Account
and other funds and accounts established under the Master Bond Ordinance the amounts as required
by Section 4.3(a)(7) of the Master Bond Ordinance, and the amounts as required by Section
4.3(a)(8) of the Master Bond Ordinance relating to any Outstanding Senior Bond;
6) on the first day of each month, to the Outstanding Parity Bond Debt Service
Reserve Account, the amounts as required by the Outstanding Parity Bond Ordinances;
7) from time to time, the amounts required by Section 4.3(a)(8) of the Master Bond
Ordinance for Other System Obligations (as defined in the Master Bond Ordinance); and
8) to the Renewal and Extension Fund, the amount required by the Master Bond
Ordinance, to be applied as set forth in Section 4.5 of the Master Bond Ordinance.
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b) If the amount in the Revenue Fund is not sufficient to make the payments at the time
required to be made by the District to the Interest Account, the Principal Account and the Outstanding Parity
Bond Debt Service Account, the District will apply the remaining balance in the Revenue Fund on a
proportionate basis (based upon the outstanding principal amounts of the Bonds and the Outstanding Parity
Bonds) to the Principal Account, the Interest Account and the Outstanding Parity Bond Debt Service
Account.
Section 503. Deficiency of Payments into Funds and Accounts.
a) If Pledged Revenues are insufficient to make any payment on any date specified in this
Article, the District will make good the amount of the deficiency by making additional payments out of the
first available Pledged Revenues for application in the order specified in Section 502.
b) If the moneys in the Outstanding Senior Bond Debt Service Account, the Outstanding
Senior Bond Debt Service Reserve Account, the Outstanding Parity Bond Debt Service Account, the
Outstanding Parity Bond Debt Service Reserve Account, the Principal Account or the Interest Account are
not sufficient to pay the principal of and interest on the Outstanding Senior Bonds, the Outstanding Parity
Bonds and the Bonds as and when the same become due, the District will apply moneys in the Renewal and
Extension Fund first to the Outstanding Senior Bond Debt Service Account and the balance on a
proportionate basis (based upon the outstanding principal amounts of the Bonds and the Outstanding Parity
Bonds) to the Principal Account, the Interest Account and the Outstanding Parity Bond Debt Service
Account to prevent any default in the payment of the principal of and interest on the Outstanding Senior
Bonds, the Bonds and the Outstanding Parity Bonds.
Section 504. Transfer of Funds to Paying Agent. The Secretary-Treasurer is authorized and
directed to make the payments to the Principal Account and the Interest Account as provided in Section
502, and, to the extent necessary to prevent a default in the payment of the Bonds, from the Renewal and
Extension Fund as provided in Sections 503, sums sufficient to pay the Bonds when due, and to forward
amounts to the Paying Agent in a manner which ensures the Paying Agent will have sufficient available
funds on or before the second Business Day immediately preceding the dates when payments on the Bonds
are due. Upon the payment of all principal and interest on the Bonds, the Paying Agent will return any
excess funds to the District. Except as otherwise provided in the Escrow Agreement, all moneys deposited
by the District with the Paying Agent are subject to the provisions of this Ordinance and the Master Bond
Ordinance.
Section 505. Business Days. If any date for the payment of principal of, or redemption
premium, if any, or interest on the Bonds or the taking of any other action hereunder is not a Business Day,
then such payment shall be due, or such action shall be taken, on the first Business Day thereafter with the
same force and effect as if made on the date fixed for payment or performance.
ARTICLE VI
INVESTMENT OF MONEYS
Section 601. Investment of Moneys.
a) Moneys held in any fund or account referred to in this Ordinance may be invested in
Investment Securities; provided, however, that any fund or account held by the Paying Agent shall be
invested as provided in Section 11 of the Escrow Agreement. No such investment will be made for a period
extending longer than the date when the money invested may be needed. All earnings on any investments
16-
held in any fund or account will accrue to the applicable fund or account. In determining the amount held
in any fund or account under this Ordinance, obligations will be valued at the lower of cost or market value.
b) Investment of moneys in each of the other funds and accounts ratified and confirmed by
this Ordinance shall be as provided in Sections 4.7 and 4.8 of the Master Bond Ordinance and in the
Outstanding Parity Bond Ordinances.
ARTICLE VII
PARTICULAR COVENANTS OF THE DISTRICT
Section 701. Efficient and Economical Operation. The District will continuously own and
operate the System as provided in Section 6.2 of the Master Bond Ordinance.
Section 702. Rate Covenant. The District will fix, establish, maintain and collect rates and
charges for the use and services furnished by or through the System as provided in Section 6.1 of the Master
Bond Ordinance.
Section 703. Reasonable Charges for all Services. The District will enforce charges for services
as set forth in Section 6.7 of the Master Bond Ordinance.
Section 704. Annual Budget. The District will adopt a budget for each Fiscal Year, as provided
in Section 6.10 of the Master Bond Ordinance. The Secretary-Treasurer, within 30 days after the end of the
current Fiscal Year, will mail a copy of the budget to the Owner. The annual budget will be prepared in
accordance with the laws of the State.
Section 705. Annual Audit.
a) Promptly after the end of each Fiscal Year, the District will cause an audit of the System
for the preceding Fiscal Year to be made by a certified public accountant or firm of certified public
accountants employed for that purpose and paid from the Pledged Revenues. The annual audit will cover
in reasonable detail the operation of the System during the Fiscal Year.
b) As soon as possible after the completion of the annual audit, the Governing Body will
review the annual audit, and if the annual audit reveals any breach of this Ordinance, the District agrees to
promptly cure the breach.
c) Within 30 days after the acceptance of the audit by the Governing Body, a copy of the
annual audit will be filed in the office of the Secretary-Treasurer. The annual audit will be open to
examination and inspection during normal business hours by any taxpayer, any user of the services of the
System, the Owner, or anyone acting for or on behalf of the taxpayer, user or Owner.
d) The District acknowledges its undertakings set forth in Section 2.1(v) of the Purchase
Agreement.
Section 706. Performance of Duties. The District will faithfully and punctually perform all
duties and obligations with respect to the operation of the System now or hereafter imposed upon the
District by the constitution and laws of the State and by the provisions of this Ordinance and the Master
Bond Ordinance.
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ARTICLE VIII
ADDITIONAL BONDS
Section 801. Prior Lien Bonds. Except as provided in Sections 804 and 805, the District will
not issue any debt obligations payable out of the Net Revenues that are superior in lien, security or otherwise
to the Bonds.
Section 802. Parity Lien Bonds or Obligations.
a) The District will not issue any additional bonds or other long–term obligations payable out
of the Pledged Revenues that stand on parity or equality with the Bonds unless the following conditions are
met:
1) the District is not in default in the payment of principal or interest on the
Outstanding Senior Bonds, the Bonds or any Parity Bonds or in making any deposit into the funds
and accounts under the Master Bond Ordinance, this Ordinance or any Parity Ordinance; and
2) the District provides to the Bondowner and the Paying Agent either of the reports
meeting the requirements set forth in Section 5.4(a)(1) of the Master Bond Ordinance; and
3) all other requirements set forth in Section 5.4 of the Master Bond Ordinance for
the issuance of Subordinate Bonds (as defined therein) have been satisfied.
b) Reference is made to the Master Bond Ordinance for provisions relating to additional
revenue bonds or other obligations of the District issued on parity with the Bonds.
Section 803. Junior Lien Bonds. Reference is made to the Master Bond Ordinance for
provisions relating to additional revenue bonds or other obligations of the District issued on a subordinate
basis to the Bonds.
Section 804. Refunding Bonds.
a) The District may, without complying with the provisions of Section 802, refund any of the
Bonds or any Parity Bonds in a manner that provides net present value debt service savings to the District,
and the refunding bonds so issued will be on a parity with any of the Bonds and any Parity Bonds that are
not refunded.
b) The District may refund any of the Outstanding Senior Bonds, provided that such refunding
satisfies the requirements set forth in Section 5.2 of the Master Bond Ordinance.
Section 805. Additional Senior Bonds. The District may issue bonds on parity with the
Outstanding Senior Bonds provided that such issuance is in conformance in all respects with the
requirements set forth in Section 5.3 of the Master Bond Ordinance. The District will not issue any debt
obligations payable out of the Pledged Revenues which are superior in lien, security or otherwise to the
Outstanding Senior Bonds.
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ARTICLE IX
DEFAULT AND REMEDIES
Section 901. Events of Default. If (a) the District defaults in the payment of the principal of or
interest on any of the Bonds, or (b) the District or its Governing Body or any of its officers, agents or
employees fails or refuses to comply with any provision of this Ordinance, the Constitution or statutes of
the State, the Purchase Agreement or the Escrow Agreement and default continues for a period of 60 days
after written notice specifying the non-payment default has been given to the District by the Owner of any
Bond then Outstanding, at any time thereafter and while the default continues, the District shall pay to DNR
the penalties assessed by DNR in accordance with the Regulations.
Section 902. Remedies. The provisions of this Ordinance constitute a contract between the
District and the Owners of the Bonds. Upon an event of default as provided in Section 901, the Owners of
the Bonds shall have the right to exercise remedies as provided in the Master Bond Ordinance. Any amounts
paid on the Bonds to the Owners will be as provided in the Master Bond Ordinance.
Section 903. Limitation on Rights of Owners. No Owner has any right in any manner whatever
by the Owner’s action to affect, disturb or prejudice the security granted and provided for in, or enforce any
right under, this Ordinance, except in the manner provided in this Ordinance. All proceedings at law or in
equity will be for the equal benefit of all Owners.
Section 904. Remedies Cumulative. No remedy conferred upon the Owners is intended to be
exclusive of any other remedy. Each remedy is in addition to every other remedy and may be exercised
without exhausting any other remedy conferred under this Ordinance. No waiver by any Owner of any
default or breach of duty or contract of the District under this Ordinance will affect any subsequent default
or breach of duty or contract by the District or impair any rights or remedies thereon. No delay or omission
of any Owner to exercise any right or power accruing upon any default will impair any right or power or
will be construed to be a waiver of any default. Every substantive right and every remedy conferred upon
the Owners of the Bonds by this Ordinance may be enforced and exercised from time to time and as often
as may be expedient. If any Owner discontinues any proceeding or the decision in the proceeding is against
the Owner, the District and the Owners of the Bonds will be restored to their former positions and rights
under this Ordinance.
Section 905. No Authority to Levy Taxes. The District has no authority to levy taxes to meet
any obligation incurred under this Ordinance or to pay the principal of or interest on the Bonds.
ARTICLE X
DEFEASANCE
Section 1001. Defeasance. When all of the Bonds have been paid and discharged, the provisions
of this Ordinance will terminate. Bonds will be treated as paid and discharged within the meaning of this
Ordinance if the requirements for defeasance of the Bonds set forth in Section 9.1 of the Master Bond
Ordinance have been satisfied.
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ARTICLE XI
AMENDMENTS
Section 1101. Amendments.
a) Any provision of the Bonds or of this Ordinance may be amended by an ordinance with
the prior written consent of the Owner. Consent must be evidenced by an instrument executed by the
Owner, acknowledged or proved in the manner of a deed to be recorded, and filed with the Secretary-
Treasurer.
b) No amendment will be effective until (i) the District has delivered to DNR, the Owner and
the Paying Agent an opinion of Bond Counsel stating that the amendment is permitted by this Ordinance
and the Act, complies with their respective terms and is valid and binding upon the District in accordance
with its terms, and (ii) the Secretary-Treasurer has on file a copy of the amendment and all required
consents.
ARTICLE XII
MISCELLANEOUS PROVISIONS
Section 1201. Further Authority. The officers of the District, including the Chairman of the
Board of Trustees, the Executive Director and the Secretary-Treasurer, are authorized and directed to
execute all documents and take the actions as are necessary or advisable in order to carry out and perform
the purposes of this Ordinance and to make ministerial changes in the documents approved by this
Ordinance which they may approve. The execution of any document or taking of any related action
constitutes conclusive evidence of the necessity or advisability of the action or change.
Section 1202. Electronic Transactions. The transactions described in this Ordinance and the
Bonds may be conducted and related documents may be sent, received or stored by electronic means.
Copies, telecopies, facsimiles, electronic files and other reproductions of original executed documents shall
be deemed to be authentic and valid counterparts of such original documents for all purposes, including the
filing of any claim, action or suit in the appropriate court of law.
Section 1203. Severability. If any section or other part of this Ordinance is for any reason held
invalid, the invalidity will not affect the validity of the other provisions of this Ordinance.
Section 1204. Governing Law. This Ordinance is governed by and will be construed in
accordance with the laws of the State.
Section 1205. Effective Date. Pursuant to the Charter, this Ordinance constitutes an appropriation
ordinance and shall take effect immediately and be in full force after its passage by the Governing Body.
Schedule I-1
SCHEDULE I
OUTSTANDING SENIOR BONDS
Name of Issue
Outstanding Principal
Amount as of
December 31, 2020
1. Taxable Wastewater System Revenue Bonds (Build America Bonds –
Direct Pay), Series 2010B, issued pursuant to Ordinance No. 13025
passed on January 14, 2010, dated January 28, 2010 (the “Series 2010B
Bonds”)
85,000,000
2. Wastewater System Revenue Bonds, Series 2011B, issued pursuant to
Ordinance No. 13344 passed on December 8, 2011, dated
December 22, 2011 (the “Series 2011B Bonds”)
13,725,000
3. Wastewater System Revenue Bonds, Series 2012A, issued pursuant to
Ordinance No. 13465 passed on August 9, 2012, dated August 23, 2012
the “Series 2012A Bonds”)
45,620,000
4. Wastewater System Refunding Revenue Bonds, Series 2012B, issued
pursuant to Ordinance No. 13521 passed on October 24, 2012, dated
November 14, 2012 (the “Series 2012B Bonds”)
41,525,000
5. Wastewater System Revenue Bonds, Series 2013B, issued pursuant to
Ordinance No. 13763 passed on December 6, 2013, dated
December 18, 2013 (the “Series 2013B Bonds”)
42,380,000
6. Wastewater System Improvement and Refunding Revenue Bonds,
Series 2015B, issued pursuant to Ordinance No. 14312 passed on
December 1, 2015, dated December 15, 2015 (the “Series 2015B
Bonds”)
168,950,000
7. Wastewater System Revenue Bonds, Series 2016C, issued pursuant to
Ordinance No. 14567 passed on December 8, 2016, dated
December 20, 2016 (the “Series 2016C Bonds”)
141,695,000
8. Wastewater System Improvement and Refunding Revenue Bonds,
Series 2017A, issued pursuant to Ordinance No. 14835 passed on
December 5, 2017, dated December 14, 2017 (the “Series 2017A
Bonds”)
309,240,000
9. Wastewater System Revenue Bond (WIFIA - Deer Creek Sanitary
Tunnel Pump Station and Sanitary Relief Project), Series 2018A, issued
pursuant to Ordinance No. 15077 passed on December 13, 2018, dated
December 19, 2018 (the “Series 2018A Bond”)
261,480(1)
1) The Series 2018A Bond was issued in a principal amount not to exceed $47,722,204 of which $261,479.86 has
been drawn and remains outstanding as of December 31, 2020.
Schedule I-2
Name of Issue
Outstanding Principal
Amount as of
December 31, 2020
10. Wastewater System Revenue Bonds, Series 2019B, issued pursuant to
Ordinance No. 15311 passed on November 14, 2019, dated
December 4, 2019 (the “Series 2019B Bonds”)
52,130,000
11. Taxable Wastewater System Refunding Revenue Bonds, Series 2019C,
issued pursuant to Ordinance No. 15312 passed on November 14, 2019,
dated December 4, 2019 (the “Series 2019C Bonds”)
276,260,000
12. Wastewater System Revenue Bonds, Series 2020B, issued pursuant to
Ordinance No. 15546 passed on November 12, 2020, dated
December 17, 2020 (the “Series 2020B Bonds”)
120,000,000
TOTAL $1,296,786,480
Schedule II-1
SCHEDULE II
OUTSTANDING PARITY BONDS
Name of Issue
Outstanding Principal
Amount as of
November 15, 2020
1. Subordinate Wastewater System Revenue Bonds (State Revolving Fund
Program), Series 2004B, issued pursuant to Ordinance No. 11736 passed
on May 13, 2004, dated May 28, 2004 (the “Series 2004B Bonds”)
55,730,000.00
2. Subordinate Wastewater System Revenue Bonds (State Revolving Fund
Program), Series 2005A, issued pursuant to Ordinance No. 11986 passed
on May 5, 2005, dated May 19, 2005 (the “Series 2005A Bonds”)
2,400,000.00
3. Subordinate Wastewater System Revenue Bonds (State Revolving Fund
Program), Series 2006A, issued pursuant to Ordinance No. 12179 passed
on March 9, 2006, dated April 27, 2006 (the “Series 2006A Bonds”)
16,075,000.00
4. Subordinate Wastewater System Revenue Bonds (State Revolving Fund
Program), Series 2006B, issued pursuant to Ordinance No. 12332 passed
on October 12, 2006, dated November 16, 2006 (the “Series 2006B
Bonds”)
5,890,000.00
5. Subordinate Wastewater System Revenue Bonds (State Revolving Fund
Program), Series 2008B, issued pursuant to Ordinance No. 12755 passed
on October 7, 2008, dated October 30, 2008 (the “Series 2008B Bonds”)
19,795,000.00
6. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2009A, issued pursuant to Ordinance No.
12937 passed on August 13, 2009, dated October 21, 2009 (the “Series
2009A Bonds”)
12,483,300.00
7. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program – ARRA), Series 2010A, issued pursuant to
Ordinance No. 13024 passed on January 14, 2010, dated
January 26, 2010 (the “Series 2010A Bonds”)
4,882,200.00
8. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2010C, issued pursuant to Ordinance No.
13183 passed on December 9, 2010, dated December 21, 2010 (the
Series 2010C Bonds”)
22,196,000.00
9. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2011A, issued pursuant to Ordinance No.
13327 passed on November 21, 2011, dated November 30, 2011 (the
Series 2011A Bonds”)
29,536,300.00
Schedule II-2
Name of Issue
Outstanding Principal
Amount as of
November 15, 2020
10. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2013A, issued pursuant to Ordinance No.
13731 passed on October 10, 2013, dated October 31, 2013 (the “Series
2013A Bonds”)
39,869,000.00
11. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2015A, issued pursuant to Ordinance No.
14225 passed on August 13, 2015, dated August 20, 2015 (the “Series
2015A Bonds”)
60,736,000.00
12. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2016A, issued pursuant to Ordinance No.
14571 passed on December 8, 2016, dated December 22, 2016 (the
Series 2016A Bonds”)
17,443,000.00
13. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2016B, issued pursuant to Ordinance No.
14572 passed on December 8, 2016, dated December 22, 2016 (the
Series 2016B Bonds”)
67,502,000.00(2)
14. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2018B, issued pursuant to Ordinance No.
15098 passed on December 13, 2018, dated December 28, 2018 (the
Series 2018B Bonds”)
21,753,371.12(3)
15. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2019A, issued pursuant to Ordinance No.
15265 passed on September 12, 2019, dated September 24, 2019 (the
Series 2019A Bonds”)
13,080,430.44(4)
16. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2020A, issued pursuant to Ordinance No.
15945 passed on September 10, 2020, dated September 16, 2020 (the
Series 2020A Bonds”)
859,044.57(5)
2) The Series 2016B Bonds were issued in a principal amount not to exceed $75,500,000 of which $75,500,000 has
been drawn and $67,502,000 remains outstanding as of November 15, 2020.
3) The Series 2018B Bonds were issued in a principal amount not to exceed $25,267,000 of which $21,753,371 has
been drawn and remains outstanding as of November 15, 2020.
4) The Series 2019A Bonds were issued in a principal amount not to exceed $23,952,000 of which $13,080,430 has
been drawn and remains outstanding as of November 15, 2020.
5) The Series 2020A Bonds were issued in a principal amount not to exceed $22,000,000 of which $859,045 has been
drawn and remains outstanding as of November 15, 2020.
Schedule II-3
Name of Issue
Outstanding Principal
Amount as of
November 15, 2020
17. Subordinate Wastewater System Revenue Bonds (State of Missouri –
Direct Loan Program), Series 2021A, anticipated to be issued pursuant
to Ordinance No. ________ expected to be passed on January 14, 2021
the “Series 2021A Bonds”)
0.00(6)
TOTAL $390,230,646.13
6) The Series 2021A Bonds are anticipated to be issued contemporaneously with the issuance of the Bonds in a
principal amount not to exceed $63,101,000.
A-1
EXHIBIT A
FORM OF BOND
THIS BOND IS TRANSFERABLE ONLY TO ANY SUCCESSOR TO THE
MISSOURI DEPARTMENT OF NATURAL RESOURCES OR ITS ASSIGNS]
Registered Registered
No. R-_____ Not to exceed $_____________
UNITED STATES OF AMERICA
STATE OF MISSOURI
THE METROPOLITAN ST. LOUIS SEWER DISTRICT
SUBORDINATE WASTEWATER SYSTEM REVENUE BOND
STATE OF MISSOURI – DIRECT LOAN PROGRAM)
SERIES 2021B
Closing Date Interest Rate Stated Maturity
REGISTERED OWNER: [MISSOURI DEPARTMENT OF NATURAL RESOURCES]
PRINCIPAL AMOUNT: NOT TO EXCEED _______________________ DOLLARS
THE METROPOLITAN ST. LOUIS SEWER DISTRICT, a body corporate, a municipal
corporation and a political subdivision of the State of Missouri (the “District”), for value received, hereby
promises to pay to the Owner shown above, or registered assigns, the Cumulative Principal Amount
Outstanding set forth on Schedule A to this Bond on the Maturity Date shown above, and to pay interest
thereon at the Interest Rate per annum shown above, on January 1 and July 1 in each year, commencing
July 1, 2021 (each an “Interest Payment Date”), from the date shown on Schedule A or from the most recent
Interest Payment Date to which interest has been paid or duly provided for, computed on the basis of a 360-
day year of twelve 30-day months. Terms not otherwise defined in this Bond have the respective meanings
as set forth in the Ordinance.
The principal of this Bond shall be paid at maturity or upon earlier redemption to the person in
whose name this Bond is registered on the Bond Register at the maturity or redemption date thereof, upon
presentation and surrender of this Bond at the payment office of UMB Bank, N.A., St. Louis, Missouri (the
Paying Agent”), or such other office designated by the Paying Agent. The payment of the principal of and
redemption premium, if any, payable on this Bond at maturity or upon earlier redemption and the interest
payable on this Bond on any Interest Payment Date will be made by check or draft mailed by the Paying
Agent to the address of the Owner shown in the Bond Register. The principal of and redemption premium,
if any, and interest on the Bonds is also payable by electronic transfer in immediately available federal
funds to a bank in the continental United States of America pursuant to instructions from any Owner
received by the Paying Agent prior to the Record Date. The principal of and interest on this Bond is payable
in lawful money of the United States of America.
This Bond is one of a duly authorized series of bonds of the District designated “Subordinate
Wastewater System Revenue Bonds (State of Missouri – Direct Loan Program) Series 2021B” (the
A-2
Bonds”), issued by the District for the construction, improvement, renovation, repair, replacement and
equipping of its wastewater system (together with all future improvements and extensions, the “System”),
under the authority of and in full compliance with the District’s Charter (Plan), as amended, and pursuant
to an election duly held in the District, and the Master Bond Ordinance No. 11713 adopted by the Governing
Body of the District on April 22, 2004 and the ordinance adopted by the Governing Body of the District on
January 14, 2021 (collectively, the “Ordinance”).
At the option of the District, the Bonds may be called for redemption and payment prior to maturity
in whole or in part as provided in the Ordinance with the prior written consent of the Owner.
The Bonds are subject to mandatory redemption and payment prior to maturity pursuant to the
mandatory redemption requirements of the Ordinance, at a redemption price equal to 100% of the principal
amount plus accrued interest to the redemption date.
Except as otherwise provided in the Ordinance, notice of redemption, unless waived, is to be given
by the Paying Agent by mailing an official redemption notice by registered or certified mail at least 15 days,
but not more than 30 days, prior to the date fixed for redemption, to the Owner of the Bond or Bonds to be
redeemed at the address shown on the Bond Register or at such other address as is furnished in writing by
such Owner to the Paying Agent. Notice of redemption having been given or waived as aforesaid, the
Bonds or portions of Bonds so to be redeemed shall, on the redemption date, become due and payable at
the redemption price therein specified, and from and after such date (unless the District shall default in the
payment of the redemption price) such Bonds or portions of Bonds shall cease to bear interest.
The Bonds are special, limited obligations of the District payable solely from, and secured as to the
payment of principal and interest by a pledge of, the Pledged Revenues. The Bonds and the interest thereon
shall not constitute a general or moral obligation of the District nor a debt, indebtedness, or obligation of,
or a pledge of the faith and credit of, the District or the State or any political subdivision thereof, within the
meaning of any constitutional, statutory or charter provision whatsoever. Neither the faith and credit nor
the taxing power of the District, the State, or any political subdivision thereof is pledged to the payment of
the principal of, premium, if any, or interest on the Bonds or other costs incident thereto. Under the
conditions set forth in the Ordinance, the District has the right to issue additional senior bonds and additional
parity bonds payable from, and secured by, the Pledged Revenues. The District has no authority to levy
any taxes to pay the Bonds.
The Bonds are junior and subordinate with respect to payment of principal and interest from the
Pledged Revenues and in all other respects to the Outstanding Senior Bonds. In the event of any default in
the payment of principal of or interest on any of the Outstanding Senior Bonds, the Pledged Revenues will
be applied solely to the payment of the principal of and interest on the Outstanding Senior Bonds until the
default is cured.
The Bonds are issued on parity with the Outstanding Parity Bonds.
The District covenants with the Owner of this Bond to keep and perform all covenants and
agreements contained in the Ordinance, and the District will fix, establish, maintain and collect rates, fees
and charges for the use and services furnished by or through the System to produce Revenues sufficient to
pay the operation and maintenance costs of the System, pay the principal of and interest on the Bonds and
provide reasonable and adequate reserve funds. Reference is made to the Ordinance for a description of
the agreements made by the District with respect to the collection, segregation and application of the
Revenues, the nature and extent of the security for the Bonds, the rights, duties and obligations of the
District with respect to the Bonds, and the rights of the Owners.
A-3
The Bonds are issuable in the form of fully-registered Bonds in the denomination of $100,000 or
any integral multiple of $0.01 in excess thereof.
This Bond may be transferred or exchanged, as provided in the Ordinance, only upon the
registration books kept for that purpose at the above-mentioned office of the Paying Agent, upon surrender
of this Bond together with a written instrument of transfer or exchange satisfactory to the Paying Agent
duly executed by the Owner or the Owner’s duly authorized agent, and thereupon a new Bond or Bonds in
any authorized denomination of the same maturity and in the same aggregate principal amount shall be
issued to the transferee in exchange therefor as provided in the Ordinance, and upon payment of the charges
therein prescribed. The District and the Paying Agent may deem and treat the person in whose name this
Bond is registered on the Bond Register as the absolute owner hereof for the purpose of receiving payment
of, or on account of, the principal or redemption price hereof and interest due hereon and for all other
purposes.
This Bond will not be valid or be entitled to any security or benefit under the Ordinance until the
Paying Agent has executed the Certificate of Authentication.
IT IS HEREBY CERTIFIED AND DECLARED that all acts, conditions and things required to
exist, happen and be performed precedent to the issuance of the Bonds have existed, happened and been
performed in due time, form and manner as required by law, and that before the issuance of the Bonds,
provision has been duly made for the collection, segregation and application of the income and revenues of
the System as provided in the Ordinance.
IN WITNESS WHEREOF, The Metropolitan St. Louis Sewer District has executed this Bond by
causing it to be signed by the manual or facsimile signature of its Chairman of the Board of Trustees or
Executive Director and attested by the manual or facsimile signature of its Secretary-Treasurer, and its
official seal to be affixed hereto or imprinted hereon.
SEAL) THE METROPOLITAN ST. LOUIS SEWER
DISTRICT
ATTEST:
By
Secretary-Treasurer Executive Director
CERTIFICATE OF AUTHENTICATION
This Bond is one of the Bonds of the issue described in the within-mentioned Ordinance.
Registration Date:
UMB BANK, N.A., Paying Agent
By
Authorized Signatory
A-4
RECORD OF PRINCIPAL PAYMENTS AND PREPAYMENTS
Under the provisions of the Ordinance, payments of the principal installments of this Bond and
partial prepayments of the principal of this Bond will be made directly to the Owner without surrender of
this Bond to the Paying Agent. Accordingly, any purchaser or other transferee of this Bond should verify
with the Paying Agent the principal of this Bond outstanding prior to such purchase or transfer, and the
records of the Paying Agent shall be conclusive for such purposes.
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto
Print or Type Name, Address and Social
Security Number or other Taxpayer Identification Number of Transferee)
the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints UMB BANK,
N.A., agent to transfer the within Bond on the books kept by the Paying Agent for the registration thereof,
with full power of substitution in the premises.
Dated: _______________.
NOTICE: The signature to this assignment must
correspond with the name of the Registered
Owner as it appears on the face of the within
Bond in every particular.
Medallion Signature Guarantee:
A-5
SCHEDULE A
THE METROPOLITAN ST. LOUIS SEWER DISTRICT
SUBORDINATE WASTEWATER SYSTEM REVENUE BOND
STATE OF MISSOURI – DIRECT LOAN PROGRAM)
SERIES 2021B
CUMULATIVE PRINCIPAL AMOUNT OUTSTANDING
Date(7)
Purchase Price
Installment
Principal Amount
Redeemed(8)
Cumulative Principal
Amount Outstanding
Authorized Signatory of
Paying Agent
1) Date constitutes date of registration with respect to such portion of the Bond.
2) Commencing with first Principal Payment Date if prior to Completion of Funding.
B-1
EXHIBIT B
MANDATORY SINKING FUND REDEMPTION SCHEDULE
Redemption Date Principal Amount Redemption Date Principal Amount
January 1, 2022 $874,000 January 1, 2032 $1,035,000
July 1, 2022 881,000 July 1, 2032 1,044,000
January 1, 2023 889,000 January 1, 2033 1,053,000
July 1, 2023 896,000 July 1, 2033 1,061,000
January 1, 2024 904,000 January 1, 2034 1,070,000
July 1, 2024 911,000 July 1, 2034 1,080,000
January 1, 2025 919,000 January 1, 2035 1,089,000
July 1, 2025 927,000 July 1, 2035 1,098,000
January 1, 2026 935,000 January 1, 2036 1,107,000
July 1, 2026 943,000 July 1, 2036 1,117,000
January 1, 2027 951,000 January 1, 2037 1,126,000
July 1, 2027 959,000 July 1, 2037 1,136,000
January 1, 2028 967,000 January 1, 2038 1,145,000
July 1, 2028 975,000 July 1, 2038 1,155,000
January 1, 2029 984,000 January 1, 2039 1,165,000
July 1, 2029 992,000 July 1, 2039 1,175,000
January 1, 2030 1,000,000 January 1, 2040 1,185,000
July 1, 2030 1,009,000 July 1, 2040 1,195,000
January 1, 2031 1,017,000 January 1, 2041† 1,206,000
July 1, 2031 1,026,000
Maturity
CERTIFICATE
I, the undersigned, Secretary-Treasurer of The Metropolitan St. Louis Sewer District, hereby certify
that attached to this Certificate is a true and correct copy of the Ordinance passed by the Board of Trustees
of the District at a regular meeting held, after proper notice, on January 14, 2021, that the Ordinance has
not been amended and is in full force and effect as of this date; and that the Ordinance is on file in my
office.
WITNESS my hand and official seal this 22nd day of January, 2021.
Seal) Secretary-Treasurer
The foregoing ordinance was adopted on January 14, 2021.